Federal Register / Vol. 62, No. 32 / Tuesday, February 18, 1997 / Rules and Regulations 7157

(d)(4) through (g) [Reserved]. For

further guidance see § 20.2056(b)–

7(d)(4) through (g).

(h) Examples. [Reserved]. See § 20.2056(b)–

7(h).

Example 1 through Example 5. [Reserved].

For further guidance, see § 20.2056(b)–7(h)

Example 1 through Example 5.

Example 6. (i) [Reserved]. For further

guidance, see § 20.2056(b)–7(h) Example 6.

(ii) D’s estate tax return is due after

February 18, 1997. D’s will established a trust

providing that S is entitled to receive the

income from that portion of the trust that the

executor elects to treat as qualified

terminable interest property. S’s interest in

the trust otherwise meets the requirements of

a qualifying income interest for life under

section 2056(b)(7)(B)(ii). Accordingly, the

executor may elect qualified terminable

interest treatment for any portion of the trust.

Par. 4. Section 20.2056(b)–10T is

added to read as follows:

§ 20.2056(b)–10T Effective dates

(temporary).

In addition to the effective dates set

out in § 20.2056(b)–10, § 20.2056(b)–

7T(d)(3)(ii) is effective with respect to

estates of decedents dying after March 1,

1994. For further guidance, see

§ 20.2056(b)–10.

Margaret Milner Richardson,

Commissioner of Internal Revenue.

Approved: January 8, 1997.

Donald C. Lubick,

Acting Assistant Secretary of the Treasury.

[FR Doc. 97–3398 Filed 2–14–97; 8:45 am]

BILLING CODE 4830–01–U

ENVIRONMENTAL PROTECTION

AGENCY

40 CFR Part 52

[IN68–1–7308a; FRL–5678–5]

Approval and Promulgation of

Implementation Plans; Indiana

AGENCY: Environmental Protection

Agency (EPA).

ACTION: Direct final rule.

SUMMARY: On October 25, 1994, the

Indiana Department of Environmental

Management (IDEM) submitted

revisions to its State Implementation

Plan (SIP). EPA made a finding of

completeness in a letter dated

November 25, 1994. The revisions to the

SIP add or revise definitions in the

Indiana SIP’s general provisions (326

IAC 1–1, 326 IAC 1–2), the applicability

criteria of the rule for malfunctions (326

IAC 1–6), and the applicability criteria

for state construction and operating

permit requirements (326 IAC 2–1). The

revisions to the SIP also revise Indiana’s

construction permit program (326 IAC

2–1) and its ‘‘Permit no defense’’

regulation (326 IAC 2–1). With this rule,

EPA is approving these SIP revisions

because they are in compliance with the

Code of Federal Regulations (CFR) and

the Clean Air Act (Act). Elsewhere in

this Federal Register, EPA is proposing

approval and soliciting comment on this

direct final action; if adverse comments

are received, EPA will withdraw the

direct final rule and address the

comments received in a new final rule.

Unless this direct final rule is

withdrawn, no further rulemaking will

occur on this requested SIP revision.

DATES: This action will be effective

April 21, 1997 unless adverse or critical

comments are received by March 20,

1997. If the effective date is delayed,

timely notice will be published in the

Federal Register.

ADDRESSES: Written comments can be

mailed to: J. Elmer Bortzer, Chief,

Regulation Development Section,

Regulation Development Branch (AR–

18J), Air and Radiation Division, U.S.

Environmental Protection Agency, 77

West Jackson Boulevard, Chicago,

Illinois, 60604.

Copies of the SIP revision request are

available for inspection at the following

address: (It is recommended that you

telephone Mark J. Palermo at (312) 886–

6082, before visiting the Region 5

office.) U.S. Environmental Protection

Agency, Region 5, Air and Radiation

Division, 77 West Jackson Boulevard,

Chicago, Illinois, 60604.

FOR FURTHER INFORMATION CONTACT:

Alvin Choi, EPA (AR–18J), 77 West

Jackson Boulevard, Chicago, Illinois

60604, (312) 886–3507.

SUPPLEMENTARY INFORMATION:

I. Background

IDEM submitted revisions to the

Indiana SIP on October 25, 1994. The

revisions included rule changes to the

State’s permit review rules and adoption

of the federally enforceable state

operating permits program (326 IAC 2–

8), source specific operating agreements

(326 IAC 2–9), and enhanced new

source review (NSR) rules (326 IAC 2–

1–3.2). EPA has already promulgated its

approval of regulations governing

federally enforceable state operating

permits and enhanced new source

review rules (60 FR 43099) and the

source specific operating agreements (61

FR 14487). The EPA is now proposing

to approve the final portion of the

October 25, 1994 SIP submittal which

alters some prefatory language and

affects applicability of some rules. The

EPA is approving the following

revisions to Title 326 of the Indiana

Administrative Code (326 IAC)—Article

One: General Provisions, Rule One:

Sections 2 and 3; Rule Two: Sections 2,

4, 12, 33.1, 33.2, 33.5; Rule Six: Section

1. The EPA is also approving revisions

to 326 IAC—Article Two: Permit Review

Rules, Rule One: Sections 1, 3, and 10.

The purpose of this revision is to update

and revise the SIP to reflect statutorilymandated changes to the permit

programs. The rationale for EPA’s

approval is summarized in this rule. A

more detailed analysis is set forth in a

technical support document which is

available for inspection at the Region 5

Office listed above.

II. Summary of State Submittal

The following sections of Article One,

Rule One have been revised to include

recent amendments to the Act and the

CFR.

326 IAC 1–1–2 References to Federal

Act

This section was revised specifically

to reference the Clean Air Act

Amendments of 1990 because the SIP

incorporated changes required by the

1990 Amendments.

326 IAC 1–1–3 References to the Code

of Federal Regulations

This section updates the reference to

the CFR from the 1989 edition to the

1992 edition and specifically references

the July 21, 1992 Federal Register with

regard to 40 CFR Part 70.

The following sections of Article One

have been revised to include new

definitions and revisions to existing

regulations.

326 IAC 1–2–2 ‘‘Allowable emissions’’

Definition

The previous definition calculated an

allowable emission rate by combining

the most stringent of three listed criteria

with the maximum rated capacity of the

facility (unless the facility was subject

to a limit on the operating rate or hours

of operation, or both). This definition

has been expanded to include potential

emissions and daily emission rates for

noncontinuous batch manufacturing

operations.

326 IAC 1–2–4 ‘‘Applicable state and

federal regulations’’ Definition

This section has been revised to

clarify that this definition includes rules

adopted under 326 IAC by the air

pollution control board, all regulations

included in the CFR by EPA, and

specific requirements established by the

Act.
7158 Federal Register / Vol. 62, No. 32 / Tuesday, February 18, 1997 / Rules and Regulations

326 IAC 1–2–12 ‘‘Clean Air Act’’

Definition

This section was updated to include

a reference to the Clean Air Act

Amendments of 1990. The previous

definition made only a general reference

to the Act.

326 IAC 1–2–33.1 ‘‘Grain elevator’’

Definition

This new section was added to define

the term used in 326 IAC 2–9–2 (Source

specific restrictions and conditions). A

‘‘Grain elevator’’ is defined as ‘‘an

installation at which grains are weighed,

cleaned, dried, loaded, unloaded, and

placed in storage.’’

326 IAC 1–2–33.2 ‘‘Grain terminal

elevator’’ Definition

This new section was added to define

the term used in 326 IAC 2–1–7.1 (Fees

for registration, construction permits,

and operating permits). A ‘‘Grain

terminal elevator’’ is defined as any

grain elevator which has a capacity

greater than 2,500,000 U.S. bushels

certified storage or 10,000,000 U.S.

bushels annual grain throughput, which

is the total amount of grain received or

shipped by the grain elevator over the

course of a calendar year.

326 IAC 1–6–1 ‘‘Applicability of rule’’

The owner or operator of any facility

with the potential to emit at a specified

emission rate, and the owner or operator

of a facility with malfunctioning

emission control equipment, either of

whose facilities could cause emissions

in excess of stated emission rates, were

formerly subject to the malfunction rule.

The revised section revokes the

previous applicability criteria and

subjects the owner or operator of any

facility which is required to obtain a

permit under 326 IAC 2–1–2

(Registration) or 326 IAC 2–1–4 (State

Operating permits) to the malfunction

rule.

The following Sections of Article 2

revise the existing regulations.

326 IAC 2–1–1 ‘‘Applicability of rule’’

This section determines the

applicability of permit and fee

requirements for, among other things,

persons proposing to construct or

modify sources, including sources in

Lake and Porter Counties. One of the

principle revisions to 326 IAC 2–1–1 is

the universal replacement of the term

‘‘potential emissions’’ by ‘‘allowable

emissions’’. This modification will

presumably ease the State’s burden in

administering its air permit program by

removing certain smaller sources from

required review.

EPA approves this revision to

encourage the state’s effective

administration of its permit program.

EPA notes that Indiana’s regulations

regarding Prevention of Significant

Deterioration (PSD) and NSR employ

the term ‘‘potential emissions’’ in

determining the applicability of those

programs, and thus these revisions do

not affect the applicability of those

programs to any sources.

Correspondence with the state confirms

these conclusions.

A revision to this rule provides that

the state operating permit program (326

IAC 2–1–4) does not apply if the source

has an enforceable operating permit

under 326 IAC 2–9. Also, an additional

revision subjects to this rule any person

planning to construct or operate grain

terminal elevators.

The revised rules have added three

criteria for determining applicability of

SIP provisions. The first added criteria

regulates any modification which will

increase emissions of particulate matter

with an aerodynamic diameter less than

or equal to 10 micrometers by 15 tons

per year. The second criteria includes,

under the regulations, any source or

facility with aggregate emissions greater

than or equal to 10 tons per year of any

single hazardous air pollutant (HAP) or

25 tons per year for any combination of

HAPs. The third requirement includes

modifications to major sources of HAPs

which will increase emissions by four

tons per year of any single HAP or 10

tons per year of any combination of

HAPs. The third requirement also

exempts any source which can

demonstrate by written submission that

the sum of the emission increases and

decreases of any single HAP resulting

from the modification does not exceed

four tons per year. The third

applicability criteria becomes effective

only after Indiana’s Part 70 program

becomes effective.

Exemptions to the applicability

regulations have been adopted. The first

category of excluded sources includes

existing sources or sources proposed to

be operated, constructed, or modified,

which have emissions of less than the

emission limits specified in the

provisions regarding either: (1)

applicability of registration

requirements found at 326 IAC 2–1–

1(b)(2); or (2) applicability of

requirements governing the construction

permits, enhanced NSR, operating

permits, and fees. The second category

exempts existing sources who seek only

changes in a method of operation, a

reconfiguration of existing equipment or

other minor physical changes, or a

combination of the above which does

not increase emissions in excess of: (1)

Significance levels in PSD limitations

and emissions offsets; (2) HAP levels for

maximum achievable control

technology; (3) specific threshold levels

adopted for Lake and Porter Counties;

(4) levels specified in provisions

governing the applicability of

regulations for construction permits,

enhanced NSR, operating permits, and

fees (not including the general 25 tons

per year criteria); and (5) levels

specified for the volatile organic

compound rules. The third category

exempts temporary operations and

experimental trials which involve

construction, reconstruction, or

modification which meet specific

criteria.

326 IAC 2–1–3 Construction permits

This revision eliminates the need for

the submission of plans and

specifications to be prepared by a

professional engineer registered to

practice in Indiana, with an application

for a construction permit. The applicant,

however, is now required to place a

copy of the permit application for

public review at a library in the county

where construction is proposed. Finally,

the revision requires any applicant who

proposes to construct upon land which

is underdeveloped or for which a valid

existing permit has not been issued, to

make a reasonable effort to provide

notice to all owners or occupants of

land adjoining the proposed

construction site.

326 IAC 2–1–10 Permit no defense

This section states that a permit

which is obtained by a source shall not

be used as a defense against a violation

of any regulation. An exception has

been added for alleged violations of

applicable requirements for which a

permit shield has been granted

according to 326 IAC 2–1–3.2

(Enhanced NSR) and 326 IAC 2–7–15

(Part 70 permit program; Permit shield).

The EPA is approving the revisions to

the sections in 326 IAC Articles 1 and

2. These revisions add definitions

which reflect new regulations added to

the title and revise existing regulations

which have been found to be in

accordance with the CFR and the Act.

III. Rulemaking Action

Many of the revisions to the General

Provisions updated definitions with

respect to the 1990 Clean Air Act

Amendments. Revisions were also in

response to the recent addition of the

Source Specific Operating Agreement

program.

The changes to the Permit Review

Rules are presumably intended to

alleviate the permitting burden on

IDEM. By using the ‘‘allowable’’

definition and adding exemption
Federal Register / Vol. 62, No. 32 / Tuesday, February 18, 1997 / Rules and Regulations 7159

regulations in 326 IAC 2–1–1, IDEM will

be able to concentrate its resources on

relatively more significant sources. For

the reasons stated above, the EPA

approves the plan revisions submitted

on October 25, 1994, to incorporate

changes to existing regulations and to

accommodate recent revisions to the SIP

by adding and updating regulations.

The EPA is publishing this action

without prior proposal because EPA

views this as a noncontroversial

revision 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 on April 21,

1997 unless, by March 20, 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 rulemaking that will

withdraw the final action. All public

comments received will 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 on April 21, 1997.

Nothing in this action should be

construed as permitting, allowing or

establishing a precedent for any future

request for revision to any SIP. Each

request for revision to the SIP shall be

considered separately in light of specific

technical, economic, and environmental

factors and in relation to relevant

statutory and regulatory requirements.

IV. Administrative Requirements

A. Executive Order 12866

This action has been classified as a

Table 3 action for signature by the

Regional Administrator under the

procedures published in the Federal

Register on January 19, 1989 (54 FR

2214–2225), as revised by a July 10,

1995, memorandum from Mary D.

Nichols, Assistant Administrator for Air

and Radiation. The Office of

Management and Budget (OMB) has

exempted this regulatory action from

Executive Order 12866 review.

B. Regulatory Flexibility

Under the Regulatory Flexibility Act,

5 U.S.C. section 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.

sections 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 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 Act, preparation of a

flexibility analysis would constitute

Federal inquiry into the economic

reasonableness of the State action. The

Clean Air Act forbids EPA to base its

actions concerning SIPs on such

grounds. Union Electric Co. v. EPA, 427

U.S. 246, 256–66 (1976); 42 U.S.C.

7410(a)(2).

C. Unfunded Mandates

Under section 202 of the Unfunded

Mandates Reform Act of 1995, signed

into law on March 22, 1995, EPA must

undertake various actions in association

with 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 the private sector, of $100 million

or more. This Federal action approves

pre-existing requirements under state or

local law, and imposes no new

requirements. Accordingly, no

additional costs to state, local, or tribal

governments, or 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 Act,

petitions for judicial review of this

action must be filed in the United States

Court of Appeals for the appropriate

circuit by April 21, 1997. 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, Lead,

Particulate matter, Sulfur dioxide,

Volatile organic compounds.

Dated: December 12, 1996.

Valdas V. Adamkus,

Regional Administrator.

For the reasons stated in the

preamble, part 52, chapter I, title 40 of

the Code of Federal Regulations is

amended to read as follows:

PART 52—[AMENDED]

1. The authority citation for part 52

continues to read as follows:

Authority: 42 U.S.C. 7401–7671q.

Subpart P—Indiana

2. Section 52.770 is amended by

adding paragraph (c)(109) to read as

follows:

§ 52.770 Identification of plan.

* * * * *

(c) * * *

(109) On October 25, 1994, the

Indiana Department of Environmental

Management requested a revision to the

Indiana State Implementation Plan in

the form of revisions to the General

Provisions and Permit Review Rules

intended to update and add regulations

which have been affected by recent SIP

revisions, and to change regulations for

streamlining purposes. This revision

took the form of an amendment to Title

326: Air Pollution Control Board of the

Indiana Administrative Code (326 IAC)

1–1 Provisions Applicable Throughout

Title 326, 1–2 Definitions, 1–6

Malfunctions, 2–1 Construction and

Operating Permit Requirements.

(i) Incorporation by reference. 326

IAC 1–1–2 and 1–1–3. 326 IAC 1–2–2,

1–2–4, 1–2–12, 1–2–33.1, and 1–2–33.2.

326 IAC 1–6–1. 326 IAC 2–1–1, 2–1–3,

and 2–1–10. Adopted by the Indiana Air

Pollution Control Board March 10, 1994.

Filed with the Secretary of State May

25, 1994. Effective June 24, 1994.

Published at Indiana Register, Volume

17, Number 10, July 1, 1994.

* * * * *

[FR Doc. 97–3865 Filed 2–14–97; 8:45 am]

BILLING CODE 6560–50–P