Approval and Promulgation of Implementation Plans; New Hampshire

ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[NH-7157b; FRL-5906-9]

Approval and Promulgation of Implementation Plans; New Hampshire

AGENCY: Environmental Protection Agency (EPA).

ACTION: Notice of proposed rulemaking.

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SUMMARY: The EPA is proposing action on State Implementation Plan (SIP)

revisions submitted by the State of New Hampshire. The EPA is proposing

[[Page 55545]]

approval of New Hampshire's 1990 base year ozone emission inventories,

15 Percent Rate of Progress (ROP) and Contingency plans, and

establishment of a Photochemical Assessment Monitoring Stations (PAMS)

network, as revisions to the New Hampshire SIP for ozone. The inventory

was submitted by the State of New Hampshire to satisfy a CAA

requirement that those States containing ozone nonattainment areas

classified as marginal to extreme submit inventories of actual ozone

season emissions from all sources in accordance with EPA guidance. The

15% ROP and contingency plans were submitted to satisfy CAA provisions

that require ozone nonattainment areas classified as moderate and above

to devise plans to reduce VOC emissions by 1996 when compared to a 1990

baseline. The PAMS SIP revision was submitted to provide for the

establishment and maintenance of an enhanced ambient air quality

monitoring network by November 15, 1993.

In the final rules section of today's Federal Register, the EPA is

approving the New Hampshire 1990 base year emission inventories and

PAMS network as revisions to the New Hampshire SIP as a direct final

rule without prior proposal, because the Agency views these as

noncontroversial revision amendments and anticipates no adverse

comments. A detailed rationale for each approval is set forth in the

direct final rule. The EPA is not publishing a direct final rule for

the New Hampshire 15 percent ROP and contingency plans. If no adverse

comments are received on this direct final rule, no further activity is

contemplated in relation to this proposed rule for these revisions. If

EPA receives any material adverse comments, the direct final rule will

be withdrawn and all public comments received will be addressed in a

subsequent final rule based on this proposed rule. The EPA will not

institute a second comment period on this document. Any parties

interested in commenting on this document should do so at this time.

DATES: Public comments on this document are requested and will be

considered before taking final action on this SIP revision. Comments on

this proposed action must be post marked by November 26, 1997.

ADDRESSES: Written comments on this action should be addressed to Susan

Studlien, Deputy Director, Office of Ecosystem Protection,

Environmental Protection Agency, Region I, JFK Federal Building,

Boston, Massachusetts, 02203. Copies of the documents relevant to this

action are available for public inspection during normal business hours

at the EPA Region I office, and at the New Hampshire Department of

Environmental Services, Air Resources Division, 64 North Main Street,

Caller Box 2033, Concord, NH 03302-2033. Persons interested in

examining these documents should make an appointment with the

appropriate office at least 24 hours before the visiting day.

FOR FURTHER INFORMATION CONTACT: Robert F. McConnell, Air Quality

Planning Unit, EPA Region I, JFK Federal Building, Boston,

Massachusetts, 02203; telephone (617) 565-9266.

SUPPLEMENTARY INFORMATION: For supplementary information regarding the

New Hampshire 1990 base year emission inventories or establishment of a

PAMS network, see the information provided in the direct final action

of the same title which is located in the rules section of today's

Federal Register.

This notice is divided into the following four parts:

I. Background

II. Analysis of State Submission

III. Proposed Action

IV. Administrative Requirements

I. Background

Section 182(b)(1) of the CAA as amended in 1990 requires ozone

nonattainment areas with classifications of moderate and above to

develop plans to reduce area-wide anthropogenic VOC emissions by 15

percent from a 1990 baseline. The plans were to be submitted by

November 15, 1993 and the reductions were required to be achieved

within 6 years of enactment or November 15, 1996. The Clean Air Act

also sets limitations on the creditability of certain types of

reductions. Specifically, States cannot take credit for reductions

achieved by Federal Motor Vehicle Control Program (FMVCP) measures (new

car emissions standards) promulgated prior to 1990 or for reductions

resulting from requirements to lower the Reid Vapor Pressure (RVP) of

gasoline promulgated prior to 1990. Furthermore, the CAA does not allow

credit for corrections to basic Vehicle Inspection and Maintenance

Programs (I/M) or corrections to Reasonably Available Control

Technology (RACT) rules as these programs were required prior to 1990.

In addition, section 172(c)(9) and 182(c)(9) of the CAA requires

that contingency measures be included in the plan revision to be

implemented if an area misses an ozone SIP milestone, or fails to

attain the standard by the date required by the CAA.

There are two serious ozone nonattainment areas in New Hampshire,

and therefore the State is subject to the 15 Percent ROP requirements.

The two areas are the Portsmouth-Dover-Rochester area, which includes

all of Strafford County and portions of Rockingham County, and the New

Hampshire portion of the Boston-Lawrence-Worcester area which includes

portions of Hillsborough and Rockingham Counties. New Hampshire did not

enter into an agreement with Massachusetts to do a multi-state 15

percent and contingency plan, and therefore submitted a plan to reduce

emissions only in the New Hampshire portion of this area. EPA is taking

action today only on the New Hampshire portion of the Boston-Lawrence-

Worcester 15 percent plan.

New Hampshire submitted a 15% ROP plan for these two areas to the

EPA on February 3, 1994, and revisions to the plan on May 16, 1994 and

August 29, 1996. The state's submittal contained adopted rules for all

of the VOC control measures identified within the plan.

II. Analysis of State Submission

The EPA has analyzed New Hampshire's submittal and believes that

the proposed 15 Percent ROP and Contingency plans can be approved

because they will strengthen the SIP by achieving reductions in VOC

emissions, and because the State has correctly calculated its emission

reduction obligations brought about by these requirements in accordance

with the EPA's guidance. For a complete discussion of EPA's analysis of

the New Hampshire 15 Percent ROP plan and Contingency Plan, please

refer to the Technical Support Document for this action. A summary of

the EPA's findings follows.

Emission Inventory

The base from which States determine the required reductions in the

15 Percent ROP and Contingency plans is the 1990 emission inventory.

The EPA is approving the New Hampshire 1990 emission inventories in a

direct final action included in the Rules section of today's Federal

Register. The emission estimates used within the 15 Percent ROP

calculations match those found in the State's 1990 base year emission

inventories.

Calculation of Target Level Emissions

New Hampshire subtracted the non-creditable reductions from the

FMVCP

[[Page 55546]]

from the 1990 inventory. No adjustment to the inventory to account for

the RVP of gasoline sold in the state in 1990 was necessary. The

modification to subtract non-creditable reductions from the FMVCP

results in the 1990 adjusted inventory. The total emission reduction

required to meet the 15 Percent ROP Plan requirements equals the sum of

the following items: 15 percent of the adjusted inventory, reductions

that occur from noncreditable programs such as the FMVCP program,

reductions needed to offset any growth in emissions that takes place

between 1990 and 1996, and reductions that result from corrections to

the I/M or VOC RACT rules. Table 1 summarizes these calculations for

the two serious ozone nonattainment areas in New Hampshire.

Table 1.--Calculation of Required Reductions (Tons/Summer Day)

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

Por-Dov- Bos-Law-

Roc Wor

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

1990 Anthropogenic Emission Inventory............... 41.0 55.9

1990 Adjusted Inventory............................. 35.6 48.0

15% of Adjusted Inventory........................... 5.3 7.2

Non-creditable Reductions........................... 5.4 7.9

1996 Target......................................... 30.3 40.8

1996 \1\ Projected, Uncontrolled Emissions.......... 37.4 52.7

Required Reduction \2\.............................. 7.1 11.9

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

\1\ 1996 emissions for on-road mobile sources were calculated using an

emission factor that reflected the level of control achieved by the

FMVCP in 1996.

\2\ Required Reductions obtained by subtracting 1996 target from the

1996 projected uncontrolled inventory.

Measures Achieving the Projected Reductions

New Hampshire has provided a plan to achieve the emissions

reductions required for the Portsmouth-Dover-Rochester nonattainment

area and the New Hampshire portion of the Boston-Lawrence-Worcester

nonattainment area. The EPA agrees with the emission reductions

projected in the State submittals from the control measures identified

within these plans. The following is a description of each control

measure New Hampshire used to achieve emission reduction credit within

its 15% ROP plans.

A. Point Source Emission Reductions

RACT Controls. New Hampshire projects that a 2.1 tons per summer

day (tpsd) emission reduction will occur within the Por-Dov-Roc area,

and a 2.6 tpsd emission reduction will occur within the Bos-Law-Wor

area from the implementation of VOC Reasonably Available Control

Technology (RACT) on point sources, and from plant shutdowns.

Section 182(b)(2)(B) of the CAA requires that moderate and above

ozone nonattainment areas adopt rules to require RACT for all VOC

sources in the area covered by any Control Technique Guideline (CTG)

issued before the date of the enactment of the Clean Air Act amendments

of 1990. New Hampshire imposed new RACT controls on facilities involved

in the processes covered by a CTG to meet this requirement {these

controls are referred to as ``RACT Catchups''}.

New Hampshire submitted VOC RACT catch-up regulations to the EPA on

December 21, 1992, and June 28, 1996. EPA has not acted on these rules,

but intends to by the time final action is taken on the New Hampshire

15 percent plans. Emission reductions from these rules are creditable

toward the ROP requirement. The State has documented the level of

emission reductions claimed from point sources. The State's 15% ROP

plans contain a discussion of the emission reductions expected from

individual point sources, and a table which lists each point source in

the State from which emission reductions are anticipated by 1996. While

EPA agrees that these RACT rules achieves the level of emission

reductions New Hampshire is claiming in its 15% plan, EPA is not making

any finding in this proposal whether the rules are otherwise consistent

with all CAA requirements.

Plant Closures: New Hampshire's 15% plan identifies facilities that

will cease operations between 1990 and 1996. The State has used the

emission reductions generated from these plant closures as part of its

15 percent ROP plans. The emission reductions generated from these

plant closures cannot, therefore, be used for other purposes, such as

to meet the emissions offset provisions of the new source review

program or as a source of a tradeable emission commodity.

B. Area Source Controls

Stage I: Emissions from underground tank filling operations at

gasoline service stations can be reduced by the use of a vapor balance

system, which is termed Stage I vapor control. New Hampshire has

adopted a Stage I gasoline vapor recovery regulation, and submitted the

rule to the EPA as a SIP revision. EPA has not acted on this rule, but

intends to by the time final action is taken on the New Hampshire 15

percent plans. The data used to derive the anticipated emission

reduction from implementation of this rule are documented within the NH

15% ROP plans. The EPA agrees with the level of emission reductions

projected by the State. While EPA agrees that the Stage I rule achieves

the level of emission reductions New Hampshire is claiming in its 15%

plan, EPA is not making any finding in this proposal whether the rule

is otherwise consistent with all CAA requirements.

Underground Tank Breathing: New Hampshire's Stage I rule contains a

requirement that a pressure vacuum (PV) valve be installed on vents

located on underground tanks at service stations. The EPA agrees with

the emission reductions claimed by the State due to this provision of

the Stage I rule.

Stage II: New Hampshire has adopted an air pollution control rule

that will limit VOC emissions from automobile refueling activity,

commonly referred to as Stage II emissions. The rule was submitted to

the EPA on December 21, 1992. EPA has not acted on this rule, but

intends to by the time final action is taken on the New Hampshire 15

percent plans. The EPA agrees with the emission reduction credit

claimed by the state due to the implementation of this program. While

EPA agrees that the Stage II rule achieves the level of emission

reductions New Hampshire is claiming in its 15% plan, EPA is not making

any finding in this proposal whether the rule is otherwise consistent

with all CAA requirements.

Surface Cleaning Controls: New Hampshire adopted a VOC RACT rule

that controls emissions from open top and cold cleaning degreasing

operations. The State determined that area source emissions would also

be reduced by this rule, which is consistent with EPA guidance. The

emission reductions claimed by the State from this rule are therefore

creditable towards the 15% ROP plan.

Automobile Refinishing: On November 29, 1994, EPA issued a final

guidance memorandum that allowed States to assume a 37 percent control

level for this source category without adopting a State rule due to a

pending National rule. New Hampshire used this guidance to determine

the magnitude of emission reductions expected to occur within its two

ozone nonattainment areas. The EPA agrees with the level of emission

reductions projected by the State.

Commercial and Consumer Products: On June 22, 1995, EPA issued a

final guidance memorandum that allowed States to assume a 0.8 pound per

capita emission reduction for this source category without adopting a

State rule

[[Page 55547]]

due to a pending National rule. New Hampshire used this guidance to

determine the magnitude of emission reductions expected to occur within

its two ozone nonattainment areas. The EPA agrees with the level of

emission reductions projected by the State.

Architectural Coatings: In a memo dated March 22, 1995, EPA

provided guidance on the expected reductions from a pending national

rulemaking on AIM coatings. The memo projects that emissions would be

reduced by 20 percent for both architectural coatings and industrial

maintenance coatings. New Hampshire used this guidance to determine the

magnitude of emission reductions expected to occur within its two ozone

nonattainment areas. The EPA agrees with the level of emission

reductions projected by the State.

(C) On-Road Mobile Source Controls

Reformulated Gasoline (RFG): Section 211(k) of the Clean Air Act

requires that after January 1, 1995 in severe and above ozone

nonattainment areas, only reformulated gasoline be sold or dispensed.

This gasoline is reformulated to burn cleaner and produce fewer

evaporative emissions. The state of New Hampshire contains two

``serious'' ozone nonattainment areas and one ``marginal'' area, and

therefore is not required to sell reformulated fuels. However, on

October 28, 1991 the State submitted a letter from the Governor

requesting that New Hampshire participate in the reformulated fuels

program. This request was published in the Federal Register on December

23, 1991, 56 FR 66444. The EPA agrees with the emission reductions

calculated by the state due to the use of reformulated gasoline in on-

road vehicles.

Tier I Federal Motor Vehicle Control Program (FMVCP): The EPA

promulgated standards for 1994 and later model year light-duty vehicles

and light-duty trucks (56 FR 25724, June 5, 1991). Since the standards

were adopted after the CAA amendments of 1990, the resulting emission

reductions are creditable toward the 15 percent emission reduction

goal. The EPA agrees with the emission reductions calculated by New

Hampshire due to the Tier I motor vehicle controls.

Non-road mobile source controls: As previously discussed, New

Hampshire has opted in to the reformulated gasoline program. In

addition to reducing VOC emissions from on-road motor vehicles, the

sale of this gasoline will also reduce VOC emissions from non-road

equipment. The EPA agrees with the emission reductions projected by New

Hampshire to occur due to the sale of reformulated gasoline in the

state.

Table 2 summarizes the emission reductions contained within the New

Hampshire 15% ROP plan. New Hampshire allocated between the two

nonattainment areas the anticipated reductions from control measures

using the same methodology that determined the allocation of its 1990

base year inventory emissions.

Table 2.--Summary of Emission Reductions: New Hampshire Serious Ozone

Nonattainment areas

(Tons/Day)

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

Por-Dov- Bos-Law-

Nonattainment area Roc Wor

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

Required Reduction................................ 7.10 11.90

Point Source Reductions........................... 2.10 2.60

Stage I........................................... 1.25 2.09

Stage II.......................................... 1.28 2.14

Underground Tank Breathing........................ 0.11 0.18

Surface Cleaning.................................. 0.30 0.50

Auto Refinishing.................................. 0.41 0.69

Consumer & Com. Prod.............................. 0.19 0.32

Architectural Coatings............................ 0.38 0.63

Reform (On-road), Tier 1.......................... 2.60 3.90

Reform, Off-road.................................. 0.20 0.20

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

Total....................................... 8.82 13.25

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

Contingency Measures: Ozone nonattainment areas classified as

moderate or above must submit to the EPA, pursuant to section 172(c)(9)

and 182(c)(9) of the CAA, contingency measures to be implemented if an

area misses an ozone SIP milestone or does not attain the national

ambient air quality standard by the applicable date. The General

Preamble to Title I, (57 FR 13498) states that the contingency measures

should, at a minimum, ensure that an appropriate level of emission

reduction progress continues to be made if attainment or RFP is not

achieved and additional planning by the State is needed. The EPA

interprets this provision of the CAA to require States with moderate

and above ozone nonattainment areas to submit sufficient contingency

measures so that upon implementation of such measures, additional

emission reductions of three percent of the adjusted base year

inventory (or a lesser percentage that will make up the identified

shortfall) would be achieved in the year after the failure has been

identified. States must show that their contingency measures can be

implemented with minimal further action on their part and with no

additional rulemaking actions such as public hearings or legislative

review.

Surplus Emission Reduction from 15 Percent Plan: New Hampshire's 15

percent ROP plans achieve more emission reductions than required. This

is illustrated within Table 2 above. New Hampshire's contingency

obligations for its two ozone nonattainment areas are 1.1 tpsd for the

Por-Dov-Roc area, and 1.4 tpsd for the New Hampshire portion of the

Bos-Law-Wor area. The surplus credit generated by the control measures

in the 15 Percent ROP plans is sufficient to accommodate the 3 percent

emission reduction requirement for contingency plans for the State's

two serious ozone nonattainment areas. EPA notes that the State's SIP

indicates that a 0.1 tpsd surplus exists in the New Hampshire portion

of the Bos-Law-Wor area after accounting for contingency reductions.

However, the data presented in Table 2 indicates a minor shortfall of

0.05 exists after accounting for the 1.4 tpsd contingency obligation

for this area. Given the large number of inventory and emission

reduction calculations used to derive the data provided in Table 2, EPA

considers the minor shortfall of 0.05 tpsd to be within an acceptable

range of error. EPA proposes to determine that New Hampshire has met

the contingency measure requirement for both of its nonattainment

areas.

III. Proposed Action

The EPA has evaluated these submittals for consistency with the

CAA, EPA regulations, and EPA policy. The New Hampshire 15 Percent ROP

plans will achieve the required quantity of emission reductions to meet

the 15 percent ROP requirements of section 182(b)(1) of the CAA. In

addition, the New Hampshire contingency plan will achieve enough

emission reductions to meet the three percent reduction requirement

under 172(c)(9) and 182(c)(9) of the CAA. Therefore, the EPA is

proposing approval of these plan revisions under Section 110(k)(3) and

Part D.

Transportation Conformity Budgets

In recognition of the proposed approval of the 15 percent ROP

plans, EPA also proposes approval of motor vehicle emission budgets for

VOCs and NOX. Final approval of the 15 percent plan will

eliminate the need for the transportation conformity emission reduction

tests, which are the build/no build test and the less than 1990

emissions test, for these pollutants.

A control strategy SIP is required to establish a motor vehicle

emission budget which places a cap on emissions that cannot be exceeded

by predicted

[[Page 55548]]

highway and transit vehicle emissions. EPA is proposing to utilize the

on-road mobile emissions provided in the 15 percent plan SIP submittals

as the motor vehicle emission budgets for transportation conformity

purposes. The 1996 projected on-road mobile emission estimates

contained within the State's 15 percent plans are shown in the

following table:

Table 3.--1996 Motor Vehicle Emission Budgets

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

NH

portion

Por-Dov- of Bos-

Roc area Law-Wor

area

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

VOC................................................. 12.1 18.0

NOX................................................. 17.2 24.1

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

EPA is soliciting public comments on the issues discussed in this

proposal or on other relevant matters. These comments will be

considered before EPA takes 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 action.

Nothing in this action should be construed as permitting or

allowing or establishing a precedent for any future request for

revision to any SIP. Each request for revision to the SIP shall be

considered separately in light of specific technical, economic, and

environmental factors, in relation to relevant statutory and regulatory

requirements.

IV. 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 review under Executive Order

12866.

B. Regulatory Flexibility Act

Under the Regulatory Flexibility Act, 5 U.S.C. Sec. 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 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 Sections 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

the 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

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

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

List of Subjects in 40 CFR Part 52

Environmental protection, Air pollution control, Hydrocarbons,

Reporting and recordkeeping, Nitrogen oxides, Ozone, Volatile organic

compounds.

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

Dated: September 29, 1997.

John P. DeVillars,

Regional Administrator, Region I.

[FR Doc. 97-28370 Filed 10-24-97; 8:45 am]

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