INFORMATION COLLECTION REQUEST RENEWAL

FOR THE NOX BUDGET TRADING PROGRAM TO REDUCE THE REGIONAL 

TRANSPORT OF OZONE

This ICR renewal covers sources submitting emissions under the NOx SIP call program who are not subject to the 

Clean Air Interstate Rule (CAIR). Sources that report emissions under CAIR are covered under OMB number 

2060-0570. Also, the Agency may, at some future time, reinstitute the NOx Budget Trading Program. For example, 

this might happen if both the CAIR and CAIR replacement rules were vacated by the Court. 

DRAFT

March 3, 2010
INFORMATION COLLECTION REQUEST RENEWAL

FOR THE NOX BUDGET TRADING PROGRAM TO REDUCE THE REGIONAL 

TRANSPORT OF OZONE

(JUNE 2007 THROUGH DECEMBER 2008)

SUPPORTING STATEMENT

1. IDENTIFICATION OF THE INFORMATION COLLECTION

1.1 Background

This Information Collection Request (ICR) addresses the labor hour burden and costs of 

State reporting requirements contained in the U.S. Environmental Protection Agency’s (EPA) 

rule to control regional transport of ozone season NOx emissions contributing to exceedances of 

the Ozone National Ambient Air Quality Standard (NAAQS) in the eastern United States which 

was published on October 27, 1998 (63 FR 57350). This rule is known informally as the NOx 

SIP call. These provisions are now incorporated in 40 CFR 51.121 and 51.122. The reporting 

requirements of this rule under §51.122 are imposed directly on the States, not on industry. 

However, in order to meet the requirements of this rule, States will of necessity have to impose 

requirements on industry for installation of continuous emission monitors and for recordkeeping 

and reporting. Therefore, there will be an indirect record keeping and reporting burden on 

industry as a result of this rule. This ICR estimates the burden hours and costs incurred by

industry as a result of reporting requirements of the rule. The rule does not require an emissions 

trading program, but it strongly encourages such a trading program, and it is anticipated that 

every State will adopt a trading program for fossil fuel-fired NOx sources serving electrical 

generators with a nameplate capacity greater than 25 MW or boilers, combustion turbines or 

combined cycle units with maximum design heat input greater than 250 mm BTU/hr. For this 

ICR, it is assumed that each State will adopt the Federal model trading program, and the burden 

associated with such a program is evaluated. This trading program burden would include the 

paper work burden related to (1) transferring and tracking allowances; (2) the allocation of 

allowances to affected units; (3) permitting; (4) annual year end compliance certification; and (5) 

meeting the monitoring and reporting requirements of the program. The monitoring and 

reporting requirements of a trading program will require capital and labor expenditures by

industry, and these are evaluated. Reporting requirements under the trading program can often 

be used to satisfy the §51.122 reporting requirements, but other requirements of the trading 

program are specific to the trading program and will often be discussed here under separate 

headings.

States are required to report data annually for those point, area, nonroad mobile, and 

highway mobile sources for which they adopt control measures to meet their NOx SIP call 

requirements. These annual reports must include ozone season NOx emission inventories. States 

which must comply in 2003 must report a statewide inventory of all NOx sources every 3 years 

starting in the year 2003 for the 2002 inventory. While the States are expected to use their 

existing emission inventory data collection and electronic reporting mechanisms for submitting 
the data to EPA, some modifications will be necessary to account for the reporting of ozone 

season emissions data. The data reports may be provided using one of several procedures, 

including submittal in Emission Inventory Improvement Program/Electronic Data Interchange 

(EIIP/EDI) format, or in proprietary format based on the EIIP data model. The EPA will allow 

for the direct reporting of point source data from sources to EPA if the sources are subject to the 

monitoring and reporting provisions of Subpart H of 40 CFR Part 75.

1.2 Information to Be Collected

Emissions Trading Program

The ability to buy and sell (or transfer) allowances is expected to provide substantial 

economic benefits, by encouraging the greatest emissions reductions where costs of reductions 

are lowest. This concept of allowance transfers cannot be implemented, however, unless 

regulations governing emissions monitoring and permitting of sources are in place as well. To 

ensure compliance with the emissions reduction requirements and to provide the regionwide 

consistency needed to foster the allowance market, the designated representative of the owners 

and operators of each source with affected units will be required to obtain an operating permit for 

the affected source and to certify that an approved emissions monitoring system has been 

installed and is properly operated at each affected unit's source of emissions.

Allowance Transfers

Participants in the allowance transfer system now have two options for submitting 

transfers: to submit electronically using the internet to record their own allowance transfers, 

either by entering the data on screen or by submitting an XML file; or complete a paper form and 

send it the Agency. Participants in the transfer system that are not affected sources under Title 

IV are also be required to file a one time account information application using a paper form to 

establish an account in the Allowance Tracking System (ATS). As part of the annual compliance 

determination process, designated representatives have the option of submitting an allowance 

deduction form to identify specific serial numbered allowances to be deducted for annual 

compliance

 

Emissions Monitoring

To meet the emissions monitoring record-keeping and reporting requirements, affected 

units are required to (1) submit a monitoring plan and certification of monitors, (2) record hourly

pollutant and flow monitor data, and (3) submit electronic quarterly reports of their emissions 

data to EPA. Operators of new electric generating units of 25 megawatts (MW) capacity or less 

may receive a CEMS exception if they certify their use of very-low-sulfur fuel.

Submissions Purposes and Procedures

Allowance transfer notifications may be submitted to EPA electronically or on paper. 

Emissions reports must be submitted electronically. All Phase II permit applications must be 

submitted on paper.

The allowance transfer submittal is used to record allowance transfers for compliance 
purposes and to track the disposition of all allowances in the system. Applications for 

allowances from the Energy Conservation and Renewable Energy Reserve provide information 

on the emissions avoided through the use of energy conservation measures and renewable 

energy, and are used to allocate allowances from the reserve.

Acid rain permit applications are used to issue operating permits to affected sources 

under the Acid Rain Program. Because the permit applications and permits are public 

documents, they provide an opportunity for the affected public to examine activities undertaken 

by affected sources. The designated representative certification, which designates a responsible 

official through whom the owners and operators of each affected source and each affected unit 

can trade allowances and obtain and maintain permits, serves to remove EPA from involvement 

in disputes between owners and operators of affected units. 

Monitoring plan submissions are used by EPA to verify that the emissions monitoring 

system at a unit meets the requirements set forth in Title IV of the Act and in the implementing 

regulations. Results of continuous emission monitoring system performance tests allow EPA to 

certify that monitors perform well enough to produce accurate emissions data. Emissions data is 

used to monitor compliance with emissions requirements under Title IV and to provide a basis 

for analyzing progress in meeting air quality objectives. Allowance tracking information, 

emissions data, and the contents of permit applications all provide information for the allowance 

market and the general public. 

(iii) Capital/Start-up Costs

While many sources have already installed necessary emissions monitoring equipment 

due to requirements under other regulations, some sources will need to either install new 

monitors or upgrade existing monitors. Capital costs also usually include the cost of initial 

certification of new or upgraded monitors is included as part of start-up costs.

(iv) Emissions Monitoring

Emissions monitoring and reporting is the foundation upon which the allowance trading 

system is based. EPA will use the data contained in the reports to verify actual emissions. 

Without accurate monitoring and reporting of emissions, the integrity of the allowance system 

would be undermined, and there would be no assurance that emissions had been reduced. To 

meet the emissions monitoring, recordkeeping and reporting requirements, affected units are 

required to (1) submit a monitoring plan and certification reports for each monitoring system, (2) 

record hourly emissions data, and (3) submit reports of their emissions data to EPA.

(v) Year-end Compliance Certifications

Each source is required to submit an annual statement providing information on which 

allowances are to be deducted and certifying that the unit is in compliance with emission 

limitations and monitoring and reporting requirements.
(vi) Allowance Transfers and Tracking

All participants in the allowance transfer system will be required to complete and submit 

an allowance transfer form for each allowance transfer. Participants in the transfer system that 

are not affected sources, such as allowance brokers, fuel suppliers and environmental groups will 

also be required to file a one time account information application to establish an account in the 

Allowance Tracking System (ATS).

The respondent reporting burden for this collection of information is estimated to be 

1,971,276 hours each year for the years 2007 through 2009. The burden to EPA is estimated to 

be 31,974 hours in each year for the years 2007 through 2009.

1.3 Terms of Clearance

Below are the Terms of Clearance for the previous ICR renewal.

None.

2. NEED FOR AND USE OF THE COLLECTION

This section describes EPA's need for the information collections described above and 

the legal authority for conducting collections. The users of collected information are also 

described.

2(a) Need/Authority for the Collection

The State reporting requirements included in the NOx SIP call are necessary for EPA to 

carry out properly its evaluation of each State’s compliance with its ozone season NOx emissions 

budget. The legal authority for the reporting requirements resides in Sections 110(a) and 301(a) 

of the Clean Air Act. Specifically, the requirement in Section 110(a)(2)(D) that SIPs include 

“adequate provisions” to mitigate certain transport effects on other States implicitly authorizes 

emissions inventory reporting to EPA, as needed and appropriate to verify that a State is in fact 

meeting its NOx budget. Section 110(a)(2)(F) provides additional authority for requiring that SIP 

call submissions include provisions for emissions reporting by sources to a State, correlation of 

source information by the State, and steps by the State to make the correlated information 

available to the public. Section 110(a)(2)(K), in turn, requires a State to submit to EPA as 

requested data related to modeling the effect of NOx and other emissions on ambient air quality. 

The reported emissions inventory data described in this section will be used by EPA in air 

quality modeling to assess the effectiveness of the transport rulemaking's regional strategy. 

Finally, Section 301(a) grants EPA broad authority to prescribe such regulations as are necessary

to carry out its functions under the Clean Air Act.

2(b) Practical Utility/Users of the Data 

The EPA believes it is essential that compliance with the regional control strategy be 

verified. Tracking emissions is the principal mechanism to ensure compliance with the budget 
and to assure the downwind affected States and EPA that the ozone transport problem is being 

mitigated. 

If tracking and periodic reports indicate that a State is not implementing all of its NOx

control measures beginning in 2003, for those States voluntarily choosing early compliance or 

2004 for other States, or is off track to meet its statewide budget by 2007, EPA will work with 

the State to determine the reasons for noncompliance and what course of remedial action is 

needed. The EPA will expect the State to submit a plan showing what steps it will take to correct 

the problems. Noncompliance with the NOx transport SIP may lead EPA to make a finding of 

failure to implement the SIP and potentially to implement sanctions, if the State does not take 

corrective action within a specified time period. 

The EPA will use data from the 2007 inventory and beyond to assess how each State's 

SIP actually performed in meeting the statewide ozone season NOx emissions budget. If 

emissions exceed the required budget in any year after 2006, the control strategies in the SIP will 

need to be strengthened. The EPA will evaluate the circumstances for the budget failure and 

may issue a call for States to revise their SIPs, as appropriate.

Emissions Trading Program

(i) Permits

Permit applications, including proposed compliance plans, will be used by EPA to issue 

operating permits and to allocate allowances. A permit application will be legally binding on the 

owners, operators, and designated representative of a source until the actual permit is issued. 

This aspect of the permit application reduces significantly the uncertainty imposed on a source 

due to possible delays at EPA. Affected sources may rely on the permit for information on the 

requirements with which they must comply. Because permit applications and permits will be 

public documents, they may be used by the public to examine activities undertaken by affected 

sources.

(ii) Emissions Monitoring

Data from emissions monitoring is indispensable to successful implementation of the 

NOx Trading Program for two reasons:
• The primary purpose of the NOx Trading Program is to assist States in the attainment of 

the ozone national ambient air quality standards (NAAQS) by reducing the adverse 

effects of the transport of ozone and ozone precursors from upwind States by reducing 

annual emissions of nitrogen oxides; and

• EPA can only enforce the program by comparing, for each affected unit, emissions data 

and the number of allowances held.

(iii) Year-end Compliance Certification

This information will be used by EPA to determine annual compliance and to verify that 

the monitoring plan for the unit continues to be accurate.

(iv) Allowance Transfers and Tracking

Information collected on allowance transfers will be used by EPA or its designated agent 

to track allowances for the purpose of determining compliance with the NOx Trading Program. 

Information on allowance transfers will also be used by participants in the allowance market and 

the public to evaluate the activities of affected sources, and by EPA for program evaluation.

Together, the allowance trading system, operating permits, and emissions data will help 

to provide the accountability to allow the NOx Trading Program to function without more 

stringent command and control approaches.

3. NONDUPLICATION, CONSULTATIONS, AND OTHER COLLECTION 

CRITERIA

This section describes (1) efforts by EPA to learn whether the information requested is 

available from other sources, (2) consultations with respondents and data users to plan 

collections, monitor their usefulness, and minimize the collection burden, (3) effects of less 

frequent collections, and (4) justification for deviations from OMB's general guidelines.

3(a) Nonduplication

To minimize the reporting burden on State agencies, the reporting requirements for 40 

CFR 51.122 are based on existing annual and periodic emission inventory reporting requirements 

as much as possible. However, since these requirements are being established to support an 

ozone season reduction program and since existing provisions do not require the collection of 

ozone season inventories, some additional reporting will be required. The EPA requires that 

States report annually data for all point sources that are part of a control measure that was 

adopted for purposes of meeting the NOx budget. If States act in accordance with OTAG 

recommendations for setting the emissions budgets, the sources controlled will all be point 

sources emitting 100 tons per year (tpy) of NOx. The 100 tpy threshold is consistent with the 

NOx reporting threshold for the existing annual emission inventory. However, the rule does 

allow States the option of defining the NOx point source threshold to be less than 100 tpy. 
The EPA will allow the direct reporting of point source data from sources to EPA to 

satisfy this requirement if the sources are subject to the monitoring and reporting requirements of 

Subpart H of 40 CFR Part 75. The direct reporting of data from sources to EPA will minimize 

the reporting burden on States. Also, direct reporting will avoid duplication of effort for sources 

subject to the Part 75 requirements. 

Currently, there are no existing annual reporting requirements for area, nonroad mobile, 

and highway mobile source emissions. For the purposes of 40 CFR 51.122, an area source is any

anthropogenic source that is not included in the point, nonroad mobile, or highway mobile source 

inventories. The EPA requires that the State report annually area source NOx emissions for only

those stationary area source categories for which the State adopts control measures for the 

purpose of meeting its NOx budget. For nonroad mobile and highway mobile sources, the EPA 

requires that the State report annually NOx emissions for only those source categories for which 

the State adopts control measures that are more stringent than Federal measures for the purpose 

of meeting its NOx budget. Based on the recommendations of OTAG, it is not expected that 

States will adopt area, nonroad mobile, or highway mobile source control measures to meet their 

NOx budgets. However, if one or more States do adopt such measures, annual reporting of 

emissions will be necessary to track the States’ progress toward meeting their NOx budgets.

The rule contains a requirement for States to report statewide point, area, nonroad mobile, 

and highway mobile source NOx emissions data every 3 years starting with the inventory year 

2002. The data reported would be ozone season emissions data for each third year and would 

include data from all source categories in the State regardless of whether sources are being 

controlled to meet a NOx budget. This 3-year cycle reporting requirement coincides with the 

schedule for the existing periodic emission inventory reporting requirement for the States.

Emissions Trading Program

Almost all information requested from respondents under this proposed ICR is not 

available from other sources. Where EPA needs information that has already been submitted, 

EPA is simply requiring a photocopy of the prior submittal or the retransmission of stored 

electronic data. In addition, EPA intends to integrate the reporting requirements for the NOx

Trading Program into existing electronic data reporting (EDR) formats. The EDR formats are 

used by Acid Rain Program units under Title IV of the Act and units subject to the NOx Budget 

Program implemented in the Ozone Transport Commission (OTC) region under Title I of the 

Act. Thus, for units subject to the Acid Rain or OTC quarterly reporting requirements, only one 

submission will need to be made on a quarterly basis.
3(b) Public Notice Required Prior to ICR Submission to OMB 

For the renewal ICR, a public notice was published in the Federal Register on December 

6, 2006 on availability of the draft supporting statement for the ICR renewal. A 60 day comment 

period for public comments was provided in the notice. EPA received no comments in response 

to the public notice that was published in the Federal Register (see Docket ID No. EPA-OAR2006-0947, which is available for online viewing at www.regulations.gov, or in person viewing 

at the Air and Radiation Docket in the EPA Docket Center (EPA/DC), EPA West, Room B102, 

1301 Constitution Ave., NW, Washington, DC).

3(c) Consultations 

For the initial rule development, on January 13, 1998, EPA held a one-day pre-proposal 

workshop with the States to discuss tracking issues. The objective of the workshop was to 

determine what type and frequency of inventory reporting is feasible for the different source 

sectors (power generating sources, other point sources, area sources, nonroad mobile, and 

highway mobile sources), to identify key reporting issues related to each sector, and to develop 

recommendations on reporting requirements to ensure compliance with the NOx budgets. The 

goal was to share information and ideas rather than to reach consensus. A summary of the 

meeting is contained in the docket (docket no. A-96-56, item V-B-18) for the NOx SIP call 

rulemaking. 

The workshop participants generally thought that existing reporting requirements for 

attainment SIPs should be used whenever possible to minimize any new reporting burden. The 

States further recommended that the degree of reporting rigor should be directly related to the 

sectors that the State chooses to control in its NOx transport strategy. Reporting every 3 years 

was considered feasible for all source sectors. Reporting on an annual basis was considered both 

achievable and necessary for all source sectors that a State chooses to regulate specifically for 

the purpose of meeting the SIP call NOx budgets. This would include all NOx sources within the 

State which are subject to measures included by the State in its transport SIP revision in response 

to the SIP call. In addition, it was noted that sources or source categories that would be 

participating in a trading program would need to meet the reporting protocols specific to that 

program. Consideration was also given to establishing uniform monitoring and reporting 

requirements and a centralized data base for reporting for other sources. Several States indicated 

support for this concept if there were easy access to the data by all parties. The reporting 

requirements included in 40 CFR 51.122 are based, in part, on the suggestions of participants in 

the workshop.

The recordkeeping and reporting requirements in §51.122 were included in the 

supplemental proposal (63 FR 25902, May 11, 1998) on which public comments were solicited. 

Comments received were reviewed and where appropriate were incorporated into the rule 

requirements as currently given in 40 CFR 51.122.

Emissions Trading Program

The requirements for the NOx Trading Program have been developed using both the 
methodology found in existing trading programs as well as consultations with interested parties.

EPA considered the strategy taken in the OTC's NOx Budget Program, a trading program 

developed for use in eleven States and the District of Columbia. EPA also considered the results 

of the findings of the Ozone Transport Assessment Group (OTAG), especially OTAG's Trading 

and Incentives Workgroup. Members of OTAG include 37 States, the District of Columbia, 

EPA, and industry and environmental group participants. OTAG conducted meetings in 1995 

and issued final recommendations in 1997 concerning ozone transport. EPA also considered the 

work of the RECLAIM program, another cap-and-trade market based system.

Prior to proposing the ICR for the FIP rule, EPA also held two public workshops in 1997, 

lasting two days each. Over 150 people participated in each of these workshops, including States 

and industry representatives. EPA received comments following the workshops and considered 

and incorporated those comments into the proposed ICR along with comments received during 

the meetings.

Finally, as part of updating the ICR for the Acid Rain Program (Part 75) monitoring 

requirements, EPA contacted various affected parties to gather information on CEM capital 

costs, CEM operation and maintenance costs, fuel meter capital costs, and CEM/fuelmeter 

testing costs. That information has been used in this ICR where appropriate.

3(d) Effects of Less Frequent Collection 

If this information collection were not carried out annually for sources being controlled to 

meet the NOx budgets, EPA would not be able to verify that NOx emission reductions necessary

to meet each State’s NOx emission budget were being achieved. In addition, a triennial report of 

all NOx sources statewide is vital in enabling EPA to track States’ progress towards meeting the 

NOx budgets. Because the NOx budgets prescribed have been deemed essential in order for 

downwind States to attain the NAAQS in a timely manner, data collected less frequently would 

be of little or no use. 

Emissions Trading Program

Submittal of allowance trading information and compliance information on an annual 

basis provides necessary feedback on the allocation of allowances. If this information collection 

were not carried out annually for sources being controlled to meet the NOx budgets, EPA would 

not be able to verify that NOx emission reductions necessary to meet each State’s NOx emission 

budget were being achieved. Because the NOx budgets prescribed have been deemed essential in 

order for downwind States to attain the NAAQS in a timely manner, data collected less 

frequently would be of little or no use.

Quarterly collections of emissions data allows the opportunity to check data for errors 

and provide rapid feedback on needed adjustments to data collection systems, and thereby

promotes accurate and reliable emissions data. For this same reason, existing federal and state 

emission monitoring programs often require quarterly reporting, or in some cases, monthly. Less 

frequent collection, such as semi-annually or annually, would increase the amount of preparation 
and review time at the end of the reporting period both for regulated sources and for EPA. This 

would slow down the process for the verification of compliance.

As an option for this program, EPA will allow for ozone season reporting instead of 

quarterly reports for the entire calendar year. Under this option, units would only be required to 

submit two reports per year (covering the second and third calendar quarters). However, because 

the Agency believes that full-year quarterly reporting will be beneficial for both the source and 

the Agency, this ICR assumes all units will elect to comply with the standard quarterly reporting 

requirement.

3(e) General Guidelines 

This ICR does not violate any of OMB’s guidelines for information collections. 

3(f) Confidentiality 

As required by Section 114 of the Clean Air Act, estimates or measurements of emissions 

must be treated as nonconfidential. Under Agency procedures, data items relating to the 

computation of emissions may be identified as sensitive by a State and are then treated as “Statesensitive” by EPA. The potentially State-sensitive items include the following: Process rate, 

boiler design capacity, emission estimation codes, percent space heat, operating rate, and 

maximum operation rate/hour. Where Federal and State requirements are inconsistent, EPA 

Regional Office should be consulted for final reconciliation.

3(g) Sensitive Questions

Not applicable. This information collection does not ask any questions concerning sexual 

behavior or attitudes, religious beliefs, or other matters usually considered private. 

4. THE RESPONDENTS AND THE INFORMATION REQUESTED

This section lists the major categories of businesses that participate in the NOX Budget 

Trading Program, the data items requested from program participants, and the activities in which 

the participants must engage to assemble or submit the required data items.

4(a) Respondents/SIC Codes 

The reports submitted under this ICR will be submitted by the State air pollution control 

agencies for which NOx budgets will be established, which include the following 20 States and 

the District of Columbia: Alabama, Connecticut, Delaware, Illinois, Indiana, Kentucky, 

Massachusetts, Maryland, Michigan, North Carolina, New Jersey, New York, Ohio, 

Pennsylvania, Rhode Island, South Carolina, Tennessee, Virginia, and West Virginia.1 Georgia 

and Missouri have also been added to this analysis for 2005 under the assumption that they will 

be covered under a Phase II rule making which will require reporting by that time. The affected 

 

1

 The U.S. Court of Appeals decision of March 3, 2000 vacated the rule for Wisconsin.
SIC would be 9511 - Air and Water Resource and Solid Waste Management [NAICS 92411 

Administration fo Air and Water], which includes government environmental protection and 

control agencies, as well as pollution control agencies.

This ICR also estimates a burden for affected industry sources to monitor NOx mass 

emissions and demonstrate compliance with NOx control measures. Sources may report data 

directly to EPA if a source is required to meet the monitoring and reporting requirements of 

Subpart H of Part 75. States have chosen to control larger electric utility and industrial 

combustion point sources to comply with their NOx emissions budgets for 2007. Electric utility

combustion sources are generally classified as either SIC 4911 - Electric Services, or 4931 -

Electric and Other Services Combined [NAICS 221112 Electric Power Distribution]. Cement 

kilns fall primarily under SIC 327 - Concrete, Gypsum, and Plaster Products) [NAICS 3273 

Cement Manufacturing and 3274 Gypsum Product Manufacturing]. Large industrial combustion 

sources (e.g., boilers, turbines, and internal combustion engines) are expected to fall under SIC 

codes for the manufacturing sector, i.e., SIC Major Groups 29-40 [NAICS 31-33 

Manufacturing]. In addition, States have the option of controlling area, nonroad mobile, and 

highway mobile NOx sources for meeting their NOx budgets. However, States have not chosen 

to control these sources. The Agency's action under Phase II is expected to eventually also 

impose additional, non-trading program requirements on internal combustion engines 

(potentially applicable in a variety of industries, with significant number in SIC 492 - Gas 

Production and Distribution [NAICS 2212 Natural gas Distribution]).

4(b) Information Requested 

This section describes State reporting and recordkeeping requirements and the activities 

(i.e., burden items) associated with the requirements in §51.122. States must report NOx

emissions data as specified in 40 CFR §51.122. States are required to submit the appropriate 

emissions data within 12 months of the end of the inventory year (e.g., a statewide NOx

emissions inventory for the year 2005 would be required by December of 2006). The activities 

that an affected source would have to conduct are also listed.

 

(i) Data items, including recordkeeping requirements 

Reporting requirements

Many of the required emissions data elements are already being provided to the EPA under 

existing annual point source reporting requirements, as well as periodic SIP inventory reporting 

provisions for point, area and nonroad mobile, and highway mobile sources. For example, the 

Consolidated Emissions Reporting Rule (67 FR 39602, June 10, 2002) requires reporting of 

many of the same data elements that are required in the NOx SIP call. The Consolidated 

Emissions Reporting Rule (CERR) requires reporting of annual emissions while the NOx SIP 

call §51.122 requires reporting only for the ozone season which is May 1 through September 30 

of a year. The following lists the data items required by the NOx SIP call for point, area, 

nonroad mobile, and highway mobile sources, and identifies new data items not required to be 

included in emission inventories currently reported to EPA.
Point sources

For NOx point sources controlled for purposes of meeting the NOx budgets, States must 

annually report the following data items, unless the point sources are reporting directly to EPA 

under Subpart H of 40 CFR Part 75. The new data items are identified with an asterisk (*).

Inventory year

State Federal Information Processing System (FIPS) code

County FIPS code

Federal ID code (plant)

Federal ID code (point)

Federal ID code (process)

Federal ID code (stack)

Site name

Physical address

Source Classification Code (SCC)

Pollutant code

Work weekday emissions

Fuel heat content (annual)

Activity throughput (annual)

Emission factor

Spring/Summer/Fall throughput (%)

Hour/day in operation

Operations start time (hour)

Day/week in operation

Week/year in operation

Area designation*

Ozone season emissions*

Fuel heat content (seasonal)*

Source of fuel heat content data*

Activity throughput (seasonal)*

Source of activity throughput*

Source of emission factor*

Additional reporting requirements apply every 3 years (triennially), starting for the 

inventory year 2002 (or 2005 for areas with a 2004 compliance date). For these years, States 

must submit a statewide NOx point source inventory for all controlled and uncontrolled sources. 

In addition to the data items required for annual reporting, the following elements must be 

reported to EPA triennially:

Latitude/longitude

Stack height

Stack diameter

Exit gas temperature

Exit gas velocity
Exit gas flow rate

Standard Industrial Classification (SIC)

Boiler/process throughput design capacity

Maximum design rate

Maximum capacity

Primary control efficiency

Secondary control efficiency

Control device type

Area sources

The following lists the data elements States must report annually for area sources controlled 

for the purpose of meeting the NOx budgets. States must report these same data elements for all 

area sources in their statewide triennial inventory, starting in 2002, (or 2005 for certain States). 

The new data items are identified with an asterisk (*).

Inventory year

State FIPS code

County FIPS code

SCC 

Pollutant code

Emission factor

Activity throughput level (annual)

Control efficiency (%)

Spring/Summer/Fall throughput (%)

Hour/day in operation

Day/week in operation

Week/year in operation

Ozone season emissions*

Source of emission factor*

Activity throughput level (seasonal)*

Source of activity throughput data*

Source of emissions data*

Highway and nonroad mobile sources

The following lists the data elements States must report annually for highway mobile and 

nonroad mobile sources controlled for purposes of meeting the NOx budgets. States are required 

to report annually for those highway and nonroad mobile sources covered by State-adopted 

regulations that are more stringent than Federal standards. States must report these same data 

elements for all highway and nonroad mobile sources in their statewide triennial inventory

starting in 2002 (or 2005), and for 2007. The new data items are identified with an asterisk (*).

Inventory Year

State FIPS Code

County FIPS Code
SCC

Pollutant code

Summer work weekday emissions

Emission factor

Activity2

Ozone season emissions*

Source of emission factor*

Source of activity data*

Source of emissions data*

Justification for additional data items

Ozone season emissions are emissions for the period May 1 through September 30 of a year. 

Emission estimates representing this period are required in order to demonstrate that the 

reductions required by 40 CFR 51.121 are made during this same period. The EPA is also 

requiring States to provide an example ozone season calculation, along with sufficient 

information for EPA to verify the calculated value of ozone season emissions. This calculation, 

as well as two additional seasonal data elements (i.e., fuel heat content for point sources, 

activity/throughput level), will facilitate quality assurance review of the seasonal emissions data. 

Other data fields for providing the source of fuel heat content data, source of emissions data, 

source of emission factor, and source of activity throughput data will also assist EPA in their 

NOx budget verification procedures.

The EPA is also requiring the “Area Designation” element so that States that establish an 

offset pool composed of actual emission reductions achieved through compliance with the SIP 

call NOx budgets can track whether they are obtaining creditable offsets as specified in Section 

173(c) of the Act (which requires that major sources obtain offsets from areas with equal or 

higher nonattainment classification).

Recordkeeping requirements

40 CFR 51.122 specifies that States are to comply with existing SIP recordkeeping and data 

availability requirements as outlined in 40 CFR Part 51.116. As such, there are no recordkeeping 

burden items that are incremental to existing recordkeeping requirements.

(ii) Respondent activities 

The one-time State burden items associated with this ICR include:

Prepare SIP revision for submission to EPA in response to the NOx SIP call.

• Read the reporting requirements of the rule;

• Submit example ozone season emissions calculations to EPA [§51.122(g)];

 

2

For highway mobile sources, the activity is expressed as VMT by roadway class. 
• Create 7 additional data fields in electronic point source data base file, 5 additional 

data fields in the area source data base file, and 4 additional data fields in each of 

the nonroad mobile and highway mobile source electronic data base files for new 

data items [§51.122(c), (d), (e)];

• Develop procedures by which to estimate stationary area source NOx emissions 

for triennial statewide reporting requirements [to comply with §51.122(b)(2), (3)];

• Develop allocation for estimating county-level vehicle miles traveled (VMT) from 

State-level VMT data [to comply with §51.122(b)(2), (3)]; and

• Review Title V permit revisions from controlled sources [§51.121(h)(1)].

The one-time industry burden items associated with this ICR include:

• Read the reporting requirements of the rule;

• Revise Title V permit to incorporate NOx monitoring [§51.121(h)(1)]; and

• Install and perform testing to certify NOx CEMS or other approved monitoring 

system [§51.121(h)(1)].3

Annual State burden items associated with this ICR include:

• Determine ozone season emissions for controlled sources [§51.122(c)(1), (2)];

• Notify the appropriate EPA Regional Office when submitting an annual, triennial, 

and 2007 NOx inventory [§51.122(h)]; and

• Submit electronic NOx budget emissions report [§51.122(b)(1)].

The annual burden items for industry associated with this ICR include:

• For units subject to Title IV monitoring requirements, reporting compliance 

information to a State or EPA [§51.121(h)(1)].

• For units not already subject to Title IV monitoring requirements:

• Perform general operations and maintenance activities (e.g., quality assurance 

testing, calibrations, cylinder gas audits)[§51.121(h)(1)]; and

 

3Typically, the initial CEMS certification testing, as well as annual relative accuracy testing, are 

performed as part of a fixed price contract. However, for the purposes of this analysis, the costs 

to perform these activities are presented in terms of labor rates applied to burden hours.
• Prepare and submit reports to demonstrate compliance, including update of 

monitoring plan [§51.121(h)(1)].

Triennial State burden items associated with this ICR include:

• Prepare statewide inventory for area, nonroad mobile, and highway mobile 

sources, including a determination of ozone season emissions for all sources 

[§51.122(b)(2)]; and

• Compile summary report of statewide NOx emissions for submittal to EPA 

[§51.122(b)(2), (h)].

There are no triennial industry burden items associated with this collection in addition to the 

burdens listed above.

Emissions Trading Program

This section describes the data items requested from affected sources for the collections 

described in this ICR. This section also defines the activities in which respondents must engage 

to assemble, submit, or store these data items. Except where explicitly noted below, these 

requirements only apply to the trading program units, not the non-trading units (internal 

combustion engines and cement kilns).

(i) Data Items, Including Recordkeeping Requirements

(a) Allowance Tracking

There are several data items required for allowance tracking activities. First, the utility must 

submit account certificates of representation for the NOx authorized account representative and 

(if desired) alternate NOx authorized account representative. This documentation, found in 40 

CFR § 96.13, must include:

 Identification of the source and unit,

 Name and contact information for the NOx authorized account representative and alternate,

 A list of the owners and operators of each source and unit, and

 A certification statement and signature of the NOx authorized account representative and 

alternate.

Certification applications are to be kept for a period of 5 years pursuant to the general 

requirements imposed for Title V permitted facilities.

(b) Year-end Compliance Certifications

On or before November 30 of each year, the NOx authorized account representative for each 

source must submit a compliance certification report covering all units at the source. Under 40 

CFR § 96.30, the report must include the following:
 Identification of each unit,

 Serial numbers of each NOx allowance to be deducted from the unit's compliance account,

 For units sharing a common stack, the percentage of allowances to be deducted from the 

unit's compliance account, and 

 Compliance certification, including certification that the unit was operated in accordance 

with the emission limitation, verification that the monitoring plan is complete and 

accurate, a statement that all NOx emissions have been monitored and reported 

appropriately, and whether the basis for certification has changed (and, if so, details of 

the change).

(c) Monitoring and Reporting

Affected trading program sources would be required to monitor NOx mass emissions, and 

record and report emissions data using the requirements of 40 CFR Part 75. The emissions 

monitoring requirements specify that affected sources must (1) submit a monitoring plan for each 

affected unit at a source, (2) submit data for certification of each monitor, and (3) record hourly 

operational, pollutant monitor, and flow monitor data for each affected unit and submit quarterly 

reports of their emissions data to EPA. Appendices A and B to this ICR contain a list of the data 

items required by the recordkeeping and reporting provisions of Part 75.

Respondents are required by 40 CFR 75.64 to submit the quarterly NOx mass emissions data 

electronically, by direct electronic submission to EPA, and must also include a certification 

statement by the designated representative of the unit. All monitoring records are to be kept for 

three years, with one possible exception under a voluntary option for fuel flowmeter calibration 

testing. For purposes of the NOx Trading Program, EPA currently is not requiring electronic 

submission of reports, but intends to do so after finalizing proposed revisions to Part 75. For 

purposes of this ICR, the labor burdens and other costs are calculated on the assumption that 

such a requirement will be in effect at the time reporting is required under this program.

(ii) Respondent Activities

The primary tasks that will be performed by trading program respondents to meet the 

emissions monitoring requirements are (1) completing and submitting appropriate monitoring 

plan forms for each affected source and each affected unit at a source; (2) conducting tests to 

certify the operation of monitors, and submitting test results to EPA; (3) recording hourly 

emissions data (this activity generally is performed electronically); (4) operation and 

maintenance activities associated with the monitoring, including quality assurance activities; (5) 

assuring data quality, preparing quarterly reports of emissions data and submitting these reports 

to EPA; and (6) responding to error messages generated by EPA. In addition, respondents will 

have to purchase the necessary monitoring hardware and purchase the electronic data reporting 

software (or software upgrades). 

5. THE INFORMATION COLLECTED -- AGENCY ACTIVITIES, COLLECTION 

METHODOLOGY, AND INFORMATION MANAGEMENT
The first part of this section describes Agency (EPA) activities related to the acquisition, 

analysis, storage, and distribution of the information collected from (1) participants in allowance 

transfers, (2) applicants for allowances from the Conservation and Renewable Energy Reserve, 

(3) permit applicants, (4) designated representatives of affected sources that are required to 

submit monitoring plans and emissions data, (5) participants in the annual auction, and (6) the 

opt-in program, and (7) NOX permitting. The second part describes the information management 

techniques employed to increase the efficiency of collections. The third part discusses the 

burden or benefits of the collection activities described in this ICR to small entities. The last part 

outlines the schedule for collecting information.

5(a) Agency Activities 

The EPA activities associated with 40 CFR §51.122 are as follows:

1. Review/verify ozone season emissions calculation submitted by each State;

2. Receive and store emission inventory data submitted by each State and by point 

sources;

3. Review emissions data submitted annually by each State to track each State’s 

progress toward meeting its NOx budget;

4. Review summary report of statewide NOx emissions submitted by each State 

every 3 years; and

5. Respond to questions from States and point sources concerning electronic 

submittal of emissions data.

Emissions Trading Program

The major EPA activities related to the NOx Trading Program include (1) maintenance 

and administration of the allowance tracking system (NATS), (2) reviewing permit applications, 

(3) reviewing monitoring plans and certification applications, (4) processing, reviewing and 

evaluating reports of quarterly emissions data from affected units, (5) calculating/reviewing 

ozone season emissions, and (6) reviewing emissions data submitted annually to track each 

State’s progress toward meeting its NOx budget and creating a summary report of statewide NOx

emissions every three years. EPA will use a computer system called the Emissions Tracking 

System (ETS) to track and maintain monitoring and emissions information. EPA will also 

answer respondent questions and conduct audits of data submissions.

5(b) Collection Methodology and Management 

States must report emission inventory data to EPA in electronic form. EPA supports 

specific electronic data reporting formats and requires States to report data in a format consistent 

with these. Because electronic reporting technology continually changes, States should contact 

the Emission Factor and Inventory Group (EFIG) for the latest specific formats. States can find 

information on the current formats at the following Internet address: 

http://www.epa.gov/ttn/chief . States may also call EPA’s Info CHIEF help desk at 

(919)541-1000 or email to info.chief@epa.gov.
One option for annual reporting (not for third year reports) is to have sources submit the 

data directly to EPA. This option will be available to any source in a State that is both 

participating in a trading program meeting the requirements of Part 96 and that has agreed to 

submit data in this format. The EPA will make both the raw data submitted in this format and 

summary data available to any State that chooses this option.

Emissions Trading Program 

To ensure consistency nationwide and to expedite data entry, EPA will require that 

standard electronic data reporting (EDR) formats used for Part 75 reporting be used to submit the 

information collected for the NOx Trading Program. As discussed in Section 4(b), above, upon 

promulgation of currently proposed Part 75 revisions, EPA intends to require that data be sent 

via direct electronic submission to EPA using the revised EDR format. Non-trading program 

sources will have to report results of performance tests or excess emissions, as applicable 

consistent with the reporting required under 40 CFR Part 60.

Several computer systems and associated databases have been developed to (1) track 

allowances, (2) record quarterly emissions monitoring data, and (3) calculate the number of 

allowances to be deducted each year. EPA also has made available an On-line Allowance 

Transfer System to permit online allowance transfers and allowance account maintenance 

activities. The systems and databases are designed to coordinate the information for easy access 

and use by the Agency, states, regulated community, and the public.

The EPA also has established a Clean Air Markets Home Page on the Internet, which 

includes detailed information collected from emissions reports. The Data and Maps section of 

the EPA’s Clean Air Markets Home Page on the Internet, includes detailed information collected 

from emissions reports, allowance transfer activity, and facility or source data. Those without 

access to the Internet may use the Acid Rain Hotline to request information.

5(c) Small Entity Flexibility 

The State control agencies affected by this rulemaking are not considered to be 

small entities. To support States with fewer sophisticated processing capabilities, the EPA has 

developed mainframe and PC software to facilitate State efforts in storing, maintaining, and 

reporting source data. A number of Territories and smaller States have adopted these and use 

them to make their submissions. By providing a number of means whereby the respondents can 

make their submissions, respondents are able to select those which minimize their efforts and 

costs and still use some type of electronic technology. 

The rulemaking, which EPA published by notice in 63 FR 57356 (October 8, 1998), 

would simply require States to develop, adopt, and submit SIP revisions. Pursuant to 5 U.S.C. 

605(b), in the rulemaking, the Administrator certified that the rule will not have a significant 

economic impact on a substantial number of small entities.
Emissions Trading Program 

The NOx Trading Program only includes fossil fuel-fired units (stationary boilers, 

combustion turbines, and combined cycle systems) that serve an electrical generator of capacity 

greater than 25 MWe, and any other fossil fuel-fired units that have a heat input capacity greater 

than 250 mmBtu/hr. Units with a lower capacity are not included because of the high cost of 

monitoring emissions from these sources and the de minimis nature of their emissions.

There are two small unit exceptions that are applicable to the NOx Trading Program. The 

first provides for reduced monitoring and the second provides for an exemption from 

participation in the program. The low mass emitter exception (40 CFR 75.19), allows optional 

reduced monitoring, quality assurance, and reporting requirements for units that combust natural 

gas and/or fuel oil and that emit no more than 50 tons of NOx annually (or, at the source's 

election, 25 tons per ozone season) and that calculate no more than the same amount based on 

specified procedures for calculating and reporting emissions. Qualifying utilities are not 

required to keep monitoring equipment installed on (or conduct fuel sampling for) low mass 

emissions units, nor are they required to perform quality assurance or quality control tests. 

Moreover, emissions reporting requirements are significantly simplified for these units.

The second exception provides an exemption for units that restrict NOx mass emissions to 

less than 25 tons during the ozone season. To be eligible, the unit must accept a federallyenforceable operating hour permit limit. The unit would calculate the operating hour restriction 

by dividing 25 tons by the unit's maximum potential hourly NOx mass emissions.

Even if a gas- or oil-fired unit does not qualify for the "low mass emissions unit" 

exception, the monitoring provisions of Part 75 do allow for the use of alternative methods to 

determine emissions. As discussed in the Regulatory Impact Analysis (RIA) of the final Acid 

Rain Implementation Regulations (October 19, 1992), smaller utilities are more likely to be 

dependent on these oil- and gas-fired units, especially very small utilities (see p. 5-14 of that RIA 

document).

5(d) Collection Schedule 

Beginning for the inventory year 2003 (or 2004), the EPA is requiring States to annually

submit ozone season inventories for all NOx sources for which States adopt control measures to 

meet their NOx budget. Every 3 years, starting for the inventory year 2002 for those States 

requiring compliance in 2003, statewide NOx inventories of all controlled and uncontrolled 

sources are required. 

For all of the above reporting activities, 40 CFR 51.122 specifies that States submit the 

appropriate emissions data within 12 months of the end of the inventory year (e.g., a statewide 

NOx emissions inventory for the year 2005 would be required by December of 2006).

6. ESTIMATING THE BURDEN AND COST OF COLLECTIONS

6(a) Estimating Respondent Burden 
The State burden for complying with the reporting requirements under §51.122 is 

estimated incremental to the burden associated with existing annual inventory and periodic 

inventory reporting requirements.

In general, States already have mechanisms in place for reporting emissions data to EPA. 

Under the existing annual point source inventory requirements, States are required to submit the 

emissions data specified in Section 4(b)(i) of this supporting statement (excluding the 

incremental data elements identified). Since most of the data which the States are required to 

update for point sources (area codes, addresses, or other physical parameters) do not change 

often, the updating of more than 90 percent of all source records is minimal and typically

involves only changes in emissions and closely related information (fuel usage, process rates, 

seasonal throughput, etc.).

Other ongoing State activities that support existing inventory reporting requirements 

include: Collecting emissions data and other associated information;

A. Quality assuring emissions data;

B. Training staff in coding and submissions techniques;

C. Creating information (e.g., assigning EPA codes to State point source records);

D. Resolution of errors and anomalies identified by EPA;

E. Maintaining records associated with data submitted by sources; and

F. Preparing and submitting required inventory data items in approvable format.

Under the existing periodic inventory, States with ozone nonattainment areas (or in the 

ozone transport region) must report triennially to EPA area, nonroad mobile, and highway

mobile source emissions for the nonattainment areas. For 40 CFR 51.122, EPA is requiring that 

States report statewide area, nonroad mobile, and highway mobile source ozone season 

emissions every year if the State adopts control measures for these sources specifically for the 

purpose of meeting the NOx budget. This could be an incremental burden to States each year. 

However, no burden was estimated for States to annually report area, nonroad mobile, or 

highway mobile source emissions to EPA for years that do not coincide with the existing 3-year 

cycle inventory. This is because OTAG modeling results indicate that States will most likely

control large stationary NOx emission sources rather than area, nonroad mobile, or highway

mobile emission sources to meet their NOx budgets.
One-time activities 

The time for States to read and interpret the reporting requirements of the §51.122 rule 

was estimated to be 1 hour for technical staff and 1 hour for managerial staff. The time required 

for preparing and submitting example ozone season emissions calculations to EPA would vary, 

depending on the complexity of the calculations. States that estimate seasonal emissions by

applying a factor of 5/12's to their annual emissions inventory can complete this task in minimal 

time. States that account for factors such as changes in activity levels or fuels would require 

more time. On average, it was estimated to take 10 hours for technical staff and 0.5 hour for 

managerial staff. Another one-time activity involves a State modifying its emissions data bases 

to incorporate 7 additional data items for point sources, 5 additional data items for area sources, 

and 4 additional data items for highway and nonroad mobile sources. Technical staff time to

perform this activity was estimated to be 60 hours, and managerial staff time was estimated to be 

3 hours.

A one-time effort is expected for the States to establish procedures to estimate statewide 

ozone season NOx emissions from stationary area sources. Area source NOx emissions in the 

OTAG inventory are due to stationary fuel combustion, incineration and open burning, and 

wildfires and prescribed burning. It is assumed that States would develop a spreadsheet or data 

base containing county-level activity indicators (e.g., population, employment, forest acreage) to 

allocate activity data typically available at the State level to the county level. It will also be 

necessary to account for any controls or seasonal restrictions that would impact NOx emissions. 

The average respondent time to develop the procedures to predict county-level area source NOx

emissions for an entire State was estimated to be 80 hours of technical staff time and 4 hours of 

managerial staff time.

For highway mobile sources, it will be necessary for States to prepare a procedure for 

estimating county-level VMT as input to EPA’s MOBILE model. It was assumed that States 

will distribute statewide VMT available from the Federal Highway Administration’s (FHWA) 

Highway Performance Monitoring System (HPMS) to the county level using a surrogate activity

indicator such as population. In addition, any highway mobile source controls applicable to a 

county must be identified and accounted for in the emission estimates for a county. The onetime burden for performing these activities was estimated to take 40 technical hours and 2 

managerial hours. 

Lastly, the burden for a State to review a Title V permit revision submitted by controlled 

sources was estimated to be 0.8 hours of technical staff (i.e., 4 hours annualized over the 5-year 

permit cycle).

Annual Activities 

Annual State burden items associated with this ICR are as follows. States must notify the 

appropriate EPA Regional Office when submitting an annual or triennial NOx inventory. This 

activity was estimated to take one hour per year for managerial staff. An additional one hour per 

year was estimated for technical staff to prepare and submit an electronic NOx emissions budget 

report. Most of the data collection activities associated with the annual inventory are already
being done to meet existing inventory requirements. However, there is additional burden 

associated with compiling and quality-assuring the ozone season inventory. The additional

annual burden for this activity was estimated to be 16 hours per year for technical staff and one 

hour per year for managerial staff.

Triennial Activities 

Every 3 years, States are required to submit ozone season emissions data for all point, 

area, nonroad mobile, and highway mobile sources of NOx within the State. States are already

submitting a statewide emissions inventory of all point sources under the existing annual 

inventory requirements. However, a burden is expected for States to develop statewide NOx

stationary area source, nonroad mobile source, and highway mobile source inventories every 3 

years. Under the existing periodic SIP inventory requirements, emissions from these sectors 

were only determined for ozone nonattainment area counties. The incremental burden for 

developing statewide ozone season inventories for all controlled and uncontrolled sources 

consists of the following activities:

 For stationary area sources, collecting activity data needed to allocate State-level activity 

data to the county-level and estimating area source emissions; (160 technical hours; 8 

managerial hours);

 For nonroad mobile sources, estimating emissions (240 technical hours; 12 managerial 

hours); and

 For highway mobile sources, estimating emissions using EPA’s MOBILE model6 

(120 technical hours; 10 managerial hours).

The above hour estimates also account for generating and quality-assuring ozone season

emissions. For the highway mobile source inventory, beginning in the year 2003, the recurrent 

burden hours every 3 years will include 40 hours of technical staff time to perform the VMT 

calculations. Thus, the burden for performing all the necessary steps to generate the 2002 

highway mobile source inventory in 2003 is assumed to be 120 hours (i.e., 40 + 80 hours).

States must compile a summary report of statewide NOx emissions for submittal to EPA. 

A small burden was estimated for States to account for sources that have been reporting directly 

to EPA annually using a different reporting format (e.g., EDR format for Part 75). An additional 

3 hours (1 for managerial, 2 for technical staff) was estimated to be the time needed for a State to 

request source-submitted data from EPA and merge these emissions data into a consistent format 

for the required triennial report.

Burden calculations 

Burden hours and associated costs were estimated for 2008. Table 6-1 presents the State 

burden hours and costs by activity for 2008. Table 6-2 presents the industry burden hours and 

costs by activity for 2008. Table 6-3 presents the Agency burden hours and costs by activity for 

2008.
Table 6.1. 2008 State Respondent Burden and Cost by Non-Trading Activity

Information Collection Activity

Mgr. 

$45.47/

Hour 

2008

Tech. 

$30.27/ 

Hour 

2008

Respondent 

Hours/Year

2008

Labor 

Cost/Year

2008

Number of 

Respondents

Total 

Labor 

Hours 

2008

Total 

Cost 

2008

Information Collection Activities for §51.122 

Triennial Reporting

Read the reporting requirements of the rule 1 1 2 $76 22 44 $1,666

Submit example ozone season emissions calculations 

to EPA [§51.122(g)]

1 10 11 $348 22 242 $7,660

Modify point, area, nonroad mobile, and highway 

mobile source data bases to add data fields for 

additional data items [§51/122(c). (d), (e)]

3 60 63 $1,953 22 1,386 $42,957

Develop procedures by which to estimate area source 

NOx emissions for triennial statewide reporting 

requirements [§51.122(b)(2),(3)]

4 89 93 $2,876 22 2,046 $63,270

Develop procedure for generating county level vehicle 

miles traveled (VMT) [§51.122(b)(2),(3)]

2 40 42 $1,302 22 924 $28,638

Project 2007area nonroad mobile, and highway mobile 

source inventories to 2008 to satisfy 3-year cycle 

requirement [§51.122(b)(2),(3)]

1 8 9 $288 22 198 $6,328

Review Title V permit revisions from controlled sources 

[§51/121(h)(1)]

0 1 1 $30 22 22 $666

Determine ozone season emissions for controlled 

sources [§51.122(c)(1).(2)]

1 16 17 $530 22 374 $11,655

Notify the apppropriate EPA Regional Office when 

submitting annual and triennial data [§51/122(h)]

1 0 1 $45 22 22 $1,000

Submit electronic NOx budget emissions report 

[§51.122(b)(1)]

Prepare statewide ozone season inventory for area 

nonroad mobile, and highway mobile sources, 

including a determination of ozone season emissions 

for all sources 8[§51.122(b)(2)]

0 1 1 $30 22 22 $666

Prepare statewide ozone season inventory for area 

nonroad mobile, and highway mobile sources, 

including a determination of ozone season emissions 

for all sources [§51.122(b)(2)]

8 160 168 $5,207 22 3,696 $114,553

Prepare statewide ozone season inventory for nonroad 

mobile sources, including a determination of ozone 

season emissions for all sources [§51.122(b)(2)]

12 240 252 $7,810 22 5,544 $171,830

Prepare statewide ozone season inventory for highway 

mobile sources, including a determination of ozone 

season emissions for all sources [§51.122(b)(2)]

8 120 128 $3,996 22 2,816 $87,916

Compile summary report of statewide ozone season 

NOx emissions and account for sources that have 

been reporting directly to EPA [§51.122(b)(2),(h)]

1 2 3 $106 22 66 $2,332

TOTAL 17,402 $541,138
Table 6.2. 2008 Industry Respondent Burden and Cost by Non-Trading Activity

Table 6.3. 2008 Agency Burden and Cost by Non-Trading Activity

Emissions Trading Program

To estimate the burden and/or cost of each incidence of the various proposed rule 

revisions, EPA had available prior estimates of the costs of various activities, estimates provided 

by affected utilities in comments to the Agency, and estimates based on the Agency's experience 

in implementing the existing trading programs. 

The NOx Trading Program requires all affected sources to install a NOx emission rate (or 

concentration) CEM and a flow CEM (or approved alternative). Affected gas- and oil-fired units 

may elect to use a NOx emissions rate CEM and a fuel flowmeter. In addition, peaking units that 

burn natural gas and/or fuel oil may use an alternative method for calculating NOx emission 

rates. EPA will also allow certain low mass emissions units to use assumed emissions factors 

together with operational data to calculate emissions.

Estimating Labor Costs

To calculate labor costs, EPA used the following amounts: $84.43 per hour for managers, 

$58.00 per hour for technicians and clerical workers. As noted above, these rates were derived 

by using the rates from the previous ICR and updating them with the Employment Cost Index to 

January 2006.

The labor cost to the Agency, $54.65 per hour, was also derived by updating the rate 

Information Collection Activity Mgr. 

$83.43/ 

Hour 

2008

Tech. 

$58.00/ 

Hour 

2008

Respondent 

Hours/Year

2008

Labor 

Cost/Year

2008

Number of 

Respondents

Total 

Labor 

Hours 

2008

Total Cost 

2008

Non-Trading rule units

 1. Read the reporting requirements 1 1 2 $142.43 347 694 $49,423

 2. Revise Title V operating permit 0 1 1 $58 347 347 $20,126

 3. Perform NOx monitoring activities

 Cement Plants

 a. Annual testing 0 160 160 $9280 56 8,960 $519,680

 b. Prepare and submit reports, monitoring plan 

update

10 52 62 $3,860.30 56 3,472 $216,177

 IC Engines

 a. Annual testing 0 140 140 $8,120 291 40,740 $2,362,920

 b. Prepare and submit reports, monitoring plan 

update

10 52 62 $3,860.30 291 18,042 $1,123,347

TOTAL 72,255 $4,291,673

Information Collection Activity $54.65/ 

Hours

2008

Labor 

Cost/Year

2008

Other Direct 

Costs 2008

Total Cost 

2008

§51.122 activities

 1. QA and input data 1,126 $61,535.90 $55,000 $116,535.90
from the previous ICR.

6.1 Tracking, Transferring, and Deducting Allowances

Labor burden and costs for collections associated with tracking and transferring 

allowances are functions of the number of transfers anticipated. Based on number of transfers 

recorded by EPA in 2005, EPA could assume that about 6,200 privately submitted allowance 

transfers will be made each year, 2007 and 2008. 

Affected units have the option of identifying specific serial numbered allowances to be 

deducted by EPA. Based on past experience, EPA assumes that approximately one fifth of all 

affected units will submit an optional allowance deduction form each year. EPA estimates that 

an average of units will be submit the optional deduction forms each year during the period 

covered by this ICR (2007 - 2008).

6.1.1 Estimate of Respondent Burden and Costs for Transfers and Deductions

Exhibit 1 presents the annual burden and costs to participants in allowance transfers and 

deductions. Participants that are not affected units are required to negotiate an agreement to 

designate an authorized account representative and file a new account application; this activity is 

required only one time, prior to or simultaneous with the participant's first transfer of allowances. 

All participants are required to complete and submit allowance transfer information for each 

transfer of allowances. EPA estimates about 10 hours to designate an authorized account 

representative and to open a general account, about 2 hours to prepare and submit information 

for an allowance transfer, and about 3 hours to prepare and submit an optional allowance 

deduction. 

Assuming that 55 participants file new general account applications, 6,200 transfers will be made 

annually, and 500 deduction forms are submitted the burden to respondents will be about 14,450 

hours annually. The cost to respondents will be about $1,020,000 annually.
EXHIBIT 1

ANNUAL RESPONDENT BURDEN/COST ESTIMATES FOR ALLOWANCE TRANSFERS

AND DEDUCTIONS

Tasks Burden Hours 

per Occurrence

Cost per 

Occurrencea

Total 

Burdenb Total Cost

Designate an authorized account 

representative and file new account 

application

 Managerial 3 $253.29 165 $13,930.95

 Technical 7 $406.00 385 $22,330.00

Prepare and submit allowance transfer 

information

 Managerial 1 $84.43 6,200 $523,466.00

 Technical 1 $58.00 6,200 $359,600.00

Allowance deduction form (optional)

 Managerial 1 $84.43 500 $42,215.00

 Technical 2 $116 1,000 $58,000.00

TOTAL 14,450 $1,019,542.95

a

2006 dollars.

b Assumes 55 participants file new account applications, 6,200 transfers are made, and 500 optional 

deduction forms are submitted.

6.1.2 Estimate of Agency Burden and Costs for Transfers

Agency burden and costs are divided into those costs associated with enhancing a 

tracking system, and those associated with transferring and deducting allowances.

Allowance Tracking System

The allowance system regulations set the general requirements for the tracking system, 

which has been developed by EPA. In order to track allowances, the allowance tracking system 

must include information on (1) allowance allocations for each affected facility, (2) allowance 

transfers and deductions, and (3) allowance holders. EPA has made the information compiled in 

the allowance tracking system publicly available in several formats on the internet and is 

continually working to improve electronic access.

Allowance Transfer System
EPA estimates that it will require an average of one hour for each transfer notification 

submitted on paper. Upon receipt of an optional allowance deduction form, in hard copy, EPA 

will record the data into the EPA data system. This is estimated to take about 30 minutes per 

form. 

Assuming 1,000 (out of the 6,200 total) transfers will be made using paper forms each 

year and 100 (out of the 500 total) deduction submissions will be on paper, the annual burden to 

EPA will be about 1,050 hours. There is no Agency burden when participants use the electronic 

on-line transfer system (also used for the optional deduction submission), since all EPA 

functions are automated. Costs for maintaining the on-line system are included in the O&M 

costs. The total cost to EPA will be about $57,000 annually. Exhibit 2 summarizes the Agency

burden and cost estimates for recording and transferring allowances.

EXHIBIT 2

ANNUAL AGENCY BURDEN/COST ESTIMATES FOR ALLOWANCE TRANSFERS

Tasks

Burden Hours 

Per 

Occurrence

Cost Per 

Occurrencea

Total Burdenb

(Hours) Total Cost

Review allowance transfer information, record 

transfer, and notify transfer participants 1 $54.65 1,000 $54,650.00

Enter deduction data and deduct allowances 0.5 $27.33 50 $2,733.00

TOTAL 1,050 $57,383.00

a

2006 dollars.

b Assumes 1,000 transfers and 100 optional deduction forms are submitted annually.
6.2 Annual Compliance Certifications

EXHIBIT 3

ANNUAL RESPONDENT BURDEN/COST ESTIMATES FOR ANNUAL

COMPLIANCE CERTIFICATION 

Tasks

Burden Hours 

Per 

Occurrence

Cost Per 

Occurrencea

Total Burden 

(Hours) Total Cost

Annual compliance certification reportb

 Managerial

 Technical

1

4

$84.43

$232

700

2,800

$59,101.00

$162,400.00

Common stack allowance Deduction formc

 Managerial

 Technical

0.5

2

$42.22

$116

25

50

$2,111.00

$5,800.00

TOTAL 3,575 $229,412.00

a

2006 dollars.

b Assumes 700 reports covering 2,500 affected units are submitted. 

c Assumes 50 optional common stack allowance deduction forms are submitted.

6.2.1 Respondent Burden and Cost Estimates for Annual Compliance

Each year between October 1 and November 30, annual compliance certification must be 

performed by all affected sources. Each authorized representative must submit one annual 

compliance certification report that includes a list of all affected units he or she represents. In 

addition to the compliance certification report, affected units have the option of specifying the 

proportion of allowances to be deducted from each unit emitting through a common stack or 

pipe. Based on past experience, EPA assumes that approximately 50 sources will submit an 

optional Common Stack Allowance deduction form each year. EPA estimates that an average of 

2,500 units represented by 700 different designated representatives will be affected during the 

period covered by this ICR (2007 - 2008). 

Total respondent burden for annual compliance certification by Phase II affected sources 

is estimated to total 3,575 hours, for a total cost of $229,412. Exhibit 3 presents respondent 

burden and costs for annual compliance certification.

6.2.2 Estimate of Agency Burden and Costs for Annual Compliance

The three primary tasks performed by the Agency during annual compliance certification 

are; reviewing and processing the annual form submissions, calculating and deducting 

allowances, and sending out allowance deduction or reconciliation reports to the source 

designated representatives. Based on the estimated 2,500 affected units, EPA expects the annual 

Agency burden to total 1,375 hours, and cost $65,340. Exhibit 4 presents the Agency's annual 
burden and cost for annual compliance certification.

EXHIBIT 4

ANNUAL AGENCY BURDEN/COSTS FOR ANNUAL COMPLIANCE CERTIFICATION 

Task Burden Hours 

per Occurrence

Cost per 

Occurrencea

Total Burden 

Hours

Total Costs

Review and process annual compliance 

certification submissionsb1 $54.65 700 $38,255.00

Calculate and deduct allowancesb

0.5 $27.33 350 $19,131.00

Send allowance reconciliation reportsb0.5 $27.33 350 $19,131.00

Total 1,400 $76,517.00

a

2006 dollars. 

b Assumes 700 reports covering 2,500 affected units are submitted.

6.3 Obtaining and Issuing Permits

Because the trading program will end after the 2008 ozone season, for the purposes of 

this ICR, EPA assumes that no permit renewals will be required for these sources. 

6.4 Emissions Monitoring Recording and Reporting

This section estimates the paperwork burden and cost of submitting monitoring plans, 

obtaining certification of each monitoring system, conducting monitor quality assurance 

activities, and recording and reporting data from CEM systems (or approved alternatives), and 

other ancillary activities (such as responding to EPA generated error messages, or responding to 

EPA audits).

For monitoring, the burdens differ based on the amount and type of monitoring the unit is 

subject to and the particular subtask of monitoring being conducted. 

Sources have been monitoring and reporting emissions under this program since 2003 in 

most cases. The burden for those sources that are required to follow Part 75 requirements under 

the Acid Rain Program as well as the NOx Budget Trading Program is already included in the 

ICR for the Acid Rain Program. Therefore, only the estimated 400 units that are affected only 

by the NOx Budget Trading Program are included in the monitoring and reporting burden for 

this ICR.

To estimate the burden and/or cost, EPA has relied on the estimates included in the most 

recent Acid Rain Program ICR renewal for labor hour estimates of each activity. In addition, the 
hourly labor rates for managerial, technical and clerical staff reflect the labor rates used in the 

Acid Rain ICR in 2006 dollars, consistent with Agency ICR guidance.

Affected sources are required to complete and submit a monitoring plan and obtain 

certification of each monitor (on standard forms) for each affected unit at the source. These plans 

and certifications, which are only submitted once, have already been submitted for most units. 

Sources, however, may need to submit revised plans or even recertify if they change some aspect 

of their existing plan. New units will still need to submit plans and certifications for the first 

time. In addition, all affected units are required to submit quarterly reports of their emissions 

data to EPA; these reports include much of the basic monitoring plan data as well.

To develop this renewal ICR, EPA relied primarily on the extensive efforts to identify

and calculate burdens for the prior two ICR renewals and the CAIR ICR. 

6.4.1 Estimating Respondent Burden

The primary tasks performed by owners and operators of affected units are (1) reviewing 

the regulations, forms and instructions, (2) responding to EPA generated error messages and 

audits, (3) reprogramming a DAHS and debugging the software, (4) completing and submitting 

monitoring plans for each unit at the source, (5) performing appropriate tests and providing test 

results to certify each monitor, (6) performing quality assurance testing and maintenance upon 

monitors, (7) assuring the quality of emissions data, preparing quarterly reports of emissions 

data, and submitting reports to EPA; and (8) fuel sampling. 

(i) Regulatory Review. 

The estimate for time to review instructions and requirements remains consistent with the 

labor estimates used in previous ICRs (4 manager hours and 4 technician hours) where no 

substantial changes have been made to the Rule. EPA continues to make available online fully

searchable versions of the Part 75 Emissions Monitoring Policy Manual and the Electronic Data 

Reporting Instructions (Versions 2.1 and 2.2), and is in the process of adding a fully searchable 

unofficial version of Part 75 to this integrated search Webpage. In addition, EPA in 2005 posted 

online a text version of its Plain English Guide to Part 75. 

(ii) Response to Error Messages/Audits. 

The EPA provides feedback to sources so that suspected errors in submissions by sources 

are noted and corrected. With the use of the MDC software, EPA believes that the burdens for 

this activity have decreased over time. At the same time, however, EPA has increased its audit 

oversight and expects to conduct a number of electronic and field audits of facilities over the 

next few years. In particular, EPA anticipates making significant use of electronic audits as a 

means to provide continuous data quality improvement. This effort will result in increased 

burdens for respondents. 

(iii) DAHS Debugging.
Each source must purchase (or create) and install computer software designed to 

implement the electronic data reporting (EDR) formats required under the Acid Rain Program. 

EPA anticipates that EPA will promulgate revisions to Part 75 in late 2007 to accommodate 

planned changes in EPA’s data systems that manage the data submitted by respondents. These 

data system changes are necessary to modernize EPA’s data systems, and over time should 

streamline reporting. The costs of the required upgrade are being analyzed in a separate ICR that 

will be issued in conjunction with the Part 75 revisions. For the time period of this ICR, 2007-

2009, no other changes would require a DAHS upgrade and therefore there are no burden hours 

for this activity.

(iv) Monitoring Plans. 

Consistent with the existing ICR, completing and submitting monitoring plans is 

estimated to require an average of about 20 hours per unit initially. For existing units, initial 

monitoring plan submissions will be received prior to the time period covered in this renewal 

ICR, and, consistent with the existing ICR, EPA does not include burden hours for existing units

under this initial monitoring plan development task area during 2007-2009. The burden 

associated with revising the monitoring plan is included in the time for preparing and submitting 

each quarterly emissions report.

For new units, EPA has used an estimated number of new units as a projection for the 

average number of new units expected in 2007-2009. These units have a separate line item for 

initial monitoring plan preparation.

(v) Monitor Certification. 

For existing units, only recertifications are included in the estimated activities for 2007-

2009 The Agency estimates a labor burden of 50 hours and a contractor cost of $3,400 per 

respondent. The cost and burden figures exclude the costs and burdens associated with 

conducting a RATA as part of the recertification process because those costs are incorporated 

within the annual QA costs for previously certified monitoring systems. 

Under Part 75, sources are required to recertify the monitoring systems whenever the 

source makes a replacement, modification, or change in a certified CEMS or continuous opacity 

monitoring system that may significantly affect the ability of the system to accurately measure or 

record the NOx concentration, stack gas volumetric flow rate, NOx emission rate, percent 

moisture, or to meet the QA and QC requirements. Recertification is also necessary whenever 

the source makes a replacement, modification, or change to the flue gas handling system or the 

unit operation that may significantly change the flow or concentration profile. Examples of 

changes which require recertification include: replacement of the analyzer, change in location or 

orientation of the sampling probe or site; and complete replacement of an existing CEMS or 

continuous opacity monitoring system.

For new units, the monitor certification costs are included in the capital/startup costs.

(vi) Quality Assurance. 

Quality assurance (QA) testing and maintenance upon monitoring systems is the largest 

burden item under the monitoring, reporting and recordkeeping requirements for the Acid Rain 
Program. The requirements include daily, quarterly and annual QA requirements, depending on 

the monitoring approach being used. For reporting units that use a full set of CEMS (SO2, flow, 

NOx and CO2), the Agency has developed a per unit labor burden based primarily on information 

gathered from affected sources. For units that also are required to install and maintain a 

continuous opacity monitoring system (COMS) as a result of Part 75, additional labor burdens 

apply. For units that rely on Appendix D excepted methods for SO2 but use a NOx and CO2

CEMS, reduced labor burden estimates apply because the quality assurance activities for the 

excepted methods are less than for a CEMS. The labor burdens for these excepted methods were 

derived primarily from cost estimates provided by a group of affected utilities (see Docket A-97-

35, Item II-D-48). For units that rely on the excepted methods under both Appendix D and E 

(i.e., units without CEMS), the burden estimates are reduced further because no CEMS QA is 

required. For the relatively small number of units that require moisture correction, labor burdens 

for moisture monitoring QA activities have been added based on information supplied by an 

affected utility (see Docket A-97-35, Item II-D-94). 

(vii) Quarterly Reports. 

Tasks performed by utilities in preparing quarterly reports include: (1) assuring the 

quality of the data, (2) preparing the quarterly report, (3) revising the monitoring plan, if 

necessary, (4) preparation of hard copy documentation accompanying the quarterly reports, and 

(5) managerial review. EPA has been improving electronic file transfer procedures over the past 

few years and has been developing automated tools that allow sources to quality assure their 

reports. EPA believes these efforts have reduced the average burdens per report over time. In 

addition, because the program is maturing, the respondents have developed procedures and 

methods to increase their efficiency with reporting. 

6.4.2 Estimating Respondent Costs

Exhibit 7 summarizes the annual respondent costs. The following discussion describes 

how those costs were derived.

(i) Estimating Total Capital and Annual Operations and Maintenance Costs

Capital/start-up costs include the cost of installing required CEMS or alternatives. The 

Agency developed the capital cost estimates for the CEM and other equipment based on EPA 

CEM cost models, existing ICRs, and comments from various affected utilities. The cost 

estimates vary depending on the number and type of monitors that are required. Annualized 

capital cost estimates are included for each of the Models A-F on Exhibit 7. These annualized 

capital costs are from the Rule to Reduce Interstate Transport of Fine Particulate Matter and 

Ozone (Clean Air Interstate Rule) EPA ICR #2152.02. The annualized costs ranged from 

$28,879 for units with a full set of CEMS (Model A), to $18,750 for a unit that uses NOx CEMS 

and Appendix D methods (Model C), to $2,250 for units that use both Appendix D and Appendix 

E methods without any CEMS (Model D). There are no capital/start-up costs for LME units. A 

discussion of how the capital/start-up costs were annualized follows in Section 1.2(iii).

In addition to capital/start-up costs, respondents incur operation and maintenance costs 

(exclusive of labor costs) that reflect ongoing costs to a unit. These costs include both contractor 

costs for the required recertification, diagnostic, and quality assurance (QA) testing, and other 
direct maintenance-related expenses (e.g., spare parts and calibration gases). The cost estimates 

used in this renewal ICR are generally the same as the Rule to Reduce Interstate Transport of 

Fine Particulate Matter and Ozone (Clean Air Interstate Rule) EPA ICR #2152.02, and have been 

derived from EPA CEM cost models, existing ICRs, Agency staff experience under the Acid 

Rain Program, information gathered during development of the 1999 and 2002 Part 75 revisions, 

and supplemental estimates provided by affected utilities and others related to the various cost 

items (see, e.g., EPA Air Docket A-97-35, Item II-D-48). The total cost for these operation and 

maintenance cost items (other than fuel sampling) is estimated at $31,200 for a unit with a full 

set of CEMS, while units that use alternate methodologies have reduced costs. 

Note that testing contractor costs for certification, recertification and annual RATAs also 

are presented as other direct costs and are not converted to equivalent source labor hours. This 

approach is consistent with the common business practice for obtaining outside contractors to 

conduct certification/recertification tests and annual relative accuracy test audits. For initial 

certification, the certification test costs are commonly bundled with equipment purchase 

contracts, according to information provided by a range of CEMS equipment vendors. For 

RATAs that are conducted either as part of the annual quality assurance requirements or as part 

of recertification, industry contacts have indicated that RATA testing is usually performed under 

a fixed price contract basis, except for travel costs that may be billed on an hourly basis beyond 

the basic contract cost. For annual RATAs, the sources indicated that an annual contract between 

a testing company and utility is often used. One municipal utility representative indicated that the 

applicable municipal regulations required that outside contracts be on a flat fee, not hourly, basis.

(ii) Capital/Start-up vs. Operating and Maintenance (O & M) Costs

Capital costs reflect one-time costs for purchase of equipment which will be used over a 

period of years. Conversely, operating and maintenance costs are those costs which are incurred 

on an annual or other scheduled basis. For instance, costs associated with quality assurance 

activities, such as spare parts or contractor costs for work, will be incurred on an annual basis. 

(iii) Annualizing Capital Costs

The relevant capital costs for the emissions trading portion of this ICR were annualized at 

a rate of 7% (i.e., the annualized capital cost was calculated assuming money to purchase the 

capital equipment was borrowed at a 7% annual interest rate). The cost of the loan was 

amortized over the life of the loan to repay original borrowed amount plus interest. The result is 

the annualized capital cost reported.) The annualized cost of the necessary capital purchases 

varies from $2,250 to $ 28,879, per year, per unit, depending on the type of monitoring 

methodology. Exhibit 1 contains a breakdown of annual costs by monitoring methodology. The 

capital costs are from the Rule to Reduce Interstate Transport of Fine Particulate Matter and 

Ozone (Clean Air Interstate Rule) EPA ICR #2152.02.

(iv) Fuel Sampling

To calculate heat input where the source is using the fuel flowmeter option for an oil or 

gas-fired unit, the source must obtain gross calorific value data from sampling in accordance 

with Appendix D of Part 75. For purposes of this ICR, it is assumed that the GCV data would be 

collected as part of standard business operating procedures to assure compliance with contractual

specifications. Thus no additional fuel sampling burdens or costs should be incurred. This is 
consistent with the Rule to Reduce Interstate Transport of Fine Particulate Matter and Ozone 

(Clean Air Interstate Rule) EPA ICR #2152.02.

6.4.3 Estimating Agency Burden and Cost

The tasks that will be performed by EPA include processing, reviewing, and evaluating 

emissions data reports submitted by utilities, and conducting appropriate audit activities to verify

the information provided. Assuming that affected sources will submit 3,537 emissions reports to 

EPA per quarter, the total annual burden incurred by the Agency will be 14,148 hours. The total 

annual cost to EPA for processing, reviewing, and evaluating these quarterly emissions reports 

will be approximately $1,546,376. Exhibit 6 summarizes the Agency burden and costs 

associated with emissions reporting.

6.4.4 Estimating the Respondent Universe and Total Burden and Costs

EPA estimates that: (a) 700 sources will review instructions and requirements; (b) 840 

units (this number excludes sources submitting under the Acid Rain Program) will reprogram 

and debug DAHS computer software; (c) 840 units will submit quarterly reports (only those 

sources not already submitting under the Acid Rain Program); and (d) 840 units will respond to 

EPA generated error messages (of which about 10 units will also respond to EPA audit 

activities), and perform QA testing and maintenance. In addition, EPA estimates that 

approximately 150 non-Acid Rain units will recertify per year. Exhibit 5 shows the total burden 

and total cost based on this respondent universe.
37

EXHIBIT 5

ANNUAL RESPONDENT BURDEN/COST ESTIMATES FOR EMISSIONS MONITORING

INFORMATION COLLECTION 

ACTIVITY Mgr. 

$84.43/ 

Hour

Tech. 

$58.00/ 

Hour

Respondent 

Hrs./Year

Labor

Cost/Year Cont./ O&M Cost

Capital/ 

Startup 

Cost

No. of 

Respondents Total Hours/Year Total Cost/Year

1. Review Instructions and 

Requirements 

4 4 8 $570 $0 $0 700 5,600 $399,000

2. Respond to EPA Generated Error 

Messages, Field Audits

6 18 24 $1,551 $0 $0 840 20,160 $1,302,840

3. DAHS Debugging 4 12 16 $1,034 $0 $0 840 13,440 $868,560

4. New Unit Monitoring Plans 10 10 20 $1,424 $0 $0 25 500 $35,600

5. Recertify Monitors 38 12 50 $3,904 $3,400 $0 150 7,500 $1,095,600

6. Startup/Capital Items and Perform QA Testing and Maintenance

(a) NOx and Flow CEMS 50 480 530 $32,062 $31,200 $28,879 200 106,000 $18,428,200

(b) NOx CEM and Fuelmeter 20 375 395 $23,439 $17,400 $18,750 410 161,950 $24,431,490

(c) App. E and Fuelmeter 5 30 35 $2,162 $1,800 $2,250 230 8,050 $1,428,760

7. Assure Data Quality, Prepare 

Reports (inc. monitor plan update), 

Submit Reports

20 82 102 $6,445 $0 $0 840 85,680 $5,413,800

TOTAL: 408,880 $53,403,850
38
39

EXHIBIT 6 ANNUAL AGENCY BURDEN/COST ESTIMATES FOR EMISSIONS REPORTING

Tasks Quarterly Burden 

Hours Per Report

Quarterly Cost 

Per Reporta

Number of 

Reportsb

Total Burden Per 

Year (hours) (2007-

2009)

Total 

Cost

Process, review, and evaluate 

quarterly report and issue 

feedback letter

2 $109.30 3,360 6,720 $367,248

a Based on an average total compensation rate of $54.65 per hour 

b

Assumes 840 emission data reports each quarter. 

6.8 Summary of Burden Hours and Costs

Exhibit 7 summarizes the annual aggregate burden and cost estimates to respondents for the period of June 

1, 2007 through January 30, 2009 for collections associated with allowance transfers, annual compliance 

certifications, emissions reporting, and non-trading activities. Exhibit 8 summarizes the aggregate burden and 

cost estimates to EPA and for these collections.

6.9 Reasons for Change in Burden

This ICR renewal reflects a few differences from the previous ICR. This section discusses the changes in 

burden since the last clearance. 

Overall, the estimated annual burden in 2005 from the last clearance was 491,739 hours. This ICR 

estimates the annual burden in 2008 will be 499,160 hours, which increases the burden by 7,421 hours. The 

reasons for this burden increase are explained below.

 

All of the change in burden for this collection is due to adjustments. Adjustments stem from actions 

outside the Agency's control. It includes changes to the number of responses and the time it takes to respond to 

a particular activity. The adjustments and corresponding change in burden are as follows.

• The annual number of allowance transfer submissions increased from 2,500 to 6,200. This changed the 

annual burden hours for allowance transfer activities from 5,014 to14,450. 

• Permitting activities and the application for early reduction credits were estimated to require 4,916

burden hours in 2005. These activities are not covered by this ICR, so the burden was reduced to zero.

• An increase in the estimated time required to complete the annual compliance certification lead to an 

increase in the burden hours from 2,878 under the previous ICR to 3,575 for this ICR.
40

• Adjustments slightly increased the annual average burden for monitoring and reporting activities from 

408,115 hours in the previous ICR to approximately 408,880 hours. 

6.10 Burden Statement

The respondent reporting burden for this collection of information is estimated to be 426,905 and 499,160

hours respectively for the years 2007 and 2008. The burden to EPA is estimated to be 9,170 and 10,296 hours 

respectively for the years 2007 and 2008. The burden to the States is 17,402 hours in 2008.

The annual public reporting and recordkeeping burden for this collection of information is estimated to 

average 41 hours per response. 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. 

To comment on the Agency's need for this information, the accuracy of the provided burden estimates, 

and any suggested methods for minimizing respondent burden, including the use of automated collection 

techniques, EPA has established a public docket for this ICR under Docket ID Number EPA-HQ-OAR-2006-

0947, which is available for online viewing at www.regulations.gov, or in person viewing at the Air and 

Radiation docket in the EPA Docket Center (EPA/DC), EPA West, Room B102, 1301 Constitution Avenue, 

NW, Washington, D.C. The EPA Docket Center Public Reading Room is open from 8:30 a.m. to 4:30 p.m., 

Monday through Friday, excluding legal holidays. The telephone number for the Reading Room is (202) 566-

1744, and the telephone number for the Air and Radiation docket is (202) 566-1742. An electronic version of 

the public docket is available at www.regulations.gov. This site can be used to submit or view public 

comments, access the index listing of the contents of the public docket, and to access those documents in the 

public docket that are available electronically. When in the system, select “search,” then key in the Docket ID 

Number identified above. Also, you can send comments to the Office of Information and Regulatory Affairs, 

Office of Management and Budget, 725 17th Street, NW, Washington, D.C. 20503, Attention: Desk Officer for 

EPA. Please include the EPA Docket ID Number EPA-HQ-OAR-2006-0947 and OMB Control Number 2060-

0445 any correspondence.
41

EXHIBIT 7

AGGREGATE ANNUAL RESPONDENT BURDEN AND COST OF COLLECTIONS (2007-2008)

Program

2007 Total Burden 

(Hours)

2008 Total Burden 

(Hours) 2007 Total Costsa

2008 Total Costsa

Allowance transfers and deductions 14,450 14,450 $1,019,542.95 $1,019,542.95

Annual Compliance Certification 3,575 3,575 $229,412.00 $229,412.00

Emissions reporting 408,880 408,880 $53,403,850.00 $53,403,850.00

Non-Trading Rule Units N/A 72,255 N/A $4,291,673

TOTAL 426,905 499,160 $54,652,805.95 $58,944,477.95

a

2006 dollars.
42

EXHIBIT 8

AGGREGATE ANNUAL AGENCY BURDEN AND COST OF COLLECTIONS (2007-2008)

Program

2007 Total Burden 

(Hours)

2008 Total Burden 

(Hours) 2007 Total Costsa

2008 Total Costsa

Allowance transfers and deductions 1,050 1,050 $57,383.00 $57,383.00

Annual Compliance Certification 1,400 1,400 $76,517.00 $76,517.00

Emissions reporting 6,720 6,720 $367,248.00 $367,248.00

Non-Trading Activities N/A 1,126 N/A $116,535.90

TOTAL 9,170 10,296 $501,148.00 $617,683.90

a

2006 dollars
43
44

Appendix A: NOX Budget Trading Program Forms and Instructions