Approval and Promulgation of Implementation Plans; Arizona State Implementation Plan Revision, Maricopa County Air Pollution Control Division

ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[AZ17-1-6090; FRL-4847-9]

Approval and Promulgation of Implementation Plans; Arizona State

Implementation Plan Revision, Maricopa County Air Pollution Control

Division

AGENCY: Environmental Protection Agency (EPA).

ACTION: Notice of proposed rulemaking.

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SUMMARY: EPA is proposing to approve revisions to the Arizona State

Implementation Plan (SIP) adopted by the Maricopa County Air Pollution

Control Division (MCAPCD) on April 6, 1992 and November 16, 1992. The

Arizona Department of Environmental Quality (DEQ) submitted these

revisions to EPA on June 29, 1992 and February 4, 1993. The revisions

concern MCAPCD's Rule 350, Storage of Organic Liquids at Bulk Plants

and Terminals; Rule 351, Loading of Organic Liquids; Rule 352, Gasoline

Delivery Vessels, and a new rule, Rule 337, Graphic Arts. These rules

control volatile organic compound (VOC) emissions from printing

materials, and from the storage, loading, and transport of organic

liquids including gasoline. The intended effect of proposing approval

of these rules is to regulate emissions of VOCs in accordance with the

requirements of the Clean Air Act, as amended in 1990 (CAA or the Act).

EPA's final action on this notice of proposed rulemaking (NPR) will

incorporate these rules into the federally approved SIP. EPA has

evaluated each of these rules and is proposing to approve them under

provisions of the CAA regarding EPA action on SIP submittals, SIPs for

national primary and secondary ambient air quality standards and plan

requirements for nonattainment areas.

DATES: Comments must be received on or before April 11, 1994.

ADDRESSES: Comments may be mailed to: Daniel A. Meer, Chief, Rulemaking

Section (A-5-3), Air and Toxics Division, U.S. Environmental Protection

Agency, Region 9, 75 Hawthorne Street, San Francisco, CA 94105.

Copies of the rule revisions and EPA's evaluation report of each

rule are available for public inspection at EPA's Region 9 office

during normal business hours. Copies of the submitted rule revisions

are also available for inspection at the following locations:

Arizona Department of Environmental Quality, 3033 North Central

Avenue, Phoenix, AZ 85012.

Maricopa County Air Pollution Control Division, 2406 South 24th

Street, suite E-214, Phoenix, AZ 85034.

FOR FURTHER INFORMATION CONTACT: William Davis, Rulemaking Section (A-

5-3), Air and Toxics Division, U.S. Environmental Protection Agency,

Region 9, 75 Hawthorne Street, San Francisco, CA 94105, Telephone:

(415) 744-1183.

SUPPLEMENTARY INFORMATION:

Background

On March 3, 1978, EPA promulgated a list of ozone nonattainment

areas under the provisions of the Clean Air Act, as amended in 1977

(1977 CAA or pre-amended Act), that included Maricopa County. 43 FR

8964, 40 CFR 81.303. On March 19, 1979, EPA changed the name and

modified the geographic boundaries of the ozone nonattainment area of

Maricopa Country to the Maricopa Association of Governments (MAG) Urban

Planning Area. 44 FR 16391, 40 CFR 81.303. On February 24, 1984, EPA

notified the Governor of Arizona, pursuant to section 110(a)(2)(H) of

the pre-amended Act, that MCAPCD's portion of the Arizona SIP was

inadequate to attain and maintain the ozone standard and requested that

deficiencies in the existing SIP be corrected (EPA's SIP-Call, 49 FR

18827, May 3, 1984). On May 26, 1988, EPA again notified the Governor

of Arizona that MCAPCD's portion of the Arizona SIP was inadequate to

attain and maintain the ozone standard and requested that deficiencies

relating to VOC controls and the application of reasonably available

control technology (RACT) in the existing SIP be corrected (EPA's

second SIP-Call, 53 FR 34500, September 7, 1988). On November 15, 1990,

the Clean Air Act Amendments of 1990 were enacted. Public Law 101-549,

104 Stat. 2399, codified at 42 U.S.C. 7401-7671q. In amended section

182(a)(2)(A) of the CAA, Congress statutorily adopted the requirement

that nonattainment areas fix their deficient RACT rules for ozone and

established a deadline of May 15, 1991 for states to submit corrections

of those deficiencies.

Section 182(a)(2)(A) applies to areas designated as nonattainment

prior to enactment of the amendments and classified as marginal or

above as of the date of enactment. It requires such areas to adopt and

correct RACT rules pursuant to pre-amended section 172(b) as

interpreted in pre-amended guidance.1 EPA's SIP-Calls used that

guidance to indicate the necessary corrections for specific

nonattainment areas. The MAG Urban Planning Area is classified as

moderate2; therefore, this area was subject to the RACT fix-up

requirement and the May 15, 1991 deadline.

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\1\Among other things, the pre-amended guidance consists of

those portions of the proposed post-1987 ozone and carbon monoxide

policy that concern RACT, 52 FR 45044 (November 24, 1987); ``Issues

Relating to VOC Regulation Cutpoints, Deficiencies, and Deviations,

Clarification to Appendix D of November 24, 1987 Federal Register

Notice'' (Blue Book) (notice of availability was published in the

Federal Register on May 25, 1988); and the existing control

technique guidelines (CTGs).

\2\The MAG Urban Planning Area retained its designation of

nonattainment and was classified by operation of law pursuant to

sections 107(d) and 181(a) upon the date of enactment of the CAA.

See 55 FR 56694 (November 6, 1991).

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The State of Arizona submitted several revised RACT rules for

incorporation into its SIP on June 29, 1992 and February 4, 1993,

including the rules being acted on in this document. This document

addresses EPA's proposed action for MCAPCD's Rule 350, Storage of

Organic Liquids at Bulk Plants and Terminals; Rule 351, Loading of

Organic Liquids; Rule 352, Gasoline Delivery Vessels; and Rule 337,

Graphic Arts. The submitted Rules 350, 351, and 337 were found to be

complete on September 8, 1992, while Rule 352 was found to be complete

on March 10, 1993, pursuant to EPA's completeness criteria that are set

forth in 40 CFR part 51, appendix V3. The rules are being proposed

for approval into the SIP. Arizona's complete submittal of Rules 350,

351, and 337 satisfies the deficiency for which a finding of

nonsubmittal, dated October 22, 1991, was made and stopped the

sanctions clock. However, the Federal Implementation Plan (FIP) clock

will not stop until EPA approves the rules.

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\3\EPA adopted the completeness criteria on February 16, 1990

(55 FR 5830) and, pursuant to section 110(k)(1)(A) of the CAA,

revised the criteria on August 26, 1991 (56 FR 42216).

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Rules 350 and 351 control VOC emissions from the storage and

loading of organic liquids including gasoline. Rule 352 controls VOC

emissions from gasoline delivery tanks, while Rule 337 controls VOC

emissions from graphic art materials, such as inks. VOCs contribute to

the production of ground level ozone and smog. The rules were adopted

as part of the division's efforts to achieve the National Ambient Air

Quality Standard (NAAQS) for ozone and in response to EPA's SIP-Calls

and the section 182(a)(2)(A) CAA requirement. The following is EPA's

evaluation and proposed action for these rules.

EPA Evaluation and Proposed Action

In determining the approvability of a VOC rule, EPA must evaluate

the rule for consistency with the requirements of the CAA and EPA

regulations, as found in section 110 and part D of the CAA and 40 CFR

part 51 (Requirements for Preparation, Adoption, and Submittal of

Implementation Plans). The EPA interpretation of these requirements,

which forms the basis for today's action, appears in the various EPA

policy guidance documents listed in footnote 1. Among those provisions

is the requirement that a VOC rule must, at a minimum, provide for the

implementation of RACT for stationary sources of VOC emissions. This

requirement was carried forth from the pre-amended Act.

For the purpose of assisting state and local agencies in developing

RACT rules, EPA prepared a series of Control Technique Guideline (CTG)

documents. The CTGs are based on the underlying requirements of the Act

and specify the presumptive norms for what is RACT for specific source

categories. Under the CAA, Congress ratified EPA's use of these

documents, as well as other Agency policy, for requiring States to

``fix-up'' their RACT rules. See section 182(a)(2)(A). The CTGs

applicable to Rule 350 are: (1) CTG EPA-450/2-77-035, Control of

Volatile Organic Emissions from Bulk Gasoline Plants; (2) CTG EPA-450/

2-78-047, Control of Volatile Organic Emissions from Petroleum Liquid

Storage in External Floating Roof Tanks, and (3) CTG EPA-450/2/77-036,

Control of Volatile Organic Emissions from Storage of Petroleum Liquids

in Fixed-Roof Tanks. The CTGs applicable to Rule 351 are: (1) CTG EPA-

450/2-77-035, Control of Volatile Organic Emissions from Bulk Gasoline

Plants; and (2) CTG EPA-450/2-77-026, Control of Hydrocarbons from Tank

Truck Gasoline Loading Terminals. The CTG document applicable to Rule

352 is CTG EPA 450/2-78-022, Control of Volatile Organic Compound Leaks

from Gasoline Tank Trucks. Finally, the documents which apply to Rule

337 are: (1) CTG EPA-450/2-78-033, Control of Volatile Organic

Emissions from Existing Stationary Sources, Volume VIII: Graphic Arts-

Rotogravure and Flexography; and (2) the document entitled

``Recordkeeping Guidance Document for Surface Coating Operations and

the Graphic Arts Industry'' (EPA 340/1-88-003). Further interpretations

of EPA policy are found in the Blue Book, referred to in footnote 1. In

general, these guidance documents have been set forth to ensure that

VOC rules are fully enforceable and strengthen or maintain the SIP.

MCAPCD's Rule 350, Storage of Organic Liquids at Bulk Plants and

Terminals, includes the following significant changes from the current

SIP:

1. Applicability of the rule is specific to storage of organic

liquids.

2. A definitions section has been added.

3. Standards for floating roofs and requirements for seals and

fabric of the roofs have been added.

4. Recordkeeping and inspection provisions have been added.

5. A compliance schedule with full compliance by 18 months has been

added.

6. Provisions for records on stored liquids including their vapor

pressures have been added.

7. Test methods for determining compliance have been added.

MCAPCD's Rule 351, Loading of Organic Liquids, includes the

following significant changes from the current SIP:

1. A definitions section has been added.

2. Standards have been added limiting emissions to 0.29 pounds of

VOC per 1,000 gallons of liquid transferred.

3. Operating, repair, and testing requirements have been added.

4. Exemption of tanks with liquids which were not for sale has been

deleted. Recordkeeping provisions for other exempt tanks have been

added.

5. Annual leak detection tests and monthly visual leak monitoring

are now required, and the leak test method has been clarified.

6. A compliance schedule requiring full compliance within 18 months

has been added.

7. Test methods for determining compliance with the emission limits

and vapor pressure limits have been added.

MCAPCD's Rule 352, Gasoline Delivery Vessels, includes the

following significant changes from the current SIP:

1. A definitions section has been added.

2. Standards for vapor tightness of the delivery vessels and test

methods to use in the determination have been added.

3. Provisions for registering and identifying tanks which pass the

vapor tightness test have been added.

4. Provisions for recordkeeping have also been added.

MCAPCD's Rule 337, Graphic Arts, is a new rule and contains the

following significant standards: (1) VOC content of graphic art

materials is limited to 2.5 lbs/gal; (2) overall control efficiency of

65% for noncompliant materials is required; and (3) graphic materials

sold are required to be labeled with the VOC content. There are also

provisions for monitoring and for recordkeeping and reporting.

EPA has evaluated the submitted rules and has determined that they

are consistent with the CAA, EPA regulations, and EPA policy.

Therefore, MCAPCD's Rules 350, Storage of Organic Liquids at Bulk

Plants and Terminals; 351, Loading of Organic Liquids; 352, Gasoline

Delivery Vessels; and 337, Graphic Arts, are being proposed for

approval under section 110(k)(3) of the CAA as meeting the requirements

of section 110(a) and part D.

Nothing in this action should be construed as permitting or

allowing or establishing a precedent for any future request for

revision to any state implementation plan. Each request for revision to

the state implementation plan shall be considered separately in light

of specific technical, economic, and environmental factors and in

relation to relevant statutory and regulatory requirements.

Regulatory Process

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

must prepare a regulatory flexibility analysis assessing the impact of

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

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

significant impact on a substantial number of small entities. Small

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

government entities with jurisdiction over populations of less than

50,000.

SIP approvals under sections 110 and 301 and subchapter I, part D

of the CAA do not create any new requirements, but simply approve

requirements that the State is already imposing. Therefore, because the

Federal SIP-approval does not impose any new requirements, it does not

have a significant impact on any small entities affected. Moreover, due

to the nature of the Federal-state relationship under the CAA,

preparation of a regulatory flexibility analysis would constitute

Federal inquiry forbids EPA to base its actions concerning SIPs on such

grounds. into the economic reasonableness of state action. The CAA

Union Electric Co. v. U.S. E.P.A., 427 U.S. 246, 256-66 (S.Ct. 1976);

42 U.S.C. 7410(a)(2).

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

Administrator under the procedures published in the Federal Register on

January 19, 1989 (54 FR 2214-2225), as revised by an October 4, 1993,

memorandum from Michael H. Shapiro, Acting Assistant Administrator for

Air and Radiation. A future notice will inform the general public of

these tables. On January 6, 1989, the Office of Management and Budget

(OMB) waived Table 2 and Table 3 SIP revisions (54 FR 222) from the

requirements of Section 3 of Executive Order 12291 for 2 years. The EPA

has submitted a request for a permanent waiver for Table 2 and Table 3

SIP revisions. The OMB has agreed to continue the waiver until such

time as it rules on EPA's request. This request continues in effect

under Executive Order 12866 which superseded Executive Order 12291 on

September 30, 1993.

List of Subjects in 40 CFR Part 52

Environmental protection, Air pollution control, Hydrocarbons,

Intergovernmental relations, Ozone, Reporting and recordkeeping

requirements.

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

Dated: February 28, 1994.

Felicia Marcus,

Regional Administrator.

[FR Doc. 94-5615 Filed 3-9-94; 8:45 am]

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