[Federal Register Volume 60, Number 206 (Wednesday, October 25, 1995)]
[Rules and Regulations]
[Pages 54595-54597]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-26456]



=======================================================================
-----------------------------------------------------------------------

ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[CA 14-12-7054a FRL-5286-6]


Approval and Promulgation of Implementation Plans; California 
State Implementation Plan Revision, Monterey Bay Unified Air Pollution 
Control District

AGENCY: Environmental Protection Agency (EPA).

ACTION: Direct final rule.

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

SUMMARY: EPA is taking direct final action on revision to the 
California State Implementation Plan (SIP). The revision concerns the 
rule from Monterey Bay Unified Air Pollution Control District 
(MBUAPCD). This approval action will incorporate this rule into the 
federally approved SIP. The intended effect of approving this rule is 
to regulate emissions of volatile organic compounds (VOCs) in 
accordance with the requirements of the Clean Air Act, as amended in 
1990 (CAA or the Act). The rule controls VOC emissions from leather 
processing operations. Thus, EPA is finalizing the approval of this 
revision into the California SIP under provisions of the CAA regarding 
EPA action on SIP submittals, SIPs for national primary and secondary 
ambient air quality standards and plan requirements for nonattainment 
areas.

DATES: This action is effective on December 26, 1995, unless adverse or 
critical comments are received by November 24, 1995. If the effective 
date is delayed, a timely notice will be published in the Federal 
Register.

ADDRESSES: Copies of the rule and EPA's evaluation report is available 
for public inspection at EPA's Region IX office during normal business 
hours. Copies of the submitted rule is available for inspection at the 
following locations:

Rulemaking Section (A-5-3), Air and Toxics Division, U.S. 
Environmental Protection Agency, Region IX, 75 Hawthorne Street, San 
Francisco, CA 94105.
Environmental Protection Agency, Air Docket (6102), 401 ``M'' 
Street, SW., Washington, DC 20460.
California Air Resources Board, Stationary Source Division, Rule 
Evaluation Section, 2020 ``L'' Street, Sacramento, CA 95814.
Monterey Bay Unified Air Pollution Control District, 24580 Silver 
Cloud Court, Monterey, CA 93940.

FOR FURTHER INFORMATION CONTACT: Daniel A. Meer, Rulemaking Section (A-
5-3), Air and Toxics Division, U.S. Environmental Protection Agency, 
Region IX, 75 Hawthorne Street, San Francisco, CA 94105, Telephone: 
(415) 744-1185.

SUPPLEMENTARY INFORMATION:

Applicability

    The rule being approved into the California SIP includes Monterey 
Bay Unified Air Pollution Control District (MBUAPCD), Rule 430, Leather 
Processing Operations. This rule was submitted by the California Air 
Resources Board (CARB) to EPA on July 13, 1994.

Background

    On March 3, 1978, EPA promulgated a list of ozone nonattainment 
areas under the provisions of the Clean Air Act, as amended in 1977 
(1977 Act or pre-amended Act), that included Monterey Bay. 43 FR 8964, 
40 CFR 81.305. Because this area was unable to meet the statutory 
attainment date of December 31, 1982, California requested 

[[Page 54596]]
under section 172(a)(2), and EPA approved, an extension of the 
attainment date to December 31, 1987. (40 CFR 52.222). On May 26, 1988, 
EPA notified the Governor of California, pursuant to section 
110(a)(2)(H) of the 1977 Act, that the above district's portion of the 
California SIP was inadequate to attain and maintain the ozone standard 
and requested that deficiencies in the existing SIP be corrected (EPA's 
SIP-Call). On November 15, 1990, the Clean Air Act Amendments of 1990 
were enacted. Public Law 101-549, 104 Stat. 2399, codified at 42 U.S.C. 
7401-7671q. In amended section 182(a)(2)(A) of the CAA, Congress 
statutorily adopted the requirement that nonattainment areas fix their 
deficient reasonably available control technology (RACT) rules for 
ozone and established a deadline of May 15, 1991 for states to submit 
corrections of those deficiencies.
    Section 182(a)(2)(A) applies to areas designated as nonattainment 
prior to enactment of the amendments and classified as marginal or 
above as of the date of enactment. It requires such areas to adopt and 
correct RACT rules pursuant to pre-amended section 172(b) as 
interpreted in pre-amendment guidance.1 EPA's SIP-Call used that 
guidance to indicate the necessary corrections for specific 
nonattainment areas. Monterey Bay is classified as moderate;2 
therefore, this area was subject to the RACT fix-up requirement and the 
May 15, 1991 deadline.

    \1\Among other things, the pre-amendment guidance consists of 
those portions of the proposed Post-1987 ozone and carbon monoxide 
policy that concern RACT, 52 FR 45044 (November 24, 1987); ``Issues 
Relating of VOC Regulation Cutpoints, Deficiencies, and Deviations, 
Clarification to Appendix D of November 24, 1987 Federal Register 
Notice'' (Blue Book) (notice of availability was published in the 
Federal Register on May 25, 1988); and the existing control 
technique guidelines (CTG's).
    \2\Monterey Bay area retained its designation of nonattainment 
and was classified by operation of law pursuant to sections 107(d) 
and 181(a) upon the date of enactment of the CAA. See 55 FR 56694 
(November 6, 1991).
---------------------------------------------------------------------------

    The State of California submitted many revised RACT rules for 
incorporation into its SIP on July 13, 1994, including the rule being 
acted on in this notice. This notice addresses EPA's direct-final 
action for MBUAPCD Rule 430, Leather Processing Operations. MBUAPCD 
adopted Rule 430 on May 25, 1994. This submitted rule was found to be 
complete on September 12, 1994 pursuant to EPA's completeness criteria 
that are set forth in 40 CFR part 51 Appendix V3 and are being 
finalized for approval into the SIP.

    \3\EPA adopted the completeness criteria on February 16, 1990 
(55 FR 5830) and, pursuant to section 110(K)(1)(A) of the CAA, 
revised the criteria on August 26, 1991 (56 FR 42216).
---------------------------------------------------------------------------

    Rule 430 controls the emissions of VOC from tanning and finishing 
in leather processing operations. VOCs contribute to the production of 
ground level ozone and smog. This rule was originally adopted as part 
of MBUAPCD'S effort to achieve the National Ambient Air Quality 
Standard (NAAQS) for ozone and in response to EPA's SIP-Call and the 
section 182(a)(2)(A) CAA requirement. The following is EPA's evaluation 
and final action for this rule.

EPA Evaluation and Action

    In determining the approvability of a VOC rule, EPA must evaluate 
the rule for consistency with the requirements of the CAA and EPA 
regulations, as found in section 110 and part D of the CAA and 40 CFR 
part 51 (Requirements for Preparation, Adoption, and Submittal of 
Implementation Plans). The EPA interpretation of these requirements, 
which forms the basis for today's action, appears in the various EPA 
policy guidance documents listed in footnote 1. Among those provisions 
is the requirement that a VOC rule must, at a minimum, provide for the 
implementation of RACT for stationary sources of VOC emissions. This 
requirement was carried forth from the pre-amended Act.
    For the purpose of assisting state and local agencies in developing 
RACT rules, EPA prepared a series of Control Technique Guideline (CTG) 
documents. The CTGs are based on the underlying requirements of the Act 
and specify the presumptive norms for what is RACT for specific source 
categories. Under the CAA, Congress ratified EPA's use of these 
documents, as well as other Agency policy, for requiring States to 
``fix-up'' their RACT rules. See section 182(a)(2)(A). The CTG 
applicable to Rule 430 is entitled, ``Air Emissions and Control 
Technology for Leather Tanning and Finishing Operations (EPA-453/R-93-
025).'' Further interpretations of EPA policy are found in the Blue 
Book, referred to in footnote 1. In general, these guidance documents 
have been set forth to ensure that VOC rules are fully enforceable and 
strengthen or maintain the SIP.
    MBUAPCD's submitted Rule 430, Leather Processing Operations, is a 
new rule that will control VOC emissions from tanning and finishing 
operations in the leather processing industry. The significant 
provisions of this rule are:
    1. Exemption of leather processing facilities with VOC emissions 
less than 100 tons per year which are subject to Rules 416 & 429.
    2. Reduction in the allowable VOC content of leather treatment 
materials.
    3. Emission restriction from the use of any specialty treatment 
materials, which cannot be reformulated.
    4. Requirement to use of transfer efficiency application methods.
    5. Prohibitions of the use of toxic air contaminants or ozone 
depleting compounds as substitutes for VOCs in reformulated coatings or 
as clean-up solvents.
    6. Daily & monthly recordkeeping requirements.
    7. Specification of test methods to verify VOC content and 
calculate combined efficiency of control equipment.
    EPA has evaluated the submitted rule and has determined that it is 
consistent with the CAA, EPA regulations, and EPA policy. Therefore, 
MBUAPCD's Rule 430, Leather Processing Operations is being approved 
under section 110(k)(3) of the CAA as meeting the requirements of 
section 110(a) and part D.
    Nothing in this action should be construed as permitting or 
allowing or establishing a precedent for any future 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.
    EPA is publishing this notice without prior proposal because the 
Agency views this as a noncontroversial amendment and anticipates no 
adverse comments. However, in a separate document in this Federal 
Register publication, the EPA is proposing to approve the SIP revision 
should adverse or critical comments be filed. This action will be 
effective December 26, 1995, unless, by November 24, 1995, adverse or 
critical comments are received.
    If the EPA receives such comments, this action will be withdrawn 
before the effective date by publishing a subsequent notice that will 
withdraw the final action. All public comments received will then be 
addressed in a subsequent final rule based on this action serving as a 
proposed rule. The EPA will not institute a second comment period on 
this action. Any parties interested in commenting on this action should 
do so at this time. If no such comments are received, the public is 
advised that this action will be effective December 26, 1995.

[[Page 54597]]


Regulatory Process

    Under the Regulatory Flexibility Act, 5 U.S.C. 600 et seq., EPA 
must prepare a regulatory flexibility analysis assessing the impact of 
any proposed or final rule on small entities. 5 U.S.C. 603 and 604. 
Alternatively, EPA may certify that the rule will not have a 
significant impact on a substantial number of small entities. Small 
entities include small businesses, small not-for-profit enterprises and 
government entities with jurisdiction over population of less than 
50,000.
    SIP approvals under sections 110 and 301(a) and subchapter I, Part 
D of the CAA do not create any new requirements, but simply approve 
requirements that the State is already imposing. Therefore, because the 
Federal SIP-approval does not impose any new requirements, I certify 
that it does not have a significant impact on any small entities 
affected. Moreover, due to the nature of the Federal-state relationship 
under the CAA, preparation of a regulatory flexibility analysis would 
constitute Federal inquiry into the economic reasonableness of state 
action. The CAA forbids EPA to base its actions concerning SIPs on such 
grounds. Union Electric Co. v. U.S. E.P.A., 427 U.S. 246, 256-66 (S. 
Ct. 1976); 42 U.S.C. 7410 (a)(2).

Unfunded Mandates

    Under sections 202, 203, and 205 of the Unfunded Mandates Reform 
Act of 1995 (``Unfunded Mandates Act''), signed into law on March 22, 
1995, EPA must undertake various actions in association with proposed 
or final rules that include a Federal mandate that may result in 
estimated costs of $100 million or more to the private sector, or to 
State, local, or tribal governments in the aggregate.
    Through submission of this state implementation plan or plan 
revision, the State and any affected local or tribal governments have 
elected to adopt the program provided for under Part D of the Clean Air 
Act. These rules may bind State, local and tribal governments to 
perform certain actions and also require the private sector to perform 
certain duties. To the extent that the rules being approved by this 
action will impose no new requirements; such sources are already 
subject to these regulations under State law. Accordingly, no 
additional costs to State, local, or tribal governments, or to the 
private sector, result from this action. EPA has also determined that 
this final action does not include a mandate that may result in 
estimated costs of $100 million or more to State, local, or tribal 
governments in the aggregate or to the private sector.
    This action has been classified as a Table 3 action for signature 
by the Regional Administrator under the procedures published in the 
Federal Register on January 19, 1989 (54 FR 2214-2225), as revised by a 
July 10, 1995 memorandum from Mary Nichols, Assistant Administrator for 
Air and Radiation. The Office of Management and Budget (OMB) has 
exempted this regulatory action from Executive Order 12866 review.

List of Subjects in 40 CFR Part 52

    Environmental protection, Air pollution control, Hydrocarbons, 
Incorporation by reference, Intergovernmental relations, Ozone, 
Reporting and recordkeeping requirements, Volatile organic compounds.

    Note: Incorporation by reference of the State Implementation 
Plan for the State of California was approved by the Director of the 
Federal Register on July 1, 1982.

    Dated: August 18, 1995.
David P. Howekamp,
Acting Regional Administrator.

    Part 52, chapter I, title 40 of the Code of Federal Regulations is 
amended as follows:

PART 52--[AMENDED]

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

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

Subpart F--California

    2. Section 52.220 is amended by adding paragraph (c) (198)(i)(F) to 
read as follows:


Sec. 52.220  Identification of Plan.

* * * * *
    (c) * * *
    (198) * * *
    (i) * * *
    (F) Monterey Bay Unified Air Pollution Control District.
    (1) Rule 430, adopted on May 25,1994.
* * * * *
[FR Doc. 95-26456 Filed 10-24-95; 8:45 am]
BILLING CODE 6560-50-P