[Federal Register Volume 63, Number 129 (Tuesday, July 7, 1998)]
[Rules and Regulations]
[Pages 36578-36585]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-17966]


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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[SIPTRAX NO. DC-25-2010a; FRL-6120-3]


Approval and Promulgation of Air Quality Implementation Plans; 
District of Columbia; 15 Percent Plan for the Metropolitan Washington, 
D.C. Ozone Nonattainment Area

AGENCY: Environmental Protection Agency (EPA).

ACTION: Direct final rule.

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SUMMARY: EPA is granting conditional approval of a State Implementation 
Plan (SIP) revision submitted by the District of Columbia (the 
District) to meet the 15 percent reasonable further progress 
implementation plan (15% plan) requirements of the Clean Air Act (the 
Act) for the District's portion of the Metropolitan Washington, D.C. 
ozone nonattainment area. EPA is granting conditional approval because 
the District's enhanced inspection maintenance (I/M) program, which is 
one of the many control measures adopted by the District to achieve the 
15% reduction in volatile organic compounds (VOC), has only been 
conditionally approved, the 15% plan must also be conditionally 
approved. The intended effect of this action is to conditionally 
approve the 15% plan submitted by the District of Columbia in 
accordance with the Clean Air Act.

DATES: This direct final rule is effective on September 8, 1998 without 
further notice, unless EPA receives adverse comment by August 6, 1998. 
If adverse comment is received, EPA will publish a timely document 
withdrawing the rule.

ADDRESSES: Comments may be mailed to David L. Arnold, Chief, Ozone and 
Mobile Sources Branch, Mailcode 3AP21, U.S. Environmental Protection 
Agency--Region III, 841 Chestnut Building, Philadelphia, Pennsylvania, 
19107. Copies of the documents relevant to this action are available 
for public inspection during normal business hours at the Air 
Protection Division, U.S. Environmental Protection Agency, Region III, 
1650 Arch Street, Philadelphia, Pennsylvania 19103. Persons interested 
in examining these documents should schedule an appointment with the 
contact person (listed below) at least 24 hours before the visiting 
day. Copies of the documents relevant to this action are also available 
at the District of Columbia Department of Public Health, Air Quality 
Division, 2100 Martin Luther King Ave, S.E., Washington, DC 20020.

FOR FURTHER INFORMATION CONTACT: Christopher Cripps, Ozone and Mobile 
Sources Branch (3AP21), U.S. EPA--Region III, 1650 Arch Street, 
Philadelphia, Pennsylvania 19103, or by telephone at (215) 814-2179. 
Questions may also be addressed via e-mail, at: 
<a href="/cdn-cgi/l/email-protection#395a4b5049494a175a514b504a4d5649515c4b795c495854585055175c4958175e564f"><span class="__cf_email__" data-cfemail="4221302b3232316c212a302b31362d322a2730022732232f232b2e6c2732236c252d34">[email protected]</span></a> [Please note that only written 
comments can be accepted for inclusion in the docket.]

SUPPLEMENTARY INFORMATION: On April 16, 1998 the District of Columbia 
Department of Health (DoH) submitted a revision to its State 
Implementation Plan (SIP) for the Washington, D.C. ozone nonattainment 
area. The revision consists of a plan to achieve a fifteen percent 
reduction from 1990 base year levels in volatile organic compound (VOC) 
emissions. During the summertime months, VOC emissions contribute 
significantly to the formation of ground level ozone, and many volatile 
organic compounds are also toxic or hazardous air pollutants.

I. Background

    The Washington, D.C. metropolitan area is classified as a serious 
ozone nonattainment area. Section 182(b)(1) of the Act requires ozone 
nonattainment areas classified as moderate or above to develop plans to 
meet specific reasonable further progress, also known as rate-of-
progress (ROP), for the reduction of VOC emissions. Specifically, 
section 182(b)(1) requires a SIP revision to reduce by 1996 VOC 
emissions by fifteen percent from 1990 baseline levels in the area 
while accounting for growth in VOC emissions from 1990 to 1996. These 
``15% plans'' were due to be submitted to EPA by November 15, 1993, 
with the reductions to occur within 6 years (i.e., November 15, 1996). 
The Act sets limitations on the creditability of certain control 
measures towards reasonable further progress. Specifically, states 
cannot take credit for reductions achieved by Federal Motor Vehicle 
Control Program (FMVCP) measures (e.g., new car emissions standards) 
promulgated prior to 1990; or for reductions stemming from regulations 
promulgated pursuant to section 211(h) of the Act to lower the 
volatility [i.e., Reid Vapor Pressure (RVP)] of gasoline. Furthermore, 
section 182(b)(1) of the Act does not allow credit towards reasonable 
further progress for post-1990 corrections to existing motor vehicle 
inspection and maintenance (I/M) programs or corrections to reasonably 
available control technology (RACT) rules, since these programs were 
required to be in-place prior to 1990. In addition to these 
restrictions, a creditable measure must be either in the SIP, result 
from a national rule promulgated by EPA or be contained in a permit 
issued under Title V of the Act. Any measure must result in real, 
permanent, quantifiable and enforceable emission reductions to be 
creditable toward the 15% goal.
    The Washington, D.C. ozone nonattainment area consists of the 
entire District of Columbia, five counties in Northern Virginia and 
five counties in Maryland. Virginia, Maryland and the District all must 
demonstrate reasonable further progress for the Washington, D.C. 
nonattainment area. The Commonwealth of Virginia, State of Maryland and 
the District of Columbia in conjunction with municipal planning 
organizations collaborated on a coordinated 15% plan for the entire 
Metropolitan Washington, D.C. nonattainment area (regional 15% plan). 
This was done under the auspices of the regional air quality planning 
committee, the Metropolitan Washington Air Quality Committee (MWAQC), 
and with the assistance of the local municipal planning organization, 
the Metropolitan Washington Council of Governments (MWCOG), to ensure 
coordination of air quality and transportation planning.<SUP>1</SUP>
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    \1\The Act addresses interstate coordination for inter-state 
nonattainment areas (42 U.S.C. 7504) mainly for nonattainment 
planning. Because the interstate air quality planning organization 
involved, the MWAQC, meets the requirements of section 174 of the 
Act, EPA believes all interstate coordination requirements have been 
fulfilled. In the absence of an agreement to prepare a nonattainment 
area-wide plan, each state could have developed and submitted a SIP 
revision to obtain the 15% reasonable further progress requirement 
independently of the others. The MWAQC process also ensures that the 
consultation between air quality and transportation planning 
agencies is performed as required under the Act (42 U.S.C. 7506(c)) 
and under EPA's transportation conformity final rule (40 CFR 
93.100).
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    Although the plan was developed by a regional approach, each 
jurisdiction is required to submit its 15% plan to EPA as a revision to 
its SIP.
    Because the reasonable further progress requirements such as the 
15% plan affect transportation improvement plans, municipal planning 
organizations have historically been heavily involved in air quality 
planning in the

[[Page 36579]]

Washington, D.C. area. As explained in further detail below, the 
regional 15% plan determined the regional target level, regional 
projections of growth and finally the total amount of creditable 
reductions required under the reasonable further progress requirement 
in the entire Washington, D.C. ozone nonattainment area. The three 
jurisdictions, the State of Maryland, the Commonwealth of Virginia and 
the District agreed to apportion this total amount of required 
creditable reductions among the three jurisdictions. EPA is taking 
action today only on the District's 15% plan submittal, which addresses 
only the District's responsibility for the 15% plan in the Washington, 
D.C. metropolitan area.
    The 15% plan for the District of Columbia was submitted by the 
Mayor's designated official, the Director of the District of Columbia 
DoH, on April 16, 1998. The April 16, 1998 submittal effectively 
superseded previous submittals. On May 15, 1995, the District submitted 
a 15% plan SIP for the District's portion of Washington, D.C. ozone 
nonattainment area. On November 3, 1997 the District submitted a Phase 
I attainment plan which included revisions to the 1990 base year 
inventory and to the 15% plan SIP revision. This amended 15% plan SIP 
revision was based upon the revised 1990 base year emissions inventory 
and upon revised projections in growth in emissions which came to light 
during the preparation of the Phase I attainment plan. The November 3, 
1997 15% plan SIP revision did not however reflect changes in the 
District's motor vehicle enhanced inspection and maintenance (I/M) 
program. The April 16, 1998 15% plan SIP revision does reflect the 
District's current enhanced I/M program.
    EPA has reviewed the District's April 16, 1998 15% plan SIP 
revision, and a single factor prevents a full approval of the District 
of Columbia's 15% plan SIP. A detailed discussion of the EPA's analysis 
of the District's 15% plan SIP revision is included below in the 
`Analysis' portion of this rulemaking action and also in the technical 
support document (TSD) for this action. (Copies of the TSD are 
available, upon request, from the EPA Regional Office listed in the 
ADDRESSES section of this notice.) Because this one measure, the 
District's enhanced I/M program, has been conditionally approved into 
the District of Columbia's SIP, under section 182(b)(2)(D), EPA can 
only grant a conditional approval of the emission reduction credits for 
this measure and, therefore, can only grant conditional approval of the 
District of Columbia's 15% plan SIP revision. Satisfying the condition 
for full approval of the enhanced I/M program, namely that the April 
30, 1999 start date be met, will satisfy the conditional approval of 
the District's 15% plan as well.

II. Analysis of the SIP Revision

A. Base Year Emission Inventory

    The baseline from which states must determine the required 
reductions for 15 percent planning is the 1990 base year emission 
inventory. The inventory is broken down into several emissions source 
categories: stationary point, area, on-road mobile sources, and off-
road mobile sources. The base year inventory includes emissions of all 
sources within the nonattainment area and certain large point sources 
within twenty-five miles of the boundary. A sub-set of the 1990 base 
year inventory is the 1990 rate-of-progress (ROP) inventory which 
includes only anthropogenic (man-made) emissions actually within the 
nonattainment area boundaries. The District of Columbia submitted a 
formal SIP revision containing its official 1990 base year emission 
inventory on January 13, 1993 and submitted revisions on November 3, 
1997. In the Final Rules section of this Federal Register, EPA is also 
approving the District's November 3, 1997 SIP revision consisting of 
revisions to the 1990 base year emission inventory as a direct final 
rule without prior proposal because the Agency views this as a 
noncontroversial SIP revision and anticipates no adverse comments. A 
detailed rationale for the approval is set forth in that direct final 
rule.

B. Growth in Emissions Between 1990 and 1996

    EPA has interpreted the Act to require that reasonable further 
progress towards attainment of the ozone standard must be obtained 
after offsetting any growth expected to occur over that period. 
Therefore, to meet the 15% reasonable further progress requirement, a 
state must enact measures achieving sufficient emissions reductions to 
offset projected growth in VOC emissions, in addition to a 15 percent 
reduction of VOC emissions. Thus, an estimate of growth in VOC 
emissions and emissions related activity from 1990 to 1996 is necessary 
for demonstrating reasonable further progress. Growth for all source 
categories other than on-road mobile sources, is calculated by 
multiplying the 1990 base year inventory by acceptable forecasting 
indicators. For these categories, growth must be determined separately 
for each source, or by source category, since sources typically grow at 
different rates. EPA's inventory preparation guidance recommends the 
following indicators, as applied to emission units in the case of 
stationary sources or to a source category in the case of area sources, 
in order of preference: product output, value added, earnings, 
employment. Population can also serve as an acceptable surrogate 
indicator.
    Growth for on-road mobile sources is determined projecting future 
year vehicle miles traveled (VMT) and speeds using a traffic demand 
model that represents the highway network in the Washington, D.C. area. 
(The same highway network and traffic demand model is also used for 
conformity determinations.) These results are multiplied by emission 
factors appropriate for the forecast year that were generated by EPA's 
Mobile 5.0b emission factor model.
    The District's 15% plan contains growth projections for point, 
area, on-road motor vehicle, and non-road vehicle source categories. 
For a detailed description of the growth methodologies used by the 
District, please refer to the TSD for this action. EPA is approving the 
District's 1990-1996 emissions growth projections.

C. Enhanced Vehicle Inspection and Maintenance (I/M) Program

    Section 182(b)(1) of the Act requires that states containing ozone 
nonattainment areas classified as moderate or above prepare SIP 
revisions that provide for a 15 percent VOC emissions reduction by 
November 15, 1996. Most of the 15% plan SIP revisions originally 
submitted to the EPA contained enhanced I/M programs because this 
program achieves more VOC emission reductions than most, if not all 
other, control strategies. However, because most states experienced 
substantial difficulties with these enhanced I/M programs, only a few 
states are currently actually testing cars using their original 
enhanced I/M protocols.
    In September 1995, EPA finalized revisions to its enhanced I/M rule 
allowing states significant flexibility in designing I/M programs 
appropriate for their needs (See 60 FR 48029, September 18, 1995). 
Subsequently, Congress enacted the National Highway Systems Designation 
Act of 1995 (NHSDA), which provides states with additional flexibility 
in determining the design of enhanced I/M programs. The substantial 
amount of time needed by states to re-design enhanced I/M programs in 
accordance with the guidance contained within the NHSDA,

[[Page 36580]]

secure state legislative approval when necessary, and set up the 
infrastructure to perform the testing program has precluded states that 
revise their I/M programs from obtaining emission reductions from such 
revised programs by November 15, 1996.
    The District submitted a SIP revision amending the District's 
existing I/M program on July 13, 1995 and supplemented this submittal 
on March 27, 1996 under the NHSDA. On October 10, 1996, EPA published a 
proposed disapproval of the July 13, 1995 and March 27, 1996 SIP 
revisions. The proposed disapproval listed numerous major and minor 
deficiencies. On November 27, 1997, the District submitted a completely 
revised enhanced I/M SIP revision. The November 27, 1997 enhanced I/M 
SIP revision completely revised the testing method from that contained 
in the earlier SIP revisions. On March 30, 1998 (63 FR 15118), EPA 
proposed to conditionally approve this enhanced I/M SIP revision. EPA 
also withdrew its previously proposed disapproval action of an enhanced 
I/M SIP revision submitted by the District of Columbia on July 13, 1995 
and supplemented March 27, 1996 because that action was no longer 
germane, given that the District's submittal of November 27, 1997 
completely replaced those earlier submittals. No comments were received 
on EPA's proposed conditional approval of the District's enhanced I/M 
program. On June 2, 1998, EPA published its final conditional approval 
(63 FR 29955).
    Given the heavy reliance by many states upon enhanced I/M programs 
to help achieve the 15% reduction in VOC emissions required under 
section 182(b)(1) of the Act, the recent NHSDA and regulatory changes 
regarding enhanced I/M programs, EPA believes that it was not possible 
for many states to achieve the portion of the 15% reductions that are 
attributed to I/M by November 15, 1996. Under these circumstances, 
disapproval of the 15% plan SIP revisions would serve no purpose. 
Consequently, under certain circumstances, EPA has allowed states that 
re-designed their enhanced I/M programs to receive emission reduction 
credit from these programs within their 15% plans, even though the 
emissions reductions from the I/M program will occur after November 15, 
1996. The provisions for crediting reductions for enhanced I/M programs 
are contained in two documents: ``Date by which States Need to Achieve 
all the Reductions Needed for the 15 Percent Plan from I/M and Guidance 
for Recalculation,'' note from John Seitz and Margo Oge, dated August 
13, 1996, and ``Modeling 15 Percent VOC Reductions from I/M in 1999--
Supplemental Guidance,'' memorandum from Gay MacGregor and Sally 
Shaver, dated December 23, 1996.
    Specifically, EPA is approving SIP revisions if the emissions 
reductions from the revised, enhanced I/M programs, as well as from the 
other 15% plan SIP measures, will achieve the 15% level as soon after 
November 15, 1996 as practicable, pursuant to a February 12, 1997 
memorandum from John Seitz and Richard Ossias entitled, ``15 Percent 
VOC SIP Approvals and the `As Soon As Practicable' Test.'' To make this 
``as soon as practicable'' determination, EPA must determine that the 
SIP contains all VOC control strategies that are practicable for the 
nonattainment area in question and that meaningfully accelerate the 
date by which the 15% level is achieved. EPA does not believe that 
measures meaningfully accelerate the date by which the 15% reduction is 
achieved if they provide an insignificant amount of reductions.
    The EPA has examined other available SIP measures to determine if 
they are practicable for the District's portion of the Washington, D.C. 
area and if they would meaningfully accelerate the date by which the 
area reaches the 15% level of reductions. The EPA has determined that 
the District's SIP does contain the appropriate measures. Measures for 
which the District took credit in the 15% plan are identified in Table 
1, below, as ``In 15% Plan'' and are not available as a possible 
alternative to enhanced I/M. Measures in Table 1 identified as being 
``Pre-1990'' were implemented prior to 1990 under rules adopted by the 
District and thus are not available as a possible alternative to 
enhanced I/M. The other programs that the District included in its 15% 
plan submittal result in less than a 1.3 tons per day reduction and do 
not deliver in the aggregate, anything close to the reductions achieved 
by enhanced I/M.

  Table 1.--VOC Control Measures Analyzed in the District's 15 Percent  
                           Plan Submittal Plan                          
------------------------------------------------------------------------
                                                 VOC reductions  (tons/ 
                   Measures                               day)          
------------------------------------------------------------------------
Area Source Measures:                                                   
    AIM Coatings--Federal Rule...............  In 15% Plan              
    Consumer Solvents--Federal Rule..........  In 15% Plan              
    Solvent Cleaning--Substitution...........  0.1                      
    Graphic Arts--Web Offset Control.........  0.5                      
    Autobody Refinishing--ACT control........  In 15% Plan              
    Cutback Asphalt--100% Ban................  0.0                      
    Other Dry Cleaning.......................  0.2                      
    Stage I Enhancement......................  0.4                      
    Stage II Vapor Recovery..................  Pre-1990                 
    Nonroad--Reformulated Gasoline...........  In 15% Plan              
Point Source Measures:                                                  
    Flexographic Printing....................  0.0                      
    Gravure Printing.........................  <0.1                     
    Web Offset Lithography...................  Pre-1990                 
Non-mandated On-Road Mobile Measures:                                   
    Reformulated Gasoline....................  In 15% Plan              
I/M Reductions:                                                         
    High Enhanced in 15% Plan................  In 15% Plan              
------------------------------------------------------------------------

    EPA believes that the enhanced I/M program is the only measure that 
will significantly accelerate the date by which the 15% reduction 
requirement will be achieved. EPA is allowing enhanced I/M reductions 
which occur

[[Page 36581]]

out until November 15, 1999 to count toward the 15% emission reduction 
level for the 15% plan, because in doing so, the District will reach a 
15% reduction in VOC emissions as soon as practicable.
    The District claimed a total of 3.8 tons per day credit from 
enhanced I/M in its 15% plan. In the 15% plan, the District evaluated 
the enhanced I/M program using EPA's Mobile 5.0b model with assumptions 
that called for implementation of a centralized, IM240 test with 
pressure and purge testing, and a program start date of April 30, 1999. 
EPA has determined that the enhanced I/M program for the District's 
portion of the Washington, D.C. nonattainment area does achieve the 
credited reductions from enhanced I/M as soon as practicable. The 
District's enhanced I/M program is a biennial, centralized, test-only 
program network using EPA's IM240 test. EPA believes that the District 
cannot accelerate the reductions by initially requiring annual testing 
because:
    (1) Without additional testing stations other requirements of the 
enhanced I/M rule relating to motorist convenience would suffer. 
Motorist convenience is one important aspect that affects public 
acceptance and effectiveness of the I/M program.
    (2) Additional infrastructure changes (e.g., more testing 
equipment, enlarging or building new testing stations, and the hiring 
and training of additional inspectors) to the enhanced I/M program 
would not come on-line in time to afford a substantial increase the 
amount of reductions realized before November 15, 1999.
    (3) The cost effectiveness of the program would be adversely 
affected because the additional costs would not result in a 
corresponding amount of reductions.
    Because the District's revised enhanced I/M program is designed to 
meet EPA's high-enhanced performance standard, EPA believes that the 
District's program will achieve 3.8 tons per day of reductions by 1999 
credited in the District's 15% plan.

D. Target Level Emissions/Emission Reductions Needs

    The regional 15% plan calculates a target level of emissions to 
meet the 15% reasonable further progress requirement over the entire 
nonattainment area. The regional 15% plan contains a projection of 
emissions growth from 1990 to 1996 and in effect apportions among the 
three jurisdictions the amount of creditable emission reductions that 
each jurisdiction must achieve in order for the entire nonattainment 
area to achieve a 15% reduction in VOC emissions net of growth. Each 
jurisdiction then adopted the regional plan, which identified the 
amount of creditable emission reductions which that jurisdiction must 
achieve for the regional plan to get a 15% reduction accounting for any 
growth. The regional plan calculated the ``target level'' of 1996 VOC 
emissions, in accordance with applicable EPA guidance.
    EPA has interpreted section 182(b) of the Act to require that the 
base year VOC emission inventory be adjusted to account for reductions 
in VOC emissions that would have occurred from the pre-1990 FMVCP and 
RVP programs. To meet EPA's applicable guidance on this requirement, 
the regional plan contains a calculation of the reductions occurring 
between 1990 and 1996 from the pre-1990 Tier 0 FMVCP and RVP programs 
and the result of subtracting these reductions from the 1990 ROP 
inventory. The net result of this calculation yielded the 1990 
``adjusted base year inventory adjusted to 1996.''
    The District's 15% plan relies upon reductions from the District's 
revised, enhanced I/M programs to achieve the required 15% level as 
soon after November 15, 1996 as practicable, but not later than 1999. 
Under EPA's applicable guidance for 15% plans that rely upon reductions 
from enhanced I/M after 1996, the target level must also incorporate 
the effects of the pre-1990 Tier 0 FMVCP on 1990 emissions due to 
turnover in vehicles between 1996 and 1999. To meet EPA's applicable 
guidance on this requirement the regional plan also contains a 
calculation of the non-creditable reductions from the pre-1990 Tier 0 
FMVCP and RVP programs between 1990 and 1999 and the result of 
subtracting these reductions from the 1990 ROP inventory. The result of 
this calculation yielded the 1990 ``adjusted base year inventory 
adjusted to 1999''. The difference between the 1990 ``adjusted base 
year inventory adjusted to 1996'' and 1990 ``adjusted base year 
inventory adjusted to 1999'' yields the ``fleet turnover correction'' 
(FTC).
    The next step is to calculate the base 1996 VOC target level of 
emissions. This is eighty-five percent (85%) of the 1990 adjusted base 
year inventory for 1996. This number represents what the emissions 
inventory should have been in 1996 if the 15% target level in order to 
achieve the 15% reduction. To account for the effects on VOC emissions 
due to the Tier 0 FMVCP between 1996 and 1999 the FTC is subtracted 
from the base 1996 VOC target level of emissions to yield the final, 
corrected 1996 VOC target level of emissions. The emission reduction 
needs to achieve the target level is just the difference between the 
1996 projected uncontrolled inventory and the final, corrected 1996 VOC 
target level. Table 2, below, summarizes the calculations for the 1996 
VOC target level for the entire Washington, D.C. ozone nonattainment 
area.

                     Table 2.--Required Reductions for the Washington, D.C. Area's 15% Plan                     
                                            [In tons of VOC per day]                                            
----------------------------------------------------------------------------------------------------------------
                                                                                                      Washington
                            Item                              District of    Maryland     Virginia    D.C. area 
                                                                Columbia                                totals  
----------------------------------------------------------------------------------------------------------------
                                 Washington, D.C. Area Target Level Calculation                                 
----------------------------------------------------------------------------------------------------------------
1  1990 ROP Inventory.......................................         60.3        241.7        226.5        528.7
2  1990 Adjusted Base Year Inventory adjusted to 1996.......         51.2        215.1        196.8        463.1
3  1990 Adjusted Base Year Inventory adjusted to 1999.......         49.9        210.9        193.3        454.1
4  FTC Adjustment (Line 2 minus Line 3).....................          1.3          4.2          3.5          9.0
5  Base 1996 target Level = 85% of Line 2 (0.85  x  Line 2).         43.5        182.8        167.3        393.6
6  Final, Corrected 1996 Regional Target Level (Line 5 minus                                                    
 Line 4)....................................................         42.2        178.6        163.8        384.6
7  Projected 1996 Uncontrolled Emissions....................         48.5        234.7        219.4        502.4
8  Required Regional Emission Reductions (Line 8 minus Line                                                     
 7)*........................................................  ...........  ...........  ...........        117.8
9  Apportioned State Emission Reductions*...................          8.5         57.5         51.7        117.7

[[Page 36582]]

                                                                                                                
10  Total Reductions Claimed in the District's 15% Plan.....          9.2          N/A          N/A  ...........
----------------------------------------------------------------------------------------------------------------
* The small discrepancy between values is due to rounding the apportioned emission reductions to the nearest    
  tenth.                                                                                                        

    The emission reductions required to meet the 15% reasonable further 
progress requirement equals the difference between the projected 1996 
emissions under the current control strategy (``the 1996 uncontrolled 
emissions'') and the target level. This amount reflects a 15% reduction 
from the adjusted base year inventory and any reductions necessary to 
offset emissions growth projected to occur between 1990 and 1996. The 
Washington, D.C. area's regional VOC target level is 384.8 tons per 
day. EPA has determined that this regional target level and emission 
reduction needs for the Metropolitan Washington, D.C. nonattainment 
area have been properly calculated in accordance with EPA guidance.

E. Control Strategies in the District's 15% Plan

    The specific measures adopted (either through state or federal 
rules) are addressed, in detail, in the District's 15% plan. The 
following is a brief description of each control measure that the 
District has claimed credit for in the submitted 15% plan, as well as 
the results of EPA's review of the use of that strategy towards the 
Act's rate-of-progress requirement.

F. Fully Creditable Emission Control Strategies

    EPA is granting full credit to the District of Columbia's 15% plan 
SIP with reductions from the following six measures:
1. Reformulated Gasoline (RFG)
    Section 211(k) of the Act requires that, beginning January 1, 1995, 
only reformulated gasoline be sold or dispensed in ozone nonattainment 
areas classified as severe or above. Gasoline is reformulated to reduce 
combustion by-products and to produce fewer evaporative emissions. 
Section 211(k)(6) allows other nonattainment areas to ``opt-in'' to the 
program. The District submitted a request to opt-in to the reformulated 
gasoline program, which EPA approved on April 1, 1992 (57 FR 11677). 
The District claims a reduction of 1.1 tons per day from their 1996 
projected uncontrolled on-road mobile source emissions using EPA's 
Mobile 5.0b emission factor model to determine the emission benefit. 
EPA has reviewed the District's calculation of the benefits for this 
measure and finds the amount of reduction the District claims is 
reasonable and acceptable.
2. Off-Road Use of Reformulated Gasoline
    The use of reformulated gasoline will also result in reduced 
emissions from off-road engines such as outboard motors for boats and 
lawn mower engines, commonly used in summer months. The District claims 
a reduction of 0.1 tons per day from their 1996 projected uncontrolled 
off-road mobile source emissions. The District used guidance provided 
on August 18, 1993 by EPA's Office of Mobile Sources on the VOC 
emission benefits for non-road equipment which are in a nonattainment 
area that uses Federal Phase I RFG. The District has correctly used the 
guidance to compute the VOC emission reductions for this measure. The 
EPA agrees with this projected reduction in the District's 15% plan and 
the 0.1 tons per day emission benefit resulting from this measure are 
creditable.
3. Post 1990 Federal Motor Vehicle Control Program (FMVCP Tier 1) and 
Detergent Additives
    EPA promulgated a national rule establishing ``new car'' standards 
for 1994 and newer model year light-duty vehicles and light-duty trucks 
on June 5, 1991 (56 FR 25724). Since the standards were adopted after 
the Clean Air Act was amended in 1990, the resulting emission 
reductions are creditable toward the 15 percent reduction goal.
    On November 1, 1994, EPA promulgated a national rule establishing 
Federal standards for detergent additives for gasoline as required by 
the Act (59 FR 54706). This regulation requires, beginning January 1, 
1995, that gasoline sold nationwide contain additives to prevent 
accumulation of deposits in engines and fuel systems. Preventing such 
deposits maintains the efficiencies of engine systems and reduces VOC 
emissions resulting from engine efficiency degradation.
    The District claimed a reduction of 1.5 tons per day from the Tier 
1 Federal Motor Vehicle Control Program and the Gasoline Detergent 
Additive Rule using EPA's Mobile 5.0b emission factor model to 
determine the emission benefits. EPA has reviewed the District's 
methodology used in calculating of the benefits for this measure and 
finds the amount of reduction that the District claims is reasonable 
and acceptable. EPA believes this measure and the 1.5 tons per day 
emission benefit is fully creditable in the District's 15% plan.
4. Architectural and Industrial Maintenance Coatings (AIM)
    Emission reductions have been projected for AIM coatings due to the 
expected promulgation by the EPA of a national rule. VOC emissions 
emanate from the evaporation of solvents used in the coating process. 
In EPA's most recent policy memorandum on AIM credits, ``Update on the 
Credit for the 15 Percent Rate-of-Progress Plans for Reductions from 
the Architectural and Industrial Maintenance (AIM) Coatings Rule'', 
dated March 7, 1996, EPA allowed states to claim a 20% reduction of 
total AIM emissions from the national rule. The District claimed a 20% 
reduction in AIM emissions under its 15% plan, which is a reduction of 
1.6 tons per day from their 1996 projected uncontrolled AIM coating 
emissions. In the March 7,1996 memorandum, EPA allowed states to 
continue to claim a 20% reduction of total AIM emissions from the 
national rule in their 15% plans although the emission reductions were 
not expected to occur until April 1997. As a result of legal challenges 
to the proposed national rule, EPA has negotiated a compliance date of 
no earlier than January 1, 1998. If the final rule does not provide the 
amount of credit indicated in the memorandum that states can claim in 
their 15% plans, the District is responsible for developing measures to 
make up the shortfall. With this caveat, EPA believes use of emissions 
reductions from EPA's expected national AIM rule is acceptable towards 
the 15% plan target. Therefore, the 1.6 tons per day are an acceptable 
credit claim in the District's 15% plan.

[[Page 36583]]

5. Consumer and Commercial Products
    Section 183(e) of the Act required EPA to conduct a study of VOC 
emissions from consumer and commercial products and to compile a 
regulatory priority list. EPA is then required to regulate those 
categories that account for 80% of the consumer product emissions in 
ozone nonattainment areas. Group I of EPA's regulatory schedule lists 
24 categories of consumer products to be regulated by national rule, 
including personal, household, and automotive products. EPA intends to 
issue a final rule covering these products in the near future. EPA 
policy allows states to claim up to a 20% reduction of total consumer 
product emissions towards the reasonable further progress requirement. 
The District claimed a 20% reduction or the equivalent reduction of 0.6 
tons per day from their 1996 projected uncontrolled consumer and 
commercial products emissions in its 15% plan. For the reasons 
discussed above under the AIM rule, EPA believes the 0.6 tons per day 
projected reduction in the District's 15% plan is creditable. Again, if 
this final rule does not provide the amount of credit indicated in the 
memorandum that states can claim in their 15% plans, the District is 
responsible for developing measures to make up the shortfall.
6. Automobile Refinishing
    EPA is in the process of adopting a national rule to control VOC 
emissions from solvent evaporation through reformulation of coatings 
used in auto body refinishing processes. These coatings are typically 
used by industry and small businesses, or by vehicle owners. VOC 
emissions emanate from the evaporation of solvents used in the coating 
process. In a November 29, 1994 memorandum, ``Credit for the 15 Percent 
Rate-of-Progress Plans for Reductions from the Architectural and 
Industrial Maintenance (AIM) Coating Rule and the Autobody Refinishing 
Rule,'' EPA set forth policy on the creditable reductions to be assumed 
from the national rule for auto body refinishing. That memorandum 
allowed for a 37% reduction from current emissions with an assumption 
of 100% rule effectiveness (presuming the coating application 
instructions were being followed). The District's approach was 
consistent with EPA's guidance to determine the creditable emissions 
from this rule and claimed a reduction of 0.5 tons per day from their 
1996 projected uncontrolled auto body emissions in its 15% plan. For 
the reasons discussed above under the AIM rule, the EPA believes the 
0.5 tons per day projected reduction in the District's 15% plan is 
creditable. Again, if this final rule does not provide the amount of 
credit indicated in the memorandum that states can claim in their 15% 
plans, the District is responsible for developing measures to make up 
the shortfall.

G. Conditionally Creditable Emission Control Strategies

    EPA is conditionally granting credit to the District's 15% plan SIP 
with reductions from the District's enhanced vehicle inspection and 
maintenance (I/M) Program. The District claimed a total of 3.8 tons per 
day credit for this measure. In the 15% plan, the District evaluated 
the I/M program using EPA's Mobile 5.0b emission factor model with a 
program start date of April 30, 1999. The effect of the April 30, 1999 
start date was factored by interpolating the results of two runs of 
EPA's Mobile 5.0b emission factor model. The first run used assumptions 
that called for implementation of a centralized, test-only, IM240 test 
with pressure and purge testing and an anti-tampering program 
inspection. The second run used assumptions that reflected 
implementation of the District's 1990 program which was a centralized, 
test-only using an idle test. The District used the same highway 
network model that was used to determine the 1990 base year inventory, 
and the adjusted base year inventories, and the 1996 on-road VOC 
emissions budget used for transportation conformity purposes.
    EPA has determined that the I/M program for the District's portion 
of the Washington, D.C. nonattainment area does achieve reductions from 
I/M as soon as practicable for the reasons discussed previously in this 
notice under ``Enhanced Vehicle Inspection and Maintenance (I/M) 
Program.'' The District's I/M program is a biennial, centralized, test-
only program network using EPA's IM240 test.
    Because the District's revised I/M program is designed to meet 
EPA's high-enhanced performance standard and will implement the same 
number of testing cycles between start-up and November 1999 as that 
modeled for credit in the 15% plan, EPA believes that the District's 
program will achieve the claimed 3.8 tons per day of reductions by 
1999. EPA has also determined that the credits from the enhanced I/M 
program were determined in accordance with applicable EPA guidance.
    However, section 182(b)(2)(D) requires that EPA grant credit for 
measures approved into the SIP. Because EPA's approval of the 
District's enhanced I/M SIP is conditioned upon the District meeting 
the April 30, 1999 start date, EPA can only approve the reduction 
credits claimed from enhanced I/M conditioned upon the District meeting 
the April 30, 1999 start date.

H. Reasonable Further Progress

    Table 3 below summarizes the proposed creditable measures from the 
District's 15% plan for the Washington, D.C. area.

  Table 3.--Creditable Reductions in the District's 15 Percent Plan for 
                        the Washington, D.C. Area                       
                           [Tons VOC per day]                           
------------------------------------------------------------------------
                                                                        
------------------------------------------------------------------------
                         CREDITABLE REDUCTIONS                          
------------------------------------------------------------------------
Tier 1 FMVCP and gasoline Detergent Additive Rule............        1.5
Reformulated Gasoline:                                                  
    On-Road..................................................        1.1
    Off-Road.................................................        0.1
Auto Refinishing.............................................        0.5
AIM..........................................................        1.6
Consumer/Commercial Products.................................        0.6
                                                              ----------
    Sub-Total Creditable.....................................        5.4
------------------------------------------------------------------------
                   CONDITIONALLY CREDITABLE REDUCTIONS                  
------------------------------------------------------------------------
Enhanced Inspection & Maintenance............................        3.8
                                                              ----------

[[Page 36584]]

                                                                        
    Sub-Total Conditionally Creditable.......................        3.8
                                                              ==========
    Total Fully and Conditionally Creditable Reductions......        9.2
------------------------------------------------------------------------

    The District's 15% plan SIP revision contains reductions of 9.2 
tons per day which exceeds the District's needs of 8.5 tons per day. Of 
these 9.2 tons per day EPA is proposing to fully credit the District of 
Columbia's 15% plan SIP with 5.4 tons per day of reductions and credit 
the 15% plan SIP with 3.8 tons per day conditioned the District meeting 
the conditioned listed in the June 2, 1998 conditional approval of the 
enhanced I/M testing program.

I. Transportation Conformity Budgets

    Under EPA's transportation conformity rule the 15% plan is a 
control strategy SIP. This plan establishes a budget of 133.7 tons per 
day of VOC emissions for on-road mobile sources throughout the entire 
Metropolitan Washington, D.C. ozone nonattainment area and does not 
establish a budget for nitrogen oxides (NO<INF>X</INF>) emissions. 
However, on November 3, 1997 the District of Columbia submitted a 
complete, SIP revision which included reasonable further progress plan 
to achieve a nine percent reduction in VOC and NO<INF>X</INF> emissions 
after 1996 (post-1996 plan). This November 3, 1997 SIP revision also 
established a VOC budget for 1999 of 123.3 tons per day for on-road 
mobile sources for the entire Metropolitan Washington, D.C. ozone 
nonattainment area and also establishes a NO<INF>X</INF> budget for 
1999. Under the conformity rule, EPA believes that the VOC and 
NO<INF>X</INF> budgets established by the November 3, 1997 post-1996 
plan are currently the controlling budgets for conformity 
determinations for 1999 and later years. The next conformity 
determination in the Washington, D.C. area will consider only 1999 and 
later years. The budget in the post-1996 plan specifically addresses 
the 1999 reasonable further progress milestone year whereas the 15% 
plan establishes a budget for the prior reasonable further progress 
milestone year of 1996. The time period for the budget in the 15% plan 
has passed. The post-1996 plan also establishes more stringent VOC 
budget than the 15% plan.

J. Summary

    EPA's review of this material indicates that the District's 15% 
plan SIP revision meets the requirements of the Act and applicable EPA 
guidance. EPA is conditionally approving the District of Columbia's SIP 
revision for a 15% reduction in VOC emissions, which was submitted on 
April 16, 1998.
    EPA is approving this rule without prior proposal because the 
Agency views this as a noncontroversial amendment and anticipates no 
adverse comments. However, in the proposed rules section of this 
Federal Register publication, EPA is publishing a separate document 
that will serve as the proposal to approve the SIP revision should 
adverse or critical comments be filed. This rule will be effective 
September 8, 1998 without further notice unless the Agency receives 
adverse comments by August 6, 1998.
    If EPA receives such comments, then EPA will publish a document 
withdrawing the final rule and informing the public that the rule did 
not take effect. All public comments received will then be addressed in 
a subsequent final rule based on the proposed rule. EPA will not 
institute a second comment period on the proposed rule. Only parties 
interested in commenting on this action should do so at this time. If 
no such comments are received, the public is advised that this rule 
will be effective on September 8, 1998 and no further action will be 
taken on the proposed rule.

III. Final Action

    EPA is conditionally approving the revision to the District of 
Columbia SIP submitted on April 16, 1998 consisting of its 15% plan. 
EPA's approval is conditioned upon the District meeting the April 30, 
1999 start date committed to and contained in its November 27, 1997 
enhanced I/M SIP revision submittal. The conversion from conditional 
approval to full approval or to disapproval will be dependent upon 
whether or not the District meets the start date of April 30, 1999 
committed to in the enhanced I/M SIP revision. If the District starts 
the enhanced I/M testing program on or before April 30, 1999, then any 
final conditional approval shall convert to a full approval of the SIP 
revision. If the District fails to fully implement enhanced I/M testing 
in the District by April 30, 1999, EPA would notify the District by 
letter that the condition has not been met and that any final 
conditional approval has converted to a disapproval, and the clock for 
imposition of sanctions under section 179(a) of the Act would start as 
of the date of the letter. Subsequently, a notice would be published in 
the Federal Register announcing that the 15% plan SIP revision has been 
disapproved.
    Nothing in this action should be construed as permitting or 
allowing or establishing a precedent for any future request for 
revision to any state implementation plan. Each request for revision to 
the state implementation plan shall be considered separately in light 
of specific technical, economic, and environmental factors and in 
relation to relevant statutory and regulatory requirements.

IV. Administrative Requirements

A. Executive Orders 12866 and 13045

    The Office of Management and Budget (OMB) has exempted this 
regulatory action from E.O. 12866 review.
    The final rule is not subject to E.O. 13045, entitled ``Protection 
of Children from Environmental Health Risks and Safety Risks,'' because 
it is not an ``economically significant'' action under E.O. 12866.

B. Regulatory Flexibility Act

    Under the Regulatory Flexibility Act, 5 U.S.C. 600 et seq., EPA 
must prepare a regulatory flexibility analysis assessing the impact of 
any proposed or final rule on small entities. 5 U.S.C. 603 and 604. 
Alternatively, EPA may certify that the rule will not have a 
significant impact on a substantial number of small entities. Small 
entities include small businesses, small not-for-profit enterprises, 
and government entities with jurisdiction over populations of less than 
50,000. Conditional approvals of SIP submittals under section 110 and 
subchapter I, part D of the CAA do not create any new requirements but 
simply approve requirements that the State is already imposing. 
Therefore, because the Federal SIP approval does not impose any new 
requirements, EPA certifies that it does not have a significant impact 
on any small entities affected. Moreover, due to the nature of the 
Federal-State relationship under the CAA, preparation of a flexibility

[[Page 36585]]

analysis would constitute Federal inquiry into the economic 
reasonableness of state action. The Clean Air Act forbids EPA to base 
its actions concerning SIPs on such grounds. Union Electric Co. v. U.S. 
EPA, 427 U.S. 246, 255-66 (1976); 42 U.S.C. 7410(a)(2).
    If the conditional approval is converted to a disapproval under 
section 110(k), based on the State's failure to meet the commitment, it 
will not affect any existing state requirements applicable to small 
entities. Federal disapproval of the state submittal does not affect 
its state-enforceability. Moreover, EPA's disapproval of the submittal 
does not impose a new Federal requirement. Therefore, EPA certifies 
that this disapproval action does not have a significant impact on a 
substantial number of small entities because it does not remove 
existing requirements nor does it substitute a new federal requirement.

C. Unfunded Mandates

    Under section 202 of the Unfunded Mandates Reform Act of 1995 
(``Unfunded Mandates Act''), signed into law on March 22, 1995, EPA 
must prepare a budgetary impact statement to accompany any proposed or 
final rule that includes a Federal mandate that may result in estimated 
costs to State, local, or tribal governments in the aggregate; or to 
private sector, of $100 million or more. Under section 205, EPA must 
select the most cost-effective and least burdensome alternative that 
achieves the objectives of the rule and is consistent with statutory 
requirements. Section 203 requires EPA to establish a plan for 
informing and advising any small governments that may be significantly 
or uniquely impacted by the rule. EPA has determined that the approval 
action promulgated does not include a Federal mandate that may result 
in estimated costs of $100 million or more to either State, local, or 
tribal governments in the aggregate, or to the private sector. This 
Federal action approves pre-existing requirements under State or local 
law, and imposes no new requirements. Accordingly, no additional costs 
to State, local, or tribal governments, or to the private sector, 
result from this action.

D. Submission to Congress and the General Accounting Office

    The Congressional Review Act, 5 U.S.C. 801 et seq., as added by the 
Small Business Regulatory Enforcement Fairness Act of 1996, generally 
provides that before a rule may take effect, the agency promulgating 
the rule must submit a rule report, which includes a copy of the rule, 
to each House of the Congress and to the Comptroller General of the 
United States. EPA will submit a report containing this rule and other 
required information to the U.S. Senate, the U.S. House of 
Representatives, and the Comptroller General of the United States prior 
to publication of the rule in the Federal Register. This rule is not a 
``major rule'' as defined by 5 U.S.C. 804(2).

E. Petitions for Judicial Review

    Under section 307(b)(1) of the Clean Air Act, petitions for 
judicial review of this action must be filed in the United States Court 
of Appeals for the appropriate circuit by September 8, 1998. Filing a 
petition for reconsideration by the Administrator of this final rule 
does not affect the finality of this rule for the purposes of judicial 
review nor does it extend the time within which a petition for judicial 
review may be filed, and shall not postpone the effectiveness of such 
rule or action. This action regarding approval of the District of 
Columbia's 15% plan SIP revision may not be challenged later in 
proceedings to enforce its requirements. (See section 307(b)(2).)

List of Subjects in 40 CFR Part 52

    Environmental protection, Air pollution control, Ozone.

    Dated: June 23, 1998.
Thomas Voltaggio,
Acting Regional Administrator, Region III.

    40 CFR part 52, subpart J of chapter I, title 40 is amended as 
follows:

PART 52--[AMENDED]

    1. The authority citation for Part 52 continues to read as follows:

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

Subpart J--District of Columbia

    2. Section 52.473 is amended by designating the existing paragraph 
as (a) and adding paragraph (b) to read as follows:


Sec. 52.473  Conditional Approval.

* * * * *
    (b) EPA is conditionally approving as a revision to the District of 
Columbia State Implementation Plan the 15 Percent Rate of Progress Plan 
for the District of Columbia's portion of the Metropolitan Washington, 
D.C. ozone nonattainment area, submitted by the Director of the 
District of Columbia Department of Public Health on April 16, 1998. 
EPA's approval is conditioned upon the District meeting the April 30, 
1999 start date committed to and contained in its November 27, 1997 
enhanced I/M SIP revision submittal. The conversion from conditional 
approval to full approval or to disapproval will be dependent upon 
whether or not the District meets the start date of April 30, 1999 
committed to in the enhanced I/M SIP revision. If the District starts 
the enhanced testing program on or before April 30, 1999, then any 
final conditional approval shall convert to a full approval of the SIP 
revision. If the District fails to fully implement enhanced I/M testing 
in the District by April 30, 1999, EPA would notify the District by 
letter that the condition has not been met and that this final 
conditional approval has converted to a disapproval, and the clock for 
imposition of sanctions under section 179(a) of the Act would start as 
of the date of the letter. Subsequently, a notice would be published in 
the Federal Register announcing that the 15% plan SIP revision has been 
disapproved.

[FR Doc. 98-17966 Filed 7-6-98; 8:45 am]
BILLING CODE 6560-50-P


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