[Federal Register Volume 67, Number 59 (Wednesday, March 27, 2002)]
[Rules and Regulations]
[Pages 14646-14649]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-6612]


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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 55

[Alaska 001; FRL-7158-2]


Outer Continental Shelf Air Regulations; Consistency Update for 
Alaska

AGENCY: Environmental Protection Agency (``EPA'').

ACTION: Final rule.

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SUMMARY: EPA is updating the Outer Continental Shelf (``OCS'') Air 
Regulations as they apply to OCS sources off the coast of Alaska. 
Requirements applying to OCS sources located within 25 miles of states' 
seaward boundaries must be updated periodically to remain consistent 
with the requirements of the corresponding onshore area (``COA''), as 
mandated by section 328(a)(1) of the Clean Air Act, as amended in 1990 
(``the Act''). The portion of the OCS air regulations that is being 
updated pertains to the requirements for OCS sources for which the 
State of Alaska is the designated COA. The intended effect of 
incorporating the State of Alaska requirements applicable to OCS 
sources in effect as of July 2, 2000, is to regulate emissions from OCS 
sources consistent with the requirements onshore.

EFFECTIVE DATE: The incorporation by reference of certain publications 
listed in this rule is approved by the Director of the Federal Register 
as of April 26, 2002.

ADDRESSES: Copies of the documents relevant to this action are 
available for public inspection during normal business hours at the 
following location: U.S. Environmental Protection Agency, Region 10, 
1200 Sixth Avenue, Seattle, Washington, 98101. Interested persons 
wanting to examine these documents should make an appointment with the 
appropriate office at least 24 hours before the visiting day.

FOR FURTHER INFORMATION CONTACT: Dan Meyer, Office of Air Quality (OAQ-
107), U.S. EPA Region 10, 1200 Sixth Avenue, Seattle WA 98101, 
Telephone: (206) 553-4150.

SUPPLEMENTARY INFORMATION:   

Background

    On March 1, 2001, the EPA published a direct final rule (66 FR 
12982), and an accompanying proposed rule (66 FR 12986) updating the 
OCS Air Regulations as they apply to OCS sources off the coast of 
Alaska. In the direct final rule, EPA indicated that if adverse comment 
was received, EPA would publish a withdrawal of the direct final rule 
in the Federal Register. On March 9, 2001, EPA received adverse 
comments from the International Association of Drilling Contractors 
(Association). Accordingly on October 23, 2001, EPA removed the 
amendment made by that final rule due to the adverse public comments 
received and reinstated the previous regulatory text (66 FR 53533). In 
this action, EPA is summarizing and responding to the comments while 
also finalizing the amendments as previously proposed on March 1, 2001.

Response to Comments

    On March 1, 2001, the EPA proposed to incorporate the State of 
Alaska requirements that are applicable to OCS sources, July 2, 2000, 
into 40 CFR part 55. The State of Alaska requirements applicable to OCS 
sources included the State of Alaska's revised marine vessel visible 
emission standards, 18 AAC 50.070, effective June 21, 1998. The 
standards limit visible emissions from marine vessels within three 
miles of the Alaska coastline. Note, the State of Alaska's seaward 
boundary extends out three miles from its coastline. Alaska's 
jurisdiction does not extend beyond this three mile limit. When EPA 
proposed to incorporate into 40 CFR part 55 the marine vessel emission 
standards in the State of Alaska requirements applicable to OCS 
sources, EPA intended for the standards to apply outside the seaward 
boundary of the State of Alaska despite the fact that 18 AAC 50.070, on 
its face, applies only to marine vessel visible emissions within 
Alaska's seaward boundary. 18 AAC 50.070, provides in part that 
``visible emissions, excluding condensed water vapor, may not reduce 
visibility through the exhaust effluent of a marine vessel by more than 
20 percent. * * *''
    EPA received adverse comments from the Association regarding the 
applicability of the marine vessel visible emission standards, 18 AAC 
50.070, to activity on the OCS. The Association believes that 18 AAC 
50.070 should be excluded from 40 CFR part 55 because the emission 
standards, as written, apply only to vessels within three miles of the 
Alaska coastline. The Association also commented that the 18 AAC 50.070 
should not be incorporated into 40 CFR part 55 for the same reasons 
that 18 AAC 50.300(g) and (h)(11) are excluded. In response to the 
Association's comments, EPA is providing the rationale to support the 
incorporation of 18 AAC 50.070 into 40 CFR part 55.
    Pursuant to section 328(a)(1) of the Clean Air Act, EPA shall 
establish requirements to control air pollution from OCS sources to 
attain and maintain Federal and State ambient air quality standards and 
to comply with the provisions of part C of title I of the Act. Such 
requirements shall be the same as would be applicable if the source 
were located in the COA. The marine vessel visible emission standards 
are rationally related to the attainment and maintenance of Federal and 
State ambient air quality standards for particulate matter and part C 
of title I of the Act. Visible emissions from marine vessels consist, 
in part, of particulate matter. Limiting these visible emissions also 
limits particulate matter emissions, thus assisting in the protection 
of the particulate matter ambient air quality standards and the 
prevention of significant air quality deterioration. The marine vessel 
visible emission standards are not designed expressly to prevent 
exploration and development of the OCS as evidenced by the fact that 
the same standards apply to exploration and development projects in 
Alaskan waters. It is appropriate that the marine vessel visible 
emission standards are applied to OCS sources because marine vessels 
are capable of generating visible emissions and the vessels operate on 
the OCS; thus, the vessels should be subject to requirements that are 
``the same as'' the requirements that apply within three miles of the 
Alaska coastline. In response to the second part of the Association's 
comments, the visible emission requirements in 18 AAC 50.070 are very 
different from the requirements of 18 AAC 50.300(g) and (h)(11). By 
their terms, 18 AAC 50.300(g) and (h)(11) apply only to Anchorage. 
Thus, contrary to the Association's comment, the rationale for 
excluding 18 AAC 50.300(g) and (h)(11) is not applicable to 18 AAC 
50.070 and provides no basis for excluding 18 AAC 50.070 from 40 CFR 
part 55. Lastly, the marine vessel emission standards are not arbitrary 
or capricious and EPA's incorporation of these standards into 40 CFR 
part 55 is not arbitrary or capricious as evidenced by the reasoning 
provided above.

[[Page 14647]]

    EPA has evaluated the COA requirements to ensure that they are 
rationally related to the attainment or maintenance of Federal or State 
ambient air quality standards or part C of title I of the Act, that 
they are not designed expressly to prevent exploration and development 
of the OCS, and that they are applicable to OCS sources. 40 CFR 55.1. 
EPA has also evaluated the rules to ensure that they are not arbitrary 
or capricious. 40 CFR 55.12(e). In addition, EPA has excluded 
administrative or procedural rules.

EPA Action

    In this document, EPA takes final action under section 328(a)(1) of 
the Act, 42 U.S.C. 7627, to incorporate the State of Alaska 
requirements applicable to OCS sources, July 2, 2000, into 40 CFR part 
55. Section 328(a) of the Act requires that EPA establish requirements 
to control air pollution from OCS sources located within 25 miles of 
states' seaward boundaries that are the same as onshore requirements. 
To comply with this statutory mandate, EPA must incorporate applicable 
onshore rules into 40 CFR part 55.

Administrative Requirements

A. Executive Order 12866

    The Office of Management and Budget (OMB) has exempted this 
regulatory action from Executive Order 12866, entitled ``Regulatory 
Planning and Review.''

B. Executive Order 13045

    Protection of Children from Environmental Health Risks and Safety 
Risks (62 FR 19885, April 23, 1997), applies to any rule that: (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 Executive Order 13045 because it does 
not involve decisions intended to mitigate environmental health or 
safety risks.

C. Executive Order 13132

    Federalism (64 FR 43255, August 10, 1999) revokes and replaces 
Executive Orders 12612 (Federalism) and 12875 (Enhancing the 
Intergovernmental Partnership). Executive Order 13132 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.'' Under Executive Order 13132, EPA may not issue a 
regulation that has federalism implications, that imposes substantial 
direct compliance costs, and that is not required by statute, unless 
the Federal government provides the funds necessary to pay the direct 
compliance costs incurred by State and local governments, or EPA 
consults with State and local officials early in the process of 
developing the proposed regulation. EPA also may not issue a regulation 
that has federalism implications and that preempts State law unless the 
Agency consults with State and local officials early in the process of 
developing the proposed regulation.
    This rule 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, because it 
merely approves a state rule implementing a federal standard, and does 
not alter the relationship or the distribution of power and 
responsibilities established in the Clean Air Act. Thus, the 
requirements of section 6 of the Executive Order do not apply to this 
rule.

D. Executive Order 13175

    This final rule does not have tribal implications. It 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.

E. Executive Order 13211

    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 not a 
significant regulatory action under Executive Order 12866.

F. Regulatory Flexibility

    The Regulatory Flexibility Act (RFA) generally requires an agency 
to conduct a regulatory flexibility analysis of any rule subject to 
notice and comment rulemaking requirements unless the agency certifies 
that the rule will not have a significant economic impact on a 
substantial number of small entities. Small entities include small 
businesses, small not-for-profit enterprises, and small governmental 
jurisdictions.
    This rule will not have a significant impact on a substantial 
number of small entities because consistency updates under section 
328(a) of the Act do not create any new requirements but simply approve 
requirements that the State is already imposing. Therefore, because the 
consistency update approval does not create any new requirements, I 
certify that this action will not have a significant economic impact on 
a substantial number of small entities. Moreover, due to the nature of 
the Federal-State relationship under the Clean Air Act, preparation of 
flexibility analysis would constitute Federal inquiry into the economic 
reasonableness of state action.

G. 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 approval action promulgated 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.

[[Page 14648]]

H. Submission to Congress and the Comptroller General

    The Congressional Review Act, 5 U.S.C. section 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. 
section 804(2). This rule will be effective April 26, 2002.

I. National Technology Transfer and Advancement Act

    Section 12 of the National Technology Transfer and Advancement Act 
(NTTAA) of 1995 requires Federal agencies to evaluate existing 
technical standards when developing a new regulation. To comply with 
NTTAA, EPA must consider and use ``voluntary consensus standards'' 
(VCS) if available and applicable when developing programs and policies 
unless doing so would be inconsistent with applicable law or otherwise 
impractical.
    The EPA believes that VCS are inapplicable to this action. Today's 
action does not require the public to perform activities conducive to 
the use of VCS.

J. 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 May 28, 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 55

    Environmental protection, Administrative practice and procedures, 
Air pollution control, Hydrocarbons, Incorporation by reference, 
Intergovernmental relations, Nitrogen dioxide, Nitrogen oxides, Outer 
continental shelf, Ozone, Particulate matter, Permits, Reporting and 
recordkeeping requirements, Sulfur oxides.

    Dated: March 6, 2002.
L. John Iani,
Regional Administrator, Region 10.


    Title 40 of the Code of Federal Regulations, part 55, is to be 
amended as follows:

PART 55--[AMENDED]

    1. The authority citation for part 55 continues to read as follows:

    Authority: Section 328 of the Act (42 U.S.C. 7401, et seq.) as 
amended by Public Law 101-549.


    2. Section 55.14 is amended by revising paragraph (e)(2)(i)(A) to 
read as follows:


Sec. 55.14  Requirements that apply to OCS sources located within 25 
miles of States' seaward boundaries, by State.

* * * * *
    (e) * * *
    (2) * * *
    (i) * * *
    (A) State of Alaska Requirements Applicable to OCS Sources, July 2, 
2000.
* * * * *

    3. Appendix A to CFR part 55 is amended by revising paragraph 
(a)(1) under the heading ``Alaska'' to read as follows:

APPENDIX A TO 40 CFR PART 55--LISTING OF STATE AND LOCAL REQUIREMENTS 
INCORPORATED BY REFERENCE INTO PART 55, BY STATE

* * * * *

Alaska

    (a) * * *
    (1) The following State of Alaska requirements are applicable to 
OCS Sources, July 2, 2000. Alaska Administrative Code--Department of 
Environmental Conservation. The following sections of Title 18, 
Chapter 50:

Article 1. Ambient Air Quality Management

18 AAC 50.005. Purpose and Applicability of Chapter. (effective 1/
18/1997)
18 AAC 50.010. Ambient Air Quality Standards. (effective 6/21/1998)
18 AAC 50.015. Air Quality Designations, Classifications, And 
Control Regions. (effective 1/18/1997)
    Table 1. Air Quality Classifications
18 AAC 50.020. Baseline Dates, Maximum Allowable Increases, And 
Maximum Allowable Ambient Concentrations. (effective 6/21/1998)
    Table 2. Baseline Dates
    Table 3. Maximum Allowable Increases
18 AAC 50.025. Visibility and Other Special Protection Areas. 
(effective 1/18/1997)
    (a) [untitled]
18 AAC 50.030. State Air Quality Control Plan. (effective 9/04/1998)
18 AAC 50.035. Documents, Procedures, and Methods Adopted by 
Reference. (effective 7/02/2000)
18 AAC 50.045. Prohibitions. (effective 1/18/1997)
18 AAC 50.050. Incinerator Emission Standards. (effective 1/18/1997)
    Table 4. Particulate Matter Standards for Incinerators
18 AAC 50.055. Industrial Processes and Fuel-burning Equipment. 
(effective 11/04/1999)
18 AAC 50.065. Open Burning. (effective 1/18/1997)
    (a) General Requirements.
    (b) Black Smoke Prohibited.
    (c) Toxic and Acid Gases and Particulate Matter Prohibited.
    (d) Adverse Effects Prohibited.
    (e) Air Quality Advisory.
    (i) Firefighter Training: Fuel Burning.
    (j) Public Notice.
    (k) Complaints.
18 AAC 50.070. Marine Vessel Visible Emission Standards. (effective 
6/21/1998)
18 AAC 50.080. Ice Fog Standards. (effective 1/18/1997)
18 AAC 50.100. Nonroad engines. (effective 1/18/1997)
18 AAC 50.110. Air Pollution Prohibited. (effective 5/26/1972)

Article 2. Program Administration

18 AAC 50.201. Ambient Air Quality Investigation. (effective 1/18/
1997)
18 AAC 50.205. Certification. (effective 1/18/1997)
18 AAC 50.210. Potential to Emit. (effective 1/18/1997)
18 AAC 50.215. Ambient Air Quality Analysis Methods. (effective 6/
21/1998)
18 AAC 50.220. Enforceable Test Methods. (effective 1/18/1997)
18 AAC 50.225. Owner-requested Limits. (effective 6/21/1998)
18 AAC 50.230. Preapproved Limits. (effective 6/21/1998)
18 AAC 50.235. Unavoidable Emergencies and Malfunctions. (effective 
6/14/1998)
18 AAC 50.240. Excess Emissions. (effective 1/18/1997)

Article 3. Permit Procedures and Requirements

18 AAC 50.300. Construction Permits: Classifications. (effective 6/
21/1998)
    (a) [untitled]
    (b) Ambient Air Quality Facilities.
    (c) Prevention of Significant Deterioration Major Facilities.
    (d) Nonattainment Major Facilities.
    (e) Major Facility Near a Nonattainment Area.
    (f) Hazardous Air Contaminant Major Facilities.
    (h) Modifications. (paragraphs 1 through 10)
18 AAC 50.305. Construction Permit Provisions Requested by the Owner 
or Operator. (effective 1/18/97)

[[Page 14649]]

18 AAC 50.310. Construction Permits: Application. (effective 1/18/
1997)
    (a) Application Required.
    (b) Operating Permit Coordination.
    (c) General Information.
    (d) Prevention of Significant Deterioration Information. Table 
6. Significant Concentrations
    (e) Excluded Ambient Air Monitoring.
    (f) Nonattainment Information.
    (g) Demonstration Required Near A Nonattainment Area.
    (h) Hazardous Air Contaminant Information.
    (j) Nonattainment Air Contaminant Reductions.
    (k) Revising Permit Terms.
    (l) Requested Limits.
    (m) Stack Injection.
    (n) Ambient Air Quality Information.
18 AAC 50.320. Construction Permits: Content and Duration. 
(effective 
1/18/1997)
18 AAC 50.325. Operating Permits: Classifications. (effective 6/21/
1998)
18 AAC 50.330. Operating Permits: Exemptions. (effective 1/18/1997)
18 AAC 50.335. Operating Permits: Application. (effective 6/21/1998)
    (a) Application Required.
    (b) Identification.
    (c) General Emission Information.
    (d) Fees.
    (e) Regulated Source Information.
    (f) Facility-wide Information: Ambient Air Quality.
    (g) Facility-wide Information: Owner Requested Limits.
    (h) Facility-wide Information: Emissions Trading.
    (i) Compliance Information.
    (j) Proposed Terms and Conditions.
    (k) Compliance Certifications.
    (l) Permit Shield.
    (m) Supporting Documentation.
    (n) Additional Information.
    (o) Certification of Accuracy and Completeness.
    (p) Renewals.
    (q) Insignificant Sources.
    (r) Insignificant Sources: Emission Rate Basis.
    (s) Insignificant Sources: Category Basis.
    (t) Insignificance Sources: Size or Production Rate Basis.
    (u) Insignificant Sources: Case-by-Case Basis.
    (v) Administratively Insignificant Sources.
18 AAC 50.340. Operating Permits: Review and Issuance. (effective 1/
18/1997)
    (a) Review of Completeness.
    (b) Evaluation of Complete Applications.
    (c) Expiration of Application Shield.
18 AAC 50.341. Operating Permits: Reopenings. (paragraphs a, b, c, 
f, and g)(effective 6/14/1998)
18 AAC 50.345. Operating Permits: Standard Conditions. (effective 6/
21/1998)
18 AAC 50.350. Operating Permits: Content. (effective 6/21/1998)
    (a) Purpose of Section
    (b) Standard Requirements.
    (c) Fee Information.
    (d) Source-Specific Permit Requirements.
    (e) Facility-Wide Permit Requirements.
    (f) Other Requirements.
    (g) Monitoring Requirements.
    (h) Records.
    (i) Reporting Requirements.
    (j) Compliance Certification.
    (k) Compliance Plan and Schedule.
    (l) Permit Shield.
    (m) Insignificant Sources.
18 AAC 50.355. Changes to a Permitted Facility. (effective 1/18/
1997)
18 AAC 50.360. Facility Changes that Violate a Permit Condition. 
(effective 1/18/1997)
18 AAC 50.365. Facility Changes that do not Violate a Permit 
Condition. (effective 
6/14/1998)
18 AAC 50.370. Administrative Revisions. (effective 6/14/1998)
18 AAC 50.375. Minor and Significant Permit Revisions. (effective 6/
21/1998)
18 AAC 50.380. General Operating Permits. (effective 6/14/1998)
18 AAC 50.385. Permit-by-rule for Certain Small Storage Tanks. 
(effective 
6/21/1998)

Article 5. User Fees

18 AAC 50.400. Permit Administration Fees. (effective 6/21/1998)
18 AAC 50.410. Emission Fees. (effective 
1/18/1997)
18 AAC 50.420. Billing Procedures. (effective 1/18/1997)

Article 9. General Provisions

18 AAC 50.910. Establishing Level of Actual Emissions. (effective 1/
18/1997)
18 AAC 50.990. Definitions. (effective 
1/01/2000)
* * * * *

[FR Doc. 02-6612 Filed 3-26-02; 8:45 am]
BILLING CODE 6560-50-M