[Federal Register Volume 68, Number 16 (Friday, January 24, 2003)]
[Rules and Regulations]
[Pages 3404-3410]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-1516]


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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[WI112-01-7342b, FRL-7411-5]


Approval and Promulgation of Air Quality Implementation Plans; 
Wisconsin; Northern Engraving Environmental Cooperative Agreement

AGENCY: Environmental Protection Agency.

ACTION: Direct final rule.

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SUMMARY: The Environmental Protection Agency (EPA) is approving a June 
12, 2002, request from Wisconsin to revise its State Implementation 
Plan (SIP) for a source specific revision for Northern Engraving 
Corporation (NEC). Section 110 of the Clean Air Act (Act), 42 U.S.C. 
7410, provides the authority for a state to provide a plan for the 
implementation, maintenance, and enforcement of the national ambient 
air quality standards in each air quality control region. The Wisconsin 
Department of Natural Resources (WDNR) and EPA entered into a 
memorandum of agreement concerning implementation of a joint 
cooperative pilot program and agreed to pursue regulatory innovation at 
two NEC facilities in Holmen, Wisconsin and Sparta, Wisconsin. Because 
portions of the Environmental Cooperative Agreement with NEC supercedes 
portions of rules in the Wisconsin SIP, a source-specific SIP revision 
is required.

DATES: This rule is effective on March 25, 2003, unless EPA receives 
adverse written comments by February 24, 2003. If EPA receives adverse 
comments, EPA will publish a timely withdrawal of the rule in the 
Federal Register and inform the public that the rule will not take 
effect.

ADDRESSES: You may inspect copies of the documents relevant to this 
action during normal business hours at the following location: United 
States Environmental Protection Agency Region 5, 77 West Jackson 
Boulevard, Chicago, Illinois, 60604.
    Send written comments to: Robert Miller, Chief, Permits and Grants 
Section, United States Environmental Protection Agency (AR-18J), 77 
West Jackson Boulevard, Chicago, Illinois 60604.

FOR FURTHER INFORMATION CONTACT: Constantine Blathras at (312) 886-
0671.

SUPPLEMENTARY INFORMATION: On March 25, 1999, the WDNR and the EPA 
entered into a memorandum of agreement concerning implementation of the 
joint state/EPA agreement to pursue regulatory innovation and the 
Wisconsin Environmental Cooperation Pilot Program. On June 7, 2002, 
Thomas V. Skinner, Regional Administrator, EPA Region 5, sent a letter 
to Darrell Bazzell, Secretary, WDNR, containing EPA's final response to 
the WDNR's innovation proposal for alternative permit conditions at the 
NEC facilities. The NEC facilities affected by this agreement are the 
Holmen facility, located at 1023 Sand Lake Road, Holmen, La Crosse 
County, Wisconsin, and the Sparta facility, located at 803 South Black 
River Street, Sparta, Monroe County, Wisconsin. Both La Crosse and 
Monroe counties are classified as unclassifiable/attainment for ozone, 
as of November 15, 1990. Volatile organic compounds are a precursor to 
ozone. Each facility's permit includes facility-wide emission rates for 
volatile organic compounds and hazardous air pollutants.
    The innovative components of the proposal for the NEC Sparta and 
Holmen facilities include: (1) Waiver from the requirements that 
facilities obtain a new permit prior to

[[Page 3405]]

construction; (2) waiver from the requirement that facilities receive 
an appropriate permit prior to operating new process equipment; (3) 
waiver in the facilities' minor source permits of individual process 
line latest available control technology requirements for controlling 
volatile organic compound emissions; and (4) record keeping and 
reporting flexibility.
    The Environmental Cooperative Agreement, specifically section XII 
(Operational Flexibility and Variances), proposes to establish new 
requirements for the two NEC facilities. The proposed new requirements 
would replace or revise certain requirements that might otherwise apply 
to those sources. Some of the requirements to be replaced or revised 
are currently embodied in Wisconsin's SIP for meeting air quality 
objectives. In such cases, the proposed flexibility in the 
Environmental Cooperative Agreement cannot be granted by WDNR unless 
the new requirements are first approved by EPA as a source-specific 
revision to the SIP.
    The WDNR submitted the following portions of Section XII of the 
Environmental Cooperative Agreement (Operational Flexibility and 
Variances) as a source-specific SIP revision:
    1. Item: Waiver from the requirements to obtain a construction 
permit prior to commencing construction of new process equipment, 
commencing modification of existing equipment, or relocating existing 
process equipment of a minor stationary source between the facilities 
covered by this Agreement.
    Previous Requirements Superseded by this Agreement: Requirement to 
obtain a construction permit prior to construction, reconstruction, 
replacement, relocation of modification of a minor stationary source 
that is not otherwise exempt under section Natural Resources (NR) 
406.04, Wisconsin Administrative (Wis. Adm.) Code. (NR 406.03, Wis. 
Adm. Code)

New Requirement

    a. New Equipment Construction and Modification: The permittee may 
commence construction or modification (but not operation) of new 
process equipment prior to obtaining a construction permit, provided 
the following conditions are met. These conditions do not apply if a 
proposed project is exempt from the requirement to obtain a 
construction permit, pursuant to section NR 406.04, Wis. Adm. Code. 
(section 299.80(2)(h) and (4)(b), Wisconsin Statutes (Wis.Stats.))
    (1) The permittee shall submit the following information to the 
Department of Natural Resources, La Crosse Area Office, 3550 Mormon 
Coulee Road, Room 104, La Crosse, WI 54601 or other location specified 
by the Department:
    (a) Two copies of a complete construction and operating permit 
application describing the proposed equipment;
    (b) An application fee of $1,350 or other amount as required by 
section NR 410.03(1)(d), Wis. Adm. Code; and
    (c) Information describing how the interested persons group was 
notified of the proposed project. (sections 299.80(10) and (11)(b), 
Wis. Stats.)
    (2) The Department shall process the permit application in 
accordance with sections 285.60 through 285.69, Wisconsin Statutes and 
sections NR 406 and NR 407, Wis. Adm. Code, however, the permittee need 
not wait for permit issuance to commence construction. The Department 
shall process the permit application as both a construction permit and 
a significant revision to the operation permit, and issue both permits 
simultaneously to reduce the administrative burden of issuing a 
construction permit that expires 18 months after issuance followed by 
an operation permit. The Department shall send an invoice outlining the 
fees required for processing the construction permit for the proposed 
project, including the fees for an expedited permit review authorized 
under section NR 410.03(o), Wis. Adm. Code, less the $1,350 permit 
application fee. (sections 299.80(2)(h), (4)(b), (10) and (11)(b), Wis. 
Stats.)
    (3) The permittee shall pay the total amount of the fee invoice 
within 30 days of receipt.\1\ (s. 299.80(10), Wis. Stats.)
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    \1\ Pursuant to s. 299.80(10), Wis. Stats., a participant in a 
cooperative agreement shall pay the same fees required under chs. 
280 to 295, Wis. Stats. that it would be required to pay if it had 
not entered into a cooperative agreement. Therefore, while the 
requirement to obtain a construction permit prior to installation is 
waived, the permittee is still required to pay the fees that would 
have been assessed had a construction permit been issued under ch. 
NR 406, wis. Adm. Code.
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    (4) The permittee shall continue to comply with all the 
requirements of Part I.A. of the permit so long as the cooperative 
agreement is in affect.\2\ (s. 299.80(2)(h) and (4)(b), Wis. Stats.)
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    \2\ By continuing to comply with the facility wide emission 
limitations outlined in Part I.A., the net emissions increase from 
any new sources or relocation of any existing sources from other 
facilities will not exceed the major stationary source levels of s. 
NR 405.02(22)(a), Wis. Adm. Code triggering Prevention of 
Significant Deterioration (PSD) Requirements. The existing facility 
potential emissions of all criteria pollutants are less than 250 
tons per year and the facility is not included in the source 
categories listed in s. NR 405.07(4), Wis. Adm. Code. Therefore, the 
existing facility is a synthetic minor source for PSD purposes. 
Note: This facility is not located in an area designated 
nonattainment. Also, by continuing to comply with the facility wide 
emissions limitations, the potential emissions increase from any new 
sources or relocated existing sources will not exceed 100 tons per 
year after controls for any criteria pollutant. Therefore none of 
the changes will be considered a Type II action requiring an 
environmental assessment. Finally, by continuing to comply with the 
facility wide emission limitations, the facility will not become a 
major source for the Operating Permits Program under 40 CFR Part 70 
(Part 70) purposes for either volatile organic compound or hazardous 
air pollutant emissions. Requirement I.A.5.a.(1)(g) of the permit 
requires that any changes that result in potential facility wide 
emissions of particulate matter, sulfur dioxide, nitrogen oxide or 
carbon monoxide emissions exceeding 100 tons per year, must follow 
permit issuance requirements of chs. NR 406 and NR 407, Wis. Adm. 
Code.
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    (5) Nothing in this section or in any Cooperative Agreement between 
the Department and the permittee shall be construed as a guarantee that 
the Department will issue an air pollution control construction and 
operation permit for a proposed project. The decision on whether to 
approve a permit application will be made according to the requirements 
of chapters NR 400 through NR 499, Wis. Adm. Code and s. 285.60 through 
285.69, Wis. Stats. If the Department denies a permit application 
pursuant to ss 285.61 through 285.64, Wis. Stats. all costs and risks 
associated with installing and operating the proposed equipment shall 
be incurred solely by the permittee. In the event that the construction 
and operation permit application for the proposed project is denied, 
the permittee shall cease construction of the equipment in question 
immediately.
    b. New Equipment Operation: The permittee may operate new process 
equipment, provided one of the following alternate scenarios are met. 
The conditions do not apply if a proposed project is exempt from the 
requirement to obtain a construction permit, pursuant to s. NR 406.04, 
Wis. Adm. Code. (s. 299.80(2)(h) and (4)(b), Wis. Stats.)
    (1) Alternate Scenario #1: The permittee may operate new process 
equipment provided the permittee submits a complete construction and 
operation permit application as required by the conditions of I.A.5.a. 
and the Department issues a construction permit pursuant to ss. 285.60 
through 285.69, Wis. Stats and ss. NR 406 and NR 407, Wis. Adm. Code. 
The permittee shall operate the new process equipment in compliance 
with the conditions contained in any construction permit issued by the 
Department. (s. NR 406.03, Wis. Adm. Code)
    (2) Alternate Scenario #2: The permittee may initially operate new 
process equipment prior to obtaining a construction permit provided the 
permittee submits a complete

[[Page 3406]]

construction and operation permit application as required by the 
conditions of I.A.5.a. and the following conditions are met: (s. 
299.80(2)(h) and (4)(b), Wis. Stats.)
    (a) The permittee shall submit two copies of the following 
information to the Department of Natural Resources, La Crosse Area 
Office, 3550 Mormon Coulee Road, Room 104, La Crosse, WI, 54601 or 
other location specified by the Department, 14 calendar days prior to 
the date of initial operation:
    (i) Information identifying all applicable requirements from the 
Wisconsin Statutes, Wisconsin Administrative Code, and the Act for the 
proposed equipment;
    (ii) A quantification of the air pollution emissions that would 
result from the proposed project;
    (iii) A computer dispersion modeling analysis showing the National 
Ambient Air Quality Standards will be protected if the proposed project 
results in an increase in potential particulate matter, sulfur dioxide, 
nitrogen oxide, and/or carbon monoxide emissions.
    (iv) A computer dispersion modeling analysis showing the Acceptable 
Ambient Concentrations will be protected if the proposed project 
results in an increase in emissions of any hazardous air pollutant 
listed in ch. NR 445, Wis. Adm. Code so that the resulting facility 
total emissions of the hazardous air pollutant are above the 
corresponding Table Value(s) OR results in the emission of any 
hazardous air pollutant listed in ch. NR 445, Wis. Adm. Code that was 
not previously emitted, at a rate greater than its corresponding Table 
Value(s); and
    (v) An analysis showing the proposed project will not cause the 
total facility wide potential emissions of particulate matter, sulfur 
dioxide, nitrogen oxides or carbon monoxide to exceed 100 tons per 
year. Any proposed new or relocated source that will result in the 
facility wide potential emissions of any one of these pollutants 
exceeding 100 tons per year is not eligible for this waiver. If the 
facility wide potential emissions of any one of the pollutants would be 
greater than 100 tons per year as the result of a proposed project, the 
permittee shall comply with the construction permit requirements 
outlined in ch. NR 406, Wis. Adm. Code and the significant operation 
permit revision requirements of s. NR 407.13, Wis. Adm. Code.\3\ (ss. 
299.80(10) and (11)(b), Wis. Stats.)
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    \3\ This requirement is necessary because if the potential 
emissions of particulate matter, sulfur dioxide, nitrogen oxide or 
carbon monoxide emissions exceed 100 tons, the facility would be 
considered a major source for Part 70 purposes and would be required 
to obtain either a Part 70 source permit or a synthetic minor, non-
Part 70 source permit containing conditions that limit the potential 
emissions of all criteria pollutants to less than 100 tons per year.
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    (b) The Department has 14 calendar days from the date that all the 
information outlined in (a) is received to request additional 
information or object to the proposed project. If the Department 
requests additional information during the original 14 calendar day 
period the Department shall have an additional 7 calendar days from the 
date of receipt of the information to request additional information or 
object to the proposed project. Under no scenario shall the Department 
have less than 14 days to review original submittal. If the Department 
does not respond within 14 calendar days from the date that all the 
information outlined in (a) is submitted, or within 7 days from the 
date that any additional information requested by the Department is 
submitted, whichever is later, the permittee may commence initial 
operation of the proposed equipment. The Department may provide written 
approval to commence initial operation of the proposed equipment prior 
to the end of the 14 calendar day period. If this is the case the 
permittee may commence initial operation upon receipt of this written 
approval. (ss. 299.80(2)(h) and (11)(b), Wis. Stats.)
    (3) Alternate Scenario #3: The permittee may initially operate new 
process equipment prior to obtaining a construction permit provided the 
permittee submits a complete construction and operation permit 
application as required by the conditions of I.A.5.a. and the following 
conditions are met: (s. 299.80(2)(h) and (4)(b), Wis. Stats.)
    (a) The Department provides written approval to commence initial 
operation of the proposed equipment. This written approval shall only 
be provided after the Department completes an air quality dispersion 
modeling analysis to ensure that the national ambient air quality 
standards and acceptable ambient concentrations will be protected while 
the proposed equipment is operating; (s. NR 406.09, Wis. Adm. Code)
    (b) The permittee shall comply with any specific conditions 
included in the Department's written approval to commence initial 
operation;
    (4) The permittee shall continue to comply with all the 
requirements of Part I.A. of this permit so long as the cooperative 
agreement is in affect.\4\ (s. 299.80(2)(h) and (4)(b), Wis. Stats.)
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    \4\ By continuing to comply with the facility-wide emission 
limitations outlined in Part I.A., the net emissions increase from 
any new sources or relocation of any existing sources from other 
facilities will not exceed the major stationary source levels of s. 
NR 405.02(22)(a), Wis. Adm. Code triggering Prevention of 
Significant Deterioration (PSD) Requirements. The existing facility 
potential emissions of all criteria pollutants are less than 250 
tons per year and the facility is not included in the source 
categories listed in s. NR 405.07(4), Wis. Adm. Code, therefore the 
existing facility is a synthetic minor source for PSD purposes. 
Note: This facility is not located in an area designated 
nonattainment. Also, by continuing to comply with the facility wide 
emissions limitations, the potential emissions increase from any new 
sources or relocated existing sources will not exceed 100 tons per 
year after controls for any criteria pollutant. Therefore none of 
the changes will be considered a Type II action requiring an 
environmental assessment. Finally, by continuing to comply with the 
facility wide emission limitations, the facility would not become a 
major source for Part 70 purposes for either volatile organic 
compound or hazardous air pollutant emissions. Requirement 
I.A.5.a.(1)(g) of this permit requires that any changes that result 
in potential facility wide emissions of particulate matter, sulfur 
dioxide, nitrogen oxide or carbon monoxide emissions exceeding 100 
tons per year follow permit issuance requirements of chapters NR 406 
and NR 407, Wis. Adm. Code.
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    (5) Nothing in this section or in any Cooperative Agreement between 
the Department and the permittee shall be construed as a guarantee that 
the Department will issue an air pollution control construction and 
operation permit for a proposed project. The decision on whether to 
approve a permit application will be made according to the requirements 
of chapters NR 400 through NR 499, Wis. Adm. Code and s. 285.60 through 
285.69, Wis. Stats. If the Department denies a permit application 
pursuant to ss 285.61 through 285.64, Wis. Stats. all costs and risks 
associated with installing and operating the proposed equipment shall 
be incurred solely by the permittee. In the event that the construction 
and operation permit application for the proposed project is denied, 
the permittee shall cease construction and/or operation of the 
equipment in question immediately.
    2. Item: (Sparta Only--Processes P32, P33, P56, P42, and P44) 
Waiver from the requirements for Processes P32, P33, P56, P42 and P44 
at the Sparta facility to comply with the reasonable available control 
technology (RACT) requirements for controlling volatile organic 
compound emissions. Previous Requirements Superseded by this Agreement 
(source of the requirement):
    (1) 3 Roll Coating Machines P32: Requirement to limit volatile 
organic compound emissions from a miscellaneous metal parts or products 
coating line using baked or specially cured coating technology to not 
more

[[Page 3407]]

than: (a) 4.3 pounds per gallon of coating, excluding water, delivered 
to a coating applicator that applies clear coatings; (b) 3.5 pounds per 
gallon of coating, excluding water, delivered to a coating applicator 
that applies extreme performance coatings; (c) 3.0 pounds per gallon of 
coating, excluding water, delivered to a coating applicator for all 
other coatings. (s. NR 422.15(2), Wis. Adm. Code, the Specific Emission 
Limitation for volatile organic compounds in condition I.C.1. and 
conditions I.C.2.c., I.C.2.d., and I.C.2.e of Air Pollution Control 
Permit 92-POY-157 and the Specific Emission Limitation for volatile 
organic compounds in condition I.A.1. and conditions I.A.2.c., 
I.A.2.d., and I.A.2.e. of Air Pollution Control Permit 91-POY-088)
    (2) 2 Metal Spray Booths P33: Requirement to limit volatile organic 
compound emissions from a miscellaneous metal parts or products coating 
line using baked or specially cured coating technology to not more 
than: (a) 4.3 pounds per gallon of coating, excluding water, delivered 
to a coating applicator that applies clear coatings; (b) 3.5 pounds per 
gallon of coating, excluding water, delivered to a coating applicator 
that applies extreme performance coatings; (c) 3.0 pounds per gallon of 
coating, excluding water, delivered to a coating applicator for all 
other coatings. (s. NR 422.15(2), Wis. Adm. Code, the Specific Emission 
Limitation for volatile organic compounds in condition I.A.1. and 
conditions I.A.2.c., I.A.2.d., and I.A.2.e. of Air Pollution Control 
Permit 91-POY-157, and the Specific Emission Limitation for volatile 
organic compounds in condition I.D.1. of Air Pollution Control Permit 
91-POY-088.)
    (3) Roll Coating Line with Electric Oven P56: Requirement to limit 
volatile organic compound emissions from a miscellaneous metal parts or 
products coating line using baked or specially cured coating technology 
to not more than: (a) 4.3 pounds per gallon of coating, excluding 
water, delivered to a coating applicator that applies clear coatings; 
(b) 3.5 pounds per gallon of coating, excluding water, delivered to a 
coating applicator that applies extreme performance coatings; (c) 3.0 
pounds per gallon of coating, excluding water, delivered to a coating 
applicator for all other coatings. (s. NR 422.15(2), Wis. Adm. Code, 
the Specific Emission Limitation for volatile organic compounds in 
condition I.F.1. and conditions I.F.2.c. of Air Pollution Control 
Permit 93-IRS-040.)
    (4) Two Roll Coaters with Two Electric Drying Ovens P42: 
Requirement to limit volatile organic compound emissions from a 
miscellaneous metal parts or products coating line using baked or 
specially cured coating technology to not more than: (a) 4.3 pounds per 
gallon of coating, excluding water, delivered to a coating applicator 
that applies clear coatings; (b) 3.5 pounds per gallon of coating, 
excluding water, delivered to a coating applicator that applies extreme 
performance coatings; (c) 3.0 pounds per gallon of coating, excluding 
water, delivered to a coating applicator for all other coatings. (s. NR 
422.15(2), Wis. Adm. Code.)
    (5) Spray Booth P44: Requirement to limit volatile organic compound 
emissions from a miscellaneous metal parts or products coating line 
using baked or specially cured coating technology to not more than: (a) 
4.3 pounds per gallon of coating, excluding water, delivered to a 
coating applicator that applies clear coatings; (b) 3.5 pounds per 
gallon of coating, excluding water, delivered to a coating applicator 
that applies extreme performance coatings; (c) 3.0 pounds per gallon of 
coating, excluding water, delivered to a coating applicator for all 
other coatings. (s. NR 422.15(2), Wis. Adm. Code.)
    New Requirement: Volatile organic compound emissions from the 
entire Northern Engraving Corporation, Sparta facility may not exceed 
85 tons per year averaged over each 12 consecutive month period.
    3. Item: Waiver from individual process line latest available 
control technique (LACT) requirements for controlling volatile organic 
compound emissions.
    Previous Requirements Superseded by this Agreement (source of the 
requirement): Requirement to control volatile organic compound 
emissions from process lines on which construction or modification 
commenced on or after August 1, 1979, and which are not subject to 
emission limitations listed elsewhere in chs. NR 419 to 423, by at 
least 85 percent or where 85 percent control had been demonstrated to 
be technologically infeasible, to control volatile organic compounds 
using the latest available control techniques and operating practices 
demonstrating best current technology, as approved by the Department. 
(s. NR 424.03(2)(b) and (c), Wis. Adm. Code)

Holmen--LACT Permit Requirements

    Process P03: Permit 91-POY-126--Condition: I.D.1.

Specific Emission limitation for VOCs
    Process P08: Permit 91-POY-126--Condition: I.E.1.

Specific Emission Limitation for VOCs
    Process P09: Permit: 91-POY-126--Condition: I.A.1.

Specific Emission Limitation for VOCs
    Alteration EOP-10-KJC-83-32-081 dated May 27, 1987 for PSMG-04, 
PSO-21H, PSO-11-H, PSO-12-H, PSO-18-H and PSO-19-H

    Alteration of EOP-10-JKC-83-32-081 dated February 12, 1985 
Condition: I.A.44.Emission Limitation for Organic Compounds and I.A.50. 
Emission Limitation for Organic Compounds
    EOP-10-JKC-83-32-081--Condition: I.A.38. Emission Limitation of 
Organic Compounds, I.A.39. Emission Limitation of Organic Compounds, 
I.A.42. Emission Limitation for Organic Compounds Process P50: s. NR 
424.03(2)(b) and (c), Wis. Adm. Code

Sparta--LACT Permit Requirements

    Process P30: Permit 642025010-N01--Condition: I.A.2.

Specific Emission Limitation for VOCs
    EOP-10-KJC-83-42-077--Condition:I.A.5.

Specific Emission Limitation for VOCs
    Process P37: Permit 92-POY-068--Condition: I.B.

Specific Emission Limitation for VOCs
    EOP-10-KJC-83-32-077A--Condition I.A.4.

Specific Emission limitation for VOCs
    EOP-10--KJC-83-32-077--Condition I.A.8.

Specific Emission Limitation for VOCs
    Process P57: Permit 64025010-N01--Condtion I.A.1.

Specific Emission Limitation for VOCs
    Process P91: Permit 93-IRS-040--Condition I.D.1.

Specific Emission Limitation for VOCs
    Process P41: s. NR 424.03(2)(b) and (c), Wis. Adm. Code
    Process P42: s. NR 424.03(2)(b) and (c), Wis. Adm. Code
    Process P43: s. NR 424.03(2)(b) and (c), Wis. Adm. Code
    Process P44: s. NR 424.03(2)(b) and (c), Wis. Adm. Code

    New Requirement: Volatile organic compound emissions from each of 
the Sparta and Holmen NEC facilities may not exceed 85 tons per year 
averaged over each 12 consecutive month period.
    4. Item: Monthly rather than daily record keeping requirements and 
six month emission reporting.
    Previous Requirements Superseded by this Agreement (source of the 
requirement): The following permit conditions require Northern 
Engraving to keep daily records:

Holmen--Daily Recordkeeping Requirements

    Section NR 439.04(3), Wis. Adm.

[[Page 3408]]

Code

Permit 91-POY-126--Condition I.II.5.
    Alteration of permit EOP-10-KJC-83-32-081 dated 2/20/90 Condition 
I.B.13.

Sparta--Daily Recordkeeping Requirements

    Sections NR 439.04(5)(e) and (g) and NR 439.04(3), Wis. Adm. Code

Permit 92-POY-157--Conditions I.I.A.2.b., I.I.A.2.f., I.I.A.2.g., 
I.I.C.2.b., I.I.C.2.f., and I.I.C.2.g.
Permit 91-POY-088--Conditions I.I.A.2.b., I.I.A.2.d., and I.I.A.2.e.
Permit 93-IRS-040--Condition I.I.F.2.b.
    New Requirement: To demonstrate compliance status with the facility 
wide emission limitations for volatile organic compounds and hazardous 
air pollutants, NEC would be required to keep monthly records of 
emissions from each facility and report actual emission every 6 months 
as follows:
    (1) Each month the permittee shall calculate the total volatile 
organic compound emissions from the facility as follows:

E = (1 ton/2000 lbs) x {[(U1 x W1 x 
C1) + (U2 x W2 x C2) + ... 
+ (Un x Wn x Cn)] -[(S1 x 
P1) + (S2 x P2) + ... + (Sm 
x Pm)]{time} 

where:

    E is the monthly VOC emissions (tons/month);
    U is the monthly usage of each ink, coating, solvent, or other VOC 
containing material used during the month (gallons/month);
    W is the density of each ink, coating, solvent, or other VOC 
containing material used during the month (pounds/gallon)
    C is the VOC content of each ink, coating, solvent, or other VOC 
containing material used during the month expressed as a weight 
fraction (i.e. if a material is 25% VOC by weight C would be 0.25);
    n identifies each ink, coating, solvent or other VOC containing 
material used during the month;
    S is the amount of each spent ink, coating, solvent or other VOC 
containing material recovered and shipped off site each month (gallons/
month);
    P is the VOC content of each spent ink, coating, solvent or other 
VOC containing material recovered and shipped off site each month in 
pounds per gallon;
    m identifies each spent ink, coating, solvent or other VOC 
containing material recovered and shipped off site during the month. 
(s. NR 407.09(4)(a)1., Wis. Adm. Code)
    (2) To demonstrate compliance with condition I.A.1.a.(1), the 
permittee shall calculate the total volatile organic compound emissions 
from the facility over each 12 consecutive month period by summing the 
monthly volatile organic compound emissions as calculated in 
I.A.1.b.(1) for each consecutive 12-month period. This calculation 
shall be performed within 20 calendar days of the end of each month for 
the previous 12 consecutive month period. (s. NR 407.09(4)(a)1., Wis. 
Adm. Code)
    (3) The permittee shall use U.S. EPA Method 24, or coating 
manufacturer's formulation data to determine the VOC content (Cn) and 
the density (Wn) of the inks, coatings, solvents or other VOC 
containing materials used. In case of an inconsistency between the 
Method 24 results and the formulation data, the Method 24 results will 
govern. (s. NR 439.04(1)(d), Wis. Adm. Code)
    (4) The permittee shall analyze the spent ink, coating, solvent and 
other VOC containing material recovered and shipped off site to 
determine the VOC content (P) no less than: (a) each time there is a 
substantial change to materials or process operations that may affect 
the characteristics of the waste stream; or (b) quarterly, which ever 
is most frequent. (s. NR 439.04(1)(d), Wis. Adm. Code)
    (5) The permittee shall keep records of the following for each ink, 
coating, solvent, or other VOC containing material used at the 
facility:
    (a) A unique name or identification number; and
    (b) The VOC content, expressed as a weight fraction 
(Cn). (s. NR 439.04(1)(d), Wis. Adm. Code)
    (6) The permittee shall keep monthly records of:
    (a) The amount of each ink, coating, solvent, or other VOC 
containing material used in gallons per month (Un);
    (b) The density of each ink, coating, solvent, or other VOC 
containing material used in pounds per gallon (Wn);
    (c) The amount of spent ink, coating, solvent, or other VOC 
containing material recovered and shipped off site in gallons per month 
(Sm);
    (d) The VOC content of each spent ink, coating, solvent or other 
VOC containing material recovered and shipped off site in pounds per 
gallon (Pm).
    (e) The total monthly VOC emissions from the facility in tons per 
month (E), as calculated in I.A.1.b.(1); and
    (f) The total VOC emissions from the facility in tons per year as 
calculated in I.A.1.b.(2). (s. NR 439.04(1)(d), Wis. Adm. Code)
    (7) Each month the permittee shall calculate the total emissions of 
each hazardous air pollutant from the facility regulated by the Act as 
follows:\5\
---------------------------------------------------------------------------

    \5\ This calculation shall be performed for each hazardous air 
pollutant regulated by the Act that is emitted from the facility.
---------------------------------------------------------------------------

Ex = (1 ton/2000 lbs) x {[(U1 x W1 x 
H1) + (U2 x W2 x H2) + . . 
. + (Un x Wn x Hn)]-[(S1 x 
I1) + (S2 x I2) + . . . + 
(Sm x Im)]{time} 
where:

    Ex is the monthly emissions of each hazardous air 
pollutant regulated by the Act (tons/month);
    x identifies each HAP emitted from the facility
    U is the monthly usage of each ink, coating, solvent, or other HAP 
containing material used during the month (gallons/month);
    W is the density of each ink, coating, solvent, or other HAP 
containing material used during the month (pounds/gallon)
    H is the HAP content of each ink, coating, solvent, or other HAP 
containing material used during the month expressed as a weight 
fraction (i.e. if a material is 25% HAP by weight H would be 0.25);
    n identifies each ink, coating, solvent or other HAP containing 
material used during the month;
    S is the amount of each spent ink, coating, solvent or other HAP 
containing material recovered and shipped off site each month (gallons/
month);
    I is the HAP content of each spent ink, coating, solvent or other 
HAP containing material recovered and shipped off site each month in 
pounds per gallon;
    m identifies each spent ink, coating, solvent or other HAP 
containing material recovered and shipped off site during the month. 
(s. NR 407.09(4)(a)1., Wis. Adm. Code)
    (8) To demonstrate compliance with condition I.A.2.a.(1), the 
permittee shall calculate the emissions of each hazardous air pollutant 
regulated by the Act over each 12 consecutive month period by summing 
the monthly emissions of each hazardous air pollutant regulated by the 
Clean Air Act (the Act) as calculated in I.A.2.b.(1) for each 
consecutive 12-month period. This calculation shall be performed within 
20 calendar days of the end of each month for the previous 12 
consecutive month period. (s. NR 407.09(4)(a)1., Wis. Adm. Code)
    (9) Each month the permittee shall calculate the total emissions of 
hazardous air pollutants regulated by the Act as follows:

Ehap = Ex

where:


[[Page 3409]]


    Ehap is the monthly total emissions of all hazardous air 
pollutants regulated by the Act that are emitted by the facility (tons/
month);
    Ex is the monthly emissions of each hazardous air 
pollutant regulated by the Act (tons/month) as calculated in 
I.A.2.b.(1); x identifies each HAP emitted from the facility. (s. NR 
407.09(4)(a)1., Wis. Adm. Code)
    (10) To demonstrate compliance with condition I.A.2.a.(2), the 
permittee shall calculate the total emissions of all hazardous air 
pollutants regulated by the Act over each 12 consecutive month period 
by summing the monthly emissions of all hazardous air pollutants 
regulated by the Act as calculated in I.A.2.b.(3) for each consecutive 
12-month period. This calculation shall be performed within 15 calendar 
days of the end of each month for the previous 12 consecutive month 
period. (s. NR 407.09(4)(a)1., Wis. Adm. Code)
    (11) The permittee shall use coating manufacturer's formulation 
data to determine the HAP content (Hn) of the inks, coatings, solvents 
or other HAP containing materials used. (s. NR 439.04(1)(d), Wis. Adm. 
Code)
    (12) The permittee shall analyze the spent ink, coating, solvent 
and other HAP containing material recovered and shipped off site to 
determine the HAP content (H) no less than: (a) each time there is a 
substantial change to materials or process operations that may affect 
the characteristics of the waste stream; or (b) quarterly, whichever is 
more frequent. (s. NR 439.04(1)(d), Wis. Adm. Code)
    (13) The permittee shall keep records of the following for each 
ink, coating, solvent, or other HAP containing material used at the 
facility:
    (a) A unique name or identification number; and
    (b) The weight fraction of each HAP contained in the material 
(Hn). (s. NR 439.04(1)(d), Wis. Adm. Code)
    (14) The permittee shall keep monthly records of:
    (a) The amount of each ink, coating, solvent, or other HAP 
containing material used in gallons per month (Un);
    (b) The density of each ink, coating, solvent, or other HAP 
containing material used in pounds per gallon (Wn);
    (c) The amount of spent ink, coating, solvent, or other HAP 
containing material recovered and shipped off site in gallons per month 
(Sm);
    (d) The amount of each HAP contained in each spent ink, coating, 
solvent or other HAP containing material recovered and shipped off site 
in pounds per gallon (Im);
    (e) The facility total monthly emissions of each HAP in tons per 
month (Ex), as calculated in I.A.2.b.(1);
    (f) The total monthly HAP emissions from the facility in tons per 
month (Ehap), as calculated in I.A.2.b.(3);
    (g) The facility total emissions of each HAP in tons per year as 
calculated in I.A.2.b.(2).
    (h) The total HAP emissions from the facility in tons per year as 
calculated in I.A.2.b.(4). (s. NR 439.04(1)(d), Wis. Adm. Code)
    (15) Report actual facility wide volatile organic compound and 
hazardous air pollutant emissions as follows:
    (a) The permittee shall submit a report summarizing the actual, 
facility wide volatile organic compound and hazardous air pollutant 
emissions for each consecutive 12-month period as calculated in 
conditions I.A.1.b.(2) and I.A.2.b.(2) and (4), every 6 months.
    (b) The period addressed by the report shall be the 6 month period 
starting on the date the Cooperative Agreement is signed or other date 
agreed upon and approved by WDNR, EPA and the permittee, and each 
subsequent 6 month period thereafter.
    (c) A copy of the report shall be submitted to the WDNR (Marty 
Sellers, Air Management Engineer, Department of Natural Resources, 3550 
Mormon Coulee Road, La Crosse, WI 54601) and the U.S. EPA (Steve 
Rothblatt, Branch Chief, Air Program Branch, U.S. EPA, 77 W. Jackson 
Blvd., Mailcode: (AR-18J), Chicago, IL 60604) within 20 days following 
the end of the reporting period.
    (d) If the report shows the actual facility wide volatile organic 
compound or hazardous air pollutant emissions have exceeded 50 percent 
of the allowable limitations outlined in conditions I.A.1.a and 
I.A.2.a.(1) and (2), the permittee shall provide an explanation why 
emissions reached the levels that they did and how they intend to 
ensure emissions will not exceed the allowable limitations outlined in 
conditions I.A.1.a. and I.A.2.a.(1) and (2). (s. NR 439.03(1)(a), Wis. 
Adm. Code)

Administrative Review

    The EPA is publishing this SIP revision approval without prior 
proposal, because EPA views this as a noncontroversial revision and 
anticipates no adverse comments. However, in a separate document in 
this Federal Register publication, EPA is proposing to approve the SIP 
revision should adverse written comments be filed. The approval of this 
SIP revision will be effective without further notice unless EPA 
receives relevant adverse written comments by February 24, 2003. Should 
EPA receive such comment, we will publish a final rule informing the 
public that this action will not take effect. Any parties interested in 
commenting on this action should do so at this time. If we do not 
receive comments, this action will be effective on March 25, 2003.
    Under Executive Order 12866 (58 FR 51735, October 4, 1993), this 
action is not a ``significant regulatory action'' and therefore is not 
subject to review by the Office of Management and Budget. For this 
reason, this action is also not subject to Executive Order 13211, 
``Actions Concerning Regulations That Significantly Affect Energy 
Supply, Distribution, or Use'' (66 FR 28355, May 22, 2001). This action 
merely approves state law as meeting federal requirements and imposes 
no additional requirements beyond those imposed by state law. 
Accordingly, the Administrator certifies that this rule will not have a 
significant economic impact on a substantial number or small entities 
under the Regulatory Flexibility Act (5 U.S.C. 601 et seq.). Because 
this rule approves pre-existing requirements under state law and does 
not impose any additional enforceable duty beyond that required by 
state law, it does not contain an unfunded mandate nor does it 
significantly or uniquely affect small governments, as described in the 
Unfunded Mandates Reform Act of 1995 (Pub. L. 104-4).
    This rule does not have tribal implications, because it will not 
have a substantial direct effect on one or more Indian tribes, or 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 by Executive Order 13175 (65 
FR 67249, November 9, 2000). This action also does not have Federalism 
implications, because it does not have substantial direct effects on 
the states, or 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 (64 
FR 43255, August 10, 1999). This action 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 Act. 
Executive Order 13045 ``Protection of Children from Environmental 
Health Risks and Safety Risks'' (62 FR 19855, April 23, 1997), applies 
to any rule that is both economically significant, as defined under 
Executive Order 12866, and concerns an environmental health

[[Page 3410]]

or safety risk that EPA has reason to believe may have a 
disproportionate effect on children. This rule is not subject to 
Executive Order 13045 because it is not economically significant.
    Section 12(d) of the National Technology Transfer and Advancement 
Act of 1995 (NTTA), 15 U.S.C. 272 note, requires federal agencies to 
use technical standards that are developed or adopted by voluntary 
consensus to carry out policy objectives, so long as such standards are 
not inconsistent with applicable law or otherwise impracticable. In 
reviewing SIP submissions, EPA's role is to approve state choices, 
provided that they meet the criteria of the Act. Absent a prior 
existing requirement for the state to use voluntary consensus 
standards, EPA has no authority to disapprove a SIP submission for 
failure to use such standards, and it would thus be inconsistent with 
applicable law for EPA to use voluntary consensus standards in place of 
a SIP submission that otherwise satisfies the provisions of the Act. 
Therefore, the requirements of section 12(d) of the NTTA do not apply. 
This rule does not impose an information collection burden under the 
provisions of the Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et 
seq.).
    The Congressional Review Act, (5 U.S.C. 801 et seq.), as added by 
the Small Business 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 the Comptroller General of the United States. 
The EPA will submit a report containing this rule and other required 
information to the United States Senate, the United States 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(2).
    Under Section 307(b)(1) of the Act, petitions for judicial review 
of this action must be filed in the United States Court of Appeals for 
the appropriate circuit by March 25, 2003. 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 late in proceedings to enforce its 
requirements.

List of Subjects in 40 CFR Part 52

    Environmental protection, Air pollution control, Incorporation by 
reference, Hazardous air pollutants, Volatile organic compounds.

    Dated: October 24, 2002.
Bharat Mathur,
Acting Regional Administrator, Region 5.

    Part 52, chapter I, title 40 of the Code of Federal Regulations is 
amended as follows:

PART 52--[AMENDED]

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

    Authority: 42 U.S.C. 7401 et seq.

Subpart YY--Wisconsin

    2. Section 52.2570 is amended by adding paragraph (c)(107) to read 
as follows:


Sec.  52.2570  Identification of plan.

* * * * *
    (c) * * *
    (107) On June 12, 2002, the Wisconsin Department of Natural 
Resources submitted a site specific revision to its SIP for emissions 
from Northern Engraving Corporation's Holmen and Sparta facilities in 
the form of a Environmental Cooperative Agreement for incorporation 
into the federally enforceable State Implementation Plan. It consists 
of portions of the Environmental Cooperative Agreement which supersede 
portions of rules in the State Implementation Plan. The Cooperative 
Agreement establishes an exemption for pre-construction permitting 
activities for certain physical changes or changes in the method of 
operation at the Northern Engraving Corporation's Holmen and Sparta 
facilities.
    (i) Incorporation by reference.
    (A) The following provisions of the Environmental Cooperative 
Agreement between Northern Engraving Corporation (NEC) and the 
Wisconsin Department of Natural Resources signed on June 10, 2002: 
Section XI of the Environmental Cooperative Agreement (Operational 
Flexibility and Variances) and Part IA. of Appendix C.3: Specific 
Permit Conditions under the Environmental Cooperative Agreement for 
NEC's Sparta facility.

[FR Doc. 03-1516 Filed 1-23-03; 8:45 am]
BILLING CODE 6560-50-P