Approval and Promulgation of Title V, Section 507, Small Business Stationary Source Technical and Environmental Compliance Assistance Program for Connecticut

ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[CT-10-1-5893; A-1-FRL-4885-8]

Approval and Promulgation of Title V, Section 507, Small Business

Stationary Source Technical and Environmental Compliance Assistance

Program for Connecticut

AGENCY: Environmental Protection Agency (EPA).

ACTION: Final rule.

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SUMMARY: EPA is approving a State Implementation Plan (SIP) revision

submitted by the State of Connecticut for the purpose of establishing a

small business stationary source technical and environmental compliance

assistance program. The SIP revision was submitted by the State to

satisfy the Federal mandate to ensure that small businesses have access

to technical assistance and regulatory information necessary to comply

with the Clean Air Act (CAA). The rationale for the approval is set

forth in this action.

DATES: This final rule will become effective July 18, 1994, unless

notice is received within 30 days that adverse or critical comments

will be submitted. If the effective date is delayed, timely notice will

be published in the Federal Register.

ADDRESSES: Comments may be mailed to Linda M. Murphy, Director, Air,

Pesticides and Toxics Management Division, U.S. Environmental

Protection Agency, Region I, JFK Federal Building, Boston, MA 02203.

Copies of the documents relevant to this action are available for

public inspection during normal business hours, by appointment at the

Air, Pesticides and Toxics Management Division, U.S. Environmental

Protection Agency, Region I, One Congress Street, 10th floor, Boston,

MA; Air and Radiation Docket and Information Center, U.S. Environmental

Protection Agency, 401 M Street, SW., (6102), Washington, DC 20460; and

the Bureau of Air Management, Department of Environmental Protection,

State Office Building, 79 Elm Street, Hartford, CT 06106-1630.

FOR FURTHER INFORMATION CONTACT: Emanuel Souza, Jr., (617) 565-3248.

SUPPLEMENTARY INFORMATION:

I. Background

Implementation of the provisions of the CAA, as amended in 1990,

will require regulation of many small businesses so that areas may

attain and maintain the National ambient air quality standards (NAAQS)

and reduce the emission of air toxics. Small businesses frequently lack

the technical expertise and financial resources necessary to evaluate

such regulations and to determine the appropriate mechanisms for

compliance. In anticipation of the impact of these requirements on

small businesses, the CAA requires that States adopt a Small Business

Stationary Source Technical and Environmental Compliance Assistance

Program (PROGRAM), and submit this PROGRAM as a revision to the

federally approved SIP. In addition, the CAA directs the Environmental

Protection Agency (EPA) to oversee these small business assistance

programs and report to Congress on their implementation. The

requirements for establishing a PROGRAM are set out in section 507 of

title V of the CAA. In February 1992, EPA issued Guidelines for the

Implementation of Section 507 of the 1990 Clean Air Act Amendments, in

order to delineate the Federal and State roles in meeting the new

statutory provisions and as a tool to provide further guidance to the

States on submitting acceptable SIP revisions.

The State of Connecticut has submitted a SIP revision to EPA in

order to satisfy the requirements of section 507. In order to gain full

approval, the State submittal must provide for each of the following

PROGRAM elements: (1) The establishment of a Small Business Assistance

Program (SBAP) to provide technical and compliance assistance to small

businesses; (2) the establishment of a State Small Business Ombudsman

to represent the interests of small businesses in the regulatory

process; and (3) the creation of a Compliance Advisory Panel (CAP) to

determine and report on the overall effectiveness of the SBAP.

II. Analysis

Connecticut has met all of the requirements of section 507 by

submitting a SIP revision that implements all required PROGRAM

elements.

1. Small Business Assistance Program

Section 507(a) sets forth six requirements1 that the State

must meet to have an approvable SBAP. The first requirement is to

establish adequate mechanisms for developing, collecting and

coordinating information concerning compliance methods and technologies

for small business stationary sources, and programs to encourage lawful

cooperation among such sources and other persons to further compliance

with the Act.

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\1\A seventh requirement of section 507(a), establishment of an

Ombudsman office, is discussed in the next section.

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The SBAP will act as an information clearing house by referring

small businesses to technical experts, specifically trained to handle

specific questions relevant to achieving compliance with the CAA. The

State has further met this requirement through proactive and reactive

components. The proactive component involves adequate communication

with and information outreach to small businesses on technical and

compliance issues. The reactive component involves the establishment of

a clearinghouse for handling incoming inquiries from small businesses

regarding methods for achieving compliance with air pollution control

requirements under the CAA.

The second requirement is to establish adequate mechanisms for

assisting small business stationary sources with pollution prevention

and accidental release detection and prevention, including providing

information concerning alternative technologies, process changes,

products and methods of operation that help reduce air pollution.

The State has met this requirement by including mechanisms to

provide assistance which allows the SBAP to coordinate information

relating to pollution prevention and accidental release detection with

Federal, state and local agencies and by allowing the SBAP

clearinghouse to disseminate information on pollution prevention and

accidental release prevention and detection. Furthermore, a contact

directory will be developed and made available which will include a

list of technical experts in the areas of pollution prevention,

accidental release prevention and detection and familiarity with

pollution prevention technologies and alternatives to reduce pollution.

The third requirement is to develop a compliance and technical

assistance program for small business stationary sources which assists

small businesses in determining applicable requirements and in

receiving permits under the Act in a timely and efficient manner.

The State's SBAP will utilize several mechanisms to provide

compliance and technical assistance to small businesses. These include

developing industry-specific information packets, providing training to

educate small business owners on conducting self-inspections and

understanding the compliance requirements, and communicating changes in

regulations and policy to small businesses through workshops, flyers

and presentations. The SBAP will develop a data base that includes

small business stationary sources and associations to attempt to notify

affected sources of potential changes or rules that affect them.

Additionally, the SBAP will work with trade associations, local

agencies, educational facilities, and community leaders to establish

environmental partnerships to bring about voluntary compliance with

regulations under the CAA through participation and educational

activities.

The fourth requirement is to develop adequate mechanisms to assure

that small business stationary sources receive notice of their rights

under the Act in such manner and form as to assure reasonably adequate

time for such sources to evaluate compliance methods and any relevant

or applicable proposed or final regulation or standards issued under

the Act.

The State has met this requirement by listing three possible

methods. As stated above the SBAP will develop a data base that

includes small business stationary sources and associations and will

coordinate with appropriate agency staff to attempt to notify affected

sources of potential changes or rules that affect them. Additionally,

formal public notification procedures will be developed and implemented

agency-wide that will attempt to insure timely notice of small

businesses of their rights and obligations under the CAA. Finally, as

stated earlier, the SBAP will work with trade associations, local

agencies, educational facilities, and community leaders to establish

environment partnerships to bring about voluntary compliance with

regulations under the CAA through participation and educational

activities.

The fifth requirement is to develop adequate mechanisms for

informing small business stationary sources of their obligations under

the Act, including mechanisms for referring such sources to qualified

auditors or, at the option of the State, for providing audits of the

operations of such sources to determine compliance with the Act.

The State has met this requirement by identifying various

mechanisms in the SIP revision. Some of these mechanisms include visits

to small businesses, public service announcements, seminars conducted

by the CT DEP and the establishment of a clearinghouse to handle

inquiries from small businesses. These methods may be utilized to

inform small businesses of their obligations under the CAA.

Furthermore, the State is designing a program for referring sources to

qualified auditors to determine if they are meeting the requirements of

the CAA.

The sixth requirement is to develop procedures for consideration of

requests from small business stationary sources for modification of:

(A) Any work practice or technological method of compliance; or (B) the

schedule of milestones for implementing such work practice or method of

compliance preceding any applicable compliance date, based on the

technological and financial capability of any such small business

stationary source.

The SIP revision states that the DEP will establish approved

procedures to provide for the review of requests from small businesses

for modification of work practice or technical methods of compliance

based on financial and technological capability. A system will be

provided for collecting and coordinating information on compliance

methods and technologies. Data bases and experts in different areas

will provide definitive guidance information. No such modification may

be granted unless it is in compliance with the applicable requirements

of the CAA. Additionally, the CT DEP will establish approval procedures

for modification requests based on financial and technological

capability.

2. Ombudsman

Section 507(a)(3) requires the designation of a State office to

serve as the Ombudsman for small business stationary sources. The State

has met this requirement by placing the office in the Office of the

Commissioner of Environmental Protection, fully independent of the

Bureau of Air Management. This office will be funded and adequately

staffed to carry out its duties. A specific list of Ombudsman duties

are listed in the SIP revision. Some of the duties the Ombudsman office

will perform includes conducting evaluations of all the programs

elements, facilitating and promoting the participation of small

businesses in the development of new regulations that impact small

businesses, aiding in the dissemination of information to small

businesses, participating in and sponsoring meetings and conferences

for small businesses, arranging for and assisting in the preparation of

guideline documents by the SBAP and interfacing with regional and state

offices of the Small Business Administration, the Department of

Commerce, and/or state and Federal agencies. The Ombudsman will also be

a member of the Compliance Advisory Panel. The Ombudsman will serve as

the Secretariat for the development and dissemination of panel reports

and advisory opinions.

3. Compliance Advisory Panel

Section 507(e) requires the State to establish a Compliance

Advisory Panel that must include two members selected by the Governor

who are not owners or representatives of owners of small businesses;

four members selected by the State legislature who are owners, or

represent owners, of small businesses; and one member selected by the

head of the agency in charge of the Air Pollution Permit Program. The

State has met this requirement by including the ombudsman as a panel

member and therefore, establishing an eight member CAP. The CAA

requires a minimum of 7 individuals on the Panel. Selection of the

panel members is consistent with the CAA requirements and the addition

of the ombudsman does not change the overall makeup of the panel.

In addition to establishing the membership of the CAP, the State

PROGRAM delineates four responsibilities of the Panel: (1) To render

advisory opinions concerning the effectiveness of the SBAP and the

difficulties encountered; (2) to periodically report to EPA concerning

the SBAP's adherence to the principles of the Paperwork Reduction Act,

the Equal Access to Justice Act, and the Regulatory Flexibility

Act2; (3) to review and assure that information for small business

stationary sources is easily understandable to the layperson; and (4)

the Ombudsman may serve as the Secretariat for the development and

dissemination of panel reports and advisory opinions.

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\2\Section 507(e)(1)(B) requires the CAP to report on the

compliance of the SBAP with these three Federal statutes. However,

since State agencies are not required to comply with them, EPA

believes that the State PROGRAM must merely require the CAP to

report on whether the SBAP is adhering to the general principles of

these Federal statutes.

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4. Eligibility

Section 507(c)(1) of the CAA defines the term ``small business

stationary source'' as a stationary source that:

(A) Is owned or operated by a person who employs 100 or fewer

individuals;

(B) Is a small business concern as defined in the Small Business

Act;

(C) Is not a major stationary source;

(D) Does not emit 50 tons per year (tpy) or more of any regulated

pollutant; and

(E) Emits less than 75 tpy of all regulated pollutants.

The SIP revision's eligibility requirements for the PROGRAM is

consistent with the CAA.

The State has also provided for the exclusion from the small

business stationary source definition, after consultation with EPA and

the SBA and upon notice and opportunity for public hearing, those

categories of small businesses that the State has determined to have

sufficient technical and financial capabilities to comply with the

requirements of the CAA. While the State was not clear in the January

12, 1993 SIP revision that the SBA would be consulted, the State

submitted a letter to Region I on April 6, 1994 clarifying that EPA and

the SBA would be consulted if the State excluded source categories from

the small business stationary source definition.

III. Final Rulemaking Action

The State of Connecticut has submitted a SIP revision implementing

each of the required PROGRAM elements required by section 507 of the

CAA. The State expects all the elements of the PROGRAM to be fully

operational by November 15, 1994. EPA is therefore approving the SIP

revision submitted by the State of Connecticut.

Final Action

EPA is approving the SIP revision implementing each of the required

PROGRAM elements required by section 507 of the CAA. The State expects

to appoint all the members of the CAP by July 1994 and have a fully

operational small business assistance program by November 15, 1994.

Because EPA considers this final rule noncontroversial and routine,

we are approving it today without prior proposal. This action will

become effective on July 18, 1994 unless by June 20, 1994, notice is

received that adverse comments will be submitted.

If such notice is received, this action will be withdrawn before

the effective date by publishing a subsequent document. That document

will simultaneously withdraw the final action and begin a new

rulemaking by announcing a proposal of the action and establishing a

comment period. If no such comments are received, the public is advised

that this action will be effective July 18, 1994.

Nothing in this action should be construed as permitting or

allowing or establishing a precedent for any future request for

revision to any SIP. Each request for revision to the SIP shall be

considered separately in light of specific technical, economic, and

environmental factors, and in relation to relevant statutory and

regulatory requirements.

Under the Regulatory Flexibility Act, 5 U.S.C. 600 et seq., EPA

must prepare a regulatory flexibility analysis assessing the impact of

any proposed or final rule on small entities. 5 U.S.C. 603 and 604.

Alternatively, EPA may certify that the rule will not have a

significant impact on a substantial number of small entities. Small

entities include small businesses, small not-for-profit enterprises,

and government entities with jurisdiction over populations of less than

50,000.

By this rule, EPA is approving a State program created for the

purpose of assisting small businesses in complying with existing

statutory and regulatory requirements. The program being approved today

does not impose any new regulatory burden on small businesses; it is a

program under which small businesses may elect to take advantage of

assistance provided by the State. Therefore, because EPA's approval of

this program does not impose any new regulatory requirements on small

businesses, I certify that it does not have a significant economic

impact on any small entities affected.

This action has been classified as a Table 2 action by the Acting

Regional Administrator under the procedures published in the Federal

Register on January 19, 1989 (54 FR 2214-2225) as revised by an October

4, 1993, memorandum from Michael H. Shapiro, Acting Assistant

Administrator for Air and Radiation. On January 6, 1989, the Office of

Management and Budget (OMB) waived Table 2 and 3 SIP revision (54 FR

222) from the requirements of section 3 of Executive Order 12991 for a

period of 2 years. The EPA has submitted a request for a permanent

waiver for Table 2 and 3 SIP revisions. The OMB has agreed to continue

the waiver until such time as it rules on EPA's request. This request

is still applicable under Executive Order 12866 which superseded

Executive Order 12291 on September 30, 1993.

Under section 307(b)(1) of the CAA, petitions for judicial review

of this action must be filed in the United States Court of Appeals for

the appropriate circuit by July 18, 1994. Filing a petition for

reconsideration by the Administrator for this final rule does not

affect the finality of this rule for the purposes of judicial review,

nor does it extend the time within which a petition for judicial review

may be filed, and shall not postpone the effectiveness of such rule or

action. This action may not be challenged later in proceedings to

enforce its requirements. (See section 307(b)(2) of the CAA.)

List of Subjects in 40 CFR Part 52

Environmental protection, Air pollution control, Incorporation by

reference, Intergovernmental relations, Small business assistance

program.

Note: Incorporation by reference of the State Implementation

Plan for the State of Connecticut was approved by the Director of

the Federal Register on July 1, 1982.

Dated: May 4, 1994.

John P. DeVillars,

Regional Administrator, Region I.

Part 52 of chapter I, title 40 of the Code of Federal Regulations

is amended as follows:

PART 52--[AMENDED]

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

Authority: 42 U.S.C. 7401-7671q.

Subpart H--Connecticut

2. Section 52.370 is amended by adding paragraph (c)(65) to read as

follows:

Sec. 52.370 Identification of plan.

* * * * *

(c) * * *

(65) Revisions to the State Implementation Plan establishing a

Small Business Stationary Source Technical and Environmental Compliance

Assistance Program were submitted by the Connecticut Department of

Environmental Protection on January 12 and August 9, 1993.

(i) Incorporation by reference.

(A) Letter from the Connecticut Department of Environmental

Protection dated January 12, 1993 submitting a revision to the

Connecticut State Implementation Plan.

(B) Revisions to the State Implementation Plan for the Small

Business Stationary Source Technical and Environmental Compliance

Assistance Program dated January 1993 and effective on January 12,

1993.

(C) Letter from the Connecticut Department of Environmental

Protection dated August 9, 1993 clarifying and updating the January 12,

1993 submittal.

(ii) Additional materials.

(A) Letter from the Connecticut Department of Environmental

Protection dated April 6, 1994 clarifying the January 12, 1993

submittal.

(B) Other non-regulatory portions of the State's submittal.

[FR Doc. 94-12158 Filed 5-18-94; 8:45 am]

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