```

[Federal Register Volume 80, Number 98 (Thursday, May 21, 2015)]
[Proposed Rules]
[Pages 29237-29250]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-12347]

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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Parts 52 and 81

[EPA-R04-OAR-2014-0870; FRL-9928-14-Region 4]

Approval and Promulgation of Implementation Plans and Designation 
of Areas for Air Quality Planning Purposes; Tennessee; Redesignation of 
the Knoxville 2008 8-Hour Ozone Nonattainment Area to Attainment

AGENCY: Environmental Protection Agency.

ACTION: Proposed rule.

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SUMMARY: On November 14, 2014, the State of Tennessee, through the 
Tennessee Department of Environment and Conservation (TDEC), Air 
Pollution Control Division, submitted a request for the Environmental 
Protection Agency (EPA) to redesignate the Knoxville, Tennessee 8-hour 
ozone nonattainment area (hereafter referred to as the ``Knoxville 
Area'' or ``Area'') to attainment for the 2008 8-hour ozone National 
Ambient Air Quality Standards (NAAQS) and to approve a State 
Implementation Plan (SIP) revision containing a maintenance plan and a 
base year emissions inventory for the Area. The Knoxville Area includes 
a portion of Anderson County as well as Blount and Knox Counties in 
their entireties. EPA is proposing to approve the base year emissions 
inventory for the 2008 8-hour ozone NAAQS for the Knoxville Area; to 
determine that the Knoxville Area is attaining the 2008 8-hour ozone 
NAAQS; to approve the State's plan for maintaining attainment of the 
2008 8-hour ozone standard in the Area, including the motor vehicle 
emission budgets (MVEBs) for nitrogen oxides (NOX) and 
volatile organic compounds (VOC) for the years 2011 and 2026 for the 
Area, into the SIP; and to redesignate the Area to attainment for the 
2008 8-hour ozone NAAQS. EPA is also notifying the public of the status 
of EPA's adequacy determination for the Knoxville Area MVEBs.

DATES: Comments must be received on or before June 22, 2015.

ADDRESSES: Submit your comments, identified by Docket ID No. EPA-R04-
OAR-2014-0870, by one of the following methods:
    1. www.regulations.gov: Follow the on-line instructions for 
submitting comments.
    2. Email: R4-ARMS@epa.gov.
    3. Fax: (404) 562-9019.
    4. Mail: ``EPA-R04-OAR-2014-0870,'' Air Regulatory Management 
Section (formerly the Regulatory Development Section), Air Planning and 
Implementation Branch (formerly the Air Planning Branch), Air, 
Pesticides and Toxics Management Division, U.S. Environmental 
Protection Agency, Region 4, 61 Forsyth Street SW., Atlanta, Georgia 
30303-8960.
    5. Hand Delivery or Courier: Ms. Lynorae Benjamin, Chief, Air 
Regulatory Management Section, Air Planning and Implementation Branch, 
Air, Pesticides and Toxics Management Division, U.S. Environmental 
Protection Agency, Region 4, 61 Forsyth Street SW., Atlanta, Georgia 
30303-8960. Such deliveries are only accepted during the Regional 
Office's normal hours of operation. The Regional Office's official 
hours of business are Monday through Friday, 8:30 a.m. to 4:30 p.m., 
excluding Federal holidays.
    Instructions: Direct your comments to Docket ID No. EPA-R04-OAR-
2014-0870. 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 through www.regulations.gov or 
email, information that you consider to be CBI or otherwise protected. 
The www.regulations.gov Web site is an ``anonymous access'' system, 
which

[[Page 29238]]

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.
    Docket: All documents in the electronic docket are listed in the 
www.regulations.gov index. Although listed in the index, some 
information is not publicly available, i.e., CBI or other information 
whose disclosure is restricted by statute. Certain other material, such 
as copyrighted material, is not placed on the Internet and will be 
publicly available only in hard copy form. Publicly available docket 
materials are available either electronically in www.regulations.gov or 
in hard copy at the Air Regulatory Management Section, Air Planning and 
Implementation Branch, Air, Pesticides and Toxics Management Division, 
U.S. Environmental Protection Agency, Region 4, 61 Forsyth Street SW., 
Atlanta, Georgia 30303-8960. EPA requests that if at all possible, you 
contact the person listed in the FOR FURTHER INFORMATION CONTACT 
section to schedule your inspection. The Regional Office's official 
hours of business are Monday through Friday, 8:30 to 4:30, excluding 
Federal holidays.

FOR FURTHER INFORMATION CONTACT: Jane Spann or Tiereny Bell of the Air 
Regulatory Management Section, in the Air Planning and Implementation 
Branch, Air, Pesticides and Toxics Management Division, U.S. 
Environmental Protection Agency, Region 4, 61 Forsyth Street SW., 
Atlanta, Georgia 30303-8960. Ms. Spann may be reached by phone at (404) 
562-9029 or via electronic mail at spann.jane@epa.gov. Ms. Bell may be 
reached by phone at (404) 562-9088 or via electronic mail at 
bell.tiereny@epa.gov.

SUPPLEMENTARY INFORMATION:

Table of Contents

I. What are the actions EPA is proposing to take?
II. What is the background for EPA's proposed actions?
III. What are the criteria for redesignation?
IV. Why is EPA proposing these actions?
V. What is EPA's analysis of the redesignation request and November 
14, 2014, SIP submission?
VI. What is EPA's analysis of Tennessee's proposed NOX 
and VOC MVEBs for the Knoxville area?
VII. What is the status of EPA's adequacy determination for the 
proposed NOX and VOC MVEBs for the Knoxville area?
VIII. What is the effect of EPA's proposed actions?
IX. Proposed Actions
X. Statutory and Executive Order Reviews

I. What are the actions EPA is proposing to take?

    EPA is proposing to take four separate but related actions, one of 
which involves multiple elements: (1) To approve the base year 
inventory for the 2008 8-hour ozone NAAQS for the Knoxville Area into 
the Tennessee SIP; (2) to determine that the Knoxville Area is 
attaining the 2008 8-hour ozone NAAQS; (3) to approve Tennessee's plan 
for maintaining the 2008 8-hour ozone NAAQS (maintenance plan), 
including the associated MVEBs, into the SIP; and (4) to redesignate 
the Knoxville Area to attainment for the 2008 8-hour ozone NAAQS. EPA 
is also notifying the public of the status of EPA's adequacy 
determination for the Knoxville Area MVEBs. These actions are 
summarized below and described in greater detail throughout this notice 
of proposed rulemaking.
    Based on the 2008 8-hour ozone nonattainment designation for the 
Knoxville Area, Tennessee was required to develop a nonattainment SIP 
revision addressing certain CAA requirements. Specifically, pursuant to 
CAA section 182(a)(3)(B) and section 182(a)(1), the Knoxville Area was 
required to submit a SIP revision addressing emissions statements and 
emissions inventory requirements, respectively. EPA approved the 
emissions statements requirements for the Area into the SIP in a 
separate action. See 80 FR 11974 (March 5, 2015). Today, EPA is 
proposing to determine that the base year emissions inventory, as 
submitted in the State's November 14, 2014, SIP revision, meets the 
requirements of sections 110 and 182(a)(1) of the CAA and proposing to 
approve this emissions inventory into the SIP.
    EPA is also making the preliminarily determination that the 
Knoxville Area is attaining the 2008 8-hour ozone NAAQS based on recent 
air quality data and proposing to approve Tennessee's 2008 ozone NAAQS 
maintenance plan for the Knoxville Area as meeting the requirements of 
section 175A of the CAA (such approval being one of the CAA criteria 
for redesignation to attainment status). The maintenance plan is 
designed to keep the Knoxville Area in attainment of the 2008 8-hour 
ozone NAAQS through 2026. Additionally, EPA is proposing to approve the 
2011 and 2026 NOX and VOC MVEBs that are included as part of 
Tennessee's 2008 ozone NAAQS maintenance plan for the Knoxville Area.
    EPA is also notifying the public of the status of EPA's adequacy 
process for the NOX and VOC MVEBs for the years 2011 and 
2026 for the Knoxville Area. The public comment period for Adequacy 
began on December 4, 2014, with EPA's posting of the availability of 
this submittal on EPA's Adequacy Web site (http://www.tn.gov/environment/ppo/docs/air/knoxville-redesignation-request-2014.pdf). The 
Adequacy comment period for these MVEBs closed on January 5, 2015. No 
comments, adverse or otherwise, were received during EPA's adequacy 
process for the MVEBs associated with Tennessee's 2008 8-hour ozone 
maintenance plan. Please see section VII of this proposed rulemaking 
for further explanation of this process and for more details on the 
MVEBs.
    In summary, today's notice of proposed rulemaking is in response to 
Tennessee's November 14, 2014, redesignation request and associated SIP 
submittal that address the specific issues summarized above and the 
necessary elements described in section 107(d)(3)(E) of the CAA for 
redesignation of the Knoxville Area to attainment for the 2008 8-hour 
ozone NAAQS. More detail regarding the rationale for EPA's proposed 
actions is discussed below.

II. What is the background for EPA's proposed actions?

    On March 12, 2008, EPA promulgated a revised 8-hour ozone NAAQS of 
0.075 parts per million (ppm). See 73 FR 16436 (March 27, 2008). Under 
EPA's regulations at 40 CFR part 50, the 2008 8-hour ozone NAAQS is 
attained when the 3-year average of the annual fourth highest daily 
maximum 8-hour average ambient air quality ozone concentrations is less 
than or equal to 0.075 ppm. See 40 CFR 50.15. Ambient air quality 
monitoring data for the 3-year period must meet a data completeness 
requirement. The ambient air quality monitoring data

[[Page 29239]]

completeness requirement is met when the average percent of days with 
valid ambient monitoring data is greater than 90 percent, and no single 
year has less than 75 percent data completeness as determined in 
Appendix I of part 50.
    Upon promulgation of a new or revised NAAQS, the CAA requires EPA 
to designate as nonattainment any area that is violating the NAAQS, 
based on the three most recent years of ambient air quality data at the 
conclusion of the designation process. The Knoxville Area was 
designated nonattainment for the 2008 8-hour ozone NAAQS on May 21, 
2012 (effective July 20, 2012) using 2009-2011 ambient air quality 
data. See 77 FR 30088 (May 21, 2012). At the time of designation, the 
Knoxville Area was classified as a marginal nonattainment area for the 
2008 8-hour ozone NAAQS. In the final implementation rule for the 2008 
8-hour ozone NAAQS (SIP Implementation Rule),\1\ EPA established ozone 
nonattainment area attainment dates based on Table 1 of section 181(a) 
of the CAA. This established an attainment date three years after the 
July 20, 2012, effective date for areas classified as marginal areas 
for the 2008 8-hour ozone nonattainment designations. Therefore, the 
Knoxville Area's attainment date is July 20, 2015.
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    \1\ This rule, entitled Implementation of the 2008 National 
Ambient Air Quality Standards for Ozone: State Implementation Plan 
Requirements and published at 80 FR 12264 (March 6, 2015), addresses 
a range of nonattainment area SIP requirements for the 2008 ozone 
NAAQS, including requirements pertaining to attainment 
demonstrations, reasonable further progress (RFP), reasonably 
available control technology (RACT), reasonably available control 
measures (RACM), major new source review (NSR), emission 
inventories, and the timing of SIP submissions and of compliance 
with emission control measures in the SIP. This rule also addresses 
the revocation of the 1997 ozone NAAQS and the anti-backsliding 
requirements that apply when the 1997 ozone NAAQS are revoked.
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III. What are the criteria for redesignation?

    The CAA provides the requirements for redesignating a nonattainment 
area to attainment. Specifically, section 107(d)(3)(E) of the CAA 
allows for redesignation providing that: (1) The Administrator 
determines that the area has attained the applicable NAAQS; (2) the 
Administrator has fully approved the applicable implementation plan for 
the area under section 110(k); (3) the Administrator determines that 
the improvement in air quality is due to permanent and enforceable 
reductions in emissions resulting from implementation of the applicable 
SIP and applicable federal air pollutant control regulations and other 
permanent and enforceable reductions; (4) the Administrator has fully 
approved a maintenance plan for the area as meeting the requirements of 
section 175A; and (5) the state containing such area has met all 
requirements applicable to the area for purposes of redesignation under 
section 110 and part D of the CAA.
    On April 16, 1992, EPA provided guidance on redesignation in the 
General Preamble for the Implementation of title I of the CAA 
Amendments of 1990 (57 FR 13498), and supplemented this guidance on 
April 28, 1992 (57 FR 18070). EPA has provided further guidance on 
processing redesignation requests in the following documents:

1. ``Ozone and Carbon Monoxide Design Value Calculations,'' 
Memorandum from Bill Laxton, Director, Technical Support Division, 
June 18, 1990;
2. ``Maintenance Plans for Redesignation of Ozone and Carbon 
Monoxide Nonattainment Areas,'' Memorandum from G.T. Helms, Chief, 
Ozone/Carbon Monoxide Programs Branch, April 30, 1992;
3. ``Contingency Measures for Ozone and Carbon Monoxide (CO) 
Redesignations,'' Memorandum from G.T. Helms, Chief, Ozone/Carbon 
Monoxide Programs Branch, June 1, 1992;
4. ``Procedures for Processing Requests to Redesignate Areas to 
Attainment,'' Memorandum from John Calcagni, Director, Air Quality 
Management Division, September 4, 1992 (hereafter referred to as the 
``Calcagni Memorandum'');
5. ``State Implementation Plan (SIP) Actions Submitted in Response 
to Clean Air Act (CAA) Deadlines,'' Memorandum from John Calcagni, 
Director, Air Quality Management Division, October 28, 1992;
6. ``Technical Support Documents (TSDs) for Redesignation of Ozone 
and Carbon Monoxide (CO) Nonattainment Areas,'' Memorandum from G.T. 
Helms, Chief, Ozone/Carbon Monoxide Programs Branch, August 17, 
1993;
7. ``State Implementation Plan (SIP) Requirements for Areas 
Submitting Requests for Redesignation to Attainment of the Ozone and 
Carbon Monoxide (CO) National Ambient Air Quality Standards (NAAQS) 
On or After November 15, 1992,'' Memorandum from Michael H. Shapiro, 
Acting Assistant Administrator for Air and Radiation, September 17, 
1993;
8. ``Use of Actual Emissions in Maintenance Demonstrations for Ozone 
and CO Nonattainment Areas,'' Memorandum from D. Kent Berry, Acting 
Director, Air Quality Management Division, November 30, 1993;
9. ``Part D New Source Review (Part D NSR) Requirements for Areas 
Requesting Redesignation to Attainment,'' Memorandum from Mary D. 
Nichols, Assistant Administrator for Air and Radiation, October 14, 
1994; and
10. ``Reasonable Further Progress, Attainment Demonstration, and 
Related Requirements for Ozone Nonattainment Areas Meeting the Ozone 
National Ambient Air Quality Standard,'' Memorandum from John S. 
Seitz, Director, Office of Air Quality Planning and Standards, May 
10, 1995.

IV. Why is EPA proposing these actions?

    On November 14, 2014, the State of Tennessee, through TDEC, 
requested that EPA redesignate the Knoxville Area to attainment for the 
2008 8-hour ozone NAAQS. EPA's evaluation indicates that the Knoxville 
Area has attained the 2008 8-hour ozone NAAQS and that the Knoxville 
Area meets the requirements for redesignation set forth in section 
107(d)(3)(E), including the maintenance plan requirements under section 
175A of the CAA and associated MVEBs. Also, based on Tennessee's 
November 14, 2014, submittal, EPA is also proposing to approve the base 
year emissions inventory, included in Tennessee's November 14, 2014, 
submittal, into the SIP. Approval of the base year inventory is a 
prerequisite to redesignating an ozone nonattainment area to 
attainment.

V. What is EPA's analysis of the redesignation request and November 14, 
2014, sip submission?

    As stated above, in accordance with the CAA, EPA proposes in 
today's action to: (1) Approve the 2008 8-hour ozone base year 
emissions inventory for the Knoxville Area into the Tennessee SIP; (2) 
determine that the Knoxville Area is attaining the 2008 8-hour ozone 
NAAQS; (3) approve the Knoxville Area's 2008 8-hour ozone NAAQS 
maintenance plan, including the associated sub-area MVEBs, into the 
Tennessee SIP; and (4) redesignate the Knoxville Area to attainment for 
the 2008 8-hour ozone NAAQS. Approval of the 2008 8-hour ozone base 
year inventory is a required prerequisite action before the Area can be 
redesignated to attainment. The five redesignation criteria provided 
under CAA section 107(d)(3)(E) are discussed in greater detail for the 
Area following the discussion below on the Knoxville emissions 
inventory.

A. Emission Inventory

    Section 182(a)(1) of the CAA requires states to submit a 
comprehensive, accurate, and current inventory of actual emissions from 
all sources of the relevant pollutant or pollutants in each ozone 
nonattainment area. The section 182(a)(1) base year inventory is 
defined in the SIP Requirements Rule as ``a comprehensive, accurate, 
current

[[Page 29240]]

inventory of actual emissions from sources of VOC and NOX 
emitted within the boundaries of the nonattainment area as required by 
CAA section 182(a)(1).'' See 40 CFR 51.1100(bb). The inventory year 
must be selected consistent with the baseline year for the RFP plan as 
required by 40 CFR 51.1110(b),\2\ and the inventory must include actual 
ozone season day emissions as defined in 40 CFR 51.1100(cc) \3\ and 
contain data elements consistent with the detail required by 40 CFR 
part 51, subpart A. See 40 CFR 51.1115(a), (c), (e). In addition, the 
point source emissions included in the inventory must be reported 
according to the point source emissions thresholds of the Air Emissions 
Reporting Requirements (AERR) in 40 CFR part 51, subpart A. 40 CFR 
51.1115(d).
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    \2\ 40 CFR 51.1110(b) states that ``at the time of designation 
for the 2008 ozone NAAQS the baseline emissions inventory shall be 
the emissions inventory for the most recent calendar year for which 
a complete triennial inventory is required to be submitted to EPA 
under the provisions of subpart A of this part. States may use an 
alternative baseline emissions inventory provided the state 
demonstrates why it is appropriate to use the alternative baseline 
year, and provided that the year selected is between the years 2008 
to 2012.''
    \3\ ``Ozone season day emissions'' is defined as ``an average 
day's emissions for a typical ozone season work weekday. The state 
shall select, subject to EPA approval, the particular month(s) in 
the ozone season and the day(s) in the work week to be represented, 
considering the conditions assumed in the development of RFP plans 
and/or emissions budgets for transportation conformity.'' See 40 CFR 
51.1100(cc).
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    Knoxville selected 2011 as the base year for the section 182(a)(1) 
emissions inventory which is the year corresponding with the first 
triennial inventory under 40 CFR part 51, subpart A. This base year is 
one of the three years of ambient data used to determine attainment and 
therefore represents emissions associated with attainment conditions. 
The emissions inventory is based on data developed and submitted by 
TDEC and Knox County Division of Air Quality Management to TDEC to 
EPA's 2011 National Emissions Inventory (NEI), and it contains data 
elements consistent with the detail required by 40 CFR part 51, subpart 
A.\4\
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    \4\ Data downloaded from the EPA EIS from the 2011 NEI was 
subjected to quality assurance procedures described under quality 
assurance details under 2011 NEI Version 1 Documentation located at 
http://www.epa.gov/ttn/chief/net/2011inventory.html#inventorydoc. 
The quality assurance and quality control procedures and measures 
associated with this data are outlined in the State's EPA-approved 
Emission Inventory Quality Assurance Project Plan.
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    Knoxville's emissions inventory for its portion of the Area 
provides 2011 emissions data for NOX and VOCs for the 
following general source categories: Stationary point, area, non-road 
mobile, and on-road mobile. A detailed discussion of the inventory 
development is located in Attachment A, Emission Inventory, in 
Tennessee's November 14, 2014, SIP submittal which is provided in the 
docket for this action. The table below provides a summary of the 
emissions inventory.

                         Table 1--2011 Point, Area, Non-Road Mobile, and On-Road Mobile Sources Emissions for the Knoxville Area
                                                              [Tons per typical summer day]
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                         Point                  Area             Non-road mobile       On-road mobile
                             County                             ----------------------------------------------------------------------------------------
                                                                    NOX         VOC        NOX        VOC        NOX        VOC        NOX        VOC
--------------------------------------------------------------------------------------------------------------------------------------------------------
Anderson (partial).............................................       6.15        0.2        0.93       5.56       0.23       0.31       1.05       0.70
Blount.........................................................       0.53        3.67       2.38      41.16       1.53       2.15       6.65       4.60
Knox...........................................................       3.29        1.11       3.26      40.12       6.61       5.02      33.92      14.42
                                                                ----------------------------------------------------------------------------------------
    Total Emissions............................................       9.97        4.98       6.57      86.93       8.37       7.47      41.62      19.71
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    The emissions inventory includes all anthropogenic VOC and 
NOX sources for all of Blount and Knox Counties, as well as 
the portion of Anderson County included in the Area. NOX and 
VOC emissions were calculated for a typical summer July day, taking 
into account the seasonal adjustment factor for summer operations. The 
inventory contains point source emissions data for facilities located 
within the Blount and Knox Counties as well as the portion of Anderson 
County included in the Area based on Geographic Information Systems 
(GIS) mapping. For Blount and Knox County, the emissions for the entire 
county are provided. More detail on the inventory emissions for 
individual sources categories is provided below and in the Attachment A 
to Tennessee's November 14, 2014, SIP submittal.
    Point sources are large, stationary, identifiable sources of 
emissions that release pollutants into the atmosphere. The inventory 
contains point source emissions data for facilities located within the 
Blount and Knox Counties as well as the portion of Anderson County 
included in the Area based on GIS mapping. Each facility was required 
to update the previous Emission Database Layout (EDL) file with 
information for the requested year and return the updated EDL to the 
TDEC emission inventory mailbox. For this submittal, point source 
emissions were obtained from EDL for facilities in the nonattainment 
counties. The point source emissions inventory for Blount and Knox 
County as well as the portion of Anderson County included in the Area 
is located in the docket for today's action.
    Area sources are small emission stationary sources which, due to 
their large number, collectively have significant emissions (e.g., dry 
cleaners, service stations). Emissions for these sources were estimated 
by multiplying an emission factor by such indicators of collective 
emissions activity as production, number of employees, or population. 
These emissions were estimated at the county level. Tennessee developed 
its inventory using EPA Nonpoint files located on EPA's CHIEF Emission 
Inventory Web site for the 2011 NEI and subtracted available activity 
data for area sources that may have a point source contribution to 
eliminate double counting. Tennessee developed its inventory according 
to the current EPA emissions inventory guidance for area sources.\5\
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    \5\ This guidance includes: Procedures for the Preparation of 
Emission Inventories of Carbon Monoxide and Precursors of Ozone, 
Vol. 1, EPA-450/4-91-016 (May 1991) and Emissions Inventory 
Improvement Program (EIIP) Technical Report, Vol. 3, Area Sources 
(Revised January 2001, updated April 2001).
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    On-road mobile sources include vehicles used on roads for 
transportation of passengers or freight. Tennessee developed its on-
road emissions inventory using EPA's Motor Vehicle Emissions Simulator 
(MOVES) model for each ozone nonattainment

[[Page 29241]]

county.\6\ County level on-road modeling was conducted using county-
specific vehicle population and other local data. Tennessee developed 
its inventory according to the current EPA emissions inventory guidance 
for on-road mobile sources using MOVES version 2014.\7\
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    \6\ Tennessee used MOVES to Prepare Emission Inventories in 
State Implementation Plans and Transportation Conformity: Technical 
Guidance for MOVES2010, 2010a and 2010b, EPA-420-12-028 (April 
2012). 
    \7\ This guidance includes: Emissions Inventory Guidance for 
Implementation of Ozone and Particulate Matter National Ambient Air 
Quality Standards (NAAQS) and Regional Haze Regulations, EPA-454/R-
05-001 (August 2005, updated November 2005); Policy Guidance on the 
Use of MOVES2010 for State Implementation Plan Development, 
Transportation Conformity, and Other Purposes, EPA-420-B-09-046 
(December 2009); and Technical Guidance on the Use of MOVES2010 for 
Emission Inventory Preparation in State Implementation Plans and 
Transportation Conformity, EPA-420-B-10-023 (April 2010).
---------------------------------------------------------------------------

    Non-road mobile sources include vehicles, engines, and equipment 
used for construction, agriculture, recreation, and other purposes that 
do not use roadways (e.g., lawn mowers, construction equipment, 
railroad locomotives, and aircraft). Tennessee calculated emissions for 
most of the non-road mobile sources using EPA's NONROAD2008a model \8\ 
and developed its non-road mobile source inventory according to the 
current EPA emissions inventory guidance for non-road mobile 
sources.\9\
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    \8\ For consistency with the National Emissions Inventory (NEI), 
Tennessee included emissions data for locomotive, and aircraft by 
county. ALM emissions for 2011 were primarily based on EPA's 2011 
NEI.
    \9\ This guidance includes: Procedures for Emission Inventory 
Preparation, Volume IV: Mobile Sources, EPA-450/4-81-026d (July 
1991).
---------------------------------------------------------------------------

    For the reasons discussed above, EPA has preliminarily determined 
that Tennessee's emissions inventory meets the requirements under CAA 
section 182(a)(1) and the SIP Requirements Rule for the 2008 8-hour 
ozone NAAQS. Approval of Tennessee's redesignation request and 
associated maintenance plan is contingent upon EPA's final approval of 
the base year emission inventory for the 2008 8-hour ozone NAAQS.

B. Redesignation Request and Maintenance Demonstration

    The five redesignation criteria provided under CAA section 
107(d)(3)(E) are discussed in greater detail for the Knoxville Area in 
the following paragraphs of this section.
Criteria (1)--The Knoxville Area has Attained the 2008 8-Hour Ozone 
NAAQS
    For redesignating a nonattainment area to attainment, the CAA 
requires EPA to determine that the area has attained the applicable 
NAAQS (CAA section 107(d)(3)(E)(i)). For ozone, an area may be 
considered to be attaining the 2008 8-hour ozone NAAQS if it meets the 
2008 8-hour ozone NAAQS, as determined in accordance with 40 CFR 50.15 
and Appendix I of part 50, based on three complete, consecutive 
calendar years of quality-assured air quality monitoring data. To 
attain the NAAQS, the 3-year average of the fourth-highest daily 
maximum 8-hour average ozone concentrations measured at each monitor 
within an area over each year must not exceed 0.075 ppm. Based on the 
data handling and reporting convention described in 40 CFR part 50, 
Appendix I, the NAAQS are attained if the design value is 0.075 ppm or 
below. The data must be collected and quality-assured in accordance 
with 40 CFR part 58 and recorded in the EPA Air Quality System (AQS). 
The monitors generally should have remained at the same location for 
the duration of the monitoring period required for demonstrating 
attainment.
    In this action, EPA is preliminarily determining that the Knoxville 
Area is attaining the 2008 8-hour ozone NAAQS. EPA reviewed the 
available ozone monitoring data from monitoring stations in the 
Knoxville Area for the 2008 8-hour ozone NAAQS for 2011-2013. These 
data have been quality-assured, are recorded in Aerometric Information 
Retrieval System (AIRS-AQS), and indicate that the Area is attaining 
the 2008 8-hour ozone NAAQS. The fourth-highest 8-hour ozone values at 
each monitor for 2011, 2012, and 2013, and the 3-year averages for 
2011-2013 (i.e., design values), are summarized in Table 1, below.

                                               Table 2--Design Value Concentrations for the Knoxville Area
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                         4th Highest values  (ppm)         3-Year design
                                                                                                  ---------------------------------------  values  (ppm)
                   Location                                   County                 Monitor ID                                          ---------------
                                                                                                       2011         2012         2013        2011-2013
--------------------------------------------------------------------------------------------------------------------------------------------------------
Freels Bend Study Area........................  Anderson.........................     470010101-1        0.074        0.073        0.060           0.069
Look Rock GSMNP...............................  Blount...........................     470090101-1        0.083        0.075        0.064           0.074
Cades Cove GSMNP..............................  .................................     470090102-1        0.068        0.064        0.059           0.063
9315 Rutledge Pike............................  Knox.............................     470930021-1        0.071        0.073        0.057           0.067
4625 Mildred Drive............................  .................................     470931020-1        0.072        0.078        0.061           0.070
--------------------------------------------------------------------------------------------------------------------------------------------------------

    The 3-year design value for 2011-2013 is 0.074 ppm,\10\ which meets 
the NAAQS. This data has been certified and quality-assured. In today's 
action, EPA is proposing to determine that the Area is attaining the 
2008 8-hour ozone NAAQS. EPA will not take final action to approve the 
redesignation if the 3-year design value exceeds the NAAQS after 
proposal. Preliminary 2014 data indicates that this Area will continue 
to attain the 2008 8-hour ozone NAAQS.\11\ As discussed in more detail 
below, the State of Tennessee has committed to continue monitoring in 
this Area in accordance with 40 CFR part 58.
---------------------------------------------------------------------------

    \10\ The monitor with the highest 3-year design value is 
considered the design value for the Area.
    \11\ Preliminary 2014 data for the Knoxville Area is available 
at www.epa.gov/airdata.
---------------------------------------------------------------------------

Criteria (2)--Tennessee has a Fully Approved SIP Under Section 110(k) 
for the Knoxville Area; and Criteria (5)--Tennessee has met all 
Applicable Requirements Under Section 110 and Part D of Title I of the 
CAA
    For redesignating a nonattainment area to attainment, the CAA 
requires EPA to determine that the state has met all applicable 
requirements under section 110 and part D of title I of the CAA (CAA 
section 107(d)(3)(E)(v)) and that the state has a fully approved SIP 
under section 110(k) for the area (CAA section 107(d)(3)(E)(ii)). EPA 
proposes to find that Tennessee has met all applicable SIP requirements 
for the Knoxville Area under section 110 of the CAA (general SIP 
requirements) for purposes of redesignation. Additionally, EPA proposes 
to find that the Tennessee SIP satisfies the criterion that it meets

[[Page 29242]]

applicable SIP requirements for purposes of redesignation under part D 
of title I of the CAA (requirements specific to 2008 8-hour ozone 
nonattainment areas) in accordance with section 107(d)(3)(E)(v). 
Further, EPA proposes to determine that the SIP is fully approved with 
respect to all requirements applicable for purposes of redesignation in 
accordance with section 107(d)(3)(E)(ii). In making these proposed 
determinations, EPA ascertained which requirements are applicable to 
the Area and, if applicable, that they are fully approved under section 
110(k). SIPs must be fully approved only with respect to requirements 
that were applicable prior to submittal of the complete redesignation 
request.
a. The Knoxville Area Has Met All Applicable Requirements Under Section 
110 and Part D of the CAA
    General SIP requirements. Section 110(a)(2) of title I of the CAA 
delineates the general requirements for a SIP, which include 
enforceable emissions limitations and other control measures, means, or 
techniques; provisions for the establishment and operation of 
appropriate devices necessary to collect data on ambient air quality; 
and programs to enforce the limitations. General SIP elements and 
requirements are delineated in section 110(a)(2) of title I, part A of 
the CAA. These requirements include, but are not limited to, the 
following: submittal of a SIP that has been adopted by the state after 
reasonable public notice and hearing; provisions for establishment and 
operation of appropriate procedures needed to monitor ambient air 
quality; implementation of a source permit program; provisions for the 
implementation of part C requirements (Prevention of Significant 
Deterioration (PSD)) and provisions for the implementation of part D 
requirements (NSR permit programs); provisions for air pollution 
modeling; and provisions for public and local agency participation in 
planning and emission control rule development.
    Section 110(a)(2)(D) requires that SIPs contain certain measures to 
prevent sources in a state from significantly contributing to air 
quality problems in another state. To implement this provision, EPA has 
required certain states to establish programs to address the interstate 
transport of air pollutants. The section 110(a)(2)(D) requirements for 
a state are not linked with a particular nonattainment area's 
designation and classification in that state. EPA believes that the 
requirements linked with a particular nonattainment area's designation 
and classifications are the relevant measures to evaluate in reviewing 
a redesignation request. The transport SIP submittal requirements, 
where applicable, continue to apply to a state regardless of the 
designation of any one particular area in the state. Thus, EPA does not 
believe that the CAA's interstate transport requirements should be 
construed to be applicable requirements for purposes of redesignation.
    In addition, EPA believes other section 110 elements that are 
neither connected with nonattainment plan submissions nor linked with 
an area's attainment status are applicable requirements for purposes of 
redesignation. The area will still be subject to these requirements 
after the area is redesignated. The section 110 and part D requirements 
which are linked with a particular area's designation and 
classification are the relevant measures to evaluate in reviewing a 
redesignation request. This approach is consistent with EPA's existing 
policy on applicability (i.e., for redesignations) of conformity and 
oxygenated fuels requirements, as well as with section 184 ozone 
transport requirements. See Reading, Pennsylvania, proposed and final 
rulemakings (61 FR 53174-53176, October 10, 1996), (62 FR 24826, May 7, 
2008); Cleveland-Akron-Loraine, Ohio, final rulemaking (61 FR 20458, 
May 7, 1996); and Tampa, Florida, final rulemaking at (60 FR 62748, 
December 7, 1995). See also the discussion on this issue in the 
Cincinnati, Ohio, redesignation (65 FR 37890, June 19, 2000), and in 
the Pittsburgh, Pennsylvania, redesignation (66 FR 50399, October 19, 
2001).
    Title I, Part D, applicable SIP requirements. Section 172(c) of the 
CAA sets forth the basic requirements of attainment plans for 
nonattainment areas that are required to submit them pursuant to 
section 172(b). Subpart 2 of part D, which includes section 182 of the 
CAA, establishes specific requirements for ozone nonattainment areas 
depending on the area's nonattainment classification. As provided in 
Subpart 2, a marginal ozone nonattainment area, such as the Knoxville 
Area, must submit an emissions inventory that complies with section 
172(c)(3), but the specific requirements of section 182(a) apply in 
lieu of the demonstration of attainment (and contingency measures) 
required by section 172(c). See 42 U.S.C. 7511a(a). A thorough 
discussion of the requirements contained in sections 172(c) and 182 can 
be found in the General Preamble for Implementation of Title I (57 FR 
13498).
    Section 182(a) Requirements. Section 182(a)(1) requires states to 
submit a comprehensive, accurate, and current inventory of actual 
emissions from sources of VOC and NOx emitted within the boundaries of 
the ozone nonattainment area. Tennessee provided an emissions inventory 
for the Knoxville Area to EPA in a November 14, 2014 SIP submission. 
Specifically, Tennessee addressed this requirement by submitting a 2011 
base year emissions inventory for the Knoxville Area. EPA is proposing 
approval of Tennessee's 2011 base year inventory in this action (see 
Section V.A. above). Tennessee's section 182(a)(1) inventory must be 
incorporated into the SIP before EPA can take final action to approve 
the State's redesignation request for the Knoxville Area.
    Under section 182(a)(2)(A), states with ozone nonattainment areas 
that were designated prior to the enactment of the 1990 CAA amendments 
were required to submit, within six months of classification, all rules 
and corrections to existing VOC RACT rules that were required under 
section 172(b)(3) of the CAA (and related guidance) prior to the 1990 
CAA amendments. The Knoxville Area is not subject to the section 
182(a)(2) RACT ``fix up'' because it was designated as nonattainment 
after the enactment of the 1990 CAA amendments.
    Section 182(a)(2)(B) requires each state with a marginal ozone 
nonattainment area that implemented, or was required to implement, an 
inspection and maintenance (I/M) program prior to the 1990 CAA 
amendments to submit a SIP revision providing for an I/M program no 
less stringent than that required prior to the 1990 amendments or 
already in the SIP at the time of the amendments, whichever is more 
stringent. The Knoxville Area is not subject to the section 
182(a)(2)(B) because it was designated as nonattainment after the 
enactment of the 1990 CAA amendments and did not have an I/M program in 
place prior to those amendments.
    Regarding the permitting and offset requirements of section 
182(a)(2)(C) and section 182(a)(4), Tennessee currently has a fully-
approved part D NSR program in place. However, EPA has determined that 
areas being redesignated need not comply with the requirement that a 
NSR program be approved prior to redesignation, provided that the area 
demonstrates maintenance of the NAAQS without part D NSR, because PSD 
requirements

[[Page 29243]]

will apply after redesignation. A more detailed rationale for this view 
is described in a memorandum from Mary Nichols, Assistant Administrator 
for Air and Radiation, dated October 14, 1994, entitled, ``Part D New 
Source Review Requirements for Areas Requesting Redesignation to 
Attainment.'' Tennessee's PSD program will become applicable in the 
Knoxville Area upon redesignation to attainment.
    Section 182(a)(3) requires states to submit periodic inventories 
and emissions statements. Section 182(a)(3)(A) requires states to 
submit a periodic inventory every three years. As discussed below in 
the section of this notice titled Criteria (4)(e), Verification of 
Continued Attainment, the State will continue to update its emissions 
inventory at least once every three years. Under section 182(a)(3)(B), 
each state with an ozone nonattainment area must submit a SIP revision 
requiring emissions statements to be submitted to the state by sources 
within that nonattainment area. EPA approved Tennessee's emissions 
statements requirement on March 5, 2015 (80 FR 11887).
    Section 176 Conformity Requirements: Section 176(c) of the CAA 
requires states to establish criteria and procedures to ensure that 
federally supported or funded projects conform to the air quality 
planning goals in the applicable SIP. The requirement to determine 
conformity applies to transportation plans, programs and projects that 
are developed, funded or approved under title 23 of the United States 
Code (U.S.C.) and the Federal Transit Act (transportation conformity) 
as well as to all other federally supported or funded projects (general 
conformity). State transportation conformity SIP revisions must be 
consistent with federal conformity regulations relating to 
consultation, enforcement and enforceability that EPA promulgated 
pursuant to its authority under the CAA.
    EPA interprets the conformity SIP requirements \12\ as not applying 
for purposes of evaluating a redesignation request under section 107(d) 
because state conformity rules are still required after redesignation 
and federal conformity rules apply where state rules have not been 
approved. See Wall v. EPA, 265 F.3d 426 (6th Cir. 2001) (upholding this 
interpretation); see also 60 FR 62748 (December 7, 1995) (redesignation 
of Tampa, Florida). Nonetheless, Tennessee has an approved conformity 
SIP for the Knoxville Area. See 78 FR 29027 (May 17, 2013). Thus, the 
Knoxville Area has satisfied all applicable requirements for purposes 
of redesignation under section 110 and part D of title I of the CAA.
---------------------------------------------------------------------------

    \12\ CAA section 176(c)(4)(E) requires states to submit 
revisions to their SIPs to reflect certain federal criteria and 
procedures for determining transportation conformity. Transportation 
conformity SIPs are different from the MVEBs that are established in 
control strategy SIPs and maintenance plans.
---------------------------------------------------------------------------

b. The Knoxville Area Has a Fully Approved Applicable SIP Under Section 
110(k) of the CAA
    EPA has fully approved the applicable Tennessee SIP for the 
Knoxville Area under section 110(k) of the CAA for all requirements 
applicable for purposes of redesignation. EPA may rely on prior SIP 
approvals in approving a redesignation request (see Calcagni Memorandum 
at p. 3; Southwestern Pennsylvania Growth Alliance v. Browner, 144 F.3d 
984, 989-90 (6th Cir. 1998); Wall, 265 F.3d 426) plus any additional 
measures it may approve in conjunction with a redesignation action (see 
68 FR 25426 (May 12, 2003) and citations therein). Tennessee has 
adopted and submitted, and EPA has approved at various times, 
provisions addressing the various SIP elements applicable for the ozone 
NAAQS. See 78 FR 14450 (March 16, 2013).
    As indicated above, EPA believes that the section 110 elements that 
are neither connected with nonattainment plan submissions nor linked to 
an area's nonattainment status are not applicable requirements for 
purposes of redesignation. With the exception of the emissions 
inventory requirement, which is addressed in this action, EPA has 
approved all part D requirements applicable for purposes of this 
redesignation.
Criteria (3)--The Air Quality Improvement in the Knoxville Area Is Due 
to Permanent and Enforceable Reductions in Emissions Resulting From 
Implementation of the Sip and Applicable Federal Air Pollution Control 
Regulations and Other Permanent and Enforceable Reductions
    For redesignating a nonattainment area to attainment, the CAA 
requires EPA to determine that the air quality improvement in the area 
is due to permanent and enforceable reductions in emissions resulting 
from implementation of the SIP and applicable federal air pollution 
control regulations and other permanent and enforceable reductions (CAA 
section 107(d)(3)(E)(iii)). EPA has preliminarily determined that 
Tennessee has demonstrated that the observed air quality improvement in 
its portion of the Knoxville Area is due to permanent and enforceable 
reductions in emissions resulting from federal measures and from state 
measures adopted into the SIP. EPA does not have any information to 
suggest that the decrease in ozone concentrations in the Knoxville Area 
is due to unusually favorable meteorological conditions.
    State and Federal measures enacted in recent years have resulted in 
permanent emission reductions. Most of these emission reductions are 
enforceable through regulations. A few non-regulatory measures also 
result in emission reductions. The state and local measures that have 
been implemented to date and relied upon by Tennessee to demonstrate 
attainment and/or maintenance in the Knoxville Area include the 
Statewide Motor Vehicle Anti-Tampering Rule and Stage I Gasoline Vapor 
Recovery. These measures are approved in the federally-approved SIP and 
thus are permanent and enforceable. The Federal measures that have been 
implemented include the following:
    Tier 2 Vehicle Standards. Implementation began in 2004 and requires 
all passenger vehicles in any manufacturer's fleet to meet an average 
standard of 0.07 grams of NOX per mile. Additionally, in 
January 2006 the sulfur content of gasoline was required to be on 
average 30 ppm which assists in lowering the NOX 
emissions.\13\
---------------------------------------------------------------------------

    \13\ Tennessee also identified Tier 3 Motor Vehicle Emissions 
and Fuel Standards as a federal measure. EPA issued this rule in 
April 28, 2014 (79 FR 23414), which applies to light duty passengers 
cars and trucks. EPA promulgated this rule to reduce air pollution 
from new passenger cars and trucks beginning in 2017. Tier 3 
emission standards will lower sulfur content of gasoline and lower 
the emissions standards.
---------------------------------------------------------------------------

    Heavy-duty gasoline and diesel highway vehicle standards and Ultra 
Low-Sulfur Diesel Rule. EPA issued this rule on January 18, 2001 (66 FR 
5002). This rule includes standards limiting the sulfur content of 
diesel fuel, which began to take effect in 2004. A second phase took 
effect in 2007, which further reduced the highway diesel fuel sulfur 
content to 15 ppm, leading to additional reductions in combustion 
NOX and VOC emissions. This rule is expected to achieve a 95 
percent reduction in NOX emissions from diesel trucks and 
buses.
    Nonroad spark-ignition engines and recreational engines standards. 
The nonroad spark-ignition and recreational engine standards, effective 
in July 2003, regulate NOX, hydrocarbons, and carbon 
monoxide from groups of previously unregulated nonroad engines. These 
engine standards apply to large spark-ignition engines (e.g., forklifts 
and airport ground service equipment),

[[Page 29244]]

recreational vehicles (e.g., off-highway motorcycles and all-terrain-
vehicles), and recreational marine diesel engines sold in the United 
States and imported after the effective date of these standards. When 
all of the nonroad spark-ignition and recreational engine standards are 
fully implemented, an overall 72 percent reduction in hydrocarbons, 80 
percent reduction in NOX, and 56 percent reduction in carbon 
monoxide emissions are expected by 2020. These controls reduce ambient 
concentrations of ozone, carbon monoxide, and fine particulate matter.
    Mercury and Air Toxics Standards (MATS). On February 16, 2012, EPA 
promulgated maximum achievable control technology regulations for coal-
and oil-fired EGUs, intended to reduce hazardous air pollutants 
emissions from EGUs. Although the MATS rule is not targeted at 
NOX emissions, it is expected to result in additional 
NOX reductions due to the retirement of older coal-fired 
units.
    Tennessee Valley Authority (TVA) Consent Decree/Federal Facilities 
Compliance Agreement. On April 14, 2011, TVA entered into a consent 
decree with Tennessee, Alabama, Kentucky, and North Carolina to resolve 
allegations of CAA violations at TVA's coal-fired power plants. The 
relief obtained in this consent decree was also secured in a Federal 
Facilities Compliance Agreement (FFCA) between EPA and TVA. The consent 
decree and FFCA establish system-wide caps on NOX and 
SO2emissions at TVA's coal-fired facilities, declining to 
permanent levels of 52,000 tons of NOX in 2018 and 110,000 
tons of SO2 in 2019, and require TVA to meet specific 
control requirements.\14\
---------------------------------------------------------------------------

    \14\ The Bull Run facility in Anderson County is the only source 
in the Knoxville Area that is covered by the consent decree/FFCA. 
While Tennessee notes in its submission that selective catalytic 
reduction (SCR) was required per the consent decree/FFCA to be 
operational at unit 1 for Bull Run in 2011, EPA has reviewed data 
for this unit and it appears that controls were put in place on the 
Bull Run facility prior to the nonattainment designation for the 
Knoxville Area for the 2008 8-hour ozone NAAQS. These controls 
continue to operate. Specifically, according to the data reported to 
EPA's Clean Air Markets Division, the SCR was installed and began 
operating on May 12, 2004. It appears that the SCR was only used 
during the ozone season between 2004 and 2008, and from 2009 to the 
present, began operating the full year.
---------------------------------------------------------------------------

    NOX SIP Call. On October 27, 1998 (63 FR 57356), EPA issued the 
NOX SIP Call requiring the District of Columbia and 22 
states to reduce emissions of NOX, a precursor to ozone 
pollution, and providing a mechanism (the NOX Budget Trading 
Program) that states could use to achieve those reductions. Affected 
states were required to comply with Phase I of the SIP Call beginning 
in 2004 and Phase II beginning in 2007. By the end of 2008, ozone 
season emissions from sources subject to the NOX SIP Call 
dropped by 62 percent from 2000 emissions levels. All NOX 
SIP Call states have SIPs that currently satisfy their obligations 
under the NOX SIP Call; the NOX SIP Call 
reduction requirements are being met; and EPA will continue to enforce 
the requirements of the NOX SIP Call. Emission reductions 
resulting from regulations developed in response to the NOX 
SIP Call are therefore permanent and enforceable for the purposes of 
today's action.
    CAIR/CSAPR. CAIR created regional cap-and-trade programs to reduce 
SO2 and NOX emissions in 27 eastern states, 
including Tennessee. See 70 FR 25162 (May 12, 2005). EPA approved 
Tennessee's CAIR regulations into the Tennessee SIP on November 25, 
2009. See 74 FR 61535. In 2009, the CAIR ozone season NOX 
trading program superseded the NOX Budget Trading Program, 
although the emission reduction obligations of the NOX SIP 
Call were not rescinded. See 40 CFR 51.121(r) and 51.123(aa). In 2008, 
the United States Court of Appeals for the District of Columbia Circuit 
(D.C. Circuit) initially vacated CAIR, North Carolina v. EPA, 531 F.3d 
896 (D.C. Cir. 2008), but ultimately remanded the rule to EPA without 
vacatur to preserve the environmental benefits provided by CAIR, North 
Carolina v. EPA, 550 F.3d 1176, 1178 (D.C. Cir. 2008). On August 8, 
2011 (76 FR 48208), acting on the D.C. Circuit's remand, EPA 
promulgated CSAPR to address interstate transport of emissions and 
resulting secondary air pollutants and to replace CAIR. CSAPR requires 
substantial reductions of SO2 and NOX emissions 
from electric generating units (EGUs) in 28 states in the Eastern 
United States.
    Implementation of CSAPR was scheduled to begin on January 1, 2012, 
when CSAPR's cap-and-trade programs would have superseded the CAIR cap 
and trade programs. Numerous parties filed petitions for review of 
CSAPR, and on December 30, 2011, the D.C. Circuit issued an order 
staying CSAPR pending resolution of the petitions and directing EPA to 
continue to administer CAIR. EME Homer City Generation, L.P. v. EPA, 
No. 11-1302 (D.C. Cir. Dec. 30, 2011), Order at 2.
    On August 21, 2012, the D.C. Circuit issued its ruling, vacating 
and remanding CSAPR to EPA and once again ordering continued 
implementation of CAIR. EME Homer City Generation, L.P. v. EPA, 696 
F.3d 7, 38 (D.C. Cir. 2012). The D.C. Circuit subsequently denied EPA's 
petition for rehearing en banc. EME Homer City Generation, L.P. v. EPA, 
No. 11-1302, 2013 WL 656247 (D.C. Cir. Jan. 24, 2013), at *1. EPA and 
other parties then petitioned the Supreme Court for a writ of 
certiorari, and the Supreme Court granted the petitions on June 24, 
2013. EPA v. EME Homer City Generation, L.P., 133 S. Ct. 2857 (2013).
    On April 29, 2014, the Supreme Court vacated and reversed the D.C. 
Circuit Court's decision regarding CSAPR, and remanded that decision to 
the D.C. Circuit Court to resolve remaining issues in accordance with 
its ruling. EPA v. EME Homer City Generation, L.P., 134 S. Ct. 1584 
(2014). EPA moved to have the stay of CSAPR lifted in light of the 
Supreme Court decision. EME Homer City Generation, L.P. v. EPA, Case 
No. 11-1302, Document No. 1499505 (D.C. Cir. filed June 26, 2014). In 
its motion, EPA asked the D.C. Circuit to toll CSAPR's compliance 
deadlines by three years so that the Phase 1 emissions budgets apply in 
2015 and 2016 (instead of 2012 and 2013), and the Phase 2 emissions 
budgets apply in 2017 and beyond (instead of 2014 and beyond). On 
October 23, 2014, the D.C. Circuit granted EPA's motion and lifted the 
stay of CSAPR which was imposed on December 30, 2011. EME Homer City 
Generation, L.P. v. EPA, No. 11-1302 (D.C. Cir. Oct. 23, 2014), Order 
at 3. On December 3, 2014, EPA issued an interim final rule to clarify 
how EPA will implement CSAPR consistent with the D.C. Circuit Court's 
order granting EPA's motion requesting lifting the stay and tolling the 
rule's deadlines. See 79 FR 71663 (December 3, 2014) (interim final 
rulemaking). Consistent with that rule, EPA began implementing CSAPR on 
January 1, 2015. EPA expects that the implementation of CSAPR will 
preserve the reductions achieved by CAIR and result in additional 
SO2 and NOX emission reductions throughout the 
maintenance period.
    As mentioned above, the State measures that have been implemented 
include the following:
    Statewide Motor Vehicle Anti-Tampering Rule. Tennessee promulgated 
a statewide motor vehicle anti-tampering rule in 2005 to reduce air 
pollution caused by tampering with a motor vehicle's emissions control 
system. The rule defines tampering as modifying, removing, or rendering 
inoperative any air pollution emission control device which results in 
an increase in emissions beyond established federal motor vehicle 
standards. EPA approved this rule into the Tennessee SIP on August 26, 
2005

[[Page 29245]]

(70 FR 50199); therefore it is both state and federally enforceable.
    Stage I Gasoline Vapor Recovery. Tennessee promulgated rules for 
Stage I Gasoline Vapor Recovery for several counties throughout 
Tennessee, including Anderson, Blount, Jefferson, Knox, Loudon Counties 
in the Knoxville Area. Gasoline dispensing stations in these counties 
that were contributing sources on December 29, 2004, were required to 
comply by March 1, 2006. EPA approved these rules into the Tennessee 
SIP on August 26, 2005 (70 FR 50199).
Criteria (4)--The Knoxville Area Has a Fully Approved Maintenance Plan 
Pursuant to Section 175A of the CAA
    For redesignating a nonattainment area to attainment, the CAA 
requires EPA to determine that the area has a fully approved 
maintenance plan pursuant to section 175A of the CAA (CAA section 
107(d)(3)(E)(iv)). In conjunction with its request to redesignate the 
Knoxville Area to attainment for the 2008 8-hour ozone NAAQS, TDEC 
submitted a SIP revision to provide for the maintenance of the 2008 8-
hour ozone NAAQS for at least 10 years after the effective date of 
redesignation to attainment. EPA has made the preliminary determination 
that this maintenance plan meets the requirements for approval under 
section 175A of the CAA.
a. What is required in a maintenance plan?
    Section 175A of the CAA sets forth the elements of a maintenance 
plan for areas seeking redesignation from nonattainment to attainment. 
Under section 175A, the plan must demonstrate continued attainment of 
the applicable NAAQS for at least 10 years after the Administrator 
approves a redesignation to attainment. Eight years after the 
redesignation, the state must submit a revised maintenance plan which 
demonstrates that attainment will continue to be maintained for the 
remainder of the 20-year period following the initial 10-year period. 
To address the possibility of future NAAQS violations, the maintenance 
plan must contain contingency measures as EPA deems necessary to assure 
prompt correction of any future 2008 8-hour ozone violations. The 
Calcagni Memorandum provides further guidance on the content of a 
maintenance plan, explaining that a maintenance plan should address 
five requirements: The attainment emissions inventory, maintenance 
demonstration, monitoring, verification of continued attainment, and a 
contingency plan. As is discussed more fully below, EPA proposes to 
find that Tennessee's maintenance plan includes all the necessary 
components and is thus proposing to approve it as a revision to the 
Tennessee SIP.
b. Attainment Emissions Inventory
    EPA is proposing to determine that the Knoxville Area has attained 
the 2008 8-hour ozone NAAQS based on monitoring data for the 3-year 
period from 2011-2013. Tennessee selected 2011 as the base year (i.e., 
attainment emissions inventory year) for developing a comprehensive 
emissions inventory for NOX and VOC, for which projected 
emissions could be developed for 2014, 2017, 2020, 2023 and 2026. The 
attainment inventory identifies a level of emissions in the Area that 
is sufficient to attain the 2008 8-hour ozone NAAQS. Tennessee began 
development of the attainment inventory by first generating a baseline 
emissions inventory for the Knoxville Area.
    The attainment year emissions were projected to future years 
separately using different methods by source categories, including: 
Point sources; area sources; on-road mobile sources; non-road mobile 
sources including commercial marine vessels, locomotives and air craft 
(MLA); and non-road mobile sources excluding MLA. The emissions were 
projected for 2014, 2017, 2020, 2023 and 2026 using 2011 emissions and 
growth factors developed from the methodology from SESARM Metro4, Inc. 
Growth factors were developed using the U.S. Energy Information 
Administration's 2014 Annual Energy Outlook (AEO2014) energy 
consumption and production forecasts.
    Tennessee's 2011 emissions inventory, prepared by TDEC, was used as 
a source of base year emissions for Blount and Knox Counties, as well 
as the part of Anderson County included in the Area. NOX and 
VOC emissions were calculated for a typical summer July day, taking in 
to account the seasonal adjustment factor for summer operations of 
facilities. Future-year emissions were projected for 2014, 2017, 2020, 
2023, and 2026. Growth factors were developed using the methodology in 
the SESARM Metro4, Inc. document prepared by AMEC Environment & 
Infrastructure, Inc., titled ``Development of the 2018 Projection Point 
Source Emission Inventory for the SESARM Region,'' February 11, 2014. 
Point source units were categorized as electric generating units (EGU) 
or non-EGU sources. Data obtained from the U.S. Energy Information 
Administration on either fuel use projections or industrial output 
projections were used to develop the growth factors used to generate 
the emissions inventory.
    Nonpoint sources captured in the inventory include stationary 
sources whose emissions levels of NOX, SO2, and 
particulate matter are each less than 25 tons per year. Emissions from 
nonpoint sources in 2011 were obtained from NEI2011 ozone season daily 
emissions for area sources were calculated using the SMOKE temporal 
profiles as described for non-EGU point sources.
    The 2011 NOX and VOC emissions for the Knoxville Area, 
as well as the emissions for other years, were developed consistent 
with EPA guidance and are summarized in Tables 3 through 5 of the 
following subsection discussing the maintenance demonstration.
c. Maintenance Demonstration
    The November 14, 2014, final SIP revision includes a maintenance 
plan for the Knoxville Area. The maintenance plan:
    (i). Shows compliance with and maintenance of the 8-hour ozone 
standard by providing information to support the demonstration that 
current and future emissions of NOX and VOC remain at or 
below 2011 emissions levels.
    (ii). Uses 2011 as the attainment year and includes future 
emissions inventory projections and national growth factors for 2014, 
2017, 2020, 2023, and 2026.
    (iii). Identifies an ``out year'' at least 10 years after the time 
necessary for EPA to review and approve the maintenance plan. Per 40 
CFR part 93, NOX and VOC MVEBs were established for the last 
year (2026) of the maintenance plan (see section VI below). Through the 
interagency consultation process, it was also decided that MVEBs would 
be adopted for the year 2011.
    (iv). Provides actual (2011) and projected emissions inventories, 
in tons per day (tpd), for the Knoxville Area, as shown in Tables 3 and 
4, below.

[[Page 29246]]

                                     Table 3--Actual and Projected Annual NOX Emissions (tpd) for the Knoxville Area
--------------------------------------------------------------------------------------------------------------------------------------------------------
                         Sector                                2011            2014            2017            2020            2023            2026
--------------------------------------------------------------------------------------------------------------------------------------------------------
Point...................................................            9.97           10.55           11.05           11.70           12.28           12.90
Area....................................................            6.56            6.67            6.53            6.53            6.65            6.72
On-road.................................................           41.62           35.13           28.63           22.14           15.65            9.15
Non-road (excluding MLA)................................            8.37            5.43            4.43            3.78            3.38            3.15
Non-road (MLA)..........................................            4.06            3.79            3.70            3.81            4.19            4.92
                                                         -----------------------------------------------------------------------------------------------
    Total...............................................            70.6            61.6            54.3            48.0            42.2            36.8
--------------------------------------------------------------------------------------------------------------------------------------------------------
Note: Emissions are provided for Blount and Knox Counties and a portion of Anderson County MLA--Commercial Marine Vessels, Locomotive, and Aircraft.

                                     Table 4--Actual and Projected Annual VOC Emissions (tpd) for the Knoxville Area
--------------------------------------------------------------------------------------------------------------------------------------------------------
                         Sector                                2011            2014            2017            2020            2023            2026
--------------------------------------------------------------------------------------------------------------------------------------------------------
Point...................................................            4.98            5.42            6.09            6.48            7.14            7.75
Area....................................................           86.93           84.81           84.61           84.94           85.28           85.64
On-road.................................................           19.71           17.17           14.63           12.08            9.54            7.00
Non-road (excluding MLA)................................            7.47            5.33            4.64            4.26            4.19            4.19
Non-road (MLA)..........................................            0.31            0.32            0.36            0.44            0.55            0.74
                                                         -----------------------------------------------------------------------------------------------
    Total...............................................          119.40          113.05          110.33          108.20          106.70          105.32
--------------------------------------------------------------------------------------------------------------------------------------------------------
Note: Emissions are provided for Blount and Knox Counties and a portion of Anderson County MLA--Commercial Marine Vessels, Locomotives, and Aircraft.

    In situations where local emissions are the primary contributor to 
nonattainment, such as the Knoxville Area, if the future projected 
emissions in the nonattainment area remain at or below the baseline 
emissions in the nonattainment area, then the ambient air quality 
standard should not be exceeded in the future. Tennessee has projected 
emissions as described previously and determined that emissions in the 
Knoxville Area will remain below those in the attainment year inventory 
for the duration of the maintenance plan.
    As discussed in section VI of this proposed rulemaking, a safety 
margin is the difference between the attainment level of emissions 
(from all sources) and the projected level of emissions (from all 
sources) in the maintenance plan. The attainment level of emissions is 
the level of emissions during one of the years in which the area met 
the NAAQS. Tennessee selected 2011 as the attainment emissions 
inventory year for the Knoxville Area and calculated a safety margin 
for 2026. The State has decided to allocate a portion of this 2026 
safety margin to the 2026 MVEB for the Knoxville Area. Specifically, 
Tennessee has decided to allocate 8.53 tpd to the 2026 NOX 
MVEB and 3.49 tpd to the 2026 VOC MVEB. After allocation of the 
available safety margin, the remaining safety margin was calculated as 
25.30 tpd for NOX and 10.59 tpd for VOC. The MVEB to be used 
for transportation conformity proposes is discussed in section VI. This 
allocation and the resulting available safety margin for the Knoxville 
Area are discussed further in section VI of this proposed rulemaking.
d. Monitoring Network
    There are currently three monitors measuring ozone in the Knoxville 
Area. The State of Tennessee, through TDEC, has committed to continue 
operation of the monitors in Knoxville Area in compliance with 40 CFR 
part 58 and have thus addressed the requirement for monitoring. EPA 
approved the ozone portion of Tennessee's 2012 annual ambient air 
monitoring network plan on June 15, 2012.
e. Verification of Continued Attainment
    The State of Tennessee, through TDEC, has the legal authority to 
enforce and implement the requirements of the maintenance plan for the 
Knoxville Area. This includes the authority to adopt, implement, and 
enforce any subsequent emissions control contingency measures 
determined to be necessary to correct future ozone attainment problems.
    Verification of continued attainment is accomplished through 
operation of the ambient ozone monitoring network and the periodic 
updates of the Area's emissions inventory. As discussed above, TDEC 
will continue to operate the current monitors located in the Knoxville 
Area. There are no plans to discontinue operation, relocate, or 
otherwise change the existing ambient monitoring network. Tennessee 
will continue to update its emissions inventory at least once every 
three years.
    The Consolidated Emissions Reporting Rule (CERR) was promulgated by 
EPA on June 10, 2002. The CERR was replaced by the Annual Emissions 
Reporting Requirements (AERR) rule on December 17, 2008. The most 
recent triennial inventory for Tennessee was compiled for 2011. The 
larger point sources of air pollution will continue to submit data on 
their emissions on an annual basis as required by the AERR. Emissions 
from the rest of the point sources, the nonpoint source portion, and 
the on-road and nonroad mobile sources continue to be quantified on a 
three-year cycle. The inventory will be updated and maintained on a 
three-year cycle. As required by the AERR, the next overall emissions 
inventory will be compiled for 2014.
f. Contingency Measures in the Maintenance Plan
    Section 175A of the CAA requires that a maintenance plan include 
such contingency measures as EPA deems necessary to assure that the 
state will promptly correct a violation of the NAAQS that occurs after 
redesignation. The maintenance plan should identify the contingency 
measures to be adopted, a schedule and procedure for adoption and 
implementation, and a time limit for action by the state. A state 
should also identify specific indicators to be used to determine when 
the contingency measures need to be implemented. The maintenance plan 
must include a requirement that a state

[[Page 29247]]

will implement all measures with respect to control of the pollutant 
that were contained in the SIP before redesignation of the area to 
attainment in accordance with section 175A(d).
    The contingency plan included in Tennessee's SIP revision includes 
a triggering mechanism to determine when contingency measures are 
needed and a process of developing and implementing appropriate control 
measures. The State of Tennessee will use actual ambient monitoring 
data and emissions inventory data as the indicators to determine 
whether a trigger has been activated and whether contingency measures 
should be implemented.
    Tennessee has identified a primary trigger (Tier I) that will be 
activated when any quality-assured/quality controlled 8-hour ozone 
monitoring reading exceeds 0.075 ppm at an ambient monitoring station 
located in the Knoxville Area or if the periodic emission inventory 
updates reveal excessive or unanticipated growth greater than 10 
percent in emissions of NOX or VOC over the attainment or 
intermediate emissions inventories for the Knoxville Area (as 
determined by the triennial emission reporting required by AERR). The 
State of Tennessee, in conjunction with the Knox County Department of 
Air Quality Management (DAQM), will conduct an evaluation as 
expeditiously as practicable to determine what additional measures will 
be necessary to attain or maintain the 8-hour ozone standard. If it is 
determined that additional emission reductions are necessary, Tennessee 
and Knox County DAQM, will adopt and implement any required measures in 
accordance with the schedule and procedure for adoption and 
implementation of contingency measures.
    The ozone trigger concentrations described above apply to each 
monitor in the maintenance area. TDEC will evaluate a Tier I condition, 
if it occurs, as expeditiously as practicable to determine the cause(s) 
of the ambient ozone or emissions inventory increase and to determine 
if a Tier II condition (see below) is likely to occur.
    A secondary trigger (Tier II) is activated when any violation of 
the 2008 8-hour ozone NAAQS at any of the ambient monitoring stations 
in the Knoxville Area is recorded, based on quality-assured monitoring 
data. In the event that a Tier II trigger is activated, Tennessee and 
Knox County DAQM will conduct a comprehensive study to determine the 
cause(s) of the ambient ozone increase and will implement any required 
measures as expeditiously as practicable, taking into consideration the 
ease of implementation and the technical and economic feasibility of 
selected measures.
    Tennessee and Knox County DAQM will, in the event of: (1) A Tier II 
trigger condition, or (2) a Tier I condition in which Tennessee has 
determined that a Tier II condition is likely to occur, conduct a 
comprehensive study to determine what contingency measure(s) are 
required for the maintenance of the ozone standard. Since the Knoxville 
Area may be influenced by emissions from outside the maintenance area, 
the study will attempt to determine whether the trigger condition is 
due to local emissions, emissions from elsewhere, or a combination of 
the previous. Selected emission control measures will be subject to 
public review and the State will seek public input prior to selecting 
new emission control measures.
    The comprehensive study will be completed and submitted to EPA for 
review as expeditiously as practical, but no later than nine months 
after the Tier I or Tier II trigger is activated. When Tennessee and 
Knox County DAQM determines, through the comprehensive study, what 
contingency measure(s) are required for the maintenance of the ozone 
standard, appropriate corrective measures will be adopted and 
implemented within 18 to 24 months after the Tier I or II trigger 
occurs. The proposed schedule for these actions include:
     Six months to identify appropriate contingency measures;
     Three to six months to initiate stakeholder process; and
     Nine to twelve months to implement the contingency 
measures.
    Section 175A(d) requires that state maintenance plans shall include 
a requirement that the state will implement all measures with respect 
to the control of the air pollutant concerned which were contained in 
the SIP for the area before redesignation of the area to attainment. 
Currently all such measures are in effect for the Knoxville Area. 
Contingency measure(s) will be selected from the following types of 
measures or from any other measure deemed appropriate and effective at 
the time the selection is made:
     Implementation of diesel retrofit programs, including 
incentives for performing retrofits.
     Reasonable Available Control Technology (RACT) for 
NOX sources in nonattainment counties.
     Programs or incentives to decrease motor vehicle use, 
including employer-based programs, additional park and ride services, 
enhanced transit service and encouragement of flexible work hours/
compressed work week/telecommuting.
     Trip reduction ordinances.
     Additional emissions reductions on stationary sources.
     Enhanced stationary source inspection to ensure that 
emissions control equipment is functioning properly.
     Voluntary fuel programs including incentives for 
alternative fuels.
     Construction of high-occupancy vehicle (HOV) lanes, or 
restriction of certain roads or lanes for HOV.
     Programs for new construction and major reconstruction of 
bicycle and pedestrian facilities, including shared use paths, 
sidewalks and bicycle lanes.
     Expand Air Quality Action Day activities/Clean Air 
Partners public education outreach.
     Expansion of E-Government services at State and local 
level.
     Additional Enforcement or outreach on driver observance of 
reduce speed limits.
     Land use/transportation policies.
     Promotion of non-motorized transportation.
     Promotion or tree-planting standards that favor trees with 
low VOC biogenic emissions.
     Promotion if energy saving plans for local government.
     Gas can and lawnmower replacement programs.
     Seasonal open burning ban in nonattainment counties.
     Evaluation of anti-idling rules and/or policy.
     Additional controls in upwind areas, if necessary.
    EPA has preliminarily concluded that the maintenance plan 
adequately addresses the five basic components of a maintenance plan: 
The attainment emissions inventory, maintenance demonstration, 
monitoring, verification of continued attainment, and a contingency 
plan. Therefore, the maintenance plan for the Knoxville Area meets the 
requirements of section 175A of the CAA and is approvable.

VI. What is EPA's analysis of Tennessee's proposed NOX and 
VOC MVEBs for the Knoxville Area?

    Under section 176(c) of the CAA, new transportation plans, 
programs, and projects, such as the construction of new highways, must 
``conform'' to (i.e., be consistent with) the part of the state's air 
quality plan that addresses pollution from cars and trucks. Conformity 
to the SIP means that transportation activities will not cause new air 
quality violations, worsen existing violations, or delay timely 
attainment of the NAAQS

[[Page 29248]]

or any interim milestones. If a transportation plan does not conform, 
most new projects that would expand the capacity of roadways cannot go 
forward. Regulations at 40 CFR part 93 set forth EPA policy, criteria, 
and procedures for demonstrating and assuring conformity of such 
transportation activities to a SIP. The regional emissions analysis is 
one, but not the only, requirement for implementing transportation 
conformity. Transportation conformity is a requirement for 
nonattainment and maintenance areas. Maintenance areas are areas that 
were previously nonattainment for a particular NAAQS but have since 
been redesignated to attainment with an approved maintenance plan for 
that NAAQS.
    Under the CAA, states are required to submit, at various times, 
control strategy SIPs and maintenance plans for nonattainment areas. 
These control strategy SIPs (including RFP and attainment demonstration 
requirements) and maintenance plans create MVEBs for criteria 
pollutants and/or their precursors to address pollution from cars and 
trucks. Per 40 CFR part 93, a MVEB must be established for the last 
year of the maintenance plan. A state may adopt MVEBs for other years 
as well. The MVEB is the portion of the total allowable emissions in 
the maintenance demonstration that is allocated to highway and transit 
vehicle use and emissions. See 40 CFR 93.101. The MVEB serves as a 
ceiling on emissions from an area's planned transportation system. The 
MVEB concept is further explained in the preamble to the November 24, 
1993, Transportation Conformity Rule (58 FR 62188). The preamble also 
describes how to establish the MVEB in the SIP and how to revise the 
MVEB.
    After interagency consultation with the transportation partners for 
the Knoxville Area, Tennessee has developed MVEBs for NOX 
and VOC for the Knoxville Area. Tennessee is developing these MVEBs, as 
required, for the last year of its maintenance plan, 2026. 
Additionally, Tennessee is establishing MVEBs for the year 2011. The 
2011 MVEBs reflect the total on-road emissions for 2011. The 2026 MVEBs 
reflect the total on-road emissions 2026, plus an allocation from the 
available NOX and VOC safety margins. Under 40 CFR 93.101, 
the term ``safety margin'' is the difference between the attainment 
level (from all sources) and the projected level of emissions (from all 
sources) in the maintenance plan. The safety margin can be allocated to 
the transportation sector; however, the total emissions must remain 
below the attainment level. The NOX and VOC MVEBs and 
allocation from the safety margin were developed in consultation with 
the transportation partners and were added to account for uncertainties 
in population growth, changes in model vehicle miles traveled and new 
emission factor models. The NOX and VOC MVEBs for the 
Knoxville Area are defined in Table 5 below.

             Table 5--Knoxville Area NOX and VOC MVEBs (tpd)
------------------------------------------------------------------------
                                               2011            2026
------------------------------------------------------------------------
NOX Emissions:
    Base Emissions......................           41.62            9.15
    Safety Margin Allocated to MVEB.....             n/a            8.53
    NOX Conformity MVEBs................           41.62         * 17.69
VOC Emissions:
    Base Emissions......................           19.71            7.00
    Safety Margin Allocated to MVEB.....             n/a            3.49
    VOC Conformity MVEBs................           19.71           10.49
------------------------------------------------------------------------
* Due to rounding convention.

    As mentioned above, Tennessee has chosen to allocate a portion of 
the available safety margin to the NOX and VOC MVEBs for the 
Knoxville Area. This allocation is 8.53 tpd and 3.49 tpd for 
NOX and VOC, respectively. Thus, the remaining safety 
margins for 2026 are 25.30 tpd and 10.59 tpd NOX and VOC, 
respectively.
    Through this rulemaking, EPA is proposing to approve the MVEBs for 
NOX and VOC for 2011 and 2026 for the Knoxville Area because 
EPA has preliminarily determined that the Area maintains the 2008 8-
hour ozone NAAQS with the emissions at the levels of the budgets. Once 
the MVEBs for the Knoxville Area are approved or found adequate 
(whichever is completed first), they must be used for future conformity 
determinations. After thorough review, EPA has preliminarily determined 
that the budgets meet the adequacy criteria, as outlined in 40 CFR 
93.118(e)(4), and is proposing to approve the budgets because they are 
consistent with maintenance of the 2008 8-hour ozone NAAQS through 
2026.

VII. What is the status of EPA's adequacy determination for the 
proposed NOX and VOC MVEBs for the Knoxville Area?

    When reviewing submitted ``control strategy'' SIPs or maintenance 
plans containing MVEBs, EPA may affirmatively find the MVEB contained 
therein adequate for use in determining transportation conformity. Once 
EPA affirmatively finds the submitted MVEB is adequate for 
transportation conformity purposes, that MVEB must be used by state and 
federal agencies in determining whether proposed transportation 
projects conform to the SIP as required by section 176(c) of the CAA.
    EPA's substantive criteria for determining adequacy of a MVEB are 
set out in 40 CFR 93.118(e)(4). The process for determining adequacy 
consists of three basic steps: Public notification of a SIP submission, 
a public comment period, and EPA's adequacy determination. This process 
for determining the adequacy of submitted MVEBs for transportation 
conformity purposes was initially outlined in EPA's May 14, 1999, 
guidance, ``Conformity Guidance on Implementation of March 2, 1999, 
Conformity Court Decision.'' EPA adopted regulations to codify the 
adequacy process in the Transportation Conformity Rule Amendments for 
the ``New 8-Hour Ozone and PM2.5 National Ambient Air 
Quality Standards and Miscellaneous Revisions for Existing Areas; 
Transportation Conformity Rule Amendments--Response to Court Decision 
and Additional Rule Change,'' on July 1, 2004 (69 FR 40004). Additional 
information on the adequacy process for transportation conformity 
purposes is available in the proposed rule entitled, ``Transportation 
Conformity Rule Amendments: Response to Court Decision and Additional 
Rule Changes,'' 68 FR 38974, 38984 (June 30, 2003).

[[Page 29249]]

    As discussed earlier, Tennessee's maintenance plan includes 
NOX and VOC MVEBs for the Knoxville Area for 2026, the last 
year of the maintenance plan, and for 2011. EPA reviewed the 
NOX and VOC MVEBs through the adequacy process. Tennessee's 
November 14, 2015, SIP submission, including the Knoxville Area 
NOX and VOC MVEBs, was open for public comment on EPA's 
adequacy Web site on December 4, 2014, found at: http://www.epa.gov/otaq/stateresources/transconf/currsips.htm#knx-tn. The EPA public 
comment period on adequacy for the MVEBs for 2011 and 2026 for the 
Knoxville Area closed on January 5, 2015. No comments, adverse or 
otherwise, were received during EPA's adequacy process for the MVEBs 
associated with Tennessee's maintenance plan.
    EPA intends to make its determination on the adequacy of the 2011 
and 2026 MVEBs for the Knoxville Area for transportation conformity 
purposes in the near future by completing the adequacy process that was 
started on December 4, 2014. After EPA finds the 2011 and 2026 MVEBs 
adequate or approves them, the new MVEBs for NOX and VOC 
must be used for future transportation conformity determinations. For 
required regional emissions analysis years for 2026 and beyond, the 
applicable budgets will be the new 2026 MVEBs established in the 
maintenance plan, as defined in section VI of this proposed rulemaking. 
The 2011 MVEBs will be used for any analysis year prior to 2026.

VIII. What is the effect of EPA's proposed actions?

    EPA's proposed actions establish the basis upon which EPA may take 
final action on the issues being proposed for approval today. Approval 
of Tennessee's redesignation request would change the legal designation 
of Blount and Knox Counties and the portion of Anderson County included 
in the Knoxville Area, found at 40 CFR part 81, from nonattainment to 
attainment for the 2008 8-hour ozone NAAQS. Approval of Tennessee's 
associated SIP revision would also incorporate a plan for maintaining 
the 2008 8-hour ozone NAAQS in the Knoxville Area through 2026 and a 
section 182(a)(1) base year emissions inventory into the Tennessee SIP. 
The maintenance plan establishes NOX and VOC MVEBs for 2011 
and 2026 for the Knoxville Area and includes contingency measures to 
remedy any future violations of the 2008 8-hour ozone NAAQS and 
procedures for evaluation of potential violations. The NOX 
MVEB for 2011 is 41.62 tpd, and for 2026 is 17.69 tpd. The VOC MVEB is 
19.71 for 2011 and 10.49 tpd for 2026. Additionally, EPA is notifying 
the public of the status of EPA's adequacy determination for the newly-
established NOX and VOC MVEBs for 2026 for the Knoxville 
Area.

IX. Proposed Actions

    EPA is now proposing to take four separate but related actions 
regarding the Knoxville Area's redesignation and maintenance of the 
2008 8-hour ozone NAAQS. First, EPA is proposing to approve Tennessee's 
section 182(a)(1) base year emissions inventory for the 2008 8-hour 
ozone standard for the Knoxville Area into the SIP. Approval of the 
base year inventory is a prerequisite for EPA to redesignate the Area 
from nonattainment to attainment.
    Second, EPA is proposing to determine that the Knoxville Area is 
attaining the 2008 8-hour ozone NAAQS based on complete, quality-
assured and certified monitoring data for the 2011-2013 monitoring 
period. Preliminary 2012-2014 data in AQS indicates that the Area is 
continuing to attain the 2008 8-hour ozone NAAQS.
    Third, EPA is proposing to approve the maintenance plan for the 
Knoxville Area, including the NOX and VOC MVEBs for 2011 and 
2026, into the Tennessee SIP (under CAA section 175A). The maintenance 
plan demonstrates that the Area will continue to maintain the 2008 8-
hour ozone NAAQS, and the budgets meet all of the adequacy criteria 
contained in 40 CFR 93.118(e)(4) and (5). Further, as part of today's 
action, EPA is describing the status of its adequacy determination for 
the NOX and VOC MVEBs for 2011 and 2026 in accordance with 
40 CFR 93.118(f)(1). Within 24 months from the publication date of 
EPA's adequacy determination for the MVEBs or the effective date for 
the final rule for this action, whichever is earlier, the 
transportation partners will need to demonstrate conformity to the new 
NOX and VOC MVEBs pursuant to 40 CFR 93.104(e).
    Finally, EPA is proposing to determine that Tennessee has met the 
criteria under CAA section 107(d)(3)(E) for the Knoxville Area for 
redesignation from nonattainment to attainment for the 2008 8-hour 
ozone NAAQS. On this basis, EPA is proposing to approve Tennessee's 
redesignation request for the 2008 8-hour ozone NAAQS for the Knoxville 
Area. If finalized, approval of the redesignation request would change 
the official designation of Blount and Knox Counties and the portion of 
Anderson County in the Knoxville Area for the 2008 8-hour ozone NAAQS 
from nonattainment to attainment, as found at 40 CFR part 81.

X. Statutory and Executive Order Reviews

    Under the CAA, redesignation of an area to attainment and the 
accompanying approval of a maintenance plan under section 107(d)(3)(E) 
are actions that affect the status of a geographical area and do not 
impose any additional regulatory requirements on sources beyond those 
imposed by state law. A redesignation to attainment does not in and of 
itself create any new requirements, but rather results in the 
applicability of requirements contained in the CAA for areas that have 
been redesignated to attainment. Moreover, the Administrator is 
required to approve a SIP submission that complies with the provisions 
of the Act and applicable Federal regulations. See 42 U.S.C. 7410(k); 
40 CFR 52.02(a). Thus, in reviewing SIP submissions, EPA's role is to 
approve state choices, provided that they meet the criteria of the CAA. 
Accordingly, these proposed actions merely propose to approve state law 
as meeting federal requirements and do not impose additional 
requirements beyond those imposed by state law. For that reason, these 
proposed actions:
     Are not a significant regulatory actions subject to review 
by the Office of Management and Budget under Executive Orders 12866 (58 
FR 51735, October 4, 1993) and 13563 (76 FR 3821, January 21, 2011);
     do not impose an information collection burden under the 
provisions of the Paperwork Reduction Act (44 U.S.C. 3501 et seq.);
     are 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.);
     do not contain any unfunded mandate or significantly or 
uniquely affect small governments, as described in the Unfunded 
Mandates Reform Act of 1995 (Pub. L. 104-4);
     do not have Federalism implications as specified in 
Executive Order 13132 (64 FR 43255, August 10, 1999);
     are not economically significant regulatory actions based 
on health or safety risks subject to Executive Order 13045 (62 FR 
19885, April 23, 1997);
     are not a significant regulatory action subject to 
Executive Order 13211 (66 FR 28355, May 22, 2001);
     are not subject to requirements of Section 12(d) of the 
National Technology Transfer and Advancement Act of 1995 (15 U.S.C. 272 
note) because

[[Page 29250]]

application of those requirements would be inconsistent with the CAA; 
and
     do not provide EPA with the discretionary authority to 
address, as appropriate, disproportionate human health or environmental 
effects, using practicable and legally permissible methods, under 
Executive Order 12898 (59 FR 7629, February 16, 1994).
    The SIP is not approved to apply on any Indian reservation land or 
in any other area where EPA or an Indian tribe has demonstrated that a 
tribe has jurisdiction. In those areas of Indian country, the rule does 
not have tribal implications 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.

List of Subjects

40 CFR Part 52

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

40 CFR Part 81

    Environmental protection, Air pollution control.

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

    Dated: May 13, 2015.
Heather McTeer Toney,
Regional Administrator, Region 4.
[FR Doc. 2015-12347 Filed 5-20-15; 8:45 am]
 BILLING CODE 6560-50-P
```