Approval and Promulgation of Air Quality Implementation Plans; Virginia; Redesignation Request, Maintenance Plan and Mobile Emissions Budget for the Richmond Ozone Nonattainment Area

ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[VA062-5021 and VA080-5021; FRL- 5841-6]

Approval and Promulgation of Air Quality Implementation Plans;

Virginia; Redesignation Request, Maintenance Plan and Mobile Emissions

Budget for the Richmond Ozone Nonattainment Area

AGENCY: Environmental Protection Agency (EPA).

ACTION: Proposed rule.

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

SUMMARY: EPA is proposing to approve a redesignation request and two

State Implementation Plan (SIP) revisions submitted by the Commonwealth

of Virginia. On July 26, 1996, the Commonwealth of Virginia's

Department of Environmental Quality, submitted a maintenance plan as a

revision to the SIP and a request to redesignate the Richmond moderate

ozone nonattainment area from nonattainment to attainment. EPA's

proposed action is based upon the Commonwealth's submittal satisfying

all five criteria for redesignation in the Clean Air Act (the Act),

including the fact that the Richmond area has at least three years of

complete, quality-assured ambient air monitoring data which demonstrate

that the National Ambient Air Quality Standard (NAAQS) for ozone has

been attained. On July 30, 1996, the Commonwealth submitted another

revision to the SIP modifying the mobile emission budgets in the

Richmond area maintenance plan in support of the area's transportation

plans for the period after the year 2015. EPA is proposing to

redesignate the Richmond ozone nonattainment area from nonattainment to

attainment and to approve the maintenance plan and mobile emissions

budget as revisions to the Virginia SIP. The SIP revisions establish a

maintenance plan for Richmond including contingency measures which

provide for continued attainment of the ozone NAAQS until the year 2007

and adjust the motor vehicle emissions budget established in the

maintenance plan for Richmond to support the area's long-range

transportation plans in the horizon years 2015 and beyond. EPA is

proposing to approve Virginia's redesignation request and maintenance

plan for the Richmond area because the relevant requirements set forth

in the the Act, as amended in 1990, have been met. This action is being

taken under section 110 of the Act.

DATES: Comments must be received on or before July 14, 1997.

ADDRESSES: Comments may be mailed to David Arnold, Chief, Ozone/CO &

Mobile Sources Section, Mailcode 3AT21, U.S. Environmental Protection

Agency, Region III, 841 Chestnut Building, Philadelphia, Pennsylvania

19107. Copies of the documents relevant to this action are available

for public inspection during normal business hours at the Air,

Radiation, and Toxics Division, U.S. Environmental Protection Agency,

Region III, 841 Chestnut Building, Philadelphia, Pennsylvania 19107 and

the Virginia Department of Environmental Quality, 629 East Main Street,

Richmond, Virginia, 23219.

FOR FURTHER INFORMATION CONTACT: Kristeen Gaffney, Ozone/Carbon

Monoxide and Mobile Sources Section (3AT21), USEPA--Region III, 841

Chestnut Building, Philadelphia, Pennsylvania 19107, or by telephone

at: (215) 566-2092. Questions may also be addressed via e-mail, at the

following address:

[[Page 32259]]

Gaffney.K[email protected] [Please note that only written

comments can be accepted for inclusion in the docket.]

SUPPLEMENTARY INFORMATION:

I. Background

The Richmond nonattainment area was designated under section 107 of

the 1977 Clean Air Act (1977 Act) as nonattainment with respect to the

ozone NAAQS on March 3, 1978. The 1977 Act required nonattainment areas

to develop SIPs with sufficient control measures to expeditiously

attain and maintain the standard. EPA approved the ozone SIP submitted

by the Commonwealth on January 12, 1979, as meeting the requirements of

section 110 and part D of the 1977 Act. In its SIP, Virginia projected

that the Richmond area would attain the standard by December 31, 1982,

but the area failed to attain the standard by that date. On November

15, 1990, the Clean Air Act Amendments of 1990 (Act) were enacted. The

nonattainment designation of the Richmond area continued by operation

of law according to section 107(d)(1)(C)(i) of the Act. Furthermore, it

was classified by operation of law as moderate nonattainment for ozone

pursuant to section 181(a)(1) of the Act. The Richmond nonattainment

area consists of the following counties: Richmond, Henrico,

Chesterfield, Colonial Heights, Hopewell, Hanover and portions of

Charles City County.

Under section 107 (d)(3)(E) of the Act, nonattainment areas may be

redesignated to attainment if sufficient air quality data are available

to warrant the redesignation and the area meets the Act's other

redesignation requirements for nonattainment areas.

The Commonwealth submitted a redesignation request and maintenance

plan on November 12, 1992 to redesignate the Richmond area from

nonattainment to attainment, based on ambient monitoring from 1989 to

1991 that indicated that the area was attaining the ozone standard. EPA

proposed approval of the redesignation request and maintenance plan on

August 17, 1993 (58 FR 43609) but subsequently proposed and finally

disapproved the submittal on January 31, 1994 and May 3, 1994,

respectively, based on violations of the ozone standard that occurred

during the 1993 ozone season (59 FR 4263 and 59 FR 22757).

The Richmond ozone nonattainment area has more recently attained

the ozone NAAQS, based on air quality data from 1993 to 1996. In an

effort to comply with the Act and to ensure continued attainment of the

NAAQS, Virginia submitted a 10 year ozone maintenance plan on July 26,

1996 for the Richmond area as a SIP revision.

II. Review of State Submittal

According to section 107(d)(3)(E) of the Act, five specific

requirements must be met in order for EPA to redesignate an area from

nonattainment to attainment:

1. The area must have attained the applicable NAAQS;

2. The area must have met all relevant requirements under section

110 and part D of the Act;

3. The area must have a fully approved SIP under section 110(k) of

the Act;

4. The air quality improvement must be permanent and enforceable;

and

5. The area must have a fully approved maintenance plan pursuant to

section 175A of the Act.

The Commonwealth's redesignation request for the Richmond area

included information and documentation sufficient for EPA to determine

that all five requirements of section 107, noted above, have been met.

Following is a brief description of how each of these requirements has

been fulfilled. Because the maintenance plan is a critical element of

the redesignation request, EPA will discuss its evaluation of the

maintenance plan under its analysis of the redesignation request. A

Technical Support Document (TSD) has been prepared by EPA for this

rulemaking action. The TSD is available for public inspection at the

EPA Regional Office listed in the ADDRESSES section of this document.

1. Attainment of the Ozone NAAQS

Virginia's request is based on an analysis of quality assured

ambient air quality monitoring data which is relevant to the

maintenance plan and to the redesignation request. The method for

determining attainment of the ozone NAAQS is contained in 40 CFR part

50.9 and appendix H to that section. The simplest method by which

expected exceedances are calculated is by averaging actual exceedances

of the 0.12 parts per million ozone NAAQS at each monitoring site over

a three year period. An area is considered in attainment of the

standard if the average annual number of expected exceedances is less

than or equal to 1.0. Ambient air quality data recorded in the Richmond

area, between the years 1993-1995 shows an expected exceedance rate of

1.0 per year and attainment of the ozone NAAQS. The data for these

years meets EPA's completeness criteria of 75% or greater data capture.

Furthermore, the area remained free of violations during the 1996 ozone

season. The Commonwealth has committed to continue monitoring in this

area in accordance with 40 CFR part 58.

2. The Area Has Met All Applicable Requirements Under Section 110 and

Part D

As previously stated, EPA fully approved the Commonwealth's SIP for

the Richmond area as meeting the requirements of section 110(a)(2) and

part D of the 1977 Act. The amended Act, however, modified section

110(a)(2) and, under part D, revised section 172 and added new

requirements for all nonattainment areas. Therefore, for purposes of

redesignation, EPA has reviewed the SIP to ensure that it contains all

measures that were due under the Act as of July 26, 1996, the date the

Commonwealth submitted its redesignation request.

2.A. Section 110 Requirements

Although section 110 of the 1977 Act was amended in 1990, the

Virginia SIP for the Richmond area meets the requirements of section

110(a)(2) of the amended Act. A number of the requirements did not

change in substance and, therefore, EPA believes that the pre-amendment

SIP met these requirements. As to those requirements that were amended,

see 57 FR 27936 and 23939 (June 23, 1993), many are duplicative of

other requirements of the Act.

EPA has analyzed the SIP and determined that it is consistent with

the requirements of section 110(a)(2) of the Act. It contains

enforceable emissions limitations, it requires monitoring, compiling,

and analyzing ambient air quality data, it requires preconstruction

review of new major stationary sources and major modifications to

existing ones, it provides for adequate funding, staff and associated

resources necessary to implement its requirements, and requires

stationary source emissions monitoring and reporting.

2.B. Part D Requirements

Before an area may be redesignated to attainment, it also must have

fulfilled applicable requirements of part D due as of the date of the

Commonwealth's redesignation request. Under part D, an area's

classification indicates the requirements to which it will be subject.

Subpart 1 of part D sets forth the basic nonattainment requirements

applicable to all nonattainment areas, regardless of classification.

Subpart 2 of part D establishes additional requirements for

nonattainment areas classified under table 1 of section 181(a).

Specific

[[Page 32260]]

requirements of subpart 2 may override subpart 1's general provisions

(57 FR 13501, April 16, 1992). Since the Richmond area is classified

moderate, the Commonwealth must meet the applicable requirements of

subpart 1, specifically sections 172(c) and 176, and the applicable

requirements of subpart 2 of part D for moderate areas.

2.B.1. Subpart 1 of Part D--Section 172(c) Provisions

Under section 172(b), the section 172(c) requirements are

applicable as determined by the Administrator, but must be met no later

than 3 years after an area has been designated as nonattainment under

the amended Act. Furthermore, as noted above, some of these section

172(c) requirements are superseded by more specific requirements in

subpart 2 of part D. For moderate ozone nonattainment areas, the

section 172(c)(1) reasonably available control measures requirement was

superseded by section 182(a)(2) reasonably available control technology

(RACT) requirements. Section 182(a)(2) requires moderate ozone

nonattainment areas that were previously designated nonattainment to

submit RACT corrections. Because section 182(a)(2) supersedes the RACT

requirements in subpart 1 of part D, the RACT correction requirement is

discussed with other RACT requirements below in section 2.B.3.

Since the Richmond area has attained the ozone NAAQS, the

reasonable further progress (RFP) requirement, attainment demonstration

and 179(c)(9) contingency measure SIPs are no longer relevant. A May

10, 1995 memorandum from John Seitz to Regional Division Directors

entitled ``Reasonable Further Progress, Attainment Demonstration, and

Related Requirements for Ozone Nonattainment Areas Meeting the National

Ambient Air Quality Standard'' indicates that the RFP, attainment

demonstration and 179(c)(9) contingency measure SIPs would not be

required for approval of a redesignation request for those areas which

the EPA determines have attained the ozone NAAQS. Based on this policy,

on February 25, 1997, EPA published a determination that the Richmond

area has attained the NAAQS [62 FR 8389]. In a separate rulemaking

action in today's Federal Register, EPA is taking final approval action

to waive the RFP and attainment demonstration requirements for the

Richmond area.

The section 172(c)(3) emission inventory requirement has been met

by the Commonwealth's submission and EPA's approval on September 16,

1996 [61 FR 48629], of the 1990 base year emission inventory required

by section 182(a)(1).

As for the section 172(c)(5) NSR requirement, the EPA has

determined that areas being redesignated need not comply with the NSR

requirement prior to redesignation provided that the area demonstrates

maintenance of the NAAQS without part D NSR in effect. A memorandum

from Mary Nichols, Assistant Administrator for Air and Radiation, dated

October 14, 1994, entitled ``Part D New Source Review Requirements for

Areas Requesting Redesignation to Attainment'', fully describes the

rationale for this view, and is based on the Agency's authority to

establish de minimis exceptions to statutory requirements. See Alabama

Power Co. v. Costle, 636 F. 2d 323, 360-61 (D.C. Cir. 1979). As

discussed below, the Commonwealth has demonstrated that the Richmond

area will be able to maintain the NAAQS without part D NSR in effect

and, therefore, the Commonwealth need not have a fully-approved part D

NSR program prior to approval of the redesignation request for

Richmond. Once the area is redesignated to attainment, part C, the

prevention of significant deterioration (PSD) program, which has been

delegated to Virginia, will become effective immediately. The PSD

program was delegated to Virginia on June 3, 1981, and amended on

September 20, 1991.

Finally, for purposes of redesignation, the Virginia SIP was

reviewed to ensure that all requirements of section 110(a)(2),

containing general SIP elements, were satisfied. As noted above, the

EPA believes the SIP satisfies all of those requirements.

2.B.2. Subpart 1 of Part D--Section 176(c) Conformity Provisions

Under section 176(c) of the Act, states were required to submit

revisions to their SIPs that include criteria and procedures to ensure

that Federal actions conform to the air quality planning goals in the

applicable SIPs. The requirement to determine conformity applies to

transportation plans, programs and projects developed, funded or

approved under Title 23 U.S.C. or the Federal Transit Act

(``transportation conformity''), as well as all other Federal actions

(``general conformity''). Congress provided for the State revisions to

be submitted one year after the date of promulgation of final EPA

conformity regulations. EPA promulgated final transportation conformity

regulations on November 24, 1993 (58 FR 62188) and final general

conformity regulations on November 30, 1993 (58 FR 63214). These

conformity rules require that the states adopt both transportation and

general conformity provisions in the SIP for areas designated

nonattainment or subject to a maintenance plan approved under section

175A of the Act. Pursuant to 40 CFR 51.396 of the transportation

conformity rule and 40 CFR 51.851 of the general conformity rule, the

Commonwealth of Virginia was required to submit a SIP revision

containing transportation conformity criteria and procedures consistent

with those established in the Federal rule by November 25, 1994.

Similarly, Virginia was required to submit a SIP revision containing

general conformity criteria and procedures consistent with those

established in the Federal rule by December 1, 1994. Virginia submitted

both the transportation conformity and general conformity SIP revisions

to EPA in January of 1997. EPA is reviewing these SIP revisions and

will take rulemaking action on them at a future date.

Although this redesignation request was submitted to EPA after the

due dates for the SIP revisions for transportation conformity [58 FR

62188] and general conformity [58 FR 63214] rules, EPA believes it is

reasonable to interpret the conformity requirements as not being

applicable requirements for purposes of evaluating the redesignation

request under section 107(d). The rationale for this is based on a

combination of two factors. First, the requirement to submit SIP

revisions to comply with the conformity provisions of the Act continues

to apply to areas after redesignation to attainment. Therefore, the

Commonwealth remains obligated to implement transportation and general

conformity rules even after redesignation and would risk sanctions for

failure to do so. While redesignation of an area to attainment enables

the area to avoid further compliance with most requirements of section

110 and part D, since those requirements are linked to the

nonattainment status of an area, the conformity requirements apply to

both nonattainment and maintenance areas. Second, EPA's federal

conformity rules require the performance of conformity analyses in the

absence of EPA approval of state-adopted rules. Therefore, a delay in

approving the Commonwealth's rules into the SIP does not relieve an

area from the obligation to implement conformity requirements.

Because areas are subject to the conformity requirements regardless

of whether they are redesignated to attainment and must implement

conformity under Federal rules if state rules are not yet adopted or

approved into the SIP, EPA believes it is

[[Page 32261]]

reasonable to view these requirements as not being applicable

requirements for purposes of evaluating a redesignation request.

For the reasons just discussed, the EPA believes that the ozone

redesignation request for the Richmond area may be approved

notwithstanding the lack of fully approved Commonwealth transportation

and general conformity rules.

2.B.3. Subpart 2 of Part D--Section 182 Provisions for Ozone

Nonattainment Areas

Richmond is a moderate ozone nonattainment area and is subject to

section 182(a), 182(b) and 182(f) requirements. Under subpart 2,

Richmond is required to have met the requirements of section 182(a)

(1), (2) and (3), section 182(b) (1), (2), (3) and (4), and section

182(f). The following discussion describes each of these requirements.

EPA approved Virginia's emission inventory requirement under

section 182(a)(1) on September 16, 1996 [61 FR 48629]. The section

182(2)(B) motor vehicle inspection and maintenance (I/M) requirement is

superseded by the section 182(b)(4) requirement discussed below. The

Commonwealth need not comply with the requirements of section 182(a)

concerning revisions to the part D NSR program in order for the

Richmond area to be redesignated for the reasons explained above under

the section 172(c)(5) requirement. Section 182(a)(3)(A) requires

submission of periodic inventories every three years from 1990 until

the area is redesignated attainment. The maintenance plan for Richmond

contains a full emissions inventory for the attainment year 1993.

Because the attainment year is the same as the year the first periodic

inventory came due, the maintenance plan satisfies this requirement.

The emission statement SIP required by section 182(a)(3)(B) was

approved on May 2, 1995 (60 FR 21451). The RFP and attainment

demonstration requirements of section 182(b)(1) will no longer be

applicable, as discussed previously, since the area has attained the

ozone NAAQS.

Section 182(a)(2) requires moderate ozone nonattainment areas that

were previously designated nonattainment to submit RACT corrections

based on requirements in effect prior to enactment of the 1990

amendments to the Act. Furthermore, sections 182(b)(2) (A),(B) and (C)

require moderate and above areas to adopt standards for all sources

covered by any Control Technique Guideline (CTG) document issued by the

Administrator after 1990 and before the area is required to attain the

standard; all sources covered by any CTG before the date of enactment

of the 1990 amendments; and all sources not subject to a CTG. In

addition, areas newly designated under the 1990 amendments as ozone

nonattainment areas are required to adopt RACT rules consistent with

those previously designated nonattainment. These RACT requirements make

nonattainment areas that previously were exempt from RACT requirements

``catch up'' to those nonattainment areas that became subject to those

requirements during an earlier period, and therefore, is known as the

RACT catch-up requirement. Virginia submitted RACT corrections as SIP

revisions on May 14, 1991 and June 20, 1991. Among the regulations

submitted in this SIP revision was a provision (Rule 4-4) that formed

the legal basis for imposing RACT on all individual major VOC sources

subject to RACT in the Richmond nonattainment area not covered by an

existing state adopted VOC control regulation. The RACT correction SIP

was approved by EPA on March 31, 1994 [59 FR 15117]. To implement Rule

4-4, the Commonwealth must submit to EPA a SIP revision for the RACT

determination and enforceable documents for all major VOC sources not

otherwise controlled under existing VOC regulations.

Because Rule 4-4 imposed RACT on all major VOC sources in the

Richmond area on an individual basis, this rule partially satisfied the

RACT catch-up requirement. On May 6, 1992, Virginia submitted a SIP

revision expanding the geographic boundaries of the VOC emissions

control area to coincide with the revised boundaries of the Richmond

ozone nonattainment area resulting from the 1990 Clean Air Act

Amendments. This SIP was approved by EPA on October 19, 1994 (59 FR

52701). To complete the RACT correction and catch up requirements under

sections 182(a)(2) and 182(b)(2)(A), (B) and(C), EPA must approve into

the SIP any source specific RACT determinations for any non-CTG major

source of VOCs identified under Rule 4-4 prior to final approval of the

redesignation request. Virginia has identified 10 sources required to

submit source specific RACT SIP revisions under rule 4-4. EPA has

received SIP revisions for each of these facilities and is currently

preparing rulemaking actions for them.

Section 182(b)(3) requires states to submit gasoline vapor recovery

rules (known as Stage II). EPA approved Virginia's Stage II program on

June 23, 1994 (59 FR 32353).

Sections 182(a)(2)(b)(i) and 182 (b)(4) of the Act require moderate

nonattainment areas to submit a SIP revision that includes any

provisions necessary to provide for a vehicle inspection and

maintenance (I/M) program of no less stringency than either the program

that was in the SIP at the time of passage of the 1990 amendments to

the Act or the minimum basic program requirements, whichever is more

stringent. Virginia has not implemented an I/M program in the Richmond

area. On January 5, 1995 EPA published a rule [60 FR 1735] allowing

areas subject to the Act's basic I/M requirements and that otherwise

would qualify for and ultimately obtain approval of redesignation

requests to defer adoption and implementation of I/M, provided they

submit a SIP that contains the following four elements:

(1) legal authority for a basic I/M program meeting all of the

requirements of Subpart S of 40 CFR part 51, such that implementing

regulations can be adopted without further legislation;

(2) a request to place the I/M plan in the contingency measures

portion of the maintenance plan upon redesignation as described in the

fourth element below;

(3) a contingency measure to go into effect as soon as a triggering

event occurs, consisting of a commitment by the Governor or the

Governor's designee to adopt regulations to implement the I/M program

in response to the specified triggering event; and

(4) a commitment that includes an enforceable schedule for adopting

and implementing the I/M program, including appropriate milestones in

the event the contingency measure is triggered (milestones will be

defined by states in terms of months since the triggering event).

Virginia has satisfied the first requirement. On October 25, 1996,

the Commonwealth submitted the legislative authority for adopting

regulations for a basic I/M program in the Richmond nonattainment area.

The maintenance plan contains provisions satisfying the other three

requirements. The maintenance plan relies on I/M as a contingency

measure, specifies triggering events and contains a schedule for

adoption and implementation in the event a trigger occurs. Refer to

section 5.D of this notice for further detail.

Section 182(f) requires states with areas classified as moderate

and above to impose the same control requirements for major stationary

sources of oxides of nitrogen (NOX) as apply to major

stationary sources of VOCs [i.e., NOX RACT]. Section 182(f)

further provides that these NOX requirements do not apply to

areas outside of the ozone transport region if

[[Page 32262]]

EPA determines that additional reductions of NOX would not

contribute to attainment in such areas, which could be satisfied

through a demonstration of clean air quality data and/or a modeling

demonstration. On December 18, 1995, the Commonwealth submitted a

NOX exemption petition to exempt the Richmond ozone

nonattainment area from the NOX RACT requirements based upon

ambient air quality monitoring data for 1993, 1994 and 1995 which met

the NAAQS for ozone without any additional reductions of

NOX. EPA proposed approval of the NOX waiver for

the Richmond area on March 12, 1996 [61 FR 11170]. Although EPA is

proposing approval of the Richmond redesignation request in today's

action, EPA must complete final rulemaking action on the NOX

waiver before the area can be finally redesignated. As long as Richmond

remains a designated nonattainment area for ozone, this NOX

RACT exemption is contingent upon future monitoring that demonstrates

continued attainment of the ozone NAAQS. Furthermore, this waiver in no

way insulates or alleviates the Commonwealth of Virginia from any

future obligations to secure additional NOX reductions

should technical evidence, including but not limited to that which may

result from the Ozone Transport and Assessment Group (OTAG) process,

indicate that such reductions are required because NOX

emissions generated in Virginia interfere with the ability of another

state or legally responsible jurisdiction to attain and maintain the

NAAQS for ozone.

3. Fully Approved SIP Under Section 110(k) of the Act

EPA has determined that the Commonwealth of Virginia has a fully

approved SIP under section 110(k), which also meets the applicable

requirements of section 110 and Part D as discussed above. Therefore,

the redesignation requirement of section 107(d)(3)(E)(ii) has been met.

4. Improvement in Air Quality Due to Permanent and Enforceable Measures

The Commonwealth must be able to reasonably attribute air quality

improvements in the area to emission reductions which are permanent and

enforceable. Attainment resulting from temporary reductions in emission

rates or unusually favorable meteorological conditions does not qualify

for redesignation.

Several enforceable control measures have come into place since

Richmond was designated nonattainment under the 1990 amendments.

Significant reductions in ozone precursor emissions are attributed to

federal mobile source emission control programs. Specifically, VOC

reductions occurred due to the Federal Motor Vehicle Control Program

(FMVCP) due to the mandatory lowering of fuel volatility and automobile

fleet turnover. Effective in 1993, the Reid Vapor Pressure (RVP) of

gasoline decreased from 9.9 pounds per square inch (psi) to 7.8 psi in

the Richmond area reducing VOC emissions from gasoline. Beginning in

1995, federal reformulated gasoline (RFG) was implemented in Richmond

as a replacement to low RVP gasoline, further reducing VOC emissions

from gasoline.

As a starting point for the redesignation request, Virginia

developed a design year emissions inventory representing the ``worst

case'' emissions scenario that contributes to ozone violations. The

design year chosen by Virginia for Richmond is 1988, a year that was

particularly conducive to ozone violations in eastern U.S.

nonattainment areas. The maintenance plan contains a comprehensive

emissions inventory of ozone precursors, VOCs, NOX and

carbon monoxide (CO), for the year 1988 to establish the amount of

emission reductions achieved to reach attainment with the ozone NAAQS

in the 1993 attainment year.

The Commonwealth demonstrated that point source VOC emissions were

not artificially low due to local economic downturn during the period

in which Richmond air quality came into attainment. Reductions due to

decreases in production levels or from other unenforceable scenarios

such as voluntary reductions were not included in the determination of

the emission reductions.

EPA finds that the combination of measures contained in the SIP and

federal measures have resulted in permanent and enforceable reductions

in ozone precursors that have allowed Richmond to attain the NAAQS, and

therefore, that the redesignation criterion of section

107(d)(3)(E)(iii) has been met.

5. Fully Approved Maintenance Plan Under Section 175A

Section 175A of the Act sets forth the elements of a maintenance

plan for areas seeking redesignation from nonattainment to attainment.

The plan must demonstrate continued attainment of the applicable NAAQS

for at least ten years after the Administrator approves a redesignation

to attainment. Eight years after the redesignation, the Commonwealth

must submit a revised maintenance plan which demonstrates attainment

for the ten years following the initial ten-year period. To provide for

the possibility of future NAAQS violations, the maintenance plan must

contain contingency measures, with a schedule for implementation,

adequate to assure prompt correction of any air quality problems. EPA

is approving the Virginia maintenance plan for the Richmond area

because EPA finds that Virginia's submittal meets the requirements of

section 175A of the Act as discussed below.

5. A. Emissions Inventories

The Commonwealth developed an attainment emissions inventory to

identify the level of emissions sufficient to achieve the ozone NAAQS.

The maintenance plan contains comprehensive inventories for the years

1993, 1999 and 2007 prepared according to EPA guidance for ozone

precursors, VOCs, NOX, and CO emissions to demonstrate

attainment and maintenance for Richmond. The inventories include area,

stationary, non-road mobile and mobile sources. The year 1993 was used

for the attainment year inventory because it was the first year of the

three year period on which the redesignation request was based. The

plan includes a demonstration that emissions will remain below the 1993

attainment year levels for a 10 year period (2007) and provides an

interim year inventory, as required by EPA guidance, for the year 1999.

The Commonwealth has demonstrated that emissions for ozone

precursors through the year 2007 will remain below the 1993 attainment

year levels because of permanent and enforceable measures, while

allowing for growth in population and vehicle miles traveled (VMT).

The following table summarizes the average peak ozone season

weekday VOC, NOX, and CO emissions for the major

anthropogenic (non-biogenic) source categories for the 1993 attainment

year inventory and projected 1999 and 2007 inventories.

[[Page 32263]]

Richmond Area Emissions Summary

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

Emissions (tons per year) 1993 1999 2007

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

VOCs:

Point sources................ 49.64 53.25 60.05

Area sources................. 70.34 64.48 67.97

Mobile sources 1............. 40.41 35.94 31.86

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

Subtotal................. 160.39 153.67 159.88

NOX:

Point sources................ 152.21 156.83 145.99

Area sources................. 29.49 31.36 33.54

Mobile sources............... 59.56 52.85 61.07

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

Subtotal................. 241.26 241.04 240.60

CO:

Point sources................ 27.37 28.17 29.47

Area sources................. 177.22 188.60 202.01

Mobile sources............... 309.13 220.82 246.64

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

Subtotal................. 513.72 437.59 478.12

======================================

Totals................... 915.37 832.30 878.60

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

\1\ The mobile source VOC and NOX estimates include emissions safety

margins. A safety margin exists when the total emissions (stationary,

mobile, area) projected for the attainment year (or years of a

maintenance plan) are less than the emissions level necessary to

demonstrate attainment or maintenance. That difference in emissions

constitutes a safety margin. In this case, Virginia allocated such

safety margins to the on-road portion and inflated the mobile

emissions budget to satisfy conformity requirements.

5.B. Demonstration of Maintenance

Virginia attributes the projected reductions of VOC emissions to

the following national control measures: FMVCP (Tier 1); RFG (on-road

and non-road), Stage II gasoline dispensing systems and pending EPA

rules regulating emissions from Consumer/Commercial Solvents

reformulations; Architectural/Industrial Maintenance Coatings

reformulation; and Automobile Refinishing. The Commonwealth predicts

future NOX emission reductions from FMVCP Tier 1, RFG (Phase

2) and source specific seasonal NOX emission limits

(emission caps) on two point sources of NOX in the

nonattainment area. EPA believes these measures will contribute

significant future emissions reductions that will help keep the

Richmond area below the level of the 1993 attainment year inventory and

in attainment of the ozone NAAQS. The TSD prepared for this rulemaking

contains further detail on these emission control strategies.

5.C. Verification of Continued Attainment

Continued attainment of the ozone NAAQS in Richmond depends, in

part, on the Commonwealth of Virginia's efforts toward tracking

indicators of continued attainment during the maintenance period. The

Commonwealth of Virginia will track the status and effectiveness of the

maintenance plan by updating the emissions inventory annually and

through periodic evaluations. Virginia has committed to develop and

submit to EPA comprehensive tracking inventories every three years

during the maintenance period. The Commonwealth of Virginia will

acquire source emissions data through the annual emission statements

program; continue to monitor ambient ozone levels in accordance with 40

CFR part 58 and continue to follow appropriate quality assurance and

quality control procedures and enter the data into AIRS.

5.D. Contingency Plan

The level of VOC and NOX emissions in Richmond will

largely determine its ability to stay in compliance with the ozone

NAAQS. Despite the Commonwealth of Virginia's best efforts to

demonstrate continued compliance with the NAAQS, Richmond may exceed or

violate the NAAQS. Therefore, Virginia has provided the following

triggering events and contingency measures with a schedule for

implementation in the event of future ozone air quality problems:

1. In the event that VOC or NOX emissions exceed the

regional emissions budgets, with no more than one recorded ozone

exceedance: Virginia will prepare a complete VOC and NOX

emission inventory and implement voluntary control measures, such as an

ozone health advisory notification program.

2. In the event of two or more monitored exceedances of the ozone

NAAQS at any one monitor, voluntary controls will continue to be

implemented.

3. In the event of a monitored violation of the ozone standard,

Virginia commits to implement a basic I/M program.

4. In the event that a violation of the ozone NAAQS at any one

monitor occurs after the I/M contingency measure has been implemented:

The Commonwealth commits to implement NOX RACT on sources

emitting greater than 100 tons/year.

5. In the event of more than two violations of the ozone NAAQS at

any individual monitor following implementation of the I/M and

NOX RACT contingency measures: More restrictive requirements

on open burning will be implemented; and if appropriate, transportation

control measures will be developed and implemented.

The Basic I/M contingency measure will be implemented on the

following schedule:

1. Notification received from EPA that a contingency measure must

be implemented, or three months after a recorded violation;

2. Applicable regulation to be adopted 12 months after date

established in ``1'' above;

3. Regulation implemented within 8 months of adoption;

4. Program will complete one full cycle two years after

implementation.

The other contingency measures 1, 2, 4 and 5 will be implemented on

the following schedule:

1. Notification received from EPA that a contingency measure must

be implemented, or three months after a recorded violation;

[[Page 32264]]

2. Applicable regulation to be adopted 12 months after date

established in ``1'' above;

3. Regulation implemented within 6 months of adoption;

4. Compliance achieved within 12 months of adoption.

EPA finds that the contingency measures in the Commonwealth's

submittal meet the requirements of section 175(A)(d) of the Act and

EPA's policy concerning the use of I/M as a contingency measure as

outlined in the January 5, 1995 rulemaking [60 FR 1735].

5.E. Subsequent Maintenance Plan Revisions

In accordance with section 175A(b) of the Act, the Commonwealth of

Virginia has agreed to submit a revised maintenance SIP eight years

after the area is redesignated to attainment. Such revised SIP will

provide for maintenance for an additional ten years.

EPA has determined that the maintenance plan adopted by the

Commonwealth of Virginia for the Richmond nonattainment area and

submitted to EPA on July 26, 1996 meets the requirements of section

175A of the Act. Therefore, EPA is proposing approval of the

maintenance plan.

III. Interim Implementation Policy (IIP) Impact

On December 13, 1996, EPA published proposed revisions to the ozone

and particulate matter NAAQS. Also on December 13, 1996, EPA published

its proposed policy regarding the interim implementation requirements

for ozone and particulate matter during the time period following any

promulgation of a revised ozone or particulate matter NAAQS (61 FR

65751). This IIP includes a proposed policy regarding ozone

redesignation actions submitted to and approved by EPA prior to

promulgation of a new ozone standard, as well as those submitted prior

to and approved by EPA after the promulgation date of a new or revised

ozone standard.

According to the proposed IIP policy, complete redesignation

requests, submitted and approved by EPA prior to the promulgation date

of the new or revised ozone standard, will be allowed to redesignate to

attainment based on the maintenance plan's ability to demonstrate

attainment of the current 1-hour standard and compliance with existing

redesignation criteria.

As discussed previously, the Richmond redesignation request

demonstrates attainment under the current 1-hour ozone standard. Since

the EPA is proposing to approve this request prior to the promulgation

date of the new or revised ozone standard, the Richmond redesignation

request is compatible with the proposed IIP.

IV. Motor Vehicle Emissions Budget

To achieve expeditious attainment of the NAAQS, the Clean Air Act

provisions at section 176 require that any project, program or plan in

any way approved, accepted or funded by the federal government conform

to the applicable SIP. As discussed earlier in this rulemaking in

2.B.2. Conformity Provisions, conformity determinations are required in

both maintenance and nonattainment areas. Transportation projects,

Transportation Improvement Programs (TIPs) and Long Range

Transportation Plans must demonstrate conformity.

In 40 CFR 51.392 EPA defines a motor vehicle emissions budget as

that portion of the total allowable emissions of any criteria pollutant

or its precursors, which is defined in a revision to the SIP required

to meet reasonable further progress, attainment or maintenance

demonstrations, and which is allocated to highway and transit vehicles.

The applicable implementation plan for an ozone nonattainment area

designates a motor vehicle emissions budget for VOCs and may also

allocate a similar budget for NOX in the case of the Post

1996 Reasonable Further Progress Plans required in ozone nonattainment

areas classified as serious or above. The applicable SIP for an ozone

nonattainment area may also include a NOX budget if

NOX reductions are being substituted for reductions of VOCs

in milestone years required for reasonable further progress. The

applicable SIP must demonstrate that this NOX budget will be

achieved with measures contained therein.

40 CFR 51.404 requires that long range transportation plans

specifically describe the transportation system envisioned for certain

future years, which are called horizon years. For maintenance areas,

the regional analysis of emissions from this transportation system in

each horizon year must be less than or equal to the motor vehicle

emissions budget established by the maintenance plan. EPA's

transportation conformity regulations require long range transportation

plans to demonstrate conformity for a period of time (20 years) that

goes well beyond the actual control strategy period on which the budget

is based. The maintenance plan requires adopted rules to cover only a

ten year maintenance period (Virginia's maintenance period for Richmond

lasts until 2007).

Virginia is required by the Clean Air Act to perform a regional

emissions analysis on their long range transportation plans and compare

the ozone precursor emissions from this analysis to the VOC and

NOX motor vehicle emissions budgets, in ten year increments

for the 20 year timeframe of the long range transportation plan. The

Commonwealth chose to create a VOC and NOX motor vehicle

emissions budget for the Richmond area for the years after the 10-year

timeframe of the maintenance plan in order to facilitate transportation

conformity determinations. To accommodate the projected mobile

emissions growth in the Richmond area in the horizon years of the

transportation planning cycle (2015 and beyond), additional emission

reductions from enforceable control measures are necessary for positive

conformity determination purposes. To be creditable, such reductions

must be included in the SIP for the area.

On July 30, 1996, Virginia submitted a SIP revision modifying the

motor vehicle emissions budgets in the Richmond maintenance plan in

support of the area's transportation plans for the period beginning in

2015. Although mobile source emissions of NOX and VOC are

predicted to rise in the year 2015 as VMT increases, Virginia

anticipates that emission reductions will occur during this time

period. The mobile emissions budget relies on reductions from a ban on

open burning of such materials as trees, shrubs and brush from land

clearing, trimmings from landscaping and household or business trash in

the maintenance area during the ozone season months of June-August

beginning in the year 2000. Additionally, reductions are anticipated

from pending national emission control programs on non-road sources to

offset growth, specifically new engine standards for marine engines,

locomotive engines and heavy duty diesel engines. The Act requires that

EPA promulgate new emission standards for marine engines, locomotive

engines and heavy duty diesel engines. The emissions reductions from

the open burning ban and the national control programs create a safety

margin. For Richmond the safety margin for VOCs is 3.78 tons/day and

for NOX 6.64 tons/day. All these reductions from the area

and non-road source categories are allocated to the motor vehicle

emissions budget for the purposes of conformity determinations. The

motor vehicle emissions budgets in the maintenance plan are increased

to 35.64 tons/day for VOCs and 67.71 tons/day for NOX,

effective on January 1,

[[Page 32265]]

2015. Virginia used applicable EPA guidance in calculating the

anticipated emission benefits from the national control programs. EPA's

guidance includes two policy memos ``Future Nonroad Emission Reduction

Credits for Locomotives'' dated January 3, 1995 and ``Future Nonroad

Emission Reduction Credits for Court Ordered Nonroad Standards'' dated

November 28, 1996.

In general, approved budgets in the SIP are not superseded until

the replacement budgets in the next SIP are actually SIP approved.

However, because budgets after 2007 are not required by the Act for

this maintenance plan and are being established for conformity purposes

only to bridge the gap between the end of the first maintenance plan

and the horizon years, these budgets will cease to apply once the

second ten-year maintenance plan is submitted to EPA. The new submitted

budget prepared by the Commonwealth for the second 10-year maintenance

plan will replace the budget being approved today, as soon as it is

submitted to EPA because these budgets will be a more appropriate basis

of conformity. If the national emission control programs relied on in

this SIP revision are not implemented according to the current schedule

or do not produce the emission benefits anticipated, the Commonwealth

commits to revising the SIP to include other measures as necessary to

compensate any shortfall. Furthermore, the long range motor vehicle

emission budget approved today will have to be incorporated into the

second ten-year maintenance plan demonstrating continued attainment of

the ozone NAAQS developed for the Richmond area. To satisfy conformity

requirements in outlying years, EPA is approving the motor vehicle

emissions budget for the Richmond area submitted on July 30, 1996 into

the Virginia SIP.

V. Proposed Action

EPA has evaluated the Commonwealth's redesignation request for

Richmond for consistency with the Act, EPA regulations, and EPA policy.

EPA has determined that the redesignation request and maintenance plan

submitted by the Commonwealth meet the requirements of section

107(d)(3)(E) and policy set forth in the General Preamble and policy

memorandum discussed in this notice for area redesignations, and today

is proposing approval of Virginia's redesignation request for Richmond

submitted on July 26, 1996. Furthermore, EPA is proposing approval of

the required maintenance plan into the Virginia SIP because it meets

the requirements of section 175A. EPA is also proposing to approve the

motor vehicle emissions budget for the Richmond area into the SIP. The

Richmond nonattainment area is subject to the Act's requirements for

moderate ozone nonattainment areas until and unless it is redesignated

to attainment. EPA is soliciting public comments on the issues

discussed in this document. These comments will be considered before

taking final action. Interested parties may participate in the Federal

rulemaking procedure by submitting written comments to the EPA Regional

office listed in the Addresses section of this document.

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.

VI. Administrative Requirements

A. Executive Order 12866

This action has been classified as a Table 3 action for signature

by the Regional Administrator under the 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 (OMB) has

exempted this regulatory action from E.O. 12866 review.

B. Regulatory Flexibility Act

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.

Redesignation of an area to attainment under section 107(d)(3)(E)

of the Act does not impose any new requirements on small entities.

Redesignation is an action that affects the status of a geographical

area and does not impose any regulatory requirements on sources. The

Administrator certifies that the approval of the redesignation request

will not affect a substantial number of small entities.

C. Unfunded Mandates

Under Section 202 of the Unfunded Mandates Reform Act of 1995

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

must prepare a budgetary impact statement to accompany any proposed or

final rule that includes a Federal mandate that may result in estimated

costs to State, local, or tribal governments in the aggregate; or to

private sector, of $100 million or more. Under 40 CFR section 205, EPA

must select the most cost-effective and least burdensome alternative

that achieves the objectives of the rule and is consistent with

statutory requirements. Section 203 requires EPA to establish a plan

for informing and advising any small governments that may be

significantly or uniquely impacted by the rule.

EPA has determined that the approval action proposed does not

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

million or more to either State, local, or tribal governments in the

aggregate, or to the private sector. This Federal action approves pre-

existing requirements under State or local law, and imposes no new

Federal requirements. Accordingly, no additional costs to State, local,

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

action.

The Regional Administrator's decision to approve or disapprove

Virginia's redesignation request for Richmond, the associated

maintenance plan and the Richmond area mobile emissions budget will be

based on whether it meets the requirements of section 110(a)(2) (A)-(K)

and part D of the Clean Air Act, as amended, and EPA regulations in 40

CFR Part 51.

List of Subjects in 40 CFR Part 52

Environmental protection, Air pollution control, Hydrocarbons,

Intergovernmental relations, Nitrogen dioxide, Ozone.

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

Dated: June 5, 1997.

W. Michael McCabe,

Regional Administrator, Region III.

[FR Doc. 97-15569 Filed 6-12-97; 8:45 am]

BILLING CODE 6560-50-P