Regulation of Fuels and Fuel Additives: Standards for Reformulated and Conventional Gasoline

Federal RegisterJul 20, 1994

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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 80

[AMS-FRL-5007-9]

Regulation of Fuels and Fuel Additives: Standards for

Reformulated and Conventional Gasoline

AGENCY: Environmental Protection Agency.

ACTION: Direct final rule.

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SUMMARY: The Clean Air Act, as amended in 1990 (CAA or the Act),

mandated that the Environmental Protection Agency (EPA or the Agency)

promulgate regulations requiring that gasoline sold in certain areas be

reformulated to reduce vehicle emissions of toxic and ozone-forming

compounds and that gasoline sold outside these areas would not be more

polluting than it was in 1990. On February 16, 1994, EPA published the

final rule establishing performance standards and compliance provisions

for conventional and reformulated gasoline (RFG). This direct final

rule (DFRM) makes minor corrections, clarifications, and revisions to

various provisions in the final reformulated gasoline rule.

This action addresses the following issues: Work-In-Progress (WIP)

baseline adjustments; JP-4 baseline adjustments; summer/winter season

definition for baseline determination; complex model valid range

extension for conventional gasoline baselines; valid range limits for

aromatics, oxygen, benzene, and RVP; clarifications to the VOC and

NOX extrapolations in the complex model; clarifications of

seasonal condition inconsistencies; and enforcement corrections/

clarifications associated with the reformulated gasoline and anti-

dumping regulations, as well as several technical clarifications and

typographical corrections.

EFFECTIVE DATES: This rule will be effective September 19, 1994 unless

notice is received by August 19, 1994 that adverse or critical comments

will be submitted or that an opportunity to submit such comments at a

public hearing is requested. If such comments or a request for a public

hearing are received by the Agency, then EPA will publish a subsequent

Federal Register notice withdrawing from this action only those items

which are specifically listed in those comments or in the request for a

public hearing. See SUPPLEMENTARY INFORMATION for further discussion on

submission of public comment.

ADDRESSES: Interested parties may submit written comments (in

duplicate, if possible) to Public Docket No. A-94-30, at Air Docket

Section, U.S. Environmental Protection Agency, Waterside Mall, Room M-

1500, 401 M Street SW., Washington, DC 20460. The Agency requests that

commenters also send a copy of any comments to David Korotney at the

address listed in the FOR FURTHER INFORMATION CONTACT section.

Materials relevant to the reformulated gasoline final rule and this

direct final rule are contained in Public Dockets A-91-02 and A-92-12,

located at room M-1500, Waterside Mall (ground floor), U.S.

Environmental Protection Agency, 401 M Street SW., Washington, DC

20460. The docket may be inspected from 8 a.m. until 12 noon and from

1:30 p.m. until 3 p.m. Monday through Friday. A reasonable fee may be

charged by EPA for copying docket materials.

FOR FURTHER INFORMATION CONTACT:

David Korotney, U.S. EPA (RDSD-12), Regulation Development and Support

Division, 2565 Plymouth Road, Ann Arbor, MI 48105, Telephone: (313)

668-4507.

To Request Copies of this Action Contact: Delores Frank, U.S. EPA

(RDSD-12), Regulation Development and Support Division, 2565 Plymouth

Road, Ann Arbor, MI 48105, Telephone: (313) 668-4295.

SUPPLEMENTARY INFORMATION:

Public Comments

For parties that submit adverse or critical comments, notify EPA of

intentions to submit adverse comments, or request a public hearing, the

Agency requests that commenters identify each of the items at issue by

the specific preamble section numbers that discuss those items. For

instance, adverse comments on the change to the oxygen valid range

limits should include a reference to Section (Item Number) II.A.1 of

the preamble. Adverse comments on any of the insubstantial errors in

Section I of the preamble should include a reference to the

identification code associated with each change in that section. For

instance, adverse comments on the paragraph reference change in

Sec. 80.41(h)(2)(iii) should include a reference to Item Number I-A.

The EPA will withdraw from this direct final action only those specific

provision(s) so identified. All other provisions included in today's

notice will become effective on September 19, 1994.

EPA believes that the use of a direct final rule is appropriate

because the changes made are generally minor in nature and all are

expected to be non-controversial. The DFRM will allow the Agency to

finalize such changes in a timely manner. For instance, many of the

changes contained herein clarify issues relevant to the development and

auditing of individual baselines which, in general, must be submitted

by either June 1, 1994 or September 1, 1994. Likewise, the reformulated

gasoline program will commence on December 1, 1994. The clarifications

and changes contained herein will promote successful implementation of

this program.

A copy of this action is available on the OAQPS Technology Transfer

Network Bulletin Board System (TTNBBS). The TTNBBS can be accessed with

a dial-in phone line and a high-speed modem (PH# 919-541-5742). The

parity of your modem should be set to none, the data bits to 8, and the

stop bits to 1. Either a 1200, 2400, or 9600 baud modem should be used.

When first signing on, the user will be required to answer some basic

informational questions for registration purposes. After completing the

registration process, proceed through the following series of menus:

(M) OMS

(K) Rulemaking and Reporting

(3) Fuels

(9) Reformulated gasoline

A list of ZIP files will be shown, all of which are related to the

reformulated gasoline rulemaking process. Today's action will be in the

form of a ZIP file and can be identified by the following title: RFG-

DFRM.ZIP. To download this file, type the following instructions and

transfer according to the appropriate software on your computer:

ownload, rotocol, xamine, ew, ist, or elp Selection

or to exit: D filename.zip

You will be given a list of transfer protocols from which you must

choose one that matches with the terminal software on your own

computer. The software should then be opened and directed to receive

the file using the same protocol. Programs and instructions for de-

archiving compressed files can be found via ystems Utilities from

the top menu, under rchivers/de-archivers. Please note that due to

differences between the software used to develop the document and the

software into which the document may be downloaded, changes in format,

page length, etc. may occur.

The remainder of this preamble is organized into the following

sections:

I. Insubstantial Errors

II. Valid Range Limits

III. Complex Model

IV. Enforcement Corrections and Clarifications

V. Summer/Winter Season

VI. Baseline Determination Adjustments

VII. Public Participation and Effective Date

VIII. Statutory Authority

IX. Administrative Designation

X. Regulatory Flexibility Analysis

I. Insubstantial Errors

The final rulemaking for the regulation of reformulated and

conventional gasoline contained a number of errors, ambiguities, and

misrepresentations of Agency intent which are being addressed by this

direct final rule. Of these errors, many are minor in both form and

effect. The minor errors do not require detailed discussions since they

all have at most a negligible effect on compliance with the

regulations, and require only simple corrections. Such minor errors

took the form of typographical errors, grammatical errors, inadvertent

omissions, and inadvertent insertions. The table below lists all the

insubstantial errors that are being corrected in this direct final

rule. Other errors are more substantial. The more substantial errors

and the associated corrections have been discussed on an item-by-item

basis in the following sections.

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Identification code Regulation reference Correction

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A................... 80.41(h)(2)(iii).................. Correct the paragraph reference from 80.101(g) to

80.101(h).

B................... 80.41(j)(2)....................... Correct the paragraph reference from (j)(1)(i) to

(j)(1).

C................... 80.41(m)(1)....................... A missing word ``of'' is inserted into the text.

D................... 80.42(c)(1)....................... In the table, change the valid range limits for

``Oxygenate'' in volume percent to valid range limits

for ``Oxygen'' in weight percent to match the values

already present.

E................... 80.42(a).......................... Correct the definition of exhaust and nonexhaust VOC

from nonmethane hydrocarbons to nonmethane, nonethane

hydrocarbons. All calculations and equations are

correctly based on nonmethane, nonethane

hydrocarbons.

F................... 80.42(b)(1)(ii), 80.42(b)(2)(ii), Add a concluding sentence which clarifies that the use

and 8042(b)(3)(ii). of methanol and other non-alcohol, non-ether

oxygenates in reformulated gasoline is limited to

vehicle testing under the Complex Model.

G................... 80.45(b)(3)....................... Correct the inadvertent omission of the first decimal

place in the baseline values for exhaust VOC and NOX

in Table 3.

H................... 80.45(c)(1)(iv)(A)................ The footnotes to Table 6 are clarified to indicate

that the higher E300 limit can be no higher than 94

percent as described in paragraphs 80.45

(c)(1)(iv)(C)(6) and 80.45(c)(1)(iv)(D)(6).

I................... 80.45(c)(1)(iv)(B)................ Change the word ``and'' to ``and/or''.

J................... 80.45(c)(1)(iv)(C)(11)............ The paragraph references are corrected from

(c)(1)(iv)(C)(8) and (9)'' to ``(c)(1)(iv)(C)(9) and

(10).''

K................... 80.45(c)(1)(iv)(C)(12)............ Correct the second ``E300'' to ``E300''.

L................... 80.45(c)(1)(iv)(C)(14)............ The paragraph references are corrected from

``(c)(1)(iv)(C)(11) and (12)'' to

``(c)(1)(iv)(C)(13).''

M................... 80.45(c)(1)(iv)(D)(11)............ The paragraph references are corrected from

``(c)(1)(iv)(D)(8) and (9)'' to ``(c)(1)(iv)(D)(9)

and (10).''

N................... 80.45(c)(1)(iv)(D)(12)............ Correct ``E30' 0'' to ``E300''.

O................... 80.45(c)(1)(iv)(D)(14)............ The paragraph references are corrected from

``(c)(1)(iv)(D)(11) and (12)'' to ``(c)(1)(iv)(D)(12)

and (13).''

P................... 80.45(c)(8)(ii)................... An extraneous word ``for'' at the end of the paragraph

is removed.

Q................... 80.45(d)(1)(iv)(B)................ Change the word ``and'' to ``and/or''.

R................... 80.45(e)(1)(ii)................... Correct the toxic emissions baseline values in the

equations which were rounded incorrectly to mimic the

correct values in Table 5 of 80.45(b)(3):

In Phase I,

``TOXICS2%=[100% x (TOXICS2-47.58mg/mi)]/(47.58 mg/

mi)''

In Phase II,

``TOXICS1%=[100% x (TOXICS1-86.34mg/mi)]/(86.34 mg/

mi)''

S................... 80.45(e)(4)(iii).................. A missing word ``an'' is inserted into the last

sentence.

T................... 80.45(e)(5)(iv) & 80.45(e)(6)(iv). Add a concluding sentence which clarifies that the use

of methanol and other non-alcohol, non-ether

oxygenates in the Complex Model is limited to

augmentation through vehicle testing.

U................... 80.45(e)(9) & 80.45(e)(10)........ Correct the variable names in the equations to mimic

the variable names in the definition list: ``HSVOC1''

is corrected to ``VOCHS1'', ``DIVOC1'' is corrected

to ``VOCD11'', ``RLVOC1'' is corrected to ``VOCRL1'',

``RFVOC1'' is corrected to ``VOCRF1'', ``HSVOC2'' is

corrected to ``VOCHS2'', ``DIVOC2'' is corrected to

``VOCDI2'', ``RLVOC2'' is corrected to ``VOCRL2'',

``RFVOC2'' is corrected to ``VOCRF2''.

V................... 80.45(f)(1)....................... The paragraph references are corrected from ``(a),

(c), and (d)'' to ``(c), (d), and (e)''.

W................... 80.45(f)(1) (i) & (ii)............ The units for E200 and E300 are corrected from

``volume percent'' to ``percent evaporated''.

X................... 80.48(c)(1)....................... Correct the paragraph reference from ``(c)(1)(iv) of

this section'' to ``(c)(1)(iv) of this section and

80.49(d)''.

Y................... 80.48(c)(1)(v).................... Revise last sentence to clarify that the model must be

re-estimated after dropping the Bi term.

Z................... 80.48(c)(2)(iii).................. A concluding sentence is added indicating that the

centered form of the Complex Model will be made

available upon request.

AA.................. 80.48(g).......................... Correct ``the augmentation petition'' to ``other

augmentation petitions''.

AB.................. 80.49(a)(5)(i).................... The ``Candidate parameter'' entry is deleted from the

table.

AC.................. 80.49(b)(3)(iii).................. The paragraph reference is corrected from ``(b)(2)(ii)

and (b)(3)'' to ``(b)(2)(ii)''.

AD.................. 80.59(a).......................... Revise last sentence to clarify that closed-loop

systems and adaptive learning components are minimum

requirements.

AE.................. 80.65(d)(3)....................... A cross-reference to the blendstock accounting

requirement in 80.102(e) is corrected.

AF.................. 80.66(g)(1) and (g)(2)(ii)........ Cross-references to 80.45, pertaining to the

calculation of per-gallon values for VOC, NOX, and

toxics emissions performance reduction, are

corrected.

AG.................. 80.68(c)(8)(ii)(A) and Cross-references to the complex model in 80.45 are

(c)(9)(ii)(A). corrected.

AH.................. 80.68(c)(9)(ii)(B)................ A cross-reference to the annual toxics emissions

weighting formula in 80.68(c)(9)(i)(B) is corrected.

AI.................. 80.68(c)(10(i).................... A cross-reference to the NOX emissions reduction

percentage in 80.45 is corrected.

AJ.................. 80.69(a)(7)(ii)................... A cross-reference to the applicable correlation ranges

in 80.65(e)(2)(i) is corrected.

AK.................. 80.69(b)(3)....................... A cross-reference to the oxygen averaging requirements

in 80.67(f) is corrected.

AL.................. 80.70(j)(11)...................... The spelling of Allegheny County, Pennsylvania, is

corrected.

AM.................. 80.75(j).......................... A cross-reference to the survey provisions in

80.41(q)(2) is corrected.

AN.................. 80.81(h).......................... A cross-reference to the sampling and analysis

methodology in 80.46 is corrected.

AO.................. 80.90(b)(1)....................... In the equation, correct the variable ``BX'' to

``BZ''.

AP.................. 80.90(e)(2)....................... The paragraph reference is corrected from ``(e)(2)''

to ``(e)(1)''.

AQ.................. 80.91(e)(2)(iv)................... In the equation only, the variable ``Njs'' is

corrected to njs'', the variable ``ns'' is corrected

to ``Ns'', the variable ``pj'' is corrected to

``pjs''.

AR.................. 80.91(e)(4)(i)(A)................. Correct the equation to include division by 100 as

follows:

UV=[AV/(100-OV)]-100

AS.................. 80.91(e)(4)(i)(B)................. Correct the equation to include division by 100 in two

places:

UR=[BR-{(OVi x ORi)}/100]/[{100-OVi}

/100]

AT.................. 80.91(e)(4)(ii)(A)................ Correct the equation to include division by 100 as

follows:

AV=UV(100-OV)/100

AU.................. 80.91(e)(4)(ii)(A)................ Correct the definition of UV from ``nonoxygenated

parameter value'' to ``non-oxygenated parameter

value''.

AV.................. 80.91(e)(4)(ii)(B)................ Correct the equation to include division by 100 as

follows:

BR={UR x [100-(OVi)]+(OVi x ORi)}/10

0

AW.................. 80.93(a)(3)(ii)................... Re-word the first sentence to read ``Petitions,

`showings' and other associated proof may be

submitted to EPA prior to submittal of the individual

baseline (per paragraphs (a)(1) and (a)(2) of this

section)''.

AX.................. 80.93(c)(9)....................... A cross-reference to 80.93 (c)(8) is clarified.

AY.................. 80.101(e)(3) & (f)(4)............. References to California gasoline are clarified.

AZ.................. 80.102(b)(1)...................... An extraneous word is deleted.

BA.................. 80.102(e)(2)(i)................... A cross-reference to 80.101(g) is added.

BB.................. 80.102(f)(2)(i)................... A typographical error is corrected.

BC.................. 80.125(a)......................... A cross-reference to the reports required by 80.105 is

corrected.

BD.................. 80.128(e)(2)...................... A cross-reference to the assumptions pertaining to the

use of RBOB in 80.69(a)(9) is corrected.

BE.................. 80.128(e)(5)...................... A cross-reference to the sampling and testing rates in

80.69(a)(7) is corrected.

BF.................. 80.128(g)(3)(iii)................. A typographical error is corrected.

BG.................. 80.129(e)......................... A cross-reference to the sampling and testing rates in

80.69 is corrected.

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II. Valid Range Limits

The valid range limits in both the Simple and Complex Models

specify the range for each fuel parameter outside of which the models

cannot be used for the evaluation of emission performances. These

limits ensure that the models will not be used for extremely high or

low fuel parameter values which would compromise the validity of the

models. Thus the valid range limits were instituted as a means toward

maintaining the accuracy of the compliance calculations, and thus the

integrity of the reformulated gasoline and anti-dumping programs.

The Agency made every attempt to make the valid range limits as

wide as possible to provide flexibility to refiners while maintaining a

focus on the need for accurate performance estimates. This was

especially true for the conventional gasoline valid range limits, as

EPA wanted to avoid, to the extent possible, establishing provisions

which would require refiners to reformulate their conventional fuels.

To provide additional flexibility, the Agency also allowed the

extension of the specified valid range for the Complex Model for

conventional gasoline when a refiner's individual 1990 baseline fuel

exceeds the valid range in one or more fuel parameters.

Since publication of the final rule, the Agency has determined that

the flexibility provided to refiners in the valid range limits requires

some revision and clarification to avoid unnecessary and costly

refinery modifications which have no long term environmental benefit.

The changes to the regulations can be separated into two categories:

changes to the specified valid range limits, and clarification of the

provision for extending the valid range for individual refiner baseline

fuels. Both of these topics will be described in detail below.

A. Revised Valid Range Limits

The valid range limits for the Simple and Complex Models were based

on two different sets of data and were developed using different

assumptions. The Simple Model valid range limits were determined

following the regulatory negotiations held in 1991. The Complex Model

valid range limits were based upon an examination of the sufficiency of

data in the Complex Model database and the accuracy of extrapolations

(See the Regulatory Impact Analysis for the final rule, Section IV.D).

Because the valid range limits for the Simple and Complex Models were

established independently and through different processes, the valid

range limits for the two models were different from one another. Since

promulgation of the final rule, the Agency has learned that the

specified valid ranges may force refiners to make refinery

modifications to comply with the regulations that are unwarranted under

the Simple Model, and unnecessary under the Complex Model. Thus EPA is

revising the valid range limits for oxygen content, RVP, aromatics

content, and benzene content for the Simple Model, and oxygen content

for the Complex Model.

1. Change to High End of Oxygen Valid Range

The high end of the valid range limit for oxygen in both the Simple

and Complex Models was based on the maximum amount of oxygen that an

oxygenated fuel was expected to lawfully contain. Of all the oxygenates

that will likely be used in the reformulated gasoline program, ethanol

has the highest oxygen content at 0.35 grams of oxygen per gram of

ethanol. The Agency used this value as a benchmark in determining the

high end of the valid range for oxygen, assuming a 10 volume percent

ethanol blend. However, since promulgation of the final rule, the

Agency has learned that density variations in gasoline blendstocks may

result in wide variations in the oxygen content of an oxygenated fuel

on a weight percent basis despite the fact that the volume percent

remains fixed. For instance, blending 10 volume percent ethanol into a

higher density gasoline could produce a blend with an oxygen content as

low as 3.4 weight percent, while blending 10 volume percent ethanol

into a lower density gasoline could produce a blend with an oxygen

content as high as 4.0 weight percent.

Since the largest excise tax exemption available to refiners for

the use of ethanol in gasoline blends is for oxygenated fuels that

contain 10 volume percent, many ethanol blends will contain 10 volume

percent ethanol. Thus it is essential that the high end of the valid

range for both the Simple and Complex Models be raised to 4.0 weight

percent. This change will allow fuels which are already being produced

to be evaluated with the Simple and Complex Models. The change will

also guarantee that no fuel oxygenated with ethanol will be excluded

from the reformulated gasoline program due to an oxygen content that is

outside the range of the model, as long as it complies with the volume

limits applicable in a waiver issued under section 211(f) of the Clean

Air Act. Since fuels with oxygen contents of 4.0 weight percent are

already being produced, the change will have no additional impact on

vehicle driveability. Also, since the models continue to be accurate

between 3.5 and 4.0 weight percent, and the emission standards are not

being changed, this change to the high end of the valid range for

oxygen content will have no adverse impact on the environment.

2. Change to Low End of RVP Valid Range in the Simple Model

The low end of the valid range for RVP in the Simple Model was

based on the distribution of data used in the model's development, as

well as a consideration of the needs of the reformulated gasoline and

anti-dumping programs under the Simple Model. Since VOC emission

reductions under the Simple Model are accomplished primarily through

limits on maximum RVP levels, the valid range for RVP in the Simple

Model only affects toxics compliance calculations. In promulgating the

final regulations, the Agency determined that refiners had no incentive

to reduce RVP below 6.6 psi for the purposes of complying with the

toxics standards since reductions in fuel benzene and aromatics are

much more effective in reducing emissions of toxic compounds.

In contrast to the Simple Model, the absence of RVP caps and the

impact of other fuel parameters on emissions under the Complex Model

will likely result in large variations in RVP levels in reformulated

gasoline. RVP control will continue to be the primary mechanism through

which VOC emissions are reduced because RVP is the most cost-effective

fuel parameter to control, and because the RVP effect on VOC in the

Complex Model is quite large. As in the Simple Model, the valid range

for RVP in the Complex Model was determined from an examination of the

distribution of data used in the model's development and the needs of

the reformulated gasoline and anti-dumping programs. The low end of the

valid range was set at 6.4 psi to accommodate large reductions in RVP

while maintaining the accuracy of the Complex Model. Fuel RVPs are

expected to reach this low level in Phase II of the reformulated

gasoline program, and the potential exists for them to be reached in

Phase I as well.

California has been developing its own program in which

reformulated gasoline must meet more stringent requirements than in the

federal program during the years 1996 and 1997 that the Simple Model

will be in effect. Given California's more stringent requirements, the

potential exists for fuel having an RVP of less than 6.6 psi to be

either sold or used as a blendstock in and outside of California. With

the low end of the valid range for RVP set at 6.6 psi, these California

reformulated gasolines might not be certifiable as federal reformulated

gasoline. Also, refiners trying to blend down tanks quickly at

terminals in the spring to meet summer volatility requirements may end

up with fuels that have RVPs as low as 6.4 psi.

Since the low end of the valid range for RVP under the Complex

Model is 6.4 psi, the Agency has determined that the low end of the

valid range for RVP under the Simple Model should likewise be 6.4 psi.

The change from 6.6 psi to 6.4 psi makes the low end of the valid range

for RVP consistent throughout Phase I of the federal reformulated

gasoline program, and provides an additional element of flexibility for

refiners to complement the already established blending and enforcement

tolerances. The change should have no effect on the environment, since

presumably only cleaner fuels would be allowed certification under the

Simple Model. Both the Simple and Complex Models are linear with

respect to RVP for all pollutants, and this linear relationship would

simply be extended from 6.6 psi down to 6.4 psi.

3. Change to High End of Aromatics Valid Range in the Simple Model

It was and is the intention of the Agency to avoid, to the extent

possible, establishing regulations which require refiners to

reformulate their conventional fuels. The anti-dumping program is

designed to ensure that a refiner's or importer's conventional gasoline

stays as clean as it was in 1990, and does not require reformulation

beyond those levels. Thus the valid range limits for conventional

gasoline in both the Simple and Complex Models were designed to be as

wide as possible while simultaneously ensuring the accuracy of the

models. As an additional level of flexibility, the Agency also allowed

for the extension of the valid range for conventional gasoline if a

refiner's individual 1990 baseline fuel exceeded the specified valid

range limits (see discussion in Section II.B. below).

Since promulgation of the final regulations for the anti-dumping

program, the Agency has determined that the valid range limits in the

Simple Model for aromatics, which are more restrictive than those for

conventional gasoline under the Complex Model, could be widened without

any detrimental impacts on either the program or on the environment.

Without such a change to the regulations, refiners may be forced to

make changes to their refineries by 1995 that are not necessary in 1998

when compliance under the Complex Model is mandatory. Thus the Agency

is changing the high end of the valid range for aromatics under the

Simple Model from 45 volume percent to 55 volume percent. This change

will ensure that the Simple Model can be used for as many conventional

fuels as possible to show compliance under the anti-dumping program

without the need to extend the valid range. The environment will not be

adversely impacted since it was the Agency's intent to allow extensions

of the valid range when a refiner's 1990 baseline fuel exceeded the

specified valid range limits. The change will not affect RFG

compliance, since aromatics are controlled by the reformulated gasoline

standards for toxics. Driveability will not be affected since fuels

with aromatics levels as high as 55 volume percent currently exist in-

use. Also, consistency in the high end of the valid range limits for

aromatics will be maintained throughout Phase I of the program. Because

the relationship between toxic emissions and fuel aromatics levels is

linear in the Simple Model, the change will not result in an inaccurate

application of the model to higher aromatics levels.

4. Change to Low End of Aromatics Valid Range in the Simple Model

The Agency has also determined that the low end of the valid range

for aromatics in the Simple Model may not provide refiners with

adequate flexibility under the reformulated gasoline program. For the

Complex Model, the Agency determined that the relationships between

aromatics and emissions could not be trusted at levels below 10 volume

percent. However, the Agency determined that a flat-line extrapolation

below 10 volume percent, in which no emission benefits or detriments

result from lowering aromatics values below 10 volume percent, would

provide greater flexibility without compromising the accuracy of the

Complex Model equations in this range. Since promulgation of the final

rule, the Agency has determined that the Complex Model approach to low

values of aromatics can be appropriately applied to the Simple Model as

well. Therefore, the Agency is changing the low end of the valid range

for aromatics under the Simple Model from 10 volume percent to 0 volume

percent, but will not allow any emission benefits in this range. The

Agency did not intend to discourage the production of fuels that had

very low levels of aromatics, and were, thus, qualitatively considered

to be cleaner burning. If the low end of the valid range for aromatics

is left at 10 volume percent, fuels with aromatics values of less than

10 volume percent that would otherwise be complying reformulated

gasolines under the Simple Model will not be certifiable, despite the

fact that those same fuels may be certifiable under the Complex Model.

This change is expected to be environmentally benign, as few refiners

will have any incentive to reduce aromatics below 10 volume percent for

reformulated gasoline under the Simple Model.

5. Change to High End of Benzene Valid Range in the Simple Model

As stated in Section II.A.3, it was and is the intention of the

Agency, to the extent possible, not to establish regulations that

require the reformulation of conventional gasoline under the anti-

dumping program. However, the valid range limits for benzene under the

Simple Model may in fact force refiners to reformulate conventional

gasoline. The Agency has determined that the valid range limits in the

Simple Model for benzene, which are more restrictive than those for

conventional gasoline under the Complex Model, can be widened without

any detrimental impacts. Without such a change to the regulations,

refiners may be forced to make changes to their refineries by 1995 that

are not necessary in 1998 when compliance under the Complex Model is

mandatory. Thus the Agency is changing the high end of the valid range

for benzene under the Simple Model from 2.5 volume percent to 4.9

volume percent. This change ensures that the Simple Model can be used

for as many conventional fuels as possible to show compliance under the

anti-dumping program without the need to extend the valid range. The

change will not affect RFG compliance, since benzene is controlled by

the reformulated gasoline standards for fuel benzene content. In like

manner to raising the high end of the valid range for aromatics,

consistency in the valid range limits will be maintained throughout

Phase I of the program. The environment will not be adversely impacted

since it was the Agency's intent to allow extensions of the valid range

when a refiner's 1990 baseline fuel exceeded the specified valid range

limits. As for aromatics, because the relationship between toxic

emissions and fuel benzene levels is linear in the Simple Model, the

change will not result in an inaccurate application of the model to

higher benzene levels.

B. Extending the Valid Range for Conventional Gasoline

Under the anti-dumping provisions of the final rule, refiners use

their individual 1990 baselines to determine compliance with the

regulations under both the Simple and Complex Models. Depending on the

compliance model being used, the values for particular fuel parameters

are restricted by the valid range limits. For instance, if a refiner is

using the Simple Model to comply with the anti-dumping regulations, VOC

and NOX emissions are regulated through caps on the baseline

levels of sulfur, olefins, and T90, while toxic emissions are regulated

through an equation giving the benzene fraction of VOC emissions. Since

the benzene fraction equation contains only benzene and aromatics as

independent variables, the only valid range limits that apply to

refiners using the Simple Model to comply with the anti-dumping

regulations are those specified in Sec. 80.42(c)(1) for benzene and

aromatics content. If, alternatively, a refiner is using the Complex

Model to comply with the anti-dumping regulations, NOX and toxics

emissions are regulated through the Complex Model. Thus the valid range

limits that apply to refiners using the Complex Model to comply with

the anti-dumping regulations are those specified in

Sec. 80.45(f)(1)(ii) for oxygen content, sulfur content, RVP, E200,

E300, aromatics content, olefins content, and benzene content.

Section 80.91(f)(2)(ii) allows a refiner to extend the conventional

gasoline valid range for the Complex Model if one or more of the fuel

parameter values for its individual 1990 baseline fuel falls outside of

the valid range specified in Sec. 80.45(f)(1)(ii). However, the

regulations did not adequately specify the method, applicability, or

limitations of such a valid range extension. As written, the

regulations state that, for each baseline fuel parameter value which is

outside of the Complex Model conventional gasoline valid range, the

Complex Model valid range is extended only for such fuel parameters.

The only stated limitation is that such an extension is applicable only

to the applicable summer or winter season. The Agency has determined

that this portion of the regulations is ambiguous, and requires

revision.

1. Applicability of the Provision for Valid Range Extension

The Agency has only been made aware of the potential need for

extension of the valid range for olefins, aromatics, and benzene.

Therefore, a provision for the extension of the valid range has only

been made for the high end of the specified valid range for these three

fuel parameters. In each case, if the valid range limit is extended,

the refiner in question must still be limited by a valid range to

eliminate the possibility that the Complex Model will be used for

aromatics, olefins, and/or benzene values that are very high, which

might compromise the primary objective of the anti-dumping program. As

specified in the final regulations, a refiner is allowed to extend the

Complex Model valid range for both baseline and compliance emissions

calculations, but is not directed as to the specification of any new

valid range limits. Such a provision for the extension of the valid

range that does not include limitations on fuel parameter values that

can be evaluated with the Complex Model would defeat the purposes of

specifying a valid range, and was not the Agency's intent.

The Agency has determined that the best approach to limiting the

extension of the valid range is to allow target fuels to have values at

least up to the baseline level. Since the baseline fuel is an

``average'' fuel of sorts, the Agency has also determined that refiners

should be given some flexibility beyond the baseline value. For

aromatics, this flexibility will be fixed at a value of 5.0 volume

percent. For olefins this flexibility will be fixed at a value of 3.0

volume percent. And for benzene this flexibility will be fixed at a

value of 0.5 volume percent. Thus, for example, the extended valid

range limit for aromatics would be equal to the individual refiner's

baseline fuel value for aromatics, plus 5.0 volume percent. A similar

calculation would be necessary for extending the valid range for

olefins or benzene.

The Agency has no reason to believe that provisions for the

extension of the valid range for fuel parameters other than aromatics,

olefins, and benzene on either the low or high ends are necessary. For

instance, the Complex Model conventional gasoline valid ranges for

oxygen, sulfur, aromatics, olefins, and benzene all have 0.0 as their

lower limit. Thus no valid range extension would be required on the low

end of the valid range for these fuel parameters. Similarly for E300, a

fuel can have an E300 value of no higher than 100 percent, which is

also the high end of the specified valid range. Other limitations, such

as ASTM specifications and the volatility rule, should eliminate the

need for valid range extensions in other cases.

2. No-Benefit Limitation of the Provision for Valid Range Extension

The Agency continues to believe that the valid range limits

specified in Sec. 80.42(c)(1) and Sec. 80.45(f)(1)(ii) identify the

fuel parameter values beyond which the compliance models are not

considered accurate. Thus the Agency has determined that any extension

of the specified valid ranges for conventional gasoline should

incorporate flat-line extrapolation. Under flat-line extrapolation, the

compliance models provide no emissions benefit or detriment when

raising the value of either aromatics or olefins above the values

specified in Sec. 80.42(c)(1) and Sec. 80.45(f)(1)(ii). This flat-line

extrapolation will apply to both the baseline fuel and any target fuels

evaluated with the compliance models under the anti-dumping

regulations.

3. Expanding the Applicability of the Valid Range Extension Provision

to the Simple Model

This direct final rule expands the applicability of the valid range

extension provision given in Sec. 80.91(f)(2)(ii) to the Simple Model.

However, as noted above, the only fuel parameters having valid range

limits under the Simple Model anti-dumping regulations are aromatics

and benzene content. The Simple Model valid ranges for both aromatics

and benzene are being expanded to be equal to the corresponding ranges

for the Complex Model, as described in sections II.A.3-5 of this rule.

Thus the new valid range under the Simple Model will be 0-55 volume

percent for aromatics and 0-4.9 volume percent for benzene. No valid

range extension will be required for either of these fuel parameters on

the low end of the valid range. Thus the only relevant valid range

extensions that would be necessary for the Simple Model would be for

the high end of aromatics and the high end of benzene.

III. Complex Model

The Complex Model includes separate calculations for exhaust and

nonexhaust emissions. The final regulations contained errors in the

model descriptions for both exhaust and nonexhaust. The errors in the

exhaust portion of the Complex Model were limited to the linear

extrapolation methodology, while the errors in the nonexhaust portion

arose in the VOC equations themselves. Another error also arose in the

calculation procedure for annual average toxics. Each of these errors

and the associated corrections will be discussed in detail below.

A. Extrapolation

The exhaust portion of the Complex Model is a statistically-derived

set of equations relating fuel parameters to emissions of VOC,

NOX, benzene, 1,3-butadiene, acetaldehyde, formaldehyde, and POM.

The Agency determined the conditions under which these exhaust

equations must be linearly extrapolated based on the ranges for each

fuel parameter within which the equations were considered to be

accurate. Linear extrapolation amounts to fixing the slope of the fuel

parameter:emission relationship at a constant value. It is used to

extend the equations beyond the limits of the data on which they are

based, thereby making the reformulated gasoline and anti-dumping

programs as flexible as possible.

Of the six separate models in the exhaust portion of the Complex

Model, all four toxic models are linear, and thus do not require linear

extrapolation. Paragraph (c)(1)(iv) of Sec. 80.45 specifies the

conditions and limitations of linear extrapolation for VOC, while

Sec. 80.45(d)(1)(iv) specifies the conditions and limitations of linear

extrapolation for NOX. The details of the linear extrapolation

methodology included in these two portions of the final regulations

contained a number of errors which require correction.

1. Correct Parenthetical Form of Extrapolation Equations

In paragraphs (c)(1)(iv)(B) and (d)(1)(iv)(B) of Sec. 80.45, the

linear extrapolation equations contained too many brackets in some

regions of the equations, and missing parentheses in other regions.

Although these inadvertent omissions and insertions did not change the

mathematical nature of the equations, a literal copying of the

equations into computer code would result in an error. Thus the Agency

has corrected the linear extrapolation equations for both VOC and

NOX to contain the correct number of parentheses and brackets in

the correct position and order.

2. Correct Missing Sulfur Term in NOX Extrapolation Equation

A sulfur term was inadvertently left out of both the Phase I and

Phase II NOX extrapolation equations given in paragraph

(d)(1)(iv)(B) of Sec. 80.45. This missing sulfur term represents the

linear extrapolation of the NOX model with respect to sulfur for

high emitters. This correction will have a negligible impact on the

emission performance estimates provided by the Complex Model because

the NOX equation for high emitters is essentially linear with

respect to sulfur.\1\ The inclusion of the correct sulfur term in the

NOX extrapolation equation will result in the correct application

of the edge target fuel to the NOX extrapolation equations.

---------------------------------------------------------------------------

\1\The exhaust portion of the Complex Model includes exponential

functions which alters the traditional implications of first- and

second-order equations. However, the Complex Model exhaust equations

can be referred to and approached as first- and second-order as

described in Section IV.D.1 of the Regulatory Impact Analysis for

the final rule.

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3. Clarify E300 Extrapolation Above 95 Percent

In the process of determining the valid range limits for the use of

the Complex Model for both reformulated and conventional gasoline, the

Agency determined that the emission changes estimated by the exhaust

equations were not accurate above an E300 value of 95 percent. However,

comments received from the refining industry indicated a need for an

E300 valid range that extended up to 100 percent. The Agency concluded

that, although the exhaust equation emission change estimates could not

be considered accurate above an E300 level of 95 percent, allowing only

a zero change in emissions above this E300 level would ensure that

refiners could not receive inappropriate benefits for fuels with very

high E300 levels. Therefore, the Agency allowed for flat-line

extrapolations of all exhaust equations between the E300 values of 95

and 100 percent. However, some portions of the regulations that

specified this allowance contained typographical errors which

substantially changed the manner in which this flat-line extrapolation

for E300 was to be executed. Specifically, paragraphs (c)(1)(iv)(C)(5),

(c)(1)(iv)(D)(5), and (d)(1)(iv)(C)(5) of Sec. 80.45 all indicated that

the E300 value of the edge target fuel should be held constant at 95

volume percent for target fuels having an E300 value of greater than 95

volume percent. These paragraphs should not have refered to the edge

target fuel, but rather to the target fuel for the purposes of

determining emissions performances with the Complex Model. These three

paragraphs are thus changed accordingly.

4. Correct Value of ARO

The regulations describing the linear extrapolation methodology for

exhaust VOC and NOX contained two other typographical errors that

nevertheless were substantial in their effects. The first arose in

paragraphs (c)(1)(iv)(C)(9), (c)(1)(iv)(D)(9), and (d)(1)(iv)(C)(9) of

Sec. 80.45 in the specification of the value of ARO. The value

of ARO should generally be set equal to (ARO--18

volume percent) for any target fuel having an aromatics content of less

than 18 volume percent. Thus ARO will be negative when the VOC

or NOX equation is linearly extrapolated with respect to aromatics

at the low end of the valid range. However, for target fuels having an

aromatics content of less than 10 volume percent, the VOC extrapolation

should be flat-line instead of linear. In this case, ARO

should be fixed at a value of -8 volume percent. The value in the

regulations was given incorrectly as +8 volume percent.

5. Correct Specification of E300

The second typographical error that requires explanation and

correction involves the specification of E300 in paragraphs

(c)(1)(iv)(C)(13) and (c)(1)(iv)(D)(13). The first sentence in each of

these two paragraphs contains two conditions that must be met for

E300 to be set equal to (E300--94 percent). The first

condition incorrectly states that the E300 level of the target fuel

must be less than 94 percent, when in fact the condition should state

that the E300 level of the target fuel must be greater than 94 percent.

The remainder of both of these paragraphs is correct.

6. Eliminate References to E300 in NOX Extrapolation

Finally, the linear extrapolation methodology for NOX in the

final rule contained references to the allowable range for E300,

despite the fact that the NOx equation is not extrapolated with respect

to E300. Thus all references to E300 in paragraphs (d)(1)(iv)(A) and

(d)(1)(iv)(B) are removed by this direct final rule. Note that, since

all exhaust equations in the Complex Model are flat-line extrapolated

for E300 values greater than 95 percent, the flat-line extrapolation

for E300 specified in paragraph (d)(1)(iv)(C)(5) is correct (except for

the changes described above).

B. Nonexhaust Model

The equations giving nonexhaust VOC as a function of RVP for the

Complex Model were originally proposed in the February 1993 NPRM (58 FR

17175). No changes to those equations were intended for the final rule

on reformulated gasoline. However, typographical errors arose in a

number of the coefficients in the nonexhaust VOC model when they were

entered into the final regulations. These errors would have a small,

but not insignificant impact on the VOC emission performances provided

by the Complex Model.

The errors in the nonexhaust VOC portion of the Complex Model lay

in four places. The first was in the sign of the coefficient for RVP in

the Phase I running loss equation for Region 1. The second was in the

coefficient for RVP in the Phase II hot soak equation for Region 1. The

third was in the coefficient for RVP in the Phase II refueling loss

equation for Region 1. And the fourth was in the sign of the RVP

coefficient for the Phase II running loss equation for Region 2. All

the coefficients in the nonexhaust model have been returned to their

proper values and signs by this direct final rule.

C. Annual Average Calculations

Since the averaging standards for toxics under the Complex Model

are year-round standards, each refiner who is complying under an

averaging scenario must determine the average year-round toxics

emissions performance for the fuels that it sold during a given year.

Each batch of fuel is uniquely associated with toxic emissions as

estimated by the Complex Model. Thus refiners require a method for

combining per batch emission performances into a single year-round

value. The regulations provided two contradictory methods for combining

per batch emission performances into such a single year-round value.

Paragraph (g) et al. of Sec. 80.67 directs refiners to weight the

emission performances by batch volume and then add them in order to

determine a year-round value. In calculating emission performances with

the Complex Model, fuels sold in the winter are evaluated with the

winter model, while fuels sold in the summer are evaluated with the

summer model. Thus this ``volume-weighted'' approach to determining

year-round values correctly leads to an average toxic emissions value

for the year.

Paragraph (e)(3) of Sec. 80.45 incorrectly directs refiners to

weight summer and winter toxic emissions by fixed values to obtain

year-round averages. Under this portion of the regulations, summer

batches of fuel would be individually weighted by their batch volumes

to obtain average summer emission performance estimates. Likewise

winter batches would be weighted by their batch volumes to obtain

average winter emission performance estimates. However, the fixed

weighting of summer and winter emission estimates for the purposes of

determining a year-round value would not necessarily mimic a refiner's

true ratio of summer to winter fuel. The fixed weightings given in

paragraph (e)(3) were used to determine the performance standards, and

are not relevant to determining compliance by individual refiners.

Therefore, paragraph (e)(3) will be revised to refer to Sec. 80.67(g),

and paragraphs (e)(3)(i) and (e)(3)(ii) of Sec. 80.45 will be removed.

IV. Enforcement Corrections and Clarifications

The following section contains corrections and clarifications to

the enforcement portions of the final reformulated gasoline and anti-

dumping regulations that were published on February 16, 1994 (59 FR

7716), and to enforcement portions of the preamble of the notice of

final rulemaking.\2\ The reasons for the changes are listed below.

---------------------------------------------------------------------------

\2\Hereinafter in Part IV of this notice (unless otherwise

indicated), references to ``final rule'' or ``final regulations''

shall refer to the regulations promulgated in the February 16, 1994,

notice of final rulemaking.

---------------------------------------------------------------------------

A. Reformulated Gasoline Regulation (40 CFR Part 80, Subpart D)

1. Measurement of Reformulated Gasoline Fuel Parameters (Sec. 80.46)

The table of aromatic compounds in Sec. 80.46(f)(1)(ii)(K) is being

revised. The aromatic compounds listed in the final rule are those used

by EPA during the development of the analytical method for the

rulemaking. In this notice some compounds that no longer are available

commercially have been deleted from the list, and several aromatic

compounds that are found in commercial gasolines and are available

commercially to make reference materials have been added to the list.

Only materials of known purity or those specified as 99% pure or

greater should be used as calibration standards.

The number of calibration levels should be sufficient to bracket

the expected concentration of each compound. Two calibration levels

were used in the initial evaluation of the test method. In the future,

however, EPA probably will use five calibration levels with at least

three internal standards used in the standards and samples in order to

improve precision.

Initially EPA prepared standards by volume. Currently, however, EPA

prepares standards, samples, and internal standards by weight.

Conversion to volume percent is performed by using the density of the

aromatic compound in question. Standards for gasoline that are prepared

by weight are considered to be more accurate than standards that are

prepared by volume.

Neither the use of five calibration levels, nor the preparation of

standards by weight, should be viewed as changes to the regulations,

but rather as Agency recommendations intended to improve precision.

2. General Requirements for Refiners, Importers and Oxygenate Blenders

(Sec. 80.65)

a. Designation of Gasoline as Oxygenated Fuels Program Reformulated

Gasoline (OPRG) or Non-OPRG. Section 80.65(d)(2)(iii) is revised in

order to clarify the categories of gasoline that may be designated as

oxygenated fuels program reformulated gasoline, or OPRG. The final

rule, at Sec. 80.65(d)(2)(iii), specifies that reformulated gasoline

must be designated as OPRG, or not OPRG, to provide a mechanism to

ensure reformulated gasoline outside of oxygenated fuels control areas

during oxygenated fuels control periods has at least the 2.0 weight

percent oxygen content mandated by the Clean Air Act.\3\ The final rule

requires parties who meet the oxygen standard on average to meet the

oxygen standard separately for gasoline not designated as OPRG. If OPRG

and non-OPRG gasoline could be averaged together for oxygen purposes,

the gasoline in the OPRG areas--where 2.7 weight percent oxygen is

required during the oxygenated fuels control period--could be used to

offset gasoline with 1.5 weight percent oxygen intended for use in non-

OPRG areas.

---------------------------------------------------------------------------

\3\The ``oxygenated fuels control areas'' are those areas where

the use of oxygenated gasoline is required during the winter season

pursuant to section 211(m) of the Clean Air Act, 42 U.S.C. 7545(m).

---------------------------------------------------------------------------

Today's revision consists of two parts. First, the regulation is

clarified to make specific that the OPRG/non-OPRG designation applies

only to reformulated gasoline and not to RBOB. The final rule requires

RBOB to be designated as OPRG or non-OPRG, but the OPRG designation for

RBOB serves no purpose because RBOB does not become reformulated

gasoline until oxygenate has been added. The final rule is unchanged

regarding oxygenate blender responsibilities--oxygenate blenders who

produce reformulated gasoline by combining RBOB with oxygenate are

required to designate the gasoline as OPRG or non-OPRG, and to meet the

oxygen standard separately for gasoline not designated as OPRG.

The second change regarding OPRG-designated gasoline is the

addition of a new provision, at Sec. 80.65(d)(2)(iii)(B), to clarify

that reformulated gasoline that contains at least 2.0 weight percent

oxygen may be designated as OPRG regardless of whether or not the

gasoline is used in an oxygenated fuels program control area during an

oxygenated fuels program control period. This change allows terminals

that serve both oxygenated fuels areas and non-oxygenated fuels areas

to stock a single reformulated gasoline that could be used in both

areas, instead of having to stock both OPRG and non-OPRG designated

reformulated gasoline. This change also allows all reformulated

gasoline that meets the 2.0 weight percent oxygen per-gallon standard

to be designated as OPRG, without such gasoline being restricted to use

in oxygenated fuel areas during oxygenated fuel control periods.

A terminal thus could stock reformulated gasoline that contains 2.7

weight percent oxygen and, therefore, that meets the oxygenated fuels

oxygen requirement, and deliver this gasoline into both OPRG and non-

OPRG markets. A terminal also could stock reformulated gasoline that

contains 2.0 weight percent oxygen for delivery into both OPRG and non-

OPRG markets, and splash blend additional oxygenate with those batches

of gasoline that are delivered into the oxygenated fuel area during the

oxygenated fuel control period.\4\

---------------------------------------------------------------------------

\4\Section 80.78(a)(6) prohibits adding oxygenate to

reformulated gasoline, except in the case of reformulated gasoline

that is designated as OPRG and is used in an oxygenated fuels

program control area during an oxygenated fuels program control

period.

---------------------------------------------------------------------------

This change, however, keeps intact the regulatory mechanism for

ensuring non-OPRG areas receive reformulated gasoline that contains at

least 2.0 weight percent oxygen. Any reformulated gasoline used outside

an oxygenated fuels control area during an oxygenated fuels control

period that contains less than 2.0 weight percent oxygen (and therefore

must be designated as non-OPRG) must be offset with other non-OPRG

reformulated gasoline that contains more than 2.0 weight percent

oxygen, such that the average oxygen content of the non-OPRG gasoline

is greater than or equal to the 2.1 weight percent average standard.

b. Designation of Complex Model Gasoline as Meeting NOX

Standard on Per-Gallon or Average Basis. Section 80.65(d)(2)(v)(B) is

revised in order to clarify that refiners and importers are required to

specify whether the NOX standard is being met on a per-gallon

basis or on average only for gasoline certified under the complex

model. There is no separate NOX standard under the simple model.

c. Designation of Reformulated Gasoline Blendstock for Downstream

Oxygenate Blending (RBOB). Section 80.65(d)(2)(vi) is being revised in

order to clarify that refiners and importers have three options

regarding the designation of reformulated gasoline blendstock for

downstream oxygenate blending (or RBOB). A refiner or importer has

three options for the types of RBOB that may be produced or imported:

as suitable for blending with any oxygenate, with ether only, or with a

refiner- or importer-specified oxygenate type and amount. The gasoline

designation requirements at Sec. 80.65(d)(2)(vi) as promulgated in the

final rule did not include the refiner- or importer-specified oxygenate

option for RBOB, making this provision inconsistent with the downstream

oxygenate provisions at Sec. 80.69(a) that specifies the RBOB options

and includes the refiner- or importer-specified option, and the product

transfer document requirements for RBOB at Sec. 80.77(i)(2) that

includes all three options. In order to correct this inconsistency,

today's revision adds the refiner- or importer-specified option to the

RBOB designation requirement.

d. Assignment of Batch Numbers. Section 80.65(d)(3) requires

refiners and importers to assign a unique number to each batch of

reformulated gasoline that is produced or imported, and this section

includes an example of such a batch number. The numbers contained in

the example are being modified to reflect the correct number of digits

for the portion of the batch number that states the EPA-assigned

facility registration number (five digits) and the sequential batch

number (six digits).

e. Computer-Controlled In-Line Blending Exemption. Section

80.65(e)(1) requires each refiner or importer to obtain test results

for each batch of reformulated gasoline prior to the gasoline leaving

the refinery or import facility. Refiners who produce reformulated

gasoline using a computer-controlled in-line blending process in which

the gasoline is blended directly to a pipeline, however, will not have

the test results for the ``batch'' prior to the release of at least

some, if not all, of the gasoline. To correct the incompatibility

between this requirement and the nature of the computer-controlled in-

line blending process, the Sec. 80.65(f)(4) exemption from independent

sampling and testing for refiners that produce reformulated gasoline

using computer-controlled in-line blending equipment is expanded to

include an exemption from the Sec. 80.65(e)(1) requirement that

refiners have test results for each batch prior to the gasoline leaving

the refinery.

f. Release of Reformulated Gasoline Certified Under Simple Model as

Not VOC-Controlled. Section 80.65(e)(1) is also revised in order to

clarify that reformulated gasoline certified under the simple model

that is not VOC-controlled may be released from the refinery or import

facility after the refiner or importer has test results for oxygen and

benzene only. The final rule requires refiners and importers to have

RVP test results in hand prior to release of all simple model-certified

reformulated gasoline, but the RVP standard applies under the simple

model only to VOC-controlled gasoline.

g. List of Reformulated Gasoline Properties to be Established by

Testing. Section 80.65(e)(2)(i) contains a list of reformulated

gasoline properties that must be established by testing. This list in

the final rule includes 50% distillation (T-50) and 90% distillation

(T-90) (the temperatures in degrees F at which 50% and 90% of a liquid

are evaporated). This list is being revised to add terms for E200 and

E300 (the percent of a liquid that are evaporated at 200 and 300

degrees F). E200 and E300 are correlated with T-50 and T-90, and may be

approximated from T-50 and T-90 measurements using conversion

equations. The most accurate way of determining the E200 and E-300 of

gasoline, however, is using ASTM-86-90, the distillation test method

specified at Sec. 80.46(d). As a result, the list of mandatory testing

is being expanded to include the E-200 and E-300 terms.

This expansion does not constitute a change from the mandatory

testing requirements for reformulated gasoline, because the E200 and

E300 terms are established as part of the ASTM-86-90 distillation test

that already is required. The correlation ranges for E-200 and E-300,

2.5 vol% and 3.5 vol% respectively, that are included in the

Sec. 80.65(e)(2)(i) table are the reproducibility figures for these

terms from the ASTM test, and are comparable to the five degrees F

correlation range provided for the T-50 and T-90 terms.

h. Reconciliation of Test Results. Section 80.65(e)(2)(ii)(A) is

being revised to clarify one option for reconciling reformulated

gasoline test results from a refiner's or importer's laboratory as

compared with test results from an independent laboratory. Under this

option, where the refiner's or importer's test result for any parameter

is not confirmed, the refiner or importer would use the result for that

parameter that is the ``worst case'' for the refiner or importer

(``best case'' for the environment). Under this option in the final

rule, the smaller of the two results for oxygenates is used for

calculating all standards except RVP.

This option is being revised to refer to oxygenates as a class

without separately naming each oxygenate. This change will keep the

option from becoming dated if any new oxygenates are used in

reformulated gasoline. The option also is being revised to eliminate

the larger oxygenate volume assumption in the case of RVP, because RVP

is a parameter that is measured directly. Any oxygenate effect on RVP

will be measured in the RVP test and would not be changed by a

calculation using the ``worst case'' oxygenate level.

i. Attest Engagement Requirement. Section 80.65(h) is being revised

to specify that the attest engagement requirement applies to oxygenate

blenders who meet the oxygen standard on average, and not to oxygenate

blenders who meet the oxygen standard on a per-gallon basis. This

change conforms Sec. 80.65(h) with Sec. 80.69(b)(4) which limits the

attest engagement requirement to oxygenate blenders who average.

3. Compliance Surveys (Sec. 80.68)

Section 80.68(c)(13) is being revised to clarify when VOC and

NOX emissions reduction calculations must be reported to EPA by

the surveyor under the gasoline quality survey requirements.\5\ VOC

emissions reduction calculations must be reported only for surveys

during June 1 through September 15 of each year, including simple model

surveys where a specified simple model VOC emissions reduction equation

is cross-referenced. NOX emission reduction calculations must be

reported for all complex model surveys before January 1, 2000, and

beginning on January 1, 2000 for surveys outside the period June 1

through September 15. NOX surveys are not required during June 1

through September 15 under Phase II (beginning on January 1, 2000)

because the Clean Air Act's restriction on NOX increases is

satisfied through the NOX reductions required for VOC-controlled

reformulated gasoline under Phase II. The rationale for this approach

for NOX surveys is discussed at 59 FR 7773 (February 16, 1994).

---------------------------------------------------------------------------

\5\This notice is also adding the paragraph number for this

provision, which was inadvertently omitted in the notice of final

rulemaking.

---------------------------------------------------------------------------

4. Covered Areas (Sec. 80.70)

a. Putnam and Orange Counties, New York. In order to correct an

oversight in the final rule, Sec. 80.70(d)(3) is being amended to

include Putnam and Orange Counties, New York, as part of the New York-

Northern New Jersey-Long Island-Connecticut ``covered area.'' These

counties are part of the New York City CMSA and are thus appropriately

part of the New York City reformulated gasoline covered area. See 57 FR

13444 (April 16, 1992). Putnam and Orange Counties are also included in

the New York City CMSA for purposes of the oxygenated fuels program

requirements.

b. Bullitt and Oldham Counties, Kentucky. Section 80.70(j) is being

amended to specify the applicable boundaries for the portions of

Bullitt and Oldham Counties, Kentucky, that are nonattainment areas.

c. Essex County, New York. The listing of Essex County, New York,

is also being amended to include a specific description of the

nonattainment area.

d. Smyth County, Virginia. Section 80.70(j) is also being amended

to delete Smyth County, Virginia, as a covered area for the

reformulated gasoline program. This area was expressly excluded from

coverage in the Governor's opt-in request and should not have been

included in the regulatory list of covered areas.

e. Richmond, Virginia. An erroneous reference to the City of

Richmond is also being corrected.

5. Reporting Requirements (Sec. 80.75)

a. Sulfur, NOX and T90 Averaging Reports

Section 80.41(h)(2) of the final rule requires that refiners and

importers subject to the simple model meet their 1990 baseline sulfur,

olefins and T90 levels on average for the entire year. However, it does

not include a requirement to report the average values of these

properties to EPA. It was the Agency's intention to have these values

reported and so an additional reporting requirement for sulfur, olefins

and T90 is being added at Sec. 80.75(b)(2). In addition, the RVP

averaging reporting requirements are being renumbered, under

Sec. 80.75(b)(1), so that the sulfur, olefin and T90 averaging

reporting requirements may be included under Sec. 80.75(b).

b. Oxygen Averaging Reports. Section 80.75(f)(2)(ii)(A) is being

revised to conform the categories of reformulated gasoline that must be

reported separately for oxygen averaging purposes to the categories

that are specified in the oxygen averaging section, at

Sec. 80.67(h)(1)(v)(A).

6. Registration Requirements (Sec. 80.76)

The Agency is making several revisions to the registration

requirements in Sec. 80.76(c) of the final rule. EPA is removing the

requirement to indicate where off-site records are kept from the

refiners', importers' and oxygenate blenders' registration information,

and instead requiring that information be submitted for each refinery,

oxygenate blending facility, and in the case of importers, operations

within each PADD. The registration requirement to indicate what type of

gasoline each refinery or oxygenate blending facility will produce

(reformulated, RBOB, conventional or blendstocks) has been removed

because the Agency believes that it is not necessary for registration

purposes. The Agency intended that importers would identify the

independent laboratories used to comply with the independent sampling

and testing requirements, but there was no specific regulatory text

requiring them to do so. This notice requires each importer to provide

that information to EPA for its operations in each PADD.

7. Product Transfer Documentation (Sec. 80.77)

a. Minimum and/or Maximum Standards. Section 80.77(g)(2), which

requires that per-gallon minimum/maximums must be included in product

transfer documents, is being revised to clarify the categories of

reformulated gasoline for which these values must be specified.

Paragraphs (g)(2)(iii), (g)(2)(iv)(A), and (g)(2)(iv)(B) of Sec. 80.77

are being revised to specify that the RVP maximum and the VOC emissions

performance minimum must be included only for VOC-controlled

reformulated gasoline, because these standards apply only to VOC-

controlled gasoline. Paragraphs (g)(2)(iv)(A) and (g)(2)(iv)(B) of

Sec. 80.77 also are being revised to specify that the NOX minimum

must be included only for reformulated gasoline certified using the

complex model. There is no separate NOX standard under the simple

model.

b. VOC-Controlled Gasoline That Contains Ethanol. Section

80.77(g)(3) is being added to require that product transfer documents

must identify any VOC-controlled reformulated gasoline that contains

any ethanol as an ethanol-containing reformulated gasoline, so that

downstream parties will have sufficient knowledge to avoid violation of

the prohibition, at Sec. 80.78(a)(8), against combining VOC-controlled

reformulated gasoline produced using ethanol with VOC-controlled

reformulated gasoline produced using any other oxygenate during the

period January 1 through September 15.

c. Complex Model Gasoline Certified Prior to 1998. Section 80.77(h)

is being revised to clarify that the product transfer document

requirements related to gasoline certified using the complex model

before January 1, 1998, apply to reformulated gasoline and RBOB. The

final rule makes reference to ``gasoline'' and RBOB without specifying

``reformulated gasoline,'' which could have caused confusion.

8. Controls and Prohibitions (Section 80.78)

Section 80.78(a)(1)(v)(B) and (a)(1)(v)(C), concerning reformulated

gasoline prohibited activities, are being revised to clarify that

gasoline subject to the per-gallon RVP maximum must have an RVP that is

less than or equal to this standard, and that gasoline subject to the

VOC and NOX emissions reduction minimum must have emissions

reductions that are greater than or equal to these standards. The final

rule describes these requirements only in terms of gasoline that is

``less than'' or ``greater than'' these standards, while gasoline that

equals these standards also is in compliance.

9. Enforcement Exemptions for California Gasoline (Sec. 80.81)

a. Definition of California Gasoline. The final rule was intended

to extend the California enforcement exemptions to gasoline produced at

refineries outside California that produce only California reformulated

gasoline and federal conventional gasoline. See 59 FR 7759, col. 3

(February 16, 1994). However, the regulatory definition of ``California

gasoline'' could be read to exclude non-California refineries producing

California reformulated gasoline from the enforcement exemptions.

Therefore, Sec. 80.81(a)(2)(iii) is clarified to exclude from this

definition only gasoline produced by non-California refineries that are

also producing reformulated gasoline for sale in covered areas outside

California.

b. Compliance Demonstration Submittal. Section 80.81(b)(4) requires

refiners, importers, and oxygenate blenders to submit the compliance

demonstration mandated by Sec. 80.81(b)(3) by May 31, 1996 ``along with

reports required to be submitted under Sec. 80.75(a)(1).'' The quoted

language is corrected to make clear that the compliance demonstration

should accompany the report for the first quarter of 1996 due to be

submitted on that date under Sec. 80.75(a)(1)(i).

c. Use of California Sampling and/or Testing Methodologies. Section

80.81(h) allows refiners and importers of California gasoline to use

sampling and test methods that are set forth in the California

reformulated gasoline regulations, in lieu of those methods prescribed

under Sec. 80.46 for the federal reformulated gasoline program. This

provision is being revised to clarify that these California-approved

sampling and test methods may be used only with California gasoline,

and that these methods may not be used to satisfy the sampling and

testing requirements for reformulated or conventional gasoline that

does not meet the definition of California gasoline.

B. Anti-Dumping Regulations (40 CFR Part 80, Subpart E)

1. Standards Applicable to Refiners and Importers (Sec. 80.101)

a. Compliance Baseline Formula. Section 80.101(f)(4) currently

provides that refiners and importers who use an individual 1990

baseline, and who increase their gasoline production volume above a

certain level, must calculate a compliance baseline for each averaging

period. EPA has combined the separate formulas for ``Veq'' and

``CBi'' in Sec. 80.101(f)(4) into a single, simpler formula.

In addition, EPA has specified that the denominator of the

compliance baseline equation includes the volume of California

gasoline. The final rule excluded the volume of California gasoline

produced in 1995 and thereafter from the compliance baseline equation,

but this exclusion rendered this equation invalid for refiners of

California gasoline because the numerator of this equation includes

gasoline produced for the California market in 1990. In order to

constitute a valid comparison of the volume of gasoline produced in

1990 versus the volume produced in 1995 and thereafter, both the

numerator and the denominator of the compliance baseline equation must

contain the volume of gasoline produced for the California market. This

approach for including California gasoline in the compliance baseline

equation is equivalent to the requirement that reformulated gasoline

produced for use in covered areas outside the State of California must

be included in the denominator of the compliance baseline equation.

The definitions of the factors ``DBi,'' ``CBi,'' and

``Bi,'' are clarified to bring them in conformance with the terms

used in the complex model calculations under Sec. 80.101(g).

b. Compliance Calculations. Section 80.101(g), entitled

``Compliance Calculations,'' is restructured to reverse the order of

the simple model calculation formula currently in Sec. 80.101(g)(1)(i)

and the formula for determining the average value for the parameter

being evaluated currently in Sec. 80.101(g)(1)(ii). This organizational

change is necessary because in order to perform the simple model

calculation for exhaust benzene emissions, the refiner or importer must

first determine the average value for certain parameters. In addition,

and for purposes of clarity, the heading ``Simple Model Calculations''

is inserted as a new paragraph (i) under Sec. 80.101(g)(1), and the

heading ``Complex Model Calculations'' is inserted as a new paragraph

(ii) under Sec. 80.101(g)(1). These changes restructure the compliance

calculations in a logical sequence that will make this section clearer

for compliance purposes.

The formula definition of ``SGi'' in Sec. 80.101(g)(1)(i)(A)

is amended to clarify that the specific gravity term only applies to

calculations involving sulfur.

The definitions of the factors ``BZ'' and ``AR'' under

Sec. 80.101(g)(1)(i)(B), pertaining to compliance calculations for

exhaust benzene emissions under the simple model, are clarified as to

how these are calculated by expanding them to read ``calculated per

paragraph (g)(1)(i)(A) of this section.''

Section 80.101(g)(1)(iii), (g)(1)(iv), and (g)(1)(v), pertaining to

complex model calculations, are consolidated and simplified as a new

Sec. 80.101(g)(1)(ii).

c. Sampling and Testing. Section 80.101(i)(1), which concerns

requirements for sampling and testing of conventional gasoline and

other products to which the compliance standards apply, is being

revised to delete the requirement that such sampling and testing be

conducted prior to the gasoline or product leaving the refinery. This

change is necessary because this requirement interferes with the

ability of refiners and importers to do composite sampling and in-line

blending.

2. Controls Applicable to Blendstocks (Sec. 80.102)

Since gasoline produced for and marketed in California is subject

to that State's stringent reformulated gasoline standards, it is not

necessary to include such gasoline, or applicable blendstocks used in

the production of such gasoline, in EPA's blendstock tracking

requirements beginning in 1995. Thus, the definitions of the volume of

gasoline, ``Vg'' and ``Vg,i,'' in the averaging period

blendstock-to-gasoline ratio in Sec. 80.102(d)(1)(i) and the running

cumulative compliance period blendstock-to-gasoline ratio in

Sec. 80.102(d)(2)(i), respectively, are amended by adding an explicit

exclusion for California gasoline. Similarly, an additional

subparagraph (v) has been added under Sec. 80.102(d)(3) to exclude

applicable blendstocks used to produce California gasoline in the

blendstock ratio calculations. These corrections are necessary to make

clear that the volumes of California gasoline, and applicable

blendstocks used to produce California gasoline are not part of the

ratio calculations.6

---------------------------------------------------------------------------

\6\The baseline blendstock-to-gasoline ratio does include both

gasoline and blendstock produced for the California market. This

baseline ratio nevertheless is a valid basis for comparison with the

compliance period blendstock-to-gasoline ratios (that exclude

California gasoline and blendstock) because the baseline ratio

represents a refiner's or importer's actual 1990 gasoline and

blendstock volumes.

---------------------------------------------------------------------------

3. Record Keeping Requirements (Sec. 80.104)

Under Sec. 80.104(a)(2)(ix), refiners and importers are required to

retain documents to demonstrate that blendstocks were transferred for

other than gasoline blending purposes as a basis for excluding such

blendstocks from tracking. There are various other bases specified in

Sec. 80.102(d)(3) for excluding blendstocks from tracking (e.g.,

exported, transferred as a feedstock) for which document support is not

required in the final rule. EPA believes that the document support

requirement should apply to all excluded blendstocks. Therefore,

Sec. 80.104(a)(2)(ix) is expanded to require the retention of documents

which demonstrate any of the specified bases for the exclusion of

blendstocks from blendstock tracking.

4. Reporting Requirements (Sec. 80.105)

Section 80.105(a)(2) in the final rule requires refiners and

importers to report the overall volume of applicable blendstock

produced or imported and transferred to others. This provision is being

clarified to require separate reporting for those applicable

blendstocks that are, and those that are not, excluded under

Sec. 80.102(d)(3).

C. Preamble

The preamble of the February 16, 1994, notice of final rulemaking

contains two errors in the sections discussing reformulated gasoline

and anti-dumping enforcement provisions. The following corrections

should be noted for these sections of the preamble:

On page 7759, in the second column, in the 12th and 13th

lines of the second full paragraph, ``(March 1, 1996, through February

29, 1996)'' should read ``(March 1, 1996, through February 28, 1998).''

On page 7800, in the second column, in the 4th and 5th

lines of the carryover paragraph, ``section 211(k)(c) of the Act''

should read ``section 211(k) and (c) of the Act.''

V. Summer/Winter Season

Section 80.91 of the Reformulated Gasoline Final Rule (59 FR 7716)

defines summer and winter data and sampling requirements as follows:

paragraph (d)(1)(i)(A) states that ``Data shall have been obtained for

at least three months of the refiner's or importer's production of

summer gasoline and at least three months of its production of winter

gasoline.'' The regulation goes on to define a summer month as ``any

month during which the refiner produced any gasoline which met the

federal summer gasoline volatility requirements. Winter shall be any

month which could not be considered a summer month.''

Several comments received by EPA since the rule was published

indicate that this present definition severely restricts or eliminates

the winter period in some cases, and inappropriately allocates winter

data to the summer calculation. Further, the current rule inadvertently

precludes the use of actual data in some calculations, even when such

per batch actual data is available.

Considering that the goal of the baseline is to most accurately

reflect actual 1990 gasoline composition, the rule will be modified to

more correctly allocate parameter data. Provision will be made for the

use of actual RVP data to define summer and winter gasoline. When such

Method 1, per batch actual data is not available, summer and winter

months will be redefined to better approximate the seasonal gasoline

fuel parameter and emission values.

This modification to the reformulated gasoline regulation will

satisfy several comments received since publication in the Federal

Register. EPA will redefine summer and winter months, for use when

Method 1 actual batch data is not available, as follows. A summer month

will be redefined as any month during which more than 50 percent (by

volume) of the gasoline produced by a refiner met the federal summer

gasoline volatility requirements. Winter shall remain defined as any

month which could not be considered a summer month. This will correct

situations in which small quantities of summer volatility gasoline are

produced early in the year. Originally, data from a month in which even

small quantities of summer volatility fuel was produced was considered

a summer month. With this modification, such months in which the

majority of fuel was winter volatility would be correctly allocated as

a winter data month.

Further, for any month for which both winter and summer gasoline

were produced, if actual RVP (Method 1) data are available, that data

will be accurately divided between the summer and winter calculations,

as appropriate. If such per batch data is not available, all data for

that month would be considered either summer or winter, based on the

production volumes.

When actual per batch data is used, for minimum data requirement

purposes, a month is considered equivalent to 4 weeks of seasonal data.

Therefore, 12 weeks of data sampling on summer volatility fuel

satisfies the minimum three months of data collection required. If a

refiner, such as the California refiners, still cannot provide three

months of winter data, they may petition for less than minimum data,

under the provisions outlined in Sec. 80.91(d)(1)(C).

VI. Baseline Determination Adjustments

A. Work-In-Progress (WIP) Adjustment

The final reformulated gasoline rule provided criteria for allowing

work-in-progress baseline adjustments (section 80.91(e)(5)). Work-in-

progress (WIP) refers to one or more major capital changes or

commitment(s) made by a refiner prior to or in 1990. A WIP adjustment

allows a refiner to modify its baseline volume and fuel parameter

values (which affect emissions) to account for the WIP. In order to

obtain a WIP modification, a refiner must petition EPA and EPA must

approve the petition.

As indicated in the preamble to the final rule, EPA believes that

the criteria for a WIP adjustment should be fairly stringent, as the

adjustment was intended only for those for whom a significant

investment had already been made in order to comply with another

government mandate. Additionally, a broad program of adjustments could

indicate that EPA exceeded its equitable discretion under Alabama

Power, as discussed in the Regulatory Impact Analysis (RIA)

accompanying the final rule.

In the final rule, EPA required that a refiner meet each of three

criteria in order to qualify for a WIP baseline adjustment. A fourth

criterion was also required to minimize environmental harm due to WIP

adjustments, via simple model parameter caps and emissions caps for

both the simple and complex models.

Since promulgation of the final rule, EPA has re-evaluated this

fourth criterion of the WIP provisions. EPA intended to allow WIP

adjustments to relieve severe hardship where the adjustment did not

allow emissions to increase significantly relative to the Clean Air Act

baseline. The methods EPA chose to constrain WIP adjustments had

inconsistent impacts depending on simple model or complex model use.

The modification proposed in this Direct Final Rulemaking would ensure

that the fuel parameter constraints on WIP adjustments under the simple

model would be more consistent with the emissions performance

constraints under the complex model. Specifically, WIP adjustments will

be permitted to exceed the simple model parameter caps, but only to the

extent the baseline still complies with the complex model emission

caps. Without this change, a WIP adjustment would be more constrained

in 1995 than would be the case in 1998, possibly requiring a refiner to

make processing changes in 1995 that would not be necessary in 1998.

While the emissions and parameter caps were set to minimize

environmental harm due to the WIP (realizing that a WIP adjustment will

actually increase baseline emissions relative to 1990) EPA believes

this modification will increase compliance flexibility while

maintaining the environmental goals of the program.

With regard to the effect of WIP adjustments on reformulated

gasoline compliance, the simple model caps stated in the regulations

apply to reformulated gasoline as well as to conventional gasoline. As

stated in the final reformulated gasoline rule, when the simple model

is used for compliance, the WIP-adjusted annual average baseline values

for sulfur, olefins and T90 are the actual WIP-adjusted values of those

parameters, provided they do not exceed the unadjusted baseline values

or the simple model parameter caps given in section 80.91(e)(viii)(B).

However, baseline parameters may now exceed these caps if the WIP

adjusted baseline does not result in exhaust emissions of VOC, toxics,

and NOX which exceed the emission levels specified in

Sec. 80.91(e)(5)(vii)(B), namely 105% of the annual average statutory

value.

Based on questions received since promulgation of the final rule,

two changes in the language of the Work-In-Progress (WIP) provisions

are made to section 80.91(e)(5) to further clarify certain aspects of

the WIP adjustment not explicitly addressed in the final rule. The

regulatory language dealing with the emissions and parameter caps is

unclear as to whether the caps apply to the actual values or to the

change in emissions or parameter values. In addition, there appeared to

be some confusion over what was meant by ``adjusted'' baseline.

Paragraphs 80.91(e)(5)(vi) and 80.91(e)(5)(vii) have been modified to

clarify agency intent.

B. JP-4 Adjustment

In the final rule for reformulated gasoline, EPA allowed

adjustments for specific extenuating circumstances. Baseline fuel

parameters, volumes and emissions of a refinery can be adjusted due to

the occurrence of specific extraordinary or extenuating circumstances

which caused its 1990 gasoline production to be different than it would

have been had the circumstance not occurred. However, the Agency's

objective is not to establish a broad adjustment program. Allowable

circumstances include unforeseen, unplanned downtime of at least 30

days of one or more gasoline blendstock producing units due to

equipment failure or natural cause beyond the control of the refiner,

or for non-annual maintenance (turnaround) downtime which occurred in

1990. These types of adjustments reflect instances where the 1990

baseline truly deviated from the otherwise expected baseline (historic

and future), had the incident not occurred. EPA also expects that

allowed adjustments will have minimal environmental impact while

relieving a large regulatory burden.

In keeping with that policy objective, EPA promulgated provisions

to permit baseline adjustments for certain refiners which produced JP-4

jet fuel in 1990, upon petition and approval. As discussed in the RIA

for the reformulated gasoline final rule, EPA believes that it has

authority to allow such adjustments due to the discretion afforded EPA

by Congress. Additionally, Alabama Power v. Costle\7\ gives EPA ``case-

by-case discretion'' to grant variances or even dispensation from a

rule where imposition of the requirement would result in minimal

environmental benefit but would extremely burden a regulated party.

Today's action changes two portions of the provisions for JP-4

adjustment: the multiple refinery requirement and the JP-4 to gasoline

production ratio. In the final reformulated gasoline rule, JP-4

baseline adjustments are generally limited to single-refinery refiners

because such refiners have no way to aggregate baselines\8\ so as to

reduce the combined burden of a JP-4 phaseout and the anti-dumping

requirements on their operations. In some cases, if no relief were

granted in this area, the viability of a refinery could be at stake.

---------------------------------------------------------------------------

\7\Alabama Power Company v. Costle, 636 F.2d 323.357 (D.C. Cir

1979).

\8\A refiner with more than one refinery may determine an

aggregate baseline, i.e., a conventional gasoline compliance

baseline, which consists of the volume-weighted emissions or fuel

parameters, as applicable, of two or more refineries.

---------------------------------------------------------------------------

1. Multiple-Refinery Requirement

The final reformulated gasoline rule also promulgated baseline

adjustment provisions for multi-refinery refiners where each refinery

produced JP-4 in 1990. This adjustment provision assumes that multi-

refinery refiners are predominantly in the business of fuel production

and thus possess the means to offset the refinery's JP-4 volume and

associated fuel parameter increases with fuels volumes at other

locations. The adjustment also assumes that refiners with multiple-

refineries have process units offering various processing options which

support an average (or typical) fuel production operation.

Today's action modifies the JP-4 baseline adjustment multiple

refinery requirement. Every refinery of a multiple-refinery is no

longer required to have produced JP-4. Such multi-refinery refiners are

allowed to average their 1990 JP-4 production to 1990 gasoline

production ratio across all of their refineries. However, all

refineries of a multi-refiner must still meet the other two criteria

specified for the JP-4 baseline adjustment in the reformulated gasoline

final regulations. Specifically, only refiners that will not produce

reformulated gasoline and that meet the 1990 JP-4 to gasoline

production ratio are allowed to make a JP-4 baseline adjustment. The

Agency is amending the requirement stipulating that each refinery of

multiple-refineries produced JP-4 in 1990 because, essentially, the

same environmental impact and economic hardship is expected regardless

of whether a single refinery or all refineries of a multiple-refinery

produced JP-4.

2. JP-4 Baseline Adjustment Ratio

The final reformulated gasoline rule promulgated baseline

adjustment provisions which stipulate that 1990 JP-4 production must

have constituted a specified portion of a refiner's 1990 fuel

production in order for a significant enough burden to exist to justify

permiting baseline adjustments. Additionally, a baseline is neither

unrepresentative of 1990, nor incalculable, because of post-1990

changes in crude availability, fuel specifications, fuel markets, etc.

EPA is permitting baseline adjustments for certain refiners which

produced JP-4 jet fuel in 1990 because, as discussed in the Regulatory

Impact Analysis for the reformulated gasoline final rule, EPA believes

that it has a limited authority to allow such adjustments in certain

extreme cases. The final reformulated gasoline regulations require that

the ratio of the refinery's 1990 JP-4 production to its 1990 gasoline

production equal or exceed 0.5.

Upon further evaluation of the baseline adjustment provisions, the

Agency has concluded that the JP-4 to gasoline production ratio, as

promulgated in the RFG final rule (0.5), is unnecessarily restrictive.

Based on responses from affected refiners, under the December 1993

criteria only two refiners in the United States would likely qualify

for the adjustment. In other words, very few refiners under contract to

produce JP-4 will have the relief intended by the provision. Today's

action alters the refiner's 1990 JP-4 production to 1990 gasoline

production ratio from 0.5 to 0.2. EPA believes this revised ratio

indicates that a significant amount of the refinery feedstock used for

JP-4 production would have to be converted in order to produce

gasoline. Altering the JP-4 to gasoline production ratio will allow

additional small refiners to qualify for the adjustment and not be

forced to operate from a drastically less competitive position or be

driven out of business. Based on feedback EPA has received, changing

the ratio from 0.5 to 0.2 raises the number of affected refiners from 2

to 6. If large refineries had such a ratio also, the regulatory burden

would be just as great. Also, it would be more difficult to argue de

minimis environmental impact for large refiners. In reality none do,

such that the ratio is only an issue for small refiners.

Several different ratio options were suggested by commenters during

the reformulated gasoline rulemaking as to what minimum portion of a

refinery's 1990 production JP-4 should have constituted for the

circumstance to be extenuating, as follows: JP-4 production to total

refinery production, 20%; JP-4 production to gasoline production, 5%;

JP-4 production to gasoline production, 75%; and, JP-4 production to

gasoline plus JP-4 production, 10%. EPA's 0.2 JP-4 to gasoline ratio is

in line with some of the commenters suggestions.

At less than a 1990 JP-4 to gasoline production ratio of 0.2, EPA

believes the impact on benzene and aromatics may make it more costly

for refiners to comply with the regulations, though it is unlikely that

such refiners will be forced out of business or experience some similar

extreme burden. For example, it is expected that no economic hardship

will occur at a PJP-4 to gasoline ratio of 0.1. Thus, the Agency

discretion recognized in Alabama\9\ to grant variances or even

dispensation from a rule where imposition of the requirement would

result in minimal environmental benefit but would extremely burden a

regulated party, would not apply.

---------------------------------------------------------------------------

\9\Alabama Power Company vs. Costle, 636 F.2d 323.357 (D.C. Cir

1979).

---------------------------------------------------------------------------

While the adjusted emission baselines of those approved for both

amended PJP-4 adjustments are likely to be higher than their actual

1990 baselines (primarily due to increased benzene and aromatics) EPA

expects minimal negative environmental affects. First, the number of

refineries meeting the criteria is still expected to be quite small.

Second, the total production of all such refineries is also small.

Thus, not very much additional gasoline will be affected by any

baseline adjustments for JP-4 than if the criteria were less stringent

or adjustments were not allowed at all. The modification of the multi-

refinery requirement and the reduction of the ratio requirement to 0.2

both provide necessary flexibility to refiners and allow additional

refiners (that are simultaneously burdened by the JP-4 phaseout and the

anti-dumping provisions) regulatory relief.

As stated in the Regulatory Impact Analysis (RIA) for the

reformulated gasoline final rule, JP-4 baseline adjustments will be

allowed only for those refiners which will not produce reformulated

gasoline, which is the most critical factor in assessing environmental

impact. While the anti-dumping requirements, in general, apply to all

conventional gasoline whether or not reformulated gasoline is also

produced, in these specific cases no dumping will occur due to

reformulated gasoline production. The intent of Congress with regard to

the anti-dumping program will be met while not unduly burdening those

that meet the specified criteria. Since both the unadjusted and

adjusted baselines must be determined, if a refiner granted such an

adjustment subsequently produces reformulated gasoline, its

conventional gasoline compliance would immediately be subject to its

original unadjusted baseline.

VII. Public Participation and Effective Date

The Agency is publishing this action as a direct final rule because

it views the changes contained within as non-controversial and

anticipates no adverse or critical comments. This action will be

effective September 19, 1994 unless the Agency receives notice by

August 19, 1994 that adverse or critical comments will be submitted, or

that a party requests the opportunity to submit such oral comments

pursuant to section 307(d)(5) of the Clean Air Act, as amended. If such

notice is received regarding a change to a particular regulatory

provision, the provision in question will be withdrawn before the

effective date by publishing a subsequent Federal Register notice

withdrawing the direct final rule for the identified provision.

Parties that submit adverse or critical comments, notify EPA of

intentions to submit such comments, or request a public hearing within

the allotted time period should identify the specific provision(s) at

issue by specifying the preamble section numbers that discuss the

provision(s). For instance, comments on the change to the oxygen valid

range limits should include a reference to Section (Item Number) II.A.1

of the preamble. Comments on any of the insubstantial errors in Section

I of the preamble should include a reference to the identification code

associated with each change in that section. For instance, adverse

comments on the paragraph reference change in Sec. 80.41(h)(2)(iii)

should include a reference to Item Number I-A.

The EPA will withdraw from final action only those specific

provision(s) identified by the commenters or persons who notify EPA of

their intent to comment or who request an opportunity to submit oral

comments. All provisions in today's action that are not commented upon

or for which EPA does not receive notice as described above will become

effective September 19, 1994.

VIII. Statutory Authority

The statutory authority for the actions finalized today is granted

to EPA by Sections 114, 211 (c) and (k) and 301 of the Clean Air Act,

as amended; 42 U.S.C. 7414, 7545 (c) and (k), and 7601.

IX. Administrative Designation

Pursuant to Executive Order 12866, (58 FR 51735 (October 4, 1993))

the Agency must determine whether the regulatory action is

``significant'' and therefore subject to OMB review and the

requirements of the Executive Order. The Order defines ``significant

regulatory action'' as one that is likely to result in a rule that may:

(1) Have an annual effect on the economy of $100 million or more or

adversely affect in a material way the economy, a sector of the

economy, productivity, competition, jobs, the environment, public

health or safety, or State, local, or tribal governments or

communities;

(2) Create a serious inconsistency or otherwise interfere with an

action taken or planned by another agency;

(3) Materially alter the budgetary impact of entitlements, grants,

user fees, or loan programs or the rights and obligations of recipients

thereof; or

(4) Raise novel legal or policy issues arising out of legal

mandates, the President's priorities, or the principles set forth in

the Executive Order.

Pursuant to the terms of Executive Order 12866, it has been

determined that this direct rule is not a ``significant regulatory

action''.

X. Regulatory Flexibility Analysis

The Regulatory Flexibility Act (RFA) of 1980 requires federal

agencies to examine the effects of the renewable oxygenate regulation

and to identify significant adverse impacts of federal regulations on a

substantial number of small entities. Because the RFA does not provide

concrete definitions of ``small entity,'' ``significant impact,'' or

``substantial number,'' EPA has established guidelines setting the

standards to be used in evaluating impacts on small businesses.\10\ For

purposes of the renewable oxygenate requirement for reformulated

gasoline, a small entity is any business which is independently owned

and operated and not dominant in its field as defined by SBA

regulations under section 3 of the Small Business Act.

---------------------------------------------------------------------------

\10\U.S. Environmental Protection Agency, Memorandum to

Assistant Administrators, ``Compliance with the Regulatory

Flexibility Act,'' EPA Office of Policy, Planning, and Evaluation,

1984. In addition, U.S. Environmental Protection Agency, Memorandum

to Assistant Administrators, ``Agency's Revised Guidelines for

Implementing the Regulatory Flexibility Act,'' Office of Policy,

Planning, and Evaluation, 1992.

---------------------------------------------------------------------------

The Agency believes that the interpretations, clarifications, and

corrections published in today's final action are unlikely to have a

significant economic impact on a substantial number of small entities.

In fact, the revisions contained herein are designed to promote

successful implementation of the reformulated gasoline program for all

regulated parties.

List of Subjects in 40 CFR Part 80

Environmental protection, Air pollution control, Fuel additives,

Gasoline, and Motor vehicle pollution.

Dated: June 27, 1994.

Carol M. Browner,

Administrator.

40 CFR part 80 is amended as follows:

PART 80--REGULATION OF FUELS AND FUEL ADDITIVES

1. The authority citation for part 80 continues to read as follows:

Authority: Sections 114, 211 and 301(a) of the Clean Air Act as

amended (42 U.S.C. 7414, 7545 and 7601(a)).

2. In Sec. 80.41, paragraphs (h)(2)(iii), (j)(2), and the

introductory text to paragraph (m)(1) are revised to read as follows:

Sec. 80.41 Standards and requirements for compliance.

* * * * *

(h) * * *

(2) * * *

(iii) In the case of a refiner that operates more than one

refinery, the standards specified under this paragraph (h)(2) shall be

met using the refinery grouping selected by the refiner under

Sec. 80.101(h).

* * * * *

(j) * * *

(2) The aromatics value which, together with the values for

benzene, RVP, and oxygen determined under paragraph (j)(1) of this

section, meets the Simple Model toxics requirement specified in

paragraphs (a) or (b) of this section, as applicable;

* * * * *

(m) * * *

(1) On each occasion that a covered area fails a NOX emissions

reduction survey conducted pursuant to Sec. 80.68, except in the case

of Phase II complex model NOX standards for VOC-controlled

gasoline, the NOX emissions reduction requirements for that

covered area beginning in the year following the failure shall be

adjusted to be more stringent as follows:

* * * * *

3. Section 80.42 is amended by revising definitions ``EXHVOCS1''

through ``REFVOCS2'' in paragraph (a) introductory text; by adding a

concluding sentence to paragraphs (b)(1)(ii), (b)(2)(ii), and

(b)(3)(ii), and adding paragraph (b)(4); and by revising the table in

paragraph (c)(1) to read as follows:

Sec. 80.42 Simple emissions model.

(a) * * *

EXHVOCS1=Exhaust nonmethane, nonethane VOC emissions from the fuel in

question, in grams per mile, for VOC control region 1 during the summer

period.

EXHVOCS2=Exhaust nonmethane, nonethane VOC emissions from the fuel in

question, in grams per mile, for VOC control region 2 during the summer

period.

EXHVOCW=Exhaust nonmethane, nonethane VOC emissions from the fuel in

question, in grams per mile, during the winter period.

EVPVOCS1=Evaporative nonmethane, nonethane VOC emissions from the fuel

in question, in grams per mile, for VOC control region 1 during the

summer period.

EVPVOCS2=Evaporative nonmethane, nonethane VOC emissions from the fuel

in question, in grams per mile, for VOC control region 2 during the

summer period.

RLVOCS1=Running loss nonmethane, nonethane VOC emissions from the fuel

in question, in grams per mile, for VOC control region 1 during the

summer period.

RLVOCS2=Running loss nonmethane, nonethane VOC emissions from the fuel

in question, in grams per mile, for VOC control region 2 during the

summer period.

REFVOCS1=Refueling nonmethane, nonethane VOC emissions from the fuel in

question, in grams per mile, for VOC control region 1 during the summer

period.

REFVOCS2=Refueling nonmethane, nonethane VOC emissions from the fuel in

question, in grams per mile, for VOC control region 2 during the summer

period.

* * * * *

(b) * * *

(1) * * *

(ii) * * * Oxygen in the form of methanol or non-alcohol, non-

ether oxygenates shall not be evaluated with the Simple Model, but

instead must be evaluated through vehicle testing under the Complex

Model per Sec. 80.48.

* * * * *

(2) * * *

(ii) * * * Oxygen in the form of methanol or non-alcohol, non-

ether oxygenates shall not be evaluated with the Simple Model, but

instead must be evaluated through vehicle testing under the Complex

Model per Sec. 80.48.

* * * * *

(3) * * *

(ii) * * * Oxygen in the form of methanol or non-alcohol, non-

ether oxygenates shall not be evaluated with the Simple Model, but

instead must be evaluated through vehicle testing under the Complex

Model per Sec. 80.48.

(4) If the fuel aromatics content of the fuel in question is less

than 10 volume percent, then an FAROM value of 10 volume percent shall

be used when evaluating the toxics emissions equations given in

paragraphs (b)(1), (b)(2), and (b)(3) of this section.

(c) * * *

(1) * * *

------------------------------------------------------------------------

Fuel parameter Range

------------------------------------------------------------------------

Benzene content....................................... 0-4.9 vol %.

RVP................................................... 6.4-9.0 psi.

Oxygen content........................................ 0-4.0 wt %.

Aromatics content..................................... 0-55 vol %.

------------------------------------------------------------------------

* * * * *

4. Section 80.45 is amended by:

a. revising Table 3 in paragraph (b)(3);

b. revising Table 6 in (c)(1)(iv)(A);

c. revising the first sentence and the equations for Phase I and II

in paragraph (c)(1)(iv)(B), and revising

(c)(1)(iv)(C)(5);

d. revising the second sentence in paragraph (c)(1)(iv)(C)(9);

e. revising paragraphs (c)(1)(iv)(C)(11) and (12);

f. revising the first sentence in paragraph (c)(1)(iv)(C)(13) and

revising paragraph (c)(1)(iv)(C)(14);

g. revising paragraph (c)(1)(iv)(D)(5), revising the second

sentence in paragraph (c)(1)(iv)(D)(9), and revising paragraphs

(c)(1)(iv)(D)(11) and (12);

h. revising the first sentence in paragraph (c)(1)(iv)(D)(13), and

revising paragraph (c)(1)(iv)(D)(14);

i. revising the equation for VOCRL1 in paragraph (c)(3)(i);

j. revising the equations for VOCHS1 and VOCRF1 in paragraph

(c)(3)(ii);

k. revising the equation for VOCRL2 in paragraph (c)(4)(ii), and

revising paragraph (c)(8)(ii);

l. revising paragraph (d)(1)(iv)(A) and Table 7, revising the first

sentence and the equations for Phase I and II in paragraph

(d)(1)(iv)(B), revising paragraph (d)(1)(iv)(C)(5), and revising the

second sentence in paragraph (d)(1)(iv)(C)(9);

m. revising the Phase I equation for ``Toxics 2%'' and the Phase II

equation for ``Toxics 1%'' in paragraph (e)(1)(ii);

n. revising paragraph (e)(3) introductory text and removing

paragraphs (e)(3)(i) and (e)(3)(ii);

o. revising the last sentence in paragraph (e)(4)(iii);

p. adding a concluding sentence to paragraphs (e)(5)(iv) and

(e)(6)(iv);

q. revising equations ``HSBZ1'' through ``RFBZ1'' in paragraph

(e)(9) and equations ``HSBZ2'' through ``RFBZ2'' in paragraph (e)(10);

and

r. revising paragraph (f)(1).

The additions and revisions are set out to read as follows:

Sec. 80.45 Complex emissions model.

* * * * *

(b) * * *

(3) * * *

Table 3.--Baseline Exhaust Emissions

------------------------------------------------------------------------

Phase I Phase II

---------------------------------------------

Exhaust pollutant Summer Winter

(mg/mile) (mg/mile) Summer (mg/ Winter (mg/

mile) mile)

------------------------------------------------------------------------

VOC....................... 446.0 660.0 907.0 1341.0

NOx....................... 660.0 750.0 1340.0 1540.0

Benzene................... 26.10 37.57 53.54 77.62

Acetaldehyde.............. 2.19 3.57 4.44 7.25

Formaldehyde.............. 4.85 7.73 9.70 15.34

1,3-Butadiene............. 4.31 7.27 9.38 15.84

POM....................... 1.50 2.21 3.04 4.50

------------------------------------------------------------------------

* * * * *

(c) * * *

(1) * * *

(iv) * * *

(A) * * *

Table 6.--Allowable Ranges of E200, E300, and ARO for the Exhaust VOC

Equations in Paragraphs (c)(1)(i) and (ii) of This Section

------------------------------------------------------------------------

Phase I Phase II

-----------------------------------------------

Fuel parameter Lower Lower

limit Higher limit limit Higher limit

------------------------------------------------------------------------

E200.................... 33.00 65.83........ 33.00 65.52

E300.................... 72.00 Variable\1\.. 72.00 Variable\2\

ARO..................... 18.00 46.00........ 18.00 46.00

------------------------------------------------------------------------

\1\Higher E300 limit=lower of 94.0 or 80.32+[0.390 x (ARO)].

\2\Higher E300 limit=lower of 94.0 or 79.75+[0.385 x (ARO)].

(B) For fuels with E200, E300, and/or ARO levels outside the ranges

defined in Table 6, YVOC(t) shall be defined as: For Phase I:

YVOC(t)=100% x 0.52 x [exp(v1(et))/exp(v1(b))-1]

+100% x 0.48 x [exp(v2(et))/exp(v2(b))-1]

+{100%-0.52 x [exp(v1(et))/exp(v1(b))]

x {[(0.0002144 x E200et)- 0.014470] x E200}

+{[(0.0008174 x E300et)-0.068624

-(0.000348 x AROet)] x E300}

+{[(-0.000348 x E300et)+ 0.0323712] x ARO}]}

+{100% x 0.48 x [exp(v2(et))/exp(v2(b))]

x [{[(0.000212 x E200et)- 0.01350] x E200}

+{[(0.000816 x E300et)-0.06233

-(0.00029 x AROet)] x E300}

+{[(-0.00029 x E300et)+ 0.028204] x ARO}]}

For Phase II:

Y VOC(t)=100% x 0.444 x [exp(v1(et))/exp(v1(b))-1]

+100% x 0.556 x [exp(v2(et))/exp(v2(b))-1]

+{100% x 0.444 x [exp(v1(et))/exp(v1(b))]

x [{[(0.0002144 x E200et)- 0.014470] x E200}

+{[(0.0008174 x E300et)-0.068624

-(0.000348 x AROet)] x E300}

+{[(-0.000348 x E300et)+ 0.0323712] x ARO}]}

+{100% x 0.556 x [exp(v2(et))/exp(v2(b))]

x [{[(0.000212 x E200et)- 0.01350]] x E200}

+{[(0.000816 x E300et)-0.06233

-(0.00029 x AROet)] x E300}

+{[(-0.00029 x E300et)+ 0.028204] x ARO}]}

* * * * *

(C) * * *

(5) If the E300 level of the target fuel is greater than 95 volume

percent, then the E300 value of the target fuel shall be set equal to

95 volume percent for the purposes of calculating VOC emissions with

the Phase I equation given in paragraph (c)(1)(iv)(B) of this section.

* * * * *

(9) * * * If the aromatics level of the target fuel is less than 10

volume percent, then ARO shall be set equal to -8 volume

percent.

* * * * *

(11) If neither of the conditions established in paragraphs

(c)(1)(iv)(C)(9) and (10) of this section are met, then ARO

shall be set equal to zero.

(12) If the E300 level of the target fuel is less than 72 percent,

then E300 shall be set equal to (E300-72 percent).

(13) If the E300 level of the target fuel is greater than 94 volume

percent and [80.32+(0.390xARO)] also is greater than 94, then

E300 shall be set equal to (E300-94 volume percent).* * *

(14) If neither of the conditions established in paragraphs

(c)(1)(iv)(C)(12) and (13) of this section are met, then E300

shall be set equal to zero.

(D) * * *

(5) If the E300 level of the target fuel is greater than 95 volume

percent, then the E300 value of the target fuel shall be set equal to

95 volume percent for the purposes of calculating VOC emissions with

the Phase II equation given in paragraph (c)(1)(iv)(B) of this section.

* * * * *

(9) * * * If the aromatics level of the target fuel is less than 10

volume percent, then ARO shall be set equal to -8 volume

percent.

* * * * *

(11) If neither of the conditions established in paragraphs

(c)(1)(iv)(D)(9) and (10) of this section are met, then ARO

shall be set equal to zero.

(12) If the E300 level of the target fuel is less than 72 percent,

then E300 shall be set equal to (E300) x 72 percent).

(13) If the E300 level of the target fuel is greater than 94 volume

percent and [80.32+(0.390 x ARO)] also is greater than 94, then

E300 shall be set equal to (E300 -94 volume percent). * * *

(14) If neither of the conditions established in paragraphs

(c)(1)(iv)(D)(12) and (13) of this section are met, then E300

shall be set equal to zero.

* * * * *

(3) * * *

(i) * * *

VOCRL1=[0.00279 x (RVP2)]+[0.1096 x RVP] -0.7340

* * * * *

(ii) * * *

VOCHS1=[0.006654 x (RVP2)] -[0.08094 x RVP]+0.2846

* * * * *

VOCRF1=[0.004767 x RVP]+0.011859

(4) * * *

(ii) * * *

VOCRL2=[0.016169 x (RVP2)] -[0.17206 x RVP]+0.56724

* * * * *

(8) * * *

(ii) The total winter VOC emissions performance of the target fuel

in percentage terms from baseline levels shall be given by the

following equation during Phase II:

VOCW%=[100% x (VOC -1.341 g/mi)] / (1.341 g/mi)

(d) * * *

(1) * * *

(iv) * * *

(A) The equations in paragraphs (d)(1)(i) and (ii) of this section

shall be used within the allowable range of SUL, OLE, and ARO for the

appropriate Phase, as defined in the following Table 7:

Table 7.--Allowable Ranges of SUL, OLE, and ARO for the NOX Equations in

Paragraphs/(d)(1)(i) and (ii) of This Section

------------------------------------------------------------------------

Phase I Phase II

-------------------------------------

Fuel parameter High High

Low end end Low end end

------------------------------------------------------------------------

SUL............................... 10.0 450.0 10.0 450.0

OLE............................... 3.77 19.0 3.77 19.0

ARO............................... 18.0 36.2 18.0 36.8

------------------------------------------------------------------------

(B) For fuels with SUL, OLE, and/or ARO levels outside the ranges

defined in Table 7 of paragraph (d)(2)(iv)(A) of this section,

Ynox(t) shall be defined as:

For Phase I:

YNOX (t)=100% x 0.82 x [exp (n1(et))/exp (n1(b)) -1]

+100% x 0.18 x [exp(n2(et))/exp(n2(b)) -1]

+{100% x 0.82 x [exp(n1(et))/exp(n1(b))]

x [{[(0.00000133 x SULet)+0.000692] x SUL}

+{[(-0.000238 x AROet)+0.0083632] x ARO}

+{[(0.000733 x OLEet) -0.002774] x OLE}]}

+{100% x 0.18 x [exp(n2{et))/exp(n2(b))]

x [{0.000252 x } +

+{[(-0.0001599 x ARO)+0.007097] x

ARO}

+{[(0.000732 x OLEet) -0.00276] x OLE}]}

For Phase II:

Ynox(t)=100% x 0.738 x [exp(n1(et))/exp(n1(b)) -1]

+100% x 0.262 x [exp(n2(et))/exp(n2(b)) -1]

+{100% x 0.738 x [exp(n1(et))/exp(n1(b))]

x [{[(-0.00000133 x SULet)+0.000692] x SUL}

+{[(-0.000238 x AROet)+0.0083632] x ARO}

+{[(0.000733 x OLEet) -0.002774] x OLE}]}

+{100% x 0.262 x [exp(n2(et))/exp(n2(b))]

x [{0.000252 x SUL}+

+{[(-0.0001599 x AROet)+0.007097] x ARO}

+{[(0.000732 x OLEet) -0.00276] x OLE}]}

* * * * *

(C) * * *

(5) If the E300 level of the target fuel is greater than 95 volume

percent, then the E300 value of the target fuel shall be set equal to

95 volume percent for the purposes of calculating NOX emissions

with the equations given in paragraph (d)(1)(iv)(B) of this section.

* * * * *

(9) * * * If the aromatics level of the target fuel is less than 10

volume percent, then ARO shall be set equal to -8 volume

percent.

* * * * *

(e) * * *

(1) * * *

(ii) * * *

TOXICS2% = [100% x (TOXICS2 - 47.58 mg/mi)] / (47.58 mg/mi)

* * * * *

TOXICS1% = [100% x (TOXICS1 - 86.34 mg/mi)] / (86.34 mg/mi)

* * * * *

(3) The year-round toxics performance in VOC Control Regions 1 and

2 shall be derived from volume-weighted performances of individual

batches of fuel as described in Sec. 80.67(g).

(4) * * *

(iii) * * * If the E300 value of the target fuel is greater than 95

volume percent, then an E300 value of 95 volume percent shall be used

when evaluating the equations in paragraphs (e)(4)(i) and (ii) of this

section.

(5) * * *

(iv) * * * Oxygen in the form of methanol or non-alcohol, non-ether

oxygenates shall not be evaluated with the Complex Model, but instead

must be evaluated through vehicle testing per Sec. 80.48.

(6) * * *

(iv) * * * Oxygen in the form of methanol or non-alcohol, non-ether

oxygenates shall not be evaluated with the Complex Model, but instead

must be evaluated through vehicle testing per Sec. 80.48.

* * * * *

(9) * * *

HSBZ1 = 10 x BEN x VOCHS1 x [(-0.0342 x MTB) + (-0.080274 x

RVP) + 1.4448]

DIBZ1 = 10 x BEN x VOCD11 x [(-0.0290 x MTB) + (-0.080274 x

RVP) + 1.3758]

RLBZ1 = 10 x BEN x VOCRL1 x [(-0.0342 x MTB) + (-0.080274 x

RVP) + 1.4448]

RFBZ1 = 10 x BEN x VOCRF1 x [(-0.0296 x MTB) + (-0.081507 x

RVP) + 1.3972

* * * * *

(10) * * *

HSBZ2 = 10 x BEN x VOCHS2 x [(-0.0342 x MTB) + (-0.080274 x

RVP) + 1.4448]

DIBZ2 = 10 x BEN x VOCD12 x [(-0.0290 x MTB) + (-0.080274 x

RVP) + 1.3758]

RLBZ2 = 10 x BEN x VOCRL2 x [(-0.0342 x MTB) + (-0.080274 x

RVP) + 1.4448]

RFBZ2 = 10 x BEN x VOCRF2 x [(-0.0296 x MTB) + (-0.081507 x

RVP) + 1.3972

* * * * *

(f) * * *

(1) The equations described in paragraphs (c), (d), and (e) of this

section shall be valid only for fuels with fuel properties that fall in

the following ranges for reformulated gasolines and conventional

gasolines:

(i) For reformulated gasolines:

------------------------------------------------------------------------

Fuel property Acceptable range

------------------------------------------------------------------------

Oxygen.......... 0.0-4.0 weight percent.

Sulfur.......... 0.0-500.0 parts per million by weight.

RVP............. 6.4-10.0 pounds per square inch.

E200............ 30.0-70.0 percent evaporated.

E300............ 70.0-100.0 percent evaporated.

Aromatics....... 0.0-50.0 volume percent.

Olefins......... 0.0-25.0 volume percent.

Benzene......... 0.0-2.0 volume percent.

------------------------------------------------------------------------

For conventional gasoline:

------------------------------------------------------------------------

Fuel property Acceptable range

------------------------------------------------------------------------

Oxygen.......... 0.0-4.0 weight percent.

Sulfur.......... 0.0-1000.0 parts per million by weight.

RVP............. 6.4-11.0 pounds per square inch.

E200............ 30.0-70.0 percent evaporated.

E300............ 70.0-100.0 percent evaporated.

Aromatics....... 0.0-550 volume percent.

Olefins......... 0.0-30.0 volume percent.

Benzene......... 0.0-4.9 volume percent.

------------------------------------------------------------------------

* * * * *

5. Section 80.46 is amended by revising the table in paragraph

(f)(1)(ii)(K) to read as follows:

Sec. 80.46 Measurement of reformulated gasoline fuel parameters.

* * * * *

(f) * * *

(1) * * *

(ii) * * *

(K) * * *

----------------------------------------------------------------------------------------------------------------

Boiling

Compound Concentration CAS No. AMU Retention time point,

(percent) deg.C

----------------------------------------------------------------------------------------------------------------

Benzene........................... 2.25 vol.......... 71-43-2 78 18.9 min.......... 80.1

Methylbenzene..................... 10.0 vol.......... 108-88-3 91 25.5 min.......... 111

Ethylbenzene...................... 5.0 vol........... 100-41-4 91 34.1 min.......... 136.2

1,3-Dimethylbenzene............... 5 vol............. 108-38-3 91 35.1 min.......... 136-138

1,4-Dimethylbenzene............... 106-42-3

1,2-dimethylbenzene............... 10 vol............ 95-47-6 91 38.1 min.......... 144

(1-methylethyl)-benzene........... 2.25 vol.......... 98-82-8 105 42.8 min.......... ...........

Propylbenzene..................... 2.25 vol.......... 103-65-1 91 48.0 min.......... 159.2

1-ethyl-2-methylbenzene........... 2.25 vol.......... 611-14-3 105 49.3 min.......... 165

1,2,4-trimethylbenzene............ 2.25 vol.......... 95-63-6 105 50.9 min.......... 169

1,2,3-trimethylbenzene............ 2.25 vol.......... 526-73-8 105 53.3 min.......... ...........

1,3-diethylbenzene................ 2.25 vol.......... 141-93-5 119 56.6 min.......... 181

Butylbenzene...................... 2.25 vol.......... 104-51-8 91 60.7 min.......... 183

o-Cymene.......................... 2.25 vol.......... 527-84-4 119 63.9 min.......... ...........

1-ethyl-3-methylbenzene........... 2.25 vol.......... 620-14-4 105 64.2 min.......... ...........

m-Cymene.......................... 2.25 vol.......... 535-77-3 119 69.0 min.......... ...........

p-Cymene.......................... 2.25 vol.......... 99-87-6 119 73.0 min.......... ...........

Isobutylbenzene................... 2.25 vol.......... 538-93-2 91 75.0 min.......... ...........

Indan............................. 2.25 vol.......... 496-11-7 117 50.0 min.......... ...........

1-methyl-3-propylbenzene.......... 2.25 vol.......... 1074-43-7 105 78.9 min.......... ...........

2-ethyl-1,4-dimethylbenzene....... 2.25 vol.......... 1758-88-9 119 83.2 min.......... 187

1,2,4,5-tetramethylbenzene........ 2.25 vol.......... 95-93-2 119 83.4 min.......... ...........

1-ethyl-2,4-dimethylbenzene....... 2.25 vol.......... 874-41-9 119 85.7 min.......... ...........

(1,1-dimethylethyl)-3- 2.25 vol.......... 27138-21-2 133 87.3 min.......... ...........

methylbenzene.

1-ethyl-2,3-dimethylbenzene....... 2.25 vol.......... 933-98-2 119 88.7 min.......... ...........

1-ethyl-1,4-dimethylbenzene....... 2.25 vol.......... 874-41-9 119 94.9 min.......... ...........

2-ethyl-1,3-dimethylbenzene....... 2.25 vol.......... 2870-04-4 119 100.9 min......... ...........

1-ethyl-3,5-dimethylbenzene....... 2.25 vol.......... 934-74-7 119 102.5 min......... ...........

1,2,3,5-tetramethylbenzene........ 2.25 vol.......... 527-53-7 119 115.9 min......... ...........

Pentylbenzene..................... 2.25 vol.......... 538-68-1 91 116 min........... ...........

Naphthalene....................... 2.25 vol.......... 191-20-3 128 118.4 min......... 198

3,5-dimethyl-t-butylbenzene....... 2.25 vol.......... 98-19-1 147 118.5 min......... 205.3

1-methylnaphthalene............... 2.25 vol.......... 90-12-0 142 129.0 min......... ...........

2-methylnaphthalene............... 2.25 vol.......... 91-57-6 142 131.0 min......... ...........

----------------------------------------------------------------------------------------------------------------

* * * * *

6. In Sec. 80.48, paragraph (c)(1) introductory text is revised,

the last sentence in paragraph (c)(1)(v) is revised, a concluding

sentence is added to paragraph (c)(2)(iii), and paragraph (g) is

revised to read as follows:

Sec. 80.48 Augmentation of the complex emission model by vehicle

testing.

* * * * *

(c) * * *

(1) The analysis shall fit a regression model to the natural

logarithm of emissions measured from addition fuels 1, 2, and 3 only

(as specified at Sec. 80.49(a) and adjusted as per paragraph (c)(1)(iv)

of this section and Sec. 80.49(d)) that includes the following terms:

* * * * *

(v) * * * If, after dropping the Bi term and re-estimating the

model, the Ai term does not satisfy these criteria, then both

terms shall be dropped, all test data shall be reported to EPA, and the

augmentation request shall be denied.

(2) * * *

(iii) * * * The Administrator shall make available upon request

existing complex model terms and coefficients in centered form.

* * * * *

(g) EPA reserves the right to analyze the data generated during

vehicle testing, to use such analyses to determine the validity of

other augmentation petitions, and to use such data to update the

complex model for use in certifying all reformulated gasolines.

* * * * *

7. In Sec. 80.49, the table in paragraph (a)(5)(i) is revised, and

paragraph (b)(3)(iii) is revised to read as follows:

Sec. 80.49 Fuels to be used in augmenting the complex emission model

through vehicle testing.

(a) * * *

(5) * * *

(i) * * *

------------------------------------------------------------------------

Fuel parameter Measurement uncertainty

------------------------------------------------------------------------

API gravity........................ 0.2 deg.API

Sulfur content..................... 10 ppm

Benzene content.................... 0.02 vol %

RVP................................ 0.05 psi

Octane............................. 0.2 (R+M/2)

E200 level......................... 2 %

E300 level......................... 2 %

Oxygenate content.................. 0.2 vol %

Aromatics content.................. 0.5 vol %

Olefins content.................... 0.3 vol %

Saturates content.................. 1.0 vol %

Detergent control Additives........ 2% of the level

required by EPA's detergents rule.

------------------------------------------------------------------------

* * * * *

(b) * * *

(3) * * *

(iii) All other parameters shall be present at the levels specified

in paragraph (b)(2)(ii) of this section.

* * * * *

8. In Sec. 80.59, the last sentence in paragraph (a) is revised to

read as follows:

Sec. 80.59 General test fleet requirements for vehicle testing.

(a) * * * To be technologically equivalent vehicles at minimum must

have closed-loop systems and possess adaptive learning.

* * * * *

9. Section 80.65 is amended by revising paragraphs (d)(2)(iii),

(d)(2)(v)(B), (d)(2)(vi), (d)(3), the third sentence of (e)(1), the

table in (e)(2)(i), paragraph (e)(2)(ii)(A), (f)(4) introductory text,

and paragraph (h) to read as follows:

Sec. 80.65 General requirements for refiners, importers, and oxygenate

blenders.

* * * * *

(d) * * *

(2) * * *

(iii) Reformulated gasoline (but not RBOB) must be designated

either as oxygenated fuels program reformulated gasoline, or not

oxygenated fuels program reformulated gasoline.

(A) Gasoline must be designated as oxygenated fuels program

reformulated gasoline if such gasoline:

(1) Has an oxygen content that is greater than or equal to 2.0

weight percent; and

(2) Arrives at a terminal from which gasoline is dispensed into

trucks used to deliver gasoline to an oxygenated fuels control area

within five days prior to the beginning of the oxygenated fuels control

period for that control area.

(B) Gasoline may be designated as oxygenated fuels program

reformulated gasoline if such gasoline has an oxygen content that is

greater than or equal to 2.0 weight percent, regardless of whether the

gasoline is intended for use in any oxygenated fuels program control

area during an oxygenated fuels program control period.

* * * * *

(v) * * *

(B) NOX emissions performance in the case of gasoline

certified using the complex model.

* * * * *

(vi) In the case of RBOB, as RBOB suitable for blending with:

(A) Any oxygenate;

(B) Ether only; or

(C) Other specified oxygenate type(s) and amount(s).

(3) Every batch of reformulated or conventional gasoline or RBOB

produced or imported at each refinery or import facility, or each batch

of blendstock produced and sold or transferred if blendstock accounting

is required under Sec. 80.102(e), shall be assigned a number (the

``batch number''), consisting of the EPA- assigned refiner, importer or

oxygenate blender registration number, the EPA-assigned facility

registration number, the last two digits of the year in which the batch

was produced, and a unique number for the batch, beginning with the

number one for the first batch produced or imported each calendar year

and each subsequent batch during the calendar year being assigned the

next sequential number (e.g., 4321- 54321-95-000001, 4321-54321-95-

000002, etc.).

* * * * *

(e) * * *

(1) * * * A batch of simple model reformulated gasoline may be

released by the refiner or importer prior to the receipt of the

refiner's or importer's test results except for test results for oxygen

and benzene, and RVP in the case of VOC-controlled gasoline.

(2) * * *

(i) * * *

------------------------------------------------------------------------

Fuel property Range

------------------------------------------------------------------------

Sulfur content........................................ 25 ppm

Aromatics content..................................... 2.7 vol %

Olefins content....................................... 2.5 vol %

Benzene content....................................... 0.21 vol %

Ethanol content....................................... 0.4 vol %

Methanol content...................................... 0.2 vol %

MTBE (and other methyl ethers) content................ 0.6 vol %

ETBE (and other ethyl ethers) content................. 0.6 vol %

TAME.................................................. 0.6 vol %

t-Butanol content..................................... 0.6 vol %

RVP................................................... 0.3 psi

50% distillation (T50)................................ 5 deg.F

90% distillation (T90)................................ 5 deg.F

E200.................................................. 2.5 vol %

E300.................................................. 3.5 vol %

API Gravity........................................... 0.3 deg.API

------------------------------------------------------------------------

(ii) * * *

(A) The larger of the two values for the property, except the

smaller of the two results shall be used for oxygenates; or

* * * * *

(f) * * *

(4) Any refiner that produces reformulated gasoline using computer-

controlled in-line blending equipment is exempt from the independent

sampling and testing requirements specified in paragraphs (f)(1)

through (3) of this section and from the requirement of paragraph

(e)(1) of this section to obtain test results for each batch prior to

the gasoline leaving the refinery, provided that such refiner:

* * * * *

(h) Compliance audits. Any refiner and importer of any

reformulated gasoline or RBOB, and any oxygenate blender of any RBOB

who meets the oxygen standard on average, shall have the

reformulated gasoline and RBOB it produced, imported, or blended

during each calendar year audited for compliance with the

requirements of this subpart D, in accordance with the requirements

of subpart F, at the conclusion of each calendar year.

* * * * *

10. Section 80.66 is amended by revising paragraphs (g)(1) and

(g)(2)(ii) to read as follows:

Sec. 80.66 Calculation of reformulated gasoline properties.

* * * * *

(g)(1) Per gallon values for VOC and NOX emissions reduction

shall be calculated using the methodology specified in Sec. 80.45 that

is appropriate for the gasoline.

(2) * * *

(ii) For gasoline subject to the complex model, the methodology

specified in Sec. 80.45 that is appropriate for the gasoline.

* * * * *

11. Section 80.68 is amended by:

a. revising paragraphs (c)(8)(ii)(A), (c)(9)(ii)(A), (c)(9)(ii)(B),

(c)(10)(i);

b. redesignating paragraph (c)(12) as paragraph (c)(13), and

removing the first two sentences in the newly redesignated (c)(13)

introductory text;

c. by adding a new paragraph (c)(12); and

d. revising paragraphs (c)(13)(v)(G), (H) and (L).

The additions and revisions are set out to read as follows:

Sec. 80.68 Compliance surveys.

* * * * *

(c) * * *

(8) * * *

(ii) * * *

(A) For each complex model sample from the survey series, the VOC

emissions reduction percentage shall be determined based upon the

tested parameter values for that sample and the appropriate methodology

for calculating VOC emissions reduction at Sec. 80.45;

* * * * *

(9) * * *

(ii) * * *

(A) For each complex model sample from the survey series, the

toxics emissions reduction percentage shall be determined based upon

the tested parameter values for that sample and the appropriate

methodology for calculating toxics emissions reduction at Sec. 80.45;

(B) The annual average of the toxics emissions reduction

percentages for all samples from a survey series shall be calculated

according to the formula specified in paragraph (c)(9)(i)(B) of this

section; and

* * * * *

(10) * * *

(i) For each sample from the survey and survey series, the NOX

emissions reduction percentage shall be determined based upon the

tested parameter values for that sample and the appropriate methodology

for calculating NOX emissions reduction at Sec. 80.45; and

* * * * *

(12) For any oxygen content survey series conducted in any covered

area the average oxygen content for all samples from the survey series

shall be calculated. If this annual average is less than 2.00 percent

by weight, the covered area shall have failed an oxygen survey series.

(13) * * *

(v) * * *

(G) The results of the analyses of simple model samples for

oxygenate type and oxygen weight percent, benzene content, aromatic

hydrocarbon content, and RVP, the calculated toxics emission reduction

percentage, and for each survey conducted during the period June 1

through September 15 the VOC emissions reduction percentage calculated

using the methodology specified in paragraph (c)(8)(i) of this section;

(H) The results of the analyses of complex model samples for

oxygenate type and oxygen weight percent, benzene, aromatic

hydrocarbon, and olefin content, E-200, E-300, and RVP, the calculated

NOX and toxics emissions reduction percentage, and for each survey

conducted during the period June 1 through September 15 the calculated

VOC emissions reduction percentage, except that beginning on January 1,

2000 NOX emissions reduction percentages must be reported only for

surveys conducted outside the period June 1 through September 15;

* * * * *

(L) The average toxics emissions reduction percentage for simple

model samples and the percentage for complex model samples, the average

benzene and oxygen percentages, and for each survey conducted during

the period June 1 through September 15, the average VOC emissions

reduction percentage for simple model samples and the percentage for

complex model samples, the average NOX emissions reduction

percentage for all complex model samples collected prior to January 1,

2000, and the average NOX emissions reduction percentage for

samples collected outside the period June 1 through September 15

beginning on January 1, 2000;

* * * * *

12. Section 80.69 is amended by revising paragraphs (a)(7)(ii)

introductory text and (b)(3) to read as follows:

Sec. 80.69 Requirements for downstream oxygenate blending.

* * * * *

(a) * * *

(7) * * *

(ii) In the event the test results for any sample indicate the

gasoline does not comply with applicable standards (within the

correlation ranges specified in Sec. 80.65(e)(2)(i)), the refiner or

importer shall:

* * * * *

(b) * * *

(3) Meet the standard requirements specified in Sec. 80.65(c) and

Sec. 80.67(f), the record keeping requirements specified in Sec. 80.74,

and the reporting requirements specified in Sec. 80.75; and

* * * * *

13. Section 80.70 is amended by revising paragraphs (d)(3)(viii)

and (d)(3)(ix), adding paragraphs (d)(3)(x) and (d)(3)(xi), by revising

paragraphs (j)(4)(i), (j)(4)(ii), (j)(10)(iv), (j)(11)(i), and

(j)(14)(xvii) and by removing paragraph (j)(15) to read as follows:

Sec. 80.70 Covered areas.

* * * * *

(d) * * *

(3) * * *

(viii) Suffolk;

(ix) Westchester;

(x) Orange; and

(xi) Putnam.

* * * * *

(j) * * *

(4) * * *

(i) Portion of Bullitt County described as follows:

(A) Beginning at the intersection of Ky 1020 and the Jefferson-

Bullitt County Line proceeding to the east along the county line to the

intersection of county road 567 and the Jefferson-Bullitt County Line;

(B) Proceeding south on county road 567 to the junction with Ky

1116 (also known as Zoneton Road);

(C) Proceeding to the south on KY 1116 to the junction with Hebron

Lane;

(D) Proceeding to the south on Hebron Lane to Cedar Creek;

(E) Proceeding south on Cedar Creek to the confluence of Floyds

Fork turning southeast along a creek that meets Ky 44 at Stallings

Cemetery;

(F) Proceeding west along Ky 44 to the eastern most point in the

Shepherdsville city limits;

(G) Proceeding south along the Shepherdsville city limits to the

Salt River and west to a point across the river from Mooney Lane;

(H) Proceeding south along Mooney Lane to the junction of Ky 480;

(I) Proceeding west on Ky 480 to the junction with Ky 2237;

(J) Proceeding south on Ky 2237 to the junction with Ky 61 and

proceeding north on Ky 61 to the junction with Ky 1494;

(K) Proceeding south on Ky 1494 to the junction with the perimeter

of the Fort Knox Military Reservation;

(L) Proceeding north along the military reservation perimeter to

Castleman Branch Road;

(M) Proceeding north on Castleman Branch Road to Ky 44;

(N) Proceeding a very short distance west on Ky 44 to a junction

with Ky 1020; and

(O) Proceeding north on Ky 1020 to the beginning.

(ii) Portion of Oldham County described as follows:

(A) Beginning at the intersection of the Oldham-Jefferson County

Line with the southbound lane of Interstate 71;

(B) Proceeding to the northeast along the southbound lane of

Interstate 71 to the intersection of Ky 329 and the southbound lane of

Interstate 71;

(C) Proceeding to the northwest on Ky 329 to the intersection of

Zaring Road on Ky 329;

(D) Proceeding to the east-northeast on Zaring Road to the junction

of Cedar Point Road and Zaring Road;

(E) Proceeding to the north-northeast on Cedar Point Road to the

junction of Ky 393 and Cedar Point Road;

(F) Proceeding to the south-southeast on Ky 393 to the junction of

county road 746 (the road on the north side of Reformatory Lake and the

Reformatory);

(G) Proceeding to the east-northeast on county road 746 to the

junction with Dawkins Lane (also known as Saddlers Mill Road) and

county road 746;

(H) Proceeding to follow an electric power line east-northeast

across from the junction of county road 746 and Dawkins Lane to the

east-northeast across Ky 53 on to the La Grange Water Filtration Plant;

(I) Proceeding on to the east-southeast along the power line then

south across Fort Pickens Road to a power substation on Ky 146;

(J) Proceeding along the power line south across Ky 146 and the

Seaboard System Railroad track to adjoin the incorporated city limits

of La Grange;

(K) Then proceeding east then south along the La Grange city limits

to a point abutting the north side of Ky 712;

(L) Proceeding east-southeast on Ky 712 to the junction of Massie

School Road and Ky 712;

(M) Proceeding to the south-southwest and then north-northwest on

Massie School Road to the junction of Ky 53 and Massie School Road;

(N) Proceeding on Ky 53 to the north-northwest to the junction of

Moody Lane and Ky 53;

(O) Proceeding on Moody Lane to the south-southwest until meeting

the city limits of La Grange;

(P) Then briefly proceeding north following the La Grange city

limits to the intersection of the northbound lane of Interstate 71 and

the La Grange city limits;

(Q) Proceeding southwest on the northbound lane of Interstate 71

until intersecting with the North Fork of Currys Fork;

(R) Proceeding south-southwest beyond the confluence of Currys Fork

to the south-southwest beyond the confluence of Floyds Fork continuing

on to the Oldham-Jefferson County Line; and

(S) Proceeding northwest along the Oldham-Jefferson County Line to

the beginning.

* * * * *

(10) * * *

(iv) The portion of Essex County that consists of the portion of

Whiteface Mountain above 4,500 feet in elevation.

* * * * *

(11) * * *

(i) Allegheny;

* * * * *

(14) * * *

(xvii) Richmond;

* * * * *

14. Section 80.75 is amended by revising paragraphs (b),

(f)(2)(ii)(A) (1), and (j) to read as follows:

Sec. 80.75 Reporting requirements.

* * * * *

(b) Reports for gasoline or RBOB produced or imported under the

simple model.

(1) RVP averaging reports.

(i) Any refiner or importer that produced or imported any

reformulated gasoline or RBOB under the simple model that was to meet

RVP standards on average (``averaged reformulated gasoline'') shall

submit to the Administrator, with the third quarterly report, a report

for each refinery or importer for such averaged reformulated gasoline

or RBOB produced or imported during the previous RVP averaging period.

This information shall be reported separately for the following

categories:

(A) Gasoline or RBOB which is designated as VOC-controlled intended

for areas in VOC-Control Region 1; and

(B) Gasoline or RBOB which is designated as VOC-controlled intended

for VOC-Control Region 2.

(ii) The following information shall be reported:

(A) The total volume of averaged reformulated gasoline or RBOB in

gallons;

(B) The compliance total value for RVP; and

(C) The actual total value for RVP.

(2) Sulfur, NOX and T90 averaging reports.

(i) Any refiner or importer that produced or imported any

reformulated gasoline or RBOB under the simple model shall submit to

the Administrator, with the fourth quarterly report, a report for such

reformulated gasoline or RBOB produced or imported during the previous

year:

(A) For each refinery or importer; or

(B) In the case of refiners who operate more than one refinery, for

each grouping of refineries as designated by the refiner pursuant to

Sec. 80.41(h)(2)(iii).

(ii) The following information shall be reported:

(A) The total volume of reformulated gasoline or RBOB in gallons;

(B) The applicable sulfur content standard under

Sec. 80.41(h)(2)(i) in parts per million;

(C) The average sulfur content in parts per million;

(D) The applicable olefin content standard under

Sec. 80.41(h)(2)(i) in volume percent;

(E) The average olefin content in volume percent;

(F) The applicable T90 distillation point standard under

Sec. 80.41(h)(2)(i) in degrees Fahrenheit; and

(G) The average T90 distillation point in degrees Fahrenheit.

* * * * *

(f) * * *

(2) * * *

(ii) * * *

(A) * * *

(1) Gasoline which is designated as VOC-controlled and oxygenated

fuels program reformulated gasoline (OPRG);

* * * * *

(j) Additional reporting requirements for certain importers. In the

case of any importer to whom different standards apply for gasoline

imported at different facilities by operation of Sec. 80.41(q)(2), such

importer shall submit separate reports for gasoline imported into

facilities subject to different standards.

* * * * *

15. Section 80.76 is amended by revising paragraphs (c)(2), (c)(3)

introductory text, (c)(3)(i), and (c)(3)(ii) to read as follows:

Sec. 80.76 Registration of refiners, importers or oxygenate blenders.

* * * * *

(c) * * *

(2) For each separate refinery and oxygenate blending facility, the

facility name, physical location, contact name, telephone number, and

type of facility; and

(3) For each separate refinery and oxygenate blending facility, and

for each importer's operations in a single PADD:

(i) Whether records are kept on-site or off-site of the refinery or

oxygenate blending facility, or in the case of importers, the

registered address;

(ii) If records are kept off-site, the primary off-site storage

facility name, physical location, contact name, and telephone number;

and

* * * * *

16. Section 80.77 is amended by revising paragraphs (g)(2)(iii),

(g)(2)(iv)(A) and (B), adding paragraph (g)(3), and by revising

paragraph (h) introductory text to read as follows:

Sec. 80.77 Product transfer documentation.

* * * * *

(g) * * *

(2) * * *

(iii) In the case of VOC-controlled gasoline subject to the simple

model standards, RVP;

(iv) * * *

(A) Prior to January 1, 1998, the NOx emissions performance

minimum, and for VOC-controlled gasoline the VOC emissions performance

minimum, in milligrams per mile; and

(B) Beginning on January 1, 1998, the NOx emissions performance

minimum, and for VOC-controlled gasoline the VOC emissions performance

minimum; and

(3) Identification of VOC-controlled reformulated gasoline or RBOB

as gasoline or RBOB which contains ethanol, or which does not contain

any ethanol.

(h) Prior to January 1, 1998, in the case of reformulated gasoline

or RBOB subject to the complex model standards:

* * * * *

17. Section 80.78 is amended by revising paragraphs (a)(1)(v) (B)

and (C) to read as follows:

Sec. 80.78 Controls and prohibitions on reformulated gasoline.

(a) * * *

(1) * * *

(v) * * *

(B) Unless each gallon of such gasoline that is subject to simple

model standards has an RVP which is less than or equal to the

applicable RVP maximum specified in Sec. 80.41;

(C) Unless each gallon of such gasoline that is subject to complex

model standards has a VOC and NOx emissions reduction percentage which

is greater than or equal to the applicable minimum specified in

Sec. 80.41.

* * * * *

18. Section 80.81 is amended by revising paragraphs (a)(2)(iii),

(b)(4), and (h) to read as follows:

Sec. 80.81 Enforcement exemptions for California gasoline.

(a) * * *

(2) * * *

(iii) Is imported into the State of California from inside the

United States and that is manufactured at a refinery that does not

produce reformulated gasoline for sale in any covered area outside the

State of California.

(b) * * *

(4) The compliance demonstration required by paragraph (b)(3)(ii)

of this section shall be submitted no later than May 31, 1996, along

with the report for the first quarter of 1996 required to be submitted

under Sec. 80.75(a)(1)(i).

* * * * *

(h) For purposes of the batch sampling and analysis requirements

contained in Sec. 80.65(e)(1), any refiner, importer or oxygenate

blender of California gasoline may, with regard to such gasoline, use a

sampling and/or analysis methodology prescribed in Title 13, California

Code of Regulations, sections 2260 et seq., in lieu of any applicable

methodology specified in Sec. 80.46.

* * * * *

19. In Sec. 80.90, the equation in paragraph (b)(1) is revised, and

paragraph (e)(2) is revised to read as follows:

Sec. 80.90 Conventional gasoline baseline emissions determination.

* * * * *

(b) * * *

(1) * * *

EXHBEN = (1.884 + 0.949xBZ + 0.113x(AR - BZ))

* * * * *

(e) * * *

(2) The annual average baseline NOX emissions of the facility

shall be determined using the emissions values determined in paragraph

(e)(1) of this section in the equation specified in paragraph (a) of

this section.

* * * * *

20. Section 80.91 is amended by:

a. adding paragraph (c)(5)(iv);

b. adding a sentence to the end of paragraph (d)(1)(i)(A)

introductory text;

c. revising paragraph (d)(1)(i)(A)(1), and revising the last

sentence in paragraph (d)(1)(i)(B);

d. revising the equation and the definition of Tjs in

paragraph (e)(2)(iv), and revising the definition of Tjs in

paragraph (e)(2)(v)(A);

e. revising the equations in paragraphs (e)(4)(i) (A) and (B), and

the equation and definition of UV in paragraph (e)(4)(ii)(A) and the

equation in paragraph (e)(4)(ii)(B);

f. revising the second sentence of paragraph (e)(5)(vi);

g. adding paragraphs (e)(5)(vi)(A) and (e)(5)(vi)(B);

h. and i. revising paragraph (e)(5)(vii) introductory text, and

revising paragraph (e)(5)(viii);

j. and k. revising paragraph (e)(7)(i)(A);

l. revising paragraphs (e)(7)(i)(C) and (f)(2)(ii); and

m. adding paragraph (e)(7)(i)(D).

The revisions and additions are set out to read as follows:

Sec. 80.91 Individual baseline determination.

* * * * *

(c) * * *

(5) * * *

(iv) The annual average anti-dumping statutory baseline shall have

the following set of emission values:

Exhaust benzene emissions, simple model--6.45

Exhaust benzene emissions, complex model--33.03 mg/mile

Exhaust toxics emissions, Phase I--50.67 mg/mile

Exhaust toxics emissions, Phase II--104.5 mg/mile

NOX emissions, Phase I--714.4 mg/mile

NOX emissions, Phase II--1461. mg/mile

(d) * * *

(1) * * *

(i) * * *

(A) * * * When method 1 per batch RVP data is available, a month is

considered equivalent to 4 weeks of seasonal data.

(1) Method 1, per batch, actual RVP data will be used to define

that batch as either summer fuel or winter fuel. Summer fuel is defined

as fuel produced and intended for sale to satisfy federal summer

volatility standards. When such per batch actual RVP data is not

available, data is allocated per month as follows. A summer month is

defined as any month during which more than 50 percent (by volume) of

the gasoline produced by a refiner met the federal summer gasoline

volatility requirements. Winter shall be any month which could not be

considered a summer month under this definition.

* * * * *

(B) * * * In any case, all data collected through the date of

collection of the last data point included in the determination of a

baseline fuel parameter value must be utilized in the baseline

determination of that fuel parameter.

* * * * *

(e) * * *

(2) * * *

(iv) * * *

TR20JY94.000

* * * * *

Tjs = total 1990 volume of blendstock j used in the refinery's

season s gasoline

* * * * *

(v) * * *

(A) * * *

Tjs = total 1990 volume of blendstock j used in the refinery's

season s gasoline

* * * * *

(4) * * *

(i) * * *

(A) * * *

UV = [AV/(100-OV)] x 100

TR20JY94.001

* * * * *

(B) * * *

* * * * *

(ii) * * *

(A) * * *

AV = UV x (100-OV)/100

* * * * *

UV = non-oxygenated parameter value

* * * * *

(B) * * *

TR20JY94.002

* * * * *

(5) * * *

(vi) * * *Such data shall be used in the determination of the

baseline value, due to the work-in-progress, of each of the fuel

parameters specified in Sec. 80.91(a)(2)(i) and as verification of the

effect of the work-in-progress.

(A) The baseline value, due to the work-in-progress, of each of the

fuel parameters specified in Sec. 80.91(a)(2)(i) shall be used in the

determination of the emissions specified in Sec. 80.90.

(B) The baseline values of sulfur, olefins and E300, due to the

work-in-progress, shall be used in the determination of the emissions

specified in Sec. 80.41(j)(3).

(vii) The annual average baseline values of exhaust benzene

emissions, per Sec. 80.90(b) and Sec. 80.90(c), exhaust toxics

emissions, per Sec. 80.90(d), and NOX emissions, per

Sec. 80.90(e), are the values resulting from the work-in-progress

baseline adjustment, not to exceed the larger of:

* * * * *

(viii) When compliance is achieved using the simple model, per

Sec. 80.41 and/or Sec. 80.101, the basel

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