Federal Register / Vol. 80, No. 64 / Friday, April 3, 2015 / Proposed Rules 18179 

electronically (via email) or in hard 

copy form. The EPA will not provide 

audiovisual equipment for presentations 

unless we receive special requests in 

advance. Commenters should notify Ms. 

Long if they will need specific 

equipment. Commenters should also 

notify Ms. Long if they need specific 

translation services for non-English 

speaking commenters. 

The hearing schedule, including the 

list of speakers, will be posted on the 

EPA’s Web site http://www.epa.gov/

airquality/particlepollution/

actions.html prior to the hearing. 

Verbatim transcripts of the hearing and 

written statements will be included in 

the docket for the rulemaking. 

How can I get copies of this document 

and other related information? 

The EPA has established a docket for 

the proposed rule ‘‘Fine Particulate 

Matter National Ambient Air Quality 

Standards: State Implementation Plan 

Requirements’’ under Docket ID No. 

EPA–HQ–OAR–2013–0691 (available at 

www.regulations.gov). The EPA has 

made available information related to 

the proposed rule at this Web site: 

http://www.epa.gov/airquality/

particlepollution/actions.html. 

Dated: March 26, 2015. 

Stephen D. Page, 

Director, Office of Air Quality Planning and 

Standards. 

[FR Doc. 2015–07774 Filed 4–2–15; 8:45 am] 

BILLING CODE 6560–50–P 

ENVIRONMENTAL PROTECTION 

AGENCY 

40 CFR Part 52 

[EPA–R07–OAR–2015–0159; FRL–9925–59– 

Region 7] 

Approval and Promulgation of 

Implementation Plans; State of Iowa; 

2015 Iowa State Implementation Plan; 

Permit Modifications; Muscatine, Iowa 

AGENCY: Environmental Protection 

Agency. 

ACTION: Proposed rule. 

SUMMARY: The Environmental Protection 

Agency (EPA) is proposing to approve 

revisions to the State Implementation 

Plan (SIP) for the State of Iowa to 

include modified permits for Muscatine 

County, Iowa. The SIP revision 

addresses modifications to construction 

permits that were included in the 2006 

24-hour particulate matter less than 2.5 

micrometers (PM2.5) National Ambient 

Air Quality Standards (NAAQS) control 

strategy proposed on August 11, 2014, 

and published as a final rule in the 

Federal Register on December 1, 2014, 

with the effective date of December 31, 

2014. The state’s submission of 

modified permits includes a revised air 

dispersion modeling analysis that 

demonstrated continued attainment of 

the 2006 24-hour PM2.5 NAAQS. This 

action will also make an administrative 

correction to permit numbers. 

DATES: Comments on this proposed 

action must be received in writing by 

May 4, 2015. 

ADDRESSES: Submit your comments, 

identified by Docket ID No. EPA–R07– 

OAR–2015–0159 by mail to: Heather 

Hamilton, Environmental Protection 

Agency, Air Planning and Development 

Branch, 11201 Renner Road, Lenexa, 

Kansas 66219. Comments may also be 

submitted electronically or through 

hand delivery/courier by following the 

detailed instructions in the ADDRESSES

section of the direct final rule located in 

the rules section of this Federal 

Register. 

FOR FURTHER INFORMATION CONTACT: 

Heather Hamilton (913) 551–7039, or by 

email at Hamilton.heather@epa.gov. 

SUPPLEMENTARY INFORMATION: In the 

final rules section of the Federal 

Register, EPA is approving the state’s 

revision to the SIP as a direct final rule 

without prior proposal because the 

Agency views this as a noncontroversial 

revision amendment and anticipates no 

relevant adverse comments to this 

action. The detailed rationale for the 

approval is set forth in the technical 

support document that can be found in 

Docket ID No. EPA–R07–OAR–2015– 

0159. If no relevant adverse comments 

are received in response to this action, 

no further activity is contemplated in 

relation to this action. If EPA receives 

relevant adverse comments, the direct 

final rule will be withdrawn and all 

public comments received will be 

addressed in a subsequent final rules 

based on this proposed action. 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. Please note that if EPA 

receives adverse comments on part of 

this rule and if that part can be severed 

from the remainder of the rule, EPA may 

adopt as final those parts of the rule that 

are not the subject of an adverse 

comment. For additional information, 

see the direct final rule which is located 

in the rules section of this Federal 

Register. 

List of Subjects in 40 CFR Part 52 

Environmental protection, Air 

pollution control, Carbon monoxide, 

Incorporation by reference, 

Intergovernmental relations, Particulate 

matter, Reporting and recordkeeping 

requirements. 

Dated: March 20, 2015. 

Mark Hague, 

Acting Regional Administrator, Region 7. 

[FR Doc. 2015–07489 Filed 4–2–15; 8:45 am] 

BILLING CODE 6560–50–P 

ENVIRONMENTAL PROTECTION 

AGENCY 

40 CFR Part 80 

[EPA–HQ–OAR–2015–0049; FRL–9924–70– 

OAR] 

RIN 2060–AS48 

Regulation of Fuels and Fuel 

Additives: Cellulosic Waiver Credit 

Price and Minor Amendments to 

Renewable Fuel Standard Regulations 

AGENCY: Environmental Protection 

Agency (EPA). 

ACTION: Proposed rule. 

SUMMARY: The Environmental Protection 

Agency (EPA) is proposing to clarify our 

regulations related to the data sources 

used to establish the cellulosic waiver 

credit (CWC) price. We are also 

proposing to remove references to CWC 

prices from the renewable fuel standard 

regulations, and instead intend to post 

the prices on EPA’s Web site. This 

proposed rule also indicates what the 

CWC prices for 2014 and 2015 would be 

using the data sources and methodology 

contained in the rule; however these 

prices will not be established until they 

are posted on our Web site following the 

effective date of the rule. In addition, we 

are proposing minor amendments to the 

renewable fuel standard program 

regulations to reinsert sections 

inadvertently overwritten by the Quality 

Assurance Program final rule published 

on July 18, 2014. In the ‘‘Rules and 

Regulations’’ section of this Federal 

Register, we are making these same 

amendments as a direct final rule. If we 

receive no adverse comment, the direct 

final rule will go into effect and we will 

not take further action on this proposed 

rule. 

DATES: A request for a public hearing 

must be received by April 20, 2015. If 

a public hearing request is received, 

EPA will publish a notice in the Federal 

Register indicating the time and place 

for the hearing. If a public hearing is 

held, written comments must be 

received within 30 days after the date of 

the hearing. If no public hearing is held 

then comments must be received on or 

before May 4, 2015. 

ADDRESSES: Submit your comments, 

identified by Docket ID No. EPA–HQ– 


asabaliauskas on DSK5VPTVN1PROD with PROPOSALS
18180 Federal Register / Vol. 80, No. 64 / Friday, April 3, 2015 / Proposed Rules 

OAR–2015–0049, by one of the 

following methods: 

• www.regulations.gov: Follow the 

on-line instructions for submitting 

comments. 

• Email: a-and-r-docket@epa.gov. 

• Mail: Air and Radiation Docket and 

Information Center, Environmental 

Protection Agency, Mailcode: 28221T, 

1200 Pennsylvania Ave. NW., 

Washington, DC 20460. 

• Hand Delivery: EPA Docket Center, 

EPA WJC West Building, Room 3334, 

1301 Constitution Ave. NW., 

Washington, DC 20460. Such deliveries 

are only accepted during the Docket’s 

normal hours of operation, and special 

arrangements should be made for 

deliveries of boxed information. 

Instructions: Direct your comments to 

Docket ID No. EPA–HQ–OAR–2015– 

0049. EPA’s policy is that all comments 

received will be included in the public 

docket without change and may be 

made available online at 

www.regulations.gov, including any 

personal information provided, unless 

the comment includes information 

claimed to be Confidential Business 

Information (CBI) or other information 

whose disclosure is restricted by statute. 

Do not submit information that you 

consider to be CBI or otherwise 

protected through www.regulations.gov 

or email. The www.regulations.gov Web 

site is an ‘‘anonymous access’’ system, 

which means EPA will not know your 

identity or contact information unless 

you provide it in the body of your 

comment. If you send an email 

comment directly to EPA without going 

through www.regulations.gov your email 

address will be automatically captured 

and included as part of the comment 

that is placed in the public docket and 

made available on the Internet. If you 

submit an electronic comment, EPA 

recommends that you include your 

name and other contact information in 

the body of your comment and with any 

disk or CD–ROM you submit. If EPA 

cannot read your comment due to 

technical difficulties and cannot contact 

you for clarification, EPA may not be 

able to consider your comment. 

Electronic files should avoid the use of 

special characters, any form of 

encryption, and be free of any defects or 

viruses. For additional information 

about EPA’s public docket visit the EPA 

Docket Center homepage at http://

www.epa.gov/epahome/dockets.htm. 

For additional instructions on 

submitting comments, go to Section I.B 

of the SUPPLEMENTARY INFORMATION

section of this document. 

Docket: All documents in the docket 

are listed in the www.regulations.gov 

index. Although listed in the index, 

some information is not publicly 

available, e.g., CBI or other information 

whose disclosure is restricted by statute. 

Certain other material, such as 

copyrighted material, will be publicly 

available only in hard copy. Publicly 

available docket materials are available 

either electronically in 

www.regulations.gov or in hard copy at 

the Air and Radiation Docket and 

Information Center, EPA/DC, EPA WJC 

West, Room 3334, 1301 Constitution 

Ave. NW., Washington, DC. The Public 

Reading Room is open from 8:30 a.m. to 

4:30 p.m., Monday through Friday, 

excluding legal holidays. The telephone 

number for the Public Reading Room is 

(202) 566–1744, and the telephone 

number for the Air Docket is (202) 566– 

1742. 

FOR FURTHER INFORMATION CONTACT: Julia 

MacAllister, Office of Transportation 

and Air Quality, Assessment and 

Standards Division, Environmental 

Protection Agency, 2000 Traverwood 

Drive, Ann Arbor, MI 48105; Telephone 

number: 734–214–4131; Fax number: 

734–214–4816; Email address: 

macallister.julia@epa.gov, or the public 

information line for the Office of 

Transportation and Air Quality; 

telephone number (734) 214–4333; 

Email address: OTAQ@epa.gov. 

SUPPLEMENTARY INFORMATION: 

Why is EPA issuing a proposed rule? 

EPA is proposing to take action to 

clarify our regulations related to the 

data sources used to establish the price 

for cellulosic waiver credits (CWC). EPA 

is also proposing to remove the CWC 

prices from our regulations so as to 

allow the prices to be established in a 

more expeditious manner. The CWC 

prices would instead be published on 

EPA’s ‘‘Renewable Fuels: Regulations & 

Standards’’ Web site (http://

www.epa.gov/otaq/fuels/

renewablefuels/regulations.htm). EPA is 

also proposing to reinsert regulatory 

provisions in the renewable fuel 

standard (RFS) program regulations that 

were inadvertently overwritten by the 

Quality Assurance Program (QAP) final 

rule (79 FR 42078, July 18, 2014). 

Clarifying the data sources used in 

calculating the CWC price would 

eliminate uncertainty regarding EPA’s 

process in establishing the CWC prices, 

would enable stakeholders to better 

predict the annual CWC price before it 

is established, and would allow EPA to 

establish the CWC price in a more 

timely manner. This action does not 

change the formula used to establish the 

CWC price (listed in our regulations at 

40 CFR 80.1456(d)). 

If we receive no relevant adverse 

comment or hearing request on the 

direct final rule, we will not take further 

action on this proposed rule. If EPA 

receives relevant adverse comment or a 

hearing request, we will publish a 

timely withdrawal in the Federal 

Register of the portions of the direct 

final rule on which adverse comment 

was received. We will address all public 

comments in any subsequent final rule 

based on this proposed rule. We will not 

institute a second comment period on 

this action. Any parties interested in 

commenting must do so at this time. For 

further information about commenting 

on this rule see the ADDRESSES section 

of this document. 

The proposed changes to the 

regulatory text are identical to those 

presented in the direct final rule 

published in the ‘‘Rules and 

Regulations’’ section of today’s Federal 

Register. For further information, 

including a detailed explanation and 

rationale for the proposal and the text of 

the proposed regulatory revisions, see 

the direct final rule published in the 

‘‘Rules and Regulations’’ section of 

today’s Federal Register. 

Does this action apply to me? 

Entities potentially affected by this 

proposed rule are those involved with 

the production, distribution, and sale of 

transportation fuels, including gasoline 

and diesel fuel or renewable fuels such 

as ethanol and biodiesel. Potentially 

regulated categories include: 

Category NAICS1

codes SIC 2 codes Examples of potentially regulated entities 

Industry ....................................... 324110 2911 Petroleum refineries. 

Industry ....................................... 325193 2869 Ethyl alcohol manufacturing. 

Industry ....................................... 325199 2869 Other basic organic chemical manufacturing. 

Industry ....................................... 424690 5169 Chemical and allied products merchant wholesalers. 

Industry ....................................... 424710 5171 Petroleum bulk stations and terminals. 

Industry ....................................... 424720 5172 Petroleum and petroleum products merchant wholesalers. 


asabaliauskas on DSK5VPTVN1PROD with PROPOSALS
Federal Register / Vol. 80, No. 64 / Friday, April 3, 2015 / Proposed Rules 18181 

1CAA 211(o)(7)(D)(ii). 

2 40 CFR 80.1456(d)(2). 

3 40 CFR 80.1456(d)(3). 

Category NAICS1

codes SIC 2 codes Examples of potentially regulated entities 

Industry ....................................... 454319 5989 Other fuel dealers. 

1 North American Industry Classification System (NAICS). 

2Standard Industrial Classification (SIC) system code. 

This table is not intended to be 

exhaustive, but rather provides a guide 

for readers regarding entities likely to be 

regulated by this proposed action. This 

table lists the types of entities that EPA 

is now aware could potentially be 

regulated by this proposed action. Other 

types of entities not listed in the table 

could also be regulated. To determine 

whether your activities would be 

regulated by this action, you should 

carefully examine the applicability 

criteria in 40 CFR part 80. If you have 

any questions regarding the 

applicability of this proposed action to 

a particular entity, consult the person 

listed in FOR FURTHER INFORMATION

CONTACT. 

Outline of This Preamble 

I. Executive Summary 

II. Clarifications Related to CWC Price 

Calculation 

III. CWC Price Calculations for 2014 and 

2015 

IV. Reinsertion of Inadvertently Overwritten 

Language 

V. What Should I Consider as I Prepare My 

Comments for EPA? 

VI. Statutory and Executive Order Reviews 

A. Executive Order 12866: Regulatory 

Planning and Review and Executive 

Order 13563: Improving Regulation and 

Regulatory Review 

B. Paperwork Reduction Act 

C. Regulatory Flexibility Act 

D. Unfunded Mandates Reform Act 

E. Executive Order 13132: Federalism 

F. Executive Order 13175: Consultation 

and Coordination With Indian Tribal 

Governments. 

G. Executive Order 13045: Protection of 

Children From Environmental Health 

Risks and Safety Risks 

H. Executive Order 13211: Actions 

Concerning Regulations That 

Significantly Affect Energy Supply, 

Distribution, or Use 

I. National Technology Transfer and 

Advancement Act 

J. Executive Order 12898: Federal Actions 

To Address Environmental Justice in 

Minority Populations and Low-Income 

Populations 

VII. Statutory Authority 

I. Executive Summary 

For any calendar year for which the 

projected volume of cellulosic biofuel 

production is less than the applicable 

volume of cellulosic biofuel set forth in 

CAA 211(o)(2)(B)(III), EPA must reduce 

the required volume of cellulosic 

biofuel for that year to the projected 

volume, and must provide obligated 

parties the opportunity to purchase 

cellulosic waiver credits (CWC). The 

price of these credits is determined 

using a formula specified in the CAA.1

The cellulosic waiver credit price is the 

greater of $0.25 or $3.00 minus the 

wholesale price of gasoline, where both 

the $0.25 and $3.00 are adjusted for 

inflation. In this action we are 

proposing to clarify the data sources we 

use to calculate the inflation 

adjustments used in this formula. This 

would eliminate potential uncertainty 

regarding EPA’s approach to 

establishing the CWC prices. We are not 

making any modifications to the 

formula used to calculate the CWC 

price. 

Additionally, in order to provide 

more certainty to the market through 

timely publication of CWC prices, EPA 

is also amending the procedure it uses 

to announce CWC prices. To date, we 

have established the prices by 

rulemaking and published them in the 

Code of Federal Regulations. To allow 

more expeditious publication of these 

prices, EPA is proposing to remove 

references to CWC prices from the CFR. 

The prices would instead be posted by 

the Office of Transportation and Air 

Quality within the Office of Air and 

Radiation on EPA’s ‘‘Renewable Fuels: 

Regulations & Standards’’ Web site 

(http://www.epa.gov/otaq/fuels/

renewablefuels/regulations.htm). 

We are also proposing minor 

amendments to the regulations to 

reinsert language applicable to biofuel 

producers using Arundo donax or 

Pennisetum purpureum as feedstock, 

which was inadvertently overwritten by 

the Quality Assurance Program (QAP) 

final rule (79 FR 42078, July 18, 2014), 

and to make minor conforming changes 

to the numbering of other regulatory 

provisions. 

II. Clarifications Related to CWC Price 

Calculation 

EPA is proposing to clarify sections of 

the regulations related to the CWC price 

calculation. These proposed changes are 

consistent with the CWC price formula 

set forth in the statute, and more 

specifically, with the statutory direction 

to adjust certain terms in the formula for 

inflation. We believe these proposed 

regulations would more clearly 

articulate the data sources that EPA uses 

in calculating the CWC price for each 

year. 

The regulations that outline the 

process used by EPA to calculate the 

CWC price are set forth in 40 CFR 

80.1456(d). The regulations currently 

state that ‘‘the wholesale price of 

gasoline used in the CWC calculation 

will be calculated by averaging the most 

recent twelve monthly values for U.S. 

Total Gasoline Bulk Sales (Price) by 

Refiners as provided by the Energy 

Information Administration (EIA) that 

are available as of September 30 of the 

year preceding the compliance 

period.’’ 2 In practice, given the 

publication schedule for the referenced 

EIA publication, this means that EPA 

calculates the wholesale price of 

gasoline using data from the 12 months 

prior to July of the year preceding the 

compliance period (i.e., July 2011–June 

2012 data for the 2013 CWC price). We 

are not proposing to make any 

modifications to this portion of the 

regulations. 

The regulations also currently state 

that the inflation adjustment used in 

calculating the CWC price will be 

calculated at the time EPA sets the 

cellulosic biofuel standard.3 In an effort 

to provide certainty to the market in 

relation to the CWC price as soon as 

reasonably practical, EPA believes it 

would be preferable to announce the 

CWC price as soon as the relevant data 

on the wholesale price of gasoline is 

available. Therefore, we are proposing 

to calculate the inflation adjustment 

using data from June of the year 

preceding the compliance period. We 

believe this is appropriate as it is the 

most recent month within the time 

period over which we calculate the 

average wholesale price of gasoline. We 

are also proposing to eliminate the 

regulatory references to CWC prices. 

Instead we intend to announce the CWC 

price in a notice on our ‘‘Renewable 

Fuels: Regulations & Standards’’ Web 

site by November of the year preceding 

the compliance period. Consistent with 

previous CWC calculations, EPA would 

continue to base the inflation 

adjustment on the Consumer Price 

Index for All Urban Consumers (CPI–U): 

U.S. City Average, Unadjusted Index for 


asabaliauskas on DSK5VPTVN1PROD with PROPOSALS
18182 Federal Register / Vol. 80, No. 64 / Friday, April 3, 2015 / Proposed Rules 

4For more information on Seasonally Adjusted 

vs. Unadjusted Indexes see http://www.bls.gov/cpi/ 

cpisapage.htm. 

5 40 CFR 80.1405(d). 

6The calculations for the 2013 CWC were 

explained in a memo to the docket for our 

rulemaking establishing the 2013 standards (EPA– 

HQ–OAR–2012–0546–0134). The 2013 CWC price 

was calculated in accordance with the methodology 

and data sources described in this rule, with one 

minor difference. To calculate the Inflation Factor 

the August 2012 Index (230.037) was used rather 

than the June 2012 Index (229.815). Using the June 

2012 Index in place of the August 2012 Index does 

not change the CWC waiver credit price for 2013 

of $0.42. EPA will therefore confirm the 2013 CWC 

price in the announcement on our Web site 

following the effective date of this rule. 

All Items expenditure category as 

provided by the Bureau of Labor and 

Statistics. We are proposing to amend 

our regulations in this action to clarify 

that we are using the unadjusted price 

index, rather than the seasonally 

adjusted price index, to calculate the 

inflation adjustment. We believe this is 

appropriate as the unadjusted index 

most accurately reflects the prices 

consumers actually pay and do not 

change, whereas the seasonally adjusted 

indexes are subject to revision for up to 

five years after their release.4 We are 

also clarifying that we are using ‘‘US 

City Average’’ data, as opposed to data 

for geographic subsets of the country. 

This is appropriate in light of the 

nation-wide applicability of the RFS 

program. Both of these changes simply 

clarify EPA’s current practice, and are 

designed to promote regulatory certainty 

and understanding by stakeholders. 

We are also proposing to amend the 

section of our regulations where the 

CWC price for previous years is listed.5

EPA has included the prices for 2010, 

2011, 2012, and 2013 CWCs in our 

regulations. Promulgating prices in 

regulations, however, requires EPA to 

undertake a rulemaking, which we 

believe may unnecessarily delay the 

announcement of the CWC price. 

Furthermore, we believe the CWC price 

need not be established by rulemaking, 

for the following reasons. First, the 

formula and all data sources for the 

CWC price are specified in our 

regulations, so the actual price 

calculation is a procedural action that 

will not benefit from a notice and 

comment rulemaking. Second, CWCs 

are purchased from EPA, and EPA can 

ensure that the correct price is paid for 

them. Finally, the publication of the 

CWC price in the CFR is not necessary 

for informational purposes as EPA 

intends to promptly post the CWC 

prices on our Web site. 

Therefore, in this action EPA is 

proposing to delete the sections of our 

regulations containing the CWC prices 

for previous years and is instead 

including a statement in the regulations 

indicating that the CWC price for each 

year will be posted on EPA’s 

‘‘Renewable Fuels: Regulations & 

Standards’’ Web site (http://

www.epa.gov/otaq/fuels/

renewablefuels/regulations.htm). 

Adopting this approach would allow 

EPA to announce the CWC prices at the 

earliest opportunity. We believe this 

would benefit both cellulosic biofuel 

producers and obligated parties. EPA 

would post the CWC prices for 2013, 

2014, and 2015 on our Web site 

following the effective date of this rule. 

III. CWC Price Calculations for 2014 

and 2015 

To illustrate the derivation of CWC 

prices pursuant to the statutory formula, 

and with the data sources specified in 

this proposed rule, we explain in this 

section the derivation of CWC prices for 

2014 and 2015.6 EPA determined the 

average wholesale (refinery gate) price 

of gasoline using the monthly average 

prices for the 12 months prior to July of 

the year preceding each compliance 

period. In this calculation EPA uses the 

U.S. Total Gasoline Bulk Sales Price by 

Refiners (Dollars per Gallon) as reported 

by the U.S. Energy Information 

Administration (EIA). The data are 

shown below in Table 1 and Table 2 for 

the calculations for 2014 and 2015, 

respectively, and can be found at: 

(http://www.eia.gov/dnav/pet/hist/

LeafHandler.ashx?n=PET&s=EMA_

EPM0_PBR_NUS_DPG&f=M). 

TABLE 1—WHOLESALE GASOLINE

PRICES FOR 2014 CWC CALCULATION

Month Average price 

in $ 

July 2012 .............................. 2.703 

August 2012 ......................... 2.961 

September 2012 ................... 3.133 

October 2012 ........................ 2.922 

November 2012 .................... 2.622 

December 2012 .................... 2.554 

January 2013 ........................ 2.668 

February 2013 ...................... 2.892 

March 2013 ........................... 2.963 

April 2013 ............................. 2.822 

May 2013 .............................. 2.824 

TABLE 1—WHOLESALE GASOLINE

PRICES FOR 2014 CWC CALCULATION—Continued 

Month Average price 

in $ 

June 2013 ............................. 2.817 

TABLE 2—WHOLESALE GASOLINE

PRICES FOR 2015 CWC CALCULATION

Month Average price 

in $ 

July 2013 .............................. 2.879 

August 2013 ......................... 2.916 

September 2013 ................... 2.831 

October 2013 ........................ 2.610 

November 2013 .................... 2.496 

December 2013 .................... 2.551 

January 2014 ........................ 2.598 

February 2014 ...................... 2.650 

March 2014 ........................... 2.763 

April 2014 ............................. 2.829 

May 2014 .............................. 2.853 

June 2014 ............................. 2.924 

The average monthly price in dollars 

for the calculation of the 2014 CWC 

price is 2.823. The average monthly 

price in dollars for the calculation of the 

2015 CWC price is 2.742. 

The CAA requires that EPA adjust for 

inflation the comparison values of 

twenty-five cents ($0.25) and three 

dollars ($3.00) in the CWC price 

formula. EPA must compare the inflated 

twenty-five cent value with the amount 

the inflated three dollar value exceeds 

the average wholesale price of gasoline. 

EPA is required to use the greater of the 

two values as the price for the cellulosic 

biofuel waiver credits. 

EPA evaluated inflation by using the 

Unadjusted Index values from the 

Consumer Price Index for All Urban 

Consumers (CPI–U): U.S. City Average, 

for the All Items expenditure category as 

provided by the Bureau of Labor and 

Statistics, for the months of January 

2009 (the first comparable value after 

2008) and June 2013 and June 2014, as 

discussed in Section II of this preamble. 

These unadjusted indexes are used to 

calculate an Inflation Factor for each 

year, as shown in Table 4 below. 

Finally, we compare $0.25 (inflation 

adjusted) to $3.00 (inflation adjusted) 

minus the wholesale price of gasoline 

for each year. The greater of these values 

is the price for the cellulosic waiver 

credits. 


asabaliauskas on DSK5VPTVN1PROD with PROPOSALS
Federal Register / Vol. 80, No. 64 / Friday, April 3, 2015 / Proposed Rules 18183 

TABLE 3—INFLATION ADJUSTMENTS

Month Unadjusted 

index Source 

January 2009 ............................................. 211.143 http://www.bls.gov/cpi/cpid0901.pdf (Table 1). 

June 2013 .................................................. 233.504 http://www.bls.gov/cpi/cpid1306.pdf (Table 1). 

June 2014 .................................................. 238.343 http://www.bls.gov/cpi/cpid1406.pdf (Table 1). 

TABLE 4—INFLATION FACTORS

Months Equation Inflation factor 

Jan. 2009–June 2013 .............................................................. 1+(233.504¥211.143)/211.143 .............................................. 1.106 

Jan. 2009–June 2014 .............................................................. 1+(238.343¥211.143)/211.143 .............................................. 1.129 

TABLE 5—CELLULOSIC WAIVER CREDIT PRICE CALCULATIONS

Year $0.25 (Inflation adjusted) $3—Wholesale price of gasoline 

(Inflation adjusted) 

CWC price (Larger of the two values, rounded to 

the nearest cent) 

2014 ............... $0.25*1.106 = $0.28 ........................................ ($3.00*1.106)¥$2.823 = $0.4947 ...................................... $0.49 

2015 ............... $0.25*1.129 = $0.28 ........................................ ($3.00*1.129)¥$2.742 = $0.6445 ...................................... $0.64 

As shown in Table 5, using the data 

sources for the inflation adjustment that 

are specified in this proposed rule 

results in a CWC price of $0.49 for 2014 

and $0.64 for 2015. These prices, along 

with the CWC price for 2013 ($0.42) 

would be posted on EPA’s Web site after 

the effective date of a final rule. 

EPA notes that in this action we are 

not making a determination regarding 

whether CWCs will actually be offered. 

As required by statute, CWCs are only 

made available for sale if EPA lowers 

the required cellulosic biofuel volume 

requirement below the applicable 

volume set forth in the Act. EPA will 

decide whether or not it will lower the 

required cellulosic biofuel volumes in 

future rules establishing the 2014 and 

2015 cellulosic biofuel percentage 

standards. At that time EPA will 

determine if CWCs will be sold. If so, 

they will be sold at the prices indicated 

above. However EPA notes that it has 

offered CWCs for every year since 2010, 

the first year for which a separate 

cellulosic biofuel standard was 

established. Given the anticipated 

shortfall in cellulosic biofuel 

production, as compared to statutory 

volumes, in these years it is probable 

that CWCs will be offered. 

IV. Reinsertion of Inadvertently 

Overwritten Language 

In the RFS RIN Quality Assurance 

Program final rule (79 FR 42078, July 

18, 2014), we moved the previous 40 

CFR 80.1426(f)(12) (regarding process 

heat produced from biogas) to 40 CFR 

80.1426(f)(14) as we had proposed on 

February 21, 2013 (78 FR 12158). When 

we moved 40 CFR 80.1426(f)(12) to 40 

CFR 80.1426(f)(14), however, we 

inadvertently overwrote the previous 40 

CFR 80.1426(f)(14) (regarding renewable 

fuel produced from giant reed (Arundo 

donax) or napier grass (Pennisetum 

purpureum)) that had been finalized in 

a separate final rule which was 

published on July 11, 2013 (78 FR 

41703). The new 40 CFR 80.1426(f)(12) 

finalized in the RFS RIN Quality 

Assurance Program final rule dealt with 

additional requirements for producers 

and importers when generating RINs. In 

today’s action, we are proposing to 

amend the regulations to undo our 

inadvertent elimination of the 

regulatory provisions related to giant 

reed and napier grass. Specifically, we 

are proposing: (1) re-inserting the 

inadvertently eliminated language as 40 

CFR 80.1426(f)(14) (see 78 FR 41714, 

July 11, 2013); (2) moving the current 40 

CFR 80.1426(f)(14) (process heat 

produced from biogas) back to 40 CFR 

80.1426(f)(12), where it existed prior to 

the RFS RIN Quality Assurance Program 

final rule (see 75 FR 79977, December 

21, 2010); and (3) moving the current 40 

CFR 80.1426(f)(12) to a new 40 CFR 

80.1426(f)(17). 

V. What should I consider as I prepare 

my comments for EPA? 

A. Submitting CBI 

Do not submit confidential business 

information (CBI) to EPA through 

www.regulations.gov or email. Clearly 

mark the part or all of the information 

that you claim to be CBI. For CBI 

information in a disk or CD–ROM that 

you mail to EPA, mark the outside of the 

disk or CD–ROM as CBI and then 

identify electronically within the disk or 

CD–ROM the specific information that 

is claimed as CBI. In addition to one 

complete version of the comment that 

includes information claimed as CBI, a 

copy of the comment that does not 

contain the information claimed as CBI 

must be submitted for inclusion in the 

public docket. Information so marked 

will not be disclosed except in 

accordance with procedures set forth in 

40 CFR part 2. 

B. Tips for Preparing Your Comments 

When submitting comments, 

remember to: 

• Identify the rulemaking by docket 

number and other identifying 

information (subject heading, Federal 

Register date and page number). 

• Follow directions—The agency may 

ask you to respond to specific questions 

or organize comments by referencing a 

Code of Federal Regulations (CFR) part 

or section number. 

• Explain why you agree or disagree, 

suggest alternatives, and substitute 

language for your requested changes. 

• Describe any assumptions and 

provide any technical information and/ 

or data that you used. 

• If you estimate potential costs or 

burdens, explain how you arrived at 

your estimate in sufficient detail to 

allow for it to be reproduced. 

• Provide specific examples to 

illustrate your concerns, and suggest 

alternatives. 

• Explain your views as clearly as 

possible, avoiding the use of profanity 

or personal threats. 


asabaliauskas on DSK5VPTVN1PROD with PROPOSALS
18184 Federal Register / Vol. 80, No. 64 / Friday, April 3, 2015 / Proposed Rules 

• Make sure to submit your 

comments by the comment period 

deadline identified. 

C. Docket Copying Costs 

You may be charged a reasonable fee 

for photocopying docket materials, as 

provided in 40 CFR part 2. 

VI. Statutory and Executive Order 

Reviews 

A. Executive Order 12866: Regulatory 

Planning and Review and Executive 

Order 13563: Improving Regulation and 

Regulatory Review 

This action is not a significant 

regulatory action and was therefore not 

submitted to the Office of Management 

and Budget (OMB) for review. 

B. Paperwork Reduction Act 

This action does not impose an 

information collection burden under the 

PRA. The changes made to the 

regulations as a result of this action 

impose no new or different reporting 

requirements on regulated parties. 

C. Regulatory Flexibility Act 

I certify that this action will not have 

a significant economic impact on a 

substantial number of small entities 

under the RFA. In making this 

determination, the impact of concern is 

any significant adverse economic 

impact on small entities. An agency may 

certify that a rule will not have a 

significant economic impact on a 

substantial number of small entities if 

the rule relieves regulatory burden, has 

no net burden or otherwise has a 

positive economic effect on the small 

entities subject to the rule. This action 

clarifies the data sources and 

methodology used by EPA to establish 

the CWC price, establishes these prices 

for 2014 and 2015, and reinserts 

inadvertently overwritten regulatory 

language. The impacts of the RFS2 

program on small entities were already 

addressed in the RFS2 final rule 

promulgated on March 26, 2010 (75 FR 

14670), and this rule will not impose 

any additional requirements on small 

entities beyond those already analyzed. 

We have therefore concluded that this 

action will have no net regulatory 

burden for all directly regulated small 

entities. 

D. Unfunded Mandates Reform Act 

This action does not contain any 

unfunded mandate as described in 

UMRA, 2 U.S.C. 1531–1538, and does 

not significantly or uniquely affect small 

governments. This action implements 

mandate(s) specifically and explicitly 

set forth in Clean Air Act section 211(o) 

without the exercise of any policy 

discretion by the EPA. 

E. Executive Order 13132: Federalism 

This action does not have federalism 

implications. It will not have substantial 

direct effects on the states, on the 

relationship between the national 

government and the states, or on the 

distribution of power and 

responsibilities among the various 

levels of government. 

F. Executive Order 13175: Consultation 

and Coordination With Indian Tribal 

Governments 

This action does not have tribal 

implications, as specified in Executive 

Order 13175. This rule will be 

implemented at the Federal level and 

potentially impacts gasoline, diesel, and 

renewable fuel producers, importers, 

distributors, and marketers. Tribal 

governments would be affected only to 

the extent they purchase and use 

regulated fuels. Thus, Executive Order 

13175 does not apply to this action. 

G. Executive Order 13045: Protection of 

Children From Environmental Health 

Risks and Safety Risks 

The EPA interprets EO 13045 as 

applying only to those regulatory 

actions that concern environmental 

health or safety risks that the EPA has 

reason to believe may 

disproportionately affect children, per 

the definition of ‘‘covered regulatory 

action’’ in section 2–202 of the 

Executive Order. This action is not 

subject to Executive Order 13045 

because it does not establish an 

environmental standard intended to 

mitigate health or safety risks and 

because it implements specific 

standards established by Congress in 

statutes (section 211(o) of the Clean Air 

Act). 

H. Executive Order 13211: Actions 

Concerning Regulations That 

Significantly Affect Energy Supply, 

Distribution, or Use 

This action is not subject to Executive 

Order 13211 because it is not a 

significant regulatory action under 

Executive Order 12866. 

I. National Technology Transfer and 

Advancement Act 

This rulemaking does not involve 

technical standards. 

J. Executive Order 12898: Federal 

Actions To Address Environmental 

Justice in Minority Populations and 

Low-Income Populations 

This proposed rule is a technical 

correction and does not concern an 

environmental health or safety risk. 

Therefore, Executive Order 12898 does 

not apply. 

VII. Statutory Authority 

Statutory authority for this proposed 

action comes from section 211 of the 

Clean Air Act, 42 U.S.C. 7545. 

List of Subjects in 40 CFR Part 80 

Environmental protection, 

Administrative practice and procedure, 

Air pollution control, Diesel fuel, Fuel 

additives, Gasoline, Imports, Oil 

imports, Petroleum, Renewable fuel. 

Dated: March 24, 2015. 

Gina McCarthy, 

Administrator. 

[FR Doc. 2015–07478 Filed 4–2–15; 8:45 am] 

BILLING CODE 6560–50–P 

ENVIRONMENTAL PROTECTION 

AGENCY 

40 CFR Part 81 

[EPA–R09–OAR–2008–0467; FRL–9925–57– 

Region 9] 

Designation of Areas for Air Quality 

Planning Purposes; California; San 

Joaquin Valley, South Coast Air Basin, 

Coachella Valley, and Sacramento 

Metro Ozone Nonattainment Areas; 

Reclassification 

AGENCY: Environmental Protection 

Agency (EPA). 

ACTION: Withdrawal of proposed rule. 

SUMMARY: The Environmental Protection 

Agency (EPA) is withdrawing a 

proposed action to reclassify the Indian 

country pertaining to the Pechanga 

Band of Luisen ̃o Mission Indians 

(Pechanga Reservation) from ‘‘Severe17’’ to ‘‘Extreme’’ for the 1997 8-hour 

ozone national ambient air quality 

standard. 

DATES: The proposed rule published on 

August 27, 2009 (74 FR 43654) is 

withdrawn with respect to the Pechanga 

Reservation on April 3, 2015. 

FOR FURTHER INFORMATION CONTACT: Ken 

Israels, Grants and Program Integration 

Office (AIR–8), U.S. Environmental 

Protection Agency, Region IX, (415) 

947–4102, israels.ken@epa.gov. 

SUPPLEMENTARY INFORMATION: On August 

27, 2009 (74 FR 43654), the EPA 

published a proposed rule to grant 

requests by the State of California to 

reclassify four nonattainment areas for 

the 1997 8-hour ozone national ambient 

air quality standard (‘‘standard’’) and to 

reclassify Indian country in keeping 

with the classifications of 

nonattainment areas within which they 


asabaliauskas on DSK5VPTVN1PROD with PROPOSALS