[Federal Register Volume 75, Number 214 (Friday, November 5, 2010)]
[Proposed Rules]
[Pages 68251-68259]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2010-28001]


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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[EPA-R03-OAR-2010-0552; FRL-9221-9]


Approval and Promulgation of Air Quality Implementation Plans; 
Pennsylvania; 2002 Base Year Emission Inventory, Reasonable Further 
Progress Plan, Contingency Measures, Reasonably Available Control 
Measures, and Transportation Conformity Budgets for the Pennsylvania 
Portion of the Philadelphia-Wilmington-Atlantic City 1997 8-Hour 
Moderate Ozone Nonattainment Area

AGENCY: Environmental Protection Agency (EPA).

ACTION: Proposed rule.

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SUMMARY: EPA is proposing to approve revisions to the Pennsylvania 
State Implementation Plan (SIP) to meet the 2002 base year emissions 
inventory, the reasonable further progress (RFP) plan, RFP contingency 
measure, and reasonably available control measure (RACM) requirements 
of the Clean Air Act (CAA) for the Philadelphia-Wilmington-Atlantic 
City, PA-NJ-MD-DE moderate 1997 8-hour ozone nonattainment area. EPA is 
also proposing to approve the 2008 transportation conformity motor 
vehicle emissions budgets (MVEBs) associated with the reasonable 
further progress portion of these revisions. EPA is proposing to 
approve the SIP revisions because they satisfy the emission inventory, 
RFP, RACM, RFP contingency measures, and transportation conformity 
requirements for areas classified as moderate nonattainment for the 
1997 8-hour ozone national ambient air quality standard (NAAQS) and 
demonstrates further progress in reducing ozone precursors. EPA is 
proposing to approve the SIP revision, pursuant to section 110 and part 
D of the CAA and EPA's regulations.

DATES: Written comments must be received on or before December 6, 2010.

ADDRESSES: Submit your comments, identified by Docket ID Number EPA-
R03-OAR-2010-0552 by one of the following methods:
    A. http://www.regulations.gov. Follow the on-line instructions for 
submitting comments.
    B. E-mail: [email protected].
    C. Mail: EPA-R03-OAR-2010-0552, Maria Pino, Acting Associate 
Director, Office of Air Program Planning, Mailcode 3AP30, U.S. 
Environmental Protection Agency, Region III, 1650 Arch Street, 
Philadelphia, Pennsylvania 19103.
    D. Hand Delivery: At the previously-listed EPA Region III address. 
Such deliveries are only accepted during the Docket's normal hours of 
operation, and special arrangements should be made for deliveries of 
boxed information.
    Instructions: Direct your comments to Docket ID No. EPA-R03-OAR-
2010-0552. EPA's policy is that all comments received will be included 
in the public docket without change, and may be made available online 
at http://www.regulations.gov, including any personal information 
provided, unless the comment includes information claimed to be 
Confidential Business Information (CBI) or other information whose 
disclosure is restricted by statute. Do not submit information that you 
consider to be CBI or otherwise protected through http://www.regulations.gov or e-mail. The http://www.regulations.gov Web site 
is an ``anonymous access'' system, which means EPA will not know your 
identity or contact information unless you provide it in the body of 
your comment. If you send an e-mail comment directly to EPA without 
going through http://www.regulations.gov, your e-mail address will be 
automatically captured and included as part of the comment that is 
placed in the public docket and made available on the Internet. If you 
submit an electronic comment, EPA recommends that you include your name 
and other contact information in the body of your comment and with any 
disk or CD-ROM you submit. If EPA cannot read your comment due to 
technical difficulties and cannot contact you for clarification, EPA 
may not be able to consider your comment. Electronic files should avoid 
the use of special characters, any form of encryption, and be free of 
any defects or viruses.
    Docket: All documents in the electronic docket are listed in the 
http://www.regulations.gov index. Although listed in the index, some 
information is not publicly available, i.e., CBI or other information 
whose disclosure is restricted by statute. Certain other material, such 
as copyrighted material, is not placed on the Internet and will be 
publicly available only in hard copy form. Publicly available docket 
materials are available either electronically in http://www.regulations.gov or in hard copy during normal business hours at the 
Air Protection Division, U.S. Environmental Protection Agency, Region 
III, 1650 Arch Street, Philadelphia, Pennsylvania 19103. Copies of the 
State submittal are available at the Pennsylvania Department of 
Environmental Protection, Bureau of Air Quality Control, P.O. Box 8468, 
400 Market Street, Harrisburg, Pennsylvania 17105.

FOR FURTHER INFORMATION CONTACT: Brian K. Rehn, (215) 814-2176, or by 
e-mail at [email protected].

SUPPLEMENTARY INFORMATION: Throughout this document, whenever ``we,'' 
``us,'' or ``our'' is used, we mean EPA.
    The following is provided to aid in locating information in this 
document.

I. What action is EPA taking?
II. What is the background of this action?
III. What is EPA's evaluation of the revision?
IV. Statutory and Executive Order Reviews

I. What action is EPA taking?

    EPA is proposing to approve a revision, and two subsequent 
clarification SIP revisions, to the Pennsylvania SIP. This SIP revision 
was

[[Page 68252]]

originally submitted by the Pennsylvania Department of Environmental 
Protection (PA DEP) on August 29, 2007, and was formally amended by 
Pennsylvania on December 10, 2009 and again on April 12, 2010. The 
August 2007 SIP contains an ozone attainment demonstration for the 
Pennsylvania portion of the Philadelphia-Wilmington-Atlantic City 
nonattainment area (NAA); the related 2009 projected emissions 
inventory for the attainment demonstration; a base year emissions 
inventory for the year 2002; and a 15 percent reasonable further 
progress plan and associated 2008 projected emission inventory; 
contingency measures, which serve to achieve additional reductions in 
the event reasonable further progress is not achieved by 2008; an 
analysis of RACM; and 2008 MVEB associated with reasonable further 
progress. EPA proposed separate rulemaking action on the ozone 
demonstration portion of the August 2007 SIP revision in a notice 
published in the May 8, 2009 Federal Register (88 FR 21604).
    EPA is proposing to approve portions of that August 2007 SIP 
revision (as amended in December 2009 and April 2010). The SIP elements 
upon which EPA is herein proposing to approve include: The 2002 base 
year emissions inventory, the 15 percent RFP plan and associated 
projected 2008 emission inventories, the contingency measures for 
failure to meet 2008 RFP, the RACM analysis, and the RFP 2008 MVEBs. 
The RFP plan demonstrates that emissions will be reduced 15 percent for 
the period of 2002 through 2008. The 2008 MVEB for volatile organic 
compound (VOC) is 61.09 tons per day (tpd) and the 2008 MVEB for 
nitrogen oxides (NOX) is 108.78 tpd. EPA is proposing to 
approve the SIP revision because it satisfies RFP, contingency measure, 
RACM, RFP transportation conformity, and emissions inventory 
requirements for areas classified as moderate nonattainment for the 
1997 8-hour ozone NAAQS and demonstrates further progress in reducing 
ozone precursors. EPA is proposing to approve the SIP revision pursuant 
to section 110 and part D of the CAA and EPA's regulations.

II. What is the background for this action?

    In 1997, EPA revised the health-based NAAQS for ozone, setting it 
at 0.08 parts per million (ppm) averaged over an 8-hour time frame. EPA 
set the 8-hour ozone standard based on scientific evidence 
demonstrating that ozone causes adverse health effects at lower ozone 
concentrations and over longer periods of time, than was understood 
when the pre-existing 1-hour ozone standard was set. EPA determined 
that the 8-hour standard would be more protective of human health, 
especially children and adults who are active outdoors, and individuals 
with a pre-existing respiratory disease, such as asthma.
    On April 30, 2004 (69 FR 23951), EPA finalized its attainment/
nonattainment designations for areas across the country with respect to 
the 8-hour ozone standard. These actions became effective on June 15, 
2004. Among those nonattainment areas is the Philadelphia-Wilmington-
Atlantic City, PA-DE-NJ-MD moderate NAA. This nonattainment area 
includes Bucks, Chester, Delaware, Montgomery, and Philadelphia 
Counties in Pennsylvania, as well as counties in New Jersey and 
Delaware. EPA has taken separate action on separate plans submitted by 
neighboring states on portions of this nonattainment area that lie in 
those neighboring states.
    These designations triggered the CAA's section 110(a)(1) 
requirement that states must submit attainment demonstrations for their 
nonattainment areas to EPA by no later than three years after the 
promulgation of a NAAQS. Accordingly, EPA's Phase 1 8-hour ozone 
implementation rule (Phase 1 rule), published on April 30, 2004 (69 FR 
23951), specifies that states must submit attainment demonstrations for 
their nonattainment areas to the EPA by no later than three years from 
the effective date of designation, that is, by June 15, 2007.
    Pursuant to the Phase 1 rule, an area was classified under subpart 
2 of the CAA based on its 8-hour design value if that area had a 1-hour 
design value at or above 0.121 ppm (the lowest 1-hour design value in 
Table 1 of subpart 2). Based on this criterion, the Philadelphia-
Wilmington-Atlantic City ozone NAA was classified under subpart 2 as a 
moderate nonattainment area.
    On November 29, 2005 (70 FR 71612), as revised on June 8, 2007 (72 
FR 31727), EPA published the final Phase 2 Rule for implementation of 
the 8-hour standard (Phase 2 rule). The Phase 2 rule addressed the RFP 
control and planning obligations as they apply to areas designated 
nonattainment for the 1997 8-hour ozone NAAQS.
    Among other things, the Phase 1 and 2 rules outline the SIP 
requirements and deadlines for various requirements in areas designated 
as moderate nonattainment. The rules further require that modeling and 
attainment demonstrations, RFP plans, RACM, projection year emission 
inventories, motor vehicle emissions budgets, and contingency measures 
were all due by June 15, 2007 (40 CFR 51.908(a), (c)).
    Section 182(b)(1) of the CAA and EPA's 1997 8-hour ozone 
implementation rule (40 CFR 51.910) require each 8-hour ozone 
nonattainment area designated moderate and above to submit an emissions 
inventory and RFP plan, for review and approval into its SIP, that 
describes how the area will achieve actual emissions reductions of VOC 
and NOX from a baseline emissions inventory.

III. What is EPA's evaluation of the revision?

    EPA's analysis and findings are discussed in this proposed 
rulemaking and a more detailed discussion is contained in the Technical 
Support Document (TSD) for this Proposal, which is available on line at 
http://www.regulations.gov, Docket number EPA-R03-OAR-2010-0552.
    On August 29, 2007, Pennsylvania submitted a comprehensive plan for 
the Pennsylvania portion of the Philadelphia-Wilmington-Atlantic City 
nonattainment area to address the CAA's 8-hour ozone attainment 
requirements. This SIP submittal included an attainment demonstration 
plan, a plan demonstrating 15 percent RFP for the period from 2002-
2008, a RACM analysis, contingency measures for RFP and attainment, on-
road VOC and NOX MVEBs, and the 2002 base year emissions 
inventory. On December 10, 2009, Pennsylvania submitted a revision to 
amend the August 2007 SIP to make minor corrections to the 2002 
stationary point source and area source emissions inventories, and to 
reflect those changes in its 2002-2008 RFP demonstration. On April 12, 
2010, Pennsylvania submitted another SIP revision to amend the August 
2007 SIP revision to revise its point source emissions inventory to 
substitute a revised appendix entitled, ``Appendix B-2: Stationary 
Point Source Emissions Annual Emissions.''
    These SIP revisions were subject to notice and comment by the 
public, and the Commonwealth of Pennsylvania addressed the comments 
received on the proposed SIP revisions. All sections of these SIP 
submittals are discussed in this rulemaking. However, EPA earlier 
proposed separate rulemaking upon the attainment demonstration plan 
portion of the August 29, 2007 SIP revision plan, in a May 8, 2009 
Federal Register notice, and the attainment demonstration portion of 
the August 2007 SIP revision is therefore not part of this action. The 
attainment demonstration plan and related

[[Page 68253]]

attainment contingency measures, 2009 or later projected emission 
inventory, and 2009 MVEB sections of Pennsylvania's August 2007 SIP 
submittal will be discussed in a separate rulemaking.

A. Base Year Emissions Inventory

    An emissions inventory is a comprehensive, accurate, current 
inventory of actual emissions from all sources and is required by 
section 172(c)(3) of the CAA. For ozone nonattainment areas, the 
emissions inventory needs to contain VOC and NOX emissions 
because these pollutants are precursors to ozone formation. EPA 
recommended 2002 as the base year emissions inventory, and is therefore 
the starting point for calculating RFP. Pennsylvania submitted its 2002 
base year emissions inventory on August 29, 2007, and later submitted 
formal SIP revisions to amend its stationary point source and area 
source emissions inventories on December 10, 2009 and April 12, 2010. A 
summary of the 2002 base year VOC and NOX emissions 
inventories is for the Pennsylvania portion of the Philadelphia-
Wilmington-Atlantic City nonattainment area is included in Table 1, 
below.

  Table 1--Pennsylvania Portion of the Philadelphia-Wilmington-Atlantic
 City Nonattainment Area 2002 Base Year VOC & NOX Emissions in Tons per
                                   Day
                                  [tpd]
------------------------------------------------------------------------
    Emission source category              VOC                 NOX
------------------------------------------------------------------------
Point...........................               22.21               59.63
Stationary Area.................              149.84               14.64
Non-Road Mobile.................               79.06               70.95
Highway Mobile..................               98.76              184.66
                                 ---------------------------------------
    Total.......................              349.87              329.88
------------------------------------------------------------------------

B. Adjusted Base Year Inventory and 2008 RFP Target Levels

    The process for determining the emissions baseline from which the 
RFP reductions are calculated is described in section 182(b)(1) of the 
CAA and 40 CFR 51.910. This baseline value is the 2002 adjusted base 
year inventory. Sections 182(b)(1)(B) and (D) require the exclusion 
from the base year inventory of emissions benefits resulting from the 
Federal Motor Vehicle Control Program (FMVCP) regulations promulgated 
by January 1, 1990, and the Reid Vapor Pressure (RVP) regulations 
promulgated June 11, 1990 (55 FR 23666). The FMVCP and RVP emissions 
reductions are determined by the State using EPA's highway mobile 
source emissions modeling software, MOBILE6. The FMVCP and RVP emission 
reductions are then removed from the base year inventory by the State, 
resulting in an adjusted base year inventory. The emission reductions 
needed to satisfy the RFP requirement are then calculated from the 
adjusted base year inventory. These reductions are then subtracted from 
the adjusted base year inventory to establish the emissions target for 
the RFP milestone year (2008).
    For moderate areas like the Philadelphia nonattainment area, the 
CAA specifies a 15 percent reduction in ozone precursor emissions over 
an initial six-year period. In the Phase 2 Rule, EPA interpreted this 
requirement for areas that were also designated nonattainment and 
classified as moderate or higher for the 1-hour ozone standard. In the 
Phase 2 Rule, EPA provided that an area classified as moderate or 
higher that has the same boundaries as an area, or is entirely composed 
of several areas or portions of areas, for which EPA fully approved a 
15 percent plan for the 1-hour NAAQS, is considered to have met the 
requirements of section 182(b)(1) of the CAA for the 8-hour NAAQS. In 
this situation, a moderate nonattainment area is subject to RFP under 
section 172(c)(2) of the CAA and shall submit, no later than 3 years 
after designation for the 8-hour NAAQS, a SIP revision that meets the 
requirements of 40 CFR 51.910(b)(2). The RFP SIP revision must provide 
for a 15 percent emission reduction (either NOX and/or VOC) 
accounting for any growth that occurs during the six-year period 
following the baseline emissions inventory year, that is, 2002-2008.
    Pennsylvania's portion of the Philadelphia ozone nonattainment area 
under the 1-hour ozone standard had the same boundary as the 
Commonwealth's portion of that nonattainment area under the 1997 8-hour 
ozone standard. The Philadelphia nonattainment area under the 1-hour 
ozone standard was classified as severe. EPA approved Pennsylvania's 
fifteen percent RFP plan for the Commonwealth's portion of the 
Philadelphia-Wilmington-Trenton severe ozone nonattainment area on 
August 24, 2001 (66 FR 44547). Therefore, according to the Phase 2 
Rule, the RFP plan for the Philadelphia nonattainment area may use 
either NOX or VOC emissions reductions (or both) to achieve 
the 15 percent emission reduction requirement.
    According to section 182(b)(1)(D) of the CAA, emission reductions 
that resulted from the FMVCP and RVP rules promulgated prior to 1990 
are not creditable for achieving RFP emission reductions. Therefore, 
the 2002 base year inventory is adjusted by subtracting the VOC and 
NOX emission reductions that are expected to occur between 
2002 and the future milestone years due to the FMVCP and RVP rules.
    Pennsylvania sets out its calculations for the adjusted base year 
inventory and 2008 RFP target levels in Section IV.D of the August 2007 
Philadelphia 8-hour ozone plan, as amended by Pennsylvania on December 
10, 2009.
    Step 1. Calculate the 2002 anthropogenic base year inventory for 
the Pennsylvania portion of the Philadelphia-Wilmington-Atlantic City 
nonattainment area. This is found in Table 4-3 of Pennsylvania's 8-hour 
ozone plan for the Philadelphia nonattainment area, and shown in Table 
2, below.

[[Page 68254]]



  Table 2--Pennsylvania Portion of the Philadelphia-Wilmington-Atlantic
  City Nonattainment Area 2002 Anthropogenic Base Year Inventory (Ozone
                               Season tpd)
------------------------------------------------------------------------
                Source category                     VOC          NOX
------------------------------------------------------------------------
Point.........................................        22.21        59.63
Area..........................................       149.84        14.64
Non-Road Mobile...............................        79.06        70.95
Highway Mobile................................        98.76       184.66
                                               -------------------------
    Total (excluding biogenics)...............       349.87       329.88
------------------------------------------------------------------------

    Step 2. Pennsylvania calculated the non-creditable emission 
reductions between 2002 and 2008 by modeling its 2002 and 2008 motor 
vehicle emissions with all post-1990 CAA measures switched off, and 
then calculating the difference. See, Tables 4-4 and 4-5 of 
Pennsylvania's Philadelphia nonattainment area RFP plan (as amended in 
December 2009), and Table 3, below.

  Table 3--Pennsylvania Portion of the Philadelphia-Wilmington-Atlantic
City Nonattainment Area Non-Creditable Emission Reductions (Ozone Season
                                  tpd)
------------------------------------------------------------------------
                Source category                     VOC          NOX
------------------------------------------------------------------------
(i) 2002 On-Road..............................       421.44       370.02
(ii) 2008 On-Road.............................       408.72       354.44
Non-creditable Reductions (i)-(ii)............        12.72        15.58
------------------------------------------------------------------------

    Step 3. Pennsylvania's calculations of its portion of the 
Philadelphia nonattainment area 2002 VOC and NOX inventories 
adjusted relative to 2008 and VOC and NOX target levels for 
2008 are found in Table 4-6 through 4-8 of the Philadelphia 
nonattainment area RFP plan (as amended in December 2009) and are 
summarized in Table 4, below.

  Table 4--Pennsylvania Portion of the Philadelphia-Wilmington-Atlantic
City Nonattainment Area 2008 RFP Target Level Calculations (Ozone Season
                                  tpd)
------------------------------------------------------------------------
         Description              Formula          VOC           NOX
------------------------------------------------------------------------
A 2002 Rate of Progress Base   .............       349.87        329.88
 Year Inventory.
B FMVCP/RVP Reductions         .............        12.72         15.58
 Between 2002 and 2008.
C 2002 Adjusted Base Year      A-B                 337.15        314.30
 Inventory Relative to 2008.
D RFP Ratio..................  .............         0.075         0.075
E Emissions Reductions         C * D                25.29         23.57
 Required Between 2002 and
 2008.
F Target Level for 2008......  C-E                 311.86        290.73
------------------------------------------------------------------------

C. Projected Inventories and Determination of RFP

    Pennsylvania describes its methods used for developing its 2008 
projected VOC and NOX inventories in it a document in its 
August 29, 2007 SIP revision. On December 10, 2009, Pennsylvania 
submitted two SIP revisions to amend the August 2007 SIP revision. The 
first made minor corrections to the stationary, area, and nonroad 
emissions categories of the 2002 base year emissions inventory 
originally set forth in the August 2007 SIP. The second of the two 
December 10, 2009 SIP revisions amended the RFP demonstration presented 
in the August 2007 SIP revision to make use of the amended 2002 base 
year emissions inventory. EPA reviewed the procedures Pennsylvania used 
to develop its projected inventories and found them to be reasonable.
    Projected controlled 2008 emissions for Pennsylvania's portion of 
the Philadelphia nonattainment area are summarized in Table 4-7 of 
Pennsylvania's December 2009 revised RFP plan for the Philadelphia 
nonattainment area. The data from Table 4-7 is presented below, in 
Table 5, below.

  Table 5--Pennsylvania Portion of the Philadelphia Nonattainment Area
          2008 Projected Controlled VOC and NOX Emissions (tpd)
------------------------------------------------------------------------
                                                    VOC          NOX
           Emission source category              emissions    emissions
                                                   (tpd)        (tpd)
------------------------------------------------------------------------
Point.........................................        21.56        57.13
Area..........................................       143.23        15.50
Non-road Mobile...............................        62.84        62.67
Highway Mobile................................        61.09       108.78
                                               -------------------------

[[Page 68255]]

 
    Total.....................................       288.72       244.08
------------------------------------------------------------------------

    To determine if 2008 RFP is met in the Pennsylvania portion of the 
Philadelphia-Wilmington-Atlantic City nonattainment area, the total 
projected controlled emissions must be compared to the target levels 
calculated in the previous section of this document. As shown below in 
Table 6, the total VOC and NOX emission projections meet the 
2008 emission targets. Therefore, the 2008 RFP in Pennsylvania's 
portion of the Philadelphia-Wilmington-Atlantic City nonattainment area 
is demonstrated.

Table 6--Determination of Whether RFP Is Met in 2008 in the Pennsylvania
 Portion of the Philadelphia-Wilmington-Atlantic City Nonattainment Area
------------------------------------------------------------------------
                                           VOC emissions   NOX emissions
               Description                     (tpd)           (tpd)
------------------------------------------------------------------------
A Target Level for 2008.................          311.86          290.73
B 2008 Projected Controlled Emissions             288.72          244.08
 (including non-creditable FMVCP).......
C 2008 Projected Controlled Emissions             301.44          259.66
 (excluding reductions from non-
 creditable FMVCP)......................
Is RFP met? [i.e., 2008 Projected                    Yes             Yes
 Emissions (C) < 2008 Target Level (A)].
------------------------------------------------------------------------

D. Control Measures and Emission Reductions for RFP

    The control measures upon which Pennsylvania relies upon for credit 
to demonstrate RFP requirement for the Commonwealth's portion of the 
Philadelphia-Wilmington-Atlantic City nonattainment area are described 
in Section V of the Commonwealth's August 2007 8-hour ozone attainment 
plan and emissions inventory SIP for the Philadelphia nonattainment 
area. To demonstrate RFP for the Philadelphia nonattainment area, 
Pennsylvania used a combination of (1) stationary point, (2) stationary 
area, (3) highway mobile, and (4) non-road mobile source control 
measures.
    The stationary point source measures Pennsylvania relied upon to 
demonstrate RFP by 2008 include: Interstate transport pollution 
reductions from the NOX SIP Call Rule; NOX 
emission limits on NOX sources, including small sources of 
NOX, cement kilns, and large stationary combustion engines; 
and Federal standards for hazardous air pollutants. Pennsylvania 
estimates that these measures provided reductions of 0.65 tpd of VOC 
and 2.50 tpd of NOX by 2008 for the Commonwealth's portion 
of the nonattainment area.
    The stationary area source measures upon which Pennsylvania relied 
to demonstrate 2008 RFP in the Commonwealth's portion of the 
Philadelphia nonattainment area include: Portable fuel container 
regulation to address permeation and evaporation of VOCs; a consumer 
products formulation rule; and a rule governing the formulation of 
architectural and industrial maintenance coatings. In total, 
Pennsylvania estimates these measures reduced 6.61 tpd of VOCs, but 
increased NOX by 0.86 tpd.
    Highway mobile (or on-road mobile) measures upon which Pennsylvania 
relied to demonstrate 2008 RFP in the Commonwealth's portion of the 
Philadelphia nonattainment area include: The Federal Motor Vehicle 
Control Program; the Pennsylvania Clean Vehicle Program for passenger 
cars and light-duty trucks; the Federal Heavy Duty Diesel Control 
Program; Pennsylvania's adoption of California's Heavy-Duty Emissions 
Control Program; the Vehicle Inspection and Maintenance Program; the 
Federal Low Sulfur Gasoline Rule; the Stage II Gasoline Vapor Recovery 
rule; and the Federal reformulated gasoline rule. In total, 
Pennsylvania estimates that these highway mobile source measures 
reduced VOCs by 37.67 tpd and NOX by 75.88 tpd. However, 
12.72 tpd of VOCs and 15.58 tpd of NOX from these measures 
can not be credited towards demonstrating RFP, and therefore may not be 
credited against the RFP target. This is because the CAA specifies that 
measures that were already required to be in place prior to the RFP 
demonstration period under the previous pre-1990 CAA (e.g., FMVCP and 
Federal fuel volatility standards) can not be used to demonstrate RFP 
goals under the present statute.
    The non-road mobile source measures upon which Pennsylvania relied 
upon to demonstrate 2008 RFP in the Philadelphia nonattainment area 
include: non-road small gasoline engines; non-road diesel engines (Tier 
I and Tier II); marine engine standards for spark-ignition engines; 
emission standards for large spark-ignition engines; the use of Federal 
reformulated gasoline in non-road motor vehicles and equipment; and 
Tier 2 railroad engine standards. Pennsylvania calculated the non-road 
mobile 2008 emission reductions to be 16.22 tpd VOC and 8.28 tpd 
NOX.
    In the TSD prepared by EPA in support of this action, EPA evaluates 
each of these measures and the Commonwealth's estimate of 2008 
emissions for each measure. For details, please refer to EPA's TSD for 
this action.
    Table 7 summarizes the emission reductions that Pennsylvania 
claimed in its RFP Plan for the Philadelphia nonattainment area, as 
amended in December 2009. The total 2008 projected emission reductions 
are sufficient to demonstrate reasonable further progress, including 
the use of substituted NOX reductions for VOC reductions to 
meet the 15% target reduction. Therefore, the emission reductions 
Pennsylvania claims for its portion of the Philadelphia-Wilmington-
Atlantic City nonattainment area RFP plan are approvable.

[[Page 68256]]



      Table 7--Control Measures and 2008 Emission Reductions in the
    Pennsylvania Portion of the Philadelphia-Wilmington-Atlantic City
                   Nonattainment Area 8-Hour RFP Plan
------------------------------------------------------------------------
              Control strategies                 VOC (tpd)    NOX (tpd)
------------------------------------------------------------------------
Stationary Point Sources......................         0.65         2.50
    NOX SIP Call..............................
    Smaller Sources of NOX....................
    Hazardous Air Pollutant Regulations.......
Stationary Area Sources.......................         6.61        -0.86
    Portable Fuel Containers..................
    Consumer Products.........................
    AIM Coatings..............................
Highway Sources (includes non creditable          \1\ 37.67    \2\ 75.88
 reductions from pre-1990 FMVCP between 2002-
 08)..........................................
    Federal Motor Vehicle Control Programs....
    Pennsylvania Clean Vehicles Program.......
    Heavy duty diesel control Programs........
    Inspection/Maintenance Program............
    Low Sulfur Gasoline.......................
    Other Motor Vehicle Programs..............
Non-road Sources..............................        16.22         8.28
    Federal Nonroad Regulations including Fuel
     Standards................................
                                               -------------------------
        Total Expected Emission Reductions            61.15        85.80
         (2002-2008) (including non-creditable
         reductions)..........................
------------------------------------------------------------------------
\1\ 12.72 non-creditable.
\2\ 15.58 non-creditable.

E. Contingency Measures

    Section 172(c)(9) of the CAA requires a state with a moderate or 
above ozone nonattainment area to include sufficient additional 
contingency measures in its RFP plan in case the Philadelphia 
nonattainment area fails to meet RFP requirements. The same provision 
of the CAA also requires that the contingency measures must be fully 
adopted control measures or rules. Upon failure to meet an RFP 
milestone requirement, the state must be able to implement the 
contingency measures without any further rulemaking activities. Upon 
implementation of such measures, additional emission reductions of at 
least 3 percent of the adjusted 2002 baseline emissions must be 
achieved. For more information on contingency measures, see the April 
16, 1992 General Preamble (57 FR 13512) and the November 29, 2005 Phase 
2 8-hour ozone implementation rule (70 FR 71612).
    To meet the requirements for contingency emission reductions, EPA 
allows for the use of early implementation of control measures as 
contingency measures. EPA also allows the substitution of 
NOX emission reductions for VOC emission reductions in the 
contingency plans (by any combination of NOX and VOC, as 
long as the 3 percent reduction is achieved and 0.3 percent of the 
total is attributable to VOCs).
    The RFP contingency requirement may be met by including in the RFP 
plan a demonstration of 18 percent VOC & NOX RFP. The 
additional 3 percent reduction above the 15 percent requirement must be 
attributed to specific measures. Pennsylvania elected to use early 
emission reductions from the Federal Tier 2 motor vehicle program 
towards meeting the contingency measure requirement.
    Pennsylvania discusses its Philadelphia nonattainment area 
contingency measures for failure to meet RFP in Section 4 of the 
December 2009 Correction to the RFP SIP. The results are presented in 
Table 8, below.

     Table 8--Pennsylvania Portion of the Philadelphia-Wilmington-Atlantic City Nonattainment Area 2008 RFP
                                  Contingency Measure Target Level Calculations
----------------------------------------------------------------------------------------------------------------
               Description                                Formula                   VOC  (tpd)      NOX  (tpd)
----------------------------------------------------------------------------------------------------------------
A 2002 Rate-Of Progress Base Year                                                         349.87          329.88
 Inventory.
B Non-creditable FMVCP/RVP Reductions                                                      12.72           15.58
 Between 2002 And 2008.
C 2002 Adjusted Base Year Inventory        A-B                                            337.15          314.3
 Relative To 2008.
D RFP Ratio (Target Percent Reduction for                                                   7.5             7.5
 RFP).
E RFP Emissions Reductions Required        C * (1-(D/100))                                 25.29           23.57
 Between 2002 & 2008 for RFP.
F Contingency Percentage.................                                                   3.00            0
G Contingency Emission Reduction           C * F                                           10.11            0
 Requirements.
H Contingency Measure Target Level for     C-E-G                                          301.76          314.30
 2008.
I 2008 Projected Emissions (including                                                     288.72          244.08
 growth and controls and non-creditable
 FMVCP).
J 2008 Project Emissions Excluding                                                        301.44          259.66
 Reductions from non-creditable FMVCP.
----------------------------------------------------------------------------------------------------------------

    To determine if Pennsylvania meets the three percent contingency 
measure requirement for the Pennsylvania portion of the Philadelphia 
nonattainment area, the total projected controlled emissions (including 
growth, but excluding reductions from the non-creditable pre-1990 
FMVCP) must be compared to the contingency measure target levels 
calculated above. Pennsylvania has not indicated whether it intends to 
obtain the necessary early

[[Page 68257]]

reduction contingency measures entirely from VOCs, from NOX, 
or from both. Since the Commonwealth's 2008 projected VOC inventory is 
much closer to its contingency measure target level, we assumed that 
the contingency measure target is based entirely upon contingency 
percentage reduction of 3 percent coming from VOCs, with no 
NOX substitution. Table 9 shows that Pennsylvania would meet 
the contingency measure target if this assumption is made. Assuming the 
maximum amount of NOX substitution allowable under EPA 
relevant guidance of 2.7 percent, an entirely NOX-
substituted contingency plan by Pennsylvania would also demonstrate 
that the contingency measure requirement is met. Therefore, 
Pennsylvania has sufficient early contingency measures in place to meet 
the contingency measure requirement for the Philadelphia nonattainment 
area, for purposes of demonstrating RFP.

  Table 9--Evaluation of the Pennsylvania Portion of the Philadelphia-
Wilmington-Atlantic City Nonattainment Area 2008 RFP Contingency Measure
                               Requirement
------------------------------------------------------------------------
               Description                  VOC  (tpd)      NOX  (tpd)
------------------------------------------------------------------------
A Total 2008 Projected Controlled                 301.44          259.66
 Emissions..............................
B Contingency Measure Target Level for            301.76          314.30
 2008 (if assumed to be entirely VOC-
 based).................................
Contingency measure requirement met if A          Yes             Yes
 < B....................................
------------------------------------------------------------------------

F. RACM Analysis

    Pursuant to section 172(c)(1) of the CAA, states are required to 
implement all RACM as expeditiously as practicable for each 
nonattainment area. Specifically, section 172(c)(1) states the 
following: ``In general--Such plan provisions shall provide for the 
implementation of all reasonably available control measures as 
expeditiously as practicable (including such reductions in emissions 
from existing sources in the area as may be obtained through the 
adoption, at a minimum, of reasonably available control technology) and 
shall provide for attainment of the national primary ambient air 
quality standards.'' Furthermore, in EPA's Phase 2 Rule, EPA describes 
how states must include a RACM analysis with their attainment 
demonstration (70 FR 71659). The purpose of the RACM analysis is to 
determine whether or not control measures exist that are technically 
reasonable and that provide emission reductions that would advance the 
attainment date for nonattainment areas. Control measures that would 
advance the attainment date are considered RACM and must be included in 
the SIP. RACM are necessary to ensure that the attainment date is 
achieved ``as expeditious as practicable.'' RACM is defined by the EPA 
as any potential control measure for application to point, area, on-
road and non-road emission source categories that meets the following 
criteria:
     The control measure is technologically feasible;
     The control measure is economically feasible;
     The control measure does not cause ``substantial 
widespread and long-term adverse impacts;''
     The control measure is not ``absurd, unenforceable, or 
impracticable;'' and
     The control measure can advance the attainment date by at 
least one year.
    Pennsylvania addresses the RACM requirement is Section V.B of the 
Philadelphia 8-hour ozone attainment demonstration SIP submitted to EPA 
in August 2007. In order to meet the CAA requirement for RACM, 
Pennsylvania must demonstrate that it has adopted all RACM necessary to 
move the Philadelphia nonattainment area toward attainment as 
expeditiously as practicable. Since this multi-state nonattainment area 
is classified as moderate ozone nonattainment under the 1997 8-hour 
ozone NAAQS, the entire area was required to demonstrate attainment by 
the 2009 ozone season. Therefore, Pennsylvania considered measures that 
would potentially advance the attainment date for its portion of this 
multi-state nonattainment area and that would provide for attainment by 
the ozone season preceding the attainment deadline.
    Pennsylvania worked with the Ozone Transport Commission (OTC) 
member states to evaluate potential RACM measures for use in 
Pennsylvania. In 2006, the OTC staff and member states formed several 
workgroups to identify and evaluate candidate control measures. 
Initially, the workgroups compiled and reviewed a list of approximately 
1,000 candidate control measures. These control measures were 
identified through published sources such as the EPA's Control 
Technique Guidelines, the State and Territorial Air Pollution Program 
Administrators/Association of Local Air Pollution Control (STAPPA/
ALAPCO) ``Menu of Options'' documents, the AirControlNET database, 
emission control initiatives in member states as well as other states 
including California, state/regional consultations, and stakeholder 
input. The OTC's workgroups then narrowed their review to a preliminary 
list of thirty candidate control measures to be considered for more 
detailed analysis. These measures were selected to focus on the 
pollutants and source categories that are thought to be the most 
effective in reducing ozone air quality levels in the Northeastern and 
Mid-Atlantic States.
    Pennsylvania considered these measures, in conjunction with 
regional modeling that indicated that 20 to 40 tons per day of VOC or 
NOX would be necessary to advance the attainment date by one 
year. In evaluating the measures potentially available, Pennsylvania 
determined that no measure or group of measures would individually or 
collectively achieve the necessary level of emission reductions to 
advance the attainment date. Further, many of these measures could not 
be adopted and implemented in time to serve as RACM measures to meet 
attainment goals. Pennsylvania believes, on the basis of their 
analysis, that there are no further RACM measures that are appropriate 
for this SIP.
    Pennsylvania lists its most recently adopted measures, in 
conjunction with the most recently adopted federal measures in Section 
V.B of its August 2007 SIP revision. Pennsylvania's list of recently 
adopted state measures includes:
     Small Source NOX Provisions (Chapter 129, 
Sections 201-205).
     Portable Fuel Containers Rule (Chapter 130, Sections 101-
108).
     Consumer Products Rule (Chapter 129, Section 63).
     Architectural and Industrial Maintenance Coatings Rule 
(Chapter 130, Sections 601-611).
     Degreasing Operations Rule (Chapter 129, Section 63).

[[Page 68258]]

     NOX SIP Call (Internal Combustion Engines 
provisions) (Chapter 145, Sections 111-113).
     NOX SIP Call (Portland Cement Kiln provisions) 
(Chapter 145, Sections 141-144).
     RACT for the 8-Hour Ozone NAAQS (2006 EPA SIP Revision).
     Enhanced Vehicle I/M Program (67 Pa Code Chapter 177).
     Pennsylvania Clean Vehicle Program (Chapter 126, 
Subchapter D).
     Pennsylvania Heavy-Duty Diesel Emission Control Program 
(Chapter 126, Subchapter E).
    EPA concurs with PA DEP's conclusion that there are no RACM 
measures that would have advanced the moderate area attainment date of 
2010 for the Philadelphia nonattainment area. Therefore, PA DEP's RACM 
analysis in its Philadelphia 8-hour ozone plan is approvable.

G. Transportation Conformity Budgets

    Transportation conformity is required by CAA section 176(c). EPA's 
conformity rule requires that transportation plans, programs and 
projects conform to state air quality implementation plans and 
establishes the criteria and procedure for determining whether or not 
they do. Conformity to a SIP means that transportation activities will 
not produce new air quality violations, worsen existing violations, or 
delay timely attainment of the national ambient air quality standards. 
States must establish VOC and NOX MVEBs for each of the 
milestone years up to the attainment year and submit the mobile budgets 
to EPA for approval. Upon adequacy determination or approval by EPA, 
states must conduct transportation conformity analysis for their 
Transportation Improvement Programs and long range transportation plans 
to ensure highway vehicle emissions will not exceed relevant MVEBs.
    Pennsylvania discusses transportation conformity in Section V.E of 
the August 2007 Philadelphia 8-hour ozone plan, and the same MVEBs are 
restated in the December 2009 RFP revision SIP. PA DEP, in consultation 
with the Delaware Regional Planning Commission (DVRPC), the designated 
metropolitan planning organization for the Philadelphia nonattainment 
area, established MVEBs for 2008. The 2008 mobile emissions inventory 
was calculated using EPA's MOBILE6.2 and the Highway Performance 
Monitoring System model. Pennsylvania further describes its methodology 
for calculating its mobile emission budgets in Appendix E of the August 
2007 Philadelphia 8-hour ozone plan.
    The MVEB for the Pennsylvania portion of the Philadelphia-
Wilmington-Atlantic City 8-hour ozone nonattainment area for the 2008 
RFP is based on projected 2008 mobile source emissions, accounting for 
all mobile control measures, inclusive of growth. The MVEBs for the 
2008 RFP are shown in Table 10, below.

 Table 10--Pennsylvania Portion of the Philadelphia-Wilmington-Atlantic
                  City Nonattainment Area 2008 RFP MVEB
------------------------------------------------------------------------
                                                   VOC           NOX
------------------------------------------------------------------------
Kilograms/day...............................     55,421        98,686
Tons/day....................................         61.09        108.78
------------------------------------------------------------------------

    For budgets to be approvable, they must meet, at a minimum, EPA's 
adequacy criteria (40 CFR 93.118(e)(4)). In a December 19, 2008 Federal 
Register notice, EPA notified the public that EPA found that the 2008 
RFP MVEBs in the plan for the Pennsylvania portion of the Philadelphia-
Wilmington-Atlantic City 8-hour ozone plan are adequate for 
transportation conformity purposes. (73 FR 77682).
    In addition to the budgets being adequate for transportation 
conformity purposes, EPA found the procedures Pennsylvania used to 
develop the MVEBs to be reasonable. The budgets are identical to the 
projected 2008 on-road mobile source emission inventories. Because the 
2008 RFP MVEBs are adequate for transportation conformity purposes and 
the methods that PA DEP used to develop them are correct, the 2008 RFP 
budgets are approvable.

V. What are EPA's conclusions?

    EPA's review of the 2002 base year emissions inventory; the 2008 
ozone projected emission inventory; the 2008 RFP plan; RFP contingency 
measures; Pennsylvania's RACM analysis; and 2008 transportation 
conformity budgets contained in Pennsylvania's August 29, 2007 SIP 
revision (as amended December 10, 2009 and on April 12, 2010) for its 
portion of the Philadelphia nonattainment area fully addressed the 
CAA's requirements. Therefore, EPA is proposing approval of specific 
elements of Pennsylvania's August 2007 8-hour ozone plan and RFP plan 
for the Philadelphia nonattainment area (as amended in December 2009 
and April 2010). EPA is soliciting public comments on the issues 
discussed in this document. These comments will be considered before 
taking final action.

VI. Statutory and Executive Order Reviews

    Under the CAA, the Administrator is required to approve a SIP 
submission that complies with the provisions of the CAA and applicable 
Federal regulations. 42 U.S.C. 7410(k); 40 CFR 52.02(a). Thus, in 
reviewing SIP submissions, EPA's role is to approve state choices, 
provided that they meet the criteria of the CAA. Accordingly, this 
action merely proposes to approve state law as meeting Federal 
requirements and does not impose additional requirements beyond those 
imposed by state law. For that reason, this proposed action:
     Is not a ``significant regulatory action'' subject to 
review by the Office of Management and Budget under Executive Order 
12866 (58 FR 51735, October 4, 1993);
     Does not impose an information collection burden under the 
provisions of the Paperwork Reduction Act (44 U.S.C. 3501 et seq.);
     Is certified as not having a significant economic impact 
on a substantial number of small entities under the Regulatory 
Flexibility Act (5 U.S.C. 601 et seq.);
     Does not contain any unfunded mandate or significantly or 
uniquely affect small governments, as described in the Unfunded 
Mandates Reform Act of 1995 (Pub. L. 104-4);
     Does not have Federalism implications as specified in 
Executive Order 13132 (64 FR 43255, August 10, 1999);
     Is not an economically significant regulatory action based 
on health or safety risks subject to Executive Order 13045 (62 FR 
19885, April 23, 1997);
     Is not a significant regulatory action subject to 
Executive Order 13211 (66 FR 28355, May 22, 2001);
     Is not subject to requirements of Section 12(d) of the 
National Technology Transfer and Advancement

[[Page 68259]]

Act of 1995 (15 U.S.C. 272 note) because application of those 
requirements would be inconsistent with the CAA; and
     Does not provide EPA with the discretionary authority to 
address, as appropriate, disproportionate human health or environmental 
effects, using practicable and legally permissible methods, under 
Executive Order 12898 (59 FR 7629, February 16, 1994).
    In addition, this proposed rule pertaining to the Pennsylvania 
portion of the Philadelphia-Wilmington-Atlantic City nonattainment area 
2002 base year emissions inventory; 2008 ozone projected emission 
inventory; 2008 RFP plan; RFP contingency measures; RACM analysis; and 
2008 transportation conformity budgets does not have tribal 
implications as specified by Executive Order 13175 (65 FR 67249, 
November 9, 2000), because the SIP is not approved to apply in Indian 
country located in the state, and EPA notes that it will not impose 
substantial direct costs on tribal governments or preempt tribal law.

List of Subjects in 40 CFR Part 52

    Environmental protection, Air pollution control, Intergovernmental 
relations, Nitrogen dioxide, Ozone, Reporting and recordkeeping 
requirements, Volatile organic compounds.

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

    Dated: October 28, 2010.
W.C. Early,
Acting Regional Administrator, Region III.
[FR Doc. 2010-28001 Filed 11-4-10; 8:45 am]
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