[Federal Register Volume 83, Number 167 (Tuesday, August 28, 2018)]
[Proposed Rules]
[Pages 43825-43836]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-18640]
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ENVIRONMENTAL PROTECTION AGENCY
40 CFR Part 52
[EPA-R05-OAR-2017-0147; FRL-9982-90--Region 5]
Air Plan Approval; Indiana; Reasonable Further Progress Plan and
Other Plan Elements for the Chicago Nonattainment Area for the 2008
Ozone Standard
AGENCY: Environmental Protection Agency (EPA).
ACTION: Proposed rule.
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SUMMARY: The Environmental Protection Agency (EPA) is proposing to
approve a revision to the Indiana State Implementation Plan (SIP) to
meet the base year emissions inventory, reasonable further progress
(RFP), RFP contingency measure, nonattainment new source review
(nonattainment NSR), volatile organic compound (VOC) reasonably
available control technology (RACT), and motor vehicle inspection and
maintenance (I/M) requirements of the Clean Air Act (CAA) for the
Indiana portion of the Chicago-Naperville, Illinois-Indiana-Wisconsin
area (Chicago area) for the 2008 ozone national ambient air quality
standard (NAAQS or standard). EPA is also proposing to approve the 2017
transportation conformity motor vehicle emissions budgets (MVEBs) for
the Indiana portion of the Chicago area for the 2008 ozone NAAQS. EPA
is proposing to approve the state's submission as a SIP revision
pursuant to section 110 and part D of the CAA and EPA's regulations
because it satisfies the emission inventory, RFP, RFP contingency
measure, nonattainment NSR, VOC RACT, I/M, and transportation
conformity requirements for areas classified as moderate
[[Page 43826]]
nonattainment for the 2008 ozone NAAQS. Final approval of Indiana's SIP
as meeting the nonattainment NSR requirements of the CAA for the 2008
ozone NAAQS will permanently stop the sanctions and Federal
Implementation Plan (FIP) clocks triggered by EPA's February 3, 2017
finding that Indiana failed to submit a marginal ozone nonattainment
NSR plan.
DATES: Comments must be received on or before September 27, 2018.
ADDRESSES: Submit your comments, identified by Docket ID No. EPA-R05-
OAR-2017-0147, at http://www.regulations.gov, or via email to
[email protected]. For comments submitted at Regulations.gov,
follow the online instructions for submitting comments. Once submitted,
comments cannot be edited or removed from Regulations.gov. For either
manner of submission, EPA may publish any comment received to its
public docket. Do not submit electronically any information you
consider to be Confidential Business Information (CBI) or other
information whose disclosure is restricted by statute. Multimedia
submissions (audio, video, etc.) must be accompanied by a written
comment. The written comment is considered the official comment and
should include discussion of all points you wish to make. EPA will
generally not consider comments or comment contents located outside of
the primary submission (i.e. on the web, cloud, or other file sharing
system). For additional submission methods, please contact the person
identified in the FOR FURTHER INFORMATION CONTACT section. For the full
EPA public comment policy, information about CBI or multimedia
submissions, and general guidance on making effective comments, please
visit http://www2.epa.gov/dockets/commenting-epa-dockets.
FOR FURTHER INFORMATION CONTACT: Kathleen D'Agostino, Environmental
Engineer, Attainment Planning and Maintenance Section, Air Programs
Branch (AR-18J), U.S. Environmental Protection Agency, Region 5, 77
West Jackson Boulevard, Chicago, Illinois 60604, (312) 886-1767,
[email protected].
SUPPLEMENTARY INFORMATION: Throughout this document, whenever ``we,''
``us,'' or ``our'' is used, we mean EPA. This supplementary information
section is arranged as follows:
I. What is the background for this action?
II. What is EPA's evaluation of Indiana's submittal?
III. What action is EPA proposing?
IV. Statutory and Executive Order Reviews
I. What is the background for this action?
A. Background on the 2008 Ozone Standard
On March 12, 2008, EPA promulgated a revised 8-hour ozone NAAQS of
0.075 parts per million (ppm).\1\ Promulgation of a revised NAAQS
triggers a requirement for EPA to designate all areas of the country as
nonattainment, attainment, or unclassifiable for the NAAQS. For the
ozone NAAQS, this also involves classifying any nonattainment areas at
the time of designation.\2\ Ozone nonattainment areas are classified
based on the severity of their ozone levels (as determined based on the
area's ``design value,'' which represents air quality in the area for
the most recent 3 years). The classifications for ozone nonattainment
areas are marginal, moderate, serious, severe, and extreme.\3\
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\1\ 73 FR 16436 (March 27, 2008), codified at 40 CFR 50.15.
\2\ CAA sections 107(d)(1) and 181(a)(1).
\3\ CAA section 181(a)(1).
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Areas that EPA designates nonattainment for the ozone NAAQS are
subject to the general nonattainment area planning requirements of CAA
section 172 and also to the ozone-specific planning requirements of CAA
section 182. Ozone nonattainment areas in the lower classification
levels have fewer and/or less stringent mandatory air quality planning
and control requirements than those in higher classifications. For
marginal areas, a state is required to submit a baseline emissions
inventory, adopt provisions into the SIP requiring emissions statements
from stationary sources, and implement a nonattainment NSR program for
the relevant ozone NAAQS.\4\ For moderate areas, a state needs to
comply with the marginal area requirements, plus additional moderate
area requirements, including the requirement to submit a modeled
demonstration that the area will attain the NAAQS as expeditiously as
practicable but no later than 6 years after designation, the
requirement to submit an RFP plan, the requirement to adopt and
implement certain emissions controls, such as RACT and I/M, and the
requirement for greater emissions offsets for new or modified major
stationary sources under the state's nonattainment NSR program.\5\
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\4\ CAA section 182(a).
\5\ CAA section 182(b).
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B. Background on the Chicago 2008 Ozone Nonattainment Area
On June 11, 2012,\6\ EPA designated the Chicago area as a marginal
nonattainment area for the 2008 ozone NAAQS. The Chicago area includes
Cook, DuPage, Kane, Lake, McHenry, and Will Counties and part of Grundy
and Kendall Counties in Illinois; Lake and Porter Counties in Indiana;
and part of Kenosha County in Wisconsin. On May 4, 2016,\7\ pursuant to
section 181(b)(2) of the CAA, EPA determined that the Chicago area
failed to attain the 2008 ozone NAAQS by the July 20, 2015, marginal
area attainment deadline and thus reclassified the area from marginal
to moderate nonattainment. In that action, EPA established January 1,
2017, as the due date for the state to submit all moderate area
nonattainment plan SIP requirements applicable to newly reclassified
areas.
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\6\ 77 FR 34221, effective July 20, 2012.
\7\ 81 FR 26697.
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In addition, effective March 6, 2017, EPA found that 15 states and
the District of Columbia failed to submit SIP revisions in a timely
manner to satisfy certain nonattainment plan requirements for the 2008
ozone NAAQS.\8\ This finding established certain deadlines for the
imposition of sanctions if a state does not submit a timely SIP
revision addressing the requirements for which EPA made the finding and
for EPA to promulgate a FIP to address any outstanding SIP
requirements. As part of that action, EPA made a finding that Indiana
failed to submit a SIP submission to meet the marginal nonattainment
NSR requirements for the Indiana portion of the Chicago area.
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\8\ 82 FR 9158 (February 3, 2017).
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II. What is EPA's evaluation of Indiana's submittal?
Indiana submitted a SIP revision request on February 28, 2017, and
submitted supplemental information on January 9, 2018, to address the
moderate area requirements for the Indiana portion of the Chicago area
for the 2008 ozone NAAQS. The submission contained a number of
nonattainment plan elements, including a revised 2011 base year
emissions inventory for VOC and oxides of nitrogen (NOX), a
15% RFP plan, a 3% RFP contingency measure plan, 2017 VOC and
NOX motor vehicle emissions budgets, a nonattainment NSR
certification, a VOC RACT certification, and an enhanced I/M
certification. The nonattainment NSR certification included in the SIP
submission addresses the deficiency that was the basis for the March 6,
2017,
[[Page 43827]]
finding; therefore, approval of this SIP revision would permanently
stop the sanctions and FIP clocks triggered by EPA's February 3, 2017
finding that Indiana failed to submit a marginal ozone nonattainment
NSR plan. The submission also included an attainment demonstration,
which will be addressed in a separate action.
A. Revised 2011 Base Year Emissions Inventory
CAA sections 172(c)(3) and 182(a)(1), 42 U.S.C. 7502(c)(3) and
7511a(a)(1), require states to develop and submit, as SIP revisions,
comprehensive, accurate, and complete emissions inventories for all
areas designated as nonattainment for the ozone NAAQS. An emissions
inventory for ozone is an estimation of actual emissions of VOC and
NOX from all sources located in the relevant designated
nonattainment area. For the 2008 ozone NAAQS, EPA has recommended that
states use 2011 as a base year for the emissions estimates.\9\ On April
7, 2017,\10\ EPA approved the 2011 base year emissions inventory
submitted by the Indiana Department of Environmental Management (IDEM)
on June 15, 2016, for the Indiana portion of the Chicago area. IDEM
included a revised 2011 base year emissions inventory in its February
27, 2017, submission. The revised 2011 base year emissions inventory
only modifies the emissions estimates for the on-road mobile sector,
with emissions estimates for point, area, and non-road mobile sectors
remaining unchanged from the inventory approved by EPA.
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\9\ 78 FR 34178, 34190, (June 6, 2013).
\10\ 82 FR 16934.
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In the original 2011 base year emissions inventory approved by EPA,
Indiana derived 2011 onroad mobile emissions by back-casting emissions
estimates generated by the MOVES2014 model for 2015 and 2020. The
revised onroad emissions estimates were generated by running the
MOVES2014 model for 2011. This is a more accurate method for estimating
2011 onroad emissions. Thus, EPA is proposing to approve the 2011 base
year emissions inventory the state submitted with the RFP plan as a
revision to the Indiana SIP.
Table 1--Revised 2011 Base Year Emissions Inventory in Tons per Summer Day
[tpsd]
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VOC NOX
Source sector -----------------------------------------------------------------------------------------------
Lake County Porter County Total Lake County Porter County Total
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EGU Point............................................... 0.44 0.19 0.63 24.62 5.53 30.15
Point................................................... 15.39 1.68 17.07 43.10 23.36 66.46
Area.................................................... 12.54 5.53 18.07 5.80 3.89 9.69
Non-road................................................ 7.55 6.64 14.19 8.07 4.62 12.69
On-road................................................. 6.92 2.66 9.58 17.85 6.85 24.70
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Total............................................... 42.84 16.70 59.54 99.44 44.25 143.69
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B. 15% RFP Plan and 3% Contingency Plan
1. Background
The CAA requires that states with areas designated as nonattainment
for ozone achieve RFP toward attainment of the ozone NAAQS. CAA section
172(c)(2) contains a general requirement that nonattainment plans must
provide for emissions reductions that meet RFP. For areas classified
moderate and above, section 182(b)(1) imposes a more specific RFP
requirement that a state had to meet through a 15% reduction in VOC
emissions from the baseline anthropogenic emissions within 6 years
after November 15, 1990. The state must meet the 15% requirement by the
end of the 6-year period, regardless of when the nonattainment area
attains the NAAQS. As with other nonattainment plan requirements for
more recent iterations of the ozone NAAQS, EPA has promulgated
regulations and guidance to interpret the statutory requirements of the
CAA.
EPA's final rule to implement the 2008 ozone NAAQS (SIP
Requirements Rule),\11\ addressed, among other things, the RFP
requirements as they apply to areas designated nonattainment and
classified as moderate for the 2008 ozone NAAQS.\12\ EPA interprets the
15% VOC emission reduction requirement in CAA section 182(b)(1) such
that a state that has already met the 15% requirement for VOC for an
area under either the 1-hour ozone NAAQS or the 1997 8-hour ozone NAAQS
would not have to fulfill that requirement through reductions of VOC
again. Instead, EPA is interpreting CAA section 172(c)(2) to require
states with such areas to obtain 15% ozone precursor emission
reductions (VOC and/or NOX) over the first 6 years after the
baseline year for the 2008 ozone NAAQS. The state previously met the
15% VOC reduction requirement of CAA section 182(b)(1) for the Indiana
portion of the Chicago area under the 1-hour ozone NAAQS. Therefore,
the state may rely upon both VOC and NOX emissions
reductions to meet the RFP requirement for the 2008 ozone NAAQS.
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\11\ 80 FR 12264. (March 6, 2015).
\12\ Ibid, at 12271 and 40 CFR 51.1110.
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EPA's SIP Requirements Rule indicates the base year for the 2008
ozone NAAQS, for which areas were designated nonattainment effective
July 20, 2012, can be 2011 or a different year of the states choosing.
However, states selecting a pre-2011 alternate baseline year must
achieve 3% emission reductions each year after the initial 6-year
period has concluded up to the beginning of the attainment year. For a
multi-state area, states must agree on the same base year. Wisconsin,
Illinois, and Indiana have selected the EPA-recommended base year of
2011.\13\
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\13\ On February 16, 2018, the D.C. Circuit Court issued a
decision in South Coast Air Quality Management District v. EPA, 882
F.3d 1138 (D.C. Cir. 2018), in which several parties challenged
different aspects of EPA's SIP Requirements Rule for the 2008 Ozone
NAAQS. In this decision, the Court upheld 2011 as a reasonable
baseline year for the 2008 ozone NAAQS but vacated the provision
allowing for an alternate year. Because Wisconsin, Illinois, and
Indiana have selected 2011 as the baseline year, the decision does
not impact Indiana's ROP plan.
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States may not take credit for VOC or NOX reductions
occurring from sources outside the nonattainment area for purposes of
meeting the 15% ROP and 3% RFP requirements of CAA sections 172(c)(2),
182(b)(1) and 182(c)(2)(B). Indiana's 15% RFP represents emissions
reductions which occurred in Indiana's portion of the nonattainment
area from
[[Page 43828]]
2011 to 2017, thereby satisfying this requirement.
Except as specifically provided in section 182(b)(1)(D) of the CAA,
all state control measures approved into the SIP or Federal measures
that provide emissions reductions that occur after the baseline
emissions inventory year are creditable for purposes of the RFP
requirements, provided that the reductions meet the standard
requirements for creditability which include being enforceable,
quantifiable, permanent, and surplus in terms of not having previously
been counted toward RFP.
States must also include contingency measures in their
nonattainment plans. The contingency measures required for areas
classified as moderate and above under CAA sections 172(c)(9) and
182(c)(9) must provide for the implementation of specific measures if
the area fails to attain or to meet any applicable RFP milestone. The
state must submit these measures for approval by EPA into the SIP as
adopted measures that would take effect without further rulemaking
action by the state or the EPA upon a determination that an area failed
to attain or to meet the applicable milestone. Per EPA guidance for
purposes of the ozone NAAQS, contingency measures should represent one
year's worth of RFP progress, amounting to reductions of at least 3% of
the baseline emissions inventory for the nonattainment area.\14\ The
purpose of the contingency measures is to provide additional emission
reductions in the event of a failure to attain or meet any applicable
milestone, which would occur while the state is revising its SIP for
the area to rectify the failure to attain or to meet RFP
requirements.\15\
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\14\ See the March 6, 2015 SIP Requirements Rule (80 FR 12264 at
12285) and April 16, 1992 General Preamble section III.A.3.c (57 FR
13498 at 13511).
\15\ 80 FR 12264 at 12285.
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Regarding the contingency measures, EPA's prior guidance for
purposes of the ozone NAAQS specifies that some portion of the
contingency measures must include VOC reductions. This previous
limitation is no longer necessary in all areas. In particular, EPA has
concluded that states with nonattainment areas classified as moderate
and above that have already completed the initial 15% VOC reduction
required by CAA section 182(b)(1)(A)(i), can meet the contingency
measures requirement based entirely on NOX controls if that
is what the state's analyses have demonstrated would be most effective
in bringing the area into attainment. There is no minimum VOC
requirement. Also, EPA is continuing its long-standing policy that
allows states to use promulgated Federal measures as contingency
measures as long as they provide emission reductions in the relevant
years in excess of those needed for attainment or RFP.\16\
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\16\ 80 FR 12264 at 12285.
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2. Indiana's 15% RFP and 3% RFP Contingency Measures Plan
To demonstrate that the Indiana portion of the Chicago area has
achieved 15% RFP over the 6-year attainment planning period, Indiana is
using a 2011 base year inventory and a 2017 RFP inventory. To develop
the 2017 inventory, Indiana calculated on-road emissions using EPA's
MOVES2014 model and non-road emissions using EPA's National Mobile
Inventory Model (NMIM). The MOVES model for the on-road sector and NMIM
for the non-road sector incorporate a number of Federal emissions
control programs into its projections. These emissions reduction
measures are permanent and enforceable and are implemented in the
nonattainment area. The MOVES and NMIM models assumed increases in
vehicle or equipment population and usage while projecting decreases in
ozone precursor emissions from 2011 to 2017. The estimated emissions
reductions are therefore not due to reductions in source activity, but
to the implementation of control measures. Tables 2 and 3 list the
Federal permanent and enforceable control programs modeled by the MOVES
model for the on-road sector and NMIM for the non-road sector,
respectively.
Table 2--Federal On-Road Emission Control Programs Modeled by MOVES
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On-road control program Pollutants Model year * Regulation
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Passenger vehicles, SUVs, and light VOC & NOX.............. 2004-09+ (Tier 2) 2017+ 40 CFR parts 85 & 86.
duty trucks--emissions and fuel (Tier 3).
standards.
Light-duty trucks and medium duty VOC.................... 2004-10................ 40 CFR part 86.
passenger vehicle--evaporative
standards.
Heavy-duty highway compression engines VOC & NOX.............. 2007+.................. 40 CFR part 86.
Heavy-duty spark ignition engines..... VOC & NOX.............. 2005-08+............... 40 CFR part 86.
Motorcycles........................... VOC & NOX.............. 2006-10 (Tier 1 & 2)... 40 CFR part 86.
Mobile Source Air Toxics--fuel Organic Toxics & VOC... 2009-15 **............. 40 CFR parts 59, 80,
formulation, passenger vehicle 85, & 86.
emissions, and portable container
emissions.
Light duty vehicle corporate average Fuel efficiency (VOC & 2012-16 & 2017-25...... 40 CFR part 600.
fuel economy standards. NOX).
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* The range in model years affected can reflect phasing of requirements based on engine size or initial years
for replacing earlier tier requirements.
** The range in model years reflects phased implementation of fuel, passenger vehicle, and portable container
emission requirements as well as the phasing by vehicle size and type.
Table 3--Federal Non-Road Emission Control Programs Modeled by NMIM
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Nonroad control program * Pollutants Model year ** Regulation
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Compression Ignition.................. VOC & NOX.............. 2000-2015+ (Tier 4).... 40 CFR parts 89 &
1039.
Large Spark Ignition.................. VOC & NOX.............. 2007+.................. 40 CFR part 1048.
Marine Spark Ignition................. VOC & NOX.............. 2010+.................. 40 CFR part 1045.
Recreational Vehicle.................. VOC & NOX.............. 2006-2012 (Tiers 1-3).. 40 CFR part 1051.
Small Spark Ignition Engine <19 Kw-- VOC & NOX.............. 2005-2012 (Tiers 2 & 3) 40 CFR parts 90 &
emission standards. 1054.
[[Page 43829]]
Small Spark Ignition Engine <19 Kw-- VOC.................... 2008-2016.............. 40 CFR parts 1045, 54,
evaporative standards. & 60.
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* Compression ignition applies to diesel non-road compression engines including engines operated in
construction, agricultural, and mining equipment. Recreational vehicles include snowmobiles, off-road
motorcycles, and all-terrain vehicles. Small spark ignition engines include engines operated in lawn and hand-
held equipment.
** The range in model years affected can reflect phasing of requirements based on engine size or initial years
for replacing earlier tier requirements.
Indiana used the 2017 EPA-projected National Emissions Inventory
(NEI) to obtain estimated point and area source emissions. While EPA
projected point and area source emissions to decrease between 2011 and
2017, Indiana did not document the control programs and associated
reductions in emissions for these sectors or determine to what extent
any reduction may be attributed to reductions in source activity.
Therefore, Indiana took no credit for emissions reductions from these
source sectors in its RFP or RFP contingency measures calculations.
Table 4 shows Indiana's 2017 projected emissions inventory. Table 5
shows Indiana's 2017 RFP and RFP contingency emissions inventory, which
assumes no reduction in emissions between 2011 and 2017 from the point
and area source sectors.
Table 4--Projected 2017 Emissions Inventory
[tpsd]
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VOC NOX
Source sector -----------------------------------------------------------------------------------------------
Lake County Porter County Total Lake County Porter County Total
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EGU Point............................................... 0.09 0.07 0.16 4.07 1.36 5.43
Non-EGU Point........................................... 15.34 1.67 17.01 42.44 23.10 65.54
Area.................................................... 11.73 5.08 16.81 5.10 3.25 8.35
Non-road................................................ 5.03 4.44 9.47 5.59 3.48 9.07
On-road................................................. 4.33 1.63 5.96 10.15 4.35 14.50
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Total............................................... 36.52 12.89 49.41 67.35 35.54 102.90
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Table 5--2017 RFP AND RFP Contingency Measures Emissions Inventory
[tpsd]
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VOC NOX
Source sector -----------------------------------------------------------------------------------------------
Lake County Porter County Total Lake County Porter County Total
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EGU Point............................................... 0.44 0.19 0.63 24.62 5.53 30.15
Non-EGU Point........................................... 15.39 1.68 17.07 43.10 23.36 66.46
Area.................................................... 12.54 5.53 18.07 5.80 3.89 9.69
Non-road................................................ 5.03 4.44 9.47 5.59 3.48 9.07
On-road................................................. 4.33 1.63 5.96 10.15 4.35 14.50
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Total............................................... 37.73 13.47 51.20 89.26 40.61 129.87
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Indiana submitted documentation showing that emission reductions in
the Indiana portion of the Chicago area met the 15% RFP and 3% RFP
contingency measures requirements entirely through Federal permanent
and enforceable control measures within the mobile source sectors.
Table 6 shows the calculations Indiana used to determine that the
mobile source emissions reductions meet the RFP and RFP contingency
measures requirements.
Table 6--2017 RFP and Contingency Target Level Calculations
[emissions in tpsd]
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Description Formula VOC NOX
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A. 2011 RFP Base Year Inventory.............................. ............... 59.54 143.69
B. RFP Reductions totaling 15%............................... ............... 9% 6%
C. RFP Emissions Reductions Required Between 2011 & 2017..... A * B 5.36 8.62
D. RFP Target Level for 2017................................. A-C 54.18 135.07
E. Contingency Percentage.................................... ............... 2% 1%
F. Contingency Emission Reduction Requirements............... A * E 1.2 1.44
G. RFP + Contingency Target Level............................ A-C-F 52.99 133.63
H. 2017 Projected Emissions (2017 RFP & Contingency ............... 51.20 129.87
Inventory)..................................................
I. Compare RFP & Contingency Target with 2017 Projected HX for ozone) to address pollution from on-road
transportation sources. The MVEBs are the portion of the total
allowable emissions that are allocated to highway and transit vehicle
use that, together with emissions from other sources in the area, will
meet an RFP milestone or provide for attainment or maintenance of the
NAAQS.\18\ The MVEB serves as a ceiling on emissions from an area's
planned transportation system.\19\
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\17\ See the SIP requirements for the 2008 ozone standard in
EPA's March 6, 2015 implementation rule (80 FR 12264).
\18\ 40 CFR 93.101.
\19\ The MVEB concept is further explained in the preamble to
the November 24, 1993, Transportation Conformity Rule (58 FR 62188).
The preamble also describes how to establish the MVEB in the SIP and
how to revise the MVEB, if needed, subsequent to initially
establishing a MVEB in the SIP.
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When reviewing control strategy or maintenance plan submissions,
EPA must affirmatively find that the MVEBs contained therein are
adequate for use in determining transportation conformity. Once EPA
affirmatively finds that the submitted MVEBs are adequate for
transportation purposes, the MVEBs must be used by state and Federal
agencies in determining whether proposed transportation projects
conform to the SIP as required by section 176(c) of the CAA.
EPA's substantive criteria for determining adequacy of a MVEB are
set out in 40 CFR 93.118(e)(4). The process
[[Page 43831]]
for determining adequacy consists of three basic steps: Public
notification of a SIP submission; provision for a public comment
period; and EPA's adequacy determination. This process for determining
the adequacy of submitted MVEBs for transportation conformity purposes
was initially outlined in EPA's May 14, 1999 guidance, ``Conformity
Guidance on Implementation of March 2, 1999, Conformity Court
Decision.'' EPA adopted regulations to codify the adequacy process in
the Transportation Conformity Rule Amendments for the ``New 8-Hour
Ozone and PM2.5 National Ambient Air Quality Standards and
Miscellaneous Revisions for Existing Areas; Transportation Conformity
Rule Amendments--Response to Court Decision and Additional Rule
Change,'' on July 1, 2004.\20\ Additional information on the adequacy
process for transportation conformity purposes is available in a June
30, 2003, proposed rule titled, ``Transportation Conformity Rule
Amendments: Response to Court Decision and Additional Rule Changes.''
\21\
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\20\ 69 FR 40004.
\21\ 68 FR 38974, 38984.
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Indiana's RFP and contingency measure plan includes VOC and
NOX MVEBs for the Indiana portion of the Chicago area for
2017. EPA reviewed the VOC and NOX MVEBs through the
adequacy process. Indiana's February 28, 2017, RFP and contingency
measure SIP submission (as supplemented on January 9, 2018), including
the VOC and NOX MVEBs for the Indiana portion of the Chicago
area, was available for public comment on EPA's adequacy website on
February 2, 2018, found at: http://www.epa.gov/otaq/stateresources/transconf/currsips.htm. The EPA public comment period on adequacy of
the 2017 MVEBs for the Indiana portion of the Chicago area closed on
March 5, 2018. No comments on the submittal were received during the
adequacy comment period. The submitted RFP and contingency measure
plan, which included the MVEBs, was endorsed by the Governor's designee
and was subject to a state public hearing. The MVEBs were developed as
part of an interagency consultation process which includes Federal,
state, and local agencies. The MVEBs were clearly identified and
precisely quantified. These MVEBs, when considered together with all
other emissions sources, are consistent with the 15% RFP and 3% RFP
contingency measures requirements of the 2008 8-hour ozone standard.
Table 7--2017 VOC and NOX MVEBs for the Indiana Portion of the Chicago Area
[tpsd]
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Allocation of surplus
2017 On-road emissions RFP + Contingency plan reductions to on-road 2017 MVEBs
surplus reductions mobile sector
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VOC................................................. 5.96 1.79 0.89 6.85
NOX................................................. 14.50 3.65 2.18 16.68
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As shown in Table 7, the 2017 MVEBs exceed the estimated 2017 on-
road sector emissions. In an effort to accommodate future variations in
travel demand models and vehicle miles traveled forecast, Indiana
allocated a portion of the surplus RFP and contingency plan reductions
to the mobile sector. Indiana has demonstrated that the Indiana portion
of the Chicago area can meet the 15% RFP and 3% RFP contingency measure
requirements of the 2008 ozone NAAQS with mobile source emissions of
6.85 tpsd of VOC and 16.68 tpsd of NOX in 2017, because
despite partial allocation of the RFP and RFP contingency measures plan
surplus reductions, emissions will remain under 2017 RFP plus
contingency measure target levels. EPA has found adequate and is thus
proposing to approve the 2017 VOC and NOX MVEBs for use to
determine transportation conformity in the Indiana portion of the
Chicago area under the 2008 ozone NAAQS because EPA has determined that
the area can meet the 15% RFP and 3% RFP contingency measure
requirements of the 2008 ozone NAAQS with mobile source emissions at
the levels of the MVEBs.
D. VOC RACT Certification
Sections 172(c)(1) and 182(b)(2) of the CAA require states to
implement RACT in ozone nonattainment areas classified as moderate (and
higher). Specifically, these areas are required to implement RACT for
all major VOC and NOX emissions sources and for all sources
covered by a Control Techniques Guideline (CTG). A CTG is a document
issued by EPA which establishes a ``presumptive norm'' for RACT for a
specific VOC source category. States must submit rules, or negative
declarations when no such sources exist for CTG source categories.
EPA's SIP Requirements Rule for the 2008 ozone NAAQS indicates that
states may meet RACT through the establishment of new or more stringent
requirements that meet RACT control levels, through a certification
that previously adopted RACT controls in their SIPs approved by EPA for
a prior ozone NAAQS also represent adequate RACT control levels for
attainment of the 2008 ozone NAAQS, or with a combination of these two
approaches. In addition, a state must submit a negative declaration in
instances where there are no CTG sources.
In its February 28, 2017 submission, Indiana certified that the
existing VOC rules contained in 326 Indiana Administrative Code (IAC) 8
satisfy the VOC RACT requirements of Section 182(b)(2) of the CAA and
have been approved into the SIP by EPA. Indiana also certified that the
negative declaration approved into the SIP by EPA for the fiberglass
boat manufacturing materials CTG is still current.\22\ Table 8 lists
these state regulations and identifies the associated SIP approvals by
EPA.
---------------------------------------------------------------------------
\22\ The NEI, the Harris Manufacturing Directory and the Manta
small business directory were reviewed to spot check the validity of
the previously approved negative declaration for this category. No
fiberglass boat manufacturing facilities subject to the CTG were
identified.
[[Page 43832]]
Table 8--VOC RACT Regulations Approved into the Indiana SIP
------------------------------------------------------------------------
Applicable Indiana EPA approval into
CTGs and ACTs \1\ regulation the SIP
------------------------------------------------------------------------
EPA 453/R-08-004 2008/09-- Negative 75 FR 8246 (02/24/
Control Techniques Guidelines Declaration 2010).
for Fiberglass Boat Letter--06/05/
Manufacturing Materials. 2009.
EPA 453/R-08-006, 2008/09-- 326 IAC 8-2-2--
Control Techniques Guidelines Automobile and
for Automobile and Light-Duty Light Duty Truck
Truck Assembly Coatings and EPA Coating
453/R-08-002, 2008/09--Protocol Operations.
for Determining the Daily
Volatile Organic Compound
Emission Rate of Automobile and
Light-Duty Truck Primer-
Surfacer and Topcoat Operations.
EPA 453/R-07-003, 2007/09-- 326 IAC 8-2-5--
Control Techniques Guidelines Paper Coating
for Paper, Film, and Foil Operations.
Coatings.
EPA 453/R-07-005, 2007/09-- 326 IAC 8-2-6--
Control Techniques Guidelines Metal Furniture
for Metal Furniture Coatings. Coating
Operations.
EPA 453/R-07-004, 2007/09-- 326 IAC 8-2-7--
Control Techniques Guidelines Large Appliance
for Large Appliance Coatings. Coating
Operations.
EPA 453/R-08-003, 2008/09-- 326 IAC 8-2-9-- 75 FR 8246 (02/24/
Control Techniques Guidelines Miscellaneous 2010) Revision:
for Miscellaneous Metal and Metal and Plastic 76 FR 63549 (10/
Plastic Parts Coatings. Parts Coating 13/2011).
Operations.
EPA-453/R-06-004 2006/09-- 326 IAC 8-2-10-- 75 FR 8246 (02/24/
Control Techniques Guidelines Flat Wood Panels; 2010).
for Flat Wood Paneling Coatings. Manufacturing
Operations.
EPA-453/R-06-003 2006/09-- 326 IAC 8-5-5-- 63 FR 35141 (06/29/
Control Techniques Guidelines Graphic Arts and 1998) and 75 FR
for Flexible Package Printing. Graphic Arts 8246 (02/24/
Operations. 2010).
Non-CTG......................... IAC 326 8-7-- 60 FR 34856 (07/05/
Specific VOC 1995).
Reduction
Requirements for
Lake, Porter,
Clark, and Floyd
Counties.
EPA-453/R-06-002 2006/09-- 326 IAC 8-16-- 75 FR 8246 (02/24/
Control Techniques Guidelines Offset 2010).
for Offset Lithographic Lithographic
Printing and Letterpress Printing and
Printing. Letterpress
Printing.
EPA-453/R-06-001, 2006/09-- 326 IAC 8-17--
Control Techniques Guidelines Industrial
for Industrial Cleaning Solvent Cleaning
Solvents. Operations.
EPA-450/3-84-015 1984/12-- 326 IAC 8-18--
Control of Volatile Organic Synthetic Organic
Compound Emissions from Air Chemical
Oxidation Processes in Manufacturing
Synthetic Organic Chemical Industry Air
Manufacturing Industry and EPA- Oxidation,
450/4-91-031 1993/08--Control Distillation, and
of Volatile Organic Compound Reactor
Emissions from Reactor Processes.
Processes and Distillation
Operations in Synthetic Organic
Chemical Manufacturing Industry.
EPA-453/R-93-020, 1994/02-- 326 IAC 8-19--
Control of Volatile Organic Control of
Compound Emissions from Batch Volatile Organic
Processes ACT (Note--also Compound
released as EPA-453/R-93-017). Emissions from
Process Vents in
Batch Operations.
EPA-453/D-93-056, 1992/09-- 326 IAC 8-20--
Control of Volatile Organic Industrial
Compound Emissions from Wastewater.
Industrial Wastewater CTG
(draft).
Note--CTG not finalized but
issued as ACT in 1994..
(No Report ID) 1994/04
Industrial Wastewater
Alternative Control Technology..
Note--ACT consists of cover memo
with option tables + CTG
(draft) EPA-453/D-93-056..
59 FR-29216, 6/06/94--1994/06 326 IAC 8-21--
Aerospace MACT and EPA-453/R-97- Aerospace
004, 1997/12 Aerospace (CTG & Manufacturing and
MACT). Rework
Operations.
EPA 453/R-08-005, 2008/09-- 326 IAC 8-22--
Control Techniques Guidelines Miscellaneous
for Miscellaneous Industrial Industrial
Adhesives. Adhesives.
------------------------------------------------------------------------
\1\ ACTs describe available control technologies and their respective
cost effectiveness but do not establish presumptive RACT.
EPA has reviewed Indiana's certification that it has adopted VOC
control regulations for stationary sources that constitute RACT, and
determined that the set of regulations cited by the state and negative
declaration for fiberglass boat manufacturing constitute RACT for
purposes of the 2008 ozone NAAQS in this nonattainment area. Therefore,
EPA is proposing to approve the state's submission as meeting the VOC
RACT requirements for the Indiana portion of the Chicago area for the
2008 ozone NAAQS.
E. Motor Vehicle I/M Program Certification
The requirement to adopt a motor vehicle I/M program for moderate
ozone nonattainment areas is described in CAA section 182(b)(4), and
the regulations for basic and enhanced I/M programs are found at 40 CFR
part 51, subpart S. Under these cumulative requirements, states with
areas classified as moderate nonattainment for ozone with 1990 Census-
defined urbanized populations of 200,000 or more are required to adopt
basic I/M programs, while serious and higher classified ozone
nonattainment areas outside of the northeast ozone transport region
with 1980 Census-defined urbanized populations of 200,000 or more are
required to adopt enhanced I/M programs. The Chicago area meets the
criteria for mandatory I/M under the 2008 ozone NAAQS.
The Indiana portion of the Chicago area was required to adopt an
enhanced I/M program under the 1-hour ozone NAAQS. EPA approved
Indiana's enhanced I/M program on March 19, 1996 (61 FR 11142).
Indiana's I/M program is authorized by state statute
[[Page 43833]]
Indiana Code (IC) 13-17-5, paid through the general funds, and
implemented through rules promulgated by the Indiana Environmental
Rules Board at 326 IAC 13. These requirements remain in place in
Indiana's ozone SIP. In its February 28, 2017, submission, Indiana
certified that the existing enhanced I/M program continues to satisfy
the I/M requirements of the CAA for the Indiana portion of the Chicago
area. Therefore, EPA is proposing to find that Indiana has met the I/M
requirement for its portion of the Chicago area for the 2008 ozone
NAAQS.
F. Nonattainment New Source Review
1. Background
CAA sections 110(a)(2) and 172(c)(5) require permits for the
construction of new or modified major stationary sources anywhere in a
nonattainment area in accordance with CAA section 173. CAA section 182
contains additional requirements applicable to ozone nonattainment
areas. Nonattainment NSR requirements are codified at 40 CFR 51.165.
On March 6, 2017, EPA found that Indiana failed to submit marginal
ozone nonattainment NSR rules for the Indiana portions of the Chicago
area and Cincinnati \23\ 2008 ozone nonattainment areas.\24\ On
February 28, 2017, Indiana submitted its nonattainment NSR
certification to address nonattainment NSR requirements for marginal
and moderate ozone nonattainment areas.\25\
---------------------------------------------------------------------------
\23\ The Cincinnati, Ohio-Kentucky-Indiana 8-hour ozone
nonattainment area has since been redesignated to attainment
effective April 7, 2017. See 82 FR 16940.
\24\ See 82 FR 9158.
\25\ The Chicago-Naperville 2008 8-hour ozone nonattainment area
was reclassified to moderate nonattainment effective June 3, 2017.
See 81 FR 26697.
---------------------------------------------------------------------------
Indiana has certified that specific sections of its nonattainment
NSR rules at 326 IAC 2-3 continue to meet the nonattainment NSR program
requirements for ozone nonattainment areas under the 2008 ozone NAAQS.
Table 9 provides the sections of Indiana's nonattainment NSR rule
corresponding to the relevant requirements at 40 CFR 51.165. 326 IAC 2-
3 was originally approved into the SIP effective December 6, 1994,\26\
with revisions subsequently approved into the SIP effective September
6, 2011.\27\ Each requirement identified in Indiana's certification has
been unchanged since EPA last approved it.
---------------------------------------------------------------------------
\26\ See 59 FR 51108. In its submittal, Indiana cites 94 FR
24838 as the initial approval for each requirement. The Federal
Register Document Number of the initial approval is 94-24838 and
corresponds to the proposed Approval and Promulgation of a New
Source Review Implementation Plan; Indiana. Federal Register
Document Number 94-24837 is the direct final Approval and
Promulgation of a New Source Review Implementation Plan; Indiana.
The direct final rule can be found at 59 FR 51108. Throughout
today's proposed rule, the direct final approval of Indiana's NSR
program will be cited as 59 FR 51108.
\27\ See 76 FR 40242.
Table 9--Nonattainment NSR Rules Indiana Certified as Meeting Federal Rules
----------------------------------------------------------------------------------------------------------------
Federal rule Indiana rule
----------------------------------------------------------------------------------------------------------------
40 CFR 51.165(a)(1)(iv)(A)(1)(i)-(iii). 326 IAC 2-3-1(z)(1) and (2).
40 CFR 51.165(a)(1)(iv)(A)(2).......... 326 IAC 2-3-1(z)(1) and (2).
40 CFR 51.165(a)(1)(iv)(A)(3).......... 326 IAC 2-3-1(z)(5).
40 CFR 51.165(a)(1)(v)(E).............. 326 IAC 2-3-1(y)(1).
40 CFR 51.165(a)(1)(x)(A)-(C).......... 326 IAC 2-3-1(pp).
40 CFR 51.165(a)(3)(ii)(C)(1)-(2)...... 326 IAC 2-3-3(b)(5).
40 CFR 51.165(a)(8).................... 326 IAC 2-3-1(y); 326 IAC 2-3-2(a) and (b).
40 CFR 51.165(a)(9)(ii)-(iv)........... 326 IAC 2-3-3(a)(5)(B).
----------------------------------------------------------------------------------------------------------------
For the following reasons, we are proposing to approve Indiana's
certification that 326 IAC 2-3 is consistent with 40 CFR 51.165 and
meets the requirements of CAA sections 172(c)(5), 173, 110(a)(2),
182(a)(4), and 182(b)(5) under the 2008 ozone standard for the Indiana
portion of the Chicago area ozone nonattainment area. Approval of
Indiana's nonattainment NSR certification would address the deficiency
that was the basis for the March 6, 2017 finding. Therefore, final
approval of this SIP revision will permanently stop the sanctions and
FIP clocks triggered by EPA's February 3, 2017 finding that Indiana
failed to submit a marginal ozone nonattainment NSR plan.
2. Extreme Ozone Nonattainment Area and Ozone Transport Region
Nonattainment NSR Requirements
In its February 28, 2017 submission, Indiana states that its
nonattainment NSR rules do not include extreme ozone nonattainment
requirements because Indiana has never had an extreme ozone
nonattainment area. We concur with the statement that Indiana has never
had an extreme ozone nonattainment area. Further, the finding of
failure to submit applies to marginal ozone nonattainment NSR
requirements, not extreme. Finally, the Chicago area ozone
nonattainment area was reclassified to a moderate ozone nonattainment
area which requires moderate, not extreme, ozone nonattainment NSR
requirements. For these reasons, Indiana's nonattainment NSR program
does not require extreme ozone nonattainment requirements at this time.
The following extreme ozone nonattainment NSR requirements are not
included as part of Indiana's nonattainment NSR rules: 40 CFR
51.165(a)(1)(iv)(A)(1)(iv), 40 CFR 51.165(a)(1)(iv)(A)(2)(vi), 40 CFR
51.165(a)(1)(v)(F), 40 CFR 51.165(a)(1)(x)(E), and 40 CFR
51.165(a)(9)(ii)(E).
Indiana's submission does not address ozone transport region
requirements. However, no portion of Indiana is currently part of an
ozone transport region; therefore, ozone transport region nonattainment
NSR requirements do not apply in Indiana. The following ozone transport
region nonattainment NSR requirements are not included as part of
Indiana's nonattainment NSR rules: 40 CFR 51.165(a)(1)(iv)(A)(1)(ii),
40 CFR 51.165(a)(1)(iv)(A)(2)(ii), 40 CFR 51.165(a)(1)(iv)(A)(2)(ii),
40 CFR 51.165(a)(1)(v)(E), 40 CFR 51.165(a)(1)(x)(C), 40 CFR
51.165(a)(8), and 40 CFR 51.165(a)(9)(iii).
Extreme ozone nonattainment area and ozone transport region
nonattainment NSR requirements will not be addressed further in this
analysis of Indiana's ozone nonattainment NSR program certification
because they do not apply to Indiana at this time. If, in the future,
Indiana has an extreme ozone nonattainment area or becomes part of an
ozone transport region, then
[[Page 43834]]
Indiana's SIP would need to be revised to establish the appropriate
nonattainment NSR requirements.
3. 40 CFR 51.165(a)(1)(iv)(A)(1)(i)-(iv) and (2)--Major Source
Thresholds for Ozone
40 CFR 51.165(a)(1)(iv)(A)(1)(i)-(iv) and (2) defines the major
source thresholds for the ozone precursors VOC and NOX. The
major source threshold for both VOC and NOX vary depending
on the classification of the ozone nonattainment area. For marginal and
moderate ozone nonattainment areas, a major stationary source of ozone
is a source that emits, or has the potential to emit, 100 tons per year
or more of VOC or NOX. Different emissions thresholds apply
for serious, severe, and extreme ozone nonattainment areas and areas in
an ozone transport region.
326 IAC 2-3-1(z)(1) generally defines a major stationary source as
a stationary source that emits, or has the potential to emit, 100 tons
per year or more of any regulated NSR pollutant, with an exception for
ozone provided in 326 IAC 2-3-1(z)(2). 326 IAC 2-3-1(z)(2) defines a
major stationary source for ozone nonattainment areas, specifying that
the major source threshold is 100 tons per year or more of VOC or
NOX in marginal and moderate ozone nonattainment areas. 326
IAC 2-3-1(z)(1) and (2) remain consistent with 40 CFR
51.165(a)(1)(iv)(A)(1)(i)-(iv) and (2) for marginal and moderate ozone
nonattainment areas.
4. 40 CFR 51.165(a)(1)(iv)(A)(3)--Change Constitutes Major Source by
Itself
40 CFR 51.165(a)(1)(iv)(A)(3) requires any physical change that
would constitute a major stationary source by itself to be treated as a
major stationary source if the stationary source does not qualify as a
major stationary source. 326 IAC 2-3-1(z)(5) requires the same and
remains consistent with 40 CFR 51.165(a)(1)(iv)(A)(3).
5. 40 CFR 51.165(a)(1)(v)(E)--Significant Net Emissions Increase of
NOX is Significant for Ozone
40 CFR 51.165(a)(1)(v)(E) requires significant net emissions
increases of NOX to be considered significant for ozone. For
major modifications, 326 IAC 2-3-1(y)(1) requires significant net
emissions increases of NOX to be considered significant for
ozone in ozone nonattainment areas. 326 IAC 2-3-1(y)(1) exempts
NOX when the Administrator has granted a NOX
waiver pursuant to CAA section 182(f) and 40 CFR 51.165(a)(8). As a
result, 326 IAC 2-3-1(y)(1) remains consistent with 40 CFR
51.165(a)(1)(v)(E).
6. 40 CFR 51.165(a)(1)(x)(A)-(C)--Significant Emission Rates for VOC
and NOX as Ozone Precursors
40 CFR 51.165(a)(1)(x)(A) defines the significant emission rate for
ozone as 40 tons per year of VOC or NOX. 326 IAC 2-3-1(pp)
defines the significant emission rate for ozone in marginal and
moderate nonattainment areas as 40 tons per year of VOC or
NOX (unless a NOX waiver is in effect). 326 IAC
2-3-1(pp) remains consistent with 40 CFR 51.165(a)(1)(x)(A) for
marginal and moderate ozone nonattainment areas.
40 CFR 51.165(a)(1)(x)(B) and (C) define the significant emission
rate for ozone in serious or severe nonattainment areas as 25 tons per
year of VOC or NOX. For the purpose of implementing
nonattainment NSR in marginal and moderate ozone nonattainment areas,
serious and severe ozone significant emission rates are not required.
7. 40 CFR 51.165(a)(3)(ii)(C)(1)-(2)--Provisions for Emissions
Reduction Credits
40 CFR 51.165(a)(3)(ii)(C)(1) and (2) are the requirements that
make emission reductions achieved by shutting down an existing emission
unit or curtailing production or operating hours creditable. Such
reductions must be surplus, permanent, quantifiable, and federally
enforceable. Shutdowns or curtailments must have occurred after the
last day of the base year for the SIP planning process. Reviewing
authorities may choose to consider a prior shutdown or curtailment to
have occurred after the last day of the base year if the projected
emissions inventory used to develop the attainment demonstration
explicitly includes emissions from the previously shutdown or curtailed
emissions units, but in no event may credit be granted for shutdowns
that occurred prior to August 7, 1977. Shutdown or curtailment
reductions occurring before the last day of the base year for the SIP
planning process may also be generally credited if the shutdown or
curtailment occurred on or after the date the construction permit
application is filed or if the applicant can establish that the
proposed new emissions unit is a replacement for the shutdown or
curtailed emission unit and the emission reductions that result are
surplus, permanent, quantifiable, and federally enforceable. 326 IAC 2-
3-3(b)(5) remains consistent with 40 CFR 51.165(a)(3)(ii)(C)(1)(i) and
40 CFR 51.165(a)(3)(ii)(C)(2)(ii).
326 IAC 2-3-3(b)(5)(A) credits emission reductions from emission
unit shutdowns and curtailments if they occurred on or after the date
of the most recent emissions inventory or attainment demonstration.
Prior shutdown or curtailment emission reductions may be considered to
have occurred after the date of the most recent emissions inventory if
the inventory explicitly includes the emissions from the previously
shutdown or curtailed emissions units. 326 IAC 2-3-3(b)(5)(A) remains
consistent with 40 CFR 51.165(a)(3)(ii)(C)(1)(ii).
326 IAC 2-3-3(b)(5)(B) allows reductions to be credited absent an
approved attainment demonstration if the shutdown or curtailment
occurred on or after the date the new source permit application is
filed or if the applicant can establish that the proposed new source is
a replacement for the shutdown or curtailed emissions unit, with the
exception of shutdowns occurring prior to August 7, 1977. 326 IAC 2-3-
3(b)(5)(B) remains consistent with 40 CFR 51.165(a)(3)(ii)(C)(2)(ii).
8. 40 CFR 51.165(a)(8)--Requirements for VOC Apply to NOX as
Ozone Precursors
40 CFR 51.165(a)(8) requires that all requirements applicable to
major stationary sources and major modifications of VOCs shall apply to
NOX except where the Administrator has granted a
NOX waiver applying the standards set forth under CAA
section 182(f) and the waiver continues to apply. In its submittal,
Indiana certifies that 326 IAC 2-3-1(y) and 326 IAC 2-3-2(a) and (b)
meet this requirement.
326 IAC 2-3-1(y) defines major modification. As discussed above,
326 IAC 2-3-1(y)(1) is consistent with 40 CFR 51.165(a)(8) since it
considers increases in both VOC and NOX unless a
NOX waiver is in effect. 326 IAC 2-3-1(y) considers, in
serious and severe ozone nonattainment areas, increases in VOC or
NOX unless a NOX waiver is in effect and is
consistent with 40 CFR 51.165(a)(8). 326 IAC 2-3-1(y) remains
consistent with the definition of major modification at 40 CFR
51.165(a)(1)(v)(A) through (E) for marginal and moderate ozone
nonattainment areas.
326 IAC 2-3-2(a) states that ozone nonattainment NSR applies to new
major stationary sources or major modifications in an area designated
as nonattainment for which the stationary source or modification is
major. As previously discussed, 326 IAC 2-3-1(z)(1), (2), and (5) and
326 IAC 2-3-1(y) define major source and major
[[Page 43835]]
modification, respectively, as they relate to ozone nonattainment areas
and remain consistent with 40 CFR 51.165(a)(8).
326 IAC 2-3-2(b) applies to modifications of VOC and NOX
major stationary sources in serious and severe ozone nonattainment
areas. 326 IAC 2-3-2(b)(1) through (3) remain consistent with CAA
sections 182(c)(6) through (8) and 182(d).
9. 40 CFR 51.165(a)(9)(ii)-(iv)--Offset Ratios for VOC and
NOX for Ozone Nonattainment Areas
40 CFR 51.165(a)(9)(ii)(A)-(D) requires the VOC offset ratio to be
1.1:1 in marginal ozone nonattainment areas, 1.15:1 in moderate ozone
nonattainment areas, 1.2:1 in serious ozone nonattainment areas, and
1.3:1 in severe ozone nonattainment areas. 326 IAC 2-3-3(a)(5)(B)
requires offset ratios for both VOC and NOX that are
consistent with 40 CFR 51.165(a)(9)(ii)(A)-(D).
40 CFR 51.165(a)(9)(iv) requires, for ozone nonattainment areas
subject to CAA Title I, Part D, Subpart 1 but not Subpart 2, an offset
ratio of at least 1:1. All of the current ozone nonattainment areas in
Indiana were designated pursuant to CAA Title I, Part D, Subpart 2, so
this requirement does not apply to Indiana at this time.
10. 40 CFR 51.165(a)(12)--Anti-backsliding Provisions
40 CFR 51.165(a)(12) requires anti-Backsliding requirements at 40
CFR 51.1105 to apply in any area designated nonattainment for the 2008
ozone NAAQS and designated nonattainment for the 1997 ozone NAAQS on
April 6, 2015. Indiana certified that there were no areas designated as
nonattainment for the 1997 8-hour ozone NAAQS on April 6, 2015.
40 CFR 81.315 provides the attainment status designations for
Indiana. For the 1997 8-hour ozone NAAQS, 40 CFR 81.315 codifies the
fact that all areas in Indiana attained the 1997 8-hour ozone NAAQS
prior to April 6, 2015. Table 10 includes relevant information about
the 1997 8-hour ozone NAAQS, including the date that areas previously
designated as nonattainment under the 1997 8-hour ozone NAAQS were
redesignated to attainment. All other areas in Indiana that are not
listed in the table were designated unclassifiable/attainment for the
1997 8-hour ozone standard on June 15, 2004.\28\
---------------------------------------------------------------------------
\28\ See 69 FR 23857.
Table 10--1997 8-Hour Ozone NAAQS Redesignation Dates and Federal Register Citations
----------------------------------------------------------------------------------------------------------------
Redesignation
Designated areas Counties date Federal Register citation
----------------------------------------------------------------------------------------------------------------
Chicago-Gary-Lake County, IL-IN...... Lake, Porter............ 5/11/2010 75 FR 26113
Cincinnati-Hamilton OH-KY-IN......... Dearborn (part)......... 5/11/2010 75 FR 26118
Evansville, IN....................... Vanderburgh, Warrick.... 1/30/2006 70 FR 77026
Fort Wayne, IN....................... Allen................... 2/12/2007 72 FR 1292
Greene Co., IN....................... Greene.................. 12/29/2005 70 FR 69085
Indianapolis, IN..................... Boone, Hamilton, 10/19/2007 72 FR 59210
Hancock, Hendricks,
Johnson, Madison,
Marion, Morgan, Shelby.
Jackson Co., IN...................... Jackson................. 12/29/2005 70 FR 69085
LaPorte Co., IN...................... LaPorte................. 7/19/2007 72 FR 39574
Louisville, KY-IN.................... Clark, Floyd............ 7/19/2007 72 FR 39571
Muncie, IN........................... Delaware................ 1/3/2006 70 FR 69443
South Bend-Elkhart, IN............... Elkhart, St. Joseph..... 7/19/2007 72 FR 39577
Terre Haute, IN...................... Vigo.................... 2/6/2006 71 FR 541
----------------------------------------------------------------------------------------------------------------
Since all areas in Indiana were designated as attainment or
unclassifiable/attainment on April 6, 2015 for the 1997 8-hour ozone
NAAQS, the anti-backsliding requirements of 40 CFR 51.165(a)(12) do not
apply for the 2008 8-hour ozone NAAQS.
11. Conclusion
Indiana's nonattainment NSR rules, codified at 326 IAC 2-3, remain
consistent with Federal marginal and moderate ozone nonattainment NSR
rules codified at 40 CFR 51.165. Therefore, EPA is proposing to approve
Indiana's certification that its nonattainment NSR rules at 326 IAC 2-3
meet the requirements of 40 CFR 51.165 and CAA sections 172(c)(5), 173,
110(a)(2), 182(a)(4), and 182(b)(5) for the Indiana portion of the
Chicago area ozone nonattainment area. EPA's final approval of
Indiana's nonattainment NSR certification will permanently stop the
sanctions and FIP clocks triggered by EPA's February 3, 2017 finding
that Indiana failed to submit a marginal ozone nonattainment NSR plan.
III. What action is EPA proposing?
EPA is proposing to approve revisions to Indiana's SIP pursuant to
section 110 and part D of the CAA and EPA's regulations because
Indiana's February 28, 2017, nonattainment plan submission and January
1, 2018, supplement satisfy the emissions inventory, RFP, RFP
contingency measures, transportation conformity, VOC RACT, I/M, and
nonattainment NSR requirements of the CAA for the Indiana portion of
the Chicago area for the 2008 ozone NAAQS. Final approval of Indiana's
SIP as meeting the nonattainment NSR requirements of the CAA for the
2008 ozone NAAQS will permanently stop the sanctions and FIP clocks
triggered by EPA's February 3, 2017 finding that Indiana failed to
submit a marginal ozone nonattainment NSR plan.
IV. Statutory and Executive Order Reviews
Under the CAA the Administrator is required to approve a SIP
submission that complies with the provisions of the CAA and applicable
Federal regulations. 42 U.S.C. 7410(k); 40 CFR 52.02(a). Thus, in
reviewing SIP submissions, EPA's role is to approve state choices,
provided that they meet the criteria of the CAA. Accordingly, this
action merely approves state law as meeting Federal requirements and
does not impose additional requirements beyond those imposed by state
law. For that reason, this action:
Is not a significant regulatory action subject to review
by the Office of Management and Budget under Executive Orders 12866 (58
FR 51735, October 4, 1993) and 13563 (76 FR 3821, January 21, 2011);
[[Page 43836]]
Is not an Executive Order 13771 (82 FR 9339, February 2,
2017) regulatory action because SIP approvals are exempted under
Executive Order 12866;
Does not impose an information collection burden under the
provisions of the Paperwork Reduction Act (44 U.S.C. 3501 et seq.);
Is certified as not having a significant economic impact
on a substantial number of small entities under the Regulatory
Flexibility Act (5 U.S.C. 601 et seq.);
Does not contain any unfunded mandate or significantly or
uniquely affect small governments, as described in the Unfunded
Mandates Reform Act of 1995 (Pub. L. 104-4);
Does not have Federalism implications as specified in
Executive Order 13132 (64 FR 43255, August 10, 1999);
Is not an economically significant regulatory action based
on health or safety risks subject to Executive Order 13045 (62 FR
19885, April 23, 1997);
Is not a significant regulatory action subject to
Executive Order 13211 (66 FR 28355, May 22, 2001);
Is not subject to requirements of Section 12(d) of the
National Technology Transfer and Advancement Act of 1995 (15 U.S.C. 272
note) because application of those requirements would be inconsistent
with the CAA; and
Does not provide EPA with the discretionary authority to
address, as appropriate, disproportionate human health or environmental
effects, using practicable and legally permissible methods, under
Executive Order 12898 (59 FR 7629, February 16, 1994).
In addition, the SIP is not approved to apply on any Indian
reservation land or in any other area where EPA or an Indian tribe has
demonstrated that a tribe has jurisdiction. In those areas of Indian
country, the rule does not have tribal implications and will not impose
substantial direct costs on tribal governments or preempt tribal law as
specified by Executive Order 13175 (65 FR 67249, November 9, 2000).
List of Subjects in 40 CFR Part 52
Environmental protection, Air pollution control, Incorporation by
reference, Intergovernmental relations, Ozone, Reporting and
recordkeeping requirements, Volatile organic compounds.
Dated: August 16, 2018.
Cathy Stepp,
Regional Administrator, Region 5.
[FR Doc. 2018-18640 Filed 8-27-18; 8:45 am]
BILLING CODE 6560-50-P