[Federal Register Volume 68, Number 62 (Tuesday, April 1, 2003)]
[Rules and Regulations]
[Pages 15664-15666]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-7643]


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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[IN214-1a; FRL-7470-7]


Approval and Promulgation of Implementation Plans; Indiana

AGENCY: Environmental Protection Agency (EPA).

ACTION: Direct final rule.

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SUMMARY: On August 8, 2001, the Indiana Department of Environmental 
Management (IDEM) submitted a request that EPA approve a revision to 
its shipbuilding and ship repair volatile organic compound (VOC) rules 
into the Indiana State Implementation Plan. The State submitted 
additional information on October 1, 2002. This revision changes 
exemption levels and compliance, recordkeeping and reporting 
requirements. EPA is approving these revisions because they are 
enforceable and, in some cases, more stringent than the existing rules.

DATES: This rule is effective on June 2, 2003, unless EPA receives 
relevant adverse written comments by May 1, 2003. If adverse comment is 
received, 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 should send written comments to: J. Elmer Bortzer, 
Chief, Regulation Development Section, Air Programs Branch (AR-18J), 
U.S. Environmental Protection Agency, Region 5, 77 West Jackson 
Boulevard, Chicago, Illinois 60604.
    You may inspect copies of the State submittal and EPA's analysis of 
it at:
    Regulation Development Section, Air Programs Branch (AR-18J), U.S. 
Environmental Protection Agency, Region 5, 77 West Jackson Boulevard, 
Chicago, Illinois 60604.

FOR FURTHER INFORMATION CONTACT: Steven Rosenthal, Air Programs Branch 
(AR-18J), U.S. Environmental Protection Agency, Region 5, 77 West 
Jackson Boulevard, Chicago, Illinois 60604, (312) 886-6052.

SUPPLEMENTARY INFORMATION: Throughout this document wherever ``we'', 
``us'', or ``our'' are used we mean EPA. ``You'' means the reader of 
this document.

Table of Contents

I. Background
II. What changes did the state include in this SIP Revision Request 
and what is EPA's analysis of these revisions?
III. Rulemaking action
IV. Statutory and Executive Order Reviews

I. Background

    Shipbuilding and ship repair companies in Clark, Floyd, Lake, and 
Porter counties are required to comply with the VOC requirements in 326 
Indiana Administrative Code (IAC) 8-12 and the national emission 
standards for hazardous air pollutants (NESHAPS) in title 40, part 63, 
subpart II.
    IDEM states, in an October 1, 2002, letter from IDEM to EPA that it 
has identified one source in Clark County, Jeffboat, that is subject to 
both the NESHAPS and the VOC rule for shipbuilding and ship repair. In 
an effort to streamline some of the overlapping requirements between 
the NESHAPs and the VOC rule, IDEM revised its VOC rule to eliminate 
certain inconsistent requirements. This letter includes IDEM's 
interpretation of certain points in its rule as well as a table for use 
in determining the allowable thinning ratio (that is, the amount of 
generally 100% VOC solvent that can be added to a coating without it 
exceeding the allowable VOC content).

II. What Changes Did the State Include in This SIP Revision Request and 
What Is EPA's Analysis of These Revisions?

    Indiana revised several sections in 326 IAC 8-12, its VOC rule for 
Shipbuilding and Ship Repair coating operations. A description of these 
revisions and EPA's evaluation of these revisions follows:

A. 326 IAC 8-12-2(1) Exemptions

    Indiana increased the exemption level of any coating from 20 to 25 
gallons per year, and reduced the total volume of all exempt coatings 
from 400 to 264 gallons per year. This revision is approvable because 
the total allowable annual volume of exempt coatings is reduced and the 
cutoffs are less than those in the NESHAPS.

B. 326 IAC 8-12-4(2)VOC Emission Limiting Requirements

    This section has been revised to require that the general use 
coating emission limit be in effect for the entire year, instead of 
only May 1 through September 30. This revision is approvable because it 
extends the applicability of the general use coating limitation, and 
will limit VOC emissions from October through April.

[[Page 15665]]

The VOC emission limits for each coating category require that each 
coating (with no averaging between coatings) must comply with the 
limits on an as-applied (that is, including any thinner added) basis. 
This requirement is reinforced in IDEM's October 1, 2002, letter.

C. 326 IAC 8-12-5 Compliance Requirements

    The compliance requirements in this section were replaced by the 
NESHAPS requirements in 40 CFR 63.784 and 40 CFR 63.785. These 
requirements include an equation to determine the maximum allowable 
thinning ratio. The emission limit, in units of grams VOC/liter of 
solids (as opposed to the pounds VOC/gallon units in Indiana's rule), 
is one of the terms in this equation. IDEM's October 1, 2002, letter 
includes a table that specifies the limits for each coating category in 
terms of grams VOC/liter of solids, thus facilitating use of this 
equation. This revision, therefore, improves the effectiveness of this 
rule by explicitly establishing how much thinner can be added to a 
coating without exceeding the applicable emission limit.

D. 326 IAC 8-12-6 Test Methods and Procedures

    The test methods and procedures in this section were replaced by 
the NESHAPS requirements in 40 CFR 63.786. The NESHAPS test methods 
include the use of EPA's Method 24 for determining VOC content and are 
therefore approvable.

E. Recordkeeping, Notification and Reporting Requirements

    This section replaces the previous requirements with the NESHAPS 
requirements in 40 CFR 63.787 and 40 CFR 63.788. This results in a 
change from daily to monthly recordkeeping. Although going from daily 
to monthly recordkeeping may sometimes constitute a relaxation, it is 
not in this case. As discussed previously, Indiana's rules were changed 
from allowing compliance to be determined on a daily average to 
requiring that each coating comply on an as-applied basis without 
averaging. Monthly recordkeeping does not interfere with enforceability 
of these emission limits because it is only necessary for the VOC 
content of the coatings to be identified without consideration of any 
averaging.

III. Rulemaking Action

    EPA is approving, through direct final rulemaking, revisions to the 
VOC rules for the shipbuilding and ship repair industry. This rule 
applies to the coating operations carried out by the shipbuilding and 
ship repair industries in Clark, Floyd, Lake, and Porter counties of 
Indiana. This revision amends 326 IAC 8-12. EPA is approving: 
Increasing of the individual coating exemptions from 20 gallons per 
year to 25 gallons per year in 326 IAC 8-12-2; the decreasing of the 
amount of total allowable exempt coatings from 400 gallons per year to 
264 gallons per year in 326 IAC 8-12-2; the changing of the wording of 
326 IAC 8-12-4 by moving the words, ``from May 1 through September 
30,'' from 8-12-4(a)(2) to 8-12-4(a)(2)(B); the replacing of portions 
of the VOC rules, sections 326 IAC 8-12-5 through 326 IAC 8-12-7, 
dealing with compliance requirements, test methods and procedures, 
recordkeeping requirements, notification requirements, and reporting 
requirements with the Federal National Emission Standards for Hazardous 
Air Pollutants (NESHAP) requirements in sections 40 CFR 63.784 through 
40 CFR 63.788.
    We are publishing this action without a prior proposal because we 
view these as noncontroversial revisions and anticipate no adverse 
comments. However, in the ``Proposed Rules'' section of today's Federal 
Register, we are publishing a separate document that will serve as the 
proposal to approve the SIP revision if adverse comments are filed. 
This rule will be effective on June 2, 2003, without further notice 
unless we receive relevant adverse written comment by May 1, 2003. If 
the EPA receives adverse written comment, we will publish a final rule 
informing the public that this rule will not take effect. We will 
address all public comments in a subsequent final rule based on the 
proposed rule. The EPA does not intend to institute a second comment 
period on this action. Any parties interested in commenting on these 
actions must do so at this time.

IV. Statutory and Executive Order Reviews

    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 of 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 any unfunded mandate or significantly or 
uniquely affect small governments, as described in the Unfunded 
Mandates Reform Act of 1995 (Public Law 104-4).
    This rule also does not have tribal implications because it will 
not have a substantial direct effect on one or more Indian tribes, 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, 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 (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 Clean 
Air Act. This rule also is not subject to Executive Order 13045 
``Protection of Children from Environmental Health Risks and Safety 
Risks'' (62 FR 19885, April 23, 1997), because it is not economically 
significant.
    In reviewing SIP submissions, EPA's role is to approve state 
choices, provided that they meet the criteria of the Clean Air Act. In 
this context, in the absence of a prior existing requirement for the 
State to use voluntary consensus standards (VCS), EPA has no authority 
to disapprove a SIP submission for failure to use VCS. It would thus be 
inconsistent with applicable law for EPA, when it reviews a SIP 
submission, to use VCS in place of a SIP submission that otherwise 
satisfies the provisions of the Clean Air Act. Thus, the requirements 
of section 12(d) of the National Technology Transfer and Advancement 
Act of 1995 (15 U.S.C. 272 note) 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 Regulatory Enforcement Fairness Act of 1996, generally 
provides

[[Page 15666]]

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(2).
    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 June 2, 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 later in proceedings 
to enforce its requirements. (See section 307(b)(2).)

List of Subjects in 40 CFR Part 52

    Environmental protection, Air pollution control, Incorporation by 
reference, Intergovernmental relations, Ozone, Reporting and 
recordkeeping requirements, Volatile organic compounds.

    Dated: March 4, 2003.
Bharat Mathur,
Acting Regional Administrator, Region 5.

0
For the reasons stated in the preamble, part 52, chapter I, title 40 of 
the Code of Federal Regulations is amended as follows:

PART 52--[AMENDED]

0
1. The authority citation for part 52 continues to read as follows:

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

Subpart P-Indiana

0
2. Section 52.770 is amended by adding paragraph (c)(154) to read as 
follows:


Sec.  52.770  Identification of plan.

* * * * *
    (c)* * *
    (154) On August 08, 2001, Indiana submitted revised volatile 
organic Compound control requirements for certain facilities in the 
Indiana shipbuilding and ship repair industry. This submittal changes 
the individual and plantwide coating exemption levels and makes 
revisions to the compliance requirements, test methods and 
recordkeeping requirements. On October 1, 2002, Indiana submitted a 
letter providing its interpretation of certain of the above 
requirements.
    (i) Incorporation by reference.
    (A) Indiana Administrative Code Title 326: Air Pollution Control 
Board, Article 8: Volatile Organic Compounds, Rule 12: Shipbuilding or 
Ship Repair Operations in Clark, Floyd, Lake, and Porter Counties, 
Section 2: Exemptions, Section 4: Volatile organic compound emissions 
limiting requirements, Section 5: Compliance requirements, Section 6: 
Test methods and procedures, Section 7: Recordkeeping, notification, 
and reporting requirements. Adopted by the Indiana Air Pollution 
Control Board on February 7, 2001. Filed with the Secretary of State 
June 15, 2001, effective July 15, 2001.
    (B) An October 1, 2002, letter from the Indiana Department of 
Environmental Management which provides background information on its 
shipbuilding and ship repair rule revisions and its interpretation of 
certain of these requirements.

[FR Doc. 03-7643 Filed 3-31-03; 8:45 am]
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