II

106TH CONGRESS

2D SESSION S. 2723

To amend the Clean Air Act to permit the Governor of a State to waive

the oxygen content requirement for reformulated gasoline, to encourage

development of voluntary standards to prevent and control releases of

methyl tertiary butyl ether from underground storage tanks, to establish

a program to phase out the use of methyl tertiary butyl ether, and

for other purposes.

IN THE SENATE OF THE UNITED STATES

JUNE 13, 2000

Mr. INHOFE introduced the following bill; which was read twice and referred

to the Committee on Environment and Public Works

A BILL

To amend the Clean Air Act to permit the Governor of

a State to waive the oxygen content requirement for

reformulated gasoline, to encourage development of voluntary standards to prevent and control releases of methyl tertiary butyl ether from underground storage tanks,

to establish a program to phase out the use of methyl

tertiary butyl ether, and for other purposes.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,
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1 SECTION 1. WAIVER OF OXYGEN CONTENT REQUIREMENT

2 FOR REFORMULATED GASOLINE.

3 Section 211(k)(1) of the Clean Air Act (42 U.S.C.

4 7545(k)(1)) is amended—

5 (1) by striking ‘‘Within 1 year after the enact6 ment of the Clean Air Act Amendments of 1990,’’

7 and inserting the following:

8 ‘‘(A) IN GENERAL.—Not later than No9 vember 15, 1991,’’; and

10 (2) by adding at the end the following:

11 ‘‘(B) WAIVER OF OXYGEN CONTENT RE12 QUIREMENT.—

13 ‘‘(i) IN GENERAL.—Notwithstanding

14 any other provision of this subsection,

15 upon notification by the Governor of a

16 State to the Administrator, a Governor

17 may waive paragraphs (2)(B) and

18 (3)(A)(v) with respect to gasoline sold or

19 dispensed in the State.

20 ‘‘(ii) TREATMENT AS REFORMULATED

21 GASOLINE.—In the case of a State for

22 which the Governor invokes the waiver de23 scribed in clause (i), gasoline that complies

24 with all provisions of this subsection other

25 than paragraphs (2)(B) and (3)(A)(v) shall
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1 be considered to be reformulated gasoline

2 for the purposes of this subsection.

3 ‘‘(iii) SPECIAL RULE.—Paragraphs

4 (2)(B) and (3)(A)(v) shall not apply to

5 gasoline sold or dispensed in a State de6 scribed in subsection (c)(4)(B).

7 ‘‘(C) MAINTENANCE OF EMISSION REDUC8 TION BENEFITS.—

9 ‘‘(i) REGULATIONS.—Not later than

10 270 days after the date of enactment of

11 this subparagraph, the Administrator shall

12 promulgate regulations consistent with

13 paragraph (3)(B)(ii) to ensure that the

14 benefits of toxic air pollutant reductions

15 under the reformulated gasoline program

16 under this section are maintained in States

17 for which a Governor waives the oxygenate

18 requirement under subparagraph (B)(i).

19 ‘‘(ii) REGIONAL DESIGNATIONS.—In

20 carrying out clause (i), the Administrator,

21 in cooperation with the Secretary of En22 ergy, shall develop designations for regions

23 of the United States based on the extent

24 and location of the gasoline distribution

25 and supply network in the United States.
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1 ‘‘(iii) PERFORMANCE STANDARDS.—

2 The Administrator, in regulations promul3 gated under clause (i), shall use the re4 gional designations developed under clause

5 (ii) to establish annual average perform6 ance standards for each region based on—

7 ‘‘(I) the phase II reformulated

8 gasoline complex model in existence

9 on the date of enactment of this sub10 paragraph; and

11 ‘‘(II) the annual reductions in

12 emissions of toxic air pollutants

13 achieved in the region under the refor14 mulated gasoline program during cal15 endar years 1998 and 1999, as deter16 mined using compliance survey data.

17 ‘‘(iv) APPLICABILITY.—

18 ‘‘(I) IN GENERAL.—The applica19 ble performance standards under

20 clause (iii) shall be applied on an an21 nual average basis to the manufacture

22 of reformulated gasoline that is sold

23 or introduced into commerce by a re24 finery in a State for which the Gov-
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1 ernor waives the oxygenate require2 ment under subparagraph (B)(i).

3 ‘‘(II) MORE STRINGENT RE4 QUIREMENTS.—The applicable annual

5 average regional performance stand6 ards under clause (i) shall not apply

7 to the extent that any requirement

8 under section 202(l) or the standards

9 described in paragraph (3)(B)(ii) are

10 more stringent.

11 ‘‘(III) SPECIAL RULE.—The reg12 ulations promulgated under clause (i)

13 shall not apply in a State described in

14 subsection (c)(4)(B).

15 ‘‘(v) PREPROMULGATION REQUIRE16 MENTS.—Until such time as the regula17 tions under clause (i) are promulgated, the

18 phase II reformulated gasoline complex

19 model toxic performance standards in ex20 istence on the date of enactment of this

21 subparagraph shall remain in effect.’’.
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1 SEC. 2. DEVELOPMENT OF ADDITIONAL STANDARDS TO

2 CONTROL RELEASES OF MTBE FROM UNDER3 GROUND STORAGE TANKS.

4 Not later than 2 years after the date of enactment

5 of this Act, the Administrator of the Environmental Pro6 tection Agency, in consultation with members of the af7 fected industries, shall conduct a study and submit to Con8 gress a report on whether additional standards to prevent

9 and control releases of methyl tertiary butyl ether from

10 underground storage tanks are necessary.

11 SEC. 3. CONTROL OF OXYGENATED FUEL ADDITIVES TO

12 PREVENT AIR OR WATER POLLUTION.

13 Section 211(c)(1) of the Clean Air Act (42 U.S.C.

14 7545(c)(1)) is amended by adding at the end the fol15 lowing: ‘‘The Administrator may control or prohibit the

16 introduction into commerce, offering for sale, or sale of

17 any oxygenated fuel additive for use in a motor vehicle,

18 motor vehicle engine, nonroad engine, or nonroad vehicle,

19 if in the judgment of the Administrator the oxygenated

20 fuel additive causes or contributes to air pollution or water

21 pollution that may reasonably be anticipated to endanger

22 the public health or welfare.’’.

23 SEC. 4. LIMITATION ON USE OF MTBE.

24 (a) SALE OF GASOLINE CONTAINING MTBE.—Sec25 tion 211(c) of the Clean Air Act (42 U.S.C. 7545(c)) is

26 amended by adding at the end the following:
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1 ‘‘(5) LIMITATIONS ON SALE OF GASOLINE CON2 TAINING MTBE.—

3 ‘‘(A) IN GENERAL.—Subject to subpara4 graph (B), for the fourth full calendar year that

5 begins after the date of enactment of this para6 graph and each calendar year thereafter—

7 ‘‘(i) the quantity of gasoline sold or

8 introduced into commerce during the cal9 endar year by a refiner, blender, or im10 porter of gasoline shall contain on average

11 not more than 1 percent by volume methyl

12 tertiary butyl ether; and

13 ‘‘(ii) a refiner, blender, or importer of

14 gasoline shall not sell or introduce into

15 commerce any gasoline that contains more

16 than an historical level by volume of meth17 yl tertiary butyl ether, as determined by

18 the Administrator by regulation.

19 ‘‘(B) REGULATIONS CONCERNING PHASE20 DOWN.—As soon as practicable after the date

21 of enactment of this paragraph, the Adminis22 trator shall establish by regulation a program

23 to phase down the percentage of methyl tertiary

24 butyl ether contained in gasoline in accordance

25 with subparagraph (A)(i).
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1 ‘‘(C) REGULATIONS CONCERNING TRAD2 ING.—

3 ‘‘(i) IN GENERAL.—The Administrator

4 may promulgate regulations to permit re5 finers, blenders, and importers to sell to,

6 and purchase from, each other authoriza7 tions to sell or introduce into commerce

8 gasoline containing methyl tertiary butyl

9 ether in excess of the limitation specified

10 in subparagraph (A)(i).

11 ‘‘(ii) MAXIMUM ANNUAL LIMITA12 TION.—In carrying out clause (i), the Ad13 ministrator shall ensure that the total

14 quantity of gasoline sold or introduced into

15 commerce during any calendar year by all

16 refiners, blenders, or importers contains on

17 average not more than 1 percent by volume

18 methyl tertiary butyl ether.’’.

19 (b) STATE AUTHORITY TO REVISE IMPLEMENTA20 TION PLAN.—

21 (1) IN GENERAL.—In accordance with section

22 110 of the Clean Air Act (42 U.S.C. 7410), a State

23 may submit to the Administrator of the Environ24 mental Protection Agency a State implementation

25 plan revision that provides for the reduction or
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1 elimination of the use of methyl tertiary butyl ether

2 in gasoline sold or introduced into commerce in the

3 State if the Governor of the State demonstrates

4 that—

5 (A) the reduction or elimination would not

6 cause any significant disruption in the avail7 ability, supply, or price of gasoline in the State;

8 (B) the reduction or elimination is nec9 essary to protect the public health or environ10 ment; and

11 (C) any alternative additive used will not

12 present an equivalent or greater problem than

13 any problem posed by the use of methyl tertiary

14 butyl ether.

15 (2) SPECIAL RULE.—Paragraph (1)—

16 (A) does not apply to a State described in

17 section 211(c)(4)(B) of the Clean Air Act (42

18 U.S.C. 7545(c)(4)(B)); and

19 (B) does not limit the authority of such a

20 State under section 211(c)(4)(B) of that Act to

21 at any time prescribe and enforce a control or

22 prohibition respecting methyl tertiary butyl

23 ether or any other fuel additive.

24 (c) PERMIT APPLICATION ASSISTANCE.—In the case

25 of any State in which are located 1 or more facilities that
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1 produce methyl tertiary butyl ether and that, as a result

2 of any provision of or amendment made by this Act, apply

3 for a new permit or permit modification under the Clean

4 Air Act (42 U.S.C. 7401 et seq.), the Administrator of

5 the Environmental Protection Agency shall provide to the

6 State technical assistance and personnel to assist in the

7 application for or modification of such permits.

8 SEC. 5. ASSURANCE OF ADEQUATE FUEL SUPPLY.

9 (a) IN GENERAL.—In order to ensure an adequate

10 fuel supply for all States, any regulation or modification

11 of fuel properties promulgated or approved by the Admin12 istrator of the Environmental Protection Agency under

13 this Act or an amendment made by this Act shall take

14 into consideration the need for reasonable schedules for

15 carrying out necessary refinery investment projects and

16 making appropriate modifications to fuel distribution sys17 tems.

18 (b) FUEL INDUSTRY FLEXIBILITY.—In imple19 menting and enforcing regulations and modifications de20 scribed in subsection (a), the Administrator shall provide

21 the fuel industry with the flexibility inherent in fuel regu22 lations in effect on the day before the date of enactment

23 of this Act.

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