[Federal Register Volume 84, Number 80 (Thursday, April 25, 2019)]
[Proposed Rules]
[Pages 17365-17368]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-08308]


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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[EPA-R09-OAR-2019-0176; FRL-9992-65-Region 9]


Air Plan Approval; California; South Coast Air Quality Management 
District

AGENCY: Environmental Protection Agency (EPA).

ACTION: Proposed rule.

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SUMMARY: The Environmental Protection Agency (EPA) is proposing to 
approve a revision to the South Coast Air Quality Management District 
(SCAQMD) portion of the California State Implementation Plan (SIP). 
This revision concerns emissions of oxides of nitrogen (NOX) 
from on-road heavy-duty vehicles. We are proposing to approve a local 
measure to reduce NOX emissions from these emission sources 
under the Clean Air Act (CAA or the Act). We are taking comments on 
this proposal and plan to follow with a final action.

DATES: Any comments must arrive by May 28, 2019.

ADDRESSES: Submit your comments, identified by Docket ID No. EPA-R09-
OAR-2019-0176 at https://www.regulations.gov. For comments submitted at 
Regulations.gov, follow the online instructions for submitting 
comments. Once submitted, comments cannot be edited or removed from 
Regulations.gov. The EPA may publish any comment received to its public 
docket. Do not submit electronically any information you consider to be 
Confidential Business Information (CBI) or other information whose 
disclosure is restricted by statute. Multimedia submissions (audio, 
video, etc.) must be accompanied by a written comment. The written 
comment is considered the official comment and should include 
discussion of all points you wish to make. The EPA will generally not 
consider comments or comment contents located outside of the primary 
submission (i.e., on the web, cloud, or other file sharing system). For 
additional submission methods, please contact the person identified in 
the FOR FURTHER INFORMATION CONTACT section. For the full EPA public 
comment policy, information about CBI or multimedia submissions, and 
general guidance on making effective comments, please visit https://www.epa.gov/dockets/commenting-epa-dockets.

FOR FURTHER INFORMATION CONTACT: Rynda Kay, EPA Region IX, 75 Hawthorne 
Street, San Francisco, CA 94105, (415) 947-4118, [email protected].

SUPPLEMENTARY INFORMATION: Throughout this document, ``we,'' ``us'' and 
``our'' refer to the EPA.

Table of Contents

I. The State's Submittal
    A. What measure did the State submit?
    B. Are there other versions of this measure?
    C. What is the purpose of the submitted measure?
II. The EPA's Evaluation and Proposed Action
    A. How is the EPA evaluating the measure?
    B. Does the measure meet the evaluation criteria?
    C. Proposed action and request for public comment
III. Incorporation by Reference
IV. Statutory and Executive Order Reviews

I. The State's Submittal

A. What measure did the State submit?

    Table 1 lists the measure addressed by this proposal with the date 
that it was adopted by the California Air Resources Board (CARB). We 
refer to this measure as the ``South Coast Incentive Measure.''

[[Page 17366]]



                                           Table 1--Submitted Measure
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               Agency                Resolution No.         Measure title             Adopted        Submitted
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CARB...............................            18-3  South Coast On-Road Heavy-         03/22/18        05/04/18
                                                      Duty Vehicle Incentive
                                                      Measure.
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    On November 4, 2018, the submittal for the South Coast Incentive 
Measure was deemed by operation of law to meet the completeness 
criteria in 40 CFR part 51 Appendix V, which must be met before formal 
EPA review.

B. Are there other versions of this measure?

    There are no previous versions of the South Coast Incentive Measure 
in the SIP.

C. What is the purpose of the submitted measure?

    Emissions of NOX contribute to ground-level ozone, smog 
and particular matter, which harm human health and the environment. The 
CAA generally requires states to submit control measures to reduce 
NOX emissions in ozone nonattainment areas.
    On July 18, 1997, the EPA revised the national ambient air quality 
standard (NAAQS or ``standards'') for ozone to establish an 8-hour 
ozone standard of 0.08 parts per million (ppm).\1\ Effective June 15, 
2004, the EPA designated and classified the Los Angeles-South Coast Air 
Basin (``South Coast'') as a Severe nonattainment area for the 1997 
ozone NAAQS.\2\ On May 5, 2010, EPA reclassified the South Coast as an 
Extreme area for the 1997 ozone NAAQS with an attainment date of June 
15, 2024.\3\ The EPA has previously approved various SIP revisions 
submitted by California to provide for expeditious attainment of the 
1997 ozone NAAQS in the South Coast and to meet other applicable 
planning requirements in the Clean Air Act.\4\ The South Coast is also 
designated and classified as an Extreme nonattainment area for the 1-
hour ozone NAAQS promulgated in 1979, the revised 8-hour ozone NAAQS 
promulgated in 2008, and the revised 8-hour ozone NAAQS promulgated in 
2015.\5\
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    \1\ 62 FR 38856 (July 18, 1997).
    \2\ 40 CFR 81.305, 69 FR 23858, 23888-89 (April 30, 2004).
    \3\ 75 FR 24409 (May 5, 2010).
    \4\ See, e.g., 77 FR 12674 (March 1, 2012), 79 FR 52539 
(September 3, 2014).
    \5\ 40 CFR 81.305, 77 FR 30088 (May 21, 2012), and 83 FR 25776 
(June 4, 2018).
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    On April 27, 2017, CARB submitted the ``Final 2016 Air Quality 
Management Plan,'' March 2017 (``2016 AQMP'') and the ``Revised 
Proposed 2016 State Strategy for the State Implementation Plan,'' March 
7, 2017 (``State SIP Strategy''), which contain, inter alia, a revised 
attainment demonstration and revised commitments to achieve specific 
amounts of emission reductions by 2023 for the 1997 ozone NAAQS. The 
2016 AQMP also contains an attainment demonstration and commitments to 
achieve specific amounts of emission reductions by 2031 for the 2008 
ozone NAAQS, in addition to revised attainment plan components for the 
1979 1-hour ozone NAAQS. The purpose of the South Coast Incentive 
Measure is to satisfy a portion of the State's emission reduction 
commitments for the 1997 ozone NAAQS.
    The South Coast Incentive Measure is a set of enforceable 
commitments by CARB to, among other things, monitor the SCAQMD's 
implementation of 1,300 on-road heavy-duty compression ignition truck 
repower and replacement projects during the 2019-2022 timeframe in the 
South Coast in accordance with specified portions of the Carl Moyer 
Program Guidelines, 2017 Revisions, approved April 27, 2017 (``2017 
Carl Moyer Guidelines''). These program requirements ensure, among 
other things, that older, dirtier truck engines currently in operation 
in the South Coast will be replaced with less-polluting engines.
    The South Coast Incentive Measure obligates CARB to achieve 
specific amounts of NOX emission reductions through 
implementation of the program by a specific year, to submit annual 
reports to the EPA beginning on March 31, 2020, detailing its 
implementation of the program and the projected emission reductions, 
and to adopt and submit substitute measures by specific dates if the 
EPA determines that the program will not achieve the necessary emission 
reductions by the applicable implementation deadline.
    We are proposing to approve the South Coast Incentive Measure into 
the California SIP and to make the obligations stated therein 
enforceable by the EPA and by citizens under the CAA. The State relies 
on the measure to achieve 1 ton per day of NOX emission 
reductions in 2023 for purposes of meeting the requirements for 
attainment of the 1997 ozone NAAQS. We intend to evaluate California's 
submitted ozone attainment plans for South Coast through subsequent 
notice-and-comment rulemaking actions, as appropriate. The EPA's 
technical support document (TSD) has more information about this 
measure.

II. The EPA's Evaluation and Proposed Action

A. How is the EPA evaluating the measure?

    Generally, SIP control measures must be enforceable (see CAA 
section 110(a)(2)), must not interfere with applicable requirements 
concerning attainment and reasonable further progress or other CAA 
requirements (see CAA section 110(l)), and must not modify certain SIP 
control requirements in nonattainment areas without ensuring equivalent 
or greater emissions reductions (see CAA section 193).
    The CAA explicitly provides for the use of economic incentive 
programs (EIPs) as one tool for states to use to achieve attainment of 
the NAAQS.\6\ EIPs use market-based strategies to encourage the 
reduction of emissions from stationary, area, and mobile sources in an 
efficient manner. EPA has promulgated regulations for statutory EIPs 
required under section 182(g) of the Act and has issued guidance for 
discretionary EIPs.\7\
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    \6\ See, e.g., CAA sections 110(a)(2)(A), 172(c)(6), and 
183(e)(4).
    \7\ 59 FR 16690 (April 7, 1994), codified at 40 CFR part 51, 
subpart U and EPA, ``Improving Air Quality with Economic Incentive 
Programs,'' January 2001 (``2001 EIP Guidance''). A ``discretionary 
economic incentive program'' is ``any EIP submitted to the EPA as an 
implementation plan revision for purposes other than to comply with 
the statutory requirements of sections 182(g)(3), 182(g)(5), 
187(d)(3), or 187(g) of the Act.'' 40 CFR 51.491.
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    The EPA's guidance documents addressing EIPs and other 
nontraditional programs provide for some flexibility in meeting 
established SIP requirements for enforceability and quantification of 
emission reductions, provided the State takes clear responsibility for 
ensuring that the emission reductions necessary to meet applicable CAA 
requirements are achieved. Accordingly, the EPA has consistently stated 
that nontraditional emission reduction measures submitted to satisfy 
SIP requirements under the Act must be accompanied by appropriate 
``enforceable commitments'' from the State to monitor emission 
reductions achieved and to rectify

[[Page 17367]]

shortfalls in a timely manner.\8\ The EPA has also consistently stated 
that, where a state intends to rely on a nontraditional program to 
satisfy CAA requirements, the state must demonstrate that the program 
achieves emission reductions that are quantifiable, surplus, 
enforceable, and permanent.\9\
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    \8\ See, e.g., EPA, ``Guidance on Incorporating Voluntary Mobile 
Source Emission Reduction Programs in State Implementation Plans 
(SIPs),'' Richard D. Wilson, Acting Assistant Administrator for Air 
and Radiation, October 24, 1997 (``1997 VMEP''), 4-5.
    \9\ See, e.g., 2001 EIP Guidance, section 4.1.
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    Guidance documents that we use to evaluate discretionary EIPs and 
other nontraditional emission reduction programs include the following:
     ``Guidance on Incorporating Voluntary Mobile Source 
Emission Reduction Programs in State Implementation Plans (SIPs),'' 
Richard D. Wilson, Acting Assistant Administrator for Air and 
Radiation, October 24, 1997 (``1997 VMEP'').
     ``Improving Air Quality with Economic Incentive Programs'' 
January 2001 (EPA-452/R-01-001) (``2001 EIP Guidance'').
     ``Incorporating Emerging and Voluntary Measure in a State 
Implementation Plan (SIP),'' Stephen D. Page, OAQPS, October 4, 2004 
(``2004 Emerging and Voluntary Measures Guidance'').
     ``Guidance on Incorporating Bundled Measures in a State 
Implementation Plan,'' Stephen D. Page, OAQPS, and Margo Oge, OTAQ, 
August 16, 2005 (``2005 Bundled Measures Guidance'').
     ``Diesel Retrofits: Quantifying and Using Their Emission 
Benefits in SIPs and Conformity: Guidance for State and Local Air and 
Transportation Agencies,'' February 2014 (EPA-420-B-14-007) (``2014 
Diesel Retrofits Guidance'').

B. Does the measure meet the evaluation criteria?

    The South Coast Incentive Measure contains clear, mandatory 
obligations that are enforceable against CARB and ensure that 
information about the emission reductions achieved through the program 
will be readily available to the public through CARB's submission of 
annual reports to the EPA. Our approval of the South Coast Incentive 
Measure would make these obligations enforceable by the EPA and by 
citizens under the CAA. The South Coast Incentive Measure obligates the 
State to implement a program that achieves quantifiable, surplus, 
permanent, and enforceable NOX emission reductions and does 
not alter any existing SIP requirements. Our approval of this measure 
would strengthen the SIP and would not interfere with applicable 
requirements concerning attainment and reasonable further progress or 
other CAA requirements, consistent with the requirements of CAA section 
110(l). Section 193 of the CAA does not apply to this action because 
this measure does not modify any SIP control requirement that was in 
effect before November 15, 1990.
    We are proposing to find that the South Coast Incentive Measure 
satisfies CAA requirements for enforceability, SIP revisions, and 
nontraditional emission reduction programs as interpreted in EPA 
guidance documents. The TSD contains more information on our evaluation 
of this measure.

C. Proposed Action and Request for Public Comment

    The EPA proposes to fully approve the submitted measure under CAA 
section 110(k)(3) based on a conclusion that the measure satisfies all 
applicable requirements. We will accept comments from the public on 
this proposal until May 28, 2019. If we take final action to approve 
the submitted measure, our final action will incorporate this measure 
into the federally enforceable SIP.

III. Incorporation by Reference

    In this rule, the EPA is proposing to include in a final EPA rule 
regulatory text that includes incorporation by reference. In accordance 
with requirements of 1 CFR 51.5, the EPA is proposing to incorporate by 
reference the CARB measure described in Table 1 of this preamble. The 
EPA has made, and will continue to make, these materials available 
through www.regulations.gov and at the EPA Region IX Office (please 
contact the person identified in the FOR FURTHER INFORMATION CONTACT 
section of this preamble for more information).

IV. Statutory and Executive Order Reviews

    Under the Clean Air Act, the Administrator is required to approve a 
SIP submission that complies with the provisions of the Act and 
applicable federal regulations. 42 U.S.C. 7410(k); 40 CFR 52.02(a). 
Thus, in reviewing SIP submissions, the EPA's role is to approve state 
choices, provided that they meet the criteria of the Clean Air Act. 
Accordingly, this proposed 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 Orders 
12866 (58 FR 51735, October 4, 1993) and 13563 (76 FR 3821, January 21, 
2011);
     Is not an Executive Order 13771 (82 FR 9339, February 2, 
2017) regulatory action because SIP approvals are exempted under 
Executive Order 12866;
     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 Act of 1995 (15 U.S.C. 272 
note) because application of those requirements would be inconsistent 
with the Clean Air Act; and
     Does not provide the EPA with the discretionary authority 
to address disproportionate human health or environmental effects with 
practical, appropriate, and legally permissible methods under Executive 
Order 12898 (59 FR 7629, February 16, 1994).
    In addition, the SIP is not approved to apply on any Indian 
reservation land or in any other area where the EPA or an Indian tribe 
has demonstrated that a tribe has jurisdiction. In those areas of 
Indian country, the rule does not have tribal implications and will not 
impose substantial direct costs on tribal governments or preempt tribal 
law as specified by Executive Order 13175 (65 FR 67249, November 9, 
2000).

List of Subjects in 40 CFR Part 52

    Environmental protection, Air pollution control, Incorporation by 
reference, Nitrogen dioxide, Ozone, Reporting and recordkeeping 
requirements.

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


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    Dated: April 4, 2019.
Deborah Jordan,
Acting Regional Administrator, Region IX.
[FR Doc. 2019-08308 Filed 4-24-19; 8:45 am]
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