Approval and Promulgation of Implementation Plans; California State Implementation Plan Revision, San Diego County Air Pollution Control District

ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[CA 198-0056; FRL-5907-3]

Approval and Promulgation of Implementation Plans; California

State Implementation Plan Revision, San Diego County Air Pollution

Control District

AGENCY: Environmental Protection Agency (EPA).

ACTION: Proposed rule.

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

Implementation Plan (SIP) which concern the control of volatile organic

compound (VOC) emissions from kelp processing and bio-polymer

manufacturing operations.

The intended effect of proposing approval of this rule 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

will incorporate this rule into the federally approved SIP. In

addition, final action on this rule will serve as a final determination

that deficiencies in the rule (identified by EPA in a limited approval/

limited disapproval action on February 14, 1996) have been corrected

and that any sanctions or Federal Implementation Plan (FIP) obligations

are permanently stopped. An Interim Final Determination published in

today's Federal Register will defer the imposition of sanctions until

EPA takes final action. EPA has evaluated the rule and is proposing to

approve the rule 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 November 10, 1997.

ADDRESSES: Comments may be mailed to: Andrew Steckel, Rulemaking Office

(AIR-4), Air Division, U.S. Environmental Protection Agency, Region IX,

75 Hawthorne Street, San Francisco, CA 94105-3901.

Copies of the rule and EPA's evaluation report of the rule are

available for public inspection at EPA's Region 9 office during normal

business hours. Copies of the submitted rule are also available for

inspection at the following locations:

San Diego County Air Pollution Control District, 9150 Chesapeake Drive,

San Diego, CA 92123-1096

California Air Resources Board, Stationary Source Division, Rule

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

FOR FURTHER INFORMATION CONTACT: Patricia A. Bowlin, Rulemaking Office

(AIR-4), Air Division, U.S. Environmental Protection Agency, Region IX,

75 Hawthorne Street, San Francisco, CA 94105-3901, (415) 744-1188.

SUPPLEMENTARY INFORMATION:

I. Applicability

The rule being proposed for approval into the California SIP is San

Diego County Air Pollution Control District (SDCAPCD) Rule 67.10, Kelp

Processing and Bio-Polymer Manufacturing Operations. This rule was

submitted by the California Air Resources Board (CARB) to EPA on August

1, 1997.

II. 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 the San Diego Area. 43 FR

8964; 40 CFR 81.305. On May 26, 1988, EPA notified the Governor of

California, pursuant to section 110(a)(2)(H) of the pre-amended

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Act, that the SDCAPCD'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. San Diego Area is classified as Serious

2; 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-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 San Diego 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 56 FR 56694

(November 6, 1991). The San Diego Area was reclassified from Severe-

15 to Serious on January 19, 1995, 60 FR 3771.

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The State of California submitted many revised RACT rules for

incorporation into its SIP on August 1, 1997, including the rule being

acted on in this document. This document addresses EPA's proposed

action for SDCAPCD Rule 67.10, Kelp Processing and Bio-Polymer

Manufacturing Operations. SDCAPCD adopted Rule 67.10 on June 25, 1997.

This submitted rule was found to be complete on September 30, 1997

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

part 51 Appendix V 3 and is being proposed for approval into

the SIP.

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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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Rule 67.10 controls the emissions of VOCs from kelp processing and

bio-polymer manufacturing operations. VOCs contribute to the production

of ground-level ozone and smog. The rule was adopted as part of

SDCAPCD's efforts to achieve the National Ambient Air Quality Standard

(NAAQS) 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

proposed action for the rule.

III. 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). For source

categories that do not have an applicable CTG (such as kelp processing

and bio-polymer manufacturing operations), state and local agencies may

determine what controls are required by reviewing the operation of

facilities subject to the regulation and evaluating regulations for

similar sources in other areas. Within the SDCAPCD there is only one

facility that performs kelp processing and bio-polymer manufacturing

operations. For this source category, the RACT determination required

an evaluation of the manufacturing process and the emissions specific

to this facility. The evaluation also considered the technological and

economic feasibility of proposed controls at individual emission

points.

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.

On February 14, 1996, EPA published a limited approval and a

limited disapproval of a version of Rule 67.10 that had been adopted by

SDCAPCD on June 15, 1994. The limited approval action incorporated this

version of Rule 67.10 into the SIP. SDCAPCD's submitted Rule 67.10,

Kelp Processing and Bio-Polymer Manufacturing Operations, includes the

following significant changes from the current SIP:

Deletes the exemption for any VOC with a normal boiling

point of 185 deg.C or greater.

Deletes provision allowing fugitive liquid leaks from

incorporators to contain up to 50% VOC by weight.

Increases records retention period from two to five years.

Deletes restriction that test periods shorter than 16

hours cannot be used to determine non-compliance.

Requires 90% reduction VOC emissions from dryers in kelp

processing lines where PG is being emitted.

Requires 80% reduction of VOC emissions from

incorporators.

Adds EPA-approved capture efficiency test method protocol.

Requires monthly visual inspection of system components to

ensure absence of fugitive liquid leaks.

EPA has evaluated the submitted rule and has determined that it is

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

SDCAPCD Rule 67.10, Kelp Processing and Bio-Polymer Manufacturing

Operations is 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.

IV. Administrative Requirements

A. Executive Order 12866

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

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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 section 110 and subchapter I, part D of the

Clean Air Act 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, the

Administrator certifies 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 flexibility

analysis would constitute Federal inquiry into the economic

reasonableness of state action. The Clean Air Act forbids EPA to base

its actions concerning SIPs on such grounds. Union Electric Co. v. U.S.

EPA, 427 U.S. 246, 255-66 (1976); 42 U.S.C. 7410(a)(2).

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 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.

D. Submission to Congress and the General Accounting Office

Under section 801(a)(1)(A) of the Administrative Procedures Act

(APA) as amended by the Small Business Regulatory Enforcement Fairness

Act of 1996, EPA submitted a report containing this rule and other

required information to the U.S. Senate, the U.S. House of

Representatives, and the Comptroller General of the General Accounting

Office prior to publication of the rule in today's Federal Register.

This rule is not a ``major rule'' as defined by section 804(2) of the

APA as amended.

List of Subjects in 40 CFR Part 52

Environmental protection, Air pollution control, Hydrocarbons,

Intergovernmental relations, Ozone, Reporting and recordkeeping

requirements, Volatile organic compounds.

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

Dated: October 1, 1997.

Harry Seraydarian,

Acting Regional Administrator.

[FR Doc. 97-26856 Filed 10-9-97; 8:45 am]

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