STEVEN L. BESHEAR GOVERNOR

Ms. Gwen Keyes Fleming Regional Administrator U.S. EPA, Region 4 

### ENERGYAND ENVIRONMENT CABINET OF.FICE OFTHE SECRETARY 500 MERO STREET 12mFLOOR, CAPITAL PLAZATOWER FRANKFORT, KY40601 TELEPHONE: (502) 564-3350 FACSIMILE: (502) 564-3354 www.eec.ky.gov February26, 2013

Sam Nunn Atlanta Federal Center 61 Forsyth Street, SW Atlanta, GA 30303-8960 DearMs. Fleming: LEONARD K. PETERS SECRETARY

Enclosed for your consideration is a revision to the Kentucky State Implementation Plan granting a variance for Stage II vaporrecovery controls on gasoline fuel dispensers at the Enterprise Holdings, Inc., facility being constructed atthe Cincinnati/Northern Kentucky International Airport in Boone County.To expedite the review and approval ofthis SIP revision, the Cabinet requests EPA parallel process this submittal. One paper copy ofthe proposed revision is enclosed, and an electronic copy on compact disc that is identical to the paper copy. A public hearing notice, which indicates the time and location ofa public hearingto receive comments on this SIP revision is enclosed. The Cabinet'sresponse to information received duringthe public comment period will be provided in a subsequent submittal. Your prompt consideration ofthis request is appreciated. Ifyou have any questions or comments, please contactMr. John Gowins with the Division for Air Quality at (502) 564-3999.

LKP/11 Enclosures

KentuckyUnbridledSpirit.com Sincerely yours,

f 

### t:"1J I,.eonard K. Peters Secretary

An Equal Opportunity Employer M/F/D

# REQUEST TO REVISE THE STATE IMPLEMENTATIONPLAN TO ALLOWA VARIANCE FOR STAGE IIVAPOR

RECOVERY AT THE ENTERPRISE HOLDINGS, INC. RENTAL CARFUELINGFACILITY 

# BOONE COUNTY, KENTUCKY

PREPARED BYTHE KENTUCKYDIVISION FORAIR QUALITY Submittedby 

### Kentucky Energy and Environment Cabinet February 2013

### TABLE OF CONTENTS
INTRODUCTION
...........................................................................................................................1 AREABACKGROUND
.................................................................................................................1 REGULATORY BACKGROUND
.................................................................................................3 SECTION 110(1) ANALYSIS
.........................................................................................................5 PUBLIC PARTICIPATION
............................................................................................................7 APPENDICES
.................................................................................................................................8

### INTRODUCTION 

### The Commonwealth of Kentucky is requesting the United States Environmental Protection Agency (U.S. EPA) to grant a variance from the Kentucky State Implementation Plan (SIP) for the Stage II vapor recovery control requirements on gasoline fuel dispensers at the Enterprise Holdings, Inc. facility being constructed at the Cincinnati/Northern Kentucky International Airport, located in Boone County. Regulation 401 KAR 59:174 requires Stage II vapor recovery systems for all gasoline dispensing facilities located in a county that as ofthe effective date of the regulation was designated severe, serious, or moderate nonattainment for ozone pursuant to 401 KAR 51 :010. At the time ofthe effective date ofthe regulation (January, 12, 1998), 401 KAR 51:010 listed Boone County as a moderate ozone nonattainment area.

AREA BACKGROUND 

### The Clean Air Act (CAA) establishes a process for air quality management through the National Ambient Air Quality Standards (NAAQS). Area designations are required after promulgation of
a new or revised NAAQS. On July 18, 1997, U.S. EPA promulgated a revised ozone standard of 0.08 parts per million (ppm), measured over an 8-hour period. The 1997 8-hour ozone standard is more protective ofpublic health and more stringent than the previous 1-hour standard. The NAAQS rule was challenged by numerous litigants and in May 1999, the U.S. Court ofAppeals for the D.C. Circuit issued a decision remanding, but not vacating, the 1997 8-hour ozone standard. Among other things, the Court recognized that U.S. EPA is required to designate areas for any new or revised NAAQS in accordance with the CAA and addressed a number ofother issues, which are not related to designations.

1

### In February 2001, the Supreme Court upheld U.S. EPA authority to set the NAAQS and remanded the case back to the D.C. Circuit for disposition ofissues the Court did not address in its initial decision. The Supreme Court also remanded the 8-hour implementation strategy to U.S. EPA. In March 2002, the D.C. Circuit rejected all remaining challenges to the 1997 8-hour
ozone standard.

The process for designations following promulgation of a NAAQS is contained in Section 107(d)(1) ofthe CAA. The Transportation Equity Act for the 21st Century (TEA-21) extended by 1 year the time for U.S. EPA to designate areas for the 1997 8-hour ozone NAAQS. Thus, U.S. EPA was required to designate areas for the revised ozone standard by July 2000. However, U.S. EPA's appropriations bill in 2000 restricted the agency's authority to spend money or designate areas until June 2001 or the date of the Supreme Court ruling on the standard, whichever came first. As noted earlier, the Supreme Court decision was issued in February 2001.

In 2003, several environmental groups filed suit in district court claiming U.S. EPA had not met its statutory obligation to designate areas for the 1997 8-hour ozone NAAQS. U.S. EPA entered into a consent decree, which required U.S. EPA to issue the designations by April 15, 2004. Pursuant to Section 107(d)(1) of the CAA, a 

### Federal Register notice published on April 30, 2004, designated the Cincinnati-Hamilton Interstate area (comprised of Boone, Campbell, and Kenton Counties in Kentucky) to be nonattainment for the 1997 8-hour ozone NAAQS, effective June 15, 2004. However, Kentucky submitted a request to have the area redesignated as attainment on January 29, 2010, and demonstrated that the area had attained the NAAQS, included a maintenance plan for the area, and an emissions inventory. On August 5, 2010, U.S.

2

### EPA published a 

### Federal Register final rule approving Kentucky's request to redesignate the Kentucky portion of the Cincinnati-Hamilton area to attainment for the 1997 8-hour ozone standard.

On Mar?h 12, 2008, U.S. EPA set the revised 8-hour standard at 0.075 ppm. Soon after, states, environmental groups and industry groups filed petitions with the D.C. Circuit Court ofAppeals for review of the 2008 ozone standards because the standards were not as protective as recommended by U.S. EPA's panel ofscience advisors. In March 2009, the court granted U.S. EPA's request to stay the litigation. In accordance with CAA Section 107(d)(1), Kentucky provided its initial designation recommendations for the 2008 ozone standards in a submittal dated September 8, 2009.

As required bythe CAA, onApril 30, 2012, U.S. EPA issued final area designations for the 2008 8-hour ozone standard. Portions of Boone, Campbell, and Kenton Counties were designated marginal nonattainment.


### REGULATORY BACKGROUND Kentucky's regulation on Stage II controls at gasoline dispensing facilities, 401 KAR 59:174, became effective on January 12, 1998. The implementation of Stage II controls was part ofan emissions control strategy to reduce, by 15%, volatile organic compound (VOC) emissions in this area, which at the time was designated as moderate ozone nonattainment.

Section 202(a)(6) ofthe CAA details thatthe U.S. EPA canrevise or waive the Section 182(b)(3) Stage II vapor recovery requirement· for applicable ozone nonattainment areas after the

3

### Administrator determines widespread use of Onboard Vapor Recovery (ORVR) has been demonstrated throughout the motor vehicle fleet. Vehicles that are equipped with ORVR systems do not have vapors within the gasoline tanks that can be captured during refueling. Since there are no vapors to be captured in ORVR-equipped vehicles, a Stage II vapor recovery system is unnecessary. Although the Stage II vapor recovery system would function properly, there would simply be no vapors to capture from ORVR-equipped vehicles. U.S. EPA has determined that the CAA allows the Agency to use an area-specific rulemaking approving a SIP revision to issue the Section 202(a)(6) waiver for a relevant fleet in a nonattainrnent area, where
a State meets the recommended criteria.

U.S. EPA has considered demonstration ofwidespread use ofORVR in motor vehicle fleets to include:
1) Determining the percentage ofORVR-equipped vehicles in service, and 2) Determining when VOC emissions resulting from the application of ORVR controls alone equal the VOC emissions when both Stage II vapor recovery systems and ORVR controls are used.

ORVR was first required for all passenger cars starting with model year 2000. Since 2006, all light-duty trucks, sports utility vehicles, and medium-duty vehicles are required to be equipped withORVR.
According to a December 12, 2006, policy memorandum entitled, "Removal ofa Stage II Vapor Recovery in Situations Where Widespread Use of Onboard Refueling Vapor Recovery is

4

### Demonstrated," U.S. EPA has determined that if at least 95% of the vehicles in a fleet have ORVR, then widespread use will likely have been demonstrated (See Appendix A). According to this same memo, ifa SIP revision demonstrates that at least 95% ofthe vehicles in a vehicle rental fleet refueling at a rental car facility are equipped with ORVR and that this level ofORVR
use would not decrease, then widespread use of ORVR could be demonstrated for the motor vehicle fleet refueling at that facility. It 

### is recommended that states submit a SIP revision to discontinue Stage II vapor recovery requirements for rental car facilities. Most large rental car companies rent current model year vehicles that are equipped with ORVR. Any SIP revision showing a demonstration ofwidespread use ofORVR would be subject to CAA Section 110(1) and other applicable requirements, and State and local agencies should consider any potential transportation conformity impacts if Stage II is currently included in a SIP's on-road motor vehicle emissions budget.
According to a Federal Register 

### final rule published on May 16, 2012, "Stage II and ORVR emission control systems are redundant, and the EPA has determined that emission reductions from ORVR are essentially equal to and will soon surpass the emission reductions achieved by Stage II alone," (77 FR 28772). Where ORVRhas been demonstrated to be in "widespread use," Stage II is unnecessary and even incompatible.

SECTION 110(1) ANALYSIS 

### U.S. EPA's approval ofa SIP revision must comply with the provisions of Section 110(1) ofthe CAA, which states that: "Each revision to an implementation plan submitted by a State under this Chapter shall be adopted by such state after reasonable notice and public hearing. The administrator shall not approve a revision of a plan if the revision would interfere with any



### 5

### applicable requirement concerning attainment and reasonable further progress (as defined in Section 7501 ofthistitle), or any other applicable requirement ofthis chapter."
Enterprise Holdings, Inc. has requested an exemption ofthe Stage II vapor recovery requirement at their facility being constructed atthe Cincinnati/Northern Kentucky International Airport. The purpose for this request is the widespread use ofORVR systems on the company's vehicle fleet at the facility.

As indicated above, ORVR was first required for all passenger cars starting with model year 2000. Additionally, since 2006, all light-duty trucks are required to be equipped with ORVR. Because Enterprise Holdings, Inc. maintains a new fleet ofcars which is, in its entirety, newer than model year 2006, the facilities have a widespread use rate of 100%, which is above the rate required for Stage II vapor recovery systems. This rate will never drop below 95% because the turnover rate ofthe rental vehicles is typically one to two years.

The provision that allows for the exemption ofthe Stage II gasoline vapor recovery requirement for the Enterprise Holdings, Inc. car rental facilities at the Cincinnati/Northern Kentucky International Airport is that the SIP revision does not interfere with attainment, maintenance, or reasonable further progress ofthe NAAQS. This SIP revision will not interfere with attainment, maintenance, or reasonable further progress of the NAAQS because, according to Enterprise Holdings, Inc., 100% of the vehicles at the rental car facility will be equipped ORVR. As mentioned previously, in the May .16, 2012, 

### Federal Register, U.S. EPA clarified that Stage II and ORVR emission control systems are redundant and thus no increases in emissions are expected from this variance.

6

### Because there is a widespread use rate ofat least 95%, and because there is a turnover rate ofthe rental vehicles every one to two years, no increases invehicle emissions is anticipated.
Kentucky requests a variance for the Enterprise Holdings, Inc. facility at the Cincinnati/Northern Kentucky Cincinnati International Airport in Boone County, from the Stage II control regulation, 401 KAR 59:174. All of the vehicles to be refueled at this rental car facility are ORVR equipped. This request for variance will not interfere with CAA Section 110(1) requirements or any other requirements ofthe CAA, as it will not increase emissions in VOC or any NAAQS pollutants. It

### is therefore approvable pursuant to CAA Section 110(1).

PUBLIC PARTICIPATION 

### Kentucky will conduct a public hearing to receive comments on this proposed SIP revision to allow a variance for Stage II vapor recovery at this rental car facility on April 19, 2013, in Conference Room 201B at the Kentucky Division for Air Quality Central Office in Frankfort, Kentucky. This conference room is located at 200 Fair Oaks Lane, First Floor. A copy ofthe public hearing notice and the advertisement are included inAppendix B.

7

# APPENDICES

APPENDIX A - U.S. EPA MEMORANDUM FROM STEPHEN D. PAGE AND MARGO TSIRIGOTIS 0GE, DECEMBER 

### 12, 2006, "SUBJECT: REMOVAL OF STAGE 

### II VAPOR RECOVERY IN SITUATIONS WHERE WIDESPREAD USE OF 0NBOARD REFUELING VAPORRECOVERYIS DEMONSTRATED" APPENDIX 

### B- NOTICE OF PUBLIC HEARING

8

# APPENDIXA

DECEMBER 

# 12, 2006,EPAMEMOUNITED STATES ENVIRONMENTAL PROTECTION AGENCY RESEARCH TRIANGLE PARK, NC 27711 

### DEC 1 2 2006

MEMORANDUM OFFICE OF AIR QUALITY PLANNING

AND STANDARDS SUBJECT: Removal ofStage II Vapor Recovery in Situations Where WidespreadUse of Onboard Refueling VaporRecovery is Demonstrated Stephen D. Page, Director

# ~ FROM: Margo Tsirigotis Oge, Director

# fYJ0'

# 'JJ 0 Office ofTransportation and Air

## Qu~- TO: Regional AirDivision Directors
The purpose ofthis memorandum is to provide guidance to States concerning the removal ofStage II gasoline vaporrecovery systems,where States demonstrate to EPA that widespread use ofonboard refueling vapor recovery (ORVR) has occurred in specific portions ofthe motor vehicle fleet. The specific fleets addressed here include: 1. initial fueling ofnew vehicles at automobile assembly plants 2. refueling ofrental cars at rental car facilities 3. refueling offlexible fuel vehicles at E85 dispensing pumps Background Stage II vapor recovery systems are required to be used atgasoline dispensing facilities located in serious, severe, and extreme non-attainment areas for ozoneunder section 182(b)(3) ofthe Clean Air Act (CAA). States have included these control measures in their federally-approved state implementation plans (SIPs) in the form ofgenerally applicable regulatory requirements governing all gasoline dispensing facilities that exceedthe relevant gasoline dispensing throughput criteria. However, section 202(a)(6) ofthe CAA allows EPA to revise or waive the section 182(b)(3) Stage II requirement for these ozone non-attainment areas after the Agency determines that ORVR is in widespread use throughout the motor vehicle fleet. CAA section 202(a)(6) does not specify which motor vehicle fleet must be the subject ofawidespread use determination before EPA may revise or waive the section 182(b)(3) Stage II requirement. Nor does the CAA identify what level ofORVRuse in the motor vehicle fleet must be reached before it is "widespread." EPA expects the possibility of

InternetAddrass (URL) • http://www.epa.gov R9cycludJR9cyclabla • Printed wHh Vegelable Oil Based Inkson Recycled Paper (Mimmum 25% Poslconsumer)different rates ofthe implementation ofORVR across different geographic regions and among different types ofmotor vehicle fleets within any region. Given this, EPA does not believe that CAA section 202(a)(6) mustberead narrowly to allow a widespread use determination and waiver ofthe Stage II requirement for a given area or area's fleet onlyif ORVRuse has become widespread throughout the entire United States, or onlyifORVRuse has reached a definite level in each area. Rather, EPA believes that section 202(a)(6) allows the Agencyto applythe widespread use criterionto eitherthe entire motor vehicle fleet in a State ornon-attainment area, or to special segments ofthe overall fleet for which ORVRuse is shownto be sufficientlyhigh, and to base widespread use determinations on differing levels ofORVR use, as appropriate. Moreover, a single national rulemaking is not needed to grant such a waiver for a specific area. Instead, EPAbelieves that the Act allows the Agency to use an area-specific rulemaking approving a SIP revision to issue the section 202(a)(6) waiver for a relevant fleet in a non-attainment area, where a State meets the recommended criteria discussed below. Various metrics have been studied for demonstrating widespread use ofORVR in motorvehicle fleets. One metric focuses on thepercentage ofvehicles in service that are ORVR-equipped. Based on ourpreliminary analysis, this metric seems to track fairly closely with the percentage ofvehicle miles traveled (VMT) from ORVR-equipped vehicles, and with the percentage ofgasoline sold which is dispensed to ORVR-equipped vehicles. In fact, since newer vehicles tend to be drivenmore miles than older models, VMT traveled by ORVR-equipped vehicles and gasoline dispensed to ORVR-equipped vehicles may exceed 95 percent in a 95 percent ORVR-equipped fleet. Another metric that EPA considered is when VOC emissions resulting from the application ofORVRcontrols alone equal the VOC emissions whenboth Stage IIvapor recovery systems and ORVRcontrols are used, after accounting for incompatibility excess emissions. The incompatibilityexcess emissions factor relates to losses in control efficiency when certain types ofStage II and ORVR are used together. Studies conducted inthree northeastern states indicatethat when the percentages ofmotor vehicles in service with ORVR, vehicle miles traveled by ORVR-equipped vehicles, or gasoline dispensed to ORVRequipped vehicles are above 95 percent, then the widespread use metric based on comparable VOC emissions will likelyhavebeenreached. Forthis reason, EPAbelieves that if95 percent ofthe vehicles in a fleet have ORVR, then widespreaduse will likely have been demonstrated. 1. Initial Fueling at Automobile AssemblyPlants Based on ourpreliminary analysis, EPA expects that ifa State's submission ofa SIP revision shows that 95 percent ofthe new vehicles fueled at an automobile assembly plant are equipped with ORVR, and that this level ofORVRuse would not decrease, the Agency can determine that widespread use ofORVRhas been achieved for the fleet ofmotor vehicles that are fueled at that facility. Since model year 2000, all passenger cars have beenrequired to have ORVR. Also since 2006, all light duty trucks, SUVs and medium duty vehicles are required to be equipped

2with ORVR. There maybe a few situations, such as the chassis for motorized mobilehomes, which still do nothave ORVR. However, the numberofthesewouldbe small. It is apparent that at most automobile assemblyplants greaterthan 95 percent ofthe vehicles manufactured would have ORVR. Many assemblyplants rp.anufacture 100 percent ORVR equipped vehicles. Only such new vehicles are expected to be fueled at the automobile assembly plants. States desiring to remove the Stage II requirement for these facilities wouldneed to submit a SIP revision that EPAwould evaluate through notice and comment rulemaking. The SIP would need to demonstrate that the widespreaduse benchmarkhas been achieved andprovide assurance that any facility wishingto remove Stage II equipment maintains its eligibility for its motorvehicle fleet. AnyEPA SIP approval would also he subject to the CAAsection 110(1) requirement that the revision not interfere with any applicable requirement concerning attainment and reasonable further progress, or any otherrequirement ofthe CAA. 2. Refueling ofRental Cars at Rental CarFacilities Similarly, EPA expects that ifa SIP revision submission demonstrates that 95 percent ofthe vehicles in an automobile rental fleet refueling at a rental car facility are equippedwith ORVR and that this level ofORVRuse would not decrease, then widespread use ofORVR couldbe found for the motorvehicle fleet refueling at that facility. Most largerental car companies rent current model vehicles that would all have ORVR. There maybe truck rental companies whichhave oldervehicles which do not have ORVR and that wouldnot be able to demonstrate widespread use ofORVR for their fleets. As discussed above, any SIP revision wouldbe subject to CAA section 110(1) and other applicable requirements, and State and local agencies should consider anypotential transportation conformity impacts ifStage II is currentlyincluded in a SIP's on-road motorvehicle emissions budget. 3. Refueling Flexible Fuel Vehicles at E85 Dispensing Pumps E85 is a motor vehicle fuel that is ablend ofas little as 15 percent gasoline and up to 85 percent ethanol. (In wintertime applications, the ratio maybe 30 percent gasoline and 70 percent ethanol.) Ethanol is ethyl alcohol, atype ofalcohol which can be produced from renewableresources such as com. Based on the agency's surveyofexisting SIPs, EPA believes that most States have defined "gasoline" (forpurposes ofcontrolling emissions of VOC from refueling activities) to include gasoline/alcohol blends that have the same volatility as E85. EPA's guidance for States in developing their Stage II SIPs in the early 1990s suggested that States use the same definition of"gasoline" as the onefound in EPA's Standards ofPerformancefor Bulk Gasoline Terminals at 40 C.F.R. 60.501, which includes "anypetroleum distillate orpetroleum distillate/alcohol blend having aReid vaporpressure of27.6 kilopascals (kPa) or greater which is used as a fuel for internal combustion engines." EPArecommended using this definition to mostbroadlyreach situations in which refueling ofmotorvehicles results in evaporative VOC emissions that contribute to ozone nonattainment concentrations, andto avoid a narrow interpretation ofwhat is "gasoline" that

3would allow significant VOC emissions from motor vehicle refueling activities innonattainment areas to go uncontrolled. E85 can onlybeused in specially designed flexible fuel vehicles (FFVs), which have mostlybeen manufactured since 1998. Since these are newer vehicles, most ofthem are equipped with ORVR, and every FFV built todayhas ORVR. Thus, most vehicles refueling at E85 dispensing pumps are already having their evaporative emissions captured, as in the cases oflate model rental cars refueling at rental car facilities and newly manufactured cars being fueled for the first time at automobile assemblyplants. EPA estimates that 59 percent ofFFVs in current use are equipped with ORVR. The percentage.ofFFVs with ORVR will continue to climb as older vehicles are taken out ofservice and new modelsjointhe fleet. Across different ozone non-attainment areas and between States, these percentages may vary. EPAbelieves that encouraging the use ofE85 as a motor vehicle fuel reduces emissions ofother air pollutants such as CO and benzene, a known human carcinogen, and reduces emissions ofgreenhouse gases. In addition, based on available information, the Agency is concerned that there is currently a lack ofcertified Stage II equipment for E85 (which may require different materials ofconstruction than conventional Stage II , equipment), and that the timing for when certified E85-compatible equipment will become widely available is uncertain. This may unnecessarilyhinderE85 distribution in areas that now require Stage II. Unlike inthe cases ofautomobile assemblyplants and rental car facilities, EPA is not recommending a specific percentage ofthe FFV fleet that should have ORVRbefore widespread use couldbe determined. This is because most E85 compatible vehicles are already equipped with ORVR and this percentage is increasing over time, whereas for automobile assembly plants and carrental facilities very highpercentages ofORVR use have in most cases already been reached and are not expected to further increase significantly. The general use ofORVR in FFVs, instead, is expected to significantlyincrease, as are the miles driven by and amount offuel dispensed to recent ORVR-equippedFFVs compared to those manufacturedbefore 2000 without ORVR. Moreover, we believe that in determining whether widespread use ofORVRhas been demonstrated, it is reasonable under section 202(a)(6) to considerthe VOC emissions impacts ofremoving Stage II, and that those impacts may inform the percentage ofORVRequipped vehicles that would need to be achieved for a specific motor vehicle fleet orin a specific non-attainment area. EPA expects that the air quality impact ofallowing E85 refueling facilities to operate without Stage II controls would likelybe minimal in most nonattainment areas. FFVs currently comprise about 2 percent ofthe total US fleet. Non-ORVR FFVs are less 1percent ofthe total U.S. vehicle fleet. EPA estimates that non-ORVRFFVs participate in only about 0.5 percent ofall refueling events. Furthermore, because ofthe relatively small number ofstations that offer E85 (around 1,000 out of 170,000 total refueling stations) EPAbelieves that very few ofthese non-ORVRrefueling events actually occur at E85 pumps.

4Considering the factors discussed above, ifan area can demonstrate that any increase in emissions caused by operating E85 fueling facilities without Stage II controls is so small as to clearlynot interfere with attainment ofthe ozone standard orreasonable further progress or any other applicable CAArequirement, then EPA expects it could find that ORVRis inwidespread use for FFVs when refueling at E85 facilities in this area. These areas could then allow E85 facilities to operate without Stage II controls, aftermodifying their SIPs such that E85 is not included within the definition of"gasoline" for purposes of Stage II vapor recovery controls (or aftertaking other necessary SIP revision action). As discussed above, States would needto submit SIP revisions affecting this change to their current Stage II SIPs, which EPAwould evaluate throughnotice and commentrulemaking, subject to the provisions ofCAA section 110(1). In addition, State and local agencies should considerifthere are anytransportation conformityimpacts related to removi:qg Stage II, if emissions reductions from Stage II are included in a SIP's on-road motorvehicle emissions budget. Due to the expected rapid growth ofE85 installations, EPA will explore the development ofways to expedite the SIP revision process for States which are dealing with the E85 issue. General Exclusions from Widespread Use Determinations States inthe ozone transport region (OTR) are stillrequired to apply Stage II, or a comparablemeasure, in all areas under 184(b)(2) ofthe CAA. This requirement is not affected by any widespread use determination orwaiver ofthe section 182(b)(3) requirement granted under section 202(a)(6). Forthe independent section 184(b)(2) "comparable measure" requirement to notprevent an appropriate removal ofStage II controls, OTR States maywant to revisit theirpreviously approved comparablemeasure SIPs to consider substituting available non-Stage II measures for the Stage IIcontrols they currentlyrequire. Also, some States have chosen to add Stage II vaporrecovery system requirements in their SIPs for ozonenonattainment areas that are classified in a category lower than "serious." While it is not necessary for States to demonstrate ORVRis in widespread use in moderate or cleaner ozonenon-attainment areas, a revision ofpreviously adopted SIP requirements to specificallywaive Stage II requirements in such areas would need to comply with the provisions ofCAA section 110(1) and, as described above, consider any transportation conformity impacts as applicable. This guidance for widespread use determinations for special sectors would not necessarily apply to widespread use determinations for the general motor vehicle fleet. Withinthe overall motor vehicle fleet, the rate ofpenetration ofORVR-equipped vehicles has not advanced at the same rapidrates as for the fleets discussed in this memorandum. EPA is still considering the**po~sible** criteria for determining widespread use for the general fleet.

5

# APPENDIXB

NOTICE OFPUBLIC HEARING

### KENTUCKY DIVISION FORAIR QUALITY NOTICE OF PUBLIC HEARING ON A PROPOSED REVISION TO THE KENTUCKY STATE IMPLEMENTATIONPLAN The Kentucky Energy and Environment Cabinet will conduct a public hearing on April19, 2013, at 10:00 a.m. (Local Time) in Conference Room 201B at the Kentucky Division for Air Quality Central Office, 200 Fair Oaks Lane, 1st Floor, Frankfort, Kentucky, to receive comments on a proposed revision to Kentucky's State Implementation Plan (SIP). This SIP revision includes a variance to the Stage II vapor recovery controls requirement on gasoline fuel dispensers at the Enterprise Holdings, Inc. carrental facility being constructed atthe Cincinnati/Northern Kentucky International Airport, located inBoone County. Thishearingis opento thepublic and all interestedpersons willbe giventhe opportunityto presenttestimony. The hearing will be held, ifrequested, at the date, time, andplace given above. It

### is not necessary that the hearing be held orattendedinorderforpersonsto commentontheproposed submittalto EPA. To assurethatall comments are accuratelyrecorded, the Divisionrequests that oral comments presented atthe hearing also be providedinwritten form, ifpossible. To be consideredpart ofthehearingrecord, written comments mustbe receivedbythe close of the hearing. Written comments shouldbe sentto the contactperson. Ifno requestfor apublichearingis received, thehearingwillbe cancelled, andnotice ofthe cancellationwillbeposted atthewebsitelistedbelow. Requestfor a publichearingmustbereceivedno laterthanApril11,2013, while all written commentsmustbe submittedno later than April19, 2013. The full text ofthe proposed SIP revision is available for public inspection and copying during regular business hours (8:00a.m. to 4:30p.m.) atthe locationslistedbelow. Anyindividualrequiring copiesmay submitarequestto theDivisionforAir Qualityinwriting,bytelephone, orbyfax. Requestsfor copies shouldbe directedto the contact person. In addition, an electronic version oftheproposed SIP revision document and relevant attachments canbe downloadedfromtheDivisionforAirQuality'sweb siteat: http://air.ky.gov/Pages/PublicNoticesandHearings.aspx. Thehearingfacility is accessibleto people with disabilities. Aninterpreteror other auxiliary aid or service willbe provided uponrequest. Please direct these requests to the contact person. CONTACTPERSON: LauraLund,EnvironmentalTechnologistIII, Divisionfor Air Quality, 200FairOaksLane, 1st Floor, Frankfort, Kentucky 40601. Phone (502) 564-3999; Fax (502) 564-4666; E-mail Laura.Lund@ky.gov. The Energy and Environment Cabinet does not discriminate on the basis ofrace, color, national origin, sex, age, religion, or disability and provides, onrequest, reasonable accommodation including auxiliary aids and services necessaryto afford anindividualwith a disability anequal opportunityto participate inall services, programs, and activities. Louisville Metro APCD Ashland Regional Bowling Green Regional 850 BarretAve # 205 1550 Wolohan Dr#1 1508 WestenAve Louisville, KY 40204 Ashland, KY 41102 Bowling Green, KY 42104 Florence Regional FrankfortRegional Hazard Regional 8020 Veterans Memorial Dr 200 Fair Oaks Ln. 233 Birch St Suite 110 3rd Floor Suite 2 Florence, KY 41042 Frankfort, KY 40601 Hazard, KY 4170 1 London Regional Owensboro Regional Paducah Regional 875 S Main St 3032 Alvey ParkDr W 130 Eagle Nest Dr London, KY 40741 Suite 700 Paducah, KY 42003 Owensboro, KY 42303 Boone County Clerk Campbell County Clerk Kenton County Clerk Burlington, KY 41005 Newport, KY 41071 Covington, KY 41011 2950 East Washington Street 340 York Street 303 Court Street