[Federal Register Volume 67, Number 16 (Thursday, January 24, 2002)]
[Rules and Regulations]
[Pages 3435-3440]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-1493]


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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 80

[FRL-7130-9]
RIN 2060-AJ80


Relaxation of Summer Gasoline Volatility Standard for the Denver/
Boulder Area

AGENCY: Environmental Protection Agency (EPA).

ACTION: Direct final rule.

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SUMMARY: In this direct final action, EPA is approving the State of 
Colorado's request to relax the federal Reid Vapor Pressure (``RVP'') 
gasoline standard that applies to gasoline supplied to the Denver/
Boulder area (hereafter ``Denver area'') from June 1st to September 
15th (the ozone control season) of each year. This action amends our 
regulations to change the summertime RVP standard for the Denver area 
from 7.8 pounds per square inch (``psi'') to 9.0 psi. EPA has 
determined that this change to our federal RVP regulations is 
consistent with criteria EPA has enumerated for making such changes: 
that the State has demonstrated it has sufficient alternative programs 
to attain and maintain the National Ambient Air Quality Standards for 
ozone; and that amendments are appropriate to avoid adverse local 
economic impacts.

DATES: This direct final rule is effective on March 25, 2002 without 
further notice, unless EPA receives substantive adverse comments by 
February 25, 2002. If substantive adverse comments are received, EPA 
will publish a timely withdrawal of the direct final rule in the 
Federal Register and inform the public that the rule will not take 
effect.

ADDRESSES: Any person wishing to submit comments should submit a copy 
to both dockets listed below, and if possible, should also submit a 
copy to Richard Babst, U.S. Environmental Protection Agency, 
Transportation and Regional Programs Division, 1200 Pennsylvania 
Avenue, NW., (Mail Code: 6406J), Washington, DC 20460.
    Public Docket: Materials relevant to this rule are available for 
inspection in public docket A-2001-26 at the Air Docket Office of the 
EPA, Room 
M-1500, 401 M Street, SW., Washington, DC 20460, (202) 260-7548, 
between the hours of 8 a.m. to 5:30 p.m., Monday through Friday. A 
duplicate docket CO-RVP-02 has been established at U.S. EPA Region 
VIII, 999 18th Street, Suite 300, Denver, CO, 80202-2466, and is 
available for inspection during normal business hours. Interested 
persons wishing to examine the documents in docket number CO-RVP-02 
should contact Kerri Fiedler at (303) 312-6493 at least 24 hours before 
the visiting day. As provided in 40 CFR part 2, a reasonable fee may be 
charged for copying docket material.

FOR FURTHER INFORMATION CONTACT: Richard Babst at (202) 564-9473 
facsimile: (202) 565-2085, e-mail address: [email protected]

SUPPLEMENTARY INFORMATION:
    Plain language: Throughout this document wherever ``we'', ``us'', 
or ``our'' are used we mean the Environmental Protection Agency.
    Regulated Entities: Entities potentially affected by this rule are 
fuel producers and distributors. Regulated categories include:

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                                                Examples of regulated
                 Category                             entities
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Industry..................................  Gasoline refiners and
                                             importers, gasoline
                                             terminals, gasoline
                                             truckers, blenders,
                                             gasoline retailers and
                                             wholesale purchaser-
                                             consumers.
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    To determine whether you are affected by this rule, you should 
carefully examine the requirements in section 80.27(a)(2) of title 40 
of the Code of Federal Regulations (``CFR''). If you have any questions 
regarding the applicability of this action to a particular entity, you 
should consult the person listed in the preceding FOR FURTHER 
INFORMATION CONTACT section.
    Electronic Copies of Rulemaking: A copy of this action is available 
on the Internet at http://www.epa.gov/otaq under the title: Relaxation 
of Summer Gasoline Volatility Standard for Denver/Boulder Area.

I. Background

A. History of Gasoline Volatility Regulation

    In 1987, we determined that gasoline nationwide had become 
increasingly volatile, causing an increase in evaporative emissions 
from gasoline-powered vehicles and equipment. Evaporative emissions 
from gasoline,

[[Page 3436]]

referred to as volatile organic compounds (``VOCs''), are precursors 
for the formation of tropospheric ozone and contribute to the nation's 
ground-level ozone problem. Ground-level ozone causes health problems, 
including damaged lung tissue, reduced lung function, and lung 
sensitization to other pollutants.
    The most common measure of fuel volatility that is useful in 
evaluating gasoline evaporative emissions is the Reid Vapor Pressure 
(``RVP''). Under authority in section 211(c) of the Clean Air Act 
(CAA), we promulgated regulations on March 22, 1989, that set maximum 
limits for the RVP of gasoline sold during the summer ozone control 
season--June 1 to September 15. These regulations were referred to as 
Phase I of a two-phase nationwide \1\ program, which was designed to 
reduce the volatility of commercial gasoline during the summer high 
ozone season.\2\ On June 11, 1990, we promulgated more stringent 
volatility controls for Phase II.\3\ These requirements established 
volatility standards of 9.0 psi and 7.8 psi maximum RVP (depending on 
the State, the month, and the area's initial ozone attainment 
designation with respect to the 1-hour ozone National Ambient Air 
Quality Standard or ``NAAQS'') during the ozone control season.
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    \1\ Hawaii, Alaska and U.S. territories were excepted.
    \2\ 54 FR 11868 (Mar. 22, 1989).
    \3\ 55 FR 23658 (June 11, 1990).
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    The 1990 CAA Amendments established a new section 211(h) to address 
fuel volatility. Section 211(h) requires us to promulgate regulations 
making it unlawful to sell, offer for sale, dispense, supply, offer for 
supply, transport, or introduce into commerce gasoline with an RVP 
level in excess of 9.0 psi during the high ozone season. It further 
requires us to establish more stringent RVP standards in non-attainment 
areas if we find such standards ``necessary to generally achieve 
comparable evaporative emissions (on a per vehicle basis) in 
nonattainment areas, taking into consideration the enforceability of 
such standards, the need of an area for emission control, and economic 
factors.'' Section 211(h) prohibits us from establishing a volatility 
standard more stringent than 9.0 psi in an attainment area, except that 
we may impose a lower (more stringent) standard in any former ozone 
non-attainment area redesignated to attainment.
    On December 12, 1991, we modified our Phase II volatility 
regulations to be consistent with section 211(h) of the CAA.\4\ The 
modified regulations prohibit the sale of gasoline with an RVP above 
9.0 psi in all areas designated attainment for ozone, beginning in 
1992. For areas designated as non-attainment, the regulations retained 
the original Phase II standards published in 1990.\5\
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    \4\ 56 FR 64704 (Dec. 12, 1991).
    \5\ See 55 FR 23658 (June 11, 1990).
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    As stated in the preamble for the Phase II volatility controls,\6\ 
and reiterated in the proposed change to the volatility standards 
published in 1991,\7\ we will rely on States to initiate changes to our 
volatility program that they believe will enhance local air quality 
and/or increase the economic efficiency of the program within the 
statutory limits.\8\ In those rulemakings, we explained that the 
Governor of a State may petition us to set a volatility standard less 
stringent than 7.8 psi for some month or months in a non-attainment 
area. The petition must demonstrate such a change is appropriate 
because of a particular local economic impact and that sufficient 
alternative programs are available to achieve attainment and 
maintenance of the 1-hour ozone NAAQS. We have approved such petitions 
to amend the federal RVP regulations for South Carolina \9\ and 
Tennessee.\10\
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    \6\ The Phase II final rulemaking discussed procedures by which 
States could petition EPA for more or less stringent volatility 
standards. See 55 FR 23660 (June 11, 1990).
    \7\ See 56 FR 24242 (May 29, 1991).
    \8\ See CAA section 211(h)(1) (allowing EPA to set a standard 
more stringent than 9.0 psi as necessary to achieve comparative 
emissions in nonattainment areas considering enforceability, the 
need of an area for emissions control and economic factors).
    \9\ 58 FR 46508 (Sept. 1, 1993).
    \10\ 59 FR 15625 (Apr. 4, 1994).
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B. History of Federal RVP Requirements for the Denver Area

    On November 6, 1991, we issued ozone nonattainment designations for 
the 1-hour ozone NAAQS (hereafter ``ozone NAAQS'' or ``ozone 
standard'') pursuant to section 107(d)(4)(A) of the CAA (56 FR 56694). 
In that action, we designated the Denver area as a nonattainment area 
\11\ and classified it as a ``transitional area'' as determined under 
section 185A of the CAA.\12\
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    \11\ The nonattainment area encompasses Denver's entire six-
county Consolidated Metropolitan Statistical Area, with the 
exception of Rocky Mountain National Park in Boulder County and the 
eastern portions of Adams and Arapahoe Counties.
    \12\ Section 185A defines a transitional area as ``an area 
designated as an ozone nonattainment area as of the date of 
enactment of the Clean Air Act Amendments of 1990 [that] has not 
violated the national primary ambient air quality standard for ozone 
for the 36-month period commencing on January 1, 1987, and ending on 
December 31, 1989.'' In fact, according to monitoring data, the 
Denver-Boulder area attained and has continued to maintain the 0.12 
parts per million (ppm) 1-hour standard since 1987.
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    Because we designated the Denver area as a transitional ozone 
nonattainment area, the applicable volatility standard for the Denver 
area, under the Federal RVP rule promulgated on December 12, 1991, was 
9.0 psi RVP in May and 7.8 psi from June 1 to September 15, beginning 
in 1992.\13\ Since 1992, and in response to waiver petitions from the 
Governor of Colorado, we have waived the 7.8 psi RVP requirement for 
the Denver area and have required the less stringent 9.0 psi RVP. In-
depth discussions of these past actions can be found in the applicable 
Federal Register notices.\14\ Our decisions to grant these petitions 
were based on evidence that demonstrated the 7.8 psi standard was not 
necessary given the area's record of continued attainment of the 1-hour 
ozone standard using 9.0 psi RVP gasoline and evidence presented by 
Colorado that showed economic hardship to consumers and industry if the 
7.8 psi standard were retained.
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    \13\ The standard applicable in other areas of Colorado is 9.0 
psi from May 1 to September 15.
    \14\ See 53 FR 26067 (Apr. 30, 1993); 59 FR 15629 (Apr. 4, 
1994); 61 FR 16391 (Apr. 15, 1996); 63 FR 31627 (June 10, 1998); and 
66 FR 28808 (May 24, 2001).
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    On August 8, 1996, the Governor of Colorado submitted a maintenance 
plan and requested that we redesignate the Denver area to attainment 
for the ozone NAAQS.\15\ We did not act on the Governor's request as 
the maintenance plan had both legal and technical problems that 
precluded our full approval.
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    \15\ In order for EPA to redesignate an area to attainment under 
section 107(d)(3)(D) of the CAA, the Governor must submit a 
redesignation request and a maintenance plan that meets the 
requirements of section 107(d)(3)(E) and section 175A of the CAA, 
the redesignation requirement of the General Preamble for the 
Implementation of Title I of CAA Amendments of 1990 (57 FR 13498 
(Apr. 16, 1991), and 57 FR 18070 (April 28, 1992)), and addresses 
the provisions of EPA redesignation policies and guidance documents. 
In general, the ozone maintenance plan must demonstrate long-term 
(i.e., 10 years) maintenance of the ozone NAAQS.
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    In July, 1997, we established a new 8-hour ozone NAAQS of 0.08 
parts per million (ppm).\16\ At that time, we also promulgated 
regulations governing when the 1-hour ozone standard would no longer 
apply to areas. On June 5, 1998, we published a final rule (see 63 FR 
31014) that revoked the 1-hour ozone standard for areas that were 
attaining the 1-hour standard; this

[[Page 3437]]

included the Denver area.\17\ As a result of our finding that the 1-
hour ozone standard was revoked and no longer applied to the Denver 
area, the State's August 8, 1996, 1-hour ozone redesignation request 
and maintenance plan became moot and neither the State nor EPA 
contemplated further action.
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    \16\ 62 FR 38856 (July 18, 1997).
    \17\ Similar rulemakings for other areas were promulgated on 
July 22, 1998 (63 FR 39432) and June 9, 1999 (64 FR 30911).
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    In 1998, the Governor of Colorado again requested that we waive the 
federal 7.8 psi RVP requirement for the Denver area. We found that 
while a 9.0 psi RVP standard was in place, the Denver area had shown 
continuous attainment of the 1-hour ozone standard since 1987 and had 
monitored attainment of the 8-hour standard since 1994. We concluded 
that retaining the 9.0 psi RVP standard would not cause the area's air 
quality to significantly deteriorate. See 63 FR 31627, (June 10, 1998). 
Moreover, we concluded that imposing a 7.8 psi standard would result in 
significant costs for consumers and refiners. We therefore extended the 
waiver relaxing the federal RVP standard for the area to 9.0 psi for 
the ozone control seasons of 1998 through 2000. We explained that 
designations under the new 8-hour ozone standard would be made by July 
2000, and that our consideration of a permanent revision to the federal 
RVP standard for the area would be appropriate at that time.
    On May 14, 1999, the Court of Appeals for the District of Columbia 
Circuit (D.C. Circuit) remanded, but did not vacate, the revised 8-hour 
ozone standard.\18\ On February 27, 2001, the Supreme Court affirmed in 
part and reversed in part the judgment of the Court of Appeals and 
remanded the decision to the Court of Appeals for further 
proceedings.\19\ In the interim period, while the Supreme Court was 
considering the case, we reinstated the l-hour ozone standard in all 
areas of the nation to ensure the availability of a fully enforceable 
Federal ozone standard to protect public health.\20\ With the 
reinstatement of the 1-hour ozone standard, the 1-hour standard 
designations and classifications that applied at the time the standard 
was revoked were also reinstated. We reinstated the 1-hour standard for 
the Denver area effective January 16, 2001, and returned the area to 
nonattainment for the 1-hour ozone standard with its prior 
``transitional'' classification.
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    \18\ American Trucking Ass'n v. EPA, 175 F.3d 1027 (D.C. Cir. 
1999).
    \19\ Whitman v. Am. Trucking Ass'ns, 531 U.S. 457 (2001).
    \20\ 65 FR 45182 (July 20, 2000).
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    As a result of the reinstatement of the nonattainment designation, 
the Denver Regional Air Quality Council (RAQC) and the State developed 
a revised maintenance plan that updated the August 8, 1996, Governor's 
submittal and addressed our technical and legal concerns with the 1996 
submittal. The Governor submitted a redesignation request and a 
proposed revised maintenance plan on November 30, 2000, in conjunction 
with a request for parallel processing. The Governor subsequently 
submitted the final redesignation request and maintenance plan on May 
7, 2001.
    The Governor's final submittal of the revised maintenance plan 
incorporated a gasoline RVP limit of 9.0 psi. Since maintenance of the 
1-hour ozone NAAQS is shown for the entire maintenance plan's time 
period of 1993 through 2013 with the 9.0 psi limit, Colorado requested 
that the 9.0 psi summertime RVP standard (10.0 psi for ethanol blends) 
be made permanent for the Denver area upon our approval of the 
redesignation request and maintenance plan.
    EPA's Region VIII approved the State's redesignation request and 
maintenance plan on September 11, 2001 (66 FR 47086) and it became 
effective October 11, 2001.\21\ In that decision, Region VIII indicated 
that the change to assign a permanent RVP standard of 9.0 psi for the 
Denver area would be appropriate, but a separate rulemaking would be 
necessary to revise the federal RVP requirements for Colorado as 
specified in 40 CFR Sec. 80.27(a)(2). That is the purpose of this 
direct final rule.
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    \21\ Documents related to EPA's approval of the Colorado 
redesignation request and maintenance plan are available for public 
inspection during normal business hours at: United States 
Environmental Protection Agency, Region VIII, Air and Radiation 
Program, 999 18th Street, Suite 300, Denver, Colorado 80202-2466. 
Copies of the State documents relevant to that action are available 
for public inspection at: Colorado Department of Health and 
Environment, Air Pollution Control Division, 4300 Cherry Creek Drive 
South, Denver, Colorado 80246-1530.
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II. Justification for Granting Colorado's Request To Permanently 
Change the RVP Standard for the Denver Area

    As previously mentioned, according to the preamble for the Phase II 
volatility controls,\22\ the Governor of a State may petition us to set 
a volatility standard less stringent than 7.8 psi. The petition must 
demonstrate such a change is appropriate because of a particular local 
economic impact and that sufficient alternative programs are available 
to achieve attainment and maintenance of the 1-hour ozone NAAQS. The 
June 23, 2000, petition by the Governor of Colorado to extend the 
temporary exemption from the 7.8 psi RVP standard for the Denver area 
to the 2001 ozone control season (see 66 FR 28808, May 24, 2001) and 
available evidence indicate that imposing the 7.8 psi standard would 
result in costs to consumers and industry, and that these costs are not 
reasonable given that the 7.8 psi RVP standard is not necessary to 
ensure continued attainment of the 1-hour ozone standard.
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    \22\ The Phase II final rulemaking discussed procedures by which 
States could petition EPA for more or less stringent volatility 
standards. See 55 FR 23660 (June 11, 1990).
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    Six refiners supply the Denver market and these refiners vary in 
size, refining capacity and complexity. The Colorado Petroleum 
Association (CPA) estimated that all of the refiners would have to 
spend capital dollars to upgrade and reconfigure their facilities to 
provide gasoline blended at the 7.8 psi RVP level for the Denver 
market. The CPA \23\ estimated that upgrading equipment and 
reconfiguring facilities to provide 7.8 psi RVP gasoline to the Denver 
market would cost refiners approximately $15-25 million. Documentation 
submitted in support of Colorado's petition for relaxation of the 7.8 
psi RVP standard for the 2001 ozone control season indicate that 
implementation of that standard would cost the consumer about 1.5 cents 
more per gallon of gasoline with an overall seasonal cost of 
$4,500,000.\24\
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    \23\ Memorandum from Stan Dempsey, Colorado Petroleum 
Association, Denver, CO, to Kerri Fiedler, EPA Region VIII, dated 2/
07/2001.
    \24\ Memorandum from K.B. Livo, Colorado Department of Public 
Health and Environment, to Kerri Fiedler, Region VIII, dated 12/07/
2000.
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    The record also supports the conclusion that retention of the 9.0 
psi standard will not cause deterioration of air quality in the Denver 
area. As stated above, the area has continued to meet the 1-hour ozone 
standard since 1987 without the implementation of the 7.8 psi standard. 
The revised maintenance plan we approved on September 11, 2001 shows 
maintenance of the 1-hour ozone NAAQS for the entire maintenance time 
period of 1993 through 2013 with the 9.0 psi standard. Further, the 
State has demonstrated that it has sufficient additional contingency 
measures, including a control on gasoline RVP, that can be implemented 
to bring the area back into attainment should the area exceed the 1-
hour ozone NAAQS in the future. These State contingency measures are 
identified in Chapter 3, section F of the revised maintenance plan.

[[Page 3438]]

    Based on the foregoing, we have decided to grant Colorado's's 
request to permanently change the federal volatility standard from 7.8 
psi to 9.0 psi RVP for gasoline in the Denver/Boulder area during the 
ozone control season. The State has met the criteria outlined in our 
December 12, 1991 RVP rulemaking for relaxing the federal RVP 
regulations. The State has demonstrated that it has sufficient 
alternative programs to achieve attainment and maintenance of the ozone 
NAAQS and that the less stringent federal RVP standard is appropriate 
given the local economic impact that the more stringent 7.8 psi RVP 
requirement would cause.

III. Final Action

    We are taking direct final action to approve Colorado's request to 
permanently relax the federal RVP standard applicable to summertime 
gasoline supplied to the Denver area. This action will change the 
applicable standard from 7.8 psi to 9.0 psi in 40 CFR 80.27(a)(2).\25\ 
We view this as a noncontroversial action. Our final rule of September 
11, 2001, fully approved the maintenance plan for the Denver area. It 
shows maintenance of the 1-hour ozone NAAQS for the entire maintenance 
time period of 1993 through 2013 with the 9.0 psi standard. This 
maintenance plan went through public notice and comment during the 
approval process (see 66 FR 24075, May 11, 2001), and no adverse 
comments were received. Further, EPA has granted Colorado exemptions 
allowing the Denver area to receive gasoline containing up to 9.0 psi 
RVP since 1992, and this rule merely makes this currently applicable 
RVP limit permanent.
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    \25\ Consistent with Colorado's request, this direct final 
action also automatically changes the effective federal RVP standard 
for summertime ethanol blends of gasoline supplied to the Denver 
area. Under 40 CFR 80.27(d), gasoline having a denatured anhydrous 
ethanol concentration of at least 9.0 percent but no more than 10.0 
percent (by volume) is allowed to have an RVP that exceeds the 
applicable standard in 40 CFR 80.27(a) by one psi. Since this direct 
final action relaxes the RVP standard in 40 CFR 80.27(a) for 
Denver's summertime gasoline from 7.8 to 9.0 psi, the effective RVP 
standard for Denver's ethnol blends of summertime gasoline is 
relaxed from 8.8 to 10.0 psi.
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    Because we view this as a noncontroversial amendment and anticipate 
no adverse comment, we are publishing this action without prior 
proposal. However, in the ``Proposed Rules'' section of this Federal 
Register publication, we are publishing a separate document that will 
serve as the proposal to approve the rule amendment should adverse 
comments be filed. This rule will be effective March 25, 2002 without 
further notice unless the Agency receives adverse comments by February 
25, 2002.
    If EPA receives such comments, we will publish in the Federal 
Register a timely withdrawal of the direct final rule informing the 
public that the rule will not take effect. We will address all public 
comments in a subsequent final rule based on the proposed rule. EPA 
will not institute a second comment period on this rule. Any parties 
interested in commenting on this rule should do so at this time.

IV. Administrative Requirements

A. Executive Order 12866

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

B. Paperwork Reduction Act

    This action does not impose any new information collection burden 
under the provisions of the Paperwork Reduction Act, 44 U.S.C. 3501 et 
seq., and therefore is not subject to these requirements.

C. Unfunded Mandates Reform Act

    Title II of the Unfunded Mandates Reform Act of 1995 (UMRA), Public 
Law 104-4, establishes requirements for Federal agencies to assess the 
effects of their regulatory actions on State, local, and tribal 
governments and the private sector. Under section 202 of the UMRA, EPA 
generally must prepare a written statement, including a cost-benefit 
analysis, for proposed and final rules with ``Federal mandates'' that 
may result in expenditures to State, local, and tribal governments, in 
the aggregate, or to the private sector of $100 million or more in any 
one year. Before promulgating an EPA rule for which a written statement 
is needed, section 205 of the UMRA generally requires EPA to identify 
and consider a reasonable number of regulatory alternatives and adopt 
the least costly, most cost-effective or least burdensome alternative 
that achieves the objectives of the rule. The provisions of section 205 
do not apply when they are inconsistent with applicable law. Moreover, 
section 205 allows EPA to adopt an alternative other than the least 
costly, most cost-effective or least burdensome alternative if the 
Administrator publishes with the final rule an explanation why that 
alternative was not adopted. Before EPA establishes any regulatory 
requirements that may significantly or uniquely affect small 
governments, including tribal governments, it must have developed under 
section 203 of the UMRA a small government agency plan. The plan must 
provide for notifying affected small governments, enabling officials of 
affected small governments to have meaningful and timely input in the 
development of EPA regulatory proposals with significant Federal 
intergovernmental mandates, and informing, educating, and advising 
small governments on compliance with the regulatory requirements.
    EPA has determined that this rule does not contain a Federal 
mandate that may result in expenditures of $100 million or more for 
State, local, and tribal governments, in the aggregate, or the private 
sector in any one year. Today's rule merely permanently continues the 
current temporary relaxation of the Federal RVP standard for gasoline 
in the Denver/Boulder area, and thus avoids imposing the costs that the 
existing Federal regulations would otherwise impose. Today's rule, 
therefore, is not subject to the requirements of sections 202 and 205 
of the UMRA.
    EPA has determined that this rule contains no regulatory 
requirements that might significantly or uniquely affect small 
governments. As discussed above, the rule relaxes an existing standard 
and affects only the gasoline industry.

D. Executive Order 13045: Protection of Children From Environmental 
Health Risks and Safety Risks

    Executive Order 13045, ``Protection of Children from Environmental 
Health Risks and Safety Risks'' (62 FR 19885, Apr. 23, 1997) applies to 
any rule that:

[[Page 3439]]

(1) Is determined to be ``economically significant'' as defined under 
Executive Order 12866, and (2) concerns an environmental health or 
safety risk that EPA has reason to believe may have a disproportionate 
effect on children. If the regulatory action meets both criteria, the 
Agency must evaluate the environmental health or safety effects of the 
planned rule on children, and explain why the planned regulation is 
preferable to other potentially effective and reasonably feasible 
alternatives considered by the Agency.
    This rule is not subject to the Executive Order because it is not 
economically significant as defined in Executive Order 12866, and 
because the Agency does not have reason to believe the environmental 
health or safety risks addressed by this action present a 
disproportionate risk to children. As previously discussed, the Denver/
Boulder area has continued to meet the 1-hour ozone standard since 1987 
without the implementation of the 7.8 psi standard. The revised 
maintenance plan we approved on September 11, 2001 shows maintenance of 
the 1-hour ozone NAAQS for the entire maintenance time period of 1993 
through 2013 with the 9.0 psi standard.

E. Executive Order 13132 (Federalism)

    Executive Order 13132, entitled ``Federalism'' (64 FR 43255, Aug. 
10, 1999), requires EPA to develop an accountable process to ensure 
``meaningful and timely input by State and local officials in the 
development of regulatory policies that have federalism implications.'' 
``Policies that have federalism implications'' is defined in the 
Executive Order to include regulations that have ``substantial direct 
effects on the States, on the relationship between the national 
government and the States, or on the distribution of power and 
responsibilities among the various levels of government.''
    This rule does not have federalism implications. It will not have 
substantial direct effects on the States, on the relationship between 
the national government and the States or on the distribution of power 
and responsibilities among the various levels of government as 
specified in Executive Order 13132. Today's rule merely affects the 
level of the Federal RVP standard with which businesses supplying 
gasoline to the Denver/Boulder area must comply. Thus, Executive Order 
13132 does not apply to this rule.

F. National Technology Transfer and Advancement Act

    Section 12(d) of the National Technology Transfer and Advancement 
Act of 1995 (``NTTAA''), Public Law No. 104-113, section 12(d) (15 
U.S.C. 272 note) directs EPA to use voluntary consensus standards in 
its regulatory activities unless to do so would be inconsistent with 
applicable law or otherwise impractical. Voluntary consensus standards 
are technical standards (e.g., materials specifications, test methods, 
sampling procedures, and business practices) that are developed or 
adopted by voluntary consensus standards bodies. The NTTAA directs EPA 
to provide Congress, through OMB, explanations when the Agency decides 
not to use available and applicable voluntary consensus standards.
    This action does not involve technical standards. Therefore, EPA 
did not consider the use of any voluntary consensus standards.

G. Congressional Review

    The Congressional Review Act, 5 U.S.C. 801 et seq., as added by the 
Small Business regulatory Enforcement Fairness Act of 1996, generally 
provides that before a rule may take effect, the agency promulgating 
the rule must submit a rule report, which includes a copy of the rule, 
to each House of the Congress and to the Comptroller General of the 
United States. EPA will submit a report containing this rule and other 
required information to the U.S. Senate, the U.S. House of 
Representatives, and the Comptroller General of the United States prior 
to publication of the rule in the Federal Register. A ``major rule'' 
cannot take effect until 60 days after it is published in the Federal 
Register. This action is not a ``major rule'' as defined by 5 U.S.C. 
804(a).

H. Regulatory Flexibility Act (RFA), As Amended by the Small Business 
Regulatory Enforcement Fairness Act of 1996 (SBREFA), 5 U.S.C. 601 et. 
seq.

    After considering the economic impacts of today's final rule on 
small entities, EPA has concluded that this action will not have a 
significant economic impact on a substantial number of small entities. 
In determining whether a rule has a significant economic impact on a 
substantial number of small entities, the impact of concern is any 
significant adverse economic impact on small entities, since the 
primary purpose of the regulatory flexibility analyses is to identify 
and address regulatory alternatives ``which minimize any significant 
economic impact of the proposed rule on small entities.'' 5 U.S.C. 603 
and 604. Thus, an agency may conclude that a rule will not have a 
significant economic impact on a substantial number of small entities 
if the rule relieves regulatory burden, or otherwise has a positive 
economic effect on all of the small entities subject to the rule. We 
have therefore concluded that today's final rule will relieve 
regulatory burden for all small entities affected by this rule.
    Today's rule relaxes an existing standard and affects only the 
gasoline industry. It relaxes the level of the Federal RVP standard 
with which businesses supplying gasoline to the Denver area must 
comply. We have therefore concluded that today's rule will relieve 
regulatory burden for any small entity.

I. Executive Order 13175: Consultation and Coordination With Indian 
Tribal Governments

    Executive Order 13175, entitled ``Consultation and Coordination 
with Indian Tribal Governments'' (65 FR 67249, Nov. 6, 2000), requires 
EPA to develop an accountable process to ensure ``meaningful and timely 
input by tribal officials in the development of regulatory policies 
that have tribal implications.'' ``Policies that have tribal 
implications'' is defined in the Executive Order to include regulations 
that have ``substantial direct effects on one or more Indian tribes, on 
the relationship between the Federal government and the Indian tribes, 
or on the distribution of power and responsibilities between the 
Federal government and Indian tribes.''
    Today's rule does not have tribal implications. It affects the 
level of the Federal RVP standard applicable to gasoline supplied to 
the Denver/Boulder area. It therefore affects only refiners, 
distributors and other businesses supplying gasoline to the Denver/
Boulder area and will not have substantial direct effects on tribal 
governments, on the relationship between the Federal government and 
Indian tribes, or on the distribution of power and responsibilities 
between the Federal government and Indian tribes, as specified in 
Executive Order 13175. Thus, Executive Order 13175 does not apply to 
this rule.

J. Executive Order 13211 (Energy Effects)

    This rule is not subject to Executive Order 13211, ``Actions 
Concerning Regulations That Significantly Affect Energy Supply, 
Distribution, or Use'' (66 FR 28355 (May 22, 2001)) because it is

[[Page 3440]]

not a significant regulatory action under Executive Order 12866.

Statutory Authority

    Authority for this action is in sections 211(h) and 301(a) of the 
Clean Air Act, 42 U.S.C. 7545(h) and 7601(a).

Petitions for Judicial Review

    Under section 307(b)(1) of the Clean Air Act, petitions for 
judicial review of this action must be filed in the United States Court 
of Appeals for the appropriate circuit by March 25, 2002. 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 80

    Administrative practice and procedures, Air pollution control, 
Environmental protection, Fuel additives, Gasoline, Motor vehicle and 
motor vehicle engines, Motor vehicle pollution, Penalties, Reporting 
and recordkeeping requirements.

    Dated: January 15, 2002.
Christine Todd Whitman,
Administrator.

    Title 40, chapter I, part 80 of the Code of Federal Regulations is 
amended as follows:

PART 80--[AMENDED]

    1. The authority citation for part 80 continues to read as follows:

    Authority: 42 U.S.C. 7414, 7545 and 7601(a).

    2. In Sec. 80.27(a)(2), the table is amended by revising the entry 
for Colorado and footnote 2 to read as follows:


Sec. 80.27  Controls and prohibitions on gasoline volatility.

    (a) * * *
    (2) * * *

                               Applicable Standards \1\ 1992 and Subsequent Years
----------------------------------------------------------------------------------------------------------------
                     State                           May          June         July        August     September
----------------------------------------------------------------------------------------------------------------
 
*                  *                  *                  *                  *                  *
                                                        *
Colorado \2\...................................          9.0          9.0          9.0          9.0          9.0
*                  *                  *                  *                  *                  *
                                                       *
----------------------------------------------------------------------------------------------------------------
\1\ Standards are expressed in pounds per square inch (psi).
\2\ From 1992 through 2001, the RVP standard for the former Denver-Boulder nonattainment area was 7.8 psi, but
  waived to 9.0 psi.

* * * * *
[FR Doc. 02-1493 Filed 1-23-02; 8:45 am]
BILLING CODE 6560-50-P