Prohibition of Hexavalent Chromium-Based Water Treatment Chemicals in Comfort Cooling Towers; Amendment To Limit the Scope of the Export Notification Requirements

EVIRONMENTAL PROTECTION AGENCY

40 CFR Part 749

[OPPTS-61018A; FRL-4867-3]

RIN 2070-AC57

Prohibition of Hexavalent Chromium-Based Water Treatment

Chemicals in Comfort Cooling Towers; Amendment To Limit the Scope of

the Export Notification Requirements

AGENCY: Environmental Protection Agency (EPA).

ACTION: Final rule.

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

SUMMARY: This rule amends 40 CFR part 749, subpart D, which prohibits,

under section 6 of the Toxic Substances Control Act (TSCA), the use of

hexavalent chromium-based water treatment chemicals in comfort cooling

towers and the distribution of such chemicals in commerce for use in

comfort cooling towers. Today's action amends 40 CFR 749.68 to clarify

that only hexavalent chromium chemicals that can be used for water

treatment are the subjects of this regulation, not other hexavalent

chromium chemicals. This amendment limits the scope of export

notifications currently required for hexavalent chromium chemicals

under TSCA section 12(b), the TSCA Export Notification Rule (40 CFR

part 707), and Sec. 749.68. No changes to the prohibitions or labeling

requirements of the hexavalent chromium rule are intended by this

amendment. As amended, Sec. 749.68 does not trigger the section 12(b)

export notification requirements for exports of hexavalent chromium

products such as certain paints, dyes, pigments, coatings,

electroplating and conversion coating products, and other products

containing hexavalent chromium that cannot be used to treat water.

DATES: This rule shall become effective on September 19, 1994. In

accordance with 40 CFR 23.5, this rule shall be promulgated for

purposes of judicial review at 1 p.m. eastern daylight time (or

standard time) on September 2, 1994.

FOR FURTHER INFORMATION CONTACT: Geraldine Gardner, Office of

Enforcement and Compliance Assurance (2245), Environmental Protection

Agency, 401 M St., SW., Washington, DC 20460, Telephone: 202-260-8858.

SUPPLEMENTARY INFORMATION: In the Federal Register of November 30, 1993

(58 FR 63148), EPA proposed an amendment to 40 CFR part 749, subpart D,

which prohibits the use of hexavalent chromium (Cr+6)-based water

treatment chemicals in comfort cooling towers (CCTs) and the

distribution of such chemicals in commerce for use in CCTs. The

regulatory text of today's amendment is identical to the regulatory

text of the proposed amendment. Comments received on the proposed

amendment are addressed in Unit V of this preamble. Today's amendment

modifies 40 CFR 749.68 to clarify that only Cr+6 chemicals that

can be used for water treatment are the subjects of the regulation, not

other Cr+6 chemicals. This change limits the scope of TSCA section

12(b) export notifications currently required for Cr+6 chemicals.

I. Authority

This amendment is being promulgated pursuant to TSCA sections 6 (15

U.S.C. 2605) and 12(b) (15 U.S.C. 2611(b)). Section 6 of TSCA

authorizes EPA to impose regulatory controls if EPA finds that there is

a reasonable basis to conclude that the manufacture, processing,

distribution in commerce, use, or disposal of a chemical substance or

mixture presents or will present an unreasonable risk of injury to

human health or the environment. Under this authority, EPA issued a

final rule in the Federal Register of January 3, 1990 (55 FR 222), that

prohibits the use of Cr+6-based water treatment chemicals in CCTs

and the distribution in commerce of Cr+6-based water treatment

chemicals for use in CCTs (40 part CFR 749, subpart D). The rule also

requires persons who distribute in commerce Cr+6-based water

treatment chemicals to label the containers of the chemicals.

Section 12(b) of TSCA requires that any person who exports or

intends to export to a foreign country a chemical substance or mixture

for which: (1) The submission of data is required under TSCA section 4

(15 U.S.C. 2603) or 5(b) (15 U.S.C. 2604(b)); (2) an order has been

issued under section 5; (3) a rule has been proposed or promulgated

under section 5 or 6 (15 U.S.C. 2605); or (4) relief has been granted

under section 5 or 7 (15 U.S.C. 2606) to notify the Administrator of

EPA of such exportation or intent to export. Upon receipt of such

notification, section 12(b) of TSCA requires EPA to furnish the

government of the importing country with: notice of the availability of

data received pursuant to action under section 4 or 5(b), or notice of

such rule, order, action, or relief under section 5, 6, or 7. EPA

promulgated a rule setting forth the export notification requirements

of TSCA section 12(b) under 40 CFR part 707, subpart D. EPA amended the

export notification rule to limit notifications triggered by TSCA

section 4 actions on July 27, 1993 (58 FR 40238).

II. Background

Because the Cr+6 rule was promulgated under TSCA section 6,

export notification requirements under section 12(b) are triggered.

Currently, all Cr+6 chemicals are subject to section 12(b) because

the term ``Cr+6 chemicals'' is presently defined in

Sec. 749.68(d)(10) as ``any combination of chemical substances

containing hexavalent chromium and includes hexavalent chromium-based

water treatment chemicals.'' Thus, for example, the export of paint

containing a Cr+6 chemical that cannot be used for water treatment

would currently trigger the section 12(b) notification requirements.

In the preamble to the final Cr+6 rule, EPA stated that

pursuant to TSCA section 12(b) and 40 CFR part 707, subpart D, persons

who export or intend to export Cr+6 chemicals are required to

notify EPA of those activities. EPA indicated that export notification

would be required for all Cr+6 exports ``because the substance

subject to the rule is Cr+6'' and that it did not believe that the

requirement should be narrowed, as a practical matter, because of the

difficulty in determining the end use of the Cr+6 at the time of

export. EPA also anticipated that the burden of the notification

requirements that would be triggered by the export of Cr+6 for

uses not regulated by the rule would be minimal.

After promulgation of the final Cr+6 rule, the Chrome

Coalition filed a Petition for Review with the United States Court of

Appeals, District of Columbia Circuit dated April 17, 1990 (Chrome

Coalition v. U.S. Environmental Protection Agency, No. 90-1138). In the

petition, the Chrome Coalition argued that because EPA failed to set

forth its interpretation of TSCA section 12(b) in the proposed rule,

the public was unable to comment on that interpretation. Additionally,

they argued that EPA's interpretation of section 12(b) is too broad in

the context of the Cr+6 rule, and imposes an unnecessary burden on

any business that exports products containing Cr+6, even when the

products cannot be used in water treatment. As a part of the settlement

reached with the Chrome Coalition on December 15, 1992, EPA agreed to

promulgate a rule that addressed the concerns raised by the Coalition.

The Settlement Agreement was filed with the United States Court of

Appeals, District of Columbia Circuit on January 7, 1993.

In light of the Chrome Coalition's Petition, EPA reevaluated the

need to broadly require export notification for all Cr+6 chemicals

and proposed to modify the rule to clarify it on November 30, 1993 (58

FR 63148).

III. Summary of this Final Rule

EPA is amending the Cr+6 rule solely to clarify the scope of

coverage of the rule, thereby limiting the scope of the required

section 12(b) notifications. This rule will require notification under

40 CFR part 707, subpart D, for the export or intended export of

Cr+6 chemicals that can be used for water treatment. EPA is

listing in Sec. 749.68 certain specific Cr+6 chemicals that the

Agency believes can be used to treat water. This is not meant to be a

complete listing of all Cr+6 chemicals that can be used to treat

water, but rather a listing of examples. The export of any Cr+6

chemicals alone, or in combination with other chemical substances when

the mixture can be used to treat water cooling systems, will trigger

the TSCA section 12(b) export notification requirements.

Under existing language of the Cr+6 rule, TSCA section 12(b)

export notification is required for all Cr+6 compounds, if they

are exported alone, or in combination with other substances, even if

the exported product cannot be used to treat water. With today's

amendment, exporters of hexavalent chromium products such as paints,

dyes, pigments, electroplating and conversion coating products, and

other substances containing Cr+6 that cannot be used to treat

water will not need to report the export to EPA under TSCA section

12(b). To accomplish this, EPA is amending the subject of the Cr+6

rule, certain definitions, and other appropriate provisions, as

discussed below.

IV. Discussion of this Final Rule

Exports of certain Cr+6 chemicals (e.g., in such products as

paints, dyes, pigments, electroplating and conversion coating products)

may now be triggering TSCA section 12(b) export notifications in more

cases than are necessary to reasonably carry out the purposes of TSCA

section 12(b) and the section 6 Cr+6 rule. EPA believes the

current burden associated with exporters providing notification for

exports of Cr+6 chemicals that cannot be used for water treatment

to be substantial, without providing any appreciable reduction in the

risk addressed in the Cr+6 rule. In addition, the benefits to

countries receiving these notifications are thought to be minimal. This

amendment modifies Sec. 749.68 to clarify that only Cr+6 chemicals

that can be used to treat water are the subjects of the Cr+6 rule.

Because the amended regulation will address the risk concerns

identified as the basis for the existing Cr+6 rule, but at a lower

cost, EPA finds that the amended rule will continue to protect human

health and the environment against unreasonable risk of injury.

Moreover, this change, EPA believes, will provide to importing

countries information more reflective of EPA's concerns and will

further Congress' intent, pursuant to TSCA section 2(c) (15 U.S.C. 2601

(c)) that EPA administer TSCA ``in a reasonable and prudent manner.''

This change is supported by the TSCA section 6 Cr+6 rulemaking

effort. The supporting documentation used by EPA to promulgate the

Cr+6 rule focused on data regarding Cr+6 emissions from CCTs

(55 FR 222 at 224). A background document, ``Chromium Emissions from

Comfort Cooling Towers - Background Information for Proposed

Standards'' (EPA-450/3-87-010a), March 1, 1988 (OPTS 61012) described

EPA's regulatory alternatives and expected impacts. The information-

gathering, analysis, and rulemaking were used solely to support a TSCA

section 6 determination regarding Cr+6-based water treatment

chemicals and not all possible Cr+6 mixtures and products.

Therefore, EPA believes that this amendment is consistent with the

originally intended scope and coverage of the TSCA section 6

regulations.

The revised regulatory language clarifies that the chemicals

subject to the rule are any Cr+6 chemicals that can be used to

treat water, either alone or in combination with other chemicals, where

the mixture can be used to treat water. As stated above, the intended

effect of this change is to reduce the scope of the TSCA section 12(b)

export notifications that are triggered by Sec. 749.68.

Currently, the section heading of Sec. 749.68 reads ``Hexavalent

chromium chemicals in comfort cooling towers.'' EPA believes that a

more appropriate focus and heading for the rule is ``Hexavalent

chromium-based water treatment chemicals in cooling systems,'' and is

therefore implementing this change. Also, because the term ``hexavalent

chromium chemicals'' in the current Sec. 749.68(d)(10) will no longer

be used, the definition is dropped.

As discussed above, the TSCA section 12(b) export notification

requirements are triggered by the export of certain chemical substances

or mixtures that are the subjects of certain actions under TSCA,

including Cr+6 because of the section 6 Cr+6 rule. Currently,

Sec. 749.68(a) states:

(a) Chemical substance subject to this section. Hexavalent

chromium, usually in the form of sodium dichromate (CAS No. 10588-

01-9), is subject to this section.

Today, Sec. 749.68(a) is amended to state:

(a) Chemicals subject to this section. Hexavalent chromium-based

water treatment chemicals that contain hexavalent chromium, usually

in the form of sodium dichromate (CAS No. 10588-01-9), are subject

to this section. Other examples of hexavalent chromium compounds

that can be used to treat water are: Chromic acid (CAS No. 7738-94-

5), chromium trioxide (CAS No. 1333-83-0), dichromic acid (CAS No.

13530-68-2), potassium chromate (CAS No. 7789-00-6), potassium

dichromate (CAS No. 7778-50-9), sodium chromate (CAS No. 7775-11-3),

zinc chromate (CAS No. 13530-65-9), zinc chromate hydroxide (CAS No.

153936-94-6), zinc dichromate (CAS No. 14018-95-2), and zinc

potassium chromate (CAS No. 11103-86-9).

By instituting this amendment in conjunction with the other changes

discussed herein, especially those at Sec. 749.68(d)(11) (see below),

EPA intends that only Cr+6 compounds which can be used to treat

water, either alone or in combination with other chemicals, where the

mixture can be used to treat water, would be subject to the rule and

thus the section 12(b) export notification requirements.

Related to this change, EPA is amending certain language in

Sec. 749.68(b), entitled ``Purpose,'' and Sec. 749.68(c), entitled

``Applicability,'' to reflect the changed focus of the rule from

Cr+6 to Cr+6-based water treatment chemicals. Refer to

Sec. 749.68(b) and (c) of the regulatory text for the revised language.

EPA is also adding a chemical definition of Cr+6 in

Sec. 749.68(d)(10) to clarify the revised subject of the rule. The

definition of Cr+6 is now ``the oxidation state of chromium with

an oxidation number of +6; a coordination number of 4 and tetrahedral

geometry.''

Another key change is a revised definition of ``hexavalent

chromium-based water treatment chemicals.'' The current definition in

Sec. 749.68(d)(11) states that ``hexavalent chromium-based water

treatment chemicals means any hexavalent chromium, alone or in

combination with other water treatment chemicals, used to treat

water.'' (emphasis added). The amended definition states that

``hexavalent chromium-based water treatment chemicals means any

chemical containing hexavalent chromium which can be used to treat

water, either alone or in combination with other chemicals, where the

mixture can be used to treat water.'' (emphasis added). This change is

intended to require export notification for the export of chemicals

that can be used to treat water, whether or not they are actually used

to treat water. EPA believes that exporters will not always know the

actual end use of the Cr+6 product. However, EPA believes that

exporters are likely to know potential end uses or how Cr+6 can be

used. Additionally, to help exporters identify which Cr+6

compounds can be used, either alone, or in combination with other

chemicals to treat water, the Agency is listing examples of such

compounds. This change is not intended to have any effect on the

current labeling requirements or the prohibitions of the Cr+6

rule.

In order that the labeling requirements will not be affected by the

changes being made today, EPA is changing the language of

Sec. 749.68(g). Currently, the labeling requirement at Sec. 749.68(g)

states:

Labeling. (1) Each person who distributes in commerce hexavalent

chromium-based water treatment chemicals after February 20, 1990,

shall affix a label. . .

As the current definition of ``hexavalent chromium-based water

treatment chemicals'' in Sec. 749.68(d)(11) is ``any hexavalent

chromium, alone or in combination with other water treatment chemicals,

used to treat water,'' (emphasis added) labeling is required only for

hexavalent chromium-based water treatment chemicals used to treat

water. As stated above, the new definition of ``hexavalent chromium-

based water treatment chemicals'' in Sec. 749.68(d)(11) is ``any

hexavalent chromium which can be used to treat water. . .'' (emphasis

added). Without changing Sec. 749.68(g), this new definition would have

the effect of expanding the labeling requirements to require labeling

of any hexavalent chromium, either alone or in combination with other

chemicals, that can be used to treat water, where the mixture can be

used to treat water. However, as the intent of this amendment is not to

change the scope of the labeling requirements, the phrase ``for use in

cooling systems'' is being added to Sec. 749.68(g). This section now

reads:

(g) Labeling. (1) Each person who distributes in commerce

hexavalent chromium-based water treatment chemicals for use in

cooling systems after February 20, 1990, shall affix a label. . .

EPA believes this change, along with the other modifications, will have

the effect of maintaining the current labeling requirements.

All of the changes are meant to reduce the scope of TSCA section

12(b) export notifications without affecting the prohibitions and

labeling requirements in the current rule. With today's amendment, EPA

intends that exporters of paints, dyes, pigments, electroplating and

conversion coating products, and other products containing Cr+6

that cannot be used to treat water will not report the export to EPA

under TSCA section 12(b). To accomplish this, EPA is amending certain

definitions and other appropriate provisions of the Cr+6 rule as

discussed above. EPA believes that today's rule will reduce the burden

on the regulated community in cases where export notification provides

little or no benefit to importing countries.

Today's rule is consistent with other Agency efforts to improve the

utility of these notices for receiving governments, and to optimize the

ability of EPA to process more efficiently export notices it receives

annually and respond to requests from foreign governments for

additional information on chemicals and export notices. For example, on

July 21, 1981 (46 FR 37608), in its notice on ``Asbestos Export

Notification,'' EPA clarified the reporting responsibilities of persons

exporting asbestos or mixtures containing asbestos by defining which

types of asbestos require export notification. As another example, on

July 27, 1993 (58 FR 40238), in a Federal Register document entitled

``Export Notification Requirement; Change to Reporting Requirements;

Final Rule,'' EPA issued a rule that changed the current annual

notification requirements for exporters of chemical substances and

mixtures subject to TSCA section 4 test rules or consent orders to a

one-time (instead of annual) export notification per chemical per

importing country.

EPA believes that such actions, and today's action, will enhance

other governments' ability to thoughtfully consider notices received

under TSCA section 12(b) and react appropriately to chemicals being

imported by focusing export notifications on a more defined set of

chemicals that EPA has identified for regulatory action. As EPA stated

in the preamble to the final export notification rule, ``[t]he intended

focus of the notice to foreign governments is the chemical substance or

mixture and what EPA has done or found out about it. . . .'' (45 FR

82844, December 16, 1980). Since the primary purpose of TSCA section

12(b) export notification is to alert and inform other governments of

hazards that may be associated with a chemical substance or mixture, it

is important that the export notification requirements are implemented

in a manner that efficiently conveys EPA's concerns. EPA believes that

today's amendment will increase the efficiency of the operation of the

section 12(b) requirement as applied to the Cr+6 rule by

eliminating the current export notifications associated with the export

of Cr+6 chemicals that cannot be used to treat water.

V. Significant Comments on the Proposed Rule

One commenter requested that EPA expressly mention electroplating

and conversion coating products among the examples of products excluded

from the TSCA section 12(b) notification requirement. Based on a

technical evaluation of this request, in appropriate sections of the

preamble of this final rule, EPA is adding electroplating and

conversion coating products as examples of products excluded from the

export notification requirement because these products containing

hexavalent chromium cannot be used to treat water. However, EPA does

not intend that the listing of specific examples should exclude any

other products that cannot be used to treat water.

A second comment was that EPA revise the definition of ``hexavalent

chromium-based water treatment chemicals'' to encompass only hexavalent

chromium ``intended'' for use in treating water, not that which ``can

be'' so used. EPA considered the option of substituting hexavalent

chromium ``intended'' for use in treating water for the proposed ``can

be used'' in the definition of ``hexavalent chromium-based water

treatment chemicals,'' but has decided against such substitution. EPA

believes it could be extremely difficult to determine the exporter's

intent regarding use of an exported product. It is difficult to

determine the ``intent'' of a manufacturer in exporting a substance or

mixture. However, even if the intent of the exporter could be

determined as not including water treatment uses, once the substance or

mixture is imported into the foreign country, it could be used for a

water treatment purpose not withstanding the intent of the exporter.

Retaining the ``can be used'' definition helps to ensure that foreign

countries receive notice of the import of substances or mixtures that

could be of concern.

Another comment suggested adopting a de minimis and impurity

exclusion for the export of section 12(b) substances. EPA currently

requires export notification for any section 12(b) substance present in

mixtures, excluding articles other than PCB articles, at any

concentration and regardless of whether it is intentionally present in

the mixture or is present as an impurity. The suggestion made by the

commenter is outside the scope of this rulemaking. However, as stated

in the preamble to a final amendment made to the export notification

rule in the Federal Register of July 27, 1993 (58 FR 40238), EPA may

examine additional approaches modifying the section 12(b) export

notification program in the future.

Finally, one commenter requested that EPA publish a formal 12(b)

list in the Code of Federal Regulations (CFR), which would include

effective and sunset (termination) dates. Because section 12(b) export

notification is required only for substances that are the subject of

certain regulatory actions taken under TSCA section 4, 5, 6, or 7, EPA

believes the notice associated with publication of these underlying

actions in the Federal Register is sufficient for purposes of section

12(b). Moreover, the notices initiating these underlying actions

generally include a specific discussion of obligations triggered under

12(b). Section 12(b) of TSCA requires no additional rulemaking,

separate from the underlying actions, to trigger the export

notification requirements. For final rules and orders, effective dates

for the 12(b) requirements are the same as the effective dates of the

underlying actions. In cases where the proposed actions prompt the

section 12(b) export notifications, the requirement to submit export

notifications begins 30 days after publication of the proposal in the

Federal Register. See 40 CFR 707.65(b). Sunset dates (i.e., dates that

certain requirements terminate) for purpose of TSCA section 12(b) apply

only where the underlying requirement prompting the export

notifications are TSCA section 4 or 5(b) actions. As stated in the

preamble to the TSCA section 12(b) Export Notification Rule amendments

in the Federal Register of July 27, 1993 (58 FR 40238), these sunset

dates coincide with the expiration of the test data reimbursement

period as defined at 40 CFR 790.3. In the near future, EPA plans to

issue a Federal Register notice listing test data reimbursement period

expiration dates for certain TSCA section 4 substances.

As recognized by the commenter, EPA currently makes available an

informal list of substances subject to section 12(b) export

notification that is updated on or about a quarterly basis. Although

inadvertent omission from this section 12(b) list does not excuse non-

compliance with the statutory requirements of section 12(b), EPA

believes it does serve as a valuable compliance aid. In light of the

above, EPA believes that publication of the section 12(b) list in the

CFR is not warranted at the present time.

VI. Confidentiality

A person may assert a claim of confidentiality for any information,

submitted to EPA in connection with this rule. Any claim of

confidentiality must accompany the information so claimed when it is

submitted to EPA. Persons must mark information claimed as confidential

by circling, bracketing, or underlining it, and marking it with

``CONFIDENTIAL'' or some other appropriate designation. EPA will

disclose information subject to a claim of confidentiality only to the

extent permitted by section 14 of TSCA and 40 CFR part 2, Subpart B. If

a person does not assert a claim of confidentiality for information at

the time it is submitted to EPA, EPA may make the information public

without further notice to that person.

VII. Economic Impact

In a support document entitled Economic Analysis of the Amendment

to the TSCA Section 6 Rule for Hexavalent Chromium, dated April 1994,

EPA has evaluated potential changes in costs to the Cr+6 rule that

would be associated with these amendments. The total savings to

industry and EPA associated with this amendment are estimated to be

$5,400 to $16,300 per year. EPA's complete economic analysis is

available in the public record for this rule (OPPTS-61018).

VIII. Rulemaking Record

EPA has established a record for this rulemaking (docket number

OPPTS 61018A). The record includes basic information considered by EPA

in developing this rule. EPA has supplemented the record with all

written comments and additional information as it was received. In

addition to the proposed rule (58 FR 63148, November 30, 1993) and

comments received on the proposal, the record now includes the

following:

(1) ``Prohibitions of Hexavalent Chromium Chemicals in Comfort

Cooling Towers; Final Rule,'' 55 FR 222, January 3, 1990.

(2) Chrome Coalition. re: Petition - Chrome Coalition v. United

States Environmental Protection Agency, No. 90-1138, April 17, 1990.

(3) Chrome Coalition. re: Settlement Agreement No. 90-1138,

December 15, 1992.

(4) ``Asbestos Export Notification.'' 46 FR 37608, July 21, 1981.

(5) ``Export Notification Requirements; Proposed Change to

Reporting Requirements.'' 54 FR 29524, July 12, 1989.

(6) ``Chemical Imports and Exports; Notification of Export.'' 45 FR

82844, December 16, 1980.

(7)``Export Notification Requirement; Change to Reporting

Requirements; Final Rule.'' 58 FR 40238, July 27, 1993.

(8) U.S. EPA OPPTS, EETD. Economic Analysis of Proposed Amendments

to the TSCA Section 6 Rule for Hexavalent Chromium, May 1993.

(9) U.S. EPA OPPTS, EETD. Economic Analysis of the Amendment to the

TSCA Section 6 Rule for Hexavalent Chromium, April 1994.

(10) U.S. EPA, Burton, D.S. Letter to Collier, Shannon, Rill Scott,

February 7, 1994.

(11) U.S. EPA, Telephone communication with General Chemical

Corporation, March 17, 1994.

A public version of this record is available for public inspection

and copying at the TSCA Nonconfidential Information Center (NCIC), also

known as the TSCA Public Docket Office from 12 noon to 4 p.m., Monday

through Friday, excluding legal holidays. TSCA NCIC is located at EPA

headquarters, 401 M St., SW., Rm. NE-B607, Washington, DC 20460.

IX. Regulatory Assessment Requirements

A. Executive Order 12866

Under Executive Order 12866, (58 FR 51735, October 4, 1993), the

Agency must determine whether the regulatory action is ``significant''

and therefore subject to review by the Office of Management and Budget

(OMB) and the requirements of the Executive Order. Under section 3(f),

the order defines a ``significant regulatory action'' as an action that

is likely to result in a rule (1) having an annual effect on the

economy of $100 million or more, or adversely and materially affecting

a sector of the economy, productivity, competition, jobs, the

environment, public health or safety, or State, local or tribal

governments or communities (also referred to as ``economically

significant''); (2) creating serious inconsistency or otherwise

interfering with an action taken or planned by another agency; (3)

materially altering the budgetary impacts of entitlement, grants, user

fees, or loan programs or the rights and obligations of recipients

thereof; or (4) raising novel legal or policy issues arising out of

legal mandates, the President's priorities, or the principles set forth

in this Executive Order. Pursuant to the terms of this Executive Order,

it has been determined that this rule is not ``significant'' and is

therefore not subject to OMB review.

B. Regulatory Flexibility Act

Under the Regulatory Flexibility Act (5 U.S.C. 605(b)), EPA has

determined that this rule does not have a significant impact on a

substantial number of small businesses. This rule actually decreases

the reporting burden for small businesses that export Cr+6

chemicals that cannot be used for water treatment, which are currently

subject to the reporting requirements of TSCA section 12(b). This rule

would not add any economic burden to small businesses. Pursuant to

section 605(b) of the Regulatory Flexibility Act, 5 U.S.C. 605(b), EPA

certifies that this rule will not have a significant economic impact on

small businesses.

C. Paperwork Reduction Act

OMB has approved the information collection requirements contained

in the Cr+6 Rule at 40 CFR part 749, subpart D under the

provisions of the Paperwork Reduction Act (44 U.S.C. 3501 et seq.), and

has assigned OMB control number 2060-0193 to that collection activity.

In addition, OMB has also approved the information collection

requirements contained in the Export Notification Rule at 40 CFR part

707, subpart D under the provisions of the Paperwork Reduction Act, and

has assigned OMB control number 2070-0030 to that activity.

The changes in this rule are not expected to impact the information

collection requirements contained in the Cr+6 Rule at 40 CFR part

749, subpart D, and EPA does not expect to change the burden estimates

approved by OMB under OMB control number 2060-0193. However, since the

rule amends the applicability of the information collection

requirements contained in the Export Notification Rule at 40 CFR part

707, subpart D, EPA expects to change the burden estimates approved

under OMB control number 2070-0030, and upon the signature of this

final rule, will submit an information correction worksheet.

The rule will reduce the number of export notices required from the

public by approximately 237 submissions per year. Public reporting

burden for the collection of information under 40 CFR part 707,

``Chemical Imports and Exports,'' is estimated to average .5 to 1.5

hours per response, including time for reviewing instructions,

searching existing data sources, gathering and maintaining the data

needed, and completing and reviewing the collection of information.

Total public reporting burden is expected to decrease as a result of

this rule by approximately 119 to 356 hours per year.

List of Subjects in 40 CFR Part 749

Environmental protection, Chemicals, Chromium, Cooling systems,

Cooling towers, Export notification, Hazardous substances, Hexavalent

chromium-based water treatment chemicals, Imports, Labeling,

Recordkeeping and reporting requirements.

Dated: August 12, 1994.

Carol M. Browner,

Administrator.

Therefore, 40 CFR part 749 is amended as follows:

PART 749--[AMENDED]

1. The authority citation for part 749 continues to read as

follows:

Authority: 15 U.S.C. 2605 and 2607.

2. In Sec. 749.68, by revising the section heading, paragraphs (a),

(b), (c), (d)(10), (d)(11), and (g)(1) to read as follows:

Sec. 749.68 Hexavalent chromium-based water treatment chemicals in

cooling systems.

(a) Chemicals subject to this section. Hexavalent chromium-based

water treatment chemicals that contain hexavalent chromium, usually in

the form of sodium dichromate (CAS No. 10588-01-9), are subject to this

section. Other examples of hexavalent chromium compounds that can be

used to treat water are: Chromic acid (CAS No. 7738-94-5), chromium

trioxide (CAS No. 1333-83-0), dichromic acid (CAS No.13530-68-2),

potassium chromate (CAS No. 7789-00-6), potassium dichromate (CAS No.

7778-50-9), sodium chromate (CAS No. 7775-11-3), zinc chromate (CAS No.

13530-65-9), zinc chromate hydroxide (CAS No. 153936-94-6), zinc

dichromate (CAS No. 14018-95-2), and zinc potassium chromate (CAS No.

11103-86-9).

(b) Purpose. The purpose of this section is to impose certain

requirements on activities involving hexavalent chromium-based water

treatment chemicals to prevent unreasonable risks associated with human

exposure to air emissions of hexavalent chromium from comfort cooling

towers.

(c) Applicability. This section is applicable to use of hexavalent

chromium-based water treatment chemicals in comfort cooling towers and

to distribution in commerce of hexavalent chromium-based water

treatment chemicals for use in cooling systems.

(d) * * *

(10) Hexavalent chromium means the oxidation state of chromium with

an oxidation number of +6; a coordination number of 4 and tetrahedral

geometry.

(11) Hexavalent chromium-based water treatment chemicals means any

chemical containing hexavalent chromium which can be used to treat

water, either alone or in combination with other chemicals, where the

mixture can be used to treat water.

* * * * *

(g) Labeling. (1) Each person who distributes in commerce

hexavalent chromium-based water treatment chemicals for use in cooling

systems after February 20, 1990, shall affix a label or keep affixed an

existing label in accordance with this paragraph, to each container of

the chemicals. The label shall consist of the following language:

WARNING: This product contains hexavalent chromium. Inhalation

of hexavalent chromium air emissions increases the risk of lung

cancer. Federal Law prohibits use of this substance in comfort

cooling towers, which are towers that are open water recirculation

devices and that are dedicated exclusively to, and are an integral

part of, heating, ventilation, and air conditioning or refrigeration

systems.

* * * * *

[FR Doc. 94-20440 Filed 8-18-94; 8:45 am]

BILLING CODE 6560-50-F