Approval and Promulgation of State Implementation Plans; California State Implementation Plan Revision, South Coast Air Quality Management District, San Joaquin Valley Unified Air Pollution Control District, Siskiyou County Air Pollution Control District, and Bay Area Air Quality Management District

ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[CA 011-0134 FRL-6309-7]

Approval and Promulgation of State Implementation Plans;

California State Implementation Plan Revision, South Coast Air Quality

Management District, San Joaquin Valley Unified Air Pollution Control

District, Siskiyou County Air Pollution Control District, and Bay Area

Air Quality Management District

AGENCY: Environmental Protection Agency (EPA).

ACTION: Proposed rule.

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

SUMMARY: EPA is proposing a limited approval of revisions to the

California State Implementation Plan (SIP) which concerns the control

of the sulfur content of fuels within the South Coast Air Quality

Management District and the Siskiyou County Air Pollution Control

District, emissions of sulfuric acid mist within the San Joaquin Valley

Unified Air Pollution Control District and emissions of sulfur dioxide

within the Bay Area Air Quality Management District.

The intended effect of proposing a limited approval of these rules

is to regulate emissions of sulfur dioxide (SO2) in

accordance with the requirements of the Clean Air Act, as amended in

1990 (CAA or ``Act''). EPA's final action on this proposed rulemaking

will incorporate these rules into the federally approved SIP. EPA has

evaluated the rules and is proposing a limited approval under

provisions of the CAA regarding EPA action on SIP submittals and

general rulemaking authority because these revisions, while

strengthening the SIP, also do not fully meet the CAA provisions

regarding plan submissions.

DATES: Comments must be received on or before April 19, 1999.

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

[AIR-4], Air Division, U.S. Environmental Protection Agency, Region IX,

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

Copies of the rules and EPA's evaluation reports of the rules are

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

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

inspection at the following locations:

Environmental Protection Agency, Air Docket, 401 ``M'' Street, SW.,

Washington, DC 20460.

California Air Resources Board, Stationary Source Division, Rule

Evaluation Section, 2020 ``L'' Street, Sacramento, CA 95812.

Bay Area Air Quality Management District, 939 Ellis Street, San

Francisco, CA 94109-7714.

San Joaquin Valley Unified Air Pollution Control District, 1990 E.

Gettysburg Ave., Fresno, CA 93726.

Siskiyou County Air Pollution Control District, 525 South Foothill Dr.,

Yreka, CA 96097

South Coast Air Quality Management District, 21865 E. Copley Dr.,

Diamond Bar, CA 91765-4182.

FOR FURTHER INFORMATION CONTACT: Stanley Tong, Rulemaking Office, [AIR-

4], Air Division, U.S. Environmental Protection Agency, Region IX, 75

Hawthorne Street, San Francisco, CA 94105-3901 Telephone: (415) 744-

1191.

SUPPLEMENTARY INFORMATION:

I. Applicability

The rules being proposed for approval into the California SIP

include South Coast Air Quality Management District (SCAQMD) Rule

431.2, Sulfur Content of Liquid Fuels, San Joaquin Valley Unified Air

Pollution Control District (SJVUAPCD) Rule 4802, Sulfuric Acid Mist,

Siskiyou County Air Pollution Control District (SCAPCD) Rule 4.14,

Sulfur Content of Fuels and Bay Area Air Quality Management District

(BAAQMD) Regulation 9 Rule 1, Sulfur Dioxide. SCAQMD Rule 431.2 and

SCAPCD Rule 4.14 were submitted by the California Air Resources Board

(CARB) to EPA on December 31, 1990, BAAQMD Regulation 9 Rule 1 was

submitted by CARB to EPA on September 14, 1992, and SJVUAPCD Rule 4802

was submitted by CARB to EPA on November 18, 1993.

II. Background

40 CFR 81.305 provides the attainment status designations for air

districts in California. South Coast Air Quality Management District

1, San Joaquin Valley Unified Air Pollution Control

District, Siskiyou County Air Pollution Control District and Bay Area

Air Quality Management District are listed as being in attainment for

the national ambient air quality standards (NAAQS) for sulfur dioxide

(SO2). Therefore, for purposes of controlling

SO2, these rules need only comply with the general

provisions of Section 110 of the Act.

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

\1\ This Federal Register action for the South Coast Air Quality

Management District excludes the Los Angeles County portion of the

Southeast Desert AQMA, otherwise known as the Antelope Valley Region

in Los Angeles County, which is now under the jurisdiction of the

Antelope Valley Air Pollution Control District as of July 1, 1997.

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

Sulfur dioxide is formed by the combustion of fuels containing

sulfur compounds. SCAQMD adopted Rule 431.2, Sulfur Content of Liquid

Fuels, on May 4, 1990. SCAPCD adopted Rule 4.14, Sulfur Content of

Fuels, on July 11, 1989. On December 31, 1990 the State of California

submitted many rules for incorporation into its SIP, including SCAQMD

Rule 431.2 and SCAPCD Rule 4.14. These rules were found to be complete

on February 28, 1991 pursuant to EPA's completeness criteria that are

set forth in 40 CFR Part 51, Appendix V 2 and are being

proposed for limited approval.

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

\2\ EPA adopted completeness criteria on February 16, 1990 (55

FR 5824) and, pursuant to section 110(k)(1)(A) of the CAA, revised

the criteria on August 26, 1991 (56 FR 42216).

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

SJVUAPCD adopted Rule 4802, Sulfuric Acid Mist, on December 17,

1992. On November 18, 1993 the State of California submitted many rules

for incorporation into its SIP, including SJVUAPCD Rule 4802. This rule

was found to be complete on December 27, 1993 pursuant to EPA's

completeness criteria and is being proposed for limited approval.

BAAQMD adopted Regulation 9 Rule 1, Sulfur Dioxide, on May 20,

1992. On September 14, 1992 the State of California submitted many

rules for incorporation into its SIP, including BAAQMD Regulation 9

Rule 1. This rule was found to be complete on November

[[Page 13380]]

20, 1992 pursuant to EPA's completeness criteria and is being proposed

for limited approval.

The following is EPA's evaluation and proposed action for these

rules.

III. EPA Evaluation and Proposed Action

In determining the approvability of an SO2 rule, EPA

must evaluate the rule for consistency with the requirements of the CAA

and EPA regulations, as found in section 110 and 40 CFR Part 51

(Requirements for Preparation, Adoption, and Submittal of

Implementation Plans).

While the SCAQMD, SCAPCD, SJVUAPCD and BAAQMD are in attainment

with the SO2 NAAQS, many of the general SIP requirements

regarding enforceability, for example, are still appropriate for these

rules. In determining the approvability of these rules, EPA evaluated

them in light of the ``SO2 Guideline Document'', EPA-452/R-

94-008.

On September 28, 1981, EPA approved into the SIP a version of Rule

431.2 , Sulfur Content of Liquid Fuels, that had been adopted by the

SCAQMD on February 2, 1979. Revisions to this rule were subsequently

adopted, and then were superseded by the submitted version. In

evaluating the submitted version, EPA reviewed materials associated

with the SIP approved rule and the submitted version. SCAQMD submitted

an amendment to Rule 431.2 on December 31, 1990 which includes the

following significant changes from the current SIP rule:

Sets a uniform limit of 0.05 percent by weight for the

sulfur content in liquid fuels that are burned, purchased, sold or

offered for sale to be burned.

Requires stationary internal combustion engines operating

on diesel or distillate fuel to use CARB compliant diesel fuel on and

after October 1, 1993.

Requires a person selling the fuel to provide the customer

or user with specifications for the sulfur content of the fuel.

Requires a monthly report be submitted to the SCAQMD

documenting the liquid fuel consumption and applicable sulfur content

used in refineries and power plants.

Requires an annual report be submitted documenting the

liquid fuel consumption and applicable sulfur content for all other

commercial and industrial facilities with permitted combustion

equipment.

Adds sections for recordkeeping, definitions and test

methods.

EPA has evaluated SCAQMD's submitted Rule 431.2 for consistency

with the CAA, EPA regulations, and EPA policy and has found that the

revisions result in a clearer, more enforceable rule. Although SCAQMD's

Rule 431.2 will strengthen the SIP, this rule contains the following

deficiency which should be corrected.

The rule allows Executive Officer discretion in approving

alternate test methods to determine compliance with the sulfur limits

of the rule. EPA also recommends the following improvements to the

rule.

A reference to a CARB specification for motor vehicle

diesel fuel (Title 13, Section 2256), should be updated to reflect

renumbering of the section which occurred in the year following the

amendment of Rule 431.2

The period of record retention specified should be

consistent with the federal record retention requirement of 5 years.

A detailed discussion of the rule deficiency and recommendations

for rule improvement can be found in the Technical Support Document for

Rule 431.2 (2/12/99), which is available from the U.S. EPA, Region IX

office.

There is currently no version of SJVUAPCD Rule 4802, Sulfuric Acid

Mist, in the SIP. The submitted rule includes the following provisions:

Limits the amount of effluent process gas that can be

discharged into the atmosphere from sulfuric acid production units

constructed or modified before August 17, 1971 to 0.30 pounds per short

ton of acid produced, the production being expressed as 100 percent

sulfuric acid.

Prohibits any owner or operator of an existing sulfuric

acid production unit that emits less than the allowable limit from

allowing an increase of emissions beyond the level being emitted as of

December 17, 1992. Such owners or operators must also utilize all acid

mist emissions control equipment to reduce acid mist emissions to

lowest possible levels.

Establishes Method 8 of 40 CFR 60 Appendix A as the test

procedure to be used to determine sulfuric acid mist emissions.

EPA has evaluated SJVUAPCD's submitted Rule 4802 for consistency

with the CAA, EPA regulations, and EPA policy. Although SJVUAPCD's Rule

4802 will strengthen the SIP, this rule contains the following

deficiency which should be corrected.

The rule lacks recordkeeping requirements to confirm

source compliance with sections 4.1 and 4.2 of the rule.

EPA also recommends the following improvements to the rule.

The period of record retention specified should be

consistent with the federal record retention requirement of 5 years.

A typographical error in Section 4.2 should be corrected

so that the requirement reads: ``The owner or operator of an existing

sulfuric acid production unit which emits acid mist. * * *.''

There is currently no version of SCAPCD Rule 4.14, Sulfur Content

of Fuels, in the SIP. The submitted rule supersedes an earlier

submittal of Rule 4.14, adopted on January 24, 1989 and submitted to

EPA on March 26, 1990. The submitted rule being acted on in this

document includes the following provisions:

Prohibits the burning of any liquid fuel or solid fuel

having a sulfur content in excess of 0.5 percent by weight.

Exempts sources from the above limit which obtain written

approval from the Control Officer and remove sulfur compounds from

combustion products or use a mixture of fuels to the extent that sulfur

compound emissions are no greater than that which would be emitted

using a liquid or solid fuel complying with the 0.5 percent by weight

limit.

EPA has evaluated SCAPCD's submitted Rule 4.14 for consistency with

the CAA, EPA regulations, and EPA policy. Although SCAPCD's Rule 4.14

will strengthen the SIP, this rule contains the following deficiencies

which should be corrected.

The rule lacks recordkeeping requirements to confirm

source compliance with sections A. and B. of the rule.

The rule lacks test methods to determine source compliance

with sections A. and B. of the rule.

EPA also recommends the following improvement to the rule.

The period of record retention specified should be

consistent with the federal record retention requirement of 5 years.

On May 3, 1984, EPA approved into the SIP a version of BAAQMD

Regulation 9 Rule 1, Sulfur Dioxide, that had been adopted by the

BAAQMD on February 16, 1983. Revisions to this rule were subsequently

adopted, and then were superseded by the submitted version. In

evaluating the submitted version, EPA reviewed materials associated

with the SIP approved rule and the submitted version. BAAQMD submitted

an amendment to Regulation 9 Rule 1 on September 14, 1992 which

includes the following significant changes from the current SIP rule:

Deletes obsolete phased-in compliance dates for sulfur

recovery plants at local refineries.

[[Page 13381]]

Deletes duplicative standards and definitions for sulfur

recovery plants.

Cuts in half the one hour SO2 limit to match

the State SO2 limits.

Adds additional definitions.

Adds standards for sulfur removal operations at petroleum

refineries.

Adds additional test methods for hydrogen sulfide,

ammonia, and the sulfur content of crude oil.

EPA has evaluated BAAQMD's submitted Regulation 9 Rule 1 for

consistency with the CAA, EPA regulations, and EPA policy and has found

that the revisions result in a clearer, more enforceable rule. Although

BAAQMD's Regulation 9 Rule 1 will strengthen the SIP, this rule

contains the following deficiency which should be corrected.

The rule lacks recordkeeping for some of the source

categories with emissions limits covered by the rule. EPA also

recommends the following improvements to the rule.

An apparent typographical error resulted in the sulfur

dioxide limits changing from 0.04 ppm to 0.05 ppm over 24 hours when

the ground level sulfur dioxide limit was moved from one section to

another section.

Test method ST-19B is marked as deleted from the BAAQMD

Manual of Procedures. The rule should be updated to delete this test

method.

A detailed discussion of the rule deficiencies and rule

improvements can be found in the Technical Support Document for

SJVUAPCD Rule 4802, SCAPCD Rule 4.14 and BAAQMD Regulation 9 Rule 1 (2/

19/99), which is available from the U.S. EPA, Region IX office.

Because of the deficiencies identified for the rules being acted on

in this document, they are not fully approvable and may lead to rule

enforceability problems. Because of the above deficiencies, EPA cannot

grant full approval of these rules under section 110(k)(3). Also,

because the submitted rules are not composed of separable parts which

meet all the applicable requirements of the CAA, EPA cannot grant

partial approval of the rules under section 110(k)(3). However, EPA may

grant a limited approval of the submitted rules under section 110(k)(3)

in light of EPA's authority pursuant to section 301(a) to adopt

regulations necessary to advance the Act's overarching air quality

protection goals by strengthening the SIP. In order to strengthen the

SIP by advancing the SO2 air quality protection goal of the

Act, EPA is proposing a limited approval of SCAQMD Rule 431.2, SJVUAPCD

Rule 4802, SCAPCD Rule 4.14 and BAAQMD Regulation 9 Rule 1 under

sections 110(k)(3) and 301(a) of the Act. However, this limited

approval would not approve those measures as satisfying any other

specific requirement of the Act, nor would it constitute full approval

of the SIP submittals pursuant to section 110(k)(3). Rather, a limited

approval of these rules by EPA would mean that the emission limitations

and other control measure requirements become part of the California

SIP and are federally enforceable by EPA. See, e.g. sections 302(q) and

113 of the Act.

It is should be noted that the rules covered by this proposed

rulemaking have been adopted by and are currently in effect in the air

quality districts to which this action pertains. EPA's final limited

approval action will not prevent the SCAQMD, SJVUAPCD, SCAPCD, BAAQMD

or EPA from enforcing these rules.

Nothing in this action should be construed as permitting or

allowing or establishing a precedent for any future request for

revision to any state implementation plan. Each request for revision to

the state implementation plan shall be considered separately in light

of specific technical, economic, and environmental factors and in

relation to relevant statutory and regulatory requirements.

IV. Administrative Requirements

A. Executive Order 12866

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

regulatory action from Executive Order (E.O.) 12866, Regulatory

Planning and Review.

B. Executive Order 12875

Under Executive Order 12875, Enhancing the Intergovernmental

Partnership, 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,

Executive Order 12875 requires EPA to provide to the Office of

Management and Budget 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, Executive Order 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 duties on these

entities. Accordingly, the requirements of section 1(a) of E.O. 12875

do not apply to this rule.

C. Executive Order 13045

Protection of Children from Environmental Health Risks and Safety

Risks (62 FR 19885, April 23, 1997), 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 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. This rule is not subject to E.O. 13045 because it does

not involve decisions intended to mitigate environmental health or

safety risks.

D. Executive Order 13084

Under Executive Order 13084, Consultation and Coordination with

Indian Tribal Governments, 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, Executive Order 13084

requires EPA to provide to the Office of Management and Budget, 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, Executive Order 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

[[Page 13382]]

significantly or uniquely affect the communities of Indian tribal

governments. 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) 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 Clean Air Act do not create

any new requirements but simply approve requirements that the State is

already imposing. Therefore, because the Federal SIP approval does not

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

Clean Air Act, preparation of flexibility analysis would constitute

Federal inquiry into the economic reasonableness of state action. The

Clean Air Act forbids EPA to base its actions concerning SIPs on such

grounds. Union Electric Co., v. U.S. EPA, 427 U.S. 246, 255-66 (1976);

42 U.S.C. 7410(a)(2).

F. Unfunded Mandates

Under Section 202 of the Unfunded Mandates Reform Act of 1995

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

must prepare a budgetary impact statement to accompany any proposed or

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

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.

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.

List of Subjects in 40 CFR Part 52

Environmental protection, Air pollution control, Incorporation by

reference, Intergovernmental relations, Reporting and recordkeeping

requirements, sulfur oxides.

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

Dated: March 4, 1999.

Laura Yoshii,

Deputy Regional Administrator, Region IX.

[FR Doc. 99-6507 Filed 3-17-99; 8:45 am]

BILLING CODE 6560-50-P