Document ID: EPA-HQ-OAR-2003-0130-0176
Agency: epa
Document Type: Proposed Rule
Title: Protection of Stratospheric Ozone: Minor Amendments to the Regulations Implementing the Allowance System for Controlling HCFC Production, Import and Export
Posted Date: 2006-07-20T13:35:06Z

[Federal Register: July 20, 2006 (Volume 71, Number 139)]
[Proposed Rules]               
[Page 41192-41196]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr20jy06-20]                         

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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 82

[EPA-HQ-OAR-2003-0130; FRL-8200-1]
RIN 2060-AL90

 
Protection of Stratospheric Ozone: Minor Amendments to the 
Regulations Implementing the Allowance System for Controlling HCFC 
Production, Import and Export

AGENCY: Environmental Protection Agency (EPA).

ACTION: Proposed rule.

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SUMMARY: EPA is proposing to amend the current regulations governing 
the production and trade of certain ozone-depleting substances to 
address issues concerning the export of previously imported material, 
heels, the exemption allowance petition process for HCFC-141b for 
military and space vehicle applications, and the definition for 
``importer.'' We are proposing these minor adjustments to our 
regulations in response to requests from the regulated community, to 
ensure equitable treatment of stakeholders, and to reduce burden where 
the integrity of the requirements can still be sufficiently maintained. 
These proposed amendments appear in the ``Rules and Regulations'' 
section of this Federal Register as a direct final rule.

DATES: Comments must be submitted by August 21, 2006, or by September 
5, 2006 if a hearing is requested by July 31, 2006. If requested, a 
hearing will be held on August 4, 2006 and the comment period will be 
extended until September 5, 2006.

ADDRESSES: Submit your comments, identified by Docket ID No. EPA-HQ-
OAR-2003-0130, by one of the following methods:
     http://www.regulations.gov: Follow the on-line 

instructions for submitting comments.
     E-mail: a-and-r-Docket@epa.gov.
     Fax: 202-566-1741.
     Mail: Docket , Air and Radiation Docket and 
Information Center, U.S. Environmental Protection Agency, Mail Code: 
6102T, 1200 Pennsylvania Ave., NW., Washington, DC 20460.
     Hand Delivery: Docket EPA-HQ-OAR-2003-0130, Air 
and Radiation Docket at EPA West, 1301 Constitution Avenue NW., Room 
B108, Mail Code 6102T, Washington, DC 20460. Such deliveries are only 
accepted during the Docket's normal hours of operation, and special 
arrangements should be made for deliveries of boxed information.
    Instructions: Direct your comments to Docket ID No. EPA-HQ-OAR-
2003-0130. EPA's policy is that all comments received will be included 
in the public docket without change and may be made available online at 
http://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 http://www.regulations.gov or e-mail. 

The http://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 e-
mail comment directly to EPA without going through http://www.regulations.gov 

your e-mail 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 
information about EPA's public docket visit the EPA Docket Center 
homepage at http://www.epa.gov/epahome/dockets.htm.

FOR FURTHER INFORMATION CONTACT: Cindy Axinn Newberg, EPA, 
Stratospheric Protection Division, Office of Atmospheric Programs, 
Office of Air and Radiation (6205J), 1200 Pennsylvania Avenue, NW., 
Washington, DC 20460, (202) 343-9729, newberg.cindy@epa.gov.

SUPPLEMENTARY INFORMATION: (1) Under the Montreal Protocol on 
Substances that Deplete the Ozone Layer (Protocol), as amended, the 
U.S. and other industrialized countries that are Parties to the 
Protocol have agreed to limit production and consumption of 
hydrochlorofluorocarbons (HCFCs) and to phase out consumption in a 
step-wise fashion over time, culminating in a complete phaseout in 
2030. Title VI of the Clean Air Act Amendments of 1990 (CAAA) 
authorizes EPA to promulgate regulations to manage the consumption and 
production of HCFCs until the total phaseout in 2030. EPA promulgated 
final regulations establishing an allowance tracking system for HCFCs 
on January 21, 2003 (68 FR 2820). These regulations were amended on 
June 17, 2004 (69 FR 34024) to ensure U.S. compliance with the Montreal 
Protocol. Today's proposed action would amend aspects of the 
regulations that relate to exports of previously imported material, the 
import of HCFC heels, the HCFC-

[[Page 41193]]

141b exemption allowance petition process, and the definition of 
``importer.'' We are proposing these minor adjustments to our 
regulations in response to requests from the regulated community, to 
ensure equitable treatment of stakeholders, and to reduce burden where 
the integrity of the requirements can still be sufficiently maintained.
    In the ``Rules and Regulations'' section of this Federal Register, 
we are issuing these amendments as a direct final rule without prior 
proposal because we view this as a non-controversial action and 
anticipate no adverse comment. We have explained our reasons for this 
action in the preamble to the direct final rule. If we receive no 
adverse comment, we will not take further action on this proposed rule. 
If we receive adverse comment, we will withdraw the direct final rule, 
or particular provisions of the rule, and the rule or the particular 
provisions will not take effect. We would address all public comments 
in any subsequent final rule based on this proposed rule. We will not 
institute a second comment period on this action. Any parties 
interested in commenting must do so at this time.
    For further information, please see the information provided in the 
direct final action that is located in the ``Rules and Regulations'' 
section of this Federal Register.
    (2) Tips for Preparing Your Comments. When submitting comments, 
remember to:
     Identify the rulemaking by docket number and other 
identifying information (subject heading, Federal Register date and 
page number).
     Follow directions--The agency may ask you to respond to 
specific questions or organize comments by referencing a Code of 
Federal Regulations (CFR) part or section number.
     Explain why you agree or disagree; suggest alternatives 
and substitute language for your requested changes.
     Describe any assumptions and provide any technical 
information and/or data that you used.
     If you estimate potential costs or burdens, explain how 
you arrived at your estimate in sufficient detail to allow for it to be 
reproduced.
     Provide specific examples to illustrate your concerns, and 
suggest alternatives.
     Explain your views as clearly as possible, avoiding the 
use of profanity or personal threats.
     Make sure to submit your comments by the comment period 
deadline identified.

Table of Contents

I. Regulated Entities
II. Statutory and Executive Order Reviews
    A. Executive Order 12866: Regulatory Planning and Review
    B. Paperwork Reduction Act
    C. Regulatory Flexibility Act Regulatory Flexibility Act (RFA), 
as Amended by the Small Business Regulatory Enforcement Fairness Act 
of 1996 (SBREFA), 5 U.S.C. 601 et seq.
    D. Unfunded Mandates Reform Act
    E. Executive Order 13132: Federalism
    F. Executive Order 13175: Consultation and Coordination With 
Indian Tribal Governments
    G. Executive Order 13045: Protection of Children From 
Environmental Health & Safety Risks
    H. Executive Order 13211: Actions That Significantly Affect 
Energy Supply, Distribution, or Use
    I. National Technology Transfer and Advancement Act

I. Regulated Entities

    These minor amendments to the HCFC allowance allocation system 
would affect the following categories:

------------------------------------------------------------------------
                                NAICS                    Examples of
          Category               code     SIC code   regulated entities
------------------------------------------------------------------------
Chlorofluorocarbon gas           325120       2869  Chlorodifluoromethan
 manufacturing.                                      e manufacturers;
                                                     Dichlorofluoroethan
                                                     e manufacturers
                                                     Chlorodifluoroethan
                                                     e manufacturers.
Chlorofluorocarbon gas           325120       2869   Chlorodifluorometha
 importers.                                          ne importers;
                                                     Dichlorofluoroethan
                                                     e importers;
                                                     Chlorodifluoroethan
                                                     e importers.
Chlorofluorocarbon gas           325120       2869  Chlorodifluoromethan
 exporters.                                          e exporters;
                                                     Dichlorofluoroethan
                                                     e exporters;
                                                     Chlorodifluoroethan
                                                     e exporters.
Polystyrene Foam Product         326140       3086  Plastics foam
 Manufacturing.                                      Products
                                                     (Polystyrene Foam
                                                     Products).
Urethane and Other Foam          326150       3086  Insulation and
 Product (Except                                     cushioning, foam
 Polystyrene) Manufacturing.                         plastics (except
                                                     polystyrene)
                                                     manufacturing.
------------------------------------------------------------------------

    This table is not intended to be exhaustive, but rather provides a 
guide for readers regarding entities likely to be regulated by this 
action. This table lists the types of entities that EPA is now aware 
could potentially be regulated by this action. Other types of entities 
not listed in this table could also be affected. To determine whether 
your facility, company, business organization, or other entity is 
regulated by this action, you should carefully examine these 
regulations. If you have questions regarding the applicability of this 
action to a particular entity, consult the person listed in the FOR 
FURTHER INFORMATION CONTACT section.

II. Statutory and Executive Order Reviews

A. Executive Order 12866: Regulatory Planning and Review

    Under Executive Order 12866 (58 FR 51735, October 4, 1993), the 
Agency must determine whether this regulatory action is ``significant'' 
and therefore subject to OMB review and the requirements of the 
Executive Order. The Order defines a ``significant'' regulatory action 
as one that is likely to result in a rule that may:
    (1) Have an annual effect on the economy of $100 million or more, 
or adversely affect in a material way the economy, a sector of the 
economy, productivity, competition, jobs, the environment, public 
health or safety, or State, local, or tribal government or communities;
    (2) Create a serious inconsistency or otherwise interfere with an 
action taken or planned by another agency;
    (3) Materially alter the budgetary impact of entitlements, grants, 
user fees, or loan programs or the rights and obligations of recipients 
thereof; or
    (4) Raise novel legal or policy issues arising out of legal 
mandates, the President's priorities, or the principles set forth in 
the Executive Order.
    It has been determined that this proposed rule is not a 
``significant regulatory action'' within the meaning of the Executive 
Order and is therefore not subject to OMB review.

[[Page 41194]]

B. Paperwork Reduction Act

    This action does not impose any new information collection burden. 
Instead, this NPRM proposes to decrease the frequency of one specific 
report and limit the range of types of containers subject to a specific 
regulatory requirement. The Office of Management and Budget (OMB) has 
previously approved the information collection requirements contained 
in the existing regulations at 40 CFR part 82 subpart A under the 
provisions of the Paperwork Reduction Act, 44 U.S.C. 3501 et seq. and 
has assigned OMB control number 2060-0498 (EPA ICR No. 2014.02). A copy 
of the OMB approved Information Collection Request (ICR) may be 
obtained from the Collection Strategies Division; U.S. Environmental 
Protection Agency (2822T); 1200 Pennsylvania Ave., NW., Washington, DC 
20460 or by calling (202) 566-1672. 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 maintaining information, and disclosing and providing 
information; adjust the existing 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 in 40 CFR are listed in 40 CFR part 9.

C. Regulatory Flexibility Act (RFA), as Amended by the Small Business 
Regulatory Enforcement Fairness Act of 1996 (SBREFA), 5 U.S.C. 601 et 
seq.

    The Regulatory Flexibility Act (RFA) generally requires an agency 
to prepare a regulatory flexibility analysis of any rule subject to 
notice and comment rulemaking requirements under the Administrative 
Procedure Act or any other statute unless the agency certifies that the 
rule will not have a significant economic impact on a substantial 
number of small entities. Small entities include small businesses, 
small organizations, and small governmental jurisdictions.
    For purposes of assessing the impacts of today's rule on small 
entities, small entity is defined as: (1) A small business as defined 
by the NAICS codes below (2) a small governmental jurisdiction that is 
a government of a city, county, town, school district or special 
district with a population of less than 50,000; and (3) a small 
organization that is any not-for-profit enterprise which is 
independently owned and operated and is not dominant in its field.

----------------------------------------------------------------------------------------------------------------
                                                                                                    NAICS small
                                                                                                   business size
                                                                                                   standard  (in
                            Category                                NAICS code       SIC code        number of
                                                                                                   employees or
                                                                                                    millions of
                                                                                                     dollars)
----------------------------------------------------------------------------------------------------------------
1. Chemical and Allied Products, NEC............................          424690            5169             100
2. Chlorofluorocarbon gas exporters.............................          325120            2869             100
----------------------------------------------------------------------------------------------------------------

    After considering the economic impacts of today's direct final rule 
on small entities, I certify that this action will not have a 
significant economic impact on a substantial number of small entities. 
This direct final rule will not impose any requirements on small 
entities. None of the entities affected by this rule are considered 
small as defined by the size standards listed above.

D. Unfunded Mandates Reform Act

    Title II of the Unfunded Mandates Reform Act of 1995 (UMRA), Public 
Law 104-4, establishes requirements for Federal agencies to assess the 
effects of their regulatory actions on State, local and tribal 
government and the private sector. Under section 202 of the UMRA, EPA 
generally must prepare a written statement, including a cost-benefit 
analysis, for proposed and final rules with ``Federal mandates'' that 
may result in expenditures by State, local and tribal governments, in 
the aggregate, or by the private sector, of $100 million or more in any 
one year. If a written statement is required under section 202, section 
205 of the UMRA generally requires EPA to identify and consider a 
reasonable number of regulatory alternatives and adopt the least 
costly, most cost-effective or least burdensome alternative that 
achieves the objectives of the rule, unless the Agency explains why 
this alternative is not selected or the selection of this alternative 
is inconsistent with law.
    Section 203 of the UMRA requires the Agency to establish a plan for 
obtaining input from and informing, educating, and advising any small 
governments that may be significantly or uniquely affected by the rule. 
Section 204 of the UMRA requires the Agency to develop a process to 
allow elected state, local, and tribal government officials to provide 
input in the development of any proposal containing a significant 
Federal intergovernmental mandate.
    EPA has determined that this proposed rule does not contain a 
Federal mandate that may result in expenditures of $100 million or more 
by State, local and tribal governments, in the aggregate, or by the 
private sector, in any one year. The provisions in this proposed rule 
fulfill the obligations of the United States under the international 
treaty, The Montreal Protocol on Substances that Deplete the Ozone 
Layer, as well as those requirements set forth by Congress in the Clean 
Air Act. Viewed as a whole, all of these proposed amendments do not 
create a Federal mandate resulting in costs of $100 million or more in 
any one year for State, local and tribal governments, in the aggregate, 
or for the private sector. Thus, this proposed rule is not subject to 
the requirements of sections 202 and 205 of the UMRA. EPA has also 
determined that this proposal contains no regulatory requirements that 
might significantly or uniquely affect small governments; therefore, 
EPA is not required to develop a plan with regard to small governments 
under section 203. Finally, because this proposal does not contain a 
significant intergovernmental mandate, the Agency is not required to 
develop a process to obtain input from elected state, local, and tribal 
officials under section 204.

[[Page 41195]]

E. Executive Order 13132: Federalism

    Executive Order 13132, entitled ``Federalism'' (64 FR 43255, August 
10, 1999), requires EPA to develop an accountable process to ensure 
``meaningful and timely input by State and local officials in the 
development of regulatory policies that have federalism implications.'' 
``Policies that have federalism implications'' is defined in the 
Executive Order to include regulations that have ``substantial direct 
effects on the States, on the relationship between the national 
government and the States, or on the distribution of power and 
responsibilities among the various levels of government.''
    Under Section 6 of Executive Order 13132, EPA may not issue a 
regulation that has federalism implications, that imposes substantial 
direct compliance costs, and that is not required by statute, unless 
the Federal government provides the funds necessary to pay the direct 
compliance costs incurred by State and local governments, or EPA 
consults with State and local officials early in the process of 
developing the regulation. EPA also may not issue a regulation that has 
federalism implications and that preempts State law, unless the Agency 
consults with State and local officials early in the process of 
developing the regulation.
    This proposed rule does not have federalism implications. It will 
not have substantial direct effects on the States, on the relationship 
between the national government and the States, or on the distribution 
of power and responsibilities among the various levels of government, 
as specified in Executive Order 13132. Today's proposal is expected to 
primarily affect producers, importers and exporters of HCFCs. Thus, the 
requirements of section 6 of the Executive Order do not apply. In the 
spirit of Executive Order 13132, and consistent with EPA policy to 
promote communications between EPA and State and local governments, EPA 
specifically solicits comment on this proposed rule from State and 
local officials.

F. Executive Order 13175: Consultation and Coordination With Indian 
Tribal Governments

    Executive Order 13175, entitled ``Consultation and Coordination 
with Indian Tribal Governments'' (65 FR 67249, November 9, 2000), 
requires EPA to develop an accountable process to ensure ``meaningful 
and timely input by tribal officials in the development of regulatory 
policies that have tribal implications.'' This proposed rule does not 
have tribal implications, as specified in Executive Order 13175. This 
proposal does not significantly or uniquely affect the communities of 
Indian tribal governments. It does not impose any enforceable duties on 
communities of Indian tribal governments. Thus, Executive Order 13175 
does not apply to this rule.

G. Executive Order 13045: Protection of Children From Environmental 
Health and Safety Risks

    Executive Order 13045: ``Protection of Children from Environmental 
Health Risks and Safety Risks'' (62 FR 19885, April 23, 1997) applies 
to any rule that: (1) Is determined to be ``economically significant'' 
as defined under Executive Order 12866, and (2) concerns an 
environmental health or safety risk that EPA has reason to believe may 
have a disproportionate effect on children. If the regulatory action 
meets both criteria, the Agency must evaluate the environmental health 
or safety effects of the planned rule on children, and explain why the 
planned regulation is preferable to other potentially effective and 
reasonably feasible alternatives considered by the Agency. While this 
proposal is not subject to the Executive Order because it is not 
economically significant as defined in E.O. 12866, we nonetheless have 
reason to believe that the environmental health or safety risk 
addressed by this action may have a disproportionate effect on 
children. Depletion of stratospheric ozone results in greater 
transmission of the sun's ultraviolet (UV) radiation to the earth's 
surface. The following studies describe the effects on children of 
excessive exposure to UV radiation: (1) Westerdahl J, Olsson H, Ingvar 
C. ``At what age do sunburn episodes play a crucial role for the 
development of malignant melanoma,'' Eur J Cancer 1994: 30A: 1647-54; 
(2) Elwood JM Japson J. ``Melanoma and sun exposure: an overview of 
published studies,'' Int J Cancer 1997; 73:198-203; (3) Armstrong BK, 
``Melanoma: childhood or lifelong sun exposure,'' In: Grobb JJ, Stern 
RS Mackie RM, Weinstock WA, eds. ``Epidemiology, causes and prevention 
of skin diseases,'' 1st ed. London, England: Blackwell Science, 1997: 
63-6; (4) Whieman D., Green A. ``Melanoma and Sunburn,'' Cancer Causes 
Control, 1994: 5:564-72; (5) Heenan, PJ. ``Does intermittent sun 
exposure cause basal cell carcinoma? A case control study in Western 
Australia,'' Int J Cancer 1995; 60: 489-94; (6) Gallagher, RP, Hill, 
GB, Bajdik, CD, et al. ``Sunlight exposure, pigmentary factors, and 
risk of nonmelanocytic skin cancer I, Basal cell carcinoma.'' Arch 
Dermatol 1995; 131: 157-63; (7) Armstrong, DK. ``How sun exposure 
causes skin cancer: an epidemiological perspective,'' Prevention of 
Skin Cancer. 2004. 89-116. The public is invited to submit or identify 
peer-reviewed studies and data, of which EPA may not be aware, that 
assessed results of early life exposure to UV radiation.
    This proposal concerns minor changes to the existing regulatory 
regime for the class II controlled substances. Theses minor changes are 
not expected to increase the impacts on children's health from 
stratospheric ozone depletion.

H. Executive Order 13211: Actions That Significantly Affect Energy 
Supply, Distribution, or Use

    This proposed rule is not a ``significant energy action'' as 
defined in Executive Order 13211, ``Actions Concerning Regulations That 
Significantly Affect Energy Supply, Distribution, or Use'' (66 FR 28355 
(May 22, 2001)) because it is not a significant regulatory action under 
Executive Order 12866.

I. The National Technology Transfer and Advancement Act

    Section 12(d) of the National Technology Transfer and Advancement 
Act of 1995 (``NTTAA''), Public Law 104-113, Section 12(d) (15 U.S.C. 
272 note) directs EPA to use voluntary consensus standards in its 
regulatory activities unless to do so would be inconsistent with 
applicable law or otherwise impractical. Voluntary consensus standards 
are technical standards (e.g., materials specifications, test methods, 
sampling procedures, and business practices) that are developed or 
adopted by voluntary consensus standards bodies. The NTTAA directs EPA 
to provide Congress, through OMB, explanations when the Agency decides 
not to use available and applicable voluntary consensus standards. This 
proposed rulemaking does not involve technical standards. Therefore, 
EPA is not considering the use of any voluntary consensus standards.

[[Page 41196]]

List of Subjects in 40 CFR Part 82

    Environmental protection, Administrative practice and procedure, 
Air pollution control, Chemicals, Chlorofluorocarbons, Exports, 
Hydrochlorofluorocarbons, Imports, Reporting and recordkeeping 
requirements.

    Dated: July 13, 2006.
Stephen L. Johnson,
Administrator.
 [FR Doc. E6-11531 Filed 7-19-06; 8:45 am]

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