[Federal Register Volume 62, Number 212 (Monday, November 3, 1997)]
[Rules and Regulations]
[Pages 59284-59287]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-29050]


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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[CA 083-0053a; FRL-5911-4]


Approval and Promulgation of Implementation Plans; California 
State Implementation Plan Revision, San Diego County Air Pollution 
Control District, Ventura County Air Pollution Control District

AGENCY: Environmental Protection Agency (EPA).

ACTION: Direct final rule.

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SUMMARY: EPA is taking direct final action on revisions to the 
California State Implementation Plan (SIP). These revisions concern 
rules from the San Diego County Air Pollution Control District 
(SDCAPCD) and the Ventura County Air Pollution Control District 
(VCAPCD). This approval action will incorporate these rules into the 
federally approved SIP. The intended effect of approving these rules is 
to regulate emissions of volatile organic compounds (VOCs) in 
accordance with the requirements of the Clean Air Act, as amended in 
1990 (CAA or the Act). The revised rules control VOC emissions from 
metal container, metal closure, and metal coil coating operations and 
marine vessel coating operations. Thus, EPA is finalizing the approval 
of these revisions into the California SIP under provisions of the CAA 
regarding EPA action on SIP submittals, SIPs for national primary and 
secondary ambient air quality standards and plan requirements for 
nonattainment areas.

DATES: This action is effective on January 2, 1998 unless adverse or 
critical comments are received by December 3, 1997. If the effective 
date is delayed, timely notice will be published in the Federal 
Register.

ADDRESSES: Comments must be submitted to Andrew Steckel at the Region 
IX office listed below. Copies of the rule revisions and EPA's 
evaluation report for each rule are available for public inspection at 
EPA's Region IX office during normal business hours. Copies of the 
submitted rule revisions are available for inspection at the following 
locations:

Rulemaking Office (AIR-4), Air Division, U.S. Environmental Protection 
Agency, Region IX, 75 Hawthorne Street, San Francisco, CA 94105
Environmental Protection Agency, Air Docket (6102), 401 ``M'' Street, 
S.W., Washington, D.C. 20460
California Air Resources Board, Stationary Source Division, Rule 
Evaluation Section, 2020 ``L'' Street, Sacramento, CA 92123-1095
San Diego County Air Pollution Control District, 9150 Chesapeake Drive, 
San Diego, CA 92123-1096
Ventura County Air Pollution Control District, 702 County Square Drive, 
Ventura, California 93003.

FOR FURTHER INFORMATION CONTACT: Jerald S. Wamsley, Rulemaking Office, 
AIR-4, Air Division, U.S. Environmental Protection Agency, Region IX, 
75 Hawthorne Street, San Francisco, CA 94105, Telephone: (415) 744-1226

SUPPLEMENTARY INFORMATION:

I. Applicability

    The rules being approved into the California SIP include SDCAPCD's 
Rule 67.4, Metal Container, Metal Closure, and Metal Coil Coating 
Operations, and VCAPCD's Rule 74.24, Marine Vessel Coating Operations. 
These rules were submitted by the California Air Resources Board (CARB) 
to EPA on October 18, 1996 and May 24, 1994, respectively.

[[Page 59285]]

II. Background

    On March 3, 1978, EPA promulgated a list of ozone nonattainment 
areas under the provisions of the Clean Air Act, as amended in 1977 
(1977 Act or pre-amended Act), that included San Diego and Ventura 
counties, see 43 FR 8964, 40 CFR 81.305. On May 26, 1988, EPA notified 
the Governor of California, pursuant to section 110(a)(2)(H) of the 
1977 Act, that the San Diego and Ventura county portions of the 
California SIP were inadequate to attain and maintain the ozone 
standard and requested that deficiencies in the existing SIP be 
corrected (EPA's SIP-Call). On November 15, 1990, the Clean Air Act 
Amendments of 1990 were enacted. Pub. L. 101-549, 104 Stat. 2399, 
codified at 42 U.S.C. 7401-7671q. In amended section 182(a)(2)(A) of 
the CAA, Congress statutorily adopted the requirement that 
nonattainment areas fix their deficient reasonably available control 
technology (RACT) rules for ozone and established a deadline of May 15, 
1991 for states to submit corrections of those deficiencies.
    Section 182(a)(2)(A) applies to areas designated as nonattainment 
prior to enactment of the amendments and classified as marginal or 
above as of the date of enactment. It requires such areas to adopt and 
correct RACT rules pursuant to pre-amended section 172(b) as 
interpreted in pre-amendment guidance.<SUP>1</SUP> EPA's SIP-Call used 
that guidance to indicate the necessary corrections for specific 
nonattainment areas. San Diego County is classified as ``serious'' and 
Ventura County as ``severe''.<SUP>2</SUP> As a result, these areas were 
subject to the RACT fix-up requirement and the May 15, 1991 deadline.
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    \1\ Among other things, the pre-amendment guidance consists of 
those portions of the proposed post-1987 ozone and carbon monoxide 
policy that concern RACT, 52 FR 45044 (November 24, 1987); ``Issues 
Relating to VOC Regulation Cutpoints, Deficiencies, and Deviations, 
Clarification to Appendix D of November 24, 1987 Federal Register 
Notice'' (Blue Book) (notice of availability was published in the 
Federal Register on May 25, 1988); and the existing control 
technique guidelines (CTGs).
    \2\ Both San Diego and Ventura counties retained their 
designation of nonattainment and were classified by operation of law 
pursuant to sections 107(d) and 181(a) upon the date of enactment of 
the CAA. See 56 FR 56694 (November 6, 1991).
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    The State of California submitted many revised RACT rules for 
incorporation into its SIP on October 18, 1996 and May 24, 1994, 
including the rules being acted on in this document. This document 
addresses EPA's direct-final action on SDCAPCD's Rule 67.4, Metal 
Container, Metal Closure, and Metal Coil Coating Operations, and 
VCAPCD's Rule 74.24, Marine Vessel Coating Operations. SDCAPCD adopted 
revisions to Rule 67.4 on July 25, 1995 and May 15, 1996. This 
submitted rule was found to be complete on December 19, 1996 pursuant 
to EPA's completeness criteria that are set forth in 40 CFR part 51 
Appendix V.<SUP>3</SUP> VCAPCD adopted Rule 74.24 on March 8, 1994. EPA 
found this submitted rule complete on July 14, 1994.
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    \3\ EPA adopted the completeness criteria on February 16, 1990 
(55 FR 5830) and, pursuant to section 110(k)(1)(A) of the CAA, 
revised the criteria on August 26, 1991 (56 FR 42216).
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    EPA's review of SDCAPCD Rule 67.4 addresses two adopted revisions 
of the rule, one from July 25, 1995 and May 15, 1996. These two adopted 
versions of SDCAPCD 67.4 were submitted by CARB to EPA on October 18, 
1996. Because the July 25, 1995 revisions to Rule 67.4 are reflected in 
the later May 15, 1996 revision and adoption, this rulemaking concerns 
substantively the latest adopted submittal of Rule 67.4, the May 15, 
1996 rule revision.
    SDCAPCD Rule 67.4 and VCAPCD Rule 74.24 are prohibitory rules 
governing the use and application of coating compounds containing 
photochemically reactive volatile organic compounds (VOCs) in their 
respective industries, metal container, closure, and coil manufacturing 
and marine vessel building, painting, and repair. VOCs contribute to 
the production of ground level ozone and smog. These rules were 
originally adopted as part of both the SDCAPCD and VCAPCD's respective 
efforts to achieve the National Ambient Air Quality Standard (NAAQS) 
for ozone and in response to EPA's SIP-Call and the section 
182(a)(2)(A) CAA requirement. EPA's evaluation and final action for 
these rules follow below.

III. EPA Evaluation and Action

    In determining the approvability of a VOC rule, EPA must evaluate 
the rule for consistency with the requirements of the CAA and EPA 
regulations, as found in section 110 and part D of the CAA and 40 CFR 
part 51 (Requirements for Preparation, Adoption, and Submittal of 
Implementation Plans). The EPA interpretation of these requirements, 
which forms the basis for today's action, appears in the various EPA 
policy guidance documents listed in footnote 1. Among those provisions 
is the requirement that a VOC rule must, at a minimum, provide for the 
implementation of RACT for stationary sources of VOC emissions. This 
requirement was carried forth from the pre-amended Act.
    For the purpose of assisting state and local agencies in developing 
RACT rules, EPA prepared a series of Control Technique Guideline (CTG) 
documents. The CTGs are based on the underlying requirements of the Act 
and specify the presumptive norms for what is RACT for specific source 
categories. Under the CAA, Congress ratified EPA's use of these 
documents, as well as other Agency policy, for requiring States to 
``fix-up'' their RACT rules. See section 182(a)(2)(A). The CTGs 
applicable to these rules are as follows: ``Control of Volatile Organic 
Emissions from Existing Stationary Sources Volume II: Surface Coating 
of Cans, Coils, Paper, Fabrics, Automobiles, and Light Duty Trucks,'' 
USEPA, May 1977, EPA-450/2-77-008; and, ``Control Technique Guidelines 
(CTG) for Shipbuilding and Ship Repair Operations (Surface Coating), 
USEPA, 61 FR 44050-44057, August 27, 1996. Further interpretations of 
EPA policy are found in the Blue Book, referred to in footnote one. In 
general, these guidance documents have been set forth to ensure that 
VOC rules are fully enforceable and strengthen or maintain the SIP.
    On May 2, 1995, EPA approved into the SIP a version of SDCAPCD's 
Rule 67.4, Metal Container, Metal Closure, and Metal Coil Coating 
Operations, that had been adopted by SDCAPCD on September 27, 1994. The 
revised version of SDCAPCD Rule 67.4 under consideration today includes 
the following significant changes from the current SIP rule:

--Lowered VOC limits for end sealing compound for food and beverage 
containers, from 440 grams/liter (gr/l) to 20 gr/l;
--Added VOC limits for exterior and interior spray coating of new (as 
opposed to reconditioned) drums, pails, and lids at 340 and 420 gr/l;
--Added requirements for equipment cleaning operations;
--Exempted the use of cleaning material in quantities of less than 10 
gallons per month from the prohibition of VOC containing materials;
--Updated several definitions;
--Updated and added test methods; and,
--Revised the exempt compound definition to reference Rule 2, a rule 
defining exempt compounds for all rules regulating VOC emissions.

    EPA has reviewed and approved Rule 2 and similar changes to other 
VOC related rules for incorporation into the California SIP (see 62 FR 
14659, March 27, 1997.)
    EPA has evaluated SDCAPCD Rule 67.4 and has determined that it is 
consistent with the CAA, EPA regulations, and EPA policy. Therefore,

[[Page 59286]]

SDCAPCD's Rule 67.4, Metal Container, Metal Closure, and Metal Coil 
Coating Operations, is approved under section 110(k)(3) of the CAA as 
meeting the requirements of section 110(a) and part D.
    There is no version of VCAPCD's Rule 74.24, Marine Vessel Coating 
Operations, in the SIP. The submitted rule includes the following 
provisions: applicability, general and specialty coating emission 
limits, add-on emission control equipment requirements; allowable 
exemptions from the rule, recordkeeping requirements, appropriate test 
methods, violations under the rule, and a list of definitions operable 
within the rule.
    EPA has evaluated VCAPCD Rule 74.24 as submitted and has determined 
that it is consistent with the CAA, EPA regulations, and EPA policy. 
Therefore, VCPCD's Rule 74.24, Marine Vessel Coating Operations, is 
approved under section 110(k)(3) of the CAA as meeting the requirements 
of section 110(a) and part D.
    Nothing in this action should be construed as permitting or 
allowing or establishing a precedent for any future implementation 
plan. Each request for revision to the state implementation plan shall 
be considered separately in light of specific technical, economic, and 
environmental factors and in relation to relevant statutory and 
regulatory requirements.
    EPA is publishing this document without prior proposal because the 
Agency views this as a noncontroversial amendment and anticipates no 
adverse comments. However, in a separate document in this Federal 
Register publication, the EPA is proposing to approve the SIP revision 
should adverse or critical comments be filed. This action will be 
effective January 2, 1998, unless, by December 3, 1997, adverse or 
critical comments are received.
    If the EPA receives such comments, this action will be withdrawn 
before the effective date by publishing a subsequent document that will 
withdraw the final action. All public comments received will then be 
addressed in a subsequent final rule based on this action serving as a 
proposed rule. The EPA will not institute a second comment period on 
this action. Any parties interested in commenting on this action should 
do so at this time. If no such comments are received, the public is 
advised that this action will be effective January 2, 1998.

IV. Administrative Requirements

A. Executive Order 12866

    The Office of Management and Budget (OMB) has exempted this 
regulatory action from E.O. 12866 review.

B. Regulatory Flexibility Act

    Under the Regulatory Flexibility Act, 5 U.S.C. 600 et seq., EPA 
must prepare a regulatory flexibility analysis assessing the impact of 
any proposed or final rule on small entities. 5 U.S.C. 603 and 604. 
Alternatively, EPA may certify that the rule will not have a 
significant impact on a substantial number of small entities. Small 
entities include small businesses, small not-for-profit enterprises, 
and government entities with jurisdiction over populations of less than 
50,000.
    SIP approvals under section 110 and subchapter I, part D of the 
Clean Air Act do not create any new requirements, but simply approve 
requirements that the State is already imposing. Therefore, because the 
Federal SIP approval does not impose any new requirements, the 
Administrator certifies that it does not have a significant impact on 
any small entities affected. Moreover, due to the nature of the 
Federal-State relationship under the CAA, preparation of a flexibility 
analysis would constitute Federal inquiry into the economic 
reasonableness of state action. The Clean Air Act forbids EPA to base 
its actions concerning SIPs on such grounds. Union Electric Co. v. U.S. 
EPA, 427 U.S. 246, 255-66 (1976); 42 U.S.C. 7410(a)(2).

C. Unfunded Mandates

    Under Section 202 of the Unfunded Mandates Reform Act of 1995 
(``Unfunded Mandates Act''), signed into law on March 22, 1995, EPA 
must prepare a budgetary impact statement to accompany any proposed or 
final rule that includes a Federal mandate that may result in estimated 
costs to State, local, or tribal governments in the aggregate; or to 
private sector, of $100 million or more. Under Section 205, EPA must 
select the most cost-effective and least burdensome alternative that 
achieves the objectives of the rule and is consistent with statutory 
requirements. Section 203 requires EPA to establish a plan for 
informing and advising any small governments that may be significantly 
or uniquely impacted by the rule.
    EPA has determined that the approval action promulgated does not 
include a Federal mandate that may result in estimated costs of $100 
million or more to either State, local, or tribal governments in the 
aggregate, or to the private sector. This Federal action approves pre-
existing requirements under State or local law, and imposes no new 
Federal requirements. Accordingly, no additional costs to State, local, 
or tribal governments, or to the private sector, result from this 
action.

D. Submission to Congress and the General Accounting Office

    Under 5 U.S.C. 801(a)(1)(A) as added by the Small Business 
Regulatory Enforcement Fairness Act of 1996, EPA submitted a report 
containing this rule and other required information to the U.S. Senate, 
the U.S. House of Representatives and the Comptroller General of the 
General Accounting Office prior to publication of the rule in today's 
Federal Register. This rule is not a ``major'' rule as defined by 5 
U.S.C. 804(2).

E. Petitions for Judicial Review

    Under section 307(b)(1) of the Clean Air Act, petitions for 
judicial review of this action must be filed in the United States Court 
of Appeals for the appropriate circuit by January 2, 1998. Filing a 
petition for reconsideration by the Administrator of this final rule 
does not affect the finality of this rule for the purposes of judicial 
review nor does it extend the time within which a petition for judicial 
review may be filed, and shall not postpone the effectiveness of such 
rule or action. This action may not be challenged later in proceedings 
to enforce its requirements. (See section 307(b)(2).)

List of Subjects in 40 CFR Part 52

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

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

    Dated: September 26, 1997.
Felicia Marcus,
Regional Administrator.

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

PART 52--[AMENDED]

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

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

[[Page 59287]]

Subpart F--California

    2. Section 52.220 is amended by adding paragraphs (c)(197)(i)(D) 
and (c)(241)(i)(A)(2) to read as follows:


Sec. 52.220  Identification of plan.

* * * * *
    (c) * * *
    (197) * * *
    (i) * * *
    (D) Ventura County Air Pollution Control District.
    (1) Rule 74.24, adopted on March 8, 1994.
* * * * *
    (241) * * *
    (i) * * *
    (A) * * *
    (2) Rule 67.4, revised on May 15, 1996.
* * * * *
[FR Doc. 97-29050 Filed 10-31-97; 8:45 am]
BILLING CODE 6560-50-P