58702 Federal Register / Vol. 65, No. 191 / Monday, October 2, 2000 / Proposed Rules

relations, Ozone, Volatile organic

compounds.

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

Dated: September 1, 2000.

William J. Muszynski,

Acting Regional Administrator, Region 2.

[FR Doc. 00–25228 Filed 9–29–00; 8:45 am]

BILLING CODE 6560–50–P

ENVIRONMENTAL PROTECTION

AGENCY

40 CFR Part 63

[FRL–6877–6]

RIN 2060–AH17

National Emission Standards for

Hazardous Air Pollutants for Leather

Finishing Operations

AGENCY: Environmental Protection

Agency (EPA).

ACTION: Proposed rule.

SUMMARY: This action proposes national

emission standards for hazardous air

pollutants (NESHAP) for leather

finishing operations. The EPA has

identified these facilities as major

sources of hazardous air pollutant

(HAP) emissions such as glycol ethers,

toluene, and xylene. These HAP are

associated with a variety of adverse

health effects. These adverse health

effects include chronic health disorders

(e.g., effects on the central nervous

system, blood, and heart) and acute

health disorders (e.g., irritation of eyes,

throat, and mucous membranes and

damage to the liver and kidneys). These

proposed NESHAP will implement

section 112(d) of the Clean Air Act

(CAA) by requiring all leather finishing

facilities that are major sources to meet

HAP emission standards reflecting the

application of the maximum achievable

control technology (MACT). The EPA

estimates that these proposed NESHAP

will reduce nationwide emissions of

HAP from leather finishing operations

by approximately 375 tons per year

(tpy). In addition, the proposed

NESHAP would reduce non-HAP

emissions of volatile organic

compounds (VOC) by 750 tpy. The

emissions reductions achieved by these

proposed NESHAP, when combined

with the emission reductions achieved

by other similar standards, will provide

protection to the public and achieve a

primary goal of the CAA.

DATES: Comments. Submit comments on

or before December 1, 2000.

Public Hearing. If anyone contacts the

EPA requesting to speak at a public

hearing by October 23, 2000, a public

hearing will be held on November 1,

2000.

ADDRESSES: Comments. Submit written

comments (in duplicate if possible) to:

Air and Radiation Docket and

Information Center (6102), Attention

Docket Number A–99–38, Room M–

1500, U.S. Environmental Protection

Agency, 1200 Pennsylvania Avenue,

NW, Washington, DC 20460. The EPA

requests a separate copy also be sent to

the contact person listed in FOR FURTHER

INFORMATION CONTACT.

Public Hearing. If a public hearing is

held, it will be held at 10:00 a.m. in the

EPA’s Office of Administration

Auditorium, Research Triangle Park,

North Carolina, or at an alternate site

nearby.

Docket. Docket No. A–99–38 contains

supporting information used in

developing the standards. The docket is

located at the U.S. Environmental

Protection Agency, 401 M Street, SW,

Washington, DC 20460 in room M–1500,

Waterside Mall (ground floor), and may

be inspected from 8:30 a.m. to 5:30 p.m.,

Monday through Friday, excluding legal

holidays.

FOR FURTHER INFORMATION CONTACT: For

information about the proposed

NESHAP, contact Mr. William Schrock,

Organic Chemicals Group, Emission

Standards Division, (MD–13), U.S.

Environmental Protection Agency,

Research Triangle Park, North Carolina

27711; telephone number (919) 541–

5032; facsimile number (919) 541–3470;

electronic mail address

‘‘schrock.bill@epa.gov.’’

SUPPLEMENTARY INFORMATION:

Comments. Comments and data may be

submitted by electronic mail (e-mail) to:

a-and-r-docket@epa.gov. Comments

submitted by e-mail must be submitted

as an ASCII file to avoid the use of

special characters and encryption

problems. Comments will also be

accepted on disks in WordPerfect(R)

version 5.1, 6.1, or 8 file format. All

comments and data submitted in

electronic form must note the docket

number: A–99–38. No confidential

business information (CBI) should be

submitted by e-mail. Electronic

comments may be filed online at many

Federal Depository Libraries.

Commenters wishing to submit

proprietary information for

consideration must clearly distinguish

such information from other comments

and clearly label it as CBI. Send

submissions containing such

proprietary information directly to the

following address, and not to the public

docket, to ensure that proprietary

information is not inadvertently placed

in the docket: Attention: Mr. William

Schrock, c/o OAQPS Document Control

Officer (Room 740B), U.S.

Environmental Protection Agency, 411

W. Chapel Hill Street, Durham, NC

27701. The EPA will disclose

information identified as CBI only to the

extent allowed by the procedures set

forth in 40 CFR part 2. If no claim of

confidentiality accompanies a

submission when it is received by the

EPA, the information may be made

available to the public without further

notice to the commenter.

Public Hearing. A request for a public

hearing must be made by the date

specified under the DATES section.

Persons interested in presenting oral

testimony or inquiring as to whether a

hearing is to be held should contact: Ms.

Maria Noell, Organic Chemicals Group,

Emission Standards Division, (MD–13),

U.S. Environmental Protection Agency,

Research Triangle Park, North Carolina

27711; telephone number (919) 541–

5607 at least 2 days in advance of the

public hearing. Persons interested in

attending the public hearing must also

call Ms. Maria Noell to verify the time,

date, and location of the hearing. The

public hearing will provide interested

parties the opportunity to present data,

views, or arguments concerning these

proposed emission standards.

Docket. The docket is an organized

and complete file of all the information

considered in the development of this

rulemaking. The docket is a dynamic

file because material is added

throughout the rulemaking process. The

docketing system is intended to allow

members of the public and industries

involved to readily identify and locate

documents so that they can effectively

participate in the rulemaking process.

Along with the proposed and

promulgated standards and their

preambles, the contents of the docket

will serve as the record in the case of

judicial review. (See section

307(d)(7)(A) of the CAA.) The regulatory

text and other materials related to this

rulemaking are available for review in

the docket or copies may be mailed on

request from the Air Docket by calling

(202) 260–7548. A reasonable fee may

be charged for copying docket materials.

World Wide Web (WWW). In addition

to being available in the docket, an

electronic copy of today’s proposed rule

will also be available on the WWW

through the Technology Transfer

Network (TTN). Following the

Administrator’s signature, a copy of the

rule will be posted on the TTN’s policy

and guidance page for newly proposed

or promulgated rules http://

www.epa.gov/ttn/oarpg. The TTN

provides information and technology

exchange in various areas of air

Federal Register / Vol. 65, No. 191 / Monday, October 2, 2000 / Proposed Rules 58703

pollution control. If more information

regarding the TTN is needed, call the

TTN HELP line at (919) 541–5384.

Regulated Entities. Categories and

entities potentially regulated by this

action include those listed in Table 1 of

this preamble.

TABLE 1.—REGULATED CATEGORIES AND ENTITIES

Category SIC NAICS Examples of regulated entities

Industry ............................................... 3111 3161 Leather finishing operations.

Federal government ........................... .................... .................... Not affected.

State/local/tribal government .............. .................... .................... Not affected.

This table is not intended to be

exhaustive, but rather a guide regarding

entities likely to be regulated by this

action. To determine whether your

facility is regulated by this action, you

should examine the applicability

criteria in section § 63.5285 of the

proposed NESHAP. If you have any

questions regarding the applicability of

this action to a particular entity, consult

the person listed in the preceding FOR

FURTHER INFORMATION CONTACT section.

Outline. The information presented in

this preamble is organized as follows:

I. Background

A. What is the source of authority for

development of NESHAP?

B. What criteria are used in the

development of NESHAP?

C. What are the health effects associated

with the pollutants emitted from leather

finishing operations?

D. How were the proposed NESHAP

developed?

II. Summary of the Proposed NESHAP

A. What source categories and

subcategories are affected by these

proposed NESHAP?

B. What are the primary sources of

emissions and what are the baseline

emissions?

C. What is the affected source?

D. What are the emission limits, operating

limits and other standards?

E. When must I comply with these

proposed NESHAP?

F. What are the continuous compliance

provisions?

G. What are the notification, recordkeeping

and reporting requirements?

III. Rationale for Selecting the Proposed

Standards

A. How did we select the source category?

B. How did we select any subcategories?

C. How did we select the affected source?

D. How did we determine the basis and

level of the proposed standards for

existing and new sources?

E. Did we consider control options more

stringent than the MACT floor?

F. How did we select the form of the

standards?

G. How did we select the test methods for

determining compliance with these

proposed NESHAP?

H. How did we select the notification,

recordkeeping and reporting

requirements?

I. What is the relationship of these

proposed NESHAP to other rules?

IV. Summary of Environmental, Energy and

Economic Impacts

A. What are the secondary and energy

impacts associated with these standards?

B. What are the cost impacts?

C. What are the economic impacts?

V. Administrative Requirements

A. Executive Order 12866, Regulatory

Planning and Review

B. Executive Order 13132, Federalism

C. Executive Order 13084, Consultation

and Coordination with Indian Tribal

Governments

D. Executive Order 13045, Protection of

Children from Environmental Health

Risks and Safety Risks

E. Unfunded Mandates Reform Act of 1995

F. Regulatory Flexibility Act (RFA), as

amended by the Small Business

Regulatory Enforcement Fairness Act of

1996 (SBREFA), 5 U.S.C. 601 et seq.

G. Paperwork Reduction Act

H. National Technology Transfer and

Advancement Act of 1995

I. Background

A. What Is the Source of Authority for

Development of NESHAP?

Section 112 of the CAA requires us to

list categories and subcategories of

major sources and area sources of HAP

and to establish NESHAP for the listed

source categories and subcategories. As

specified in section 112(a) of the CAA,

major sources of HAP are those that

have the potential to emit greater than

10 tpy of any one HAP or 25 tpy of any

combination of HAP. On July 16, 1992,

we published an initial list of source

categories to be regulated (57 FR 31576).

The Leather Tanning and Finishing

Operations source category was not

included on the initial list but was

added by an update to the list on June

4, 1996 (61 FR 28207). Today’s

proposed rule modifies the listing of

this source category by deleting tanning

facilities from the definition and

renaming the source category Leather

Finishing Operations. We propose this

change because our data indicate there

are no stand-alone tanning facilities that

are major sources of HAP, and that

tanneries collocated at finishing

facilities do not constitute a significant

emission point for HAP that requires

control. This proposal to delete tanning

facilities does not preclude us from

relisting tanning facilities in the future

should a situation arise that tanning

facilities become a major source of HAP

emissions.

B. What Criteria Are Used in the

Development of NESHAP?

Section 112 of the CAA requires that

we establish NESHAP for the control of

HAP from both new and existing major

sources. The CAA requires the NESHAP

to reflect the maximum degree of

reduction in emissions of HAP that is

achievable, taking into consideration the

cost of achieving the emissions

reductions, any nonair quality health

and environmental impacts, and energy

requirements. This level of control is

commonly referred to as the MACT.

The MACT floor is the minimum

control level allowed for NESHAP and

is defined under section 112(d)(3) of the

CAA. The MACT floor is established at

a level to assure that all major sources

achieve a level of control at least as

stringent as that already achieved by the

better-controlled and lower-emitting

sources in each source category or

subcategory. For new sources, the

MACT floor cannot be less stringent

than the emission control that is

achieved in practice by the bestcontrolled similar source. The MACT

standards for existing sources can be

less stringent than standards for new

sources, but they cannot be less

stringent than the average emission

limitation achieved by the bestperforming 12 percent of existing

sources in the category or subcategory

(or the best-performing 5 sources for

categories or subcategories with fewer

than 30 sources).

In developing MACT, we also

consider control options that are more

stringent than the floor. We may

establish standards more stringent than

the floor based on the consideration of

cost, nonair quality health and

environmental impacts, and energy

requirements.

58704 Federal Register / Vol. 65, No. 191 / Monday, October 2, 2000 / Proposed Rules

C. What Are the Health Effects

Associated With the Pollutants Emitted

From Leather Finishing Operations?

These proposed NESHAP protect air

quality and promote the public health

by reducing emissions of HAP listed in

section 112(b)(1) of the CAA. The

predominate HAP emitted by leather

finishing operations include glycol

ethers, toluene, and xylene. Exposure to

these compounds has been

demonstrated to cause a variety of

adverse health effects. Acute (shortterm) exposure in humans to high levels

of glycol ethers results in narcosis,

pulmonary edema, and severe liver and

kidney damage. Chronic (long-term)

exposure to glycol ethers may result in

neurological and blood effects,

including fatigue, nausea, tremor, and

anemia. No information is available on

the reproductive, developmental, or

carcinogenic effects of glycol ethers in

humans. Animal studies have reported

reproductive and developmental effects,

including testicular damage, reduced

fertility, maternal toxicity, early

embryonic death, birth defects, and

delayed development.

Acute inhalation of toluene by

humans may cause effects to the central

nervous system (CNS), such as fatigue,

sleepiness, headache, and nausea, as

well as irregular heartbeat. Humans that

are chronic inhalation abusers of

toluene have reported adverse CNS

effects after exposure to high levels of

toluene. Symptoms include tremors,

decreased brain size, involuntary eye

movements, and impaired speech,

hearing, and vision. Chronic inhalation

exposure of humans to lower levels of

toluene also causes irritation of the

upper respiratory tract, eye irritation,

sore throat, nausea, dizziness,

headaches, and difficulty with sleep.

Studies of children exposed to toluene

or to mixed solvents inhalation during

their mother’s pregnancy have reported

CNS problems, facial and limb

abnormalities, and delayed

development. However, these effects

may not be attributable to toluene alone.

Acute inhalation of mixed xylenes (a

mixture of three closely-related

compounds) in humans may cause

irritation of the nose and throat, nausea,

vomiting, gastric irritation, mild

transient eye irritation, and neurological

effects. Chronic inhalation of xylenes in

humans may result in nervous system

effects such as headache, dizziness,

fatigue, tremors, and incoordination.

Other reported effects include labored

breathing, heart palpitation, severe chest

pain, abnormal electrocardiograms, and

possible effects on the blood and

kidneys.

The EPA does not have the type of

current detailed data on each leather

finishing operation covered by the

proposed rule, and the people living

around the facilities, that would be

necessary to conduct an analysis to

determine the actual population

exposures to the HAP emitted from

these facilities and the potential for

resultant health effects. Therefore, the

EPA does not know the extent to which

the adverse health effects described

above occur in the populations

surrounding these facilities. However, to

the extent the adverse effects do occur,

the proposed rule will reduce emissions

and subsequent exposures.

D. How Were the Proposed NESHAP

Developed?

We consulted many representatives of

the leather finishing industry, State and

Federal representatives, and coating

suppliers in developing the proposed

NESHAP. We held a series of

stakeholder meetings over a period of

nearly 3 years. These meetings were

held to keep stakeholders informed and

to solicit data and information on issues

relevant to the NESHAP development.

Stakeholders helped in data gathering,

arranged site visits, and reviewed

questionnaires. Stakeholders also shared

data, identified issues, and provided

information to help resolve issues in the

rulemaking process.

We identified the MACT floor control

level with information obtained through

questionnaire responses from 18

sources, of which 16 will be affected by

this proposed subpart. We also

conducted site visits, made telephone

contacts, and reviewed operating

permits.

II. Summary of the Proposed NESHAP

A. What Source Categories and

Subcategories Are Affected by These

Proposed NESHAP?

Today’s proposed NESHAP apply

only to the Leather Finishing Operations

source category. Operations that finish

leather through a solvent degreasing

process, such as in the manufacture of

leather chamois, are already subject to

the Halogenated Solvent Cleaning

NESHAP (40 CFR part 63, subpart T).

Those degreasing operations are not

subject to today’s proposed NESHAP.

There are no subcategories for the

Leather Finishing Operations source

category.

B. What Are the Primary Sources of

Emissions and What Are the Baseline

Emissions?

The primary sources of HAP

emissions at leather finishing operations

are process vents associated with spray

booth operations and the drying of the

leather following coating. Total baseline

HAP emissions from all 16 affected

sources are 731 tons/yr.

C. What Is the Affected Source?

The affected source for leather

finishing operations is the collection of

all equipment and activities used for the

application of film-forming materials to

a leather substrate to provide desired

material properties. The affected source

includes, but is not limited to, all

equipment that emits HAP, such as

process vents, storage vessels,

wastewater, and fugitive sources. The

affected source also includes other

auxiliary equipment that is necessary to

make the operation run but may not

emit HAP.

D. What Are the Emission Limits,

Operating Limits and Other Standards?

As provided under the authority of

CAA section 112(d), we are proposing

the requirements in this rule in the form

of a mass emission limit standard. For

this proposed rule, the MACT

performance level is an emission limit

for finishing operations expressed in

terms of HAP emissions per quantity of

leather processed over a rolling 12-

month compliance period. All facilities

currently involved in leather finishing

operations limit their HAP emissions

through the use of low-HAP content

coatings. Depending upon the intended

use of the final leather product, different

coatings with different HAP contents

must be used. Therefore, a different

emission limit has been established for

the four primary products produced: (1)

Upholstery with finish add-on greater

than or equal to 4 grams per square foot,

(2) upholstery with finish add-on less

than 4 grams per square foot, (3) waterresistant leather, and (4) nonwaterresistant leather.

E. When Must I Comply With These

Proposed NESHAP?

Leather finishing operations

categorized as an existing affected

source must comply with the emission

standards for existing sources no later

than 3 years from the effective date of

the promulgated subpart. New or

reconstructed affected sources that

startup before the effective date of the

promulgated subpart must comply with

the emission standards for new and

reconstructed sources no later than the

effective date of the promulgated

subpart. New or reconstructed affected

sources that startup after the effective

date of the promulgated subpart must

comply with the emission standards for

Federal Register / Vol. 65, No. 191 / Monday, October 2, 2000 / Proposed Rules 58705

new and reconstructed sources upon

startup of your affected source.

F. What Are the Continuous Compliance

Provisions?

To demonstrate compliance, you must

perform the following: (1) Develop a

plan for demonstrating compliance; (2)

maintain monthly records of finish

usage, HAP content of all finishes, and

quantity of leather finished; (3) comply

with the HAP emission limits,

expressed as pounds of HAP emissions

per 1,000 square feet of leather

processed for each leather product

process operation; (4) submit the

necessary notifications; and (5) submit

the necessary reports.

G. What Are the Notification,

Recordkeeping and Reporting

Requirements?

1. What Notifications Must I Submit?

If you are an existing major source,

you must submit an ‘‘initial

notification’’ no later than 120 calendar

days after the effective date of the

promulgated subpart. You must provide

a brief description of your source

including the types of leather product

process operations that are performed

and the nominal operating capacity of

your source. This initial submission

notifies the Administrator that you have

an affected source and must comply

with the rule as promulgated. These

NESHAP do not apply to area sources.

If you are a new or reconstructed source,

you must make several notifications

during the process of construction and

startup according to § 63.9 of the

General Provisions.

You must also submit a notification of

compliance status no later than 60

calendar days after determining your

initial 12-month compliance ratio. The

notification of compliance status

identifies your affected source, lists the

types of leather product process

operations processed, and certifies the

compliance status of your affected

source.

You must submit a notification of

intent to conduct an applicable

performance test at least 60 calendar

days before the performance test is

scheduled to begin.

2. What Is a Plan for Demonstrating

Compliance?

Most leather finishing sources

currently use reliable methods in

determining the quantity of HAP

emissions lost to the atmosphere and

the quantity of leather processed. For

example, the quantity of HAP emissions

from an affected source may be based on

direct volumetric or mass measurements

of the amounts of each solvent type

applied to leather substrates and the

HAP content of each solvent type

provided on material safety data sheets

(MSDS). Therefore, today’s proposed

NESHAP do not require you to change

the method of measurement, but do

require you to document each method of

measurement and to consistently follow

each documented method. You must

develop a plan for demonstrating

compliance which describes in detail

how you will determine your finish

usage, HAP content of each finish, and

the quantity of leather processed in each

product process operation. The plan for

demonstrating compliance must be

developed by the compliance date and

must be kept on site and available for

inspection.

3. What Data Must I Record?

You must record all of the data

necessary to determine your compliance

ratio on a monthly basis. This includes

all records used to determine the

monthly and 12-month rolling sum of

finish usage, HAP content of each finish

applied, and quantity of leather

processed. If you use an emission

control device to comply with these

proposed NESHAP, then you must also

record all necessary data from

monitoring the emission control device

as specified at 40 CFR part 63, subpart

SS. The frequency in which you

measure and record necessary

information must be specified in your

plan for demonstrating compliance.

The proposed NESHAP require you to

keep records in a form suitable and

readily available for review. You must

keep each record for 5 years following

the date of each occurrence,

measurement, maintenance, corrective

action, report, or record. Records must

remain on site for at least 2 years and

then can be maintained offsite for the

remaining 3 years.

4. What Reports Must I Submit?

The proposed NESHAP require you to

submit an annual report certifying the

compliance status of your affected

source. The first annual compliance

status certification is due 1 year after the

submittal of your notification of

compliance status.

If your compliance ratio exceeds one,

you must submit a deviation report by

the fifteenth of the following month in

which you determined the deviation.

III. Rationale for Selecting the Proposed

Standards

A. How Did We Select the Source

Category?

As noted in section I.B, today’s

proposed NESHAP revise the definition

of the source category. Leather tanning

operations have been deleted from the

definition of the source category. We

took this action after reviewing the data

from the facilities engaged in leather

tanning operations.

B. How Did We Select Any

Subcategories?

We reviewed the available

information on the leather finishing

operations industry and determined that

the industry did not warrant

subcategorization. We found that, in

general, the raw materials, emissions,

and process steps are similar.

However, we observed differences in

achievable emission levels between the

types of leather products produced.

Four product process operations were

established for these NESHAP because

of differences in finish properties and

coating formulations which affect the

achievable level of HAP emissions. The

four leather product process operations

established for the leather finishing

source category are described in the

following paragraphs.

1. Upholstery leather with finish addon greater than or equal to 4 grams per

square foot. The coatings used in this

product process operation are typically

aqueous-based acrylic resins with

surfactants and aqueous-based

polyurethane dispersions. These

coatings produce a leather that exhibits

good abrasion resistance, thermal

stability, and ultraviolet light stability,

as well as excellent adhesion properties.

2. Upholstery leather with finish addon less than 4 grams per square foot.

The typical coatings used to produce

leather in this product process operation

are nitrocellulose or cellulose acetate

butyrate. The desired properties of this

type of leather are primarily aesthetic,

and only these types of coatings

produce the desired effect.

3. Water-resistant leather (able to pass

5,000 or more American Society for

Testing and Materials (ASTM) Maeser

Flexes). Leather in this product process

operation requires the use of solventbased finishes to achieve the required

water resistance. Due to the nature of

this product being water resistant,

substitution of a water-based coating is

not an option.

4. Nonwater-resistant leather (unable

to pass 5,000 ASTM Maeser Flexes).

Finishes used in this product process

operation can either be solvent-based or

aqueous-based depending on the use of

the leather. Most leather producers

make a variety of products that require

the use of both types of finishes.

For the prior mentioned reasons, we

have not established subcategories, but

rather we have established four different

58706 Federal Register / Vol. 65, No. 191 / Monday, October 2, 2000 / Proposed Rules

performance standards for the various

leather products produced. Thus, an

affected source may consist of any

combination of the four product process

operations located at a major source site.

C. How Did We Select the Affected

Source?

In selecting the affected source for the

Leather Finishing Operations source

category, we included all equipment

that emits HAP, such as process vents,

storage vessels, wastewater, and fugitive

sources. In addition, because

‘‘reconstruction,’’ as defined in § 63.2 of

the General Provisions, is calculated

based on the affected source, we also

included other auxiliary equipment that

is necessary to make the operation run,

but which may not emit HAP. Thus, we

are defining the affected source broadly

to include the sum of all operations

engaged in the finishing of the leather

product.

A broadly-defined affected source

provides owners and operators with

more flexibility to comply using

emissions averaging. In addition, we

defined the affected source broadly

because emissions from the sum of all

operations are better documented than

emissions from individual process lines

or emission points.

D. How Did We Determine the Basis and

Level of the Proposed Standards for

Existing and New Sources?

For these proposed NESHAP, the

MACT performance level is an emission

limit for finishing operations expressed

in terms of pounds of HAP emission per

1,000 square feet of leather processed

over a rolling, 12-month compliance

period. For each of the four product

process operations, we determined an

overall finishing operation performance

level based on 1 year of monthly data

relating HAP emissions to leather

processing rates.

We used statistical procedures to

address variability observed in monthly

data used in the MACT floor

determinations. Customer and consumer

preferences for different types of leather

finishing products vary from month-tomonth, thus affecting finishing

operations and HAP emissions. One

year of emission and process

information is not sufficient to

characterize the long-term impacts of

customer and consumer finishing

preferences. The never-to-be-exceeded

format of these proposed NESHAP

required us to statistically examine

variability and make adjustments to the

HAP loss performance level of each

product process operation in order to

establish numerical limits that are

achievable across the source category.

For existing sources, we determined

the MACT floor for each product

process operation based on the

performance levels corresponding to the

five top-performing operations since

there are fewer than 30 sources in each

product process operation. For new

sources, we determined the MACT floor

for each product process operation

based on the performance level

corresponding to the top ranking

product process operation of each type.

The new source MACT floor for each

product process operation is more

stringent than the corresponding

existing source MACT floor.

E. Did We Consider Control Options

More Stringent Than the MACT Floor?

We considered a regulatory

alternative more stringent than the

MACT floor, but rejected it because of

a significantly higher cost per ton of

emissions reductions. The more

stringent option would require the

installation of a thermal oxidizer to

control HAP emissions in the combined

exhaust streams from spray stations and

finish dryers. At present, no leather

finishing facility has installed such

emission controls on spray station

exhausts or finish dryers.

F. How Did We Select the Form of the

Standards?

We evaluated two predominant

possibilities for the form of the

standards. In our data collection efforts,

we requested State rules that apply to

the types of leather finishing activities

we are regulating by this proposal. The

State standards are expressed either in

the form of a limit on the HAP content

in the coatings used or a HAP emissions

limit per unit area of leather coated. One

State uses a combination of the two

forms. Most States limit the HAP

content in the coatings. However, there

is nearly an equal number of facilities

covered by each form of the standards.

We decided to express the standards

as a HAP emissions limit per unit area

of leather finished for the following

reasons: (1) This form of the standard

simplified the data collection efforts

necessary to determine the MACT floor,

(2) facilities within the source category

are already tracking HAP usage and

amount of leathered processed, and (3)

this form of the standard provides

facilities more compliance flexibility.

G. How Did We Select the Test Methods

for Determining Compliance With These

Proposed NESHAP?

The reference test method for

measuring the HAP content of leather

surface coatings and wipe-down

solvents subject to the proposed

NESHAP is EPA Method 311 (Analysis

of Hazardous Air Pollutant Compounds

in Paints and Coatings by Direct

Injection Into a Gas Chromatograph).

This is an established method that is

appropriate for measuring the types of

HAP used in these materials. You may

use alternative methods for measuring

HAP content that we approve.

The proposed NESHAP do not require

a compliance test for HAP content, nor

do they require you to test every

shipment of materials that you receive.

You are responsible for ensuring, by any

means that you choose such as periodic

testing, or manufacturers’ certification,

that the HAP content of your materials

complies with the requirements of the

proposed NESHAP. We may require you

to conduct a test at any time using EPA

Method 311 (or any approved

alternative method) to confirm the HAP

content in the compliance reports that

you submit. If there is any inconsistency

between the results of the EPA Method

311 test and any other means of

determining HAP content, the Method

311 results will govern.

H. How Did We Select the Notification,

Recordkeeping and Reporting

Requirements?

The selection of notification

requirements was based on the

notification requirements listed in the

General Provisions (40 CFR part 63,

subpart A). These notification

requirements provide the minimum

necessary information to inform the

EPA that a facility will be subject to the

promulgated rule during normal

operations and assure EPA that a facility

will be subject to the promulgated rule

during site-specific testing conditions

and during construction/reconstruction

conditions.

Recordkeeping is limited to

information required for determining

finish usage and resulting HAP

emissions. An inventory log of finish

applications is required to satisfy

monitoring requirements of the

proposed rule. The required information

is as follows: finish usage, HAP content

of the finish, date, time, operator, and

leather product process operation.

Additional information may be required

depending on the nature of the facility.

For example, density and volume

determinations may have to be recorded

so that an actual finish weight may be

calculated.

After submitting initial notifications

and developing a plan for demonstrating

compliance, the source will be required

to file an annual statement certifying

compliance status. The annual

compliance status certificate is due 12

Federal Register / Vol. 65, No. 191 / Monday, October 2, 2000 / Proposed Rules 58707

months from the anniversary of the last

compliance status certificate.

I. What Is the Relationship of These

Proposed NESHAP to Other Rules?

1. NESHAP for Halogenated Solvent

Cleaning (40 CFR part 63, subpart T)

Operations that finish leather through

a solvent degreasing process, such as the

manufacture of leather chamois, are

already subject to the provisions in 40

CFR part 63, subpart T. Since leather

finishing operations involving a

degreasing process are already subject to

the NESHAP for Halogenated Solvent

Cleaning, those operations involving

leather degreasing are, therefore, not

subject to today’s proposed NESHAP. At

least one facility that is involved in the

finishing of leather into chamois is

subject to subpart T, which covers the

same types of operations as this

proposed rule.

2. Relationship Between Operating

Permit Program and the Proposed

Standards

Under the operating permit program

codified at 40 CFR parts 70 and 71, a

major source subject to standards under

section 111 or 112 of the CAA must

obtain an operating permit (§ 70.3(a)(1)

and §71.3(a)(1)). Therefore, every major

source subject to these proposed

NESHAP must obtain an operating

permit. Area sources in this industry are

not regulated by these proposed

NESHAP, and, therefore, would not be

required to obtain an operating permit

because of these proposed NESHAP.

Some leather finishing facilities may

be major sources based solely on their

potential to emit, even though their

actual emissions are below the major

source level. These leather finishing

facilities may choose to obtain a

federally enforceable limit on their

potential to emit so that they are no

longer considered major sources and not

subject to the proposed NESHAP.

Sources that opt to limit their potential

to emit by placing limits on operating

hours or amount of material used are

referred to by the EPA as ‘‘synthetic’’

area sources. To become a synthetic area

source, you must contact your local

permitting authority to obtain an

operating permit with the appropriate

operating limits prior to the compliance

date of the promulgated rule. These

operating limits will then be federally

enforceable under 40 CFR 70.6(b).

IV. Summary of Environmental, Energy

and Economic Impacts

A. What Are the Secondary and Energy

Impacts Associated With These

Standards?

We do not expect any significant

secondary air emission, wastewater,

solid waste, or energy impacts resulting

from the proposed rule. The emissions

reduction techniques that will be used

to comply with the NESHAP are

pollution-prevention techniques such as

greater efficiency with finish transfer

technologies and chemistry changes

from solvent-based finishes to aqueousbased finishes. More details on the

secondary and energy impacts can be

found in the memorandum entitled

‘‘Environmental and Energy Impacts for

Leather Tanning and Finishing MACT

Floor Regulatory Option’’ (Docket A–

99–38).

B. What Are the Cost Impacts?

We determined the total capital cost

associated with the MACT floor level of

control to be approximately $5.6 million

which corresponds to a total annualized

cost of approximately $440,000 per year.

The total annualized costs also include

the costs associated with compliance

monitoring, recordkeeping, and

reporting.

We determined the overall cost

effectiveness associated with the MACT

floor level of control to be $1,300 per

ton of HAP reduced. This level of

control will reduce HAP emissions from

existing sources by approximately 375

tpy, a reduction of approximately 51

percent.

C. What Are the Economic Impacts?

The total annualized costs associated

with these proposed NESHAP are

approximately $440,000 in 1997 dollars.

This cost represents only 0.014 percent

of total industry revenues based on 1996

value of shipments. Because the total

annualized costs associated with

complying with the proposed NESHAP

are such a small percentage of total

market revenues (value of shipments), it

is unlikely market prices or production

will change as a result of these proposed

NESHAP. As an alternative to

performing a market analysis, we

evaluated the cost impacts on facility

and firm revenues. The calculation of

cost-to-sales ratios shows that only one

firm (owning one facility) shows an

impact that is greater than 1 percent of

revenues (1.52 percent). All other firms

have impacts well below 1/10th of 1

percent and range from 0.00 percent to

0.09 percent of firm revenues. Given

that overall costs represent a small

fraction of industry revenues, and

individual firm revenues experience

minimal impacts, we conclude that

economic impacts associated with this

proposed rule will be negligible.

V. Administrative Requirements

A. Executive Order 12866, Regulatory

Planning and Review

Under Executive Order 12866 (58 FR

51735, October 4, 1993), we must

determine whether the regulatory action

is ‘‘significant’’ and therefore subject to

review by the Office of Management and

Budget (OMB). The Executive Order

defines ‘‘significant regulatory action’’

as one that is likely to result in a rule

that may:

(1) Have an annual effect on the

economy of $100 million or more or

adversely affect in a material way the

economy, a sector of the economy,

productivity, competition, jobs, the

environment, public health or safety, or

State, local, or tribal governments or

communities;

(2) create a serious inconsistency or

otherwise interfere with an action taken

or planned by another agency;

(3) materially alter the budgetary

impact of entitlements, grants, user fees,

or loan programs, or the rights and

obligation of recipients thereof; or

(4) raise novel legal or policy issues

arising out of legal mandates, the

President’s priorities, or the principles

set forth in the Executive Order.

Pursuant to the terms of Executive

Order 12866, it has been determined

that this rule is not a ‘‘significant

regulatory action’’ because none of the

listed criteria apply to this action.

Consequently, this action was not

submitted to OMB for review under

Executive Order 12866.

B. Executive Order 13132, Federalism

Executive Order 13132, entitled

‘‘Federalism’’ (64 FR 43255, August 10,

1999), requires EPA to develop an

accountable process to ensure

‘‘meaningful and timely input by State

and local officials in the development of

regulatory policies that have federalism

implications.’’ ‘‘Policies that have

federalism implications’’ is defined in

the Executive Order to include

regulations that have ‘‘substantial direct

effects on the States, on the relationship

between the national government and

the States, or on the distribution of

power and responsibilities among the

various levels of government.’’ Under

Executive Order 13132, EPA may not

issue a regulation that has federalism

implications, that imposes substantial

direct compliance costs, and that is not

required by statute, unless the Federal

government provides the funds

58708 Federal Register / Vol. 65, No. 191 / Monday, October 2, 2000 / Proposed Rules

necessary to pay the direct compliance

costs incurred by State and local

governments, or EPA consults with

State and local officials early in the

process of developing the proposed rule.

The EPA also may not issue a regulation

that has federalism implications and

that preempts State law unless the

Agency consults with State and local

officials early in the process of

developing the proposed rule.

If EPA complies by consulting,

Executive Order 13132 requires EPA to

provide to OMB, in a separately

identified section of the preamble to the

rule, a federalism summary impact

statement (FSIS). The FSIS must include

a description of the extent of EPA’s

prior consultation with State and local

officials, a summary of the nature of

their concerns and the Agency’s

position supporting the need to issue

the regulation, and a statement of the

extent to which the concerns of State

and local officials have been met. Also,

when EPA transmits a draft final rule

with federalism implications to OMB for

review pursuant to Executive Order

12866, EPA must include a certification

from the Agency’s Federalism Official

stating that EPA has met the

requirements of Executive Order 13132

in a meaningful and timely manner.

This proposed rule will not have

substantial direct effects on the States,

on the relationship between the national

government and the States, or on the

distribution of power and

responsibilities among the various

levels of government, as specified in

Executive Order 13132. This is because

the proposed rule applies to affected

sources in the leather finishing industry,

not to States or local governments. Nor

will State law be preempted, or any

mandates be imposed on States or local

governments. Thus, the requirements of

section 6 of the Executive Order do not

apply to this proposed rule. The EPA

notes, however, that although not

required to do so by this Executive

Order (or otherwise), it did consult with

State governments during development

of this proposed rule.

C. Executive Order 13084, Consultation

and Coordination With Indian Tribal

Governments

Under Executive Order 13084, we

may not issue a regulation that is not

required by statute, that significantly or

uniquely affects the communities of

Indian tribal governments, and that

imposes substantial direct compliance

costs on those communities unless the

Federal government provides the funds

necessary to pay the direct compliance

costs incurred by the tribal

governments, or we consult with those

governments. If we comply by

consulting, we are required by

Executive Order 13084 to provide to the

OMB in a separately identified section

of the preamble to the rule, a

description of the extent of our prior

consultation with representatives of

affected tribal governments, a summary

of the nature of their concerns, and a

statement supporting the need to issue

the regulation. In addition, Executive

Order 13084 requires us to develop an

effective process permitting elected

officials and other representatives of

Indian tribal governments ‘‘to provide

meaningful and timely input in the

development of regulatory policies on

matters that significantly or uniquely

affect their communities.’’

Today’s proposed rule does not

significantly or uniquely affect the

communities of Indian tribal

governments. Accordingly, the

requirements of section 3(b) of

Executive Order 13084 do not apply to

this proposed rule.

D. Executive Order 13045, Protection of

Children from Environmental Health

Risks and Safety Risks

Executive Order 13045: ‘‘Protection of

Children from Environmental Health

Risks and Safety Risks’’ (62 FR 19885,

April 23, 1997) applies to any rule that:

(1) Is determined to be ‘‘economically

significant’’ as defined under Executive

Order 12866, and (2) concerns an

environmental health or safety risk that

we have reason to believe may have a

disproportionate effect on children. If

the regulatory action meets both criteria,

the Agency must evaluate the

environmental health or safety effects of

the planned rule on children, and

explain why the planned regulation is

preferable to other potentially effective

and reasonably feasible alternatives

considered by the Agency.

The EPA interprets Executive Order

13045 as applying only to those

regulatory actions that are based on

health or safety risks, such that the

analysis required under section 5–501 of

the Executive Order has the potential to

influence the regulation. This rule is not

subject to Executive Order 13045

because it is based solely on technology

performance. No children’s risk analysis

was performed because no alternative

technologies exist that would provide

greater stringency at a reasonable cost.

Additionally, this proposed rule is not

‘‘economically significant’’ as defined

under Executive Order 12866.

E. Unfunded Mandates Reform Act of

1995

Title II of the Unfunded Mandates

Reform Act of 1995 (UMRA), Public

Law 104–4, establishes requirements for

Federal agencies to assess the effects of

their regulatory actions on State, local,

and tribal governments and the private

sector. Under section 202 of the UMRA,

we must generally prepare a written

statement, including a cost-benefit

analysis, for proposed and final rules

with ‘‘Federal mandates’’ that may

result in expenditures to State, local,

and tribal governments, in the aggregate,

or to the private sector, of $100 million

or more in any 1 year. Before

promulgating a rule for which a written

statement is needed, section 205 of the

UMRA generally requires us to identify

and consider a reasonable number of

regulatory alternatives and adopt the

least-costly, most cost-effective, or leastburdensome alternative that achieves

the objectives of the rule. The

provisions of section 205 do not apply

when they are inconsistent with

applicable law. Moreover, section 205

allows us to adopt an alternative other

than the least-costly, most cost-effective,

or least-burdensome alternative if the

Administrator publishes with the final

rule an explanation why that alternative

was not adopted. Before we establish

any regulatory requirements that may

significantly or uniquely affect small

governments, including tribal

governments, it must have developed

under section 203 of the UMRA a small

government agency plan. The plan must

provide for notifying potentially

affected small governments, enabling

officials of affected small governments

to have meaningful and timely input in

the development of our regulatory

proposals with significant Federal

intergovernmental mandates, and

informing, educating, and advising

small governments on compliance with

the regulatory requirements.

We have determined that this

proposed rule does not contain a

Federal mandate that may result in

expenditures of $100 million or more

for State, local, and tribal governments,

in the aggregate, or the private sector in

any 1 year. The total annual cost of this

proposed rule for any 1 year has been

estimated at $440,000 per year. Thus,

today’s proposed rule is not subject to

the requirements of sections 202 and

205 of the UMRA. In addition, we have

determined that this proposed rule

contains no regulatory requirements that

might significantly or uniquely affect

small governments because it contains

no requirements that apply to such

governments or impose obligations

upon them. Therefore, today’s proposed

rule is not subject to the requirements

of section 203 of the UMRA.

Federal Register / Vol. 65, No. 191 / Monday, October 2, 2000 / Proposed Rules 58709

F. Regulatory Flexibility Act (RFA), as

Amended by the Small Business

Regulatory Enforcement Fairness Act of

1996 (SBREFA), 5 U.S.C. 601 et seq.

The RFA generally requires an agency

to conduct a regulatory flexibility

analysis of any rule subject to notice

and comment rulemaking requirements

under the Administrative Procedure Act

or any other statute unless the agency

certifies that the rule will not have a

significant economic impact on a

substantial number of small entities.

Small entities include small businesses,

small organizations, and small

governmental jurisdictions.

For purposes of assessing the impacts

of today’s proposed rule on small

entities, small entity is defined as: (1) A

small business whose parent company

has fewer than 500 employees; (2) a

small governmental jurisdiction that is a

government of a city, county, town,

school district or special district with a

population of less than 50,000; and (3)

a small organization that is any not-forprofit enterprise which is independently

owned and operated and is not

dominant in its field.

After considering the economic

impacts of today’s proposed rule on

small entities, we certify that this action

will not have a significant economic

impact on a substantial number of small

entities. There are currently a total of 16

facilities that are major sources of HAP

emissions and affected by this proposed

rule. The industry is characterized as

having some finishing operations that

are relatively small, often specializing in

the manufacture of leather with unique

attributes, while others employ several

hundred people and produce a wide

variety of leathers. However, many of

the smaller leather finishing operations

are owned by ultimate parent firms that

are classified as large corporations.

Also, this industry typically operates

with more than 300 establishments, so

only a small fraction of the firms in the

industry are impacted by the proposed

rule. We determined that the 16 affected

facilities are owned by 14 parent firms,

and only 3 of these firms are classified

as small by the previously mentioned

definition. Nearly all of the firms (small

and large) have very minimal impacts

which range from 0.00 percent to 0.09

percent of firm revenues. Only one firm

of the 14 will experience compliance

costs that exceed 1 percent of firm

revenues (1.52 percent), and this firm is

a small business. This impact, however,

is not considered significant for this

industry. Typical profit margins for the

leather industry average 3.5 percent.

Although this proposed rule will not

have a significant economic impact on

a substantial number of small entities,

we nonetheless have tried to reduce the

impact of this proposed rule on small

entities. We have worked closely with

the Leather Industry of America in

determining the form of the standard

and establishing methods for

minimizing the compliance burden.

This outreach included a series of

meetings over a 2-year period and our

attendance at the industries annual

regulatory meeting of the Leather

Industry of America. These meetings

and outreach provided updates to the

industry on the progress of the proposed

rule and also forecasting the timeline for

compliance with the proposed rule. In

addition, these meetings provided us

with useful information that we used in

developing the proposed rule. For

instance, currently no facilities use addon control devices and we anticipate

that no facilities will need to install a

device to achieve compliance with the

proposed rule. This will minimize costs

to achieve compliance as well as

simplify demonstrating compliance

since already maintained purchase and

usage records are all that will be needed

to demonstrate compliance. We are also

proposing that compliance

demonstrations be conducted monthly,

rather than on a daily basis which we

believe will reduce the amount of

records necessary to demonstrate

compliance with the proposed rule.

Furthermore, we are proposing the

minimum monitoring, recordkeeping,

and reporting requirements specified in

the General Provisions. We continue to

be interested in the potential impacts of

the proposed rule on small entities and

welcome comments on issues related to

such impacts.

G. Paperwork Reduction Act

The information collection

requirements in this proposed rule will

be submitted for approval to the OMB

under the Paperwork Reduction Act, 44

U.S.C. 3501 et seq. The EPA has

prepared an Information Collection

Request (ICR) document 1985.01, and

you may obtain a copy from Sandy

Farmer by mail at the U.S.

Environmental Protection Agency,

Office of Environmental Information,

Collection Strategies Division (2822),

1200 Pennsylvania Avenue NW,

Washington, DC 20460, by email at

farmer.sandy@epa.gov, or by calling

(202) 260–2740. A copy may also be

downloaded off the internet at http://

www.epa.gov/icr. The information

requirements are not effective until

OMB approves them.

The information requirements are

based on notification, recordkeeping,

and reporting requirements in the

NESHAP General Provisions (40 CFR

part 63, subpart A), which are

mandatory for all operators subject to

national emission standards. These

recordkeeping and reporting

requirements are specifically authorized

by section 114 of the CAA (42 U.S.C.

7414). All information submitted to the

EPA pursuant to the recordkeeping and

reporting requirements for which a

claim of confidentiality is made is

safeguarded according to EPA policies

set forth in 40 CFR part 2, subpart B.

The annual monitoring, reporting, and

recordkeeping burden for this

collection, as averaged over the first 3

years after the effective date of the rule,

is estimated to be 485 labor hours per

year at a total annual cost of $21,600.

This estimate includes a one-time plan

for demonstrating compliance, annual

compliance certificate reports,

notifications, and recordkeeping. Total

labor burden associated with the

monitoring requirements over the 3-year

period of the ICR are estimated at

$64,700.

Burden means the total time, effort, or

financial resources expended by persons

to generate, maintain, retain, or disclose

or provide information to or for a

Federal agency. This includes the time

needed to review instructions; develop,

acquire, install, and utilize technology

and systems for the purposes of

collecting, validating, and verifying

information, processing and

maintaining information, and disclosing

and providing information; adjust the

existing ways to comply with any

previously applicable instructions and

requirements; train personnel to be able

to respond to a collection of

information; search data sources;

complete and review the collection of

information; and transmit or otherwise

disclose the information.

An Agency may not conduct or

sponsor, and a person is not required to

respond to, a collection of information

unless it displays a currently valid OMB

control number. The OMB control

numbers for EPA’s regulations are listed

in 40 CFR part 9 and 48 CFR chapter 15.

Comments are requested on the

Agency’s need for this information, the

accuracy of the provided burden

estimates, and any suggested methods

for minimizing respondent burden,

including through the use of automated

collection techniques. Send comments

on the ICR to the Director, Collection

Strategies Division, U.S. Environmental

Protection Agency (2822), 1200

Pennsylvania Ave., NW, Washington,

DC 20460; and to the Office of

Information and Regulatory Affairs,

Office of Management and Budget, 725

17th St., NW, Washington, DC 20503,

58710 Federal Register / Vol. 65, No. 191 / Monday, October 2, 2000 / Proposed Rules

marked ‘‘Attention: Desk Officer for

EPA.’’ Include the ICR number in any

correspondence. Since OMB is required

to make a decision concerning the ICR

between 30 and 60 days after October 2,

2000, a comment to OMB is best assured

of having its full effect if OMB receives

it by November 1, 2000. The final rule

will respond to any OMB or public

comments on the information collection

requirements contained in this proposal.

H. National Technology Transfer and

Advancement Act of 1995

Under section 12(d) of the National

Technology Transfer and Advancement

Act (NTTAA) of 1995 (Public L. No.

104–113), all Federal agencies are

required to use voluntary consensus

standards in their regulatory and

procurement activities unless to do so

would be inconsistent with applicable

law or otherwise impractical. Voluntary

consensus standards are technical

standards such as, materials

specifications, test methods, sampling

procedures, business practices,

developed or adopted by one or more

voluntary consensus bodies. The

NTTAA requires Federal agencies to

provide Congress, through annual

reports to the OMB, with explanations

when an agency does not use available

and applicable voluntary consensus

standards.

Consistent with the NTTAA, the EPA

conducted a search for EPA’s Method

311 (Analysis of Hazardous Air

Pollutant Compounds in Paints and

Coatings by Direct Injection into a Gas

Chromatograph) and found no candidate

voluntary consensus standards for use

in identifying glycol ethers, toluene, and

xylene. This proposal references the

National Emission Standards for Closed

Vent Systems, Control Devices,

Recovery Devices, and Routing to a Fuel

Gas System or a Process (40 CFR part

63, subpart SS). Since there are no new

technical standard requirements

resulting from specifying subpart SS in

this proposed rule, and no candidate

consensus standards were identified for

EPA Method 311 (glycol ethers, toluene,

and xylene) in this proposal, EPA is not

proposing/adopting any voluntary

consensus standards in this rulemaking.

The EPA takes comment on proposed

compliance demonstration requirements

proposed in this rulemaking and

specifically invites the public to identify

potentially-applicable voluntary

consensus standards. Commenters

should also explain why this regulation

should adopt them in lieu of EPA’s

standards. Emission test methods and

performance specifications submitted

for evaluation should be accompanied

with a basis for the recommendation,

including method validation data and

the procedure used to validate the

candidate method (if method other than

Method 301, 40 CFR part 63, appendix

A, was used).

Section 63.2854 (b)(1) of the proposed

standards list EPA Method 311, which

has been used by States and industry for

approximately 5 years. Nevertheless,

under § 63.7(f), the proposal allows any

State or source to apply to EPA for

permission to use an alternative method

in lieu of EPA Method 311 listed in

§ 63.2854(b)(1).

List of Subjects in 40 CFR Part 63

Environmental protection,

Administrative practice and procedure,

Air pollution control, Hazardous

substances, Intergovernmental relations,

Reporting and recordkeeping

requirements.

Dated: September 20, 2000.

Carol M. Browner,

Administrator.

For the reasons stated in the

preamble, title 40, chapter I, part 63 of

the Code of the Federal Regulations is

proposed to be amended as follows:

PART 63—[AMENDED]

1. The authority citation for part 63

continues to read as follows:

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

2. Part 63 is amended by adding

subpart TTTT to read as follows:

Subpart TTTT—National Emission

Standards for Hazardous Air Pollutants for

Leather Finishing Operations

What This Subpart Covers

Sec.

63.5280 What is the purpose of this

subpart?

63.5285 Am I subject to this subpart?

63.5290 What parts of my facility does this

subpart cover?

63.5295 When do I have to comply with

this subpart?

Standards

63.5305 What emission standards must I

meet?

Compliance Requirements

63.5320 How does my affected major source

comply with the HAP emission

standards?

63.5325 What is a plan for demonstrating

compliance and when must I have one

in place?

63.5330 How do I determine the

compliance ratio?

63.5335 How do I determine the actual HAP

loss?

63.5340 How do I determine the allowable

HAP loss?

63.5345 How do I distinguish between the

two upholstery product process

operations?

63.5350 How do I distinguish between the

water-resistant and nonwater-resistant

leather product process operations?

63.5355 How do I monitor and collect data

to demonstrate continuous compliance?

63.5360 How do I demonstrate continuous

compliance with the emission standards?

Testing and Initial Compliance

Requirements

63.5375 When must I conduct a

performance test or initial compliance

demonstration?

63.5380 How do I conduct performance test

methods?

63.5385 How do I measure the quantity of

finish applied to the leather?

63.5390 How do I measure the HAP content

of a finish?

63.5395 How do I measure the density of a

finish?

63.5400 How do I measure the quantity of

leather processed?

Notifications, Reports, and Records

63.5415 What notifications must I submit

and when?

63.5420 What reports must I submit and

when?

63.5425 When must I start recordkeeping to

determine my compliance ratio?

63.5430 What records must I keep?

63.5435 In what form and how long must I

keep my records?

Other Requirements and Information

63.5450 What parts of the General

Provisions apply to me?

63.5455 Who administers this subpart?

63.5460 What definitions apply to this

subpart?

Figures

Figure 1 to Subpart TTTT—Example Logs for

Recording Leather Finish Use and HAP

Content

Tables

Table 1 to Subpart TTTT—Leather Finishing

HAP Emission Limits for Determining

the Allowable HAP Loss

Table 2 to Subpart TTTT—Applicability of

General Provisions to Subpart TTTT

Subpart TTTT—National Emission

Standards for Hazardous Air Pollutants

for Leather Finishing Operations

What This Subpart Covers

§ 63.5280 What is the purpose of this

subpart?

This subpart establishes national

emission standards for hazardous air

pollutants (NESHAP) for leather

finishing operations. These standards

limit HAP emissions from specified

leather finishing operations. This

subpart also establishes requirements to

demonstrate initial and continuous

compliance with the emission

standards.

Federal Register / Vol. 65, No. 191 / Monday, October 2, 2000 / Proposed Rules 58711

§ 63.5285 Am I subject to this subpart?

(a) You are subject to this subpart if

you own or operate a leather finishing

operation that is a major source of

hazardous air pollutants (HAP)

emissions or that is located at, or is part

of, a major source of HAP emissions. A

leather finishing operation is defined in

§ 63.5460. In general, it is a single

process or group of processes used for

the application of film-forming

materials to a leather substrate to

provide desired properties.

(b) You are a major source of HAP

emissions if you own or operate a plant

site that emits or has the potential to

emit any single HAP at a rate of 10 tons

(9.07 megagrams) or more per year or

any combination of HAP at a rate of 25

tons (22.68 megagrams) or more per

year.

§ 63.5290 What parts of my facility does

this subpart cover?

(a) This subpart applies to each new,

reconstructed, or existing affected

source at leather finishing operations.

(b) The affected source subject to this

subpart is the collection of all

equipment and activities used for the

application of film-forming materials to

a leather substrate to provide desired

material properties. This subpart applies

to the leather finishing operations listed

in paragraphs (b)(1) through (4) of this

section and as defined in § 63.5460,

whether or not the operations are

collocated with leather tanning

operations:

(1) Upholstery leather with greater

than or equal to 4 grams finish add-on

per square foot of leather;

(2) Upholstery leather with less than

4 grams finish add-on per square foot of

leather;

(3) Water-resistant leather; and

(4) Nonwater-resistant leather.

(c) An affected source does not

include portions of your leather

finishing operation that are listed in

paragraphs (c)(1) and (2) of this section:

(1) A leather finishing operation

affected source does not include

equipment used solely with leather

tanning operations.

(2) A leather finishing operation

affected source does not include that

portion of your leather finishing

operation using a solvent degreasing

process, such as in the manufacture of

leather chamois, that is already subject

to the Halogenated Solvent Cleaning

NESHAP (40 CFR part 63, subpart T).

(d) An affected source is a new

affected source if you commenced

construction of the affected source after

October 2, 2000, and you meet the

applicability criteria at the time you

commenced construction.

(e) An affected source is reconstructed

if you meet the criteria as defined in

§ 63.2.

(f) An affected source is existing if it

is not new or reconstructed.

§ 63.5295 When do I have to comply with

this subpart?

(a) If you have a new or reconstructed

affected source, you must comply with

this subpart according to paragraphs

(a)(1) and (2) of this section:

(1) If you startup your affected source

before the effective date of the subpart,

then you must comply with the

emission standards for new and

reconstructed sources in this subpart no

later than the effective date of the

subpart.

(2) If you startup your affected source

after the effective date of the subpart,

then you must comply with the

emission standards for new and

reconstructed sources in this subpart

upon startup of your affected source.

(b) If you have an existing affected

source, you must comply with the

emission standards for existing sources

no later than 3 years from the effective

date of this subpart.

(c) If you have an area source that

increases its emissions or its potential to

emit such that it becomes a major source

of HAP and an affected source subject

to this subpart, paragraphs (c)(1) and (2)

of this section apply.

(1) An area source that meets the

criteria of a new affected source as

specified at § 63.5290(d) or a

reconstructed affected source as

specified at § 63.5290(e) must be in

compliance with this subpart upon

becoming a major source.

(2) An area source that meets the

criteria of an existing affected source as

specified at § 63.5290(f) must be in

compliance with this subpart no later

than 3 years after it becomes a major

source.

(d) You must meet the notification

requirements in § 63.5415 and in

subpart A of this part. Some of the

notifications must be submitted before

you are required to comply with the

emission standards in this subpart.

Standards

§ 63.5305 What emission standards must I

meet?

The emission standards limit the

number of pounds of HAP lost per

square foot of leather processed. You

must meet each emission limit in Table

1 of this subpart that applies to you.

Compliance Requirements

§ 63.5320 How does my affected major

source comply with the HAP emission

standards?

(a) All affected sources must be in

compliance with the requirements of

this subpart at all times, including

periods of startup, shutdown and

malfunction.

(b) You must always operate and

maintain your affected source, including

air pollution control and monitoring

equipment, according to the provisions

in § 63.6(e)(1)(i).

(c) You must perform all of the items

listed in paragraphs (c)(1) through (10)

of this section:

(1) Submit the necessary notifications

in accordance with § 63.5415.

(2) Develop and implement a plan for

demonstrating compliance in

accordance with § 63.5325.

(3) Submit the necessary reports in

accordance with § 63.5420.

(4) Keep a finish inventory log to

record monthly the pounds of each type

of finish applied for each leather

product process operation and the mass

fraction of HAP in each applied finish

as specified at § 63.5335(b). You may be

required to start recordkeeping prior to

the compliance dates specified at

§ 63.5295.

(5) Keep a leather processed inventory

log to record monthly the surface area

of leather processed in 1,000’s of square

feet for each product process operation

as specified at § 63.5430(f). You may be

required to start recordkeeping prior to

the compliance dates specified at

§ 63.5295.

(6) Determine the actual HAP loss

from your affected source in accordance

with § 63.5335.

(7) Determine the allowable HAP loss

for your affected source in accordance

with § 63.5340.

(8) Determine the compliance ratio for

your affected source each month as

specified at § 63.5330. The compliance

ratio compares your actual HAP loss to

your allowable HAP loss for the

previous 12 months.

(9) Maintain the compliance ratio for

your affected source at or below 1.00 in

accordance with § 63.5330.

(10) Maintain all the necessary

records you have used to demonstrate

compliance with this subpart in

accordance with § 63.5430.

§ 63.5325 What is a plan for demonstrating

compliance and when must I have one in

place?

(a) You must develop and implement

a written plan for demonstrating

compliance that provides the detailed

procedures you will follow to monitor

58712 Federal Register / Vol. 65, No. 191 / Monday, October 2, 2000 / Proposed Rules

and record data necessary for

demonstrating compliance with this

subpart. Procedures followed for

quantifying HAP loss from the source

and amount of leather processed vary

from source to source because of sitespecific factors such as equipment

design characteristics and operating

conditions. Typical procedures include

one or more accurate measurement

methods such as weigh scales and

volumetric displacement. Because the

industry does not have a uniform set of

procedures, you must develop and

implement your own site-specific plan

for demonstrating compliance not later

than the compliance date for your

source. You must also incorporate the

plan for demonstrating compliance by

reference in the source’s title V permit.

The plan for demonstrating compliance

must include the items listed in

paragraphs (a)(1) through (7) of this

section:

(1) The name and address of the

owner or operator.

(2) The physical address of the leather

finishing operation.

(3) Provide a detailed description of

all methods of measurement your source

will use to determine your finish usage,

HAP content of each finish, quantity of

leather processed, and leather product

process operation type.

(4) Specify when each measurement

will be made.

(5) Provide examples of each

calculation you will use to determine

your compliance status. Include

examples of how you will convert data

measured with one parameter to other

terms for use in compliance

determination.

(6) Provide example logs of how data

will be recorded.

(7) Provide a quality assurance/

quality control plan to ensure that the

data continue to meet compliance

demonstration needs.

(b) You may be required to revise your

plan for demonstrating compliance. We

may require reasonable revisions if the

procedures lack detail, are inconsistent,

or do not accurately determine finish

usage, HAP content of each finish,

quantity of leather processed, or leather

product process operation type.

§ 63.5330 How do I determine the

compliance ratio?

(a) When your source has processed

leather for 12 months, you must

determine the compliance ratio for your

affected source by the fifteenth of each

month for the previous 12 months.

(b) You must determine the

compliance ratio using equation 1 of

this section as follows:

Compliance Ratio Actual HAP Loss

Allowable HAP Loss = (Eq. 1)

Where:

Actual HAP Loss = Pounds of actual

HAP loss for the previous 12

months, as determined in § 63.5335.

Allowable HAP Loss = Pounds of

allowable HAP loss for the previous

12 months, as determined in

§ 63.5340.

(1) If the value of the compliance ratio

is less than or equal to 1.00, your

affected source was in compliance with

the applicable HAP emission limits of

this subpart for the previous month.

(2) If the value of the compliance ratio

is greater than 1.00, your affected source

was deviating from compliance with the

applicable HAP emission limits of this

subpart for the previous month.

§ 63.5335 How do I determine the actual

HAP loss?

(a) This section describes the

information and procedures you must

use to determine the actual HAP loss

from your leather finishing operation.

By the fifteenth of each month, you

must determine the actual HAP loss in

pounds from your leather finishing

operation for the previous month.

(b) Use a finish inventory log to

record the pounds of each type of finish

applied for each leather product process

operation and the mass fraction of HAP

in each applied finish. Figure 1 of this

subpart shows an example log for

recording the minimum information

necessary to determine your finish

usage and HAP loss. The finish

inventory log must contain, at a

minimum, the information for each type

of finish applied listed in paragraphs

(b)(1) through (7) of this section:

(1) Finish type.

(2) Pounds (or density and volume) of

each finish applied to the leather.

(3) Mass fraction of HAP in each

applied finish.

(4) Date of the recorded entry.

(5) Time of the recorded entry.

(6) Name of the person recording the

entry.

(7) Product process operation type.

(c) To determine the pounds of HAP

loss for the previous month, you must

first determine the pounds of HAP loss

from each finish application.

(1) For facilities not using add-on

emission control devices, the entire

HAP content of the finishes are assumed

to be released to the environment. Using

the finish inventory log, multiply the

pounds of each recorded finish usage by

the corresponding mass fraction of HAP

in the finish. The result is the HAP loss

in pounds from each finish application.

Sum the pounds of HAP loss from all

finish applications recorded during the

previous month to determine the total

monthly HAP loss in pounds from your

finishing operation.

(2) For facilities using add-on

emission control devices, the finish

inventory log and the emission

reduction efficiency of the add-on

control device can be used to determine

the net HAP loss in pounds. The

emission reduction efficiency for a

control device must be determined from

a performance test conducted in

accordance with §§ 63.5375 and

63.5380. Using the finish inventory log,

multiply the pounds of each recorded

finish usage by the corresponding mass

fraction of HAP in the finish. The result

is the gross HAP loss in pounds from

each finish application prior to the addon control device. Multiply the gross

HAP loss by the percent emission

reduction achieved by the add-on

control device and then subtract this

amount from the gross HAP loss. The

result is the net HAP loss in pounds

from each finish application. Sum the

pounds of net HAP loss from all finish

applications recorded during the

previous month to determine the total

monthly net HAP loss in pounds from

your finishing operation.

(d) After collecting HAP loss data for

12 months, you must also determine by

the fifteenth of each month the annual

HAP loss in pounds by summing the

monthly HAP losses for the previous 12

months. The annual HAP loss is the

‘‘actual HAP loss,’’ which is used in

Equation 1 of § 63.5330 to calculate your

compliance ratio, as described in

§ 63.5330.

§ 62.5340 How do I determine the

allowable HAP loss?

(a) By the fifteenth of each month, you

must determine the allowable HAP loss

in pounds from your leather finishing

operation for the previous month.

(b) To determine the allowable HAP

loss for your leather finishing operation,

you must select the appropriate HAP

emission limit, expressed in pounds of

HAP loss per 1,000 square feet of leather

Federal Register / Vol. 65, No. 191 / Monday, October 2, 2000 / Proposed Rules 58713

processed, from Table 1 of this subpart,

for each type of leather product process

operation performed during the

previous 12 months. Under the

appropriate existing or new source

column, select the HAP emission limit

that corresponds to each type of product

process operation performed during the

previous 12 months. Next, determine

the annual total of leather processed in

1,000’s of square feet for each product

process operation in accordance with

§ 63.5400. Then, multiply the annual

total of leather processed in each

product process operation by the

corresponding HAP emission limit to

determine the allowable HAP loss in

pounds for the corresponding leather

product process operation. Finally, sum

the pounds of HAP loss from all leather

product process operations performed

in the previous 12 months. Equation 1

of this section illustrates the calculation

of allowable HAP loss as follows:

Allowable

HAP Loss

Annual Total

of Leather

Processed

Eq. 1)

i

= ∗ 









 =

∑

HAP

Emission

Limiti i

n

1

(

Where:

Annual Total of Leather Processed =

1,000’s of square feet of leather

processed in the previous 12

months in product process

operation ‘‘i’’.

HAP Emission Limit = From Table 1 of

this subpart, the HAP emission

limit in pounds of HAP loss per

1,000 square feet of leather

processed for product process

operation ‘‘i’’.

n = Number of leather product process

operation types performed during

the previous 12 months.

(c) The resulting ‘‘allowable HAP

loss’’ is used in Equation 1 of § 63.5330

to calculate your compliance ratio, as

described in § 63.5330.

§ 62.5345 How do I distinguish between

the two upholstery product process

operations?

(a) Product process operations that

finish leather for use in automobile and

furniture seat coverings are categorized

as an upholstery product process

operation. There are two upholstery

product process operations subject to

the requirements of this subpart—

operations with less than 4 grams of

finish add-on per square foot, and

operations with 4 grams or more of

finish add-on per square foot. You must

distinguish between the two upholstery

product process operations so that you

can determine which HAP emission

limit in Table 1 of this subpart applies

to your affected source.

(b) You must determine finish add-on

by calculating the difference in mass

before and after the finishing process.

You may use an empirical method to

determine the amount of finish add-on

applied during the finishing process, as

described in paragraphs (b)(1) through

(4) of this section:

(1) Weigh a one square foot

representative section of polyester film

or equivalent material substrate to be

finished. This will provide a baseline

mass and surface area prior to starting

the finishing process.

(2) Use a scale with an accuracy of at

least 5 percent of the mass in grams of

the representative section of polyester

film.

(3) Upon completion of these

measurements, process the polyester

film on the finishing line as you would

for a typical section of leather.

(4) After the finishing and drying

process, weigh the representative

section of polyester film to determine

the final mass. Divide the net mass in

grams gained by the representative

section of polyester film by its surface

area in square feet to determine grams

per square foot of finish add-on.

Equation 1 of this section illustrates this

calculation, as follows:

Finish

Add-On 

Final

Mass

Surface Area = (Eq. 1)

− 

 

( )

Initial

Mass

Where:

Finish Add-On = Grams per square foot

of finish add-on applied to a

representative section of polyester

film.

Final Mass = Final mass in grams of

representative section of polyester

film, after finishing and drying.

Initial Mass = Initial mass in grams of

representative section of polyester

film, prior to finishing.

Surface Area = Surface area in square

feet of a representative section of

polyester film.

(c) Any appropriate engineering units

may be used for determining the finish

add-on. However, finish add-on results

must be converted to the units of grams

of finish add-on per square foot of

leather processed. If multiple

representative leather sections are

analyzed, then use the average of these

measurements for selecting the

appropriate product process operation.

§ 63.5350 How do I distinguish between

the water-resistant and nonwater-resistant

leather product process operations?

(a) Product process operations that

finish leather for nonupholstery use are

categorized as either water-resistant or

nonwater-resistant product process

operations. You must distinguish

between the water-resistant and

nonwater-resistant product process

operations so that you can determine

which HAP emission limit in Table 1 of

this subpart applies to your affected

source.

(b) To determine whether your

product process operation produces

water-resistant or nonwater-resistant

leather, you must conduct the Maeser

Flexes test method according to

American Society for Testing and

Materials (ASTM) Designation D2099–

98 or a method approved by the

Administrator.

(c) Statistical analysis of initial water

penetration data performed to support

ASTM Designation D2099–98 indicates

that poor quantitative precision is

associated with this testing method.

Therefore, three sections of leather

substrate from at least 12 sides of leather

must be tested for a minimum of three

times to determine the water-resistant

characteristics of the leather. You must

average the results of these tests to

determine the final number of Maeser

Flexes prior to initial water penetration.

(d) Results from leather samples

indicating an average of 5,000 Maeser

Flexes or more is considered a waterresistant product process operation, and

results indicating less than 5,000 Maeser

Flexes is considered nonwater-resistant

product process operation.

§ 63.5355 How do I monitor and collect

data to demonstrate continuous

compliance?

(a) You must monitor and collect data

according to this section.

(b) You must collect data at all

required intervals as specified in your

plan for demonstrating compliance as

specified at § 63.5325.

(c) For emission control devices,

except for monitor malfunctions,

associated repairs, and required quality

assurance or control activities

(including, as applicable, calibration

checks and required zero and span

58714 Federal Register / Vol. 65, No. 191 / Monday, October 2, 2000 / Proposed Rules

adjustments), you must monitor

continuously (or collect data at all

required intervals) at all times that the

affected source is operating.

(d) You may not use data recorded

during monitoring malfunctions,

associated repairs, and required quality

assurance or control activities in data

averages and calculations used to report

emission or operating levels, nor may

such data be used in fulfilling a

minimum data availability requirement,

if applicable. You must use all the data

collected during all other periods in

assessing the compliance ratio, and, if

an emission control device is used, in

assessing the operation of the control

device.

§ 63.5360 How do I demonstrate

continuous compliance with the emission

standards?

(a) You must demonstrate continuous

compliance with the emission standards

in § 63.5305 by following the

requirements in paragraphs (a)(1) and

(2) of this section:

(1) You must collect and monitor data

according to the procedures in your

plan for demonstrating compliance as

specified in § 63.5325.

(2) If you use an emission control

device, you must collect the monitoring

data according to 40 CFR part 63,

subpart SS.

(3) You must maintain your

compliance ratio less than or equal to

1.00, as specified at § 63.5330.

(b) You must report each instance in

which you did not meet the emission

standards in § 63.5305. This includes

periods of startup, shutdown, and

malfunction. These deviations must be

reported according to the requirements

in § 63.5420(b).

(c) You must conduct the initial

compliance demonstration before the

compliance date that is specified for

your source in § 63.5295.

Testing and Initial Compliance

Requirements

§ 63.5375 When must I conduct a

performance test or initial compliance

demonstration?

You must conduct performance tests

after the installation of any emission

control device that reduces HAP

emissions and can be used to comply

with the HAP emission requirements of

this subpart. You must complete your

performance tests not later than 60

calendar days before the end of the 12-

month period used in the initial

compliance determination.

§ 63.5380 How do I conduct performance

test methods?

(a) Each performance test must be

conducted according to the

requirements in § 63.7(e) and the

procedures of § 63.997(e)(1) and (2).

(b) You may not conduct performance

tests during periods of startup,

shutdown, or malfunction, as specified

in § 63.7(e)(1).

(c) You must conduct three separate

test runs for each performance test

required in this section, as specified in

§ 63.7(e)(3). Each test run must last at

least 1 hour.

§ 63.5385 How do I measure the quantity

of finish applied to the leather?

(a) To determine the amount of finish

applied to the leather, you must

measure the mass, or density, and

volume of each applied finish.

(b) Determine the mass of each

applied finish with a scale calibrated to

an accuracy of at least 5 percent of the

amount measured. The quantity of all

finishes used for finishing operations

must be weighed or have a

predetermined weight.

(c) Determine the density and volume

of each applied finish according to the

criteria listed in paragraphs (c)(1)

through (3) of this section:

(1) Determine the density of each

applied finish in pounds per gallon in

accordance with § 63.5395. The finish

density will be used to convert applied

finish volumes from gallons into mass

units of pounds.

(2) Volume measurements of each

applied finish can be obtained with a

flow measurement device. For each flow

measurement device, you must perform

the items listed in paragraphs (c)(2)(i)

through (v) of this section:

(i) Locate the flow sensor and other

necessary equipment such as

straightening vanes in or as close to a

position that provides a representative

flow.

(ii) Use a flow sensor with a minimum

tolerance of 2 percent of the flow rate.

(iii) Reduce swirling flow or abnormal

velocity distributions due to upstream

and downstream disturbances.

(iv) Conduct a flow sensor calibration

check at least semiannually.

(v) At least monthly, inspect all

components for integrity, all electrical

connections for continuity, and all

mechanical connections for leakage.

(3) Volume measurements of each

applied finish can be obtained with a

calibrated volumetric container with an

accuracy of at least 5 percent of the

amount measured.

§ 63.5390 How do I measure the HAP

content of a finish?

(a) To determine the HAP content of

a finish, the reference method is EPA

Method 311 of appendix A of 40 CFR

part 63. You may use EPA Method 311,

an alternative method approved by the

Administrator, or any other reasonable

means for determining the HAP content.

Other reasonable means of determining

HAP content include, but are not

limited to, a material safety data sheet

(MSDS) or a manufacturer’s hazardous

air pollutant data sheet. If the HAP

content is provided on a MSDS or a

manufacturer’s data sheet as a range of

values, then the highest HAP value of

the range must be used for the

determination of compliance to this

standard. This value must be entered on

the finish log for each type of finish

applied. You are not required to test the

materials that you use, but the

Administrator may require a test using

EPA Method 311 (or another approved

method) to confirm the reported HAP

content. However, if the results of an

analysis by EPA Method 311 are

different from the HAP content

determined by another means, the EPA

Method 311 results will govern

compliance determinations.

(b) You may use the weighted average

of the HAP content analysis as

determined in § 63.5390(a) for each

finish when you perform one of the

actions listed in paragraphs (b)(1) and

(2) of this section:

(1) Mix your own finishes on site.

(2) Mix new quantities of finish with

previous quantities of finish that may

have a different HAP content.

§ 63.5395 How do I measure the density of

a finish?

(a) To determine the density of a

finish, the reference method is EPA

Method 24 of appendix A of 40 CFR part

60. You may use EPA Method 24, an

alternative method approved by the

Administrator, or any other reasonable

means for determining the density of a

finish. Other reasonable means of

determining density include, but are not

limited to, an MSDS or a manufacturer’s

hazardous air pollutant data sheet. If the

density is provided on a MSDS or a

manufacturer’s data sheet as a range of

values, then the highest density value of

the range must be used for the

determination of compliance to this

standard. This value must be entered on

the finish log for each type of finish

applied. You are not required to test the

materials that you use, but the

Administrator may require a test using

EPA Method 24 (or another approved

method) to confirm the reported

density. However, if the results of an

analysis by EPA Method 24 are different

from the density determined by another

means, the EPA Method 24 results will

govern compliance determinations.

(b) You may use the weighted average

of finish densities as determined in

Federal Register / Vol. 65, No. 191 / Monday, October 2, 2000 / Proposed Rules 58715

§ 63.5395(a) for each finish when you

perform one of the actions listed in

paragraphs (b)(1) and (2) of this section:

(1) Mix your own finishes on site.

(2) Mix new quantities of finish with

previous quantities of finish that may

have different densities.

(c) Equation 1 of this section may be

used to determine the weighted average

of finish densities. Equation 1 of this

section follows:

Average

Weighted

Density

 Density

(Eq. 1)

i

=

( ) ∗

( )

=

=

∑

∑

Mass

Mass

i

i

n

i

i

n

1

1

Where:

Average Weighted Density = The

average weighted density of applied

finishes in pounds per gallon.

Mass = Pounds of finish ‘‘i’’ applied.

Density = The density of finish ‘‘i’’ in

pounds per gallon.

n = Number of finish types applied.

§ 63.5400 How do I measure the quantity

of leather processed?

(a) This section describes the

information and procedures you must

use to determine the quantity of leather

processed at your affected source. By

the fifteenth of each month, you must

determine the quantity of leather

processed in 1,000’s of square feet for

each product process operation during

the previous month. After collecting

data on the amount of leather processed

for 12 months, you must also determine

by the fifteenth of each month the

annual total of leather processed in

1,000’s of square feet for each product

process operation by summing the

monthly quantities of leather processed

in each product process operation for

the previous 12 months. The ‘‘annual

total of leather processed’’ in each

product process operation is used in

Equation 1 of § 63.5340 to calculate your

allowable HAP loss as described in

§ 63.5340. Your allowable HAP loss is

then subsequently used to calculate

your compliance ratio as described in

§ 63.5330.

(b) To determine the surface area of

leather processed at your source for

each product process operation, you

must use one of the methods listed in

paragraphs (b)(1) and (2) of this section:

(1) Premeasured leather substrate

sections being supplied by another

manufacturer as an input to your

finishing process.

(2) Measure the surface area of each

piece of processed leather with a

computer scanning system accurate to

0.1 square feet. The computer scanning

system must be initially calibrated for

minimum accuracy to the

manufacturer’s specifications. For

similar leather production runs, use an

average based on a minimum of 500

pieces of leather in lieu of individual

measurements.

Notifications, Reports, And Records

§ 63.5415 What notifications must I submit

and when?

(a) In accordance with §§ 63.7(b) and

(c) and 63.9(b) and (h) of the General

Provisions, you must submit the onetime notifications listed in paragraphs

(b) through (g) of this section.

(b) As specified in § 63.9(b)(2), if you

startup your affected source before the

effective date of this subpart, you must

submit an Initial Notification not later

than 120 calendar days after the

effective date of this subpart.

(c) In the Initial Notification, include

the items in paragraphs (c)(1) through

(4) of this section:

(1) The name and address of the

owner or operator.

(2) The physical address of the leather

finishing operation.

(3) Identification of the relevant

standard, such as the Leather Finishing

Operations NESHAP, and compliance

date.

(4) A brief description of the source

including the types of leather product

process operations and nominal

operating capacity.

(d) As specified in § 63.9(b)(1) and (2),

if you start up your new or

reconstructed affected source on or after

the effective date of this subpart, you

must submit an Initial Notification not

later than 120 calendar days after you

become subject to this subpart.

(e) If you are required to conduct a

performance test, you must submit a

Notification of Intent to Conduct a

Performance Test at least 60 calendar

days before the performance test is

scheduled to begin as required in

§ 63.7(b)(1).

(f) You must submit a Notification of

Compliance Status report not later than

60 calendar days after determining your

initial 12-month compliance ratio. The

notification of compliance status must

contain the items in paragraphs (f)(1)

through (5) of this section:

(1) The name and address of the

owner or operator.

(2) The physical address of the leather

finishing operation.

(3) Each type of leather product

process operation performed during the

previous 12 months.

(4) Each HAP identified under

§ 63.5390 in finishes applied during the

12-month period used for the initial

compliance determination.

(5) A compliance status certification

indicating whether the source complied

with all of the requirements of this

subpart throughout the 12-month period

used for the initial source compliance

determination. This certification must

include a certification of the items in

paragraphs (f)(5)(i) through (iii) of this

section:

(i) The plan for demonstrating

compliance, as described in § 63.5325,

is complete and available on site for

inspection.

(ii) You are following the procedures

described in the plan for demonstrating

compliance.

(iii) The compliance ratio value was

determined to be less than or equal to

1.00, or the value was determined to be

greater than 1.00.

(g) If your source becomes a major

source on or after the effective date of

this subpart, you must submit an initial

notification not later than 120 days after

you become subject to this subpart.

§ 63.5420 What reports must I submit and

when?

(a) You must submit the first annual

compliance status certification 12

months after you submit the

Notification of Compliance Status. Each

subsequent annual compliance status

certification is due 12 months after the

previous annual compliance status

certification. The annual compliance

status certification provides the

compliance status for each month

during the 12-month period ending 60

days prior to the date on which the

report is due. Include the information in

paragraphs (a)(1) through (5) of this

section in the annual certification:

(1) The name and address of the

owner or operator.

(2) The physical address of the leather

finishing operation.

58716 Federal Register / Vol. 65, No. 191 / Monday, October 2, 2000 / Proposed Rules

(3) Each type of leather product

process operation performed during the

12-month period covered by the report.

(4) Each HAP identified under

§ 63.5390 in finishes applied during the

12-month period covered by the report.

(5) A compliance status certification

indicating whether the source complied

with all of the requirements of this

subpart throughout the 12-month period

covered by the report. This certification

must include a certification of the items

in paragraphs (a)(5)(i) and (ii) of section:

(i) You are following the procedures

described in the plan for demonstrating

compliance.

(ii) The compliance ratio value was

determined to be less than or equal to

1.00, or the value was determined to be

greater than 1.00.

(b) You must submit a Deviation

Notification Report for each compliance

determination you make in which the

compliance ratio exceeds 1.00, as

determined under § 63.5330. Submit the

deviation report by the fifteenth of the

following month in which you

determined the deviation from the

compliance ratio. The Deviation

Notification Report must include the

items in paragraphs (b)(1) through (4) of

this section:

(1) The name and address of the

owner or operator.

(2) The physical address of the leather

finishing operation.

(3) Each type of leather product

process operation performed during the

12-month period covered by the report.

(4) The compliance ratio comprising

the deviation. You may reduce the

frequency of submittal of the Deviation

Notification Report if the responsible

agency of these NESHAP does not

object, as provided in § 63.10(e)(3)(iii).

§ 63.5425 When must I start recordkeeping

to determine my compliance ratio?

(a) If you have a new or reconstructed

affected source, you must start

recordkeeping to determine your

compliance ratio according to one of the

schedules listed in paragraphs (a)(1) and

(2) of this section:

(1) If the startup of your new or

reconstructed affected source is before

the effective date of this subpart, then

you must start recordkeeping to

determine your compliance ratio no

later than the effective date of this

subpart.

(2) If the startup of your new or

reconstructed affected source is after the

effective date of this subpart, then you

must start recordkeeping to determine

your compliance ratio upon startup of

your affected source.

(b) If you have an existing affected

source, you must start recordkeeping to

determine your compliance ratio no

later than 2 years after the effective date

of this subpart.

(c) If you have a source that becomes

a major source of HAP emissions after

the effective date of the subpart, then

you must start recordkeeping to

determine your compliance ratio

immediately upon submitting your

Initial Notification as required at

§ 63.5415(g).

§ 63.5430 What records must I keep?

(a) You must keep the plan for

demonstrating compliance as required

at § 63.5325 on-site and readily

available as long as the source is

operational. If you make any changes to

the plan for demonstrating compliance,

then you must keep all previous

versions of the plan and make them

readily available for inspection for at

least 5 years after each revision.

(b) You must keep a copy of each

notification and report that you are

required to submit in accordance with

this subpart.

(c) You must keep records of

performance tests in accordance with

this subpart.

(d) You must record and maintain a

continuous log of finish usage as

specified at § 63.5335(b).

(e) You must maintain all necessary

records to document the methods you

used and the results of all HAP content

measurements of each applied finish.

(f) For each leather product process

operation, you must maintain a monthly

log of the items listed in paragraphs (f)

(1) and (2) of this section:

(1) Dates for each leather product

process operation.

(2) Total surface area of leather

processed for each leather product

process operation.

(g) If you use an emission control

device, you must keep records of

monitoring data as specified at 40 CFR

part 63, subpart SS.

§ 63.5435 In what form and how long must

I keep my records?

(a) Your records must be in a form

suitable and readily available for

expeditious review according to

§ 63.10(b)(1).

(b) As specified in § 63.10(b)(1), you

must keep each record for 5 years

following the date of each occurrence,

measurement, maintenance, corrective

action, report, or record.

(c) You must keep each record on site

for at least 2 years after the date of each

occurrence, measurement, maintenance,

corrective action, report, or record

according to § 63.10(b)(1). You can keep

the records offsite for the remaining 3

years.

Other Requirements and Information

§ 63.5450 What parts of the General

Provisions apply to me?

Table 2 of this subpart shows which

parts of the General Provisions in

§§ 63.1 through 63.13 apply to you.

§ 63.5455 Who administers this subpart?

(a) This subpart can be administered

by us, the U.S. EPA, or a delegated

authority such as your State, local, or

tribal agency. If the U.S. EPA

Administrator has delegated authority to

your State, local, or tribal agency, then

that agency has the primary authority to

administer and enforce this subpart.

You should contact your U.S. EPA

Regional Office to find out if the

authority to implement and enforce this

subpart is delegated to your State, local,

or tribal agency.

(b) In delegating implementation and

enforcement authority of this subpart to

a State, local, or tribal agency under

subpart E of this part, the authorities

contained in paragraph (c) of this

section are retained by the

Administrator of U.S. EPA and are not

transferred to the State, local, or tribal

agency.

(c) The authorities that will not be

delegated to State, local, or tribal

agencies are listed in paragraphs (c)(1)

through (4) of this section:

(1) Approval of alternatives to the

emission standards in § 63.5305 under

§ 63.6(g).

(2) Approval of major alternatives to

test methods under § 63.7(e)(2)(ii) and

(f) and as defined in § 63.90.

(3) Approval of major alternatives to

monitoring under § 63.8(f) and as

defined in § 63.90.

(4) Approval of major alternatives to

recordkeeping and reporting under

§ 63.10(f) and as defined in § 63.90.

§ 63.5460 What definitions apply to this

subpart?

Terms used in this subpart are

defined in:

(a) Clean Air Act; and

(b) 40 CFR 63.2, the NESHAP General

Provisions; and

(c) This section as follows:

Area source means any stationary

source of hazardous air pollutants that

is not a major source as defined in this

part.

Compliance ratio means the ratio of

the actual HAP loss from the previous

12 months to the allowable HAP loss

from the previous 12 months. Equation

1 in § 63.5330 is used to calculate this

value. If the value is less than or equal

to 1.00, the source is in compliance. If

the value is greater than 1.00, the source

is deviating from compliance.

Federal Register / Vol. 65, No. 191 / Monday, October 2, 2000 / Proposed Rules 58717

Deviation means any instance in

which an affected source subject to this

subpart, or an owner or operator of such

a source:

(1) Fails to meet any requirement or

obligation established by this subpart,

including but not limited to any

emission limits or work practice

standards.

(2) Fails to meet any emission limits,

operating limits, or work practice

standards in this subpart during startup,

shutdown, or malfunction, regardless of

whether or not such failure is permitted

by this subpart.

Drying means the process of removing

all but equilibrium moisture from the

leather. Drying methods currently in use

include: toggling, hanging, pasting, and

vacuum drying.

Finish add-on means the amount of

solid material deposited on the leather

substrate due to finishing operations.

Typically, the solid deposition is a dye

or other chemical used to enhance the

color and performance of the leather.

Finish add-on is quantified as mass per

surface area of substrate, such as grams

of finish add-on per square foot of

leather substrate.

Finishing means the application of

film-forming materials to a leather

substrate to provide abrasion resistance,

stain resistance, enhanced color, and

other desirable quality.

Hazardous air pollutants (HAP)

means any substance or mixture of

substances listed as a hazardous air

pollutant under section 112(b) of the

Clean Air Act.

Leather means the pelt or hide of an

animal which has been transformed by

a tanning process into a nonputrescible

and useful material.

Leather substrate means a

nonputrescible leather surface intended

for the application of finishing

chemicals and materials. The leather

substrate may be a continuous piece of

material such as side leather or may be

a combination of smaller leather pieces

and leather fibers, which when joined

together, form a integral composite

leather material.

Month means that all references to a

month in this subpart refer to a calendar

month.

Nonwater-resistant leather means

nonupholstery leather that is not treated

with any type of waterproof finish and,

thus, cannot withstand 5,000 Maeser

Flexes with a Maeser Flex Testing

Machine or a method approved by the

Administrator prior to initial water

penetration. This leather is typically

used for dress shoes, handbags, and

garments.

Product process operation means any

one of the four leather production

classifications developed for ease of

compliance with this subpart. The four

leather product process operations are

as follows: upholstery leather with

greater than or equal to 4 grams finish

add-on per square foot, upholstery

leather with less than 4 grams finish

add-on per square foot, water-resistant

leather, and nonwater-resistant leather.

Upholstery leather (greater than or

equal to 4 grams finish add-on per

square foot) means an upholstery

leather with a final finish add-on to

leather ratio of 4 or more grams of finish

per square foot of leather. These types

of finishes are used primarily for

automobile seating covers. These

finishes tend to be aqueous-based.

Upholstery leather (less than 4 grams

finish add-on per square foot) means an

upholstery leather with a final finish

add-on to leather ratio of less than 4

grams of finish per square foot of

leather. These types of finishes are

typically used for furniture seating

covers. The finishes tend to be solventbased and leave a thinner, softer, and

more natural leather texture.

Water-resistant leather means

nonupholstery leather that has been

treated with one or more waterproof

finishes such that the leather can

withstand 5,000 or more Maeser Flexes

with a Maeser Flex Testing Machine or

a method approved by the

Administrator prior to initial water

penetration. This leather is used for

outerwear, boots and outdoor

applications.

Figure 1 to Subpart TTTT—Example

Logs for Recording Leather Finish Use

and HAP Content

Month: lllllllllllllllll

Year: llllllllllllllllll

FINISH INVENTORY LOG

Finish type

Finish

usage

(pounds)

HAP

content

(mass

fraction)

Date and

time

Operator’s

name

Product

process

operation

MONTHLY SUMMARY OF FINISH USAGE

Upholstery

leather

(≥4 grams)

Upholstery

leather

(<4 grams)

Water

resistant

leather

Nonwaterresistant

leather

Number of Entries ............................................................................................................

Total Finish Usage (pounds) ...........................................................................................

Total HAP Usage (pounds) .............................................................................................

58718 Federal Register / Vol. 65, No. 191 / Monday, October 2, 2000 / Proposed Rules

TABLE 1 TO SUBPART TTTT—LEATHER FINISHING HAP EMISSION LIMITS

FOR DETERMINING THE ALLOWABLE

HAP LOSS

Type of leather product process operation

HAP emission limit

(lb/1,000 square

feet)

Existing

sources

New

sources

1. Upholstery Leather

(≥4 grams add-on/

square feet) ........... 2.6 0.5

2. Upholstery Leather

(<4 grams add-on/

square feet) ........... 7.1 2.9

TABLE 1 TO SUBPART TTTT—LEATHER FINISHING HAP EMISSION LIMITS

FOR DETERMINING THE ALLOWABLE

HAP LOSS—Continued

Type of leather product process operation

HAP emission limit

(lb/1,000 square

feet)

Existing

sources

New

sources

3. Water-resistant

Leather (≥5,000

Maeser Flexes) ..... 5.9 4.9

TABLE 1 TO SUBPART TTTT—LEATHER FINISHING HAP EMISSION LIMITS

FOR DETERMINING THE ALLOWABLE

HAP LOSS—Continued

Type of leather product process operation

HAP emission limit

(lb/1,000 square

feet)

Existing

sources

New

sources

4. Nonwater-resistant

Leather (<5,000

Maeser Flexes) ..... 3.4 2.1

TABLE 2 OF SUBPART TTTT—APPLICABILITY OF GENERAL PROVISIONS TO SUBPART TTTT

General

provisions

citation

Subject of

citation Brief description of requirement Applies tosubpart Explanation

§ 63.1 ..................... Applicability ................. Initial Applicability Determination;

Applicability After Standard Established; Permit Requirements;

Extensions, Notifications.

Yes.

§ 63.2 ..................... Definitions ................... Definitions for part 63 standards ... Yes ........... Except as specifically provided in this subpart.

§ 63.3 ..................... Units and Abbreviations.Units and abbreviations for part 63

standards.

Yes.

§ 63.4 ..................... Prohibited Activities

and Circumvention.

Prohibited Activities; Compliance

Date; Circumvention, Severability.

Yes.

§ 63.5 ..................... Construction/Reconstruction.Applicability; Applications; Approvals.Yes ........... Except for subsections of § 63.5 as listed

below.

§ 63.5(c) ................. [Reserved].

§ 63.5(d) (1)(ii) (H) Application for Approval.Type and Quantity of HAP, Operating Parameters.No ............. All sources emit HAP. Subpart TTTT does not

require control from specific emission

points.

§ 63.5(d) (1)(i) ........ [Reserved].

§ 63.5(d) (1)(iii),

(d)(2), (d)(3)(ii).

..................................... Application for Approval ................ No ............. The requirements of the application for approval for new and reconstructed sources

are described in § 63.5320(b) of subpart

TTTT. General provision requirements for

identification of HAP emission points or estimates of actual emissions are not required. Descriptions of control and methods, and the estimated and actual control

efficiency of such do not apply. Requirements for describing control equipment and

the estimated and actual control efficiency

of such equipment apply only to control

equipment to which the subpart TTTT requirements for quantifying solvent destroyed by an add-on control device would

be applicable.

§ 63.6 ..................... Applicability of GP ...... Applicability of GP ......................... Yes ........... Except for subsections of § 63.6 as listed

below.

§ 63.6(b)(1)–(3) ...... Compliance dates,

new and reconstructed sources.

................................................... No ............. Section § 63.5283 of subpart TTTT specifies

the compliance dates for new and reconstructed sources.

§ 63.6(b)(6) ............ [Reserved].

§ 63.6(c)(3)–(4) ...... [Reserved].

§ 63.6(d) ................ [Reserved].

§ 63.6(e) ................ Operations and Maintenance Requirements.................................................... Yes ........... Except for subsections of § 63.6(e) as listed

below.

§ 63.6(e)(3) ............ Operation and Maintenance Requirements.Startup, Shutdown, and Malfunction Plan Requirements.No ............. Subpart TTTT does not have any startup,

shutdown, and malfunction plan requirements.

Federal Register / Vol. 65, No. 191 / Monday, October 2, 2000 / Proposed Rules 58719

TABLE 2 OF SUBPART TTTT—APPLICABILITY OF GENERAL PROVISIONS TO SUBPART TTTT—Continued

General

provisions

citation

Subject of

citation Brief description of requirement Applies tosubpart Explanation

§ 63.6(f)–(g) ........... Compliance with Nonopacity Emission

Standards Except

During SSM.

Comply with Emission Standards

at All Time Except During SSM.

No ............. Subpart TTTT does not have nonopacity requirements.

§ 63.6(h) ................ Opacity/Visible Emission (VE) Standards.................................................... No ............. Subpart TTTT has no opacity or visual emission standards.

§ 63.6(i) .................. Compliance Extension Procedures and Criteria for Responsible Agency to Grant

Compliance Extension.

Yes ...........

§ 63.6(j) .................. Presidential Compliance Exemption.President may Exempt Source

Category from Requirement to

Comply with Subpart..

Yes ...........

§ 63.7 ..................... Performance Testing

Requirements.

Schedule, Conditions, Notifications

and Procedures..

Yes ........... Except for subsection of § 63.7 as listed

below. Subpart TTTT requires performance

testing only if the source applies additional

control that destroys solvent. Section

§ 63.5311 requires sources to follow the

performance testing guidelines of the General Provisions if a control is added.

§ 63.7(a)(2) (i) and

(iii).

Performance Testing

Requirements.

Applicability and Performance

Dates.

No ............. Section § 63.5310(a) of subpart TTTT specifies the requirements of performance testing dates for new and existing sources.

§ 63.8 ..................... Monitoring Requirements.................................................... No ............. Subpart TTTT does not require monitoring

other than as specified therein.

§ 63.9 ..................... Notification Requirements.Applicability and State Delegation Yes ........... Except for subsections of $63.9 as listed

below.

§ 63.9(e) ................ Notification of Performance Test.Notify Responsible Agency 60

Days Ahead.

Yes ........... Applies only if performance testing is performed.

§ 63.9(f) ................. Notification of VE/

Opacity Observations.

Notify Responsible Agency 30

Days Ahead.

No ............. Subpart TTTT has no opacity or visual emission standards.

§ 63.9(g) ................ Additional Notifications

When Using a Continuous Monitoring

System (CMS).

Notification of Performance Evaluation; Notification using COMS

Data; Notification that Exceeded

Criterion for Relative Accuracy.

No ............. Subpart TTTT has no CMS requirements.

§ 63.9(h) ................ Notification of Compliance Status.Contents ........................................ No ............. Section § 63.5320(d) of subpart TTTT specifies requirements for the notification of compliance status.

§ 63.10 ................... Recordkeeping/Reporting.Schedule for Reporting, Record

Storage.

Yes ........... Except for subsections of § 63.10 as listed

below.

§ 63.10(b)(2) .......... Recordkeeping ............ Record Startup, Shutdown, and

Malfunction Events.

No ............. Subpart TTTT has no recordkeeping requirements for startup, shutdown, and malfunction events.

§ 63.10(c) ............... Recordkeeping ............ Additional CMS Recordkeeping .... No ............. Subpart TTTT does not require CMS.

§ 63.10(d)(2) .......... Reporting .................... Reporting Performance Test Results.Yes ........... Applies only if performance testing is performed.

§ 63.10(d)(3) .......... Reporting .................... Reporting Opacity or VE Observations.No ............. Subpart TTTT has no opacity or visible emission standards.

§ 63.10(d)(4) .......... Reporting .................... Progress Reports .......................... Yes ........... Applies if a condition of compliance extension.

§ 63.10(d)(5) .......... Reporting .................... Startup, Shutdown, and Malfunction Reporting.No ............. Subpart TTTT has no startup, shutdown, and

malfunction reporting requirements.

§ 63.10(e) .............. Reporting .................... Additional CMS Reports ................ No ............. Subpart TTTT does not require CMS.

§ 63.11 ................... Control Device Requirements.Requirements for Flares ................ Yes ........... Applies only if your source uses a flare to

control solvent emissions. Subpart TTTT

does not require flares.

§ 63.12 ................... State Authority and

Delegations.

State Authority to Enforce Standards.Yes.

§ 63.13 ................... State/Regional Addresses.Addresses Where Reports, Notifications, and Requests are Sent.Yes.

§ 63.14 ................... Incorporation by Reference.Test Methods Incorporated by

Reference.

Yes.

§ 63.15 ................... Availability of Information and Confidentiality.Public and Confidential Information.Yes.

[FR Doc. 00–24671 Filed 9–29–00; 8:45 am]

BILLING CODE 6560–50–P