UNITED STATES ENVIRONMENTAL PROTECTION AGENCY REGION 6 1445 ROSSAVENUE, SUITE 1200 DALLASTX75202-2733 

## DEC 

## 22 2010 MarkR. Vickery, P.G. Executive Director Texas Commission on Environmental Quality Post Office Box 13087 Austin, Texas 78711-3087 DearMr. Vickery: Thank you for yourletter dated November 10,2010, informing the U.S. Environmental Protection Agency (EPA) that the Texas Commission on Environmental Quality (TCEQ) plans to withdraw its System Cap Trading (SCT) Program from EPA consideration and will propose a rulemaking to repeal the program. We understand that it maynotbe possible to take this action by December 31, 2010. EPA proposed disapproval ofthe SeTprogram on November 18, 2010, in orderto satisfy our original consentdecree obligations with the Business Coalition for Clean Air (BCCA) Appeal Group, Texas Association ofBusiness, and Texas Oil and Gas Association (see 75 FR 70654). On December 17,2010, EPA filed amotion with the Courtto extend the consent decree deadline for the SCT Program to May 30,2011 (see enclosure). We expect that TCEQ will complete the repeal and withdrawal from ourconsideration ofthe SCT Program within the revised timeline. IfTCEQ formally withdraws the SCT Program from ourreview before the May 30,2011 deadlinehas passed, EPA will formally withdraw ourproposed disapproval ofthe program. However, ifTCEQ is unable to complete the necessary rulemaking activities within this extended window, EPA will finalize ourdisapproval in order to satisfy ourrevised consent decree obligations. Ifyou have any further questions, please contactme at (214) 665-2100, or your staffmay contactMr. leffRobinson ofmy staffat (214) 665-6435.

Al Armendariz Regional Administrator
Enclosure

Internet Address (URL) • http://www.epa.gov/region6 Recycled/Recyclable. Printed with Vegetable Oil Based Inks on 100% Recycled Paper, Process Chlorine FreeCase 3:08-cv-01491-N Document34 Filed 12/17/10 Page 1 of 3 Pagel

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IN THE UNITED STATES DISTRICT COURT FOR THE NORTHERN DISTRICT OF TEXAS DALLAS DIVISION

v. Plaintiffs,

Defendants. BCCA APPEAL GROUP, et al.
No.3:08-CV-I49I-G UNITED STATES ENVIRONMENTAL PROTECTION AGENCY, etal. ------------) ) ) ) ) ) ) ) ) ) ) )

NOTICE OF MODIFICATION TO CONSENT DECREE Defendant United States Environmental Protection Agency ("EPA") hereby notifies the Court that pursuant to Paragraph 5 ofthe Consent Decree entered inthis case on January 21, 2010 ("Decree"), the parties have entered a written agreement providing for an extension ofthe date by whichEPA shall take final action On the SIP submission entitled "System Cap Trading Program (Chapter 101, Sub H, Division 5) (Rule Project No. 2000-046-101-AI)." Under Paragraph 3 and Exhibit 1 ofthe Decree, EPA was required to take action onthis submission by December 31, 2010. On December 17, 2010, the parties agreed to a modification that requires EPA to take action on this submission by May 30, 2011. This modification changes only the date for performance ofthe specified action, and does not modifY any other aspect ofthe Decree. Dated: December 17, 2010 Respectfully submitted, 1GNACIA S. MORENO Assistant Attorney General Environment & Natural Resources Division lsiAngeline Purdy 1Case 3:08-cv-01491-N Document 34 Filed 12/17/10 Page 2 of 3 PagelD 453

ANGELINE PURDY Environmental Defense Section U.S. Department ofJustice P.O. Box 23986 Washington, D.C. 20026-3986 Street address: 60I D Street, NW, Suite 8000 Washington, D.C. 20004 Tel: (202) 514-0996 Fax: (202) 514-8865 Email: angeline.purdy@usdoj.gov OfCounsel ScottJordan Office ofGeneral Counsel U.S. Environmental Protection Agency 1200 Pennsylvania Avenue, N.W. Washington, D.C. 20004 Joshua Olszewski Office ofRegional Counsel U.S. Environmental Protection Agency

- Region 6 1445 Ross Ave. Dallas, TX 75202-2733

2Case 3:08-cv-01491-N Document 34 Filed 12/17/10 Page 3 of 3 PagelD 454

CERTIFICATE OF SERVICE I hereby certify that on December 17, 20I0, I electronically filed the foregoing document with the clerk ofcourt for the United States District Court for the Northern DistrictofTexas using the electronic case filing system ofthe court. The electronic case filing system sent a "Notice ofElectronic Filing" to the following attorneys ofrecord:
Van H. Beckwith van.beckwith@bakerbotts.com Matthew L. Kuryla matthew.kurvla@bakerbotts.com ScottJanoe scott.janoe@bakerbotts.com lsiAngeline Purdy ANGELINE PURDY Trial Attorney



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