Document ID: EPA-R09-OAR-2020-0352-0001
Agency: epa
Document Type: Proposed Rule
Title: Air Quality State Implementation Plans; Approvals and Promulgations: Arizona; Maricopa County Air Quality Department; Stationary Source Permits; New Source Review
Posted Date: 2021-02-23T05:00Z

[Federal Register Volume 86, Number 34 (Tuesday, February 23, 2021)]
[Proposed Rules]
[Pages 10903-10909]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-02908]

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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[EPA-R09-OAR-2020-0352; FRL-10016-75-Region 9]

Approval of Arizona State Implementation Plan Revisions; Maricopa 
County Air Quality Department; Stationary Source Permits; New Source 
Review

AGENCY: Environmental Protection Agency (EPA).

ACTION: Proposed rule.

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SUMMARY: The Environmental Protection Agency (EPA) is proposing action 
on revisions to the Maricopa County Air Quality Department (MCAQD) 
portion of the state implementation plan (SIP) for the State of 
Arizona. We are proposing full approval of seven MCAQD rules for the 
Department's New Source Review (NSR) preconstruction permitting program 
for new and modified stationary sources of air pollution. We are taking 
comments on this proposed rule and plan to follow with a final action.

DATES: Written comments must be received on or before March 25, 2021.

ADDRESSES: Submit your comments, identified by Docket ID No. EPA-R09-
OAR-2020-0352 at https://www.regulations.gov, or via email to 
R9AirPermits@epa.gov. For comments submitted at Regulations.gov, follow 
the online instructions for submitting comments. Once submitted, 
comments cannot be removed or edited from Regulations.gov. For either 
manner of submission, the EPA may publish any

[[Page 10904]]

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, or if you need 
assistance in a language other than English, or if you are a person 
with disabilities who needs a reasonable accommodation at no cost to 
you, 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 https://www2.epa.gov/dockets/commenting-epa-dockets.

FOR FURTHER INFORMATION CONTACT: Shaheerah Kelly, EPA Region IX, 75 
Hawthorne Street (AIR-3-1), San Francisco, California 94105. By phone 
at (415) 947-4156, or by email at kelly.shaheerah@epa.gov.

SUPPLEMENTARY INFORMATION: Throughout this document, ``we'', ``us'', 
and ``our'' refer to the EPA.

Table of Contents

I. The State's Submittal
    A. What rules did the State submit?
    B. Are there other versions of these rules?
    C. What is the purpose of the submitted rule revisions?
II. The EPA's Evaluation
    A. What is the background for today's proposal?
    B. How is the EPA evaluating the rules?
    C. Do the rules meet the evaluation criteria?
III. Proposed Action and Public Comment
IV. Incorporation by Reference
V. Statutory and Executive Order Reviews

Definitions

    For the purpose of this document, we are giving meaning to certain 
words or initials as follows:

    (i) The initials ADEQ mean or refer to the Arizona Department of 
Environmental Quality.
    (ii) The word or initials CAA or Act mean or refer to the Clean 
Air Act, unless the context indicates otherwise.
    (iii) The initials CFR mean or refer to Code of Federal 
Regulations.
    (iv) The initials or words EPA, we, us or our mean or refer to 
the United States Environmental Protection Agency.
    (v) The word or initials MCAQD or Department mean or refer to 
the Maricopa County Air Quality Department, the agency with 
jurisdiction over stationary sources within Maricopa County, 
Arizona.
    (vi) The initials NAAQS mean or refer to the National Ambient 
Air Quality Standards.
    (vii) The initials NSR mean or refer to New Source Review.
    (viii) The initials NNSR mean or refer to nonattainment New 
Source Review.
    (ix) The initials PSD mean or refer to Prevention of Significant 
Deterioration.
    (x) The initials SIP means or refer to State Implementation 
Plan.
    (xi) The word State means or refers to the State of Arizona.
    (xii) The word TSD means or refers to the Technical Support 
Document.

I. The State's Submittal

A. What rules did the State submit?

    On December 20, 2019, the ADEQ submitted the revised rules in Table 
1 to the EPA as a revision to the Maricopa County portion of the 
Arizona SIP. The ADEQ is the governor's designee for submitting 
official revisions of the Arizona SIP to the EPA. These rules 
constitute the MCAQD's air quality preconstruction NSR permit program.

                                         Table 1--MCAQD Submitted Rules
----------------------------------------------------------------------------------------------------------------
                                                                                    Adoption or
           Regulation & Rule No.                          Rule title              amendment date     Submitted
----------------------------------------------------------------------------------------------------------------
Regulation I, Rule 100.....................  General Provisions; General              12/11/2019      12/20/2019
                                              Provisions and Definitions.
Regulation II, Rule 200....................  Permits and Fees; Permit                 12/11/2019      12/20/2019
                                              Requirements.
Regulation II, Rule 210 \1\................  Permits and Fees; Title V Permit         12/11/2019      12/20/2019
                                              Provisions.
Regulation II, Rule 220....................  Permits and Fees; Non-Title V            12/11/2019      12/20/2019
                                              Permit Provisions.
Regulation II, Rule 230....................  Permits and Fees; General Permits..      12/11/2019      12/20/2019
Regulation II, Rule 240....................  Permits and Fees; Federal Major New      12/11/2019      12/20/2019
                                              Source Review.
Regulation II, Rule 241....................  Permits and Fees; Minor New Source       12/11/2019      12/20/2019
                                              Review.
----------------------------------------------------------------------------------------------------------------

    On June 20, 2020, the MCAQD's Rules 100, 200, 210, 220, 230, 240, 
and 241 were deemed complete by operation of law in accordance with 40 
CFR part 51, Appendix V.
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    \1\ Rule 210 also contains requirements to address the CAA title 
V requirements for operating permit programs, but we are not 
evaluating the rule for title V purposes at this time. We will 
evaluate Rule 210 for compliance with the requirements of title V of 
the Act and the EPA's implementing regulations in 40 CFR part 70 
following receipt of an official part 70 program submittal from 
Maricopa County containing this rule.
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B. Are there other versions of these rules?

    On April 5, 2019, the EPA finalized full approval of MCAQD Rules 
210, 220, 240, and 241, and conditional approval of Rules 100 and 200, 
as amended on February 3, 2016 and September 7, 2016, into the Maricopa 
County portion of the Arizona SIP. (See 84 FR 13543 (April 5, 2019), 
and 84 FR 18392 (May 1, 2019).) Our detailed analysis for the April 5, 
2019 final SIP action is provided in the May 17, 2018 Technical Support 
Document (TSD) and March 18, 2019 Response to Comments.
    The existing SIP-approved NSR program for new or modified 
stationary sources in Maricopa County consists of the rules identified 
in Table 2. Collectively, these rules establish the NSR permit 
requirements for stationary sources under the MCAQD's jurisdiction.
    The rules listed in Table 1 will replace the existing SIP-approved 
NSR program rules listed in Table 2, in their entirety. The MCAQD made 
several revisions to its NSR program, including revisions for 
addressing the rule deficiencies identified by the EPA in our final 
conditional approval on April 5, 2019. The EPA's action on this SIP 
submittal will update the Maricopa County portion of the Arizona SIP.

[[Page 10905]]

                                                       Table 2--MCAQD's Current SIP-Approved Rules
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                                                                                                                                   Federal  Register
       Regulation & rule No.               Rule title             State  effective date              SIP  approval date                 citation
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Regulation I, Rule 2, No. 11         General Provisions;     June 23, 1980..................  June 18, 1982..................  47 FR 26382
 ``Alteration or Modification''.      Definitions.
Regulation I, Rule 2, No. 27         General Provisions;     June 23, 1980..................  April 12, 1982.................  47 FR 15579
 ``Dust''.                            Definitions.
Regulation I, Rule 2, No. 29         General Provisions;     June 23, 1980..................  April 12, 1982.................  47 FR 15579
 ``Emission''.                        Definitions.
Regulation I, Rule 2, No. 34         General Provisions;     June 23, 1980..................  April 12, 1982.................  47 FR 15579
 ``Existing Source Performance        Definitions.
 Standards''.
Regulation I, Rule 2, No. 37 ``Fly   General Provisions;     June 23, 1980..................  April 12, 1982.................  47 FR 15579
 Ash''.                               Definitions.
Regulation I, Rule 2, No. 39         General Provisions;     June 23, 1980..................  April 12, 1982.................  47 FR 15579
 ``Fuel''.                            Definitions.
Regulation I, Rule 2, No. 42         General Provisions;     June 23, 1980..................  April 12, 1982.................  47 FR 15579
 ``Fume''.                            Definitions.
Regulation I, Rule 2, No. 55         General Provisions;     June 23, 1980..................  April 12, 1982.................  47 FR 15579
 ``Motor Vehicle''.                   Definitions.
Regulation I, Rule 2, No. 59 ``Non-  General Provisions;     June 23, 1980..................  April 12, 1982.................  47 FR 15579
 Point Source''.                      Definitions.
Regulation I, Rule 2, No. 60         General Provisions;     June 23, 1980..................  April 12, 1982.................  47 FR 15579
 ``Odors''.                           Definitions.
Regulation I, Rule 2, No. 64         General Provisions;     June 23, 1980..................  April 12, 1982.................  47 FR 15579
 ``Organic Solvent''.                 Definitions.
Regulation I, Rule 2, No. 70         General Provisions;     June 23, 1980..................  April 12, 1982.................  47 FR 15579
 ``Plume''.                           Definitions.
Regulation I, Rule 2, No. 80         General Provisions;     June 23, 1980..................  April 12, 1982.................  47 FR 15579
 ``Smoke''.                           Definitions.
Regulation I, Rule 2, No. 91         General Provisions;     June 23, 1980..................  April 12, 1982.................  47 FR 15579
 ``Vapor''.                           Definitions.
Regulation II, Rule 21, Section D.1  Permits and Fees;       October 25, 1982...............  August 10, 1988; Vacated;        53 FR 30224; 56 FR 3219
 (AZ R9-3-101, Paragraph 52           Procedures for                                           restored on January 29, 1991.
 ``Dust'').                           Obtaining an
                                      Installation Permit.
Regulation II, Rule 21, Section D.1  Permits and Fees;       October 25, 1982...............  August 10, 1988; Vacated;        53 FR 30224; 56 FR 3219
 (AZ R9-3-101, Paragraph 56           Procedures for                                           restored on January 29, 1991.
 ``Emission'').                       Obtaining an
                                      Installation Permit.
Regulation II, Rule 21, Section D.1  Permits and Fees;       October 25, 1982...............  August 10, 1988; Vacated;        53 FR 30224; 56 FR 3219
 (AZ R9-3-101, Paragraph 63           Procedures for                                           restored on January 29, 1991.
 ``Existing Source Performance        Obtaining an
 Standards'').                        Installation Permit.
Regulation II, Rule 21, Section D.1  Permits and Fees;       October 25, 1982...............  August 10, 1988; Vacated;        53 FR 30224; 56 FR 3219
 (AZ R9-3-101, Paragraph 70           Procedures for                                           restored on January 29, 1991.
 ``Fuel'').                           Obtaining an
                                      Installation Permit.
Regulation II, Rule 21, Section D.1  Permits and Fees;       October 25, 1982...............  August 10, 1988; Vacated;        53 FR 30224; 56 FR 3219
 (AZ R9-3-101, Paragraph 71 ``Fuel    Procedures for                                           restored on January 29, 1991.
 Burning Equipment'').                Obtaining an
                                      Installation Permit.
Regulation II, Rule 21, Section D.1  Permits and Fees;       October 25, 1982...............  August 10, 1988; Vacated;        53 FR 30224; 56 FR 3219
 (AZ R9-3-101, Paragraph 74           Procedures for                                           restored on January 29, 1991.
 ``Fume'').                           Obtaining an
                                      Installation Permit.
Regulation II, Rule 21, Section D.1  Permits and Fees;       October 25, 1982...............  August 10, 1988; Vacated;        53 FR 30224; 56 FR 3219
 (AZ R9-3-101, Paragraph 103          Procedures for                                           restored on January 29, 1991.
 ``Motor Vehicle'').                  Obtaining an
                                      Installation Permit.
Regulation II, Rule 21, Section D.1  Permits and Fees;       October 25, 1982...............  August 10, 1988; Vacated;        53 FR 30224; 56 FR 3219
 (AZ R9-3-101, Paragraph 114 ``Non-   Procedures for                                           restored on January 29, 1991.
 Point Source'').                     Obtaining an
                                      Installation Permit.
Regulation II, Rule 21, Section D.1  Permits and Fees;       October 25, 1982...............  August 10, 1988; Vacated;        53 FR 30224; 56 FR 3219
 (AZ R9-3-101, Paragraph 122          Procedures for                                           restored on January 29, 1991.
 ``Photochemically Reactive           Obtaining an
 Solvent'').                          Installation Permit.
Regulation II, Rule 21, Section D.1  Permits and Fees;       October 25, 1982...............  August 10, 1988; Vacated;        53 FR 30224; 56 FR 3219
 (AZ R9-3-101, Paragraph 123          Procedures for                                           restored on January 29, 1991.
 ``Plume'').                          Obtaining an
                                      Installation Permit.
Regulation II, Rule 21, Section D.1  Permits and Fees;       October 25, 1982...............  August 10, 1988; Vacated;        53 FR 30224; 56 FR 3219
 (AZ R9-3-101, Paragraph 128          Procedures for                                           restored on January 29, 1991.
 ``Process'').                        Obtaining an
                                      Installation Permit.
Regulation II, Rule 21, Section D.1  Permits and Fees;       October 25, 1982...............  August 10, 1988; Vacated;        53 FR 30224; 56 FR 3219
 (AZ R9-3-101, Paragraph 129          Procedures for                                           restored on January 29, 1991.
 ``Process Source'').                 Obtaining an
                                      Installation Permit.

[[Page 10906]]

 
Regulation II, Rule 21, Section D.1  Permits and Fees;       October 25, 1982...............  August 10, 1988; Vacated;        53 FR 30224; 56 FR 3219
 (AZ R9-3-101, Paragraph 150          Procedures for                                           restored on January 29, 1991.
 ``Smoke'').                          Obtaining an
                                      Installation Permit.
Regulation II, Rule 21, Section D.1  Permits and Fees;       October 25, 1982...............  August 10, 1988; Vacated;        53 FR 30224; 56 FR 3219
 (AZ R9-3-101, Paragraph 151          Procedures for                                           restored on January 29, 1991.
 ``Soot'') \2\.                       Obtaining an
                                      Installation Permit.
Regulation II, Rule 21, Section D.1  Permits and Fees;       October 25, 1982...............  August 10, 1988; Vacated;        53 FR 30224; 56 FR 3219
 (AZ R9-3-101, Paragraph 160          Procedures for                                           restored on January 29, 1991.
 ``Supplementary Control System       Obtaining an
 (SCS)'').                            Installation Permit.
Rule 21, Section D.1 (AZ R9-3-101,   Permits and Fees;       October 25, 1982...............  August 10, 1988; Vacated;        53 FR 30224; 56 FR 3219
 Paragraph 166 ``Vapor'').            Procedures for                                           restored on January 29, 1991.
                                      Obtaining an
                                      Installation Permit.
Regulation II, Rule 21, Section D.1  Permits and Fees;       October 25, 1982...............  August 10, 1988; Vacated;        53 FR 30224; 56 FR 3219
 (AZ R9-3-101, Paragraph 167          Procedures for                                           restored on January 29, 1991.
 ``Vapor Pressure'').                 Obtaining an
                                      Installation Permit.
Regulation II, Rule 21, Section D.1  Permits and Fees;       October 25, 1982...............  August 10, 1988; Vacated;        53 FR 30224; 56 FR 3219
 (AZ R9-3-101, Paragraph 168          Procedures for                                           restored on January 29, 1991.
 ``Visible Emissions'').              Obtaining an
                                      Installation Permit.
Regulation I, Rule 100 (except       General Provisions;     February 3, 2016...............  April 5, 2019..................  84 FR 13543
 Sections 200.24, 200.73,             General Provisions
 200.104(c)).                         and Definitions.
Regulation II, Rule 200............  Permits and Fees;       February 3, 2016...............  April 5, 2019..................  84 FR 13543
                                      Permit Requirements.
Regulation II, Rule 210............  Permits and Fees;       February 3, 2016...............  April 5, 2019..................  84 FR 13543
                                      Title V Permit
                                      Provisions.
Regulation II, Rule 220............  Permits and Fees; Non-  February 3, 2016...............  April 5, 2019..................  84 FR 13543
                                      Title V Permit
                                      Provisions.
Regulation II, Rule 240 (except      Permits and Fees;       February 3, 2016...............  April 5, 2019..................  84 FR 13543
 Section 305).                        Federal Major New
                                      Source Review (NSR).
Regulation II, Rule 241............  Permits and Fees;       February 3, 2016...............  April 5, 2019..................  84 FR 13543
                                      Minor New Source
                                      Review (NSR).
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C. What is the purpose of the submitted rule revisions?
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    \2\ The correct citation for the definition of ``Soot'' is Rule 
21, Section D.1 (AZ R9-3-101, Paragraph 151), and not Paragraph 152 
which was in the April 5, 2019 final action.
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    Section 110(a) of the CAA requires states to submit regulations 
that include a pre-construction permit program for new or modified 
stationary sources of pollutants, including a permit program as 
required by sections 110(a)(2) of the CAA, and parts C and D of title I 
of the CAA.
    The purpose of the MCAQD's NSR submittal, which includes Rules 100, 
200, 210, 220, 230, 240, and 241, is to implement the County's 
preconstruction permit program for new and modified minor sources, and 
new and modified major stationary sources for areas designated 
attainment and/or unclassifiable for the National Ambient Air Quality 
Standards (NAAQS), or nonattainment for at least one NAAQS.
    Maricopa County is designated attainment and/or unclassifiable for 
all sulfur dioxide (SO2), nitrogen dioxide (NOX), 
particulate matter less than 2.5 micrometers (PM2.5), and 
carbon monoxide (CO) NAAQS. Maricopa County is also designated 
attainment and/or unclassifiable for all ozone NAAQS outside of the 
Phoenix-Mesa area, and the particulate matter less than 10 micrometers 
(PM10) NAAQS for the Maricopa County area outside of the 
Phoenix Planning Area.
    The Phoenix-Mesa, AZ area of Maricopa County is designated as a 
Moderate nonattainment area for the 2008 ozone NAAQS and as a Marginal 
nonattainment area for the 2015 ozone NAAQS. Additionally, the Phoenix 
Planning Area of Maricopa County is designated as a Serious 
nonattainment area for the 1987 24-hour PM10 NAAQS. See 40 
CFR 81.303.
    We present our evaluation under the CAA and the EPA's implementing 
regulations applicable to SIP submittals and NSR permit programs in 
general terms below. We provide a more detailed analysis in our TSD, 
which is available in the docket for this proposed action.

II. The EPA's Evaluation

A. What is the background for today's proposal?

    On April 5, 2019, the EPA finalized full approval of Rules 210, 
220, 240, and 241, and conditional approval of Rules 100 and 200, into 
the Arizona SIP. 84 FR 13543.\3\ We finalized conditional approval of 
Rules 100 and 200 because we determined that, while they mostly 
satisfied the statutory and regulatory requirements of CAA section 
110(a)(2)(C) and part D of title I of the Act, the rules also contained 
deficiencies that prevented full approval. The December 20, 2019 
Submittal was submitted within one year of the April 5, 2019 final 
action, in accordance with the requirements of CAA section 110(k)(4).
---------------------------------------------------------------------------

    \3\ On May 1, 2019, the EPA published a final rule to correct an 
error in the regulatory text for the April 5, 2019 action. (See 84 
FR 18392.)
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    The MCAQD made several revisions to Rules 100 and 200 to address 
the deficiencies identified by the EPA, as well as minor revisions to 
Rules 210, 220, 240, and 241 to address EPA

[[Page 10907]]

recommendations. The MCAQD also adopted new Rule 230. These revisions 
are discussed in the TSD, which can be found in the docket for this 
rule.

B. How is the EPA evaluating the rules?

    The EPA has reviewed the MCAQD rules listed in Table 1 for 
compliance with the CAA's general requirements for SIPs in CAA section 
110(a)(2), for the PSD program in part C of title I (section 165), and 
for the nonattainment NSR programs in part D of title I (sections 172 
and 173). The EPA also evaluated the rules for compliance with the CAA 
requirements for SIP revisions in CAA sections 110(l) and 193. In 
addition, the EPA evaluated the submitted rules for consistency with 
the regulatory provisions of 40 CFR part 51, subpart I (Review of New 
Sources and Modifications) (i.e., 40 CFR 51.160-51.166) and 40 CFR 
51.307.
    Sections 110(a)(2) and 110(l) of the Act require that each SIP or 
revision to a SIP submitted by a state must be adopted after reasonable 
notice and public hearing. In addition, section 110 of the Act requires 
that SIP rules be enforceable.
    Section 110(a)(2)(C) of the Act requires each SIP to include a 
program to regulate the modification and construction of any stationary 
source within the areas covered by the SIP as necessary to assure 
attainment and maintenance of the NAAQS. The EPA's regulations at 40 
CFR 51.160-51.164 provide general programmatic requirements to 
implement this statutory mandate commonly referred to as the 
``general'' or ``minor'' NSR program. These NSR program regulations 
impose requirements for approval of state and local programs that are 
more general in nature as compared to the specific statutory and 
regulatory requirements for NSR permitting programs under parts C and D 
of title I of the Act.
    Part C of title I of the Act, and the implementing regulations at 
40 CFR 51.166, contain the requirements for states to establish 
preconstruction permitting programs for the prevention of significant 
deterioration of air quality (PSD) in areas designated as attainment 
and/or unclassifiable for the NAAQS. The PSD program requirements under 
part C apply to major stationary sources and major modifications, as 
those terms are defined in 40 CFR 51.166, at stationary sources located 
within attainment and/or unclassifiable areas. The PSD requirements 
apply to all regulated NSR pollutants, except those pollutants for 
which an area has been designated as nonattainment.
    Part D of title I of the Act contains the general requirements for 
areas designated nonattainment for a NAAQS (section 172), referred to 
as nonattainment NSR (NNSR), including preconstruction permit 
requirements for new major sources and major modifications proposing to 
construct in nonattainment areas (section 173). 40 CFR 51.165 sets 
forth the EPA's regulatory requirements for SIP-approval of a 
nonattainment NSR permit program.
    The protection of visibility requirements that apply to NSR 
programs are contained in 40 CFR 51.307. This provision requires that 
certain actions be taken in consultation with the local Federal Land 
Manager if a new major source or major modification may have an impact 
on visibility in any mandatory Federal Class I Area.
    Section 110(l) of the Act prohibits the EPA from approving any SIP 
revisions that would interfere with any applicable requirement 
concerning attainment and reasonable further progress (RFP) or any 
other applicable requirement of the CAA. Section 193 of the Act, which 
only applies in nonattainment areas, prohibits the modification of a 
SIP-approved control requirement in effect before November 15, 1990, in 
any manner unless the modification insures equivalent or greater 
emission reductions of such air pollutant.
    Our TSD, which can be found in the docket for this rule, contains a 
more detailed discussion of the approval criteria.

C. Do the rules meet the evaluation criteria?

    The EPA has reviewed the submitted rules in accordance with the 
rule evaluation criteria described above. With respect to procedural 
requirements, CAA sections 110(a)(2) and 110(l) require that revisions 
to a SIP be adopted by the state after reasonable notice and public 
hearing. Based on our review of the public process documentation 
included in the December 20, 2019 Submittal, we find that the MCAQD has 
provided sufficient evidence of public notice, and an opportunity for 
comment and a public hearing prior to adoption and submittal of these 
rules to the EPA.
    With respect to substantive requirements, we have reviewed the 
revisions to the submitted rules in accordance with the evaluation 
criteria discussed above. These revisions included (1) rule changes 
that address the deficiencies related to the conditional approval of 
Rules 100 and 200; (2) new Rule 230; (3) new rule provisions in Rules 
100 and 240; (4) deleted rule provisions; and (5) other general 
revisions. These revisions are discussed below, and in greater detail 
in the TSD for this rulemaking action.
Corrections to Deficiencies Identified in the Conditional Approval of 
Rules 100 and 200
    On April 5, 2019, the EPA finalized conditional approval of Rules 
100 and 200, as amended on February 3, 2016, because we determined 
that, while they mostly satisfy the statutory and regulatory 
requirements of CAA section 110(a)(2)(C) and part D of title I of the 
Act, the rules also contained deficiencies that prevented full 
approval. (See 84 FR 13543.) As part of the conditional approval, the 
MCAQD and the ADEQ committed to address the deficiencies by providing 
the EPA with a SIP revision within one year of the April 5, 2019 final 
action. The December 20, 2019 Submittal addresses these deficiencies as 
follows:
    1. The EPA determined that the definition of ``Good Engineering 
Practice (GEP) Stack Height'' in Rule 200, Section 201 was inconsistent 
with the definition for this term provided in 40 CFR 51.100(ii), and 
therefore deficient.
    To address this deficiency the MCAQD deleted (1) the definition of 
GEP stack height in Rule 200, Section 201; and (2) the stack height 
procedures in Rule 240, Section 302.5 (Application Completeness) and 
Section 306 (Stack Height and Dispersion Techniques). The MCAQD also 
revised Rule 200, Section 314 (Stack Height Provisions) to add a 
reference to 40 CFR 51.100 for determining GEP stack height. These 
revisions correct the deficiency.
    2. The EPA determined that the MCAQD must provide a basis under 40 
CFR 51.160(e) to demonstrate that regulation of the equipment (i.e., 
agricultural equipment used in normal farm operations) exempted in Rule 
200, Section 305.1.c is not needed for the MCAQD's program to meet 
federal NSR requirements for attainment and maintenance of the NAAQS or 
review for compliance with the control strategy.
    To address this deficiency the MCAQD deleted the exemption in Rule 
200, Section 305.1.c, and replaced it with a revised exemption in new 
Section 305.2(i), which applies to fugitive emissions from agricultural 
equipment used in normal farm operations. The revised rule provides 
that agricultural equipment used in normal farm operations does not 
include equipment that would otherwise require a permit under title V 
of the Act, or equipment that is subject

[[Page 10908]]

to a standard under 40 CFR parts 60, 61 or 63. The revised exemption is 
consistent with Arizona State law in the Arizona Revised Statutes (ARS) 
49-480(A), 49-425, and 49-426(B) and with the ADEQ regulations in the 
Arizona Administrative Code (AAC) R18-2-302(C). These revisions correct 
the deficiency.
    3. The EPA determined that Rule 200, Section 403.2 did not ensure 
the continuity of the NSR terms and conditions when a Title V or Non-
Title V permit expired and was therefore deficient. The MCAQD added 
Rule 200, Section 403.2(c), which states ``The terms and conditions of 
installation permits issued before September 1, 1993, or in permits or 
permit revisions issued under Rule 210 or Rule 220 of these rules and 
authorizing the construction or modification of a stationary source, 
remain federal applicable requirements unless modified or revoked by 
the Control Officer.'' This provision is the same as the ADEQ's AAC 
R18-2-303(B). This revision corrects the deficiency.
    4. The EPA determined that references to Appendix G (Incorporated 
Materials) in certain provisions in Rules 100 and 200 were deficient 
because Appendix G was neither included in the existing SIP nor was it 
submitted by the MCAQD for EPA-approval in the SIP. The MCAQD removed 
references to Appendix G, and instead cited the appropriate federal 
regulations in the code of federal regulations in the Rule 100 
definitions of ``AP-42'', ``Non-Precursor Compound'', ``Reference 
Material'', and in Rule 100, Section 503 (Emission Statements Required 
as Stated in the Act), and Rule 200, Section 314 (Stack Height 
Provisions). These revisions correct the deficiency.
    5. The EPA determined that references to the Arizona Testing Manual 
(ATM) in Rules 100 and 200 were deficient because they relied on 
provisions that were not SIP-approved, and because the ATM is 
significantly out of date and not appropriate to be relied upon as the 
sole basis for testing procedures. The MCAQD removed these references 
from the Rule 100 definition of ``Reference Method'', and from Rule 
200, Section 408 (Testing Procedures). The MCAQD retained the Rule 100 
definition of ``Arizona Testing Manual'', which is the same as the 
ADEQ's AAC R18-2-101(17). These revisions correct the deficiency.
    6. The EPA determined that certain definitions that the MCAQD 
proposed be removed from the approved SIP could not be removed without 
further justification. In its December 20, 2019 Submittal, the MCAQD 
provided adequate justifications for removing the following definitions 
from Regulation I, Rule 2, and Regulation II, Rule 21, Section D.1, of 
the SIP: ``Alternation or Modification'', ``Begin Actual 
Construction'', ``Dust'', ``Emission'', ``Existing Source Performance 
Standards'', ``Fly Ash'', ``Fuel'', ``Fuel Burning Equipment'', 
``Fume'', ``Motor Vehicle'', ``Non-Point Source'', ``Odors'', ``Organic 
Solvent'', ``Photochemically Reactive Solvent'', ``Plume'', 
``Process'', ``Process Source'', ``Smoke'', ``Soot'', ``Supplementary 
Control System (SCS)'', ``Vapor'', ``Vapor Pressure'', and ``Visible 
Emissions''. In general, the MCAQD's justifications for removing these 
definitions are because (a) the definition has been replaced by a new 
definition in Rule 100, Section 200, (b) there are no references to the 
defined term in the MCAQD's regulations, (c) the definition does not 
support any SIP rules, (d) the definition is outdated and/or 
substantively the same as a definition that was incorporated by 
reference in Rule 240, or (e) the definition is a common term for which 
the MCAQD will use the dictionary definition of the term. The EPA finds 
that the removal of these definitions is acceptable.
New Rule 230
    Rule 230 is a new rule for General Permits. It allows the issuance 
of General permits for a facility class that contains a large number of 
sources that are similar in nature, have substantially similar 
emissions, and would be subject to the same or substantially similar 
requirements governing operations, emissions, monitoring, reporting, or 
recordkeeping. The owner or operator of a new or modified source is 
also required to comply with the applicable NSR requirements. As 
explained in the TSD for this rulemaking, Rule 230 is consistent with 
the CAA and the EPA's implementing regulations in 40 CFR 51.160-51.164.
New Provisions in Rules 100 and 240
    The MCAQD added the following new definitions to Rule 100: ``Begin 
Actual Construction'', ``Dust'', ``Emission'', ``Fuel'', ``Fume'', 
``Gasoline'', ``Greenhouse Gases (GHGs)'', ``Minor NSR Modification 
Threshold'', ``Modification'', ``Motor Vehicle'', ``Non-Road Internal 
Combustion (IC) Engine'', ``Off-Specification Used Oil'', ``On-
Specification Used Oil'', ``Organic Solvent'', ``Plume'', ``Process'', 
``Regulated Air Pollutant'', ``Seasonal Source'', ``Smoke'', ``Soot'', 
``Used Oil'', ``Vapor'', ``Visible Emissions'', and ``Year.'' The MCAQD 
also added ``Compliance Schedule for Newly Amended Rule Provisions'' in 
Rule 100, Section 403. These revisions are consistent with the CAA and 
the EPA's implementing regulations in 40 CFR 51.160-51.164.
    The MCAQD also added new PSD program provisions in Rule 240. 
Section 305.2 of Rule 240 requires all new and modified sources to meet 
specific provisions of 40 CFR 52.21, as incorporated by reference. 
Currently, the MCAQD implements a federal PSD permit program pursuant 
to a delegation agreement under 40 CFR 52.21(u), which allows the MCAQD 
to issue PSD permits, and to modify and extend existing PSD permits. 
Normally, following SIP approval of a federal PSD permit program, any 
existing PSD delegation agreement would be terminated. However, because 
the MCAQD is prohibited under state law from regulating GHG emissions, 
upon SIP approval of Rule 240, the EPA will terminate the existing PSD 
delegation agreement and enter a new PSD delegation agreement limited 
to the issuance of PSD permits that regulate GHG emissions. This will 
allow the MCAQD to continue issuing complete PSD permits for all 
sources under its jurisdiction. These changes are consistent with part 
C of title I of the CAA and the EPA's implementing regulations at 40 
CFR 51.166.
Deleted Rule Provisions
    The MCAQD deleted certain redundant PSD-related definitions from 
Rule 100, as they are now incorporated by reference in Rule 240, 
Section 200. The EPA finds these deletions from Rule 100 acceptable.
    The MCAQD deleted the following rule provisions because they are 
addressed in other rule provisions: (1) The definition of ``GEP Stack 
Height'' from Rule 200, the stack height procedures from Rule 240, 
Section 302.5, and the stack height and dispersion technique provisions 
from Rule 240, Section 306; (2) the exemptions for trivial activities, 
food processing equipment, general combustion equipment, surface 
coating and printing equipment, solvent cleaning equipment, internal 
combustion equipment, laboratories and pilot plants, storage and 
distribution, and miscellaneous activities from Rule 200, Section 305; 
(3) the Minor NSR Transition rule provision from Rule 200, Section 313; 
(4) the emissions thresholds of 0.5 tons per year (tpy) of hazardous 
air pollutants, and 2 tpy of any regulated air pollutant from Rule 200, 
Section 305; (5) provisions concerning obtaining a permit prior to 
renting or leasing a portable source from Rule 200, Section 410.3; (6) 
certain

[[Page 10909]]

procedures for changes that do not require a Non-Title V Permit from 
Rule 220, Section 404.3.e.; (7) the requirements for holding a public 
hearing from Rule 241, Section 310; and (8) the source obligation 
provision from Rule 241, Section 315. These requirements were moved to 
other rules or are already addressed in existing rules. The EPA finds 
these revisions acceptable.
Other General Rule Revisions
    The MCAQD made several other minor wording and administrative 
changes to Rules 100, 200, 210, 220, 240, and 241. As discussed further 
in our TSD, these rule revisions are acceptable.
    We are proposing to fully approve Rules 100, 200, 210, 220, 230, 
240 and 241 as part of the MCAQD's general and NSR permitting programs 
because we have determined that these rules satisfy the substantive 
statutory and regulatory requirements of section 110(a)(2)(C) of the 
Act, parts C and D of title I of the Act, 40 CFR 51.160-51.166, and 40 
CFR 51.307. Our TSD for this rulemaking contains a more detailed 
evaluation.

III. Proposed Action and Public Comment

    As authorized in section 110(k)(3) of the Act, the EPA proposes to 
fully approve the MCAQD Rules 100, 200, 210, 220, 230, 240, and 241, 
because they fulfill all relevant requirements. We are accepting 
comments from the public on this proposal until March 25, 2021. If we 
finalize this action as proposed, our action would be codified through 
revisions to 40 CFR 52.120 (Identification of plan).

IV. 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 the MCAQD rules listed in Table 1 of this notice. The EPA has 
made, and will continue to make, these documents generally available 
electronically through www.regulations.gov and at the EPA Region IX 
Office (see the FOR FURTHER INFORMATION CONTACT section of this 
preamble for more information).

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 Act and 
applicable federal regulations. 42 U.S.C. 7410(k); 40 CFR 52.02(a). 
Thus, in reviewing SIP submissions, the EPA's role is to approve state 
choices, provided that they meet the applicable 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 Orders 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);

List of Subjects in 40 CFR Part 52

    Air pollution control, Environmental protection, Incorporation by 
reference, Intergovernmental relations, New source review, Ozone, 
Particulate matter, Reporting and recordkeeping requirements, Volatile 
organic compounds.

    Authority: 42 U.S.C. 7401 et seq.

    Dated: February 5, 2021.
Deborah Jordan,
Acting Regional Administrator, Region IX.
[FR Doc. 2021-02908 Filed 2-22-21; 8:45 am]
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