[Federal Register Volume 62, Number 127 (Wednesday, July 2, 1997)]
[Proposed Rules]
[Pages 35756-35759]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-17372]


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

ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[MO-025-1025; FRL-5852-2]


Approval and Promulgation of Implementation Plans; State of 
Missouri

AGENCY: Environmental Protection Agency (EPA).

ACTION: Proposed rule.

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

SUMMARY: The EPA proposes to approve two regulations which are 
components of Missouri's State Implementation Plan (SIP) to meet the 
15% Rate-of-Progress Plan (15% Plan, or ROPP) requirements of section 
182(b)(1)(A) of the Clean Air Act (CAA), as amended (the Act). 
Specifically, the EPA is proposing to approve Missouri rules 10 CSR 10-
5.443, ``Control of Gasoline Reid Vapor Pressure,'' and 10 CSR 10-
5.490, ``Municipal Solid Waste Landfills'' (MSWL). The implementation 
of these rules will achieve reductions in the emissions of volatile 
organic compounds (VOC) of approximately 7.76 tons per day (TPD), or 
approximately 14 percent of the reductions required with the St. Louis 
ozone nonattainment area. Final action on these regulations will 
incorporate them into the Federally approved SIP.

DATES: Comments on this proposed action must be received in writing by 
August 1, 1997.

ADDRESSES: Comments may be mailed to Royan W. Teter, Environmental 
Protection Agency, Air Planning and Development Branch, 726 Minnesota 
Avenue, Kansas City, Kansas 66101.

FOR FURTHER INFORMATION CONTACT: Royan W. Teter at (913) 551-7609.


[[Page 35757]]



SUPPLEMENTARY INFORMATION: On March 18,1996, the EPA proposed a 
limited approval and limited disapproval (61 FR 10968)of the SIP 
submitted by the state of Missouri to meet the 15% Plan 
requirements of section 182(b)(1)(A) of the CAA, as amended (the 
Act). The EPA also proposed conditional approval for two individual 
components of the 15% Plan. The EPA proposed a limited approval 
because the 15% Plan, submitted by Missouri, will result in 
significant emission reductions from the 1990 baseline and, thus, 
will improve air quality. The EPA proposed a limited disapproval of 
the 15% Plan because it failed to demonstrate sufficient reductions 
of VOCs to meet the 15% ROPP requirements.

    Certain circumstances have arisen which the EPA believes make it 
appropriate to repropose approval for two regulations which make up a 
portion of Missouri's 15% Plan. What follows is an explanation of these 
circumstances and a summary of the technical basis for the EPA's 
proposal. A more detailed discussion is presented in the EPA's 
Technical Support Document (TSD).

I. 10 CSR 10-5.443, ``Control of Gasoline Reid Vapor Pressure'' 
(RVP)

    RVP is a measure of a fuel's volatility. It reflects the rate at 
which gasoline evaporates and VOC emissions occur as it is directly 
proportional to the rate of evaporation. Hence, the lower the RVP, the 
lower the rate of evaporation. RVP restrictions during the summer 
months can help offset the effect of summer temperatures upon the 
volatility of gasoline which, in turn, lowers emissions of VOCs. VOC 
emissions are an important component in the production of ground level 
ozone during the hot summer months. Hence, further restricting the 
allowable RVP of gasoline sold within the St. Louis nonattainment area 
will help the state's effort to attain and maintain compliance with the 
National Ambient Air Quality Standard (NAAQS) for ozone.

A. Background

    In 1994, Missouri proposed the RVP rule as an interim and immediate 
strategy to reduce VOC emissions and was not intended as a permanent 
and long-term component of the 15% Plan. As such, the 1994 7.2 pounds 
per square inch (psi) low RVP rule was not submitted to the EPA prior 
to the 1994 ozone season and was not Federally enforceable. The 
proposed rule was not intended to imply a preference for either low RVP 
or reformulated gasoline (RFG) as a fuel control strategy for 1995 and 
beyond. Missouri adopted an RVP strategy in light of the expediency 
with which it could be implemented to reduce VOC emissions in the St. 
Louis area. It was also recognized that the RVP of southern grade RFG 
is limited to a maximum of 7.2 psi RVP. An RVP limit of 7.2 psi for 
conventional gasoline would have an immediate impact on air quality 
while still providing the flexibility to opt into the RFG program, if 
the state legislature grants the enabling authority to select RFG as a 
fuel control strategy for St. Louis.
    Almost immediately after the proposed 7.2 psi RVP rule was adopted 
by Missouri Air Conservation Commission (MACC) in March 1994, the state 
resumed discussions with several petroleum industry representatives on 
the option of further restricting the RVP of St. Louis's gasoline. An 
agreement was reached regarding the 15% Plan for the St. Louis area, 
which included lowering gasoline RVP control to 7.0 psi, as provided in 
the current state rule.
    To meet the 15% VOC emission reduction requirement of the CAA, as 
well as to demonstrate attainment of the ozone standards by 1996, the 
Missouri Department of Natural Resources (MDNR) evaluated the Region's 
emission inventory to determine the feasibility of controlling 
emissions from all source categories. The selected emission controls 
were required to be timely, effective, and enforceable. Missouri 
investigated additional controls for a broad range of source categories 
including mobile sources, fuel distribution, fuel consumption, 
automobile refinishing, architectural surface coating, solvent 
cleaning, lithographic and graphic art processes, open burning, 
pesticide application, and several categories subject to Federal air 
toxics regulations. Based on the investigation of these and other 
potential emission control measures, Missouri concluded that a motor 
vehicle fuel control measure would be necessary to meet the CAA 
requirements for the St. Louis ozone nonattainment area. As such, 
Missouri revised the St. Louis RVP rule, thereby establishing an RVP 
limit of 7.0 psi with a 1 psi waiver for gasoline containing at least 9 
percent, but no more than 10 percent, ethanol. The revised rule became 
effective on May 28, 1995, and was incorporated into Missouri's 15% 
Plan; however, Missouri did not address the prohibition of RVP 
restrictions beyond those established at the Federal level as 
prescribed in section 211(c)(4)(A) of the CAA or the provisions in 
section 211(c)(4)(C) which allow for a waiver from the prohibition 
under certain circumstances. Likewise, the EPA did not address these 
issues in its March 18, 1996, proposal. Missouri has since addressed 
the requirements of the Act; thus, the EPA believes it appropriate to 
repropose approval of Missouri's RVP rule. What follows is a discussion 
of the requirements of the CAA and a description of how Missouri 
addressed these requirements.

B. Regulatory History

    In August 1987, the EPA first proposed in the Federal Register (FR) 
a two-phase national program to reduce summertime gasoline volatility 
(52 FR 31274). The EPA's proposal resulted in a two-phase final 
regulation which was incorporated into the 1990 Amendments to the CAA 
in section 211(h). Phase I of the regulation took effect in 1990 for 
the years 1990 and 1991. Phase II of the regulation took effect in May 
1992 (55 FR 23658). The rule separated areas of the country into two 
regions identified as Class B and Class C. Generally, Class B states 
are the warmer southern and western states, and Class C states are the 
cooler northern states. Some ozone nonattainment areas were also 
required to meet more stringent RVP requirements. For Class B 
geographical areas such as St. Louis, the Phase II regulation limits 
the volatility of gasoline sold during the high ozone season (June 
through September) to 9.0 and 7.8 psi RVP for attainment and 
nonattainment areas, respectively. Because of its nonattainment status, 
St. Louis was required to comply with 7.8 psi RVP.

C. Necessity Finding

    As noted above, Missouri did not find the Phase II fuel volatility 
control regulation sufficient to ensure expeditious attainment of the 
NAAQS for ozone. A more stringent low RVP requirement was deemed 
necessary to ensure attainment and maintenance of the ozone standard.
    Under sections 211(c) and 211(h) of the CAA, the EPA has 
promulgated nationally applicable Federal standards for RVP levels in 
motor vehicle gasoline. Because a Federal control promulgated under 
section 211(c)(1) applies to the fuel characteristic RVP, nonidentical 
state controls are prohibited under section 211(c)(4). Section 
211(c)(4)(A) of the Act prohibits state regulation respecting a fuel 
characteristic or component for which the EPA has adopted a control or 
prohibition, unless the state control is identical to the Federal 
control. Under section 211(c)(4)(C), the EPA may approve a nonidentical 
state fuel control as a SIP provision, if the state demonstrates that 
the measure is necessary to achieve the

[[Page 35758]]

national primary or secondary ambient air quality standard that the 
plan implements. The EPA can approve a state fuel requirement as 
necessary only if no other measures would bring about timely 
attainment, or if other measures exist but are unreasonable or 
impracticable. While the Missouri low RVP requirement is preempted by 
the Federal RVP requirements, the state can implement the low RVP 
requirement if the EPA finds it necessary and approves it as a revision 
to the SIP.
    On February 4, 1997, MDNR submitted to EPA Region VII a draft 
revision to the 15% ROPP in which the state requested authorization to 
regulate fuel volatility, in accord with section 211(c)(4)(C). Included 
in the submittal were materials providing justification for requesting 
an exemption under section 211(c)(4)(C) of the CAA. A public hearing in 
regards to the SIP was held on February 27, 1997. The SIP revision was 
adopted by the MACC on March 27, 1997, and submitted to the EPA on May 
8, 1997.
    In its submittal, Missouri showed that additional VOC reductions 
are needed to address St. Louis's recent history of nonattainment 
problems and to ensure attainment of the ozone NAAQS in the 
nonattainment area. While the area is designated as a moderate 
nonattainment area, the St. Louis area is currently in danger of being 
classified as a serious ozone nonattainment area due to exceedances 
occurring since 1993. Missouri estimates that the area needs to achieve 
approximately 53.8 tons per day of VOC reductions to attain the ozone 
NAAQS. Because emission trends continue to increase, the state believes 
it is important that control measures producing a significant portion 
of the needed reduction be implemented and enforceable in time to 
reduce emissions beginning in the 1997 ozone season. Otherwise, there 
is a significant risk of exceedances and violations in 1997, and this 
risk will increase over time. The EPA agrees that an important 
criterion in evaluating the reasonableness of each control measure is 
whether it will achieve significant emission reductions in the near 
term, beginning in the 1997 and 1998 ozone seasons.
    Missouri evaluated a broad range of available control measures to 
determine whether there are sufficient reasonable and practicable 
measures available to produce the needed emissions reductions without 
requiring low RVP gasoline. In addition to assessing the quantity of 
emission reductions attributable to each control measure, the state 
also considered the time needed for implementation and cost 
effectiveness of each measure in evaluating the reasonableness and 
practicability of the other control measures in comparison to the low 
RVP gasoline requirements. Missouri found that a 7.0 psi RVP 
requirement would produce an estimated 6.28 tons per day of VOC 
emissions reductions. Based on the state's evaluation, the EPA finds 
that there are not sufficient other reasonable and practicable measures 
available to produce the quantity of emissions reductions needed to 
continue to achieve the NAAQS, and thus a low RVP requirement is 
necessary.
    Although, as mentioned previously, the state's adoption of a low 
RVP requirement would not preclude the state from subsequently opting 
in to the RFG program, Missouri's submittal did not include a 
demonstration that RFG is unreasonable. Missouri noted that RFG is not 
available in St. Louis as a matter of state law, since its enabling 
legislation does not allow it to establish both an RFG program and an 
enhanced motor vehicle inspection and maintenance program.
    The EPA concurs with the state's analysis and its implicit 
determination that ``other measures'' (as specified in section 
211(c)(4)) need not encompass other state fuel measures including state 
opt-in to Federal RFG. The Agency believes that the Act does not 
require a state to demonstrate that other fuel measures are 
unreasonable or impracticable, but rather section 211(c)(4) is intended 
to ensure that a state resorts to a fuel measure only if there are no 
available practicable and reasonable nonfuels measures. Thus, in 
demonstrating that measures other than requiring low RVP gasoline are 
unreasonable or impracticable, a state is not required to submit a 
demonstration that other state fuel requirements or state opt-in to RFG 
are unreasonable or impracticable. This interpretation resolves the 
ambiguity of the phrase ``other measures'' and reasonably balances the 
interests underlying the statutory preemption provision. In addition, 
the result preserves the state's role, specified in section 101(a)(3) 
of the Act, as the entity primarily responsible for determining the mix 
of controls to be used to achieve the required emission reductions.
    The state has already implemented virtually every other reasonably 
available control measure. Other measures that could achieve emission 
reductions (such as Graphic Arts, Pesticide Application, Aircraft 
Emissions, Stage II Vapor Recovery, Marinas, Breweries, Asphalt 
Application, Barge Loading, Unloading, and Transport) would only 
achieve a small portion of the needed emission reductions. A detailed 
discussion of Missouri's findings relative to the emission reduction 
potential of each of these measures can be found in the EPA's TSD, as 
well as a detailed discussion of the EPA's necessity finding.

D. Analysis of the Rule

    The Missouri rule specifies that no person shall dispense, supply, 
exchange in trade, offer for sale or supply, and sell or store gasoline 
used as a fuel for motor vehicles that has an RVP greater than 7.0 psi, 
or 8.0 psi for gasoline containing at least 9.0 percent by volume but 
not more than 10.0 percent by volume of ethanol. This rule applies 
beginning June 1 through September 15 of each year.
    In addition, facilities other than a gasoline dispensing facility 
shall keep and maintain at the facility, for two years following the 
date of the RVP test, records of the information regarding the RVP of 
gasoline that is to be used as a fuel for motor vehicles.
    Gasoline used exclusively for fueling implements of agriculture and 
gasoline in any tank, reservoir, storage vessel, or other stationary 
container with a nominal capacity of 500 gallons or less shall be 
exempt from this regulation.
    The sampling procedures and test methods are consistent with the 
EPA recommendations as described in 40 CFR part 80, Appendices D, E, 
and F.

II. 10 CSR 10-5.490, ``Municipal Solid Waste Landfills''

A. Background

    On March 12, 1996, the EPA adopted New Source Performance Standards 
for Municipal Solid Waste Landfills (Title 40 CFR part 60, subpart WWW) 
and Emission Guidelines (EG) and Compliance Times for Municipal Solid 
Waste Landfills (Title 40 CFR part 60, subpart Cc). The subpart Cc EGs 
apply to existing MSWLs.
    Six MSWLs are located in the St. Louis area. Landfills emit VOCs, 
including methane, through the decomposition of solid waste. The 1990 
base year inventory indicates the nonmethane VOCs emitted from these 
six landfills are 1.51 TPD. At the time of the EPA's previous proposal 
on Missouri's 15% Plan, the submitted plan included only a discussion 
of a rule which would result in a 1.48 TPD reduction in VOC emissions 
within the St. Louis nonattainment area. In part, the delay in adopting 
a final rule was related to the state's plans to model its rule after 
the EPA emission standards which at the time, were yet to be 
promulgated. Final promulgation of the

[[Page 35759]]

EPA's emission standards for landfills was significantly delayed. In an 
October 21, 1994, letter to Gale Wright, then Chief of the EPA Air 
Branch, from Roger Randolph, Director, MDNR, Air Pollution Control 
Program, the state committed to developing this rule with 
implementation in 1996. The state had made every effort to move forward 
with this rule despite delays in the promulgation of the EPA's emission 
standards. Missouri submitted a draft of a rule for the EPA comment on 
May 17, 1995. The EPA provided comments on the draft rule in June 1995. 
Noting the state's progress, the EPA proposed to conditionally approve 
the emissions reduction credit claimed in the submitted 15% Plan. Final 
approval was subject to the state's submittal of a final rule by no 
later than November 15, 1996. The public hearing for 10 CSR 10-5.490 
was held July 25, 1996. The MACC adopted 10 CSR 10-5.490, ``Municipal 
Waste Landfills,'' on August 29, 1996, and the rule became effective on 
December 30, 1996. The final rule was submitted to the EPA on February 
24, 1997. Because the final rule was not available at the time of the 
EPA's previous proposal and the state has met the condition for final 
approval prior to the EPA having taken final action on the March 18, 
1996, proposal it is necessary to repropose action on this element of 
Missouri's 15% Plan.

B. Analysis of the Rule

    Rule 10 CSR 5.490, ``Municipal Solid Waste Landfills,'' covers the 
St. Louis nonattainment area. This rule meets or exceeds the 
requirements of the EG. The EG requires that landfills having design 
capacities of two and a half (2.5) million Mg by mass or greater and 
NMOC emissions of 50 Mg or greater shall install a gas collection and 
control system. Rule 10 CSR 10-5.490 is more stringent in that it 
applies to landfills having a design capacity of one million Mg by mass 
or greater and NMOC emissions of 25 Mg per year. A detailed analysis of 
the state's rule can be found in the EPA's TSD.

III. Proposed Action

    By this action, the EPA proposes to approve Missouri rules 10 CSR 
10-5.443, ``Control of Gasoline Reid Vapor Pressure,'' and 10 CSR 10-
5.490, ``Municipal Solid Waste Landfills,'' as part of Missouri's SIP 
to meet the 15% ROPP requirements of section 182(b)(1)(A) of the CAA. 
This proposed SIP revision meets the requirements of section 110 and 
Part D of Title I of the CAA and 40 CFR part 51.
    As indicated above, this action proposes approval of two rules 
submitted as part of Missouri's 15% Plan. The EPA, as explained 
previously, had proposed to approve or conditionally approve the 
regulations included in the 15% Plan, and to give limited approval and 
limited disapproval to the reductions claimed in the 15% Plan. The 
rationale was detailed in the March 18, 1996, proposal also referenced 
previously in this notice. The EPA is considering taking final action 
on the regulations in the 15% Plan, including the specific regulations 
described in this notice, as a separate action from the final action on 
the 15% reduction credits. The EPA also requests comments on whether 
the regulations may be acted on separately from the 15% reduction 
credits.
    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.

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 FR 
on January 19, 1989 (54 FR 2214-2225), as revised by a July 10, 1995, 
memorandum from Mary Nichols, Assistant Administrator for Air and 
Radiation. The Office of Management and Budget has exempted this 
regulatory action from Executive Order 12866 review.

B. Regulatory Flexibility Act

    Under the Regulatory Flexibility Act, 5. U.S.C. 600 et seq., the 
EPA must prepare a regulatory flexibility analysis assessing the impact 
of any proposed or final rule on small entities (5 U.S.C. 603 and 604). 
Alternatively, the 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.
    This Federal action authorizes and approves into the Missouri SIP 
requirements previously adopted by the state, and imposes no new 
requirements. Therefore, 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 regulatory flexibility analysis would constitute 
Federal inquiry into the economic reasonableness of state action. The 
CAA forbids the EPA to base its actions concerning SIPs on such grounds 
(Union Electric Co. v. U.S. E.P.A., 427 U.S. 246, 256-66 (S.Ct. 1976); 
42 U.S.C. 7410(a)(2)).

C. Unfunded Mandates

    Under section 202 of the Unfunded Mandates Reform Act of 1995 
(``Unfunded Mandates Act''), signed into law on March 22, 1995, the 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 
private sector, of $100 million or more. Under section 205, the 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 the EPA to establish a 
plan for informing and advising any small governments that may be 
significantly or uniquely impacted by the rule.
    The 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 authorizes and approves into 
the Missouri SIP requirements previously adopted by the state, and 
imposes no new 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 52

    Environmental protection, Air pollution control, Carbon monoxide, 
Hydrocarbons, Incorporation by reference, Intergovernmental relations, 
Lead, Nitrogen dioxide, Ozone, Particulate matter, Reporting and 
recordkeeping requirements, Sulfur oxides, Volatile organic compounds.

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

    Dated: June 20, 1997.
William Rice,
Acting Regional Administrator.
[FR Doc. 97-17372 Filed 7-1-97; 8:45 am]
BILLING CODE 6560-50-P