[Federal Register Volume 62, Number 116 (Tuesday, June 17, 1997)]
[Rules and Regulations]
[Pages 32694-32697]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-15848]


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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[IL127-1a; FRL-5841-1]


Approval and Promulgation of Implementation Plan; Illinois

AGENCY: Environmental Protection Agency.

ACTION: Direct final rule.

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SUMMARY: On May 5, 1995, and May 26, 1995, the State of Illinois 
submitted a State Implementation Plan (SIP) revision request to the 
United States Environmental Protection Agency (EPA) for reactor 
processes and distillation operation processes in the Synthetic Organic 
Chemical Manufacturing Industry (SOCMI) as part of the State's control 
measures for Volatile Organic Material (VOM) emissions for the Chicago 
and Metro-East (East St. Louis) areas. VOM, as defined by the State of 
Illinois, is identical to ``volatile organic compounds'' (VOC), as 
defined by EPA. VOC is one of the air pollutants which combine on hot 
summer days to form ground-level ozone, commonly known as smog. Ozone 
pollution is of particular concern because of its harmful effects upon 
lung tissue and breathing passages. This plan was submitted to meet the 
Clean Air Act (Act) requirement for States to adopt Reasonably 
Available Control Technology (RACT) rules for sources that are covered 
by Control Techniques Guideline (CTG) documents. The control measures 
specified in this SOCMI SIP revision are not expected by Illinois to 
further reduce VOC (VOM) emissions in the Chicago area, or in the 
Metro-East area, because Illinois has identified only two sources which 
meet the applicability criteria, and Illinois states that the sources 
are already in compliance with the State's SOCMI rules. This rulemaking 
action only addresses compliance with the RACT requirement for one 
source, Stepan Company's Millsdale facility. The EPA is approving the 
State Implementation Plan (SIP) revision request submitted by the State 
of Illinois as it applies to Stepan Company's Millsdale Facility. 
Action on the revision request as it applies to other subject 
facilities, and on the overall revision request, will be taken at a 
future time.

EFFECTIVE DATE: The ``direct final'' approval shall be effective on 
August 18, 1997, unless EPA receives adverse or critical comments by 
July 17, 1997. If the effective date is delayed, timely notice will be 
published in the Federal Register.

ADDRESSES: Copies of the revision request and EPA's analysis are 
available for inspection at the following address: U.S. Environmental 
Protection Agency, Region 5, Air and Radiation Division, 77 West 
Jackson Boulevard, Chicago, Illinois 60604. (It is recommended that you 
telephone David Pohlman at (312) 886-3299 before visiting the Region 5 
Office.)
    Written comments should be sent to: J. Elmer Bortzer, Chief, 
Regulation Development Section, Air Programs Branch (AR-18J), U.S. 
Environmental

[[Page 32695]]

Protection Agency, 77 West Jackson Boulevard, Chicago, Illinois 60604.

FOR FURTHER INFORMATION CONTACT: David Pohlman at (312) 886-3299.

SUPPLEMENTARY INFORMATION:

I. Background

    Section 182(b)(2) of the Act requires all moderate and above ozone 
nonattainment areas to adopt RACT rules for sources that are located in 
moderate and above ozone nonattainment areas and covered by CTG 
documents, such as SOCMI reactor processes and distillation operations 
processes. In Illinois, the Chicago area is classified as ``severe'' 
nonattainment for ozone, while the Metro-East area is classified as 
``moderate'' nonattainment. See 40 CFR 81.314.
    The Illinois Environmental Protection Agency (IEPA) held public 
hearings on the proposed SOCMI rules on November 4, 1994, December 2, 
1994, and December 16, 1994. The rules, which require compliance by 
March 15, 1996, were published in the Illinois Register on May 19, 
1995. The rules became effective at the State level on May 5, 1995. The 
IEPA formally submitted the SOCMI rules to EPA on May 5, 1995, and May 
26, 1995, as a revision to the Illinois SIP for ozone. The submittal 
amends 35 Ill. Adm. Code Parts 211, 218 and 219, to include control 
measures for SOCMI reactor processes and distillation operations.
    The submittal includes the following new or revised rules:

Part 211: Definitions and General Provisions

Subpart B: Definitions

211.980  Chemical Manufacturing Process Unit
211.1780  Distillation Unit
211.2365  Flexible Operation Unit
211.5065  Primary Product

Part 218: Organic Material Emission Standards and Limitations for the 
Chicago Area

Subpart Q: Synthetic Organic Chemical and Polymer Manufacturing Plant

218.431  Applicability
218.432  Control Requirements
218.433  Performance and Testing Requirements
218.434  Monitoring Requirements
218.435  Recordkeeping and Reporting Requirements
218.436  Compliance Date

Appendix G: TRE Index Measurement for SOCMI Reactors and Distillation 
Units

Part 219: Organic Material Emission Standards and Limitations for the 
Metro East Area

Subpart Q: Synthetic Organic Chemical and Polymer Manufacturing Plant

219.431  Applicability
219.432  Control Requirements
219.433  Performance and Testing Requirements
219.434  Monitoring Requirements
219.435  Recordkeeping and Reporting Requirements
219.436  Compliance Date

Appendix G: TRE Index Measurement for SOCMI Reactors and Distillation 
Units

    The SOCMI rules contained in Part 218 are identical to those in 
Part 219 except for the areas of applicability. Part 218 applies to the 
Chicago Area, while Part 219 applies to the Metro East area. Illinois' 
SOCMI rules are based largely on EPA's final CTG for control of VOCs 
from SOCMI reactor processes and distillation operations processes, 
which was issued on November 15, 1993 (58 FR 60197). This document 
contains the recommended presumptive norm for RACT for these sources.
    The applicability measure for RACT is dependent upon the 
facilities' calculated Total Resource Effectiveness (TRE) index. The 
TRE index is a measure of the cost per unit of VOC emission reduction 
and is normalized so that the decision point has a defined value of 
1.0. It considers variables such as the emission stream characteristics 
(i.e., heat value, flow rate, VOC emission rate) and a maximum cost 
effectiveness. A TRE index value of less than or equal to 1.0, 
calculated by using the specific stream characteristics, ensures that 
the stream could be effectively controlled further by a combustion 
device without an unreasonable cost burden. The use of the TRE index 
applicability measure provides an incentive for pollution prevention by 
letting a facility consider alternatives to installing add-on control 
devices. Facilities can choose to improve product recovery so that the 
calculated TRE index falls above the cutoff value of 1.0.
    The technology underlaying RACT for SOCMI reactor processes and 
distillation operations processes is combustion via either thermal 
incineration or flaring. These control techniques generally achieve the 
highest emission reduction among demonstrated VOC technologies. The EPA 
believes that a thermal incinerator that is well operated and 
maintained according to manufacturer's specifications can achieve at 
least 98 percent control efficiency, by weight. Likewise, flares that 
conform with the design and operating specifications set forth in 40 
CFR 60.18, can achieve at least 98 percent control, by weight, of VOC 
emissions.

II. Analysis of State Submittal

    The Illinois SOCMI rules affect vent streams associated with 
continuous reactor and distillation operation processes that 
manufacture a SOCMI chemical, as listed in Appendix A of Illinois' 
Rules and Regulations for Air Pollution Control (35 IAC 218 and 219), 
if the chemical is a ``primary product.'' The rules exclude any reactor 
or distillation unit that (1) is part of a polymer manufacturing 
operation, (2) is included in a batch operation, (3) has a total design 
capacity of less than 1,100 tons per year for the ``primary product'', 
(4) has a primary product not listed in Appendix A, (5) has a vent 
stream VOC concentration of less than 500 parts per million by volume 
or a flow rate of less than 0.0085 standard cubic meter per minute, or 
(6) is included in the hazardous air pollutants early reduction 
program, as specified in 40 CFR Part 63 and published at 50 FR 60970 on 
October 22, 1993. Any other process vent stream from a reactor process 
or distillation operations process in SOCMI that does not satisfy the 
above exclusion criteria must perform a TRE determination. If the TRE 
index value, calculated at a point immediately after the associated 
recovery device, is less than or equal to 1.0, then VOC emissions (less 
methane and ethane) must be reduced by 98 percent by weight or to 20 
parts per million by volume, on a dry basis, corrected to 3 percent 
oxygen. The compliance date in the Illinois rule is March 15, 1996.
    While Illinois' SOCMI reactor and distillation rules generally 
require RACT level control efficiencies, the rules' applicability 
provision is significantly less stringent than RACT for two reasons. 
The first is the concept of ``primary product'' as defined in the State 
rules, and the second is the list of SOCMI chemicals provided in the 
State rules.
    ``Primary product,'' as defined in at 35 IAC 211.5065, means the 
``product with the greatest annual design capacity on a mass basis''; 
or in the case of a flexible operation unit, the product which is 
produced for the greatest annual operating time. Section 218/
219.431(a)(1) of the Illinois rules states that sources are only 
subject if one of the listed chemicals is produced as the

[[Page 32696]]

primary product. RACT, as specified in the CTG, requires sources to 
comply if they produce one or more SOCMI chemicals as intermediates or 
final products. Illinois' rule is less stringent than RACT because the 
production of SOCMI chemicals as intermediates does not contribute to 
applicability. Stepan Company's Millsdale facility is an exception to 
this provision. Section 218.431(a)(2) states that all continuous 
distillation and reactor process emission units at Stepan Company's 
Millsdale facility are subject, unless they are already subject to the 
State's Air Oxidation Processes rules.
    The place where the ``primary product'' concept makes the 
applicability of the Illinois rules less stringent than that of RACT is 
in Section 218/219.431(b)(4) of the Illinois rules. This section 
exempts units that have a design capacity of less than 1100 tons per 
year of the primary product, and exempts units, no matter how large, if 
the primary product is not a SOCMI chemical. The CTG calls for this 
exemption to apply to units with a design capacity of less than 1100 
tons per year of all chemicals produced within the unit. Because of 
this language, the State rules could exempt sources that would be 
covered under RACT, as specified in the CTG. For example, if a source 
were producing 1500 tons per year of chemicals, but only 1000 tons of 
the primary product, the source would be exempt under the State rule 
but would not be exempt under RACT level rules. Also, if a source 
produced 4,000 tons of a SOCMI chemical, it could still be exempted 
from the Illinois rules if it also produced 5,000 tons of a non-SOCMI 
primary product.
    The concept of ``primary product'' can also be found other places 
in the State rule. The definition of ``Chemical Manufacturing Process 
Unit'' (Section 211.980) states that ``a chemical manufacturing process 
unit is identified by its primary product.'' This definition further 
clarifies the rule's intent that units producing SOCMI chemicals, but 
not as the primary product, be exempt from control requirements.
    The second problem with the State rules is the list of SOCMI 
chemicals contained in 35 IAC 218, Appendix A. The list of chemicals in 
this appendix is referenced in the State SOCMI reactor and distillation 
rules for applicability purposes. In other words, for a unit to be 
covered under the State rules, its primary product must be a chemical 
listed in Appendix A. The problem is that the list in Appendix A does 
not match the list in the CTG. The result is that a large percentage of 
the chemicals which would be covered under RACT are not covered by the 
Illinois rules. (Note that 35 IAC 218, Appendix A, is not part of this 
rulemaking action. It was previously approved by the EPA on September 
9, 1994, at 59 FR 46562.)
    It is not totally clear how these deviations from RACT will affect 
the general applicability of the Illinois rule, as compared to a RACT-
level rule. However, documentation submitted by the IEPA and by Stepan 
Company show that, for Stepan Company's Millsdale Facility, the 
Illinois SOCMI reactor and distillation rule is as stringent as RACT. 
All units at this facility which would be covered by a RACT-level rule 
are covered by the Illinois rule.

III. Final Rulemaking Action

    The EPA approves, solely as it relates to Stepan Company's 
Millsdale facility, the plan revision submitted to EPA by the State of 
Illinois on May 5, 1995, and May 26, 1995, for reactor processes and 
distillation operations processes in SOCMI. While the limits contained 
in the rule are generally of RACT stringency, the rule's applicability 
is extremely limited and may not apply to all sources which should be 
covered by RACT rules. Illinois has shown, however, that the rule 
applies to all sources at Stepan Company's Millsdale facility which 
would be covered by a RACT rule, and is thus approvable. The EPA will 
take action on other aspects of the submittal at a later date.
    The EPA is publishing this action without prior proposal because 
EPA views this as a noncontroversial revision and anticipates no 
adverse comments. However, in a separate document in this Federal 
Register publication, the EPA is proposing to approve the SIP revision 
should adverse or critical comments be filed. This action will be 
effective on August 18, 1997 unless, by July 17, 1997, adverse or 
critical comments are received.
    If the EPA receives such comments, this action will be withdrawn 
before the effective date by publishing a subsequent rulemaking that 
will withdraw the final action. All public comments received will be 
addressed in a subsequent final rule based on this action serving as a 
proposed rule. The EPA will not institute a second comment period on 
this action. Any parties interested in commenting on this action should 
do so at this time. If no such comments are received, the public is 
advised that this action will be effective on August 18, 1997.
    Nothing in this action should be construed as permitting, 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.

IV. Administrative Requirements

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 D. Nichols, Assistant Administrator 
for Air and Radiation. The Office of Management and Budget (OMB) has 
exempted this regulatory action from Executive Order 12866 review.

B. Regulatory Flexibility

    Under the Regulatory Flexibility Act, 5 U.S.C. section 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. sections 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 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 Act, preparation of a flexibility analysis would 
constitute Federal inquiry into the economic reasonableness of the 
State action. The Clean Air Act forbids EPA to base its actions 
concerning SIPs on such grounds. Union Electric Co. v. EPA., 427 U.S. 
246, 256-66 (1976); 42 U.S.C. 7410(a)(2).

C. Unfunded Mandates

    Under section 202 of the Unfunded Mandates Reform Act of 1995, 
signed into law on March 22, 1995, EPA must undertake various actions 
in association with 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. This Federal action approves pre-existing requirements under 
state or

[[Page 32697]]

local law, and imposes no new requirements. Accordingly, no additional 
costs to state, local, or tribal governments, or the private sector, 
result from this action.

D. Petitions for Judicial Review

    Under section 307(b)(1) of the Act, petitions for judicial review 
of this action must be filed in the United States Court of Appeals for 
the appropriate circuit by August 18, 1997. Filing a petition for 
reconsideration by the Administrator of this final rule does not affect 
the finality of this rule for the purposes of judicial review nor does 
it extend the time within which a petition for judicial review may be 
filed, and shall not postpone the effectiveness of such rule or action. 
This action may not be challenged later in proceedings to enforce its 
requirements. (See section 307(b)(2).)

List of Subjects in 40 CFR Part 52

    Environmental protection, Air pollution control, Incorporation by 
reference.

    Dated: May 9, 1997.
Valdas V. Adamkus,
Regional Administrator.

    For the reasons stated in the preamble, part 52, chapter I, title 
40 of the Code of Federal Regulations is amended as follows:

PART 52--[AMENDED]

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

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

Subpart O--Illinois

    2. Section 52.720 is amended by adding paragraph (c)(134) to read 
as follows:


Sec. 52.720  Identification of plan.

* * * * *
    (c) * * *
    (134) On May 5, 1995, and May 26, 1995, the State of Illinois 
submitted a State Implementation Plan revision request to the United 
States Environmental Protection Agency for reactor processes and 
distillation operation processes in the Synthetic Organic Chemical 
Manufacturing Industry as part of the State's control measures for 
Volatile Organic Material (VOM) emissions for the Chicago and Metro-
East (East St. Louis) areas. VOM, as defined by the State of Illinois, 
is identical to ``volatile organic compounds'' (VOC), as defined by 
EPA. This plan was submitted to meet the Clean Air Act requirement for 
States to adopt Reasonably Available Control Technology rules for 
sources that are covered by Control Techniques Guideline documents. The 
EPA approves the State Implementation Plan revision request as it 
applies to Stepan Company's Millsdale Facility.
    (i) Incorporation by reference. Illinois Administrative Code, Title 
35: Environmental Protection, Subtitle B: Air Pollution, Chapter I: 
Pollution Control Board, Subchapter c: Emissions Standards and 
Limitations for Stationary Sources.
    (A) Part 211: Definitions and General Provisions, Subpart B; 
Definitions, 211.980 Chemical Manufacturing Process Unit, 211.1780 
Distillation Unit, 211.2365 Flexible Operation Unit, 211.5065 Primary 
Product.
    (B) Part 218: Organic Material Emission Standards and Limitations 
for the Chicago Area, Subpart Q: Synthetic Organic Chemical and Polymer 
Manufacturing Plant, Sections 218.431 Applicability, 218.432 Control 
Requirements, 218.433 Performance and Testing Requirements, 218.434 
Monitoring Requirements, 218.435 Recordkeeping and Reporting 
Requirements, 218.436 Compliance Date, 218 Appendix G, TRE Index 
Measurement for SOCMI Reactors and Distillation Units, amended at 19 
Ill. Reg. 6848, effective May 9, 1995.

[FR Doc. 97-15848 Filed 6-16-97; 8:45 am]
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