Approval and Promulgation of Implementation Plans; California State Implementation Plan Revision; Sacramento Metropolitan Air Quality Management District

ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[CA 157-1-7223a; FRL-5317-2]

Approval and Promulgation of Implementation Plans; California

State Implementation Plan Revision; Sacramento Metropolitan Air Quality

Management District

AGENCY: Environmental Protection Agency (EPA).

ACTION: Direct final rule.

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SUMMARY: EPA is taking direct final action on revisions to the

California State Implementation Plan. The revisions concern rules from

the Sacramento Metropolitan Air Quality Management District (SMAQMD).

The rules control VOC emissions from the transfer of gasoline into

stationary storage tanks and vehicle fuel tanks. This approval action

will incorporate these rules into the Federally approved SIP. The

intended effect of approving these rules is to regulate emissions of

volatile organic compounds (VOCs) in accordance with the requirements

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

the final action on these rules serves as a final determination that

the deficiencies in these rules have been corrected and that on the

effective date of this action, any sanction or Federal Implementation

Plan (FIP) clock is stopped. Thus, EPA is finalizing the approval of

these revisions into the California SIP 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: This action is effective on March 25, 1996 unless adverse or

critical comments are received by February 22, 1996. If the effective

date is delayed, a timely notice will be published in the Federal

Register.

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ADDRESSES: Copies of the rules and EPA's evaluation report for each

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

during normal business hours. Copies of the submitted rules are

available for inspection at the following locations:

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

Protection Agency, Region IX, 75 Hawthorne Street, San Francisco, CA

94105.

Environmental Protection Agency, Air Docket (6102), 401 ``M'' Street,

SW., Washington, DC 20460.

California Air Resources Board, Stationary Source Division, Rule

Evaluation Section, 2020 ``L'' Street, Sacramento, CA 95814.

Sacramento Metropolitan Air Quality Management District, 8411 Jackson

Road, Sacramento, CA 95826.

FOR FURTHER INFORMATION CONTACT: Mae Wang, Rulemaking Section (A-5-3),

Air and Toxics Division, U.S. Environmental Protection Agency, Region

IX, 75 Hawthorne Street, San Francisco, CA 94105, Telephone: (415) 744-

1200.

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 Act or pre-amended Act), that included the Sacramento Metro Area.

43 FR 8964, 40 CFR 81.305. On May 26, 1988, EPA notified the Governor

of California, pursuant to section 110(a)(2) of the 1977 Act, that the

above district's portion of the California SIP was inadequate to attain

and maintain the ozone standard and requested that deficiencies in the

existing SIP be corrected (EPA's SIP-Call). On November 15, 1990, the

Clean Air Act Amendments of 1990 were enacted. Pub. L. 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 reasonably available

control technology (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-amendment guidance.1 EPA's SIP-Call used that

guidance to indicate the necessary corrections for specific

nonattainment areas. At the time of enactment of the CAA amendments,

the Sacramento Metro Area was classified as serious 2; therefore,

this area was subject to the RACT fix-up requirement and the May 15,

1991 deadline.

\1\ Among other things, the pre-amendment 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 Sacramento Metro Area was reclassified from serious to

severe on June 1, 1995. See 60 FR 20237 (April 25, 1995).

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This document addresses EPA's direct final action for SMAQMD Rule

448, Gasoline Transfer into Stationary Storage Containers, and Rule

449, Transfer of Gasoline into Vehicle Fuel Tanks. The SMAQMD adopted

these rules on February 2, 1995. These rules were submitted by the

California Air Resources Board (CARB) to EPA on August 10, 1995. The

submitted rules were found to be complete on October 4, 1995 pursuant

to EPA's completeness criteria that are set forth in 40 CFR part 51

Appendix V 3 and are being finalized for approval into the SIP.

\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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Rule 448 controls VOC emissions during gasoline transfer to

stationary storage tanks. Rule 449 controls emissions from vehicle fuel

tank filling operations. VOCs contribute to the production of ground

level ozone and smog. These rules were originally adopted as part of

SMAQMD's effort to achieve the National Ambient Air Quality Standard

for ozone and in response to EPA's SIP-Call and the section

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

final action for each rule.

EPA Evaluation

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 448 are entitled Control of Volatile Organic

Emissions from Bulk Gasoline Plants, EPA-450/2-77-035; and Control of

Volatile Organic Compound Leaks from Gasoline Tank Trucks and Vapor

Collection Systems, EPA-450/2-78-051. Rule 449 was evaluated against

EPA's draft model stage II rule, dated August 17, 1992. 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.

SMAQMD's submitted Rule 448 includes the following significant

changes from the current SIP:

1. Executive Officer discretion in approving equivalent test

methods has been removed.

2. Data on agricultural tanks has been submitted in the form of a

5% determination in order to justify the agricultural tank exemption.

3. A pressure vacuum valve requirement has been added.

SMAQMD's submitted Rule 449 includes the following significant

changes from the current SIP:

1. Executive Officer discretion in approving equivalent test

methods has been removed.

2. Testing provisions have been added to require dynamic back

pressure tests and static leak tests at least every 5 years.

3. Test results must be reported to the district within 30 days of

test completion.

EPA has evaluated the submitted rules and has determined that they

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

Therefore, SMAQMD Rule 448 and Rule 449 are being approved under

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

110(a) and part D. The final action on these rules serves as a final

determination that the deficiencies in

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these rules have been corrected. Therefore, if this direct final action

is not withdrawn, on March 25, 1996, any sanction or FIP clock is

stopped.

Nothing in this action should be construed as permitting or

allowing or establishing a precedent for any future 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.

EPA is publishing this notice without prior proposal because the

Agency views this as a noncontroversial amendment and anticipates no

adverse comments. However, in a separate document in this Federal

Register publication, the EPA is proposing to approve the SIP revision

should adverse or critical comments be filed. This action will be

effective March 25, 1996, unless, within 30 days of its publication,

adverse or critical comments are received.

If the EPA receives such comments, this action will be withdrawn

before the effective date by publishing a subsequent notice that will

withdraw the final action. All public comments received will then be

addressed in a subsequent final rule based on this action serving as a

proposed rule. The EPA will not institute a second comment period on

this action. Any parties interested in commenting on this action should

do so at this time. If no such comments are received, the public is

advised that this action will be effective March 25, 1996.

Regulatory Process

Unfunded Mandates

Under sections 202, 203, and 205 of the Unfunded Mandates Reform

Act of 1995 (``Unfunded Mandates Act''), signed into law on March 22,

1995, EPA must undertake various actions in association with proposed

or final rules that include a Federal mandate that may result in

estimated costs of $100 million or more to the private sector or to

State, local, or tribal governments in the aggregate.

Through submission of this State implementation plan or plan

revision, the State and any affected local or tribal governments have

elected to adopt the program provided for under part D of the Clean Air

Act. These rules may bind State, local, and tribal governments to

perform certain actions and also require the private sector to perform

certain duties. The rules being approved by this action will impose no

new requirements because affected sources are already subject to these

regulations under State law. Therefore, no additional costs to State,

local, or tribal governments or to the private sector result from this

action. EPA has also determined that this direct final action does not

include a mandate that may result in estimated costs of $100 million or

more to State, local, or tribal governments in the aggregate or to the

private sector.

Small Businesses

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. Secs. 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(a) 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, I certify

that 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 into the economic reasonableness of State

action. The CAA forbids EPA to base its actions concerning SIPs on such

grounds. 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 3 action for signature

by the Regional Administrator under procedures published in the Federal

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

10, 1995 memorandum from Mary Nichols, Assistant Administrator for Air

and Radiation. The Office of Management and Budget has exempted this

regulatory action from Executive Order 12866 review.

List of Subjects in 40 CFR Part 52

Environmental protection, Air pollution control, Hydrocarbons,

Incorporation by reference, Intergovernmental relations, Ozone,

Reporting and recordkeeping requirements, Volatile organic compounds.

Note: Incorporation by reference of the State Implementation

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

Federal Register on July 1, 1982.

Dated: October 11, 1995.

Felicia Marcus,

Regional Administrator.

Subpart F of part 52, chapter I, title 40 of the Code of Federal

Regulations is amended as follows:

PART 52--[AMENDED]

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

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

Subpart F--California

2. Section 52.220 is amended by adding paragraph (c)(224)(i)(A)(1)

to read as follows:

Sec. 52.220 Identification of Plan.

* * * * *

(c) * * *

(224) New and amended regulations for the following APCDs were

submitted on August 10, 1995, by the Governor's designee.

(i) Incorporation by reference.

(A) Sacramento Metropolitan Air Quality Management District.

(1) Rule 448 and rule 449, adopted on February 2, 1995.

* * * * *

[FR Doc. 96-775 Filed 1-22-96; 8:45 am]

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