INFORMATION COLLECTION REQUEST RENEWAL

FOR THE NO X 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 R

ule (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 rule s were vacated by the Court.



# DRAFT March 3, 2010INFORMATION COLLECTION REQUEST RENEWAL

FOR THE NO X 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 co ntrol regional transport of ozone season NO x 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 directl y 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 thi s rule. This I CR 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 strongl y 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 capacit y 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 requirem ents 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 tra ding program are specific to the trading program and will often be discussed here under separate headings. States are required to report data annuall y for those point, area, nonroad mobile, and highway mobile sources for which they adopt control measures to meet their NO x SIP call requirements. These annual reports must include ozone season NO x emission inventories. States which must comply

in 2003 must report a statewide inventory of all NO x sources every 3 ye ars starting in the ye ar 2003 for the 2002 i nventory

. While the States are expected to use their existing emission inventory data collection and electronic reporting mechanisms for submittingthe data to EPA, some modifications will be necessary to account for the reporting of ozone season emission s 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 all ow 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 regulati ons 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 representativ e 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 sy stem has been installed and is properl y operated at each affected unit's source of emissions.
Allowance Transfers Participants in the allowance transfer s ys tem now have two options for submitting transfers: to submit electronically using the internet to record their own allowance transfers, either b y entering the dat a on screen or b y submitting an XML file; or complete a paper form and send it the Agency . Participants in the transfer s ys tem that are not affected sources under Title IVare also be required to file a one time account information application using a pap er 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 allow ances 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 quarterl y 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 o f very

- low

- sulfur fuel.
Submissions Purposes and Procedures Allowance transfer notifications may be submitted to EPA electronicall y or on paper. Emissions reports must be submitted electronically. All Phase II permit applications must be submitted on p aper. The allowance transfer submittal is used to record allowance transfers for compliancepurposes and to track the disposition of all allowances in the s ys tem. Applications for

allowances from the Energy Conservation and Renewable Energy Reserve prov ide 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 und er 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 affect ed units. Monitoring plan submissions are used b y EPA to verify that the emissions monitoring sy stem at a unit meets the requirements set forth in Title IV of the Act and in the implementing regulations. Results of continuous emission monitoring s ys tem 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 anal yz ing 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

in stalled 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 o r 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 sy stem is based. EPA will use the data contained in the reports to verify actua l emissions. Without accurate monitoring and reporting of emissions, the integrit y of the allowance s ys tem 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 sy stem, (2) record hourly

emissions data, and (3) submit reports of their emissions data to EPA. (v) Year

- end Compliance Certificati ons 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 s ys tem will be required to complete and submit an allowance transfer form for each allowance transfer. Participants in the transfer s ys tem that are not affected sources, such as allowance b rokers, 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 S ys tem (ATS). The respondent reporting burden for this collection of information is estimated to be 1,971,276 hours each ye ar for the ye ars 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 I CR re newal.
None.
2. NEED FOR AND USE OF THE COLLECTION This section describes EPA's need for the information collections described above and the legal authorit y 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 properl y its evaluation of each State’s compliance with its ozone season NO x emissions budget. The legal authority for the rep orting requirements resides in Sections 110(a) and 301(a) of the Clean Air Act. Specificall y, the requirement in Section 110(a)(2)(D) that SIPs include “adequate provisions” to mitigate certain transport effects on other States implicitly authorizes emiss ions inventory

reporting to EPA, as needed and appropriate to verify that a State is in fact meeting its NO x budget. Section 110(a)(2)(F) provides additional authority for requiring that SIP call submissions include provisions for emissions reporting by s ources 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 th e effect of NO x 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 budgetand to assure the downwind affected States and EPA that the ozone transport problem is bein g

mitigated. If tracking and periodic reports indicate that a State is not implementing all of its NO x control measures beginning in 2003, for those States voluntarily choosing early

compliance or 2004 for other States, or is off track to meet its state wide budget b y 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. Noncomplian ce with the NO x transport SIP may lead EPA to make a finding of failure to implement the SIP and potentiall y to implement sanctions, if the State does not take corrective action within a specified time period.
The EPA will use data from the 2007 invento ry and beyond to assess how each State's SIP actuall y performed in meeting the statewide ozone season NO x emissions budget. If emissions exceed the required budget in an y ye ar after 2006, the control strategies in the SIP will need to be strengthened. Th e 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 b y EPA to is sue 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 delay s at EPA. Affected sources may rel y on the permit for information on the requirements with which they must compl y. Because permit applications and permits will be public documents, they

may be used b y the public to examine activities undertaken b y affected sources. (ii) Emissions Monitoring Data from emissions monitoring is indispensable to successful implementation of the NO x Trading Program for two reasons:• The primary p urpose of the NO x Trading Program is to assist States in the attainment of the ozone national ambient air quality s tandards (NAAQS) by r educing the adverse effects of the transport of ozone and ozone precursors from upwind States by r educing annual emissions of nitrogen o xides; and

• EPA can onl y enforce the program by c omparing, 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 veri fy that the monitoring plan for the unit continues to be accurate. (iv) Allowance Transfers and Tracking
In formation collected on allowance transfers will be used by EPA or its designated agent to track allowances for the purpose of determining compliance with the NO x Trading Program. In formation on allowance transfers will also be used by participants in the allowance market and the public to evaluate the activities of affected sources, and b y EPA for program evaluation. Together, the allowance trad ing s ys tem, operating permits, and emissions data will help to provide the accountability to allow the NO x 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 inv entories, some additional reporting will be required. The EPA requires that States report annuall y data for all point sources that are part of a control measure that was adopted for purposes of meeting the NO x budget. If States act in accordance with OTA G recommendations for setting the emissions budgets, the sources controlled will all be point sources emitting  100 tons per y ear (tp y) of NO x . The 100 tpy threshold is consistent with the NO x reporting threshold for the existing annual emission inventory . However, the rule does allow States the option of defining the NO x 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 subjec t 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 i n the point, nonroad mobile, or highway mobile source inventories. The EPA requires that the State report annually area source NO x emissions for only those stationary

area source categories for which the State adopts control measures for the purpose of me eting its NO x budget. For nonroad mobile and highway mobile sources, the EPA requires that the State report annually NO x emissions for only

those source categories for which the State adopts control measures that are more stringent than Federal measures f or the purpose of meeting its NO x 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 NO x budgets. However, if one or more States do adopt s uch measures, annual reporting of emissions will be necessary to track the States’ progress toward meeting their NO x budgets. The rule contains a requirement for States to report statewide point, area, nonroad mobile, and highway

mobile source NO x emissi ons data every 3 years starting with the inventory year 2002. The data reported would be ozone season emissions data for each third y ear and would include data from all source categories in the State regardless of whether sources are being controlled to m eet a NO x budget. This 3

- ye ar 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 int egrate the reporting requirements for the NO x 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 NO x 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 quarterl y reporting requirements, only one submission will need to be made on a quarterly basis.3(b) Public Notice Required Prior to IC R Submission to OMB

For the renewal ICR, a public notice was published in the Federal Register on December 6 , 200 6 on availability

of the draft supporting statement for the ICR renew al. 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

- 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 Ave., NW, Washingt on, 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 ty

pe 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 NO x 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 generall y 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 de gree of reporting rigor should be directly related to the sectors that the State chooses to control in its NO x transport strategy . Reporting every 3 years was considered feasible for all source sectors. Reporting on an annual basis was considered both ac hievable and necessary for all source sectors that a State chooses to regulate specifically for the purpose of meeting the SIP call NO x budgets. This would include all NO x sources within the State which are subject to measures included b y 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 eas y access to the data b y all parties. The reporting require ments 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 comment s 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 NO x Trading Program have been developed using b oth themethodology found in existing trading programs as well as consultations with interested parties. EPA considered the strategy taken in the OTC's NO x 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 s ys tem. Prior to proposing the ICR for the FIP rule , EPA also held two public workshops in 1997, lasting two day s 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 tho se comments into the proposed I CR 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 capi tal costs, CEM operation and maintenance costs, fuel meter capital costs, and CEM/fuelmeter testing costs. That information has been used in this I CR 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 NO x budgets, EPA would not be able to verify that NO x emission reductions necessary to meet each State’s NO x emission budget were being achie ved. In addition, a triennial report of all NO x sources statewide is vital in enabling EPA to track States’ progress towards meeting the NO x budgets. Because the NO x 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 o f allowances. If this information collection were not carried out annually for sources being controlled to meet the NO x budgets, EPA would not be able to verify

that NO x emission reductions necessary to meet each State’s NO x emission budget were being ach ieved. Because the NO x budgets prescribed have been deemed essential in order for downwind States to attain the NAAQS in a timely manner, data collected less frequentl y would be of little or no use. Quarterl y collections of emissions data allows the opp ortunity to check data for errors and provide rapid feedback on needed adjustments to data collection s ys tems, and thereby promotes accurate and reliable emissions data. For this same reason, existing federal and state emission monitoring programs often r equire quarterly reporting, or in some cases, monthly . Less frequent collection, such as semi

- annuall y or annually , would increase the amount of preparationand review time at the end of the reporting period both for regulated sources and for EPA. This

w ould slow down the process for the verification of compliance. As an option for this program, EPA will allow for ozone season reporting instead of quarterl y reports for the entire calendar ye ar. Under this option, units would only be required to submit two reports per ye ar (covering the second and third calendar quarters). However, because the Agency

believes that full

- ye ar quarterl y reporting will be beneficial for both the source and the Agency , this ICR assumes all units will elect to comply with the standard quarterl y reporting requirement. 3(e) General Guidelines This I CR does not violate any of OMB’s guidelines for information collections. 3(f) Confidentiality As requi red b y 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 “State

sensitive” by

EPA. The potentially

State

- sensitive items include the following: Process rate, boiler design capacit y, emission estimation codes, percent space heat, operating rate, and maximum operation rate/hour. Where Federal and State requ irements are inconsistent, EPA Regional Office should be consulted for final reconciliation. 3(g) Sensitive Questions
Not applicable. T his information collection does not ask an y 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 NO X Budget Trading Program, the data i tems 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 I CR wi ll be submitted by the State air pollution control agencies for which NO x 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 analy sis 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 Wiscons in.SI C would be 9511

- Air and W ater Resource and Solid W aste Management [NAI CS 92411 Administration fo Air and Water], which includes government environmental protection a nd control agencies, as well as pollution control agencies.
This I CR also estimates a burden for affected industry sources to monitor NO x mass emissions and demonstrate compliance with NO x control measures. Sources may report data directly to EPA if a s ource 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 NO x emissions budgets for 2007. Electric utili ty combustion sources are generall y cl assified as either SI C 4911

- Electric Services, or 4931

- Electric and Other Services Combined [NAICS 221112 Electric Power Distribution]. Cement kilns fall primarily

under SI C 327

- Concrete, Gypsum, and Plaster Pro ducts ) [NAI CS 3273 Cement Manufacturing and 3274 Gy psum 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., SI C Maj or Groups 29

- 40 [NAICS 31

- 33 Manufacturing]. In addition, States have the option of controlling area, nonroad mobile, and highway mobile NO x sources for meeting their NO x budgets. However, States have not chosen to control these sources. The Agency's ac tion under Phase II is expected to eventuall y also impose additional, non

- trading program requirements on internal combustion engines (potentially

applicable in a variet y of industries, with significant number in SI C 492

- Gas Production and Distribution [ NAI CS 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 NO x 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 NO x emissions inventory

for the year 2005 wo uld 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 rep orting of annual emissions while the NOx SIP call §51.122 requires reporting onl y 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 currentl y reported to EPA.Point sources

For NO x point sources controlled for purposes of meeting the NO x budgets, States must annually report the foll owing 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 S ys tem (FIPS) code County FIPS code Fe deral ID code (plant) Federal ID code (point) Federal ID code (process) Federal ID code (stack) Site name Phy sical address Source Classification Code (SCC) Pollutant code Work weekday

emissions Fuel heat content (annual) Activity throughput (annual) Emissi on 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 appl y every 3 years (triennially), starting for the inventory year 2002 (or 2005 for area s with a 2004 compliance date) . For these years, S tates must submit a statewide NO x 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 velocityExit gas flow rate

Standard Industrial Classification (SI C) Boiler/process throughput design capacity Maximum design rate Maximum capacity Primary control efficiency Secondary

control efficiency Contro l device ty

pe Area sources The following lists the data elements States must report annuall y for area sources controlled for the purpose of meeting the NO x budgets. States must report these same data elements for all area sources in their statewide tri ennial 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 effic iency

(%) 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 annuall y for highway mobile and nonroad mobile sources controlled for purposes of meeting the NO x budgets. States are required to report annuall y for thos e 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 startin g in 2002 (or 2005), and for 2007. The new data items are identified with an asterisk (*). Inventory Year State FIPS Code County FIPS CodeSCC

Pollutant code Summer work weekday

emissions Emission factor Activity2 Ozone season emissions* Source of emissi on 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 y ear. Emission estimates representing this period are required in order to demonstrate that the reductions required b y 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 fiel ds for providing the source of fuel heat content data, source of emissions data, source of emission factor, and source of activit y throughput data will also assist EPA in their NO x 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 NO x 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 compl y with existing SIP recordkeeping and data availability

requireme nts 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 as sociated with this I CR 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 f ields 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 b y which to estimate stationary area source NO x emissions for triennial statewide reporting requirements [to comply with §51.122(b)(2), (3)];

• Develop allocation for estimating count y - level vehicle miles traveled (VMT) from Stat e - 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 I CR include:

• Read the reporting requirements of the rule;

• Revise Title V permit to incorporate NO x monitoring [§51.121(h)(1)]; and

• Install and perform testing to certify NO x CEMS or other approved monitoring sy stem [§51.121(h)(1)]. 3
Annual State burden items associated with this ICR include:

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

• Notify

the appropriate EPA Regional Office when submitting an annual, triennial, and 2007 NO x inventory

[§51.122(h)]; and

• Submit electronic NO x budget emissions report [§51.122(b)(1)].
The annual burden items for industry associated with this I CR include:

• For units subject to Title IV monitoring requirements, reporting compliance information to a State or EPA [§51.121(h)(1)].

• For units not alread y subject to Title IV monitoring requirements:

• Perfo rm general operations and maintenance activities (e.g., quality assurance testing, calibrations, cylinder gas audits)[§51.121(h)(1)]; and

3 Ty pically , the initial CEMS certification testing, as well as annual relative accuracy testing, are performed as part of a fixed price contract. However, for the purpos es of this analy sis, 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)].
Triennia l 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 st atewide NO x 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 requ ested from affected sources for the collections described in this I CR. 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 onl y appl y 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 NO x authorized account representative and (if desired) alternate NO x authorized account representative. This documentation, found in 40 CFR § 96.13, must include:

 Id entification of the source and unit,

 Name and contact information for the NO x 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 NO x auth orized 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 Novemb er 30 of each ye ar, the NO x 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: Id entification of each unit,

 Serial numbers of each NO x 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 c ertification, 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 NO x emissions have been monitored and reported appropriatel y, 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 NO x mass emissions, and record and report emissions data using the requi rements 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 hourl y operational, pollutant monitor, and flow monitor data for each affected unit and submit quarterl y reports of their emissions data to EPA. Appendices A and B to this ICR contain a list of the data items required b y the recordkeeping and reporting provisions of Part 75.
R espondents are required by 40 CFR 75.64 to submit the quarterl y NO x 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 re cords are to be kept for three ye ars, with one possible exception under a voluntary option for fuel flowmeter calibration testing. For purposes of the NO x Trading Program, EPA currentl y is not requiring electronic submission of reports, but intends to do so after finalizing proposed revisions to Part 75. For purposes of this I CR, 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) Respond

ent Activities The primary

tasks that will be performed b y 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 hourl y emissions data (this activity generall y is performed electronically); (4) operation and maintenance activities associated with the m onitoring, including quality assurance activities; (5) assuring data qualit y, preparing quarterly reports of emissions data and submitting these reports to EPA; and (6) responding to error messages generated b y EPA. In addition, respondents will have to p urchase the necessary monitoring hardware and purchase the electronic data reporting software (or software upgrades).

5. THE INFORMATION COLLECTED
-- AGENCY ACTIVITIES, COLLECTION METHODOLOGY, AND INFORMATION MANAGEMENTThe first part of this section describes Agency (EPA) activities related to the acquisition, anal ys is, 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) NO X permitting. The second part describe s the information management techniques emplo yed to increase the efficiency of collections. The third part discusses the burden or benefits of the collection activities described in this I CR to small entities. The last part outlines the schedule for coll ecting 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 inve ntory 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 NO x budget; 4. Review summary report of statewide NO x 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 NO x Trading Program include (1) maintenance and administration of the allow ance tracking s ys tem (NATS), (2) reviewing permit applications, (3) reviewing monitoring plans and certification applications, (4) processing, reviewing and evaluating reports of quarterl y 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 NO x budget and creating a summary report of statewide NO x emissions every

three ye ars. EPA will use a computer sy stem called the Emiss ions Tracking Sy stem (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 c ontinuall y 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: ht tp://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 su bmit the data directl y to EPA. This option will be available to an y 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) format s used for Part 75 reporting be used to submit the information collected for the NO x 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 sy stems and associated databases have been developed to (1) track allowances, (2) record quarterl y emissions monitoring data, and (3) calculate the number of allowances to be deducted each ye ar. EPA also has made available an On

- line Allowance Transfer Sy stem to pe rmit online allowance transfers and allowance account maintenance activities. The sy stems and databases are designed to coordinate the information for eas y access and use b y the Agency, states, regulated community, and the public.
The EPA also has establ ished 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 emi ssions 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 c ontrol 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 ty pe 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 NO x Trading Program only includes fossil fuel

- fired units (stationary boilers, combustion turbines, and combined cycle s ys tems) 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 capac ity 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 NO x Trading Program. The first provides for reduced mon itoring 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 f

uel oil and that emit no more than 50 tons of NO x 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 significantl y simplified for these units. The second exception provides an exemption for units that restrict NO x mass emissions to less than 25 tons during the ozone season. To be eligible, the unit must accept a federally

enforceable operating hour permit limit. Th e unit would calculate the operating hour restriction by dividing 25 tons by

the unit's maximum potential hourly NO x 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 Analy sis (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 NO x sources for which States adopt control measures to meet their NO x budget. Every 3 years, starting for the inventory year 2002 for those States requiring compliance in 2003, statewide NO x inventories of all contr olled 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 NO x emissions inventory for the ye ar 2005 would be required b y December of 2006).
6. ESTIMATING THE BURDEN AND COST OF COLLECTIONS

6(a) Estimating Respondent BurdenThe 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 requir ed to update for point sources (area codes, addresses, or other phy sical parameters) do not change often, the updating of more than 90 percent of all source records is minimal and ty pically 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 b y 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 specifical ly for the purpose of meeting the NO x budget. This could be an incremental burden to States each ye ar. However, no burden was estimated for States to annually report area, nonroad mobile, or highway mobile source emissions to EPA for y ears that do not co incide with the existing 3

- ye ar cycle inventory . This is because OTAG modeling results indicate that States will most likely control large stationary

NO x emission sources rather than area, nonroad mobile, or highway mobile emission sources to meet their N O x 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 requi red 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

- ti me 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 activit y 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 NO x emissions from stationary area sources . Area source NO x 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 count y - level activ ity indicators (e.g., population, employ ment, forest acreage) to allocate activity

data t ypi cally

available at the State level to the count y level. It will also be necessary to account for any

controls or seasonal restrictions that would impact NO x emissi ons. The average respondent time to develop the procedures to predict county - level area source NO x 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 wi ll be necessary for States to prepare a procedure for estimating count y - 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 Monit oring Sy stem (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 one

t ime burden for performing these activities was estimated to take 40 technical hours and 2 managerial hours. Lastl y, 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 sta ff (i.e., 4 hours annualized over the 5

- ye ar permit cycle).
Annual Activities Annual State burden items associated with this ICR are as follows. States must notify the appropriate EPA Regional Office when s ubmitting an annual or triennial NO x inventory . This activity was estimated to take one hour per ye ar for managerial staff. An additional one hour per ye ar was estimated for technical staff to prepare and submit an electronic NO x emissions budget report. Most of the data collection activities associated with the annual inventory are alreadybeing 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 y ear for technical staff and one hour per ye ar for managerial staff.

Triennial Activities Every 3 years, States are required to submit ozone season emi ssions data for all point, area, nonroad mobile, and highway mobile sources of NO x 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 NO x stationary area source, nonroad mobile source, and highway mobile source inventories every 3 ye ars. Under the existing periodic SIP inventory requirements, emissions from these sectors were onl y 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 activit y 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 (2 40 technical hours; 12 managerial hours); and

 For highway

m obile 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 NO x emissions for submittal to EPA. A small burden was estimated for States to account fo r sources that have been reporting directl y 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 sourc e - 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 200 8 . Table 6

- 1 presents th e State burden hours and costs by activity for 2008 . Table 6

- 2 present s 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 A ctivity 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 A ctivities 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 8 9 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 cyc le 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 $11,6 55 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, a nd 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

TOTA L 17,402 $541,138Table 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 provi ded by affected utilities in comments to the Agency , and estimates based on the Agency 's experience in implementing the existing trading programs. The NO x Trading Program requires all affected sources to install a NO x emission rate (or concentration) CE M and a flow CEM (or approved alternative). Affected gas

- and oil

- fired units may elect to use a NO x 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 N O x 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 Employ ment Cost Index to January 2006. The labor cost to the Agency , $5 4.65 per hour, was also derived by updating the rate Information Colle ction A ctivity 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 rep orts, 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 A ctivity $ 54.65 / Hours 2008 Labor

Cost/Year 2008 Other Direct

Costs 2008 Total Cost

2008 §51.122 activities 1. QA and i nput data 1 ,126 $ 61,535.90 $55,000 $ 116,535.90from 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 b y EPA in 2005, EPA could assume that about 6,200 privatel y 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 b y 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 op tional deduction forms each ye ar during the period covered b y 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 onl y 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 ge neral 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 annuall y. The cost to respondents will be about $1,020,000 annually.EXHIBIT 1

ANNUAL RESPONDENT BURDEN/COST ESTIMATES FOR ALLOWANCE TRANSFERS AND DEDUCT IONS Tasks Burden Hours per Occurrence Cost per

Occurrence a 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 $2 2,330.00 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 TO TAL 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 s ys tem, and those associated with transferring and deducting allowances. Allowance Tracking System The allowance s ys tem regulations set the general requirements for the tracking s ys tem, which has been developed by EPA. In order to track allowances, the allowance tracking s ys tem must include information on (1) allowance allocations for each affected facility , (2) allowance transfers and deductions, and (3) allowance h olders. EPA has made the information compiled in the allowance tracking s ystem publicly available in several formats on the internet and is continually

working to improve electronic access.
Allowance Transfer SystemEPA 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 s ys tem. This is estimated to take about 30 minutes per form.
Ass uming 1,000 (out of the 6,200 total) transfers will be made using paper forms each ye ar 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 u se the electronic on - line transfer s ys tem (also used for the optional deduction submission), since all EPA functions are automated. Costs for maintaining the on

- line s ys tem are included in the O&M costs. The total cost to EPA will be about $57,000 annual ly . 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

Occurrence a Total Burdenb

(Hours) T otal 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 TO TAL 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

Occurrence a Total B urden

(Hours) Total Cost Annual compliance certification report b 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 TO TAL 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 Est imates for Annual Compliance Each ye ar between October 1 and November 30, annual compliance certification must be performed b y all affected sources. Each authorized representative must submit one annual compliance certification report that includes a li st 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 pa st experience, EPA assumes that approximately 50 sources will submit an optional Common Stack Allowance deduction form each ye ar. EPA estimates that an average of 2,500 units represented by 700 different designated representatives will be affected during the period covered b y this I CR (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 b y 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 annualburden and cost for annual compliance certification.

EXHIBIT 4 ANNUAL AGENCY BURDEN/COSTS FOR ANNUAL COMPLIANCE CERTIFICATION

Task Burden Hours per Occurrence Cost per

Occurrence a Total Burden

Hours Total Cost s Review and process annual compliance certification submissions b 1 $54.65 700 $38,255.00 Calculate and deduct allowances b 0.5 $27.33 350 $19,131.00 Send allowance reconciliation reports b 0.5 $27.33 350 $19,131.00

Total 1,400 $76,517.00

a 2006 dol lars. 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 I CR, EPA assumes that n o 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 s ys tem, conducting monit or quality assurance activities, and recording and reporting data from CEM sy stems (or approved alternatives), and other ancillary

activities (such as responding to EPA generated error messages, or responding to EPA audits). For monitoring, the burdens dif fer based on the amount and ty pe 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 onl y by the NO x Budget Trading Program are included in the monitoring and reporting burden for this I CR. To estimate the burden and/or cost, EPA has relied on the estimates included in the most recent Acid Rain Program I CR renewal for labor hour estimates of each activ ity . In addition, thehourly

labor rates for managerial, technical and clerical staff reflect the labor rates used in the Acid Rain I CR in 2006 dollars, consistent with Agency I CR 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 onl y 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 Resp ondent 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 quarterl y 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 I CRs (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 ov er 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 reporti ng (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 sy stems that manage the data submitted by respondents. These data sy stem changes are necessary to modernize EPA’s data s ys tems, and over time should streamline reporting. The costs of the required upgrade are being anal yz ed in a separate ICR that will be issued in conjunction with the Part 75 revisions. For the time period of this I C R, 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 I CR, 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 quarterl y emissions report. For new units, EPA has used an estimat ed 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 inclu ded 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 recerti fication process because those costs are incorporated within the annual QA costs for previousl y certified monitoring systems. Under Part 75, sources are required to recertify the monitoring sy stems whenever the source makes a replacement, modification, or change in a certified CEMS or continuous opacit y monitoring sy stem that may significantly

affect the ability

of the s ys tem to accuratel y measure or record the NOx concentration, stack gas volumetric flow rate, NOx emission rate, percent moisture, or to me et the QA and QC requirements. Recertification is also necessary whenever the source makes a replacement, modification, or change to the flue gas handling s ys tem or the unit operation that may

significantly

change the flow or concentration profile. Exampl es of changes which require recertification include: replacement of the anal yz er, change in location or orientation of the sampling probe or site; and complete replacement of an existing CEMS or continuous opacity

monitoring s ys tem. For new units, the moni tor certification costs are included in the capital/startup costs. (vi) Quality Assurance

. Quality assurance (QA) testing and maintenance upon monitoring sy stems is the largest burden item under the monitoring, reporting and recordkeeping requirements for the Acid RainProgram. 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 (SO 2 , flow, NO x and CO 2 ), the Agency has developed a per unit lab or burden based primarily on information gathered from affected sources. For units that also are required to install and maintain a continuous opacity

monitoring s ys tem (COMS) as a result of Part 75, additional labor burdens apply . For units that rel y on Appendix D excepted methods for SO 2 but use a NO x and CO 2 CEMS, reduced labor burden estimates appl y because the qualit y 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 CE MS 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 b y utilities in preparing quarterl y reports include: (1) assuring the quality of the data, (2) preparing the quarterl y report, (3) revising the monitoring plan, if necessary , (4) preparation of hard copy documentation accompan yi ng the quarterl y reports, and (5) managerial review. EPA has been improving electronic file transfer procedures over the past few ye ars 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 alternati ves. 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 t ype 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 NO x CEMS and Appendix D methods (Model C), to $2,250 for units that use both Appendix D and Appendix E methods without any

CEMS (Mod el 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 la

bor 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 otherdirect maintenance

- related expenses ( e.g. , spare parts and calibration ga ses). 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 IC Rs, Agency staff experience under the Acid Rain Program, information gathered during development of the 1999 and 2002 Part 75 revisions, and supplemental estimates provided b y affected utilities and others related to the various cost items (see, e.g., EP A 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 b y 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 contrac t 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 compan y 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 hourl y, 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 ye ars. 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 I CR 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 annualiz ed cost of the necessary capital purchases varies from $2,250 to $ 28,879, per year, per unit, depending on the t ype of monitoring methodology . Exhibit 1 contains a breakdown of annual costs b y 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 isconsistent 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 Ag ency Burden and Cost The tasks that will be performed b y 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) 8 40 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 Perf orm 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 23 0 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

TO TAL: 408,880 $53,403,8503839

EXHIBIT 6 ANNUAL AGENCY BURDEN/COST ESTIMATES FOR EMISSIONS REPORTING

Tasks Quarterly Burden

Hours Per Report Quarterly Cost

Per Report a Number of

Reports b 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 av erage total compensation rate of $5 4.65 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, 2 007 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 collecti ons. 6.9 Reasons for Change in Burden This I CR 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 I CR estimates the annual burden in 200 8 will be 499,160 hours, which in creases the burden b y 7,421 hours. The reasons for this burden increase are explained below.
All of the change in burden for this collection is due to adjustm ents. 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 in creased from 2,500 to 6,200 . This changed the annual burden hours for allowance transfer activities from 5,014 to 14,450

.

• Permitting activities and the application for earl y reduction credits were estimated to require 4,916 burden hours in 200 5 . The se activities are not covered b y 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 2,8 78 under the previous I CR to 3,575 for this I CR.40 • Adjustments slightly increased the annual average burden for monitoring and reporting activities from 408,115 hours in the previous I CR to approximately 408,880 hours.
6.10 Burden Statement The respon dent 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 respectivel y for the years 2007 and 2008

. The burde n 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 pers ons 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 s ys tems for the purposes of collecting, validatin g, and verifying information, processing and maintaining information, and disclosing and providing information; adjust the existing way s to compl y with any previously

applicable instructions and requirements; train personnel to be able to respond to a coll ection 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 informatio n unless it display s 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 es timates, and an y suggested methods for minimizing respondent burden, including the use of automated collection techniques, EPA has established a public docket for this I CR under Docket ID Number EPA

- HQ

- OAR

- 200 6

- 0 947 , 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 holiday s. 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.r egulations.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 electronicall y. When in the system, select “sear ch,” 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

- 200 6

- 0 947 and OMB Control Number 2060

- 0 445 any correspondence.41 EXHIBIT 7 AGGREGATE ANNUAL RESPONDENT BURDEN AND COST OF COLLECTIONS (2007

- 2008)

Program 2007 Total Burden (Hours) 2008 Total Burden

(Hour s) 2007 Total Costs a 2008 Total Costs a 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 COLLECTI ONS (2007

- 2008)

Program 2007 Total Burden (Hours) 2008 Total Burden

(Hours) 2007 Total Costs a 2008 Total Costs a 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

- T rading Activities N/A 1,126 N/A $116,535.90 TOTAL 9,170 10,296 $501,148.00 $617,683.90

a 2006 dollars4344 Appendix A: NO X Budget Trading Program Forms and Instructions