MEMORANDUM

DATE: March 5, 2012 SUBJECT: Technical Support Document: Section 110(a)(l) and (2) Infrastructure Requirements f0t1::97 8-hour Ozone Standard; Alaska FROM: THRU: Kristin Hall

### 1~' Debra Suzuki, Unit Manager, 

### S APU 

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TO: Docket File EPA-RI0-0AR-20l1-0883

A. INTRODUCTION EPA is proposingto approve the State Implementation Plan (SIP) submittal from the State of Alaskato demonstrate that the SIP meets the requirements ofsection llO(a)(l) and (2) ofthe Clean Air Act (CAA) for the National Ambient Air Quality Standards (NAAQS) promulgated for ozone onJuly 18, 1997. EPA is proposingto find that the Alaska SIP meets the following 110(a)(2) infrastructure elements for the 1997 8-hour ozoneNAAQS: (A), (B), (C), (D)(ii), (E), (F), (0), (H), (J), (K), (L), and (M). EPA is proposingto concurrently approve a number of revisions to the Alaska SIP as a necessary condition to approving the 11O(a)(2) infrastructure elements for ozone. Specifically, EPA is proposingto approve revisions submitted byAlaskato update the SIP to include the most recent ozone standard at an 8-hour averagingperiod, the associated federal method for measuring and monitoring ozone in ambient air, a general definition ofozone, federal Prevention ofSignificant Deterioration (PSD) program changes to regulate NOx as a precursor to ozone, and regulations to satisfy CAA section 128 conflict of interest disclosure requirements.

B.BACKGROUND OnJuly 18, 1997, EPA promulgated a new NAAQS for ozone. EPA revised the ozone NAAQS to provide an 8-hour averagingperiod which replaced the previous I-hour averaging period, and the level ofthe NAAQS was changed from 0.12 parts permillion (ppm) to 0.08 ppm (62 FR 38856). The Clean AirAct (CAA orAct) requires State Implementation Plans (SIPs) meeting the requirements ofsections 11O(a)(l) and (2) be submitted by states within 3 years after promulgation ofa new orrevised standard. Sections 11O(a)(l) and (2) require states to address basic SIP requirements, including emissions inventories, monitoring, and modeling to assure attainment and maintenance ofthe standards, so-called "infrastructure"requirements. States 1were required to submit such SIPs for the 1997 8-hourozone NAAQS to EPA no later thanJune 2000. However, intervening litigation overthe 1997 8-hourozone standard created uncertainty about how to proceed, and many states did not provide the required infrastructure SIP submissions for the newlypromulgated standard. To help states meet this statutoryrequirement, EPA issued guidance to address infrastructure SIP elements under section 11O(a)(1) and (2). I This guidance provides that to the extent an existing SIP alreadymeets the section IIO(a)(2) requirements, states need onlyto certify that fact via a letter to EPA. Section 11O(a) imposes the obligation upon states to make a SIP submission to EPA for a new orrevised NAAQS, but the contents ofthat submission may vary depending upon the facts and circumstances. In particular, the data and analytical tools available at the time the state develops and submits the SIP for a new orrevised NAAQS affects the content ofthe submission. The contents ofsuch SIP submissions may also vary depending upon what provisions the state's existing SIP already contains. In the case ofthe 1997 8-hour ozone NAAQS, states typically have met the basic program elements required in section II 0(a)(2) through earlier SIP submissions in connection withprevious ozone standards. C. ALASKA SUBMITTAL The Alaska Department ofEnvironmental Conservation (ADEC) submitted a SIP to EPA on March 2,2012, certifying that Alaska's SIP meets the infrastructure obligations for the 1997 ozoneNAAQS, 1997 PM2.5 NAAQS, 2006 PM2
.5NAAQS, 2008 ozone NAAQS, and 2008 lead NAAQS. The submittal included an attachment analyzing Alaska's SIP as it relates to each section ofthe infrastructure requirements. The state has requested parallel processing on the March 2, 2012 submittal. Underthis procedure, the state submits the SIP revision to EPA before final adoption by the state. EPA reviews this proposed state action and prepares a notice of proposedrulemaking. EPA publishes its notice ofproposed rulemaking in the Federal Register and solicits public comment in approximately the same time frame during which the state is completing its rulemaking action. ADEC provided a schedule to EPA for finalizing the March 2, 2012 SIP submittal, including public review, state adoption, and submittal ofthe final SIP package to EPA. Ifchanges are made to the SIP submittal afterthis proposal, such changes will be described in EPA's final rulemaking action and, ifsuch changes are significant, EPA mayrepropose the action and provide an additional public commentperiod. At this time, EPA is acting on the infrastructure SIP submittal for the 11O(a)(2) required elements as theyrelate to the 1997 8-hourozone NAAQS. This action does not address infrastructure requirements with respect to the 1997 PM2.5 NAAQS, 2006 PM2.5 NAAQS, 2008 ozone NAAQS, and 2008 lead NAAQS which EPA intends to act on at a later time. This action also does not address the requirements of 110(a)(2)(D(i) for the 1997 8-hour ozone NAAQS which were previously approved byEPA on October 15, 2008 (73 FR 60955). EPA is proposing to concurrently approve a number ofrevisions to the Alaska SIP as a necessary condition to approving the 11O(a)(2) infrastructure elements for ozone. On April 9, 2010 ADEC

1 William T. Harnett, Director, Air Quality Policy Division, Office ofAir Quality Planning and Standards. "Guidance on SIP Elements Required Under Sections 110(a)(1) and (2) for the 1997 B-hour Ozone and PM•.s National Ambient Air Quality Standards." Memorandum to EPA Air Division Directors, Regions I-X, October 2,2007. 2submitted a SIP revision to EPA which includes, among otherthings, revisions to Alaska Administrative Code Chapter 50 "AirQuality Control" to include recent changes to theNAAQS for PM2.5, ozone, and lead; federal reference and interpretation methods for monitoring and measuring PM2.5, ozone and lead in ambient air; and definitions for PM2.5 and ozone. EPA is proposing to approve theportions ofthis SIP revision which update the Alaska SIP to include the ozone standard at an 8-hour averaging period, the associated federal method for measuring and monitoring ozone in ambient air, a general definition ofozone. On November 19, 2010, ADEC submitted a SIP revision which, among otherthings, contains updates to Alaska's PSD program. EPA is proposingto concurrently approve the Alaska PSD program revisions to regulate NOx as a precursor to ozone. On March 2,2012, ADEC submitted the above-described infrastructure certification, in addition to state conflict ofinterest and financial disclosure regulations for purposes ofmeeting the requirements ofCAA 128 and rules changes to meet federal requirements related to nitrogen dioxide, fine particulatematter and lead. In this action, EPA is proposing to approve the Alaska state conflict ofinterest and financial disclosure regulations as meeting the requirements ofCAA section 128. EPA will act onthe remainder ofthese SIP revisions in future actions.



### D. EPA REQUIREMENTS Section 11O(a)(l) provides the procedural and timingrequirements for SIP submissions after a new orrevised NAAQS is promulgated. Section 110(a)(2) lists specific elements that states must meet for "infrastructure" SIP requirements related to a newly established orrevised NAAQS. Theserequirements include SIP infrastructure elements such as modeling, monitoring, and emissions inventories that are designed to assure attainment and maintenance ofthe NAAQS. The requirements, with their corresponding CAA subsection, are listed below:

• 110(a)(2)(A): Emission limits and other control measures. • 110(a)(2)(B): Ambient air quality monitoring/data system. • 110(a)(2)(C): Program for enforcement ofcontrol measures. • 11O(a)(2)(D): Interstate transport. • 11O(a)(2)(E): Adequate resources. • 11O(a)(2)(F): Stationary source monitoring system. • 110(a)(2)(G): Emergencypower.. • IIO(a)(2)(H): Future SIP revisions. • 110(a)(2)(I): Areas designated nonattainment and meet the applicable requirements of part D. • 11O(a)(2)(J): Consultation with government officials; public notification; and Prevention ofSignificant Deterioration (PSD) and visibilityprotection. • 110(a)(2)(K): Airqualitymodeling/data. • 110(a)(2)(L): Permitting fees. • 11O(a)(2)(M): Consultation/participation by affected local entities. EPA's October 2,2007 guidance clarified that two elements identified in section 11O(a)(2) are not governed bythe 3 year submission deadline ofsection 11O(a)(1) because SIPs incorporating necessary local nonattainment area controls are not due within 3 years afterpromulgation ofa 3new orrevised NAAQS, but rather due at the time the nonattainment area plan requirements are due pursuant to CAA section 172. Theserequirements are: (i) submissions required by section II0{a)(2)(C) to the extent that subsection refers to a permit program as required in part D Title I ofthe CAA, and (ii) submissions required by section 110(a)(2){I) which pertain to the nonattainment planningrequirements ofpart D, Title I ofthe CAA. As a result, this action does not address infrastructure elements related to section 110(a)(2)(C) with respect to nonattainment new sourcereview (NSR) or 110(a)(2)(I). This action also does not address the requirements of 110(a)(2)(D(i) for the 1997 8-hour ozoneNAAQS which have been addressed by a separate action issued byEPA. On October 15, 2008, EPA approved the SIP submittal byADEC as meetingthe provisions ofClean AirAct section 110(a)(2)(D)(i) for the 1997 8-hour ozone NAAQS (73 FR 60955). Furthermore, EPA interprets the section 11O(a)(2)(J) provision on visibility as not being triggered by a new NAAQS becausethe visibility requirements in part C are not changed by a new NAAQS. 

### E. EVALUATION OF STATE SUBMITTAL The Alaska infrastructure submittal summarizes the statutory and regulatory authority ofADEC to act onbehalfofthe State ofAlaska in any matterpertainingto the state air quality control plan. The infrastructure submittal lists specific provisions ofthe Alaska Statute (AS) Title 46 Water, Air Energy and Environmental Conservation, Chapter03 Environmental Conservation and Chapter 14 Air Quality Control; Alaska Administrative Code (AAC) Title 18 Environmental Conservation; and the Alaska SIP. The specific sections are listed below, with a discussion of how the Alaska submittal meets the requirements. 110(a)(2)(A): Emission limits and other control measures: Section 110(a)(2)(A) requires SIPs to include enforceable emission limits and other control measures, means ortechniques, schedules for compliance and otherrelated matters. EPA notes that the specific nonattainment area plan requirements ofSection 110(a)(2)(I) are subject to the timingrequirement ofSection 172, not the timing requirement ofSection 11O(a)(1). Alaska's submittal: Alaska's SIP submittal cites an overview ofthe Alaska environmental and airquality laws found at AS 46.03 and AS 46.14 and regulations found at AAC Title 18 Environmental Conservation, Chapter 50 Air Quality Control. The regulations include statewide ambient air quality standards, major and minorpermits, transportation conformity and fees, among others. The relevant laws and regulations are as follows: AS46.03.020: Powers a/the department: Provides authority for ADEC to adopt regulations providing for control, prevention, and abatement ofair, water, land, or subsurface land pollution. AS46.03.860: Inspection warrant: Provides authority for ADEC to investigate actual or suspected sources ofpollution orcontamination, orto ascertain compliance or noncompliance. AS46.14.010: Emission control regulations: Provides authority for ADEC to adopt regulations establishing ambient air quality standards, emission standards, or exemptions to implement a state air quality control program.

4AS46.14.020: Classification of stationarysources or emissions units; reporting: Provides authority for ADEC to require emissions reporting from stationary sources. AS46.14.030: State air qualityplan: Provides authority for ADEC to "act for the state in any negotiations relative to the state air quality control plan developed under 42 U.S.C. 7401

- 7671q (Clean AirAct), as amended. The department may adopt regulations necessary to implement the stateplan." AS46.14.240: Permit administrationfees: Provides authority to assess permit administration fees to sources. AS46.14.250: Emissionfees: Provides authority to establish emission fee rates and require sources to pay assessed emission fees annually. AS

### 46.14.515: Inspection: Provides authority to inspect regulated sources, including records, emissions units, monitoring equipment or methods, and to sample any emissions the source is required to sample. 18AAC50.005: Purpose andApplicability of Chapter: Lays out the purpose ofthe Alaska air qualityregulations as theyrelate to the authorityprovided in the Clean Air Act and Alaska statute. The air quality regulations apply to "anyperson who allows orcauses air pollutants to be emitted into the ambient air." 18AAC50.010:AmbientAir Quality Standards: This section establishes state-wide standards for concentrations ofairpollutants in the ambient air, including ozone. 18AAC50.035: Documents, Procedures, andMethodsAdoptedbyReference: Subsection (b) adopts byreference the federal reference and interpretation methods for measuring criteria pollutants in ambient air, including ozone. 18AAC50.045: Prohibitions: Requires sources comply with applicable local, state and federal law and prohibits construction, operation ormodification ofa source that will result in a violation ofthe applicable emission standards orthat will interfere with the attainment or maintenance ofambient air quality standards. 18AAC50.050 

### 18AAC50.075: Theseregulations establish emissions limits for specific sources. 18AAC50.201:AmbientAir QualityInvestigation: Provides authority to ADEC to require a source to do emissions testing, reduce emissions, and apply controls to sources when there's a reasonable likelihood the sources emissions are causing or significantly contributing to ambient concentrations ofone or more airpollutants that exceed an ambient air quality standard or where emission limits are exceeded. 18AAC50.302: Construction Permits: This section requires new or modified major sources to obtain a PSD, non-attainment NSR, or construction permit for major sources ofhazardous air pollutants. 518AAC50.306: Prevention of SignificantDeterioration Permits: This section requires sources to generally comply with the requirements of40 C.F.R. 52.21, adopted byreference in 18 AAC 50.040. The section also provides for procedures for issuingpermits as generallylaid out in AS 46.14, and 40 CFR 52.166(f) and (q)(2), and 40 CFR 52.21, as adopted byreference in 18 AAC 50.040. 18AAC50.345: Construction and Operating Permits: StandardPermit Conditions: This section requires the source to comply with eachpermit term and condition. The section specifies that noncompliance with a permit term or condition constitutes a violation and is grounds for an enforcement action; permit terminations, revocation and reissuance, or modification in accordance with the authorizing statute. This section also provides ADEC the authority to inspect the source, equipment, practices, oroperations; have access to records; and sample or monitor to assure compliance withthe permit orother applicable requirements. 18AAC50.502: MinorPermits forAir Quality Protection: This section requires a minorpermit prior to construction, operation orrelocation ofminor sources that have thepotential to emit above specified emission rates. 18AAC50.540: Minor PermitApplication: This section requires that sources applying for a minor permit demonstrate that the proposed potential emissions from the stationary source will not interfere with the attainment or maintenance ofthe ambient air quality standards. 18AAC50.542: MinorPermitReviewandIssuance: This section sets out the permitting process for minor sources and provides authorityto deny a minorpermit application classified under 18 AAC 50.502 ifthe department finds that construction and operation will result in a violation ofarequirement of 18 AAC 50.045

- 18 AAC 50.090 or an ambient air quality standard. 18AAC50.544: Minor Permits: Content: This regulations requires each minorpermit under 18 AAC 50.502(C) to include terms and conditions as necessaryto ensure that the proposed stationary source ormodification will not cause or contribute to a violation ofany ambient air quality standard. 18AAC50.700 

### 18AAC50.735: Conformity: This section lays out transportation conformity requirements. f8AC50.990: Definitions. This section includes "ambient air quality standard" means a standard, other than an emission standard, adopted under AS 46.14.010,46.14.140, 46. 14.400(f), or42 U.S.C. 7409 (Clean Air Act, sec. 109). This section also includes the definition for ozone. EPA analysis: Alaska's SIP meets the requirements ofsection 110(a)(2)(A) for the 1997 8-hour ozoneNAAQS, subject to the following clarifications. First, this infrastructure element does not require the submittal ofregulations or emission limitations developed specifically for attaining the 1997 ozone NAAQS. Furthermore, Alaskahas no areas designated nonattainment for the

61997 8-hour ozone NAAQS. As a result, Alaska primarilyregulates emissions ofozone and its precursors through its SIP-approved major and minor source permitting programs. The current federally-approved Alaska ambient air quality standards rule at 18 AAC 50.010 only contains thepreviouslypromulgated one-hour ozone standard. As noted above, Alaska submitted a SIP revision to EPA onApril 9, 2010 which includes a number ofupdates to incorporate morerecent federal ozone regulatory changes. The SIP revises Alaska's ambient air quality standards at 18 AAC 50.010(4) to include the 2008 8-hour ozone standard of0.075 ppm at an 8-hour averaging period. This revision inherently satisfies the requirements for the 1997 8­ hour ozone NAAQS becausethe 2008 8-hourozoneNAAQS of0.075 ppm is more stringent than the 1997 8-hour ozone NAAQS of0.080 ppm. The SIP revision also revises the lead-in language of 18 AAC 50.010 to reference analytical methods adopted byreference at 18 AAC 50.035. The SIP revision then incorporates byreference 40 CFR Part 50 Appendix P: Interpretation ofthe Primary and SecondaryNational Ambient Air Quality Standards for Ozone at 18 AAC 50.035(b)(1) and adds a reference to 40 CFR Part 50 Appendix P at 18 AAC 50.215(a)(2). Finally, the SIP revision adds a basic definition ofozone at 18 AAC 50.990(129). EPA is proposingto approve theseportions ofthe April 9, 2010 SIP revision in orderto update Alaska's SIP to include the most recent federal ozoneNAAQS and related analytical methods. As a result, EPA is proposing to concurrently approve Alaska's SIP as meeting therequirements ofsection 110(a)(2)(A) for the 1997 8-hour ozone NAAQS. In this action, EPA is not proposingto approve or disapprove any existing state provisions with regard to excess emissions during startup, shutdown, ormalfunction (SSM) ofoperations at a facility. EPA believes that a number ofstates may have SSM provisions that are contraryto the Clean Air Act and existing EPA guidance2 and the Agencyplans to address such state regulations inthe future. In the meantime, EPA encourages any state having a deficient SSM provision to take steps to correctit as soon as possible. In this action, EPA is not proposing to approve ordisapprove any existing staterules with regard to director's discretion or variance provisions. EPA believes that a number ofstates mayhave such provisions that are contrary to the Clean AirAct and existing EPA guidance (52 FR 45109), November 24, 1987, and the Agencyplans to take action in the future to address such state regulations. In the meantime, EPA encourages any statehaving a director's discretion or variance provision that is contraryto the Clean Air Act and EPA guidance to take steps to correct the deficiency as soon as possible. 110(a)(2)(B): Ambient air quality monitoring/data system: Section 11O(a)(2)(B) requires SIPs to includeprovisions to provide for establishment and operation ofambient air quality monitors, collecting and analyzing ambient air qualitydata, and making these data available to EPA upon request.

2 Steven Herman, Assistant Administrator for Enforcement and Compliance Assurance, and Robert Perciasepe, Assistant Administrator for Air and Radiation. "State Implementation Plans (SIPs): Policy Regarding Excess Emissions During Malfunctions, Startup, and Shutdown." Memorandum to EPA Air Division Directors, August 11, 1999. 7Alaska's submittal: Alaska's SIP submittal references Alaska statutory and regulatory authority to conduct ambient air monitoring investigations. The specific references arebelow: AS46.03.020(5): Provides ADEC with authority to undertake studies, inquiries, surveys, or analyses itmayconsider essential to the accomplishment ofthe purposes ofthe department; these activities maybe carried outbythe personnel ofthe department orin cooperation with public orprivate agencies, including educational, civic, and research organizations, colleges, universities, institutes, and foundations." AS46.14.180: Provides ADEC with authorityto require sources to monitor emissions and ambient air quality to demonstrate compliance with applicable permit program requirements. 18AAC50.201: AmbientAir QualityInvestigation: Provides authority to ADEC to require a source to do emissions testing, reduce emissions, and apply controls to sources when there's a reasonable likelihood the source's emissions are causing or significantly contributing to ambient concentrations ofone or more air pollutants that exceed an ambient air quality standard or where emission limits are exceeded. In addition, the Alaska submittal states that on April I, 2010, the State ofAlaska adopted into 18 AAC 50 Articles 1 and 2, 40 CFR Part 50 interpretation methods for ozone: Appendix P: Interpretation ofthe Primary and SecondaryNational Ambient Air Quality Standards for Ozone. The submittal also describes Memoranda ofUnderstanding between ADEC and the Municipality ofAnchorage (MOA) and Fairbanks North Star Borough (FNSB) to operate air quality control programs in their respectivejurisdictions. ADEC's AirNon-Point Mobile Source Program and AirMonitoring & Quality Assurance Program work with MOA and FNSB to prepare Alaska's annual ambient airmonitoring network plan, the most recent ofwhich is the 2011 Alaska Air MonitoringNetwork Plan at http://www.dec.state.ak.us/air/am/index.htm. There are no nonattainment areas for 1997 8-hour ozone standard in Alaska. ADEC has recently implemented monitoring for ozone in the Anchorage area, as outlined in the above-referenced monitoring network plan. Alaska collects and validates State and Local Air Monitoring Stations and Special Purpose Monitoring ambient air quality monitoring data and reports the data to the AMQA's database manager. This person verifies the data, and electronicallyreports these data to EPA through the Air Quality System (AQS) on a quarterlybasis. ADEC's revised "Quality Assurance Project Plan for the State ofAlaska Air Monitoring and Quality Assurance Program was adopted byreference into the State Air quality Control Plan on October 29, 2010. Theplan canbe found at http://www.dec.state.ak.us/air/doc/ADEC AMOA OAPP 23FEB 1 O-final.pdf

. EPA analysis: A comprehensive air quality monitoringplan, intended to meet requirements of 40 CFR part 58 was submitted byAlaska to EPA onJanuary 18, 1980 (40 CFR 52.70) and approvedbyEPA on April 15, 1981. This air quality monitoring planhas been subsequently updated and submitted to EPA. Themost recent plan is dated July 1, 2011 and was approved by

8EPA on October 5, 2011. This plan includes, among otherthings, the locations for ozone monitoring. Alaska makes this plan available for public review at http://www.dec.state.ak.us/air/am/index.htm

. As discussed above, Alaska submitted a SIP revision to EPA on April 9, 2010 which includes, among other things, the adoptionbyreference of40 CFR Part 50 Appendix P: Interpretation of the Primary and Secondary National Ambient Air Quality Standards for Ozone at 18 AAC 50.035. EPA is proposingto approve this revision to the Alaska SIP to incorporate byreference 40 CFR Part 50 Appendix P. Based on the foregoing, EPA is proposing to approve the Alaska SIP as meeting therequirements ofCAA Section 110(a)(2)(B) for the 1997 8-hour ozone NAAQS. llO(a)(2)(C): Program for enforcement ofcontrol measures: Section 110(a)(2)(C) requires states to include a programproviding for enforcement ofall SIP measures and theregulation of construction ofnew ormodified stationary sources, including a program to meetprevention of significant deterioration (PSD) and nonattainment New Source Review (NSR) requirements. Alaska's submittal: Alaska's SIP submittal refers to ADEC's statutory authority to regulate stationary sources via an air permittingprogram established in AS 46.14 Air Quality Control, Article 01 General Regulations and Classifications and Article 02 Emission Control Permit Program. The submittal indicates that ADEC's PSDINSR programs were approved byEPA on August 14,2007 (72 FR45378) and that the PSDINSRprograms implement the 1997 ozone NAAQS and relevant requirements ofthe Phase II ozone implementation rule as required in 69 FR23951 (April 30, 2004) and 70 FR 71612 (November 29,2005). Alaska's submittal references the following regulations: 18AAC50.302: Construction Permits: This section requires new ormodified major sources to obtain a PSD, non-attainment NSR, orconstruction permit for major sources ofhazardous air pollutants. 18AAC50.306: Prevention of SignificantDeterioration Permits: This section requires sources to generally comply with the requirements of40 C.F.R. 52.21, adopted byreference in 18 AAC 50.040. The section also provides for procedures for issuing permits as generally laid out in AS 46.14, and 40 CFR 52.166(f) and (q)(2), and 40 CJ:<R 52.21, as adopted byreference in 18 AAC 50.040. 18AAC50.345 Construction and OperatingPermits: StandardPermit Conditions: Requires compliance with permit terms and conditions for stationary sources. Includes requirements for compliance inspections, source testing, and reporting. 18AAC50.508MinorPermits Requestedby the Owner or Operator: Provides for ownerrequested emissions limits in certain situations.

918AAC50.540Minor Permit: Application: Includes minor pennit applications requirements, including the requirement to demonstrate that proposed potential emissions will not interfere with attainment or maintenance ofthe ambient air quality standards. 18AAC50.542MinorPermitReview andIssuance: Establishes requirements for minorpennit review and issuance including denial ofa minor pennit where the department finds that construction and operation will result in a violation ofan ambient air quality standard. 18AAC50.542(c) ScreeningAmbientAir QualityAnalysis: Lays out criteria for ambient air quality analysis including required modeling protocol. 18AAC50.045Prohibitions: Requires stationary source compliance with this chapter and any other applicable local, state orfederal law. Prohibits the construction, operation or modification ofa stationary source that will result in a violation ofthe applicable emission standards orthat will interfere with the attainment ormaintenance ofambient air quality standards. 18AAC50.345(c) Construction and Operating Permits: StandardPermit Conditions: Requirement to comply with pennit tenns and conditions; grounds for enforcement, pennit tennination, revocation, reissuance, ormodification. In addition, Alaska's SIP submittal states that a violation ofthese prohibitions or anypennit condition can result in civil actions (AS 46.03.760), administrative penalties (AS 46.03.761), or criminal penalties (AS 46.03.790). In addition, Alaska's SIP submittal refers to regulations pertaining to compliance orders and enforcement proceedings are found in 18 AAC Chapter 95 Administrative Enforcement. AS46.03.760: Civilactionforpol/ution; damages: Provides authority for civil action where a person violates a provision, regulation, a lawful order ofthe department, or a pennit, approval, or acceptance, ortenn or condition ofa pennit, approval, or acceptance issued under this chapter or AS 46.04 orAS 46.09 is liable, in a civil action, AS46.03. 761: Administrativepenalties: Provides authority for ADEC to assess an administrative penalty against an entity that violates a provision ofAS 46.03.720 or a tenn or condition ofa regulation, order, pennit, approval, orcertificate ofthe department. AS46.03. 790: Criminalpenalties: Provides authority to charge a person with a class A misdemeanor where applicable. AS46.03.820: Emergencypowers: Provides ADEC with emergency order authority where there is a"person causing, engaging in, ormaintaining a condition or activity that, in thejudgment of its commissionerpresents an imminent orpresent danger to the health or welfare ofthe people of the state orwould result in orbe likely to result in irreversible orirreparable damage to the natural resources or environment, and it appears to beprejudicial to the interests ofthe people of the state to delay action until an opportunity for a hearing canbe provided, the department may, without priorhearing, orderthat person bynotice to discontinue, abate, or alleviate the condition

10oractivity. Theproscribed condition or activity shall be immediately discontinued, abated, or alleviated." 18AAC Chapter 95AdministrativeEnforcement: Provides regulations and procedures for compliance orders and enforcement proceedings. EPA analysis: To generallymeet the requirements ofsection 110(a)(2)(C), the state is required to haveprevention ofsignificant deterioration (PSD), nonattainment new source review (NSR), and minor NSR permittingprograms adequate to implement the 1997 8-hour ozone NAAQS. As explained above, in this action EPA is not evaluating nonattainment related provisions, such as the nonattainment NSR program required bypart D ofthe CAA. In addition, Alaskahas no nonattainment areas for the 1997 ozoneNAAQS. EPA believes the cited Alaska SIP-approvedprovisions provide ADEC with the authority with the authority to enforce air quality regulations, permits, and orders promulgatedpursuant to AS 46.03 and AS 46.14. ADEC staffs and maintains an enforcementprogram to ensure compliance with SIP requirements. ADEC has emergency order authority when there is an imminent or present danger to health orwelfare orpotential for irreversible orirreparable damage to natural resources or environment. Enforcement cases maybe referred to the State Department ofLaw. Therefore, EPA is proposingto approve the Alaska SIP as meetingthe requirements ofsection 110(a)(2)(C) relating to enforcement. EPA believes Alaska's PSD program generally meets the requirements for the 1997 8-hour ozone standard, with the exception discussed below. EPA recently approved changes to Alaska's PSD program on Pebruary 9,2011 to reflect changes to the federal PSD program relating to the permitting ofgreenhouse gas emissions (76 PR 7116). Prior to that, EPA approved revisions to Alaska's PSD program on August 14,2007 (72 PR 45378). However, in order for Alaska's SIP-approved PSD program to fully satisfy the requirements ofsection 11O(a)(2)(C) for the 1997 ozone NAAQS, the program must also properlyregulate nitrogen oxides as a precursor to ozone. On November 29, 2005, EPA promulgated the phase 2 implementation rule for the 1997 ozone NAAQS, which includes requirements for PSD programs to treat nitrogen oxides as a precursorto ozone (72 PR 71612). The phase 2 implementation rule accordingly updated the regulations at 40 CPR 51.166 and 40 CPR 52.21 to meet these requirements, effective January 30, 2006. This effective date is after the July 1, 2004 date ofincorporation byreference of40 CPR 51.166 and 40 CPR 52.21 bythe current federally-approved Alaska SIP. In other words, Alaska's current federally-approved PSD program does not meet the requirements ofthe phase 2 ozone implementation rule. On November 19,2010, Alaska submitted a SIP revision that includes, among other things, updates to the state's incorporatebyreference dates offederal PSD regulations. Specifically, the SIP revision updates the Alaska SIP to include revised federal definitions oftennsreferenced bythe Alaska PSD program including "major stationary source," "majormodification," "significant" and "regulated NSR pollutant." As a result ofthis updated incorporation by reference, Alaska's federally-approved PSD program will meet therequirement to regulate NOx as a precursor to ozone. Therefore, EPA is proposingto approve the portion ofAlaska's November 19, 2010 SIP revision that updates the incorporationbyreference dates for 40 CPR

1151.166 and 40 CFR Part 52 revised as ofAugust 2, 2010 at 18 AAC 50.040(h) as they relate to the four definitions described above. EPA is also proposing to approve the sections of 18 AAC 50.990 which reference those federal definitions: 18 AAC 50.990(52) "major stationary source," 18 AAC 50.990(53) "majormodification," 18 AAC 50.990(92) "regulated NSR pollutant." EPA is proposing to concurrently approve the Alaska SIP as meeting the requirements of 110(a)(2)(C) as they relate to PSD for the 1997 8-hour ozone standard. EPA is also proposing to approve Alaska's SIP for the 1997 8-hour ozoneNAAQS with respect to the general requirement in section 110(a)(2)(C) to include a program in the SIP that regulates the modification and construction ofany stationary source as necessary to assure that the NAAQS are achieved. In this action, EPA is not proposing to approve or disapprove any state rules with regard to NSR Reform requirements for major sources. EPA most recently approved changes to Alaska'sNSRprogram, including NSR Reform, on August 14,2007 (72 FR45378). Alaska's SIP-approved minorNSRprogram adopted pursuant to section 11O(a)(2)(C) ofthe Act regulates ozone and its' precursors. In this action, EPA is not proposing to approve ordisapprove the state's existing minorNSR program itselfto the extent that it is inconsistent with EPA's regulations governing this program. EPA believes that a number ofstates mayhave minor NSR provisions that are contrary to the existing EPA regulations for this program. EPA intends to work with states to reconcile state minorNSR programs with EPA's regulatoryprovisions for the program. The statutory requirements ofsection 11O(a)(2)(C) provide for considerable flexibility in designing minor NSR programs, and EPA believes it maybetime to revisit the regulatory requirements for this program to give the states an appropriate level offlexibility to design a program that meets their particular air quality concerns, while assuring reasonable consistency across the country in protectingthe NAAQS with respect to new and modified minor sources. 

### 110(a)(2)(D): Interstate transport: Section 110(a)(2)(D) requires SIPs to includeprovisions prohibiting any source orothertype ofemissions activity in one state from contributing significantly to nonattainment, orinterfering with maintenance ofthe NAAQS in another state, orfrom interfering with measures required to prevent significant deterioration ofair quality or to protect visibility in another state. As noted above, this action does not address the requirements of 110(a)(2)(D)(i) for the 8-hour ozone NAAQS which have been approved byEPA on October 15,2008 (73 FR 60955). 

### Interstate and International transport provisions: Section 110(a)(2)(D)(ii) requires SIPs to include provisions insuring compliance with the applicable requirements ofsections 126 and 115 (relating to interstate and international pollution abatement). Specifically, section 126(a) requires new or modified major sources to notifyneighboring states ofpotential impacts from the source. EPA 

### analysis: EPA most recently approved changes to Alaska's PSD program on February 9, 2011 to reflect changes to the federal PSD program relating to the permitting ofgreenhouse gas emissions (76 FR 7116). Priorto that, EPA approved revisions to Alaska's PSD program on August 14,2007 (72 FR45378). In general, ADEC incorporates byreference the federal PSD rules at 40 CFR 52.21. In some cases, ADEC adopted provisions of40 CFR 51.166 rather than the comparableprovisions of40 CFR 52.21 because 40 CFR 51.166 was a better fit for a SIP12approved PSD program. At 18 AAC 50.306(b), Alaska's federally-approved SIP incorporates by reference 40 CFR 51.166(q)(2), with certain modifications, to describe the public participation procedures for PSD permits, including requiring notice to states whose lands maybe affected by the emissions ofsources subject to PSD. As a result, Alaska's PSD regulations provide for notice consistent withthe requirements ofthe EPA PSD program. The state also has no pending obligations under section 115 or 126(b) ofthe Act. Therefore, EPA is proposing to approve the Alaska SIP as meeting the requirements ofCAA Section 110(a)(2)(D)(U) for the 1997 8-hour ozoneNAAQS. llO(a)(2)(E): Adequate resources: Section 110(a)(2)(E) requires states to provide (i) necessary assurances that the state will have adequate personnel, funding, and authorityunder state law to carry out the SIP (and is not prohibitedby anyprovision ofFederal or state law from carrying outthe SIP orportion thereof), (ii) requires that the state comply with the requirements respecting state boards under section 128 and (iii) necessary assurances that, where the state has relied on a local orregional government, agency, orinstrumentality for the implementation of any SIP provision, the state has responsibility for ensuring adequate implementation ofsuch SIP provision. Alaska's submittal: Alaska's SIP submittal states that ADEC maintains adequate personnel, funding, and authority to implement the SIP. Alaskarefers to statute, regulation and the SIP to address this element, specifically: AS46.14.030: StateAir Quality Plan: This section provides ADEC the statutory authority to act for the state in anynegotiations relative to the state air quality control plan developed under 42 U.S.C. 7401

- 7671q (Clean Air Act), as amended. The department may adopt regulations necessaryto implement the'state plan. 18AAC50.030: StateAir Quality ControlPlan: This sectionprovides the regulatory authority to implement and enforce the SIP. With regards to CAA section 128 requirements, Alaska's submittal states that ADEC is submitting existing state regulations for approval into the SIP for purposes ofmeeting CAA 128. Specifically, Alaska's submits Title 2 - Administration; Chapter 50

- Alaska Public Offices Commission: Conflict ofInterest, Campaign Disclosure, Legislative Financial Disclosure, and Regulations ofLobbying; Article 1 - Public Official Financial Disclosure (2 AAC 50.010 - 2 AAC 50.200) and Title 9 - Law; Chapter 52

- Executive Branch Code ofEthics (9 AAC 52.010 9 AAC 52.990). Copies oftheseregulations are included in the March 2,2012 SIP revision and are being adopted into the Alaska SIP for purposes ofmeeting CAA 128. ADEC states it is submitting these regulations to meet CAA 110(a)(2)(E) and CAA 128 for this CAA Section 11O(a)(l) and (2) infrastructure certification and for all future infrastructure certifications. There are no relevant air qualityboards in Alaska, however, the ADEC commissioner, as an appointed official and the head ofan executive agency, is required to file a financial disclosure statement annuallybyMarch 15th ofeach year with the Alaska Public Offices Commission (APOC). These disclosures are publically available through APOC's Anchorage office. Alaska's

13Public Officials Financial Disclosure Forms and links to Alaska's financial disclosure regulations can be found at the APOC website: Http://doe.alaska.gov/apoc/home.html. Withregard to assurances that the state has responsibility for ensuring adequate implementation ofthe plan where the statehas relied on local orregional government agencies, Alaska states in its submittal that ADEC insures local programs have adequateresources and documents this in the appropriate SIP section. Statutory authority for establishing local air pollution control programs is found at AS 46.14.400: Local Air Quality Control Programs. ADEC's submittal states it provides technical assistance and regulatory oversight to the Municipality ofAnchorage (MOA), Fairbanks North Star Borough (FNSB) and other local jurisdictions to ensure that the State Air Quality Control Plan and SIP objectives are satisfactorily carried out. ADEC has a Memorandum ofUnderstanding with the MOA and FNSB that allows them to operate air quality control programs in their respectivejurisdictions. The South Central Clean Air Authority has been established to aid the MOA and the MatanuskaSusitnaBorough in pursuingjoint efforts to control emissions and improve air quality in the airshed common to the twojurisdictions. In addition, ADEC indicates the department works closely with locals on nonattainment plans. 

### EPA analysis: The above-listed laws and regulations provide Alaska with adequate authority to carry out SIP obligations with respect to the 1997 8-hour ozone NAAQS. Alaskareceives sections 103 and 105 grant funds from EPA and provides state matching funds necessary to carry out Alaska's SIP requirements. Alaskahas no stateboards responsible for approving air permits or enforcement orders in Alaska. However, the ADEC commissioner, as head ofan executive agency that approves permits and enforcement orders, must disclose potential conflicts of interest as required by CAA section 128. In Alaska's March 2, 2012 SIP revision, Alaska submitted conflict ofinterest disclosure and ethics regulations (2 AAC 50.010-50.200 and 9 AAC 52.010 - 9 AAC 52.990) for purposes ofmeeting the infrastructurerequirement to comply with CAA section 128. EPA has reviewed these regulations and is proposing to approve the Alaska submittal as meeting the requirements ofCAA section 128 and CAA section 110(a)(2)(E)(ii). Finally, Alaska's March 2, 2012 submittal provides assurances ofadequate state authority when relying on local agencies to implement certain provisions ofthe SIP. Therefore, EPA is proposing to find that Alaska's SIP meets the requirements ofCAA section 110(a)(2)(E) for the 1997 8-hour ozone NAAQS. 

### llO(a)(2)(F): Stationary source monitoring system: Section 11O(a)(2)(F) requires (i) the installation, maintenance, and replacement ofequipment, and the implementation ofother necessary steps, by owners or operators ofstationary sources to monitory emissions from such sources, (ii) periodic reports on the nature and amounts ofemissions and emissions-related data from such sources, and (iii) correlation ofsuch reports bythe state agency with any emission limitations or standards established pursuant to the CAA, which reports shall be available at reasonable times for public inspection. 

### Alaska's submittal: Alaska's SIP submittal states that ADEC has general statutory authority to regulate stationary sources via an air permitting program which includes permit reporting requirements, completeness determinations, administrative actions, and stack source monitoring

14requirements. Alaska's submittal states ADEC has regulatory authority to determine compliance withthese statutes via information requests and ambient air quality investigations. Monitoring protocols and test methods for stationary sources have been adopted byreference including the federal reference and interpretation methods for ozone. Alaska's submittal references the AlaskaPSDINSR program originally approved byEPA on February 16, 1995 (60 FR 8943) and most recently approved byEPA on August 14,2007 (72 FR 45378). ADEC states Alaska's program implements the 1997 8-hour ozone NAAQS and relevant requirements ofthephase 2 ozone implementation rule (69 FR 23951 and 70 FR 71612). Ambient air quality and meteorological data that are collected for PSD purposes by stationary sources are reported to ADEC on a quarterly and annual basis. Alaska refers to the following codes and regulations: AS46.14.140: Emission controlpermitprogram regulations: This section requires state permitting programs to include monitoring, record keeping, and reporting for major sources, major modifications, or any source that has thepotential to violate the NAAQS. This section also requires those permitprograms to includeprocedures for preparation and submission ofa monitoring, reporting, and quality assurance plan and, ifrequired, a compliance schedule describing how a permitted stationary source will comply with applicable requirements. This section also requires public notice, including opportunity for public comment and hearing related to suchpermits. AS46.14.180: Monitoring: This section requires monitoringbythe owner and operator ofstack emissions or ambient air quality for purposes ofdemonstrating compliance with applicable permitprogram requirements. Monitoringrequirements must bereasonable and based ontest methods, analytical procedures, and statistical conventions approvedbythe federal administrator orthe department orotherwise generally accepted as scientifically competent. In general, monitoring activities mustbeconsistent with the applicable emission standards and theirpermit orpermit application requirements. 18AAC50.035: Documents, Procedures, andMethodsAdoptedbyReference: Monitoring protocols and test methods for stationary sources are adopted herebyreference. Subsection (b) adopts byreference the federal reference and interpretation methods for measuring criteria pollutants in ambient air, including ozone. 18AAC50.040: Federal StandardsAdoptedbyReference: Theprovisions of40 CFR Part 51, Appendix W (Guideline on Air QualityModels (Revised) are adopted byreference. And provisions of40 CFR 51.166 and 40 CFR 52.21 (Prevention ofSignificant Deterioration ofAir Quality), revised as ofAugust 2,2010 are adopted byreference. 18AAC50.200: Information Requests: This regulation provides authority to ADEC to require sources to maintainrecords ofand report on the nature and amount ofemissions and other related information to evaluate compliance.

1518AAC50.201: AmbientAir QualityInvestigation: Provides authority to ADEC to require a source to do emissions testing, reduce emissions, and apply controls to sources when there's a reasonable likelihood the sources emissions are causing or significantly contributing to ambient concentrations ofone or more air pollutants that exceed an ambient air quality standard orwhere emission limits are exceeded. 18AAC50.220: Enforceable test methods: (a) The department mayrequire an owner, operator, orpermittee to conduct air pollutant emission tests to determine compliance with AS 46.14 and this chapter

... (c): Reference test methods to beused bythe owner, operator, orpermittee. Sourcetesting must be conducted in accordance with federal source test methods and procedures, adoptedbyreference, as applicable. 18AAC50.345: Construction and OperatingPermits: StandardPermit Conditions: Requires compliance with permit terms and conditions which include monitoring, reporting, record keeping and quality assurance requirements for permitted stationary sources. EPA analysis: Theprovisions cited above provide for monitoring, recordkeeping and reporting requirements for sources subject to major source permitting. EPA most recently approved changes to Alaska's PSD program on February9,2011 to reflect changes to the federal PSD program relating to the permitting ofgreenhouse gas emissions (76 FR 7116). Prior to that, EPA approved revisions to Alaska's PSD program on August 14,2007 (72 FR45378). As noted above, EPA is proposing to concurrently approve portions ofa SIP revision submitted to EPA by ADEC on November 19, 2010 which update the Alaska PSD program to regulate NOx as a precursor to ozone. Alaska also requires minor sources subject to permittingunder 18 AAC 50 Article 5 to install, use and maintain monitoring equipment, sample emissions according to prescribed methods and procedures, provide source test reports, monitoring data, and emissions data, keep data and makeperiodic reports to ADEC. Therefore, EPA is proposing to approve Alaska's SIP as meetingthe requirements ofCAA Section 110(a)(2)(F) for the 1997 8-hour ozone NAAQS. llO(a)(2)(G): Emergency episodes: Section 110(a)(2)(0) requires states to provide for authority to address activities causing imminent and substantial endangerment to public health, including contingencyplans to implement the emergency episodeprovisions intheir SIPs. Alaska's submittal: The Alaska submittal cites the following air quality laws and regulations for this component: AS46.03.020: Powers of the department: Provides authority for ADEC to adopt regulations providing for control, prevention, and abatement ofair, water, land, or subsurface land pollution. AS46.14.010: Emission control regulations: Provides authority for ADEC to adopt regulations establishing ambient air quality standards, emission standards, orexemptions to implement a state air quality control program. AS46.14.020: Classification of stationary sources or emissions units; reporting: Provides authority for ADEC to require emissions reporting from stationary sources.

16AS46.14.030: StateAir Quality Plan: This sectionprovides ADEC the statutory authority to act for the state in any negotiations relative to the state air quality control plan developed under 42 USC 7401

- 7671q (Clean Air Act), as amended. The department may adopt regulations necessaryto implement the stateplan. AS46.03.820: Emergencypowers: Provides ADEC with emergency order authority where there is a" person causing, engaging in, ormaintaining a condition or activity that, in thejudgment of its commissionerpresents an imminent or present danger to the health or welfare ofthe people of the state or would result in orbe likely to result in irreversible orirreparable damage to the natural resources or environment, and it appears to beprejudicial to the interests ofthepeople of the stateto delay action until an opportunity for a hearing can beprovided, the department may, without priorhearing, order that person bynotice to discontinue, abate, or alleviate the condition or activity. Theproscribed condition or activity shall be immediately discontinued, abated, or alleviated." 18AAC50.245: This section provides ADEC's regulatory authority to act during air episodes and advisories. ADEC also indicated in its submittal that three major municipalities in Alaska (Municipality of Anchorage, Fairbanks North Star Borough, and Juneau) also have ordinances, codes, or regulations that enable them to declare emergencies in the case ofpoor air quality. ADEC personnel remain in close contact with each municipalitywhen an air emergency is declared, assisting with air monitoring and analysis, and implementing safety and control measures, as needed. EPA analysis: Alaska's statute AS 46.03.820 "EmergencyPowers" provides for emergency order authority consistent with CAA section 303. As noted in EPA's October 2,2007 guidance, the significant harm level for the 8-hourozone NAAQS shall remain unchanged at 0.60 ppm ozone, 2 hour average, as indicated in 40 CFR 51.151. EPAbelieves that the existing ozonerelated provisions of40 CFR51 Subpart H remain appropriate. Alaska's regulations listed above, which have been approved byEPA, are consistent with the requirements of40 CFR 51.151. Therefore, EPA is proposingto approve Alaska's SIP as meeting the requirements of 11O(a)(2)(G). 11O(a)(2)(H): Future SIP Revisions: Section 11O(a)(2)(H) requires that SIPs provide for revision ofsuch plan (i) from time to time as maybe necessary to take account ofrevisions of such national primary or secondary ambient air quality standard orthe availability ofimproved or more expeditious methods ofattaining such standard, and (ii), except as provided inparagraph 110(a)(3)(C), wheneverthe Administrator finds on the basis ofinformation available to the Administrator that the SIP is substantially inadequate to attain the NAAQS which it implements orto otherwise complywith any additional requirements under the CAA. Alaska's submittal: Alaska's SIP submittal refers to statutory authority to adopt regulations in order to implement the CAA and the state air quality control program at AS 46.03.020(10)(A) and AS 46.l4.010(a). Alaska's submittal also refers to regulatory authority to implement provisions ofthe Clean Air Act at 18 AAC 50.010. ADEC states the department strives to

17establish regulations and update Alaska's SIP in a timely fashion as new NAAQS are promulgated by EPA. AS46.03.020(lO)(A): Powers o/thedepartment: Provides authority for DEC to adopt regulations providing for control, prevention, and abatement ofair, water, land, or subsurface land pollution. AS46. 14.0JO(a); Emission control regulations: "Afterpublic hearing, the department may adopt regulations underthis chapter establishing ambient air quality standards, emission standards, or exemptions to implement a state air quality control program required under 42 U.S.c. 7401

­ 7671q (Clean AirAct), as amended, and regulations adopted under those sections." EPA analysis: EPAbelieves Alaska has the requisite authority to update the SIP, and as a matter ofpractice, regularly updates the SIP to incorporate changes to the NAAQS and other federal regulatory changes. EPA approved numerous changes to Alaska's SIP on February 5, 2007 (72 FR 5232) which included adoption byreference ofupdated EPA rules. EPA most recently approved changes to Alaska's SIP on February 9,2011 to update the state's PSD program to reflect changes to the federal PSD program relating to the permitting ofgreenhouse gas emissions (76 FR 7116). Therefore, EPA is proposing to approve Alaska's SIP as meeting the requirements of 11O(a)(2)(H) for the 1997 8-hourozone NAAQS. 110(a)(2)(I): Nonattainment area plan revision underpart D. EPA analysis: There are two elements identified in section 110(a)(2) not governedby the 3 year submission deadline ofsection 11O(a)(I) because SIPs incorporating necessary local nonattainment area controls are not due within 3 years after promulgation ofa new orrevised NAAQS, butrather due at the time ofthe nonattainment area planrequirements pursuant to section 172. Theserequirements are: (i) Submissions required by section 110(a)(2)(C) to the extent that subsection refers to a permit program as required in part D Title I ofthe CAA, and (ii) submissionsrequired by section 110(a)(2)(I) which pertain to the nonattainment planning requirements ofpart D, Title I ofthe CAA. As a result, this action does not address infrastructure elements related to section 110(a)(2)(C) with respect to nonattainment NSR or section 110(a)(2)(I). 1l0(a)(2)(J): Consultation with government officials: Section 110(a)(2)(J) requires states to provide a process for consultation with local governments and Federal Land Managers carrying out NAAQS implementation requirements pursuant to Section 121 relating to consultation. Section 110(a)(2)(J) further requires states to notify the public ifNAAQS are exceeded in an area and to enhance public awareness ofmeasures that can be taken to prevent exceedances. Lastly, Section 110(a)(2)(1) requires states to meet applicable requirements ofPart C related to prevention ofsignificant deterioration and visibilityprotection. Alaska's submittal: Alaska's SIP submittal refers to statutory authority to consult and cooperate with officials oflocal governments, state and federal agencies, and non-profit groups found at AS 46.030.020(3), (8). Alaska's submittal states that municipalities and local air quality districts seeking approval for a local air quality control program shall enter into a cooperative

18agreement with ADEC according to AS 46. 14.400(d). ADEC can adopt new CAA regulations only after a public hearing as perAS 46.14.01O(a). In addition, Alaska's submittal states that public notice and public hearingregulations for SIP submittals and air quality discharge pennits are found at 18 AAC 15.050 and 18 AAC 15.060. Finally, Alaska's submittal also includes reference to the Alaska PSDINSR program originally approved by EPA on February 16, 1995 (60 FR 8943), and most recently approved byEPA on August 14,2007 (72 FR 45378). The submittal states that Alaska's approved program implements the 1997 ozoneNAAQS and relevant requirements ofthe phase 2 ozone implementation rule. Alaska submitted its Regional Haze SIP on April 4, 2011 to meet the requirements of40 CFR 51.308. The specific laws and regulations citedbyAlaska are: AS46.030.020(3). (8): Provides authority to ADEC to consult with and cooperate with "officials and representatives ofany nonprofit corporation or organization in the state" and "persons, organizations, and groups, public and private, using, served by, interested in, or concerned with the environment ofthe state." Also provides authority to ADEC to "advise and cooperate with municipal, regional, and other local agencies and officials in the state, to carry out the purposes ofthis chapter." AS46. 14.400(d): Provides authority for local air quality control programs and requires cooperative agreements between ADEC and local air quality control programs that specify the respective duties, funding, enforcementresponsibilities, and procedures. AS46. 14.010(a): Emission control regulations. "(a) Afterpublic hearing, the department may adopt regulations under this chapter establishing ambient air quality standards, emission standards, or exemptions to implement a state air quality control program required under42 U.S.C. 7401

- 7671q (Clean AirAct), as amended, and regulations adopted under those sections. The standards establishedunder this section maybe for the state as a whole ormay vary in recognition oflocal conditions." 18AAC 15.050: Provides authority and procedures for public notice and comment. 18AAC 15.060: Provides authority and procedures for public hearings. EPA analysis: EPA finds that Alaska's SIP contains provisions for consulting with government officials as specified in CAA 121. ADEC routinely coordinates with local governments, states, federal land managers and other stakeholders on air quality issues and provides notice to appropriate agencies related to pennitting actions. Alaska regularly participates in regional planningprocesses including the Western Regional Air Partnership which is a voluntary partnership ofstates, tribes, federal land managers, local air agencies and the US EPA whose purpose is to understand current and evolving regional air quality issues in the West. EPA is proposing to approve Alaska's SIP as meeting the requirements ofCAA Section 110(a)(2)(J) for consultation with government officials. ADEC is a partnerin EPA's AIRNOW and Enviroflash Air QualityAlert programs. Alaska provides the daily air quality index to the public on their website at

19https:llfortress.wa.gov/ecylaaqmlDefault.htm and provides air quality advisory information at https:llmyalaska.state.ak.us/dec/air/airtoolsweb/ Advisories.aspx. ADEC also provides guidelines on how to minimize air quality impacts from open burning and how residents canprotect themselves from the health effects ofwildfires. EPA is proposingto approve Alaska's SIP as meetingthe requirements ofCAA Section 110(a)(2)(J) for public notification. Turning to the requirement in section 110(a)(2)(J) that the SIP meet the applicablerequirements ofpart C oftitle I ofthe CAA, EPAhas evaluated this requirement in the context ofsection 110(a)(2)(C) with respect to permitting. EPA most recently approved changes to Alaska's PSD program on February 9,2011 to reflect changes to the federal PSD program relating to the permitting ofgreenhouse gas emissions (76 FR 7116). EPA also approved revisions to Alaska's PSD program on August 14,2007 (72 FR 45378). As described above, EPA is proposingto approve portions ofa SIP revision submittedbyADEC on November 19, 2010 which updates Alaska's to regulate NOx as a precursor to ozone. Alaskahas no nonattainment areas for the 1997 8-hour ozone standard. Therefore, EPA is also proposing to approve Alaska's SIP as meeting the requirements ofCAA Section 110(a)(2)(J) for PSD for the 1997 ozoneNAAQS. With regard to the applicable requirements for visibilityprotection, EPA recognizes that states are subject to visibility and regional haze program requirements underpart C ofthe CAA. In the event ofthe establishment ofa new NAAQS, however, the visibility and regional haze program requirements underpart C do not change. Thus we find that there is no new visibility obligation triggeredunder section 110(a)(2)(J) when a new NAAQS becomes effective. As a result ofthe above analysis, EPA is proposing to approve Alaska's SIP as meeting the requirements ofCAA Section 11O(a)(2)(J) for the 1997 8-hour ozone NAAQS. llO(a)(2)(K): Air quality and modeling/data: Section 11O(a)(2)(K) requires that SIPs provide for (i) the performance ofsuch air quality modeling as the Administrator mayprescribe for the purpose ofpredicting the effect on ambient air quality ofany emissions ofany air pollutant for which the Administrator has established a national ambient air quality standard, and (ii) the submission, upon request, ofdata related to such air qualitymodeling to the Administrator. Alaska's submittal: Alaska's SIP submittal states that air quality modeling is conducted under 18 AAC 50.215(b), ambient air quality analysis methods. Estimates ofambient concentrations and visibilityimpairment mustbebased on applicable air quality models, databases, and other requirements specified in the EPA's Guideline on Air QualityModels are adopted byreference in 18 AAC 50.040(f). This regulation allows some provisions to exclude concentrations attributable to temporary construction activity for a new ormodified source, orto new sources outside the United States. Baseline dates and maximum allowable increases are found inTable 2 and Table 3, respectively, at 18 AAC 50.020. EPA analysis: EPA previously approved Alaska's regulations on air qualitymodeling into the SIP. We most recently approved 18 AAC 50.215 "Ambient Air QualityAnalysis Methods" (except (a)(3)) and 18 AAC 50.040(f) which incorporates byreference EPA regulations at 40 CFR Part 51, Appendix W (Guidelines on Air Quality Models) revised as ofJuly 1, 2004, on September 13,2007 (72 FR 45378). While Alaska has no nonattainment areas for the 1997 ozone standard, Alaska has submitted modeling data to EPA related to otherpollutants. For

20example, Alaska submitted the Fairbanks Carbon Monoxide Maintenance Plan to EPA onJune 21,2004, supported by air quality modeling. The maintenanceplan and supporting modeling was approved byEPA as a SIP revision on July 27,2004 (69 FR 44605). Therefore, EPA is proposing to approve Alaska's SIP as meeting the requirements ofCAA Section 110(a)(2)(K) for the 1997 8-hour ozone NAAQS. llO(a)(2)(L): Permittingfees: Section 11O(a)(2)(L) requires SIPs to require each major stationary source to paypermitting fees to cover the cost ofreviewing, approving, implementing and enforcing a permit, until such time as the SIP fee requirement is superseded by EPA's approval ofthe state's title V operatingpermitprogram. Alaska's submittal: Alaska's SIP submittal states that ADEC's statutory authority to assess and collectpermit fees is established in AS 46.14.240 and AS 46.14.250. The permit fees for Title V stationary sources are assessed and collected bythe Air Permits Program according to 18 AAC Article 4. The Air Permits Program is required to evaluate emission fee rates at least every four years and provide a written evaluation ofthe findings (AS 46. 14.250(g); 18 AAC 50.410). The submittal states that ADEC's most recent emission fee evaluationreport was completed in October 2010 and that the next emission fee review is scheduled for 2014. AS46.14.140: Emission controlpermitprogram regulations: Provides authority to establish sourcepermit fees and procedures for collecting fees, in addition to provisions addressing late payment ornonpayment offees, which mayinclude assessment ofpenalties and interest or refusal to issue, amend, modify, orrenew an air quality control permit. AS46.14.240: Permitadministrationfees: Requires sources to pay applicable permit fees establishedbyADEC. AS46.14.250: Emissionfees: Provides authority to ADEC to establish source emission fee rates, includingprocedures for establishing, assessing, and revising the rate. EPA analysis: EPA fully approved Alaska's title V program on July26,2001 (66 FR 38940) with an effective data ofSeptember 24, 2001. EPA regularlyreviews ADEC's title V fee program to determine ifthe fee structure is adequate to payfor the program and assure the funding is only going toward title V implementation. While Alaska's operating permit program is not formally approved into the state's SIP, it is a legal mechanism the state can use to ensure that ADEC has sufficient resources to support the air program, consistent with the requirements ofthe SIP. Before EPA can grant full approval, a state must demonstrate the ability to collect adequate fees. Alaska's title V program included a demonstration the state will collect a fee from title V sources above the presumptive minimum in accordance with 40 CFR 70.9(b)(2)(i). As aresult, EPA is proposing to approve Alaska's SIP as meeting the requirements ofCAA Section 110(a)(2)(L) for the 1997 8-hour ozone NAAQS. llO(a)(2)(M): Consultation/participation by affected local entities: Section 110(a)(2)(M) requires states to provide for consultation and participation in SIP development bylocal political subdivisions affected bythe SIP.

21Alaska's submittal: Alaska's SIP submittal states ADEC has the authority to consult and cooperate with officials and representatives ofany organization in the state; and persons, organization, and groups, public and private using, served by, interested in, or concerned with the environment ofthe state. Alaskarefers to the following statutory authority: AS46.030.020(3), (8): Provides authorityto ADEC to consult with and cooperate with "officials and representatives ofany nonprofit corporation or organization in the state" and "persons, organizations, and groups, public and private, using, servedby, interested in, orconcerned with the environment ofthe state." Also provides authority to ADEC to "advise and cooperate with municipal, regional, and other local agencies and officials in the state, to carry out the purposes ofthis chapter." AS46.14.400(d): Provides authority for local air quality control programs and requires cooperative agreements between ADEC and local airquality control programs that specify the respective duties, funding, enforcement responsibilities, and procedures.

EPA analysis: The Alaska provisions cited above provides for local and regional authorities to participate and consult in the SIP development process. Therefore EPA proposes to find that Alaska's SIP meets the requirements ofCAA Section llO(a)(2)(M) for the 1997 8-hour ozone NAAQS. F. RECOMMENDATION Alaska's infrastructure SIP submittal includes a detailed description ofhow Alaska's laws and regulations meet each ofthe CAA infrastructure SIP elements for the 1997 8-hour ozone standard. The ADEC submittal generally meets the requirements ofthe CAA and the guidance issued byEPA as outlined in this TSD with certain exceptions which are addressed by SIP revisions submittedbyAlaska to EPA on April 9, 2010, November 19,2010, and March 2, 2012. As discussed in detail above, EPA should approve portions ofthese SIP revisions in conjunction with this infrastructure action. These SIP revisions include updates to the Alaska SIP to include the ozone standard at an 8-hour averaging period, the federal interpretation method for measuring and monitoring ozone in ambient air, a definition ofozone, updated incorporationby reference offederal PSD program requirements regulating NOx as a precursor to ozone, and conflict ofinterest disclosure and ethics regulations to meet CAA section 128 requirements. EPA should fully approve Alaska's SIP submittal as meeting the requirements ofsections 110(a)(2)(A), (B), (C), (D)(ii), (E), (F), (0), (H), (J), (K), (L), and (M) for the 1997 8-hour ozone standard. As noted above, this action does not address the nonattainment provisions of 11O(a)(2)(C) and (I), does not address section 11O(a)(2)(D)(i) and does not address the visibility provisions of 110(a)(2)(J). Alaskahas requested parallel processing on their March 2, 2012 SIP submittal and provided a schedule to EPA for submitting the final SIP package. Ifchanges are made to the final SIP submittal after this proposal, such changes will be acknowledged in EPA's final rulemaking action and, ifsuch changes are significant, mayrequire a re-proposal and an additional public comment period. EPA should not take action on the following elements ofthe Alaska SIP:

22• Any startup, shutdown, and malfunction provisions contrary to the Act; • Any directors discretion or variance provisions contrary to the Act; and • Any elements ofthe minor NSR program that are inconsistent with EPA's regulations.

23