Document ID: EPA-HQ-OAR-2002-0038-0082
Agency: epa
Document Type: Supporting & Related Material
Title: 
Posted Date: 2007-11-05T05:00Z

Information Collection Request for Requirements for Control Technology
Determinations from Major Sources in Accordance with Clean Air Act
Sections, Sections 112(g) and 112(j).

Supporting Statement

  SEQ CHAPTER \h \r 1 PART A OF THE SUPPORTING STATEMENT

			

1.	IDENTIFICATION OF THE INFORMATION COLLECTION

	(a)	Title and Number of the Information Collection

		

ICR:	Control Technology for Equivalent Emissions Limitations by Permit
under section 112(j) of the Clean Air Act.

OMB Control Number: 2060-0266, EPA ICR # 1648.06.

	(b)	Short Characterization

	Section 112(j) of the Clean Air Act as amended in 1990 (CAAA) requires
that if EPA fails to promulgate a standard for a category or subcategory
of major sources within 18 months after its scheduled date of
promulgation, then sources must submit a title V permit application 
beginning on that date.  States (with approved Title V operating permit
programs) or EPA will issue permits containing MACT emission limitations
determined on a case-by-case basis to be equivalent to what would have
been promulgated by EPA.  EPA has promulgated regulations implementing
section 112(j).    

	This ICR supports the regulations to implement section 112(j) (40 CFR
part 63, subpart B, §§63.50-56).  It addresses the information
collection burden (hours and costs) to industry respondents subject to
these provisions; State and Local agencies that review applications made
 and permits issued under these provisions; and the EPA oversight review
of a percentage of State/Local decisions.

	This ICR includes about 20,000 major sources (see Table 1) contained in
4 source categories for which MACT standards have been vacated by the
United States Court of Appeals for the District of Columbia Circuit.  We
estimate up to about 20,000 existing and new sources may have to
participate in the development of case-by-case MACT permit applications.
  The average administrative cost per source to these activities is
estimated to be $5,613.80 per source.  Total estimated administrative
costs may be up to $198,003,260 for all sources in all 4 source
categories over the next three years.  However, we expect revised MACT
standards to be promulgated within the next three years, which will
reduce the total burden associated with this ICR.

2.	NEED FOR AND USE OF THE COLLECTION

	(a)	Need/Authority for the Collection

	Section 112(j) of the Clean Air Act as amended in 1990 contains the
need and authority for this information collection. [42 U.S.C. 7401
(et.seq.)  as amended by Public Law 101-549]

	(b)	Practical Utility/Users of the Data

	The information collected in the application documents will be used for
the purposes of permit approval, compliance determination, and the
selection of particular control technology on a case-by-case basis.  The
Federal or State administrator of the operating permits program will use
the information for the case-by-case emission limit determinations.

3.	NONDUPLICATION, CONSULTATIONS, AND OTHER COLLECTION 		CRITERIA

	3(a)	Nonduplication

	The information collection activities required under the section 112(j)
regulations are not routinely collected elsewhere by EPA.  However, in
this situation, the permitting authority may likely have collected much,
if not all, of the information items previously in support of other
applications in the course of implementing or preparing to implement the
MACT standards that have been vacated.  Most permitting authorities,
though, will likely accept references to previously submitted
information in lieu of significant duplication, in accordance with
§63.53(b)(1). 

	3(b)	Public Notice Required Prior to ICR Submission to OMB

	

	A public review and comment period will occur after proposal of the
revised ICR renewal in the Federal Register.

	3(c)	Consultations

	

	 EPA did not consult with anyone since the previous ICR renewal.  

	3(d)	Effects of Less Frequent Collection

	Each applicant would submit the required information only once (a
permit application) over the term of this ICR.  There is no less
frequent collection.

	3(e)	General Guidelines

	The recordkeeping and reporting requirements contained in the section
112(j) regulations do not violate any of the Paperwork Reduction Act
guidelines contained in 5 CFR 1320.6.

	3(f)	Confidentiality

	Any information submitted to a permitting authority with a claim of
confidentiality will be safeguarded according to that agency’s
policies set forth prior to approval of the agency’s operating permit
program by EPA.  Any confidential information submitted to EPA will be
safeguarded according to policies in 40 CFR, Chapter 1, Part 2, Subpart
B -- Confidentiality of Business Information.

	3(g)	Sensitive Questions

	

	This section is not applicable.  This ICR does not contain any
sensitive questions relating to sexual behavior or attitudes, religious
beliefs, or other matters usually considered private.

4.	THE RESPONDENTS AND THE INFORMATION REQUESTED

	4(a)	Respondents/SIC Codes

	Respondents include owners/operators of major sources of hazardous air
pollutants (HAPs) in the following source categories: polyvinyl chloride
and copolymers production, brick and structural clay products
manufacturing, clay ceramics manufacturing, and industrial, commercial,
and institutional boilers and process heaters (Table 1).  A major source
is one that has the potential to emit more than 10 tons per year of any
HAP, 25 tons per year for the total of all HAP, or amounts exceeding any
lesser quantity cutoff established pursuant to §112(a)(1) of the CAA. 
The boilers source category cuts across a wide variety of industries,
including both manufacturing and nonmanufacturing sources.

	4(b)	Information Requested

	(i)	Data items, including recordkeeping requirements

	Implementation of the section 112(j) program involves information
submitted with the application for a section 112(j) determination and
development of permit terms and conditions.  Section 112(j) does not
contain recordkeeping requirements per se but will require them to
determine compliance with permit terms and conditions.  Implementation
of permit terms and condition is estimated to occur after the term of
this ICR.

	The section 112(j) regulations require a 2-part application.  Sources
will participate in development of the permit and maintain a file of the
permit.  State and local agencies that develop the permit will review
the information and develop case-by-case MACT, followed by the
permitting process and incorporation into the permit.  EPA will provide
oversight to the process.

(ii)	Respondent Activities

	

Activities (see Table 2) that the owner or operator must perform are:

Develop and submit Part 1 and Part 2 applications 

File and maintain the permit application

Work with the permitting authority to develop the permit

Participate in the public hearing

File and maintain the final permit

5.	THE INFORMATION COLLECTED -- AGENCY ACTIVITIES, COLLECTION 
METHODOLOGY, AND INFORMATION MANAGEMENT

	5(a)	Agency Activities

	This section addresses the activities of State and Local agencies, as
the permitting authority, and EPA, in an oversight capacity.  The
permitting authority, typically the State or Local air agency, will
perform the following activities (see Table 3.):

Review Part 1 and Part 2 applications and deny or approve them

Develop the emission limitations for the source

Prepare the draft permit

Conduct a public hearing

Interact with EPA

Review and analyze the public comments

Issue the permit

File and maintain the permit

Acting in an oversight capacity, EPA will perform the following
activities (see Table 4):

Review Part 1 and Part 2 applications

Review draft permits

Interact with the permitting authority

File and maintain the permit

	5(b)	Collection Methodology and Management

	The owners or operators of the sources affected by these regulations
will have the responsibility of submitting Part 1 and Part 2
applications to the permitting authority.  It is the responsibility of
the permitting authority to provide information necessary for EPA
oversight review.

	Qualified staff that work for the permitting authority will perform the
permit application reviews and check the quality of data submitted by
the applicant on a case-by-case basis.  The permitting authority’s
employees will handle confidential information submitted by the
applicant according to the permitting authority’s confidential
information handling procedures.

	The section 112(j) regulations do not require the request of
information through any type of survey.

	5(c)	Small Entity Flexibility

	Minimizing the information collection burden for all sizes of
organizations is a continuing effort on EPA’s part.  EPA has reduced
the information required by requiring only basic information needed by
the permitting authority to make a case-by-case MACT determination.

	5(d)	Collection Schedule

	This ICR does not require surveys.  Each source affected by the section
112(j) regulations is required to submit a permit application.  The
permitting authority must then develop a permit that contains terms and
condition to maintain case-by-case MACT, including recordkeeping and
reporting.

6.	ESTIMATING THE BURDEN AND COST OF THE COLLECTION

	6(a)	Estimating Respondent Burden

	This ICR requires the calculation of the amount of burden hours
associated with each activity for each respondent.  In the section
112(j) permitting process for major sources, each respondent must submit
the permit application in two parts as specified in section 4(b)(i) of
this Supporting Statement.  Most, if not all, of the information
required in the Part 2 application will have already been submitted to
the permitting authority in previous permit submittals; we expect the
burden to be relatively low for this activity.

	For the section 112(j) regulations, burden for the respondents is a
combination of administrative costs (preparing the permit applications)
and compliance costs.  The permit will be developed and issue during the
term of this ICR.

	6(b)	Estimating Respondent Costs

	(i) 	Labor costs

	

	Wage rates for industry respondents were retrieved from the Bureau of
Labor Statistics. (  HYPERLINK
(http://stats.bls.gov/news.release/archives/ecec_09202007.pdf
http://stats.bls.gov/news.release/archives/ecec_09202007.pdf , Table 11.
Employer costs per hour worked for employee compensation and costs as a
percent of total compensation: Private Industry workers, by occupational
group and full-time and part-time status, June 2007).  The hourly rates
are listed as follows:  $51.93 for management labor, $44.98 for
technical labor, and $22.63 for clerical labor.  These labor rates were
multiplied by 1.5 to account for overhead costs.  Therefore, we
estimated the hourly cost of labor for industry sources submitting
permit applications to be $77.90 for management labor, $67.47 for
technical labor, and $33.94 for clerical labor.   Table 2 provides a
breakdown of labor hours and associated costs per occurrence for each
activity in each part of the application process for existing and new
sources.

	(ii) 	Capital and Operation and Maintenance Costs

	Though difficult to determine because of the case-by-case nature of
112(j) determinations, we do not anticipate that capital or operation
and maintenance costs associated with application of section 112(j)
limits will be significantly different than such costs that have been
expended or were to be expended by sources to comply with the vacated
MACT standards.  

	6(c)	Estimating State/Local Agency Burden and Cost

	Similar to sections 6(a) and 6(b), the activities for State/Local
agencies are divided into the activities that would take place for both
parts of the application process as described in section 4(b)(i) of this
Supporting Statement.  Although the MACT standards were entirely
vacated, much of those standards can be used as case-by-case MACT.  We
expect emission limitations can be easily developed for those
subcategories and emission points that had none (a major issue in the
vacaturs); once developed, they can easily be applied across the board,
and thus the burden can be spread across thousands of permits,
minimizing the burden for each permit.  Wage rates for State/Local
employees were retrieved from the Bureau of Labor Statistics ( 
HYPERLINK (http://stats.bls.gov/news.release/archives/ecec_09202007.pdf
http://stats.bls.gov/news.release/archives/ecec_09202007.pdf , Table 4.
Employer costs per hour worked for employee compensation and costs as a
percent of total compensation:  State and local government workers, by
occupational group and full-time and part-time status, June 2007) and
are as follows: $33.11 per hour for management labor, $33.22 per hour
for technical labor, and $16.39 per hour for clerical labor.  We added
in the value of total benefits in BLS Table 4.  We chose 20 percent of
the base rate as the percentage of salary that constitutes overhead. 
The addition of benefits and overhead to the hourly rate produces a pay
rate that reflects the true cost to employ a State, Local, or Tribal
agency worker.  Following is a summary of the computed hourly wages for
State, Local, and Tribal agency employees.  

 Hourly Labor Rates for State, Local and Tribal Respondents

Labor Type	Hourly Rate	Benefits

	Overhead

(20 % Salary)	Adjusted Hourly Rate

Management	$33.11	$14.18	$6.62	$53.91

Technical	$33.22	$13.79	$6.64	$53.65

Clerical	$16.39	$10.21	$3.28	$29.88

	Table 3 provides a breakdown of labor hours and associated costs for
State/Local/Tribal agencies for existing sources and new sources,
respectively. 

	6(d)	Estimating Agency Burden and Cost

	Under the section 112(j) regulations, EPA would serve in an oversight
capacity and audit approximately 10 percent of all applications
processed by State/Local agencies.  As recommended in the ICR Handbook,
wage rates for EPA employees are based upon the Federal government pay
scale.  We calculated the hourly rates for EPA employees using
information on annual salaries from the Internet site for the Office of
Personnel Management.  (  HYPERLINK
http://www.opm.gov/oca/02tables/02rus.pdf
http://www.opm.gov/oca/07tables/pdf/rus_h.pdf ; January 2007) .  We used
the appropriate pay grade levels for management, technical, and clerical
personnel.  We divided the annual pay rate by 2080, the amount of
working hours during a calendar year, to get the hourly wage rate.  We
then multiplied this rate by 1.6 to produce a pay rate that reflects the
true cost to the Federal government to employ a worker.  The value of
1.6 incorporates the addition of benefits at 40 % of salary and the
addition of overhead at 20% of salary to the hourly rate.  Following is
a summary of the computed wages for EPA personnel.

 Hourly Labor Rates for EPA

Labor Type	Pay Grade	Annual Salary	Hourly Rate	Benefits

(40 % Salary)	Overhead

(20 % Salary)	Adjusted Hourly Rate

Management	GS-15	$104,826	$50.23	$20.09	$10.05	$80.37

Technical	GS-12	$63,417	$30.39	$12.16	$6.08	$48.63

Clerical	GS-6	$32,172	$15.42	$6.17	$3.08	$24.67

	Table 4 provides a breakdown in the amount of hours associated with
each activity and the total burden hours and cost per occurrence for
existing and new sources, respectively.

	6(e) The Respondent Universe

	In order to estimate the number of sources subject to the section
112(j) regulations, EPA reviewed information in the originally
promulgated MACT standards for the 4 source categories and allowed for a
small amount of growth in the industries.  For the boiler source
category, EPA estimates there are approximately 60,000 boilers at about
20,000 facilities (sources) that would be affected.  However, for the
boilers source category, this estimate is likely high because in the
court decision vacating the boilers rule, the court indicated that EPA
had inappropriately included certain facilities in the category.  At
this time, though, without additional information, we are unable to
determine a more appropriate estimate.  

	6(f)	Bottom Line Burden Hours and Cost

	Over the three-year period of this ICR, the estimated average annual
burden and cost associated with the section 112(j) regulations are
1,134,067 hours and $66,001,087 respectively.  Table 5 contains the
total estimated burden and cost breakdown associated with the section
112(j) regulations.  Table 6 provides a summary of the estimated bottom
line burden hours and costs associated with the section 112(j)
regulations.

	6(g)	Reasons for Change in Burden					

	The ICR 1648.04 spanned the period in which the section 112(j) rule
would have applied to any of the 59 source categories covered by the
2000 MACT standards (the 10-year bin).  This ICR would affect only the 4
source categories covered by the MACT standards that have been vacated
by the United States Court of Appeals for the District of Columbia
Circuit (see Table 1).  Unlike ICR No. 1648.04, which estimated the
burden from the Part 1 application only (because all the MACT standards
were promulgated before Part 2 applied), this ICR estimates burden for
preparing and submitting the Parts 1 and 2 permit applications,
developing the title V permit terms and conditions, and the permit
review and approval process.

	This ICR also estimates the number of responses on a facility basis
instead of an individual boiler basis as the previous ICR did, because
each facility will submit one application for the facility, not each
boiler.

	Because we believe that most, if not all, sources subject to the
vacated MACT standards have already installed controls to meet those
standards, we have not calculated compliance costs for the ICR. 
Finally, EPA has updated the labor rates for respondents, State, Local,
and Tribal agencies, and the EPA as discussed in sections 6(b), (c), and
(d) of this ICR.  These adjustments were made to more accurately reflect
the true cost of an hour of labor for the respondents, State, Local, and
Tribal agencies, and the EPA   The unloaded hourly rates are different
because they are based on the latest available rates from the BLS and
the OPM.  Table 7 provides a summary of the differences between burden
hours and costs associated with each occurrence for the previous and
current ICR.

	The difference in the burden estimate is due to the adjustments
discussed above, including number of respondents, submittal of permit
applications, development of the permit, and updated labor rates.

	6(h) 	Burden Statement

	 This estimate includes all activities associated with the respondents
or government agencies.  Overall, the section 112(j) program will have
the following average annual burden: 578,000 hours and $37,425,333 for
respondents; 549,333 hours and $28,210,867 for State/Local/Tribal
agencies; and 6,733 hours and $364,887 for the EPA.  Table 5 presents
the annual burden for respondents, State/Local agencies, and the EPA
over the next 3 years.

	Burden means the total time, effort, or financial resources expended by
persons to generate, maintain, retain, or disclose or provide
information to or for a Federal agency.  This includes the time needed
to review instructions; develop, acquire, install, and utilize
technology and systems for the purposes of collecting, validating, and
verifying information, processing and ways to comply with any previously
applicable instructions and requirements; train personnel to be able to
respond to a collection of information; search data sources; complete
and review the collection of information; and transmit or otherwise
disclose the information.  An agency may not conduct or sponsor, and a
person is not required to respond to, a collection of information unless
it displays a currently valid OMB control number.  The OMB control
numbers for EPA’s regulations are listed in 40 CFR Part 9 and 48 CFR
Chapter 15.

	Send comments on the Agency’s need for this information, the accuracy
of the provided burden estimates, and any suggested methods for
minimizing respondent burden, including through the use of automated
collection techniques to the Director, Collection Strategies Division,
Office of Environmental Information, U.S. Environmental Protection
Agency (2822), 1200 Pennsylvania Avenue, NW, Washington, DC 20460; and
to the Office of Information and Regulatory Affairs, Office of
Management and Budget, 725 17th Street, NW, Washington, DC 20503,
Attention: Desk Officer for EPA.  Include the EPA ICR number and OMB
control number in any correspondence.



Part B of the Supporting Statement

	This section is not applicable because statistical methods are not used
in the data collection associated with the section 112(j) regulations.



TABLES

								Table 1.  Source Categories for which MACT Standards have been
vacated

Source Category	Estimated # of sources at promulgation	Estimated growth
rate	Years since promulgation	Total estimated number of sources

Polyvinyl chloride and copolymers production (Part 63, Subpart J)	28	–
5	28

Brick and structural clay products manufacturing (Part 63, Subpart
JJJJJ)	68	3/yr	4	80

Clay ceramics manufacturing (Part 63, Subpart KKKKK)	8	1/yr	4	12

Industrial, Commercial, and Institutional Boilers and Process Heaters
(Part 63, Subpart DDDDD)	58,000 boilers

(~19,000 facilities)	800/yr	3	60,400 boilers

(~20,000 facilities)



 



 



 



 

 

 

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