Approval and Promulgation of Air Quality Implementation Plans; Louisiana: Reasonable-Further-Progress Plan for the 1996-1999 Period, Attainment Demonstration, Contingency Plan, Motor Vehicle Emission Budgets, and 1990 Emission Inventory for the Baton Rouge Ozone Nonattainment Area; Louisiana Point Source Banking Regulations

ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[LA-29-1-7403; FRL-6370-8]

Approval and Promulgation of Air Quality Implementation Plans;

Louisiana: Reasonable-Further-Progress Plan for the 1996-1999 Period,

Attainment Demonstration, Contingency Plan, Motor Vehicle Emission

Budgets, and 1990 Emission Inventory for the Baton Rouge Ozone

Nonattainment Area; Louisiana Point Source Banking Regulations

AGENCY: Environmental Protection Agency (EPA).

ACTION: Final rule.

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

SUMMARY: In this action, the EPA is finalizing its approval of

revisions to the Louisiana State Implementation Plan (SIP) for the

Baton Rouge ozone nonattainment area. These revisions were submitted by

the State of Louisiana for the purpose of satisfying the Post-1996

Rate-of-Progress (ROP), Attainment Demonstration, and Contingency Plan

requirements of the Federal Clean Air Act (the Act), which will aid in

ensuring the attainment of the National Ambient Air Quality Standard

(NAAQS) for ozone. The EPA is also approving the associated 1999 Motor

Vehicle Emissions Budgets (MVEBs) for the area.

The EPA is also taking final action to approve additional SIP

revisions submitted by Louisiana including codifying revisions that

were made to the 1990 base year emission inventory and submitted to the

EPA as part of the Baton Rouge 15% Rate-of-Progress Plan approved on

October 22, 1996. Furthermore, the EPA is approving additional

revisions to the 1990 base year emissions inventory submitted as part

of the Post-1996 ROP Plan. The EPA is also approving the State's point

source banking regulations. This rulemaking action is being taken under

sections 110, 301, and part D of the Act.

EFFECTIVE DATE: This action is effective on August 2, 1999.

[[Page 35931]]

ADDRESSES: Information relevant to this rulemaking is available for

viewing during normal business hours at the following locations.

Persons interested in examining these documents should make an

appointment with the appropriate office at least 24 hours before the

visiting day.

Environmental Protection Agency, Region 6, Air Planning Section

(6PD-L), 1445 Ross Avenue, Suite 700, Dallas, Texas 70202-2733.

Louisiana Department of Environmental Quality, Office of Air Quality

and Radiation Protection, H.B. Garlock Building, 7290 Bluebonnet

Boulevard, Baton Rouge, Louisiana 70810.

FOR FURTHER INFORMATION CONTACT: Ms. Jeanne Schulze, Air Planning

Section (6PD-L), Environmental Protection Agency, Region 6, 1445 Ross

Avenue, Dallas, Texas 75202-2733, telephone (214) 665-7254.

SUPPLEMENTARY INFORMATION:

Table of Contents

I. Background

A. Summary of Today's Action

B. Clean Air Act Requirements

1. Reasonable Further Progress (RFP) Requirements

2. Contingency Measures Requirements

3. Motor Vehicle Emissions Budgets

4. Attainment Demonstration Requirements

C. Related SIP Approvals

D. Current SIP Submittals

II. Analysis of the Submittals

A. Post-1996 Rate-of-Progress Plan

1. Introduction

2. Base Year Emissions Inventory

3. Adjusted Base Year Inventory

4. Required Rate-of-Progress Reductions

5. Fleet Turnover Correction Term

6. Calculation of Target Level of Emissions

7. Growth Calculations

a. Introduction

b. EPA Action

8. Total Required Reductions

9. Measures to Achieve the Required Reductions

a. Introduction

b. EPA Action

B. Motor Vehicle Emission Budgets

1. Introduction

2. EPA Action

C. Contingency Measures

1. Introduction

2. Point Source Emissions Banking

3. EPA Action

D. Additional Rule Submitted

E. Attainment Demonstration

1. Introduction

2. EPA Action

a. Episode Selection and Base Case Performance

b. Attainment Test

c. Photochemical Grid Model Used

d. Demonstration of Attainment

e. Modeling Evaluation

f. Control Strategy Evaluation

III. Final Rulemaking Action

IV. Administrative Requirements

A. Executive Order 12866

B. Executive Order 12875

C. Executive Order 13045

D. Executive Order 13084

E. Regulatory Flexibility Act

F. Unfunded Mandates

G. Submission to Congress and the Comptroller General

H. Petition for Judicial Review

I. Background

A. Summary of Today's Action

The EPA is finalizing approval of revisions to the SIP for the

Baton Rouge ozone nonattainment area including the Post-1996 ROP Plan,

Attainment Demonstration, and Contingency Plan. In addition, the EPA is

approving the associated 1999 MVEBs, revisions to the 1990 base year

emission inventory, and the Louisiana Point Source Banking Regulations.

The EPA proposed approval of these SIP revisions on August 18, 1998

(63 FR 44192). The public comment period on the proposed rulemaking

ended on October 19, 1998. The EPA received no public comments on its

proposal. Accordingly, in today's rulemaking, the EPA is taking final

approval action to approve these revisions, which are summarized in the

following discussion. For more details on these SIP submittals,

relevant Clean Air Act requirements, etc., please refer to the EPA's

proposed rulemaking action.

B. Clean Air Act Requirements

1. Reasonable Further Progress (RFP) Requirements

Section 182(c)(2)(B) of the Act requires each State having one or

more ozone nonattainment areas classified as serious or worse to

develop a plan by November 15, 1994, that provides for additional

actual volatile organic compound (VOC) reductions of at least three

percent per year, averaged over each consecutive three year period,

beginning six years after enactment of the Act, until such time as

these areas have attained the NAAQS for ozone. These plans are referred

to hereafter as Post-1996 ROP Plans. These plans were due to be

submitted to the EPA as a SIP revision by November 15, 1994.

Section 182(b)(1) of the Act mandates a 15 percent VOC emission

reduction, net of growth, between 1990 and 1996 for each State having

one or more ozone nonattainment areas classified as moderate or worse.

That SIP revision was due to the EPA by November 15, 1993. The plan for

these reductions occurring between 1990-1996 is hereafter referred to

as the 15% ROP Plan.

Sections 182(b)(1)(C), 182(b)(1)(D) and 182(c)(2)(B) of the Act

limit the creditability of certain control measures toward the ROP

requirements. Specifically, States cannot take credit for reductions

achieved by Federal Motor Vehicle Control Program (FMVCP) measures

(e.g., new car emissions standards) promulgated prior to 1990, or for

reductions stemming from regulations promulgated prior to 1990 to lower

the volatility (i.e., Reid Vapor Pressure (RVP)) of gasoline.

Furthermore, the Act does not allow credit towards ROP requirements for

post-1990 corrections to existing motor vehicle Inspection and

Maintenance

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

Technology (RACT) rules, since these programs were required to be in

place prior to 1990. Emissions and emissions reductions shall be

calculated on a typical weekday basis for the ``peak'' 3-month ozone

period (generally June through August).

2. Contingency Measures Requirements

Sections 172(c)(9) and 182(c)(9) of the Act require contingency

measures to be included in the ROP and attainment plans. These measures

are required to be implemented immediately if reasonable further

progress has not been achieved, or if the NAAQS is not met by the

deadline set forth in the Act.

3. Motor Vehicle Emissions Budgets

Section 176(c) of the Act, and 40 CFR 51.452(b) of the Federal

Transportation Conformity Rule require States to establish motor

vehicle emissions budgets in any control strategy SIP that is submitted

for attainment and maintenance of the NAAQS.

4. Attainment Demonstration Requirements

Under section 182(c)(2)(A) of the Act, States required to submit

Post-1996 ROP Plans, by November 15, 1994, for serious or worse ozone

nonattaiment areas, must also submit for those areas an attainment

demonstration to provide for achievement of the ozone NAAQS by the

statutory deadline. This demonstration is to be based on photochemical

grid modeling, such as the Urban Airshed Model (UAM), or an equivalent

analytical method. The reader is referred to the proposal for a

discussion of the relevant EPA memoranda on attainment demonstration

submissions.

The Baton Rouge ozone nonattainment area is classified as

``serious'' and is subject to the section 182(b)(1) 15% ROP

requirements, section 182(c)(2)(B) Post-1996 ROP requirements, and

section 182(c)(2)(A) attainment demonstration requirements. The Baton

Rouge ozone nonattainment

[[Page 35932]]

area is comprised of the following parishes: East Baton Rouge, West

Baton Rouge, Ascension, Livingston, and Iberville. As a serious ozone

nonattainment area, Baton Rouge has a statutory attainment date of

November 15, 1999. Therefore, the area's Post-1996 ROP requirement is

to achieve an overall 9 percent reduction in actual VOCs (net of

growth) during the period 1996-1999 pursuant to section 182(c)(2)(B) of

the Act.

C. Related SIP Approvals

As stated previously, section 182(b)(1) of the Act requires that

moderate and above ozone nonattainment areas reduce their 1990

emissions of VOCs by 15 percent (net of growth) on or before November

15, 1996. The 15% ROP Plan submittals were required to be submitted to

the EPA by November 15, 1993. The EPA approved Louisiana's 15% ROP Plan

on October 22, 1996 (61 FR 54737).

The following is a summary of the emissions reductions in the 15%

ROP Plan:

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

Louisiana 15 percent ROP plan required reductions

(Excluding RVP/FMVCP) (Tons/Day)

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

15% ROP Reduction.......................................... 29.7

I/M Correction............................................. 1.3

RACT Correction............................................ 0.0

Growth..................................................... 3.8

Total................................................ 34.8

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

Reductions In the Plan:

Stage II Vapor Recovery................................ 3.4

Vents to Flares........................................ 3.7

Marine Vapor Recovery.................................. 8.6

Tank Fitting Controls.................................. 7.9

Fugitive Emission Controls............................. 10.4

Federal Rules (Wastewater National Emission Standards 1.5

for Hazardous Air Pollutants; Volatile Organic Storage

New Source Performance Standards).....................

Compliance Orders/Permits.............................. 1.0

Other (Tank Vent Recovery, Secondary Roof Seal on Tank) .9

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

Total................................................ 37.4

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

Surplus Reductions (To Be Carried Over to Post-1996 2.6

Rate-of-Progress Plan)................................

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

Louisiana subsequently submitted a site-specific revision to the

approved 15% ROP Plan on December 20, 1997. On May 11, 1998, the EPA

approved the 15% ROP Plan revision (63 FR 25773).

In another rulemaking action, the EPA redesignated Pointe Coupee

Parish, which was formerly part of the six-parish Baton Rouge

nonattainment area, to attainment for the ozone NAAQS (62 FR 648, dated

January 6, 1997). The Baton Rouge area was designated nonattainment for

ozone and classified as serious pursuant to sections 107(d)(4) and

181(a) of the Act (56 FR 56694, dated November 6, 1991). (It should be

noted that, in the August 18, 1998, proposal, the EPA did not reopen or

request comment on the approval actions described in this section.)

D. Current SIP Submittals

In a letter from the Governor dated November 10, 1994, the State of

Louisiana submitted to the EPA the Post-1996 ROP Plan and attainment

demonstration according to section 182(c)(2). The combined plan

submittal addressed both the 9 percent VOC emissions reduction

requirement and the requirement to demonstrate attainment of the ozone

NAAQS by the area's statutory attainment date, November 15, 1999. The

SIP submittal was deemed administratively complete on May 15, 1995, by

operation of law pursuant to section 110(k)(1)(B) of the Clean Air Act.

Subsequently, on December 22, 1995, the Governor of Louisiana

submitted revisions to the November 10, 1994, submittal. The EPA

determined that, in effect, this revised Post-1996 ROP Plan and

Attainment Demonstration superseded the previous submittal.1

The plan was determined to be administratively complete on March 22,

1996. The revisions that Louisiana made to the plan substantially

modified the mix of control measures utilized to satisfy the 9% ROP

requirement, and also made changes to the attainment demonstration

based on the EPA's draft guidance document on attainment modeling

entitled, Guidance on Use of Modeled Results to Demonstrate Attainment

of the Ozone NAAQS. As provided for by the draft guidance document on

modeling, the submittal included a weight-of-evidence determination in

support of the urban airshed modeling results.

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

\1\ In this submittal, the State deleted several of the

appendices found in the previous submittal and substantially revised

the remaining portion of the plan (i.e., control strategy, modeling

demonstration, etc.). The December 22, 1995, submittal is capable of

standing alone and does not rely on the November 10, 1994, submittal

to be a complete plan. As such, the EPA's legal obligation to act on

the State's original Post-1996 ROP Plan/Attainment Demonstration

submittal, dated November 10, 1994, is rendered moot.

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

Finally, on January 2, 1997, the Governor of Louisiana submitted a

revision to the December 22, 1995, submittal. The 1997 submittal

included significant changes to the 1990 base year emissions inventory

(and associated 15% and 9% ROP reductions) to account for the impending

redesignation of Pointe Coupee Parish to ozone attainment. Also, the

1997 submittal incorporated into the 1990 base year emissions inventory

previously unreported emissions from several point sources. In

addition, the 1997 submittal removed the emission reduction credits

taken for the vehicle I/M control measure in the December 22, 1995,

submittal, and replaced them with additional point source emission

reductions. Furthermore, the submittal incorporated enhanced mobile

modeling required by Federal conformity regulations, and also included

an analysis of how removal of the I/M reductions would impact the

modeling results submitted in the December 22, 1995, attainment

demonstration. The 1997 submittal was determined to be administratively

complete on June 20, 1997.

In addition, Louisiana submitted its contingency measure, point

source emissions reduction banking

[[Page 35933]]

regulations, as part of the December 15, 1995, 15% ROP Plan pursuant to

sections 172(c)(9) and section 182(c)(9) of the Act. The State

subsequently submitted the same contingency measure in both the

December 22, 1995, and January 2, 1997, Post-1996 ROP/attainment

demonstration submittals. The EPA deferred taking action on the

regulations in the context of the 15% ROP Plan approval until its

rulemaking action on the Post-1996 ROP Plan/attainment demonstration

SIP. (The rationale is explained in more detail in the EPA's rulemaking

on the 15% ROP Plan, along with the associated Technical Support

Document (TSD).)

II. Analysis of the Submittals

The EPA has reviewed the State's submittals for consistency with

the Act and applicable EPA regulations and policy. A summary of the

EPA's analysis is provided below. More detailed support and technical

discussion are contained in the proposed rulemaking and associated TSD

entitled, ``TSD for Proposed Clean Air Act Approval and Promulgation of

the Post-1996 Rate-of-Progress Plan and Attainment Demonstration for

the Baton Rouge Ozone Nonattainment Area (July 1998).''

A. Post-1996 Rate-of-Progress Plan

1. Introduction

As stated previously, section 182(c)(2)(B) of the Act requires each

serious and above ozone nonattainment area to submit a SIP revision by

November 15, 1994, which provides for an actual reduction in VOC

emissions of at least three percent per year averaged over each

consecutive 3-year period, beginning 6 years after enactment of the

Clean Air Act Amendments of 1990 (CAAA), until the area attains the

ozone standard.

2. Base Year Emissions Inventory

Under section 182(b)(1)(B), the baseline from which States

determine the required reductions for ROP planning is the 1990 base

year emissions inventory. The inventory is broken down into several

emissions source categories: stationary, area, on-road mobile, off-road

mobile, and biogenics. The EPA originally approved the Louisiana 1990

base year emissions inventory on March 15, 1995 (60 FR 13911).

Louisiana's December 15, 1995, submittal made a number of

adjustments to the base year inventory. The EPA acted upon the revised

1990 base year inventory as part of its rulemaking on the 15% ROP Plan.

In that rulemaking, however, the EPA failed to codify its approval of

the revised base year inventory in the Code of Federal Regulations

(CFR) (specifically, 40 CFR part 52). In this rulemaking, the EPA is

taking final action to codify its approval of the revised base year

inventory (in the context of the rulemaking on the 15% ROP Plan). It

should be noted that, in the August 18, 1998, proposal, the EPA did not

reopen or ask for comment on its March 15, 1995, approval of the base

year inventory.

Louisiana's January 2, 1997, submittal made a number of additional

revisions to the 1990 base year emissions inventory. The following

table compares the revised 1990 base year VOC emissions cited in the

January 2, 1997, submittal, with those cited in the approved 15% Plan

rulemaking.

Baton Rouge, Louisiana, 1990 Base Year Inventory

[Ozone Seasonal VOC Emissions (Tons/Day)]

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

Point Onroad Nonroad

Plan submittal source Area source mobile mobile Biogenic Total

emissions emissions emissions emissions emissions

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

12/15/95.......................... 115.40 26.30 55.50 23.20 120.91 341.31

1/2/97............................ 115.00 25.40 53.40 21.80 99.60 315.20

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

Difference........................ .40 .90 2.10 1.40 21.31 26.11

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

The bases for these changes to the inventory were discussed in

detail in the EPA's proposed rulemaking.

The EPA is taking final action to approve the revised 1990 base

year emissions inventory submitted on January 2, 1997.

Overall, these revisions to the 1990 base year inventory decrease

the ``1990 ROP inventory,'' which is the 1990 base year inventory less

the biogenic emissions, for the Baton Rouge nonattainment area from

220.4 tons/day to 215.6 tons/day. The decrease of 4.8 tons/day in the

1990 ROP inventory reduces the 15% ROP Plan reductions requirement by

.6 tons/day. Since the reductions in the approved 15% ROP Plan have

remained unchanged, Louisiana added the .6 tons/day differential to the

15% Plan surplus reductions resulting in a total surplus of 3.2 tons/

day available to be carried over to the Post-1996 ROP Plan. The EPA has

determined this revised surplus to be acceptable for use in the Post-

1996 ROP Plan.

3. Adjusted Base Year Inventory

Section 182(c)(2)(B) states that the rate-of-progress reductions

must be achieved ``from the baseline emissions described in subsection

182(b)(1)(B).'' This baseline value is termed the 1990 adjusted base

year inventory. Section 182(b)(1)(B) defines baseline emissions (for

the purposes of calculating each milestone VOC/nitrogen oxides (NOx)

emissions reduction) as ``the total amount of actual VOC or NOx

emissions from all anthropogenic sources in the area during the

calendar year of enactment.'' This section excludes from the baseline

the emissions that would be eliminated by FMVCP regulations promulgated

by January 1, 1990, and the RVP regulations promulgated by the time of

enactment (at 55 FR 23666, June 11, 1990), which require maximum RVP

limits for gasoline to be sold in nonattainment areas during the peak

ozone season.

In the August 18, 1998, proposal, the EPA provided a detailed

explanation of the methodology for calculating the FMVCP/RVP

adjustment. The EPA is taking final action to approve the FMVCP/RVP

adjustment factor and the inventories discussed above, as follows:

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

Emissions inventory Tons/Day

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

A. 1990 Base Year Emissions Inventory........................ 315.2

B. 1990 Rate-of-Progress Inventory (Base Year--Biogenics).... 215.6

C. Emissions Reductions from the Pre-1990 FMVCP and Phase II 24.4

RVP Expected by 1999........................................

D. 1990 Adjusted Base Year Inventory (B-C)................... 191.2

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

4. Required Rate-of-Progress Reductions

The next step is then to calculate the Post-1996 ROP reductions

requirement. In order to do so, the 1990 adjusted base

[[Page 35934]]

year VOC inventory is multiplied by nine percent. Thus, the Post-1996

ROP reduction requirement is 17.2 tons/day (.09 x 191.2). The EPA has

determined the State's calculation of the Post-1996 ROP reduction

requirement to be acceptable.

5. Fleet Turnover Correction Term

In the absence of any new requirements of the CAAA, some decrease

in motor vehicle emissions will occur automatically due to fleet

turnover. States are not allowed to take credit for these reductions

for ROP purposes. During the State's calculation of the 1996 target

level of emissions, these FMVCP reductions, along with non-creditable

RVP reductions that would occur between 1990 and 1996, were subtracted

from the 1990 ROP inventory to calculate the 1990 adjusted base year

inventory. This 1990 adjusted base year inventory was then used to

calculate the required reductions and the 1996 target level of

emissions.

Between 1996 and 1999, there will be some additional reductions in

emissions due to fleet turnover that are not creditable. These

additional, non-creditable reductions are referred to as the fleet

turnover correction term. The fleet turnover correction term is the

difference between the 1999 and 1996 FMVCP/RVP mobile source

reductions, or 3.0 tons/day. The EPA has determined the fleet turnover

correction term in the Baton Rouge Post-1996 ROP Plan to be acceptable.

6. Calculation of Target Level of Emissions

For the purpose of calculating the 1999 target, the 1996 target

inventory (obtained from the 15% ROP Plan calculations) is used. The

1996 target inventory used by the State in this calculation was revised

from the target inventory approved as part of the 15% ROP Plan

rulemaking in order to account for the changes made to the 1990 base

year inventory described in detail in the August 18, 1998, proposal.

The EPA is taking final action to approve the State's revised 1996

target level of emissions of 163.8 tons/day.

The 1999 target level of emissions is the amount of VOC emissions

that must be achieved in order for the nonattainment area to

demonstrate that the 9% ROP requirement has been met. The 1999 target

level used by the State in the Post-1996 ROP Plan is the revised 1996

target level (163.8 tons/day), less the 9% ROP reductions (17.2 tons/

day), less the fleet turnover correction term (3.0 tons/day), or 143.6

tons/day. The EPA is taking final action to approve the State's 1999

target level of emissions of 143.6 tons/day.

7. Growth Calculations

a. Introduction. The EPA has interpreted the Act to require that

States must provide for sufficient control measures in their ROP Plans

to offset any emissions growth expected to occur after 1996. Therefore,

to meet the ROP requirement, a State must provide for sufficient

emissions reductions to offset projected growth in emissions in

addition to the three percent annual average reduction of VOC

emissions. Thus, an estimate of growth in emissions from 1996 to 1999

is required for determining the total amount of required reductions in

the Post-1996 ROP Plan.

b. EPA Action. In the August 18, 1998, proposal, the EPA provided a

detailed description of the methodology the State followed for

projecting growth in each source category during the period 1996-1999.

The following Table summarizes the projected emissions growth by

source category for the nonattainment area:

BATON ROUGE GROWTH, 1996-1999

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

Source category Tons/Day

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

Point....................................................... 0.2

Area........................................................ 0.2

On-road Mobile.............................................. 2.4

Non-road Mobile............................................. 0.2

Subtotal.................................................... 3.0

Offset from Growth of 15% Plan Point Source Reductions...... (0.2)

-----------

Total Growth in 9% Plan..................................... 2.8

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

The EPA has determined that the State's methodology for estimating

emissions growth for the period 1996-1999 is acceptable.

8. Total Required Reductions

The total required reductions in the plan include the 9% ROP

reductions, reductions to offset projected growth (1996-1999), and the

FMVCP/RVP turnover correction reductions (1996-1999). These required

reductions total 23.0 tons/day. The State's ``share'' of the required

reductions consists of the 9% ROP reductions (17.2 tons/day) plus the

growth offset (2.8 tons/day), or 20.0 tons/day. The FMVCP/RVP turnover

correction reductions (3.0 tons/day) are the Federal reductions that

are not creditable towards meeting the ROP/growth offset requirements.

9. Measures to Achieve the Required Reductions

a. Introduction. As described in the August 18, 1998, proposed

rulemaking, the State relied on a combination of surplus emission

reductions from the 15% ROP Plan, along with additional control

measures to achieve the emissions reductions required for the Post-1996

ROP Plan. The EPA has determined that both the surplus reductions from

the 15% ROP Plan and the emissions reductions claimed from the control

measures in the Post-1996 ROP Plan are acceptable for meeting the 9%

(net of growth) emissions reductions requirement. The reader is

referred to the proposal and associated TSD for a detailed description

of the control measures and their associated reductions, which are

summarized below:

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

Louisiana 9 percent plan required reductions (Excluding RVP/

FMVCP): (TONS/DAY)

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

9% ROP Reduction........................................... 17.2

Growth..................................................... 2.8

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

Total................................................ 20.0

REDUCTIONS IN PLAN:

Federal Measures:

FMVCP Tier 1 Standards................................. 1.0

Small Engines Rule..................................... 1.1

Architectural and Industrial Maintenance Coatings Rule. 1.1

Autobody Refinishing Rule.............................. 0.6

[[Page 35935]]

Consumer Products Rule................................. 0.9

Other Sources:

Surplus Reductions in 15% Plan 3.2

Barge Cleaner (Permit Modification).................... 0.8

Acetylene Plant (Agreed Order)......................... 3.2

Glycol Dehydrator Controls............................. 8.4

Vents to Flares........................................ 1.1

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

Total Reductions....................................... 21.4

SURPLUS REDUCTIONS..................................... 1.4

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

b. EPA Action. The EPA is taking final action to approve the

emissions reductions claimed in the January 2, 1997, Post-1996 ROP

Plan as creditable towards the 9% ROP requirements of section

182(C)(2)(B) of the Act. The EPA is also approving into the SIP the

Borden Chemical and Plastics Reasonable Further Progress Agreed To

Order. The barge cleaner permit modification was issued under a

SIP-approved nonattainment new source review program and is,

therefore, already part of the Louisiana SIP and Federally

enforceable. In addition, the State's waste gas regulation (LAC

33:III.2115), which requires controls on glycol dehydrators and

vent streams, has already been approved into the SIP.

B. Motor Vehicle Emissions Budgets

1. Introduction

As stated previously, section 176(c) of the Act, and the Federal

Transportation Conformity Rule require States to establish motor

vehicle emissions budgets in any control strategy SIP that is submitted

for attainment and maintenance of the NAAQS. Louisiana submitted, in

the January 2, 1997, Post-1996 ROP Plan, projected (1999) motor vehicle

emissions budgets for VOC and NOX for the 5-parish Baton

Rouge ozone nonattainment area.

Specifically, for the 5-parish serious ozone nonattainment area,

the State established the following VOC/NOX mobile vehicle

emissions budgets:

Baton Rouge, LA 1999 Motor Vehicle Emissions Budgets

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

Pollutant Budget (Tons/Day)

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

VOC....................................... 33.93

NOx....................................... 58.03

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

2. EPA Action

The EPA has determined that the State's methodology for projecting

the 1999 motor vehicle VOC and NOX emissions is acceptable.

Therefore, the EPA is taking final action to approve the figures in the

above table as the official 1999 MVEBs to be used for transportation

conformity determinations.

C. Contingency Measures

1. Introduction

Under section 172(c)(9) of the Act, ozone nonattainment areas

classified as moderate or above must submit contingency measures to be

implemented if RFP is not achieved or if the standard is not attained

by the applicable attainment date. The ``General Preamble for the

Implementation of Title I of the Clean Air Act Amendments of 1990'' (57

FR 13498, April 16, 1992) states that the contingency measures should,

at a minimum, ensure that an appropriate level of emissions reduction

progress continues to be made if attainment or RFP is not achieved in a

timely manner and additional planning by the State is needed.

In the General Preamble, the EPA interpreted the Act to require

States with moderate and above ozone nonattainment areas to include

sufficient contingency measures in their November 1993 submittals so

that, upon implementation of such measures, additional emissions

reductions of up to three percent of the emissions in the adjusted base

year inventory (or a lesser percentage that will cure the identified

failure) would be achieved in the year following the year in which 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.

Additional contingency provisions are included in section 182(c)(9)

for serious ozone nonattainment areas. These latter provisions are

similar to the section 172(c)(9) requirements except that the focus in

section 182 (Ozone Areas) is on meeting emissions reductions milestones

(section 182(g)).

2. Point Source Emissions Banking

Louisiana identified, in both its 15% and Post-1996 ROP Plans

submittals, the State's point source VOC/NOX banking

regulations (LAC 33:III sections 601, 603, 605, 607, 613, 615, 617,

619, 621, 623, and 625) 2 as the three percent contingency

measure. These banking regulations are intended to meet the contingency

measure requirements of both section 172(c)(9) and section 182(c)(9) of

the Act. The adopted point source banking regulations were initially

submitted to the EPA for approval in the December 15, 1995, 15% ROP

Plan submittal. The EPA deferred taking action on the regulations in

the context of the 15% ROP Plan approval until its rulemaking action on

the Post-1996 ROP Plan/Attainment Demonstration SIP. (The rationale for

``carving out'' the contingency measures was explained in detail in the

TSD to the August 18, 1998, proposed rulemaking, as well as the TSD to

the 15% ROP Plan rulemaking.) The reader is referred to the EPA's

proposal for an in-depth discussion of the point source banking

regulations.

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

\2\ It should be noted that, in the preamble discussion to its

August 18, 1998, proposal (pp. 44200 and 44207), the EPA's

description of the State's submission inadvertently left out

references to certain sections of the point source banking

regulations submitted by the State. The correct sections, however,

were actually discussed (generally and/or specifically) elsewhere in

the proposal/TSD and are correctly set out in the preamble to this

final rule.

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

In the December 22, 1995, Post-1996 ROP Plan submittal, the State

provided a table of the emissions reductions that had been banked by

industry to date pursuant to the regulations. The State's contingency

measure requirement is 5.7 tons/day of VOCs (three percent times the

adjusted base year inventory of 191.2 tons/day). The VOC reductions

``on deposit,'' 13.0 tons/day, are well in excess of the three percent

requirement.

The EPA has determined that the State has met the contingency

measures requirements by having adopted and

[[Page 35936]]

submitted the point source banking regulations, and demonstrating the

bank has sufficient VOC credits ``on deposit'' and available for

confiscation in the event of a missed milestone/failure to attain.

Furthermore, the EPA has determined that the banking rules provide for

expeditious implementation of the contingency measures consistent with

the time frames identified in the General Preamble.

As mentioned in the August 18, 1998, proposal, Louisiana also

submitted to the EPA, in the January 2, 1997, submittal, a correction

to a typographical error in section 615, ``Schedule for Submitting

Applications.'' The EPA is taking final action to also approve this

correction to the point source banking rules.

3. EPA Action

The EPA is taking final action to approve the already-banked VOC

emissions reductions credits (totaling 5.7 tons/day) toward meeting the

three percent contingency measure requirement pursuant to sections

172(c)(9) and 182(c)(9) of the Act.

The EPA has determined that the point source VOC/NOX

banking regulations are generally consistent with the Act, EPA policy/

guidance and Federal regulations. Therefore, the EPA is taking final

action to approve the State's banking regulations as meeting the

requirements for SIP approval under part D and section 110 of the Act.

It should be noted that the scope of this final rulemaking is to

approve the banked VOC emissions reductions as creditable toward the

contingency measures pursuant to sections 172(c)(9) and 182(c)(9) of

the Act, and to approve all of the point source banking regulations as

an acceptable SIP revision pursuant to part D and section 110 of the

Act. The EPA is not, however, approving the banking regulations as an

economic incentive program (EIP) pursuant to the EPA's Economic

Incentives Program Rules (59 FR 16690) and section 182(g) of the Act.

(Since the State has not expressly submitted the point source banking

regulations as a section 182(g) SIP revision, the EPA believes it

beyond the scope of this rulemaking to act upon the banking regulations

as an EIP.)

D. Additional Rule Submitted

The State elected to include regulation LAC 33:III.611, ``Mobile

Sources Emissions Reductions,'' in the January 2, 1997, submittal for

the EPA's approval as part of the overall emissions banking program.

However, the State is not taking any reduction credit in the

contingency plan from this voluntary mobile source emissions reduction

program. In fact, no vehicles have actually been scrapped to date under

the program and, hence, no mobile emission reduction credits have been

banked statewide as part of the vehicle scrappage program.

Since the State's submission of section 611, certain national

policy issues have arisen surrounding the use of mobile source-

generated emissions reductions credits for use by point sources.

Pending resolution of these issues, the EPA is deferring taking action

on the regulation at this time. The deferral will have no effect on

either the Post-1996 ROP Plan or the Attainment Demonstration since the

State is not relying on reductions from the vehicle scrappage program

to meet the reductions target or demonstrate attainment. (A more in-

depth discussion of the EPA's rationale for deferring action on the

rule was provided in the TSD to the August 18, 1998, proposed

rulemaking.)

E. Attainment Demonstration

1. Introduction

As stated previously, section 182(c)(2)(A) of the Act stipulates

that serious and above ozone nonattainment areas must submit a revision

to the SIP that includes a demonstration that the plan, as revised,

will provide for attainment of the NAAQS for ozone by November 15,

1999. In addition to the 15% and 9% (net of growth) ROP reductions

requirements, if the mandatory emission reductions are not sufficient

to demonstrate attainment of the ozone NAAQS by November 15, 1999,

emissions (VOCs and/or NOX) must be further reduced until

attainment is demonstrated through photochemical grid modeling.

For ozone nonattainment areas classified as serious or above,

section 182(c)(2)(A) of the Act requires an attainment demonstration

based on photochemical grid modeling, for which the Urban Airshed Model

(UAM) is the EPA-approved model. See appendix W of 40 CFR part 51.

The following guidance documents establish the acceptable

techniques for application of UAM to demonstrate attainment of the

ozone NAAQS:

EPA's Guideline on Air Quality Models (Revised) (July 1986);

EPA's Guideline for Regulatory Application of the UAM (July 1991); and

EPA's final Guidance on use of Modeled Results to Demonstrate

Attainment of the Ozone NAAQS (June 1996).

The UAM model uses an inventory of pollutant emissions, together

with air quality and meteorological data, as input to a system of

algorithms incorporating chemistry and dispersion, in order to simulate

an observed pollution episode. Once a ``base case'' is developed that

meets the minimum performance criteria, projected future emissions are

used as input to simulate air quality in the attainment deadline year.

Various combinations of geographically uniform emission reductions are

simulated to determine approximate attainment reduction targets.

Planners design a control strategy to meet these targets, and then

simulate it with UAM, including the spatially and temporally varying

effects of the selected controls. Attainment is demonstrated when the

modeled air quality with emission controls in effect is below the NAAQS

throughout the geographical modeling domain.

The EPA's Guidance on the Use of Modeled Results to Demonstrate

Attainment of the Ozone NAAQS allows States to use a ``weight-of-

evidence'' determination if the modeled attainment test is not fully

passed, showing that attainment of the NAAQS is still likely. (The

reader is referred to the EPA's proposal for a detailed discussion of

UAM modeling procedures and requirements.)

2. EPA Action

The EPA's review focused on the data sources used, technical

judgments, and procedures followed in input preparation and performing

quality assurance and diagnostics. The EPA also evaluated the model's

base case performance, consistency of control measure simulation inputs

with submitted control measures, adequacy of the demonstration of

attainment of the NAAQS, and the consistency/completeness of the

modeling documentation.

a. Episode Selection and Base Case Performance. As explained in the

Guideline for the Regulatory Application of the Urban Airshed Model,

episodes are chosen for modeling based on their high ozone levels, data

availability and other criteria. Generally, episodes should be chosen

that are approximately as severe as the area's design value, which is

based on historical ozone highs. During a particular episode, the

observed ozone peak may be higher or lower than the design value; but

as long as it is relatively close, that episode can be accepted for use

in an attainment demonstration.

The Guideline for the Regulatory Application of the Urban Airshed

Model calls for a minimum of three primary episode days to be modeled.

The EPA

[[Page 35937]]

may allow areas to use just two episode days if they are based on a

field study, since this provides substantially more complete data, and,

hence, more confidence in model development procedures and results. In

the case of the Baton Rouge demonstration, the State modeled three

primary episode days.

The following three episodes were selected for use in the December

22, 1995, Baton Rouge Attainment Demonstration SIP submittal: August

15-16, 1989, May 24-25, 1990; and August 18-19, 1993.

Once the episodes were chosen, the modelers are required to

simulate these observed pollution episodes using the urban airshed

model. In conducting the Baton Rouge base case model performance

evaluation, the State employed both graphical and statistical

performance measures to gauge their success. (A discussion of the

graphical and statistical tests used in the evaluation of the Baton

Rouge modeling demonstration was provided in the EPA's August 18, 1998,

proposal and associated TSD.) In the Baton Rouge base case simulations,

the model performance for the August 15-16, 1989, and August 18-19,

1993, episodes was rated ``good,'' and the model performance for the

May 24-25, 1990, episode was rated ``very good.'' The EPA has

determined that the Baton Rouge episodes had acceptable performance and

met the Guideline criteria.

b. Attainment Test. The Guidance on use of Modeled Results to

Demonstrate Attainment of the Ozone NAAQS (June 1996) identifies two

approaches that the State can use for demonstrating attainment of the

ozone NAAQS. One of the acceptable approaches is called the

``Deterministic Approach,'' which consists of a deterministic test and

an optional weight-of-evidence determination. The deterministic test is

passed if predicted maximum ozone concentrations are less than or equal

to 124 parts per billion (ppb) in all surface grid cells on all modeled

primary episode days. If the test is not passed, a weight-of-evidence

determination may be used to show that attainment of the NAAQS is still

likely.

Meanwhile, the second acceptable approach is called the

``Statistical Approach.'' This approach consists of two parts: a

statistical test and a weight-of-evidence determination. The

statistical test includes three benchmarks. The first benchmark limits

the number of allowed exceedences, the second restricts the magnitude

of an allowed exceedence, and the third requires a minimum level of

improvement in air quality to be exceeded. If one or more of the

benchmarks is failed, a weight-of-evidence determination may also be

performed using corroborative information. If the corroborative

information is consistent with the likelihood that a proposed strategy

will lead to attainment of the ozone NAAQS by statutory dates,

attainment has been demonstrated.

As discussed in detail in the EPA's August 18, 1998, proposal, the

State elected to follow the ``Statistical Approach,'' consisting of a

statistical test and weight-of-evidence determination, for

demonstrating attainment of the ozone NAAQS through UAM modeling.

c. Photochemical Grid Model Used. The State used UAM Version IV, an

EPA-approved photochemical grid model, to develop the attainment

demonstration for the Baton Rouge area. The State performed its

modeling activities as outlined in the UAM modeling protocols and

according to the EPA's Guideline for Regulatory Application of the

Urban Airshed Model. (In advance of performing the UAM analyses, the

State developed a specific protocol for conducting its modeling

activities, which EPA reviewed and approved.)

The Baton Rouge modeling domain covers all or part of 20 parishes

in Louisiana, including the Baton Rouge serious ozone nonattainment

area consisting of East Baton Rouge, West Baton Rouge, Livingston,

Iberville, and Ascension Parishes.

The EPA has determined that the State followed acceptable

procedures to develop the meteorological and air quality inputs, base

case emissions inventories, projection inventories, and future boundary

conditions used in the UAM modeling. (The reader is referred to the

EPA's proposal for a more in-depth discussion of the methodology the

State followed in developing these model inputs.)

d. Demonstration of Attainment. The EPA's Guideline for the

Regulatory Application of the Urban Airshed Model stipulates that, for

the primary episode days modeled, there should be no predicted daily

maximum ozone concentrations greater than 124 ppb anywhere in the

modeling domain for each primary episode day modeled. However, in its

subsequent Guidance on the Use of Modeled Results to Demonstrate

Attainment of the Ozone NAAQS (June 1996), the EPA revised the model

test for demonstrating attainment of ozone NAAQS. (The revisions were

intended to make the modeled attainment test more closely reflect the

form of the NAAQS.) In the Guidance, the EPA recommended that either

the ``Statistical Approach'' or ``Deterministic Approach'' should be

used for the attainment demonstration of the ozone NAAQS. (These

approaches were discussed in detail in the proposed rulemaking.)

As stated above, the State elected to use the ``Statistical

Approach,'' consisting of a statistical test with optional weight-of-

evidence determination, to demonstrate attainment of the ozone NAAQS.

The statistical test included the application of three benchmark tests.

The weight-of-evidence determination entailed the use of supplementary

analyses to determine whether attainment was likely, despite model

results which did not pass the statistical test.

The State used the three selected episodes, all having good to very

good base case model performance ratings, for demonstrating attainment

of the ozone NAAQS. These episodes were modeled using the projected

1999 emission inventory, which included the emission controls to be

implemented through 1999. The results of the various benchmark tests

are discussed in detail in the August 18, 1998, proposed rulemaking.

e. Modeling Evaluation. The EPA has determined that the State's

attainment demonstration for the Baton Rouge ozone nonattainment area

fulfills the requirements of section 182(c)(2)(A) of the Act. The State

adequately followed the EPA's guidance on the application of the UAM

for demonstrating attainment of the ozone NAAQS. Following the

``Statistical Approach,'' it demonstrated that two of the three

episodes met or nearly met all the specified benchmark criteria.

Furthermore, supplementary information provided by the State for

consideration in the weight-of-evidence determination (i.e., mid-course

review, severity of selected episodes, uncertainty in the boundary

condition estimates, etc.) supported the modeled attainment

demonstration.

The Guidance on the Use of Modeled Results to Demonstrate

Attainment of the Ozone NAAQS also allows the use of normalized trend

data, results from observational models and or other models and

consideration of incremental cost/benefit estimates, etc., in a weight-

of-evidence determination. In determining whether the State's

``Statistical Approach'' to demonstrating attainment was adequate, the

EPA considered general trend data, which reflected reductions in

monitored ozone values, precursor emissions, and total exceedence days

since 1990.

[[Page 35938]]

As stated previously under ``Current SIP Submittals,'' the State,

in its January 2, 1997, submittal, removed the emission reduction

credits taken for the vehicle inspection and maintenance control

measure included in the December 22, 1995 Post-1996 ROP Plan submittal,

and replaced them with additional point source reductions. The January

2, 1997, submittal provided an analysis of how removal of the I/M

reductions would impact the modeling results submitted in the December

22, 1995, attainment demonstration. The EPA reviewed the State's

analysis and concurred that removal of the I/M reductions from the plan

would not significantly alter the modeling results.

In summary, based on the results of the statistical test, the

weight-of-evidence determination, and the I/M impact analysis, the EPA

has determined that State adequately demonstrated the modeled control

strategy would provide for attainment of the ozone NAAQS by the

statutory attainment date.

f. Control Strategy Evaluation. The EPA has determined that the

modeling results for Baton Rouge adequately demonstrate that the area

could attain the ozone standard by 1999 through the implementation of a

VOC-only control strategy consisting of the Federally enforceable 15

Percent and Post-1996 ROP VOC reductions (net of growth) from the 1990

base year levels. The reader is referred to the proposed rulemaking for

a more in-depth discussion of the control strategy modeled.

The EPA is taking final action to approve Louisiana's Attainment

Demonstration SIP submittals, dated December 22, 1995, and January 2,

1997, as meeting the requirements of section 182(c)(2)(A) of the Act

for demonstrating attainment of the NAAQS for ozone by November 15,

1999. Through photochemical grid modeling, the State has demonstrated

to the EPA's satisfaction that the VOC reductions in the 15% and Post-

1996 ROP Plans (34.8 and 21.4 3 tons/day, respectfully) are

sufficient to demonstrate attainment of the ozone NAAQS by the

statutory deadline.

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

\3\ The 21.4 tons/day in emissions reductions includes the 3.2

tons/day surplus reductions from the 15% ROP Plan carried over to

the Post-1996 ROP Plan.

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

III. Final Rulemaking Action

The EPA has reviewed the SIP submittals for consistency with the

Act, applicable EPA regulations and EPA policy, and is approving the

following under sections 110(k)(3), 301(a), and part D of the Act:

A. The Baton Rouge, Louisiana, Post-1996 Rate-of-Progress Plan,

submitted December 22, 1995, and revised January 2, 1997, as meeting

the requirements of section 182(c)(2)(B) of the Act to achieve a

reduction in VOC emissions (net of growth) of 9 percent between 1996

and 1999.

B. The Baton Rouge, Louisiana, contingency plan, initially

submitted as part of the 15% ROP Plan on December 15, 1995, and,

subsequently, as part of the Post-1996 ROP Plan submitted December 22,

1995, and revised January 2, 1997. The EPA is taking final action to

approve the contingency plan as meeting the requirements of sections

172(c)(9) and 182(c)(9) of the Act that moderate and above ozone

nonattainment areas include contingency measures in their ROP Plan

submittals. Specifically, the EPA is taking final action to approve the

contingency-reserved VOC banked emissions reductions of 5.7 tons/day

(achieved through the State's banking regulations), identified in a

table in appendix T of the December 22, 1995, submittal, as creditable

towards the 3 percent contingency requirements of sections 172(c)(9)

and 182(c)(9) of the Act. In addition, the EPA is taking final action

to approve the point source VOC and NOX emissions reductions

banking regulations (LAC 33:III sections 601, 603, 605, 607, 613, 615,

617, 619, 621, 623, and 625) submitted December 15, 1995, and revised

January 2, 1997, as meeting the requirements for SIP approval under

part D and section 110 of the CAAA.

C. The 1999 Motor Vehicle Emissions Budgets for on-road mobile VOC

and NOX emissions for the Baton Rouge 5-parish ozone

nonattainment area submitted January 2, 1997, as meeting the

requirements of section 176(c) of the Act and 40 CFR 51.452(b) of the

Federal Transportation Conformity Rule.

D. The Baton Rouge, Louisiana Attainment Demonstration submitted

December 22, 1995, and revised January 2, 1997, including the modeling

analyses, as meeting the requirements of section 182(c)(2)(A) of the

CAAA to provide for attainment of the ozone NAAQS by the applicable

November 15, 1999, attainment date.

E. Revisions to the 1990 base year VOC emissions inventory

submitted January 2, 1997 as meeting the requirements of section

182(a)(1) of the Act. In addition, the EPA is taking final action to

codify the revisions to the 1990 base year emissions inventory

submitted as part of the 15% ROP Plan approved October 22, 1996 (61 FR

54737).

F. The revision to the 1996 target level of VOC emissions submitted

January 2, 1997, as meeting the requirements of part D and EPA

guidance.

The EPA is deferring taking any action at this time on the State's

accelerated vehicle retirement regulation (LAC 33:III.611) entitled,

``Mobile Sources Emission Reductions,'' which was submitted to the EPA

on January 2, 1997. Deferring action on this regulation has no effect

on either the Baton Rouge Post-1996 ROP Plan or on the Baton Rouge

Attainment Demonstration since the State took no credit in these plans

for reductions from vehicle scrappage.

IV. Administrative Requirements

A. Executive Order (E.O.) 12866

The Office of Management and Budget (OMB) has exempted this

regulatory action from E.O. 12866, entitled ``Regulatory Planning and

Review.''

B. Executive Order 12875

Under E.O. 12875, EPA may not issue a regulation that is not

required by statute and that creates a mandate upon a State, local or

tribal government, unless the Federal government provides the funds

necessary to pay the direct compliance costs incurred by those

governments, or EPA consults with those governments. If EPA complies by

consulting, E.O. 12875 requires EPA to provide to the OMB a description

of the extent of EPA's prior consultation with representatives of

affected State, local and tribal governments, the nature of their

concerns, copies of any written communications from the governments,

and a statement supporting the need to issue the regulation. In

addition, E.O. 12875 requires EPA to develop an effective process

permitting elected officials and other representatives of State, local

and tribal governments ``to provide meaningful and timely input in the

development of regulatory proposals containing significant unfunded

mandates.''

Today's rule does not create a mandate on State, local, or tribal

governments. The rule does not impose any enforceable rules on any of

these entities. This action does not create any new requirements but

simply approves requirements that the State is already imposing.

Accordingly, the requirements of section 1(a) of E.O. 12875 do not

apply to this rule.

C. Executive Order 13045

Executive Order 13045, entitled ``Protection of Children from

Environmental Health Risks and Safety Risks'' (62 FR 19885, April 23,

1997),

[[Page 35939]]

applies to any rule that: (1) is determined to be ``economically

significant'' as defined under E.O. 12866, and (2) concerns an

environmental health or safety risk that the EPA has reason to believe

may have a disproportionate effect on children. If the regulatory

action meets both criteria, the Agency must evaluate the environmental

health or safety effects of the planned rule on children, and explain

why the planned regulation is preferable to other potentially effective

and reasonably feasible alternatives considered by the Agency.

The EPA interprets E.O. 13045 as applying only to those regulatory

actions that are based on health or safety risks, such that the

analysis required under section 5-501 of the Order has the potential to

influence the regulation. This final rule is not subject to E.O. 13045

because it approves a State program.

D. Executive Order 13084

Under E.O. 13084, EPA may not issue a regulation that is not

required by statute, that significantly or uniquely affects the

communities of Indian tribal governments, and that imposes substantial

direct compliance costs on those communities, unless the Federal

Government provides the funds necessary to pay the direct compliance

costs incurred by the tribal governments, or EPA consults with those

governments. If EPA complies by consulting, E.O. 13084 requires EPA to

provide to the OMB, in a separately identified section of the preamble

to the rule, a description of the extent of EPA's prior consultation

with representatives of affected tribal governments, a summary of the

nature of their concerns, and a statement supporting the need to issue

the regulation. In addition, E.O. 13084 requires EPA to develop an

effective process permitting elected officials and other

representatives of Indian tribal governments ``to provide meaningful

and timely input in the development of regulatory policies on matters

that significantly or uniquely affect their communities.''

Today's rule does not significantly or uniquely affect the

communities of Indian tribal governments. This action does not involve

or impose any new requirements that affect Indian tribes. Accordingly,

the requirements of section 3(b) of E.O. 13084 do not apply to this

rule.

E. Regulatory Flexibility Act

The Regulatory Flexibility Act (RFA), 5 U.S.C. 600 et seq.,

generally requires an agency to conduct a regulatory flexibility

analysis of any rule subject to notice and comment rulemaking

requirements unless the agency certifies that the rule will not have a

significant economic impact on a substantial number of small entities.

Small entities include small businesses, small not-for-profit

enterprises, and small governmental jurisdictions. This final rule will

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

because SIP approvals under section 110 and subchapter I, part D of the

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 create any new requirements, I certify that this

action will not have a significant economic impact on a substantial

number of small entities. Moreover, due to the nature of the Federal-

State relationship under the Act, preparation of a flexibility analysis

would constitute Federal inquiry into the economic reasonableness of

state action. The Act forbids EPA to base its actions concerning SIPs

on such grounds. See Union Electric Co., v. U.S. EPA, 427 U.S. 246,

255-66 (1976); 42 U.S.C. 7410(a)(2).

F. Unfunded Mandates

Under section 202 of the Unfunded Mandates Reform Act of 1995,

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 annual 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.

The EPA has determined that the approval action promulgated does

not include a Federal mandate that may result in estimated annual 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.

G. Submission to Congress and the Comptroller General

The Congressional Review Act, 5 U.S.C. 801 et seq., as added by the

Small Business Regulatory Enforcement Fairness Act of 1996, generally

provides that before a rule may take effect, the agency promulgating

the rule must submit a rule report, which includes a copy of the rule,

to each House of the Congress and to the Comptroller General of the

United States. The EPA will submit 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 United States prior

to publication of the rule in the Federal Register. A major rule can

not take effect until 60 days after it is published in the Federal

Register. This action is not a ``major'' rule as defined by 5 U.S.C.

804(2). This rule will be effective August 2, 1999.

H. Petition for Judicial Review

Under section 307(b)(1) of the Act, petitions for judicial review

of this action must be filed in the United States Court of Appeals for

the appropriate circuit by August 31, 1999. Filing a petition for

reconsideration by the Administrator of this final rule does not affect

the finality of this rule for the purposes of judicial review nor does

it extend the time within which a petition for judicial review may be

filed, and shall not postpone the effectiveness of such rule or action.

This action may not be challenged later in proceedings to enforce its

requirements. See section 307(b)(2).

List of Subjects in 40 CFR Part 52

Environmental protection, Air pollution control, Hydrocarbons,

Intergovernmental relations, Nitrogen dioxide, Ozone, Reporting and

recordkeeping requirements, Volatile organic compounds.

Dated: June 24, 1999.

Jerry Clifford,

Acting Regional Administrator, Region 6.

Part 52 of chapter I, title 40, CFR, is amended as follows:

PART 52--[AMENDED]

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

follows:

Authority: 42 U.S.C. 7401 et seq.

Subpart T--Louisiana

2. In Sec. 52.970, in the ``EPA-Approved Louisiana Regulations in

the Louisiana SIP'' table in paragraph (c), chapter 6 is added to read

as follows:

Sec. 52.970 Identification of plan.

* * * * *

(c) EPA approved regulations.

[[Page 35940]]

EPA Approved Louisiana Regulations in the Louisiana SIP

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

State approval

State citation Title/subject date EPA approval date Comments

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

* * * * * * *

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

Chapter 6--Regulations on Control of Emissions Reduction Credits Banking

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

Section 601..................... Background and Aug. 1994, [July 2, 1999 and ..................

Purpose. LR20:874. Federal Register

cite].

Section 603..................... Applicability..... Aug. 1994, [July 2, 1999 and ..................

LR20:874. Federal Register

cite].

Section 605..................... Definitions....... Aug. 1994, [July 2, 1999 and ..................

LR20:874. Federal Register

cite].

Section 607..................... Stationary Point Aug. 1994, [July 2, 1999 and ..................

Source Reductions. LR20:877. Federal Register

cite].

Section 613..................... ERC Bank Balance Aug. 1994, [July 2, 1999 and ..................

Sheet. LR20:877. Federal Register

cite].

Section 615..................... Schedule for Jul. 1995, [July 2, 1999 and Approves original

Submitting LR21:681. Federal Register rule (adopted 8/

Applications. cite]. 94) and

subsequent

revision (adopted

07/95).

Section 617..................... Review and Aug. 1994, [July 2, 1999 and ..................

Approval of ERC LR20:878. Federal Register

Bank Balance cite].

Sheets.

Section 619..................... Registration of Aug. 1994, [July 2, 1999 and ..................

Emission LR20:879. Federal Register

Reduction Credit cite].

Certificates.

Section 621..................... Protection of Aug. 1994, [July 2, 1999 and ..................

Banked ERCs. LR20:679. Federal Register

cite].

Section 623..................... Withdrawal, Use, Aug. 1994, [July 2, 1999 and ..................

and Transfer of LR20:880. Federal Register

Emission cite].

Reduction Credits.

Section 625..................... Application and Aug. 1994, [July 2, 1999 and ..................

Processing Fees. LR20:880. Federal Register

cite].

* * * * * * *

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

3. In section 52.970, an entry in the ``EPA-Approved Louisiana

Source-Specific Requirements'' table in paragraph (d) is added to read

as follows:

(d) EPA-approved State source-specific requirements.

EPA Approved Louisiana Source-Specific Requirements

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

State approval/

Name of source Permit number effective EPA approval date Comments

date

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

* * * * * * *

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

Borden Chemicals and Plastics in Reasonable Further 10/24/96 [July 2, 1999 and Submitted as part

Baton Rouge. Progress Agreed To Federal Register of the Baton

Order. cite]. Rouge, LA Post-

1996 ROP Plan

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

4. In section 52.970, an entry in the ``EPA Approved Control

Measures in the Louisiana SIP'' table in paragraph (e) is added to read

as follows:

(e) EPA approved nonregulatory and quasi-regulatory measures.

EPA Approved Control Measures in the Louisiana SIP

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

Applicable State

Control measures geographic or submittal date/ EPA approval date Comments

nonattainment area effective date

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

* * * * * * *

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

Post-1996 ROP Plan (Including a Baton Rouge, LA.... 01/02/97 [July 2, 1999 and Originally

Revised 1996 Target Level of VOC Federal Register submitted 12/22/95

Emissions). cite]. and revised 01/02/

97.

Attainment Demonstration for the Baton Rouge, LA.... 01/02/97 [July 2, 1999 and Originally

1-hour Ozone NAAQS. Federal Register submitted 12/22/95

cite]. and revised 01/02/

97.

[[Page 35941]]

Contingency Plan................. Baton Rouge, LA.... 01/02/97 [July 2, 1999 and Submitted as part

Federal Register of the 15% ROP

cite]. Plan on 12/14/95

and, subsequently,

as part of the

Post-1996 ROP Plan

submitted on 12/22/

95 and revised 1/2/

97.

1999 Motor Vehicle Emission Baton Rouge, LA.... 01/02/97 [July 2, 1999 and ...................

Budgets. Federal Register

cite].

Revised 1990 Base Year VOC Baton Rouge, LA.... 01/02/97 [July 2, 1999 and See also 52.993.

Emissions Inventory. Federal Register

cite].

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

5. Section 52.993 is amended by adding paragraphs (d) and (e) as to

read as follows:

52.993 Emissions inventories.

* * * * *

(d) On December 15, 1995, the Governor of the State of Louisiana

submitted a revision to the 1990 base year volatile organic compound

(VOC) emissions inventory for the Baton Rouge, Louisiana ozone

nonattainment area. The revised inventory was submitted as part of the

revised Baton Rouge 15 Percent Rate-of-Progress Plan. This revision to

the base year inventory modified the point source VOC emissions. The

revisions satisfy the requirements of section 182(a)(1) of the Clean

Air Act, as amended in 1990.

(e) On January 2, 1997, the Governor of the State of Louisiana

submitted a revision to the 1990 base year volatile organic compound

(VOC) emissions inventory for the Baton Rouge, Louisiana ozone

nonattainment area. The revised inventory was submitted as part of the

revised Baton Rouge Post-1996 Rate-of-Progress Plan. This revision to

the base year inventory modified the point, area, non-road mobile, on-

road mobile, and biogenic sources of VOC emissions. The revisions

satisfy the requirements of section 182(a)(1) of the Clean Air Act, as

amended in 1990.

[FR Doc. 99-16927 Filed 7-1-99; 8:45 am]

BILLING CODE 6560-50-P