Document ID: EPA-HQ-OAR-2020-0372-0012
Agency: epa
Document Type: Rule
Title: Standards of Performance for Volatile Organic Liquid Storage Vessels (Including Petroleum Liquid Storage Vessels) for Which Construction, Reconstruction, or Modification Commenced After July 23, 1984
Posted Date: 2021-01-19T05:00Z

[Federal Register Volume 86, Number 11 (Tuesday, January 19, 2021)]
[Rules and Regulations]
[Pages 5013-5019]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-00678]

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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 60

[EPA-HQ-OAR-2020-0372; FRL-10019-21-OAR]
RIN 2060-AU91

Standards of Performance for Volatile Organic Liquid Storage 
Vessels (Including Petroleum Liquid Storage Vessels) for Which 
Construction, Reconstruction, or Modification Commenced After July 23, 
1984

AGENCY: Environmental Protection Agency (EPA).

ACTION: Final rule.

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SUMMARY: The U.S. Environmental Protection Agency (EPA) is finalizing 
amendments to the Standards of Performance for Volatile Organic Liquid 
Storage Vessels (Including Petroleum Liquid Storage Vessels) for Which 
Construction, Reconstruction, or Modification Commenced After July 23, 
1984. We are finalizing specific amendments that would allow owners or 
operators of storage vessels subject to the Standards of Performance 
for Volatile Organic Liquid Storage Vessels and equipped with either an 
external floating roof (EFR) or internal floating roof (IFR) to 
voluntarily elect to comply with the requirements specified in the 
National Emission Standards for Storage Vessels (Tanks)--Control Level 
2, as an alternative standard, in lieu of the requirements specified in 
the Standards of Performance for Volatile Organic Liquid Storage 
Vessels, subject to certain caveats and exceptions for monitoring, 
recordkeeping, and reporting.

DATES: The final rule is effective on January 19, 2021.

ADDRESSES: The EPA has established a docket for this rulemaking under 
Docket ID No. EPA-HQ-OAR-2020-0372. All documents in the docket are 
listed on the https://www.regulations.gov/ website. Although listed, 
some information is not publicly available, e.g., Confidential Business 
Information or other information whose disclosure is restricted by 
statute. Certain other material, such as copyrighted material, is not 
placed on the internet and will be publicly available only in hard copy 
form. Publicly available docket materials are available electronically 
on the https://www.regulations.gov/ website. Out of an abundance of 
caution for members of the public and our staff, the EPA Docket Center 
and Reading Room are closed to the public, with limited exceptions, to 
reduce the risk of transmitting COVID-19. Our Docket Center staff will 
continue to provide remote customer service via email, phone, and 
webform. For further information and updates on EPA Docket Center 
services, please visit us online at https://www.epa.gov/dockets. The 
EPA continues to carefully and continuously monitor information from 
the Center for Disease Control, local area health departments, and our 
federal partners so that we can respond rapidly as conditions change 
regarding COVID-19.

FOR FURTHER INFORMATION CONTACT: For questions about this final action, 
contact Mr. Neil Feinberg, Sector Policies and Programs Division (E143-
01), Office of Air Quality Planning and Standards, U.S. Environmental 
Protection Agency, Research Triangle Park, North Carolina 27711; 
telephone number: (919) 541-2214; fax number: (919) 541-0516; and email 
address: feinberg.stephen@epa.gov.

SUPPLEMENTARY INFORMATION: Preamble acronyms and abbreviations. We use 
multiple acronyms and terms in this preamble. While this list may not 
be exhaustive, to ease the reading of this preamble and for reference 
purposes, the EPA defines the following terms and acronyms here:

CAA Clean Air Act
CFR Code of Federal Regulations
EFR external floating roof
EPA Environmental Protection Agency
ICR Information Collection Request
IFR internal floating roof
kPa kilopascals
m3 cubic meters

[[Page 5014]]

NAICS North American Industry Classification System
NESHAP national emission standards for hazardous air pollutants
NSPS new source performance standards
OMB Office of Management and Budget
PRA Paperwork Reduction Act
tpy tons per year
VOC volatile organic compound(s)

    Background information. On October 16, 2020, the EPA proposed 
revisions to the Standards of Performance for Volatile Organic Liquid 
Storage Vessels (Including Petroleum Liquid Storage Vessels) for Which 
Construction, Reconstruction, or Modification Commenced After July 23, 
1984. 85 FR 65774. In this action, the EPA is finalizing decisions and 
revisions for the rule. We summarize the in-scope comments we timely 
received regarding the proposed rule and provide our responses in this 
preamble. A ``track changes'' version of the regulatory language that 
incorporates the changes in this action is available in the docket.
    Organization of this document. The information in this preamble is 
organized as follows:

I. General Information
    A. Does this action apply to me?
    B. Where can I get a copy of this document and other related 
information?
    C. Judicial Review and Administrative Reconsideration
II. Background and Final Amendments
III. Public Comments and Responses
IV. Impacts of the Final Rule
    A. What are the air quality impacts?
    B. What are the cost impacts?
    C. What are the economic impacts?
    D. What are the benefits?
V. Statutory and Executive Order Reviews
    A. Executive Order 12866: Regulatory Planning and Review and 
Executive Order 13563: Improving Regulation and Regulatory Review
    B. Executive Order 13771: Reducing Regulations and Controlling 
Regulatory Costs
    C. Paperwork Reduction Act (PRA)
    D. Regulatory Flexibility Act (RFA)
    E. Unfunded Mandates Reform Act (UMRA)
    F. Executive Order 13132: Federalism
    G. Executive Order 13175: Consultation and Coordination with 
Indian Tribal Governments
    H. Executive Order 13045: Protection of Children From 
Environmental Health Risks and Safety Risks
    I. Executive Order 13211: Actions Concerning Regulations That 
Significantly Affect Energy Supply, Distribution, or Use
    J. National Technology Transfer and Advancement Act (NTTAA)
    K. Executive Order 12898: Federal Actions to Address 
Environmental Justice in Minority Populations and Low-Income 
Populations
    L. Congressional Review Act (CRA)

I. General Information

A. Does this action apply to me?

    Regulated entities. Categories and entities potentially affected by 
this action are shown in Table 1 of this preamble.

     Table 1--Examples of Potentially Affected Entities by Category
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                                                 Examples of potentially
            Category             NAICS code \1\     regulated entities
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Industrial.....................             325  Chemical manufacturing
                                                  facilities.
                                            324  Petroleum and coal
                                                  products manufacturing
                                                  facilities.
                                         422710  Petroleum bulk stations
                                                  and terminals.
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\1\ North American Industry Classification System.

    This table is not intended to be exhaustive, but rather provides a 
guide for readers regarding entities likely to be affected by this 
action. To determine whether your entity is affected by this action, 
you should carefully examine the applicability criteria found in the 
final rule. If you have questions regarding the applicability of this 
action to a particular entity, consult the person listed in the FOR 
FURTHER INFORMATION CONTACT section of this preamble, your delegated 
authority, or your EPA Regional representative listed in 40 CFR 60.4 
(General Provisions).

B. Where can I get a copy of this document and other related 
information?

    In addition to being available in the docket, an electronic copy of 
this final action will be available on the internet. Following 
signature by the EPA Administrator, the EPA will post a copy of this 
final action at https://www.epa.gov/stationary-sources-air-pollution/volatile-organic-liquid-storage-vessels-including-petroleum-storage. 
Following publication in the Federal Register, the EPA will post the 
Federal Register version of the final rule and key technical documents 
at this same website.

C. Judicial Review and Administrative Reconsideration

    Under Clean Air Act (CAA) section 307(b)(1), judicial review of 
this final action is available only by filing a petition for review in 
the United States Court of Appeals for the District of Columbia Circuit 
by March 22, 2021. Under CAA section 307(b)(2), the requirements 
established by this final rule may not be challenged separately in any 
civil or criminal proceedings brought by the EPA to enforce the 
requirements.
    Section 307(d)(7)(B) of the CAA further provides that ``[o]nly an 
objection to a rule or procedure which was raised with reasonable 
specificity during the period for public comment (including any public 
hearing) may be raised during judicial review.'' This section also 
provides a mechanism for the EPA to convene a proceeding for 
reconsideration, ``[i]f the person raising an objection can demonstrate 
to the EPA that it was impracticable to raise such objection within 
[the period for public comment] or if the grounds for such objection 
arose after the period for public comment, (but within the time 
specified for judicial review) and if such objection is of central 
relevance to the outcome of the rule.'' Any person seeking to make such 
a demonstration to us should submit a Petition for Reconsideration to 
the Office of the Administrator, U.S. Environmental Protection Agency, 
Room 3000, WJC West Building, 1200 Pennsylvania Ave. NW, Washington, DC 
20460, with a copy to both the person(s) listed in the preceding FOR 
FURTHER INFORMATION CONTACT section, and the Associate General Counsel 
for the Air and Radiation Law Office, Office of General Counsel (Mail 
Code 2344A), U.S. Environmental Protection Agency, 1200 Pennsylvania 
Ave. NW, Washington, DC 20460.

II. Background and Final Amendments

    Pursuant to the EPA's authority under CAA section 111, the Agency 
proposed (49 FR 29698, July 23, 1984) and promulgated (52 FR 11420, 
April 8, 1987) new source performance standards (NSPS) at 40 CFR part 
60, subpart Kb, for Volatile Organic Liquid Storage Vessels, Including 
Petroleum Liquid Storage Vessels, for Which Construction, 
Reconstruction, or Modification Commenced After July 23, 1984. To 
reduce volatile organic compound (VOC) emissions from storage vessels 
with a capacity of 75

[[Page 5015]]

cubic meters (m\3\) or more that store organic liquids with a true 
vapor pressure over 27.6 kilopascals (kPa), and from storage vessels 
with a capacity of 151 m\3\ or more that store organic liquids with a 
true vapor pressure over 5.2 kPa, NSPS subpart Kb requires the use of 
either an EFR, an IFR, or a closed vent system and a control device. 
See 40 CFR 60.110b(a) and 60.112b(a) and (b).\1\ NSPS subpart Kb also 
specifies testing, monitoring, recordkeeping, reporting, and other 
requirements in 40 CFR 60.113b through 60.116b to ensure compliance 
with the standards. More specifically, 40 CFR 60.113b requires, among 
other things, that certain inspections for IFR and EFR occur at least 
once within certain defined timeframes (such as at least once every 
year, 5 years, or 10 years). Storage vessels with an EFR consist of an 
open-top cylindrical steel shell equipped with a deck that floats on 
the surface of the stored liquid (commonly referred to as a floating 
roof). Storage vessels with an IFR are fixed roof vessels \2\ that also 
have a deck internal to the tank that floats on the liquid surface 
within the fixed roof vessel (commonly referred to as an internal 
floating roof).
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    \1\ All affected storage vessels storing organic liquids with a 
true vapor pressure of 76.6 kPa or more must use a closed vent 
system and a control device. 40 CFR 60.112b(b).
    \2\ A fixed roof storage vessel consists of a cylindrical steel 
shell with a permanently affixed roof, which may vary in design from 
cone or dome-shaped to flat.
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    The standards in NSPS subpart Kb for storage vessels with an EFR or 
IFR are a combination of a design, equipment, work practice, and 
operational standards set pursuant to CAA section 111(h). These 
standards require, among other things, that a rim seal be installed 
continuously around the circumference of the vessel (between the inner 
wall of the vessel and the floating roof) to prevent VOC from escaping 
to the atmosphere through gaps between the floating roof and the inner 
wall of the storage vessel. Similarly, NSPS subpart Kb requires deck 
fittings \3\ on the floating roof to be equipped with a gasketed cover 
or lid that is kept in the closed position at all times (i.e., no 
visible gap), except when the device (the deck fitting) is in actual 
use, to prevent VOC emissions from escaping through the deck fittings. 
In general, NSPS subpart Kb requires owners or operators to conduct 
visual inspections to check for defects in the floating roof, rim 
seals, and deck fittings (e.g., holes, tears, or other openings in the 
rim seal, or covers and lids on deck fittings that no longer close 
properly) that could expose the liquid surface to the atmosphere and 
potentially result in VOC emission losses through rim seals and deck 
fittings.\4\
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    \3\ Numerous fittings pass through or are attached to floating 
roof decks to accommodate structural support components or to allow 
for operational functions. Typical deck fittings include, but are 
not limited to, the following: Access hatches, gauge floats, gauge-
hatch/sample ports, rim vents, deck drains, deck legs, vacuum 
breakers, and guidepoles. IFR tanks may also have deck seams, fixed-
roof support columns, ladders, and/or stub drains.
    \4\ For details about storage vessel emissions, refer to the 
Compilation of Air Pollutant Emission Factors, Volume 1: Stationary 
Point and Area Sources, AP-42, Fifth Edition, Chapter 7: Liquid 
Storage Tanks, dated June 2020, which is available at: https://www.epa.gov/air-emissions-factors-and-quantification/ap-42-compilation-air-emissions-factors.
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    Since promulgation of NSPS subpart Kb, the EPA promulgated 40 CFR 
part 63, subpart WW, which is applicable to storage vessels containing 
organic materials, as part of the generic maximum achievable control 
technology standards program for setting national emission standards 
for hazardous air pollutants (NESHAP) under CAA section 112. See 64 FR 
34854 (June 29, 1999). NESHAP subpart WW was developed for the purpose 
of providing consistent EFR and IFR requirements for storage vessels 
that could be referenced by multiple NESHAP subparts. Like the NSPS 
subpart Kb standards for floating roof tanks, NESHAP subpart WW is 
comprised of a combination of design, equipment, work practice, and 
operational standards. See proposed rule for NESHAP subpart WW (63 FR 
55178, 55196 (October 14, 1998)). Both rules specify monitoring, 
recordkeeping, and reporting requirements for storage vessels equipped 
with EFR or IFR, and both include numerous requirements for inspections 
that occur at least once within certain defined timeframes. See 40 CFR 
63.1063 for the IFR and EFR inspection requirements of NESHAP subpart 
WW. The inspections required by NESHAP subpart WW are intended to 
achieve the same goals as those inspections required by NSPS subpart Kb 
(e.g., both rules require visual inspections to check for defects in 
the floating roof, rim seals, and deck fittings). Further, NESHAP 
subpart WW incorporates technical improvements based on the EPA's 
experience with implementation of other NESHAP. For storage vessels 
equipped with either an EFR or IFR, as long as there is visual access 
(as explained below), NESHAP subpart WW allows that the visual 
inspection of the floating roof deck, deck fittings, and rim seals may 
be conducted, while the tank remains in-service, from the top-side of 
the floating roof (meaning on top of the floating roof, and in the case 
of an IFR, under the fixed roof and internal to the tank); this is 
referred to as an in-service top-side of the floating roof visual 
inspection. In other words, in the case of an IFR, if an owner or 
operator has physical access to the inside of the tank above the 
floating roof and a floating roof design which allows inspectors to 
have visual access to all rim seals and deck fittings of the floating 
roof (meaning an inspector can see all the components required to be 
inspected) while the storage vessel is in-service, then NESHAP subpart 
WW does not require the owner or operator to take the storage vessel 
out of service to inspect the floating roof, rim seals, and deck 
fittings in accordance with 40 CFR 63.1063(d)(1).\5\ This contrasts 
with NSPS subpart Kb, which, as explained in the proposed rule, 
requires that these inspections be conducted when the storage vessel is 
out-of-service (compare 40 CFR 63.1063(d)(1) with 40 CFR 60.113b(a)(4) 
and (b)(6)).
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    \5\ ``The inspection may be performed entirely from the top side 
of the floating roof, as long as there is visual access to all deck 
components specified in paragraph (a) of this section.'' 40 CFR 
63.1063(d)(1).
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    Pursuant to the EPA's authority under CAA section 111(h), we 
proposed amendments to NSPS subpart Kb in a new paragraph (see proposed 
85 FR 65782--40 CFR 60.110b(e)(5)) that would allow owners or operators 
of storage vessels subject to NSPS subpart Kb, and equipped with either 
an EFR or IFR, the choice to elect to comply with the requirements 
specified in NESHAP subpart WW as an alternative standard, in lieu of 
the requirements specified in NSPS subpart Kb. 85 FR 65774 (October 16, 
2020). Sources subject to NSPS subpart Kb that are equipped with either 
an EFR or IFR that elect to utilize the alternative standard would 
comply with all of the requirements in NESHAP subpart WW instead of the 
requirements in NSPS subpart Kb, 40 CFR 60.112b through 60.117b, 
subject to certain caveats and exceptions explained in the proposed 
rule and below. Among other things, this alternative allows owners or 
operators of storage vessels subject to NSPS subpart Kb that are 
equipped with an IFR, and that can meet the visual access requirement 
of NESHAP subpart WW explained above, to conduct the internal in-
service top-side of the floating roof visual inspection pursuant to 
NESHAP subpart WW, thereby avoiding the need to empty and degas the 
vessel for the sole purpose of conducting the inspection. Further, we 
are not changing the underlying monitoring, reporting, or recordkeeping 
requirements in either NSPS subpart Kb or NESHAP subpart WW (with the

[[Page 5016]]

exception of some conforming and referencing edits to recordkeeping and 
reporting as discussed in the proposed rule and below), nor are we 
changing the applicability criteria in NSPS subpart Kb or NESHAP 
subpart WW. We are requiring that owners or operators that choose to 
use this optional alternative standard continue to use the same NSPS 
subpart Kb procedures for all storage vessels when determining 
applicability of NSPS subpart Kb; thus, owners or operators that choose 
to use this alternative must continue to comply with the monitoring 
requirements of 40 CFR 60.116b(a), (c), (e), and (f)(1), and also must 
keep other records and furnish other reports (as discussed in the 
proposed rule and below) in addition to all of the requirements 
specified in 40 CFR 63.1060 through 63.1067 of NESHAP subpart WW. In 
addition, because NSPS subpart Kb applies to each single storage vessel 
(see 40 CFR 60.110b for NSPS subpart Kb applicability and definition of 
affected facility), this alternative standard would be available for 
each affected facility as defined in NSPS subpart Kb. In other words, 
an owner or operator with multiple affected facilities can choose to 
use (or not use) the alternative for each individual affected facility.
    After considering the public comments received, the EPA is 
finalizing the amendments that were proposed with minimal changes as a 
result of comments. We are clarifying that the notification for 
switching to or from the alternative standard is only required for the 
initial inspection after the switch. We are also correcting 
typographical errors in NSPS subpart Kb that inadvertently referenced 
the wrong, nonexistent subparts.

III. Public Comments and Responses

    This section presents a summary of the relevant public comments 
received on the proposed amendments and the EPA's responses. The EPA 
received five relevant public comments on the proposed amendments, some 
of which contained portions that were out of scope, and one comment 
that was entirely out of scope. The comments can be obtained online 
from the Federal Docket Management System at https://www.regulations.gov/.
    Comment: One commenter stated that the EPA should consider 
increasing the required frequency of inspections under the alternative 
standard, and that the EPA did not offer strong evidence of equivalence 
between the NSPS subpart Kb requirements and the alternative standard.
    Response: As discussed in section III.A of the preamble to the 
proposed rule, EPA determined that the alternative standard is 
appropriate because it will achieve a reduction in emissions at least 
equivalent to the reduction in emissions achieved under NSPS subpart 
Kb, and that the alternative standard is just as stringent as, if not 
more stringent than, the underlying standard. This determination was 
based upon the premise that the proposal would not change the 
underlying compliance schedule(s) for events (inspections) under NSPS 
subpart Kb or NESHAP subpart WW. The EPA did not solicit comment on, 
nor did we intend to make changes to, any other provisions of NSPS 
subpart Kb or NESHAP subpart WW, including the frequency of inspections 
required by each of those subparts. Further, the EPA referenced and 
provided background documentation in the docket to support this 
equivalency determination (see Docket Item No. EPA-HQ-OAR-2020-0372-
0004). The commenter did not explain how the EPA's support of the 
proposed equivalency determination was inadequate or provide any 
evidence to support the claimed need of increased inspection frequency. 
While the commenter states that ``empty vessel inspections'' are 
``potentially more comprehensive,'' they offer no explanation for this 
claim and do not dispute the EPA's explanation that ``[c]onducting the 
in-service top-side-of-the-floating-roof inspection per NESHAP subpart 
WW affords the inspector the same ability to examine all the listed 
components for all of the listed defects/inspection failures as if the 
storage vessel was emptied and degassed.'' 85 FR 65779. Therefore, the 
EPA does not find it necessary to increase the required frequency of 
inspections under the alternative standard in order to determine 
equivalency for the multiple reasons stated in section III.A of the 
proposal preamble which are not repeated here.
    Comment: One commenter suggested that the EPA consider including 
additional context for the Agency's explanation regarding the emission 
reduction potential of allowing compliance with the alternative 
standard.
    Response: The EPA has already included a document in the docket 
titled ``Impacts for Revision of Internal Floating Roof Storage Vessel 
(Tank) Inspection Requirements Subject to 40 CFR part 60 Subpart Kb'' 
(Docket Item No. EPA-HQ-OAR-2020-0372-0005) that explains the air 
quality impacts of the proposal. This document explains emission 
releases from tank emptying and degassing events and includes national 
impact estimates of the potential emissions avoided by the proposal in 
terms of tons per year (tpy) of VOC. This document already includes 
information that the commenter suggests should be added. Further, the 
commenter did not provide any explanation as to why it believes the 
documentation in the docket at proposal provided inadequate context for 
understanding the predicted emissions reductions associated with the 
proposed alternative standard. Therefore, the EPA does not find it 
necessary to conduct any additional analysis of the air quality impacts 
associated with the alternative standard.
    Comment: Several commenters recommended clarifying that the 
proposed revisions (the alternative standard) can be used by sources 
subject to other regulations that reference NSPS subpart Kb, such as 
the National Emission Standard for Benzene Waste Operations and the 
Gasoline Distribution MACT. The commenters noted that some emission 
standards that reference NSPS subpart Kb do not have the same design 
capacity and vapor pressure thresholds for requiring control as NSPS 
subpart Kb yet still require compliance with NSPS subpart Kb. The 
commenter suggested that the language of the proposed revisions be 
changed to be inclusive of storage vessels subject to those referencing 
standards.
    Response: The EPA did not propose to allow the alternative standard 
for any sources aside from those that meet the applicability criteria 
in 40 CFR 60.110b and which are equipped with either an IFR or EFR 
pursuant to 40 CFR 60.112b(a)(1) or (2). If the EPA were to make the 
alternative standard available to sources that comply with NSPS subpart 
Kb via a referencing subpart as commenters suggest, then the EPA would 
first need to conduct a detailed analysis of how each potential 
referencing subpart references NSPS subpart Kb. The EPA would then need 
to include conforming regulations in this rulemaking for recordkeeping, 
reporting, and applicability of general provisions as needed for those 
referencing subparts. These time-consuming analyses and associated 
regulatory amendments are outside the scope of this limited rulemaking. 
Therefore, we are not making changes to the criteria for storage 
vessels allowed to use the alternative standard at this time. However, 
the EPA will consider addressing the commenters' suggestion should the 
Agency decide to propose additional amendments to NSPS subpart

[[Page 5017]]

Kb in the future via a different rulemaking process.
    Comment: Several commenters recommended clarifying the reporting 
requirements of the proposed revisions. The commenters stated that the 
proposed revisions at 40 CFR 60.110b(e)(5)(iv)(B) and (C) require that 
each affected facility using the alternative standard submit reports 
under 40 CFR 63.1066 of NESHAP subpart WW; however, it was unclear when 
these reports need to be submitted. The commenter stated that it was 
unclear whether these reports should be submitted only with the first 
inspection using the alternative standard or with every subsequent 
inspection as well. The commenter stated that if the report was only 
required for the first inspection, this would be redundant with the 
reporting requirement in 40 CFR 60.110b(e)(5)(iv)(A). Alternatively, if 
this requirement were for every inspection, this requirement would 
conflict with the requirement in 40 CFR 60.110b(e)(5)(iv)(F)(2) to 
submit inspection reports only when inspection failures occur.
    Response: The EPA intended to require only the initial notification 
that occurs after electing to comply with the alternative standard 
under 40 CFR 60.110b(e)(5)(iv)(A). Therefore, we agree with the 
commenters' suggestion to remove the proposed provision that would have 
required inclusion of this notification with subsequent reports and 
have made the corresponding changes in the final rule language.
    Comment: Several commenters suggested clarifying the reporting 
frequency in the proposed revisions. The commenters stated that 
maintaining the reporting frequency of NSPS subpart Kb ``could lead to 
inconsistent and duplicative reporting requirements which . . . EPA has 
repeatedly acknowledged impose unnecessary burden with no environmental 
benefit,'' and that the EPA should allow semi-annual reporting 
frequency. The commenters stated that a semi-annual reporting 
requirement would be more consistent with reporting requirements 
established after the promulgation of NSPS subpart Kb in 1987. They 
also stated that the EPA allows storage vessels subject to both NSPS 
subpart Kb and a NESHAP to submit compliance reports on a semi-annual 
basis.
    Response: As the EPA explained in section V of the proposed 
amendments, the Agency did not solicit comment on, nor did we intend to 
make changes to, any other provisions of NSPS subpart Kb or NESHAP 
subpart WW aside from incorporating the proposed alternative standard. 
As such, the EPA is not modifying the reporting schedule for NSPS 
subpart Kb because such a change would be outside the scope of this 
limited rulemaking which was intended only to incorporate the proposed 
alternative standard. It was not the EPA's intent to make changes to 
the underlying reporting schedules in NSPS subpart Kb. However, the EPA 
will consider addressing the commenters' suggestion should the Agency 
decide to propose additional amendments to NSPS subpart Kb in the 
future via a different rulemaking process.
    Comment: Several commenters recommended clarifying the inspection 
deadlines of the alternative standard. The commenters stated that the 
EPA should allow inspections to occur at any point within the specified 
calendar period (e.g., within each calendar year rather than a specific 
1-year interval), provided that a minimum amount of time has passed 
since the last inspection.
    Response: As the EPA explained in section V of the proposed 
amendments, the Agency did not solicit comment on, nor did we intend to 
make changes to, any other provisions of NSPS subpart Kb or NESHAP 
subpart WW aside from incorporating the proposed alternative standard. 
As such, the EPA is not modifying the inspection schedule requirements 
for NSPS subpart Kb because such a modification would be outside the 
scope of this limited rulemaking which was intended only to incorporate 
the proposed alternative standard. It was not the EPA's intent to make 
changes to the underlying inspection schedules in NSPS subpart Kb. 
However, the EPA will consider addressing the commenters' suggestion 
should the Agency decide to propose additional amendments to NSPS 
subpart Kb in the future via a different rulemaking process.
    Comment: One commenter suggested that the EPA make technical 
corrections to 40 CFR 60.115b(a)(4) and (b) to correct previous 
inadvertent errors in citations.
    Response: The EPA agrees with the commenter and has corrected 40 
CFR 60.115b(a)(4) to reference 40 CFR 60.112b(a)(1) and 40 CFR 
60.115b(b) to reference 40 CFR 60.112b(a)(2). While this comment and 
the EPA's associated revisions do not fit squarely within the scope of 
the proposal to incorporate the alternative standard, and do address a 
separate provision of NSPS subpart Kb unrelated to the alternative 
standard, the EPA found it appropriate to make these changes because 
commenters identified a genuine typographical error. The EPA's 
revisions here will not alter how sources and/or the Agency have been 
implementing NSPS subpart Kb in any way. The EPA finds it appropriate 
and convenient to use this rulemaking to correct the inadvertent 
typographical error.

IV. Impacts of the Final Rule

A. What are the air quality impacts?

    We estimate that nationwide VOC emissions reductions would range 
from 65.8 tpy to 83.3 tpy as a result of the amendments. As explained 
at proposal, the alternative standard allows owners or operators to 
avoid emptying and degassing storage vessels in order to perform 
certain inspections, thereby reducing emissions caused by degassing 
vapors which have historically been vented to the atmosphere or sent to 
control equipment. These emissions reductions were documented in the 
memorandum, Impacts for Revision of Internal Floating Roof Storage 
Vessel (Tank) Inspection Requirements Subject to 40 CFR part 60 Subpart 
Kb (see Docket ID No. EPA-HQ-OAR-0372-0005).

B. What are the cost impacts?

    We estimate that the amendments will result in a nationwide net 
cost savings of between $768,000 and $1,091,000 per year (in 2019 
dollars). For further information on the cost savings associated with 
the amendments, see the memorandum, Impacts for Revision of Internal 
Floating Roof Storage Vessel (Tank) Inspection Requirements Subject to 
40 CFR part 60 Subpart Kb (see Docket ID No. EPA-HQ-OAR-0372-0005).

C. What are the economic impacts?

    As noted earlier, we estimated a nationwide cost savings associated 
with the amendments. Therefore, we do not expect the actions in this 
rulemaking to result in business closures, significant price increases 
or decreases in affected output, or substantial profit loss. For more 
information, refer to the Economic Impact Analysis for the Proposed 
Alternative Standard Available to Floating Roof Storage Vessels (Tanks) 
Subject to 40 CFR part 60 Subpart Kb, which is in the docket for this 
rulemaking.

D. What are the benefits?

    The EPA did not monetize the benefits from the estimated emission 
reductions of VOC associated with this action. However, we expect this 
action would provide benefits associated with VOC emission reductions.

[[Page 5018]]

V. Statutory and Executive Order Reviews

    Additional information about these statutes and Executive orders 
can be found at https://www.epa.gov/laws-regulations/laws-and-executive-orders.

A. Executive Order 12866: Regulatory Planning and Review and Executive 
Order 13563: Improving Regulation and Regulatory Review

    This action is not a significant regulatory action and was, 
therefore, not submitted to the Office of Management and Budget (OMB) 
for review.

B. Executive Order 13771: Reducing Regulations and Controlling 
Regulatory Costs

    This action is considered an Executive Order 13771 deregulatory 
action. Details on the estimated cost savings of this rule can be found 
in the EPA's analysis of the potential costs and benefits associated 
with this action.

C. Paperwork Reduction Act (PRA)

    The information collection activities in this rule have been 
submitted for approval to the OMB under the PRA. The Information 
Collection Request (ICR) document that the EPA prepared has been 
assigned EPA ICR number 1854.13. You can find a copy of the ICR in the 
docket for this rule, and it is briefly summarized here. The 
information collection requirements are not enforceable until OMB 
approves them.
    See section III.A of the preamble for the proposed rule (``What 
actions are we proposing?'') for a description of the alternative 
standard. Information about inspection activities related to NSPS 
subpart Kb is collected to assure compliance with NSPS subpart Kb. Most 
of the costs associated with the alternative standard are associated 
with labor hours. The time needed to conduct an in-service top-side-of-
the-floating-roof visual inspection pursuant to the requirements in 
NESHAP subpart WW is expected to be less than the time needed to 
complete an out-of-service inspection pursuant to NSPS subpart Kb. 
Therefore, we anticipate a cost savings. This ICR documents the 
incremental burden imposed by the final amendments only. In summary, 
there is a decrease in the burden (labor hours) documented in this ICR 
due a reduction in the number of respondents (storage vessels subject 
to NSPS subpart Kb) that would be required to empty and degas their 
storage vessels equipped with an IFR.
    Respondents/affected entities: Owners or operators of storage 
vessels constructed after July 23, 1984, that have capacity greater 
than or equal to 75 m\3\ used to store volatile organic liquids 
(including petroleum liquids) with a true vapor pressure greater than 
or equal to 3.5 kPa, and storage vessels constructed after July 23, 
1984, that have capacity between 75 and 151 m\3\ capacity for which the 
true vapor pressure of the stored liquid is greater than or equal to 15 
kPa.
    Respondent's obligation to respond: Mandatory (40 CFR part 60, 
subpart Kb, and 40 CFR part 63, subpart WW).
    Estimated number of respondents: 385 facilities.
    Frequency of response: Variable (storage vessel specific).
    Total estimated burden: A reduction of 6,210 hours (per year). 
Burden is defined at 5 CFR 1320.3(b).
    Total estimated cost: A savings of $930,000 (per year), includes a 
savings of $466,000 annualized capital or operation and maintenance 
costs.
    An agency may not conduct or sponsor, and a person is not required 
to respond to, a collection of information unless it displays a 
currently valid OMB control number. The OMB control numbers for the 
EPA's regulations in 40 CFR are listed in 40 CFR part 9. When OMB 
approves this ICR, the Agency will announce that approval in the 
Federal Register and publish a technical amendment to 40 CFR part 9 to 
display the OMB control number for the approved information collection 
activities contained in this final rule.

D. Regulatory Flexibility Act (RFA)

    I certify that this action will not have a significant economic 
impact on a substantial number of small entities under the RFA. This 
action will not impose any requirements on small entities. The 
alternative standard is optional; therefore, small entities are not 
required to comply with the alternative.

E. Unfunded Mandates Reform Act (UMRA)

    This action does not contain any unfunded mandate as described in 
UMRA, 2 U.S.C. 1531-1538, and does not significantly or uniquely affect 
small governments. The action imposes no enforceable duty on any state, 
local, or tribal governments or the private sector.

F. Executive Order 13132: Federalism

    This action does not have federalism implications. It will not have 
substantial direct effects on the states, on the relationship between 
the National Government and the states, or on the distribution of power 
and responsibilities among the various levels of government.

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

    This action does not have tribal implications as specified in 
Executive Order 13175. It will not have substantial direct effects on 
tribal governments, on the relationship between the Federal Government 
and Indian tribes, or on the distribution of power and responsibilities 
between the Federal Government and Indian tribes, as specified in 
Executive Order 13175. Thus, Executive Order 13175 does not apply to 
this action.
    Consistent with the EPA Policy on Consultation and Coordination 
with Indian Tribes, the EPA offered consultation with tribal officials 
during the development of this action; however, the Agency did not 
receive a request for consultation. The EPA held a webinar with 
communities on November 10, 2020, which included tribes during the 
public comment period to inform them of the content of the proposed 
rule and to encourage them to submit comments on the proposed rule.

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

    The EPA interprets Executive Order 13045 as applying only to those 
regulatory actions that concern environmental health or safety risks 
that the EPA has reason to believe may disproportionately affect 
children, per the definition of ``covered regulatory action'' in 
section 2-202 of the Executive order. This action is not subject to 
Executive Order 13045 because it does not concern an environmental 
health risk or safety risk.

I. Executive Order 13211: Actions Concerning Regulations That 
Significantly Affect Energy Supply, Distribution, or Use

    This action is not subject to Executive Order 13211 because it is 
not a significant regulatory action under Executive Order 12866.

J. National Technology Transfer and Advancement Act (NTTAA)

    This rulemaking does not involve technical standards.

K. Executive Order 12898: Federal Actions To Address Environmental 
Justice in Minority Populations and Low-Income Populations

    The EPA believes that this action does not have disproportionately 
high and adverse human health or environmental effects on minority 
populations, low-income populations, and/or indigenous peoples, as 
specified in Executive Order

[[Page 5019]]

12898 (59 FR 7629, February 16, 1994). Although the proposed 
alternative is optional, the alternative standard is at least as 
stringent as the current applicable requirements.
    As discussed above in section V.G, a webinar was held for community 
groups which included environmental justice communities.

L. Congressional Review Act (CRA)

    This action is subject to the CRA, and the EPA will submit a rule 
report to each House of the Congress and to the Comptroller General of 
the United States. This action is not a ``major rule'' as defined by 5 
U.S.C. 804(2).

List of Subjects in 40 CFR Part 60

    Environmental protection, Air pollution control, Reporting and 
recordkeeping requirements, Volatile organic compounds.

Andrew Wheeler,
Administrator.
    For the reasons set forth in the preamble, the EPA is amending 40 
CFR part 60 as follows:

PART 60--STANDARDS OF PERFORMANCE FOR NEW STATIONARY SOURCES

0
1. The authority citation for part 60 continues to read as follows:

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

Subpart Kb--Standards of Performance for Volatile Organic Liquid 
Storage Vessels (Including Petroleum Liquid Storage Vessels) for 
Which Construction, Reconstruction, or Modification Commenced After 
July 23, 1984

0
2. Section 60.110b is amended by adding paragraph (e)(5) to read as 
follows:

Sec.  60.110b  Applicability and designation of affected facility.

* * * * *
    (e) * * *
    (5) Option to comply with part 63, subpart WW, of this chapter. 
Except as specified in paragraphs (e)(5)(i) through (iv) of this 
section, owners or operators may choose to comply with 40 CFR part 63, 
subpart WW, to satisfy the requirements of Sec. Sec.  60.112b through 
60.117b for storage vessels either with a design capacity greater than 
or equal to 151 m\3\ containing a VOL that, as stored, has a maximum 
true vapor pressure equal to or greater than 5.2 kPa but less than 76.6 
kPa, or with a design capacity greater than or equal to 75 m\3\ but 
less than 151 m\3\ containing a VOL that, as stored, has a maximum true 
vapor pressure equal to or greater than 27.6 kPa but less than 76.6 
kPa.
    (i) The general provisions in subpart A of this part apply instead 
of the general provisions in subpart A of part 63 of this chapter.
    (ii) Where terms are defined in both this subpart and 40 CFR part 
63, subpart WW, the definitions in this subpart apply.
    (iii) Owners or operators who choose to comply with 40 CFR part 63, 
subpart WW, also must comply with the monitoring requirements of Sec.  
60.116b(a), (c), (e), and (f)(1), except as specified in paragraphs 
(e)(5)(iii)(A) through (C) of this section.
    (A) The reference to all records applies only to the records 
required by Sec.  60.116b(c);
    (B) The reference to Sec.  60.116b(b) does not apply; and
    (C) The reference to Sec.  60.116b(g) does not apply.
    (iv) Owners or operators who choose to comply with 40 CFR part 63, 
subpart WW, must also keep records and furnish reports as specified in 
paragraphs (e)(5)(iv)(A) through (F) of this section.
    (A) For each affected facility, the owner or operator must notify 
the Administrator at least 30 days before the first inspection is 
conducted under 40 CFR part 63, subpart WW. After this notification is 
submitted to the Administrator, the owner or operator must continue to 
comply with the alternative standard described in this paragraph (e)(5) 
until the owner or operator submits another notification to the 
Administrator indicating the affected facility is using the 
requirements of Sec. Sec.  60.112b through 60.117b instead of the 
alternative standard described in this paragraph (e)(5). The compliance 
schedule for events does not reset upon switching between compliance 
with this subpart and 40 CFR part 63, subpart WW.
    (B) Keep a record of each affected facility using the alternative 
standard described in this paragraph (e)(5) when conducting an 
inspection required by Sec.  63.1063(c)(1) of this chapter.
    (C) Keep a record of each affected facility using the alternative 
standard described in this paragraph (e)(5) when conducting an 
inspection required by Sec.  63.1063(c)(2) of this chapter.
    (D) Copies of all records and reports kept pursuant to Sec.  
60.115b(a) and (b) that have not met the 2-year record retention 
required by the introductory text of Sec.  60.115b must be kept for an 
additional 2 years after the date of submittal of the inspection 
notification specified in paragraph (e)(5)(iv)(A) of this section, 
indicating the affected facility is using the requirements of 40 CFR 
part 63, subpart WW.
    (E) Copies of all records and reports kept pursuant to Sec.  
63.1065 of this chapter that have not met the 5-year record retention 
required by the introductory text of Sec.  63.1065 must be kept for an 
additional 5 years after the date of submittal of the notification 
specified in paragraph (e)(5)(iv)(A) of this section, indicating the 
affected facility is using the requirements of Sec. Sec.  60.112b 
through 60.117b.
    (F) The following exceptions to the reporting requirements of Sec.  
63.1066 of this chapter apply:
    (1) The notification of initial startup required under Sec.  
63.1066(a)(1) and (2) of this chapter must be submitted as an 
attachment to the notification required by Sec. Sec.  60.7(a)(3) and 
60.115b(a)(1);
    (2) The reference in Sec.  63.1066(b)(2) of this chapter to 
periodic reports ``when inspection failures occur'' means to submit 
inspections results within 60 days of the initial gap measurements 
required by Sec.  63.1063(c)(2)(i) of this chapter and within 30 days 
of all other inspections required by Sec.  63.1063(c)(1) and (2) of 
this chapter.

0
3. Section 60.115b is amended by revising paragraph (a)(4) and the 
introductory text of paragraph (b) to read as follows:

Sec.  60.115b  Reporting and recordkeeping requirements.

* * * * *
    (a) * * *
    (4) After each inspection required by Sec.  60.113b(a)(3) that 
finds holes or tears in the seal or seal fabric, or defects in the 
internal floating roof, or other control equipment defects listed in 
Sec.  60.113b(a)(3)(ii), a report shall be furnished to the 
Administrator within 30 days of the inspection. The report shall 
identify the storage vessel and the reason it did not meet the 
specifications of Sec.  60.112b(a)(1) or Sec.  60.113b(a)(3) and list 
each repair made.
    (b) After installing control equipment in accordance with Sec.  
60.112b(a)(2) (external floating roof), the owner or operator shall 
meet the following requirements.
* * * * *
[FR Doc. 2021-00678 Filed 1-15-21; 8:45 am]
BILLING CODE 6560-50-P