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[Federal Register Volume 78, Number 95 (Thursday, May 16, 2013)]
[Proposed Rules]
[Pages 28776-28779]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2013-11713]

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 ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[EPA-R04-OAR-2013-0271; FRL-9814-2]

Approval and Promulgation of Implementation Plans; Kentucky; 
Stage II Requirements for Enterprise Holdings, Inc. at Cincinnati/
Northern Kentucky International Airport in Boone County

AGENCY: Environmental Protection Agency (EPA).

ACTION: Proposed rule.

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SUMMARY: EPA is proposing to approve a source-specific State 
Implementation Plan (SIP) revision submitted to EPA by the Commonwealth 
of Kentucky, through the Kentucky Division for Air Quality (KDAQ) on 
April 25, 2013, for the purpose of exempting Enterprise Holdings, Inc., 
facility from the Clean Air Act (CAA or Act) Stage II vapor control 
requirements. The Enterprise Holdings, Inc., facility is currently 
being constructed at the Cincinnati/Northern Kentucky International 
Airport in Boone County, Kentucky. EPA's proposed approval of this 
revision to Kentucky's SIP is based on the December 12, 2006, EPA 
policy memorandum from Stephen D. Page, entitled ``Removal of Stage II 
Vapor Recovery in Situations Where Widespread Use of Onboard Refueling 
Vapor Recovery is Demonstrated.'' This action is being taken pursuant 
to the CAA.

[[Page 28777]]

DATES: Comments must be received on or before June 17, 2013.

ADDRESSES: Submit your comments, identified by Docket ID No. EPA-R04-
OAR-2013-0271 by one of the following methods:
    1. www.regulations.gov: Follow the on-line instructions for 
submitting comments.
    2. Email: R4-RDS@epa.gov.
    3. Fax: (404) 562-9019.
    4. Mail: EPA-R04-OAR-2013-0271, Regulatory Development Section, Air 
Planning Branch, Air, Pesticides and Toxics Management Division, U.S. 
Environmental Protection Agency, Region 4, 61 Forsyth Street SW., 
Atlanta, Georgia 30303-8960.
    5. Hand Delivery or Courier: Lynorae Benjamin, Chief, Regulatory 
Development Section, Air Planning Branch, Air, Pesticides and Toxics 
Management Division, U.S. Environmental Protection Agency, Region 4, 61 
Forsyth Street SW., Atlanta, Georgia 30303-8960. Such deliveries are 
only accepted during the Regional Office's normal hours of operation. 
The Regional Office's official hours of business are Monday through 
Friday, 8:30 to 4:30, excluding federal holidays.
    Instructions: Direct your comments to Docket ID No. ``EPA-R04-OAR-
2013-0271.'' EPA's policy is that all comments received will be 
included in the public docket without change and may be made available 
online at www.regulations.gov, including any personal information 
provided, unless the comment includes information claimed to be 
Confidential Business Information (CBI) or other information whose 
disclosure is restricted by statute. Do not submit through 
www.regulations.gov or email, information that you consider to be CBI 
or otherwise protected. The www.regulations.gov Web site is an 
``anonymous access'' system, which means EPA will not know your 
identity or contact information unless you provide it in the body of 
your comment. If you send an email comment directly to EPA without 
going through www.regulations.gov, your email address will be 
automatically captured and included as part of the comment that is 
placed in the public docket and made available on the Internet. If you 
submit an electronic comment, EPA recommends that you include your name 
and other contact information in the body of your comment and with any 
disk or CD-ROM you submit. If EPA cannot read your comment due to 
technical difficulties and cannot contact you for clarification, EPA 
may not be able to consider your comment. Electronic files should avoid 
the use of special characters, any form of encryption, and be free of 
any defects or viruses. For additional information about EPA's public 
docket visit the EPA Docket Center homepage at http://www.epa.gov/epahome/dockets.htm.
    Docket: All documents in the electronic docket are listed in the 
www.regulations.gov index. Although listed in the index, some 
information is not publicly available, i.e., CBI or other information 
whose disclosure is restricted by statute. Certain other material, such 
as copyrighted material, is not placed on the Internet and will be 
publicly available only in hard copy form. Publicly available docket 
materials are available either electronically in www.regulations.gov or 
in hard copy at the Regulatory Development Section, Air Planning 
Branch, Air, Pesticides and Toxics Management Division, U.S. 
Environmental Protection Agency, Region 4, 61 Forsyth Street SW., 
Atlanta, Georgia 30303-8960. EPA requests that if at all possible, you 
contact the person listed in the FOR FURTHER INFORMATION CONTACT 
section to schedule your inspection. The Regional Office's official 
hours of business are Monday through Friday, 8:30 to 4:30, excluding 
federal holidays.

FOR FURTHER INFORMATION CONTACT: For information regarding this source 
specific SIP revision, contact Ms. Kelly Sheckler, Regulatory 
Development Section, Air Planning Branch, Air, Pesticides and Toxics 
Management Division, U.S. Environmental Protection Agency, Region 4, 61 
Forsyth Street SW., Atlanta, Georgia 30303-8960. Ms. Sheckler's 
telephone number is (404) 562-9992; email address: 
sheckler.kelly@epa.gov.

SUPPLEMENTARY INFORMATION: 

Table of Contents

I. Background
II. Analysis of the Commonwealth's submittal
III. Proposed Action
IV. Statutory and Executive Order Reviews

I. Background

    Under the CAA Amendments of 1990, EPA designated and classified 
three Kentucky Counties (Boone, Campbell and Kenton) and four Ohio 
Counties (Butler, Clermont, Hamilton and Warren) as a ``moderate'' 
nonattainment area for the 1-hour ozone national ambient air quality 
standards (NAAQS) as part of the Cincinnati/Northern Kentucky Area. See 
56 FR 56694, effective January 6, 1992. The designation was based on 
the Area's 1-hour ozone design value of 0.157 parts per million for the 
three year period of 1988-1990.
    Pursuant to the requirements of section 182(b)(3) of the CAA, KDAQ 
developed the Kentucky Administrative Regulations (KAR) 401 KAR 59:174 
Stage II controls at gasoline dispensing facilities, and submitted the 
rule to EPA for approval as part of Kentucky's ozone SIP. The rule was 
adopted by Kentucky on January 12, 1998, and approved by EPA into the 
SIP on December 8, 1998. See 63 FR 67586. Under this regulation, 
gasoline dispensing facilities with a monthly throughput of 25,000 
gallons or more located in a Kentucky County in which the entire County 
is classified as severe, serious, or moderate nonattainment for ozone 
are required to install Stage II vapor recovery systems.
    On October 29, 1999, having implemented all measures required of 
Kentucky to that date for moderate ozone nonattainment areas under the 
CAA, and with three years of data (1996-1998) showing compliance with 
the 1-hour ozone standards, KDAQ submitted to EPA an ozone maintenance 
plan and request for redesignation of the Kentucky portion of 
Cincinnati/Northern Kentucky area to attainment status. The maintenance 
plan, as required under section 175A of the CAA, showed that nitrogen 
oxides and volatile organic compounds (VOC) emissions in the Area would 
remain below the 1990 ``attainment year's'' levels. In making these 
projections KDAQ factored in the emissions benefit (primarily VOC) of 
the Area's Stage II program, and did not remove this program from the 
Kentucky SIP. The redesignation request and maintenance plan were 
approved by EPA, effective June 19, 2000 (65 FR 37879).
    Since the Kentucky Stage II program was already in place and had 
been included in the Commonwealth's October 29, 1999, redesignation 
request and 1-hour ozone maintenance plan for the Area, KDAQ elected 
not to remove the program from the SIP at that time. On April 6, 1994, 
EPA promulgated regulations requiring the phase-in of onboard refueling 
vapor recovery (ORVR) systems on new motor vehicles. Under section 
202(a)(6) of the CAA, moderate ozone nonattainment areas are not 
required to implement Stage II vapor recovery programs after 
promulgation of ORVR standards.

II. Analysis of the Commonwealth's Submittal

    EPA's primary consideration for determining the approvability of 
Kentucky's request to exempt Stage II vapor control requirements for 
the Enterprise Holdings, Inc., facility

[[Page 28778]]

located at the Cincinnati/Northern Kentucky International Airport in 
Boone County is whether this requested action complies with section 
110(l) of the CAA. Below is EPA's analysis of these considerations.

a. Federal Requirements for Stage II

    States were required to adopt Stage II rules for all areas 
classified as ``moderate'' or worse under section 182(b)(3) of the CAA. 
However, section 202(a)(6) of the CAA states that ``the requirements of 
section 182(b)(3) (relating to Stage II gasoline vapor recovery) for 
areas classified under section 181 as moderate for ozone shall not 
apply after the promulgation of such [ORVR] standards.'' ORVR 
regulations were promulgated by EPA on April 6, 1994. See 59 FR 16262, 
and 40 CFR 86.001, .098). As a result, the CAA no longer requires 
moderate areas to impose Stage II controls under section 182(b)(3), and 
such areas may seek SIP revisions to remove such requirements from 
their SIP, subject to section 110(l) of the Act. EPA's policy 
memorandum related to ORVR, dated March 9, 1993, and June 23, 1993, 
provided further guidance on an allowance for removing Stage II 
requirements from certain areas. The policy memorandum dated March 9, 
1993, states ``[w]hen onboard rules are promulgated, a State may 
withdraw its Stage II rules for moderate areas from the SIP (or from 
consideration as a SIP revisions) consistent with its obligation under 
sections 182(b)(3) and 202(a)(6), so long as withdrawal will not 
interfere with any other applicable requirements of the Act.'' Because 
Kentucky is taking credit for Stage II in its maintenance plan, the 
Commonwealth's request for a source specific exemption from the State 
II vapor control requirements is subject to section 110(l) of the CAA.
    Section 110(l) of the Act provides that EPA cannot approve a SIP 
revision if that revision interferes with any applicable requirement 
regarding attainment, reasonable further progress (RFP) or any 
requirement established in the CAA. EPA can approve a SIP revision that 
removes or modifies control measures in the SIP once states make a 
``noninterference'' demonstration that such a removal or modification 
will not interfere with attainment of the NAAQS, RFP or any other CAA 
requirement. As such, Kentucky must make a demonstration of 
noninterference in order to exempt Stage II from the SIP for Enterprise 
Holdings, Inc. facility located at the Cincinnati/Northern Kentucky 
International Airport in Boone County.

b. Cincinnati-Hamilton Interstate Area Air Quality Status

    With respect to ozone, on April 30, 2004, EPA designated the 
Cincinnati/Northern Kentucky Area as nonattainment for the 1997 8-hour 
ozone NAAQS. See 69 FR 23857. On January 29, 2010, the Commonwealth 
submitted to EPA a redesignation request and maintenance plan for the 
1997 8-hour ozone NAAQS. As a result the Cincinnati/Northern Kentucky 
area was redesignated to attainment for the 1997 8-hour ozone NAAQS on 
August 5, 2010 (75 FR 4718). EPA then designated portions of Boone, 
Campbell and Kenton Counties in Kentucky as nonattainment for the 2008 
8-hour ozone NAAQS as part of the Cincinnati/Northern Kentucky 
Nonattainment Area. This designation for the 2008 8-hour ozone NAAQS 
was effective July 20, 2012. See 77 FR 30088.
    With respect to PM, on July 18, 1997, EPA promulgated the first air 
quality standards for PM2.5. EPA promulgated an annual 
PM2.5 standard at a level of 15 micrograms per cubic meter 
([mu]g/m\3\), based on a 3-year average of annual mean PM2.5 
concentrations. In the same rulemaking, EPA promulgated a 24-hour 
standard of 65 [mu]g/m\3\, based on a 3-year average of the 98th 
percentile of 24-hour PM2.5 concentrations. On January 5, 
2005, at 70 FR 944, and supplemented on April 14, 2005, at 70 FR 19844, 
EPA designated Boone, Campbell, and Kenton Counties in Kentucky as part 
of the Tri-state Cincinnati-Hamilton Nonattainment Area for the 1997 
PM2.5 NAAQS.\1\
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    \1\ EPA subsequently clarified that the Tri-state Cincinnati-
Hamilton Area was classified unclassifiable/attainment for the 24-
hour NAAQS promulgated in 1997. See 74 FR 58688 (November 13, 2009).
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    On January 27, 2011, KDAQ submitted a request to redesignate the 
Kentucky portion of the Tri-state Cincinnati-Hamilton Area 
PM2.5 Nonattainment Area to attainment for the 1997 Annual 
PM2.5 NAAQS based on 2007-2009 data. On December 15, 2011, 
EPA published the final rulemaking redesignating the Area to attainment 
for the 1997 annual PM2.5 NAAQS. See 76 FR 77904.
    In 2006, EPA strengthened the primary and secondary 24-hour 
PM2.5 NAAQS from 65 [mu]g/m\3\ to 35 [mu]g/m\3\, and 
retained the current primary and secondary annual PM2.5 
NAAQS at 15 [mu]g/m\3\. See 71 FR 61144, October 17, 2006. The revision 
of the 24-hour PM2.5 NAAQS in 2006, triggered the 
designation process for the NAAQS. The Cincinnati/Northern Kentucky 
Area was designated attainment for the 2006 PM2.5 NAAQS. See 
74 FR 58688, November 13, 2009.

c. Non-Interference Demonstration for Exemption of Stage II 
Requirements.

    EPA is making the preliminary determination that Kentucky's April 
25, 2013, proposed source-specific revision to the Kentucky SIP is 
approvable based on the CAA and the December 12, 2006, EPA memorandum 
from Stephen D. Page entitled, ``Removal of Stage II Vapor Recovery in 
Situations Where Widespread use of On-board Refueling Vapor Recovery is 
Demonstrated,'' which provides guidance to states concerning the 
removal of Stage II gasoline vapor recovery systems where states 
demonstrate to EPA that widespread use of ORVR has occurred in specific 
portions of the motor vehicle fleet.
    As previously discussed, States were required to adopt Stage II 
rules for such areas under section 182(b)(3) of the CAA. However, 
section 202(a)(6) of the CAA provides that the requirements of section 
182(b)(3) (relating to Stage II gasoline vapor recovery) for areas 
classified as moderate for ozone shall not apply after the promulgation 
of ORVR standards. In addition, section 202(a)(6) further provides that 
the Administrator may, by rule, revise or waive the application of 
requirements of section 182(b)(3) for areas classified as serious, 
severe, or extreme for ozone.
    Section 202 ORVR regulations were promulgated by EPA on April 6, 
1992, and the requirements of these regulations were phased in. In this 
circumstance, EPA does not view section 202 as requiring a 
determination of ``widespread'' use as is necessary for the source-
specific SIP revision for Stage II requirements for the Enterprise 
Holdings, Inc. facility because the area is not designated as serious 
or above for ozone. EPA, however, does view the widespread use analysis 
as relevant toward satisfying the section 110(l) demonstration 
necessary to exempt the Enterprise Holdings, Inc. facility from the 
Stage II vapor control requirements.
    EPA believes the widespread use of ORVR has been sufficiently 
demonstrated.\2\ EPA's December 12, 2006, memorandum states that if 95 
percent of the vehicles in the fleet have ORVR, then widespread use 
will likely have been demonstrated for that fleet.

[[Page 28779]]

The memorandum addresses the following specific fleets:
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    \2\ On May 16, 2012, EPA made a determination that ORVR was in 
widespread use throughout the motor vehicle fleet for purposes of 
controlling motor vehicle refueling emissions. EPA estimated that 
approximately 70 percent of all vehicles would be equipped with on-
board systems to capture these vapors by the end of 2012, rendering 
the use of Stage II vapor recovery systems redundant.
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     Initial fueling of new vehicles at automobile assembly 
plants;
     Refueling of rental cars at rental car facilities; and
     Refueling of flexible fuel vehicles at E85 dispensing 
pumps.
    Most large rental companies rent current model vehicles, that are 
equipped with ORVR and vehicle models are updated to current year 
models every year or two. The Commonwealth of Kentucky has confirmed 
that 100 percent of the fleet will be equipped with 2006 model year 
(first model year vehicles required to be equipped with ORVR) and newer 
vehicles at the Enterprise Holdings, Inc., facility at the Cincinnati/
Northern Kentucky International Airport in Boone County.
    CAA section 110(a)(2)(D)(i)(I) prohibits facilities within the 
State from emitting any air pollutants in amounts which will contribute 
significantly to nonattainment in, or interfere with maintenance by, 
any other State with respect to any such national primary or secondary 
ambient air quality standards. The only pollutant emitted by refueling 
vehicles is VOC, which is a precursor of ozone, and its emissions are 
mitigated by the use of vehicles equipped with ORVR. EPA has 
preliminarily determined that Kentucky has adequately demonstrated that 
ORVR is in widespread use and that the Stage II requirements of the 
Kentucky SIP have been sufficiently supplanted by the ORVR such that 
exemption of the Enterprise Holdings, Inc., facility from the Stage II 
requirements would not interfere with any applicable requirement 
concerning attainment and reasonable further progress or any other 
applicable requirement of the CAA.

III. Proposed Action

    EPA is proposing to approve the aforementioned source-specific SIP 
revision request from Kentucky. VOC emissions from vehicles at 
Enterprise Holdings, Inc., facilities are controlled by ORVR, 
therefore, EPA has preliminarily concluded that removal of Stage II 
requirements at this facility would not result in an increase of VOC 
emissions, and thus would not contribute to ozone formation. The 
Commonwealth is seeking to remove this requirement for this facility 
and EPA has preliminarily determined that Kentucky has fully satisfied 
the requirements of section 110(l) of the CAA. Therefore, EPA is 
proposing to approve this source-specific SIP revision, as being 
consistent with section 110 of the CAA.

IV. Statutory and Executive Order Reviews

    Under the CAA, the Administrator is required to approve a SIP 
submission that complies with the provisions of the Act and applicable 
federal regulations. 42 U.S.C. 7410(k); 40 CFR 52.02(a). Thus, in 
reviewing SIP submissions, EPA's role is to approve state choices, 
provided that they meet the criteria of the CAA. Accordingly, these 
proposed actions merely approve state law as meeting federal 
requirements and do not impose additional requirements beyond those 
imposed by Commonwealth law. For that reason, these proposed actions:
     Are not a ``significant regulatory action'' subject to 
review by the Office of Management and Budget under Executive Order 
12866 (58 FR 51735, October 4, 1993);
     do not impose an information collection burden under the 
provisions of the Paperwork Reduction Act (44 U.S.C. 3501 et seq.);
     are certified as not having a significant economic impact 
on a substantial number of small entities under the Regulatory 
Flexibility Act (5 U.S.C. 601 et seq.);
     do not contain any unfunded mandate or significantly or 
uniquely affect small governments, as described in the Unfunded 
Mandates Reform Act of 1995 (Public Law 104-4);
     do not have Federalism implications as specified in 
Executive Order 13132 (64 FR 43255, August 10, 1999);
     are not an economically significant regulatory action 
based on health or safety risks subject to Executive Order 13045 (62 FR 
19885, April 23, 1997);
     are not a significant regulatory action subject to 
Executive Order 13211 (66 FR 28355, May 22, 2001);
     are not subject to requirements of section 12(d) of the 
National Technology Transfer and Advancement Act of 1995 (15 U.S.C. 272 
note) because application of those requirements would be inconsistent 
with the CAA; and
     do not provide EPA with the discretionary authority to 
address, as appropriate, disproportionate human health or environmental 
effects, using practicable and legally permissible methods, under 
Executive Order 12898 (59 FR 7629, February 16, 1994).
    In addition, this proposed rule does not have tribal implications 
as specified by Executive Order 13175 (65 FR 67249, November 9, 2000), 
because the SIP is not approved to apply in Indian country located in 
the Commonwealth, and it will not impose substantial direct costs on 
tribal governments or preempt tribal law.

List of Subjects in 40 CFR Part 52

    Environmental protection, Air pollution control, Greenhouse Gas, 
Incorporation by reference, Intergovernmental relations, Nitrogen 
dioxide, Ozone, Particulate matter, Reporting and recordkeeping 
requirements, Sulfur oxides, Volatile organic compounds.

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

    Dated: May 7, 2013.
A. Stanley Meiburg,
Acting Regional Administrator, Region 4.
[FR Doc. 2013-11713 Filed 5-15-13; 8:45 am]
BILLING CODE 6560-50-P
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