Document ID: EPA-R05-OAR-2012-0567-0007
Agency: epa
Document Type: Proposed Rule
Title: Proposed Approval of the Indiana PM2.5 NSR Revisions to 326 IAC 2
Posted Date: 2013-11-01T04:00Z

[Federal Register Volume 78, Number 212 (Friday, November 1, 2013)]
[Proposed Rules]
[Pages 65590-65592]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2013-26267]

[[Page 65590]]

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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[EPA-R05-OAR-2012-0567; FRL-9902-36--Region 5]

Approval and Promulgation of Air Quality Implementation Plans; 
Indiana; Indiana PM2.5 NSR

AGENCY: Environmental Protection Agency (EPA).

ACTION: Proposed rule.

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SUMMARY: EPA is proposing to approve revisions to Indiana's state 
implementation plan as requested by the Indiana Department of 
Environmental Management (IDEM) to EPA on July 12, 2012, and December 
12, 2012. The revisions to Indiana's state implementation plan (SIP) 
implement certain EPA regulations for particulate matter smaller than 
2.5 micrometers (PM2.5) by establishing definitions related 
to PM2.5, defining PM2.5 increment levels, and 
setting PM2.5 class 1 variances. The revisions also 
incorporate definitions and regulations that recognize nitrogen oxides 
(NOX) as an ozone precursor.

DATES: Comments must be received on or before December 2, 2013.

ADDRESSES: Submit your comments, identified by Docket ID No. EPA-R05-
OAR-2012-0567, by one of the following methods:
    1. www.regulations.gov: Follow the on-line instructions for 
submitting comments.
    2. Email: damico.genevieve@epa.gov.
    3. Fax: (312) 385-5501.
    4. Mail: Genevieve Damico, Chief, Air Permits Section, Air Programs 
Branch (AR-18J), U.S. Environmental Protection Agency, 77 West Jackson 
Boulevard, Chicago, Illinois 60604.
    5. Hand Delivery: Genevieve Damico, Chief, Air Permits Section, Air 
Programs Branch (AR-18J), U.S. Environmental Protection Agency, 77 West 
Jackson Boulevard, Chicago, Illinois 60604. Such deliveries are only 
accepted during the Regional Office normal hours of operation, and 
special arrangements should be made for deliveries of boxed 
information. The Regional Office official hours of business are Monday 
through Friday, 8:30 a.m. to 4:30 p.m., excluding Federal holidays.
    Instructions: Direct your comments to Docket ID No. EPA-R05-OAR-
2012-0567. EPA's policy is that all comments received will be included 
in the public docket without change and may be made available online at 
www.regulations.gov, including any personal information provided, 
unless the comment includes information claimed to be Confidential 
Business Information (CBI) or other information whose disclosure is 
restricted by statute. Do not submit information that you consider to 
be CBI or otherwise protected through www.regulations.gov or email. The 
www.regulations.gov Web site is an ``anonymous access'' system, which 
means EPA will not know your identity or contact information unless you 
provide it in the body of your comment. If you send an email comment 
directly to EPA without going through www.regulations.gov your email 
address will be automatically captured and included as part of the 
comment that is placed in the public docket and made available on the 
Internet. If you submit an electronic comment, EPA recommends that you 
include your name and other contact information in the body of your 
comment and with any disk or CD-ROM you submit. If EPA cannot read your 
comment due to technical difficulties and cannot contact you for 
clarification, EPA may not be able to consider your comment. Electronic 
files should avoid the use of special characters, any form of 
encryption, and be free of any defects or viruses. For additional 
instructions on submitting comments, go to Section I of the 
SUPPLEMENTARY INFORMATION section of this document.
    Docket: All documents in the docket are listed in the 
www.regulations.gov index. Although listed in the index, some 
information is not publicly available, e.g., CBI or other information 
whose disclosure is restricted by statute. Certain other material, such 
as copyrighted material, will be publicly available only in hard copy. 
Publicly available docket materials are available either electronically 
in www.regulations.gov or in hard copy at the Environmental Protection 
Agency, Region 5, Air and Radiation Division, 77 West Jackson 
Boulevard, Chicago, Illinois 60604. This facility is open from 8:30 
a.m. to 4:30 p.m., Monday through Friday, excluding Federal holidays. 
We recommend that you telephone Michael Langman, Environmental 
Scientist, at (312) 886-6867 before visiting the Region 5 office.

FOR FURTHER INFORMATION CONTACT: Michael Langman, Environmental 
Scientist, Air Permits Section, Air Programs Branch (AR-18J), 
Environmental Protection Agency, Region 5, 77 West Jackson Boulevard, 
Chicago, Illinois 60604, (312) 886-6867, langman.michael@epa.gov.

SUPPLEMENTARY INFORMATION: Throughout this document whenever ``we,'' 
``us,'' or ``our'' is used, we mean EPA. This supplementary information 
section is arranged as follows:

I. What should I consider as I prepare my comments for EPA?
II. What is the background information for this action?
    A. PM2.5-Related Actions
    B. Ozone-Related Actions
    C. Indiana's Actions
III. What are the revisions that the State submitted for approval?
    A. Rule 326 IAC 2-2-1, Definitions
    B. Rule 326 IAC 2-2-4, Air Quality Analysis; Requirements
    C. Rule 326 IAC 2-2-6, Increment Consumption; Requirements
    D. Rule 326 IAC 2-2-14, Sources Impacting Federal Class I Areas; 
Additional Requirements
    E. Rule 326 IAC 2-3-1, Definitions
    F. Rule 326 IAC 5-1-5, Violations
IV. What action is EPA taking?
V. Statutory and Executive Order Reviews

I. What should I consider as I prepare my comments for EPA?

    When submitting comments, remember to:
    1. Identify the rulemaking by docket number and other identifying 
information (subject heading, Federal Register date and page number).
    2. Follow directions--EPA may ask you to respond to specific 
questions or organize comments by referencing a Code of Federal 
Regulations (CFR) part or section number.
    3. Explain why you agree or disagree; suggest alternatives and 
substitute language for your requested changes.
    4. Describe any assumptions and provide any technical information 
and/or data that you used.
    5. If you estimate potential costs or burdens, explain how you 
arrived at your estimate in sufficient detail to allow for it to be 
reproduced.
    6. Provide specific examples to illustrate your concerns, and 
suggest alternatives.
    7. Explain your views as clearly as possible, avoiding the use of 
profanity or personal threats.
    8. Make sure to submit your comments by the comment period deadline 
identified.

II. What is the background information for this action?

    IDEM has requested EPA's approval of several revisions to Indiana's 
SIP. These revisions were made to comply with regulations enacted to 
address the PM2.5 national ambient air quality standards 
(NAAQS) and also to include NOX as a precursor to ozone. 
These revisions implement the new source review (NSR) and prevention of 
significant deterioration (PSD) program, as required by EPA's 
regulations.

[[Page 65591]]

A. PM2.5-Related Actions

    On April 25, 2007, EPA published (72 FR 20586) as a final rule in 
the Federal Register the ``Clean Air Fine Particle Implementation 
Rule''. This action provides rules and guidance for the Clean Air Act 
requirements for SIPs to implement the 1997 fine particle NAAQS. As 
part of this rulemaking, EPA promulgated 40 CFR part 51, subpart Z 
``Provisions for Implementation of PM2.5 National Ambient 
Air Quality Standards''. 40 CFR part 51, subpart Z outlines the 
requirements that a state SIP must meet to implement and comply with 
the PM2.5 NAAQS. The final rule became effective on May 29, 
2007.
    On May 16, 2008, EPA published (73 FR 28321) as a final rule in the 
Federal Register the ``Implementation of the New Source Review (NSR) 
Program for Particulate Matter Less than 2.5 Micrometers 
(PM2.5)''. These regulations establish the PM2.5 
NSR program. Among the finalized elements of the PM2.5 NSR 
program are provisions establishing the PM2.5 major source 
threshold, significant emissions rate, and applicability of NSR to 
PM2.5 precursors. This final rule became effective on July 
15, 2008.

B. Ozone-Related Actions

    On November 29, 2005, EPA published (70 FR 71612) in the Federal 
Register the ``Final Rule to Implement the 8-Hour Ozone National 
Ambient Air Quality Standard--Phase 2''. Part of this rule established, 
among other requirements, NOX as a precursor to ozone. The 
final rule became effective on January 30, 2006.

C. Indiana's Actions

    In response to EPA's actions regarding PM2.5 and ozone, 
Indiana began the process to revise its state environmental rules to 
comply with the new regulations. During the rulemaking process, Indiana 
promulgated ``emergency rules'' designed to implement the regulations 
required by EPA's PM2.5- and ozone-related actions. These 
emergency rules mirrored in substance the regulations Indiana intended 
to adopt. On June 11, 2012, Indiana adopted regulations implementing 
the required PM2.5 and NOX ozone precursor 
regulations. The revisions to Indiana's environmental regulations 
became effective on July 11, 2012.
    On July 12, 2012, IDEM sent a letter to EPA requesting EPA's 
approval of parts of the revisions made to Indiana's SIP. These changes 
define ``direct PM2.5,'' addresses precursors to ozone and 
PM2.5, and revises existing definitions within Indiana's SIP 
to reflect these changes. In the same letter, Indiana requested EPA's 
approval to revisions made to its title V operating permit program.
    On December 12, 2012, IDEM submitted a second letter to EPA 
requesting approval of additional revisions to Indiana's SIP beyond 
those requested on July 12, 2012. The requested revisions modify 
provisions related to PM2.5 class I variances, increment 
consumption, and baseline dates.
    Indiana also made other revisions to its state environmental 
regulations such as adding language intended to make some regulations 
clearer while maintaining their current meaning. Since IDEM did not 
submit these revisions to EPA for approval into the SIP, EPA will not 
be taking action on them.

III. What are the revisions that the state submitted for approval?

    The revisions IDEM submitted for EPA's approval implement the 
PM2.5 NAAQS, PM2.5 NSR program and regulations 
related to NOX as a precursor to ozone. The submittal 
includes a request to approve revisions made to Indiana's state 
regulations at 326 Indiana Administrative Code (IAC) 326 IAC 2-2-1, 326 
IAC 2-2-4, 326 IAC 2-2-6, 326 IAC 2-2-14, 326 IAC 2-3-1 and 326 IAC 5-
1-5.
    As part of this submittal, Indiana also requested revisions to 326 
IAC 2-1.1-3 establishing exemptions that may apply to new sources, 
modifications to existing sources, and revisions of existing operating 
permits. However, these revisions are for regulations EPA had not 
previously approved into Indiana's SIP. Since these regulations were 
not previously approved into the SIP and are not being proposed as a 
new addition to the SIP, EPA will not be taking action on 326 IAC 2-
1.1-3(d)(2)(A), 2-1.1-3(e)(1)(A), and 2-1.1-3(h)(2)(B)(xi)at this time.
    Indiana also requested EPA to approve changes to Indiana's title V 
program found at 326 IAC 2-7. However, revisions to the title V program 
should be included as part of a separate title V program submission and 
not part of a SIP approval. For this reason, EPA will not be taking 
action on revisions to 326 IAC 2-7-1(21)(E)(vi) and 2-7-
1(42)(C)(ii)(FF) in this proposal.
    A description and analysis of the SIP revisions for approval 
follows.

A. Rule 326 IAC 2-2-1, Definitions

    Indiana has revised several definitions at 326 IAC 2-2-1. The 
revisions are summarized in the following paragraphs.
    The definition of ``major source baseline date'' at 326 IAC 2-2-
1(ee)(3) adds October 20, 2010, as the major source baseline date for 
PM2.5. This is consistent with 40 CFR 51.166(b)(14)(i)(c).
    The definition of ``baseline area'' at 326 IAC 2-2-1(f)(1) was 
revised to explicitly identify pollutant air quality impacts that would 
define a baseline area where a minor source baseline date is already 
established. This revision is consistent with 40 CFR 51.166(b)(15)(i).
    Indiana's revision of ``minor source baseline date'' at 326 IAC 2-
2-1(gg)(1)(c) establishes October 20, 2011, as the trigger date for 
PM2.5. This is consistent with 40 CFR 51.166(b)(14)(ii)(c).
    The previously listed revised definitions are consistent with 
definitions found at 40 CFR 51.166(b). EPA finds the revisions to 326 
IAC 2-2-1 approvable.

B. Rule 326 IAC 2-2-4, Air Quality Analysis; Requirements

    Indiana revised 326 IAC 2-2-4(b)(2)(A)(vi) requiring ozone ambient 
air quality data to be provided if the net increase of NOX 
is more than 100 tons per year. Because this revision is consistent 
with 40 CFR 51.166(i)(5)(i)(f), EPA approved it on October 29, 2012 (77 
FR 65478). However, this revision was incorrectly cited as 326 IAC 2-2-
4(b)(2)(vi). EPA is correcting the citation with this action.
    Indiana also revised 326 IAC 2-2-4(c)(4) by allowing an owner or 
operator of a proposed major stationary source or major modification of 
volatile organic compounds (VOC) or NOX who satisfies all 
conditions of 40 CFR part 51, appendix S, section IV, to provide post-
approval monitoring data for ozone in lieu of preconstruction data. 
This revision differs from the regulation found at 40 CFR 
51.166(m)(1)(v), which allows a SIP to authorize the submission of 
post-approval monitoring data for ozone in lieu of providing 
preconstruction data for VOC but not NOX . However, 
NOX and VOC are both considered ozone precursors under PSD 
regulations.\1\ 326 IAC 2-2-4(c)(4), as revised, allows the submission 
of both VOC and NOX post-approval monitoring

[[Page 65592]]

data only when evaluating their impact as ozone precursors. This 
revision does not create an exclusion for NOX with regard to 
preconstruction monitoring for other applicable NAAQS, such as the 
NO2 NAAQS or the PM2.5 NAAQS. Because the option 
to provide NOX post-approval data in lieu of preconstruction 
monitoring data is narrowly restricted to its role as an ozone 
precursor, EPA finds this revision to be approvable.
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    \1\ For example, in the preamble to ``Final Rule To Implement 
the 8-Hour Ozone National Ambient Air Quality Standard-Phase 2'' (70 
FR 71612), EPA includes NOX as an ozone precursor, citing 
its role in ozone formation and transport.
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C. Rule 326 IAC 2-2-6, Increment Consumption; Requirements

    Indiana has revised 326 IAC 2-2-6(b) by adding allowable 
PM2.5 increments as listed in 40 CFR 51.166(c)(1). Other 
revisions to 326 IAC 2-2-6(b) which do not change the overall meaning 
of the regulation include changing the word ``such'' to ``the'' and 
abbreviating ``particulate matter'' as ``PM.'' EPA finds this revision 
to be approvable.

D. Rule 326 IAC 2-2-14, Sources Impacting Federal Class I Areas; 
Additional Requirements

    Indiana revised 326 IAC 2-2-14(e) by adding class I variances for 
PM2.5. This revision is consistent with 40 CFR 51.166(p)(4). 
EPA finds this revision to be approvable.

E. Rule 326 IAC 2-3-1, Definitions

    The definition of ``regulated NSR pollutant'' at 326 IAC 2-3-
1(mm)(3) identifies ozone and PM2.5 precursors in 
nonattainment areas. This change is consistent with 40 CFR 
51.165(a)(1)(xxxvii). EPA finds this revision to be approvable.
    The definition of ``significant'' at 326 IAC 2-3-1(pp) has also 
been revised by adding the significant emission rate for 
PM2.5 and by changing the phrase ``oxides of nitrogen'' to 
``nitrogen oxides.'' This change is consistent with 40 CFR 
51.165(a)(1)(x). EPA finds this revision to be approvable.

F. 326 IAC 5-1-5, Violations

    326 IAC 5-1-5(b)(1)(E) requires owners and operators to submit, as 
part of the petition requesting alternate opacity limits, applicable 
particulate matter limits. Under the currently approved SIP, the only 
applicable particulate matter limits are those associated with PM and 
PM10, but not PM2.5. Indiana has revised 326 IAC 
5-1-5(b)(1)(E) to require owners and operators of sources and 
facilities seeking alternate opacity limits to submit PM, 
PM10, or PM2.5 limits. EPA finds this revision 
approvable because the revised SIP provision is more stringent since it 
now requires PM2.5 limits to be submitted with petitions 
requesting alternate opacity limits.

IV. What action is EPA taking?

    EPA is proposing to approve revisions to Indiana's SIP that 
implements a portion of the PM2.5 requirements and also 
incorporates NOX as an ozone precursor. These revisions were 
made to meet EPA's requirements for Indiana's PSD and NSR program and 
are consistent with Federal regulations. Specifically, EPA is proposing 
to approve the following:

(i) 326 IAC 2-2-1(ee)(3);
(ii) 326 IAC 2-2-1(f)(1);
(iii) 326 IAC 2-2-1(gg)(1)(c);
(iv) 326 IAC 2-2-4(b)(2)(A)(vi);
(v) 326 IAC 2-2-4(c)(4);
(vi) 326 IAC 2-2-6(b);
(vii) 326 IAC 2-2-14(e);
(viii) 326 IAC 2-3-1(mm)(3);
(ix) 326 IAC 2-3-1(pp); and
(x) 326 IAC 5-1-5(b)(1)(E).
    EPA is taking no action with respect to 326 IAC 2-1.1-3(d)(2)(A), 
326 IAC 2-1.1-3(e)(1)(A), and 326 IAC 2-1.1-3(h)(2)(B)(xi) because 
Indiana requested EPA to take action on revisions made to the state's 
regulations that were not previously approved into Indiana's SIP. If 
Indiana requests in the future that EPA take action with respect to 
these regulations as part of a separate SIP submission, EPA will do so 
at that time.
    EPA is taking no action with respect to the revisions made to 
Indiana's title V program at 326 IAC 2-7-1(21)(E)(vi) and 326 IAC 2-7-
1(42)(C)(ii)(FF) because the title V program is approved as a program 
separate from Indiana's SIP. EPA will take action on the revisions to 
Indiana's title V program as part of a title V program submission.

V. 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 Clean Air 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 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 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);
     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, this rule does not have tribal implications as specified 
by Executive Order 13175 (65 FR 67249, November 9, 2000), because the 
SIP is not approved to apply in Indian country located in the state, 
and EPA notes that it will not impose substantial direct costs on 
tribal governments or preempt tribal law.

List of Subjects in 40 CFR Part 52

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

    Dated: October 21, 2013.
Susan Hedman,
Regional Administrator, Region 5.
[FR Doc. 2013-26267 Filed 10-31-13; 8:45 am]
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