[Federal Register Volume 66, Number 107 (Monday, June 4, 2001)]
[Notices]
[Pages 29948-29951]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-13947]


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ENVIRONMENTAL PROTECTION AGENCY

[FRL-6985-5]


Proposed Modification to the NPDES General Permit for the Western 
Portion of the Outer Continental Shelf of the Gulf of Mexico 
(GMG290000)

AGENCY: Environmental Protection Agency (EPA).

ACTION: Notice of Proposed NPDES General Permit Reissuance.

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SUMMARY: The Regional Administrator of Region 6 today proposes to 
modify the National Pollutant Discharge Elimination System (NPDES) 
general permit for the Western Portion of the Outer Continental Shelf 
of the Gulf of Mexico (No. GMG290000) for discharges from existing and 
new dischargers and New Sources in the Offshore Subcategory of the Oil 
and Gas Extraction Point Source Category as authorized by section 402 
of the Clean

[[Page 29949]]

Water Act, 33 U.S.C. 1342. The permit, reissued on April 19, 1999 and 
published in the Federal Register at 64 FR 19156, authorizes discharges 
from exploration, development, and production facilities located in and 
discharging to Federal waters of the Gulf of Mexico seaward of the 
outer boundary of the territorial seas off Louisiana and Texas. 
Discharges of produced water to Federal waters from facilities located 
in the territorial seas are also authorized. Through this modification, 
EPA proposes to include new authorizations to discharge drill cuttings 
produced using synthetic and other non-aqueous based drilling fluids 
and waste water used to pressure test existing piping and pipelines.
    Only the proposed modification to the permit is being opened for 
comment. Existing conditions such as those authorizing the discharge of 
produced water and water based drilling fluids are not open for 
comment.

DATES: Comments must be received by August 3, 2001.

ADDRESSES: Comments should be sent to: Regional Administrator, Region 
6, U.S. Environmental Protection Agency, 1445 Ross Avenue, Dallas, 
Texas 75202-2733.
    Comments may also be submitted via EMAIL to the following address: 
<a href="/cdn-cgi/l/email-protection#72011f1b061a5c161b131c17321702135c151d04"><span class="__cf_email__" data-cfemail="2b5846425f43054f424a454e6b4e5b4a054c445d">[email protected]</span></a>

FOR FURTHER INFORMATION CONTACT: Ms. Diane Smith, Region 6, U.S. 
Environmental Protection Agency, 1445 Ross Avenue, Dallas, Texas 75202-
2733. Telephone: (214) 665-7191.
    A complete draft permit and/or a fact sheet more fully explaining 
the proposal may be obtained from Ms. Smith. In addition, the Agency's 
current administrative record on the proposal is available for 
examination at the Region's Dallas offices during normal working hours 
after providing Ms. Smith 24 hours advance notice. Additionally, a copy 
of the proposed permit, fact sheet, and this Federal Register Notice 
may be obtained on the Internet at: http://www.epa.gov/earth1r6/6wq/6wq.htm

SUPPLEMENTARY INFORMATION:

Regulated Entities

    EPA intends to use the proposed permit modification to regulate oil 
and gas extraction facilities located in the Outer Continental Shelf of 
the Western Gulf of Mexico, e.g., offshore oil and gas extraction 
platforms, but other types of facilities may also be subject to the 
permit. To determine whether your (facility, company, business, 
organization, etc.) may be affected by today's action, you should 
carefully examine the applicability criteria in Part I, Section A.1 of 
the draft permit. Questions on the permit's application to specific 
facilities may also be directed to Ms. Smith at the telephone number or 
address listed above.
    The permit contains limitations conforming to EPA's Oil and Gas 
extraction, Offshore Subcategory Effluent Limitations Guidelines at 40 
CFR part 435 and additional requirements assuring that regulated 
discharges will cause no unreasonable degradation of the marine 
environment, as required by section 403(c) of the Clean Water Act. 
Specific information on the derivation of those limitations and 
conditions is contained in the fact sheet. EPA Region 6 does not 
propose to change the existing limitations and conditions in the 
permit. It is, however, proposing minor wording changes to some of 
those requirements to enhance their clarity.
    Region 6 proposes to authorize new discharges of drill cuttings 
which are generated using synthetic and other non-aqueous based 
drilling fluids. Those new drill cuttings discharges are proposed to be 
subject to limits and monitoring for: sediment toxicity, 
biodegradation, polynuclear aromatic hydrocarbons, formation oil 
contamination, and the percentage of drilling fluids retained on 
cuttings. In addition, the existing limits of: No free oil, cadmium and 
mercury in barite, no diesel, and suspended particulate phase toxicity 
are proposed to apply to cuttings generated using non-aqueous based 
drilling fluids. Discharges of seawater and freshwater which have been 
used to pressure test existing pipelines and piping, to which treatment 
chemicals have been added, are also proposed to be authorized. Those 
seawater and freshwater discharges are proposed to be subject to 
limitations on free oil, concentration of treatment chemicals, and 
acute toxicity. These new permit limitations will apply technology 
based limitations to drill cuttings discharges generated using non-
aqueous based drilling fluids and miscellaneous discharges to which 
treatment chemicals such as biocides and corrosion inhibitors have been 
added. They will also ensure that those discharges meet Ocean Discharge 
Criteria under section 403(c) of the Clean Water Act.

Other Legal Requirements

Oil Spill Requirements

    Section 311 of the CWA, ``the Act,'' prohibits the discharge of oil 
and hazardous materials in harmful quantities. Discharges that are in 
compliance with NPDES permits are excluded from the provisions of 
section 311. However, the permit does not preclude the institution of 
legal action or relieve permittees from any responsibilities, 
liabilities, or penalties for other, unauthorized discharges of oil and 
hazardous materials which are covered by section 311 of the Act.

Endangered Species Act

    The Environmental Protection Agency has evaluated the potential 
effects of issuance of this permit modification upon listed threatened 
or endangered species. Based on that evaluation, EPA has determined 
that authorization of the new discharges is not likely to adversely 
affect any listed threatened or endangered species. The proposal 
contains extensive controls to minimize the quantity and toxicity of 
discharged pollutants. While including limits which will minimize the 
discharge of toxic pollutants such as polynuclear aromatic 
hydrocarbons, cadmium, and mercury discharged with drill cuttings, the 
proposal also limits both the water column and sediment toxicity of the 
discharges. Limits to ensure that drilling fluids which are used will 
degrade relatively quickly are also contained in the proposal. 
Likewise, the proposed authorization of the new discharge of chemically 
treated sea water or fresh water which has been used to hydrostatically 
test existing piping and existing pipelines includes controls on the 
amount of treatment chemical used and toxicity of the discharge and 
prohibits the discharge of free oil. Requirements proposed for both 
these new discharges are consistent with Ocean Discharge Criteria (40 
CFR part 125, subpart M) and ensure that sensitive marine species are 
protected.
    Based on the available information and analysis of the discharges 
described in the Fact Sheet for this proposed modification EPA Region 6 
has determined that authorization of the proposed discharges is not 
likely to adversely affect listed threatened or endangered species. EPA 
is seeking written concurrence from the National Marine Fisheries 
Service (NMFS) on this determination.

Ocean Discharge Criteria Evaluation

    For discharges into waters of the territorial sea, contiguous zone, 
or oceans CWA section 403 requires EPA to consider guidelines for 
determining potential degradation of the marine environment in issuance 
of NPDES permits. These Ocean Discharge Criteria (40 CFR part 125, 
subpart M) are intended to ``prevent unreasonable degradation of the 
marine environment and to authorize imposition of effluent

[[Page 29950]]

limitations, including a prohibition of discharge, if necessary, to 
ensure this goal'' (45 FR 65942, October 3, 1980). EPA Region 6 has 
previously determined that discharges in compliance with the Western 
Gulf of Mexico Outer Continental Shelf general permit (GMG290000) will 
not cause unreasonable degradation of the marine environment. Since 
this proposed modification contains limitations which will protect 
water quality and in general reduce the discharge of toxic pollutants 
to the marine environment, the Region finds that discharges proposed to 
be authorized by the modification to the general permit will not cause 
unreasonable degradation of the marine environment.

Coastal Zone Management Act

    EPA has determined that the activities which are proposed to be 
authorized by this permit modification are consistent with the local 
and state Coastal Zone Management Plans. The proposed permit and 
consistency determination will be submitted to the State of Louisiana 
and the State of Texas for interagency review at the time of public 
notice.

Marine Protection, Research, and Sanctuaries Act

    The Marine Protection, Research and Sanctuaries Act (MPRSA) of 1972 
regulates the dumping of all types of materials into ocean waters and 
establishes a permit program for ocean dumping. In addition the MPRSA 
establishes Marine Sanctuaries Program, implemented by the National 
Oceanographic and Atmospheric Administration (NOAA), which requires 
NOAA to designate ocean waters as marine sanctuaries for the purpose of 
preserving or restoring their conservation, recreational, ecological or 
aesthetic values. Pursuant to the Marine Protection and Sanctuaries 
Act, the National Oceanographic and Atmospheric Administration has 
designated the Flower Garden Banks, an area within the coverage of the 
OCS general permit, a marine sanctuary. The OCS general permit 
prohibits discharges in areas of biological concern, including marine 
sanctuaries. Changes to the permit proposed today will not affect that 
prohibition.

State Water Quality Standards and State Certification

    The permit modification does not authorize discharges to State 
Waters; therefore, the state water quality certification provisions of 
CWA section 401 do not apply to this proposed action.

Executive Order 12866

    The Office of Management and Budget (OMB) has exempted this action 
from the review requirements of Executive Order 12291 pursuant to 
Section 8(b) of that order. Guidance on Executive Order 12866 contain 
the same exemptions on OMB review as existed under Executive Order 
12291. In fact, however, EPA prepared a regulatory impact analysis in 
connection with its promulgation of guidelines on which a number of the 
permit's provisions are based and submitted it to OMB for review. See 
58 FR 12494.

Paperwork Reduction Act

    The information collection required by this permit has been 
approved by the Office of Management and Budget (OMB) under the 
provisions of the Paperwork Reduction Act, 44 U.S.C. 3501 et seq., in 
submission made for the NPDES permit program and assigned OMB control 
numbers 2040-0086 (NPDES permit application) and 2040-0004 (discharge 
monitoring reports).
    Since this permit modification will not significantly change the 
reporting and application requirements which are required under the 
Western Gulf of Mexico Outer Continental Shelf (OCS) general permit 
(GMG290000), and the paperwork burdens are expected to be nearly 
identical. When it issued the previous OCS general permit, EPA 
estimated it would take an affected facility three hours to prepare the 
request for coverage and 38 hours per year to prepare discharge 
monitoring reports. It is estimated that the time required to prepare 
the request for coverage and discharge monitoring reports for the 
reissued permit will be the same and will not be affected by this 
action.
    However, the alternative to obtaining authorization to discharge 
under this general permit is under an individual permit. The 
application and reporting burden of obtaining authorization to 
discharge under the general permit is expected to be significantly less 
than under an individual permit.

Regulatory Flexibility Act

    The Regulatory Flexibility Act, 5 U.S.C. 601 et seq, requires that 
EPA prepare a regulatory flexibility analysis for regulations that have 
a significant impact on a substantial number of small entities. As 
indicated below, the permit modification proposed today is not a 
``rule'' subject to the Regulatory Flexibility Act . EPA prepared a 
regulatory flexibility analysis, however, on the promulgation of the 
Offshore Subcategory guidelines on which many of the permit's effluent 
limitations are based. That analysis shows that issuance of this permit 
modification will not have a significant impact on a substantial number 
of small entities.

Unfunded Mandates Reform Act

    Section 201 of the Unfunded Mandates Reform Act (UMRA), Public Law 
104-4, generally requires Federal agencies to assess the effects of 
their ``regulatory actions'' on State, local, and tribal governments 
and the private sector. UMRA uses the term ``regulatory actions'' to 
refer to regulations. (See, e.g., UMRA section 201, ``Each agency shall 
* * * assess the effects of Federal regulatory actions * * * (other 
than to the extent that such regulations incorporate requirements 
specifically set forth in law)'' (emphasis added)). UMRA section 102 
defines ``regulation'' by reference to section 658 of Title 2 of the 
U.S. Code, which in turn defines ``regulation'' and ``rule'' by 
reference to section 601(2) of the Regulatory Flexibility Act (RFA). 
That section of the RFA defines ``rule'' as ``any rule for which the 
agency publishes a notice of proposed rulemaking pursuant to section 
553(b) of [the Administrative Procedure Act (APA)], or any other law * 
* * ''
    NPDES general permits are not ``rules'' under the APA and thus not 
subject to the APA requirement to publish a notice of proposed 
rulemaking. NPDES general permits are also not subject to such a 
requirement under the CWA. While EPA publishes a notice to solicit 
public comment on draft general permits, it does so pursuant to the CWA 
section 402(a) requirement to provide ``an opportunity for a hearing.'' 
Thus, NPDES general permits are not ``rules'' for RFA or UMRA purposes.
    EPA has determined that the proposed permit modification would not 
contain a Federal requirement that may result in expenditures of $100 
million or more for State, local and tribal governments, in the 
aggregate, or the private sector in any one year.
    The Agency also believes that the permit would not significantly 
nor uniquely affect small governments. For UMRA purposes, ``small 
governments'' is defined by reference to the definition of ``small 
governmental jurisdiction'' under the RFA. (See UMRA section 102(1), 
referencing 2 U.S.C. 658, which references section 601(5) of the RFA.) 
``Small governmental jurisdiction'' means governments of cities, 
counties, towns, etc., with a population of less than 50,000, unless 
the agency establishes an alternative definition.

[[Page 29951]]

    The permit, as proposed, also would not uniquely affect small 
governments because compliance with the proposed permit conditions 
affects small governments in the same manner as any other entities 
seeking coverage under the permit. Additionally, EPA does not expect 
small governments to operate facilities authorized to discharge by this 
permit.

National Environmental Policy Act

    When it was proposed, EPA determined that issuance of the now 
expired NPDES New Source General Permit for the Western Portion of the 
Outer Continental Shelf of the Gulf of Mexico was a major Federal 
action significantly affecting the quality of the human environment. 
Thus, pursuant to the National Environmental Policy Act of 1969, 
evaluation of the potential environmental consequences of the permit 
action in the form of an Environmental Impact Statement (EIS) was 
required. The Minerals Management Service had previously examined the 
environmental consequences in their final EIS which was conducted for 
oil and gas lease sales 142 and 143 in the OCS Region of the Gulf of 
Mexico. EPA adopted that EIS and prepared a Supplemental EIS (SEIS) to 
allow for additional consideration and evaluation of potential impacts 
on air quality, water quality, including radium in produced water, and 
cumulative effects. The Final SEIS was completed in December 1994 and 
the Record of Decision was prepared and dated September 28, 1995. The 
Minerals Management Service has also subsequently examined the effects 
of these activities in EIS's for additional lease sales.
    Modification of the NPDES general permit for New and Existing 
Sources in the Western Portion of the Outer Continental Shelf of the 
Gulf of Mexico will not result in any new impacts which were not 
subjected to NEPA analysis in either Mineral Management Service's EIS 
or the SEIS produced by EPA Region 6. All discharges proposed to be 
authorized by the permit were addressed in those NEPA Reviews. Thus EPA 
does not propose to prepare a supplemental environmental impact 
statement for this action.

Sam Becker,
Acting Director, Water Quality Protection Division, Region 6.
[FR Doc. 01-13947 Filed 6-1-01; 8:45 am]
BILLING CODE 6560-50-U


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