Amendments to the Effluent Limitations Guidelines, Pretreatment Standards, and New Source Performance Standards for the Bleached Papergrade Kraft and Soda Subcategory of the Pulp, Paper, and Paperboard Point Source Category

SUMMARY: Today EPA is proposing two amendments to 40 CFR Part 430, the

Pulp, Paper and Paperboard Point Source Category. The first affects

only existing direct discharging mills in Subpart B (Bleached

Papergrade Kraft and Soda Subcategory) that choose to enroll in the

Voluntary Advanced Technology Incentives Program being promulgated in

the final Pulp and Paper ``Cluster Rules,'' found elsewhere in today's

Federal Register. Today's proposal would require such mills to submit a

plan (referred to as the ``Milestones Plan'') specifying research,

construction, and other activities leading to achievement of the

Voluntary Advanced Technology BAT effluent limitations in

Sec. 430.24(b) of the final ``Cluster Rules,'' with accompanying dates

for achieving these milestones. The purpose of the plan would be to

provide the permitting authority with mill-specific information upon

which to base permit requirements reflecting reasonable interim

milestones as required by Sec. 430.24(b)(2).

The second amendment proposed today would authorize mills in

Subpart B to demonstrate compliance with applicable chloroform

limitations and standards, (also being promulgated today in the

``Cluster Rules'') in lieu of monitoring at a fiber line, by certifying

that the fiber line is not using elemental chlorine or hypochlorite as

bleaching agents and that they also maintain certain operational

conditions specified in the proposed regulation. This second amendment

would reduce the reporting burden for those mills that choose to

certify.

In addition, although EPA is not proposing totally chlorine-free

(TCF) technologies and associated process wastewater flow reduction

technologies as the basis for new source performance standards or

pretreatment standards for new sources for mills in Subpart B at this

time, EPA today is requesting comments and data on the feasibility of

TCF processes for this subcategory, especially the range of products

made and their specifications. EPA is also requesting comments and data

regarding effluent reduction performance of TCF processes for this

subcategory.

DATES: Comments on the proposed rule, as well as information and data

regarding the feasibility of TCF bleaching processes for new sources in

the Bleached Papergrade Kraft and Soda Subcategory, must be received by

June 15, 1998.

ADDRESSES: Send comments on this proposal, as well as information and

data regarding TCF processes, in triplicate to Mr. J. Troy Swackhammer,

Office of Water, Engineering and Analysis Division (4303), U.S.

Environmental Protection Agency, 401 M Street, SW, Washington DC 20460.

In addition to submitting hard copies of the comments, the public may

also send comments via e-mail to:[email protected].

The public record (excluding confidential business information) for

this rulemaking is available for review at the EPA's Water Docket, 401

M Street, SW, Washington DC. For access to docket materials, call (202)

260-3027 between 9:00 a.m. and 3:30 p.m. for an appointment. The EPA

public information regulation (40 CFR Part 2) provides that a

reasonable fee may be charged for copying.

FOR FURTHER INFORMATION CONTACT: Mr. J. Troy Swackhammer at (202) 260-

7128.

SUPPLEMENTARY INFORMATION:

Regulated entities. Entities potentially regulated by this action

are those operations that chemically pulp wood fiber using kraft or

soda methods to produce bleached papergrade pulp and/or bleached paper/

paperboard. Regulated categories and entities include:

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

Applicable proposed Examples of

Category amendment regulated entities

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

Industry--Bleached Submittal Pulp and

Papergrade Kraft and Soda of Milestones Plan. paper mills that

Subcategory. choose to enroll in

the Voluntary

Advanced Technology

Incentives Program.

Certificati Pulp and

on in place of Paper Mills that

chloroform choose to certify

monitoring. to the use of

Elemental Chlorine-

Free processes and

certain other

processes and

operational

controls in lieu of

monitoring for

chloroform.

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

This table is not intended to be exhaustive, but rather provides a

guide for readers regarding entities likely to be regulated by this

action. This table lists the types of entities that EPA is now aware

could potentially be regulated by this action. Other types of entities

not listed in the table could also be regulated. To determine whether

your facility is regulated by this action, you should carefully examine

the applicability criteria in Sec. 430.20 of the final Pulp and Paper

``Cluster Rules'' found elsewhere in today's Federal Register. If you

have questions regarding the applicability of this action to a

particular entity, consult the person listed in the preceding FOR

FURTHER INFORMATION CONTACT section.

Overview

This preamble describes the legal authority of this proposed rule,

background information to the development of the proposed amendments,

and the rationale for the proposed Milestones Plan and the proposed

chloroform certification provisions. This preamble also solicits

comments and data regarding the proposed amendments, as well as

information and data regarding the feasibility of Totally Chlorine-Free

bleaching processes as a basis for new source performance standards

(NSPS) or pretreatment standards for new sources (PSNS) for mills in

Subpart B (Bleached Papergrade Kraft and Soda Subcategory).

Organization of this Preamble

I. Legal Authority

II. Background

A. Voluntary Advanced Technology Incentives Program

B. Demonstrating Compliance With Chloroform Limitations

[[Page 18797]]

C. Availability of Totally Chlorine-Free Technologies

III. The Milestones Plan

A. Rational for Submittal of the Plan

B. Scope of the Milestone Plan

C. Permit Writers' Responsibilities

D. Estimates of Burden for Milestones Plan

IV. Certification in Lieu of Monitoring for Chloroform

V. Solicitation of Data and Commenters

VI. Administrative Requirements

A. Executive Order 12866

B. Regulatory Flexibility Act and the Small Business Regulatory

Enforcement Fairness Act of 1996

C. Paperwork Reduction Act

D. Unfunded Mandates Reform Act (UMRA)

E. Executive Order 12875

F. Executive Order 12898

G. National Technology Transfer and Advancement Act

I. Legal Authority

This proposed regulation would establish requirements for

submitting a ``Milestones Plan'' by mills that choose to enroll in the

Voluntary Advanced Technology Incentives Program and would reduce the

monitoring burden on mills that certify that they use elemental

chlorine-free processes and other operational controls. These

amendments to 40 CFR Part 430 are proposed under the authorities of

Sections 301, 304, 306, 307, 308, 402, and 501 of the Clean Water Act,

33 U.S.C. 1311, 1314, 1316, 1317, 1318, 1342, and 1361, as amended.

II. Background

A. Voluntary Advanced Technology Incentives Program

EPA is establishing a Voluntary Advanced Technology Incentives

Program for Subpart B to encourage direct discharging mills to move

beyond today's baseline BAT and NSPS technologies toward the ``mill of

the future,'' which EPA believes will have a minimum impact on the

environment. See 40 CFR 430.24(b) and 430.25(c). Mills that enroll in

the incentives program (hereafter AT mills) can choose between two or

three different levels of ultimate performance requirements (i.e.,

existing mills can choose Tier I, Tier II, or Tier III; new source

mills can choose Tier II or Tier III). In any tier, existing AT mills

must meet ``stage 1'' limitations, interim milestones, and ``stage 2''

limitations (i.e., the ultimate performance requirements for the

particular tier). New source AT mills must meet the ultimate Tier

performance requirements upon commencement of discharge. For further

details on this voluntary program, see Section IX of the preamble for

the promulgated ``Cluster Rules'' for the pulp and paper industry

published elsewhere in today's Federal Register.

In order to facilitate achievement of the ultimate BAT limitations

required by this program, EPA is proposing today to require all

existing mills enrolled in the voluntary incentives program to submit

plans (referred to as ``Milestones Plans'') detailing the strategy the

mill will follow to develop and implement the technologies or processes

it intends to use to achieve the Voluntary Advanced Technology BAT

limitations associated with the chosen incentive tier.

B. Demonstrating Compliance With Chloroform Limitations

In response to comments, EPA considered in connection with the

final Cluster Rules whether certification of Elemental Chlorine-Free

(ECF) bleaching processes can be used in lieu of monitoring as a basis

for compliance with the regulations published elsewhere in the Federal

Register today. EPA determined that the information available at this

time does not demonstrate that ECF certification alone is sufficient to

ensure compliance with the regulations promulgated today. Therefore,

the effluent limitations guidelines promulgated today do not allow

certification of ECF bleaching to replace monitoring for any regulated

pollutant. However, EPA is proposing here to allow mills in Subpart B

that demonstrate compliance with the applicable chloroform limitations

or standards through required monitoring over a two-year period to

demonstrate continuing compliance with chloroform limitations and

standards by certifying that they use ECF bleaching processes and also

maintain process and operation conditions in use during the initial

two-year monitoring period. See Section IV. EPA is requesting data to

further inform its final decision in this matter. See Section V.

C. Availability of Totally Chlorine-Free Technologies

With respect to Totally Chlorine-Free (TCF) bleaching processes,

several non-U.S. mills have reported the production of TCF softwood

kraft pulp at full market brightness. However, EPA's data are not

sufficient to confirm that TCF bleaching processes are technically

demonstrated for the full range of market products currently served by

the bleached kraft process. EPA is also unable, based on the

information available today, to define a segment of the Bleached

Papergrade Kraft and Soda subcategory for which TCF bleaching processes

and, if appropriate, flow reduction technologies similar to those

incorporated in the Voluntary Advanced Technology Incentives program,

are known to be technically feasible and thus could be the basis for

NSPS or PSNS. EPA believes that progress being made in developing TCF

bleaching processes and process wastewater flow reduction technologies

is substantial, and that additional data may demonstrate that TCF

processes and flow reduction technologies are indeed available for the

full range, or a substantial portion, of market products. To this end,

EPA is soliciting additional data and comment on the full range of

market specifications currently being achieved for TCF kraft pulp

(e.g., brightness, strength, and cleanliness). EPA also will further

evaluate whether the performance of TCF and associated process

wastewater flow reduction technologies would be superior

environmentally to the performance of the technology basis of the new

NSPS/PSNS standards for Subpart B mills published elsewhere in today's

Federal Register. Depending on these findings, EPA will determine

whether to propose revisions to NSPS/PSNS based upon TCF for Subpart B

mills.

III. The Milestones Plan

A. Rationale for Submittal of the Plan

EPA has determined that the Milestones Plan described in today's

proposed amendment to 40 CFR 430.24 will provide information necessary

for the development of interim limitations or permit conditions under

40 CFR 430.24(b)(2) that lead to achievement of the Voluntary Advanced

Technology BAT limitations codified at 40 CFR 430.24(b) (3) and (4).

See CWA section 308(a). Once incorporated into NPDES permits, these

milestones will be enforceable and will provide valuable benchmarks for

reasonable inquiries into progress being made by participating mills

toward achievement of the interim and ultimate Tier limits. EPA

believes that requiring each mill enrolled in the Voluntary Advanced

Technology Incentives Program to submit an individualized Milestones

Plan to its permitting authority will provide the necessary flexibility

to the mill and the permit writer so that the milestones selected to be

incorporated into the mill's NPDES permit reflect the unique situation

at that mill. These interim milestones will represent reasonable

further progress toward the achievement of the six-year milestone

limits for Tiers II and III and the ultimate Advanced Technology BAT

limitations for all Tiers. As developed by each individual mill, these

milestones should reflect the planning process under which the mill

[[Page 18798]]

determined the ultimate Tier limits to be economically achievable.

B. Scope of the Milestones Plan

As proposed today, the Milestones Plan would describe each

envisioned new technology component or process modification the mill

intends to implement in order to achieve the Voluntary Advanced

Technology BAT limits. In addition, the mill would be required to

include a master schedule in the plan showing the sequence of

implementing the new technologies and process modifications and

identifying critical-path relationships within the sequence. For each

individual technology or process modification, the Milestones Plan

would need to include: (1) A schedule that lists the anticipated dates

that associated construction, installation, and/or process changes will

be initiated; (2) the anticipated date that those steps will be

completed; (3) the anticipated date that the Advanced Technology

process or individual component will be fully operational; (4) and the

anticipated reductions in effluent quantity and improvements in

effluent quality as measured at the bleach plant (for bleach plant,

pulping area and evaporator condensates flow and BAT parameters other

than Adsorbable Organic Halides (AOX)) and at the end of the pipe (for

AOX). For those technologies or process modifications that are not

commercially available or demonstrated on a full-scale basis at the

time the plan is developed, the plan would be required to include a

schedule for research (if necessary), process development, and mill

trials. The schedule for research, process development, and mill trials

would need to show major milestone dates and the anticipated date the

technology or process change will be available for mill implementation.

The plan also would need to include contingency plans in the event that

any of the technologies or processes specified in the Milestones Plan

need to be adjusted or alternative approaches developed to ensure that

the ultimate tier limits are achieved by the dates outlined in the

master schedule. EPA is proposing new regulatory language describing

the Milestones Plan in Sec. 430.24(c).

C. Permit Writers' Responsibilities

EPA expects the permitting authority to use the information

contained in those plans, as well as its own best professional

judgment, to establish enforceable interim milestones applying all

statutory factors. EPA also expects permit writers to include reopener

clauses in the permits to adjust these interim milestones as necessary

to reflect the results of research, process development, mill trials,

and contingencies as appropriate.

D. Estimates of Burden for Milestones Plan

EPA has estimated the reporting burden associated with the required

Milestones Plan, and is developing a draft Information Collection

Request (ICR) under the Paperwork Reduction Act, described in Section

VI.C. These estimates reflect the burden of preparing the Milestones

Plan, and are based on the assumption that plans will follow the

outline given as an example in the ``Voluntary Advanced Technology

Incentives Program Technical Support Document'' (DCN 14488). The labor

hour and cost estimates are based on the anticipated level of

complexity of the Tier plans, and reflect greater complexity at higher

Tiers. It should be noted that the burden estimates include preparation

and submittal of the Milestones Plan and for Tiers II and III plan

development, a budget to perform scoping studies to determine

implementability at the mills.

EPA estimated 56 hours for the preparation and submittal of the

Milestones Plan for mills enrolling in Tier I of the Voluntary Advanced

Technology Incentives Program. This assumes the mill will implement

readily-available technology and will not perform research and

development activities. EPA estimates that 14 mills will enroll at the

Tier I level.

EPA estimates 154 hours for the preparation and submittal of the

Milestones Plan for mills enrolling in Tier II of the Voluntary

Advanced Technology Incentives Program in addition to an estimate of

approximately $14,000 for each scoping study, which may be performed by

a consultant. This assumes the mill, upon implementing the Milestones

Plan, will conduct one research and development project related to

condensate reuse, but otherwise will implement readily-available

technology. The cost of the research and development project, which is

estimated as part of EPA's estimates for compliance with the Voluntary

Advanced Technology Incentives Program, is not included in this burden

estimate. EPA estimates that 13 mills will enroll at the Tier II level.

EPA estimates 328 hours for the preparation and submittal of the

Milestones Plan for mills enrolling in Tier III of the Voluntary

Advanced Technology Incentives Program in addition to an estimate of

approximately $26,000 for each scoping study, which may be performed by

a consultant. This assumes the mill upon implementing the Milestone

Plan, will conduct six research and development projects designed to

upgrade condensate quality from evaporators, to improve treatment of

condensates, to provide advanced process control, to optimize water

balance strategies to nearly closed loop processing, and to remove

minerals and/or chloride. The cost of the research and development

projects, which are estimated as part of EPA's estimates for compliance

with the Voluntary Advanced Technology Incentives Program, are not

included in this burden estimate. EPA estimates that 2 mills will

enroll at the Tier III level.

The following chart reflects the underlying basis for the hour

estimates:

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

Tier I Tier II Tier III

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

Engineer Management Engineer Management Engineer Management

hours hours hours hours hours hours

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

Overview of Technical Strategy.... 12 4 20 8 24 8

Description of Technology Elements 10 2 20 4 32 8

Master Schedule................... 20 4 46 8 64 16

Research and Development Schedule. 0 0 24 8 112 40

Appendix of Supporting

Documentation\1\................. 4 0 16 0 24 0

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

Total Hours.................

(1)56

(1)154

(1)328

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

\1\ Includes vendor documentation or preliminary studies at all Tier levels, feasibility studies, research

proposals and reports, and literature on minimum effluent technology at Tier II and III levels, and literature

on closed cycle technology for Tier III.

[[Page 18799]]

Assuming a salary rate (inclusive of benefits) of $65 per hour for

process engineering time and $100 per hour for senior management time,

the costs for preparing milestone plans are estimated at $246,400 as a

one-time cost for mills anticipated to enroll in the program. The total

cost of the milestones plan preparation inclusive of estimates for

scoping studies is approximately $481,000.

IV. Certification in Lieu of Monitoring for Chloroform

Commenters to EPA's July 15, 1996 Notice of Availability on the

pulp and paper effluent limitations guidelines and standards, 61 FR

36835, suggested that EPA consider allowing certification of process

changes (specifically elimination of elemental chlorine and

hypochlorite, but no other process factors) in lieu of monitoring to

demonstrate compliance with the chloroform limitations and standards

EPA had proposed. EPA did not include a certification option in the

final Cluster Rules because the information available at this time does

not demonstrate that ECF certification alone is sufficient to ensure

compliance with the regulations published elsewhere in today's Federal

Register. EPA based this conclusion on its finding that pulping and

bleaching processes and related factors also have an effect on the

rates of generation of chlorinated pollutants as measured in mill

wastewaters. See DCN 14497, Vol. 1.

Nevertheless, EPA believes that it may be appropriate to allow

mills to demonstrate compliance with chloroform limitations and

standards promulgated today through a certification that accounts for

those process and operating conditions. EPA has reason to believe that

these conditions are relevant to compliance with the promulgated

chloroform limitations and standards. Among the process and related

factors that EPA believes may influence compliance are: residual lignin

content of unbleached pulp (kappa number); the bleaching chemicals used

(e.g., chlorine dioxide, or chlorine monoxide assuming elemental

chlorine and hypchlorite have been eliminated); and, their application

rates, kappa factor, and other physical factors (e.g., mixing with

other wastewaters with differing properties prior to monitoring point,

etc.) plus the types of bleach plant washers used (e.g., high air flow

drum washers, low air flow washers, etc.).

Therefore, EPA is proposing new regulatory language in 40 CFR

430.02(f) that would allow Subpart B mills to certify in lieu of the

requirement to monitor for chloroform at a fiber line to which the

limitations or standards apply, if: (1) The discharger demonstrates,

based on two years of monitoring conducted in accordance with the

minimum monitoring requirements of the final regulation, that it is

achieving the applicable limitations or standards for chloroform; (2)

the discharger certifies at that time and annually thereafter to the

permitting or pretreatment control authority that the fiber line does

not use elemental chlorine or hypochlorite as bleaching agents and that

it is maintaining certain other process and operating conditions in use

at the fiber line during the initial compliance demonstration period;

and, (3) the discharger maintains records of the process and operating

conditions for the fiber line. These process and operating conditions

include, for example, maintaining a kappa factor and/or chemical

application rate that does not exceed that for which compliance has

been demonstrated at that fiber line, achieving a pre-bleaching kappa

number that does not exceed that for which compliance has been

demonstrated, and using precursor-free raw material. Examples of

additional operational factors that may be required as part of the

certification are the mixing (or separation) of acid and alkaline

filtrates prior to the monitoring point and other physical factors such

as types of bleach plant washers (e.g., high air flow drum washers, low

air flow washers, etc.).

EPA is proposing that the certification be made annually, rather

than once every permit cycle, because the certification includes

operational factors in addition to chemical use or substitution. These

factors require greater oversight and control on the part of the mill

than can be achieved by monitoring mill chemical purchases.

EPA believes that additional data will allow it to further document

and confirm the specific process and operating conditions that are

necessary to provide an adequate basis for establishing compliance with

the promulgated chloroform limitations and standards. EPA believes that

if additional data becomes available that further document and confirm

pertinent process and operating conditions, then it would be

appropriate to provide flexibility to allow ECF mills to certify that

they consistently maintain these process changes and operating

conditions subsequent to the two-year period of monitoring for

compliance demonstration. Thus, additional data will be critical to

EPA's final decision on the certification being proposed today for

Subpart B mills.

The certification alternative for chloroform being proposed today

is not limited to the timeframes during which monitoring is required at

the minimum monitoring frequencies specified in 40 CFR 430.02(b) and

(c), but may apply as an alternative to monitoring that would be

otherwise be required by a permit writer or pretreatment control

authority in accordance with 40 CFR 122.44(i) or 40 CFR Part 403, as

applicable.

EPA anticipates that the cost of certifying, when compared to the

cost of monitoring, would be negative. EPA also recognizes that

certification is voluntary and is not being required of mills that

prefer to monitor. EPA has therefore not included costs of

certification in the overall cost estimates of this proposal.

V. Solicitation of Data and Comments

EPA is seeking comment on today's proposed amendments to Part 430,

which would require submission of a plan for achieving the Voluntary

Advanced Technology BAT limits codified in Subpart B. Specifically, EPA

solicits comment on the overall scope of the plan and the suggested

content, including the effectiveness of the milestones required,

critical-path schedule, contingency alternatives, and identification of

major milestones, in the form of numeric or narrative limitations and/

or conditions, that could or should be incorporated in an NPDES permit.

EPA also solicits comment on the reasonableness of the response burden

that such a plan would impose. (See Sections III.D and VI.C of today's

proposal for discussions of the burden estimated to be associated with

the Milestones Plan).

EPA is also seeking additional bleach plant chloroform data from

Subpart B ECF mills, along with corresponding process and operating

information and data, to determine whether an ECF certification process

for chloroform should also require certification that relevant process

and operating factors are consistently maintained. Currently available

data and any new data that are received will be used by EPA as a basis

for its final decision on whether to promulgate the certification being

proposed today and the extent to which process and related factors are

incorporated.

EPA also is soliciting comment and data on TCF processes and

associated process wastewater flow reduction technologies that may

serve as the technology basis for NSPS/PSNS for Subpart B mills. EPA

specifically solicits data on the range of market pulp and paper

products that are commercially manufactured by TCF

[[Page 18800]]

processes in the U.S., Canada, Europe, and elsewhere. EPA also solicits

and will seek to gather additional performance data for full scale TCF

mills that could serve as the basis for NSPS/PSNS that may be proposed

at a later date.

Interested parties wishing to gather and submit data at ECF mills

for chloroform generation and related process variables, and for the

performance and products of TCF processes and flow reduction

technologies, are strongly encouraged to contact EPA to ensure that the

data gathering to be undertaken will be of adequate scope, will utilize

appropriate analytical methods where necessary, and will include

sufficient documentation to be useful. (Consult the person listed in

the FOR FURTHER INFORMATION CONTACT section of this proposal.)

Finally, EPA is soliciting comment on the estimated burden

associated with preparing the Milestones Plan (see Sections III.D and

VI.C of today's notice for detailed discussions of the estimated

burden).

VI. Administrative Requirements

A. Executive Order 12866

Under Executive Order 12866, 58 FR 51735 (Oct. 4, 1993), the Agency

must determine whether the regulatory action is ``significant'' and

therefore subject to OMB review and the requirements of the Executive

Order. The Order defines ``significant regulatory action'' as one that

is likely to result in a rule that may:

(1) Have an annual effect on the economy of $100 million or more or

adversely affect in a material way the economy, a sector of the

economy, productivity, competition, jobs, the environment, public

health or safety, or State, local, or tribal governments or

communities;

(2) Create a serious inconsistency or otherwise interfere with an

action taken or planned by another agency;

(3) Materially alter the budgetary impact of entitlements, grants,

user fees, or loan programs or the rights and obligations of recipients

thereof; or

(4) Raise novel legal or policy issues arising out of legal

mandates, the President's priorities, or the principles set forth in

the Executive Order.

Pursuant to the terms of Executive Order 12866, it has been

determined that this rule is a ``significant regulatory action.'' As

such, this action was submitted to OMB for review. Changes made in

response to OMB suggestions or recommendations will be documented in

the public record.

B. Regulatory Flexibility Act and the Small Business Regulatory

Enforcement Fairness Act of 1996

Under the Regulatory Flexibility Act (RFA) (5 U.S.C. 601 et seq.),

whenever a federal agency is required by section 553 of the

Administrative Procedure Act (or any other law) to publish a general

notice of proposed rulemaking for any proposed rule, the Agency

generally must prepare an initial regulatory flexibility analysis

(IRFA) describing the economic impact of the regulatory action on small

entities. The Agency must prepare an IRFA for a proposed rule unless

the head of the agency certifies that it will not have a significant

economic impact on a substantial number of small entities. EPA is today

certifying, pursuant to section 605(b) of the RFA, that this rule will

not have a significant economic impact on a substantial number of small

entities. Therefore, the Agency did not prepare an IRFA.

The proposal, if promulgated, will not have a significant economic

impact on a substantial number of small entities for the following

reasons. The RFA defines ``small entity'' to mean a small business,

small organization or small governmental jurisdiction. The proposal to

allow certification in lieu of monitoring for chloroform would reduce

the economic cost of compliance for any direct discharging mill that

chooses to certify, including any mill that is a small business.

Therefore, the proposal to allow certification, if adopted, would not

have a significant economic impact on a substantial number of small

entities.

With respect to the Milestones Plan proposal, EPA has determined

that there are only three mills in Subpart B that are small businesses.

These mills would be subject to the proposed Milestones Plan

requirement only if they choose to enroll in the Voluntary Advanced

Technology Incentives Program (VATIP). EPA does not believe three to be

a substantial number. Furthermore, EPA has concluded that the cost of

the Milstones Plan requirement to any mill choosing to enroll in VATIP

that is a small business is not significant. EPA has calculated the

cost of the Milestones Plan requirement to be between $4,000 and

$50,000 per mill, depending on whether the mill chose Tier I, II or

III. This amount is a small fraction of the total cost of the new

effluent guideline requirements for Subpart B, which EPA has already

certified as not having a significant impact elsewhere in today's

Federal Register. Furthermore, the requirement to submit a Milestones

Plan would only affect those mills that voluntarily choose to enroll in

the program. In these circumstances, the Milestones Plan requirement

would not, if promulgated, have a significant impact on a substantial

number of small entities.

C. Paperwork Reduction Act

The information collection requirements in this proposed rule will

be submitted for approval to the Office of Management and Budget (OMB)

under the Paperwork Reduction Act, 44 U.S.C. 3501 et seq., following

the 60 day comment period of this notice and incorporation/

consideration of those comments received on the burden of the

information collection requirements. An Information Collection Request

(ICR) document will be prepared by EPA for submission to OMB. However,

EPA is using today's notice to solicit public comments on the estimates

associated with the burden of the Milestones Plan for Tier I, Tier II,

and Tier III Advanced Technology mills prior to submitting the ICR

document to OMB (See Section III.D of today's notice for a discussion

of the burden estimates). EPA will publish a notice in the Federal

Register when the ICR is submitted to OMB for approval, allowing for

additional public comments to be submitted to OMB on the burden

estimates. The information requirements are not effective until OMB

approves them and today's proposed amendments are promulgated.

As discussed in Section III.A of today's notice, EPA believes the

Milestones Plan is necessary to provide NPDES permit writers with the

information necessary to design a permit that contains mill specific

``interim milestones'' required by the Voluntary Advanced Technologies

Incentives Program. See Sec. 430.24(b)(2) of the final Pulp and Paper

``Cluster Rules,'' found elsewhere in today's Federal Register. The

Milestones Plan will allow permit writers to set milestones on a

schedule that the mill believes is realistic for its facility.

EPA does not believe the second proposed amendment in today's

notice--certification in lieu of monitoring for chloroform--will cause

any additional burden on those mills choosing to certify. In fact, EPA

believes that for mills that choose to make the certification, the

burden associated with monitoring will be reduced because they will no

longer need to monitor for chloroform.

As discussed in more detail in Section III.D of today's notice, the

total burden for the Milestones Plan is listed by Tier in the following

table:

[[Page 18801]]

Milestones Plan--Estimated Industry Burden

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

Estimated Scoping

number of study Total cost

Tier Hours/Mill enrolled Total hours estimate ($)

mills ($)

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

Tier I......................................... 56 14 784 0 55,900

Tier II........................................ 154 13 2,002 182,130 325,000

Tier III....................................... 328 2 656 52,320 100,000

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

Total for all Tiers...................... 29 3,442 234,450 480,900

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

Burden means the total time, effort, or financial resources

expended by persons to generate, maintain, retain, or disclose or

provide information to or for a Federal agency. This includes the time

needed to review instructions; develop, acquire, install, and utilize

technology and systems for the purposes of collecting, validating, and

verifying information, processing and maintaining information, and

disclosing and providing information; adjust the existing ways to

comply with any previously applicable instructions and requirements;

train personnel to be able to respond to a collection of information;

search data sources; complete and review the collection of information;

and transmit or otherwise disclose the information.

An Agency may not conduct or sponsor a collection of information,

and a person is not required to respond to a collection of information

unless it displays a currently valid OMB control number. The OMB

control numbers for EPA's regulations are listed in 40 CFR part 9 and

48 CFR chapter 15.

D. Unfunded Mandates Reform Act (UMRA)

Title II of the Unfunded Mandates Reform Act of 1995 (UMRA), Pub.

L. 104-4, establishes requirements for Federal agencies to assess the

effects of their regulatory actions on State, local, and tribal

governments and the private sector. Under section 202 of the UMRA, EPA

generally must prepare a written statement, including a cost-benefit

analysis, for proposed and final rules with ``Federal mandates'' that

may result in expenditures to State, local, and tribal governments, in

the aggregate, or to the private sector, of $100 million or more in any

one year. Before promulgating an EPA rule for which a written statement

is needed, section 205 of the UMRA generally requires EPA to identify

and consider a reasonable number of regulatory alternatives and adopt

the least costly, most cost-effective or least burdensome alternative

that achieves the objectives of the rule. The provisions of section 205

do not apply when they are inconsistent with applicable law. Moreover,

section 205 allows EPA to adopt an alternative other than the least

costly, most cost-effective or least burdensome alternative if the

Administrator publishes with the final rule an explanation why that

alternative was not adopted. Before EPA establishes any regulatory

requirements that may significantly or uniquely affect small

governments, including tribal governments, it must have developed under

section 203 of the UMRA a small government agency plan. The plan must

provide for notifying potentially affected small governments, enabling

officials of affected small governments to have meaningful and timely

input in the development of EPA regulatory proposals with significant

Federal intergovernmental mandates, and informing, educating, and

advising small governments on compliance with the regulatory

requirements.

EPA has determined that this rule does not contain a Federal

mandate that may result in expenditures of $100 million or more for

State, local, and tribal governments, in the aggregate, or the private

sector in any one year. This rule would impose a reporting burden on

the private sector of less than 3,500 burden hours (costed at less than

$250,000) as a one-time expense. This rule does not affect tribal

governments at all, will ease the burden on State governments

responsible for implementing final regulations published elsewhere in

this Federal Register today, and may ease the compliance monitoring

burden of local governments responsible for implementing final

regulations published elsewhere in this Federal Register today. Thus,

today's rule is not subject to the requirements of sections 202 and 205

of the UMRA.

EPA has determined that this rule contains no regulatory

requirements that might significantly or uniquely affect small

governments for the same reasons cited above.

E. Executive Order 12875

To reduce the burden of Federal regulations on States and small

governments, the President issued Executive Order 12875 on October 28,

1993, entitled Enhancing the Intergovernmental Partnership (58 FR

58093). In particular, this executive order requires EPA to consult

with representatives of affected State, local, or tribal governments on

Federal matters that significantly or uniquely affect their

communities. This rule does not affect tribal governments at all, will

ease the burden on State governments responsible for implementing final

regulations published elsewhere in this Federal Register today, and may

ease the compliance monitoring burden of local governments responsible

for implementing final regulations published elsewhere in this Federal

Register today.

F. Executive Order 12898

Executive Order 12898 directs Federal agencies to ``determine

whether their programs, policies, and activities have disproportionally

high adverse human health or environmental effects on minority

populations and low-income populations.'' (Sec. 3-301 and Sec. 3-302).

This proposed rule will not have adverse health or environmental

effects.

G. National Technology Transfer and Advancement Act

Under section 12(d) of the National Technology Transfer and

Advancement Act (``NTTAA''), the Agency is required to use voluntary

consensus standards in its regulatory activities unless to do so would

be inconsistent with applicable law or otherwise impractical. Voluntary

consensus standards are technical standards (e.g., materials

specifications, test methods, sampling procedures, business practices,

etc.) that are developed or adopted by voluntary consensus standards

bodies. Where available and potentially applicable voluntary consensus

standards are not used by EPA, the Act requires the Agency to provide

Congress, through the Office of Management and Budget, an explanation

of the reasons for not using such standards.

The Agency does not believe that this proposed rule addresses any

technical standards subject to the NTTAA. A

[[Page 18802]]

commenter who disagrees with this conclusion should indicate how the

notice is subject to the Act and identify any potentially applicable

voluntary consensus standards.

List of Subjects in 40 CFR Part 430

Environmental protection, Chloroform, Effluent guidelines,

Elemental chlorine-free, Incentives, Milestones Plan, Pulp and paper

industry, Totally chlorine-free, Water pollution control.

Dated: November 14, 1997.

Carol M. Browner,

Administrator.

For the reasons set forth in the preamble, title 40 chapter I of

the Code of Federal Regulations, part 430, is proposed to be amended as

follows:

PART 430--THE PULP, PAPER, AND PAPERBOARD POINT SOURCE CATEGORY

1. The authority citation for part 430 continues to read as

follows:

Authority: Secs. 301, 304, 306, 307, 308, 402, and 501 of the

Clean Water Act, (33 U.S.C. 1311, 1314, 1316, 1317, 1318, 1342, and

1361), and section 112 of Clean Air Act (42 U.S.C. 7412).

2. Section 430.02 is amended by adding paragraph (f) to read as

follows:

Sec. 430.02 Monitoring requirements.

* * * * *

(f) Certification in Lieu of Monitoring. A discharger subject to

limitations and standards for chloroform under subpart B of this part

is not required to monitor for chloroform at a fiber line to which the

limitations or standards apply if:

(A) The discharger demonstrates, based on two years of monitoring

conducted in accordance with paragraph (a) of this section, that it is

achieving the applicable limitations or standards for chloroform;

(B) The discharger certifies at that time and annually thereafter

to the permitting or pretreatment control authority that the fiber line

does not use either elemental chlorine or hypochlorite as bleaching

agents, and that the mill consistently maintains process operation

conditions representative of those employed during the two year

compliance monitoring period required in paragraph (f)(1) of this

section, including pre-bleaching kappa numbers, use of precursor-free

raw materials, kappa factor and bleaching chemical application rates,

and other factors pertinent to the initial compliance demonstration;

and

(C) The discharger maintains records of the process and operating

conditions referenced in paragraph (f)(2) of this section for the fiber

line on site.

3. Section 430.24 is amended by revising paragraph (b)(2) and

adding paragraph (c) to read as follows:

Sec. 430.24 Effluent limitations reflecting the degree of effluent

reduction attainable by application of the best available technology

economically achievable (BAT).

* * * * *

(b) * * *

(2) Best Professional Judgment Milestones: Narrative or numeric

limitations and/or special permit conditions, as appropriate,

established by the permitting authority on the basis of his or her best

professional judgment that reflects a reasonable interim milestones

toward achievement of the effluent limitations specified in paragraphs

(b)(3) and (b)(4) of this section, as applicable, after consideration

of the Milestones Plan submitted by the discharger in accordance with

paragraph (c) of this section.

* * * * *

(c) All dischargers enrolled or intending to enroll in the

Voluntary Advanced Technology Incentives Program must submit to the

NPDES permitting authority a Milestones Plan covering all fiber lines

enrolled or intending to be enrolled in that program at their mill by

[insert 14 months from date of publication of the final rule] or the

date the discharger applies for NPDES permit limitations consistent

with paragraph (b) of this section, whichever is later. The Milestones

Plan must include the following information:

(1) A description of each anticipated new technology component or

process modification that is needed to achieve the limitations in

paragraphs (b)(3) and (b)(4) of this section;

(2) A master schedule showing the sequence of implementing the new

technology components or process modifications and identifying critical

path relationships;

(3) A schedule for each individual new technology component or

process modification that includes:

(i) The anticipated initiation and completion dates of

construction, installation and operational ``shakedown'' period

associated with the technology components or process modifications and,

when applicable, the anticipated dates of initiation and completion of

associated research, process development, and mill trials;

(ii) The anticipated date that the discharger expects the

technologies and process modifications selected to achieve the

limitations specified in paragraphs (b)(3) and (b)(4) of this section

are operational on a full-scale basis;

(iii) Contingency plans should any technology or process specified

in the Milestones Plan need to be adjusted or alternative approaches

developed to ensure that the limitations specified in paragraphs (b)(3)

and (b)(4) of this section are met; and

(4) A signature by the responsible corporate officer as defined in

40 CFR 122.22.

* * * * *

[FR Doc. 98-9615 Filed 4-14-98; 8:45 am]

BILLING CODE 6560-50-P