Document ID: EPA-HQ-OAR-2004-0079-0022
Agency: epa
Document Type: Supporting & Related Material
Title: 
Posted Date: 2006-10-18T04:00Z

State
Implementation
Plans;
General
Preamble
for
the
Implementation
of
Title
I
of
the
Clean
Air
Act
Amendments
of
1990
Federal
Register,
Volume:
57
,
Issue:
74
,
Page:
13498
(
57
FR
13498)
,
Thursday,
April
16,
1992
Agency:
Environmental
Protection
Agency­­(
EPA)
Document
Type:
Proposed
Rules
Code
of
Federal
Regulations
(
CFR):
40
CFR
Part
52
Numbers:
FRL­
4120­
2;
RIN
2060­
AD12
Contact
Information:
Brock
Nicholson,
919­
541­
5517,;
or;
Eric
Ginsburg,
919­
541­
0877,;
or;
Gary
McCutchen,
919­
541­
5592,;
or;
Paula
Van
Lare,
202­
260­
3450
Action:
General
preamble
for
future
proposed
rulemakings
Internal
Data:
(
FR
Doc.
92­
7954
Filed
4­
15­
92;
8:
45
am)
SUMMARY:
Title
I
of
the
Clean
Air
Act
Amendments
(
CAAA)
of
1990
revamped
the
requirements
for
areas
that
have
not
attained
the
national
ambient
air
quality
standards
(
NAAQS)
for
ozone,
carbon
monoxide
(
CO),
particulate
matter
(
PM­
10),
sulfur
dioxide
(
SO2),
nitrogen
dioxide
(
NO2),
and
lead.
In
addition,
title
I
made
numerous
changes
in
the
requirements
for
State
implementation
plans
(
SIP's)
in
general,
including
the
provisions
governing
EPA's
processsing
of
SIP
revisions,
as
well
as
the
repercussions
of
State
failures
to
meet
the
various
SIP
requirements.
Many
of
these
requirements
call
for
early
action
by
the
States.
For
example,
under
title
I,
States
with
pre­
enactment
ozone
nonattainment
areas
were
to
begin
submitting
SIP
revisions
6
months
after
enactment
(
May
15,
1991).
Thi
General
Preamble
principally
describes
EPA's
preliminary
views
on
how
EP
should
interpret
various
provisions
of
title
I,
primarily
those
concernin
SIP
revisions
required
for
nonattainment
areas.
Although
the
Genera
Preamble
includes
various
statements
that
States
must
take
certain
actions
these
statements
are
made
pursuant
to
EPA's
preliminary
interpretations
and
thus
do
not
bind
the
States
and
the
public
as
a
matter
of
law.
In
th
near
future,
EPA
will
begin
to
take
action,
pursuant
to
notice­
and­
commen
rulemaking,
on
SIP
revisions
submitted
by
the
States,
and
issue
rules
pursuant
to
notice­
and­
comment
rulemaking,
on
various
title
I
provisions
During
the
comment
periods
for
those
subsequent
actions,
members
of
th
public
will
have
the
opportunity
to
comment
on
the
relevant
issues.
Thi
General
Preamble
is
an
advance
notice
of
how
EPA
generally
intends,
in
those
subsequent
rulemakings,
to
take
action
on
SIP
submissions
and
to
interpret
various
title
I
provisions.

­­­­­­­­­­
ENVIRONMENTAL
PROTECTION
AGENCY
40
CFR
Part
52
(
FRL­
4120­
2)
RIN
2060­
AD12
State
Implementation
Plans;
General
Preamble
for
the
Implementation
of
Title
I
of
the
Clean
Air
Act
Amendments
of
1990
AGENCY:
Environmental
Protection
Agency
(
EPA).

ACTION:
General
preamble
for
future
proposed
rulemakings.

­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­

­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­­

SUMMARY:
Title
I
of
the
Clean
Air
Act
Amendments
(
CAAA)
of
1990
revamped
the
requirements
for
areas
that
have
not
attained
the
national
ambient
air
quality
standards
(
NAAQS)
for
ozone,
carbon
monoxide
(
CO),
particulate
matter
(
PM­
10),
sulfur
dioxide
(
SO2),
nitrogen
dioxide
(
NO2),
and
lead.
In
addition,
title
I
made
numerous
changes
in
the
requirements
for
State
implementation
plans
(
SIP's)
in
general,
including
the
provisions
governing
EPA's
processsing
of
SIP
revisions,
as
well
as
the
repercussions
of
State
failures
to
meet
the
various
SIP
requirements.
Many
of
these
requirements
call
for
early
action
by
the
States.
For
example,
under
title
I,
States
with
pre­
enactment
ozone
nonattainment
areas
were
to
begin
submitting
SIP
revisions
6
months
after
enactment
(
May
15,
1991).

This
General
Preamble
principally
describes
EPA's
preliminary
views
on
how
EPA
should
interpret
various
provisions
of
title
I,
primarily
those
concerning
SIP
revisions
required
for
nonattainment
areas.
Although
the
General
Preamble
includes
various
statements
that
States
must
take
certain
actions,
these
statements
are
made
pursuant
to
EPA's
preliminary
interpretations,
and
thus
do
not
bind
the
States
and
the
public
as
a
matter
of
law.
In
the
near
future,
EPA
will
begin
to
take
action,
pursuant
to
notice­
and­
comment
rulemaking,
on
SIP
revisions
submitted
by
the
States,
and
issue
rules,
pursuant
to
notice­
and­
comment
rulemaking,
on
various
title
I
provisions.
During
the
comment
periods
for
those
subsequent
actions,
members
of
the
public
will
have
the
opportunity
to
comment
on
the
relevant
issues.
This
General
Preamble
is
an
advance
notice
of
how
EPA
generally
intends,
in
those
subsequent
rulemakings,
to
take
action
on
SIP
submissions
and
to
interpret
various
title
I
provisions.

FOR
FURTHER
INFORMATION
CONTACT:
Mr.
Brock
Nicholson,
Chief,
Policy
Development
Section,
Ozone/
CO
Programs
Branch
(
MD­
15)
at
(
919)
541­
5517,
for
issues
related
to
ozone
or
carbon
monoxide;
Mr.
Eric
Ginsburg
at
(
919)
541­
0877,
Sulfur
Dioxide/
Particulate
Matter
Programs
Branch
(
MD­
15),
for
issues
related
to
sulfur
dioxide,
particulate
matter,
or
lead;
Mr.
Gary
McCutchen
at
(
919)
541­
5592,
Permits
Programs
Branch
(
MD­
15),
for
issues
related
to
new
source
review,
U.
S.
Environmental
Protection
Agency,
Research
Triangle
Park,
North
Carolina
27711;
Ms.
Paula
Van
Lare
at
(
202)
260­
3450
for
issues
related
to
mobile
sources,
401
M
Street,
SW.,
Washington,
DC
20460.

SUPPLEMENTARY
INFORMATION:
Note:
In
accordance
with
1
CFR
5.9(
c),
this
document
is
published
in
the
Proposed
Rules
category.

A
list
of
cited
references
are
contained
in
the
appendices
which
are
available
from
the
public
docket,
A­
91­
35
at
EPH,
400
M
Street,
S.
W.
Washington,
D.
C.
Appendices
A
through
E
will
be
published
in
a
subsequent
Federal
Register.

OUTLINE
I.
Purpose
II.
Background
A.
History
B.
Overview
of
title
I
of
1990
CAAA
1.
Designations/
classifications
2.
Pollutant­
specific
requirements
3.
General
requirements
4.
Part
D,
subpart
1
5.
Miscellaneous
6.
Relationship
between
titles
I
and
II
of
1990
CAAA
III.
SIP
Requirements
A.
Ozone
1.
General
2.
Marginal
areas
3.
Moderate
areas
4.
Serious
areas
5.
Severe
areas
6.
Extreme
areas
7.
Nonclassifiable
nonattainment
areas
8.
Transport
areas
9.
Multi­
state
ozone
nonattainment
areas
B.
Carbon
Monoxide
1.
Moderate
areas
12.7
ppm
and
below
2.
Moderate
areas
above
12.7
ppm
3.
Serious
areas
4.
Nonclassifiable
areas
5.
Multi­
state
CO
attainment
areas
6.
Areas
with
significant
stationary
source
emissions
7.
Guidance
on
waivers
for
mobile
source
measures
C.
Particulate
Matter
1.
Statutory
background
2.
Determination
of
RACM/
RACT
3.
SIP's
that
demonstrate
attainment
4.
SIP's
that
do
not
demonstrate
attainment
D.
Sulfur
Dioxide
1.
Designations
2.
Classifications
3.
Plan
submission
deadlines
4.
Attainment
dates
5.
Nonattainment
plan
provision
6.
Sources
of
SO2
policy
and
guidance
E.
Lead
1.
Statutory
background
2.
Pre­
SIP
submittal
activities
3.
Transition
issues
F.
Nitrogen
Dioxide
1.
Designations
2.
Plan
deadlines
3.
Attainment
dates
4.
Nonattainment
plan
provisions
G.
New
Source
Review
(
NSR)
Nonattainment
Permit
Requirements
1.
Contruction
bans
2.
Emissions
offsets
3.
Creditable
emission
reductions
for
netting
4.
Growth
allowances
5.
Analysis
of
alternatives
6.
Control
technology
information
7.
Innovative
controls
for
rocket
engines
and
motors
8.
Exemptions
for
stripper
wells
9.
Outer
Continental
Shelf
Source
Applicability
10.
Tribal
lands
applicability
11.
Stationary
source
definition
12.
Temporary
clean
coal
technology
demonstration
projects
13.
Failure
to
submit
NSR
rules
by
statutory
deadlines
H.
General
1.
Part
D,
subpart
1/
section
110
(
to
the
extent
not
covered
under
pollutant­
specific)
2.
Conformity
3.
Planning
requirements
including
section
174
4.
Economic
incentives
5.
Section
172(
c)(
1)
requirement
for
all
Reasonably
Available
Control
Measures
(
RACM)
6.
Redesignations
7.
Transition
issues
8.
General
savings
clause
IV.
EPA
Requirements
A.
SIP
Processing
Requirements
1.
Completeness
2.
Partial
approvals
B.
Sanctions
and
Other
Safeguards
1.
Background
under
1977
CAAA
2.
Available
measures
under
1990
CAAA
3.
Application
and
timing
of
the
section
179
Sanctions
C.
Federal
Implementation
Plans
(
FIP's)
V.
Miscellaneous
A.
Relationship
of
Title
I
to
Title
V
1.
Introduction
2.
Purposes
of
a
SIP
3.
Fundamental
principles
for
SIP's/
control
strategy
4.
Satisfying
SIP
principles
5.
Approaches
to
ensure
that
permits
properly
support
SIP's
B.
Tribal
Implementation
Plans
C.
Section
179B
Requirements
VI.
Other
Requirements
A.
Executive
Order
12291
B.
Regulatory
Flexibility
Act
I.
Purpose
The
primary
purpose
of
this
preamble
is
to
provide
the
public
with
advance
notice
of
how
EPA
generally
intends
to
interpret
various
requirements
and
associated
issues
that
have
arisen
under
title
I
of
the
CAAA.
The
information
provided
in
this
preamble
is
therefore
intended
to
guide
States
and
to
help
ensure
that
they
prepare
and
submit
SIP's
or
SIP
revisions
that
adequately
comply
with
the
title
I
provisions.
For
quick
reference,
title
I
submittals
and
other
actions
concerning
ozone
and
CO
nonattainment
areas
required
during
the
early
years
following
the
November
15,
1990
enactment
of
the
1990
CAAA,
are
listed
chronologically
(
by
the
date
each
action
is
due)
on
Table
1.

Table
1.­­
Major
Required
State
Submittals
and
Actions
[
available
upon
request]

The
EPA's
interpretation
of
title
I
provisions
provided
in
the
preamble
will
also
provide
a
basis
for
subsequent
EPA
approval
or
disapproval
of
SIP
submittals
concerning
NAAQS
nonattainment
areas.
While
this
preamble
should
reflect
the
majority
of
the
SIP
requirements
under
title
I,
unique
circumstances
or
as
yet
unrecognized
issues
are
likely
to
cause
case­
by­
case
exceptions
to
arise.
The
EPA
intends
to
provide
the
public
with
a
formal
opportunity
to
comment
on
the
provisions
of
this
preamble,
and
other
issues
that
may
arise
during
subsequent
rulemakings
that
take
action
on
SIP
revisions
submitted
by
the
States
under
title
I
and
that
set
out
EPA
policy
on
various
aspects
of
title
I.
This
preamble
is
a
General
Preamble
for
those
subsequent
actions.

This
preambles
focuses
primarily
on
the
SIP
submissions
required
for
nonattainment
areas
under
part
D
of
the
amended
Act.
It
discusses
specific
issues
concerning
the
proper
interpretation
of
the
title
I
requirements
of
areas
designated
nonattainment
(
and,
for
some
pollutants,
classified)
under
part
D,
title
I,
as
well
as
the
proper
treatment
of
nonattainment
areas
that
fall
outside
of
the
classification
schemes.
This
preamble
discusses
requirements
for
the
SIP
submissions
required
for
ozone,
CO,
PM­
10,
SO2,
NO2,
and
lead
nonattainment
areas.
In
addition,
this
preamble
discusses
interpretation
issues
that
have
arisen
concerning
redesignations
at
attainment,
some
general
SIP
requirements,
and
EPA
action
on
SIP
submissions,
as
well
as
the
various
types
of
possible
State
failures
to
meet
certain
requirements
and
the
consequent
sanctions
and
Federal
implementation
plans
(
FIP's).

This
preamble
also
sets
forth
EPA's
interpretation
of
the
various
provisions
in
the
amended
Clear
Air
Act
(
Act)
which
change
new
source
review
(
NSR)
requirements
for
new
and
modified
sources
in
nonattainment
areas.
The
discussion
includes
EPA's
intended
interpretation
of
the
minimum
changes
all
States
must
make
in
their
SIP's
in
order
to
comply
with
the
amended
NSR
requirements
and
the
deadlines
for
making
these
changes.
States
should
use
this
General
Preamble
as
guidance
for
revision
of
their
NSR
programs
and
submittal
of
their
NSR
SIP's.
The
Act
mandated
deadlines
for
NSR
SIP
submittals
are:
May
15,
1992
for
areas
without
approved
SO2
SIP's
prior
to
enactment;
November
15,
1993
for
all
other
SO2
nonattainment
areas
designated
prior
to
enactment;
May
15,
1992
for
NO2;
July
6,
1993
for
lead
nonattainment
areas
designated
January
6,
1992;
June
30,
1992
for
PM­
10
nonattainment
areas;
November
15,
1992
for
ozone
nonattainment
areas
and
transport
regions;
November
15,
1993
for
CO
nonattainment
areas
with
a
design
value
of
12.7
ppm
or
less;
and
November
15,
1992
for
CO
nonattainment
areas
with
a
design
value
above
12.7
ppm.
For
future
designations,
NSR
SIP
submittals
are
due
within
18
months
from
redesignation
of
all
SO2,
NO2,
PM­
10
and
lead
nonattainment
areas,
and
within
2
years
of
redesignation
for
ozone
and
many
CO
nonattainment
areas
(
within
3
years
for
CO
nonattainment
areas
with
design
values
less
than
12.7
ppm).

Note
also
that
these
changes
apply
not
only
in
designated
nonattainment
areas,
but
in
ozone
transport
regions,
certain
tribal
lands
that
are
either
in
nonattainment
areas
or
ozone
transport
regions,
and
to
specified
sources
in
the
Outer
Continental
Shelf
(
OCS)
area.
The
EPA
intends
to
amend
its
existing
NSR
regulations
(
see
40
CFR
51.165,
51.166,
52.21,
and
52.24)
to
reflect
the
changes
mandated
by
the
1990
CAAA.
Certain
changes
to
the
NSR
requirements
of
the
prevention
of
significant
deterioration
(
PSD)
program,
part
C,
title
I,
will
be
addressed
in
a
separate
EPA
proceeding
and
are
not
addressed
in
this
preamble.

The
timeframe,
or
scope,
of
this
General
Preamble
covers
the
6­
year
period
following
enactment.
The
SIP
submittals
for
all
affected
areas
are
required
to
be
developed,
submitted,
and
approved
by
EPA
within
this
time
period.
Complete
plan
submittals
are
required
for
certain
PM­
10
areas
within
1
year
of
enactment.
For
ozone
and
CO
nonattainment
areas,
regulations,
emission
inventories,
control­
measure
strategies,
and
attainment
demonstrations
are
due
at
varying
dates
from
6
months
to
5
years
after
enactment.
Generally,
the
guidance
provided
this
document
is
intended
to
guide
nonattainment
SIP
development
until
further
statutory
requirement
are
issued
or
EPA
determines
that
revisions
are
appropriate.

The
scope
of
this
General
Preamble
is
limited
regarding
several
new
provisions
of
the
1990
CAAA
concerning
emissions
of
the
oxides
of
nitrogen
(
NOx).
Specifically,
the
General
Preamble
does
not
include
a
discussion
of
the
new
NOx
provisions
with
respect
to
the
following
topics:
reasonably
available
control
technology,
new
source
review,
interaction
of
titles
I
and
IV,
ozone
transport
region,
section
185B
report,
and
section
182(
f).
However,
EPA
recongizes
the
importance
of
providing
timely
guidance
to
the
states
to
help
assure
the
development
and
implementation
of
cost­
effective
control
measures
to
reduce
ozone
levels.
Accordingly,
EPA
will
issue
guidance
as
soon
as
possible,
as
in
supplements
to
the
General
Preamble.

Six
years
is
a
significant
milestone
in
the
1990
CAAA.
Within
6
years
of
enactment,
ozone
nonattainment
areas
classified
as
moderate
and
above
must
achieve
a
15
percent
reduction
in
volatile
organic
compound
(
VOC)
emissions,
and
moderate
areas
must
attain
the
NAAQS.
In
addition,
moderate
CO
nonattainment
areas
must
also
attain
the
NAAQS
by
December
31,
1995.
Sulfur
dioxide,
PM­
10,
lead,
and
NO2
nonattainment
areas
must
also
meet
significant
statutory
milestones
within
the
6­
year
period.

The
appropriate
SIP
components
necessary
to
meet
these
goals
by
the
sixth
year
and
to
provide
adequate
plans
(
due
within
the
first
6
years)
for
attaining
the
NAAQS
by
the
appropriate
dates
beyond
the
sixth
year
are
covered
in
this
General
Preamble.
To
some
extent,
this
preamble
also
applies
to
the
period
beyond
6
years.
For
example,
it
includes
much
of
the
guidance
applicable
to
areas
designated
nonattainment
for
SO2,
PM­
10,
and
lead
beyond
the
6­
year
period.
Other
guidance
that
covers
the
period
beyond
6
years
from
enactment,
demonstrating
attainment
of
milestones
or
NAAQS
and
future
planning
for
cities
with
the
most
significant
air
pollution
problems,
will
be
covered
in
future
supplements
to
this
General
Preamble,
as
necessary.

This
preamble
is
organized
to
meet
the
needs
of
individuals
wanting
either
an
overview
of
EPA's
preliminary
interpretation
of
the
various
provisions
of
title
I
of
the
1990
CAAA
or
a
detailed
discussion
of
SIP
submittal
requirements
for
a
specific
NAAQS
nonattainment
classification.
An
area
with
a
higher
nonattainment
classification
(
i.
e.,
it
more
greatly
exceeds
a
NAAQS
than
do
areas
with
lower
nonattainment
classifications
for
the
same
NAAQS)
generally
must
adopt
all
measures
required
of
areas
with
lower
nonattainment
classifications,
along
with
specific
measures
required
for
the
higher
classification.
Therefore,
the
general
introductory
material
at
the
beginning
of
the
preamble
and
the
material
describing
SIP
requirements
for
all
those
levels
of
NAAQS
nonattainment
equal
to
or
lower
than
the
classification
promulgated
for
a
particular
nonattainment
area,
are
applicable
to
the
area.
The
General
Preamble
includes
citations
to
its
own
sections
and
to
sections
of
various
Act
(
or
CAAA)
versions.
Citations
usually
comply
with
the
following
conventions:
1.
General
Preamble
sections
begin
with
a
roman
numeral.

2.
The
Act
is
referenced
by
section
(
or
by
title
(
I­
V),
part
(
A­
D
of
title
I,
A­
C
of
title
II)).

3.
Earlier
versions
of
the
Act
and
the
1990
(
or
earlier)
CAAA
are
identified
by
date
or
other
specific
reference.

A
glossary
listing
the
various
acronyms
used
in
this
document
is
in
appendix
A.
The
bibliography
for
and
list
of
cited
references
in
this
preamble
is
in
appendix
B.

II.
Background
A.
History
The
long
history
of
the
Clean
Air
Act
(
Act)
extends
back
before
1970.
A
summary
of
significant
events
occurring
during
its
development
is
given
in
52
FR
45044
(
November
24,
1987).

That
summary
was
part
of
EPA's
proposed
Post­
1987
Ozone
and
CO
Policy,
which
focused
on
requirements
for
areas
that
failed
to
attain
the
NAAQS
by
the
statutory
deadline
of
December
31,
1987.
These
proposed
requirements
included
correcting
certain
SIP
deficiencies
and
fully
implementing
the
1982
SIP's,
adopting
enhanced
inspection
and
maintenance
(
I/
M)
programs,
and
submitting
revised
SIP's
that
demonstrated
attainment
over
an
expanded
planning
area
as
expeditiously
as
practicable
by
achieving
at
least
a
3
percent
per
year
reduction
in
the
base
year
emissions.

On
May
26,
1988
(
in
accordance
with
section
110(
a)(
2)(
H)),
EPA
began
issuing
notices
of
SIP
inadequacy
(
SIP
calls)
contained
in
letters
to
the
Governors
of
States
with
areas
that
failed
to
attain
the
ozone
and
CO
standards
or
that
contributed
to
violations
of
the
standards
(
see
53
FR
34500
(
September
7,
1988)).
These
letters
called
on
States
to
complete
"
Phase
I"
of
their
SIP
call
response.
Under
that
phase,
the
States
were
to
correct
the
SIP
where
it
failed
to
meet
EPA's
existing
part
D
guidance
relating
to
control
of
VOC
and
CO
emissions
from
stationary
sources,
satisfy
unimplemented
SIP
commitments
by
adopting
any
missing
control
measures,
and
begin
updating
the
base
year
emissions
inventory
for
future
attainment
plans.

Beyond
the
basic
attainment
planning
requirements
discussed
in
the
proposed
Post­
1987
Ozone
and
CO
Policy,
the
1977
CAAA
included
preconstruction
permitting
requirements
for
major
new
and
modified
sources
under
two
programs,
PSD
and
nonattainment
NSR
(
respectively,
parts
C
and
D
of
title
I).
In
nonattainment
areas,
new
or
modified
sources
as
part
of
a
preconstruction
review
process
must
(
among
other
things):
Obtain
emissions
offsets,
and
adopt
control
technology
meeting
a
lowest
achievable
emission
rate
(
LAER)
standard.
In
1980,
EPA
adopted
new
final
regulations
detailing
SIP
requirements
to
implement
the
NSR
programs
of
parts
C
and
D
(
see
45
FR
52676).
The
preamble
to
these
regulations
should
be
consulted
for
an
in­
depth
discussion
of
the
history
of
the
NSR
provisions
of
title
I
as
well
as
a
detailed
explanation
of
program
requirements
prior
to
the
1990
CAAA.

B.
Overview
of
Title
I
of
1990
CAAA
One
of
the
main
goals
of
the
1990
CAAA
was
to
overhaul
Act
provisions
that
concerned
planning
for
NAAQS
attainment.
Although
one
of
the
chief
motivations
for
amending
the
Act
was
the
failure
of
areas
to
attain
the
ozone
and
CO
standards,
the
process
of
amending
the
statute
provided
an
opportunity
to
address
on
a
comprehensive
basis
the
defects
in
existing
law.

Title
I
of
the
CAAA
(
Provisions
for
Attainment
and
Maintenance
of
NAAQS)
for
the
most
part
amends
and
supplements
title
I
of
the
Act
(
Air
Pollution
Prevention
and
Control)./
1/
In
light
of
the
massive
sweep
and
complexity
of
title
I
(
1990
CAAA),
the
reader
may
find
it
helpful
to
view
the
Title
as
a
collection
of
six
sets
of
requirements.
The
following
discussion
provides
a
brief
overview
of
these
six
sets:

NOTE
/
1/
The
CAAA
also
amend
other
titles;
for
example,
new
section
301
of
the
Act
adds
provisions
regarding
treatment
of
Indian
tribes
to
title
III
of
the
Act.

1.
Designations/
Classifications
This
set
of
requirements
amends
section
107
and
the
classification
provisions
in
part
D
(
Plan
Requirements
for
Attainment)
of
the
Act.
For
instance,
section
181
addresses
ozone
classifications
and
section
186
addresses
CO
classifications.
Specific
requirements,
by
classification,
are
discussed
in
section
III.
A.
and
section
III.
B.
of
this
notice.

2.
Pollutant­
specific
requirements
Pollutant­
specific
requirements
for
designated
ozone;
CO;
PM­
10;
and
SO2
,
NO2
,
and
lead
nonattainment
areas
are
found
in
part
D
at
subparts
2,
3,
4,
and
5,
respectively.
Where
a
conflict
exists,
the
pollutant­
specific
requirements
override
the
new­
source
permit
requirements
of
section
173.

3.
General
Requirements
The
revised
general
requirements
for
all
plans
regardless
of
the
attainment
demonstration
required
appear
early
in
title
I
of
the
CAAA.

Note:
The
amendments
modify
numerous
sections
of
the
Act,
including
sections
107,
110,
and
171
through
179.
These
general
requirements
include
procedures
for
EPA
review
of
SIP
submittals
(
new
Act
section
110(
k));
action
on
SIP
revisions
(
section
110(
1))
and
a
revised
list
of
requirements
for
all
plans
(
section
110(
a)(
2)).

4.
Part
D,
subpart
1
This
set
includes
general
requirements
for
all
designated
nonattainment
areas,
especially
those
designated
under
new
and
revised
NAAQS.
In
Subpart
1,
Congress
repealed
the
1987
attainment
deadlines
for
ozone
and
CO.
In
some
cases,
the
pollutant­
specific
requirements
contained
in
subparts
2­
5
of
part
D
override
subpart
1'
s
general
provisions.
Subpart
1
also
includes
a
process
governing
sanctions
for
State
failure
to
meet
statutory
requirements.
Beyond
that,
it
includes
revised
new­
source
permit
requirements
(
section
172(
c)(
5)
and
section
173).

5.
Miscellaneous
Other
provisions
of
the
Act
address
a
variety
of
topics.
Most
of
these
provisions
appear
toward
the
end
of
title
I
of
the
CAAA.
For
example,
new
Act
section
193
(
technically
in
a
new
subpart
6
of
part
D)
sets
forth
a
"
General
Savings
Clause"
governing
retention
of
certain
types
of
previously
enacted
or
mandated
requirements.
The
new
Act
section
301(
d)
contains
provisions
related
to
Indian
tribes.
The
miscellaneous
provisions
also
include
guidance
on
planning
and
transportation­
related
provisions.

6.
Relationship
Between
Titles
I
and
II
of
1990
CAAA
Title
I
generally
addresses
the
nonattainment
SIP
requirements
and
title
II
deals
with
control
of
mobile
source
emissions.
While
title
II
principally
deals
with
Federally
implemented
programs
(
e.
g.,
Federal
Motor
Vehicle
Control
Program
(
FMVCP)),
requirements
related
to
SIP's,
such
as
fuels
programs
and
Reid
vapor
pressure
(
RVP),
are
also
contained
in
the
title.
Therefore,
guidance
on
implementing
these
programs
will
also
be
provided
in
this
document.

III.
SIP
requirements
A.
Ozone
1.
General
(
a)
Classifications.
New
subpart
2
of
part
D
(
section
181)
sets
a
new
classification
structure
for
ozone
nonattainment
areas
based
on
the
severity
of
the
nonattainment
problem.
For
each
area
classified
under
this
section,
the
attainment
date
shall
be
as
expeditious
as
practicable
but
no
later
than
the
date
in
the
following
table.
The
classification
scheme
is
as
follows:

Area
Primary
standard
classification
Design
value,
ppm
attainment
date
Marginal
0.121
up
to
(
but
not
including)
0.138
November
15,
1993.

Moderate
0.138
up
to
(
but
not
including)
0.160
November
15,
1996.

Serious
0.160
up
to
(
but
not
including)
0.180
November
15,
1999.

Severe
0.180
up
to
(
but
not
including)
0.280
November
15,
2005.

Extreme
0.280
and
above
November
15,
2010.

Additionally,
a
severe
area
with
a
1986
to
1988
ozone
design
value
of
0.190
up
to,
but
not
including,
0.280
parts
per
million
(
ppm)
has
17
years
(
until
November
15,
2007)
to
attain
the
NAAQS.

The
designation/
classification
process
for
ozone
was
described
in
56
FR
56694
(
November
6,
1991).
(
b)
Special
classifications.
In
addition
to
the
five
air
quality­
based
classifications,
some
nonattainment
areas
do
not
fit
into
the
classification
scheme
of
section
181(
a).
The
EPA
has
classified
these
areas
as
transitional,
submarginal,
or
areas
with
incomplete
data.
Section
III.
A
of
this
preamble
describes
the
requirements
for
all
areas
(
marginal
to
extreme
and
the
special
classifications)
in
much
the
same
way
as
they
are
described
in
section
182.

(
c)
Planning.
As
provided
in
subpart
2,
emission
inventories,
provisions
for
Stage
II
gasoline
vapor
recovery,
motor
vehicle
I/
M,
NSR,
stationary­
source
reasonably
available
control
technology
(
RACT),
and
certain
other
planning
or
control
measures
are
required
within
2
years
after
enactment
(
November
15,
1992)
for
most
of
the
previously
and
newly
designated
nonattainment
areas.
For
a
very
few
nonattainment
areas,
final
determination
of
the
nonattainment
area
boundries
may
not
occur
until
only
a
few
months
before
several
major
rules
(
e.
g.,
Stage
II,
I/
M,
transportation
control
measures
(
TCM's),
NSR,
RACT)
and
the
emission
inventory
must
be
submitted.
These
nonattainment
areas
should
not
delay
their
adoption
of
rules
or
preparation
of
inventories
while
the
boundary
determinations
are
proceeding.
Rather,
these
areas
should
be
prepared
to
readily
adopt
rules
and
complete
their
emission
inventories
for
the
broadest
area
under
consideration
should
EPA
conclude
that
such
broader
area
is
appropriate.
The
1990
CAAA
require
all
submittals
due
within
2
years
(
November
15,
1992)
to
address
the
entire
nonattainment
area;
these
submittals
can
not
be
delayed
due
to
the
final
boundaries
rulemaking
under
section
107(
d).

(
d)
Enforceability.
The
EPA
has
recently
developed
new
model
RACT
rules
(
which
supersede
the
previously
issued
model
rules)
for
controlling
VOC
emissions
from
source
categories
covered
by
the
Group
I,
II,
and
III
control
technique
guidelines
(
CTG's).
These
model
rules
are
intended
to
be
used
by
areas
subject
to
RACT
"
fix­
up"
requirements
in
correcting
existing
RACT
rules,
as
required
by
section
182(
a)
(
see
section
III.
A.
2,
marginal
areas
below),
and
by
areas
subject
to
RACT
"
catch
up"
requirements
that
are
required
to
apply
RACT
measures
in
accordance
with
section
182(
b)(
2)
of
the
Act
(
see
section
III.
A.
3,
moderate
areas
below).
The
model
RACT
rules
include
provisions
for
compliance
certification,
recordkeeping,
reporting,
monitoring,
and
test
methods
and
procedures
to
enable
EPA
and
the
States
to
determine
compliance
with
the
requirements
of
the
regulations.
For
a
number
of
source
categories,
these
compliance
provisions
have
been
added
to
the
model
RACT
rules
to
improve
enforceability
because
the
CTG's
and
previous
guidance
for
these
sources
did
not
include
such
requirements.

In
general,
for
a
SIP
regulation
to
be
enforceable,
it
must
clearly
spell
out
which
sources
or
source
types
are
subject
to
its
requirements
and
what
its
requirements
(
work
practices,
emission
limits,
etc.)
are.
The
regulation
also
needs
to
specify
the
time
frames
within
which
these
requirements
must
be
met,
and
must
definitively
state
recordkeeping
and
monitoring
requirements
appropriate
to
the
type
of
sources
being
regulated.
The
recordkeeping
and
monitoring
requirements
must
be
sufficient
to
allow
determinations
on
a
continuing
basis
whether
sources
are
complying.
An
enforceable
regulation
must
also
contain
test
procedures
in
order
to
determine
whether
sources
are
in
compliance.

(
e)
Structure
of
requirements.
for
areas
classified
marginal
to
extreme,
virtually
all
requirements
are
additive
(
e.
g.,
a
moderate
area
has
to
meet
all
marginal
and
moderate
requirements,
unless
otherwise
specified).
The
text
below
presents
the
requirements
in
the
first
applicable
classification,
then
repeated
only
if
the
requirements
are
different
for
a
higher
classification.

2.
Marginal
Areas
(
a)
Emission
inventory.
See
appendix
B
for
pertinent
guidance
on
emissions
inventory
requirements.

(
1)
Schedule.
Section
182(
a)(
1)
requires
all
nonattainment
areas
to
submit
a
final,
comprehensive,
accurate,
and
current
inventory
of
actual
ozone
season,
weekday
emissions
from
all
sources
within
2
years
of
enactment
(
November
15,
1992).
The
EPA
requests
that
the
draft
inventory
be
submitted
between
January
1
and
May
1,
1992
in
order
to
facilitate
early
review
and
allow
the
submittal
of
an
acceptable
inventory
in
November
1992.

(
2)
Requirements.
This
initial
inventory
is
for
calendar
year
1990
and
is
denoted
as
the
base
year
inventory.
It
includes
both
anthropogenic
and
biogenic
sources
of
VOC,
NOx
and
CO.
The
inventory
is
to
address
actual
VOC,
NOx,
and
CO
emissions
for
the
area
during
the
peak
ozone
season,
which
is
generally
the
summer
months.
All
stationary
point
sources
and
area
sources,
as
well
as
highway
and
nonhighway
mobile
sources
within
the
nonattainment
area,
stationary
sources
with
emissions
of
100
tons
or
greater
per
year
within
a
25­
mile
wide
buffer
of
the
designated
nonattainment
area,
and
any
OCS
sources
are
to
be
included
in
the
compilation.
Including
sources
within
a
25­
mile
buffer
is
necessary
to
ensure
that
all
sources
capable
of
affecting
air
quality
within
the
nonattainment
area
are
adequately
accounted
for
in
modeling
demonstrations
and
strategy
development.
For
nonattainment
areas
that
are
required
to
do
photochemical
grid
modeling
pursuant
to
section
182(
c)(
2)(
A)
(
see
sections
III.
A.
4.
e,
serious
areas,
and
III.
A.
9,
multi­
State
areas),
the
modeling
domain
will
determine
the
appropriate
size
of
the
area
that
must
be
inventoried
for
modeling
purposes.

As
one
of
the
first
steps
in
developing
the
base
year
inventory,
the
States
are
to
prepare
an
inventory
preparation
plan
(
IPP),
which
is
due
in
final
form
to
EPA
by
October
1,
1991.
The
IPP
should
briefly
state
how
the
State
intends
to
develop,
document,
and
submit
its
inventory.
Another
early
step
in
the
inventory
development
process
is
preparation
of
the
point
source
portion
of
the
base
year
inventory.
Guidance
for
preparing
emission
inventories
was
issued
in
May
1991
("
Procedures
for
the
Preparation
of
Emission
Inventories
for
Carbon
Monoxide
and
Precursors
of
Ozone,
Volume
I").
Because
the
point
source
portion
of
this
guidance
is
essentially
the
same
as
it
was
for
the
post­
1987
SIP's,
States
should
have
already
begun
gathering
data
on
those
sources.
States
are
encouraged
to
submit
the
point
source
portion
of
the
inventory
to
EPA
as
early
as
January
1,
1992.

States
that
have
fully
completed
portions
of
their
base
year
inventories
for
1987,
1988,
or
1989
may
request
EPA
approval
to
update
these
portions.
Otherwise,
States
are
required
to
prepare
a
completely
new
inventory
with
a
1990
base
year.
The
EPA
guidance
on
the
procedure
to
request
an
update
was
provided
in
May
1991
("
Procedures
for
the
Preparation
of
Emission
Inventories
for
Carbon
Monoxide
and
Precursors
of
Ozone,
Volume
I").

In
July
1991,
EPA
issued
an
updated
version
of
MOBILE4,
its
mobile
source
emissions
estimation
model.
The
updated
version
MOBILE4.1,
replaces
and
supersedes
MOBILE4.
States,
with
the
exception
of
California,
are
required
to
use
MOBILE4.1
in
determining
highway
mobile
source
emissions
for
all
of
their
base
year
emission
inventories
under
the
CAAA.
California
will
consult
with
the
EPA
Region
IX
Office
in
determining
the
appropriate
mobile
source
model
to
use.
If
other
States
adopt
California
tailpipe
standards,
they
should
consult
with
their
EPA
Regional
Office
to
determine
the
appropriate
mobile
model
because
MOBILE4.1
would
not
correctly
reflect
emissions
from
these
States
in
the
future.
However,
for
the
base
year
inventory,
and
until
new
California
cars
are
introduced
into
an
area,
MOBILE4.1
should
be
used.
The
majority
of
the
enhancements
in
the
revised
model
are
internal
to
the
model
and
do
not
require
the
States
to
make
any
special
procedural
adjustments
when
running
MOBILE4.1.
The
EPA's
"
Emission
Inventory
Requirements
for
Ozone
State
Implementation
Plans,"
should
be
referred
to
for
more
information.
The
States
will
also
be
required
to
develop
new
1990
base
year
inventories
for
highway
mobile
sources
to
account
for
fleet
turnover,
newly
opened­
to­
traffic
highway
sections
resulting
in
changes
in
vehicle
miles
traveled
(
VMT)
and
VMT
patterns,
and
changes
in
speed
limits.
States
are
to
follow
new
guidance
for
estimating
VMT
to
be
published
in
the
Federal
Register
notice
expected
to
be
issued
in
(
OMS
to
fill
in).

New
methodologies
have
been
developed
to
calculate
emissions
from
certain
area
of
off­
highway
mobile
source
categories.
The
categories
are
solvent
uses,
railroads,
and
aircraft.
The
emission
factors
for
nonroad
engines
and
vehicles
have
not
yet
been
changed,
but
may
be
revised
as
the
result
of
a
study
required
by
the
1990
CAAA.
Therefore,
for
these
categories,
new
emission
estimates
must
be
developed
by
the
States
using
the
new
methodologies.
The
new
methodologies
for
calculating
emissions
for
solvent
use
are
contained
in
the
May
1991
document
"
Procedures
for
the
Preparation
of
Emission
Inventories
for
Carbon
Monoxide
and
Precursors
of
Ozone,
Volume
I";
and
for
railroads
and
aircraft
in
the
July
1991
final
draft
chapters
of
the
document
"
Procedures
for
the
Preparation
of
Emission
Inventories
for
Carbon
Monoxide
and
Precursors
of
Ozone,
Volume
IV."
The
States
will
be
required
to
use
these
methods
when
preparing
the
area
and
off­
highway
mobile
source
portions
of
their
emission
inventories.

The
EPA
document
"
Procedures
for
Estimating
and
Applying
Rule
Effectiveness
in
Post­
1987
Base
Year
Emission
Inventories
for
Ozone
and
Carbon
Monoxide
State
Implementation
Plans"
(
June
1989)
should
be
consulted
for
information
on
how
to
consider
rule
effectiveness
when
calculating
emissions
from
stationary
sources.
One
hundred
percent
rule
effectiveness
is
the
ability
of
a
regulatory
program
to
achieve
all
the
emission
reductions
that
could
be
achieved
by
full
compliance
with
the
applicable
regulations
at
all
sources
at
all
times.
For
the
purpose
of
base
year
inventories
under
the
CAA,
EPA
will
require
the
use
of
an
80­
percent­
effectiveness
default
value
except
as
follows.
The
States
are
encouraged
to
derive
local
category­
specific
rule
effectiveness
factors,
consistent
with
the
tests
and
protocol
prescribed
in
the
March
31,
1988
memorandum
from
John
S.
Seitz,
Director,
Stationary
Source
Compliance
Division,
to
Regional
Air
Division
Directors
regarding
"
Implementation
of
Rule
Effectiveness
Studies,"
or
complete
the
questionnaire
procedure
for
all
of
their
source
categories
as
prescribed
in
"
Procedures
for
Estimating
and
Applying
Rule
Effectiveness
in
Post­
1987
Base
Year
Emission
Inventories
for
Ozone
and
Carbon
Monoxide
State
Implementation
Plans."
Finally,
the
reader
should
refer
to
section
III.
A.
9
on
multi­
State
area
requirements
for
additional
information
related
to
base
year
inventories.

By
meeting
the
specific
inventory
requirements
discussed
above,
the
State
will
also
satisfy
the
general
inventory
requirements
of
section
172(
c)(
3).

(
3)
Other
uses.
Many
other
inventories
can
be
derived
from
the
base
year
inventory.
For
example,
areas
may
use
their
base
year
inventory
as
part
of
statewide
inventories
for
purposes
of
regional
modeling
in
transport
areas.
The
base
year
inventory
also
plays
an
important
role
in
modeling
demonstrations
for
areas
classified
as
moderate
and
above
outside
transport
regions.
Guidance
has
been
developed
to
aid
States
in
preparing
emission
inventories
for
photochemical
grid
modeling
(
for
serious
and
above
areas
and
multi­
State
moderate
areas)
("
Procedures
for
the
Preparation
of
Emission
Inventories
for
Carbon
Monoxide
and
Precursors
of
Ozone,
Vol.
II,"
May
1991,
"
UAM
Applications
Guidance"
and
"
User's
Guide
for
the
Urban
Airshed
Model,
Vol.
4."
The
reader
should
also
refer
to
the
discussion
of
attainment
demonstration
requirements
for
serious
areas
(
section
III.
A.
4.(
e)).
Guidance
on
emission
inventory
preparation
for
EKMA
(
for
nonmulti­
State
moderate
areas)
is
described
in
"
Procedures
for
Preparation
of
Emission
Inventories
for
Carbon
Monoxide
and
Precursors
of
Ozone,
Volume
I,"
May
1991.

(
b)
RACT
corrections.
Section
182(
a)(
2)(
A)
requires
ozone
nonattainment
areas
to
submit
within
6
months
of
classification
all
rules
and
corrections
to
existing
VOC
RACT
rules
that
were
required
under
the
RACT
provision,
section
172(
b)(
3)
of
the
old
law
(
and
related
guidance).
The
EPA
published
a
Federal
Register
(
56
FR
54554)
notice
describing
this
provision
and
the
success
of
States
in
meeting
the
correction
deadline,
and
the
readers
should
refer
to
that
notice.
As
explained
in
that
notice,
areas
that
were
designated
nonattainment
under
section
107
just
prior
to
enactment
of
the
1990
CAAA
are
the
only
areas
affected
by
this
requirement
because
they
are
the
only
areas
that
were
then
subject
to
the
RACT
requirements
of
section
172(
b).
These
areas
were
again
designated
attainment
on
the
date
of
enactment
of
the
1990
CAAA,
and
were
then
classified
under
section
181(
a)(
1)
by
operation
of
law.
Thus,
those
areas
were
required
to
submit
their
RACT
"
fix­
ups"
as
a
SIP
revision
by
May
15,
1991.

Newly
designated
nonattainment
areas
are
not
subject
to
the
RACT
"
fix­
ups"
required
by
section
182(
a)(
2)(
A)
because
they
were
not
subject
to
section
172(
b)
of
the
old
law.
This
is
the
case
even
if
the
State
has
already
adopted
rules
for
the
area
as
part
of
statewide
RACT
for
purposes
other
than
meeting
pre­
1990
Act
section
172(
b).
For
nonattainment
areas
that
will
be
expanded
to
contain
portions
that
were
not
designated
nonattainment
prior
to
enactment,
the
RACT
corrections
are
due
in
6
months
(
by
May
15,
1991)
only
for
the
original
nonattainment
area.
However,
for
moderate
areas,
the
newly
designated
portions
of
a
nonattainment
area
will
be
subject
to
the
RACT
"
catch­
ups."
As
explained
below
in
section
III.
A.
3.,
each
moderate
nonattainment
area
(
including
the
newly
designated
portion)
is
subject
to
the
RACT
"
catch­
up"
requirements
of
section
182(
b)(
2),
which
provide
for
SIP
submittals
by
November
15,
1992.
The
RACT
"
fix­
ups"
refer
to
corrections
States
are
required
to
make
to
RACT
rules
that
are
already
in
force
and
to
adoption
by
States
of
rules
that
were
required
by
pre­
1990
Act
section
172(
b)
to
be
in
force.
The
RACT
"
catch­
up"
refers
to
the
application
of
RACT
for
all
applicable
sources
listed
in
section
182(
b)(
2),
regardless
of
what
was
previously
required.
For
purposes
of
the
RACT
"
fix­
ups"
requirement,
areas
that
were
treated
as
rural
nonattainment
areas
under
EPA
policies
implementing
the
pre­
amended
Act
must
submit
corrections
only
for
previously
required
rules
(
Group
I
and
II
CTG
sources
with
maximum
theoretical
VOC
emissions
greater
than
100
tons
per
year).
Other
rules
(
Group
III
CTG's
and
non­
CTG
rules)
will
be
due
by
November
15,
1992
as
part
of
the
catch­
up
for
those
previously
designated
rural
nonattainment
areas
that
are
classified
as
moderate
or
above
upon
enactment
and
are
not
otherwise
designated
as
rural
transport
areas
under
the
new
Act.

(
1)
Definition
of
corrections.
A
deficiency
is
any
rule,
or
in
some
cases
a
portion
of
a
rule,
that
is
less
stringent
than
RACT
as
that
requirement
was
interpreted
in
pre­
1990
Act
EPA
guidance
(
issued
under
sections
108
and
172(
b)
of
the
old
law).
The
EPA
provided
a
list
of
deficiencies
for
each
area
as
part
of
the
ozone
SIP
call
letters
to
each
State
(
May­
June
1988
and
November
1989,
notification
published
53
FR
34500,
September
7,
1988
and
55
FR
30973,
July
30,
1990).
The
EPA
also
provided
States
with
existing
guidance
documents
and
asked
them
to
review
rules
independently
to
determine
consistency
with
this
guidance.

(
2)
Consequences
of
failure
to
make
corrections.
Sections
179
(
a)
and
(
b)
and
110(
m)
provides
for
the
imposition
of
sanctions
and
section
110(
c)
provides
for
promulgation
of
a
FIP
if
EPA
finds
that
a
State
failed
to
make
a
required
submittal.
Under
section
179(
a),
EPA
must
impose
at
least
one
of
the
two
mandatory
sanctions
listed
in
section
179(
b)
18
months
after
EPA
makes
such
a
finding,
unless
EPA
finds
that
the
State
has
made
a
complete
submittal
in
the
interim
to
correct
the
rules.
The
second
of
the
two
sanctions
must
be
imposed
if
the
deficiency
has
not
been
corrected
6
months
after
the
first
sanction
is
imposed.
Section
110(
m)
also
includes
provisions
on
sanctions.
The
EPA
will
be
discussing
those
provisions
in
a
subsequent
Federal
Register
notice.
Refer
to
section
IV.
B.
for
more
discussion
on
sanctions.
Under
section
110(
c),
EPA
also
must
promulgate
a
FIP
no
later
than
2
years
after
finding
a
failure
to
submit.

On
October
22,
1991,
EPA
published
a
notice
(
56
FR
54554)
finding
that
nine
States
and
the
District
of
Columbia
failed
to
make
a
RACT
fix­
up
submittal
required
under
section
182(
a)(
2)(
A).
The
EPA
also
plans
to
publish
a
set
of
model
Federal
VOC
regulations.
The
EPA
will
use
these
model
regulations
as
a
starting
point
for
Federal
promulgation
of
regulations
under
section
110(
c)
as
necessary,
and
will
provide
an
opportunity
for
comment
at
that
time.
To
the
extent
practicable,
EPA
will
formulate
any
Federal
regulations
on
the
model
regulations.
Federal
regulations
will
be
promulgated
if
the
States
do
not
correct
the
regulations
before
the
end
of
the
2­
year
period
commencing
from
the
finding.

The
EPA
will
also
use
the
model
regulations
as
the
basis
for
Federal
regulations
to
apply
where
EPA
disapproves
any
regulation
that
has
been
submitted.
Finally,
EPA
expects
States
may
want
to
use
the
model
rules
as
a
guideline
for
developing
acceptable
State
rules.

(
c)
I/
M
Corrections.
Section
182(
a)(
2)(
B)
requires
States
that
contain
marginal
ozone
nonattainment
areas
with
existing
I/
M
programs,
or
that
were
required
to
include
I/
M
programs
in
their
SIP's
by
the
pre­
1990
Act,
to
submit
to
EPA
immediately
upon
(
1990
CAAA)
enactment
of
any
revisions
necessary
to
provide
for
a
program
no
less
stringent
than
that
required
prior
to
enactment
or
committed
to
in
the
SIP
in
effect
at
enactment,
whichever
is
more
stringent.
The
section
also
requires
EPA
to
review,
revise,
update,
and
republish
in
the
Federal
Register
within
1
year
of
enactment,
the
guidance
for
I/
M
programs
required
by
the
Act,
taking
into
consideration
the
Administrator's
investigations
and
audits
of
such
programs.
In
short,
ozone
nonattainment
areas
must
maintain
existing
I/
M
programs
and
must
make
corrections
to
those
programs
to
meet
existing
I/
M
policy;
when
updated
policy
is
published,
these
areas
must
submit
revisions
to
address
any
new
guidance.

More
specifically,
section
182(
a)(
2)(
B)
requires
States
to
meet
the
basic
I/
M
performance
standard
that
has
been
in
effect
since
1977.
This
standard
is
based
on
a
"
model"
program
design
consisting
of
a
centralized
program
that
annually
tests
tailpipe
emissions
on
all
light­
duty
vehicles,
using
emission
standards
for
1981
and
later
model
vehicles
of
1.2
percent
CO
and
220
parts
per
million
hydrocarbons
(
HC)
and
a
20
percent
stringency
for
pre­
1981
vehicles.
A
compliance
rate
of
100
percent
and
a
waiver
rate
of
0
percent
are
assumed.
States
must
demonstrate
an
emission
reduction
for
the
I/
M
program
included
in
the
SIP
that
is
at
least
as
great
as
that
produced
by
the
"
model"
basic
program
(
or
the
program
already
included
in
the
SIP,
whichever
is
greater),
using
the
most
current
available
version
of
EPA's
mobile
source
emission
model.
The
I/
M
programs
are
required
in
the
urbanized
portions,
as
defined
by
the
Bureau
of
the
Census
in
1980,
of
the
marginal
nonattainment
area.

The
EPA
expects
to
issue
the
policy
for
I/
M
programs
in
the
near
future.
When
published,
the
policy
will
state
the
date
when
such
programs
are
to
be
implemented.
The
EPA
intends
that
the
policy
will
allow
all
areas
ample
time
after
publication
of
the
policy
to
adopt
and
submit
basic
or
enhanced
I/
M
programs
and/
or
I/
M
corrections
as
referenced
in
section
182(
a)(
2)(
B).
States
that
have
both
basic
and
enhanced
I/
M
programs
may
opt
to
implement
enhanced
programs
in
all
affected
urbanized
areas.
States
which
are
only
required
to
implement
basic
programs
(
under
section
182(
a)(
2)(
B)
or
the
requirements
for
moderate
ozone
nonattainment
areas
and
certain
CO
nonattainment
areas,
as
discussed
later
in
this
notice)
must
submit
SIP
revisions
for
I/
M
programs
addressing
any
revised
policy.
The
guidance
will
address
the
elements
of
the
SIP
revision.

As
mandated
by
section
202(
m),
the
Administrator
will
promulgate
regulations
requiring
manufacturers
to
install
diagnostic
systems
on
all
new
light­
duty
vehicles
and
light­
duty
trucks.
The
purpose
of
these
systems
is
to
identify
and
track
emission­
related
systems
deterioration
or
malfunction.
According
to
section
202(
m)(
3),
within
2
years
of
EPA's
promulgating
regulations
requiring
States
to
do
so,
all
States
with
I/
M
programs
must
amend
their
SIP
to
provide
for
inspection
of
these
onboard
diagnostics
systems.
The
EPA
will
issue
revised
I/
M
guidance
which
addresses
onboard
diagnostic
inspections.

(
d)
Periodic
inventory.
Section
182(
a)(
3)(
A)
requires
the
States
to
submit
periodic
inventories
starting
the
third
year
after
submission
of
the
base
year
inventory
required
by
section
182(
a)(
1)
(
i.
e.,
November
15,
1995)
and
every
3
years
thereafter
until
the
area
is
redesignated
to
attainment.
However,
complete
actual
inventories
will
be
used
to
demonstrate
whether
or
not
the
milestone
required
in
section
182(
g)
has
been
achieved.
These
inventories
must
be
submitted
within
the
prescribed
period
following
the
milestone
date.
The
EPA
is
recommending
that
States
synchronize
their
schedules
for
developing
the
periodic
inventories
so
that
the
second
periodic
inventory
(
the
third
inventory
overall),
which
would
be
due
in
1998,
will
actually
be
submitted
early
in
1997
(
by
February
13,
1997)
and
will
address
emissions
in
1996.
In
this
way,
the
milestone
demonstration
(
required
under
section
182(
g))
that
is
due
for
serious
and
above
areas
in
early
1997
can
be
based
on
the
periodic
inventory
developed
by
the
States.
Future
periodic
inventories
then
would
also
coincide
with
the
subsequent
milestone
demonstrations
rather
than
the
later
dates
associated
with
the
periodic
inventory
requirement.
The
EPA
will
be
issuing
guidance
on
the
synchronization
of
the
periodic
inventory
with
the
milestone
compliance
deadlines
in
the
near
future.

The
first
periodic
inventory
due
no
later
than
November
15,
1995
covers
actual
emissions
for
the
1993
time
period.
The
States
will
be
involved
in
significant
planning
activities
during
this
time.
The
EPA
will,
in
the
future,
provide
guidance
on
how
to
integrate
these
emission
inventory
and
planning
activities.
There
could
be
a
significant
resource
and
effort
savings
effect
to
States
that
elect
to
accelerate
the
second
periodic
inventory
so
that
it
can
also
be
used
to
demonstrate
milestone
attainment.
Otherwise
at
least
one
additional
emission
inventory
would
be
required
by
1998.
More
information
on
these
assessments
and
periodic
inventories
will
be
provided
to
States
in
guidance
on
emission
tracking
to
be
completed
shortly.

The
periodic
inventory
shall
meet
the
same
requirements
as
the
base
year
inventory.
This
periodic
inventory
shall
be
based
on
actual
emissions
and
shall
cover
VOC,
NOx,
and
CO
emission
sources.
Like
the
base
year
inventory,
the
periodic
inventory
shall
be
based
on
peak
ozone
season
temperatures,
industrial
activity,
etc.
Additional
guidance
is
available
in
the
"
Procedures
for
the
Preparation
of
Emission
Inventories
for
Carbon
Monoxide
and
Precursors
of
Ozone,
Volume
I,"
May
1991.

By
meeting
the
specific
periodic
inventory
requirements
discussed
above,
States
will
also
satisfy
the
general
periodic
inventory
requirements
of
section
172(
c)(
3).

(
e)
Emissions
statements.
Section
182(
a)(
3)(
B)
requires
States
to
submit
a
SIP
revision
by
November
15,
1992
that
requires
the
submission
of
annual
statements
from
owners
or
operators
of
each
stationary
source
of
NOx
and
VOC
showing
the
actual
emissions
of
NOX
or
VOC.
The
first
statements
are
due
by
November
15,
1993,
and
should
show
emissions
during
calendar
year
1992.
Each
statement
shall
contain
a
certification
that
the
information
contained
in
the
statement
is
accurate
to
the
best
knowledge
of
the
individual
certifying
the
statement.
The
EPA
will
issue
additional
guidance
on
the
form
and
content
of
the
statement.

States
may
waive
the
requirement
for
emissions
statements
for
classes
or
categories
of
sources
that
emit
less
than
25
tons
per
year
of
NOx
or
VOC
if
the
class
or
category
is
included
in
the
base
year
and
periodic
inventories,
and
emissions
are
calculated
using
emission
factors
established
by
EPA
(
such
as
those
found
in
EPA
publication
AP­
42)
or
other
methods
acceptable
to
EPA.

The
EPA
believes
that
the
emission
statement
can
aid
in
the
development
of
the
periodic
emission
inventory,
serve
as
the
AIRS
Facility
Subsystem
(
AFS)
update,
and
track
progress
for
point
sources
greater
than
25
tons/
year.

(
f)
NSR.
The
statutory
NSR
permit
requirements
for
marginal
ozone
nonattainment
areas
are
generally
contained
in
the
Act
under
section
172(
c)(
5),
revised
section
173,
and
in
newly
enacted
subpart
2
of
part
D.
These
are
the
minimum
requirements
that
States
must
include
in
an
approvable
implementation
plan.
A
discussion
of
general
NSR
permit
requirements
is
contained
in
section
III.
G.
of
this
preamble.
Section
182(
a)(
2)(
C)
requires
that
States
adopt
and
submit
revised
NSR
regulations
for
all
ozone
nonattainiment
areas
classified
as
marginal
or
above
which
incorporate
the
new
provisions
of
the
1990
CAA,
and
correct
existing
regulations
to
incorporate
all
NSR
provisions
in
effect
immediately
before
the
date
of
enactment.

(
1)
Major
stationary
source.
For
ozone
nonattainment
areas
classified
as
marginal
areas,
the
term
"
major
stationary
source"
means
any
stationary
source
that
emits
or
has
the
potential
to
emit
100
tons
per
year
or
more
(
see
discussion
in
section
III.
A.
9).
Lower
size
thresholds
apply
to
other
area
classifications
and
the
VOC,
to
ozone
transport
areas.

(
2)
Offset
ratios.
For
the
purpose
of
satisfying
the
emissions
offset
reduction
requirements
of
section
173(
a)(
1)(
A),
the
emissions
offset
ratio
is
the
ratio
of
total
actual
emissions
reductions
to
total
allowable
emissions
increases
of
such
pollutant
from
the
new
source.
For
ozone
nonattainment
areas
classified
as
marginal
areas,
the
emissions
offset
ratio
is
at
least
1.1
to
1.
As
per
section
173(
c)(
1),
the
new
or
modified
source
may
obtain
offsets
from
the
same
source
or
other
sources
in
the
same
nonattainment
area,
and
in
some
cases
from
another
nonattainment
area
if
the
other
area
has
equal
or
higher
nonattainiment
classification,
and
the
emissions
from
the
other
area
contribute
to
a
violation
of
the
ambient
standard
in
the
area
where
the
new
or
modified
source
is
locating.
In
addition,
prior
to
permit
issuance
under
section
173,
the
nonattainiment
plan
provisions
must
demonstrate
reasonable
further
progress
(
RFP)
by
requiring
sufficient
emission
reductions
to
offset
emissions
increases
from
new
or
modified
small
(
nonmajor)
sources
in
the
area.

(
g)
Rural
transport
areas.
If
an
area
meets
the
requirements
discussed
below
and
is
treated
by
the
Administrator
as
a
rural
transport
area
(
RTA)
as
determined
using
procedures
consistent
with
the
EPA
guidance
"
Criteria
for
Assessing
the
Role
of
Transport
of
Ozone/
Precursors
in
Ozone
Nonattainment
Areas,"
the
SIP
for
such
area
need
only
meet
those
section
182
plan
and
submission
requirements,
including
NSR
provisions,
that
apply
to
marginal
areas.
It
should
be
noted
that
the
NSR
requirements
applicable
in
ozone
transport
regions
(
e.
g.,
offsets
at
a
1:
1.15
ratio
and
major
VOC
source
threshold
of
50
tons
per
year)
supersede
the
marginal
requirements
for
RTA's.
If,
however,
a
State's
request
that
an
ozone
nonattainment
area
be
treated
as
an
RTA
is
denied,
the
area
will
be
classified
according
to
its
design
value
and
all
section
182
requirements
for
that
classification
will
apply.

According
to
section
182(
h),
the
Administrator's
decision
to
treat
an
ozone
nonattainment
area
as
an
RTA
is
discretionary.
This
discretion
may
be
exercised
only
if
the
Administrator
finds
that
the
area
neither
borders
on
nor
contains
any
portion
of
an
MSA
or
CMSA
and
if
VOC
(
and
if
EPA
deems
them
relevant,
NOx)
emissions
emanating
from
the
area
do
not
significantly
contribute
to
ozone
concentrations
measured
within
or
outside
of
the
area.
This
showing
depends
upon
whether
ozone
concentrations
within
or
downwind
of
the
area
results
from
"
overwhelming
transport"
of
ozone
or
precursors
from
sources
external
to
the
area.
Guidance
on
determination
of
"
overwhelming
transport"
is
found
in
"
Criteria
for
Assessing
the
Role
of
Transport
of
Ozone/
Precursors
in
Ozone
Nonattainment
Areas."
A
finding
of
no
significant
contribution
will
be
based
on
analysis
submitted
to
EPA
by
the
concerned
State
in
advance
of
the
required
SIP.
These
results
must
reasonably
implicate
an
upwind
area
as
the
source
of
the
measured
ozone
concentrations.
Also,
the
area
must
demonstrate
that
its
emissions
are
not
causing
a
nonattainment
problem
in
its
downwind
area.

Any
RTA
that
fails
to
meet
the
marginal
area
attainiment
deadlines
is
subject
to
bump­
up
to
the
appropriate
higher
nonattainment
status
(
discussed
at
section
III.
A.
2.(
i)
of
this
document).
However,
if
the
area
still
qualifies
as
an
RTA,
although
the
area
will
be
subject
to
the
attainment
date
for
the
higher
classification,
it
remains
subject
only
to
the
submittal
and
implementation
requirements
for
marginal
areas.
If
it
is
found
that
the
area
no
longer
qualifies
as
an
RTA,
the
area
will
be
treated
as
the
higher
classified
area
for
SIP
requirements
as
well.

State
plans
for
RTA's
located
within
the
interstate
ozone
transport
regions
established
under
section
184
must
meet
applicable
provisions
required
by
section
184
(
b)
and
(
c).
In
particular,
provisions
of
section
184(
b)(
1)(
B)
requiring
implementation
of
RACT
with
respect
to
all
sources
of
VOC
covered
by
a
CTG,
and
the
section
184(
b)(
2)
requirements
concerning
implementation
of
vehicle
refueling
controls
identified
by
the
Administrator,
must
be
implemented
in
a
State
plan
covering
an
RTA.
In
addition,
an
RTA
SIP
must
be
revised
to
include
whatever
additional
control
measures
are
recommended
under
section
183(
c)
and
whatever
best
available
air
quality
monitoring
and
modeling
techniques
are
identified
under
section
184(
d).
These
plan
revisions
must
be
approved
by
the
Administrator.

(
h)
Reformulated
gasoline
"
opt­
in."
The
Governor
of
any
State
with
a
marginal,
moderate,
serious,
or
severe
ozone
nonattainment
area
may
apply
to
the
Administrator
to
opt­
in
to
the
reformulated
gasoline
program
established
under
section
211(
k).
Refer
to
section
III.
A.
4.(
o)
for
more
discussion
of
the
program
requirements.

(
i)
Bump­
up
provisions.
Although
the
primary
focus
of
this
General
Preamble
is
on
the
criteria
EPA
will
use
in
determining
the
adequacy
of
the
many
SIP
submittals
that
are
required
under
the
1990
CAAA,
it
is
useful
to
describe
the
amended
Act
provisions
regarding
failures
to
attain
or
to
make
emission
reduction
milestones.
The
EPA
believes
that
certain
areas
(
in
particular,
marginal
ozone
areas)
face
some
important
issues
related
to
the
consequences
of
failures
to
attain
by
the
applicable
deadlines.
The
following
discussion
describes
the
basic
requirements
and
procedures
for
determining
and
responding
to
failures
to
attain
to
make
adequate
progress
and
the
specific
implications
for
marginal
ozone
areas.

(
1)
Failure
to
attain.
Section
181(
b)(
2)
of
the
Act
requires
a
marginal,
moderate,
or
serious
ozone
nonattainment
area
to
be
reclassified
to
the
higher
of
the
next
higher
classification,
or
the
classification
associated
with
the
area's
design
value
at
the
time
EPA
determines
that
the
area
failed
to
meet
the
standard
by
the
applicable
attainment
date.
The
EPA
uses
the
term
"
bump­
up"
to
describe
this
reclassification
process.
An
area
cannot
be
bumped
up
to
the
extreme
classification
under
this
provision.

The
EPA
must
determine
within
6
months
after
the
attainment
date
whether
an
area
has
attained.
In
making
this
determination,
EPA
will
use
the
most
recently
available,
quality­
assured
air
quality
data
covering
the
3­
year
period
up
to
and
including
the
attainment
date.
For
ozone,
the
average
number
of
exceedances
per
year
shall
be
used
to
determine
whether
the
area
has
attained.
For
marginal
ozone
nonattainment
areas,
this
means
that
the
air
quality
data
for
the
period
1991
to
1993
will
be
used
to
determine
whether
the
area
has
attained
by
November
15,
1993.
(
Areas
that
show
attainment
prior
to
this
period
may
be
redesignated
prior
to
November
1993
in
accordance
with
section
107(
d)(
3).)
As
provided
in
section
181(
a)(
5)
for
ozone
areas,
up
to
two
1­
year
extensions
of
the
attainment
date
can
be
granted
to
the
State
if
the
State
has
met
all
applicable
requirements,
and
if
no
more
than
one
exceedance
of
the
level
of
the
NAAQS
has
occurred
at
any
monitor
in
the
year
in
which
the
area
was
to
have
attained.
Because
EPA
will
be
reviewing
available
data
to
determine
the
attainment
status,
the
State
should
submit
its
application
for
this
extension
as
soon
as
the
necessary
air
quality
data
are
available.

If
EPA
determines
that
an
area
has
not
attained,
EPA
will
publish
a
notice,
and
the
area
will
be
reclassified
by
operation
of
law.
The
Administrator
may
adjust
the
submittal
dates
for
the
requirements
of
the
"
new"
classification
(
to
"
assure
consistency
among
the
required
submissions"
(
section
182(
i),
but
the
attainment
date
will
be
the
date
originally
specified
for
that
classification
in
Table
1
of
section
181(
a).
For
example,
a
marginal
area
has
an
attainment
date
of
November
15,
1993.
If
the
area
does
not
attain
by
then,
the
new
attainment
date
will
be
November
15,
1996
(
the
"
originial"
attainment
date
for
moderate
areas
at
enactment)
or,
if
its
air
quality
would
make
it
a
higher
classification,
the
later
date
associated
with
that
classification.

States
should
be
aware
that
if
an
area
voluntarily
bumps
up
late
in
its
attainment
period,
the
discretion
granted
by
section
182(
b)(
1)
for
the
Administrator
to
adjust
schedules
for
implementing
SIP
requirements
associated
with
the
next
higher
classification
may
be
seriously
limited.
In
other
words,
areas
that
wait
until
the
end
of
their
attainment
period
before
requesting
to
bump
up
after
already
missing
implementation
requirements,
falling
behind
on
their
15
percent
RFP
(
if
applicable),
and
experiencing
continuing
deterioration
in
air
quality,
are
likely
to
have
insufficient
time
for
implementing
the
more
stringent
requirements
of
the
next
higher
classification.
The
EPA,
therefore,
encourages
any
area
that
believes
that
it
will
be
unable
to
attain
by
its
applicable
deadline,
to
voluntarily
bump­
up
early
enough
to
maximize
the
available
time
for
implementing
the
requirements
of
the
next
higher
nonattainment
level.
Early
bump­
up
will
help
areas
avoid
sanctions
and/
or
FIP
implementation
that
could
result
from
failure
to
meet
SIP
submittal
or
implementation
requirements.

Although
section
182(
a)
specifically
excludes
marginal
areas
from
the
contingency
requirements
of
section
172(
c)(
9),
marginal
areas
should
carefully
consider
the
benefits
of
contingent
or
advanced
adoption
of
certain
measures
that
could
be
implemented
quickly
should
the
area
not
attain
by
the
1993
date.
If
a
marginal
area
fails
to
attain
by
November
15,
1993,
it
will
become
subject
to
the
requirements
for
moderate
areas,
in
particular
the
I/
M,
RACT,
and
15
percent
reductions
requirements.
These
requirements
would
have
to
be
met
and
the
standard
achieved
by
November
15,
1996,
an
extremely
tight
timeframe
for
these
accomplishments
if
no
prior
planning
and
adoption
actions
have
occurred.
If
the
RACT
rules
cannot
be
developed
and
implemented
and
the
15
percent
requirement
cannot
be
met
by
November
15,
1996,
the
area
could
miss
the
attainment
date
for
moderate
areas
and
would
face
the
even
more
stringent
requirements
for
serious
areas.
(
2)
Special
issues
for
marginal
areas.
The
retention
of
the
moderate
area
attainment
date
for
a
marginal
area
that
has
been
bumped
up
raises
some
important
issues
for
marginal
areas
that
will
have
difficulty
attaining
by
the
November
15,
1993
deadline.
These
issues
become
even
more
significant
if
the
marginal
area
applies
for
and
receives
one
or
two
of
the
1­
year
attainment
date
extensions
(
section
181(
a)(
5)).

The
EPA
believes
that
marginal
areas
should
carefully
consider
the
consequences
of
not
attaining
by
November
15,
1993,
and
should
take
certain
preliminary
steps
to
minimize
the
potential
of
being
subject
to
possibly
unnecessary
major
control
and
planning
actions.
For
example,
according
to
the
statutory
time
frames,
it
could
be
the
middle
of
1994
before
a
marginal
area
is
bumped
up
to
the
moderate
classification.
If
an
area
had
not
commenced
any
early
planning
and
rule
development
activities,
the
area
would
have
only
2
1/
2
years
to
meet
all
of
the
requirements
for
moderate
areas
(
e.
g.,
RACT
rules,
Stage
II,
15
percent
emission
reduction
requirement,
etc.).
While
just
making
the
submittals
for
these
requirements
would
be
difficult,
it
could
be
even
more
difficult
for
the
State
to
implement
the
measures
early
enough
to
reduce
emissions
and
have
a
significant
impact
on
ozone
levels
by
the
end
of
1996.
As
a
result,
the
area
could
face
the
possibility
of
missing
the
1996
attainment
date
for
moderate
areas
and
be
bumped
up
again,
this
time
to
the
serious
classification.
If
the
marginal
area
had
earlier
received
one
or
two
extensions
(
under
section
181(
a)(
5)),
the
difficulty
of
adopting
and
implementing
required
measures
before
the
attainment
date
for
moderate
areas
would
be
even
greater.

Given
this
potentially
difficult
situation
for
marginal
areas,
EPA
strongly
urges
States
with
marginal
areas
that
may
be
unable
to
attain
by
the
1993
deadline,
to
initiate
preliminary
planning
and
rule
development
activities
well
before
that
date.
Furthermore,
EPA
proposes
to
require
that
States
that
request
attainment
date
extensions
for
marginal
areas
(
under
section
181(
a)(
5))
must
show
in
their
requests
that
they
have
made
a
significant
effort
to
initiate
planning
activities
and
rule
development
associated
with
the
moderate
classification,
and
that
they
have
taken
steps
to
begin
any
necessary
monitoring
activities
to
develop
required
information
(
such
as
ambient
VOC
and
NOx
data)
for
the
modeling
analysis
that
will
be
required
for
the
moderate
classification.
For
certain
control
measures
which
would
be
required
under
the
moderate
classification,
such
as
I/
M,
States
should
show
that
they
have
taken
any
necessary
preliminary
steps
to
ensure
that
the
controls
could
be
adopted
and
implemented
quickly.
For
example,
States
should
consider
whether
their
legislative
and
regulatory
procedures
would
enable
these
controls
to
be
fully
implemented
and
to
achieve
needed
emission
reductions
before
the
attainment
date
for
moderate
areas.

Finally,
EPA
is
considering
requiring
States
that
request
attainment
date
extensions
under
section
181(
a)(
5)
to
submit
their
air
quality
data
on
an
accelerated
time
schedule.
This
early
reporting
of
data
could
help
alert
the
State
and
EPA
to
the
need
to
quickly
begin
developing
and
adopting
the
additional
measures
for
the
moderate
classification,
if
the
data
in
the
"
extension
year"
reveal
more
than
one
exceedance
of
the
national
standard.

(
3)
Basic
I/
M.
In
the
event
that
a
marginal
ozone
nonattainment
area
fails
to
attain
the
ozone
standard
by
the
applicable
deadline
or
extended
deadline,
and
is
reclassified
to
moderate,
a
basic
I/
M
program
must
be
implemented,
regardless
of
whether
the
area
had
an
I/
M
program
in
place.
The
EPA
intends
to
exercise
its
authority
under
section
182(
i)
to
require
such
areas
to
submit
a
SIP
meeting
the
basic
I/
M
requirements
within
one
year
of
the
reclassification.

3.
Moderate
Areas
Moderate
areas
are
required
to
meet
all
marginal
area
requirements,
unless
otherwise
noted,
as
well
as
the
following
additional
requirements.

(
a)
Requirement
for
15
percent
reduction
in
emissions.
Section
182(
b)(
1)
requires
all
ozone
nonattainment
areas
classified
moderate
and
above
to
submit
by
November
15,
1993,
a
plan
revision
that
reflects
an
actual
reduction
in
typical
ozone
season
weekday
VOC
emissions
of
at
least
15
percent
during
the
first
6
years
after
enactment.
The
15
percent
emission
reductions
must
be
calculated
from
the
1990
baseline
of
actual
emissions
(
adjusted
per
section
182(
b)(
1)(
B))
and
must
account
for
any
net
growth
in
emission
(
i.
e.,
net
of
growth).
While
section
182(
b)(
1)
requires
a
reduction
in
VOC
emissions
of
15
percent,
the
1990
CAAA
do
not
require
any
specific
numerical
percentage
of
NOx
emission
reductions
prior
to
1996.

The
EPA's
focus
on
typical
ozone
season,
weekday
VOC
emissions­­
an
interpretation
of
the
requirement
in
section
182(
b)(
1)(
B)
for
a
15
percent
reduction
of
actual
emissions
during
the
"
calendar
year"
of
enactment­­
is
consistent
with
prior
EPA
guidance.
This
guidance
stems
from
the
fact
that
the
ozone
NAAQS
is
an
hourly
standard
that
is
generally
violated
during
ozone­
season
weekdays
when
conditions
are
conducive
for
ozone
formation.
These
ozone
seasons
are
typically
the
summer
months.

A
15
percent
reduction
is
generally
appropriate
for
moderate
areas
to
attain
the
ozone
NAAQS
within
the
applicable
timeframe.
In
some
cases,
modeling
will
show
that
less
than
a
15
percent
reduction
would
be
required
for
attainment
of
the
standard.
However,
the
15
percent
rate
of
progress
requirement
is
intended
to
be
the
base
program
that
all
moderate
and
above
areas
must
meet.
This
base
program
is
necessary
to
ensure
actual
progress
toward
attainment
in
the
face
of
uncertainties
inherent
with
SIP
planning,
such
as
emission
inventories,
modeling
and
projection
of
expected
control
measures.
Also,
this
base
program
would
provide
greater
assurance
of
maintenance
of
the
standard
after
attainment.

In
those
cases
where
modeling
shows
that
reductions
greater
than
15
percent
are
necessary
to
attain
the
standard,
the
area
will
be
required
to
achieve
those
additional
emission
reductions.

Section
182(
b)(
1)
(
B)
and
(
D)
define
baseline
emissions
as
"
the
total
amount
of
actual
VOC
or
NOx
emissions
from
all
anthropogenic
sources
in
the
area
during
the
calendar
year
of
enactment,"
excluding
the
emissions
that
would
be
eliminated
by
FMVCP
regulations
promulgated
by
January
1,
1990,
and
RVP
regulations
promulgated
by
November
15,
1990,
or
required
to
be
promulgated
under
section
211(
h),
which
requires
RVP
no
greater
than
9.0
pounds
per
square
inch
(
psi)
during
the
high
ozone
season.
The
base
year
emission
inventory
for
calendar
year
1990
must
be
adjusted
to
remove
the
aforementioned
emissions,
as
well
as
biogenic
emissions
and
any
emissions
from
sources
outside
the
designated
nonattainment
boundary
(
e.
g.,
within
the
25­
mile
zone
around
the
nonattainment
boundaries
if
included
in
the
emissions
inventory).
The
adjusted
base
year
inventory
(
i.
e.,
baseline
emissions)
must
contain
only
actual
emissions
occurring
in
the
base
year,
1990,
within
the
designated
nonattainment
area
boundaries.
The
baseline
emissions
should
not
include
pre­
enactment
banked
emission
credits
since
they
were
not
actual
emissions
during
the
calendar
year
of
enactment.

(
1)
Adjusted
base
year
inventory
calculation.
The
adjusted
base
year
inventory
should
be
calculated
in
two
steps.
The
first
step
consists
of
developing
a
1990
inventory
of
non­
mobile
anthropogenic
VOC
emissions.
The
second
step
consists
of
determining
the
mobile
portion
of
the
inventory
after
the
FMVCP
and
RVP
reduction
program
(
promulgated
by
the
data
of
enactment
or
required
by
section
211(
h))
are
factored
out.

The
determination
of
the
baseline
will
require
the
use
of
MOBILE4.1
to
model
the
effects
of
fleet
turnover
and
RVP
changes.
For
1996,
the
baseline
will
be
determined
by
applying
the
1990
VMT
to
a
hypothetical
emission
factor
for
1996.

The
hypothetical
emission
factor
for
the
1990
baseline
in
1996
is
the
1996
emission
factor
determined
by
running
MOBILE4.1
using
1996
as
the
evaluation
year
and
the
same
input
parameters
used
to
describe
the
FMVCP
and
SIP
requirements
in
1990,
with
the
addition
of
RVP
at
9
psi
(
or
appropriate
level
for
area).
Multiplying
this
emission
factor
by
the
1990
VMT
results
in
1990
motor
vehicle
baseline
emissions
which
exclude
the
emissions
reductions
that
would
be
eliminated
in
1996
as
a
result
of
fleet
turnover
under
the
pre­
enactment
FMVCP
and
the
section
211(
h)
RVP
requirements.
The
1990
motor
vehicle
baseline
emissions
for
1996
are
added
to
the
1990
inventory
of
non­
motor
vehicle
anthropogenic
VOC
emissions
to
calculate
the
1990
total
baseline
emissions
for
1996.
This
number
is
the
adjusted
base
year
inventory
needed
to
calculate
the
amount
of
emissions
reductions
needed
by
1996,
as
well
as
the
target
level
of
emissions
in
1996.

(
2)
Calculation
of
target
level
of
emissions.
After
the
adjusted
base
year
inventory
is
developed,
the
1996
target
level
of
emissions
would
be
calculated
by
multiplying
the
adjusted
base
year
inventory
by
0.85
and
then
subtracting
from
this
product
the
emission
reductions
expected
to
result
by
1996
from
corrections
to
RACT
rules
and
I/
M
programs.

Once
the
1996
target
level
of
emissions
is
calculated,
States
must
develop
whatever
control
strategies
are
needed
to
meet
that
target.
Some
air
planning
agencies
may
be
used
to
thinking
in
terms
of
the
emissions
reduction
required
relative
to
a
current
control
strategy
projection
(
particularly
for
stationary
sources),
rather
than
a
target
level
of
emissions.
Projections
of
1996
emissions
would
be
used
to
calculate
the
required
emissions
reduction
expressed
on
such
a
basis
by
simply
taking
the
difference
between
the
1996
projection
inventory
(
without
controls
applied)
and
the
1996
target
level
of
emissions.
However,
States
that
choose
this
approach
should
be
aware
that
the
1996
target
level
is
dependent
only
on
the
1990
emissions
inventory,
whereas
the
calculation
of
an
emission
reduction
required
relative
to
the
current
control
strategy
projection
depends
on
the
accuracy
of
the
1996
projection,
which
in
turn
depends
on
the
estimate
of
future
growth
in
activities.
The
assessment
of
whether
an
area
has
met
the
RFP
requirement
in
1996
will
be
based
on
whether
the
area
is
at
or
below
the
1996
target
level
of
emissions,
and
not
whether
the
area
has
achieved
a
certain
actual
reduction
relative
to
having
maintained
the
current
control
strategy.
The
following
formulas
describe
how
to
calculate
the
1996
target
level
of
emissions.

Formulas:
BE96=
1990
Baseline
Emissions
=
1990
Nonmotor
vehicle
emissions
+(
1990
VMT
x
hypothetical
1996
MOBILE4.1
emission
factor)
TL96=
1996
target
level
of
emissions
Corrections=
RACT
rules
and
I/
M
program
corrections
TL96=
BE96
x
(
0.85)
­
corrections
(
3)
Emission
factor
adjustments.
Emission
factors,
as
well
as
inventory
calculation
methodologies,
are
continually
being
improved.
If
emission
factors
or
methodologies
change
significantly,
EPA
may
advise
the
States
to
correct
the
base
year
emission
inventory
to
reflect
such
changes.
If
significant
changes
occur
in
emission
factors
or
methodologies
between
enactment
and
November
15,
1993
(
due
date
for
15
percent
demonstration),
EPA
may
require
States
to
make
corrections
to
the
base
year
emission
inventory,
as
well
as
to
the
adjusted
baseline
and
the
1996
target
level
of
emissions.
If,
however,
changes
occur
after
the
15
percent
demonstration
is
submitted
but
before
November
15,
1996,
then
the
States
would
not
have
to
make
corrections
for
purposes
of
reconciling
attainment
of
the
15
percent
milestone.
Serious
areas
should
also
refer
to
the
discussion
on
the
rate
of
progress
demonstration
(
section
III.
A.
4(
f))
for
guidance
on
changes
that
might
occur
before
November
15,
1994,
and
the
impact
on
the
post
6­
year
3
percent
rate
of
progress
demonstration.

(
4)
Creditable
emission
reductions.
In
developing
the
15
percent
reduction
control
strategy
required
to
be
submitted
as
a
SIP
revision,
States
must
keep
in
mind
that
the
1990
CAAA
explicitly
disallowed
certain
reductions
from
counting
toward
fulfilling
the
15
percent
reduction
in
emissions
requirement.

All
emission
reductions
from
State
or
Federal
programs
are
creditable
toward
the
15
percent
progress
requirement
except
for
the
following:
1.
The
FMVCP
tailpipe
or
evaporative
standards
promulgated
prior
to
1990.

2.
Federal
regulations
on
RVP
promulgated
by
November
15,
1990,
or
required
under
section
211(
h).

3.
State
regulations
required
under
section
182(
a)(
2)(
A)
submitted
to
correct
deficiencies
in
existing
VOC
RACT
regulations
or
previously
required
RACT
rules.

4.
State
regulations
required
under
section
182(
a)(
2)(
B)
submitted
to
correct
deficiencies
in
existing
I/
M
programs
or
previously
required
I/
M
programs.

However,
all
real/
actual
reductions,
regardless
of
origin,
will
contribute
to
attainment
even
if
they
are
not
creditable
toward
the
15
percent
requirement.
While
emission
reductions
resulting
from
required
corrections
to
VOC
RACT
rules
or
I/
M
programs
are
not
creditable
toward
the
required
15
percent
reduction,
any
future
reductions
resulting
from
measures
not
associated
with
the
required
corrections
would
be
creditable.
For
example,
reductions
are
creditable
where
the
State
revises
the
emission
limit
or
changes
the
applicability
threshold
beyond
the
level
required
previously
for
the
area
in
EPA
guidance,
and
these
modifications
result
in
further
emissions
reductions.
Other
examples
of
creditable
reductions
include
applying
regulations
to
the
new
portions
of
a
pre­
enactment
nonattainment
area
not
previously
subject
to
the
regulations,
and
adopting
TCM's
listed
in
section
108(
f)
that
are
not
already
in
the
SIP.
Reductions
achieved
through
rules
adopted
pursuant
to
any
new
CTG
are
creditable
only
to
the
extent
that
the
reductions
were
not
required
by
a
SIP
or
FIP
developed
under
the
pre­
amended
Act.
For
example,
a
non­
CTG
rule
in
a
SIP,
or
required
to
be
included
in
such
a
SIP
prior
to
enactment,
required
an
81
percent
reduction
in
VOC
emissions.
The
SIP
is
then
revised
to
include
a
post­
enactment
CTG
which
recommends
a
90
percent
reduction
in
VOC
emissions.
To
the
extent
that
a
specific
source
achieves
the
90
percent
reduction,
only
9
percent
would
be
creditable.
In
addition,
if
a
State
was
required
to
adopt
a
RACT
rule
for
a
particular
source
under
the
pre­
amended
Act
but
failed
to
do
so,
adoption
of
a
rule
for
that
source
would
be
considered
part
of
the
RACT
fix­
ups.
Therefore,
any
reductions
achieved
by
such
a
rule
would
not
be
creditable.

Pre­
enactment
banked
emissions
reductions
credits
are
not
creditable
toward
the
15
percent
progress
requirement.
However,
for
purposes
of
equity,
EPA
encourages
States
to
allow
sources
to
use
such
banked
emissions
credits
for
offsets
and
netting.
When
States
use
such
banked
credits
for
offsets
and
netting
to
the
extent
otherwise
creditable
under
the
part
D
NSR
regulations,
these
pre­
enactment
emissions
credits
must
be
treated
as
growth.
Consequently,
this
"
growth"
must
be
accounted
for,
as
is
the
case
with
all
other
anticipated
growth,
in
order
to
ensure
that
it
does
not
interfere
with
the
15
percent
rate
of
progress
requirement
(
which
is
"
net"
of
growth).
In
addition,
when
such
growth
emissions
are
used
as
offsets,
they
must
be
applied
in
accordance
with
the
offset
ratio
prescribed
for
the
area
of
concern
(
e.
g.,
1.3
to
1
for
severe
areas,
etc.).
All
pre­
enactment
banked
credits
must
be
included
in
the
nonattainment
areas
attainment
demonstration
for
ozone
to
the
extent
that
the
State
expects
that
such
credits
will
be
used
for
offsets
or
netting
prior
to
attainment
of
the
ambient
standards.
Credits
used
after
that
date
will
need
to
be
consistent
with
the
area's
plan
for
maintenance
of
the
ambient
standard.
The
EPA
expects
to
provide
additional
clarification
on
the
use
of
banked
emissions
in
its
NSR
regulatory
update
package.

States
can
only
count
emissions
reductions
toward
the
15
percent
requirement
if
such
emissions
meet
the
creditability
and
reduction
requirements.
All
creditable
emission
reductions
must
be
real,
permanent,
and
enforceable.
States
must
keep
careful
records
of
all
emissions
reductions
to
ensure
that
the
same
reductions
are
not
"
double­
counted"
or,
more
simply,
used
more
than
one
time
(
i.
e.,
reductions
cannot
be
used
for
offsets
and
to
meet
the
15
percent
rate
of
progress
requirement).

Many
states
with
pre­
existing
nonattainment
areas
have
already
adopted
rules
defining
RACT
for
most
of
the
larger
sources,
including
non­
CTG
categories.
In
such
cases,
there
is
considerable
concern
about
what
additional
measures
are
needed
to
meet
the
15
percent
rate
of
progress
requirement.

One
method
of
achieving
creditable
reductions
from
stationary
sources
in
such
areas
is
to
improve
implementation
of
rules
for
existing
regulations.
This
is
referred
to
as
"
rule
effectiveness"
improvement.
These
improvements
are
subject
to
the
same
creditability
constraints
as
are
the
other
emissions
reductions.
For
example,
rule
effectiveness
improvements
resulting
from
corrections
to
the
existing
VOC
RACT
rules
made
pursuant
to
section
182(
a)
are
not
creditable.
Rule
effectiveness
improvements
must
reflect
real
emissions
reductions
resulting
from
specific
implementation
program
improvements.
Actual
emissions
reductions
must
result
from
improving
rule
effectiveness;
simply
improving
the
methods
for
calculating
rule
effectiveness
is
not
creditable.
Rule
effectiveness
improvements
resulting
in
emissions
reductions
must
be
adequately
documented
before
being
credited
toward
meeting
the
rate
of
progress
requirement.
Two
methods
exist
for
adequately
documenting
rule
effectiveness
improvements.
First,
a
rule
effectiveness
test
meeting
EPA's
protocol
requirements
can
be
performed
before
and
after
the
improvement
is
implemented
(
for
further
information
refer
to
the
March
31,
1988
memorandum
from
John
S.
Seitz,
Director
Stationary
Source
Compliance
Division,
to
Regional
Air
Division
Directors,
regarding
"
Implementation
of
Rule
Effectiveness
Studies").
For
example,
if
rule
effectiveness
increases
from
50
to
75
percent,
then
the
emissions
reductions
associated
with
this
improvement
would
be
creditable.
Second,
if
the
default
value
of
80
percent
is
assumed
before
the
improvement
and
an
EPA
protocol
test
is
performed
after
the
improvement,
only
the
amount
greater
than
80
percent
is
creditable.
Thus,
if
the
EPA
Protocol
test
indicates
an
85
percent
rule
effectiveness,
then
the
increase
in
emissions
reductions
associated
with
the
improvement
from
80
to
85
percent
would
be
creditable
toward
meeting
the
VOC
progress
requirement.
If
the
EPA
protocol
test
indicates
that
the
80
percent
default
was
incorrect
and
the
rule
effectiveness
was
actually
less
than
80
percent,
then
the
emissions
inventory
and
the
15
percent
requirement
must
be
recalculated.

The
CAAA
require
that
the
15
percent
emissions
reductions
come
from
the
baseline
emissions.
The
baseline
emissions
are
defined
to
be
all
emissions
"
in
the
area,"
(
less
required
adjustments)
which
EPA
interprets
to
mean
emissions
emanating
from
the
designated
nonattainment
area.
All
emissions
reductions
must
therefore
come
from
within
the
designated
nonattainment
area.
Of
course,
emissions
reduction
strategies
applied
to
sources
just
outside
the
nonattainment
area
may
have
a
beneficial
effect
on
the
nonattainment
problem
within
the
designated
area.

After
the
control
strategy
is
developed,
the
regulations
needed
to
implement
the
control
strategy
must
be
developed
and
adopted
by
the
State.
The
control
strategy
along
with
the
associated
regulations
must
be
submitted
to
EPA
by
November
15,
1993.
The
adjusted
base
year
inventory
and
the
1996
projection
inventory
(
without
control
measure
reduction
applied)
should
be
submitted
no
later
than
November
15,
1992.

States
should
be
aware
of
the
implications
of
late
implementation
of
control
measures.
Section
182(
b)(
1)(
A)
requires
that
the
control
strategy
contain
provisions
for
such
specific
annual
reductions
as
necessary
to
attain
the
standard
by
the
applicable
attainment
date.
If
the
control
strategy
effort
for
a
moderate
area
shows
that
an
amount
greater
than
15
percent
of
creditable
reductions
when
combined
with
the
noncreditable
reductions
is
needed
to
attain
the
ozone
NAAQS
by
November
15,
1996,
the
State
should
plan
on
achieving
the
emissions
reductions
as
early
as
possible.
For
that
matter,
any
moderate
area
should
plan
on
implementing
control
measures
as
expeditiously
as
practicable,
since
EPA
will
look
at
air
quality
data
for
1994­
1996
to
determine
if
a
moderate
area
has
attained
the
ozone
NAAQS.
Section
182(
b)(
2)
requires
EPA
to
determine
within
6
months
after
an
applicable
attainment
date
whether
the
area
attained
the
standard
by
that
date,
which
will
dictate
the
use
of
the
most
recent
3
years
of
air
quality
data
prior
to
that
date.
By
delaying
the
implementation
of
measures
until
1996,
and
thus
delaying
the
resulting
emissions
reductions,
moderate
areas
may
be
reclassified
as
serious
areas
because
emissions
reductions
will
not
be
achieved
early
enough
to
affect
the
air
quality
and
to
attain
the
ozone
NAAQS.
In
fact,
any
regulations
required
to
meet
the
greater
than
15
percent
rate
of
progress
requirement
to
attain
the
ozone
NAAQS
must
be
submitted
with
the
control
strategy
by
November
15,
1993,
per
the
requirement
making
specific
annual
VOC
and
NOx
reductions
needed
to
attain
the
NAAQS
due
by
November
15,
1993.

A
moderate
nonattainment
area
can
achieve
less
than
the
15
percent
required
reductions
under
certain
rather
restrictive
circumstances.
The
State
must
demonstrate
that
the
area
has
an
NSR
program
equivalent
to
the
requirements
in
extreme
areas
(
section
182(
e)),
except
that
"
major
source"
must
include
any
source
that
emits,
or
has
the
potential
to
emit,
5
tons/
year.
Additionally,
all
major
sources
(
down
to
5
tons
per
year)
in
the
area
must
be
required
to
have
RACT­
level
controls.
The
plan
must
also
include
all
measures
that
can
be
feasibly
implemented
in
the
area,
in
light
of
technological
achievability.
The
term
"
technological
achievability"
refers
to
measures
that
can
be
successfully
implemented
in
actual
practice,
not
measures
that
merely
appear
feasible
in
a
research
setting,
for
example.
The
EPA
will
consider
on
an
area­
by­
area
basis
what
these
measures
may
be,
with
no
presumption
beyond
that
specifically
given
in
the
last
sentence
of
section
182(
b)(
1)(
A)(
ii),
which
states
to
qualify
for
a
less
than
15
percent
reduction,
the
State
must
at
least
demonstrate
that
the
SIP
for
the
area
includes
all
measures
achieved
in
practice
by
sources
in
the
same
source
category
in
nonattainment
areas
of
the
next
higher
classification.
The
term
"
achieved
in
practice"
is
intended
to
include
those
measures
that
have
been
successfully
implemented
in
one
or
more
nonattainment
area
of
the
next
higher
category.
The
waiver
for
the
15
percent
progress
requirement
does
not,
under
section
182(
e),
apply
to
nonattainment
areas
classified
as
extreme.

All
multi­
State
ozone
nonattainment
areas
should
refer
to
section
(
III.
A.
9)
for
further
instructions
on
coordinating
SIP
revisions
and
on
developing
the
attainment
demonstration.

By
meeting
the
specific
15
percent
reduction
requirement
discussed
above,
the
State
will
also
satisfy
the
general
RFP
requirements
of
section
172(
c)(
2)
for
the
time
period
discussed.

(
b)
Attainment
demonstration.
Section
182(
b)(
1)(
A)
requires
a
SIP
for
a
moderate
ozone
nonattainment
area
to
provide
for
specific
annual
reductions
in
VOC
and
NOx
emissions
"
as
necessary
to
attain
the
national
primary
ambient
air
quality
standard
for
ozone."
This
requirement
can
be
met
through
applying
EPA­
approved
modeling
techiniques
described
in
the
current
version
of
EPA's
"
Guideline
on
Air
Quality
Models
(
Revised)."
The
Urban
Airshed
Model,
a
photochemical
grid
model,
is
recommended
for
modeling
applications
involving
entire
urban
areas.
In
addition,
for
moderate
areas
contained
solely
in
one
State,
the
empirical
model,
city­
specific
Empirical
Kinetic
Modeling
Approach
(
EKMA),
may
be
an
acceptable
modeling
technique.
The
State
should
consult
with
EPA
prior
to
selection
of
a
modeling
technique.
If
EKMA
is
used,
the
attainment
demonstration
is
due
by
November
1993.

In
other
cases,
a
State
might
choose
to
utilize
a
photochemical
grid
model
instead
of
EKMA.
Grid
modeling
will
generally
provide
a
better
tool
for
decision
makers
and
the
necessary
additional
time
may,
therefore,
be
justified.
In
such
cases,
States
should
consult
with
EPA
on
a
case­
by­
case
basis
on
an
acceptable
approach
to
meeting
the
section
182(
b)(
1)(
A)
requirement
through
an
interim
SIP
submittal
by
November
1993
and
a
completed
attainment
demonstration
by
November
1994.
The
interim
submittal
would
include,
at
a
minimum,
evidence
that
grid
modeling
is
well
under
way
and
a
commitment,
with
schedule,
to
complete
the
modeling
and
submit
it
as
a
SIP
revision
by
November
1994.
The
completed
attainment
demonstration
would
include
any
additional
controls
needed
for
attainment.
Separate
attainment
demonstration
requirements
apply
to
multi­
State
moderate
areas,
as
described
in
section
III.
A.
9.

When
projecting
motor
vehicle
emissions
for
the
attainment
demonstration,
States
should
use
the
same
procedures
as
given
in
EPA
VMT
forecasting
and
tracking
guidance
for
moderate
CO
nonattainment
areas.
The
use
of
this
guidance
is
limited
to
projecting
motor
vehicle
emissions,
and
the
information
on
the
reporting
requirements
for
moderate
CO
areas
is
not
applicable.

The
EPA
realizes
that
in
some
cases
certain
demonstrations
will
be
complicated
by
the
impact
of
ozone
and
precursor
transport,
and
by
the
RFP
requirements
and
attainment
deadlines
that
apply
to
areas
of
different
classifications.
For
example,
a
moderate
area
located
within
the
transport
region
is
still
subject
to
the
6­
year
attainment
deadline
and
to
the
section
182(
b)(
2)(
A)
requirement
to
provide
annual
emissions
reductions
in
its
plan
to
attain
by
the
deadline.
However,
this
area
is
(
at
least,
presumptively)
being
affected
by
transport
from
another
area(
s)
and
is,
as
well,
possibly
affecting
other
areas
itself.
If
the
"
other"
area
that
are
affecting
air
quality
levels
in
this
moderate
area
are
classified
as
serious
or
severe,
those
areas
will
be
reducing
their
emissions
over
a
longer
timeframe
in
order
to
attain
the
standard.
That
is,
these
"
other"
areas
could
still
be
having
significant
effects
on
the
moderate
area
at
the
time
when
the
moderate
area
must
demonstrate
attainment.
This
same
phenomenon
can
also
arise
in
areas
that
may
be
impacted
by
transport
but
are
not
yet
in
a
transport
region
established
under
section
176A
or
section
184.

The
EPA
believes
that
these
situations
are
somewhat
analogous
to
the
situations
addressed
in
section
182(
h)
for
rural
transport
areas
and
in
section
182(
j)
for
multi­
State
ozone
nonattainment
areas.
Section
182(
h)
recognizes
that
the
ozone
problem
in
a
rural
transport
area
is
almost
entirely
attributable
to
emissions
in
an
upwind
area.
Therefore,
the
only
requirements
for
the
rural
area
are
the
minimal
requirements
specified
for
marginal
areas,
the
assumption
being
that
the
controls
in
the
upwind
area
will
solve
the
problem
in
the
rural
transport
area
as
well.
In
a
similar
way,
section
182(
j)(
2)
for
multi­
State
nonattainment
areas
and
section
179B
for
international
areas
recognize
that
an
area
in
one
State
may
not
be
able
to
demonstrate
attainmemt
if
other
States
or
area(
s)
in
another
country
do
not
meet
similar
requirements
under
section
182.
In
such
cases,
even
though
the
area
would
not
be
able
to
demonstrate
attainment,
the
sanction
provisions
of
section
179
shall
not
apply.

In
the
above
cases,
there
is
a
recognition
in
the
CAAA
that
at
some
point,
an
area
being
affected
by
emissions
from
another
area(
s)
may
not
be
able
to
achieve
sufficient
emissions
reductions
on
its
own
to
demonstrate
attainment.
In
these
cases
the
area
is
relieved
from
certain
requirements
in
the
CAAA
which
would
require
additional
controls.
There
is
no
explicit
recognition
in
the
CAAA
of
this
occurring
in
other
situations.
The
EPA
believes,
however,
that
other
similar
situations
(
as
discussed
above)
are
likely
to
arise,
and
that
a
reasonable
approach
is
needed
to
ensure
equitable
treatment
of
the
areas
and
expeditious
attainment
of
the
standard.

In
particular,
there
are
two
situations
in
which
an
area
might
be
subject
to
additional
emissions
reductions
requirements
related
to
the
demonstration
of
attainment.
In
the
first
situation,
an
area
might
be
receiving
such
high
levels
of
transport
that
even
if
it
reduced
its
emissions
dramatically
(
e.
g.,
totally
eliminated
its
own
emissions),
the
incoming
ozone
and
precursors
would
be
high
enough
to
continue
to
cause
violations
of
the
standard
beyond
the
applicable
attainment
date.
In
the
second
situation,
the
area
might
be
able
to
achieve
additional
reductions
(
beyond
those
already
required
under
section
182).
Even
where
those
additional
reductions
could
be
achieved
to
demonstrate
attainment,
the
question
arises
whether
it
is
equitable
to
require
those
reductions
or
to
allow
more
time
for
the
reductions
in
the
"
upwind"
area
to
take
place.
As
described
above,
however,
the
statute
provides
no
express
relief
for
these
situations.
The
area
does
have
the
option
of
requesting
to
be
classified
to
the
next
higher
classification.
Thus,
where
the
demonstration
of
attainment
is
complicated
by
transport
between
two
areas
of
different
classifications,
the
State
is
still
responsible
for
developing
and
submitting
demonstrations
which
show
that
the
standard
will
be
attained
by
the
applicable
date.
In
other
words,
the
State
must
provide
for
sufficient
emissions
reductions
on
a
schedule
that
will
ensure
attainment
in
its
moderate
area,
for
example,
within
6
years
after
enactment.
The
EPA
believes
that
the
wording
in
section
182(
b)(
1)(
A)(
i)
requires
the
State
to
develop
a
plan
providing
such
emissions
reductions.

(
c)
Contingency
measures.
The
general
requirements
for
nonattainment
plans
under
section
172(
c)(
9)
specify
that
each
plan
must
contain
additional
measures
that
will
take
effect
without
further
action
by
the
State
or
EPA
if
an
area
either
fails
to
make
RFP
or
to
attain
the
standard
by
the
applicable
date.
These
provisions
do
not
apply
to
marginal
ozone
nonattainment
areas
(
section
182(
a)).
This
important
issue
for
marginal
areas
is
discussed
further
under
the
section
on
bump­
ups
(
reclassifications
upon
failure
to
attain
the
standard).
Additional
contingency
provisions
are
included
in
section
182(
c)(
9)
for
serious
ozone
nonattainment
areas
and
in
section
187(
a)(
3)
for
CO
nonattainment
areas
with
design
values
above
12.7
ppm.
These
latter
provisions
are
similar
to
the
section
172(
c)(
9)
requirements
except
that
the
focus
in
section
182
(
ozone
areas)
is
on
meeting
emissions
reductions
milestones
(
section
182(
g)),
and
the
focus
in
section
187
(
CO
areas)
is
on
consistency
between
previously
projected
and
actual
or
subsequently
projected
VMT
levels,
as
well
as
failure
to
attain
by
the
required
deadline.
These
contingency
measures
for
SIP's,
as
required
under
the
CAAA,
supersede
the
contingency
requirements
contained
in
the
1982
ozone
and
CO
SIP
guidance,
46
FR
7182
(
January
21,
1981).

Ozone
areas
classified
as
moderate
or
above
must
include
in
their
submittals,
which
are
due
by
November
15,
1993
as
set
by
EPA
under
section
172(
b),
contingency
measures
to
be
implemented
if
RFP
is
not
achieved
or
if
the
standard
is
not
attained
by
the
applicable
date.
This
contingency
submittal
date
is
appropriate
since
States
must
demonstrate
attainment
of
the
15
percent
milestone
at
this
time.
The
1990
CAAA
do
not
specify
how
many
contingency
measures
are
needed
or
the
magnitude
of
emissions
reductions
that
must
be
provided
by
these
measures.
Assuming
that
all
of
the
State
measures
may
fail
to
produce
their
expected
reductions,
one
interpretation
of
the
CAAA
is
that
a
State
would
have
to
adopt
sufficient
contingency
measures
in
this
November
15,
1993
plan
to
make
up
for
this
entire
shortfall.
In
other
words,
the
State
would
have
to
adopt
"
double"
the
measures
needed
to
satisfy
the
applicable
emissions
reduction
requirements.
The
EPA
believes
that
this
would
be
an
unreasonable
requirement
given
the
difficulty
many
States
will
already
have
in
identifying
and
adopting
sufficient
measures
to
meet
RFP
and
other
requirements.

The
EPA
believes
that
the
contingency
measures
should,
at
a
minimum,
ensure
that
an
appropriate
level
of
emissions
reduction
progress
continues
to
be
made
if
attainment
of
RFP
is
not
achieved
and
additional
planning
by
the
State
is
needed.
Therefore,
EPA
will
interpret
the
Act
to
require
States
with
moderate
and
above
ozone
nonattainment
areas
to
include
sufficient
contingency
measures
in
the
November
1993
submittal
so
that,
upon
implementation
of
such
measures,
additional
/
2/
emissions
reductions
of
up
to
3
percent
of
the
emissions
in
the
adjusted
base
year
inventory
/
3/
(
or
such
lesser
percentage
that
will
cure
the
identified
failure)
would
be
achieved
in
the
year
following
the
year
in
which
the
failure
has
been
identified.
This
"
additional"
reduction
would
ensure
that
progress
toward
attainment
occurs
at
a
rate
similar
to
that
specified
under
the
RFP
requirements
for
moderate
areas
(
i.
e.,
3
percent
per
year),
and
that
the
State
will
achieve
these
reductions
while
conducting
additional
control
measure
development
and
implementation
as
necessary
to
correct
the
shortfall
in
emissions
reductions
or
to
adopt
newly
required
measures
resulting
from
the
bump­
up
to
a
higher
classification.
Under
this
approach,
the
State
would
have
1
year
to
modify
its
SIP
and
take
other
corrective
action
needed
to
ensure
that
milestones
are
achieved
and
that
RFP
toward
attainment
continues.
However,
if
a
State
can
show
that
its
SIP
can
be
revised
to
correct
any
possible
failure
in
less
than
1
year,
then
proportionally
less
than
3
percent
may
be
considered.
In
the
case
of
moderate
areas,
contingency
measures
would
be
needed
when
the
area
fails
to
attain
the
standard
by
the
attainment
date
(
or,
for
serious
and
above
areas,
if
the
area
fails
to
meet
the
rate­
of­
progress
requirements
for
any
milestone
other
than
one
falling
on
an
attainment
year,
e.
g.,
the
15
percent
required
by
the
end
of
1996).
If
the
area
fails
to
attain,
it
would
be
bumped
up
to
the
serious
classification
/
4/
and
become
subject
to
the
requirements
that
apply
to
that
classification.
Therefore,
the
contingency
measures
would
be
implemented
while
the
State
developed
and
adopted
the
new
measures
associated
with
the
serious
classification.

NOTE
/
2/
These
emission
reductions
would
be
in
addition
to
those
that
were
already
scheduled
to
occur
in
accordance
with
the
plan
for
the
area.

NOTE
/
3/
The
adjusted
base
year
inventory
is
that
inventory
specified
by
the
provisions
under
section
182(
b)(
1)(
B).

NOTE
/
4/
The
moderate
area
would
actually
be
bumped
up
to
either
of
the
next
higher
classifications
(
i.
e.,
serious
or
severe;
areas
cannot
be
bumped
up
to
extreme
for
failure
to
attain),
if
justified
by
the
air
quality
levels
(
the
design
value)
at
the
time.

One
way
that
contingency
measures
could
meet
this
requirement
is
by
requiring
the
early
implementation
of
measures
scheduled
for
implementation
at
a
later
date
in
the
SIP.
For
example,
a
State
could
include
as
a
contingency
measure
the
requirements
that
measures
which
would
take
place
in
later
years
if
the
area
met
its
RFP
target
or
attainment
deadline,
would
take
effect
earlier
if
the
area
did
not
meet
its
RFP
target
or
attainment
deadline.
Within
1
year
of
the
triggering
of
a
contingency
requiring
the
early
implementation
of
control
measures,
the
State
must
submit
a
revision
to
the
SIP
containing
whatever
additional
measures
will
be
needed
to
backfill
the
SIP
with
replacement
measures
to
cure
any
eventual
shortfall
that
would
occur
as
the
result
of
the
early
use
of
the
contingency
measure.

If
EPA
notifies
an
area
that
a
shortfall
exists,
and
that
the
shortfall
is
less
than
3
percent,
the
State
may
choose
which
contingency
measures
in
its
intital
(
3
percent)
contingency
plan
to
implement
to
meet
the
shortfall.

The
EPA
believes
that
a
3­
percent
contingency
will
be
adequate
for
most
areas;
however,
there
is
the
possibility
that
in
some
cases
3
percent
may
be
inadequate
especially
if
corrective
action
is
not
instituted
in
a
timely
manner
prior
to
a
milestone
date.

To
address
this
possible
shortfall
(
i.
e.,
more
than
a
3­
percent
shortfall),
EPA
will
require
moderate
and
above
areas
to
submit
both
contingency
measures
providing
for
a
3­
percent
reduction
and
an
enforceable
commitment
to
submit
an
annual
tracking
program
describing
the
degree
to
which
it
had
achieved
its
projected
annual
emissions
reduction
(
see
"
Tracking
Plan
Implementation,"
section
III.
A.
3(
d)).
In
that
annual
report,
the
State
must
describe
what
actions
it
will
take
to
make
up
for
any
shortfall
before
the
next
milestone,
e.
g.,
adopt
and
implement
additional
measures
(
aside
from
the
contingency
measures)
so
as
to
prevent
failure
to
meet
the
milestone
and
therefore
not
triggering
the
3­
percent
contingency
measures.
Alternatively,
the
States
must
provide
for
additional
contingency
measures
sufficient
to
cover
the
additional
shortfall
expected
due
to
the
milestone
failure.
Within
1
year
from
the
submittal
of
such
report,
the
State
must
submit
whatever
additional
measures
will
be
needed
to
cure
this
shortfall.
Therefore,
more
than
the
"
3
percent"
of
contingency
measures
could
be
available
as
a
reserve,
even
though
EPA
would
only
require
sufficient
contingency
measures
to
be
implemented
to
compensate
for
the
degree
of
failure.
In
other
words,
a
shortfall
of
2
percent
would
require
implementation
of
sufficient
measures
to
make
up
for
the
2
percent,
not
the
entire
3
percent
(
or
possibly
more,
due
to
the
above
procedure).

Sections
172(
c)(
9),
182(
c)(
9),
and
187(
a)(
3)
specify
that
the
contingency
measures
shall
"
take
effect
without
further
action
by
the
State
or
the
Administrator."
The
EPA
interprets
this
requirement
to
be
that
no
further
rulemaking
activities
by
the
State
or
EPA
would
be
needed
to
implement
the
contingency
measures.
The
EPA
recognizes
that
certain
actions,
such
as
notification
of
sources,
modification
of
permits,
etc.,
would
probably
be
needed
before
a
measure
could
be
implemented
effectively.
States
must
show
that
their
contingency
measures
can
be
implemented
with
minimal
further
action
on
their
part
and
with
no
additional
rulemaking
actions
such
as
public
hearings
or
legislative
review.
In
general,
EPA
will
expect
all
actions
needed
to
affect
full
implementation
of
the
measures
to
occur
within
60
days
after
EPA
notifies
the
State
of
its
failure.

(
d)
Tracking
plan
implementation.
Section
182(
b)(
1)(
A)
of
the
Act
requires
States
with
ozone
nonattainment
areas
classified
as
moderate
or
higher
to
submit
plans
that
contain
certain
"
specific
annual
reductions
in
emissions
of
volatile
organic
compounds
and
oxides
of
nitrogen
as
necessary
to
attain
the
national
primary
ambient
air
quality
standard
for
ozone
by
the
attainment
date
applicable
under
this
Act."
Even
though
the
1990
CAAA
contain
more
specifications
for
evaluating
whether
the
required
emissions
reductions
have
been
achieved
than
the
Act
previously
did,
EPA
believes
that
additional
actions
are
needed
to
assess
"
interim"
State
progress
in
achieving
the
milestones,
which
occur
(
for
serious
and
above
areas)
6
years
after
enactment
and
every
3
years
thereafter
(
as
discussed
in
section
III.
A.
4.(
f)).
Furthermore,
sections
171(
1)
and
172(
c)(
2)
provide
that
all
SIP's
must
require
annual
incremental
emissions
reductions
as
needed
to
attain
by
the
applicable
date.

To
meet
the
section
182(
b)(
1)(
A)
requirements,
the
State
plans
for
moderate
and
above
ozone
areas
must
project
the
annual
progress
(
i.
e.,
the
implementation
of
measures
with
the
appropriate
schedules
and
the
expected
emissions
reductions)
that
will
result
from
their
control
strategies.
(
See
discussion
under
section
III.
A.
3.(
a),
requirement
for
15
percent
reduction
in
emissions.)
These
projections
must
be
contained
in
the
State
submittal
due
by
November
15,
1993,
and
must
demonstrate
that
the
area
will
achieve
a
15
percent
net
reduction
in
VOC
emissions
(
plus
whatever
additional
reductions
are
needed
to
attain)
by
November
15,
1996.

The
primary
means
of
demonstrating
rate
of
progress
will
be
through
the
periodic
inventories
(
i.
e.,
complete,
actual
inventories)
submitted
every
3
years.
At
this
time,
EPA
intends
to
rely
on
existing
reporting
requirements
such
as
emissions
statements,
compliance
certifications,
periodic
inventories,
and
the
annual
AIRS
update,
rather
than
imposing
additional
reporting
requirements
on
the
States.

(
e)
Major
stationary
source
definition.
For
ozone
nonattainment
areas
classified
as
moderate
areas,
the
term
"
major
stationary
source,"
for
purposes
of
the
NSR
program
and
(
as
discussed
below)
the
RACT
requirements
for
major
non­
CTG
sources,
means
any
stationary
source
that
emits
or
has
the
potential
to
emit
100
tons
per
year
or
more.

(
f)
RACT
"
catch­
ups"­­(
1)
Applicability.
The
1990
CAAA
require
moderate
areas
to
adopt
RACT
standards
for
three
types
of
sources
or
source
categories.
This
requirement
is
in
addition
to
the
RACT
"
fix­
up"
requirement
of
section
182(
a)(
2)(
A),
discussed
in
section
III.
A.
2.(
b)
above.
The
RACT
catch­
up
requirement
is
meant
to
ensure
that
all
moderate
and
above
nonattainment
areas,
regardless
of
time
of
designation,
have
in
place
all
RACT
for
source
categories
covered
by
the
CTG's
and
for
major
sources
that
are
not
subject
to
a
CTG.
Stated
differently,
it
requires
moderate
and
above
nonattainment
areas
that
previously
were
exempt
from
certain
(
or
all)
RACT
requirements,
to
"
catch
up"
to
those
nonattainment
areas
that
were
subject
to
those
requirements
during
that
earlier
period.

All
States
should
submit
negative
declarations
for
those
source
categories
for
which
they
are
not
adopting
CTG­
based
regulations
(
because
they
have
no
sources
above
the
CTG
recommended
threshold)
regardless
of
whether
such
negative
declarations
were
made
for
an
earlier
State
implementation
plan.
This
is
necessary
since
there
may
now
be
sources
in
the
nonattainment
area
that
previously
did
not
exist,
or
in
areas
where
the
boundaries
of
the
nonattainment
area
have
expanded,
there
may
be
sources
in
the
new
portion
of
the
nonattainment
area
which
should
not
be
overlooked.

Under
the
first
category
of
requirements
in
section
182(
b)(
2)
(
subparagraph
(
A)),
nonattainment
areas
are
required
to
adopt
RACT
for
all
VOC
sources
covered
by
any
CTG
document
issued
by
the
Administrator
after
enactment
and
before
the
area
is
required
to
attain
the
standard.
The
EPA
is
required
to
adopt
11
CTG's
before
November
15,
1993
(
section
183).
Although
EPA
has
not
yet
issued
these
11
CTG's,
EPA
has
issued
a
CTG
document
in
which
it
lists
the
11
CTG's
that
the
Agency
plans
to
issue
in
accordance
with
section
183,
and
establishes
the
time
tables
for
submittal
of
RACT
rules
applicable
to
the
sources
covered
by
those
CTG's.
This
document
is
located
in
appendix
E.

Under
the
second
set
of
RACT
requirements
(
subparagraph
(
B)),
the
State
must
adopt
provisions
applying
RACT
requirements
to
all
VOC
sources
covered
by
any
CTG
issued
before
the
date
of
enactment
of
the
new
law,
even
if
the
CTG
was
not
previously
applicable
in
the
area
under
the
previous
law.
Under
the
requirements
established
for
implementing
the
Act
prior
to
the
1990
CAAA,
some
nonattainment
areas
were
not
required
to
apply
RACT
to
all
sources
for
which
there
were
CTG's.
These
include
areas
that
originally
projected
attainment
by
1982
and
that
were
not
subject
to
a
later
EPA
call
letter
for
SIP
revisions.
These
areas
had
to
apply
RACT
for
the
source
categories
covered
by
the
Group
I
and
II
CTG's
that
had
been
issued
before
the
1982
attainment
date;
however,
they
were
not
required
to
apply
RACT
to
the
categories
covered
by
the
Group
III
CTG's,
which
were
issued
after
the
1982
attainment
date.
Thus,
for
example,
the
new
law
requires
any
nonattainment
areas
not
previously
subject
to
all
the
CTG's
to
"
catch
up"
and
apply
RACT
to
all
sources
covered
by
all
the
CTG
documents.
Nonattainment
areas
not
previously
required
to
apply
RACT
to
sources
covered
by
Group
III
CTG's
will
have
to
do
so
in
the
SIP
revisions.
In
addition,
areas
previously
consider
rural
nonattainment
areas,
which
had
to
apply
RACT
only
to
certain
major
sources
in
certain
CTG
categories
under
prior
policy,
will
have
to
revise
their
SIP's
to
apply
RACT
to
all
sources,
including
nonmajor
sources
that
are
covered
by
any
CTG.
This
requirement
does
not
apply,
however,
to
RTA's
that
satisfy
section
182(
h)
as
discussed
in
section
III.
A.
2.(
g).

In
the
third
case
(
subparagraph
(
C)),
States
are
to
adopt
plans
that
apply
RACT
to
all
other
major
stationary
sources
of
VOC's
in
the
area,
even
if
no
CTG
has
been
issued
by
EPA
with
respect
to
that
source.
The
burden
falls
on
the
State
to
determine
individual
RACT
rules
for
each
of
the
sources
or
a
"
catch­
all"
RACT
rule
that
would
cover
major
non­
CTG
sources.
In
the
past,
only
certain
nonattainment
areas
were
required
to
adopt
such
"
non­
CTG"
RACT
rules.
Under
subparagraph
(
C),
all
other
moderate
to
extreme
nonattainment
areas
must
"
catch
up"
by
adopting
RACT
rule
requirements
for
major
non­
CTG
sources.

(
2)
Schedule.
For
sources
subject
to
a
post­
enactment
CTG
document,
States
must
adopt
RACT
rules
in
accordance
with
the
schedule
set
forth
in
a
post­
enactment
CTG
document.
The
EPA
has
issued
its
first
post­
enactment
CTG
document,
attached
as
Appendix
E,
which
establishes
the
list
of
the
11
CTG's
EPA
plans
to
issue
and
the
applicable
dates
for
submittal
of
RACT
rules
for
sources
subject
to
a
post­
enactment
CTG.
In
the
CTG
document,
EPA
has
provided
that
States
must
comply
with
the
RACT
submittal
time
tables
established
in
an
applicable
CTG.
These
time
tables
will
establish
RACT
submittal
dates
and
implementation
dates.
However,
if
no
CTG
has
been
issued
and,
therefore,
no
time
table
has
been
established
by
November
15,
1993,
for
one
or
more
source
categories,
the
State
must
submit
RACT
rules
applicable
to
that
source
or
source
category
by
November
15,
1994.
In
such
a
case,
those
rules
must
provide
that
the
source
must
implement
those
requirements
by
May
15,
1995.

Areas
must
submit
RACT
"
catch
up"
rules
for
sources
covered
by
a
pre­
enactment
CTG
and
for
major
sources
not
subject
to
a
pre­
enactment
CTG
or
covered
by
the
CTG
document
in
Appendix
E
in
the
form
of
a
SIP
revision
request,
within
2
years
of
enactment
(
i.
e.,
by
November
15,
1992).
This
submittal
should
also
identify
sources
that
are
major
but
which
are
subject
to
a
post­
enactment
CTG
document.
The
SIP
revisions
must
provide
for
the
implementation
of
the
RACT
measures
as
expeditiously
as
practicable,
but
no
later
than
May
31,
1995.

(
3)
Interface
with
early
reductions.
The
EPA
is
required
to
promulgate
maximum
achievable
control
technology
(
MACT)
standards
under
section
112
for
sources
which
emit
hazardous
air
pollutants
(
at
a
minimum,
the
189
pollutants
listed
in
section
112(
b)(
1)).
These
standards
will
be
promulgated
by
November
15,
2000
(
section
112(
e)).
The
EPA
must
promulgate
the
first
set
of
MACT
standards
by
November
15,
1992.
Section
112
also
provides
a
mechanism
whereby
sources
may
elect
to
defer
compliance
with
an
applicable
standard
by
achieving
an
early
90
percent
(
95
percent
for
particulate
matter)
reduction
in
emissions
of
hazardous
air
pollutants
at
specified
units
(
section
112(
i)(
5)).
For
sources
subject
to
the
first
round
of
MACT
standards,
a
source
can
obtain
the
6­
year
extension
if
it
commits
to
make
the
90
percent
reduction
prior
to
proposal
of
the
MACT
standard
and
actually
achieves
the
90
percent
reduction
prior
to
January
1,
1994.
For
later
standards,
the
applicant
must
demonstrate
that
the
90
percent
reduction
has
been
achieved
prior
to
proposal
of
the
applicable
MACT
standard.
Therefore,
within
the
next
few
months,
the
sources
that
are
affected
by
the
first
phase
of
MACT
standards
may
begin
to
submit
enforceable
commitments
for
the
early
reductions
program.

In
some
instances,
a
source
that
elects
to
participate
in
the
early
reductions
program
will
also
be
subject
to
a
future
RACT
requirement
under
section
182.
Sources
may
be
hesitant
to
participate
in
the
early
reductions
program
because
of
the
uncertainty
regarding
future,
as
yet
unspecified,
RACT
requirements.
To
alleviate
concern
about
certain
RACT
requirements,
where
a
source
is
not
subject
to
a
RACT
requirement
(
State
is
not
yet
obligated
to
adopt
under
the
CAAA)
at
the
time
it
submits
an
early
reductions
plan
but
subsequently
becomes
subject
to
such
a
requirement,
EPA
believes
that
it
is
reasonable
to
consider
the
early
reductions
program
in
its
analysis
of
what
RACT
is
for
that
source.
In
other
words,
when
the
State
does
submit
a
SIP
revision
with
new
RACT
requirements
that
would
be
applicable
to
a
source
that
elected
to
participate
in
the
early
reductions
program,
EPA
will
consider
the
reductions
made
through
the
program
as
a
factor
in
determining
if
the
source
has
implemented
a
RACT
level
of
control.
The
EPA
anticipates
that
the
fact
that
a
source
has
made
a
90
percent
reduction
in
overall
VOC
emissions
from
specified
emissions
points
will
be
a
major
consideration
in
establishing
RACT
for
those
emissions
points./
5/
This
issue
will
be
discussed
in
more
detail
in
the
rulemaking
on
the
early
reductions
program.

NOTE
/
5/
These
principles
are
based
on
the
assumption
that
a
source
is
not
reducing
its
hazardous
air
pollutants
by
replacing
them
with
nonhazardous
VOC's.
While
EPA
recognizes
this
as
a
legitimate
approach
for
reducing
hazardous
air
pollutants,
EPA
would
not
be
able
to
consider
this
type
of
program
as
a
factor
in
establishing
RACT
for
the
source
if
it
does
not
achieve
any
real
reductions
of
VOC
emissions.

As
a
general
rule,
EPA
will
not
revisit
the
RACT
issue
once
the
deferment
of
compliance
with
a
MACT
standard
has
ended.
In
most
cases,
the
MACT
controls
should
be
more
stringent
than
the
reductions
achieved
through
the
early
reductions
program.
Therefore,
once
MACT
is
in
place,
VOC
emissions
should
not
increase.

(
4)
Guidance.
Under
section
183,
EPA
is
to
issue
several
forms
of
guidance
that
should
help
the
States
meet
the
requirements
of
section
182(
b)(
2).
The
EPA
is
required
to
issue
CTG's
for
VOC
emissions
from
11
categories
of
stationary
sources
for
which
CTG's
have
not
previously
been
issued.
In
addition,
EPA
must
issue
CTG's
to
control
VOC
emissions
from
aerospace
coatings
and
solvents
and
to
control
emissions
from
paints,
coatings,
and
solvents
used
in
shipbuilding
operations
and
ship
repair.
All
of
these
documents
are
due
within
3
years
of
enactment.
The
EPA
must
also
conduct
a
study
of
VOC
emissions
from
consumer
or
commercial
products
and
submit
a
report
to
Congress
not
later
than
3
years
after
enactment.
Based
on
the
study
and
report,
EPA
is
required
to
regulate
categories
of
consumer
and
commercial
products
within
the
time
frame
set
forth
in
section
183(
e)(
3)(
A).

In
addition,
the
CAA
require
EPA
to
recommend
alternative
control
techniques
(
ACT's)
for
all
categories
of
stationary
sources
of
VOC
and
NOx
that
emit
or
have
the
potential
to
emit
25
tons
per
year
or
more
of
such
pollutant.
These
documents
are
also
due
within
3
years
of
enactment.
While
these
documents
will
not
contain
presumptive
RACT,
they
will
contain
much
of
the
background
information
on
control
technologies,
costs,
etc.,
which
can
be
used
by
the
States
in
supporting
RACT
determinations
for
major
non­
CTG
sources.

Finally,
within
1
year
of
enactment,
EPA
is
to
issue
guidance
on
evaluating
the
relative
cost
effectiveness
of
various
control
options
for
controlling
emissions
from
existing
stationary
sources
that
contribute
to
nonattainment.
In
addition,
under
section
108(
h),
EPA
is
to
establish
a
central
data
base
to
make
information
available
concerning
emissions
control
technology,
including
information
from
SIP's
requiring
permits.

(
g)
Gasoline
vapor
recovery.
(
Stage
II
Vapor
Recovery
Systems).
Section
182(
b)(
3)
mandates
that
States
submit
a
revised
SIP
by
November
15,
1992
that
requires
owners
or
operators
of
gasoline
dispensing
systems
to
install
and
operate
gasoline
vehicle
refueling
vapor
recovery
("
Stage
II")
systems
in
ozone
nonattainment
areas
designated
as
moderate
and
above.
Private
fueling
facilities
(
such
as
government
and
company
fleet
fueling
facilities)
as
well
as
retailers,
are
subject
to
the
Stage
II
requirements.
Stage
II
is
required
at
gasoline
dispensing
facilities
that
dispense
more
than
10,000
gallons
of
gasoline
per
month
(
or
50,000
gallons
per
month
for
the
"
independent
small
business
marketers"
defined
under
section
324).
States
must
require
Stage
II
to
be
effective
under
a
specified
phase­
in
schedule
of
6
months
after
the
State
adopts
the
required
regulation
for
stations
constructed
after
November
15,
1990;
1
year
after
the
adoption
date
for
stations
dispensing
at
least
100,000
gallons
per
month,
based
on
the
2­
year
period
before
the
adoption
date;
and
2
years
after
the
adoption
date
for
all
other
facilities
required
to
install
controls.
Also,
as
appropriate,
EPA
shall
issue
guidance
concerning
the
effectiveness
of
Stage
II
systems.

Stage
II
systems
have
been
installed
and
operated
in
California
for
over
10
years
and
in
some
other
portion
of
the
country
for
a
shorter
period.
Areas
with
existing
Stage
II
programs
have
been
implementing
their
programs
using
the
same
approach
used
in
California.
The
California
Air
Resources
Board
(
CARB)
has
been
testing
and
certifying
systems
for
at
least
95
percent
vapor
recovery
using
established
test
procedures
and
methods.
Once
a
system
has
been
certified,
a
station
can
install
the
same
Stage
II
system
design
without
needing
to
test
for
95
percent
control
effectiveness.
To
ensure
that
they
are
properly
installed
and
maintained,
systems
are
tested
with
low­
cost
vapor
leakage
and
blockage
tests
at
installation
and
then
subjected
to
periodic
enforcement
inspections.

The
EPA
intends
to
require
all
States
to
adopt
a
similar
Stage
II
program
approach.
That
is,
States
would
be
required
to
prescribe
the
use
of
Stage
II
systems
that
achieve
at
least
95
percent
control
of
VOC's
and
that
are
properly
installed
and
operated.

As
an
alternative
to
testing
each
station
for
95
percent
control
effectiveness,
States
may
require
installed
Stage
II
systems
to
be
certified
to
achieve
at
least
95
percent
either
by
CARB,
or
by
using
CARB
test
procedures
and
methods
or
equivalent
test
procedures
and
methods
developed
by
the
State
and
submitted
as
a
SIP
revision.
In
addition,
States
must
require
the
installed
systems
to
be
tested
for
proper
installation
and
must
perform
all
necessary
enforcement.

Supporting
and
background
material
for
developing,
implementing,
and
enforcing
this
type
of
program
is
provided
in
technical
("
Technical
Guidance­­
Stage
II
Vapor
Recovery
Systems
for
Control
of
Vehicle
Refueling
Emissions
at
Gasoline
Dispensing
Facilities­­
Volume
1,"
November
1991)
and
enforcement
("
Enforcement
Guidance
for
State
II
Vehicle
Refueling
Control
Programs,"
December
1991)
guidance
that
the
Agency
has
issued.
The
Agency
now
notifies
the
public
that
this
is
guidance
issued
by
the
Administrator
pursuant
to
section
182(
b)(
3)(
A).

Additional
Stage
II
provisions
contained
in
section
202(
a)(
6)
concern
onboard
(
on­
the­
vehicle)
vehicle
refueling
control
standards,
which
are
to
be
developed
after
consultation
with
the
Secretary
of
Transportation
regarding
the
safety
of
onboard
systems.
Under
this
section,
States
are
not
required
to
apply
the
Stage
II
requirements
of
section
182(
b)(
3),
gasoline
vapor
recovery,
to
facilities
located
in
moderate
ozone
areas
if
EPA
promulgates
onboard
refueling
control
standards.
These
provisions
will
be
addressed
in
a
separate
Federal
Register
notice.

(
h)
Basic
I/
M.
Section
182(
b)(
4)
requires
moderate
ozone
nonattainment
areas
to
implement
basic
I/
M
programs
at
least
as
stringent
as
those
required
in
section
182(
a)(
2)(
B)
immediately
upon
enactment,
regardless
of
whether
an
I/
M
program
was
previously
required.
Therefore,
all
moderate
areas
must
either
continue
existing
I/
M
programs
and
make
corrections
to
programs
required
by
existing
policy
or
to
programs
committed
to
in
the
SIP
in
effect
at
enactment,
whichever
is
more
stringent;
or
develop
basic
I/
M
programs
consistent
with
EPA
guidance.
These
areas
must
also
submit
revisions
addressing
revised
basic
I/
M
program
policy
for
new
and
existing
programs
once
revised
policy
is
published.
The
I/
M
programs
are
required
in
the
urbanized
area
portions
of
the
nonattainment
area.

The
statute
requires
these
plans
"
immediately"
after
enactment,
even
though
in
a
few
cases
such
areas
may
be
subject
to
this
requirement
for
the
first
time.
The
EPA
would
normally
provide
at
least
1
year
for
an
area
newly
subject
to
such
requirements
to
adopt
and
implement
an
I/
M
program.
The
EPA
will
use
its
authority
under
the
new
section
110(
k)(
4)
to
conditionally
approve
basic
I/
M
programs
in
the
case
of
moderate
ozone
areas
that
were
newly
subject
to
this
requirement
at
the
time
of
enactment,
based
upon
the
State's
commitment
to
develop
such
a
program
within
1
year
from
conditional
plan
approval,
or
by
the
date
established
EPA's
guidance,
whichever
is
sooner.

The
EPA
will,
under
section
182(
i),
require
SIP
revisions
to
provide
for
a
basic
I/
M
program
within
1
year
in
areas
newly
subject
to
basic
I/
M
requirements
in
the
future
as
a
result
of
redesignation
or
reclassification
to
moderate
ozone
nonattainment.
Where
the
boundaries
of
a
nonattainment
area
are
changed
any
time
after
enactment
pursuant
to
section
107(
d)(
4)(
A),
EPA
will
again
conditionally
approve
SIP
revisions
based
upon
commitments
submitted
promptly
after
designation
to
adopt
I/
M
programs
within
1
year
of
conditional
plan
approval,
or
consistent
with
EPA
guidance,
whichever
is
sooner
in
any
areas
newly
subject
to
I/
M
requirements
by
virtue
of
the
boundary
change.

The
EPA
expects
to
issue
the
policy
for
I/
M
areas
in
the
near
future.
When
published,
the
policy
for
I/
M
programs
will
state
the
date
when
such
programs
are
to
be
implemented.
States
that
have
both
basic
and
enhanced
I/
M
areas
may
opt
to
implement
enhanced
programs
in
all
affected
urbanized
areas.
States
which
are
only
required
to
implement
basic
programs
must
submit
SIP
revisions
for
I/
M
programs
addressing
any
revised
policy.
The
guidance
will
cover
the
elements
of
the
SIP
revision.

In
the
event
that
a
moderate
ozone
nonattainment
area
fails
to
attain
the
ozone
standard
by
the
applicable
deadline
or
extended
deadline,
and
is
reclassified
to
serious
or
worse,
an
inhanced
I/
M
program
must
be
implemented,
if
the
population
criteria
(
an
urbanized
area,
as
defined
by
the
Bureau
of
the
Census
in
1980,
with
a
population
greater
than
200,000)
are
met.
The
EPA
will,
under
section
182(
i),
require
a
SIP
revision
to
provide
for
an
enhanced
I/
M
program
within
2
years
of
the
reclassification.
As
mandated
by
section
202(
m),
the
Administrator
will
promulgate
regulations
requiring
manufacturers
to
install
diagnostic
systems
on
all
new
light­
duty
vehicles
and
light
duty
trucks.
The
purpose
of
these
systems
is
to
identify
and
track
emission­
related
systems
deterioration
or
malfunction.
According
to
section
202(
m)(
3),
within
2
years
of
EPA's
promulgating
regulations
requiring
States
to
do
so,
all
States
with
I/
M
programs
must
amend
their
SIP
to
provide
for
inspection
of
these
onboard
diagnostics
systems.
The
EPA
will
issue
revised
I/
M
guidance
which
addresses
onboard
diagnostic
inspections.

(
i)
NSR­­(
1)
NSR
offset
ratio.
For
the
purpose
of
satisfying
the
emissions
offset
reduction
requirements
of
section
173(
a)(
1)(
A),
the
emissions
offset
ratio
is
the
ratio
of
total
actual
emissions
reductions
to
the
total
allowable
emissions
increases
of
such
pollutant
from
the
new
source.
For
ozone
nonattainment
areas
classified
as
moderate,
the
emissions
offset
ratio
is
at
least
1.15
to
1.

(
j)
Bump­
up
requirements.
As
discussed
in
section
III.
A.
2(
i)
marginal,
moderate,
and
serious
areas
will
be
bumped
up
if
they
fail
to
attain.
When
a
moderate
area
is
bumped
up
to
serious,
section
107(
d)(
4)(
A)(
iv)
requires
that
the
boundaries
reflect
the
MSA/
CMSA
unless
within
45
days
the
State
notifies
EPA
of
its
intent
to
study
the
appropriate
boundaries
for
that
area.
If
a
State
does
make
such
notification,
a
final
determination
of
boundaries
must
be
made
by
EPA
within
8
months
of
reclassification
to
serious.

4.
Serious
Areas
Serious
areas
are
required
to
meet
all
moderate
area
requirements,
unless
otherwise
noted,
as
well
as
the
following
additional
requirements.

(
a)
Major
stationary
source
definition.
For
ozone
nonattainment
areas
classified
as
serious
areas,
the
term
"
major
stationary
source,"
for
purposes
of
the
NSR
program
and
the
RACT
requirement
for
major
non­
CTG
sources,
includes
any
stationary
source
or
group
of
sources
located
within
a
contiguous
area
and
under
common
control
that
emits
or
has
the
potential
to
emit
at
least
50
tons
per
year.

(
b)
RACT.
In
serious
areas,
the
same
RACT
requirements
apply
as
for
marginal
and
moderate
areas.
However,
the
major
source
cutoff
is
reduced
to
50
tons
per
year
sources.
This
lesser
cutoff
would
result
in
the
need
for
additional
RACT
rules
in
cases
where
no
existing
CTG
applies
to
a
source
located
in
a
serious
area
and
emitting
above
50
tons
per
year,
or
an
existing
CTG
for
the
source
category
subject
to
a
50
ton
per
year
cutoff
only
applies
to
sources
above
a
higher
cutoff.
Rules
for
these
sources
would
be
subject
to
the
same
schedule
and
requirements
of
non­
CTG
RACT
specified
by
section
182(
b)(
2)(
C)
(
i.
e.,
rules
are
due
by
November
15,
1992).

(
c)
NSR­­(
1)
Offset
ratio.
For
the
purpose
of
satisfying
the
emissions
offset
reduction
requirements
of
section
173(
a)(
1)(
A),
the
emissions
offset
ratio
is
the
ratio
of
total
actual
emissions
reductions
to
total
allowable
increased
emissions
of
such
pollutant.
For
ozone
nonattainment
areas
classified
as
serious,
the
emissions
offset
ratio
is
at
least
1.2
to
1.
(
2)
Special
rules
for
modification.
State
NSR
permit
requirements
for
major
modifications
must
be
revised
in
accordance
with
new
rules
for
modifications
under
section
182(
c)
(
6),
(
7),
and
(
8)
of
the
Act.
These
new
rules
apply
to
proposed
emissions
increases
resulting
from
modifications
of
major
stationary
sources
in
serious
and
severe
areas
for
ozone.
As
explained
below,
these
new
rules
change
the
way
in
which
proposed
modifications
must
be
evaluated
to
determine
whether
a
major
modification
will
occur,
and
establish
new
requirements
for
sources
which
are
determined
to
be
major
modifications.

(
i)
De
Minimis
rule.
New
section
182(
c)(
6)
revises
the
de
minimis
test
which
must
be
applied
to
any
proposed
emissions
in
a
serious
(
or
severe)
area.
The
new
de
minimis
rule
establishes
an
emissions
threshold
of
25
tons
aggregated
over
a
5­
year
period
to
replace
the
current
EPA
threshold
of
40
tons
per
year.
It
also
requires
an
evaluation
of
past
net
increases
even
when
the
proposed
increase
itself
is
below
the
de
minimis
level.

Thus,
an
emissions
increase
resulting
from
a
proposed
modification
of
a
major
stationary
source
is
de
minimis
if
the
net
emissions
increase­­
which
is
to
be
calculated
by
aggregating
the
proposed
increase
with
all
other
creditable
increases
and
decreases
in
emissions
from
the
source
from
the
5
prior
calendar
years
(
including
the
calendar
year
of
the
proposed
change)­­
is
25
tons
or
less.
In
a
break
with
previous
EPA
policy,
this
provision
requires
this
5­
year
evaluation
even
if
the
proposed
increase
standing
alone
would
not
exceed
the
de
minimis
threshold
of
25
tons.
Consequently,
even
a
small
proposed
increase
(
itself
less
than
25
tons)
may
not
be
de
minimis
and
could
cause
the
proposed
change
to
be
treated
as
a
major
modification
subject
to
the
special
modification
provisions
described
in
the
following
two
sections.

(
ii)
Modifications
of
sources
emitting
less
than
100
tons
per
year.
For
a
proposed
modification
that
is
not
de
minimis
(
according
to
the
special
de
minimis
rule
under
section
182(
c)(
6)),
a
major
stationary
source
emitting
or
having
the
potential
to
emit
less
than
100
tons
per
year
must
satisfy
special
rules,
delineated
under
new
section
182(
c)(
7)
for
such
modifications.
Under
these
rules,
the
proposed
modification
is
subject
to
the
part
D
NSR
permit
requirements
as
a
major
modification
unless
it
can
offset
the
proposed
emissions
increase
with
greater
emissions
reductions
at
the
source
at
an
internal
offset
ratio
of
at
least
1.3
to
1.
Section
182(
c)(
7)
provides
that
in
the
absence
of
sufficient
internal
offsets,
the
part
D
permit
requirements
of
section
713
must
be
met,
except
that
when
applying
the
requirement
of
section
173(
a)(
2)
to
such
modification,
the
source
shall
apply
best
available
control
technology
(
BACT),
as
defined
in
section
169
of
the
Act,
as
a
substitute
for
the
lowest
achievable
emissions
rate
(
LAER).
All
other
permit
requirements
of
section
173(
a)
must
be
satisfied,
including
the
requirement
for
an
emissions
offset
ratio
of
at
least
1.2
to
1.
(
iii)
Modifications
of
sources
emitting
100
tons
per
year
or
more.
If
a
proposed
modification
which
is
not
de
minimis
would
occur
at
a
major
stationary
source
emitting
or
having
the
potential
to
emit
100
tons
per
year
or
more,
then
rules
consistent
with
section
182(
c)(
8)
of
the
CAAA
must
apply.
Section
182(
c)(
8)
provides
that
such
modification
is
a
major
modification
and
is
subject
to
the
part
D
permit
requirements.
However,
the
source
may
elect
to
offset
its
proposed
emissions
increase
with
a
greater
reduction
in
emissions
at
the
source
at
an
internal
offset
ratio
of
1.3
to
1
in
order
to
avoid
the
requirements
of
section
173(
a)(
2)
concerning
LAER.
If
the
source
elects
not
to
obtain
the
appropriate
internal
offsets,
then
LAER
will
apply
with
respect
to
the
major
modification.
In
any
case,
all
other
part
D
permit
requirements,
including
emissions
offsets
at
the
prescribed
ratio
1.2
to
1,
must
be
satisfied
by
the
major
modification.

(
d)
Enhanced
monitoring.
Section
182(
c)(
1)
requires
that
all
SIP's
for
serious
ozone
nonattainment
areas
contain
a
program
of
measures
designed
to
enhance
and
improve
both
ambient
air
quality
monitoring
and
emissions
monitoring.
The
program
for
enhanced
ambient
air
quality
monitoring
should
contain
measures
for
ozone,
NOx,
and
VOC
pollutants.
The
program
for
enhanced
emissions
monitoring
should
contain
measures
for
NOx
and
VOC's.
States
are
required
to
take
immediate
action
to
adopt
and
implement
an
enhanced
monitoring
program
upon
the
issuance
of
rules
to
be
promulgated
by
EPA.
Upon
promulgation
of
these
rules,
EPA
will
provide
further
direction
as
to
the
required
actions
and
schedules
for
States.

(
e)
Attainment
demonstration.
Section
182(
c)(
2)(
A)
requires
a
SIP
for
a
serious
ozone
nonattainment
area
to
provide
an
attainment
demonstration
by
November
15,
1994.
The
"
attainment
demonstration
must
be
based
on
photochemical
grid
modeling
or
any
other
analytical
method
determined
by
the
Administrator,
in
the
Administrator's
discretion,
to
be
at
least
as
effective"
(
section
182(
c)(
2)(
A)).
This
requirement
can
be
met
through
applying
EPA­
approved
modeling
techniques
for
SIP
revisions
(
see
EPA's
"
Guideline
on
Air
Quality
Models
(
Revised),"
1986).
The
Urban
Airshed
Model
is
recommended
for
modeling
applications
involving
entire
urban
areas.

Serious
areas
generally
must
meet
all
requirements
of
moderate
ozone
nonattainment
areas.
As
discussed
above,
moderate
ares
are
required
to
provide
for
reductions
in
VOC
and
NOx
emissions
"
as
necessary
to
attain
the
national
primary
ambient
air
quality
standard
for
ozone"
(
section
182(
b)(
1)(
A)).
To
determine
the
"
necessary"
emissions
reductions,
an
attainment
demonstration
is
generally
required
by
November
1993,
if
a
photochemical
grid
model
is
not
used.
Serious
(
and
higher)
areas,
however,
must
complete
photochemical
grid
modeling
analyses
and
have
longer
attainment
deadlines.
In
consideration
of
the
additional
time
necessary
to
gather
data
to
support
and
to
perform
a
grid
modeling
analysis,
Congress
provided
an
additional
year
for
serious
(
and
higher)
areas
to
submit
their
demonstrations
of
attainment.
In
light
of
the
fact
Congress
allowed
this
additional
year,
EPA
believes
that
the
section
182(
c)
requirement
for
serious
and
higher
ozone
nonattainment
areas
to
submit
photochemical
grid
modeling
by
November
1994
supersedes
the
attainment
demonstration
otherwise
applicable
under
section
182(
b).

When
projecting
motor
vehicle
emissions
for
the
attainment
and
rate
of
progress
demonstration
after
1996,
States
should
use
the
same
procedures
as
given
in
the
EPA
VMT
forecasting
and
tracking
guidance
for
serious
CO
nonattainment
areas.
For
VMT
projections
up
through
1996,
States
may
follow
the
procedures
for
VMT
forecasting
and
tracking
for
moderate
CO
nonattainment
areas.
The
use
of
this
guidance
is
limited
to
projecting
motor
vehicle
emissions;
the
information
in
the
reporting
requirements
for
moderate
or
serious
CO
areas
is
not
applicable.

(
f)
Rate
of
progress
demonstration.
Section
182(
c)(
2)(
B)
requires
that
serious
ozone
nonattainment
areas
must
submit
by
November
15,
1994
(
4
years
after
enactment),
a
rate
of
progress
demonstration.
The
plan
must
provide
for
reductions
in
ozone
season,
weekday
VOC
emissions
of
at
least
3
percent
per
year
net
of
growth
averaged
over
each
consecutive
3­
year
period
beginning
in
1996
until
the
attainment
date.
This
is
in
addition
to
the
15
percent
reduction
over
the
first
6­
year
period
required
in
areas
classified
as
moderate
and
above.
The
baseline
for
the
3
percent
per
year
rate
of
progress
reductions
and
creditability
requirements
are
the
same
as
for
the
15
percent
progress
requirement
under
section
182(
b)(
1).
See
section
III.
A.
3.(
a)
above
for
a
discussion
of
EPA's
focus
on
ozone
season
weekday
VOC
emissions.

Similar
to
the
calculations
for
the
15
percent
requirement
(
see
section
III.
A.
3.(
a)
of
this
document),
the
State
must
first
calculate
the
1990
adjusted
base
year
inventory.

(
1)
Adjusted
base
year
inventory
calculation.
The
adjusted
base
year
inventory
should
be
calculated
in
two
steps.
The
first
step
consists
of
developing
a
1990
inventory
of
non­
mobile
anthropogenic
VOC
emissions.
The
second
step
consists
of
determining
the
mobile
portion
of
the
inventory
after
the
FMVCP
and
RVP
reduction
programs
(
promulgated
by
the
date
of
enactment
or
required
by
section
211(
h))
are
factored
out.
Since
the
effect
of
the
pre­
enactment
or
current
FMVCP
as
a
cumulative
reduction
from
1990
levels
increases
each
year
because
of
fleet
turnover,
there
will
actually
be
a
separate
1990
baseline
applicable
to
each
evaluation
year
specified
(
e.
g.
1999,
2002,
etc.).

The
determination
of
the
baselines
will
require
the
use
of
MOBILE4.1
to
model
the
effects
of
fleet
turnover
and
RVP
changes.
For
a
given
evaluation
year,
the
baseline
will
be
determined
by
applying
the
1990
VMT
to
a
hypothetical
emissions
factor
for
the
evaluation
year.
The
hypothetical
emissions
factor
for
the
1990
baseline
in
1999
(
or
2002,
2005,
etc.)
is
the
1999
(
or
2002,
2005,
etc.)
emissions
factor
determined
by
running
MOBILE4.1
using
1999
(
or
2002,
2005,
etc.)
as
the
evaluation
year
and
the
same
input
parameters
used
to
describe
the
FMVCP
and
SIP
requirements
in
1990,
with
the
addition
of
RVP
at
9
psi
(
or
less
where
approporiate).
Multiplying
this
emissions
factor
by
the
1990
VMT
results
in
1990
motor
vehicle
baseline
emissions
which
exclude
the
emissions
reductions
that
would
be
eliminated
in
1999
(
or
2002,
2005,
etc)
as
a
result
of
fleet
turnover
under
the
pre­
enactment
FMVCP
and
the
section
211(
h)
RVP
requirements.
The
1990
motor
vehicle
baseline
emissions
for
1999
(
or
2002,
2005,
etc.)
are
added
to
the
1990
inventory
of
non­
motor
vehicle
anthropogenic
VOC
emissions
to
calculate
the
1990
total
baseline
emissions
for
1999
(
or
2002,
2005,
etc.).
This
number
is
the
adjusted
base
year
inventory
needed
to
calculate
the
target
level
of
emissions
in
1999
(
or
2002,
2005,
etc.).

Any
emissions
reductions
expected
to
result
by
the
evaluation
year
(
e.
g.,
1999,
2002,
etc.)
from
corrections
to
RACT
rules
or
I/
M
programs
should
be
subtracted
after
the
baseline
has
been
used
to
calculate
(
according
to
the
procedure
discussed
below)
the
target
level
of
emissions.

The
target
level
of
emissions
for
a
milestone
year
is
the
total
amount
of
emissions
allowed
in
the
area
in
order
to
meet
the
rate
of
progress
requirement
for
the
year
in
question.
The
1999
target
level
of
emissions
can
be
calculated
from
1990
total
baseline
emissions
for
1999
and
the
1996
target
level
of
emissions.
However,
an
additional
correction
factor
is
needed
to
account
for
the
mobile
source
emissions
reductions
that
would
have
occurred
under
the
pre­
enactment
FMVCP
and
section
211(
h)
RVP
requirements
between
1996
and
1999
as
a
result
of
fleet
turnover
(
assuming
that
all
I/
M
deficiencies
have
been
fixed).
This
correction
factor
is
simply
the
difference
between
the
1990
total
baseline
emissions
for
1996
and
the
1990
total
baseline
emissions
for
1999.
The
1999
target
level
of
emissions
is
therefore
calculated
by
subtracting
this
fleet
turnover
correction
factor,
and
9
percent
of
the
1990
total
baseline
emissions
for
1999,
from
the
1996
target
level
of
emissions.

In
subsequent
milestone
years,
the
fleet
turnover
correction
factor
is
the
difference
between
the
1990
baseline
emissions
for
the
previous
milestone
year
and
the
1990
baseline
emissions
for
the
current
milestone
year.
The
target
level
is
calculated
by
subtracting
this
fleet
turnover
correction
factor
and
9
percent
of
the
1990
total
baseline
emissions
for
the
current
milestone
year,
from
the
target
level
of
emissions
in
the
previous
milestone
year.

Once
the
target
level
of
emissions
for
a
milestone
year
is
calculated,
States
can
develop
whatever
control
strategies
are
needed
to
meet
that
target.
Some
air
planning
agencies
may
be
used
to
thinking
in
terms
of
the
emissions
reductions
required
relative
to
a
current
control
strategy
projection
(
particularly
for
stationary
sources),
rather
than
a
target
level
of
emissions.
Projections
of
milestone
year
emissions
would
be
used
to
calculate
the
required
emissions
reductions
expressed
on
such
a
basis,
by
simply
taking
the
difference
between
the
milestone
year
projection
inventory
(
without
controls
applied)
and
the
milestone
year
target
level
of
emissions.
However,
States
that
choose
this
approach
should
be
aware
that
the
milestone
year
target
level
is
dependent
only
on
the
1990
emissions
inventory,
whereas
the
calculation
of
an
emissionsreduction
required
relative
to
the
current
control
strategy
projection
depends
on
the
accuracy
of
the
milestone
year
projection,
which
in
turn
depends
on
the
estimate
of
future
growth
in
activities.
The
assessment
of
whether
an
area
has
met
the
reasonable
further
progress
requirement
in
the
milestone
year
will
be
based
on
whether
the
area
is
at
or
below
the
milestone
year
target
level
of
emissions
and
not
whether
the
area
has
achieved
a
certain
actual
emissionsreduction
relative
to
having
maintained
the
current
control
strategy.

Formulas:
BEx=
1990
baseline
emissions
calculated
relative
to
year
x
x=
milestone
year
x=
1999,
2002,
2005,
2008
BG9=
9
percent
emissionsreduction
requirement
TLx=
target
level
of
emissions
permitted
for
year
x
BG9=
BExx(
0.09)
FTx=
Fleet
turnover
correction
factor
FTx=
BEx­
3­
BEx
TLx=
TLx­
3­
BG9­
FTx
Example:
x=
1999
TL99=
TL96­
BG9­
FT99
For
areas
with
attainment
dates
occuring
in
2007
and
2010
(
i.
e.,
Severe
2
and
Extreme
areas,
respectively),
the
following
formulas
should
be
used
for
calculating
the
target
level
of
emissions
for
the
attainment
year.
The
final
emissions
reductions
requirement
prior
to
attainment
for
these
areas
is
6
percent
over
a
2­
year
period
(
i.
e.,
the
time
between
the
last
milestone
and
the
attainment
date
is
2
years).

x=
milestone
year
x=
2007,
2010
BEx=
1990
baseline
emissions
calculated
relative
to
year
x
BG6=
6%
emissions
reduction
requirement,
before
growth
TLx=
target
level
of
emissions
permitted
for
year
x
BG6=
BExx(
0.06)
TLx=
TLx­
2­
BG6
FTx=
BEx­
2­
BEx
Example:
x=
2007
TL07=
TL05­
BG6­
FT7
(
Note:
The
correction
factor
for
RACT
rule
and
I/
M
program
correction
is
not
included
in
these
calculations
because
the
associated
emissions
reductions
should
have
been
realized
prior
to
the
end
of
1996.
If
this
is
not
the
case,
an
adjustment
should
be
made
as
in
the
calculation
of
the
target
level
of
emissions
for
the
first
6
years.)

As
discussed
in
section
III.
A.
3.(
a)
of
this
preamble,
if
changes
in
emissions
factors
or
in
methodologies
for
developing
emissions
inventories
occur
after
the
15
percent
demonstration
is
submitted,
but
before
November
15,
1996,
then
States
need
not
correct
the
base
year
inventory­­
the
adjusted
baseline
on
the
projection
inventory
for
purposes
of
reconciling
the
15
percent
demonstration.
However,
if
such
changes
occur
after
November
15,
1991,
but
prior
to
November
15,
1994,
a
serious
or
above
area
may
be
required
to
make
corrections
to
the
base
year
inventory
and
attainment
year
projection
inventory
for
the
purposes
of
developing
the
3
percent
rate
of
progress
demonstration.
If
such
changes
occur
after
November
15,
1994,
EPA
will
advise
on
when
it
would
be
appropriate
for
the
States
to
make
corrections
in
future
supplements
to
this
General
Preamble.

The
statute
explicitly
states
that,
after
1996,
emissions
reductions
from
NOx
sources
can
be
substituted
for
VOC
emissions
reductions
if
the
resulting
reduction
in
ozone
concentrations
is
at
least
equivalent
to
that
which
would
result
from
VOC
emissions
reductions.
Emissions
reductions
of
NOxare
subject
to
the
creditability
provisions
under
section
182(
b)(
1)(
C)
and
(
D).
Additionally,
any
actual
NOx
emmissions
reductions
in
excess
of
growth
in
NOx
emissions
during
the
1990­
1996
period
may
be
used
to
meet
post­
1996
emissions
reductions
requirements
for
ozone
nonattainment
areas
classified
as
serious.
Like
VOC
reductions,
these
NOx
reductions
must
be
real,
enforceable,
permanent,
net
of
growth,
and
meet
the
creditability
requirements.
In
addition,
the
NOx
reductions
must
meet
the
guidance
under
which
NOx
reductions
can
be
substituted
for
VOC
reductions.
If
an
area
substitutes
NOx
reductions
for
VOC
reductions,
then
a
rate
of
progress
curve
(
similar
to
the
one
required
for
VOC)
must
also
be
developed
for
NOx.

Certain
NOx
emission
reduction
requirements
may
also
be
averaged
consistent
with
EPA
guidance.
The
CAAA
encourage
the
use
of
market­
based
approaches
in
both
titles
I
and
IV.
The
use
of
economic
incentives
is
explicitly
allowed
in
sections
110(
a)(
2)
and
172(
c)(
6)
of
title
I.
Provisions
for
averaging
emissions
of
NOx
over
two
or
more
units
are
contained
in
section
407(
e).
However,
compliance
with
relevant
titles
would
have
to
be
maintained.

If
the
State
elects
to
allow
any
pre­
enactment
banked
emissions
reductions
credits
to
be
used
for
purposes
of
new
source
offsets
during
the
period
between
1996
and
attainment,
then
these
emissions
must
be
treated
as
growth
(
i.
e.,
banked
credits
become
emissions
upon
use).
As
such,
the
increase
in
emissions
must
be
accounted
for
in
order
to
ensure
the
rate
of
progress
requirement
is
achieved.

States
can
only
count
emissions
reductions
toward
the
3
percent
per
year
requirement
if
such
emissions
meet
the
creditability
and
reduction
requirements.
All
creditable
emissions
reductions
must
be
real,
permanent,
and
enforceable.
States
must
keep
careful
records
of
all
emissions
reductions
to
ensure
that
the
same
reductions
are
not
used
more
than
one
time
(
i.
e.,
reductions
cannot
be
used
for
offsets
and
to
meet
the
rate
of
progress
requirement).
Any
creditable
VOC
emissions
reductions
achieved
beyond
the
required
15
percent
during
the
first
6
years
after
enactment
of
the
1990
CAAA
(
November
15,
1990­
November
15,
1996)
can
be
counted
toward
meeting
the
3
percent
rate
of
progress
requirement.
For
example,
if
an
area
achieves
20
percent
creditable
VOC
emissions
reductions
during
the
first
6
years,
then
the
area
can
apply
the
5
percent
surplus
reductions
toward
the
9
percent
requirement
for
years
1996­
1999.

Actual
NOx
emissions
reductions
exceeding
growth
in
NOx
emissions
since
the
1990
base
year
may
be
used
to
meet
post­
1996
emissions
reductions
requirements
for
ozone
nonattainment
areas
classified
as
serious
and
above.
Section
182(
c)(
2)(
C)
grants
EPA
broad
discretion
in
determining
the
conditions
under
which
NOx
control
may
be
substituted
for,
or
combined
with,
VOC
control
to
maximize
reduction
in
ozone
air
pollution.
The
EPA
believes
that
since
VOC
reductions
in
1990­
1996
(
in
excess
of
the
required
progress
amount
of
15
percent,
which
in
turn
is
net
of
growth)
can
be
carried
over
to
the
post­
1996
period,
NOx
reductions
in
excess
of
growth
since
1990
(
there
is
no
progress
requirement
for
NOx)
may
be
carried
over
as
well.
Note
that
these
NOx
emissions
reductions
are
subject
to
the
substitution
requirements
of
section
182(
c)(
2)(
C)
and
to
the
same
creditability
constraints
dictated
by
section
182(
b)(
1)(
C)
and
(
D)
as
apply
to
VOC
emissions
reductions.

Rule­
effectiveness
improvements
are
creditable
during
the
post­
1996
period.
The
same
requirements
apply
as
in
the
15
percent
reduction
requirement
(
see
section
III.
A.
3.(
a)).

All
emissions
reductions
that
are
to
be
credited
against
the
percent
reduction
requirements
must
come
from
within
the
designated
nonattainment
area.
Of
course,
emissions
reductions
strategies
applied
to
sources
just
outside
the
nonattainment
area
may
have
benficial
effects
on
the
nonattainment
problem
within
the
designated
area.
The
CAAA
require
that
the
rate
of
progress
emissions
reductions
be
calculated
from
the
baseline
emissions.
The
baseline
emissions
are
defined
to
be
all
emissions
"
in
the
area,"
which
EPA
interprets
to
mean
in
the
designated
nonattainment
area.

After
the
control
strategy
is
developed,
regulations
needed
to
implement
the
control
strategy
must
be
developed
and
adopted
by
the
State.
The
control
strategy
along
with
the
associated
regulations
must
be
submitted
to
EPA
by
November
15,
1994.
The
adjusted
base
year
inventory
and
the
attainment
year
projection
inventory
must
be
submitted
no
later
than
November
15,
1994;
however,
EPA
may
require
an
earlier
draft
submission
of
these
documents
to
allow
early
review.
If
the
attainment
demonstration
for
a
serious
nonattainment
area
shows
that
an
amount
greater
than
3
percent
per
year
averaged
over
the
3­
year
period
of
creditable
reductions,
when
combined
with
the
noncreditable
reductions,
is
needed
to
attain
the
ozone
NAAQS
by
the
applicable
attainment
date,
areas
should
plan
on
achieving
the
emissions
reductions
as
early
as
possible.
In
any
case,
it
will
be
to
an
area's
advantage
to
implement
control
measures
early
since
EPA
will
look
at
air
quality
data
for
the
3
years
leading
up
to
the
attainment
date
(
i.
e.,
for
serious
areas,
air
quality
data
from
years
1997­
1999
will
be
evaluated)
to
determine
if
an
area
has
attained
the
ozone
NAAQS.
Delaying
the
implementation
of
measures
until
near
the
attainment
date
may
result
in
reclassification
to
the
next
higher
category
because
emissions
reductions
would
not
have
come
in
time
to
produce
timely
attainment
of
the
ozone
standard.
Any
regulations
required
to
achieve
the
annual
reductions
necessary
to
attain
the
standard
must
be
submitted
with
the
control
strategy
by
November
15,
1994.

A
nonattainment
area
can
achieve
less
than
the
3
percent
per
year
required
reductions
if
the
State
can
demonstrate
that
the
plan
includes
all
measures
that
can
be
feasibly
implemented
in
the
area,
in
light
of
technological
achievability.
The
EPA
will
consider
on
an
area­
by­
area
basis
what
these
measures
may
be,
with
no
presumption
beyond
that
specifically
given
in
section
182(
c)(
2)(
B)(
ii),
which
states
that
to
qualify
for
a
less
than
3
percent
reduction
the
State
must
at
least
demonstrate
that
the
SIP
for
the
area
includes
all
measures
achieved
in
practice
by
sources
in
the
same
source
category
in
nonattainment
areas
of
the
next
higher
classification.
The
3
percent
per
year
requirement
cannot
be
waived
for
areas
classified
as
extreme.
A
determination
of
the
waiver
from
the
3
percent
per
year
requirement
will
be
reviewed
at
each
milestone
under
section
182(
g)
and
revised
to
reflect
the
availability
of
any
new
technologies
or
other
control
measures
for
sources
in
the
same
category.

By
meeting
the
specific
3
percent
reduction
requirements
discussed
above,
the
State
will
also
satisfy
the
general
RFP
requirements
of
section
172(
c)(
2)
for
the
time
period
discussed.

All
multi­
State
ozone
nonattainment
areas
should
refer
to
the
multi­
State
section
(
III.
A.
9)
for
further
instructions
on
coordination
of
SIP
revisions
and
on
the
development
of
the
attainment
demonstration.

(
g)
Milestone
compliance.
Serious
and
above
ozone
areas
must
show
that
they
did
achieve
their
rate
of
progress
emissions
reductions
(
called
milestones)
in
the
"
compliance
demonstrations"
required
by
section
182(
g)(
2).
These
demonstrations
are
due
90
days
after
each
milestone
was
to
have
been
achieved
and
shall
be
submitted
as
an
areawide
inventory
of
actual
emissions.
The
EPA
is
suggesting
that
the
States
synchronize
their
periodic
emissions
inventories
with
their
milestone
compliance
demonstrations
(
see
section
III.
A.
2.
of
this
preamble).
The
EPA
will
provide
further
guidance
on
acceptable
approaches
to
allow
for
synchronizing
periodic
emissions
inventories
and
milestone
demonstrations
so
as
to
meet
the
90­
day
requirement.
Consistent
with
the
tracking
provisions
discussed
in
section
III.
A.
3.(
c),
the
submittals
for
serious
and
above
areas
due
by
November
15,
1994,
must
contain
annual
projections
of
control
measure
implementation
and
emissions
reductions
to
occur
from
November
15,
1996
until
the
attainment
date.

(
h)
Bump­
up
requirements.
As
discussed
in
section
III.
A.
2.(
i),
marginal,
moderate,
and
serious
areas
can
be
bumped
up
if
they
fail
to
attain.
Section
182(
g)
adds
additional
bump­
up
provisions
for
serious
and
severe
areas
that
miss
a
milestone.
Under
those
provisions,
such
areas
may
elect
to
bump
up
to
the
next
higher
classification
as
their
means
of
satisfying
the
milestone
requirements
(
see
discussion
in
section
III.
A.
4.(
i)).
The
States
with
serious
or
above
ozone
areas
must
submit
compliance
demonstrations
within
90
days
after
a
milestone
was
to
have
occurred,
and
EPA
must
determine
within
90
days
of
submittal
whether
the
States'
demonstrations
are
adequate
(
section
182(
g)).
The
milestones
are
essentially
the
emissions
reductions
required
by
section
182(
b)(
1)
and
(
c)(
2)(
B).
For
example,
serious
ozone
areas
must
demonstrate
that
they
have
achieved
the
15
percent
emissions
reductions
requirement
of
section
182(
b)(
1)
within
90
days
after
such
milestone
should
have
occurred
(
e.
g.,
90
days
after
November
15,
1996,
or
February
13,
1997).

Any
area
newly
classified
as
a
severe
ozone
nonattainment
area
due
to
bump­
up
provisions
or
reclassification
under
section
181(
b)
is
subject
to
the
reformulated
gasoline
program
under
section
211(
k).
The
effective
date
of
such
program
is
1
year
after
reclassification.

(
i)
Failure
to
meet
a
milestone
(
Economic
Incentive
Program).
Under
section
182(
g)(
3),
if
a
State
fails
to
submit
a
milestone
compliance
demonstration
for
any
serious
or
severe
area
as
required
by
section
182(
g)(
2),
the
State
shall
choose
from
three
options:
To
be
bumped
up
to
the
next
higher
classification,
to
implement
additional
measures
(
beyond
those
in
the
contingency
plan
which
will
already
be
triggered
and
implemented)
to
achieve
the
next
milestone,
or
to
adopt
an
economic
incentive
program
(
as
described
in
section
182(
g)(
4)).
Based
on
the
schedule
in
section
182(
g)(
3)
for
State
election,
EPA
review
of
election,
and
the
associated
SIP
revision
(
section
182(
g)(
3)),
the
time
available
to
develop
and
implement
required
additional
measures
or
an
economic
incentive
program
will
be
extemely
limited
if
the
State
waits
until
a
failure
occurs
to
initiate
the
program
of
choice.
Thus,
EPA
urges
States
to
initiate
program
development
as
soon
as
they
determine
that
a
failure
is
likely.
States
are
encouraged
to
consider
inclusion
of
economic
incentive
programs
where
appropriate
in
the
SIP
submission
due
3
or
4
years
after
enactment
to
be
of
use
in
meeting
the
first
milestone.
Submittal
at
that
time
would
be
more
likely
to
allow
for
sufficient
time
to
develop,
implement,
and
evaluate
the
effectiveness
of
the
program.
Economic
incentive
programs
are
discussed
in
more
detail
in
section
III.
G.
3.

(
j)
Enhanced
I/
M.
Section
182(
c)(
3)
requires
"
enhanced"
I/
M
programs
in
each
urbanized
area
of
serious
and
above
ozone
nonattainment
areas
as
defined
by
the
Bureau
of
Census,
with
1980
populations
of
200,000
or
more.
The
section
calls
for
EPA
to
establish
a
performance
standard
for
I/
M
that
programs
must
achieve,
and
also
sets
some
minimum
design
requirements.
The
Act
specifies
that
the
State
program
must
include,
at
a
minimum,
computerized
emissionsanalyzers,
on­
road
testing,
denial
of
waivers
for
warranted
vehicles
or
repairs
related
to
tampering,
a
$
450
cost
waiver
requirement
(
adjusted
annually
based
on
the
Consumer
Price
Index)
for
emissions­
related
repairs
not
covered
by
warranty,
enforcement
through
registration
denial
unless
an
existing
program
with
a
different
mechanism
can
prove
greater
effectiveness,
annual
inspection
unless
a
State
can
demonstrate
that
less
frequent
testing
is
equally
effective,
centralized
testing
unless
the
State
can
prove
decentralization
is
equally
effective,
and
inspection
of
the
emissions
control
diagnostic
system
(
when
required
by
the
Administrator).
In
addition,
each
State
must
report
biennially
to
EPA
on
emissions
reductions
achieved
by
the
program
In
some
cases,
areas
may
have
become
newly
subject
to
both
basic
and
enhanced
I/
M
requirements
at
the
time
of
enactment,
with
the
basic
I/
M
requirements
due
shortly
prior
to
the
deadline
for
submission
of
the
SIP
revision
providing
for
the
enhanced
I/
M
program.
In
such
cases,
EPA
regards
enhanced
I/
M
requirements
as
superseding
the
basic
I/
M
requirements,
and
therefore
will
not
require
the
submission
of
the
basic
I/
M
requirements
discussed
previously.
The
EPA
will,
under
section
182(
i),
require
SIP
revisions
to
provide
for
an
enhanced
I/
M
program
within
2
years
in
areas
newly
subject
to
this
requirement
in
the
future
as
a
result
of
redesignation
or
reclassification
to
serious
or
worse
ozone
nonattainment.

The
SIP's
for
enhanced
I/
M
programs
are
due
no
later
than
November
15,
1992.
In
the
event
that
EPA's
enhanced
I/
M
performance
standard
is
not
finalized
soon
enough
to
provide
sufficient
time
for
full
SIP
development,
EPA
will
use
its
authority
under
section
110(
k)(
4)
to
conditionally
approve
SIP
submittals
committing
to
adopt
enforceable
enhanced
I/
M
programs
consistent
with
EPA's
guidance.
The
guidance
will
cover
the
elements
of
a
full
SIP.
The
SIP
must
demonstrate
that
the
I/
M
program
will
be
operated
until
the
area
is
redesignated
to
attainment
based
on
EPA's
approval
of
a
section
175A
maintenance
plan
without
an
enhanced
I/
M
program.

As
mandated
by
section
202(
m),
the
Administrator
will
promulgate
regulations
requiring
manufacturers
to
install
diagnostic
systems
on
all
new
light­
duty
vehicles
and
light­
duty
trucks.
The
purpose
of
these
systems
is
to
identify
and
track
emission­
related
systems
deterioration
or
malfunction.
According
to
section
202(
m)(
3),
within
2
years
of
EPA's
promulgating
regulations
requiring
them
to
do
so,
all
States
with
I/
M
programs
must
amend
their
SIP
to
provide
for
inspection
of
these
onboard
diagnostics
systems.
The
EPA
will
issue
revised
guidance
which
addresses
onboard
diagnostic
inspections.

(
k)
Clean­
fuel
vehicle
program­­(
1)
Schedule.
The
statute
contains
in
sections
182(
c)(
4)
and
246
certain
SIP
requirements
for
areas
classified
as
serious
or
above
ozone
nonattainment
(
based
on
1987,
1988,
and
1989
calendar
year
data)
and
with
a
1980
population
of
250,000
or
more.
According
to
these
requirements,
SIP
provisions
for
implementing
the
clean­
fuel
vehicle
program
for
centrally
fueled
fleet
vehicles
prescribed
in
title
II,
part
C,
must
be
submitted
to
EPA
by
May
15,
1994.
Areas
with
a
1980
population
of
250,000
or
more
that
are
reclassified
at
some
future
date
as
serious
or
above
ozone
nonattainment
areas
must
also
submit
such
revisions
within
1
year
of
classification.
The
Administrator
may
adjust
the
compliance
deadlines
for
newly
classified
areas
where
compliance
with
the
deadlines
would
be
infeasible.

(
2)
Clean­
fuel
fleet
program.
The
programs
must
require
a
specified
percentage
of
certain
fleet
vehicles
purchased
in
model
year
1998
and
thereafter
to
be
clean­
fuel
vehicles
and
use
clean
alternative
fuels
when
operating
in
the
area.
For
light­
duty
vehicles
and
light­
duty
trucks,
the
required
percentage
must
be
30
percent
in
1998,
50
percent
in
1999,
and
70
percent
in
2000
and
thereafter.
For
heavy­
duty
trucks,
the
percentage
must
be
50
percent
in
each
such
year.
Light­
duty
vehicles
and
light­
duty
trucks
in
fleets
participating
in
this
program
for
the
above
model
years
must
meet
the
low
emissions
vehicle
(
LEV)
standards
for
model
year
2001.
Fleet
phase­
in
requirements
for
light­
duty
vehicles
and
light­
duty
trucks
(
6,000
pounds
Gross
Vehicle
Weight
Rating
(
GVWR)
or
less)
depend
on
the
availability
of
qualifying
vehicles
in
California
by
1998
to
2000.
If
such
vehicles
are
not
available
in
California
in
advance
of
model
year
2001,
the
phase­
in
schedules
for
these
vehicles
will
be
delayed
accordingly.

Some
of
the
major
program
requirements
include:
Requirements
for
fuel
providers
to
make
clean
alternative
fuel
available
to
fleet
operators;
coverage
of
Federal
fleets
(
except
for
certain
vehicles
certified
by
the
Secretary
of
Defense
as
needing
an
exemption
based
on
national
security
grounds);
provisions
for
issuing
credits,
consistent
with
EPA
regulations
due
1
year
from
enactment,
for
purchasing
more
vehicles
than
required
or
vehicles
that
meet
more
stringent
standards
or
for
purchasing
vehicles
prior
to
the
effective
date
of
the
program.
Such
credits
may
be
banked
and
traded
within
the
same
nonattainment
area;
credits
may
not
be
traded
between
light­
duty
and
heavy­
duty
vehicle
classes.

The
Administrator
will
promulgate
rules
under
section
246(
h)
to
ensure
that
certain
TCM's
that
restrict
vehicle
usage
based
on
time­
of­
day
or
day­
of­
week
consideration
will
not
apply
to
any
vehicles
that
comply
with
the
fleet
program
requirements,
notwithstanding
the
relevant
provisions
of
title
I.

Additional
information
on
the
requirements
for
clean­
fuel
vehicle
fleet
programs
for
serious
CO
nonattainment
areas
is
found
in
clean­
fuel
vehicle
fleet
program,
section
III.
B.
3.(
c).

(
3)
Substitutes
for
the
clean­
fuel
program.
Each
State
subject
to
the
fleet
program
may
submit
a
SIP
revision
by
November
15,
1992,
consisting
of
fully
adopted
control
measures
as
a
substitute
for
all
or
a
portion
of
the
clean­
fuel
vehicle
program
required
by
section
246.
The
substitute
measures
must
demonstrate
to
the
satisfaction
of
the
Administrator
that
the
long­
term
reductions
in
air
emissions
of
ozone
precursors
and
toxic
substances
are,
at
a
minimum,
equal
to
those
that
would
be
achieved
under
the
clean­
fuel
vehicle
program,
or
a
percentage
thereof
which
would
be
attributed
to
the
portion
of
the
program
for
which
the
revision
is
to
substitute.
Substitute
measures
may
not
include
any
measures
otherwise
required
by
the
Act;
however,
they
would
count
toward
the
rate
of
reduction
requirements
(
i.
e.,
15
percent).

(
l)
California
Pilot
Test
Program.
By
November
15,
1992,
California
must
submit
a
SIP
revision
requiring
that
sufficient
clean
alternative
fuel
be
produced
and
distributed
in
California
to
support
the
title
II,
part
C,
section
249(
c)
mandatory
clean­
fuel
vehicle
pilot
program,
which
begins
in
model
year
1996.
Sufficient
fuel
to
allow
all
vehicles
required
under
the
program
to
operate
exclusively,
to
the
maximum
extent
practicable,
on
clean
alternative
fuel
while
operating
in
California
(
section
249(
c))
must
be
available.
The
revision
must
require
an
adequate
number
of
supply
locations
that
are
sufficiently
distributed
to
ensure
convenient
refueling
of
such
vehicles.
The
revision
must
apply
to
all
classifications
of
nonattainment
areas
as
well
as
to
attainment
areas
within
California.

Although
EPA,
in
its
April
1991
report
on
"
Getting
Started
on
title
I,"
indicated
that
California
could
opt
out
of
the
California
pilot
program,
EPA
now
believes
that
such
a
procedure
is
not
contemplated
under
section
182(
c)(
4)(
B),
which
provides
for
opt
out
of
clean
fuel
vehicle
programs
in
certain
circumstances.
That
is
because
the
part
of
the
California
pilot
program
under
which
vehicle
manufacturers
will
be
required
to
produce
and
sell
clean­
fuel
vehicles
is
a
mandatory
Federal
program
administered
by
EPA;
unlike
the
clean­
fuel
fleet
program,
it
is
not
a
SIP­
based
program
that
depends
on
the
existence
of
SIP
revisions
for
its
implementation.
Moreover,
while
California
is
to
implement
the
fuel
availability
aspects
of
the
program
through
SIP
revisions,
it
would
deprive
the
Federal
program
of
its
effectiveness
if
California
could
opt
out
of
the
fuel
availability
aspects
of
the
program.
The
clean­
fuel
vehicles
required
under
the
program
would
not
be
assured
of
having
the
necessary
fuels
on
which
to
operate.
The
conclusion
that
California
should
not
be
able
to
opt
out
of
the
fuel
availability
aspects
of
the
pilot
program
is
buttressed
by
section
249(
c)(
2)(
F),
which
requires
EPA
to
establish
Federal
fuel
availability
requirements
for
California
under
its
section
110(
c)
FIP
authority,
if
California
fails
to
submit
a
SIP
revision
that
satifies
the
fuel
availability
requirements
of
section
249(
c)(
2).

Section
249(
f)
provides
that
any
serious,
severe,
or
extreme
ozone
nonattainment
area
outside
of
California
may
opt
in
to
the
pilot
program
by
submitting
a
SIP
revision
to
EPA
that
provides
incentives
for
selling
or
using
the
clean­
fuel
vehicles
and
clean
alternative
fuels
as
mandated
in
the
California
program.
Such
revisions
must
comply
with
EPA
regulations
to
be
promulgated
within
2
years
of
enactment
and
may
not
take
effect
until
1
year
after
a
State
has
notified
vehicle
manufacturers
and
fuel
suppliers
of
such
requirements.
The
incentives
may
include
a
registration
fee
on
non­
clean
fuel
vehicles,
provisions
to
exempt
clean
fuel
vehicles
from
certain
TCM's,
or
preferential
parking
provisions
for
clean­
fuel
vehicles.
The
revisions
may
not
include
any
production
or
sales
mandates
for
clean­
fuel
vehicles
or
clean
alternative
fuels
and
may
not
provide
sanctions
or
penalties
for
failure
to
produce
or
sell
such
vehicles
or
fuels.
The
incentives
may
not
apply
to
fleet
vehicles
covered
by
the
clean­
fuel
vehicle
fleet
program.

(
m)
Gasoline
vapor
recovery.
The
Administrator
may
by
rule
revise
or
waive
the
section
182(
b)(
3)
requirements
for
stationary
source
gasoline
vapor
recovery
for
serious,
severe,
or
extreme
areas,
if
the
Administrator
determines
that
onboard
emissions
control
systems
are
in
widespread
use
throughout
the
motor
vehicle
fleet.
The
EPA
will
address
this
provision
in
a
separate
Federal
Register
notice
concerning
section
202(
a)(
6).

(
n)
Transportation
controls.
Section
182(
c)(
5)
requires
that
beginning
6
years
after
enactment
and
at
3­
year
intervals
thereafter,
serious
areas
must
submit
a
demonstration
of
whether
current
aggregate
vehicle
mileage,
aggregate
vehicle
emissions,
congestion
levels,
and
other
relevant
parameters
are
consistent
with
those
used
for
the
area's
demonstration
of
attainment.
If
the
levels
projected
in
the
attainment
demonstration
are
in
fact
exceeded,
the
State
has
18
months
to
develop
and
submit
a
revision
of
the
applicable
implementation
plan.
This
plan
must
include
a
TCM
program
consisting
of
measures
from,
but
not
limited
to,
section
108(
f)
that,
in
combination
with
other
mobile
source
measures,
will
reduce
emissions
to
levels
that
are
consistent
with
emissions
levels
projected
in
the
attainment
demonstration.
Areas
could
alternatively
submit
a
new
attainment
demonstration
accounting
for
the
increased
vehicle
emissions
projections.
The
EPA
will
release
an
update
of
"
Transportation­­
Air
Quality
Planning
Guidelines"
in
June
1992
and
several
TCM
information
documents
which
will
address
the
section
108(
f)
measures.

It
is
important
to
note
that
nonattainment
areas
are
not
locked
into
the
estimates
of
future
emissions
given
in
the
initial
SIP
submittal.
At
any
time
before
an
area
reaches
attainment,
the
State
can
amend
the
area's
SIP
to
get
a
greater
reduction
from
nonvehicle
sources.
This
change
would
have
the
effect
of
increasing
the
motor
vehicle
emissions
allowed
at
the
next
milestone
date.

(
o)
Reformulated
gasoline
for
conventional
vehicles.
The
EPA
expects
to
promulgate
regulations
this
year
prohibiting
the
sale
of
gasoline
that
has
not
been
reformulated
to
be
less
polluting
("
conventional
gasoline").
Under
section
211(
k)(
10)(
D),
the
prohibition
is
to
apply
in
the
nine
areas
having
the
highest
ozone
design
value
during
the
1987­
1989
period
and
with
1980
populations
over
250,000,
and
within
1
year,
to
any
area
reclassified
as
a
severe
ozone
nonattainment
area.
The
effective
date
for
the
prohibition
against
the
sale
of
conventional
gasoline
in
these
nonattainment
areas
in
January
1,
1995.
The
prohibition
may
be
extended
to
any
marginal,
moderate,
serious,
or
severe
ozone
nonattainment
area
at
the
request
of
the
Governor
of
the
State
in
which
the
area
is
located.
Upon
receiving
a
Governor's
application,
the
Administrator
will
apply
the
prohibitions
set
forth
in
section
211(
k)(
5)
against
the
sale
or
dispensing
of
conventional
gasoline
in
the
"
opt­
in"
area
effective
no
later
than
January
1,
1995,
or
1
year
after
the
application
is
received,
whichever
is
later.
The
effective
date
of
the
prohibition
in
the
opt­
in
area
may
be
extended
by
1
year
up
to
three
times
by
the
Administrator
if
he
finds
that
there
is
insufficient
domestic
capacity
to
produce
enough
reformulated
gasoline
for
all
areas
in
which
conventional
gasoline
is
to
be
prohibited.
The
Administrator
must
make
such
extensions
for
areas
with
lower
classifications
before
making
them
for
areas
with
higher
classifications.

(
p)
Contingency
provisions.
For
serious
areas
as
required
by
sections
172(
c)(
9)
and
182(
c)(
9),
the
contingency
measures
could
be
additional
measures
not
already
adopted
to
meet
the
RFP
or
other
requirements,
or
the
accelerated
implementation
of
measures
already
planned
to
meet
a
future
milestone
(
see
section
III.
A.
3.(
c)
for
additional
discussion
of
contingency
measures).
In
the
second
case,
the
State
would
have
to
adopt
additional
measures
to
backfill
the
SIP
with
replacement
measures
to
replace
those
that
were
previously
used
as
early­
implementation
contingency
measures,
and
to
assure
the
continuing
adequacy
of
the
contingency
program.

The
contingency
measures
for
serious
and
above
ozone
nonattainment
areas
are
required
by
section
182(
c)(
9)
to
be
adequate
to
correct
any
shortfall
in
meeting
an
emissions
reductions
milestone
(
e.
g.,
the
3
percent
reduction
required
by
late
1999)./
6/
This
requirement
presents
the
problem
mentioned
above
as
to
the
moderate
area
contingency
requirement
(
it
is
difficult
to
predict
how
much
shortfall
an
area
will
face
at
a
milestone
and
hence
how
much
extra
reduction
its
contingency
measures
should
provide
for,
and
it
would
be
unreasonable
to
require
the
State
to
submit
contingency
measures
adequate
to
address
a
hypothetical
100
percent
shortfall­­
i.
e.,
submit
contingency
measures
that
essentially
double
what
the
basic
progress
demonstration
provides).
The
solution
to
the
problem
of
setting
the
appropriate
level
of
contingency
measures
described
in
section
III.
A.
3.(
c)
(
as
to
contingency
measures
for
areas
subject
to
the
15
percent
reduction
requirement)
would
also
apply
to
serious
and
above
areas
preparing
contingency
measures
as
to
post­
1996
emissions­
reductions
milestones.

NOTE
/
6/
If
the
strategy
for
an
area
relies
on
NOx
substitution
in
lieu
of
or
in
addition
to
VOC
reductions,
the
State
should
also
submit
NOx
contingency
measures
as
necessary
to
meet
the
3
percent
requirement.
(
q)
Long­
term
measures.
The
EPA
recognizes
that
some
serious
ozone
nonattainment
areas
(
and
perhaps
areas
with
long­
term
attainment
dates
for
other
pollutants)
will
have
such
large
emissions
reduction
requirements
that
identifying,
developing,
and
adopting
in
final
form
the
control
measures
that
represent
the
areas
preferred
strategy
for
their
demonstrations
of
attainment
may
present
an
unreasonable
burden.
The
EPA
believes
that
these
areas
may
need
additional
time
to
fully
develop
and
adopt
certain
"
long­
term"
measures
that
would
be
the
preferred
means
to
reach
attainment.
These
measures
would
include
those
that
require
complex
analyses
and
decisionmaking
and
coordination
among
a
number
of
government
agencies.

The
EPA
intends
to
allow
these
areas
reasonable
additional
time
to
complete
full
development
and
adoption
under
the
following
conditions:
(
1)
The
plan
containing
the
demonstration
of
attainment
must
identify
each
measure
for
which
additional
time
would
be
needed
for
full
development
and
adoption.

(
2)
The
plan
must
show
that
the
long­
term
measures
cannot
be
fully
developed
and
adopted
by
the
submittal
date
for
the
attainment
demonstration.

(
3)
The
plan
must
contain
an
enforceable
commitment
by
the
relevant
agency
that
development
and
adoption
will
occur
on
an
expeditious
schedule
to
achieve
specified
emissions
reductions
from
each
long­
term
measure
for
each
year
through
the
attainment
year.

(
4)
The
plan
must
contain
"
backstop"
measures
that
would
be
implemented
to
achieve
equivalent
emissions
reductions
unless
the
long­
term
measure
is
adopted
on
schedule.

(
5)
The
long­
term
measures
must
not
be
needed
to
meet
any
emissions
reduction
requirement
during
the
first
6
years
after
enactment.

The
"
backstop"
measures
required
under
condition
4
must
be
submitted
with
the
1994
attainment
demonstration
in
fully
adopted
form.
The
"
backstop"
measures
must
be
designed
to
go
into
effect
automatically
on
a
schedule
sufficient
to
achieve
all
of
the
reductions
identified
with
each
long­
term
measure
for
each
year
through
the
attainment
year.
The
"
backstop"
measures
may
represent
broad,
across­
the­
board
reductions
in
emissions,
rather
than
thoroughly
analyzed
and
developed
control
measures.
For
this
reason,
EPA
does
not
anticipate
the
actual
implementation
of
"
backstop"
measures
in
most
cases
as
States
will
have
ample
opportunity
to
submit
SIP
revisions
incorporating
the
fully
developed
long­
term
measures
and
deleting
the
"
backstop"
measures
from
the
SIP.
Additionally,
if
a
long­
term
measure
cannot
be
developed,
then
that
State
has
the
option
to
submit
a
SIP
revision
identifying
a
fully
developed
and
adopted
alternative
measure
to
replace
the
original
long­
term
measure
prior
to
any
necessary
implementation
of
"
backstop"
measures.

Thus,
a
State
may
find
that
progress
can
be
achieved
with
measures
that
are
fully
developed
by
the
1994
SIP
submittal
date.
However,
the
State
may
determine
that
expeditious
attainment
of
the
NAAQS
is
impossible
unless
the
SIP
also
includes
measures
which
cannot
be
fully
developed
until
after
the
1994
SIP
is
due.
In
its
1994
SIP
submittal,
the
State
must
clearly
describe
each
of
these
long­
term
measures
and
show
that
each
measure
cannot
be
fully
developed
and
adopted
until
a
specified
future
date,
despite
expeditious
implementation
efforts.
The
1994
SIP
must
include
with
each
long­
term
measure
an
enforceable
schedule
binding
responsible
agencies
to
achieve
identified
emissions
reductions
from
each
measure.

Along
with
these
provisions,
the
State's
1994
SIP
submittal
must
include
"
backstop"
measures.
The
"
backstop"
measures
must
be
fully
adopted
and
scheduled
for
implementation
to
achieve
reductions
equivalent
to
those
assigned
each
year
by
the
long­
term
measures.
When
each
long­
term
measure
is
fully
developed,
it
must
be
submitted
to
EPA
as
a
SIP
amendment.
This
amendment
would
also
propose
deletion
of
the
associated
"
backstops."
The
EPA's
approval
of
the
long­
term
measures
would
also
rescind
from
the
SIP
the
"
backstop"
measures.

5.
Severe
Areas
Severe
areas
are
required
to
meet
all
serious
area
requirements
/
7/,
unless
otherwise
noted,
as
well
as
the
following
additional
requirements.

NOTE
/
7/
See
discussion
under
section
III.
A.
3.
f
("
RFP
Demonstration,"
Serious
Areas)
regarding
the
adoption
of
long­
term
measures
in
severe
areas.

(
a)
Major
stationary
source
definition.
For
ozone
nonattainment
areas
classified
as
severe,
the
terms
"
major
source"
and
"
major
stationary
source,"
for
purposes
of
the
NSR
program
and
the
RACT
requirement
for
major
non­
CTG
sources,
include
any
stationary
source,
or
group
of
sources,
located
within
a
contiguous
area
and
under
common
control
that
emits
or
has
the
potential
to
emit
at
least
25
tons
per
year.

(
b)
RACT.
Section
182(
d)
requires
that
the
same
RACT
requirements
apply
to
severe
areas
as
apply
to
serious
areas.
Moreover,
as
in
serious
areas,
the
lower
applicability
cutoff
for
major
non­
CTG
sources
would
result
in
the
need
for
additional
non­
CTG
RACT
rules
in
cases
where
no
existing
CTG
applies
to
a
source
in
the
area
emitting
25
tons
per
year,
or
an
existing
CTG
for
the
source
category
subject
to
a
25­
tons­
per­
year
cutoff
applies
only
to
sources
above
a
higher
cutoff.
Rules
for
these
sources
would
be
subject
to
the
same
schedule
and
requirements
of
non­
CTG
RACT
specified
by
section
182(
b)(
2)(
C)
(
i.
e.,
rules
are
due
by
November
15,
1992
for
major
sources
not
covered
by
an
existing
or
expected
CTG).

(
c)
NSR­­(
1)
Offset
ratio.
For
the
purpose
of
satisfying
the
emissions
offset
reduction
requirements
of
section
173(
a)(
1)(
A),
the
emissions
offset
ratio
is
the
ratio
of
total
actual
emissions
reductions
to
total
allowable
increased
emissions
from
the
new
or
modified
source.
For
severe
ozone
nonattainment
areas,
the
emissions
offset
ratio
is
at
least
1.3
to
1
unless
the
SIP
requires
all
existing
major
sources
in
the
nonattainment
area
to
use
BACT,
as
defined
in
section
169(
3).
In
this
case,
the
ratio
shall
be
at
least
1.2
to
1.

(
d)
TCM's
to
offset
growth
in
emissions
from
growth
in
VMT.
Section
182(
d)(
1)(
A),
VMT,
applies
to
severe
ozone
nonattainment
areas.
This
section
requires
that
States
submit
revisions
to
their
SIP's
by
November
15,
1992
that
identify
and
adopt
"
specific
and
enforceable
transportation
control
strategies
and
TCM's
to
offset
any
growth
in
emissions
from
growth
in
VMT
and
numbers
of
vehicle
trips"
and
to
achieve
reductions
in
mobile
source
emissions
as
necessary
in
conjunction
with
other
measures
to
comply
with
the
periodic
emissions
reduction
and
attainment
requirements
of
the
CAAA.
When
projecting
motor
vehicle
emissions
for
this
SIP
revision,
States
should
use
the
same
procedures
as
given
in
EPA's
"
Section
187
VMT
Forecasting
and
Tracking
Guidance"
for
serious
CO
nonattainment
areas
which
will
be
published
separately.
The
use
of
this
guidance
is
limited
to
projecting
motor
vehicle
emissions;
the
information
on
the
reporting
requirements
for
serious
CO
areas
is
not
applicable.

The
TCM
offset
provisions
apply
only
to
emissions
of
VOC's.
In
developing
their
progress
and
attainment
strategies,
however,
States
may
wish
to
adopt
similar
offset
goals
for
NOx
emissions
from
mobile
sources,
in
cases
where
NOx
reductions
are
beneficial
to
attainment.

Section
182(
d)(
1)(
A)
also
requires
States
to
choose
and
implement
such
measures
as
are
specified
in
section
108(
f),
to
the
extent
needed
to
demonstrate
attainment.
In
selecting
the
measures,
Congress
directed
that
States
"
should
ensure
adequate
access
to
downtown,
other
commercial,
and
residential
areas
and
should
avoid
measures
that
increase
or
relocate
emissions
and
congestion
rather
than
reduce
them."
In
order
to
avoid
future
SIP
deficiencies,
findings
of
nonimplementation,
and
mandatory
sanctions,
EPA
encourages
States
to
select
realistic
TCM's.
As
part
of
this
effort,
States
should
establish
aggregate
targets
for
implementation
where
the
TCM
involves
actions
by
numerous
local
jurisdictions
unless
the
State
has
obtained,
in
advance,
binding
implementation
commitments
from
all
responsible
jurisdictions.

The
EPA
interprets
this
provision
to
require
that
sufficient
measures
be
adopted
so
that
projected
motor
vehicle
VOC
emissions
will
never
be
higher
during
the
ozone
season
in
one
year
that
during
the
ozone
season
in
the
year
before.
When
growth
in
VMT
and
vehicle
trips
would
otherwise
cause
a
motor
vehicle
emissions
upturn,
this
upturn
must
be
prevented.
The
emissions
level
at
the
point
of
upturn
becomes
a
ceiling
on
motor
vehicle
emissions.
This
requirement
applies
to
projected
emissions
in
the
years
between
the
submission
of
the
SIP
revision
and
the
attainment
deadline
and
is
above
and
beyond
the
separate
requirements
for
the
RFP
and
the
attainment
demonstrations.
Which
requirements
will
be
more
constraining
in
an
area
may
vary
with
time,
with
the
areas's
mix
of
sources,
and
with
control
measures
adopted
for
other
sources.
Reductions
from
any
discretionary
measures
adopted
to
satisfy
this
provision
are
creditable
to
the
RFP
requirements.

While
the
above
requirement
is
simple
in
concept,
its
application
could
encourage
areas
to
delay
VMT
or
emissions
reduction
measures
suitable
for
use
as
offsets
until
the
trend
in
motor
vehicle
emissions
reaches
its
minimum
point
and
is
about
to
turn
upwards.
This
incentive
for
delay
would
exist
because
earlier
implementation
would
bring
the
trend
to
a
lower
minimum,
but
would
not
change
the
date
when
the
trend
line
began
to
increase.
Later
implementation
would,
however,
delay
the
date
when
the
trend
line
would
increase.
To
implement
the
VMT
offset
provision
while
avoiding
this
counterproductive
incentive
for
delay,
EPA
has
developed
the
approach
described
below.

If
projected
total
motor
vehicle
emissions
during
the
ozone
season
in
one
year
are
not
higher
than
during
the
ozone
season
the
year
before,
given
the
control
measures
in
the
SIP,
the
VMT
offset
requirement
is
satisfied.
However,
if
the
State
plans
to
implement
control
measures
over
and
above
those
specifically
required
by
the
Act
and
those
required
to
demonstrate
RFP
and
attainment
earlier
than
would
be
necessary
and
sufficient
to
prevent
an
emissions
upturn,
a
projected
subsequent
growth­
related
increase
to
the
level
of
emissions
that
would
occur
if
these
measures
were
scheduled
later
will
not
be
considered
to
violate
the
requirement
to
offset
emissions
increases
due
to
growth
in
VMT
or
vehicle
trips.
The
latter
situation
should
be
viewed
as
a
temporary
reduction
in
emissions
to
a
level
below
that
required
by
the
provision
rather
than
an
increase
above
the
required
level,
with
no
effect
on
emissions
at
or
after
the
point
at
which
offsetting
measures
become
essential
to
compliance.

The
EPA
will
approve
a
SIP
revision
as
meeting
this
provision
despite
a
forecasted
upturn
in
vehicle
emissions,
as
long
as
motor
vehicle
VOC
emissions
in
the
ozone
season
of
a
given
year
do
not
exceed
a
ceiling
level
which
reflects
a
hypothetical
strategy
of
implementing
otherwise
specifically
required
measures
on
schedule
and
saving
offset
measures
until
the
point
at
which
VMT
growth
would
otherwise
cause
an
emission
upturn.
The
ceiling
level
is
therefore
defined
(
up
to
the
point
of
upturn)
as
motor
vehicle
emissions
that
would
occur
in
the
ozone
season
of
that
year,
with
VMT
growth,
if
all
measures
for
that
area
in
that
year
were
implemented
as
required
by
the
Act.
When
this
curve
begins
to
turn
up
due
to
growth
in
VMT
or
vehicle
trips,
the
ceiling
becomes
a
fixed
value.
The
ceiling
line
would
include
the
effects
of
Federal
measures
such
as
new
motor
vehicle
standards,
Phase
II
RVP
controls,
and
reformulated
gasoline,
as
well
as
Clean
Air
Act­
mandated
SIP
requirements
such
as
enhanced
I/
M,
the
fleet
clean­
fuel
vehicle
program,
and
the
employer
trip
reduction
program.
The
ceiling
line
would
also
include
the
effect
of
forecasted
growth
in
VMT
and
vehicle
trips
in
the
absence
of
new
discretionary
measures
to
reduce
them.
The
ceiling
line
must,
in
combination
with
projected
emissions
from
nonvehicle
sources,
satisfy
the
RFP
requirements
for
the
area.
Any
VMT
reduction
measures
or
other
actions
to
reduce
motor
vehicle
emissions
adopted
since
November
15,
1990
and
not
specifically
required
for
the
area
by
another
provision
of
the
Act
would
not
be
included
in
the
calculation
of
the
ceiling
line.

Forecasted
motor
vehicle
emissions
must
be
held
at
or
below
the
minimum
level
of
the
ceiling
line
after
the
ceiling
line
reaches
its
minimum
level.
If
an
area
implements
offset
measures
early,
the
forecasted
emissions
will
be
less
than
the
ceiling
line,
and
forecasted
motor
vehicle
emissions
could
increase
from
one
year
to
the
next,
as
long
as
forecasted
emissions
never
exceed
the
ceiling
line.

The
EPA
has
received
comment
indicating
that
section
182(
d)(
1)(
A)
should
be
interpreted
to
require
areas
to
offset
any
growth
in
VMT
above
1990
levels,
rather
than
offsetting
VMT
growth
only
when
such
growth
leads
to
actual
emissions
increases.
Under
this
approach,
areas
would
have
to
offset
VMT
growth
even
while
vehicle
emissions
are
declining.
Proponents
of
this
interpretation
cite
language
in
the
House
Committee
Report
which
appears
to
support
the
interpretation.
The
report
states
that
"(
t)
he
baseline
for
determining
whether
there
has
been
growth
in
emissions
due
to
increased
VMT
is
the
level
of
vehicle
emissions
that
would
occur
if
VMT
held
constant
in
the
area."
(
H.
R.
No.
101­
490,
part
1,
101st
Cong.
2d
Sess.,
at
242.)
Although
the
statutory
language
could
be
read
to
require
offsetting
of
any
VMT
growth,
EPA
believes
that
the
language
can
also
be
read
so
that
only
actual
emissions
increases
resulting
from
VMT
growth
need
to
be
offset.
The
statute
by
its
own
terms
requires
offsetting
of
"
any
growth
in
emissions
from
growth
in
VMT."
It
is
reasonable
to
interpret
this
language
as
requiring
that
VMT
growth
must
be
offset
only
where
such
growth
results
in
emissions
increases
from
the
motor
vehicle
fleet
in
the
area.

While
it
is
true
that
the
language
of
the
H.
R.
101­
490
appears
to
support
the
alternative
interpretation
of
the
statutory
language,
such
an
alternative
interpretation
would
have
drastic
implications
for
many
of
the
areas
subject
to
this
provision.
Since
VMT
is
growing
at
rates
as
high
as
4
percent
per
year
in
some
cities
such
as
Los
Angeles,
these
cities
would
have
to
impose
draconian
TCM's
such
as
mandatory
no­
drive
restrictions,
to
fully
offset
the
effects
of
increasing
VMT
if
the
areas
where
forced
to
ignore
the
beneficial
impacts
of
all
vehicle
tailpipe
and
alternative
fuel
controls.

Although
the
original
authors
of
the
provision
and
H.
R.
101­
490
may
in
fact
have
intended
this
result,
EPA
does
not
believe
the
Congress
as
a
whole,
or
even
the
full
House
of
Representatives,
believed
at
the
time
it
voted
to
pass
the
CAAA
that
the
words
of
this
provision
would
impose
such
severe
restrictions.
There
is
no
further
legislative
history
on
this
aspect
of
the
provision;
it
was
not
discussed
at
all
by
any
member
of
the
Congress
during
subsequent
legislative
debate
and
adoption.

Given
the
susceptibility
of
the
statutory
language
to
these
two
alternative
interpretations,
EPA
believes
that
it
is
the
Agency's
role
in
administering
the
statute
to
take
the
interpretation
most
reasonable
in
light
of
the
practical
implications
of
such
interpretation,
taking
into
consideration
the
purposes
and
intent
of
the
statutory
scheme
as
a
whole.
In
the
context
of
the
intricate
planning
requirements
Congress
established
in
title
I
to
bring
areas
towards
attainment
of
the
ozone
standard,
and
in
light
of
the
absence
of
any
discussion
of
this
aspect
of
the
VMT
offset
provision
by
the
Congress
as
a
whole
(
either
in
floor
debate
or
in
the
Conference
Report),
EPA
concludes
that
the
appropriate
interpretation
of
section
182(
d)(
1)(
A)
requires
offseting
VMT
growth
only
when
such
growth
would
result
in
actual
emissions
increases.

Section
182(
d)(
1)(
A)
requires
that
specific,
enforceable
measures
selected
by
the
State
be
submitted
by
November
15,
1992,
along
with
a
demonstration
that
they
are
adequate
to
hold
vehicle
emissions
within
the
ceiling
described
above.
It
also
states
that
these
measures,
beyond
offsetting
growth
in
emissions,
shall
be
sufficient
to
allow
total
area
emissions
to
comply
with
the
RFP
and
attainment
requirements.
These
requirements
create
a
timing
problem
of
which
Congress
was
perhaps
not
fully
aware.
Ozone
nonattainment
areas
affected
by
this
provision
are
not
otherwise
required
to
submit
a
SIP
demonstration
which
predicts
attainment
of
the
1996
RFP
milestone
until
November
15,
1993,
and
likewise
are
not
required
to
demonstrate
post­
1996
RFP
and
attainment
until
November
15,
1994.
The
EPA
does
not
believe
that
Congress
intended
the
offset
growth
provision
to
advance
the
dates
for
these
broader
submissions.
Even
without
the
requirement
that
the
offset
growth
measures
be
sufficient
to
allow
overall
RFP
and
attainment
in
conjunction
with
other
measures,
EPA
believes
that
the
November
15,
1992
date
would
not
allow
sufficient
time
to
develop
a
set
of
measures
that
would
comply
with
the
offset
growth
provision
over
the
long
term.

To
deal
with
this
timing
problem
so
as
to
allow
a
more
coordinated
and
comprehensive
planning
process,
EPA
will
accept
committal
SIP
revisions
for
the
offset
growth
requirement
under
the
authority
of
section
110(
k)(
4).
This
will
allow
States
1
year
from
EPA
conditional
approval
of
the
committal
revision
to
submit
the
full
revision
containing
sufficient
measures
in
specific
and
enforceable
form.
This
may
not
stretch
the
effective
deadline
for
the
full
revision
dealing
with
the
post­
1996
period
all
the
way
to
November
15,
1994.
The
affected
States
may
need
to
submit
their
post­
1996
RFP
and
attainment
demonstrations
somewhat
earlier
than
nominally
required
by
the
provisions
establishing
the
requirements
for
those
demonstrations,
so
that
EPA
can
assess
the
adequacy
of
the
growth­
offsetting
measures
against
all
three
criteria
specified
by
the
1990
CAAA.
With
the
extra
time
allowed
through
the
use
of
a
committal
SIP
revision,
States
should
be
able
to
use
procedures
for
projecting
VMT
as
given
in
EPA
forecasting
and
tracking
guidance
for
serious
CO
areas.

(
e)
Employer
trip
reduction
program.
Section
182(
d)(
1)(
B)
requires
that
States
with
severe
and
extreme
ozone
nonattainment
areas
shall
submit
a
SIP
revision
requiring
employers
with
100
or
more
employees
in
such
areas
to
implement
programs
to
reduce
work­
related
vehicle
trips
and
miles
traveled
by
employees.
Guidance
on
the
implementation
of
the
employee
trip
reduction
program
will
be
provided
in
a
supplement
to
this
general
preamble.

6.
Extreme
Areas
Extreme
areas
are
required
to
meet
all
severe
area
requirements,
unless
otherwise
noted,
as
well
as
the
following
additional
requirements.

(
a)
Major
stationary
source
definition.
For
ozone
nonattainment
areas
classified
as
extreme,
the
terms
major
source
and
major
stationary
source,
for
purposes
of
the
NSR
program
and
the
RACT
requirement
for
major
non­
CTG
sources,
include
any
stationary
source,
or
group
of
sources,
located
within
a
contiguous
area
and
under
common
control
that
emits
or
has
the
potential
to
emit
at
least
10
tons
per
year.

(
b)
RACT.
Section
182(
e)
governs
extreme
areas.
In
these
areas,
the
same
RACT
requirements
apply
as
for
the
severe
ozone
nonattainment
areas.
However,
the
major
source
cutoff
for
non­
CTG
sources
is
reduced
to
10
tons
per
year.
As
in
the
other
areas,
this
lesser
cutoff
could
result
in
the
need
for
additional
non­
CTG
RACT
rules
in
cases
where
no
existing
CTG
applies
to
a
source
in
the
area
emitting
above
10
tons
per
year,
or
an
existing
CTG
for
the
source
category
subject
to
a
10­
ton­
per­
year
cutoff
applies
only
to
sources
above
a
higher
cutoff.
Rules
for
these
sources
would
be
subject
to
the
same
schedule
and
requirements
of
non­
CTG
RACT
specified
by
section
182(
b)(
2)(
c)
(
i.
e.,
rules
are
due
by
November
15,
1992
for
major
sources
not
covered
by
a
new
or
expected
CTG).

(
c)
NSR­­
(
1)
Offset
ratio.
For
the
purpose
of
satisfying
the
emissions
offset
reduction
requirements
of
section
173(
1)(
A),
the
emissions
offset
ratio
is
the
ratio
of
total
actual
emissions
reductions
to
total
increased
allowable
emissions
of
such
pollutant(
s)
from
the
new
or
modified
source.
For
an
extreme
ozone
nonattainment
area,
the
emissions
offset
ratio
is
at
least
1.5
to
1,
unless
the
State
requires
all
existing
major
sources
in
the
nonattainment
area
to
use
BACT
as
defined
in
section
169(
3),
in
which
case
the
emissions
offset
ratio
shall
be
at
least
1.2
to
1.

(
2)
Special
NSR
rules.
For
the
purposes
of
determining
the
applicability
of
the
NSR
permit
requirements
under
section
173(
a),
the
de
minimis
rule
in
section
182(
c)(
6)
and
the
special
rules
in
section
182(
c)
(
7)
and
(
8),
as
discussed
above
for
serious
and
severe
areas,
do
not
apply
in
extreme
ozone
nonattainment
areas.

(
3)
Modifications
in
extreme
areas.
For
modifications
of
major
stationary
sources
located
in
extreme
areas,
the
1990
CAAA
eliminate
the
concept
of
de
minimis
altogether
for
the
purposes
of
determining
a
major
modification.
New
section
182(
e)(
2)
provides
that
any
physical
change
of,
or
change
in
the
method
of
operation,
at
the
source
that
results
in
any
increase
in
emissions
from
any
discrete
operation,
unit,
or
other
pollutant­
emitting
activity
at
the
source
generally
must
be
considered
a
modification
subject
to
the
part
D
NSR
permit
requirements.

Section
182(
e)(
2)
does,
however,
provide
for
an
exemption
from
section
173(
a)(
1)
offset
requirements
if
the
owner
or
operator
of
the
major
stationary
source
agrees
to
offset
any
proposed
increase
by
a
greater
amount
of
onsite
reduction
in
emissions
from
other
discrete
operations,
units,
or
activities
at
an
internal
offset
ratio
of
1.3
to
1.
In
addition,
this
new
section
stipulates
that
the
offset
requirements
do
not
apply
in
extreme
areas
if
the
modification
consists
of
installing
equipment
required
to
comply
with
the
applicable
implementation
plan,
permit,
or
the
Act
itself.

(
d)
Clean
fuels
for
boilers.
Section
182(
e)(
3),
"
Use
of
Clean
Fuels
or
Advanced
Control
Technology,"
applies
to
certain
boilers
in
extreme
ozone
nonattainment
areas.
The
State
is
required
to
submit
a
SIP
revision
by
November
15,
1993
that
requires
affected
boilers
to
use
either
clean
fuels
or
advanced
control
technology
by
November
15,
1998.
Affected
boilers
are
individual
new,
modified,
or
existing
electric
utility,
industrial,
or
commercial/
institutional
boilers
that
emit
more
than
25
tons
per
year
of
Nox.
The
Act
specifies,
for
purposes
of
this
section,
that
clean
fuels
are
"
natural
gas,
methanol,
or
ethanol
(
or
a
comparably
low
polluting
fuel),"
advanced
control
technology
generally
means
"
catalytic
control
technology
or
other
comparably
effective
control
methods,"
and
the
clear
fuel
must
be
"
used
90
percent
or
more
of
the
operating
time."
A
boiler
should
generally
be
considered
as
any
combustion
equipment
used
to
produce
steam.
This
would
generally
not
include
a
process
heater
that
transfers
heat
from
combustion
gases
to
process
streams,
a
waste
heat
recovery
boiler
that
is
used
to
recover
sensible
heat
from
the
exhaust
of
process
equipment
such
as
a
combustion
turbine,
or
a
recovery
furnace
that
is
used
to
recover
process
chemicals.
Boilers
used
primarily
for
residential
space
and/
or
water
heating
are
not
affected
by
this
section.

Only
boilers
that
actually
emit
more
than
25
tons
per
year
of
NOx
are
affected.
Emissions
vary
from
year
to
year,
however,
making
applicability
difficult
to
determine.
Boilers
with
rated
heat
inputs
of
greater
than
10­
20
million
Btu
generally
have
the
potential
to
exceed
the
25­
tons­
per­
year
limit
depending
on
the
fuel
type.
A
source
with
these
high
rated
heat
inputs
should
therefore
be
considered
affected
unless
its
federally
enforceable
permit
specifically
restricts
NOx
emissions
below
25
tons
per
year
from
each
boiler.
Boilers
with
rated
heat
inputs
less
than
10
million
Btu
which
are
coal­
fired
and
less
than
15
million
Btu
which
are
oil­
or
gas­
fired,
may
be
considered
de
minimis
and
exempt
from
these
requirements
since
it
is
unlikely
that
they
will
exceed
the
emissions
limit,
and
those
few
that
do
will
emit
very
little
in
the
aggregate.
The
State
is
free
to
impose
more
stringent
requirements.

(
e)
TCM's
during
heavy
traffic
hours.
Section
182(
e)(
4)
(
in
Title
I)
authorizes
the
SIP's
for
extreme
areas
to
contain
provisions
establishing
TCM's
applicable
during
periods
of
heavy
traffic
that
reduce
the
use
of
high
polluting
or
heavy­
duty
vehicles.
The
section
states
that
this
authority
is
granted
notwithstanding
any
other
provision
of
law.

In
contrast,
section
246(
h)
requires
the
Administrator
to
promulgate
regulations
to
ensure
that
certain
TCM's
including
time­
of­
day
or
day­
of­
week
restrictions
and
similar
measures
that
restrict
vehicle
usage,
do
not
apply
to
any
clean­
fuel
vehicles
that
meet
the
requirements
of
the
title
II
clean­
fuel
vehicle
fleet
program.
That
section
states
that
it
applies
notwithstanding
title
I.

The
EPA
believes
that
these
two
provisions
can
be
harmonized
by
interpreting
section
246(
h)
as
allowing
only
regulations
that
impose
traffic
controls
on
vehicles
other
than
heavy­
duty,
clean­
fuel
fleet
vehicles.
The
EPA
believes
that
controlling
the
nonclean­
fuel,
heavy­
duty
fleet
vehicles
along
with
all
nonfleet,
heavy­
duty
vehicles
will
effectively
reduce
congestion
and
emissions
during
peak
traffic
conditions.
Sections
182(
e)(
4)
and
246(
h)
can
thus
be
harmonized
by
allowing
SIP's
for
extreme
areas
to
include
traffic
controls
on
high
polluting
and
most
heavy­
duty
vehicles,
but
not
on
heavy­
duty,
clean­
fuel
fleet
vehicles
that
have
been
exempted
under
EPA
regulations
promulgated
pursuant
to
section
246(
h).

The
EPA
intends
to
promulgate
its
regulations
on
the
fleet
program
transportation
control
exemptions
shortly.
These
regulations
will
address
the
eligibility
of
fleets
for
the
TCM
exemptions.
States
may
at
any
time
submit
TCM's
that
apply
to
high
polluting
or
heavy­
duty
vehicles
not
subject
to
the
clean­
fuel
fleet
program
in
extreme
areas
during
periods
of
heavy
traffic.

(
f)
New
technologies.
The
Act
recognizes
that
extreme
areas
may
have
to
rely
to
a
certain
extent
on
new
or
evolving
technologies
to
meet
certain
of
the
emissions
reduction
requirements.
The
relatively
long
time
between
developing
the
initial
SIP
and
attaining
the
NAAQS,
and
the
degree
of
emissions
reductions
needed
to
attain
the
standard,
guarantees
that
some
control
technologies
will
not
be
fully
demonstrated
by
the
time
of
SIP
development.
These
measures
would
include
those
that
may
anticipate
future
technological
developments
as
well
as
those
that
may
require
complex
analyses
and
decision
making
and
coordination
among
a
number
of
government
agencies.
Section
182(
e)(
5)
allows
the
Administrator
to
approve
an
extreme
area
SIP
and
attainment
demonstration
that
anticipate
development
of
new
control
technologies,
or
improvement
of
existing
control
technologies
if
the
SIP
satisfies
the
following
criteria:
(
1)
The
plan
containing
the
demonstration
of
attainment
must
identify
all
measures,
including
the
long­
term
measure(
s)
for
which
additional
time
would
be
needed
for
development
and
adoption.

(
2)
The
plan
must
show
that
the
long­
term
measure(
s)
cannot
be
fully
developed
and
adopted
by
the
submittal
date
for
the
attainment
demonstration
and
must
contain
a
schedule
outlining
the
steps
leading
to
final
development
and
adoption
of
the
meaure(
s).

(
3)
The
plan
must
contain
commitments
from
those
agencies
that
would
be
involved
in
developing
and
implementing
the
schedule
for
the
measure.

(
4)
The
plan
must
contain
a
commitment
to
develop
and
submit
contingency
measures
(
in
addition
to
those
otherwise
required
for
the
area)
that
could
be
implemented
if
the
measure
is
not
developed
or
if
it
fails
to
achieve
the
anticipated
reductions.

(
5)
The
long­
term
measure(
s)
must
not
be
needed
to
meet
any
emissions
reductions
requirements
within
the
first
10
years
after
enactment.
The
State
must
submit
its
contingency
measures
no
later
than
3
years
before
the
original
long­
term
measure
was
to
have
been
implemented.
The
measures
must
be
adequate
to
produce
emissions
reductions
sufficient,
in
conjunction
with
other
approved
plan
provisions,
to
achieve
the
periodic
emissions
reductions
and
to
attain
the
ozone
NAAQS
by
the
applicable
dates.
If
the
Administrator
determines
that
the
extreme
area
has
failed
to
achieve
an
emissions
reductions
requirement
set
forth
in
section
182
(
b)(
1)
or
(
c)(
2)
and
that
such
failure
is
due
in
whole
or
part
to
an
inability
to
fully
implement
provisions
(
related
to
new
technologies)
described
in
section
182(
e)
(
1
through
4)
and
approved
pursuant
to
section
182(
e)(
5),
the
Administrator
will
require
the
State
to
implement
the
contingency
measures
to
the
extent
necessary
to
ensure
compliance
with
the
emissions
reduction
requirements
of
section
182
(
b)(
1)
and
(
c)(
2).
The
EPA
will
set
a
schedule
for
implementing
contingency
measures
upon
making
a
finding
of
failure
to
meet
a
milestone.

(
g)
Milestone
failures
(
economic
incentive
programs).
Under
section
182(
g)(
5),
if
the
State
fails
to
submit
a
compliance
demonstration
for
any
extreme
area
as
required
by
section
182(
g)(
2),
or
if
the
area
has
not
met
an
applicable
milestone
as
required
by
section
182(
g)(
1),
the
State
shall
submit
a
plan
revision
to
implement
an
economic
incentive
program
(
as
described
in
section
182(
g)(
4))
within
9
months
of
such
failure.
The
EPA
urges
the
State
in
this
instance
to
initiate
the
development
of
an
economic
incentive
program
as
soon
as
it
can
reasonably
define
the
objectives
and
scope
of
an
appropriate
program,
without
waiting
until
such
a
failure
occurs.
The
EPA
belives
that
early
initiation
is
important
so
as
to
allow
for
sufficient
time
to
develop,
implement,
and
evaluate
the
effectiveness
of
the
program.
Economic
incentive
programs
are
discussed
in
more
detail
in
section
III.
H.
3.

7.
Nonclassifiable
Nonattainment
Areas
(
a)
General.
Nonclassified
ozone
areas
consist
of
transitional,
submarginal,
incomplete/
no
data
areas.
An
area
is
considered
transitional
under
section
185
if
it
was
designated
nonattainment
both
prior
to
enactment
and
(
pursuant
to
section
107(
d)(
1)(
C))
at
the
time
of
enactment,
and
did
not
violate
the
primary
NAAQS
for
ozone
over
the
3­
year
period
1987­
1989
(
i.
e.,
measured
equal
to
or
less
than
1.0
exceedances
per
year
based
on
a
full
set
of
quality­
assured
data
from
a
properly
sited
monitor(
s)).
Submarginal
areas
fall
into
one
of
two
categories
that
arise
under
the
provisions
of
the
1990
CAAA.
This
situation
exists
due
to
the
adjustment
for
missing
or
incomplete
data
when
calculating
expected
exceedances.
The
first
category
(
Category
I)
consists
of
areas
presently
designated
nonattainment
that
are
violating
the
ozone
standard.
The
second
category
(
Category
II)
consists
of
areas
designated
attainment
at
enactment
that
are
violating
the
ozone
standard.
Finally,
if
an
area
retained
its
nonattainment
designation
at
enactment
(
under
section
107(
d)(
1)(
C))
but
adequate
data
are
not
available
to
indicate
whether
one
or
more
violations
of
the
standards
have
occurred,
the
area
is
considered
an
incomplete
data
or
no
data
area.

Section
185A
specifically
exempts
transitional
areas
from
subpart
2
requirements
until
December
31,
1991.
However,
the
CAAA
are
silent
on
whether
such
areas
should
be
exempt
from
subpart
1
requirements
as
well.
The
CAA
provide
no
specific
guidance
for
submarginal
and
incomplete/
no
data
areas
concerning
applicable
requirements
for
these
categories.
Subpart
1
contains
general
SIP
planning
requirements,
and
EPA
believes
that
subpart
2
is
not
applicable
to
submarginal
and
incomplete/
no
data
areas.
Nevertheless,
because
these
areas
are
designated
nonattainment,
some
aspects
of
subpart
1
necessarily
apply.
The
EPA's
interpretation
of
the
section
172(
c)
requirements
for
these
areas
is
given
below.
Under
section
172(
b),
applicable
revisions
to
the
SIP
are
due
3
years
from
designation
under
section
107(
d).

(
1)
RACT/
Reasonably
available
control
measures
(
RACM)­­(
i)
Transitional
areas.
To
satisfy
section
172(
c)(
1),
transitional
areas
(
section
185A)
that
continued
to
show
no
violations
as
of
December
31,
1991
must
ensure,
at
a
minimum,
that
any
deficiencies
regarding
enforceability
of
an
existing
rule
are
corrected.
While
section
185A
exempts
transitional
areas
from
all
Subpart
2
requirements
until
December
31,
1991,
and
that
exemption
continues
until
the
area
is
redesignated
to
attainment
(
assuming
the
area
satisfactorily
demonstrated
attainment
by
December
31,
1991),
States
should
be
aware
that
in
order
to
be
redesignated
to
attainment
such
areas
must
correct
any
RACT
deficiencies
regarding
enforceability.

(
ii)
Incomplete/
no
data
areas.
Since
it
is
not
known
whether
these
areas
are
violating
the
standard
or
not,
it
is
EPA's
position
that
requiring
RACT
corrections
is
unreasonable.
However,
like
transitional
areas,
incomplete/
no
data
areas
must
correct
any
RACT
deficiencies
regarding
enforceability
of
existing
rules
in
order
to
be
redesignated
to
attainment.

(
iii)
Sub­
marginal
areas.
Since
it
is
known
that
sub­
marginal
areas
are
violating
the
standard
(
only
their
design
value
is
lower
than
the
threshold
for
which
an
area
can
be
classified),
it
is
EPA's
position
that
such
areas
must
make
the
same
RACT
corrections
(
if
previously
required)
as
marginal
areas.
Like
marginal
areas,
sub­
marginal
areas
are
exceeding
the
ozone
standard
and
therefore
should
apply
the
same
level
of
RACT
as
was
required
before
enactment.
Under
section
172(
b),
these
RACT
corrections
must
be
included
in
the
SIP
revision
due
November
15,
1993.
However,
to
the
extent
an
area
is
subsequently
reclassified
to
one
of
the
nonattainment
classifications
in
Table
1
of
section
181,
it
will
be
subject
to
the
time
schedule
of
subpart
2.

(
2)
Attainment
demonstration.
Section
182(
a)(
4)
specifically
exempts
marginal
areas
from
any
attainment
demonstration
requirement.
Since
marginal
areas
are
exempt
from
this
requirement,
it
would
be
unreasonable
to
apply
this
requirement
to
an
area
that
was
either
not
violating
the
standard
or
recorded
a
design
value
so
low
as
to
be
unclassifiable.
Therefore,
EPA
will
presume
that
the
existing
SIP
requirements
and
any
existing
and
future
Federal
requirements
(
e.
g.,
the
title
II
rules)
wil
be
sufficient
to
provide
for
attainment
in
these
areas.

(
3)
RFP.
A
reasonable
further
progress
requirement
assumes
a
long
nonattainment
period
or
a
large
amount
of
reductions
required
to
attain.
Because
a
transitional,
submarginal,
or
incomplete
data
area
is
or
is
likely
to
be
already
in
or
near
attainment,
EPA
will
treat
a
SIP
that
includes
NSR
and
RACT
corrections
(
if
needed)
coupled
with
Federal
measures,
as
meeting
the
RFP
requirement.

(
4)
Emissions
inventory.
An
emissions
inventory
is
specifically
required
under
section
172(
c)(
3),
and
is
not
tied
to
an
area's
proximity
to
attainment.
Moreover,
even
if
these
areas
are
already
attaining
or
near
attainment,
they
will
need
such
an
inventory
to
develop
an
approvable
maintenance
plan
under
section
175A.

(
5)
NSR.
Like
the
emissions
inventory
requirement,
the
NSR
requirement
is
not
tied
to
an
area's
proximity
to
attainment
and
therefore
exempting
a
nonattainment
area
from
NSR
requirements
would
clearly
violate
the
Statute.
Furthermore,
the
new
NSR
program
is
one
of
the
CAAA's
major
bulwarks
against
further
deterioration
of
the
Nation's
air
quality.
Therefore,
all
nonattainment
areas,
including
submarginal,
transitional
and
incomplete/
no
data
areas,
are
required
to
adopt
NSR
programs
meeting
the
requirements
of
section
173,
as
amended.

(
6)
Monitoring.
Section
172
(
b)
and
(
c)
explicitly
states
that
nonattainment
areas
must
meet
the
"
applicable"
monitoring
requirements
of
section
110(
a)(
2).

(
7)
Contingency
measures.
Since
submarginal
and
incomplete/
no
data
areas
generally
present
less
serious
ozone
problems
than
marginal
areas,
which
are
expressly
exempted
from
the
requirement
for
contingency
measures
under
section
182(
a),
contingency
measures
are
not
likely
to
be
necessary
to
assure
attainment
for
these
areas,
EPA
believes
it
appropriate
not
to
apply
the
requirement
for
contingency
measures
for
these
areas
under
a
de
minimis
approach.
The
approach
is
authorized
by
Alabama
Power
v.
Costle,
636
F.
2d
323,
360­
61,
404­
05
(
DC
Circuit
1980),
which
held
that
EPA
may
exempt
de
minimis
actions
from
a
statutory
requirement
when
the
burdens
of
regulation
would
yield
little
or
no
value.

(
8)
Attainment
dates
for
nonclassifiable
areas.
Section
172(
a)(
2)
requires
an
attainment
date
of
no
later
than
5
years
from
an
area's
designation
as
nonattainment.
For
areas
designated
nonattainment
under
section
107(
d)(
1)(
C)(
i)
(
pre­
enactment
nonattainment
areas),
the
attainment
date
is
November
15,
1995.
For
newly
designated
areas,
the
attainment
date
will
be
5
years
from
the
effective
date
of
the
nonattainment
designation.
For
submarginal
and
incomplete/
no
data
areas
that
fail
to
attain
in
5
years,
EPA
is
considering
one
or
more
of
the
following
options
in
enforcing
a
5­
year
attainment
date
for
nonclassifiable
areas:
(
i)
If
an
area
fails
to
attain
5
years
from
designation,
the
area
would
be
bumped
up
to
marginal
or
a
classification
commensurate
with
the
area's
design
value
if
the
design
value
is
at
least
0.121
ppm.
(
ii)
If
an
area
fails
to
attain
5
years
from
designation
either
due
to
incomplete/
no
data
or
a
submarginal
design
value,
the
area
retains
its
status
but
EPA
will
tighten
subpart
1
requirements.
This
could
include
further
RACT
measures,
or
possibly
a
basic
I/
M
program.

The
following
sections
further
discuss
the
applicability
of
the
Act's
requirements
to
each
of
the
three
types
of
nonclassifiable
areas.

(
b)
Transitional.
A
transitional
area
will
have
to
meet
the
requirements
described
below.

(
1)
Section
185A
requirements.
The
Administrator
announced
in
the
November
6,
1991
Federal
Register
which
ozone
nonattainment
areas
did
not
violate
the
NAAQS
during
the
36­
month
period
from
January
1,
1987
to
December
31,
1989.
For
such
areas,
the
requirements
under
subpart
2
(
of
title
I
part
D),
including
any
RACT
fix­
up
obligations,
were
suspended
until
December
31,
1991.
By
June
30,
1992,
the
Administrator
will
determine
on
the
basis
of
the
area's
average
number
of
exceedances
whether
the
area
had
in
fact
attained
the
NAAQS
for
ozone
by
December
31,
1991.
Where
the
Administrator
determines
that
the
area
attained
the
NAAQS,
the
State
must
submit
a
maintenance
plan
for
the
area
within
12
months
of
such
determination.
In
addition,
the
other
four
redesignation
requirements
under
section
107(
d)(
3)(
E)
must
be
met,
including
RACT
fix­
ups
regarding
enforceability.

(
2)
Redesignation
of
transitional
areas.
The
State
must
submit
complete
monitoring
data
for
the
transitional
area
that
supports
redesignation
to
attainment
(
i.
e.,
showing
no
measured
violations
during
the
36­
month
period
from
January
1,
1989,
to
December
31,
1991)
in
sufficient
time
for
the
Administrator
to
make
a
finding
of
attainment
and
to
promulgate
such
finding
by
June
30,
1992.
If
the
Administrator
finds
the
area
has
attained,
the
State
must
submit
a
maintenance
plan
within
1
year
of
the
finding
along
with
documentation
to
support
the
conclusion
that
the
redesignation
requirements
under
section
107(
d)(
3)(
E)
have
been
met.
For
a
discussion
of
the
specific
State
actions
required
in
order
to
satisfy
the
five
redesignation
requirements,
see
"
Redesignations"
under
section
III.
H.
5
of
this
document.

(
3)
NSR.
By
November
15,
1992,
all
nonattainment
areas,
including
transitional
areas
that
have
failed
to
attain,
must
submit
rules
to
implement
the
new
part
D
NSR
requirements
under
section
173./
8/
In
the
meantime,
the
existing
part
D
NSR
requirements
will
remain
in
effect
until
the
area
is
redesignated
to
attainment,
at
which
time
the
PSD
requirements
of
part
C
will
apply.
If
the
area
does
not
have
an
approved
part
D
plan
for
NSR
permitting
and
it
issues
a
permit
for
a
major
stationary
source
or
major
modification
in
the
transitional
area
during
the
interim
period
before
redesignation,
the
State
permit
should
comply
with
the
requirements
in
40
CFR
part
51,
appendix
S.
NOTE
/
8/
If
a
transitional
area
has
not
recorded
any
violations
by
December
31,
1991,
and
is
in
the
process
of
developing
a
maintenance
plan
per
section
185A,
then
EPA
may
not
require
nonattainment
NSR
rules.
However,
these
areas
must
continue
to
apply
their
existing
NSR
program
or
comply
with
the
NSR
permitting
requirements
of
40
CFR
part
51,
appendix
S.
Prior
to
redesignation,
these
areas
also
must
adopt
and
be
prepared
to
implement
a
permitting
program
that
satisfies
the
requirements
of
part
C
and
EPA's
regulations
implementing
the
PSD
program.
Areas
should
consider
the
need
for
offsets
under
the
part
C
program
to
insure
that
new
sources
do
not
"
cause
or
contribute"
to
an
increase
in
pollutant
levels
that
would
take
the
area
out
of
compliance.
If
the
area
is
found
to
be
out
of
compliance
and
the
statutory
deadlines
for
adopting
amended
part
D
permitting
rules
for
the
pollutant
in
question
have
passed,
EPA
may
impose
a
construction
ban
pursuant
to
section
113(
a)(
5)
until
such
time
as
the
area
adopts
a
part
D
program
satisfying
the
NSR
requirements
of
the
CAAA.

(
4)
Failure
to
attain.
If
a
transitional
area
violates
the
NAAQS
during
the
3­
year
period
from
January
1,
1989
to
December
31,
1991,
then
it
shall
be
classified
in
accordance
with
Table
1,
section
181(
a).
Upon
classification,
the
area
shall
continue
to
be
subject
to
the
general
requirements
under
subpart
1
not
addressed
in
subpart
2,
and
those
specific
provisions
under
subpart
2
appropriate
to
the
area's
classification
that
would
have
applied
had
the
area
been
so
classified
at
the
time
of
the
notice
of
other
nonattainment
areas'
initial
classifications
under
section
181(
a)(
3).
For
example,
such
an
area
would
need
to
submit
RACT
fix­
up
requirements
of
section
182(
a)(
2)(
A)
within
6
months
of
classification.
The
Administrator
may,
however,
adjust
any
applicable
deadlines
(
other
than
attainment
dates)
to
the
extent
that
such
adjustment
is
necessary
or
appropriate
to
ensure
consistency
among
the
required
submissions.

If
complete
monitoring
data
reveal
that
a
transitional
area
is
violating
the
standard
but
its
design
value
is
less
than
0.121
ppm
/
9/­­
below
the
design
value
ranges
in
Table
1
(
section
181(
a))­­
then
the
area
will
be
considered
submarginal.
Refer
to
the
category
below
entitled
"
Submarginal."

NOTE
/
9/
Readers
are
reminded
that
for
purposes
of
determining
exceedances,
an
exceedance
is
a
daily
1­
hour
maximum
which
is
equal
to
or
greater
than
0.125.
In
order
to
be
classified
under
Table
1
section
181(
a)(
1),
a
design
value
must
be
equal
to
or
greater
than
.121.

(
c)
Submarginal­­
(
1)
Category
I­­(
Previously
designated
nonattainment).
If
the
area's
average
expected
exceedance
rate
was
more
than
1.0
during
the
3­
year
period
1987­
1989,
it
is
violating
the
standard.
However,
if
the
area's
design
value
was
less
than
0.121
ppm,
below
the
threshold
for
which
it
can
be
classified
as
marginal,
the
area
is
submarginal.

(
2)
Category
II­­(
New
nonattainment
areas).
Category
II
areas
are
those
areas
designated
unclassified/
attainment
on
the
date
of
enactment,
but
with
an
average
expected
exceedance
rate
more
than
1.0
during
the
3­
year
period
1987­
1989.
These
areas
are
violating
the
standard,
yet
their
design
values
were
less
than
0.121
ppm,
below
the
threshold
for
which
they
can
be
classified
as
marginal
under
Table
1
section
181(
1).
The
EPA
also
describes
such
areas
as
submarginal.

(
3)
Requirements.
As
discussed
above,
all
nonattainment
areas,
including
submarginal
areas,
are
subject
to
several
of
the
requirements
in
subpart
1.
Specifically,
section
172(
b)
requires
a
SIP
revision
within
3
years
of
designation
that
must
meet
several
requirements,
in
particular,
NSR.

If
a
State
submits
a
request
for
redesignation
to
attainment,
then
a
proper
and
adequate
maintenance
plan,
as
defined
in
section
107(
d)(
1)(
E),
must
be
submitted.

(
4)
Failure
to
attain.
If,
at
some
time
in
the
future
(
before
the
area
has
demonstrated
that
it
has
met
the
five
requirements
for
redesignation
under
section
107(
d)(
3)(
E)),
a
submarginal
area
violates
the
NAAQS
and
the
design
value
is
equal
to
or
exceeds
0.121
ppm,
it
is
EPA's
position
that
the
area
will
at
that
time
be
classified
under
Table
1,
section
181(
a),
according
to
its
design
value.

Once
classified,
the
area
will
continue
to
be
subject
to
those
subpart
1
requirements
not
addressed
in
subpart
2
and
the
specific
provisions
of
subpart
2
determined
by
its
classification.
Under
section
182(
i),
these
provisions
apply
as
if
the
area
had
been
so
classified
at
enactment,
except
the
EPA
may
adjust
any
applicable
deadlines
(
other
than
attainment
dates)
to
the
extent
necessary
or
appropriate
to
assure
consistency
among
the
required
submissions.

(
5)
NSR.
By
November
15,
1992,
all
ozone
nonattainment
areas,
including
submarginal
areas
(
both
Category
I
and
Category
II)
must
submit
rules
in
approvable
form
to
EPA
to
implement
the
new
NSR
requirements
under
section
173.
In
the
meantime,
the
existing
part
D
NSR
requirements
remain
in
effect.

If
a
submarginal
area
does
not
have
an
approved
part
D
NSR
permitting
program,
and
the
State
wishes
to
issue
a
permit
for
a
major
stationary
source
or
major
modification
in
that
area,
the
State
permit
must
comply
with
the
requirements
of
40
CFR
part
51,
appendix
S,
until
the
State
adopts
the
necessary
part
D
NSR
provisions.

(
6)
Redesignation
to
attainment.
In
order
to
be
redesignated
to
attainment,
the
State
must
demonstrate
that
the
five
redesignation
requirements
(
i­
v)
under
section
107(
d)(
3)(
E)
have
been
met.
See
section
III.
H.
5.
which
describes
the
specific
actions
that
will
determine
compliance
with
each
of
these
requirements.

(
d)
Incomplete
data
or
no
data­­(
1)
Requirements.
As
discussed
above
in
the
Introduction,
all
nonattainment
areas,
including
incomplete
data
or
no
data
areas,
are
subject
to
the
requirements
in
subpart
1.
Specifically,
section
172(
b)
requires
a
SIP
revision
within
3
years
of
designation.

If
a
State
submits
a
request
for
redesignation
to
attainment,
then
a
proper
and
adequate
maintenance
plan,
as
defined
in
section
107(
d)(
1)(
E),
must
be
submitted.
The
discussion
under
"
Redesignation"
in
section
III.
H.
5
of
this
preamble
describes
the
specific
actions
that
will
determine
compliance
with
each
of
these
requirements.

(
2)
NSR.
By
November
15,
1992,
all
ozone
nonattainment
areas,
including
incomplete
or
no
data
areas,
must
submit
rules
to
implement
the
new
NSR
requirements
of
sections
172(
c)(
5)
and
173.
In
the
meantime,
the
existing
part
D
NSR
requirements
remain
in
effect.
If
the
area
does
not
have
an
approved
part
D
NSR
permitting
program,
and
the
State
issues
a
permit
for
a
major
stationary
source
or
major
modification
in
the
area,
the
State
permitting
program
should
comply
with
the
requirements
in
40
CFR
part
51,
appendix
S,
until
the
new
part
D
NSR
requirements
become
effective.

8.
Transport
Areas
Section
176A
allows
the
Administrator
to
establish
a
transport
region
covering
multiple
States
whenever
interstate
transport
of
pollutants
contributes
significantly
to
violations
of
the
NAAQS.
Section
184(
a)
specifically
created
at
enactment,
by
operation
of
law,
an
ozone
transport
region
comprising
the
States
of
Connecticut,
Delaware,
Maine,
Maryland,
Massachusetts,
New
Hampshire,
New
Jersey,
New
York,
Pennsylvania,
Rhode
Island,
and
Vermont,
and
the
CMSA
that
includes
the
District
of
Columbia.
Section
184(
b)
contains
the
specific
requirements
for
States
in
the
ozone
transport
region(
s).

(
a)
Specific
requirements.
States
within
ozone
transport
regions
must
revise
their
SIP's
to
include
specific
measures
by
November
15,
1992
in
the
case
of
the
region
established
by
section
184(
a),
or
within
9
months
of
inclusion
in
a
transport
region
in
the
case
of
a
State
subsequently
included
in
a
transport
region
under
section
176A.
The
discussion
here
will
focus
on
the
region
established
under
section
184(
a),
and,
for
convenience,
that
region
will
be
referred
to
as
the
Northeast
transport
region
or
just
the
transport
region.
If
other
ozone
transport
regions
are
established
under
section
176A,
States
in
these
regions
must
also
adopt
and
implement
the
specific
controls
discussed
below.

(
1)
Enhanced
I/
M.
A
State
within
the
transport
region
must
adopt
a
program
pursuant
to
section
184(
b)(
1)(
A)
meeting
the
requirements
of
section
182(
c)(
3),
"
Enhanced
Vehicle
Inspection
and
Maintenance
Program,"
for
any
MSA
(
or
portion
of
an
MSA)
within
the
State
that
has
a
population
of
100,000
or
more.
The
Act
does
not
address
the
census
year
for
this
population;
EPA
believes
the
year
of
enactment
(
1990)
is
the
correct
year
to
use
in
this
case.

(
2)
RACT
on
VOC
sources.
Each
State
in
a
transport
region
must
adopt
VOC
RACT
regulations
for
sources
located
within
that
portion
of
the
State
included
in
a
transport
region./
10/
Under
section
184(
b)(
1)(
B),
the
RACT
rules
that
apply
to
sources
for
which
a
CTG
was
issued
before
or
after
enactment
must
be
submitted
by
November
15,
1992.

NOTE
/
10/
Section
176A(
a)(
2)
provides
a
process
for
modifying
the
boundaries
of
a
transport
region.
However,
EPA
will
not
allow
a
delay
in
the
adoption
of
measures
under
section
184(
b)
due
to
a
State
request
to
exclude
a
portion
of
the
State
from
the
transport
region.
The
EPA
expects
the
States
within
a
transport
region
and
the
transport
commission
to
consider
requests
for
deletion
of
areas
quickly
so
as
to
minimize
the
uncertainty
States
may
have
regarding
plan
submittals
due
2
years
from
enactment
(
for
the
Northeast
transport
region)
or
9
months
after
subsequent
inclusion
of
an
area
and
transport
region.
Although
section
184(
b)
does
not
specifically
discuss
how
much
less
than
the
entire
State
can
be
subject
to
the
requirements,
EPA
interprets
section
176A
as
establishing
a
process
whereby
a
protion
of
a
State
can
be
removed
from
the
region
and
exempted
from
the
requirements.

Section
184(
b)(
1)(
B)
specifies
that
the
State
must
submit
by
November
15,
1992,
a
plan
containing
RACT
rules
for
sources
covered
by
a
CTG
issued
after
enactment.
However,
many
past­
enactment
CTG's
will
not
be
issued
by
November
15,
1992;
indeed,
Congress
did
not
contemplate
that
all
would
be
issued
until
November
15,
1993
(
see
section
183(
a)).
For
that
reason
it
would
be
impossible
for
a
State
to
submit
actual
RACT
rules
reflecting
consideration
of
the
post­
enactment
CTG's
by
November
15,
1992.
Therefore,
in
order
to
meet
the
submittal
requirement,
the
State
must
submit
an
enforceable
commitment
to
adopt
and
implement
RACT
rules
for
sources
covered
by
CTG's
issued
after
enactment
in
accordance
with
the
schedules
contained
in
each
of
the
CTG's.
The
CTG
document
in
Appendix
E
lists
the
11
CTG's
EPA
plans
to
issue
under
section
183.
The
States
should
refer
to
that
document.

Furthermore,
section
184(
b)(
2)
provides
that
VOC
sources
with
the
potential
to
emit
at
least
50
tons
per
year
are
effectively
subject
to
the
moderate
area
requirements.
Therefore,
EPA
believes
that
the
schedule
for
submitting
and
implementing
these
RACT
rules
should
be
consistent
with
the
requirements
of
section
182(
b)(
2)
which
requires
submittal
by
November
15,
1992
and
implementation
no
later
than
May
31,
1995.

(
3)
NSR
for
VOC
sources.
Since
section
184(
b)(
2)
requires
that
stationary
sources
of
VOC
having
the
potential
to
emit
at
least
50
tons
per
year
shall
be
considered
major
sources
and
subject
to
the
same
requirements
that
apply
to
major
sources
in
ozone
areas
classified
as
moderate
(
section
182(
b)),
the
State
must
also
adopt
rules
to
apply
the
part
D
NSR
permitting
provisions
/
11/
for
ozone
statewide,
unless
a
portion
of
the
State
has
been
excluded
from
the
transport
region
under
section
176A(
2).
These
rules,
which
are
due
by
November
15,
1992,
include
requirements
that
a
new
or
modified
major
stationary
source
will
apply
controls
representing
LAER,
and
that
the
source
will
obtain
an
emissions
offset
prior
to
operation.
The
emissions
offset
is
based
on
the
ratio
of
actual
emissions
reductions
of
VOC
to
total
allowable
increases
in
emissions
that
would
result
from
construction
and
operation
of
the
source.
In
this
case,
the
required
ratio
is
at
least
1.15
to
1
(
the
ratio
applicable
to
moderate
ozone
areas).
It
should
be
noted
that
in
these
areas
classified
as
serious
or
higher,
a
higher
offset
ratio
would
apply.
State
rules
must
ensure
that
the
offsets
obtained
for
a
new
or
modified
stationary
source
will
be
consistent
with
any
State
or
regional
attainment
strategies.
All
NSR
requirements
of
part
D
must
be
met
for
permit
issuance.

NOTE
/
11/
Sec
section
III.
G
for
a
complete
discussion
of
the
NSR
provisions.

In
nonattainment
areas
within
the
transport
region,
offsets
must
generally
be
obtained
from
the
nonattainment
area
where
the
source
wishes
to
locate
except
as
allowed
by
section
173(
c)
of
the
amended
Act.
Section
173(
c)
allows
offsets
from
other
nonattainment
areas
if
the
area
has
equal
or
higher
nonattainment
classification
than
the
area
where
the
source
is
located,
and
emissions
from
such
other
area
contribute
to
a
violation
of
the
standard
in
the
nonattainment
area
in
which
the
new
source
is
located.
For
attainment
areas
within
the
transport
region,
guidance
for
location
of
offsetting
emissions
at
40
CFR
part
51,
appendix
S,
should
be
followed.
Appendix
S
specifies
that
emissions
offsets
for
VOC
may
be
obtained
from
sources
located
anywhere
within
the
broad
vicinity
of
the
proposed
new
source.
Generally,
VOC
offsets
may
be
obtained
if
within
the
same
Air
Quality
Control
Region
(
AQCR)
as
the
new
source
or
from
other
areas
that
may
be
contributing
to
the
ozone
problem
at
the
proposed
new
source
location.
It
is
desirable
to
obtain
offsets
from
sources
located
as
close
to
the
proposed
new
source
site
as
possible.
If
the
proposed
offsets
would
be
from
sources
located
at
greater
distances
from
the
new
source,
the
reviewing
authority
should
increase
the
ratio
of
the
required
offsets
and
require
a
showing
that
nearby
offsets
were
investigated
and
reasonable
alternatives
were
not
available.

The
PSD
provisions
of
part
C
(
as
well
as
the
nonattainment
provisions
discussed
above)
continue
to
apply
to
stationary
sources
in
the
areas
designated
attainment
or
unclassifiable
that
are
within
the
ozone
transport
region.
Title
I
does
not
exempt
these
sources
from
the
PSD
requirements.
Likewise,
the
major
stationary
source
thresholds
defined
in
the
PSD
rules
continue
to
apply
when
determining
PSD
applicability.

(
4)
Gasoline
vapor
recovery.
Section
184(
b)(
2)
requires
the
Administrator
to
complete
a
study
identifying
control
measures
capable
of
achieving
emissions
reductions
comparable
to
those
achievable
through
vehicle
refueling
controls
contained
in
section
182(
b)(
3)
by
November
15,
1993.
All
areas
within
a
transport
region
are
then
required,
within
1
year
of
completion
of
this
study,
to
adopt
and
submit
as
an
SIP
revision
the
comparable
measures
or
the
section
182(
b)(
3)
Stage
II
vapor
recovery
measures.
However,
pursuant
to
section
182(
b)(
3),
ozone
nonattainment
areas
classified
as
moderate
or
above
must
adopt
and
submit
Stage
II
rules
by
November
15,
1992.
Although
moderate
nonattainment
areas
that
are
located
within
an
ozone
transport
region
may
become
exempt
from
the
section
182(
b)(
3)
requirement
due
to
the
adoption
of
onboard
regulations
(
see
section
202(
a)(
6))
such
areas
will
remain
subject
to
the
transport
requirement
of
section
184(
b)(
2).
The
exemption
and
waiver
provision
of
section
202(
a)(
6)
applies
only
to
the
section
182(
b)(
3)
Stage
II
requirement,
not
to
he
the
requirement
of
section
184(
b)(
2)
to
adopt
Stage
II
or
measures
identified
as
achieving
equivalent
reductions.
The
transport
provision
is
a
separate
requirement
that
focuses
not
on
Stage
II,
but
on
means
to
get
reductions
equivalent
to
what
would
be
achieved
under
section
182(
b)(
3).

(
b)
Other
requirements.
The
transport
region
or
portions
thereof
may
also
be
subject
to
additional
control
requirements
resulting
from
recommendations
from
the
transport
commission
under
section
184(
c).
If
EPA
approves
a
recommendation
from
the
commission
submitted
under
section
184(
c),
EPA
will
issue
a
finding
that
the
SIP
for
the
appropriate
State(
s)
is
inadequate
and
must
be
revised
within
1
year
to
incorporate
the
recommendations
of
the
transport
commission.

Each
ozone
nonattainment
area
located
within
the
transport
region
is
still
subject
to
the
applicable
requirements
for
a
demonstration
of
attainment
under
section
182
(
b)(
1)(
A)
and
(
c)(
2).
The
EPA
realizes
that
in
some
cases
certain
demonstrations
will
be
complicated
by
the
RFP
requirements
and
attainment
deadlines
that
apply
to
areas
of
different
classifications./
12/
For
example,
a
moderate
area
located
within
the
transport
region
is
still
subject
to
the
6­
year
attainment
deadline
and
the
section
182(
b)(
2)(
A)
requirement
to
provide
annual
emissions
reductions
in
its
plan
to
attain
by
the
deadline.
However,
this
area
is
(
at
least,
presumptively)
being
affected
by
transport
from
another
area(
s)
and
is,
as
well,
possibly
affecting
other
areas,
itself.
If
the
"
other"
areas
that
are
affecting
air
quality
levels
in
this
moderate
area
are
classified
as
serious
or
severe,
those
areas
will
be
reducing
their
emissions
over
a
longer
time
frame
in
order
to
attain
the
standard.
That
is,
these
"
other"
areas
could
still
be
having
significant
effects
on
the
moderate
area
at
the
time
when
the
moderate
area
must
demonstrate
attainment.

NOTE
/
12/
The
discussion
here
regarding
areas
within
an
existing
transport
region
also
applies
to
areas
that
are
impacted
by
ozone
and
precursor
transport
but
are
not
yet
in
transport
regions.
Therefore,
much
of
this
discussion
also
occurs
under
section
III.
A.
3.(
b)
for
moderate
areas.

As
discussed
within
the
context
of
demonstrations
for
moderate
areas,
EPA
believes
that
this
situation
is
somewhat
analogous
to
the
situations
addressed
in
section
182(
h)
for
RTA's
and
in
section
182(
j)
for
multi­
State
ozone
nonattainment
areas.
In
these
cases,
the
1990
CAAA
recognize
that
at
some
point,
an
area
being
affected
by
emissions
from
another
area(
s)
may
not
be
able
to
achieve
sufficient
emissions
reductions
on
its
own
to
demonstrate
attainment.
In
these
cases,
the
area
is
relieved
from
certain
requirements
in
the
CAAA
that
would
require
additional
controls.
There
is
no
explicit
recognition
in
the
CAAA
of
this
occurring
in
other
situations.

In
general,
two
situations
exist
in
which
an
area
might
be
subject
to
additional
emissions
reductions
requirements
related
to
the
demonstration
of
attainment.
In
the
first,
an
area
might
be
receiving
such
high
levels
of
transport
that
even
if
it
reduced
its
emissions
dramatically
(
e.
g.,
totally
eliminated
its
own
emissions),
the
incoming
ozone
and
precursors
would
be
high
enough
to
continue
to
cause
violations
of
the
standard
beyond
the
applicable
attainment
date.
In
the
second
situation,
the
area
might
be
able
to
achieve
additional
reductions
(
beyond
those
required
under
section
182),
but
even
where
those
additional
reductions
could
be
achieved
to
demonstrate
attainment,
the
question
arises
whether
it
is
equitable
to
require
those
reductions
or
to
allow
more
time
for
the
reductions
in
the
"
upwind"
area
to
take
place.
As
described
above,
however,
the
statute
provides
no
express
relief
for
these
situations.
Thus,
where
the
demonstration
of
attainment
is
complicated
by
transport
between
two
areas
of
different
classifications,
the
State
is
still
responsible
for
developing
and
submitting
demonstrations
which
show
that
the
standard
will
be
attained
by
the
applicable
date.
In
other
words,
the
State
must
provide
for
sufficient
emissions
reductions
on
a
schedule
that
will
ensure
attainment
in
its
moderate
area,
for
example,
within
6
years
after
enactment.
The
EPA
believes
that
the
wording
in
section
182(
b)(
1)(
A)(
i)
requires
the
State
to
develop
a
plan
providing
such
emissions
reductions.
The
area
does
not
have
the
option
of
requesting
to
be
reclassified
to
the
next
higher
classification.
At
this
time,
EPA
is
not
sure
to
what
degree
the
situation
described
above
is
likely
to
occur
or
know
of
any
real
cases
where
this
will
be
a
problem.
If
such
a
situation
were
to
occur,
EPA
intends
to
look
at
the
facts
specific
to
that
area.
Considerations
would
include
the
results
of
the
area's
attainment
analyses
along
with
any
region­
wide
modeling
results
in
evaluating
available
SIP
approval
options.
When
such
areas
develop
the
demonstration
of
attainment
due
in
November
1994,
they
should
provide
a
comprehensive
assessment
of
the
impacts
of
all
control
measures
being
implemented
in
both
the
local
and
upwind
areas.
States
should
clearly
show
the
extent
to
which
the
downwind
area
is
dependent
on
upwind
strategies
while
fully
meeting
its
own
requirements
associated
with
its
classification.

9.
Multi­
State
Ozone
Nonattainment
Areas
Section
182(
j)
defines
a
"
multi­
State
ozone
nonattainment
area"
as
a
single
ozone
nonattainment
area
that
covers
more
than
one
State.
Section
182(
j)(
1)
(
A)
and
(
B)
set
certain
requirements
for
such
areas.
First,
each
State
in
a
multi­
State
ozone
nonattainment
area
must
take
all
reasonable
steps
to
coordinate
the
implementation
of
the
required
revisions
to
SIP's
for
the
given
nonattainment
area
(
section
182(
j)(
1)(
A)).
Next,
section
182(
j)(
1)(
B)
requires
the
States
to
use
photochemical
grid
modeling
or
any
other
equally
effective
analytical
method
approved
by
EPA
for
demonstrating
attainment.
The
EPA
is
prevented
by
section
182(
j)
from
approving
any
SIP
revision
submitted
under
that
section
if
a
State
has
failed
to
meet
the
above
requirements.

A
State
within
a
multi­
State
ozone
nonattainment
area
that
fails
to
provide
a
demonstration
of
attainment
for
that
State's
portion
of
the
area
is
allowed
by
section
182(
j)(
2)
to
petition
EPA
to
determine
whether
such
State
could
have
demonstrated
attainment
but
for
the
failure
of
one
or
more
States
in
the
area
to
adequately
implement
the
required
measures
under
section
182
for
the
given
area.
If
EPA
so
finds,
then
the
sanctions
provisions
under
section
179
shall
not
apply
to
the
State
whose
failure
to
make
an
adequate
attainment
demonstration
was
due
to
failure
by
other
States
to
implement
section
182
measures.

Pursuant
to
section
182(
j)(
1)(
A),
EPA
is
calling
on
each
multi­
State
ozone
nonattainment
area
to
develop
a
joint
work
plan
as
evidence
of
early
cooperation
and
integration.
The
work
plan
must
include
a
schedule
for
developing
the
emissions
inventories,
the
15
percent
progress
requirement
SIP
revision
(
if
applicable),
the
3
percent
per
year
progress
requirement
SIP
revision
(
if
applicable),
and
the
attainment
demonstration
for
the
entire
multi­
State
area.
Each
State
within
a
multi­
State
ozone
nonattainment
area
is
responsible
for
meeting
all
the
requirements
relevant
to
the
given
area.

Marginal
multi­
State
ozone
nonattainment
areas
are
excluded
from
undertaking
photochemical
grid
modeling
for
submittal
in
attainment
demonstrations
by
section
182(
a)(
4),
which
excludes
any
marginal
area
from
the
requirement
to
submit
attainment
demonstrations.
(
The
EPA
believes
that
the
section
182(
a)(
4)
exemption
supersedes
the
applicability
of
the
multi­
State
area
modeling
requirement
for
marginal
areas.)
Moderate
and
above
multi­
State
ozone
nonattainment
areas
must
submit
attainment
demonstrations
which
use
photochemical
grid
modeling
(
or
equivalent).
This
section
182(
j)(
1)(
B)
requirement
can
be
met
through
application
of
EPA
approved
modeling
techniques
for
SIP
revisions
as
recommended
in
the
current
version
of
EPA's
"
Guideline
on
Air
Quality
Models
(
Revised)."
The
Urban
Airshed
Model
is
recommended
for
modeling
applications
involving
entire
urban
areas.
Care
should
be
taken
to
coordinate
strategies
and
assumptions
in
a
modeled
area
with
those
in
other,
nearby
modeled
areas
in
order
to
ensure
that
consistent,
plausible
strategies
are
developed.

Section
182(
j)
requires
States
in
which
a
moderate
multi­
State
nonattainment
area
occurs
to
use
photochemical
grid
model
to
demonstrate
that
prescribed
controls
are
sufficient
to
attain
the
NAAQS.
The
section
is
silent
concerning
the
timing
for
such
an
analysis.
However,
one
of
the
distinctions
between
section
182(
b)
and
section
182(
c)
is
that
serious
areas
(
for
which
grid
models
are
required)
are
given
an
extra
year
(
until
November
1994
instead
of
November
1993)
to
submit
a
SIP
reflecting
an
attainment
demonstration.
This
is
in
recognition
of
the
time
required
to
gather
data
to
support
to
perform
a
grid
modeling
analysis.
Thus,
a
reading
of
section
182
(
b),
(
c),
and
(
j)
implies
that
the
requirement
that
multi­
State
moderate
nonattainment
areas
perform
grid
modeling
effectively
extends
for
1
year
(
from
November
1993
to
November
1994),
the
deadline
for
moderate
multi­
State
areas
to
submit
a
SIP
containing
an
attainment
demonstration.
Stated
differently,
the
requirement
for
grid
modeling
imposed
on
multi­
State
moderate
areas
by
section
182(
j)
supersedes
the
requirement
to
have
the
November
1993
SIP
transmittal
contain
an
attainment
demonstration.
Instead,
for
practical
reasons,
the
requirement
imposed
by
section
182(
j)
implies
a
need
for
a
November
1994
SIP
revision
reflecting
provisions
needed
to
attain
the
NAAQS
as
determined
through
a
grid
modeling
analysis.

The
effect
of
this
interpretation
of
section
182
(
b)
(
c)
and
(
j)
is
that
the
timing
for
SIP
submittals
in
moderate
inter­
State
nonattainment
areas
is
identical
to
that
in
serious
nonattainment
areas.
That
is,
a
SIP
revision
providing
for
15
percent
reduction
in
VOC
emissions
from
1990
through
1996
is
due
by
November
1993.
A
second
SIP
revision
containing
necessary
provisions
to
demonstrate
attainment
of
the
NAAQS
is
due
in
November
1994.

B.
Carbon
Monoxide
The
1990
CAAA
create
a
new
classification
structure
for
CO
nonattainment
areas
based
on
the
severity
of
the
nonattainment
problem.
For
each
area
classified
under
this
section,
the
attainment
date
shall
be
as
expeditious
as
practicable,
but
no
later
than
the
date
in
the
following
table.
The
classification
scheme
is
as
follows:

Area
Design
value,
Primary
standard
classification
ppm
attainment
date
Moderate
9.1­
16.4
ppm
December
31,
1995.

Serious
16.5
and
above
December
31,
2000.

As
provided
in
part
D
subpart
3,
Emission
Inventories,
rules
for
I/
M,
NSR
rules
for
areas
with
a
design
value
greater
than
12.7
ppm,
and
certain
other
planning
or
control
measures
are
required
within
2
years
after
enactment
(
November
15,
1992)
for
both
previously
and
newly
designated
nonattainment
areas.
If
an
area's
boundaries
are
subject
to
adjustment
under
section
107(
d)(
4)(
A)(
iv)
(
for
serious
CO
areas),
final
designation
may
be
promulgated
as
late
as
14
months
after
enactment,
or
March
1992­­
just
8
months
before
major
rules
(
e.
g.,
I/
M,
NSR)
and
the
emission
inventory
must
be
submitted.
These
nonattainment
areas
should
not
delay
their
adoption
of
rules
or
preparation
of
inventories
while
the
boundary
determinations
are
proceeding.
Rather,
EPA
believes
these
areas
should
be
prepared
to
readily
adopt
rules
and
complete
their
emission
inventories
for
the
entire
MSA/
CMSA,
should
it
be
concluded
that
the
nonattainment
boundaries
will
be
the
MSA/
CMSA.
The
EPA
will
require
those
submittals,
which
are
due
by
November
15,
1992,
to
address
the
entire
nonattainment
area.

In
addition
to
the
two
classifications,
some
nonattainment
areas
do
not
fit
into
the
classification
scheme
and
are
nonclassified
areas.
The
CO
section
will
describe
the
requirements
for
all
areas
(
moderate
and
serious
and
the
special
classifications)
in
much
the
same
way
as
the
1990
CAAA
describes
the
requirements.
The
requirements
are
additive
(
i.
e.,
a
serious
area
has
to
meet
all
moderate
requirements
and
all
serious
requirements,
etc.).
Requirements
discussed
for
moderate
areas
will
be
repeated
for
serious
areas
only
if
the
requirements
are
different.
1.
Moderate
Areas
12.7
ppm
and
Below
(
a)
Emission
inventory.
Section
187(
a)(
1)
requires
moderate
CO
areas
to
submit
by
November
15,
1992,
"
a
comprehensive,
accurate,
current
inventory
of
actual
emissions
from
all
sources,
as
described
in
section
172(
c)(
3)."
Draft
base
year
inventories
must
be
submitted
between
January
1,
and
May
1,
1992.
The
inventory
is
defined
as
the
base
year
inventory
and
is
a
"
current
inventory."
The
EPA
interprets
the
requirement
that
the
inventory
be
"
current"
to
mean
that
it
be
an
inventory
for
1990
(
year
of
enactment).
The
inventory
is
to
address
actual
CO
emissions
during
the
peak
CO
season
for
the
area
(
generally
the
winter
months).
All
stationary
point,
area,
highway/
nonhighway
mobile,
and
OCS
sources
(
if
any)
are
to
be
included
in
the
compilation.

As
one
of
the
first
steps
in
developing
the
base
year
inventory,
the
States
are
to
prepare
an
IPP,
which
is
due
in
final
form
to
EPA
by
October
1,
1991.
The
IPP
should
include
a
brief
statement
of
how
the
State
intends
to
develop,
document,
and
submit
its
inventory.
Another
early
step
in
the
inventory
development
process
is
preparing
the
point
source
portion
of
the
base
year
inventory.
Updated
guidance
for
preparing
emission
inventories
was
issued
in
May
1991;
however,
the
point
source
portion
is
essentially
the
same
as
it
was
for
the
post­
1987
SIP's.
Thus,
States
should
have
already
begun
gathering
data
on
point
source
emissions.
States
are
encouraged
to
submit
the
point
source
portion
of
the
inventory
to
EPA
as
early
as
possible.

States
that
have
fully
completed
portions
of
their
base
year
inventories
for
1987,
1988,
or
1989
may
request
EPA
approval
to
update
these
portions.
Otherwise,
States
will
have
to
prepare
a
completely
new
1990
base­
year
inventory.
Guidance
on
the
procedure
to
request
an
update
was
provided
in
May
1991
("
Procedures
for
te
Preparation
of
Emission
Inventories
for
Carbon
Monoxide
and
Precursors
of
Ozone,
Volume
I
(
Revised)").
However,
for
purposes
of
accuracy
and
compliance
with
the
goals
of
the
1990
CAAA,
EPA
encourages
all
areas
to
prepare
new
1990
base­
year
inventories
even
if
they
already
assembled
base­
year
inventories
for
1987/
1988/
1989.

The
EPA
issued
an
updated
version
of
MOBILE4,
its
mobile
source
emissions
estimation
model,
in
July
1991.
The
updated
version
is
MOBILE4.1,
and
it
replaces
and
supersedes
its
predecessor.
States,
except
for
California,
are
required
to
use
MOBILE4.1
in
determining
highway
mobile­
source
emissions
for
all
of
their
base­
year
emissions
inventories
under
the
Act.
California
should
consult
with
EPA
Region
IX
in
determining
which
mobile
model
to
use.
The
majority
of
the
enhancements
in
the
revised
model
are
internal
to
the
model
and
do
not
directly
affect
the
use
for
base­
year
inventory
emission
factor
generation
purposes.
The
reader
should
refer
to
EPA's
"
Emission
Inventory
Requirements
for
Carbon
Monoxide
State
Implementation
Plans"
for
more
information.
The
July
1991
guidance
also
contains
information
related
to
some
area
and
off­
highway
mobile
source
categories
that
may
significantly
affect
how
emissions
are
to
be
determined.
For
these
categories
(
railroads
and
aircraft),
States
must
use
the
new
methodology
and
develop
new
emission
estimates.
The
States
will
also
be
required
to
develop
new
1990
base­
year
inventories
for
highway
mobile
sources
that
account
for
fleet
turnover,
road
construction
resulting
in
changes
in
VMT
patterns,
and
changes
in
speed
limits.
The
new
1991
guidance
on
MOBILE4.1
and
off­
highway
mobile
sources
guidance
on
VMT
should
be
consulted
for
additional
detail.

The
EPA
guidance
should
also
be
consulted
for
information
on
how
to
account
for
rule
effectiveness
when
calculating
emissions
from
stationary
sources
of
CO.
Rule
effectiveness
is
a
measure
of
the
ability
of
a
regulatory
program
to
achieve
all
the
emission
reductions
that
could
be
achieved
by
full
compliance
with
the
program
by
all
sources
at
all
times.
For
the
purpose
of
base­
year
inventories
under
the
1990
CAAA,
EPA
will
allow
the
use
of
an
80
percent
default
value
but
will
also
give
States
the
option
to
derive
local
category­
specific
rule
effectiveness
factors
within
some
tightly
prescribed
guidelines
discussed
in
the
guidance.

Finally,
the
reader
should
refer
to
section
III.
B.
6
for
additional
information
related
to
base
year
inventories
for
multi­
State
nonattainment
areas.

By
meeting
the
specific
inventory
requirements
discussed
above,
the
State
will
also
satisfy
the
general
inventory
requirements
of
section
172(
c)(
3).

(
b)
I/
M
corrections.
Section
187(
a)(
4)
requires
States
with
moderate
CO
nonattainment
areas
that
already
include
I/
M
programs
or
that
were
required
by
the
pre­
1990
Act
to
include
I/
M
programs
in
their
SIP's,
to
submit
to
EPA
immediately
upon
enactment
any
revisions
necessary
to
provide
for
a
program
no
less
stringent
than
that
required
prior
to
enactment
or
committed
to
in
the
SIP
in
effect
at
the
time
of
enactment,
whichever
is
more
stringent.
Requirements
for
these
I/
M
programs
are
contained
in
section
182(
a)(
2)(
B).
This
section
requires
EPA
to
review,
revise,
update,
and
republish
in
the
Federal
Register
within
1
year
of
enactment,
the
guidance
for
I/
M
programs
required
by
the
Act,
taking
into
consideration
the
Administrator's
investigations
and
audits
of
such
programs.
In
short,
the
moderate
areas
must
maintain
existing
I/
M
programs
and
make
corrections
to
those
programs
to
meet
existing
I/
M
policy;
when
updated
policy
is
published,
these
areas
must
submit
revisions
to
address
any
revised
guidance.

More
specifically,
section
182(
a)(
2)(
B)
requires
States
to
meet
the
basic
I/
M
performance
standard
that
has
been
in
effect
since
1977.
That
performance
standard
is
based
on
a
"
model"
program
design
consisting
of
a
centralized
progam
that
annually
tests
tailpipe
emissions
on
all
light­
duty
vehicles
using
emission
standards
for
1981
and
later
model
vehicles
of
1.2
percent
CO
and
220
ppm
HC
and
20
percent
stringency
for
pre­
1981
vehicles.
A
compliance
rate
of
100
percent
and
a
waiver
rate
of
zero
percent
are
assumed.
States
must
demonstrate
an
emission
reduction
for
the
I/
M
program
included
in
the
SIP
that
is
at
least
as
great
as
that
produced
by
the
"
model"
basic
program
(
or
the
program
already
included
in
the
SIP,
whichever
is
greater),
using
the
most
current
available
version
of
EPA's
mobile
source
emission
model.
The
I/
M
programs
are
required
in
the
urbanized
area
portions,
as
defined
by
the
Bureau
of
the
Census,
of
the
nonattainment
area.

The
EPA
expects
to
issue
the
policy
for
I/
M
areas
in
the
near
future.
When
published,
the
policy
will
state
the
date
when
such
programs
are
to
be
implemented.
The
EPA
intends
to
allow
all
areas
ample
time
to
adopt
and
submit
required
I/
M
programs,
including
I/
M
corrections
under
section
187(
a)(
4).
States
that
have
both
basic
and
enhanced
I/
M
areas
may
opt
to
implement
enhanced
programs
in
all
affected
urbanized
areas.
States
which
are
only
required
to
implement
basic
programs
must
submit
SIP
revisions
for
I/
M
program
addressing
any
revised
policy.
The
guidance
will
cover
the
elements
of
the
SIP
revision.

As
mandated
by
section
202(
m),
the
Administrator
will
promulgate
regulations
requiring
manufacturers
to
install
diagnostic
systems
on
all
new
light­
duty
vehicles
and
light­
duty
trucks.
The
purpose
of
these
systems
is
to
identify
and
track
emissions­
related
systems
deterioration
or
malfunction.
According
to
section
202(
m)(
3),
within
2
years
of
EPA's
promulgating
regulations
requiring
States
to
do
so,
all
States
with
I/
M
programs
must
amend
their
SIP
to
provide
for
inspection
of
these
onboard
diagnostics
systems.
The
EPA
will
issue
revised
I/
M
guidance
which
addresses
onboard
diagnostic
inspections.

(
c)
Periodic
inventory.
According
to
section
187(
a)(
5),
moderate
CO
nonattainment
areas
are
required
to
submit
periodic
inventories
starting
by
September
30,
1995,
and
then
every
3
years
thereafter
until
the
area
is
redesignated
to
attainment.
The
periodic
inventory
shall
meet
the
same
requirements
as
the
base
year
inventory.
Additional
guidance
is
available
on
inventory
procedures
(
see
section
III.
A.
2.(
a)).

By
meeting
the
specific
periodic
inventory
requirements
discussed
above,
the
State
will
also
satisfy
the
general
periodic
inventory
requirements
of
section
172(
c)(
3).

(
d)
Attainment
demonstration.
No
attainment
demonstration
is
required
for
moderate
CO
areas
when
the
CO
design
value
is
12.7
ppm
or
below.

(
e)
Oxygenated
fuels­­(
1)
Schedule.
Section
211(
m)
requires
that
SIP
revisions
containing
oxygenated
fuel
requirements
be
submitted
to
EPA
in
adopted
form
by
any
State
containing
all
or
part
of
a
nonattainment
area
for
CO
with
a
design
value
of
9.5
ppm
or
above
based
on
1988
and
1989
data.
Section
187(
b)
of
the
Act
calls
for
SIP
revisions
to
implement
oxygenated
gasoline
requirements
in
certain
CO
nonattainment
areas
within
2
years
of
enactment.
Because
section
211(
m)
is
more
detailed
than
section
187(
b)
and
applies
to
a
greater
number
of
CO
nonattainment
areas,
the
substantive
requirements
of
section
211(
m)
should
be
followed
in
preparing
SIP
revisions.
The
design
value
is
to
be
calculated
according
to
the
most
recent
interpretation
methodology
issued
by
the
Administrator
prior
to
November
15,
1990,
which
is
contained
in
June
18,
1990
memorandum
from
William
Laxton,
Director,
Technical
Support
Division,
to
the
Regional
Division
Directors.
The
statute
provides
that
States
with
areas
having
design
values
of
9.5
ppm
or
above
for
any
2­
year
period
after
1989,
e.
g.,
1990
and
1991,
have
18
months
after
such
2­
year
period
or
designation
as
nonattainment,
whichever
is
later,
to
submit
a
SIP
revision
meeting
the
requirements
of
this
section.

The
revision
must
require
that
any
gasoline
sold
or
dispensed
by
retailers
and
wholesale
purchasers/
consumers
in
the
nonattainment
area
must
contain
not
less
than
2.7
percent
oxygen
by
weight.
This
oxygen
content
requirement
will
also
apply
to
gasoline
sold
or
dispensed
by
refiners
or
marketers
within
the
larger
of
the
MSA/
CMSA
containing
the
nonattainment
area.
These
gasoline
content
requirements
apply
during
the
time
of
the
year
determined
by
the
Administrator
to
be
when
the
area
is
prone
to
high
ambient
CO
concentrations.
This
yearly
period
can
be
expected
to
be
no
less
than
4
months.
The
EPA
issued
proposed
guidance
on
the
length
of
the
control
periods
on
July
9,
1991
(
56
FR
31151).

States
may,
at
their
option,
include
provisions
for
marketable
oxygen
credits
in
their
SIP
revisions.
Under
such
a
program,
gasoline
with
a
higher
oxygen
content
than
required
could
offset
gasoline
with
a
lower
oxygen
content
than
required.
The
EPA
issued
proposed
guidelines
for
such
marketable
oxygen
credit
programs
on
July
9,
1991
(
56
FR
31154).

At
the
request
of
a
State,
EPA
will
consider
reducing
the
time
period
required
for
an
oxygenated
gasoline
program.
The
State
must
demonstrate
that,
because
of
meteorological
conditions,
a
reduced
period
will
ensure
that
there
will
be
no
exceedances
of
the
CO
air
quality
standard
outside
of
such
reduced
period.
The
demonstration
should
include
consideration
of
meteorological
conditions,
peak
periods
of
CO
emissions,
and
historical
ambient
air
quality
data,
including
peak
periods
of
CO
concentrations.
The
demonstration
should
use
EPA­
approved
dispersion
modeling
techniques.

For
areas
with
a
design
value
of
9.5
ppm
or
more
as
of
November
15,
1990
based
on
1988
and
1989
data,
the
oxygenated
gasoline
requirements
must
generally
take
effect
no
later
than
November
1,
1992.
For
areas
which
have
a
design
value
of
9.5
ppm
or
greater
for
any
2­
year
period
after
1989,
the
oxygenated
gasoline
requirements
must
generally
take
effect
no
later
than
November
1
of
the
third
year
after
the
second
year
of
the
applicable
2­
year
period.
In
both
cases,
the
November
1
date
may
change
based
either
on
EPA's
determination
of
when
the
area
is
prone
to
high
ambient
concentrations
of
CO,
or
on
an
EPA
determination
to
reduce
the
control
period
based
on
meteorological
conditions.

Requirements
for
oxygenated
gasoline
need
not
apply
to
the
attainment
area
outside
of
the
CMSA
or
MSA.
However,
oxygenated
gasoline
requirements
shall
continue
to
apply
for
nonattainment
areas
that
EPA
redesignated
as
attainment,
to
the
extent
needed
to
maintain
the
CO
standard.
The
revision
shall
cover
gasoline
offered
for
sale
or
supply,
dispensed,
transported,
or
introduced
into
commerce.

(
2)
Waivers.
The
statute
provides
for
a
waiver
from
oxygenated
gasoline
requirements
under
certain
conditions
described
below.
A
waiver
from
the
oxygenated
gasoline
requirements
may
be
granted
to
a
State
which
demonstrates
to
EPA's
satisfaction
that
using
oxygenated
gasoline
would
prevent
or
interfere
with
the
attainment
by
the
area
of
a
NAAQS
or
a
State
or
local
ambient
air
quality
standard
for
any
air
pollutant
other
than
CO.
A
waiver
from
the
oxygenated
gasoline
requirement
may
similarly
be
granted
upon
demonstration
by
the
State
to
the
satisfaction
of
EPA
that
mobile
sources
of
CO
do
not
contribute
significantly
to
CO
levels
in
the
area.
Finally,
EPA
may
waive
for
1
year
the
effective
date
of
the
requirement
for
oxygenated
gasoline
in
a
nonattainment
area
upon
petition
from
any
person
asserting
that
there
is
an
inadequate
domestic
supply
of,
or
distribution
capacity
for,
such
oxygenated
gasoline
or
oxygenate
additives
necessary
to
meet
the
requirements,
if
EPA
finds
this
assertion
to
be
true.
To
facilitate
EPA
review,
all
claims
asserted
should
be
demonstrated
and
documented
in
the
petition.
Upon
another
petition,
EPA
may
again
delay
the
effective
date
of
the
requirement
in
a
nonattainment
area
for
1
additional
year.
The
EPA
issued
proposed
guidelines
for
waivers
based
on
inadequate
domestic
supply
of,
or
distribution
capacity
for,
oxygenated
gasoline
or
oxygen
additives
on
September
3,
1991
(
56
FR
43593).
These
guidelines
discuss
the
contents
of
such
petitions,
guidelines
for,
and
decisions
on
such
petitions,
as
well
as
other
relevant
factors.

(
f)
NSR.
The
part
D
NSR
permit
requirements
of
section
173
apply
in
CO
nonattainment
areas.
All
moderate
CO
nonattainment
areas
with
a
design
value
of
12.7
ppm
or
less
must
submit
proposed
part
D
NSR
programs
no
later
than
November
15,
1993.
The
provisions
of
these
plans
must
be
developed
in
accordance
with
the
requirements
of
sections
172(
c)(
5)
and
173.
The
major
stationary
source
threshold
for
all
moderate
areas
remains
unchanged
at
100
tons
per
year
of
CO.
If
the
area
does
not
have
an
approved
part
D
NSR
permitting
program
and
a
State
wishes
to
issue
a
permit
for
a
major
stationary
source
or
major
modification
in
such
area
during
the
interim
period,
the
State
permit
should
comply
with
the
requirements
in
40
CFR
part
51,
appendix
S,
until
new
NSR
provisions
are
in
effect.

(
g)
Bump­
up
requirements.
According
to
section
186(
b)(
2),
moderate
CO
nonattainment
areas
that
fail
to
attain
the
standard
must
be
reclassified
to
serious
and
are
then
subject
to
the
serious
area
requirements.
This
reclassification
process
is
referred
to
as
"
bump­
up."
The
EPA
must
determine
within
6
months
after
the
attainment
date
whether
an
area
has
attained
the
NAAQS
for
CO.
The
determination
of
attainment
will
be
based
on
the
design
value
for
the
area
as
of
the
attainment
date.
In
making
this
determination,
EPA
will
use
the
most
recently
available,
quality­
assured
air
quality
data
covering
the
appropriate
2­
year
period
up
to
and
including
the
attainment
date.
If
EPA
determines
that
an
area
has
not
attained,
EPA
will
publish
a
notice
and
the
area
will
be
reclassified
by
operation
of
law.
As
specified
by
section
187(
f),
the
Administrator
may
adjust
any
applicable
deadlines
(
other
than
the
attainment
date)
where
such
deadlines
are
shown
to
be
infeasible.

As
provided
in
section
186(
a)(
4),
up
to
two
1­
year
extensions
of
the
attainment
date
can
be
granted
for
an
area
if
the
State
has
met
all
applicable
requirements
contained
in
its
implementation
plan,
and
if
the
NAAQS
has
been
exceeded
no
more
than
once
during
the
year
in
which
the
area
was
to
have
reached
attainment.
Because
EPA
will
be
reviewing
available
data
to
determine
the
attainment
status,
the
State
should
submit
its
application
for
this
extension
as
soon
as
the
necessary
air
quality
data
are
available.

2.
Moderate
Areas
Above
12.7
ppm
Unless
otherwise
noted,
all
moderate
areas
above
12.7
ppm
shall
meet
those
requirements
applicable
to
moderate
areas
below
12.7
ppm,
as
well
as
the
following
requirements.

(
a)
VMT
forecasts.
Section
187(
a)(
2)(
A)
requires
that
States
include
a
forecast
of
VMT
for
each
year
before
the
attainment
year
in
the
SIP
revision
for
CO
submitted
to
EPA
by
November
1992
under
section
187(
a)(
7).
The
SIP
revision
must
provide
for
annual
updates
of
the
forecasts
and
annual
reports
on
the
extent
to
which
the
forecasts
were
accurate,
as
well
as
estimates
of
actual
VMT
in
each
year
for
which
a
forecast
was
required.
The
forecast
and
reporting
requirement
applies
to
each
CO
nonattainment
area
having
a
design
value
above
12.7
ppm
at
the
time
of
its
classification.
States
should
follow
EPA
guidance
on
VMT
forecasting
to
be
issued
shortly.

The
first
set
of
forecasts
is
due
with
the
SIP
revision.
Subsequent
forecasts
are
to
be
submitted
to
EPA
together
with
annual
reports.
The
first
forecast
year
should
begin
with
1993
(
the
first
foreceast
year)
and
should
include
all
subsequent
years
up
to
the
year
of
attainment.
The
first
annual
report
is
due
September
1994
and
should
be
accompanied
by
updated
forecasts
of
1994
and
all
subsequent
years
up
to
the
attainment
year.

Annual
reports
must
contain
annual
updates
of
the
VMT
forecasts
and
must
discuss
the
extent
to
which
such
forecasts
proved
to
be
accurate.
These
reports
must
also
contain
estimates
of
actual
vehicle
miles
traveled
in
each
year
for
which
a
forecast
was
required.

Recognizing
that
a
certain
amount
of
statistical
variability
is
present
in
the
VMT
estimation
process,
EPA
believes
it
is
appropriate
to
allow
a
margin
of
error
to
be
applied
to
VMT
comparisons
but
that
this
margin
should
be
reduced
over
time
to
account
for
improvements
in
VMT
estimation
methodologies.
Consequently,
EPA
will
allow
a
5
percent
margin
of
error
for
VMT
comparisons
made
in
1994,
a
4
percent
margin
for
comparisons
made
in
1995,
and
a
3
percent
margin
for
comparisons
made
in
comparisons
made
in
1994,
1996
and
later
years.
But
since
each
revised
forecast
becomes
the
VMT
baseline
for
triggering
contingency
measures,
the
application
of
a
margin
of
error
every
year
could
allow
the
forecasts
to
increase
without
bound,
without
ever
triggering
contingencies.
To
avoid
this
occurrence,
EPA
believes
it
is
appropriate
to
limit
cumulative
VMT
growth
to
no
more
than
5
percent
above
the
VMT
forecast
used
as
the
basis
for
the
area's
attainment
demonstration.

If
estimated
actual
VMT
or
an
updated
forecast
exceeds
the
most
recent
prior
forecast
by
more
than
the
margin
of
error
allowed
for
a
particular
year,
and/
or
if
estimated
actual
VMT
or
forecasted
VMT
exceeds
the
cumulative
5
percent
cap
above
the
attainment
demonstration
forecast,
contingency
measures
will
be
triggered
in
the
nonattainment
area.
These
contingency
measures
are
to
be
adopted
and
enforceable
in
the
SIP.

(
b)
Contingency
measures.
Section
187(
a)(
3)
requires
areas
with
design
values
above
12.7
ppm
to
implement
contingency
measures
if
any
estimate
of
actual
VMT
in
the
nonattainment
area,
or
any
updated
forecast
of
VMT
contained
in
an
annual
report
for
any
year
prior
to
attainment,
exceeds
the
number
predicted
in
the
most
recent
VMT
forecast.
Contingency
measures
must
also
be
implemented
if
the
area
fails
to
attain
the
NAAQS
for
CO
by
the
attainment
date,
unless
it
is
granted
an
extension.
For
CO
area
with
design
values
at
or
below
12.7
ppm,
contingency
measures
are
needed
to
satisfy
the
provisions
under
section
172(
c)(
9)
and
are
due
by
November
15,
1993,
as
set
by
EPA
under
section
172(
b).
These
provisions
require
contingency
measures
to
be
implemented
in
the
event
that
an
area
fails
to
attain
by
the
applicable
attainment
date.
All
contingency
measures
for
CO
areas
with
design
values
above
12.7
ppm
must
be
adopted
and
enforceable
and
submitted
to
EPA
by
November
15,
1992,
as
set
by
EPA
under
section
172(
b).
This
is
the
date
by
which
the
State
must
submit
to
EPA
the
CO
SIP
with
demonstrations
of
attainment
for
moderate
areas
having
a
design
value
at
or
above
12.7
ppm.
These
contingency
requirements
for
SIP's
supersede
the
contingency
requirements
contained
in
the
1982
ozone
and
CO
SIP
guidance,
46
FR
7182
(
January
21,
1981).

The
1990
CAAA
do
not
specify
how
many
contingency
measures
are
needed
or
the
magnitude
of
emission
reductions
(
or
VMT
reductions)
they
must
provide.
The
EPA
believes
that
for
serious
nonattainment
areas,
a
logical
contingency
measure
for
failure
to
attain
by
the
attainment
date
would
be
the
adoption
of
a
requirement
for
a
minimum
3.1
percent
oxygen
content
of
gasoline
subject
to
the
waiver
provisions
in
section
211(
m)(
3).
This
suggested
contingency
measure
parallels
the
requirement
under
section
211(
m)(
7)
for
serious
areas
which
fail
to
attain
the
CO
NAAQS
to
adopt
and
implement
an
oxygenated
fuels
program
of
at
least
3.1
percent.
For
serious
areas
that
fail
to
meet
rate
of
progress
requirements,
for
moderate
areas
that
fail
to
attain
by
the
attainment
date,
and
for
all
areas
that
exceed
a
VMT
forecast,
States
may
select
contingency
measures
for
the
reduction
of
CO
emissions.

The
EPA
believes
that
for
exceedance
of
a
VMT
forecast,
one
appropriate
choice
of
contingency
measures
would
be
to
provide
for
the
implementation
of
sufficient
VMT
reductions
or
emissions
reductions
to
counteract
the
effect
of
1
year's
growth
in
VMT
while
the
State
revised
its
SIP
(
including
VMT
projections)
to
provide
for
attainment
by
the
applicable
date.
These
measures
may
offset
either
the
excess
VMT
in
the
nonattainment
area
or
the
additional
CO
emissions
in
the
area
that
are
attributable
to
the
additional
VMT.
Since
EPA
will
require
the
State
to
revise
its
SIP
within
1
year
of
finding
that
VMT
levels
are
exceeding
forecasts
considering
the
tolerance
discussed
earlier,
the
contingency
measures
should
be
capable
of
reducing
VMT
or
resultant
emissions
by
an
amount
equal
to
the
projected
annual
growth
rate
for
VMT.
In
other
words,
if
VMT
is
expected
to
increase
at
a
rate
of
2
percent
per
year,
the
contingency
measures
under
this
alternative
should
be
capable
of
reducing
future
VMT
(
or
offsetting
VMT
growth)
by
2
percent.

As
discussed
above
for
ozone
areas,
EPA
Interprets
the
requirement
for
contingency
measures
to
"
take
effect
without
further
action
by
the
State
or
the
Administrator"
to
mean
that
no
further
rulemaking
activities
by
the
State
or
EPA
would
be
needed
to
implement
the
measures.
Certain
actions,
such
as
notification
of
sources,
modification
of
permits,
etc.,
would
probably
be
needed
before
a
measure
could
be
implemented
effectively.
States
must
show
that
their
contingency
measures
can
be
implemented
with
minimal
further
action
on
their
part
and
with
no
additional
rulemaking
actions.

(
c)
Special
rule
on
TCM's
for
Denver.
The
requirements
of
section
187(
a)(
2)(
B)
have
the
same
effect
as
sections
182(
d)(
1)(
A)
and
187(
b)(
2),
discussed
below
in
section
III.
B.
3.(
b)
(
TCM's
equivalent
to
severe
ozone
TCM's).
Readers
are
referred
to
that
discussion
for
a
description
of
this
requirement.
(
d)
Enhanced
I/
M.
Section
187(
a)(
6)
requires
moderate
or
above
CO
nonattainment
areas
with
a
design
value
greater
than
12.7
ppm
to
implement
enhanced
I/
M
programs
in
urbanized
areas
within
the
nonattainment
areas,
as
defined
by
the
Bureau
of
Census,
with
1980
populations
of
200,000
or
more.
The
section
requires
that
the
plan
meet
the
requirements
of
section
182(
c)(
3),
as
discussed
in
the
section
in
this
preamble
concerning
enhanced
I/
M
in
serious
and
above
ozone
nonattainment
areas.

In
some
cases,
areas
may
have
become
newly
subject
to
both
basic
and
enhanced
I/
M
requirements
at
the
time
of
enactment,
with
the
basic
I/
M
requirements
due
shortly
prior
to
the
deadline
for
submission
of
the
SIP
revision
providing
for
the
enhanced
I/
M
program.
In
such
cases,
EPA
regards
enhanced
I/
M
requirements
as
superseding
the
basic
I/
M
requirements,
and
therefore
will
not
require
the
submission
of
the
basic
I/
M
requirements
discussed
previously.
The
EPA
will,
under
section
182(
i),
require
SIP
revisions
to
provide
for
an
enhanced
I/
M
program
within
2
years
in
areas
newly
subject
to
enhanced
I/
M
requirements
in
the
future
as
a
result
of
redesignation
or
reclassification.

The
SIP's
for
enhanced
I/
M
programs
are
due
no
later
than
November
15,
1992.
In
the
event
that
EPA's
enhanced
I/
M
performance
standard
is
not
finalized
soon
enough
to
provide
sufficient
time
for
full
SIP
development,
EPA
will
use
its
authority
under
section
110(
k)(
4)
to
conditionally
approve
SIP
submittals
committing
to
adopt
enforceable,
enhanced
I/
M
programs
consistent
with
EPA
guidance.
The
guidance
will
cover
the
elements
of
the
SIP.

If
a
moderate
nonattainment
area
fails
to
attain
the
CO
standard
by
December
31,
1995,
and
is
reclassified
to
serious,
an
enhanced
I/
M
program
must
be
implemented
if
the
area
meets
the
population
criterion
(
urbanized
area
population,
as
defined
by
the
Census
Bureau,
of
200,000
or
more).
The
EPA
will,
under
section
182(
i),
require
SIP
revisions
to
provide
for
an
enhanced
I/
M
program
within
2
years
of
redesignation
or
reclassification.

As
mandated
by
section
202(
m),
the
Administrator
will
promulgate
regulations
requiring
manufacturers
to
install
diagnostic
systems
on
all
new
light­
duty
vehicles
and
light­
duty
trucks.
The
purpose
of
these
systems
is
to
identify
and
track
emissions­
related
systems
deterioration
or
malfunction.
According
to
section
202(
m)(
3),
within
2
years
of
EPA's
promulgating
regulations
requiring
States
to
do
so,
all
States
with
I/
M
programs
must
amend
their
SIP
to
provide
for
inspection
of
these
onboard
diagnostics
systems.
The
EPA
will
issue
revised
I/
M
guidance
which
addresses
onboard
diagnostic
inspections.

(
e)
Attainment
demonstration.
Section
187(
a)(
7),
"
Attainment
Demonstration
and
Specific
Annual
Emission
Reductions,"
applies
to
CO
nonattainment
areas
with
a
design
value
greater
than
12.7
ppm
at
the
time
of
classification.
A
demonstration
of
attainment
is
required
by
November
15,
1992,
and
can
be
met
through
application
of
a
modeling
analysis,
following
the
guidance
contained
in
EPA
"
Guideline
on
Air
Quality
Models
(
Revised)."
The
attainment
demonstration
must
include
a
SIP
control
strategy,
which
is
also
due
by
November
15,
1992.
The
SIP
control
strategy
for
a
given
nonattainment
area
must
be
designed
to
ensure
that
the
area
meets
the
specific
annual
emission
reductions
necessary
for
reaching
attainment
by
the
deadline.

(
f)
Tracking
plan
implementation
and
milestone
compliance.
Section
187(
a)(
2)
requires
States
containing
CO
nonattainment
areas
with
design
values
above
12.7
ppm
to
submit
plans
that
contain
forecasts
/
13/
of
VMT
for
each
year
before
the
year
in
which
the
plan
projects
attainment.
Subsequently,
the
States
must
submit
annual
updates
to
those
forecasts
and
report
on
how
accurate
the
previous
forecasts
proved
to
be.
The
annual
reports
containing
estimates
of
VMT
must
be
preapred
for
each
year
in
which
a
forecast
was
required.
Contingency
measures,
developed
in
accordance
with
section
187(
a)(
3)
(
see
section
III.
B.
2.(
b)),
must
be
implemented
if
either
the
annual
estimates
of
actual
VMT
or
any
new
VMT
forecasts
exceeds
the
earlier
forecasts
included
in
the
State
plan,
considering
the
tolerance
discussed
above.
The
first
annual
reports
for
CO
areas
(
with
design
values
above
12.7
ppm)
must
be
submitted
to
EPA
within
9
months
after
the
first
full
calendar
year
after
the
attainment
demonstration
is
due
(
i.
e.,
the
reports
must
be
submitted
by
September
1994).
These
reports
must
contain
estimates
of
actual
VMT
in
the
previous
year,
forecasts
of
VMT
in
future
years,
and
verification
that
contingency
measures
are
being
implemented
if
the
actual
VMT
estimates
for
the
previous
year
or
any
new
VMT
forecasts
for
any
year
until
the
attainment
year
exceed
any
earlier
forecasts
in
the
State
plan.
The
reports
must
also
show
that
the
control
strategies
are
being
implemented
as
projected
in
the
plan.
The
EPA
wants
to
use
the
annual
reports
to
ensure
that
VMT
forecasts
are
consistent
with
VMT
estimates.
Furthermore,
a
serious
CO
nonattainment
area
must
demonstrate
by
March
31,
1996
that
it
has
"
achieved
a
reduction
in
emissions
of
CO
equivalent
to
the
total
of
the
specific
annual
emission
reductions
required
by
December
31,
1995"
(
section
187(
d)(
1)­­
Milestone
Demonstration).

NOTE
/
13/
Guidance
for
preparing
the
forecasts
of
VMT
is
contained
in
the
section
187
VMT
Forecasting
and
Tracking
Guidance.

(
g)
NSR.
All
CO
nonattainment
areas
with
a
design
value
greater
than
12.7
ppm
part
D
NSR
programs
meeting
sections
172(
c)(
5)
and
173
requirements
not
later
than
November
15,
1992,
in
accordance
with
section
187(
a)(
7).

3.
Serious
Areas
(
a)
Major
stationary
source
definition.
As
specified
in
section
187(
c)(
1),
for
serious
CO
nonattainment
areas
in
which
stationary
sources
contribute
significantly
to
CO
levels
(
determined
according
to
guidance
issued
in
the
May
13,
1991
memorandum
from
William
Laxton,
Director,
Technical
Support
Division,
to
Regional
Air
Division
Directors),
a
SIP
shall
be
submitted
by
November
15,
1992
that
provides
that
the
term
"
major
stationary
source"
includes
any
stationary
source
that
emits
or
has
the
potential
to
emit
50
tons
per
year
or
more
of
CO.
If
such
determination
is
not
made
by
EPA
under
section
187(
c)(
1),
then
"
major
stationary
source"
includes
any
stationary
source
that
emits
or
has
the
potential
to
emit
100
tons
per
year
or
more
of
CO.

(
b)
TCM's
equivalent
to
severe
ozone
TCM's.
Serious
CO
areas
(
and
Denver,
Colorado)
must
adopt
and
implement
enforceable
TCM's
in
conjunction
with
other
control
measures
necessary
to
comply
with
the
periodic
emissions
reduction
requirements
of
the
1990
CAAA.
The
TCM's,
which
are
required
to
offset
any
growth
in
emissions
from
growth
in
VMT
and
number
of
vehicle
trips
and
to
achieve
necessary
reductions
in
mobile
source
emissions,
are
due
by
November
15,
1992.
States
should
choose
from
the
list
of
TCM's
and
other
measures
in
section
108(
f).
These
requirements
are
contained
in
section
187(
b)(
2)
for
CO
areas
and
section
187(
a)(
2)(
B)
for
Denver.
See
section
III.
A.
5.(
d)
above
(
severe
ozone
TCM's)
for
a
discussion
of
how
to
calculate
growth
in
emissions
from
growth
in
VMT.

All
serious
CO
areas
covered
by
the
clean­
fuel
vehicle
fleet
program
(
except
for
areas
in
New
York
State,
should
any
such
area
ultimately
be
bumped
to
serious),
as
well
as
Denver,
must
explain
why
any
section
108(
f)
measure
is
not
adopted,
what
proposed
emission
reduction
measures
will
provide
comparable
reductions,
or
why
such
reductions
are
not
necessary
to
attain
the
CO
NAAQS.
This
requirement
may
be
met
by
an
attainment
demonstration
using
EPA
modeling
techniques
that
shows
the
other
adopted
control
measures
are
sufficient
to
provide
for
attainment
by
the
required
date.

This
requirement
must
be
met
by
any
serious
CO
area
meeting
the
section
246
definition
of
"
covered
area."
Section
246
defines
"
covered
areas"
as
areas
with
a
CO
design
value
of
16
ppm
or
greater,
excluding
those
areas
in
which
mobile
sources
do
not
contribute
significantly
to
CO
exceedances.
Of
the
three
existing
areas
with
CO
design
values
above
16
ppm,
EPA
anticipates
that
one
(
the
Steubenville,
Ohio
area)
may
be
able
to
show
that
mobile
sources
do
not
contribute
significantly
to
CO
exceedances.
Thus,
at
the
minimum,
this
requirement
would
apply
to
the
Denver
and
Los
Angeles
areas.
Areas
that
are
not
"
covered
areas"
are
not
required
by
this
provision
to
justify
their
rejection
of
TCM's.

(
c)
Clean­
fuel
vehicle
fleet
program.
Section
246(
a)(
2)(
B)
requires
that
all
CO
nonattainment
areas
with
1980
populations
of
250,000
or
more
and
design
values
of
16.0
ppm
or
higher,
submit
SIP
revisions
providing
for
clean­
fuel
vehicle
fleet
programs
by
May
15,
1994
(
42
months
from
enactment).

The
programs
must
require
a
specified
percentage
of
fleet
vehicles
in
model
year
1998
and
thereafter
to
be
clean­
fuel
vehicles
that
use
only
clean
alternative
fuels
when
operating
in
the
area.
For
light­
duty
vehicles
and
light­
duty
trucks,
the
required
percentage
must
be
30
percent
in
1998,
50
percent
in
1999,
and
70
percent
in
2000
and
thereafter.
For
heavy­
duty
trucks,
the
percentage
must
be
50
percent
in
each
such
year.
Light­
duty
vehicles
and
light­
duty
trucks
in
fleets
participating
in
this
program
for
these
model
years
must
also
meet
the
title
II
clean­
fuel
vehicle
standards
for
model
year
2001.
If
light­
duty
vehicles
and
light­
duty
trucks
of
6,000
pounds
GVWR
or
less
are
not
available
in
California
before
model
year
2001,
the
phase­
in
schedules
will
be
delayed
accordingly.

Some
of
the
major
program
requirements
include
the
following:
That
fuel
providers
make
clean
alternative
fuel
available
to
fleet
operators;
that
Federal
fleets
(
except
certain
vehicles
certified
by
the
Secretary
of
Defense
as
needing
an
exemption
based
on
national
security
grounds)
be
included
in
the
program;
and
that
credits
consistent
with
EPA
regulations
due
1
year
from
enactment
be
issued
for
purchasing
more
vehicles
than
required,
for
purchasing
vehicles
that
exceed
the
established
standards,
or
for
purchasing
vehicles
prior
to
the
effective
date
of
the
program.
In
addition,
certain
TCM's
may
not
apply
to
covered
fleet
vehicles
consistent
with
EPA
regulations.

Areas
where
mobile
sources
do
not
contribute
significantly
to
CO
exceedances
may
be
able
to
obtain
a
waiver
from
the
clean­
fuel
program.
The
reader
is
referred
to
the
discussion
in
this
preamble
that
addresses
guidance
on
waivers
for
mobile
source
measures,
section
III.
B.
7.

Each
State
subject
to
the
fleet
program
may
submit
a
SIP
revision
by
November
15,
1992
consisting
of
fully
adopted
control
measures
as
a
substitute
for
all
or
a
portion
of
the
clean­
fuel
vehicle
program
required
by
section
246.
The
substitute
measures
must
demonstrate
to
the
satisfaction
of
the
Administrator
that
the
long­
term
reductions
in
CO
emissions
and
toxic
substances
are,
at
a
minimum,
equal
to
those
that
would
be
achieved
under
the
clean­
fuel
vehicle
program
or
the
percentage
of
the
emissions
reductions
attributable
to
the
portion
of
the
program
for
which
the
revision
is
to
substitute.
Substitute
measures
may
not
include
any
other
measures
required
by
the
Act.

(
d)
Milestone
and
attainment
failures
(
economic
incentive
programs).
Economic
incentives
and
transportation
control
programs
(
as
described
in
section
182(
g)(
4))
are
required
for
serious
areas
under
several
different
types
of
failure:
Failure
to
submit
a
milestone
demonstration
(
as
defined
in
section
187(
d)(
1)),
failure
to
meet
the
milestone
(
section
187(
d)(
3)),
or
failure
to
attain
the
standard
by
the
applicable
attainment
date
(
section
187(
g)).
In
all
such
cases,
the
State
shall
submit
a
plan
revision
with
such
incentives
within
9
months
of
failure.
The
EPA
urges
such
a
State
to
initiate
the
development
of
a
program
of
economic
incentives
and
transportation
controls
as
soon
as
it
can
reasonably
define
the
objectives
and
scope
of
an
appropriate
program,
without
waiting
until
such
a
failure
occurs.
The
EPA
believes
that
early
initiation
is
important
so
as
to
allow
for
sufficient
time
to
develop,
implement,
and
evaluate
the
effectiveness
of
the
program.
Economic
incentive
programs
are
discussed
in
more
detail
in
section
III.
G.
3.

(
e)
Long­
term
measures.
The
EPA
recognizes
that
some
serious
CO
nonattainment
areas
(
and
perhaps
areas
with
long­
term
attainment
dates
for
other
pollutants)
will
have
such
large
emissions
reductions
requirements
that
identifying,
developing,
and
adopting
in
final
form
the
control
measures
that
represent
the
areas
preferred
strategy
for
their
demonstrations
of
attainment
may
present
an
unreasonable
burden.
The
EPA
believes
that
these
areas
may
need
additional
time
to
fully
develop
and
adopt
certain
"
long­
term"
measures
that
would
be
the
preferred
means
to
reach
attainment.
These
measures
would
include
those
that
require
complex
analyses
and
decision
making
and
coordination
among
a
number
of
government
agencies.

The
EPA
intends
to
allow
these
areas
reasonable
additional
time
to
complete
full
development
and
adoption
under
the
following
conditions:
(
1)
The
plan
containing
the
demonstration
of
attainment
must
identify
each
measure
for
which
additional
time
would
be
needed
for
full
development
and
adoption.

(
2)
The
plan
must
show
that
the
long­
term
measures
cannot
be
fully
developed
and
adopted
by
the
submittal
date
for
the
attainment
demonstration.

(
3)
The
plan
must
contain
an
enforceable
commitment
by
the
relevant
agency
that
development
and
adoption
will
occur
on
an
expeditious
schedule
to
achieve
specified
emission
reductions
from
each
long­
term
measure
for
each
year
through
the
attainment
year.

(
4)
The
plan
must
contain
"
backstop"
measures
that
would
be
implemented
to
achieve
equivalent
emission
reductions
unless
the
long­
term
measure
is
adopted
on
schedule.

(
5)
The
long­
term
measures
must
not
be
needed
to
meet
any
emission
reduction
requirement
before
December
31,
1995.

The
"
backstop"
measures
required
under
condition
4
must
be
submitted
with
the
1992
attainment
demonstration
in
fully
adopted
form.
The
"
backstop"
measures
must
be
designed
to
go
into
effect
automatically
on
a
schedule
sufficient
to
achieve
all
of
the
reductions
identified
with
each
long­
term
measure
for
each
year
through
the
attainment
year.
The
"
backstop"
measures
may
represent
broad,
across­
the­
board
reductions
in
emissions,
rather
than
thoroughly
analyzed
and
developed
control
measures.
For
this
reason,
EPA
does
not
anticipate
the
actual
implementation
of
"
backstop"
measures
in
most
cases,
as
States
will
have
ample
opportunity
to
submit
SIP
revisions
incorporating
the
fully
developed
long­
term
measures
and
deleting
the
"
backstop"
measures
from
the
SIP.
Additionally,
if
a
long­
term
measure
cannot
be
developed,
then
the
State
has
the
option
to
submit
a
SIP
revision
identifying
a
fully
developed
and
adopted
alternative
measure
to
replace
the
original
long­
term
measure
prior
to
any
necessary
implementation
of
"
backstop"
measures.

Thus,
a
State
may
find
that
progress
can
be
achieved
with
measures
that
are
fully
developed
by
the
1992
SIP
submittal
date.
However,
the
State
may
determine
that
expeditious
attainment
of
the
NAAQS
is
impossible
unless
the
SIP
also
includes
measures
which
cannot
be
fully
developed
until
after
the
1992
SIP
is
due.
In
its
1992
SIP
submittal,
the
State
must
clearly
describe
each
of
these
long­
term
measures
and
show
that
each
measure
cannot
be
fully
developed
and
adopted
until
a
specified
future
date,
despite
expeditious
implementation
efforts.
The
1992
SIP
must
include
with
each
long­
term
measure
an
enforceable
schedule,
binding
responsible
agencies
to
achieve
identified
emissions
reductions
from
each
measure.

Along
with
these
provisions,
the
State's
1992
SIP
submittal
must
include
"
backstop"
measures.
The
"
backstop"
measures
must
be
fully
adopted
and
scheduled
for
implementation
to
achieve
reductions
equivalent
to
those
assigned
each
year
by
the
long­
term
measures.
When
each
long­
term
measure
is
fully
developed,
it
must
be
submitted
to
EPA
as
a
SIP
amendment.
This
amendment
would
also
propose
deletion
of
the
associated
"
backstops."
The
EPA's
approval
of
the
long­
term
measures
would
also
rescind
from
the
SIP,
the
"
backstop"
measures.

4.
"
Not
Classified"
Nonattainment
Areas
(
a)
General.
Nonclassifiable
CO
areas
consist
of
"
not
classified"
areas.
The
EPA
describes
areas
as
"
not
classified"
if
they
were
designated
nonattainment
both
prior
to
enactment
and
(
pursuant
to
section
107(
d)(
1)(
C)
at
enactment,
and
if
they
did
not
violate
the
primary
NAAQS
for
CO
in
either
year
for
the
2­
year
period
1988
through
1989.

Although
it
seems
clear
that
the
CO­
specific
requirements
of
subpart
3
of
part
D
do
not
apply
to
CO
"
not
classified"
areas,
the
1990
CAAA
are
silent
as
to
how
the
requirements
of
subpart
1
of
part
D,
which
contains
general
SIP
planning
requirements
for
all
designated
nonattainment
areas,
should
be
interpreted
for
such
CO
areas.
Nevertheless,
because
these
areas
are
designated
nonattainment,
some
aspects
of
subpart
1
necessarily
apply.
The
EPA
interprets
the
requirements
under
section
172(
c)
for
these
areas
below.
Applicable
revisions
to
the
SIP
are
due
3
years
from
designation
under
section
107(
d)
(
see
56
FR
56694).

(
1)
RACM.
Reasonably
available
control
measures
are
required
for
areas
needing
to
achieve
attainment.
Because
"
not
classified"
areas
may
be
already
attaining
or
are
presumably
very
near
attainment,
the
EPA
believes
that
additional
RACM
controls
beyond
what
may
already
be
required
in
the
SIP
are
not
necessary
to
achieve
attainment
and
are
therefore
not
required.

(
2)
Attainment
demonstration.
Section
187(
a)(
7)
specifically
exempts
moderate
areas
with
design
values
less
than
12.7
ppm
from
requiring
an
attainment
demonstration.
Because
these
moderate
areas
are
exempt
from
this
requirement,
it
would
seem
unreasonable
to
subject
this
requirement
to
an
area
that
was
not
violating
the
standard.
Therefore,
EPA
will
presume
that
the
existing
SIP
requirements
and
any
existing
and
future
Federal
requirements
(
e.
g.,
the
title
II
rules)
will
be
sufficient
to
provide
for
attainment
in
these
areas.

(
3)
RFP.
A
RFP
requirement
assumes
a
long
nonattainment
period.
The
fact
that
a
"
not
classified"
area
is
already
in
or
near
attainment
obviates
the
need
for
an
RFP
requirement.

(
4)
Emissions
inventory.
An
emissions
inventory
is
specifically
required
under
this
section
and
is
not
tied
to
an
area's
proximity
to
attainment.
Moreover,
even
if
these
areas
are
already
attaining
or
near
attainment,
they
will
need
such
an
inventory
to
develop
an
approvable
maintenance
plan
under
section
175A.
Therefore,
an
emissions
inventory
must
be
included
in
the
SIP
revision
due
3
years
from
designation.

(
5)
NSR.
Like
the
emissions
inventory
requirement,
the
NSR
requirement
is
not
tied
to
an
area's
proximity
to
attainment,
and
therefore
exempting
a
nonattainment
area
from
the
NSR
requirements
is
not
allowed
by
the
Act.
Furthermore,
the
new
NSR
program
is
one
of
the
Act's
major
bulwarks
for
preventing
further
deterioration
of
the
Nation's
air
quality.
Therefore,
all