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[Federal Register Volume 81, Number 46 (Wednesday, March 9, 2016)]
[Proposed Rules]
[Pages 12440-12443]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-05027]

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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[EPA-R01-OAR-2015-0351; FRL-9943-38-Region 1]

Air Plan Approval; Massachusetts; Decommissioning of Stage II 
Vapor Recovery Systems

AGENCY: Environmental Protection Agency.

ACTION: Proposed rule.

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SUMMARY: The Environmental Protection Agency (EPA) is proposing to 
approve a State Implementation Plan (SIP) revision submitted by the 
Commonwealth of Massachusetts Department of Environmental Protection. 
This revision includes regulatory amendments that allow gasoline 
dispensing facilities (GDFs) to decommission their Stage II vapor 
recovery systems as of January 2, 2015, and a demonstration that such 
removal is consistent with the Clean Air Act and EPA guidance. This 
revision also includes regulatory amendments that strengthen 
Massachusetts' requirements for Stage I vapor recovery systems at GDFs. 
The intended effect of this action is to propose approval of 
Massachusetts' revised vapor recovery regulations. This action is being 
taken under the Clean Air Act.

DATES: Written comments must be received on or before April 8, 2016.

ADDRESSES: Submit your comments, identified by Docket ID No. EPA-R01-
OAR-2015-0351 at http://www.regulations.gov, or via email to 
arnold.anne@epa.gov. For comments submitted at Regulations.gov, follow 
the online instructions for submitting comments. Once submitted, 
comments cannot be edited or removed from Regulations.gov. For either 
manner of submission, the EPA may publish any comment received to its 
public docket. Do not submit electronically any information you 
consider to be Confidential Business Information (CBI) or other 
information whose disclosure is restricted by statute. Multimedia 
submissions (audio, video, etc.) must be accompanied by a written 
comment. The written comment is considered the official comment and 
should include discussion of all points you wish to make. The EPA will 
generally not consider comments or comment contents located outside of 
the primary submission (i.e. on the web, cloud, or other file sharing 
system). For additional submission methods, please contact the person 
identified in the ``For Further Information Contact'' section. For the 
full EPA public comment policy, information about CBI or multimedia 
submissions, and general guidance on making effective comments, please 
visit http://www2.epa.gov/dockets/commenting-epa-dockets.

FOR FURTHER INFORMATION CONTACT: Ariel Garcia, Air Quality Planning 
Unit, U.S. Environmental Protection Agency, EPA New England Regional 
Office, 5 Post Office Square, Suite 100 (mail code: OEP05-2), Boston, 
MA 02109-3912, telephone number: (617) 918-1660, fax number: (617) 918-
0660, email: garcia.ariel@epa.gov.

SUPPLEMENTARY INFORMATION: Throughout this document whenever ``we,'' 
``us,'' or ``our'' is used, we mean EPA.
    Organization of this document. The following outline is provided to 
aid in locating information in this preamble.

I. Background and Purpose
II. Summary of Massachusetts' SIP Revision
III. EPA's Evaluation of Massachusetts' SIP Revision
IV. Proposed Action
V. Incorporation by Reference
VI. Statutory and Executive Order Reviews

I. Background and Purpose

    On May 5, 2015, the Massachusetts Department of Environmental 
Protection submitted a revision to its State Implementation Plan (SIP). 
The SIP revision consists of Massachusetts' revised regulations 310 
Code of Massachusetts Regulations (CMR) 7.00, Air Pollution Control: 
Definitions and 310 CMR 7.24, Organic Material Storage and 
Distribution. Specifically, in addition to the new and revised 
definitions in 310 CMR 7.00, the SIP revision consists of 
Massachusetts' revised regulation sections:
     310 CMR 7.24(3), Distribution of Motor Vehicle Fuel;
     310 CMR 7.24(4), Motor Vehicle Fuel Tank Trucks; and
     310 CMR 7.24(6), Dispensing of Motor Vehicle Fuel.

These sections of Massachusetts' 310 CMR 7.24 have been revised to 
allow the decommissioning of Stage II vapor

[[Page 12441]]

recovery systems and to strengthen Stage I vapor recovery requirements. 
The SIP submittal also includes a demonstration that removal of Stage 
II vapor recovery systems in Massachusetts is consistent with the Clean 
Air Act and EPA guidance.
    Stage II and onboard refueling vapor recovery (ORVR) systems are 
two types of emission control systems that capture fuel vapors from 
vehicle gas tanks during refueling. Stage II vapor recovery systems are 
installed at gasoline dispensing facilities (GDFs) and capture the 
refueling fuel vapors at the gasoline pump. The system carries the 
vapors back to the underground storage tank at the GDF to prevent the 
vapors from escaping to the atmosphere. ORVR systems are carbon 
canisters installed directly on automobiles to capture the fuel vapors 
evacuated from the gasoline tank before they reach the nozzle. The fuel 
vapors captured in the carbon canisters are then combusted in the 
engine when the automobile is in operation.
    Stage II vapor recovery systems and vehicle ORVR systems were 
initially both required by the 1990 Amendments to the Clean Air Act 
(CAA). Section 182(b)(3) of the CAA requires moderate and above ozone 
nonattainment areas to implement Stage II vapor recovery programs. 
Also, under CAA section 184(b)(2), states in the Ozone Transport Region 
(OTR) are required to implement Stage II or comparable measures. CAA 
section 202(a)(6) required EPA to promulgate regulations for ORVR for 
light-duty vehicles (passenger cars). EPA adopted these requirements in 
1994, at which point moderate ozone nonattainment areas were no longer 
subject to the CAA section 182(b)(3) Stage II vapor recovery 
requirements. ORVR equipment has been phased in for new passenger 
vehicles beginning with model year 1998, and starting with model year 
2001 for light-duty trucks and most heavy-duty gasoline powered 
vehicles. ORVR equipment has been installed on nearly all new gasoline-
powered light-duty vehicles, light-duty trucks, and heavy-duty vehicles 
since 2006.
    During the phase-in of ORVR controls, Stage II has provided 
volatile organic compound (VOC) reductions in ozone nonattainment areas 
and certain attainment areas of the OTR. Congress recognized that ORVR 
systems and Stage II vapor recovery systems would eventually become 
largely redundant technologies, and provided authority to EPA to allow 
states to remove Stage II vapor recovery programs from their SIPs after 
EPA finds that ORVR is in ``widespread use.'' Effective May 16, 2012, 
the date the final rule was published in the Federal Register (see 77 
FR 28772), EPA determined that ORVR systems are in widespread use 
nationwide for control of gasoline emissions during refueling of 
vehicles at GDFs. Currently, more than 85 percent of gasoline refueling 
nationwide occurs with ORVR-equipped vehicles. Thus, Stage II vapor 
recovery programs have become largely redundant control systems and 
Stage II vapor recovery systems achieve an ever declining emissions 
benefit as more ORVR-equipped vehicles continue to enter the on-road 
motor vehicle fleet.\1\ In the May 16, 2012 rulemaking, EPA also 
exercised its authority under CAA section 202(a)(6) to waive certain 
federal statutory requirements for Stage II vapor recovery systems at 
GDFs. This decision exempts all new ozone nonattainment areas 
classified serious or above from the requirement to adopt Stage II 
vapor recovery programs. Finally, EPA's May 16, 2012 rulemaking also 
noted that any state currently implementing Stage II vapor recovery 
programs may submit SIP revisions that would allow for the phase-out of 
Stage II vapor recovery systems.
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    \1\ In areas where certain types of vacuum-assist Stage II vapor 
recovery systems are used, the differences in operational design 
characteristics between ORVR and some configurations of these Stage 
II vapor recovery systems result in the reduction of overall control 
system efficiency compared to what could have been achieved relative 
to the individual control efficiencies of either ORVR or Stage II 
emissions from the vehicle fuel tank.
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    Stage I vapor recovery systems are systems that capture vapors 
displaced from storage tanks at GDFs during gasoline tank truck 
deliveries. When gasoline is delivered into an aboveground or 
underground storage tank, vapors that were taking up space in the 
storage tank are displaced by the gasoline entering the storage tank. 
The Stage I vapor recovery systems route these displaced vapors into 
the delivery truck's tank. Some vapors are vented when the storage tank 
exceeds a specified pressure threshold, however the Stage I vapor 
recovery systems greatly reduce the possibility of these displaced 
vapors being released into the atmosphere.
    Stage I vapor recovery systems have been in place since the 1970s. 
EPA has issued the following guidance regarding Stage I systems: 
``Design Criteria for Stage I Vapor Control Systems--Gasoline Service 
Stations'' (November 1975, EPA Online Publication 450R75102), which is 
regarded as the control techniques guideline (CTG) for the control of 
VOC emissions from this source category; and the EPA document ``Model 
Volatile Organic Compound Rules for Reasonably Available Control 
Technology'' (Staff Working Draft, June 1992) contains a model Stage I 
regulation.
    In more recent years, the California Air Resources Board (CARB) has 
required Stage I vapor recovery systems capable of achieving vapor 
control efficiencies higher than those achieved by traditional systems. 
These systems are commonly referred to as Enhanced Vapor Recovery (EVR) 
systems.

II. Summary of Massachusetts' SIP Revision

    The Massachusetts Stage II vapor recovery program requirements, 
codified in 310 Code of Massachusetts Regulations (CMR) 7.24(6), 
Dispensing of Motor Vehicle Fuel, were initially approved into the 
Massachusetts SIP on December 14, 1992 (57 FR 58993). Massachusetts' 
rule required gasoline dispensing facilities throughout the state to 
install Stage II vapor recovery systems.
    On May 5, 2015, Massachusetts submitted a SIP revision consisting 
of its revised 310 CMR 7.24(6), Dispensing of Motor Vehicle Fuel. This 
SIP revision includes regulatory amendments that allow GDFs to 
decommission their Stage II vapor recovery systems as of January 2, 
2015 and requires that all GDFs equipped with Stage II vapor recovery 
systems, decommission their Stage II vapor recovery systems by January 
2, 2017.
    A Massachusetts GDF equipped with a Stage II vapor recovery system, 
and having an annual throughput of less than 500,000 gallons, may apply 
for an extension to decommission its Stage II vapor recovery system 
based on financial hardship or extenuating circumstances. Massachusetts 
DEP may grant an owner, lessee, operator or controller of a GDF making 
such request, an extension of up to two years after January 2, 2017. 
Any GDF receiving such an extension, is then required to continue to 
operate and maintain its Stage II vapor recovery systems in accordance 
with Massachusetts' regulations, until the time when such Stage II 
vapor recovery system is ever decommissioned.
    Massachusetts' May 5, 2015 SIP revision also includes amended 
regulation 310 CMR 7.24(3), Distribution of Motor Vehicle Fuel, which 
includes requirements for GDFs to upgrade their Stage I vapor recovery 
systems to CARB-certified Stage I EVR systems or a Stage I vapor 
recovery system composed of EVR system components (Stage I EVR 
component systems). As of January 2, 2015, a Stage I EVR system or a 
Stage

[[Page 12442]]

I EVR component system is required upon facility start-up for 
facilities beginning operation. Also as of January 2, 2015, any 
component of a pre-existing Stage I vapor recovery system that is 
replaced, is required to be replaced with a CARB-certified Stage I EVR 
component. The Massachusetts regulations further require that all Stage 
I systems be CARB-certified Stage I EVR systems or Stage I EVR 
component systems by January 2, 2022 (seven years from the effective 
date of these amended regulations). Furthermore, the revised Stage I 
regulations require GDFs with a monthly throughput of 100,000 gallons 
or more to maintain Stage I systems that meet the same management 
practices required by EPA's National Emissions Standards for Hazardous 
Air Pollutants (NESHAP) for Source Category: Gasoline Dispensing 
Facilities, 40 CFR part 63, subpart CCCCCC.
    In addition, Massachusetts' May 5, 2015 SIP revision also includes 
new and amended definitions in 310 CMR 7.00, Air Pollution Control, 
that relate to Stage I and Stage II vapor recovery systems and includes 
minor clarifying amendments to 310 CMR 7.24(4), Motor Vehicle Fuel Tank 
Trucks.
    The May 5, 2015 SIP revision also includes a narrative 
demonstration supporting the discontinuation of the Massachusetts Stage 
II vapor recovery program. This demonstration consists of an analysis 
that the Stage II vapor recovery controls provide only de minimis 
emission reductions due to the prevalence of ORVR-equipped vehicles.

III. EPA's Evaluation of Massachusetts' SIP Revision

    EPA has reviewed Massachusetts revised 310 CMR 7.00, 7.24(3), 
7.24(4), and 7.24(6) regulations, as well as the accompanying SIP 
narrative, and has concluded that Massachusetts' May 5, 2015 SIP 
revision is consistent with EPA's widespread use rule (77 FR 28772; May 
16, 2012) and EPA's ``Guidance on Removing Stage II Gasoline Vapor 
Control Programs from State Implementation Plans and Assessing 
Comparable Measures'' (EPA-457/B-12-001; August 7, 2012), hereafter 
referred to as EPA's Guidance Document.
    Massachusetts' May 5, 2015 SIP revision includes a CAA section 
184(b)(2) ``comparable measures'' demonstration and a CAA section 
110(l) anti-back sliding demonstration based on equations in EPA's 
Guidance Document. According to these calculations, the potential loss 
of refueling emission reductions from removing Stage II vapor recovery 
systems in 2013 is 5.12 percent, thus meeting the 10 percent de minimis 
recommendation in EPA's Guidance Document. The fact that the 
Massachusetts' demonstration is based on 2013, while the regulation 
allows decommissioning of Stage II systems beginning in 2015, 
represents a conservative estimate as the potential loss of emission 
reductions decreases over time as more and more ORVR systems are 
phased-in.
    In addition, Massachusetts' May 5, 2015 SIP revision also includes 
calculations illustrating that the overall emissions effect of removing 
the Stage II vapor recovery program would be an increase of about 463 
tons of VOC in 2013. EPA's 2011 National Emissions Inventory database, 
Version 2, illustrates that Massachusetts' statewide anthropogenic VOC 
emissions were about 147,213 tons (see www.epa.gov/ttn/chief/net/2011inventory.html). Therefore the 463 annual tons of VOC emissions 
increase calculated by Massachusetts are only about 0.3 percent of the 
total anthropogenic VOC emissions in Massachusetts. Also, as noted 
above, these foregone emissions reductions in the near term continue to 
diminish rapidly over time as ORVR phase-in continues. Thus, EPA 
believes that the resulting temporary increases in VOC emissions will 
not interfere with attainment or maintenance of the ozone National 
Ambient Air Quality Standards (NAAQS).
    Furthermore, Appendix Table A-1 of EPA's Guidance Document 
illustrates that by the end of 2016 (Massachusetts' requires that all 
GDFs decommission their Stage II vapor recovery systems by January 2, 
2017), about 85% of the vehicles in the national motor vehicle fleet 
will be equipped with ORVR. The number of ORVR-equipped vehicles in 
Massachusetts will likely be even higher due to Massachusetts having a 
more accelerated motor vehicle fleet turnover when compared to the 
national motor vehicle fleet.\2\ Appendix Table A-1 of EPA's Guidance 
Document also illustrates that by the end of 2016, almost 89% of 
gasoline dispensed nationally will be to ORVR-equipped vehicles, which 
is also likely to be higher in Massachusetts due to a newer motor 
vehicle fleet.\3\ At that point in time, since a vast majority of 
Massachusetts vehicles being refueled at gasoline dispensing facilities 
will be equipped with ORVR systems, the ORVR systems will be 
controlling the VOC emissions, making Stage II vapor recovery systems a 
redundant, and potentially incompatible, emissions control technology 
in Massachusetts. Therefore, removing the Stage II systems is not 
expected to result in a significant emissions increase, but is expected 
to avoid emissions increases resulting from the incompatibility of some 
Stage II systems with ORVR controls.
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    \2\ Air Program Support for Stage I and Stage II Programs in 
Massachusetts Final Report, Eastern Research Group, Inc. and de la 
Torre-Klausmeier Consulting, December 12, 2012, includes an analysis 
of vehicle registration data, from the Massachusetts motor vehicle 
inspection and maintenance program database, illustrating that 76% 
of motor vehicles inspected in 2011 throughout Massachusetts had 
ORVR controls. This is much more accelerated than EPA's end of 2011 
calendar year national estimate of 67.1% of vehicles in the national 
motor vehicle fleet are equipped with ORVR.
    \3\ Ibid. In 2013, 84.9% of gasoline dispensed in Massachusetts 
was dispensed to ORVR-equipped vehicles. This is slightly more 
accelerated than EPA's end of 2013 calendar year national estimate 
of 81.0% of fuel dispensed to ORVR-equipped vehicles.
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    With respect to Stage I vapor recovery requirements, Massachusetts' 
revised regulation 310 CMR 7.24(3) is more stringent than the 
previously approved version of the rule,\4\ thus meeting the CAA 
section 110(l) anti-back sliding requirements. As noted above, the 
revised rule requires upgrades to a CARB-certified EVR Stage I system 
or a Stage I system made up of EVR components by January 2, 2022, with 
an earlier January 2, 2015 compliance date in the case of a new 
facility or when system components are being replaced. CARB-certified 
Stage I EVR systems have been certified to achieve a 98 percent 
reduction in VOC emissions, as compared to 95 percent for pre-EVR Stage 
I systems. Thus, when pre-EVR Stage I systems in Massachusetts are 
replaced with CARB-certified Stage I EVR systems, a greater emission 
reduction will be achieved. Also, when a component of a pre-EVR Stage I 
systems is replaced with a CARB-certified Stage I EVR component, a 
somewhat greater reduction is expected to be achieved. These additional 
reductions will further mitigate any temporary declining emissions 
increases, which are already de minimis, resulting from removal of 
Stage II vapor recovery systems.
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    \4\ EPA's most recent approval of 310 CMR 7.24(3) was on 
September 3, 1999 (see 64 FR 48297).
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    Finally, we note that the Massachusetts regulation contains the 
following language: ``The provisions and requirements of 310 CMR 
7.24(3)(a) and (b) are subject to the enforcement provisions specified 
in 310 CMR 7.52.'' EPA notes that this language, which also appears in 
other parts of the State's regulation with respect to enforcement of 
other specific regulatory provisions, and which EPA is proposing to 
approve into the Massachusetts SIP, is not

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intended to, and does not as a matter of law, preclude enforcement of 
the SIP provisions in question through any other means authorized by 
federal law, including, but not limited to, the CAA.

IV. Proposed Action

    EPA is proposing to approve Massachusetts' May 5, 2015 SIP 
revision. Specifically, EPA is proposing to approve Massachusetts 
revised regulations 310 CMR 7.24(3), Distribution of Motor Vehicle 
Fuel, 310 CMR 7.24(4), Motor Vehicle Fuel Tank Trucks, and 310 CMR 
7.24(6), Dispensing of Motor Vehicle Fuel, as well as new and revised 
definitions, in 310 CMR 7.00, Air Pollution Control, that relate to 
Stage I and Stage II vapor recovery systems, and incorporate these 
regulations into the Massachusetts SIP. EPA is proposing to approve 
this SIP revision because it meets all applicable requirements of the 
CAA and EPA guidance, and it will not interfere with any applicable 
requirement concerning NAAQS attainment and reasonable further progress 
or with any other applicable requirement of the Clean Air Act.
    Massachusetts' May 5, 2015 SIP revision satisfies the ``comparable 
measures'' requirement of CAA section 184(b)(2), because as stated in 
EPA's Guidance Document, ``the comparable measures requirement is 
satisfied if phasing out a Stage II control program in a particular 
area is estimated to have no, or a de minimis, incremental loss of 
area-wide emissions control.'' As noted above, Massachusetts' SIP 
revision met de minimis criteria outlined in EPA's Guidance Document. 
In addition, since the resulting temporary emissions increase from the 
removal of Stage II controls are de minimis, the anti-back sliding 
requirements of CAA section 110(l) have also been satisfied.
    EPA is soliciting public comments on the issues discussed in this 
document or on other relevant matters. These comments will be 
considered before taking final action. Interested parties may 
participate in the Federal rulemaking procedure by submitting written 
comments to this proposed rule by following the instructions listed in 
the ADDRESSES section of this Federal Register.

V. Incorporation by Reference

    In this rule, the EPA is proposing to include in a final EPA rule 
regulatory text that includes incorporation by reference. In accordance 
with requirements of 1 CFR 51.5, the EPA is proposing to incorporate by 
reference Massachusetts' 310 CMR 7.00, Air Pollution Control: 
Definitions; 310 CMR 7.24(3), Distribution of Motor Vehicle Fuel; 310 
CMR 7.24(4), Motor Vehicle Fuel Tank Trucks; and 310 CMR 7.24(6) 
Dispensing of Motor Vehicle Fuel. The EPA has made, and will continue 
to make, these documents generally available electronically through 
http://www.regulations.gov and at the appropriate EPA office (see the 
ADDRESSES section of this preamble for more information).

VI. Statutory and Executive Order Reviews

    Under the Clean Air Act, the Administrator is required to approve a 
SIP submission that complies with the provisions of the Act and 
applicable Federal regulations. 42 U.S.C. 7410(k); 40 CFR 52.02(a). 
Thus, in reviewing SIP submissions, EPA's role is to approve state 
choices, provided that they meet the criteria of the Clean Air Act. 
Accordingly, this proposed action merely approves state law as meeting 
Federal requirements and does not impose additional requirements beyond 
those imposed by state law. For that reason, this proposed action:
     Is not a significant regulatory action subject to review 
by the Office of Management and Budget under Executive Order 12866 (58 
FR 51735, October 4, 1993) and 13563 (76 FR 3821, January 21, 2011);
     Does not impose an information collection burden under the 
provisions of the Paperwork Reduction Act (44 U.S.C. 3501 et seq.);
     Is certified as not having a significant economic impact 
on a substantial number of small entities under the Regulatory 
Flexibility Act (5 U.S.C. 601 et seq.);
     Does not contain any unfunded mandate or significantly or 
uniquely affect small governments, as described in the Unfunded 
Mandates Reform Act of 1995 (Pub. L. 104-4);
     Does not have Federalism implications as specified in 
Executive Order 13132 (64 FR 43255, August 10, 1999);
     Is not an economically significant regulatory action based 
on health or safety risks subject to Executive Order 13045 (62 FR 
19885, April 23, 1997);
     Is not a significant regulatory action subject to 
Executive Order 13211 (66 FR 28355, May 22, 2001);
     Is not subject to requirements of Section 12(d) of the 
National Technology Transfer and Advancement Act of 1995 (15 U.S.C. 272 
note) because application of those requirements would be inconsistent 
with the Clean Air Act; and
     Does not provide EPA with the discretionary authority to 
address, as appropriate, disproportionate human health or environmental 
effects, using practicable and legally permissible methods, under 
Executive Order 12898 (59 FR 7629, February 16, 1994).
    In addition, the SIP is not approved to apply on any Indian 
reservation land or in any other area where EPA or and Indian tribe has 
demonstrated that a tribe has jurisdiction. In those areas of Indian 
country, the rule does not have tribal implications and will not impose 
substantial direct costs on tribal governments or preempt tribal law as 
specified by Executive Order 13175 (65 FR 67249, November 9, 2000.

List of Subjects in 40 CFR Part 52

    Environmental protection, Air pollution control, Carbon monoxide, 
Incorporation by reference, Intergovernmental relations, Lead, Nitrogen 
dioxide, Ozone, Particulate matter, Reporting and recordkeeping 
requirements, Sulfur oxides, Volatile organic compounds.

    Dated: February 19, 2016.
Deborah A. Szaro,
Acting Regional Administrator, EPA New England.
[FR Doc. 2016-05027 Filed 3-8-16; 8:45 am]
 BILLING CODE 6560-50-P
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