[Federal Register Volume 62, Number 110 (Monday, June 9, 1997)]
[Proposed Rules]
[Pages 31398-31405]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-14941]


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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Parts 52 and 81

[OR 56-7271; FRL-5837-1]


Approval and Promulgation of Implementation Plans and Designation 
of Areas for Air Quality Planning Purposes; State of Oregon

AGENCY: Environmental Protection Agency (EPA).

ACTION: Notice of proposed rulemaking.

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SUMMARY: EPA invites public comment on its proposed redesignation of 
the Portland, Oregon, carbon monoxide (CO) nonattainment area, which is 
located in parts of Multnomah, Washington, and Clackamas Counties in 
the State of Oregon, from nonattainment to attainment. EPA further 
proposes to approve the CO Maintenance Plan as a revision to the Oregon 
Department of Environmental Quality's (Oregon's) State Implementation 
Plan (SIP) which was submitted with Oregon's redesignation request. 
Under the Clean Air Act as amended in 1990 (CAA), designations can be 
revised if the State demonstrates full compliance with the 
redesignation requirements set forth in section 107(d)(3)(E) of the 
CAA.
    EPA is proposing to approve the submitted Maintenance Plan as 
meeting the requirements of section 175A of the CAA; the 1990 base year 
emissions inventory as meeting the requirements of section 187(a)(1) of 
the CAA; and the 1991 attainment year (periodic) emissions inventories 
as meeting the requirements of section 187(a)(5) of the CAA.

DATES: Comments must be received in writing and postmarked on or before 
July 9, 1997.

ADDRESSES: Written comments should be addressed to Montel Livingston, 
SIP Manager, Office of Air Quality, M/S OAQ-107, EPA Region 10, 1200 
Sixth Avenue, Seattle, Washington 98101. Copies of Oregon's submittals 
are available for public review during normal business hours at the 
following locations: EPA, Region 10, Office of Air Quality, M/S OAQ-
107, 1200 Sixth Avenue, Seattle, Washington 98101; and the Oregon 
Department of Environmental Quality, 811 SW Sixth Avenue, Portland, 
Oregon 97204-1390, telephone (503) 229-5696.

FOR FURTHER INFORMATION CONTACT: William M. Hedgebeth of the EPA Region 
10 Office of Air Quality at (206) 553-7369.

SUPPLEMENTARY INFORMATION:

I. Background

    On March 15, 1991, the Governor of Oregon recommended that the 
Portland portion of the Portland-Vancouver Air Quality Maintenance Area 
be designated as nonattainment for CO as required by section 
107(d)(1)(A) of the 1990 Clean Air Act Amendments (CAAA) (Public Law 
101-549, 104 Stat. 2399, codified at 42 U.S.C. 7401-7671(q)). The area 
was designated nonattainment and classified as ``moderate'' with a 
design value less than or equal to 12.7 parts per million (ppm) under 
the provisions outlined in sections 186 and 187 of the CAA. (See 56 FR 
56694, November 6, 1991, codified at 40 CFR 81.338). On September 29, 
1995, EPA approved the separation of the Portland-Vancouver CO 
nonattainment area into two distinct nonattainment areas, effective 
November 28, 1995. Because the Portland area had a design value of 9.8 
ppm (based on 1988-1989 data), the area was considered moderate. The 
CAA established an attainment date of December 31, 1995, for all 
moderate CO areas. The Portland area has ambient monitoring data 
showing attainment of the CO National Ambient Air Quality Standard 
(NAAQS) since 1989. On August 30, 1996, Oregon submitted a CO 
redesignation request and a CO Maintenance Plan for the Portland area. 
Oregon submitted evidence that public hearings were held on May 22, 
1996, in

[[Page 31399]]

Portland, Oregon, and on May 23, 1996, in Tigard, Oregon.

II. Evaluation Criteria

    Section 107(d)(3)(E) of the CAAA provides five specific 
requirements that an area must meet in order to be redesignated from 
nonattainment to attainment.
    1. The area must have attained the applicable NAAQS;
    2. The area must have a fully approved SIP under section 110(k) of 
the CAA;
    3. The air quality improvement must be permanent and enforceable;
    4. The area must have a fully approved Maintenance Plan pursuant to 
section 175A of the CAA; and
    5. The area must meet all applicable requirements under section 110 
and Part D of the CAA.

III. Review of State Submittal

    On September 18, 1996, EPA Region 10 determined that the 
information received from Oregon constituted a complete redesignation 
request under the general completeness criteria of 40 CFR part 51, 
appendix V, 2.1 and 2.2. The Oregon redesignation request for the 
Portland area meets the five requirements of section 107(d)(3)(E), 
noted above. The following is a brief description of how Oregon 
fulfilled each of these requirements.

1. Attainment of the CO NAAQS

    Quality-assured CO ambient air monitoring data shows that the 
Portland area has met the CO NAAQS. The Oregon request to redesignate 
the Portland CO nonattainment area to attainment is based on an 
analysis of quality-assured CO air monitoring data which is relevant to 
the Maintenance Plan and to the redesignation request. To attain the CO 
NAAQS, an area must have complete quality-assured data showing no more 
than one exceedance of the standard per year over at least two 
consecutive years. The ambient air CO monitoring data for calendar year 
1990 through calendar year 1995, relied upon by Oregon in its 
redesignation request, shows no violations of the CO NAAQS in the 
Portland area. The last exceedance of the CO NAAQS in the Portland CO 
nonattainment area occurred on February 1, 1991. Because the area has 
complete quality assured data showing no more than one exceedance of 
the standard per year over at least two consecutive years, the area has 
met the first statutory criterion of attainment of the CO NAAQS (40 CFR 
50.8 and appendix C). Oregon has committed to continue monitoring in 
this area in accordance with 40 CFR part 58. In addition, Oregon has 
committed to conduct saturation studies every four years to identify 
locations of peak CO concentrations and to periodically reassess 
whether the CO monitoring network represents worst case concentrations.

2. Fully Approved SIP Under Section 110(k) of the CAA

    With the exception of Oregon's 1990 base year emissions inventory, 
which is proposed for approval herein, Oregon's CO SIP is fully 
approved by EPA as meeting all the requirements of section 110(a)(2)(I) 
of the CAA, including the requirements of Part D (relating to 
nonattainment), which were due prior to the date of Oregon's 
redesignation request.
    The 1990 CAAA required that nonattainment areas meet specific new 
requirements depending on the severity of the nonattainment 
classification. Requirements for the Portland area included a vehicle 
inspection and maintenance program, the preparation of a 1990 emissions 
inventory with periodic updates, adoption of an oxygenated fuels 
program, the development of contingency measures, and development of 
conformity procedures. Each of these requirements added by the 1990 
Amendments to the CAA is discussed in greater detail below. Final 
approval of this redesignation request is contingent upon final action 
by EPA to approve the 1990 base year emissions inventory, submitted by 
Oregon on August 30, 1996, along with the redesignation request and 
Maintenance Plan.
A. Emissions Inventories (Base Year and Periodic)
    Under section 187(a)(1) of the CAA, States are required to submit, 
by November 15, 1992, a base year CO inventory for moderate CO 
nonattainment areas that represents actual emissions in the CO season. 
Section 172(c)(3) of the CAA requires that nonattainment plan 
provisions include a comprehensive, accurate, and current inventory of 
actual emissions from all sources of relevant pollutants in the 
nonattainment area. The base year for the inventory is 1990. Stationary 
point, stationary area, on-road mobile, and non-road mobile sources of 
CO are included in the inventory. This inventory addresses actual CO 
emissions for the area during the peak CO season, which reflects the 
months when peak CO air quality concentrations occur. In Portland, the 
peak CO season is November 1 through the end of February. All required 
sources were included in the inventory. Stationary sources with 
emissions of 100 tons or greater per year were included in the point 
source category. Stationary sources with emissions of 100 tons or 
greater per year which are outside of the CO nonattainment area but 
within 25 miles of the Portland CO nonattainment area boundary 
(coincident with the Metro boundary) have also been included. 
Stationary sources with emissions less than 100 tons per year were 
included in the area source category. The following list presents a 
summary of the 1990 CO peak season daily emissions estimates in tons 
per winter day by source category: Point Sources: 64.40 tons per day; 
Area Sources: 215.00 tons per day; Mobile On-Road Sources: 921.71 tons 
per day; Mobile Non-Road Sources: 66.96 tons per day; Total Sources: 
1268.07 tons per day. Available guidance for preparing emissions 
inventories is provided in the General Preamble (57 FR 13498, April 16, 
1992).
    Section 187(a)(5) of the CAA also requires that States submit, for 
moderate CO nonattainment areas, periodic inventories that represent 
actual emissions; the first periodic inventory is due no later than 
September 30, 1995, with subsequent periodic inventories submitted 
every three years thereafter until the area is redesignated to 
attainment. Oregon submitted an attainment year emissions inventory for 
1991 which meets the requirements for the periodic inventory. This 
inventory was developed in the same manner as the 1990 base year. CO 
peak season daily emissions estimates in tons per winter day by source 
category are: Point Sources: 57.97 tons per day; Area Sources: 205.50 
tons per day; Mobile On-Road Sources: 906.11 tons per day; Mobile Non-
Road Sources: 67.55 tons per day; Total Sources: 1237.13 tons per day.
    The following chart compares CO season daily emissions for 1990 and 
1991:

                    Daily Emissions (Pounds Per Day)                    
------------------------------------------------------------------------
                                                   Base year  Attainment
                    Category                         1990      year 1991
------------------------------------------------------------------------
Point Sources...................................     128,803     115,946
Area Sources....................................     430,003     410,992
On-road Mobile Sources..........................   1,843,414   1,812,224
Non-road Mobile Sources.........................     133,911     135,102
                                                 -----------------------
      Total.....................................   2,536,132   2,474,264
------------------------------------------------------------------------

    EPA is proposing to approve the 1990 base year emissions inventory 
and the 1991 attainment year (periodic) emissions inventory as meeting 
the

[[Page 31400]]

requirements of sections 187(a)(1) and 187(a)(5) of the CAA. Oregon has 
provided acceptable documentation of quality assurance and has clearly 
identified the methodologies used in determining the emissions for each 
source category. References from which emission and growth factors were 
derived were clearly identified.
B. Oxygenated Gasoline
    Motor vehicles are significant contributors of CO emissions. An 
important measure toward reducing these emissions is the use of 
cleaner-burning oxygenated gasoline. Extra oxygen, contained within the 
oxygenate in the fuel, enhances fuel combustion and helps to offset 
fuel-rich operating conditions, particularly during vehicle starting, 
which are more prevalent in the winter.
    Section 211(m) of the CAA requires that, for CO nonattainment areas 
with a design value of 9.5 or greater ppm based on data for the 2-year 
period of 1988 and 1989, a SIP revision be submitted for an oxygenated 
fuel program for the area. The oxygenated fuel requirement must apply 
to all fuel refiners or marketers who sell or dispense gasoline in the 
Metropolitan Statistical Area (MSA) or in the Consolidated Metropolitan 
Statistical Area (CMSA) in which the nonattainment area is located. The 
Portland area has a design value above 9.5 ppm based on 1988 and 1989 
data and, consequently, Oregon was subject to the requirement to adopt 
an oxygenated fuel program for the Portland area.
    Oregon submitted an oxygenated fuel SIP revision 1 for 
the Portland CO nonattainment area to EPA on November 16, 1992. The 
oxygenated gasoline program is one in which all oxygenated gasoline 
must contain an average minimum oxygen content of 2.7 percent by weight 
of oxygen. Under section 211(m)(4) of the CAA, EPA also issued 
requirements for the labeling of gasoline pumps used to dispense 
oxygenated gasoline, as well as guidelines on the establishment of an 
appropriate control period. These labeling requirements and control 
period guidelines may be found in the Federal Register, 57 FR 47849, 
dated October 20, 1992. Oregon's oxygenated gasoline regulation 
requires a 2.7 percent average oxygen content within a four-county 
Control Area (Clackamas, Multnomah, Washington, and Yamhill Counties) 
which includes the Portland CO nonattainment area. The regulation also 
contains the necessary labeling regulations, enforcement procedures, 
and oxygenate test methods. EPA approved Oregon's oxygenated fuel SIP 
revision on February 15, 1994 (59 FR 7222).
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    \1\ The Maintenance Plan being proposed for approval herein 
relies on the continuation of oxygenated fuel in the Portland CO 
nonattainment area for the ten years of the maintenance period after 
redesignation of the Portland CO nonattainment area to attainment.
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C. Conformity
    Under section 176(c) of the CAA, States are required to submit 
revisions to their SIPs that include criteria and procedures to ensure 
that federal actions conform to the air quality planning goals in the 
applicable SIPs. The requirement to determine conformity applies to 
transportation plans, programs and projects developed, funded or 
approved under Title 23 U.S.C. or the Federal Transit Act 
(``transportation conformity''), as well as all other federal actions 
(``general conformity''). Congress provided for the State revisions to 
be submitted one year after the date of promulgation of final EPA 
conformity regulations. EPA promulgated final transportation conformity 
regulations on November 24, 1993 (58 FR 62188) and final general 
conformity regulations on November 30, 1993 (58 FR 63214). These 
conformity rules require that the States adopt both transportation and 
general conformity provisions in their SIPs for areas designated 
nonattainment or subject to a Maintenance Plan approved under CAA 
section 175A. Pursuant to 40 CFR 51.396 of the transportation 
conformity rule, Oregon was required to submit a SIP revision 
containing transportation conformity criteria and procedures consistent 
with those established in the federal rule by November 25, 1994. 
Similarly, pursuant to 40 CFR 51.851 of the general conformity rule, 
Oregon was required to submit a SIP revision containing general 
conformity criteria and procedures consistent with those established in 
the federal rule by December 1, 1994. Oregon submitted its 
transportation conformity SIP revision to EPA on April 14, 1995. EPA 
approved this SIP revision on May 16, 1996. Oregon submitted its 
general conformity SIP revision to EPA on September 27, 1995, but it 
has not yet been approved by EPA.
    Although this redesignation request was submitted to EPA after the 
due date for the SIP revisions for general conformity rules, EPA 
believes it is reasonable to interpret the conformity requirements as 
not being applicable requirements for purposes of evaluating the 
redesignation request under section 107(d). The rationale for this is 
based on a combination of two factors. First, the requirement to submit 
SIP revisions to comply with the conformity provisions of the CAA 
continues to apply to areas after redesignation to attainment. 
Therefore, Oregon remains obligated to adopt the general conformity 
rules even after redesignation and would risk sanctions for failure to 
do so. While redesignation of an area to attainment enables the area to 
avoid further compliance with most requirements of section 110 and part 
D, since those requirements are linked to the nonattainment status of 
an area, the conformity requirements apply to both nonattainment and 
maintenance areas. Second, EPA's federal conformity rules require the 
performance of conformity analyses in the absence of State-adopted 
rules. Therefore, a delay in adopting State rules does not relieve an 
area from the obligation to implement conformity requirements.
    Because areas are subject to the conformity requirements regardless 
of whether they are redesignated to attainment and must implement 
conformity under federal rules if State rules are not yet adopted, EPA 
believes it is reasonable to view these requirements as not being 
applicable requirements for purposes of evaluating a redesignation 
request.
    Therefore, on April 1, 1996, EPA modified its national policy 
regarding the interpretation of the provisions of section 107(d)(3)(E) 
concerning the applicable requirements for purposes of reviewing a 
carbon monoxide redesignation request (61 FR 2918, January 30, 1996). 
Under this new policy, for the reasons just discussed, EPA believes 
that the CO redesignation request for the Portland area may be approved 
notwithstanding the lack of approved State general conformity rules.
    For transportation conformity purposes, the on-road emission totals 
outlined in the chart below for each year will be designated as the 
emissions budget for the Portland CO nonattainment/maintenance area. 
Oregon has also developed emissions budgets for two Sub-Areas, the 
Central City Transportation Management Plan (CCTMP) Sub-Area and the 
82nd Avenue Corridor Sub-Area.

[[Page 31401]]



                                   Portland CO Transportation Emission Budgets                                  
                                        [Thousand pounds per winter day]                                        
----------------------------------------------------------------------------------------------------------------
               Year                     1991         1995         1997         2001         2003         2007   
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                                     CO Nonattainment Area = Metro Boundary                                     
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Budget............................         1812         1217         1076          875          825          775
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                                                  CCTMP Sub-Area                                                
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Budget............................          191          123          107           84           78           70
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                                          82nd Avenue Corridor Sub-Area                                         
----------------------------------------------------------------------------------------------------------------
Budget............................           12            7            6            5            4            4
----------------------------------------------------------------------------------------------------------------

D. Inspection and Maintenance
    Section 187(a)(4) requires that the applicable CO implementation 
plan include the vehicle inspection and maintenance (I/M) program 
described in section 182(a)(2)(B). This requires that Oregon implement 
at least a basic I/M program. Oregon submitted its basic I/M SIP 
revision to EPA on November 15, 1993. EPA approved this SIP revision on 
September 9, 1994. Oregon submitted an enhanced I/M SIP revision to EPA 
on December 12, 1996. EPA approved this on April 30, 1997. See 62 FR 
27204.
E. Contingency Measures
    States containing CO nonattainment areas with design values of 12.7 
ppm or less were required to submit, among other things, contingency 
measures to satisfy the provisions under section 172(c)(9). These 
provisions require contingency measures to be implemented in the event 
that an area failed to reach attainment by the applicable attainment 
date, December 31, 1995. The SIP revision for the contingency measures 
portion of the Attainment Plan was submitted on November 15, 1993. The 
contingency plan required that oxygenates be supplied at maximum 
allowable oxygen contents (e.g., 3.5% ethanol and 2.7% methyl tertiary 
butyl ether (MTBE)). A specified minimum average oxygen content of 2.9% 
would have been required only if, in subsequent control seasons, the 
project control area average oxygen content would be less than 3.1% 
(based on reported oxygenate mix information submitted by the regulated 
community). EPA approved this SIP revision on June 28, 1994 (59 FR 
33202).
F. New Source Review
    All moderate CO nonattainment areas with a design value of 12.7 ppm 
or less were required to submit proposed Part D New Source Review (NSR) 
programs no later than November 15, 1993, pursuant to sections 172(b), 
172(c)(5), and 173 of the CAA. Oregon submitted revisions to the SIP on 
November 16, 1992, to meet this requirement. Further revisions were 
submitted on December 12, 1996. EPA approved these revisions to the SIP 
on April 30, 1997. See 62 FR 27204.

3. Improvement in Air Quality Due to Permanent and Enforceable Measures

    Once this action and the enhanced vehicle inspection and 
maintenance program are approved, EPA will have completed its approval 
of Oregon's CO SIP (attainment plan). Emission reductions achieved 
through the implementation of the primary control measures contained in 
that SIP are enforceable. The primary permanent and enforceable federal 
measure has been the Federal Motor Vehicle Control Program which has 
established emission standards for new motor vehicles. Permanent and 
enforceable SIP measures which have helped improve air quality in the 
Portland CO nonattainment area are: major New Source Review Program 
(Lowest Achievable Emission Rate and offsets); basic vehicle inspection 
and maintenance; improved public transit; carpool matching program and 
carpool parking program in downtown Portland; traffic flow improvements 
(ramp metering, computerized signalization, on-street parking limits); 
City of Portland bicycle parking program; Downtown Portland Air Quality 
Plan (1980 Updated Downtown Parking and Circulation Policy); and the 
Downtown Portland Parking Offset Program. Also, the oxygenated fuel 
program, from its implementation on November 1, 1992, has been and will 
continue to be, fully enforceable. As discussed above, the Portland 
area initially attained the NAAQS in 1990 with monitored attainment 
throughout the 1994-1995 CO season. This indicates that the 
improvements were due to the permanent and enforceable measures 
contained in the CO SIP. These improvements were made in spite of rapid 
population growth in the Portland area since 1991. Oregon has also 
evaluated Portland area meteorological patterns over the 1985-1994 
period and has concluded that recent compliance with CO standards is 
not attributable to favorable meteorology.
    During EPA's review of a SIP revision involving Oregon's statutory 
authority, a problem was detected which affected the enforceability of 
point source permit limitations. Even though the SIP does not contain 
additional point source controls to attain the standard, existing and 
federally approved point source emission limitations are relied upon to 
maintain and demonstrate attainment with the CO NAAQS. EPA determined 
that, because the five-day advance notice provision required by 
ORS.126(1) (1991) bars civil penalties from being imposed for certain 
permit violations, ORS 468 fails to provide the adequate enforcement 
authority the State must demonstrate to obtain SIP approval, as 
specified in section 110 of the CAA and 40 CFR 51.230. Accordingly, the 
requirement to provide such notice would preclude federal approval of a 
CO nonattainment area SIP revision. EPA notified Oregon of the 
deficiency. To correct the problem, the Governor of Oregon signed into 
law new legislation amending ORS 468.126 on September 3, 1993. This 
amendment added paragraph 468.126(2)(e) which provides that the five-
day advance notice required by ORS 468.126(1) does not apply if the 
notice requirement will disqualify the State's program from federal 
approval or delegation. Oregon responded to EPA's understanding of the 
application of 468.126(2)(e) and agreed that, if federal statutory 
requirements preclude the use of the five-day advance notice provision, 
no advance notice will be required for violations of SIP requirements 
contained in permits.

[[Page 31402]]

    Therefore, EPA is satisfied that Oregon has demonstrated that 
actual enforceable emission reductions are responsible for the air 
quality improvement and that the CO emissions in the base year are not 
artificially low due to a local economic downturn. EPA finds that the 
combination of certain existing EPA-approved SIP and federal measures 
contribute to the permanence and enforceability of reduction in ambient 
CO levels that have allowed the area to attain the NAAQS.

4. Fully Approved Maintenance Plan Under Section 175A

    Section 175A of the CAA sets forth the elements of a Maintenance 
Plan for areas seeking redesignation from nonattainment to attainment. 
The plan must demonstrate continued attainment of the applicable NAAQS 
for at least ten years after the Administrator approves a redesignation 
to attainment. Eight years after the redesignation, the State must 
submit a revised Maintenance Plan which demonstrates attainment for the 
ten years following the initial ten-year period. To provide for the 
possibility of future NAAQS violations, the Maintenance Plan must 
contain contingency measures, with a schedule for implementation 
adequate to assure prompt correction of any air quality problems. In 
this notice, EPA is proposing to approve Oregon's Maintenance Plan for 
the Portland area because EPA finds that Oregon's submittal meets the 
requirements of section 175A.
A. Attainment Emissions Inventory
    On August 30, 1996, Oregon submitted, as part of its redesignation 
and Maintenance Plan approval request, a comprehensive 1991 Attainment 
Year inventory of CO emissions for the Portland area. The inventory 
includes emissions from area, stationary, and mobile sources using 1991 
as the base year for calculations.
    The Oregon submittal contains the detailed inventory data and 
summaries by source category. The comprehensive base year emissions 
inventory was submitted in the National Emission Data System format. 
This inventory was prepared in accordance with EPA guidance.
    Although the 1991 inventory can be considered representative of 
attainment conditions because the NAAQS was not violated during 1991, 
Oregon established CO emissions for the attainment year, 1991, as well 
as for forecast years out to the year 2007. These estimates were 
derived from Oregon's 1991 emissions inventory. The future emissions 
estimates are based on assumptions about vehicle miles traveled and 
economic growth, and on the continuation of the oxygenated fuel program 
throughout the ten year Maintenance Plan period. Also included in these 
estimates are, for point sources, production increases both from 
existing and new facilities.

                       1991 CO Base Year Emissions Inventory, Portland Nonattainment Area                       
                                                 [Tons per day]                                                 
----------------------------------------------------------------------------------------------------------------
                                                                             Non-road     On-road               
                      Year                          Point         Area        mobile       mobile       Total   
----------------------------------------------------------------------------------------------------------------
1991...........................................        57.97       205.50        67.55       906.11      1237.13
----------------------------------------------------------------------------------------------------------------

B. Demonstration of Maintenance
    i. Projected Inventories. Total CO emissions were forecast from 
1991 base year out to 2007. These projected inventories were prepared 
in accordance with EPA guidance. Oregon conducted rollforward analysis 
for three hotspot monitoring locations, which are the sites of three of 
the four permanent CO monitors in the Portland CO nonattainment area. 
Oregon has provided a complete description of the methodology employed, 
selection of the background concentration, explanation of the CCTMP 
Worst Case Scenario for the downtown area, calculations, and a summary 
of the results. Oregon has included the following technical data: 
allocation of parking for the CCTMP Worst Case Scenario; City of 
Portland traffic counts; Oregon-conducted speed runs; and Mobile 5a 
input and output data sheets. Oregon will continue to implement the 
oxygenated fuel program in the Portland CO nonattainment area 
throughout the ten year Maintenance Plan period. The projections show 
that calculated CO emissions, with the oxygenated fuel program in place 
and operational, are not expected to exceed the level of the base year 
inventory during this time period. Therefore, it is anticipated that 
the Portland area will maintain the CO standard throughout the 
Maintenance Plan period.

                          Portland CO Nonattainment Area, CO Emissions Forecast Summary                         
                                       [Thousand pounds CO per winter day]                                      
----------------------------------------------------------------------------------------------------------------
                                                                             Non-road     On-road               
                      Year                          Point         Area        mobile       mobile       Total   
----------------------------------------------------------------------------------------------------------------
1991...........................................          116          411          135         1812         2474
1995...........................................          124          382          146         1217         1868
1997...........................................          167          392          151         1076         1785
2001...........................................          171          405          160          875         1610
2003...........................................          173          417          163          825         1577
2007...........................................          178          447          169          775         1569
----------------------------------------------------------------------------------------------------------------

    ii. Transportation Control Measures (TCMs). TCMs incorporated into 
the Maintenance Plan fall into two categories: non-funding based TCMs 
and funding based TCMs. The non-funding based TCMs reduce 
transportation emissions through land-use requirements and regulatory 
programs. The funding based TCMs reduce transportation emissions by 
increasing the supply of transit, bicycle and pedestrian facilities. 
The funding based TCMs were established in the financially constrained 
transportation network of Metro's interim federal Regional 
Transportation Plan (RTP), adopted July 1995, in accordance with the 
requirements of the federal

[[Page 31403]]

Intermodal Surface Transportation Efficiency Act (ISTEA). This network 
includes only projects that can be supported based on historical 
funding level trends.
    Under the Oregon Administrative Rule (OAR), the funding based TCMs 
must receive priority funding in Metro's transportation planning 
process and all TCMs identified in the Maintenance Plan must receive 
timely implementation. If the TCMs do not receive priority funding and 
timely implementation, a conformity determination cannot be made for 
Metro's transportation plans and all regionally significant projects 
will be held up until a conformity determination can be made. These 
requirements are specified in Oregon's transportation conformity rules 
(OAR 340-020-0710 through 340-020-1080). In general, ``priority 
funding'' means that all State and local agencies with influence over 
approvals or funding of the TCMs are giving maximum priority to 
approval of funding of the TCMs over other projects within their 
control. ``Timely implementation'' means that the TCMs are being 
implemented consistent with the schedule established in the Maintenance 
Plan. The determination of whether priority funding and timely 
implementation have been achieved is made in the context of interagency 
consultation as specified in the transportation conformity rules.
    Identified TCMs may be substituted in whole, or in part, with other 
TCMs providing equivalent emission reductions. Substitution occurs 
through consultation with Metro's Transportation Policy Alternatives 
Committee (TPAC) and Joint Policy Advisory Committee on Transportation 
(JPACT). Such substitution requires public notice, EQC (Environmental 
Quality Commission) approval and concurrence from EPA, but does not 
require a revision to the SIP. Appendix D2-10 of the Maintenance Plan 
identifies the requirements for TCM substitutions, which EPA is 
proposing to approve as part of the Maintenance Plan. TCMs in the 
Maintenance Plan are as follow:
    a. Non-funding based Transportation Control Measures: (1) Metro 
2040 Growth Concept, which changes typical growth patterns to be less 
reliant on motor vehicle travel, thereby reducing motor vehicle 
emissions; and (2) Central City Parking Requirements: key elements of 
the Zoning Code Amendments \2\ \3\ related to CO air quality 
projections are incorporated into the Maintenance Plan. These include 
maximum parking ratios for new development, requirements for providing 
structured parking to serve older historic buildings, and other 
regulations on parking. The downtown parking lid will be transferred to 
contingency status upon approval of the Maintenance Plan.
---------------------------------------------------------------------------

    \2\ The Portland City Council adopted the Central City 
Transportation Management Plan (CCTMP), Plan and Policy, and other 
supporting documents which include these Zoning Code Amendments, on 
December 6, 1995. The CCTMP was adopted by Ordinance No. 169535, 
Resolution 35472, and was effective on January 8, 1996.
    \3\ The CCTMP is intended to advance a ``buildout'' vision of 
the Central City Plan to the year 2010 and beyond. The chief 
implementing mechanism is the Zoning Code Amendments. Although the 
CCTMP eliminated the ceiling on downtown parking, it provided for 
the expansion of the system of maximum parking ratios to the entire 
area of the Central City.

------------------------------------------------------------------------
                Code No.                            Code title          
------------------------------------------------------------------------
 1. Incorporated Amendments to City of Portland Chapter 33.510, Central 
                           City Plan District                           
------------------------------------------------------------------------
33.510.261--33.510.261.E (33.510.261.E.1  Parking Site split by         
 (a)(1)-(2),b,E.2.a(1)-(2),b).             subdistrict or parking sector
                                           boundaries.                  
33.510.263--33.510.263.A                  Parking in the Core Area      
 (33.510.263.A.1.a-c(1)-(4),A.2-4.a-b(1)   Growth Parking.              
 -(3),A.5-7.a-c).                                                       
33.510.263.B--(33.510.263.B.1.a-c (1)-    Preservation Parking.         
 (2),B.2-4.a).                                                          
33.510.263.E--(33.510.263.E.1.a-b,E.3.a-  Residential/Hotel Parking.    
 c).                                                                    
33.510.263.F--33.510.263.F.2............  RX Zone Parking.              
33.510.263.G--33.510.263.G.4--(33.510.26  All Parking Surface parking   
 3.G.4.a.(1)-(2),G.4.d(1)-(3)).            lots.                        
33.510.264 33.510.264.A                   Parking in Lloyd District     
 (33.510.264.A.1.a-c (1)-                  Growth Parking.              
 (4),A.2.a,A.4.a).                                                      
33.510.264.B 33.510.264.B.1.a-c(1)-       Preservation Parking.         
 (2),B.2.a-c,B.4.a c.                                                   
 33.510.264.F...........................  All Parking.                  
33.510.264.F (33.510.264.F.4.e.(1)-(3)).  Surface parking lots.         
33.510.265..............................  Parking in the Goose Hollow   
                                           Subdistrict and Central      
                                           Eastside Sectors 2 and 3.    
33.510.265.A (33.510.265.A.1.a-           Growth Parking.               
 c,A.2.a,A.4.a).                                                        
33.510.265.B (33.510.265.B.1.a-c(1)-      Preservation Parking.         
 (4),B.2.a,b) (33.510.265.B.4.a-c).                                     
------------------------------------------------------------------------
   2. Incorporated Portion of New Chapter 33.808, Central City Parking  
                                 Review                                 
------------------------------------------------------------------------
33.808.050..............................  Loss of Central City Parking  
                                           Review Status.               
33.808.100 33.808.100.G.................  General Approval Criteria for 
                                           Central City Parking Review. 
33.808.100.J 33.808.100.J.2.a             If the site is in the Core    
 33.808.100.M.                             Area.                        
------------------------------------------------------------------------
               Map Number                            Map Title          
------------------------------------------------------------------------
                          3. Incorporated Maps                          
------------------------------------------------------------------------
510-8...................................  Core and Parking Sectors--EPA.
------------------------------------------------------------------------
                                                                        
 4. Incorporated Portion of CCTMP Administration Section                
------------------------------------------------------------------------
                Code No.                            Code title          
------------------------------------------------------------------------
VI.D.1.a.(1)-(5)........................  Administrative Section:       
                                           Preservation Parking.        
------------------------------------------------------------------------


[[Page 31404]]

    b. Funding based Transportation Control Measures: (1) Increased 
Transit Service, specifically regional increase in transit service 
hours averaging 1.5 percent annually; completion of the Westside Light 
Rail Transit facility; and completion of Light Rail Transit (LRT) in 
the South/North corridor by the year 2007; and (2) Bicycle and 
Pedestrian Facilities, including multimodal facilities, an RTP 
Constrained Bicycle System, and Pedestrian facilities.
C. Verification of Continued Attainment
    Oregon will analyze on an annual basis the CO air quality 
monitoring data to verify continued attainment of the CO NAAQS, in 
accordance with 40 CFR Part 50 and EPA's Redesignation guidance. This 
data, along with the previous year's data, will provide the necessary 
information for determining whether the region continues to attain the 
NAAQS.
    Oregon will prepare updated emissions inventory summaries for 1996, 
1999, 2001, 2003, and 2007. These updates will be submitted to EPA 
Region 10 within 12 months following the end of the periodic emissions 
inventory calendar year. In preparing the updates, Oregon will review 
the emission factors, growth factors, rule effectiveness and rule 
penetration factors, and other significant assumptions used to prepare 
the emissions forecast. Oregon will verify the factors or adjust them 
where more accurate information is available. New emission sources will 
be included in the updates.
    Oregon will compare each updated emissions summary to the emissions 
forecast and the attainment inventories and evaluate any changes which 
have occurred. If significant changes have occurred, Oregon will, in 
consultation with EPA Region 10, determine if a more extensive periodic 
emissions inventory is necessary. If a more extensive inventory is 
necessary, it will be submitted to EPA within 23 months after the end 
of the reporting period.
D. Contingency Plan
    The level of CO emissions in the Portland area will largely 
determine the area's ability to stay in compliance with the CO NAAQS in 
the future. Despite Oregon's best efforts to demonstrate continued 
compliance with the NAAQS, the ambient air pollutant concentrations may 
exceed or violate the NAAQS. Section 175A(d) of the CAA requires that, 
when violations of the NAAQS occur, Oregon implement all measures with 
respect to the control of CO which were contained in the SIP for the 
area before redesignation of the area as an attainment area. Therefore, 
Oregon has provided contingency measures in the Maintenance Plan with a 
schedule for implementation in the event of future exceedances or 
violations of the CO NAAQS. The plan contains triggering mechanisms to 
determine when contingency measures are needed.
    Oregon has developed a contingency plan which utilizes actual 
validated CO monitoring results to trigger activation of the CO 
contingency measures. A two-tiered level of escalating response and 
contingencies for the Portland CO Contingency Plan, based on risk of 
violation and actual violation, is proposed as follows:
    If monitored (8-hour average) CO levels at a site within the 
Central City registers a second high concentration equaling or 
exceeding 90 percent of the NAAQS level (8.1 ppm or greater) during a 
calendar year period, Oregon will identify a planning group to 
recommend a strategy for implementation to forestall violations of the 
NAAQS. Within six months of the validated 90 percent second high CO 
concentration, the planning group will determine a schedule of selected 
strategies to either prevent or correct any violation of the 8-hour 
NAAQS for CO. The contingency strategies to be considered will include, 
but not be limited to: (1) Increased parking pricing in the Central 
City; (2) increased funding for transit; (3) congestion pricing on 
major regional transportation corridors; (4) a trip reduction program; 
(5) regional mandatory parking ratios; and (6) accelerated 
implementation of bicycle and pedestrian networks.
    If a violation of the CO NAAQS occurs, and is validated by Oregon, 
the following contingency measures will automatically be implemented: 
(1) New Source Review requirements for proposed major sources and major 
modifications in the Maintenance Plan area (and the area of significant 
air quality impact) will be modified. The requirement to install Best 
Available Control Technology (BACT) will be replaced with a requirement 
to install Lowest Achievable Emission Rate (LAER) technology. In 
addition, the industrial growth allowance established in section 
4.51.3.2.3 of the Oregon CO SIP will be eliminated. These requirements 
will take effect upon validation of the violation. BACT and a growth 
allowance may be reinstated if provided for in a new Maintenance Plan 
adopted and approved by EPA; and (2) The downtown parking lid will be 
reinstated. However, the reinstatement of the downtown parking lid will 
be implemented only if the violation occurs in the downtown area 
formerly under the parking lid requirement.
E. Additional Maintenance Plan Commitments
    Oregon has incorporated the following commitments into the 
Maintenance Plan: (1) Coordination with the Southwest Washington Air 
Pollution Control Authority in Vancouver, Washington, on interstate air 
quality issues; (2) Submittal of rules to implement the enhanced 
vehicle inspection program before EPA approval of the Maintenance Plan 
(refer to previous discussion on the I/M program); (3) Submittal of 
revisions to the New Source Review regulations before EPA approval of 
the Maintenance Plan (refer to previous discussion on NSR); (4) 
Preparation of periodic emissions inventory updates for 1996, 1999, 
2001, 2003, and 2007, and submittal of the updates to EPA within 12 
months following the end of the periodic emissions inventory calendar 
year; (5) Submittal of a backup emission reduction measure as a 
revision to the SIP if the federal Low Emission Vehicle (fedLEV) is 
delayed beyond 2001. This measure will be presented for adoption by the 
Oregon Environmental Quality Commission by November 1, 1999; (6) 
Preparation of reports on activity in the industrial growth allowance 
program for the periods 1996-1997, 1998-2001, 2002-2003, and 2004-2007, 
and submittal of those reports to EPA within 12 months following the 
end of the activity period; and (7) Maintenance of documentation of 
approved TCM substitutions.
F. Subsequent Maintenance Plan Revisions
    In accordance with section 175A(b) of the CAA, Oregon has agreed to 
submit a revised maintenance SIP by December 31, 2004. Oregon will 
develop the next ten year Maintenance Plan (2007-2017) in coordination 
and conjunction with Metro.

5. Meeting Applicable Requirements of Section 110 and Part D

    In section III.2 above, EPA sets forth the basis for its conclusion 
that Oregon has a fully approved SIP which meets the applicable 
requirements of section 110 and Part D of the CAA.

IV. This Action

    EPA is proposing to approve the Portland area CO Maintenance Plan 
because it meets the requirements set forth in section 175A of the CAA. 
In addition, EPA is proposing to redesignate the Portland CO 
nonattainment area to attainment

[[Page 31405]]

because Oregon has demonstrated compliance with the requirements of 
section 107(d)(3)(E) for redesignation. EPA is also proposing to 
approve Oregon's 1990 base year and 1991 (periodic) emissions 
inventories.
    Nothing in this action should be construed as permitting or 
allowing or establishing a precedent for any future request for 
revision to any SIP. Each request for revision to the SIP shall be 
considered separately in light of specific technical, economic, and 
environmental factors and in relation to relevant statutory and 
regulatory requirements.

V. Administrative Review

A. Executive Order 12866
    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 regulatory action from E.O. 12866 review.
    The CO SIP is designed to satisfy the requirements of part D of the 
CAA and to provide for attainment and maintenance of the CO NAAQS. This 
proposed redesignation should not be interpreted as authorizing or 
proposing to authorize Oregon to delete, alter, or rescind any of the 
CO emission limitations and restrictions contained in the approved CO 
SIP. Changes to CO SIP regulations rendering them less stringent than 
those contained in the EPA approved plan cannot be made unless a 
revised plan for attainment and maintenance is submitted to and 
approved by EPA. Unauthorized relaxations, deletions, and changes could 
result in both a finding of nonimplementation (section 179(a) of the 
CAA) and in a SIP deficiency call made pursuant to sections 
110(a)(2)(H) and 110(k)(2) of the CAA.
B. Regulatory Flexibility Act
    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 section 110 and subchapter I, part D, of the 
Clean Air Act 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, the 
Administrator certifies 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 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. EPA, 27 
U.S. 246, 255-66 (1976); 42 U.S.C. 7410(a)(2).
C. 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 proposed action 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 pre-existing 
requirements under State or local law, and imposes no new requirements. 
Accordingly, no additional costs to State, local, or tribal 
governments, or to the private sector, result from this action.

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

List of Subjects

40 CFR Part 52

    Environmental protection, Air pollution control, Carbon monoxide, 
Hydrocarbons, Incorporation by reference, Intergovernmental relations, 
Ozone.

40 CFR Part 81

    Environmental protection, Air pollution control, National parks, 
Wilderness areas.

    Dated: May 27, 1997.
Chuck Clarke,
Regional Administrator.
[FR Doc. 97-14941 Filed 6-6-97; 8:45 am]
BILLING CODE 6560-50-P