The EPA Regional Administrator, Jared Blumenfeld signed the following proposed rule on March 30, 2015 and 

EPA is submitting it for publication in the Federal Register (FR). While we have taken steps to ensure the accuracy 

of this version of this rule, it is not the official version. Please refer to the official version in a forthcoming FR 

publication appearing on the Government Printing Office website, http://fdsys.gpo.gov/fdsys/search/home.action, 

and on www.regulations.gov in Docket Number EPA-R09-OAR-2014-0256.

Billing Code: 6560-50-P 

ENVIRONMENTAL PROTECTION AGENCY 

40 CFR Part 52 

[EPA-R09-OAR-2014-0256; FRL-____-_ 

Approval and Promulgation of Implementation Plans; Arizona; 

Phased Discontinuation of Stage II Vapor Recovery Program 

AGENCY: Environmental Protection Agency (EPA). 

ACTION: Direct final rule. 

SUMMARY: The Environmental Protection Agency (EPA) is taking 

direct final action to approve a state implementation plan (SIP) 

revision from the Arizona Department of Environmental Quality 

related to the removal of “Stage II” vapor recovery equipment at 

gasoline dispensing facilities in the Phoenix-Mesa area. 

Specifically, the EPA is approving a SIP revision that 

eliminates the requirement to install and operate such equipment 

at new gasoline dispensing facilities, and that provides for the 

phased removal of such equipment at existing gasoline dispensing 

facilities from October 2016 through September 2018. The EPA has 

previously determined that onboard refueling vapor recovery is 

in widespread use nationally and waived the stage II vapor 

recovery requirement. The EPA is approving this SIP revision 

because the resultant short-term incremental increase in 
This document is a prepublication version signed by EPA Regional Administrator Jared Blumenfeld on March 30, 

2015. We have taken steps to ensure the accuracy of this version, but it is not the official version.

2 

emissions would not interfere with attainment or maintenance of 

the national ambient air quality standards or any other 

requirement of the Clean Air Act and because it would avoid 

longer-term increases in emissions from the continued operation 

of stage II vapor recovery equipment at gasoline dispensing 

facilities in the Phoenix-Mesa area. 

DATES: This direct final rule is effective on [INSERT DATE 60 

DAYS AFTER DATE OF PUBLICATION IN THE FEDERAL REGISTER] unless 

the EPA receives adverse comments by [INSERT DATE 30 DAYS AFTER 

DATE OF PUBLICATION IN THE FEDERAL REGISTER]. If adverse 

comments are received, the EPA will publish a timely withdrawal 

of the direct final rule in the Federal Register informing the 

public that the rule will not take effect. 

ADDRESSES: Submit your comments, identified by Docket No. EPAR09-OAR-2014-0256, by one of the following methods:

1. Federal Rulemaking Portal: http://www.regulations.gov. 

Follow the on-line instructions for submitting comments. 

2. E-mail: Jeffrey Buss at buss.jeffrey@epa.gov. 

3. Fax: Jeffrey Buss, Air Planning Office (AIR-2), at fax 

number 415-947-3579. 

4. Mail: Jeffrey Buss, Air Planning Office (AIR-2), U.S. 

Environmental Protection Agency, Region IX, 75 Hawthorne, 

San Francisco, California 94105. 
This document is a prepublication version signed by EPA Regional Administrator Jared Blumenfeld on March 30, 

2015. We have taken steps to ensure the accuracy of this version, but it is not the official version.

3 

5. Hand or Courier Delivery: Jeffrey Buss, Air Planning 

Section (AIR-2), U.S. Environmental Protection Agency, 

Region IX, 75 Hawthorne, San Francisco, California 94105. 

Such deliveries are only accepted during the Regional 

Office’s normal hours of operation. Special arrangements 

should be made for deliveries of boxed information.

Instructions: Direct your comments to Docket ID No. EPA-R09-

OAR-2014-0256. 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 the disclosure of which is restricted by statute. 

Do not submit information through www.regulations.gov or e-mail 

that you consider to be CBI or otherwise protected from 

disclosure. The www.regulations.gov website is an anonymous 

access system, which means the EPA will not know your identity 

or contact information unless you provide it in the body of your 

comment. If you send an e-mail comment directly to the EPA 

without going through www.regulations.gov, your e-mail 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, the EPA 
This document is a prepublication version signed by EPA Regional Administrator Jared Blumenfeld on March 30, 

2015. We have taken steps to ensure the accuracy of this version, but it is not the official version.

4 

recommends that you include your name and other contact 

information in the body of your comment and with any disk or CDROM you submit. If the EPA cannot read your comment due to 

technical difficulties and cannot contact you for clarification, 

the 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. 

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 Planning Office (AIR-2), U.S. Environmental 

Protection Agency, Region IX, 75 Hawthorne Street, San 

Francisco, California 94105. The EPA requests that if at all 

possible, you contact the person listed in the FOR FURTHER 

INFORMATION CONTACT section to schedule your inspection during 

normal business hours. 

FOR FURTHER INFORMATION CONTACT: Jeffrey Buss, Office of Air 

Planning, U.S. Environmental Protection Agency, Region 9, (415) 

947-4152, e-mail: buss.jeffrey@epa.gov. 
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2015. We have taken steps to ensure the accuracy of this version, but it is not the official version.

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SUPPLEMENTARY INFORMATION: Throughout this document, the terms 

“we,” “us,” and “our” refer to the EPA. 

TABLE OF CONTENTS 

I. Background 

II. State Submittal 

III. Analysis of the State Submittal 

 A. SIP Revision Procedural Requirements 

 B. SIP Revision Substantive Requirements 

IV. The EPA’s Action and Request for Public Comment 

V. Incorporation by reference 

VI. Statutory and Executive Order Reviews 

I. Background 

Under the Clean Air Act (CAA or “Act”), the EPA has

promulgated national ambient air quality standards (NAAQS or 

“standards”) for certain pervasive air pollutants. The NAAQS are 

concentration levels the attainment and maintenance of which EPA 

has determined to be requisite to protect public health (i.e., 

the “primary” NAAQS) and welfare (i.e., the “secondary” NAAQS). 

Under the CAA, states are required to develop and submit plans, 

referred to as state implementation plans (SIPs) to implement, 

maintain, and enforce the NAAQS.1 Ozone is one of the air 

 

1 Under Arizona law, the Arizona Department of Environmental Quality (ADEQ) 

is responsible for adopting and submitting the Arizona SIP and SIP revisions. 
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pollutants for which the EPA has established NAAQS.2 The original 

NAAQS for ozone, established by the EPA in 1979, was 0.12 parts 

per million (ppm), 1-hour average (“1-hour ozone standard”).3 

Under the CAA, the EPA is also responsible for designating 

areas of the country as attainment, nonattainment, or 

unclassifiable for the various NAAQS. States with 

“nonattainment” areas are required to submit revisions to their 

SIPs that include a control strategy necessary to demonstrate 

how the area will attain the NAAQS. 

Under the CAA Amendments of 1990, the “Phoenix metropolitan 

area,” defined by the Maricopa Association of Governments’ 

(MAGs’) urban planning area boundary (but later revised to 

exclude the Gila River Indian Community at 70 FR 68339 (November 

10, 2005)), was classified as a “Moderate” nonattainment area, 

56 FR 56694 (November 6, 1991), and later reclassified as a 

“Serious” nonattainment area, 62 FR 60001 (November 6, 1997), 

for the 1-hour ozone standard. 

 

Within the Maricopa County portion of the Phoenix-Mesa area, the Maricopa 

Association of Governments (MAG) is responsible for developing regional ozone 

air quality plans. 

2 Ground-level ozone is an oxidant that is formed from photochemical 

reactions in the atmosphere between volatile organic compounds (VOC) and 

oxides of nitrogen (NOX) in the presence of sunlight. These two pollutants, 

referred to as ozone precursors, are emitted by many types of pollution 

sources including on-road motor vehicles (cars, trucks, and buses), nonroad 

vehicles and engines, power plants and industrial facilities, and smaller 

area sources such as lawn and garden equipment and paints. 

3 See 44 FR 8202 (February 8, 1979). 
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States with “Serious,” “Severe,” or “Extreme” ozone

nonattainment areas were required under CAA section 182(b)(3) to 

submit SIP revisions that require the use of “Stage II” vapor 

recovery systems at gasoline dispensing facilities (GDFs) 

located within the nonattainment area. Gasoline dispensing pump 

vapor control devices, commonly referred to as “Stage II” vapor 

recovery, are systems that control VOC vapor releases during the 

refueling of motor vehicles. This process takes the vapors 

normally emitted directly into the atmosphere when pumping gas 

and recycles them back into the underground fuel storage tank, 

preventing them from polluting the air. 

In response to this requirement, the State of Arizona 

promulgated and submitted certain statutes and regulations that 

require use of Stage II vapor recovery systems in the Phoenix 

metropolitan area, and later extended the requirements to a 

larger geographic area referred to as “Area A.”4 The EPA approved 

the state’s Stage-II-related statutes and regulations as a 

revision to the Arizona SIP. See 59 FR 54521 (November 1, 1994) 

and 77 FR 35279 (June 13, 2012). 

 

4 “Area A” is defined in Arizona Revised Statutes (ARS) section 49-541, and 

it includes all of the Phoenix metropolitan 1-hour ozone nonattainment area 

plus additional areas in Maricopa County to the north, east, and west, as 

well as small portions of Yavapai County and Pinal County. Area A roughly 

approximates the boundaries of the Phoenix-Mesa area designated by the EPA 

for the 1997 8-hour ozone standard. 
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The 1990 amended CAA anticipates that, over time, Stage II 

vapor recovery requirements at GDFs would be replaced by 

“onboard refueling vapor recovery” (ORVR) systems that the EPA 

was to establish for new motor vehicles under CAA section 

202(a)(6). ORVR consists of an activated carbon canister 

installed in a motor vehicle. The carbon canister captures 

gasoline vapors during refueling. There the vapors are captured 

by the activated carbon in the canister. When the engine is 

started, the vapors are drawn off of the activated carbon and 

into the engine where they are burned as fuel. In 1994, the EPA 

promulgated its ORVR standards,5 with a minimum 95% vapor capture 

efficiency, which fully applied to all new light duty vehicles 

by 2000. The ORVR requirements were phased in to apply to 

heavier classes of vehicles as well – reaching full effect for 

all new vehicles with a gross vehicle weight rating of up to 

10,000 pounds by 2006. Recognizing that, over time, the number 

of vehicles with ORVR as a percentage of the overall motor 

vehicle fleet would increase with the turnover of older models 

not equipped with ORVR with newer models equipped with ORVR, CAA 

section 202(a)(6) also permits the EPA to promulgate a 

determination that ORVR is in “widespread use” throughout the 

 

5 See 59 FR 16262 (April 6, 1994). 
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motor vehicle fleet and to revise or waive Stage II vapor 

recovery requirements for Serious, Severe and Extreme ozone 

nonattainment areas. 

Meanwhile, the EPA has taken certain actions that affect 

SIP planning in general, and the Phoenix metropolitan area and 

Stage II vapor recovery SIP requirements in particular, 

including the following: 

• Revision of the NAAQS for ozone, setting it at 0.08 ppm 

averaged over an 8-hour timeframe (referred to herein as 

the “1997 8-hour ozone standard”)(62 FR 33856, July 18, 

1997), and designation of the Phoenix-Mesa area6 as a 

“Marginal” nonattainment area (69 FR 23857, April 30, 2004; 

77 FR 28424, May 14, 2012); 

• Redesignation of the Phoenix metropolitan area from

nonattainment to attainment for the 1-hour ozone standard 

(70 FR 34362; June 14, 2005), and revocation of the 1-hour 

ozone standard, effective June 15, 2005 (40 CFR 50.9(b)); 

• Revision of the 8-hour ozone standard down to 0.075 ppm 

(the 2008 8-hour ozone standard) (73 FR 16436, March 27, 

 

6 The Phoenix-Mesa 1997 8-hour ozone nonattainment area covers a much larger 

portion of Maricopa County than the Phoenix metropolitan 1-hour ozone area 

and also includes the Apache Junction portion of Pinal County. The precise 

boundaries of the Phoenix-Mesa 1997 8-hour ozone nonattainment area and the 

Phoenix metropolitan 1-hour ozone nonattainment are found in 40 CFR 81.303. 
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2015. We have taken steps to ensure the accuracy of this version, but it is not the official version.

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2008), and designation of the Phoenix-Mesa area as a 

“Marginal” nonattainment area for the 2008 8-hour ozone 

standard (77 FR 30088, May 21, 2012);7 

• Determination that ORVR systems are in “widespread use” in 

the nation’s motor vehicle fleet (77 FR 28772, May 16, 

2012; and 40 CFR 51.126); and 

• Redesignation of the Phoenix-Mesa ozone area from 

nonattainment to attainment for the 1997 8-hour ozone 

standard (79 FR 55645, September 17, 2014). 

In the wake of the EPA’s “widespread use” determination, 

states, such as Arizona, that were required to implement Stage 

II vapor recovery programs under CAA section 182(b)(3) are now 

permitted to remove the requirement from their SIPs under 

certain circumstances. On August 7, 2012, the EPA released its 

“Guidance on Removing Stage II Gasoline Vapor Control Programs 

from State Implementation Plans and Assessing Comparable 

Measures”8 (“Stage II Guidance”) to aid in the development of SIP 

 

7 The nonattainment area for the 2008 8-hour ozone standard was expanded 

slightly to the south and west in Maricopa County as compared to the boundary 

established for the 1997 8-hour ozone standard. See 40 CFR 81.303 for the 

exact boundaries of the Phoenix-Mesa 2008 8-hour ozone nonattainment area. 

For both 8-hour ozone standards, the nonattainment area is referred to as the 

“Phoenix-Mesa” area. The applicable attainment date for areas initially 

classified as “Marginal” nonattainment areas for the 2008 8-hour ozone 

standard is July 20, 2015. 

8 “Guidance on Removing Stage II Gasoline Vapor Control Programs from State 

Implementation Plans and Assessing Comparable Measures,” EPA Office of Air 

Quality Planning and Standards, August 7, 2012. 
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2015. We have taken steps to ensure the accuracy of this version, but it is not the official version.

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revisions to remove Stage II controls from GDFs. The Stage II 

Guidance also provides a series of equations to determine the 

emissions impacts of removing Stage II controls. 

In summary, the State of Arizona established Stage II vapor 

recovery requirements in the Phoenix metropolitan area to 

address CAA requirements for “Serious” nonattainment areas for 

the 1-hour ozone standard and later extended the requirements to 

a larger geographic area known as Area A that roughly 

approximates the boundaries of the Phoenix-Mesa 1997 8-hour 

ozone area. The Phoenix metropolitan area has been redesignated 

to attainment for the 1-hour ozone standard, and the PhoenixMesa area has been redesignated to attainment for the 1997 8-

hour ozone standard, but the Phoenix-Mesa area remains 

designated “Marginal” nonattainment for the 2008 8-hour ozone 

standard. Under 40 CFR 51.126, Stage II vapor recovery is no 

longer a SIP requirement in ozone nonattainment areas, and 

existing SIP provisions establishing Stage II vapor recovery 

requirements may be rescinded under certain circumstances. In 

today’s action, and for the reasons set forth in the following 

section of this document, the EPA is approving the State of 

Arizona’s revisions to its SIP that eliminate Stage II 

requirements for new GDFs and that provide for the phased 

removal of Stage II vapor recovery equipment at existing GDFs 
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2015. We have taken steps to ensure the accuracy of this version, but it is not the official version.

12 

within the geographic area referred to as “Area A,” which 

roughly approximates the boundaries of the Phoenix-Mesa area for 

the 1997 8-hour ozone standard. 

II. State Submittal 

On September 2, 2014, ADEQ submitted a SIP revision to 

phase-out Stage II vapor recovery requirements in Area A by 

eliminating the requirement to install Stage II equipment at new 

GDFs and by providing for a phased decommissioning process to 

remove Stage II equipment at existing GDFs beginning in October 

2016 and ending in September 2018. The SIP submittal includes 

the SIP revision itself, “MAG State Implementation Plan Revision 

for the Removal of Stage II Vapor Recovery Controls in the 

Maricopa Eight-Hour Ozone Nonattainment Area” (“Stage II Vapor 

Recovery SIP Revision” or “SIP Revision”), as well as supporting 

materials related to legal authority and completeness. The Stage 

II Vapor Recovery SIP Revision includes nonregulatory materials, 

such as a narrative and supporting technical analysis, and 

includes a law (House Bill 2128) passed by the Arizona 

Legislature and signed by the Governor providing for the phaseout of the Stage II vapor recovery requirements. 

Effective for State law purposes upon the Governor’s 

signature (i.e., on April 22, 2014), HB 2128 (in relevant part) 

amends Arizona Revised Statutes (ARS) sections 41-2131 
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2015. We have taken steps to ensure the accuracy of this version, but it is not the official version.

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(“Definitions”), 41-2132 (“Stage I vapor recovery systems”), 41-

2133 (“Compliance schedules”), and adds new section 41-2135 

(“Stage II vapor recovery systems”). The new section ARS 41-2135 

retains the existing Stage II control requirements for existing 

GDFs and establishes a phased decommissioning process to remove 

Stage II controls beginning October 1, 2016 and ending September 

30, 2018. 

The two-year period for decommissioning is based on the 

expectation of the Arizona Department of Weights and Measures 

(ADWM) of the time necessary to safely decommission Stage II 

controls at the over 1,000 existing GDFs in Area A.

Decommissioning is expected to be spread evenly over each of the 

24 months from October 2016 through September 2018 and to occur 

for existing GDFs during the month when the annual scheduled 

Stage II controls test would have occurred. HB 2128 repeals the 

new section 41-2135 on September 30, 2018 coinciding with the 

completion of the Stage II decommissioning process. To address 

the potential for adverse impacts relative to attainment and 

maintenance of the NAAQS, the SIP submittal includes a year-byyear analysis of the changes in VOC emissions taking into 

account both the elimination of Stage II controls at new GDFs 

and the phase-out of Stage II controls at existing GDFs from 

October 2016 through September 2018. 
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III. Analysis of the State Submittal 

A. SIP Revision Procedural Requirements 

CAA sections 110(a)(1), 110(a)(2), and 110(l) require a 

state to provide reasonable public notice and opportunity for 

public hearing prior to the adoption and submittal of a SIP or 

SIP revision. To meet this requirement, every SIP submittal 

should include evidence that adequate public notice was given 

and a public hearing (if requested) was held consistent with 

EPA’s implementing regulations in 40 CFR 51.102. 

Appendix B of the Stage II Vapor Recovery SIP Revision 

documents the public process followed by MAG and ADEQ in 

developing, adopting, and submitting this SIP revision. 

Specifically, on May 2 and 3, 2014, ADEQ and MAG published a 

notice, in a newspaper of general circulation in the Phoenix 

area, of a joint public hearing to be held on June 3, 2014 and 

the availability of the draft version of the Stage II vapor 

recovery SIP revision for public review and comment. ADEQ and 

MAG conducted the public hearing on June 3, 2014. ADEQ and MAG 

received no comments on the draft SIP revision. On August 27, 

2014, MAG’s Regional Council adopted the Stage II Vapor Recovery 

SIP Revision. ADEQ subsequently adopted and submitted the SIP 

revision to EPA by letter dated September 2, 2104. As such, ADEQ 

and MAG have satisfied applicable statutory and regulatory 
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2015. We have taken steps to ensure the accuracy of this version, but it is not the official version.

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procedural requirements for adoption and submittal of this SIP 

revision. 

B. SIP Revision Substantive Requirements 

As discussed above, pursuant to the EPA’s determination of 

“widespread use” (of ORVR systems in the motor vehicle fleet), 

Stage II vapor recovery controls are no longer a SIP 

requirement, and thus, states are allowed to rescind such 

control requirements in their SIPs if doing so is consistent 

with the general SIP revision requirements of CAA section 110(l) 

and section 193. In relevant part, CAA section 110(l) prohibits 

the EPA from approving a SIP revision if that revision would 

interfere with any applicable requirement concerning reasonable 

further progress towards, or attainment of, any of the NAAQS, or 

any other applicable requirement of the CAA. 

Section 193 provides, in relevant part, that no control 

requirement in effect, or required to be adopted, before 

November 15, 1990 (i.e., the effective date of the CAA 

Amendments of 1990) in any area which is a nonattainment area 

for any air pollutant may be modified after November 15, 1990 in 

any manner unless the modification insures equivalent or greater 

emission reductions of such air pollutant. Arizona’s Stage II 

vapor recovery controls were developed in response to the CAA 

Amendments of 1990 and thus were adopted and approved in the 
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2015. We have taken steps to ensure the accuracy of this version, but it is not the official version.

16 

years following the 1990 CAA Amendments. Thus, the requirements 

of section 193 do not apply to this particular SIP revision. 

As described in the Background section of this document, 

Stage II and ORVR are two types of emission control systems that 

capture fuel vapors from vehicle gas tanks during refueling. 

Stage II controls are installed in the dispensing pumps while 

ORVR is installed as part of the motor vehicle. Stage II and 

ORVR were initially both required by the 1990 CAA Amendments, 

but Congress recognized that Stage II and ORVR would eventually 

become largely redundant technologies as the percentage of the 

nation’s motor vehicle fleet equipped with ORVR increases, and 

provided authority to the EPA to allow states to remove Stage II 

from their SIPs after the EPA finds that ORVR is in widespread 

use. The EPA’s Stage II Guidance projects that, by 2015, over 

84% of all the gasoline dispensed in the nation will be 

dispensed to ORVR-equipped motor vehicles.9 As such, Stage II and 

ORVR have become largely redundant technologies, and Stage II 

control systems are achieving an ever-declining emissions 

benefit as more ORVR-equipped vehicle continue to enter the onroad motor vehicle fleet. In addition, the EPA’s Stage II 

Guidance recognizes that, in areas where certain types of 

 

9 See Table A-1 of the Stage II Guidance. 
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vacuum-assist Stage II control systems are used, the limited 

compatibility between ORVR and some configurations of this Stage 

II hardware may ultimately result in an area-wide emissions 

disbenefit. The disbenefit can result when the Stage II controls 

pull air into the underground tank instead of gasoline vapors 

when both vacuum-assist Stage II controls and ORVR are active 

during refueling. This increases the pressure in the underground 

tank and can cause venting of excess emissions into the air. 

The Phoenix-Mesa ozone nonattainment area is an area where 

the vast majority of Stage II systems that have been installed 

use vacuum assist technologies.10 As documented in chapter 2 of 

the Stage II Vapor Recovery SIP Revision and in MAG’s technical 

support document (appendix A, exhibit 1 of the SIP Revision), 

MAG used the equations recommended by the EPA in its Stage II 

Guidance to calculate the areawide emission reduction 

benefits/disbenefits associated with Stage II controls on 

vehicle refueling emissions in the Phoenix-Mesa ozone 

nonattainment area. More specifically, MAG developed year-byyear estimates of areawide VOC emissions from motor vehicle 

refueling with use of Stage II controls in the Phoenix-Mesa area 

 

10 Table A-6 of the EPA’s Stage II Guidance cites the percentages of 

State/Area GDF using vacuum assist Stage II technology. The listed percentage 

for the Phoenix-Mesa area is 85%. 
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taking into account the fraction of gasoline throughput covered 

by Stage II controls, the fraction of gasoline dispensed to 

ORVR-equipped vehicles, the Stage II control in-use control 

efficiency, the fraction of gasoline dispensed through vacuumassisted Stage II control, and the compatibility factor for the 

increase in underground storage tank vent emissions relative to 

normal conditions. 

Based on MAG’s estimates, assuming Stage II requirements 

remain in place, the VOC emissions reductions benefits from 

Stage II controls would continue a steady decline until 2018 

when the implementation of Stage II controls will first result 

in an emissions disbenefit. Without rescission of Stage II 

control requirements, the disbenefit would then increase over 

time in concert with the increase in the frequency of refueling 

by ORVR-equipped vehicles at vacuum-assist Stage II GDFs. 

The Stage II Vapor Recovery SIP Revision is intended to 

minimize the temporary increases in VOC emissions during the 

decommissioning process and to avoid the long-term disbenefit by 

eliminating the requirement for installing Stage II equipment at 

new GDFs and phasing-out the Stage II requirement for (and 

providing for the removal of Stage II equipment at) existing 

GDFs from October 2016 through September 2018. To estimate the 

emissions impacts due to the SIP Revision, MAG developed year-
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by-year VOC estimates for the foregone emissions reductions due 

to construction of new GDFs from 2014 through 2017 without Stage 

II controls and due to the decommissioning of Stage II controls 

at existing GDFs during the 2017 ozone season. Table 1 below 

compares the VOC emissions impacts with and without the Stage II 

Vapor Recovery SIP Revision in the Phoenix-Mesa area based on 

MAG’s estimates. 

______________________________________________________________ 

Table 1 – Comparison of VOC Emissions Impacts in the PhoenixMesa Area With and Without the Stage II Vapor Recovery SIP 

Revision 

______________________________________________________________ 

Year 

Column 1: 

Emission Reduction 

Benefits from 

Stage II Controls 

(Summer, mtpd)a

Column 2: 

Emission Reduction 

Benefits from 

Stage II Controls 

With SIP Revision 

(Summer, mtpd)b

Column 3: 

Emission Impact 

of SIP Revision 

(Summer, mtpd)c

2014 0.725 0.710 0.015 

2015 0.462 0.443 0.019 

2016 0.238 0.223 0.015 

2017 0.060 0.029 0.031 

2018 -0.108 -0.023 -0.085 

2019 -0.244 0 -0.244 

2020 -0.359 0 -0.359 

a Column 1 is from table 2-3 of the Stage II Vapor Recovery SIP Revision. 

b Column 2 is derived by combining column 1 with the estimates of total 

temporary increases in VOC emissions from the SIP Revision shown in table 

2-7 of the Stage II Vapor Recovery SIP Revision, except for year 2018 

during which a disbenefit of 0.023 mtpd is expected due to existing 

facilities that have not removed Stage II controls by the beginning of 

the 2018 ozone season. 

c Column 3 is derived by subtracting column 2 from column 1. 

NOTE: Negative values in the columns listing emission reduction benefits 

indicate increases in emissions.
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As shown in table 1, without the Stage II Vapor Recovery 

SIP Revision, the emissions benefits from implementation of 

Stage II controls in the Phoenix-Mesa area would decline until 

2018 when implementation of Stage II would result in an 

emissions increase due to the incompatibility between ORVRequipped vehicles and vacuum-assist Stage II technology. With 

the SIP Revision, table 1 shows that the emissions reduction 

benefits from implementation of Stage II in the Phoenix-Mesa 

area would be reduced slightly due to the construction and 

operation of new GDFs without Stage II controls and due to the 

phase-out of Stage II vapor controls at existing GDFs during the 

2017 ozone season.11 The temporary emissions increases due to the 

SIP Revision (relative to the scenario in which Stage II 

requirements remain fully implemented) will occur during years 

2014 through 2017 and range from 0.015 mtpd to 0.031 mtpd. 

Beginning in 2018 and increasing in magnitude thereafter, the 

SIP Revision will result in fewer VOC emissions than would 

otherwise have occurred if Stage II requirements were to remain 

fully implemented in the Phoenix-Mesa area (once again, due to 

the incompatibility of ORVR-equipped vehicles and vacuum-assist 

Stage II technologies). 

 

11 Under the SIP Revision, the phase-out for existing GDFS begins in October 

2016, and thus does not affect the 2016 ozone season. 
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2015. We have taken steps to ensure the accuracy of this version, but it is not the official version.

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For perspective, we note that the temporary increases in 

VOC emissions during years 2014 through 2017 due to the SIP 

Revision would represent an approximate 0.002 percent to 0.005 

percent increase in the overall VOC emissions inventory in the 

Phoenix-Mesa area.12 Such increases would have negligible impacts 

on ozone concentrations in the area. More importantly, the 

schedule for the phase-out of Stage II controls under the SIP 

Revision will maintain most of the emissions reductions benefits 

associated with Stage II control through 2017 while avoiding the 

more significant increases in VOC emissions that would otherwise 

occur beginning in 2019 and beyond due to the incompatibility 

effects described above between ORVR-equipped vehicles and 

vacuum-assist Stage II technologies. In 2018, the scheduled 

phase-out will reduce the emissions increase (due to ORVR and 

Stage II incompatibilities) that would otherwise be expected but 

would not entirely avoid an emissions increase because some 

existing GDFs will not yet have removed Stage II controls by the 

beginning of the 2018 ozone season. All Stage II controls will 

be decommissioned by September 30, 2018 under the Stage II Vapor 

 

12 The EPA-approved MAG Eight-Hour Ozone Maintenance Plan anticipates VOC 

emissions between 653.9 mtpd (June ozone episode, 2005) and 659.0 mtpd (June 

ozone episode, 2015) during the relevant period. See our proposed approval of 

the maintenance plan and redesignation request at 79 FR 16734, at 16744 

(March 26, 2014). 
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2015. We have taken steps to ensure the accuracy of this version, but it is not the official version.

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Recovery SIP Revision. Lastly, the phase-out of Stage II 

controls by the end of the 2018 ozone season will support 

longer-term regional efforts to attain or maintain the 1997 and 

2008 8-hour ozone standards in the Phoenix-Mesa area. 

We find MAG’s methods and assumptions, as documented in 

chapter 2 of the Stage II Vapor Recovery SIP Revision and in 

MAG’s technical support document, to be reasonable, and we find 

that MAG’s emissions estimates provide a reasonable basis upon 

which to evaluate the ozone impacts of the SIP Revision. 

Moreover, based on MAG’s emissions estimates and for the reasons 

provided above, we conclude that the SIP Revision would not 

interfere with reasonable further progress toward, or attainment 

of, any of the NAAQS and would not interfere with any other 

applicable requirement of the CAA. Thus, we conclude that the 

SIP Revision is approvable under CAA section 110(l). 

IV. The EPA's Action and Request for Public Comment

The EPA is taking direct final action to approve the Stage 

II Vapor Recovery SIP Revision submitted by ADEQ on September 2, 

2014 to provide for the phased removal of “Stage II” vapor 

recovery equipment at gasoline dispensing facilities in the 

Phoenix-Mesa area. Specifically, the EPA is approving a SIP 

revision that eliminates the requirement to install and operate 

such equipment at new gasoline dispensing facilities, and that 
This document is a prepublication version signed by EPA Regional Administrator Jared Blumenfeld on March 30, 

2015. We have taken steps to ensure the accuracy of this version, but it is not the official version.

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provides for the phased removal of such equipment at existing 

gasoline dispensing facilities from October 2016 through 

September 2018. 

The EPA is approving this SIP revision because Stage II 

vapor recovery controls are no longer a SIP requirement under 

CAA section 182(b)(3) due to EPA’s “widespread use 

determination” for ORVR. Additionally, we are approving this SIP 

revision because the temporary incremental increase in VOC 

emissions from 2014 through 2018 would not interfere with 

reasonable further progress toward, or attainment of, any of the 

NAAQS, and because this SIP revision avoids the longer-term VOC 

emissions increases associated with continued implementation of 

Stage II controls in the Phoenix-Mesa area. As part of this 

final action, the EPA is approving the specific statutory 

provisions that provide for the phase-out of Stage II controls 

in Area A, i.e., sections 5 through 8, and 10 through 12 of 

House Bill 2128, amending ARS sections 41-2131, 41-2132, 41-2133 

and adding section 41-2135.13 

 

13 Approval of these statutory provisions as revisions to the Arizona SIP 

supersedes the following existing SIP provisions in the Arizona SIP: ARS 

section 41-2131, as approved at 77 FR 35279 (June 13, 2012); ARS section 41-

2132, as approved at 77 FR 35279 (June 13, 2012); and ARS section 41-2133, as 

approved at 77 FR 35279 (June 13, 2012). 
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2015. We have taken steps to ensure the accuracy of this version, but it is not the official version.

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We are publishing this action without prior proposal 

because we view this as a noncontroversial SIP revision and 

anticipate no adverse comments. In the Proposed Rules section of 

this Federal Register publication, however, we are publishing a 

separate document that will serve as the proposal to approve the 

state SIP revision if relevant adverse comments are filed. This 

rule will be effective [INSERT DATE 60 DAYS AFTER DATE OF 

PUBLICATION IN THE FEDERAL REGISTER] without further notice 

unless we receive relevant adverse comments by [INSERT DATE 30 

DAYS AFTER DATE OF PUBLICATION IN THE FEDERAL REGISTER]. 

If we receive such comments, we will withdraw this action 

before the effective date by publishing a separate document 

withdrawing the direct final action. All public comments 

received will then be addressed in a subsequent final rule based 

on the proposed action. The EPA will not institute a second 

comment period. Any parties interested in commenting on this 

action should do so at this time. Please note that if the EPA 

receives adverse comment on an amendment, paragraph, or section 

of this rule and if that provision may be severed from the 

remainder of this rule, the EPA may adopt as final those 

provisions of the rule that are not the subject of an adverse 

comment. If we do not receive any comments, this action will be 
This document is a prepublication version signed by EPA Regional Administrator Jared Blumenfeld on March 30, 

2015. We have taken steps to ensure the accuracy of this version, but it is not the official version.

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effective on [INSERT DATE 60 DAYS AFTER DATE OF PUBLICATION IN 

THE FEDERAL REGISTER]. 

V. Incorporation by reference 

In this rule, the EPA is finalizing regulatory text that 

includes incorporation by reference. In accordance with 

requirements of 1 CFR 51.5, the EPA is finalizing the 

incorporation by reference of certain sections of House Bill 

2128 amending various sections of the Arizona Revised Statutes 

related to stage II vapor recovery systems in Area A, effective 

April 22, 2014, as described in the amendments to 40 CFR part 52 

set forth below. The EPA has made, and will continue to make, 

these documents generally available electronically through 

www.regulations.gov and/or in hard copy at the appropriate EPA 

office (see the ADDRESSES section of this preamble for more 

information). 

VI. Statutory and Executive Order Reviews 

Under the Clean Air Act, the Administrator is required to 

approve a SIP submission that complies with the provisions of 

the Act 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 Clean Air Act. Accordingly, this action merely 

approves state law as meeting Federal requirements and does not 
This document is a prepublication version signed by EPA Regional Administrator Jared Blumenfeld on March 30, 

2015. We have taken steps to ensure the accuracy of this version, but it is not the official version.

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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 

Order 12866 (58 FR 51735, October 4, 1993); 

• 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 (Public Law 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 
This document is a prepublication version signed by EPA Regional Administrator Jared Blumenfeld on March 30, 

2015. We have taken steps to ensure the accuracy of this version, but it is not the official version.

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(15 U.S.C. 272 note) because application of those 

requirements would be inconsistent with the Clean Air Act; 

and 

• does not provide the 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 the EPA or an Indian 

tribe has demonstrated that a tribe has jurisdiction. In those 

areas of Indian country, this rule does not have tribal 

implications as specified by Executive Order 13175 (65 FR 67249, 

November 9, 2000), nor will it impose substantial direct costs 

on tribal governments or preempt tribal law. 

The Congressional Review Act, 5 U.S.C. 801 et seq., as 

added by the Small Business Regulatory Enforcement Fairness Act 

of 1996, generally provides that before a rule may take effect, 

the agency promulgating the rule must submit a rule report, 

which includes a copy of the rule, to each House of the Congress 

and to the Comptroller General of the United States. The EPA 

will submit a report containing this action and other required 

information to the U.S. Senate, the U.S. House of 
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2015. We have taken steps to ensure the accuracy of this version, but it is not the official version.

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Representatives, and the Comptroller General of the United 

States prior to publication of the rule in the Federal Register. 

A major rule cannot take effect until 60 days after it is 

published in the Federal Register. This action is not a “major 

rule” as defined by 5 U.S.C. 804(2). 

Under section 307(b)(1) of the Clean Air Act, petitions for 

judicial review of this action must be filed in the United 

States Court of Appeals for the appropriate circuit by [INSERT 

DATE 60 DAYS AFTER DATE OF PUBLICATION IN THE FEDERAL REGISTER]. 

Filing a petition for reconsideration by the Administrator of 

this final rule does not affect the finality of this action for 

the purposes of judicial review nor does it extend the time 

within which a petition for judicial review may be filed, and 

shall not postpone the effectiveness of such rule or action. 

Parties with objections to this direct final rule are encouraged 

to file a comment in response to the parallel notice of proposed 

rulemaking for this action published in the Proposed Rules 

section of today’s Federal Register, rather than file an 

immediate petition for judicial review of this direct final 

rule, so that the EPA can withdraw this direct final rule and 

address the comment in the proposed rulemaking. This action may 

not be challenged later in proceedings to enforce its 

requirements (see section 307(b)(2)). 
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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: March 30, 2015. _____//signed//____________ 

Jared Blumenfeld, 

Regional Administrator, 

Region IX.

 
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Chapter I, title 40 of the Code of Federal Regulations is 

amended as follows: 

PART 52 — APPROVAL AND PROMULGATION OF IMPLEMENTATION PLANS 

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

follows: 

Authority: 42 U.S.C. 7401 et seq.

Subpart D — Arizona 

2. Section 52.120 is amended by adding paragraph (c)(171) to 

read as follows: 

§ 52.120 Identification of plan. 

* * * * * 

(c) * * * 

(171) The following plan was submitted on September 2, 2014 by 

the Governor’s designee. 

(i) Incorporation by reference. 

(A) Arizona Department of Environmental Quality. 

(1) House Bill 2128, effective April 22, 2014, excluding 

sections 1 through 4, and 9. 

(ii) Additional materials. 

(A) Arizona Department of Environmental Quality. 

(1) MAG 2014 State Implementation Plan Revision for the Removal 

of Stage II Vapor Recovery Controls in the Maricopa Eight-Hour 

Ozone Nonattainment Area (August 2014), adopted by the Regional 
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2015. We have taken steps to ensure the accuracy of this version, but it is not the official version.

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Council of the Maricopa Association of Governments on August 27, 

2014, excluding appendix A, exhibit 2 (“Arizona Revised Statutes 

Listed in Table 1-1”). 

* * * * *