[Federal Register Volume 64, Number 88 (Friday, May 7, 1999)]
[Notices]
[Pages 24647-24648]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-11563]


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ENVIRONMENTAL PROTECTION AGENCY

[FRL-6337-7]


Air Pollution Control; Proposed Action on Clean Air Act Grant to 
the Santa Barbara County Air Pollution Control District

AGENCY: Environmental Protection Agency (EPA).

ACTION: Notice; proposed determination with request for comments and 
notice of opportunity for public hearing.

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SUMMARY: The U.S. EPA has made a proposed determination under section 
105(c) of the Clean Air Act (CAA) that a reduction in expenditures of 
non-Federal funds for the Santa Barbara County Air Pollution Control 
District (SBAPCD, or ``District'') in Santa Barbara, California is the 
result of a non-selective reduction in expenditures. This 
determination, when final, will permit the SBAPCD to be awarded 
financial assistance for FY-99 by EPA, under section 105(c) of the CAA.

DATES: Comments and/or requests for a public hearing must be received 
by EPA at the address stated below by June 7, 1999.

ADDRESSES: All comments and/or requests for a public hearing should be 
mailed to: Sara Bartholomew, Grants and Program Integration Office 
(AIR-8), Air Division, U.S. EPA Region 9, 75 Hawthorne Street, San 
Francisco, California 94105-3901; FAX (415) 744-1076.

FOR FURTHER INFORMATION CONTACT: Sara Bartholomew, Grants and Program 
Integration Office (AIR-8), Air Division, U.S. EPA Region 9, 75 
Hawthorne Street, San Francisco, California 94105-3901 at (415) 744-
1250.

SUPPLEMENTARY INFORMATION: Under the authority of section 105 of the 
CAA, EPA provides financial assistance (grants) to the SBAPCD to aid in 
the operation of its air pollution control programs. In FY-98, EPA 
awarded the SBAPCD $422,000, which represented approximately 10% of the 
District's budget.
    Section 105(c)(1) of the CAA, 42 U.S.C. 7405(c)(1), provides that 
``[n]o agency shall receive any grant under this section during any 
fiscal year when

[[Page 24648]]

its expenditures of non-Federal funds for recurrent expenditures for 
air pollution control programs will be less than its expenditures were 
for such programs during the preceding fiscal year. In order for [EPA] 
to award grants under this section in a timely manner each fiscal year, 
[EPA] shall compare an agency's prospective expenditure level to that 
of its second preceding year.'' EPA may still award financial 
assistance to an agency not meeting this requirement, however, if EPA, 
``after notice and opportunity for public hearing, determines that a 
reduction in expenditures is attributable to a non-selective reduction 
in the expenditures in the programs of all Executive branch agencies of 
the applicable unit of Government.'' CAA section 105(c)(2). These 
statutory requirements are repeated in EPA's implementing regulations 
at 40 CFR 35.210(a).
    In its FY-99 section 105 application, SBAPCD projected expenditures 
of non-Federal funds for recurrent expenditures (or its maintenance of 
effort (MOE)) of $3,285,988. This amount represents a shortfall of 
$133,552 from the actual FY-98 MOE of $3,419,540. In order for the 
District to be eligible to be awarded its FY-99 grant, EPA must make a 
determination under Sec. 105(c)(2).
    The SBAPCD is a single-purpose agency whose primary source of 
funding is permit fee revenue. Fees associated with permits issued by 
the SBAPCD go directly to the district to fund its operations. It is 
the ``unit of Government'' for section 105(c)(2) purposes. The SBAPCD 
submitted documentation to EPA which shows that air permit fee revenues 
have continued to decrease due to emission reductions from permitted 
sources and a decline in oil and gas activity. As a result, the 
SBAPCD's overall budget and its MOE decreased. The SBAPCD also 
submitted documentation to EPA which shows that the District lost 12.75 
staff positions since FY97. These reductions in fees and staff have 
been non-selective in that all programs within SBAPCD have been 
impacted.
    In summary, the SBAPCD's MOE reductions resulted from budget cuts 
stemming from a loss of fee revenues due to circumstances beyond the 
District's control. EPA proposes to determine that the SBAPCD's lower 
FY-99 MOE level meets the section 105(c)(2) criteria as resulting from 
a non-selective reduction of expenditures. Pursuant to 40 CFR 35.210, 
this determination will allow the SBAPCD to be awarded financial 
assistance for FY-99.
    This document constitutes a request for public comment and an 
opportunity for public hearing as required by the Clean Air Act. All 
written comments received by June 7, 1999 on this proposal will be 
considered. EPA will conduct a public hearing on this proposal only if 
a written request for such is received by EPA at the address above by 
June 7, 1999.
    If no written request for a hearing is received, EPA will proceed 
to the final determination. While notice of the final determination 
will not be published in the Federal Register, copies of the 
determination can be obtained by sending a written request to Sara 
Bartholomew at the above address.

    Dated: April 23, 1999.
David P. Howekamp,
Director, Air Division, Region 9.
[FR Doc. 99-11563 Filed 5-6-99; 8:45 am]
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