Document ID: EPA-R05-OAR-2019-0032-0004
Agency: epa
Document Type: Rule
Title: Final Approval of the Illinois Emissions Reduction Market System Sunset
Posted Date: 2019-11-19T05:00Z

[Federal Register Volume 84, Number 223 (Tuesday, November 19, 2019)]
[Rules and Regulations]
[Pages 63804-63806]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-24938]

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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[EPA-R05-OAR-2019-0032; FRL-10002-26-Region 5]

Air Plan Approval; Illinois; Emissions Reduction Market System 
Sunsetting

AGENCY: Environmental Protection Agency (EPA).

ACTION: Final rule.

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SUMMARY: The Environmental Protection Agency (EPA) is approving a State 
Implementation Plan (SIP) revision submitted by the Illinois 
Environmental Protection Agency (Illinois EPA) on January 11, 2019, 
concerning the State's Emissions Reduction Market System (ERMS) program 
for the Chicago ozone nonattainment area (NAA) in Illinois. The 
revision sunsets the ERMS program and removes 35 Illinois 
Administrative Code (35 IAC) Part 205, from the SIP as the ERMS program 
is no longer effective in providing additional emissions reductions or 
environmental benefit. The submittal includes a demonstration under 
section 110(l) of the Clean Air Act (CAA) that addresses emission 
impacts associated with the sunsetting of the program.

DATES: This final rule is effective on December 19, 2019.

ADDRESSES: EPA has established a docket for this action under Docket ID 
No. EPA-R05-OAR-2019-0032. All documents in the docket are listed in 
the http://www.regulations.gov website. Publicly available docket 
materials may be obtained either from http://www.regulations.gov, or 
from the person identified in the FOR FURTHER INFORMATION CONTACT 
section.

FOR FURTHER INFORMATION CONTACT:  Francisco J. Acevedo, Mobile Source 
Program Manager, Control Strategies Section, Air Programs Branch (AR-
18J), Environmental Protection Agency, Region 5, 77 West Jackson 
Boulevard,

[[Page 63805]]

Chicago, Illinois 60604, (312) 886-6061, acevedo.francisco@epa.gov.

SUPPLEMENTARY INFORMATION: Throughout this document whenever ``we,'' 
``us,'' or ``our'' is used, we mean EPA.

I. What is being addressed by this document?

    The ERMS program was originally implemented in Illinois as a cap-
and-trade program designed to reduce the emissions of volatile organic 
compounds (VOC \1\) in the Chicago ozone NAA below the levels required 
by reasonably available control technology (RACT) and other 
regulations. The program was intended to achieve additional emission 
reductions needed for the post-1999 ozone Rate of Progress (ROP) plan 
for the now-revoked 1979 1-hour ozone standard, while providing sources 
with more flexibility than is typically present in other regulations.
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    \1\ Illinois uses the term ``Volatile Organic Material'' (VOM) 
rather than VOC. The State's definition of VOM is equivalent to 
EPA's definition of VOC at 40 CFR 51.100. The two terms are 
interchangeable when discussing volatile organic emissions. For 
consistency with the CAA and EPA policy, this rulemaking uses the 
term VOC.
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    The ERMS program was adopted by Illinois in 1997 and approved as 
part of the Illinois SIP by EPA on October 15, 2001 (66 FR 52343). The 
program was amended in 2005 and approved by EPA on July 7, 2008 (73 FR 
38328).
    Illinois has achieved all the reductions needed under the ROP plan 
for the Chicago NAA, and is now terminating the ERMS program, as it is 
no longer effective in providing environmental benefit. Since the 
implementation of ERMS in 2000, actual emissions from sources in ERMS 
have continued to decrease. These emissions reductions are due to 
various factors, including the shutdown of the original affected 
sources. New sources and emission units that have become subject to 
ERMS do not emit at the rate of these older, shut down sources. 
Additionally, as discussed in EPA's proposal, several State and Federal 
regulations addressing VOC emissions have been promulgated since ERMS 
began, resulting in a significant decline in both allowable and actual 
emissions. As part of their SIP submittal, Illinois EPA requested EPA's 
approval of the State's action to sunset the ERMS program as of April 
30, 2018, which would therefore allow EPA to remove 35 IAC Part 205 
provisions from the SIP. Illinois EPA submitted an anti-backsliding 
analysis in accordance with section 110(l) of the CAA to demonstrate 
that the discontinuation of the ERMS program as of April 30, 2018 will 
not interfere with attainment or maintenance of the ozone NAAQS in the 
Chicago NAA.

II. What comments did we receive on the proposed SIP revision?

    Our August 19, 2019 proposed rule provided a 30-day comment period 
(84 FR 42872). The comment period closed on September 19, 2019. EPA 
received one comment during the public comment period. The comment 
supported EPA's proposed action to allow the ERMS sunset in Illinois' 
SIP and encouraged EPA to make the SIP revision effective as soon as 
possible.

III. What action is EPA taking?

    EPA is approving the revision to the Illinois SIP submitted by the 
Illinois EPA on January 11, 2019, because the sunset of Illinois' ERMS 
program in the SIP meets all applicable requirements and would not 
interfere with reasonable further progress or attainment of the ozone 
NAAQS. As a result, EPA is removing the ERMS provisions (35 IAC Part 
205) from the SIP.

IV. Incorporation by Reference

    In this document, EPA is finalizing regulatory text that includes 
incorporation by reference. As described in the amendments to 40 CFR 
part 52 set forth below, EPA is removing provisions of the EPA-Approved 
Illinois Regulations and Statutes from the Illinois SIP, which is 
incorporated by reference in accordance with the requirements of 1 CFR 
part 51. EPA has made, and will continue to make the SIP generally 
available through www.regulations.gov and at the EPA Region 5 Office 
(please contact the person identified in the FOR FURTHER INFORMATION 
CONTACT section of this preamble for more information).

V. Statutory and Executive Order Reviews

    Under the CAA, the Administrator is required to approve a SIP 
submission that complies with the provisions of the CAA and applicable 
Federal regulations. 42 U.S.C. 7410(k); 40 CFR 52.02(a). Thus, in 
reviewing SIP submissions, EPA's role is to approve state choices, 
provided that they meet the criteria of the CAA. Accordingly, this 
action merely approves state law as meeting Federal requirements and 
does not impose additional requirements beyond those imposed by state 
law. For that reason, this action:
     Is not a significant regulatory action subject to review 
by the Office of Management and Budget under Executive Orders 12866 (58 
FR 51735, October 4, 1993) and 13563 (76 FR 3821, January 21, 2011);
     Is not expected to be an Executive Order 13771 (82 FR 
9339, February 2, 2017) regulatory action because this action is not 
significant under Executive Order 12866;
     Does not impose an information collection burden under the 
provisions of the Paperwork Reduction Act (44 U.S.C. 3501 et seq.);
     Is certified as not having a significant economic impact 
on a substantial number of small entities under the Regulatory 
Flexibility Act (5 U.S.C. 601 et seq.);
     Does not contain any unfunded mandate or significantly or 
uniquely affect small governments, as described in the Unfunded 
Mandates Reform Act of 1995 (Pub. L. 104-4);
     Does not have federalism implications as specified in 
Executive Order 13132 (64 FR 43255, August 10, 1999);
     Is not an economically significant regulatory action based 
on health or safety risks subject to Executive Order 13045 (62 FR 
19885, April 23, 1997);
     Is not a significant regulatory action subject to 
Executive Order 13211 (66 FR 28355, May 22, 2001);
     Is not subject to requirements of Section 12(d) of the 
National Technology Transfer and Advancement Act of 1995 (15 U.S.C. 272 
note) because application of those requirements would be inconsistent 
with the CAA; and
     Does not provide EPA with the discretionary authority to 
address, as appropriate, disproportionate human health or environmental 
effects, using practicable and legally permissible methods, under 
Executive Order 12898 (59 FR 7629, February 16, 1994).
    In addition, the SIP is not approved to apply on any Indian 
reservation land or in any other area where EPA or an Indian tribe has 
demonstrated that a tribe has jurisdiction. In those areas of Indian 
country, the rule does not have tribal implications and will not impose 
substantial direct costs on tribal governments or preempt tribal law as 
specified by Executive Order 13175 (65 FR 67249, November 9, 2000).
    The Congressional Review Act, 5 U.S.C. 801 et seq., as added by the 
Small Business Regulatory Enforcement Fairness Act of 1996, generally 
provides that before a rule may take effect, the agency promulgating 
the rule must submit a rule report, which includes a copy of the rule, 
to each House of the Congress and to the Comptroller General of the 
United States. EPA will submit a report containing this action and 
other required information to the U.S. Senate, the U.S. House of 
Representatives, and the Comptroller General of the United States prior 
to publication of the rule in

[[Page 63806]]

the Federal Register. A major rule cannot take effect until 60 days 
after it is published in the Federal Register. This action is not a 
``major rule'' as defined by 5 U.S.C. 804(2).
    Under section 307(b)(1) of the CAA, petitions for judicial review 
of this action must be filed in the United States Court of Appeals for 
the appropriate circuit by January 21, 2020. Filing a petition for 
reconsideration by the Administrator of this final rule does not affect 
the finality of this action for the purposes of judicial review nor 
does it extend the time within which a petition for judicial review may 
be filed, and shall not postpone the effectiveness of such rule or 
action. This action may not be challenged later in proceedings to 
enforce its requirements. (See section 307(b)(2) of the CAA.)

List of Subjects in 40 CFR Part 52

    Environmental protection, Air pollution control, Incorporation by 
reference, Volatile organic compounds.

    Dated: November 6, 2019.
Cathy Stepp,
Regional Administrator, Region 5.

    For the reasons stated in the preamble, EPA amends 40 CFR part 52 
as set forth below:

PART 52--APPROVAL AND PROMULGATION OF IMPLEMENTATION PLANS

0
1. The authority citation for part 52 continues to read as follows:

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

Subpart O--Illinois

Sec.  52.720   [Amended]

0
2. In Sec.  52.720, the table in paragraph (c) is amended by removing 
the undesignated headings ``Subchapter b: Alternative Reduction 
Program'' and ``Part 205: Emissions Reduction Market System'' and all 
the undesignated subheadings and entries up to and including the entry 
``205.760''.
[FR Doc. 2019-24938 Filed 11-18-19; 8:45 am]
 BILLING CODE 6560-50-P