[Federal Register Volume 84, Number 190 (Tuesday, October 1, 2019)]
[Rules and Regulations]
[Pages 52005-52015]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-21325]


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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[EPA-R09-OAR-2019-0051; FRL-9999-49-Region 9]


Approval of Air Quality Implementation Plans; California; South 
Coast Air Basin; 1-Hour and 8-Hour Ozone Nonattainment Area 
Requirements

AGENCY: Environmental Protection Agency (EPA).

ACTION: Final rule.

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SUMMARY: The Environmental Protection Agency (EPA) is taking final 
action to approve, or conditionally approve, all or portions of five 
state implementation plan (SIP) revisions submitted by the State of 
California to meet Clean Air Act (CAA or ``the Act'') requirements for 
the 1979 1-hour, 1997 8-hour, and 2008 8-hour ozone national ambient 
air quality standards (NAAQS or ``standards'') in the Los Angeles--
South Coast Air Basin, California (``South Coast'') ozone nonattainment 
area. The five SIP revisions include the ``Final 2016 Air Quality 
Management Plan,'' the ``Revised Proposed 2016 State Strategy for the 
State Implementation Plan,'' the ``2018 Updates to the California State 
Implementation Plan,'' the ``Updated Federal 1979 1-Hour Ozone Standard 
Attainment Demonstration,'' and a local emissions statement rule. In 
today's action, the EPA refers to these submittals collectively as the 
``2016 South Coast Ozone SIP.'' The 2016 South Coast Ozone SIP 
addresses the nonattainment area requirements for the 2008 ozone NAAQS, 
including the requirements for an emissions inventory, attainment 
demonstration, reasonable further progress, reasonably available 
control measures, contingency measures, among others; establishes motor 
vehicle emissions budgets; and updates the previously-approved control 
strategies and attainment demonstrations for the 1-hour ozone NAAQS and 
the 1997 ozone NAAQS. The EPA is taking final action to approve the 
2016 South Coast Ozone SIP as meeting all the applicable ozone 
nonattainment area requirements except for the reasonable further 
progress contingency measure requirement, for which the EPA is 
finalizing a conditional approval.

DATES: This rule will be effective on October 31, 2019.

ADDRESSES: The EPA has established a docket for this action under 
Docket ID No. EPA-R09-OAR-2019-0051. All documents in the docket are 
listed on the https://www.regulations.gov website. Although listed in 
the index, some information is not publicly available, e.g., 
Confidential Business Information (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 through https://www.regulations.gov, or please 
contact the person identified in the FOR FURTHER INFORMATION CONTACT 
section for additional availability information.

FOR FURTHER INFORMATION CONTACT: John Ungvarsky, Air Planning Office 
(AIR-2), EPA Region IX, 75 Hawthorne Street, San Francisco, CA 94105, 
(415) 972-3963, or by email at [email protected].

Table of Contents

I. Summary of the Proposed Action
II. Submittal of District Rule 301
III. Public Comments and EPA Responses
IV. Final Action
V. Incorporation by Reference
VI. Statutory and Executive Order Reviews

I. Summary of the Proposed Action

    On June 17, 2019 (84 FR 28132), the EPA proposed to approve, under 
CAA section 110(k)(3), and to conditionally approve, under CAA section 
110(k)(4), portions of submittals from the California Air Resources 
Board (CARB or ``State'') and the South Coast Air Quality Management 
District (SCAQMD

[[Page 52006]]

or ``District'') as revisions to the California SIP for the South Coast 
ozone nonattainment area.\1\ The relevant SIP revisions include 
SCAQMD's Final 2016 Air Quality Management Plan (``2016 AQMP''), CARB's 
Revised Proposed 2016 State Strategy for the State Implementation Plan 
(``2016 State Strategy''), CARB's 2018 Updates to the California State 
Implementation Plan (``2018 SIP Update''), SCAQMD's Updated Federal 
1979 1-Hour Ozone Standard Attainment Demonstration (``1-Hour Ozone 
Update''), and SCAQMD's local emissions statement rule (i.e., certain 
paragraphs of District Rule 301 (``Permitting and Associated Fees''). 
With respect to the SCAQMD emissions statement rule, our proposal was 
based on a public draft version of the rule and requests from the 
District and CARB that the EPA accept the public draft for parallel 
processing.\2\ Since publication of the proposed rule, the District has 
adopted, and CARB has submitted, the emissions statement rule as a SIP 
revision. The SIP submittal of the emissions statement rule is 
discussed in more detail in section II of this document. Collectively, 
we refer to the relevant portions of the five SIP revisions as the 
``2016 South Coast Ozone SIP,'' and we refer to our June 17, 2019 
proposed rule as the ``proposed rule.''
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    \1\ The South Coast ozone nonattainment area includes Orange 
County, the southwestern two-thirds of Los Angeles County, 
southwestern San Bernardino County, and western Riverside County. A 
precise description of the South Coast ozone nonattainment area is 
contained in 40 CFR 81.305.
    \2\ Letters dated May 17, 2019, from Wayne Nastri, Executive 
Officer, SCAQMD, to Richard Corey, Executive Officer, CARB, and May 
20, 2019, from Richard W. Corey, Executive Officer, CARB to Michael 
Stoker, Regional Administrator, EPA Region IX.
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    Our proposed conditional approval of the reasonable further 
progress (RFP) contingency measure element of the 2016 South Coast 
Ozone SIP relied on specific commitments: (1) From the District to 
modify an existing rule or rules, or adopt a new rule(s), that would 
provide for additional emissions reductions in the event that the South 
Coast fails to meet an RFP milestone, and (2) from CARB to submit the 
revised or new District rule(s) to the EPA as a SIP revision within 12 
months of our final action.3 4 For more information on these 
submittals, please see our proposed rule.
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    \3\ Letters dated January 29, 2019 and May 2, 2019, from Wayne 
Nastri, Executive Officer, SCAQMD, to Richard Corey, Executive 
Officer, CARB.
    \4\ Letter dated February 13, 2019, from Dr. Michael T. 
Benjamin, Chief, Air Quality Planning and Science Division, CARB, to 
Mike Stoker, Regional Administrator, EPA Region IX, and letter dated 
May 20, 2019, from Dr. Michael T. Benjamin, Chief, Air Quality 
Planning and Science Division, CARB, to Amy Zimpfer, Associate 
Director, Air Division, EPA Region IX.
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    In our proposed rule, we provided background information on the 
ozone standards,\5\ area designations, and related SIP revision 
requirements under the CAA, and the EPA's implementing regulations for 
the 2008 ozone standards, referred to as the 2008 Ozone SIP 
Requirements Rule (``2008 Ozone SRR''). To summarize, the South Coast 
ozone nonattainment area is classified as Extreme for the 1-hour, 1997 
and 2008 ozone standards, and the 2016 South Coast Ozone SIP was 
developed to update the attainment plans for the 1-hour and 1997 ozone 
NAAQS and to address the requirements for this Extreme nonattainment 
area for the 2008 ozone NAAQS.
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    \5\ Ground-level ozone pollution is formed from the reaction of 
volatile organic compounds (VOC) and oxides of nitrogen 
(NOX) in the presence of sunlight. The 1-hour ozone NAAQS 
is 0.12 parts per million (ppm) (one-hour average), the 1997 ozone 
NAAQS is 0.08 ppm (eight-hour average), and the 2008 ozone standard 
is 0.075 ppm (eight-hour average). CARB refers to reactive organic 
gases (ROG) in some of its ozone-related submittals. The CAA and the 
EPA's regulations refer to VOC, rather than ROG, but both terms 
cover essentially the same set of gases. In this final rule, we use 
the term federal term (VOC) to refer to this set of gases.
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    In our proposed rule, we also discussed a decision issued by the 
D.C. Circuit Court of Appeals in South Coast Air Quality Management 
Dist. v. EPA, (`` South Coast II '') \6\ that vacated certain portions 
of the EPA's 2008 Ozone SRR. The only aspect of the South Coast II 
decision that affects this action is the vacatur of the provision in 
the 2008 Ozone SRR that allowed states to use an alternative baseline 
year for demonstrating RFP. To address this, in the 2018 SIP Update, 
CARB submitted an updated RFP demonstration that relied on a 2011 
baseline year as required, along with updated motor vehicle emissions 
budgets (MVEBs) associated with the new RFP milestone years.
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    \6\ South Coast Air Quality Management Dist. v. EPA, 882 F.3d 
1138 (D.C. Cir. 2018). The term ``South Coast II '' is used in 
reference to the 2018 court decision to distinguish it from a 
decision published in 2006 also referred to as ``South Coast.'' The 
earlier decision involved a challenge to the EPA's Phase 1 
implementation rule for the 1997 ozone standard. South Coast Air 
Quality Management Dist. v. EPA, 472 F.3d 882 (D.C. Cir. 2006).
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    With respect to the contingency measure requirement, in our 
proposed rule, we noted that the EPA's longstanding interpretation of 
section 172(c)(9) that states may rely on already-implemented measures 
as contingency measures (if they provide emissions reductions in excess 
of those needed to meet any other nonattainment plan requirements) was 
rejected by the Ninth Circuit Court of Appeals in a case referred to as 
Bahr v. EPA (``Bahr'').\7\ In Bahr, the Ninth Circuit concluded that 
contingency measures must be measures that would take effect at the 
time the area fails to make RFP or to attain by the applicable 
attainment date, not before.\8\ Thus, within the geographic 
jurisdiction of the Ninth Circuit, states cannot rely on already-
implemented control measures to comply with the contingency measure 
requirements under CAA sections 172(c)(9) and 182(c)(9).\9\
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    \7\ Bahr v. EPA, 836 F.3d 1218, at 1235-1237 (9th Cir. 2016).
    \8\ Id. at 1235-1237.
    \9\ The Bahr v. EPA decision involved a challenge to an EPA 
approval of contingency measures under the general nonattainment 
area plan provisions for contingency measures in CAA section 
172(c)(9), but, given the similarity between the statutory language 
in section 172(c)(9) and the ozone-specific contingency measure 
provision in section 182(c)(9), we find that the decision affects 
how both sections of the Act must be interpreted.
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    For our proposed rule, we reviewed the various SIP elements 
contained in the 2016 South Coast Ozone SIP, evaluated them for 
compliance with statutory and regulatory requirements, and concluded 
that they meet all applicable requirements with the exception of the 
RFP contingency measure element. More specifically, in our proposal 
rule, we determined the following:
     CARB and the District met all applicable procedural 
requirements for public notice and hearing prior to the adoption and 
submittal of the 2016 AQMP, 2016 State Strategy, 2018 SIP Update and 1-
Hour Ozone Update;
     The 2012 base year emissions inventory from the 2016 AQMP 
is comprehensive, accurate, and current and thereby meets the 
requirements of CAA sections 172(c)(3) and 182(a)(1) and 40 CFR 51.1115 
for the 2008 ozone NAAQS, and future year baseline projections reflect 
appropriate calculation methods and the latest planning assumptions and 
are properly supported by SIP-approved stationary and mobile source 
measures (see 84 FR 28137-28139 from the proposed rule);
     The emissions statement element of the 2016 AQMP, 
including public draft version of District Rule 301 (specifically, 
paragraphs (e)(1)(A) and (B), (e)(2), (e)(5) and (e)(8)), meets the 
requirements for emissions statements under CAA section 182(a)(3)(B) 
and 40 CFR 51.1102 for the 2008 ozone NAAQS (see 84 FR 28139-28140 from 
the proposed rule);
     The process followed by the District to identify 
reasonably available control measures (RACM) is generally consistent 
with the EPA's

[[Page 52007]]

recommendations; the District's rules and commitments made to adopt 
certain additional measures provide for the implementation of RACM for 
stationary and area sources of oxides of nitrogen (NOX) and 
volatile organic compounds (VOC); CARB and the Southern California 
Association of Governments (SCAG) provide for the implementation of 
RACM for mobile sources of NOX and VOC; there are no 
additional RACM that would advance attainment of the 2008 ozone NAAQS 
in the South Coast by at least one year; and therefore, the 2016 AQMP 
and 2016 State Strategy provide for the implementation of all RACM as 
required by CAA section 172(c)(1) and 40 CFR 51.1112(c) for the 2008 
ozone NAAQS (see 84 FR 28140-28143 from the proposed rule);
     The photochemical modeling in the 2016 AQMP and 1-Hour 
Ozone Update shows that existing CARB and District control measures, 
plus CARB and District commitments to achieve additional emissions 
reductions in the 2016 AQMP and 2016 State Strategy, are sufficient to 
attain the 1-hour, 1997 and 2008 ozone NAAQS by the applicable 
attainment dates in the South Coast; given the extensive documentation 
in the 2016 AQMP of modeling procedures and good model performance, the 
modeling is adequate to support the attainment demonstrations for the 
three ozone NAAQS; and therefore, the 2016 South Coast Ozone SIP meets 
the attainment demonstration requirements of CAA section 182(c)(2)(A) 
and 40 CFR 51.1108 (see 84 FR 28143-28157 from the proposed rule);
     As provided in our SRR, the previously-approved 15 percent 
rate-of-progress (ROP) demonstration for the 1-hour ozone NAAQS for the 
South Coast meets the ROP requirements of CAA section 182(b)(1) for the 
South Coast for the 2008 ozone NAAQS given that the boundaries of the 
South Coast nonattainment area for the 1-hour ozone NAAQS and the 2008 
ozone NAAQS are the same (see 84 FR 28157-28158 from the proposed 
rule);
     The RFP demonstration in the 2018 SIP Update provides for 
emissions reductions of VOC or NOX of at least 3 percent per 
year on average for each three-year period from a 2011 baseline year 
through the attainment year and thereby meets the requirements of CAA 
sections 172(c)(2), 182(b)(1), and 182(c)(2)(B), and 40 CFR 
51.1110(a)(2)(ii) for the 2008 ozone NAAQS (see 84 FR 28157-28158 from 
the proposed rule);
     The 2016 AQMP (specifically, appendix VI-E (``VMT Offset 
Demonstration'')) demonstrates that CARB and SCAG have adopted 
sufficient transportation control strategies and transportation control 
measures to offset the growth in emissions from growth in vehicle-
miles-traveled (VMT) and vehicle trips in the South Coast, and thereby 
complies with the VMT emissions offset requirement in CAA section 
182(d)(1)(A) and 40 CFR 51.1102 for the 2008 ozone NAAQS (see 84 FR 
28158-28161 from the proposed rule);
     Through EPA-approved District Rules 1303 
(``Requirements''), 1146 (``Emissions of Oxides of Nitrogen from 
Industrial, Institutional, and Commercial Boilers, Steam Generators, 
and Process Heaters''), and 2004 (``Requirements'') (paragraph (h)), 
the 2016 AQMP meets the clean fuels or advanced control technology for 
boilers requirement in CAA section 182(e)(3) and 40 CFR 51.1102 for the 
2008 ozone NAAQS (see 84 FR 28163-28164 from the proposed rule);
     The MVEBs for the RFP milestone years of 2020, 2023, 2026, 
2029, and the attainment year of 2031 from the 2018 SIP Update are 
consistent with the RFP and attainment demonstrations, are clearly 
identified and precisely quantified, and meet all other applicable 
statutory and regulatory requirements in 40 CFR 93.118(e), including 
the adequacy criteria in 40 CFR 93.118(e)(4) and (5) (see 84 FR 28164-
28166 from the proposed rule); \10\
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    \10\ In light of CARB's request to limit the duration of the 
approval of the budgets in the 2018 SIP Update and in anticipation 
of the EPA's approval, in the near term, of an updated version of 
CARB's EMFAC (short for EMission FACtor) model for use in SIP 
development and transportation conformity in California to include 
updated vehicle mix and emissions data, we proposed to limit the 
duration of our approval of the budgets until replacement budgets 
have been found adequate. See pages 28165-28166 from the proposed 
rule.
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     The general conformity budgets in the 2016 AQMP are 
established for a set time period, cover both precursors of ozone, are 
precisely quantified, and are consistent with the attainment 
demonstrations for the three ozone NAAQS in the South Coast, and the 
2016 AQMP provides an adequate tracking procedure to ensure compliance 
(see 84 FR 28166-28167 from the proposed rule); and
     Through previous EPA approvals of the State's I/M program, 
the 1994 ``Opt-Out Program'' SIP revision, the 1993 Photochemical 
Assessment Monitoring Station (PAMS) SIP revision, and the 2016 annual 
monitoring network plan for the South Coast, the 2016 AQMP adequately 
addresses for the 2008 ozone NAAQS: The enhanced vehicle inspection and 
maintenance (I/M) requirements in CAA section 182(c)(3) and 40 CFR 
51.1102; the clean fuels fleet program in CAA sections 182(c)(4) and 
246 and 40 CFR 51.1102; and the enhanced ambient air monitoring 
requirements in CAA section 182(c)(1) and 40 CFR 51.1102 (see 84 FR 
28167-28168 from the proposed rule).
    With respect to the RFP contingency measure element of the 2016 
South Coast Ozone SIP, we proposed to conditionally approve the element 
as meeting the requirements of CAA sections 172(c)(9) and 182(c)(9) for 
the 2008 ozone NAAQS, based on commitments by CARB and the District to 
supplement the element through submission of a SIP revision within one 
year of final conditional approval action that will include a revised 
or new District rule or rules.\11\ See pages 28161-28163 from the 
proposed rule.
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    \11\ In light of the proposed approval of the attainment 
demonstration for the 2008 ozone NAAQS, the reliance of the 
attainment demonstration on section 182(e)(5) new technology 
measures, and CARB's clarification concerning the agency's 
commitment to submit section 182(e)(5) contingency measures, we 
proposed to find that CARB's commitment to submit attainment 
contingency measures provides an adequate basis to defer submittal 
of attainment contingency measures meeting the requirements in CAA 
section 172(c)(9) for the 2008 ozone NAAQS until 2028.
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    Please see our proposed rule for more information concerning the 
background for this action and for a more detailed discussion of the 
rationale for approval or conditional approval of the above-listed 
elements of the 2016 South Coast Ozone SIP.

II. Submittal of District Rule 301

    As noted above, we proposed to approve the emissions statement 
element of the 2016 South Coast Ozone SIP based on a public draft 
version of District Rule 301 (paragraphs (e)(1)(A) and (B), (e)(2), 
(e)(5) and (e)(8)) and a May 20, 2019 request from CARB that the EPA 
accept the public draft version of District Rule 301 for parallel 
processing. Under the EPA's parallel processing procedure, the EPA may 
propose action on a state's public draft version of a SIP revision but 
will take final action only after the state adopts and submits the 
final version to the EPA for approval.\12\ If there are no significant 
changes from the draft version of the SIP revision to the final 
version, the EPA may elect to take final action on the proposal.
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    \12\ See 40 CFR part 51, appendix V, section 2.3.
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    In this case, on July 12, 2019, the District adopted without 
significant modifications the final version of District Rule 301 
previously released for public review, and on August 5, 2019, CARB 
adopted and submitted District Rule 301 to the EPA as a revision to the

[[Page 52008]]

California SIP.\13\ The submittal includes CARB Executive Order S-19-
011 adopting the specified sections of District Rule 301 as a revision 
to the SIP, a copy of District Rule 301 itself, and documentation of 
public notice and opportunity to comment on the draft rule. We based 
our proposed action on the public draft version of District Rule 301 
submitted to us on May 20, 2019, and we are now finalizing our action 
based on the August 5, 2019 submittal of the final adopted version of 
District Rule 301.
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    \13\ Letter dated August 5, 2019, from Richard W. Corey, CARB 
Executive Officer, to Michael Stoker, Regional Administrator, EPA 
Region IX.
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    For this final rule, we have evaluated the August 5, 2019 submittal 
for compliance with CAA procedural requirements for adoption and 
submission of SIP revisions. Specifically, CAA sections 110(a)(1) and 
(2) and 110(l) require a state to provide reasonable public notice and 
opportunity for public hearing prior to the adoption and submission of 
a SIP or SIP revision. To meet this requirement, every SIP submittal 
should include evidence that adequate public notice was given and an 
opportunity for a public hearing was provided consistent with the EPA's 
implementing regulations in 40 CFR 51.102.
    The District and CARB have satisfied the applicable statutory and 
regulatory requirements for reasonable public notice and hearing prior 
to the adoption and submittal of District Rule 301. On May 17, 2019, 
the District published a notice of public hearing to be held on July 
12, 2019, to consider approval of amendments to District Rule 301, 
including the addition of a paragraph requiring certification of annual 
emissions information. On July 12, 2019, the District held the hearing, 
adopted the amendments to District Rule 301, as proposed, and approved 
the submission of District Rule 301 (paragraphs (e)(1)(A) and (B), 
(e)(2), (e)(5) and (e)(8)) to CARB for submittal to the EPA for 
inclusion into the California SIP.\14\ On August 5, 2019, through 
Executive Order S-19-011, the CARB Executive Officer approved the 
relevant portion of District Rule 301 as a revision to the California 
SIP, and on August 5, 2019, CARB submitted it to the EPA. Because the 
District and CARB have complied with all applicable procedural 
requirements for adoption and submittal of SIP revisions, and because 
the final, adopted version of District Rule 301 is essentially the same 
as the draft version of the rule for which we proposed approval, we are 
taking final action today to approve District Rule 301 (paragraphs 
(e)(1)(A) and (B), (e)(2), (e)(5) and (e)(8) only) as meeting the 
emissions statement requirements of CAA 182(a)(3)(B) and 40 CFR 51.1102 
for the 2008 ozone NAAQS.
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    \14\ See District Resolution 19-15.
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III. Public Comments and EPA Responses

    The public comment period on the proposed rule opened on June 17, 
2019, the date of its publication in the Federal Register, and closed 
on July 17, 2019. During this period, the EPA received two anonymous 
comments, two comment letters submitted by private individuals, one 
comment letter submitted on behalf of the North American Insulation 
Manufacturers Association (NAIMA), and one comment letter submitted by 
Earthjustice on behalf of the Center for Community Action & Environment 
Justice (CCAEJ).\15\
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    \15\ In addition to the comments received during the comment 
period, on August 2, 2019, we received a late comment from the 
Scientific Integrity Institute challenging the validity of 
statements in the proposed rule concerning public health effects at 
current ozone exposure levels experienced by residents in the South 
Coast. This late comment has been placed in the rulemaking docket 
but is not addressed in this final rule because it is untimely.
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    One of the anonymous commenters expresses overall support for the 
proposed action. The other anonymous commenter describes certain 
pending legislation in Congress, an issue that is outside the scope of 
this rulemaking. One of the private individuals submitted numerous 
documents to the EPA, but the commenter's written comment does not 
relate to any specific aspect of our proposed rule nor does it explain 
the relevance of the submitted documents to our proposed action. The 
EPA is not responding to these three commenters, either because their 
comments are not adverse to, or because they are not relevant to, the 
proposed action. With respect to the other commenters, we provide 
summaries of the comments and our responses thereto in the following 
paragraphs. All the comments received are included in the docket for 
this action.
    Comment #1: A private individual makes numerous general assertions 
against the State of California regarding, for example, motor vehicle 
standards, interstate commerce, California's high-speed rail project, 
and the California Environmental Quality Act (CEQA). Citing three 
specific examples,\16\ the commenter alleges inadequate consideration 
of public comments by State and local public agencies during 
environmental review of projects or documents that are subject to the 
State's CEQA process. The commenter contends that such inadequacies are 
systemic in California and, as such, apply to the State's actions in 
nonattainment areas. The commenter also alleges failure by California 
public agencies to reduce the impacts of increased commute times 
through adoption of appropriate land use policies and trip reduction 
measures.
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    \16\ U.S. Highway 101 widening project in south Santa Barbara 
County involving the California Department of Transportation; Santa 
Barbara County's Fast Forward 2040 Federal Transportation 
Improvement Plan update; and CARB's Zero Emission Airport Shuttle 
Regulation.
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    Response #1: Because the general assertions against California 
described by the commenter are not linked by the commenter to specific 
aspects of our proposed rule, the EPA is not responding to the 
assertions. As described in the proposed rule \17\ and in section II of 
this document, we have reviewed the public process documentation for 
the development, adoption and submittal of the five SIP revisions that 
collectively comprise the 2016 South Coast Ozone SIP and conclude that 
they meet the procedural requirements for public notice and hearing for 
SIP revisions as set forth in CAA sections 110(a) and 110(l) and 40 CFR 
51.102. None of the specific examples cited by the commenter relate to 
the public processes (including CEQA) used by the District and CARB to 
develop, adopt and submit the 2016 South Coast Ozone SIP, and a 
generalized assertion about alleged inadequacies generally to meet 
California public agency public processes (e.g., CEQA) is not 
sufficient to contradict the specific findings we have made in 
connection with the public processes used by the District and CARB in 
developing, adopting and submitting the 2016 South Coast Ozone SIP.
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    \17\ See 84 FR 28132, at 28136-28137 (June 17, 2019).
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    With respect to land use policies and trip reduction measures to 
reduce commute-related vehicle emissions, we note that the 2016 AQMP 
includes a number of transportation control measures that are intended 
to reduce vehicle use or change traffic flow or congestion 
conditions.\18\
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    \18\ See 2016 AQMP, attachment A (``Committed Transportation 
Control Measures (TCMs)'') to appendix IV-C (``Regional 
Transportation Strategy and Control Measures'').
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    Comment #2: For a number of reasons, including the absence of 
fiberglass manufacturing facilities in the South Coast, the risk of 
unwarranted precedent for similar types of rules in other SIPs, and 
technical infeasibility, NAIMA urges the EPA to delete, from

[[Page 52009]]

the EPA's proposed rule, the modification of District Rule 1117 
(``Emissions of Oxides of Nitrogen from Glass Melting Furnaces'') to 
remove the exemption for idling fiberglass furnaces.
    Response #2: In 1990, the EPA approved District Rule 1117 (amended 
January 6, 1984) as a revision to the SCAQMD portion of the California 
SIP.\19\ The SIP-approved version of District Rule 1117 includes 
exemptions for furnaces used in the melting of glass for the production 
of fiberglass exclusively and for idling furnaces.\20\ In our June 17, 
2019 proposed rule, we did not propose to remove the exemption for 
idling fiberglass furnaces in District Rule 1117 in the current 
approved SIP for SCAQMD, and our final action on the 2016 South Coast 
Ozone SIP will have no effect on District Rule 1117.
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    \19\ 55 FR 28624 (July 12, 1990).
    \20\ District Rule 1117, paragraphs (d)(5) and (d)(6).
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    In our proposed rule, we do refer to the removal of exemptions in 
District Rule 1117 for idling furnaces used in the melting of glass for 
the production of fiberglass, but we do so as an example of the type of 
rule amendments that the District has included in its commitment to 
revise a District rule or rules to include as an RFP contingency 
measure.\21\ In other words, this is a potential change to the existing 
SIP for SCAQMD that the District and CARB may determine is appropriate 
for use as a contingency measure in the event of future failures to 
meet the RFP requirement. The District's commitment is contained in a 
letter dated May 2, 2019, that clarifies an earlier commitment letter 
from the District dated January 29, 2019.\22\ The District's May 2, 
2019 letter lists 12 different rules, including District Rule 1117, 
that the District intends to review for possible inclusion as an RFP 
contingency measure. The letter also describes the types of amendments 
that the District and CARB are likely to consider for each of the 
rules, including, in some cases, the removal of exemptions.
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    \21\ See 28162 from the June 17, 2019 proposed rule. The term 
``RFP contingency measure'' refers to contingency measures to take 
effect if an area fails to meet an RFP milestone as required by CAA 
section 182(c)(9). RFP contingency measure is used to distinguish 
contingency measures to address failures to meet an RFP milestone 
from ``attainment contingency measures'' that are intended to 
address a failure by an area to attain the NAAQS by the applicable 
attainment date as required by CAA section 172(c)(9).
    \22\ Letters dated January 29, 2019 and May 2, 2019, from Wayne 
Nastri, Executive Officer, SCAQMD, to Richard Corey, Executive 
Officer, CARB.
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    In our final action on the 2016 South Coast Ozone SIP today, we are 
not approving the District's letters as part of the SIP or taking any 
action on potential changes to the District rules cited therein, but we 
are relying on the letters as the basis, in part, on which to 
conditionally approve the contingency measure element, as authorized 
under CAA section 110(k)(4). Over the course of the next year, to 
fulfill the commitment made with respect to the RFP contingency measure 
element, we expect the District to initiate rulemaking proceedings with 
respect to one or more of the rules listed in the May 2, 2019 
commitment letter. We anticipate that such rulemaking proceedings would 
lead to adoption by the District of a provision for the removal of 
exemptions or lowering of emissions limits upon a determination by the 
EPA that the South Coast has failed to meet an RFP milestone for the 
2008 ozone NAAQS. NAIMA is encouraged to participate in the District's 
rulemaking process if District Rule 1117 is selected by the District 
for amendment to include such an RFP contingency measure.
    Comment #3: CCAEJ asserts that the EPA violates the CAA by waiving 
the previously adopted commitment to adopt section 182(e)(5) 
contingency measures for the 1-hour ozone NAAQS. According to CCAEJ, 
the EPA has no basis to determine whether the section 182(e)(5) 
measures have achieved the planned reductions as called for in section 
182(e)(5), and the EPA cannot demonstrate that the section 182(e)(5) 
measures will achieve the necessary reductions to attain the 1-hour 
ozone NAAQS by the 2022 attainment year because we have not reached the 
deadline. CCAEJ also asserts that the decision to waive the section 
182(e)(5) contingency measures is also arbitrary and capricious because 
taking away these contingency measure protections removes a necessary 
backstop for people in Extreme ozone nonattainment areas and presents 
people in the region with fewer protections if the area fails to attain 
the 1-hour ozone NAAQS.
    Response #3: We agree that the CAA does not allow the EPA to 
``waive'' a commitment that has been approved as part of a SIP. In this 
action, the EPA is not waiving any commitment, but rather, we are 
approving a SIP revision that demonstrates that the commitment is moot 
because the 1-hour ozone control strategy no longer relies on section 
182(e)(5) new technology measures. If new technology measures are no 
longer needed, then section 182(e)(5) continency measures are no longer 
required, and if section 182(e)(5) contingency measures are no longer 
required, then an enforceable commitment to submit section 182(e)(5) 
contingency measures no longer serves any purpose.
    Section 182(e)(5) of the CAA allows the EPA to approve an 
attainment demonstration for an Extreme ozone nonattainment area based 
on provisions that anticipate development of new control techniques or 
improvement of existing control technologies (herein, ``new technology 
measures'') if the state has submitted enforceable commitments to 
develop and adopt contingency measures (herein, ``section 182(e)(5) 
contingency measures'') if the new technology measures do not achieve 
planned reductions. The section 182(e)(5) contingency measures must be 
submitted to the EPA as a SIP revision no later than 3 years before 
implementation of the plan provisions (i.e., three years before the 
attainment year on which the attainment demonstration is based), and 
the section 182(e)(5) contingency measures must be adequate to produce 
emissions reductions sufficient, in conjunction with other approved 
plan provisions, to attain the ozone NAAQS by the applicable attainment 
date.
    In 2014, the EPA approved the attainment demonstration for the 1-
hour ozone NAAQS for the South Coast in the ``Final 2012 Air Quality 
Management Plan'' (``2012 AQMP'').\23\ The 1-hour ozone attainment 
demonstration in the 2012 AQMP relied upon new technology measures to 
achieve emissions reductions of 17 tons per day (tpd) of VOC and 150 
tpd of NOX in the South Coast by January 1, 2022. The new 
technology measures in the 2012 AQMP were supported by a commitment by 
CARB to submit section 182(e)(5) contingency measures by January 1, 
2019, as necessary to ensure that the emissions reductions from new 
technology measures are achieved.
---------------------------------------------------------------------------

    \23\ 79 FR 52526 (September 3, 2014).
---------------------------------------------------------------------------

    The 2016 AQMP and 1-Hour Ozone Update revise the attainment 
demonstration for the 1-hour ozone NAAQS for the South Coast to reflect 
updated emissions inventories, photochemical modeling, and control 
strategy. In adopting the 1-Hour Ozone Update, CARB found that the 1-
Hour Ozone Update demonstrates that identified District control 
measures will achieve the emissions reductions needed for attainment of 
the 1-hour ozone NAAQS by 2022 without additional reductions from new 
technology measures and that section 182(e)(5) requirements no longer 
apply to the South Coast for the 1-hour ozone NAAQS.\24\
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    \24\ CARB Resolution 18-55, December 13, 2018, 4.

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[[Page 52010]]

    The District control measures to which CARB refers are included in 
the District's aggregate emissions reduction commitments through which 
the District commits to develop, adopt, submit and implement certain 
ozone measures to achieve emissions reductions in the aggregate of 20.6 
tpd of NOX and 6.1 tpd of VOC by 2022.\25\ The District's 
aggregate emissions reduction commitment in the 2016 AQMP (to take 
certain actions and achieve reductions of 20.6 tpd of NOX 
and 6.1 tpd of VOC by 2022) fills the gap between the 2022 adjusted 
baseline emissions level (that reflects already-adopted measures) and 
2022 modeled attainment emissions level for the 1-hour ozone NAAQS.\26\ 
Thus, there is no further need to rely on new technology measures, and 
thus, no need for the corresponding section 182(e)(5) contingency 
measures.
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    \25\ See the proposed rule at 28145-28147 for a detailed 
description of the District's aggregate emissions reduction 
commitments.
    \26\ See table 9 from the proposed rule--page 28151-28152.
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    In this action, we are approving the updated emissions inventories 
and photochemical modeling for the 1-hour ozone NAAQS in the 2016 AQMP 
and 1-Hour Ozone Update, and approving the revised control strategy 
that has been reset to reflect the updated inventory and modeling 
results. Again, we are not waiving CARB's commitment to submit section 
182(e)(5) contingency measures but, rather, we are approving a SIP 
revision that provides the technical basis (updated inventories and 
photochemical modeling) demonstrating that no such contingency measures 
are needed because the control strategy no longer relies on new 
technology measures. In effect, our approval of the updated 1-hour 
ozone attainment demonstration in the 2016 AQMP and 1-Hour Ozone Update 
replaces the enforceable commitment by CARB to submit section 182(e)(5) 
contingency measures with an enforceable commitment by the District to 
take certain actions and achieve certain emissions reductions by 2022. 
We note that the enforceable commitments made by the District through 
adoption of the 2016 AQMP are similar to the enforceable commitments 
that the EPA has approved as part of attainment demonstrations in 
previous California air quality plans and that have withstood legal 
challenge.\27\
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    \27\ See Committee for a Better Arvin v. EPA, 786 F.3d 1169 (9th 
Cir. 2015) (approval of state commitments to propose and adopt 
emissions control measures and to achieve aggregate emissions 
reductions for San Joaquin Valley ozone and particulate matter plans 
upheld); Physicians for Social Responsibility--Los Angeles v. EPA, 
9th Cir., memorandum opinion issued July 25, 2016 (approval of air 
district commitments to propose and adopt measures and to achieve 
aggregate emissions reductions for South Coast 1-hour ozone plan 
upheld).
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    Lastly, we disagree with CCAEJ's assertion that it is not possible 
to determine at this point in time whether the new technology measures 
approved as part of the 2012 AQMP have achieved the necessary emissions 
reductions because that determination cannot be made until the 2022 
deadline. Under these circumstances, the CAA requires an accounting of 
the remaining reductions to be achieved by new technology measures 
three years prior to attainment. In this case, the accounting had to 
have been submitted by 2019 to determine the extent to which section 
182(e)(5) contingency measures are needed, which is why it was 
necessary for CARB to commit to submitting section 182(e)(5) 
contingency measures (as needed) by 2019. The updated 1-hour ozone 
attainment demonstration in the 2016 AQMP and 1-Hour Ozone Update 
provide the accounting of the remaining emissions reductions necessary 
to attain the 1-hour ozone NAAQS by 2022, and based on that analysis, 
CARB concludes that emissions reductions from new technology measures 
are no longer needed, given that the District's aggregate emissions 
reduction commitment of 20.6 tpd of NOX and 6.1 tpd of VOC 
by 2022 will close the gap between the 2022 baseline emissions level 
(reflecting adopted measures) and the 2022 modeled attainment emissions 
level.\28\
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    \28\ Table 3 of the June 17, 2019 proposed rule (84 FR 28132, at 
28146) shows the District's stationary and mobile source measures 
that are expected to achieve the District's 2022 aggregate emissions 
reduction commitment.
---------------------------------------------------------------------------

    Comment #4: Citing evidence of climate change from various sources, 
including sources published by the EPA, CARB, and the SCAQMD, CCAEJ 
asserts that the 2016 South Coast Ozone SIP fails to meet CAA 
requirements for attainment demonstrations because the attainment 
demonstrations for the 1-hour, 1997, and 2008 ozone NAAQS do not 
account for climate change (increased heat and high heat days). 
Moreover, CCAEJ asserts that the failure to account for climate change 
calls into question all the weight of evidence conclusions because 
evidence of increased difficulties in meeting ozone standards has been 
excluded from the analysis.
    Response #4: We acknowledge that the attainment demonstrations in 
the 2016 South Coast Ozone SIP do not explicitly account for potential 
climate change impacts. Although EPA modeling guidance acknowledges the 
potential effect of climate change on ozone levels,\29\ the EPA does 
not recommend that air agencies need to explicitly account for long-
term climate change in attainment demonstrations. The guidance states 
that ``there are significant uncertainties regarding the precise 
location and timing of climate change impacts on air quality. 
Generally, climate projections are more robust for periods at least 
several decades in the future because the forcing mechanisms that drive 
near-term natural variability in climate patterns (e.g., El Nino, North 
American Oscillation) have substantially larger signals over short time 
spans than the driving forces related to long-term climate change. In 
contrast, projections for SIP purposes are generally for time spans of 
less than 20 years. Given the relatively short time span between base 
and future year meteorology in most SIP demonstrations, the EPA does 
not recommend that air agencies explicitly account for long-term 
climate change in attainment demonstrations.'' \30\ In contrast, the 
time spans between base and future year meteorology in the 2016 AQMP 
(year 2012) \31\ and the modeled attainment years are 10, 11, and 19 
years for the 1-hour, 1997, and 2008 ozone NAAQS, respectively. The 
attainment demonstrations in the 2016 South Coast Ozone SIP are thus 
consistent with our guidance in this respect, and we find that the 
failure to account for potential climate change in the attainment 
demonstrations does not undermine our approval of them. The same is 
true for the weight of evidence model runs (presented in chapter 5 of 
appendix V of the 2016 AQMP) that are also based on 2012 meteorology.
---------------------------------------------------------------------------

    \29\ EPA, Office of Air Quality Planning and Standards, Modeling 
Guidance for Demonstrating Air Quality Goals for Ozone, 
PM2.5, and Regional Haze, EPA 454/R-18-009, November 2018 
(``Final Modeling Guidance''), 31-32.
    \30\ Final Modeling Guidance, page 32.
    \31\ 2016 AQMP, appendix V (``Modeling and Attainment 
Demonstration''), page V-1-1.
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    We note that our modeling guidance states that air agencies are 
welcome to consider potential climate impacts in their specific areas, 
especially where and when there is evidence of significant potential 
impacts,\32\ and the SCAQMD has issued a request for proposals to 
evaluate meteorological factors and trends contributing to recent poor 
air quality in the South Coast.\33\ The information that will be 
developed

[[Page 52011]]

through this study, while too late to inform development of the 2016 
AQMP, may inform development of future AQMPs.
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    \32\ Final Modeling Guidance, page 32.
    \33\ SCAQMD Board Meeting, November 2, 2018, Agenda No. 9, 
Proposal: Issue RFP to Evaluate Metrological Factors and Trends 
Contributing to Recent Poor Air Quality in South Coast Air Basin.
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    Comment #5: CCAEJ asserts that the EPA's proposed conditional 
approval as a contingency measure of CARB's commitment to submit a 
contingency measure developed and adopted by the District, or as 
referred to by CCAEJ as ``CARB's plan to adopt a plan,'' is 
inconsistent with the Bahr decision and violates the CAA. More 
specifically, CCAEJ objects to the contingency measure commitment by 
CARB because it would not provide for one year's worth of progress; 
because the commitment to submit a contingency measure will not be 
federally enforceable; because CARB has only submitted a plan to adopt 
a plan and thus the EPA has no basis to evaluate whether the 
contingency measure provides emissions reductions that are 
quantifiable, enforceable, permanent and surplus; and because the 
contingency measure would not comply with the requirement under the CAA 
that contingency measures take effect without further action by the 
state or the EPA.
    Response #5: We did not propose to conditionally approve CARB's 
commitment to submit a revised District rule (to include contingent 
provisions to be triggered by a failure to meet an RFP milestone) as a 
contingency measure. We proposed to conditionally approve the RFP 
contingency measure element of the 2016 South Coast Ozone SIP that 
includes the emissions analysis from the 2018 SIP Update documenting 
how the measure (once adopted, submitted and approved) would be 
sufficient to meet the RFP contingency measure requirement in CAA 
sections 172(c)(9) and 182(c)(9) and that will include the yet-to-be-
submitted District rule contingency measure. CARB's commitment to 
submit such a revised District rule is not itself part of the 
contingency measure element, but is the basis, in part, of our 
proposing conditional approval under CAA section 110(k)(4).
    Under CAA section 110(k)(4), the EPA may conditionally approve a 
SIP revision based on a state commitment to adopt specific enforceable 
measures by a date certain, but no later than 1 year after the date of 
the final conditional approval. Section 110(k)(4) does not require that 
the state submit the commitment as a SIP revision. We believe that the 
District's commitment to revise a rule or rules, or adopt a new rule or 
rules, to include provisions to eliminate exemptions or reduce 
emissions limits upon an EPA determination that the South Coast has 
failed to meet an RFP milestone, and CARB's commitment to submit the 
revised District rule within 1 year of final conditional approval, to 
be a sufficient basis to conditionally approve the contingency measure 
element of the 2016 South Coast Ozone SIP. Section 110(k)(4) also 
provides that conditional approvals shall be treated as disapprovals if 
the state fails to comply with the commitments made.
    We acknowledge that, because CARB's commitment to submit a revised 
District rule will not be approved into the SIP, it will not be 
federally enforceable. However, as noted above, CAA section 110(k)(4) 
authorizes the EPA under certain circumstances to conditionally approve 
a SIP revision based on commitments that are not part of the SIP. 
Instead of a potential lawsuit for failure to fulfill a SIP obligation, 
the consequence for a state's failure to meet a commitment relied upon 
for conditional approval is that the conditional approval (in this 
case, of the contingency measure element) becomes a disapproval that 
triggers sanctions clocks under CAA section 179(a) and 40 CFR 52.31.
    We also acknowledge that we cannot at the present time evaluate 
whether the contingency measure (i.e., the yet to be revised District 
rule including contingency provisions) meets the various criteria for 
approvable control measures in general--such as quantifiable, 
enforceable, permanent and surplus. This circumstance, however, arises 
whenever the EPA issues a conditional approval of a SIP revision. In 
all such cases, the EPA cannot judge definitively, at the time of the 
conditional approval, whether the SIP revision that a state will later 
submit (within one year of the conditional approval) will adequately 
remedy the deficiency that prevents full approval of the original SIP 
revision. In such circumstances, the EPA evaluates the commitment of 
the state to determine whether the submission, if consistent with the 
commitment, will be likely to resolve the deficiency. In this case, the 
deficiency in the RFP contingency measure element is the absence of a 
specific measure that will reduce emissions in the event that the South 
Coast fails to meet an RFP milestone for the 2008 ozone NAAQS and that, 
once triggered, will take effect without significant further action by 
the state or the EPA and will thereby meet the requirements of CAA 
sections 172(c)(9) and 182(c)(9) consistent with the Bahr decision.
    Once the District fulfills its commitment (i.e., to revise a rule, 
or adopt a new rule, to include contingent provisions), and CARB 
submits the revised rule as a SIP revision (within one year of final 
conditional approval), then the EPA will evaluate the rule and take 
appropriate action to propose approval or disapproval of the rule for 
compliance with the general criteria for approvability as well as the 
specific criteria set forth in CAA sections 172(c)(9) and 182(c)(9) for 
RFP contingency measures. The public will then have the opportunity to 
comment on the EPA's proposed action on the submitted rule.
    As noted in our June 17, 2019 proposed rule, we believe that the 
specific types of revisions the District has committed to make, such as 
increasing the stringency of an existing requirement or removing an 
exemption, upon an RFP milestone failure would comply with the 
requirements in CAA sections 172(c)(9) and 182(c)(9) because they would 
be undertaken if the area fails to meet an RFP milestone and would take 
effect without significant further action by the state or the EPA.\34\ 
However, if we find that the contingency measure SIP revision fails to 
meet the applicable requirements, then we would issue a disapproval, 
and a disapproval would trigger sanctions clocks under CAA section 
179(a) and 40 CFR 52.31.
---------------------------------------------------------------------------

    \34\ 84 FR 28132, at 28162-28163 (June 17, 2019).
---------------------------------------------------------------------------

    Lastly, we acknowledge that it is unlikely that the RFP contingency 
measure, once adopted by the District, will achieve the equivalent of 
one year's worth of progress in the South Coast, but we do not believe 
that an RFP contingency measure in the South Coast must achieve one 
year's worth of progress given the extent to which future baseline 
emissions in the South Coast exceed the RFP milestones for the area. 
First, we note that neither the CAA nor the EPA's implementing 
regulations for the ozone NAAQS establish a specific amount of 
emissions reductions that implementation of contingency measures must 
achieve. Rather, the EPA has recommended in guidance that contingency 
measures should provide emissions reductions approximately equivalent 
to one year's worth of RFP, which, with respect to ozone in the South 
Coast ozone nonattainment area, amounts to approximately 16 tpd of VOC 
or NOX reductions.\35\
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    \35\ 84 FR 28132, at 28162 (June 17, 2019).
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    In making the recommendation that contingency measures achieve one 
year's worth of RFP, the EPA has considered the overarching purpose of 
such measures in the context of attainment planning. The purpose of

[[Page 52012]]

emissions reductions from implementation of contingency measures is to 
ensure that, in the event of a failure to meet an RFP milestone or a 
failure to attain the NAAQS by the applicable attainment date, the 
state will continue to make progress toward attainment at a rate 
similar to that specified under the RFP requirements. The state will 
achieve the reductions from the contingency measures while conducting 
additional control measure development and implementation as necessary 
to correct the RFP shortfall or as part of a new attainment 
demonstration plan.\36\ The facts and circumstances of a given 
nonattainment area may justify larger or smaller amounts of emissions 
reductions.
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    \36\ 57 FR 13498, at 13512 (April 16, 1992).
---------------------------------------------------------------------------

    The EPA has also interpreted the Act to allow already-implemented 
measures to qualify as contingency measures so long as the emissions 
reductions from such measures are surplus to those necessary for RFP or 
attainment. In light of the Bahr decision, already-implemented measures 
no longer qualify as contingency measures for SIP purposes in the 
states located within the jurisdiction of the Ninth Circuit Court of 
Appeals. Thus, in the states affected by the Bahr decision, the EPA 
evaluates contingency measure SIP elements to determine whether they 
include contingency measures that are structured to meet the statutory 
requirements set forth in CAA sections 172(c)(9) and 182(c)(9) (e.g., 
structured to take effect prospectively in the event of a failure to 
achieve an RFP milestone or to attain by the applicable attainment 
date). The EPA also evaluates whether the contingency measure or 
measures would provide emissions reductions that, when considered with 
surplus emissions reductions from already-implemented measures or other 
extenuating circumstances, ensure sufficient continued progress in the 
event of a failure to achieve an RFP milestone or to attain the ozone 
NAAQS by the applicable attainment date. We continue to evaluate the 
sufficiency of continued progress that will result from contingency 
measures in light of our guidance, but in appropriate circumstances, do 
not believe that the contingency measures themselves must provide for 
one year's worth of RFP. Such appropriate circumstances include where 
sufficient progress would be maintained by the contingency measures and 
surplus emissions reductions from other sources while the state 
conducts additional control measure development and implementation as 
necessary to correct the RFP shortfall or as part of a new attainment 
demonstration plan. In other words, if there are additional emissions 
reductions projected to occur that a state has not relied upon for 
purposes of RFP or attainment or to meet other nonattainment plan 
requirements, and that result from measures the state has not adopted 
as contingency measures, then those reductions may support EPA approval 
of contingency measures identified by the state even if they would 
result in less than one year's worth of RFP in appropriate 
circumstances.
    In this instance, the RFP contingency measure element of the 2016 
AQMP, as modified by the 2018 SIP Update, and supplemented by the 
commitments to adopt and submit a local contingency measure, relies 
upon a to-be-adopted District contingency measure. In our proposed 
rule, we indicated that the District had not provided an estimate of 
the emissions reductions from the to-be-adopted District contingency 
measure, but that we assume that the emissions reductions may not 
achieve one year's worth of RFP given the types of rule revisions under 
consideration and the magnitude of emissions reductions constituting 
one year's worth of RFP in the South Coast. As to whether the 
contingency measure, once adopted, would provide for sufficient 
continued progress in the event of a failure to achieve an RFP 
milestone, we reviewed the documentation provided in the 2018 SIP 
Update of ``surplus'' (i.e., emissions reductions over and above the 
reductions necessary to demonstrate RFP in the South Coast 
nonattainment area) reductions from CARB's already-adopted mobile 
source control program in the RFP milestone years. For the South Coast 
nonattainment area, CARB's estimates of ``surplus'' reductions in the 
various RFP milestones years (ranging from 168 tpd to 262 tpd of 
NOX) provide the factual basis for us to conclude that the 
to-be-adopted District contingency measure need not in itself achieve 
one year's worth of RFP.\37\
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    \37\ 2018 SIP Update, 65. The estimate of the RFP milestone 
surplus as ranging from 168 tpd to 262 tpd of NOX is 
based on the 2018 SIP Update estimate of surplus in terms of 
percentages (range of 31.5 percent to 47.2 percent) times the 2011 
baseline NOX emissions level of 534.2 tpd.
---------------------------------------------------------------------------

    We anticipate that the emissions reductions from the contingency 
measure or measures ultimately adopted by the District will be 
sufficient, although they may achieve less than 16 tpd (i.e., one 
year's worth of RFP), because already-implemented measures (although 
not relied upon directly to meet the statutory contingency measure 
requirement) will ensure sufficient continued progress in the event of 
a failure to achieve an RFP milestone. Therefore, even though we do not 
know the extent of emissions reductions from the to-be-adopted 
contingency measure, we consider the contingency measure to be 
sufficient to remedy the deficiency in the contingency measure element 
of the 2016 South Coast Ozone SIP.

IV. Final Action

    For the reasons discussed in detail in the proposed rule and 
summarized herein, under CAA section 110(k)(3), the EPA is taking final 
action to approve as a revision to the California SIP the following 
portions of the 2016 South Coast Ozone SIP submitted by CARB on April 
27, 2017, December 5, 2018, December 20, 2018, and August 5, 2019:
     Base year emissions inventory element in the 2016 AQMP as 
meeting the requirements of CAA sections 172(c)(3) and 182(a)(1) and 40 
CFR 51.1115 for the 2008 ozone NAAQS;
     Emissions statement element, including District Rule 301 
(``Permitting and Associated Fees'') (paragraphs (e)(1)(A) and (B), 
(e)(2), (e)(5) and (e)(8)), as amended by the District on July 12, 
2019, as meeting the requirements of CAA section 182(a)(3)(B) and 40 
CFR 51.1102 for the 2008 ozone NAAQS;
     RACM demonstration element in the 2016 AQMP as meeting the 
requirements of CAA section 172(c)(1) and 40 CFR 51.1112(c) for the 
2008 ozone NAAQS;
     Updated attainment demonstration element for the revoked 
1-hour ozone NAAQS in the 2016 AQMP and the 1-Hour Ozone Update as 
meeting the requirements of CAA section 182(c)(2)(A); \38\
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    \38\ Because the 1-hour ozone attainment demonstration in the 1-
Hour Ozone Update does not rely on advanced control technology 
measures under CAA section 182(e)(5), final approval of the 
attainment demonstration in the 1-Hour Ozone Update would fulfill 
CARB's commitment, in adopting the 2012 AQMP, to achieve by January 
1, 2022, aggregate emissions reductions from advanced control 
technology measures under CAA section 182(e)(5) or actual emissions 
decreases that occur and to develop, adopt and submit contingency 
measures by 2019 if advanced control technology measures do not 
achieve planned reductions.
---------------------------------------------------------------------------

     Updated attainment demonstration element for the revoked 
1997 ozone NAAQS in the 2016 AQMP as meeting the requirements of CAA 
section 182(c)(2)(A);
     Attainment demonstration element for the 2008 ozone NAAQS 
in the 2016 AQMP as meeting the requirements of CAA section 
182(c)(2)(A) and 40 CFR 51.1108;
     SCAQMD's commitments in the 2016 AQMP and District 
Resolution 17-

[[Page 52013]]

2 to adopt, submit, and implement certain defined measures, as listed 
in tables 4-2 and 4-4 of Chapter 4 in the 2016 AQMP, and to achieve 
specific aggregate emissions reductions (shown in tables 4-9 through 4-
11 of the 2016 AQMP) by 2022, 2023 and 2031 for the 1-hour ozone NAAQS, 
1997 ozone NAAQS, and 2008 ozone NAAQS, respectively, and to substitute 
any other measures as necessary to make up any emissions reduction 
shortfall; \39\
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    \39\ Final approval of SCAQMD's commitments in the 2016 AQMP 
would update the corresponding commitments made by the District in 
the 2007 South Coast Ozone SIP for the 1997 ozone NAAQS and in the 
2012 AQMP for both the 1997 ozone NAAQS and the 1-hour ozone NAAQS.
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     CARB's commitments in the 2016 State Strategy and CARB 
Resolution 17-7 to bring to the CARB Board for consideration the list 
of proposed SIP measures outlined in the 2016 State Strategy and 
included in attachment A (to Resolution 17-7) according to the schedule 
set forth in attachment A, and to achieve the aggregate emissions 
reductions in the South Coast of 113 tpd of NOX and 50 to 51 
tpd of VOC by 2023 for the 1997 ozone NAAQS, and 111 tpd of 
NOX and 59 to 60 tpd of VOC by 2031 for the 2008 ozone 
NAAQS; \40\
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    \40\ Final approval of CARB's commitments in the 2016 State 
Strategy for the South Coast would update the corresponding 
commitments by CARB in the 2007 South Coast Ozone SIP for the 1997 
ozone NAAQS.
---------------------------------------------------------------------------

     The provisions in the 2016 State Strategy for the 
development of new technology measures for attainment of the 1997 ozone 
NAAQS and 2008 ozone NAAQS in the South Coast pursuant to CAA section 
182(e)(5), and CARB's commitment in Resolution 17-8 to adopt and submit 
by 2028 contingency measures to be implemented if the new technology 
measures do not achieve the planned emissions reductions for the 2008 
ozone NAAQS, as well as attainment contingency measures meeting the 
requirements of CAA section 172(c)(9); \41\
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    \41\ For the purposes of the 2007 South Coast Ozone SIP, CARB 
committed to develop, adopt and submit by 2020 contingency measures 
to be implemented if the new technologies do not achieve the planned 
emissions reductions for the 1997 ozone NAAQS, as well as additional 
attainment contingency measures meeting the requirements of CAA 
section 172(c)(9). The EPA approved that commitment at 77 FR 12674, 
12695 (March 1, 2012). CARB's pre-existing commitments with respect 
to section 182(e)(5) and section 172(c)(9) attainment contingency 
measures for the South Coast for the 1997 ozone NAAQS are not 
affected by today's final action on the 2016 South Coast Ozone SIP.
---------------------------------------------------------------------------

     ROP demonstration element in the 2016 AQMP as meeting the 
requirements of CAA 182(b)(1) and 40 CFR 51.1110(a)(2) for the 2008 
ozone NAAQS;
     RFP demonstration element in the 2018 SIP Update as 
meeting the requirements of CAA sections 172(c)(2), 182(b)(1), and 
182(c)(2)(B), and 40 CFR 51.1110(a)(2)(ii) for the 2008 ozone NAAQS;
     VMT emissions offset demonstration element in the 2016 
AQMP as meeting the requirements of CAA section 182(d)(1)(A) and 40 CFR 
51.1102 for the 2008 ozone NAAQS;
     Clean fuels or advanced control technology for boilers 
element in the 2016 AQMP as meeting the requirements of CAA section 
182(e)(3) and 40 CFR 51.1102 for the 2008 ozone NAAQS;
     Motor vehicle emissions budgets in the 2018 SIP Update for 
the RFP milestone years of 2020, 2023, 2026, 2029, and the attainment 
year of 2031, as shown below, because they are consistent with the RFP 
and attainment demonstrations for the 2008 ozone NAAQS finalized for 
approval herein and meet the other criteria in 40 CFR 93.118(e);

 Transportation Conformity Budgets for the 2008 Ozone NAAQS in the South
                                  Coast
                    [Summer planning inventory, tpd]
------------------------------------------------------------------------
                    Budget year                        VOC        NOX
------------------------------------------------------------------------
2020..............................................         80        141
2023..............................................         68         89
2026..............................................         60         77
2029..............................................         54         69
2031..............................................         50         66
------------------------------------------------------------------------
Source: Table IX-3 of the 2018 SIP Update.

     General conformity budgets of NOX and VOC of 
2.0 tpd of NOX and 0.5 tpd of VOC (on an annual basis) from 
2017 to 2030, and 0.5 tpd of NOX and 0.2 tpd VOC in 2031, as 
meeting the requirements of CAA section 176(c) and 40 CFR 93.161;
     Enhanced vehicle inspection and maintenance program 
element in the 2016 AQMP as meeting the requirements of CAA section 
182(c)(3) and 40 CFR 51.1102 for the 2008 ozone NAAQS;
     Clean fuels fleet program element in the 2016 AQMP as 
meeting the requirements of CAA sections 182(c)(4) and 246 and 40 CFR 
51.1102 for the 2008 ozone NAAQS; and
     Enhanced monitoring element in the 2016 AQMP as meeting 
the requirements of CAA section 182(c)(1) and 40 CFR 51.1102 for the 
2008 ozone NAAQS.\42\
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    \42\ Regarding other applicable requirements for the 2008 ozone 
NAAQS in the South Coast, the EPA has previously approved SIP 
revisions that address the nonattainment area requirements for NSR 
and for implementation of RACT for the South Coast for the 2008 
ozone NAAQS. See 83 FR 64026 (December 13, 2018) (NSR) and 82 FR 
43850 (September 20, 2017) (RACT). SIP revisions for the South Coast 
addressing the penalty fee requirements under CAA sections 181(d)(4) 
and 185 are not yet due for the 2008 ozone NAAQS.
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    With respect to the MVEBs, we are taking final action to limit the 
duration of the approval of the MVEBs to last only until the effective 
date of the EPA's adequacy finding for any subsequently submitted 
budgets. We are doing so at CARB's request and in light of the benefits 
of using EMFAC2017-derived budgets \43\ prior to our taking final 
action on the future SIP revision that includes the updated budgets.
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    \43\ On August 15, 2019, the EPA approved and announced the 
availability of EMFAC2017, the latest update to the EMFAC model for 
use by State and local governments to meet CAA requirements. See 84 
FR 41717.
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    Lastly, we are taking final action, under CAA section 110(k)(4), to 
approve conditionally the contingency measure element of the 2016 South 
Coast Ozone SIP as meeting the requirements of CAA sections 172(c)(9) 
and 182(c)(9) for RFP contingency measures. Our approval is based on 
commitments by the District and CARB to supplement the element through 
submission, as a SIP revision (within one year of final conditional 
approval action), of a new or revised District rule or rules that would 
include a more stringent requirement or would remove an exemption if an 
RFP milestone is not met.\44\
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    \44\ Letter dated January 29, 2019, from Wayne Nastri, Executive 
Officer, SCAQMD, to Richard Corey, Executive Officer, CARB; and 
letter dated February 13, 2019, from Dr. Michael T. Benjamin, Chief, 
Air Quality Planning and Science Division, CARB, to Mike Stoker, 
Regional Administrator, EPA Region IX. Also see letter dated May 2, 
2019, from Wayne Nastri, Executive Officer, SCAQMD, to Richard 
Corey, Executive Officer, CARB; and letter dated May 20, 2019, from 
Dr. Michael T. Benjamin, Chief, Air Quality Planning and Science 
Division, CARB, to Amy Zimpfer, Associate Director, Air Division, 
EPA Region IX.
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V. Incorporation by Reference

    In this action, the EPA is finalizing regulatory text that includes 
incorporation by reference. In accordance with requirements of 1 CFR 
51.5, the EPA is finalizing the incorporation by reference of the 
SCAQMD rule described in the amendments to 40 CFR part 52 set forth 
below. The EPA has made, and will continue to make, these materials 
available through www.regulations.gov and at EPA Region IX (please 
contact the person identified in the FOR FURTHER INFORMATION CONTACT 
section of this preamble for more information).

[[Page 52014]]

VI. 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 action merely approves, or conditionally approves, 
state plans as meeting federal requirements and does not impose 
additional requirements beyond those imposed by state law. For that 
reason, this 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).
    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 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. The EPA will submit a report containing this action 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 December 2, 2019. Filing a 
petition for reconsideration by the Administrator of this final rule 
does not affect the finality of this action 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, Nitrogen dioxide, Ozone, 
Reporting and recordkeeping requirements, Volatile organic compounds.

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

    Dated: August 29, 2019.
Deborah Jordan,
Acting Regional Administrator, Region IX.

    Chapter I, title 40 of the Code of Federal Regulations is amended 
as follows:

PART 52--APPROVAL AND PROMULGATION OF IMPLEMENTATION PLANS

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

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

Subpart F--California

0
2. Section 52.220 is amended by adding paragraphs (c)(514)(ii)(A)(3), 
(c)(517)(ii)(A)(3) through (6), (c)(517)(ii)(B)(4) and (5), and 
(c)(525) and (526) to read as follows:


Sec.  52.220  Identification of plan--in part.

* * * * *
    (c) * * *
    (514) * * *
    (ii) * * *
    (A) * * *
    (3) 2018 Updates to the California State Implementation Plan, 
adopted on October 25, 2018, excluding chapters II through VIII, and 
chapter X, and excluding pages A-3 through A-30 of appendix A 
(``Nonattainment Area Inventories'').
* * * * *
    (517) * * *
    (ii) * * *
    (A) * * *
    (3) Resolution 17-7, 2016 State Strategy for the State 
Implementation Plan, March 23, 2017, commitments to a rulemaking 
schedule; to achieve aggregate emissions reductions of 113 tons per day 
(tpd) of NOX and 50 to 51 tpd of VOC in the South Coast by 
2023, and 111 tpd of NOX and 59 to 60 tpd of VOC in the 
South Coast by 2031; and the rulemaking schedule included in attachment 
A to Resolution 17-7, only.
    (4) Revised Proposed 2016 State Strategy for the State 
Implementation Plan, adopted on March 23, 2017, subchapter titled 
``South Coast Commitment'' in chapter 3 (``Proposed SIP Commitment'').
    (5) Resolution 17-8, 2016 Air Quality Management Plan for Ozone and 
PM2.5 in the South Coast Air Basin and the Coachella Valley, 
March 23, 2017, commitments to develop, adopt, and submit contingency 
measures by 2028 for the 2008 ozone NAAQS if advanced technology 
measures do not achieve planned reductions.
    (6) Letter from Dr. Michael T. Benjamin, Chief, Air Quality 
Planning and Science Division, California Air Resources Board, to Amy 
Zimpfer, Associate Director, Air Division, EPA Region IX, May 20, 2019, 
clarification that commitments in Resolution 17-8 to submit contingency 
measures by 2028 if advanced technology measures do not achieve planned 
reductions includes a

[[Page 52015]]

commitment to submit attainment contingency measures to satisfy the 
requirements in sections 172(c)(9) and 182(c)(9) of the Clean Air Act, 
only.
    (B) * * *
    (4) Final 2016 Air Quality Management Plan (March 2017) and 
appendices, adopted March 3, 2017, excluding the portions of the plan 
and appendices related solely to PM2.5 and Coachella Valley, 
and excluding the portion of chapter 6 that is titled ``California 
Clean Air Act Requirements,'' chapter 8 (``Looking Beyond Current 
Requirements''), chapter 9 (``Air Toxics Control Strategy'') and 
chapter 10 (``Climate and Energy'').
    (5) Resolution 17-2, A Resolution of the South Coast Air Quality 
Management District (SCAQMD or District) Governing Board certifying the 
Final Program Environmental Impact Report (PEIR) for the 2016 Air 
Quality Management Plan (AQMP or Plan), and adopting the 2016 AQMP, 
which is to be submitted into the California State Implementation Plan 
(SIP), March 3, 2017, commitments to develop, adopt, submit and 
implement the ozone control measures in tables 4-2 and 4-4 of chapter 4 
in the AQMP as expeditiously as possible to meet or exceed the 
commitments identified in tables 4-9, 4-10 and 4-11 of the AQMP, and to 
substitute any other measures as necessary to make up any emissions 
reduction shortfall.
* * * * *
    (525) The following plan was submitted on December 20, 2018, by the 
Governor's designee.
    (i) [Reserved]
    (ii) Additional materials.
    (A) South Coast Air Quality Management District.
    (1) Updated Federal 1979 1-Hour Ozone Standard Attainment 
Demonstration (November 2018), adopted November 2, 2018.
    (2) [Reserved]
    (B) [Reserved]
    (526) The following rule was submitted on August 5, 2019, by the 
Governor's designee.
    (i) Incorporation by reference.
    (A) South Coast Air Quality Management District.
    (1) Rule 301, ``Permitting and Associated Fees'' (paragraphs 
(e)(1), except (e)(1)(C), (e)(2), (5), and (8) only), amended on July 
12, 2019.
    (2) [Reserved]
    (B) [Reserved]
    (ii) [Reserved]

0
3. Section 52.244 is amended by adding paragraph (a)(8) to read as 
follows:


Sec.  52.244  Motor vehicle emissions budgets.

* * * * *
    (8) South Coast, approved October 31, 2019.
* * * * *

0
4. Section 52.248 is amended by adding paragraph (h) to read as 
follows:


Sec.  52.248  Identification of plan--conditional approval.

* * * * *
    (h) The EPA is conditionally approving the California State 
Implementation Plan (SIP) for the South Coast for the 2008 ozone NAAQS 
with respect to the reasonable further progress (RFP) contingency 
measure requirements of CAA sections 172(c)(9) and 182(c)(9). The 
conditional approval is based on a commitment from the South Coast Air 
Quality Management District (District) in a letter dated January 29, 
2019, and clarified in a letter dated May 2, 2019, to adopt specific 
rule revisions, and a commitment from the California Air Resources 
Board (CARB) dated February 13, 2019 to submit the amended District 
rule or rules to the EPA within 12 months of the effective date of the 
final conditional approval. If the District or CARB fail to meet their 
commitments within one year of the effective date of the final 
conditional approval, the conditional approval is treated as a 
disapproval.

[FR Doc. 2019-21325 Filed 9-30-19; 8:45 am]
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