[Federal Register Volume 87, Number 144 (Thursday, July 28, 2022)]
[Rules and Regulations]
[Pages 45251-45257]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-16017]


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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 147

[EPA-HQ-OW-2020-0595; FRL 8378-04-OW]


State of Michigan Underground Injection Control (UIC) Class II 
Program; Primacy Approval

AGENCY: Environmental Protection Agency (EPA).

ACTION: Final rule.

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SUMMARY: The U.S. Environmental Protection Agency (EPA) is issuing a 
final rule approving Michigan's Class II Underground Injection Control 
(UIC) Program for primacy. EPA has determined that the State's program 
is consistent with the provisions of the Safe Drinking Water Act (SDWA) 
to prevent underground injection activities that endanger underground 
sources of drinking water (USDWs). EPA's approval allows Michigan to 
implement and enforce the State's regulations for Class II UIC wells, 
which cover oil and gas related injection well activities. EPA will 
remain the permitting authority for all other UIC well classes in 
Michigan and the sole permitting authority for all UIC well classes in 
Indian country within the State. EPA will also oversee Michigan's 
administration of the State's UIC Class II program as authorized under 
SDWA.

DATES: This final rule is effective on August 29, 2022. The Director of 
the Federal Register approved this incorporation by reference in 
accordance with 5 U.S.C. 552(a) and 1 CFR part 51 on August 29, 2022. 
For judicial purposes, this final rule is promulgated as of August 29, 
2022.

ADDRESSES: EPA has established a docket for this action under Docket ID 
No. EPA-HQ-OW-2020-0595. All documents in the docket are listed on the 
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 
electronically through www.regulations.gov.

FOR FURTHER INFORMATION CONTACT: Kyle Carey, Drinking Water Protection 
Division, Office of Ground Water and Drinking Water (4606M), U.S. 
Environmental Protection Agency, 1200 Pennsylvania Ave. NW, Washington, 
DC 20460; telephone number: (202) 564-2322; fax number: (202) 564-3754; 
email address: [email protected], or Anna Miller, UIC Section, U.S. 
Environmental Protection Agency, Region 5, 77 West Jackson Boulevard, 
Chicago, Illinois 60604; telephone number: (312) 886-7060; email 
address: [email protected].

SUPPLEMENTARY INFORMATION:

Table of Contents

I. Introduction
    A. UIC Program Primacy
    B. Class II Wells Under the UIC Program
    C. Final Rule
II. Entities Affected by This Action
III. Legal Authorities
IV. EPA's Review of State UIC Program Requirements
V. Michigan's Application for Class II UIC Primacy
    A. Background
    B. Public Participation Activities Conducted by the State of 
Michigan
    C. Notice of Completion and Public Participation Activities 
Conducted by EPA
VI. Proposed Rule and Public Comments
    A. Background
    B. Public Comments
    C. EPA's Response
VII. Incorporation by Reference
VIII. Statutory and Executive Order Reviews
    A. Executive Order 12866: Regulatory Planning and Review and 
Executive Order 13563: Improving Regulation and Regulatory Review
    B. Paperwork Reduction Act (PRA)
    C. Regulatory Flexibility Act (RFA)
    D. Unfunded Mandates Reform Act (UMRA)
    E. Executive Order 13132: Federalism
    F. Executive Order 13175: Consultation and Coordination With 
Indian Tribal Governments
    G. Executive Order 13045: Protection of Children From 
Environmental Health and Safety Risks
    H. Executive Order 13211: Actions Concerning Regulations That 
Significantly Affect Energy Supply, Distribution, or Use
    I. National Technology Transfer and Advancement Act
    J. Executive Order 12898: Federal Actions to Address 
Environmental Justice in Minority Populations and Low-Income 
Populations
    K. Congressional Review Act (CRA)

I. Introduction

A. UIC Program Primacy

    EPA may grant primary authority and enforcement responsibility or 
``primacy'' for implementing the UIC program to states, territories, 
and federally recognized tribes--hereafter referred to as applicants 
that apply under SDWA. Primacy programs are established under SDWA 
Sections 1422 and 1425. To obtain primacy under

[[Page 45252]]

SDWA Section 1422, Applicants must meet EPA's regulatory requirements 
for UIC programs. SDWA Section 1425 provides an alternative option for 
obtaining primacy for the Class II UIC program, which covers oil and 
gas related injection well activities. SDWA Section 1425 requires the 
applicant to demonstrate that its Class II UIC program is effective in 
preventing underground injection that endangers USDWs.
    An applicant seeking UIC program primacy under SDWA Section 1425 
must demonstrate to EPA that it has an ``effective'' Class II program 
to prevent the endangerment of USDWs, including jurisdiction over 
underground injection and provisions for the necessary administrative, 
civil, and criminal enforcement penalty remedies under SDWA. EPA 
conducts a thorough technical and legal review of the primacy 
application. The application and EPA's review include these elements: 
The applicant's UIC statutes and regulations; documents describing the 
public participation process; a request from the applicant's governor 
or authorized representative for primacy under SDWA; the program 
description; an attorney general's or authorized representative's 
statement of enforcement authority; and a memorandum of agreement (MOA) 
between EPA and the applicant, describing the administration, 
implementation, and enforcement of the applicant's UIC program.

B. Class II Wells Under the UIC Program

    Class II wells are used only to inject fluids associated with oil 
and natural gas production. Class II fluids are typically injected 
thousands of feet below the surface into rock formations isolated from 
USDWs. Class II wells fall into one of three categories: disposal 
wells, which inject fluids brought to the surface during oil and gas 
extraction; enhanced recovery wells, which inject fluids into oil-
bearing formations to recover residual oil and, in limited 
applications, natural gas; \1\ and hydrocarbon storage wells, which 
inject liquid hydrocarbons into underground formations (such as salt 
caverns) where they are stored, generally, as part of the U.S. 
Strategic Petroleum Reserve.
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    \1\ Class II wells include hydraulic fracturing operations 
related to oil and gas production only where diesel fuels are used 
in the injection fluid. See SDWA Section 1421(d)(1)(B)(ii).
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C. Final Rule

    In this final rule, EPA is approving Michigan's application because 
it meets or exceeds all applicable requirements for approval under SDWA 
Section 1425 and the agency has determined that the State can 
administer a Class II UIC program in a manner consistent with the terms 
and purposes of SDWA and all applicable regulations to protect USDWs. 
With EPA's approval, Michigan will implement and enforce a State Class 
II UIC regulatory program that is effective in preventing the 
endangerment of USDWs. EPA will remain the permitting authority for all 
other UIC well classes in Michigan and the sole permitting authority 
for all UIC well classes in Indian country within the State. EPA will 
also oversee Michigan's administration of the State's UIC Class II 
program as authorized under SDWA.

II. Entities Affected by This Action

                           Regulated Entities
------------------------------------------------------------------------
                                                         North American
                                      Examples of           industry
           Category              potentially regulated   classification
                                       entities              system
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Industry......................  Private owners and      211111 & 213111.
                                 operators of Class II
                                 injection wells
                                 located within the
                                 State (Enhanced
                                 Recovery, Produced
                                 Fluid Disposal, and
                                 Hydrocarbon Storage).
------------------------------------------------------------------------

    This table is intended to be a guide for readers regarding entities 
likely to be regulated by this action. This table lists the types of 
entities that EPA is now aware could potentially be regulated by this 
action. If you have questions regarding the applicability of this 
action to a particular entity, consult the persons listed in the 
preceding FOR FURTHER INFORMATION CONTACT section of this preamble.

III. Legal Authorities

    Michigan applied to EPA under SDWA Section 1425 for primacy for all 
Class II injection wells within the State, except those in Indian 
country. EPA is approving Michigan's UIC program primacy application 
for such Class II injection wells located within the State by rule, as 
required under SDWA, to prevent injection activities that endanger 
USDWs. Accordingly, EPA codifies Michigan's Class II UIC program in the 
Code of Federal Regulations (CFR) at 40 CFR part 147, under the 
authority of SDWA Section 1425, 42 U.S.C. 300h-4.

IV. EPA's Review of State UIC Program Requirements

    EPA thoroughly reviewed Michigan's Class II primacy application to 
determine whether the State's program constitutes an ``effective'' 
program to prevent the endangerment of USDWs, in accordance with SDWA 
Section 1425. EPA has provided guidance with respect to factors that 
EPA may consider in reviewing a Class II UIC program for effectiveness. 
Guidance for State Submissions Under Section 1425 of the Safe Drinking 
Water Act (SDWA)--Ground Water Program Guidance #19--provides 
instructions on how states may apply for primacy approval under SDWA 
Section 1425, the process for approval or disapproval, and criteria 
that EPA may consider in approving or disapproving an application.
    EPA has determined that Michigan's Class II UIC program is 
effective at preventing the endangerment of USDWs, and is accordingly, 
approving the State's program. EPA will oversee Michigan's 
administration of the Class II UIC program. As part of EPA's oversight 
responsibility, EPA will require Michigan to submit semi-annual reports 
of non-compliance and annual UIC performance reports. The MOA between 
EPA and Michigan, signed by the Regional Administrator on October 13, 
2020, makes available to EPA any information obtained or used by 
Michigan's Class II UIC program, without restriction. EPA continues to 
administer the UIC program for all other injection well classes in the 
State and for all wells in Indian country.

V. Michigan's Application for Class II UIC Primacy

A. Background

    The UIC program in Michigan has thus far been directly implemented 
by EPA for all well classes since the initiation of the program under 
SDWA (in 1984). EPA Region 5 has conducted

[[Page 45253]]

all application review, permitting, and oversight of injection well 
activities within the State. Region 5 and EPA Headquarters worked 
closely with Michigan to develop a Class II UIC regulatory structure 
and primacy application package that demonstrates a state program that 
is effective in preventing the endangerment of USDWs, as required under 
SDWA Section 1425.

B. Public Participation Activities Conducted by the State of Michigan

    On February 15, 2018, the State published a notification in the 
Michigan Register announcing its UIC Class II regulations and 
requesting comment. Michigan accepted public comment through March 16, 
2018, and held a public hearing on the State's regulations and its 
intent to apply for primacy on February 28, 2018. Both oral and written 
comments received for the hearing were generally supportive of the 
State pursuing primacy for the Class II UIC program.

C. Notice of Completion and Public Participation Activities Conducted 
by EPA

    On April 15, 2020, EPA published a notice of Michigan's complete 
application in the Federal Register (80 FR 69629) and posted a similar 
announcement on EPA's Region 5 website. The notice established a 60-day 
public comment period and a public hearing on May 27, 2020. The May 27, 
2020 public hearing was held virtually due to restrictions on meetings 
imposed by Michigan related to COVID-19 and to protect public health.
    On March 9, 2020, EPA sent a written invitation to interested 
tribes, requesting a consultation regarding the agency's review of 
Michigan's request for program approval, in accordance with EPA Policy 
for Consultation and Coordination with Indian Tribes (May 4, 2011). EPA 
held a telephone consultation conference call with interested tribes on 
April 14, 2020. EPA received a total of 40 public comments in the 
electronic docket, by paper mail, and during the virtual hearing, most 
of which supported Michigan's application. In particular, two tribes 
submitted requests to be consulted when EPA is considering a permit 
approval for a well adjacent to Indian country and within ceded 
territory. EPA communicated the concerns raised in these comments via 
email to the Michigan Department of Environment, Great Lakes, and 
Energy (EGLE or the Department) on July 23, 2020. In response, EGLE 
sent a letter (dated August 6, 2020), in which the Department committed 
to consult and coordinate with tribes regarding permit applications for 
wells adjacent to Indian country (defined in accordance with 18 U.S.C. 
1151) and within the ceded territory where tribes hold off-reservation 
treaty rights.
    Detailed documents covering the comments submitted to EPA through 
the public comment process and the tribal consultation, as well as the 
agency's responses and steps taken, can be viewed in the docket for 
this final rule (Docket ID No. EPA-HQ-OW-2020-0595). See the preceding 
ADDRESSES section of this preamble for information on accessing the 
docket.

VI. Proposed Rule and Public Comments

A. Background

    On March 19, 2021, EPA published in the Federal Register a direct 
final rule approving Michigan's UIC Class II application for primacy 
(86 FR 14846) and requesting public comments during a 30-day comment 
period. Simultaneously with the direct final rule, EPA published a 
proposed rule to approve Michigan's UIC Class II application for 
primacy (86 FR 14858). EPA stated in that direct final rule that if the 
agency received adverse comments by April 19, 2021, the agency would 
publish a timely withdrawal of the direct final rule in the Federal 
Register, informing the public that the direct final rule would not 
take effect and that the agency would consider and address all public 
comments in any subsequent final rule based on the proposed rule. EPA 
received adverse comments on that direct final rule and subsequently 
issued a withdrawal notification on June 17, 2021 (86 FR 32221), before 
the effective date of the direct final rule.

B. Public Comments

    In total, EPA received input from 87 individual commenters. Most 
comments were submitted by individual citizens opposed to granting 
Michigan primacy for the Class II UIC program. Commenters raised 
concerns about underground injection, the State's application for 
primacy, EPA's review and rulemaking process, and a need for an 
additional public hearing to be held by EPA to gather further input on 
the agency action.
    Each of the comments and EPA's responses can be viewed in the 
docket (ID No. EPA-HQ-OW-2020-0595) as part of the final rule. See the 
preceding ADDRESSES section of this preamble for information on 
accessing the docket.

C. EPA's Response

    EPA's response to comments provides details on its regulations, 
guidance, processes, and actions relative to the concerns raised during 
the 30-day public comment period.\2\ In summary, EPA performed a 
thorough review of all application elements and worked closely with 
Michigan prior to its application submittal to ensure the State's 
program met the standard of effectiveness established under SDWA 
Section 1425, including Michigan's rules governing public 
participation. Furthermore, EPA provided sufficient advance notice of 
its intent to approve Michigan's primacy application, along with the 
agency's request for public comment, in the Federal Register (85 FR 
14858, March 19, 2021), on the agency's website, and in three State 
newspapers. The State also provided such notice on its website. These 
notifications meet the requirements of the Federal regulations at 40 
CFR part 25. Details of the State-Federal partnership between EPA and 
Michigan are explicitly listed in the MOA, which is included in the 
rulemaking docket. Among the topics included in the MOA are EPA's 
compliance monitoring, information sharing, enforcement, and oversight 
of the Michigan Class II UIC program.
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    \2\ Additional information about EPA's primacy process can be 
found in Section I.A of this preamble or on EPA's website at: 
www.epa.gov/uic/primary-enforcement-authority-underground-injection-control-program.
---------------------------------------------------------------------------

    After considering public comments, EPA is issuing this final rule 
approving primacy to Michigan for the Class II UIC program. EPA's 
detailed response to comments document is included in this action's 
docket (ID No. EPA-HQ-OW-2020-0595). See the preceding ADDRESSES 
section of this preamble for information on accessing the docket.

VII. Incorporation by Reference

    In this action, EPA is approving Michigan's Class II UIC program, 
whereby the State will assume primacy for regulating Class II injection 
wells in the State, except within Indian country. Michigan's statutes 
and supporting documentation are publicly available in EPA's Docket No. 
EPA-HQ-OW-2020-0595. This action amends 40 CFR part 147 and 
incorporates by reference the EPA-approved State program. EPA will 
continue to administer the UIC program for all other well classes in 
Michigan and all well classes within Indian country.
    The provisions of Michigan's statutes and regulations that contain 
standards, requirements, and procedures applicable to owners or 
operators of UIC

[[Page 45254]]

Class II wells are incorporated by reference into 40 CFR 147.1150 by 
this rule. Any provisions incorporated by reference, as well as all 
permit conditions or permit denials issued pursuant to such provisions, 
will be enforceable by EPA pursuant to SDWA Section 1423 and 40 CFR 
147.1(e).
    To better serve the public, EPA is reformatting the codification of 
``EPA-Approved State of Michigan Safe Drinking Water Act Sec.  1425 
Underground Injection Control (UIC) Program Statutes and Regulations 
for Class II wells.'' Instead of codifying the Michigan statutes and 
regulations as separate paragraphs, EPA is now incorporating by 
reference a compilation that contains EPA-approved Michigan statutes 
and regulations for Class II wells. This compilation is incorporated by 
reference into 40 CFR 147.1150 and is available at www.regulations.gov 
in the docket for this rule. EPA has made, and will continue to make, 
these documents generally available through www.regulations.gov and in 
hard copy at the EPA Headquarters in Washington, DC, and EPA Region 5 
office in Chicago, Illinois (see the preceding FOR FURTHER INFORMATION 
CONTACT section of this preamble for more information). A complete list 
of the Michigan statutes and regulations contained in the compilation, 
titled ``EPA-Approved State of Michigan Safe Drinking Water Act Sec.  
1425 Underground Injection Control (UIC) Program Statutes and 
Regulations for Class II Wells,'' dated November 24, 2020, is codified 
as Table 1 to paragraph (a) in that section, 40 CFR 147.1150.

VIII. Statutory and Executive Order Reviews

    Additional information about these statutes and Executive orders 
can be found at https://www.epa.gov/laws-regulations/laws-and-executive-orders.

A. Executive Order 12866: Regulatory Planning and Review and Executive 
Order 13563: Improving Regulation and Regulatory Review

    This action is exempt from review by the Office of Management and 
Budget (OMB) because OMB has determined that the approval of primacy 
for the UIC program is not a significant regulatory action.

B. Paperwork Reduction Act (PRA)

    This action does not impose any new information collection burden 
under the PRA. EPA determined that there is no need for an Information 
Collection Request under the PRA because this final rule does not 
impose any new Federal reporting or recordkeeping requirements. 
Reporting or recordkeeping requirements will be based on Michigan's UIC 
regulations, and Michigan is not subject to the PRA. However, OMB has 
previously approved the information collection activities contained in 
the existing UIC regulations and for SDWA Section 1425, under the 
provisions of the PRA, 44 U.S.C. 3501 et seq., and has assigned OMB 
control number 2040-0042.

C. Regulatory Flexibility Act (RFA)

    I certify that this action will not have a significant economic 
impact on a substantial number of small entities under the RFA. In 
making this determination, EPA concludes that the impact of concern for 
this rule is any significant adverse economic impact on small entities 
and that the agency is certifying that this rule will not have a 
significant economic impact on a substantial number of small entities 
if the rule has no net burden on the small entities subject to the 
rule. This action would not impose any new requirements on small 
entities. It simply approves and codifies Michigan's Class II UIC 
program, which meets the same standard under SDWA Section 1425 as is 
required for EPA's regulations governing its direct implementation of a 
Class II UIC well program, both of which must ensure effective programs 
to prevent underground injection that endangers USDWs. We have 
therefore concluded that this action will have no net regulatory burden 
for all directly regulated small entities.

D. Unfunded Mandates Reform Act (UMRA)

    This action does not contain any unfunded mandate as described in 
UMRA, 2 U.S.C. 1531-1538, and does not significantly or uniquely affect 
small governments. The action imposes no enforceable duty on any state, 
local, or tribal governments or the private sector. EPA's approval of 
Michigan's primacy application will not constitute a Federal mandate 
because there is no requirement that a state establish a UIC regulatory 
program and because the program is a state rather than a Federal 
program.

E. Executive Order 13132: Federalism

    This action does not have federalism implications. It will not have 
substantial direct effects on the states, on the relationship between 
the National Government and the states, or on the distribution of power 
and responsibilities among the various levels of government.

F. Executive Order 13175: Consultation and Coordination With Indian 
Tribal Governments

    This action does not have tribal implications as specified in 
Executive Order 13175 and as explained in section I.C of this preamble. 
Nevertheless, EPA engaged the interested public during a public hearing 
and specifically conducted a consultation with federally recognized 
tribes to obtain unique perspectives to inform EPA's approval of 
Michigan's UIC Class II Program within the State, except on Indian 
lands, as described in section V.C of this preamble. Thus, Executive 
Order 13175 does not apply to this action.

G. Executive Order 13045: Protection of Children From Environmental 
Health and Safety Risks

    EPA interprets Executive Order 13045 as applying only to those 
regulatory actions that concern environmental health or safety risks 
that EPA has reason to believe may disproportionately affect children, 
per the definition of ``covered regulatory action'' in section 2-202 of 
the Executive order. This action is not subject to Executive Order 
13045 because it approves a state action as explained in section I.C of 
this preamble.

H. Executive Order 13211: Actions Concerning Regulations That 
Significantly Affect Energy Supply, Distribution, or Use

    This action is not subject to Executive Order 13211, because it is 
not a significant regulatory action under Executive Order 12866.

I. National Technology Transfer and Advancement Act

    This rulemaking does not involve technical standards.

J. Executive Order 12898: Federal Actions to Address Environmental 
Justice in Minority Populations and Low-Income Populations

    EPA has determined that this action is not subject to Executive 
Order 12898 (59 FR 7629, February 16, 1994) because it does not 
establish an environmental health or a safety standard. This action is 
providing Michigan with primacy under SDWA Section 1425 for a Class II 
UIC program, pursuant to which Michigan will be implementing a program 
that is effective in preventing the endangerment of USDWs. As a part of 
EPA's primacy review, the agency engaged the interested public during a 
public hearing and conducted a consultation with federally recognized 
tribes to obtain unique perspectives to

[[Page 45255]]

inform the agency's approval of Michigan's UIC Class II Program within 
the State, except in Indian country, as described in section V.C of 
this preamble.

K. Congressional Review Act (CRA)

    This action is subject to the CRA, and EPA will submit a rule 
report to each House of the Congress and to the Comptroller General of 
the United States. This action is not a ``major rule'' as defined by 5 
U.S.C. 804(2).

List of Subjects in 40 CFR Part 147

    Environmental protection, Incorporation by reference, Indian lands, 
Intergovernmental relations, Reporting and recordkeeping requirements, 
Water supply.

Michael S. Regan,
Administrator.

    For the reasons set out in the preamble, EPA amends 40 CFR part 147 
as follows:

PART 147--STATE, TRIBAL, AND EPA-ADMINISTERED UNDERGROUND INJECTION 
CONTROL PROGRAMS

0
1. The authority citation for part 147 continues to read as follows:

    Authority: 42 U.S.C. 300f et seq.; and 42 U.S.C. 6901 et seq.

Subpart X--Michigan

0
2. Add Sec.  147.1150 to read as follows:


Sec.  147.1150  State-administered program--Class II wells.

    The UIC program for Class II injection wells in the State of 
Michigan, except for those in Indian country, is the program 
administered by the Michigan Department of Environment, Great Lakes, 
and Energy, approved by EPA pursuant to the Safe Drinking Water Act 
(SDWA) section 1425. The effective date of this program is August 29, 
2022. Table 1 to paragraph (a) of this section is the table of contents 
of the Michigan State statutes and regulations incorporated as follows 
by reference. This program consists of the following elements, as 
submitted to the EPA in the State's program application.
    (a) Incorporation by reference. The requirements set forth in the 
State's statutes and regulations approved by EPA for inclusion in 
``EPA-Approved State of Michigan Safe Drinking Water Act Sec.  1425 
Underground Injection Control (UIC) Program Statutes and Regulations 
for Class II wells,'' dated November 24, 2020, and listed in Table 1 to 
this paragraph (a), are hereby incorporated by reference and made a 
part of the applicable UIC program under SDWA for the State of 
Michigan. This incorporation by reference was approved by the Director 
of the Federal Register in accordance with 5 U.S.C. 552(a) and 1 CFR 
part 51. Copies of the Michigan regulations and statutes that are 
incorporated by reference may be inspected at the U.S. Environmental 
Protection Agency, Water Docket, EPA Docket Center (EPA/DC), EPA WJC 
West, Room 3334, 1301 Constitution Ave. NW, Washington, DC 20004; the 
U.S. Environmental Protection Agency, Region 5, 77 West Jackson 
Boulevard, Chicago, Illinois 60604; or the Michigan Department of 
Environment, Great Lakes, and Energy, Oil, Gas, and Minerals Division, 
Constitution Hall, 525 West Allegan Street, Lansing, Michigan 48909; 
telephone number (517) 284-6823. If you wish to obtain materials from 
the EPA Headquarters in Washington DC, please call the Water Docket at 
(202) 566-2426 or from the EPA Regional Office, please call (312) 353-
2147. You may also inspect the materials at the National Archives and 
Records Administration (NARA). For information on the availability of 
this material at NARA, email [email protected], or go to 
www.archives.gov/federal-register/cfr/ibr-locations.html.

Table 1 to Paragraph (a)--EPA-Approved State of Michigan SDWA Section 1425 Underground Injection Control Program
                                   Statutes and Regulations for Well Class II
----------------------------------------------------------------------------------------------------------------
            State citation                  Title/subject         State effective date      EPA approval date
----------------------------------------------------------------------------------------------------------------
Natural Resources and Environmental    Supervisor of Wells....  Effective September 10,  July 28, 2022, [INSERT
 Protection Act, Act 451 of 1994,                                2004.                    Federal Register
 Part 615 (Supervisor of Wells),                                                          CITATION]
 Michigan Compiled Laws (MCL)
 Sections 324.61501--324.61527.
Natural Resources and Environmental    Permits................  Effective March 29,      July 28, 2022, [INSERT
 Protection Act, Act 451 of 1994,                                2019.                    Federal Register
 Part 13 (Permits), MCL Sections                                                          CITATION]
 324.1301-324.1317.
Natural Resources and Environmental    Orphan Well Fund.......  Effective May 24, 1995.  July 28, 2022, [INSERT
 Protection Act, Act 451 of 1994,                                                         Federal Register
 Part 616 (Orphan Well Fund), MCL                                                         CITATION]
 Sections 324.61601-324.61607.
Natural Resources and Environmental    Michigan Environmental   Effective March 30,      July 28, 2022, [INSERT
 Protection Act, Act 451 of 1994,       Protection Act.          1995.                    Federal Register
 Part 17 (Michigan Environmental                                                          CITATION]
 Protection Act), MCL Sections
 324.1701-324.1706.
Administrative Procedures Act, Act     Administrative           Effective June 29, 2018  July 28, 2022, [INSERT
 306 of 1969, MCL Sections 24.201-      Procedures Act.                                   Federal Register
 24.328.                                                                                  CITATION]
Revised Judicature Act of 1961, Act    Revised Judicature Act.  Effective April 1, 1974  July 28, 2022, [INSERT
 236 of 1961, MCL Section 600.631.                                                        Federal Register
                                                                                          CITATION]
Michigan Department of Environmental   Oil and Gas Operations   Effective 2019.........  July 28, 2022, [INSERT
 Quality Part 615 (Oil and Gas          (administrative rules).                           Federal Register
 Operations) Administrative Rules,                                                        CITATION]
 Michigan Administrative Code (MAC)
 as follows: R 324.101 to 324.199, R
 324.201 to 324.208, R 324.210 to
 324.216, R 324.401 to 324.422, R
 324.501 to 324.504, R 324.507, R
 324.508, R 324.510, R 324.511, R
 324.701 to 324.705, R 324.801 to
 324.808, R 324.810 to 324.816, R
 324.901 to 324.904, R 324.1001 to
 324.1013, R 324.1015, R 324.1101 to
 324.1130, R 324.1201 to 324.1212, R
 324.1301, and R 324.1401 to 324.1406.

[[Page 45256]]

 
Michigan Department of Licensing and   General Provisions       Effective 2003.........  July 28, 2022, [INSERT
 Regulatory Affairs (Contested Case     (administrative rules).                           Federal Register
 Procedures for Department of                                                             CITATION]
 Environmental Quality)
 Administrative Rules, MAC, R 324.73
 and R 324.74.
Michigan Department of Licensing and   Declaratory Rulings      Effective 2003.........  July 28, 2022, [INSERT
 Regulatory Affairs (Contested Case     (administrative rules).                           Federal Register
 Procedures for Department of                                                             CITATION]
 Environmental Quality)
 Administrative Rules, MAC, R 324.81.
----------------------------------------------------------------------------------------------------------------

    (b) Memorandum of Agreement (MOA). The MOA between EPA Region 5 and 
the State of Michigan Department of Environment, Great Lakes, and 
Energy signed by the EPA Regional Administrator on October 13, 2020.
    (c) Statements of Legal Authority. ``Underground Injection Control 
Program, Attorney General's Statement,'' signed by the Chief of the 
Environment, Natural Resources, and Agriculture Division of the 
Michigan Department of Attorney General on September 1, 2020.
    (d) Program Description. The Program Description submitted as part 
of Michigan's application, and any other materials submitted as part of 
this application or as a supplement thereto.

0
3. Amend Sec.  147.1151 by revising the section heading and the first 
sentence of paragraph (a) to read as follows:


Sec.  147.1151  EPA-administered program--Class I, III, IV, V, and VI 
wells and Indian country.

    (a) * * * The UIC program for Class I, III, IV, V and VI wells and 
all wells in Indian country in the State of Michigan is administered by 
the EPA. * * *
* * * * *

0
4. Revise Sec. Sec.  147.1153, 147.1154, and 147.1155 to read as 
follows:


Sec.  147.1153  Existing Class II disposal wells authorized by rule in 
Indian country.

    The owner or operator shall limit injection pressure to the lesser 
of:
    (a) A value which will not exceed the operating requirements of 
Sec.  144.28(f)(3)(i) or (ii) of this chapter as applicable; or
    (b) A value for well head pressure calculated by using the 
following formula:
Pm = (0.800-0.433 Sg)d

Where:

Pm = injection pressure at the well head in pounds per square inch.
Sg = specific gravity of injected fluid (unitless).
d = injection depth in feet.


Sec.  147.1154  Existing Class II enhanced recovery and hydrocarbon 
storage wells authorized by rule in Indian country.

    (a) Maximum injection pressure. (1) To meet the operating 
requirements of Sec.  144.28(f)(3)(ii)(A) and (B) of this chapter, the 
owner or operator:
    (i) Shall use an injection pressure no greater than the pressure 
established by the Regional Administrator for the field or formation in 
which the well is located. The Regional Administrator shall establish 
such a maximum pressure after notice, opportunity for comment, and 
opportunity for a public hearing, according to the provisions of part 
124, subpart A, of this chapter, and will inform owners and operators 
in writing of the applicable maximum pressure; or
    (ii) May inject at pressures greater than those specified in 
paragraph (a)(1)(i) of this section for the field or formation in which 
he is operating provided he submits a request in writing to the 
Regional Administrator and demonstrates to the satisfaction of the 
Regional Administrator that such injection pressure will not violate 
the requirements of Sec.  144.28(f)(3)(ii)(A) and (B) of this chapter. 
The Regional Administrator may grant such a request after notice, 
opportunity for comment, and opportunity for a public hearing, 
according to the provisions of part 124, subpart A, of this chapter.
    (2) Prior to such time as the Regional Administrator establishes 
field rules for maximum injection pressure based on data provided 
pursuant to paragraph (a)(2)(ii) of this section the owner or operator 
shall:
    (i) Limit injection pressure to a value which will not exceed the 
operating requirements of Sec.  144.28(f)(3)(ii) of this chapter; and
    (ii) Submit data acceptable to the Regional Administrator, which 
defines the fracture pressure of the formation in which injection is 
taking place. A single test may be submitted on behalf of two or more 
operators conducting operations in the same formation if the Regional 
Administrator approves such submission. The data shall be submitted to 
the Regional Administrator within one year following the effective date 
of this program.
    (b) Casing and cementing. Where the Regional Administrator 
determines that the owner or operator of an existing enhanced recovery 
or hydrocarbon storage well may not be in compliance with the 
requirements of Sec. Sec.  144.28(e) and 146.22 of this chapter, the 
owner or operator shall comply with paragraphs (b)(1) through (4) of 
this section, when required by the Regional Administrator:
    (1) Protect underground sources of drinking water (USDWs) by:
    (i) Cementing surface casing by recirculating the cement to the 
surface from a point 50 feet below the lowermost USDW; or
    (ii) Isolating all USDWs by placing cement between the outermost 
casing and the well bore; and
    (2) Isolate any injection zones by placing sufficient cement to 
fill the calculated space between the casing and the well bore to a 
point 250 feet above the injection zone; and
    (3) Use cement:
    (i) Of sufficient quantity and quality to withstand the maximum 
operating pressure;
    (ii) Which is resistant to deterioration from formation and 
injection fluids; and
    (iii) In a quantity no less than 120% of the calculated volume 
necessary to cement-off a zone.
    (4) The Regional Administrator may specify other requirements in 
addition to or in lieu of the requirements set forth in paragraphs 
(b)(1) through (3) of this section, as needed to protect USDWs.


Sec.  147.1155  Requirements for all EPA-administered wells.

    (a) Area of review. Notwithstanding the alternatives presented in 
Sec.  146.6 of this chapter, the area of review for Class II wells 
shall be a fixed radius as described in Sec.  146.6(b) of this chapter.
    (b) Tubing and packer. The owner or operator of an injection well 
injecting salt water for disposal shall inject through tubing and 
packer. The owner of an existing well must comply with

[[Page 45257]]

this requirement within one year of the effective date of this program.
[FR Doc. 2022-16017 Filed 7-27-22; 8:45 am]
BILLING CODE 6560-50-P