80_FR_52870 80 FR 52701 - Approval and Promulgation of Implementation Plans; Alabama: Nonattainment New Source Review

80 FR 52701 - Approval and Promulgation of Implementation Plans; Alabama: Nonattainment New Source Review

ENVIRONMENTAL PROTECTION AGENCY

Federal Register Volume 80, Issue 169 (September 1, 2015)

Page Range52701-52710
FR Document2015-21537

The Environmental Protection Agency (EPA) is proposing to approve portions of a revision to the Alabama State Implementation Plan (SIP) submitted by the Alabama Department of Environmental Management (ADEM) to EPA on May 2, 2011. The proposed SIP revision modifies Alabama's nonattainment new source review (NNSR) regulations in their entirety to be consistent with the federal new source review (NSR) regulations for the implementation of the criteria pollutant national ambient air quality standards (NAAQS). EPA is proposing approval of portions of the NNSR rule changes in Alabama's May 2, 2011, SIP revision because the Agency has preliminarily determined that the changes are consistent with the Clean Air Act (CAA or Act) and federal regulations regarding NNSR permitting.

Federal Register, Volume 80 Issue 169 (Tuesday, September 1, 2015)
[Federal Register Volume 80, Number 169 (Tuesday, September 1, 2015)]
[Proposed Rules]
[Pages 52701-52710]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2015-21537]


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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[EPA-R04-OAR-2012-0079; FRL-9933-31-Region 4]


Approval and Promulgation of Implementation Plans; Alabama: 
Nonattainment New Source Review

AGENCY: Environmental Protection Agency.

ACTION: Proposed rule.

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SUMMARY: The Environmental Protection Agency (EPA) is proposing to 
approve portions of a revision to the Alabama State Implementation Plan 
(SIP) submitted by the Alabama Department of Environmental Management 
(ADEM) to EPA on May 2, 2011. The proposed SIP revision modifies 
Alabama's nonattainment new source review (NNSR) regulations in their 
entirety to be consistent with the federal new source review (NSR) 
regulations for the implementation of the criteria pollutant national 
ambient air quality standards (NAAQS). EPA is proposing approval of 
portions of the NNSR rule changes in Alabama's May 2, 2011, SIP 
revision because the Agency has preliminarily determined that the 
changes are consistent with the Clean Air Act (CAA or Act) and federal 
regulations regarding NNSR permitting.

DATES: Comments must be received on or before October 1, 2015.

ADDRESSES: Submit your comments, identified by Docket ID No. EPA-R04-
OAR-2012-0079, by one of the following methods:
    1. www.regulations.gov: Follow the on-line instructions for 
submitting comments.
    2. Email: [email protected].

[[Page 52702]]

    3. Fax: (404) 562-9019.
    4. Mail: ``EPA-R04-OAR-2012-0079,'' Air Regulatory Management 
Section (formerly Regulatory Development Section), Air Planning and 
Implementation Branch, Air, Pesticides and Toxics Management Division, 
U.S. Environmental Protection Agency, Region 4, 61 Forsyth Street SW., 
Atlanta, Georgia 30303-8960.
    5. Hand Delivery or Courier: Lynorae Benjamin, Chief, Air 
Regulatory Management Section, Air Planning and Implementation Branch, 
Air, Pesticides and Toxics Management Division, U.S. Environmental 
Protection Agency, Region 4, 61 Forsyth Street SW., Atlanta, Georgia 
30303-8960. Such deliveries are only accepted during the Regional 
Office's normal hours of operation. The Regional Office's official 
hours of business are Monday through Friday, 8:30 a.m. to 4:30 p.m., 
excluding Federal holidays.
    Instructions: Direct your comments to Docket ID No. EPA-R04-OAR-
2012-0079. EPA's policy is that all comments received will be included 
in the public docket without change and may be made available online at 
www.regulations.gov, including any personal information provided, 
unless the comment includes information claimed to be Confidential 
Business Information (CBI) or other information whose disclosure is 
restricted by statute. Do not submit through www.regulations.gov or 
email, information that you consider to be CBI or otherwise protected. 
The www.regulations.gov Web site is an ``anonymous access'' system, 
which means EPA will not know your identity or contact information 
unless you provide it in the body of your comment. If you send an email 
comment directly to EPA without going through www.regulations.gov, your 
email address will be automatically captured and included as part of 
the comment that is placed in the public docket and made available on 
the Internet. If you submit an electronic comment, EPA recommends that 
you include your name and other contact information in the body of your 
comment and with any disk or CD-ROM you submit. If EPA cannot read your 
comment due to technical difficulties and cannot contact you for 
clarification, EPA may not be able to consider your comment. Electronic 
files should avoid the use of special characters, any form of 
encryption, and be free of any defects or viruses. For additional 
information about EPA's public docket visit the EPA Docket Center 
homepage at http://www.epa.gov/epahome/dockets.htm.
    Docket: All documents in the electronic docket are listed in the 
www.regulations.gov index. Although listed in the index, some 
information is not publicly available, i.e., CBI 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 either electronically in www.regulations.gov or 
in hard copy at the Air Regulatory Management Section, Air Planning and 
Implementation Branch, Air, Pesticides and Toxics Management Division, 
U.S. Environmental Protection Agency, Region 4, 61 Forsyth Street SW., 
Atlanta, Georgia 30303-8960. EPA requests that if at all possible, you 
contact the person listed in the FOR FURTHER INFORMATION CONTACT 
section to schedule your inspection. The Regional Office's official 
hours of business are Monday through Friday, 8:30 a.m. to 4:30 p.m., 
excluding Federal holidays.

FOR FURTHER INFORMATION CONTACT: For further information regarding the 
Alabama SIP, contact Mr. D. Brad Akers, Air Regulatory Management 
Section, Air Planning and Implementation Branch, Air, Pesticides and 
Toxics Management Division, U.S. Environmental Protection Agency, 
Region 4, 61 Forsyth Street SW., Atlanta, Georgia 30303-8960. Mr. Akers 
can be reached by phone at (404) 562-9089 or via electronic mail at 
[email protected]. For information regarding NSR, contact Ms. Yolanda 
Adams, Air Permits Section, at the same address above. Telephone 
number: (404) 562-9214; email address: [email protected].

SUPPLEMENTARY INFORMATION: 

I. What is EPA's proposed action for changes to Alabama's NNSR rules?

    On May 2, 2011, ADEM submitted a SIP revision to EPA for approval 
that involves changes to Alabama's regulations needed to make them 
consistent with federal requirements for general and transportation 
conformity and NSR permitting.\1\ In this action, EPA is proposing to 
approve the portion of Alabama's May 2, 2011 submission that makes 
changes to Alabama's NNSR program, set forth at ADEM Administrative 
Code, Division 3, Chapter 14, Subchapter .05 (ADEM Rule 335-3-14-.05), 
which applies to the construction and modification of any major 
stationary source in or near a nonattainment area (NAA) as required by 
part D of title I of the CAA. Alabama's NNSR regulations at ADEM Rule 
335-3-14-.05 were originally approved into the SIP on November 26, 1979 
(See 44 FR 67375), with periodic revisions approved through December 8, 
2000 (See 65 FR 76938). Subsequent revisions to Alabama's NNSR 
regulations have not yet been incorporated into Alabama's SIP. 
Alabama's May 2, 2011, SIP revision replaces the State's NNSR 
regulations in their entirety with a new version that reflects changes 
to the federal NNSR regulations at 40 Code of Federal Regulations (CFR) 
51.165,\2\ including provisions promulgated in the following federal 
rules: (1) ``Requirements for Preparation, Adoption and Submittal of 
Implementation Plans; Approval and Promulgation of Implementation 
Plans; Standards of Performance for New Stationary Sources,'' Final 
Rule, 57 FR 32314 (July 21, 1992) (hereafter referred to as the 
Wisconsin Electric Power Company (WEPCO) Rule); (2) ``Prevention of 
Significant Deterioration (PSD) and Nonattainment New Source Review 
(NSR): Baseline Emissions Determination, Actual-to-Future-Actual 
Methodology, Plantwide Applicability Limitations, Clean Units, 
Pollution Control Projects,'' Final Rule, 67 FR 80186 (December 31, 
2002) (hereafter referred to as the NSR Reform Rule); (3) ``Prevention 
of Significant Deterioration (PSD) and Non-Attainment New Source Review 
(NSR): Reconsideration,'' Final Rule, 68 FR 63021 (November 7, 2003) 
(hereafter referred to as the Reconsideration Rule); (4) ``Prevention 
of Significant Deterioration (PSD) and Non-Attainment New Source Review 
(NSR): Removal of Vacated Elements,'' Final Rule, 72 FR 32526 (June 13, 
2007) (hereafter referred to as the Vacated

[[Page 52703]]

Elements Rule); (4) ``Prevention of Significant Deterioration and 
Nonattainment New Source Review: Reasonable Possibility in 
Recordkeeping,'' Final Rule, 72 FR 72607 (December 21, 2007), 
(hereafter referred to as the Reasonable Possibility Rule); (5) ``Final 
Rule To Implement the 8-Hour Ozone National Ambient Air Quality 
Standard--Phase 2; Final Rule To Implement Certain Aspects of the 1990 
Amendments Relating to New Source Review and Prevention of Significant 
Deterioration as They Apply in Carbon Monoxide, Particulate Matter and 
Ozone NAAQS; Final Rule for Reformulated Gasoline,'' Final Rule, 70 FR 
71612 (November 29, 2005) (hereafter referred to as the Phase 2 Rule); 
(6) ``Implementation of the New Source Review (NSR) Program for 
Particulate Matter Less Than 2.5 Micrometers (PM2.5),\3\'' 
Final Rule, 73 FR 28321 (May 16, 2008) (hereafter referred to as the 
NSR PM2.5 Rule); (7) ``Prevention of Significant 
Deterioration (PSD) for Particulate Matter Less Than 2.5 Micrometers 
(PM2.5)--Increments, Significant Impact Levels (SILs) and 
Significant Monitoring Concentration (SMC),'' Final Rule, 75 FR 64864 
(October 20, 2010) (hereafter referred to as the PM2.5 PSD 
Increments-SILs-SMC Rule \4\); and (8) ``Prevention of Significant 
Deterioration (PSD) and Nonattainment New Source Review (NSR): 
Reconsideration of Inclusion of Fugitive Emissions; Interim Rule; Stay 
and Revisions'', Interim Rule, 76 FR 17548 (March 30, 2011) (hereafter 
referred to as the Fugitive Emissions Interim Rule).
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    \1\ The original submittal, found at Docket ID No. EPA-R04-OAR-
2012-0079, proposed changes to Alabama regulations pertaining to NSR 
and general and transportation conformity found at ADEM 
Administrative Code Chapter 335-3-14--Permits (including general 
permits, prevention of significant deterioration (PSD) and NNSR) and 
Chapter 335-3-17 Conformity of Federal Actions to State 
Implementation Plans, respectively. The first two portions of the 
submittal regarding conformity and PSD were acted on by EPA on 
September 26, 2012 (See 77 FR 59100).
    \2\ EPA's regulations governing the implementation of NSR 
permitting programs are contained in 40 CFR 51.160-.166; 52.21, .24; 
and part 51, appendix S. The CAA NSR program is composed of three 
separate programs: PSD, NNSR, and Minor NSR. PSD is established in 
part C of title I of the CAA and applies in areas that meet the 
NAAQS--``attainment areas''--as well as areas where there is 
insufficient information to determine if the area meets the NAAQS--
``unclassifiable areas.'' The NNSR program is established in part D 
of title I of the CAA and applies in areas that are not in 
attainment of the NAAQS--``nonattainment areas.'' The Minor NSR 
program addresses construction or modification activities that do 
not qualify as ``major'' and applies regardless of the designation 
of the area in which a source is located. Together, these programs 
are referred to as the NSR programs.
    \3\ Airborne particulate matter (PM) with a nominal aerodynamic 
diameter of 2.5 micrometers or less (a micrometer is one-millionth 
of a meter, and 2.5 micrometers is less than one-seventh the average 
width of a human hair) are considered to be ``fine particles'' and 
are also known as PM2.5. Fine particles in the atmosphere 
are made up of a complex mixture of components including sulfate; 
nitrate; ammonium; elemental carbon; a great variety of organic 
compounds; and inorganic material (including metals, dust, sea salt, 
and other trace elements) generally referred to as ``crustal'' 
material, although it may contain material from other sources. The 
health effects associated with exposure to PM2.5 include 
potential aggravation of respiratory and cardiovascular disease 
(i.e., lung disease, decreased lung function, asthma attacks and 
certain cardiovascular issues). On July 18, 1997, EPA revised the 
NAAQS for PM to add new standards for fine particles, using 
PM2.5 as the indicator. Previously, EPA used 
PM10 (inhalable particles smaller than or equal to 10 
micrometers in diameter) as the indicator for the PM NAAQS. EPA 
established health-based (primary) annual and 24-hour standards for 
PM2.5, setting an annual standard at a level of 15.0 
micrograms per cubic meter ([micro]g/m\3\) and a 24-hour standard at 
a level of 65 [micro]g/m\3\. See 62 FR 38652. At the time the 1997 
primary standards were established, EPA also established welfare-
based (secondary) standards identical to the primary standards. The 
secondary standards are designed to protect against major 
environmental effects of PM2.5, such as visibility 
impairment, soiling, and materials damage. On October 17, 2006, EPA 
revised the primary and secondary 24-hour NAAQS for PM2.5 
to 35 [micro]g/m\3\ and retained the existing annual 
PM2.5 NAAQS of 15.0 [micro]g/m\3\. See 71 FR 61236. On 
January 15, 2013, EPA published a final rule revising the annual 
PM2.5 NAAQS to 12 [micro]g/m\3\. See 78 FR 3086.
    \4\ The D.C. Circuit vacated the portions of the 
PM2.5 PSD Increment-SILs-SMC Rule addressing the SMC and 
SILs (and remanded the SILs portion to EPA for further 
consideration) for PSD, but left the PM2.5 SILs in place 
for the NNSR program in the table in section 51.165(b)(2). See 
Sierra Club v. EPA, 705 F.3d 458 (D.C. Cir. 2013).
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    EPA is not, however, proposing to approve into the Alabama SIP ADEM 
Rule 335-3-14-.05(1)(k), which Alabama promulgated pursuant to the 
federal rule entitled ``Prevention of Significant Deterioration, 
Nonattainment New Source Review, and Title V: Treatment of Certain 
Ethanol Production Facilities Under the `Major Emitting Facility' 
Definition'', Final Rule, 72 FR 24060 (May 1, 2007) (or the Ethanol 
Rule).\5\ EPA is also not acting on the provision at Rule 335-3-
14-.05(2)(c)3 that excludes fugitive emissions from the determinion of 
creditable emission increases and decreases. (See Sections II.F. and 
III.F. of this notice for details). Finally, EPA is not proposing to 
approve ADEM's rules regarding the PM2.5 significant impact 
levels (SILs) for PSD at Rule 335-3-14-.04(8)(h)1., the NNSR 
interpollutant offset ratios at ADEM Rule 335-3-14-.05(3)(g), or the 
``actual-to-potential'' NNSR applicability test at ADEM Rule 335-3-
14-.05(1)(h), all of which ADEM withdrew from EPA's consideration 
subsequent to the May 2, 2011 submittal.
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    \5\ Alabama's changes to its NNSR regulations (at 335-3-
14-.05(1)(k)) exclude ``chemical process plants'' that produce 
ethanol through a natural fermentation process from the NSR major 
source permitting requirement as promulgated in the Ethanol Rule (as 
amended at 40 CFR 51.165). See 72 FR 24060 (May 1, 2007). However, 
due to a petition by Natural Resources Defense Council to reconsider 
the rule, EPA is not proposing to take action to approve this 
provision into the Alabama SIP at this time. Pending final 
resolution, EPA will make a final determination on action regarding 
this portion of Alabama's SIP revision.
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II. What is the background for EPA's proposed action?

    This proposed action to revise the NNSR regulations in Alabama's 
SIP relates to EPA's WEPCO Rule, 2002 NSR Reform Rule (and associated 
Reconsideration Rule and Vacated Elements Rule), Reasonable Possibility 
Rule, Phase 2 Rule, NSR PM2.5 Rule, PM2.5 PSD 
Increments-SILs-SMC Rule, and Fugitive Emissions Interim Rule. Together 
these rules address the NSR permitting requirements needed to implement 
the NAAQS in NAAs. The State's May 2, 2011, revision adopts into the 
Alabama SIP the NNSR requirements promulgated in these rules to be 
consistent with federal regulations. A brief summary of the 
abovementioned rules as well as details of Alabama's May 2, 2011, SIP 
submission is discussed below.
    Originally, Alabama included PM2.5 SILs and NNSR 
interpollutant offset ratios in the May 2, 2011, SIP submission, 
consistent with the PM2.5 PSD Increments-SILs-SMC Rule. 
However, EPA cannot act on SIL provisions for PSD due to the January 
22, 2013, decision by the D.C. Circuit vacating and remanding to EPA 
the SILs portion of the PM2.5 PSD Increments-SILs-SMC Rule 
for further consideration.\6\ See Sierra Club v. EPA, 705 F.3d 458 
(D.C. Cir. 2013). Nor can EPA approve the interpollutant offset ratios 
for PM2.5 and selected precursors included in the May 2, 
2011 submission, which adopted the EPA presumptive ratios from the May 
16, 2008, preamble to the NSR PM2.5 Implementation Rule. 
After publication, these ratios were the subject of a petition for 
reconsideration, which the Administrator granted, and are no longer 
presumptively approvable. Accordingly, ADEM has since submitted a 
letter to EPA dated October 9, 2014, requesting that the 
PM2.5 SILs provisions for PSD and the interpollutant trading 
ratios for NNSR be withdrawn from the May 2, 2011, submission; 
therefore these provisions are no longer before EPA for consideration. 
ADEM still intends to adopt the NNSR interpollutant trading policy 
itself, however, and therefore the letter only requested the withdrawal 
of the presumptive ratios. The letter can be found in Docket ID: EPA-
R04-OAR-2012-0079.
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    \6\ On January 22, 2013, D.C. Circuit granted a request from EPA 
to vacate and remand to the Agency the portions of the October 20, 
2010 rule addressing the SILs for PM2.5, except for the 
parts codifying the PM2.5 SILs in the NNSR rule at 40 CFR 
51.165(b)(2), so that the EPA could voluntarily correct an error in 
the provisions. See Sierra Club v. EPA, 705 F.3d 458 at 463-66 (D.C. 
Cir. 2013). The Court also vacated parts of the PM2.5 PSD 
Increment-SILs-SMC Rule establishing the PM2.5 SMC, 
finding that the Agency had exceeded its statutory authority with 
respect to these provisions. Id at 469. On December 9, 2013, EPA 
issued a final rulemaking to remove the vacated and remanded 
PM2.5 SILs and the vacated PM2.5 SMC 
provisions from the Federal regulations at 40 CFR 51.166 and 52.21. 
See 78 FR 73698.
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    The May 2, 2011, submittal also included an ``actual-to-potential'' 
NNSR applicability test for projects involving only existing emissions 
units at ADEM Rule 335-3-14-.05(1)(h). This test, which is not 
contained in the federal regulations, utilizes the definition of 
``actual emissions'' at ADEM Rule 335-

[[Page 52704]]

3-14-.05(2)(u) for determining whether a change to an existing 
emissions unit would result in a significant emissions increase that 
triggers NNSR applicability.\7\ To be consistent with the NNSR 
provisions at 40 CFR 51.165, ADEM submitted a letter to EPA on June 5, 
2015, withdrawing the ``actual-to-potential'' applicability test at 
ADEM Rule 335-3-14-.05(1)(h) from the May 2, 2011, SIP revision. This 
letter is included in the docket for this proposed action (Docket ID: 
EPA-R04-OAR-2012-0079).
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    \7\ The definition of ``actual emissions'' at ADEM Rule 335-3-
14-.05(2)(u) is based on the definition of ``actual emissions'' in 
the federal NNSR regulations at 40 CFR 51.165(a)(1)(xii). However, 
the federal regulations expressly state that ``this definition shall 
not apply for calculating whether a significant emissions increase 
has occurred.'' 40 CFR 51.165(a)(1)(xii)(A).
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A. WEPCO Rule

    On July 21, 1992, EPA finalized the WEPCO Rule, which put forward 
regulations arising out of the decision in the WEPCO case. See 
Wisconsin Electric Power Co. v. Reilly, 893 F.2d 901 (7th Cir. 1990). 
The WEPCO Rule made changes to the NNSR and PSD regulations found at 40 
CFR 51.165, 51.166 and 52.21. Relevant to this proposed rulemaking, EPA 
established definitions in the WEPCO Rule for electric utility steam 
generating unit (EGU), clean coal technology (CCT), CCT demonstration 
project, temporary CCT demonstration project, and repowering. In 
addition, the rule exempted CCT demonstration projects (that constitute 
repowering) from PSD or NNSR requirements (major modification), 
providing the projects do not cause an increase in potential to emit of 
a regulated NSR pollutant emitted by the unit.

B. NSR Reform and Reasonable Possibility

    On December 31, 2002 (67 FR 80186), EPA published final rule 
changes to 40 CFR parts 51 and 52 regarding the CAA's PSD and NNSR 
programs. On November 7, 2003 (68 FR 63021), EPA published a notice of 
final action on the reconsideration of the December 31, 2002, final 
rule changes. The December 31, 2002, and the November 7, 2003, final 
actions are collectively referred to as the ``2002 NSR Reform Rules.'' 
The 2002 NSR Reform Rules made changes to five areas of the NSR 
programs. In summary, the 2002 NSR Reform Rules: (1) Provide a new 
method for determining baseline actual emissions; (2) adopt an actual-
to-projected-actual methodology for determining whether a major 
modification has occurred; (3) allow major stationary sources to comply 
with plant-wide applicability limits (PALs) to avoid having a 
significant emissions increase that triggers the requirements of the 
major NSR program; (4) provide a new applicability provision for 
emissions units that are designated clean units; and (5) exclude 
pollution control projects (PCPs) from the definition of ``physical 
change or change in the method of operation.'' On November 7, 2003 (68 
FR 63021), EPA published a notice of final action on its 
reconsideration of the 2002 NSR Reform Rules, which added a definition 
for ``replacement unit'' and clarified an issue regarding PALs. For 
additional information on the 2002 NSR Reform Rules, see 67 FR 80186 
(December 31, 2002) and http://www.epa.gov/nsr/actions.html#2002.
    After the 2002 NSR Reform Rules were finalized and effective (March 
3, 2003), industry, state, and environmental petitioners challenged 
numerous aspects of the 2002 NSR Reform Rules, along with portions of 
EPA's 1980 NSR Rules. See 45 FR 52676 (August 7, 1980). On June 24, 
2005, the United States Court of Appeals for the District of Columbia 
Circuit (D.C. Circuit) issued a decision on the challenges to the 2002 
NSR Reform Rules: New York v. U.S. EPA, 413 F.3d 3 (D.C. Cir. 2005). In 
summary, the D.C. Circuit vacated portions of the rules pertaining to 
clean units and PCPs, remanded a portion of the rules regarding 
recordkeeping and the term ``reasonable possibility'' found in 40 CFR 
52.21(r)(6) and 40 CFR 51.165(a)(6) and 51.166(r)(6), and either upheld 
or did not comment on the other provisions included as part of the 2002 
NSR Reform Rules. On June 13, 2007 (72 FR 32526), EPA took final action 
to revise the 2002 NSR Reform Rules to remove from federal law all 
provisions pertaining to clean units and the PCP exemption that were 
vacated by the D.C. Circuit.
    With regard to the remanded portions of the 2002 NSR Reform Rules 
related to recordkeeping, the D.C. Circuit remanded these provisions to 
EPA either to provide an acceptable explanation for its ``reasonable 
possibility'' standard, or to devise an appropriate alternative. To 
satisfy the court, the EPA published the Reasonable Possibility Rule, 
thereby taking action to clarify that a ``reasonable possibility'' 
applies where source emissions equal or exceed 50 percent of the CAA 
NSR significance levels for any pollutant. See 72 FR 72607 (December 
21, 2007). The Reasonable Possibility Rule identified, for sources and 
reviewing authorities, the circumstances under which a major stationary 
source undergoing a modification that does not trigger major NSR must 
keep records. EPA's December 21, 2007, final rule on the recordkeeping 
and reporting provisions also explained state obligations with regard 
to the reasonable possibility-related rule changes.

C. Phase 2 Rule

    Part of Alabama's May 2, 2011, SIP submittal to revise its NNSR 
rules relates to EPA's 1997 8-Hour Ozone NAAQS Implementation Rule NSR 
Update or Phase 2 Rule. On November 29, 2005, EPA published the Phase 2 
Rule, which addressed control and planning requirements as they applied 
to areas designated nonattainment for the 1997 8-hour ozone NAAQS \8\ 
such as reasonably available control technology, reasonably available 
control measures, reasonable further progress, modeling and attainment 
demonstrations, NSR, and the impact to reformulated gas for the 1997 8-
hour ozone NAAQS transition. See 70 FR 71612. The NSR permitting 
requirements established in the rule included the following provisions: 
(1) Recognized NOX as an ozone precursor for PSD purposes; 
(2) changes to the NNSR rules establishing major stationary thresholds 
(marginal, moderate, serious, severe, and extreme NAA classifications); 
and significant emission rates for the 8-hour ozone, PM10 
and carbon monoxide NAAQS; and (3) revised the criteria for crediting 
emission reductions credits from operation shutdowns and curtailments 
as offsets, and changes to offset ratios for marginal, moderate, 
serious, severe, and extreme ozone NAA. For additional information on 
provisions in the Phase 2 Rule see the November 29, 2005, final rule 
(70 FR 71612).
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    \8\ On July 18, 1997, EPA promulgated a revised 8-hour ozone 
NAAQS of 0.08 parts per million--also referred to as the 1997 8-hour 
ozone NAAQS. On April 30, 2004, EPA designated areas as 
unclassifiable/attainment, nonattainment and unclassifiable for the 
1997 8-hour ozone NAAQS. In addition, on April 30, 2004, as part of 
the framework to implement the 1997 8-hour ozone NAAQS, EPA 
promulgated an implementation rule in two phases (Phase I and II). 
The Phase I Rule (effective on June 15, 2004), provided the 
implementation requirements for designating areas under subpart 1 
and subpart 2 of the CAA. See 69 FR 23951.
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D. NSR PM2.5 Rule

    On May 16, 2008, EPA finalized the NSR PM2.5 Rule to 
implement the PM2.5 NAAQS for the NSR permitting program. 
See 73 FR 28321. The NSR PM2.5 Rule revised the federal NSR 
program requirements to establish the framework for implementing

[[Page 52705]]

preconstruction permit review for the PM2.5 NAAQS in both 
attainment and NAA. Specifically, the NSR PM2.5 Rule 
established the following NSR provisions to implement the 
PM2.5 NAAQS: (1) Required NSR permits to address directly-
emitted PM2.5 and certain precursor pollutants; (2) 
established significant emission rates for direct PM2.5 and 
precursor pollutants (including sulfur dioxide (SO2) and 
nitrogen oxides (NOX)); (3) established NNSR 
PM2.5 emission offsets; (4) required states to account for 
gases that condense to form particles (condensables) in 
PM2.5 and PM10 applicability determinations and 
emission limits in PSD and NNSR permits; and (5) provided a 
grandfathering provision in the federal program for certain pending 
PM2.5 permit applications. Additionally, the NSR 
PM2.5 Rule authorized states to adopt provisions in their 
NNSR rules that would allow interpollutant offset trading. Alabama's 
May 2, 2011 SIP revision addresses the effective portions of the NNSR 
provisions established in EPA's May 16, 2008 NSR PM2.5 Rule. 
Two key issues described in greater detail below include the NSR 
PM2.5 litigation and interpollutant trading ratios for the 
NNSR program.
1. PM2.5 Implementation Rule(s) Litigation
    On January 4, 2013, the D.C. Circuit issued a judgment \9\ that 
remanded EPA's April 25, 2007 \10\ and May 16, 2008 PM2.5 
implementation rules implementing the 1997 PM2.5 NAAQS. See 
Natural Resources Defense Council v. EPA, 706 F.3d 428 (D.C. Cir. 
2013). The Court found that because the statutory definition of 
PM10 (see section 302(t) of the CAA) included particulate 
matter with an aerodynamic diameter less than or equal to 10 
micrometers, it necessarily includes PM2.5. EPA had 
developed the 2007 and 2008 (or NSR PM2.5 Rule) Rules 
consistent with the general NAA requirements of subpart 1 of Part D, 
title I, of the CAA. Relative to subpart 1, subpart 4 of Part D, title 
I includes additional provisions that apply to PM10 NAA and 
is more specific about what states must do to bring areas into 
attainment. In particular, subpart 4 includes section 189(e) of the 
CAA, which requires the control of major stationary sources of 
PM10 precursors (and hence under the court decision, 
PM2.5 precursors) ``except where the Administrator 
determines that such sources do not contribute significantly to 
PM10 levels which exceed the standard in the area.'' The 
court ordered EPA to repromulgate the implementation rules pursuant to 
subpart 4.
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    \9\ The Natural Resources Defense Council, Sierra Club, American 
Lung Association, and Medical Advocates for Healthy Air challenged 
before the D.C. Circuit EPA's April 25, 2007 Rule entitled ``Clean 
Air Fine Particle Implementation Rule'' (72 FR 20586), which 
established detailed implementation regulations to assist states 
with the development of SIPs to demonstrate attainment for the 1997 
annual and 24-hour PM2.5 NAAQS and the separate May 16, 
2008 NSR PM2.5 Rule (which is considered in this proposed 
rulemaking). This proposed rulemaking only pertains to the impacts 
of the Court's decision on the May 16, 2008 NSR PM2.5 
Rule and not the April 25, 2007 implementation rule as the State's 
May 2, 2011 SIP revision adopts the NSR permitting provisions 
established in the NSR PM2.5 Rule.
    \10\ This rule is entitled ``Clean Air Fine Particle 
Implementation Rule,'' Final Rule, 72 FR 20586 (hereafter referred 
to as the 2007 Rule).
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    On June 2, 2014, EPA published a final rule \11\ which, in part, 
set a December 31, 2014 deadline for states to make any remaining 
required attainment-related and NNSR SIP submissions, pursuant to and 
considering the application of subpart 4. See 79 FR 31566. Requirements 
under subpart 4 for a moderate NAA are generally comparable to subpart 
1, including: (1) CAA section 189(a)(1)(A) (NNSR permit program); (2) 
section 189(a)(1)(B) (attainment demonstration or demonstration that 
attainment by the applicable attainment date is impracticable); (3) 
section 189(a)(1)(C) (reasonably available control measures and 
reasonably available control technology (RACT); and (4) section 189(c) 
(reasonable further progress and quantitative milestones). The 
additional requirements pursuant to subpart 4 as opposed to subpart 1 
correspond to section 189(e) (precursor requirements for major 
stationary sources). Further additional SIP planning requirements are 
introduced by subpart 4 in the case that a moderate NAA is reclassified 
to a serious NAA, or in the event that the moderate NAA needs 
additional time to attain the NAAQS. The additional requirements under 
subpart 4 are not applicable for the purposes of CAA section 
107(d)(3)(E) in any area that has submitted a complete redesignation 
request prior to the due date for those requirements; therefore, EPA is 
not required to consider subpart 4 requirements for moderate NAA that 
have submitted a redesignation request prior to December 31, 2014. See 
79 FR at 31570.
---------------------------------------------------------------------------

    \11\ The rule is entitled ``Identification of Nonattainment 
Classification and Deadlines for Submission of State Implementation 
Plan (SIP) Provisions for the 1997 Fine Particle (PM2.5) 
National Ambient Air Quality Standard (NAAQS) and 2006 
PM2.5 NAAQS'', Final Rule, 79 FR 31566 (June 2, 2014). 
This final rule also identifies the initial classification of 
current 1997 and 2006 PM2.5 nonattainment areas as 
moderate and the EPA guidance and relevant rulemakings that are 
currently available regarding implementation of subpart 4 
requirements.
---------------------------------------------------------------------------

    Two areas were initially designated moderate nonattainment for the 
1997 annual PM2.5 NAAQS in Alabama: The Birmingham area and 
the Chattanooga multi-state area.\12\ On May 2, 2011, ADEM submitted a 
redesignation request for the Birmingham NAA for the 1997 annual 
PM2.5 NAAQS. This request was granted, and the area was 
redesignated on January 22, 2013. See 78 FR 4341. On December 22, 2014, 
the Jackson County, Alabama portion of the Chattanooga NAA was 
successfully redesignated to attainment for the 1997 PM2.5 
annual NAAQS based on an April 23, 2013 request for redesignation by 
ADEM.\13\ See 79 FR 76235. Because these counties in Alabama have been 
redesignated, Alabama has no other PM2.5 NAA for the annual 
1997 NAAQS, the 24-hour 1997 NAAQS, nor the 24-hour 2006 
PM2.5 NAAQS. Therefore, the additional NNSR SIP requirements 
pursuant to subpart 4 do not apply to the State.
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    \12\ EPA designated the Birmingham multi-county area and 
Chattanooga TN-GA-AL area as nonattainment for the 1997 Annual 
PM2.5 NAAQS on January 5, 2005 (70 FR 944) as 
supplemented on April 14, 2005 (70 FR 19844).
    \13\ The Georgia portion of the Chattanooga TN-GA-AL 
nonattainment area for 1997 Annual PM2.5 NAAQS has been 
redesignated in the December 19, 2014 final rule (79 FR 75748). 
Tennessee submitted a redesignation request for the Tennessee 
portion of the Chattanooga TN-GA-AL NAA on November 11, 2014, but 
the redesignation has not yet been proposed.
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2. Interpollutant Trading Ratios
    The NSR PM2.5 Rule authorized states to adopt provisions 
in their NNSR rules that would allow major stationary sources and major 
modifications locating in areas designated nonattainment for 
PM2.5 to offset emissions increases of direct 
PM2.5 emissions or PM2.5 precursors with 
reductions of either direct PM2.5 emissions or 
PM2.5 precursors in accordance with offset ratios contained 
in the approved SIP for the applicable NAA. The inclusion, in whole or 
in part, of the interpollutant trading offset provisions for 
PM2.5 is discretionary on the part of the states. In the 
preamble to the NSR PM2.5 Rule, EPA included preferred 
offset ratios applicable to specific PM2.5 precursors that 
states may adopt in conjunction with the new interpollutant trading 
offset provisions for PM2.5, and for which the state could 
rely on the EPA's technical work to demonstrate the adequacy of the 
ratios for use in any PM2.5 NAA. Alternatively, the preamble 
indicated that states may adopt their own ratios, subject to the EPA's 
approval, that would have to be

[[Page 52706]]

substantiated by modeling or other technical demonstrations of the net 
air quality benefit for ambient PM2.5 concentrations.
    The preferred ratios were subsequently the subject of a petition 
for reconsideration which the EPA Administrator granted in 2009. As a 
result of the reconsideration, on July 21, 2011, EPA issued a 
memorandum entitled ``Revised Policy to Address Reconsideration of 
Interpollutant Trading Provisions for Fine Particles 
(PM2.5)'' (hereafter referred to as the ``Interpollutant 
Trading Memorandum''). The Interpollutant Trading Memorandum indicated 
that the existing preferred offset ratios are no longer considered 
presumptively approvable and that any precursor offset ratio submitted 
as part of the NSR SIP for a PM2.5 NAA must be accompanied 
by a technical demonstration showing the net air quality benefits of 
such ratio for the PM2.5 NAA in which it will be applied. 
Alabama's May 2, 2011, SIP revision adopts the interpollutant trading 
offset provisions, and originally adopted the preferred ratios included 
in the May 16, 2008, preamble. However, ADEM has since withdrawn these 
ratios in a letter dated October 9, 2014 (See Docket ID: EPA-R04-OAR-
2012-0079). EPA's analysis of Alabama's May 2, 2011, SIP revision 
regarding interpollutant trading is provided below in Section III.

E. PM2.5 PSD-Increment-SILs-SMC Rule

    The October 20, 2010, final rulemaking established the following: 
(1) PM2.5 increments pursuant to section 166(a) of the CAA 
to prevent significant deterioration of air quality in areas meeting 
the NAAQS; (2) PM2.5 SILs for PSD and NNSR; and (3) SMC for 
PSD purposes. See 75 FR 64864. EPA approved the provisions for 
PM2.5 PSD increments and SMC into the Alabama SIP on 
September 26, 2012 (77 FR 59100).\14\ Though ADEM had submitted 
PM2.5 SILs for PSD purposes, EPA did not take action on them 
in the September 26, 2012 rulemaking. Subsequently, in response to a 
challenge to the PM2.5 SILs and SMC provisions of the 
PM2.5 PSD-Increment-SILs-SMC Rule filed by the Sierra Club, 
the D.C. Circuit vacated and remanded to EPA for further consideration 
the portions of the rule addressing PM2.5 SILs, except for 
the PM2.5 SILs promulgated in EPA's NNSR rules at 40 CFR 
51.165(b)(2). See Sierra Club v. EPA, 705 F.3d 458, 469 (D.C. Cir. 
2013). The D.C. Circuit also vacated the parts of the rule establishing 
a PM2.5 SMC for PSD purposes. Id. EPA removed these vacated 
provisions in a December 9, 2013 final rule (78 FR 73693). In a letter 
dated October 9, 2014, ADEM withdrew the PM2.5 SILs set 
forth in Alabama's PSD regulations from EPA's consideration for 
incorporation into Alabama's SIP.
---------------------------------------------------------------------------

    \14\ Although the SMC provisions were approved into the Alabama 
SIP in a September 26, 2012, final rule (77 FR 59100), the January 
22, 2013, D.C. Circuit decision vacated the SMCs on the basis that 
EPA did not have the authority to use SMCs to exempt permit 
applicants from the statutory requirement in section 165(e)(2) of 
the CAA that ambient monitoring data for PM2.5 be 
included in all PSD permit applications. EPA accordingly removed the 
PM2.5 SMC of 4 [micro]g/m\3\ from federal PSD regulations 
on December 9, 2013 (See 78 FR 73693), and advised states to remove 
the PM2.5 provisions from their state PSD regulations and 
SIPs. For more information on states with approved SMC provisions in 
their SIPs, see the December 9, 2013, final rule.
---------------------------------------------------------------------------

    This action pertains only to the PM2.5 SILs promulgated 
in EPA's NNSR regulations at 40 CFR 51.165(b)(2), which were not 
vacated by the D.C. Circuit. Unlike the SILs promulgated in the PSD 
regulations (40 CFR 51.166, 52.21), the SILs promulgated in the NNSR 
regulations at 40 CFR 51.165(b)(2) do not serve to exempt a source from 
conducting a cumulative air quality analysis. Rather, the SILs 
promulgated at 40 CFR 51.165(b)(2) establish levels at which a proposed 
new major source or major modification locating in an area designated 
as attainment or unclassifiable for any NAAQS would be considered to 
cause or contribute to a violation of a NAAQS in any area. For this 
reason, the D.C. Circuit left the PM2.5 SILs at 40 CFR 
51.165(b)(2) in place, and EPA can consider ADEM's request that these 
SILs be approved as part of Alabama's NNSR program.

F. Fugitive Emissions Interim Rule

    On December 19, 2008, EPA issued a final rule revising the 
requirements of the NSR permitting program regarding the treatment of 
fugitive emissions. See ``Prevention of Significant Deterioration (PSD) 
and Nonattainment New Source Review (NSR): Reconsideration of Inclusion 
of Fugitive Emissions,'' Final Rule, 73 FR 77882 (the ``Fugitive 
Emissions Rule''). The final rule required fugitive emissions to be 
included in determining whether a physical or operational change 
results in a major modification only for sources in industries that 
have been designated through rulemaking under section 302(j) \15\ of 
the CAA. As a result of EPA granting the Natural Resource Defense 
Council's petition for reconsideration on the Fugitive Emissions Rule 
\16\ on March 31, 2010, EPA stayed the rule for 18 months to October 3, 
2011. The stay allowed the Agency time to propose, take comment and 
issue a final action regarding the inclusion of fugitive emissions in 
NSR applicability determinations. On March 30, 2011 (76 FR 17548), EPA 
proposed an interim rule (the ``Fugitive Emissions Interim Rule'') 
which superseded the March 31, 2010, stay and clarified and extended 
the stay of the Fugitive Emission Rule until EPA completes its 
reconsideration. The Fugitive Emissions Interim Rule simply reverts the 
CFR text back to the language that existed prior to the Fugitive 
Emissions Rule changes in the December 19, 2008, rulemaking. EPA plans 
to issue a final rule affirming the interim rule as final. The Fugitive 
Emissions Interim Rule will remain in effect until EPA completes its 
reconsideration.
---------------------------------------------------------------------------

    \15\ Pursuant to CAA section 302(j), examples of these industry 
sectors include oil refineries, Portland cement plants, and iron and 
steel mills.
    \16\ On April 24, 2009, EPA agreed to reconsider the approach to 
handling fugitive emissions and granted a 3-month administrative 
stay of the Fugitive Emissions Rule. The administrative stay of the 
Fugitive Emissions Rule became effective on September 30, 2009. EPA 
put an additional three-month stay in place from December 31, 2009, 
until March 31, 2010.
---------------------------------------------------------------------------

III. What is EPA's analysis of ADEM's SIP revision?

    Alabama currently has a SIP-approved NSR program for new and 
modified stationary sources found in ADEM regulations at Chapter 335-3-
14. ADEM's NNSR preconstruction regulations are found at Chapter 335-3-
14-.05, and apply to major stationary sources or modifications 
constructed in or impacting upon a nonattainment area as required under 
part D of title I of the CAA with respect to the NAAQS. The revisions 
to Chapter 335-3-14-.05 that EPA is now proposing to approve into the 
SIP were provided to update the existing provisions to be consistent 
with the current federal NNSR rules, including the WEPCO Rule, 2002 NSR 
Reform Rule (and associated Reconsideration Rule and Vacated Elements 
Rule), Phase 2 Rule, NSR PM2.5 Rule, PM2.5 PSD-
Increment-SILs-SMC Rule, and Fugitive Emissions Interim Rule. These 
changes to ADEM's regulations became state effective on May 23, 2011. 
EPA is proposing to approve the changes to Chapter 335-3-14-.05, with 
certain exceptions noted below, into Alabama's SIP to be consistent 
with federal NNSR regulations (at 40 CFR 51.165) and the CAA.

[[Page 52707]]

A. WEPCO Rule

    As stated in Section II, the WEPCO Rule made several changes to 
NNSR regulations located at 40 CFR 51.165. The definitions established 
in the WEPCO Rule that persist through the most recent CFR, including 
those for EGU, CCT, CCT demonstration project, temporary CCT 
demonstration project, and repowering are all included in the May 2, 
2011 ADEM SIP submittal at Chapter 335-3-14-.05. The SIP submittal also 
adopts exemptions for temporary CCT demonstration projects from NNSR 
requirements as promulgated in the WEPCO Rule. EPA has preliminarily 
determined that the May 2, 2011 submittal is consistent with the 
federal regulations for NNSR promulgated in the WEPCO Rule.

B. NSR Reform

    Some of the changes to Alabama's NNSR rules that EPA is now 
proposing to approve into the Alabama SIP were established to update 
Alabama's existing NNSR program to meet the requirements of the 2002 
NSR Reform Rule (and associated Reconsideration Rule and Vacated 
Elements Rule) and the 2007 Reasonable Possibility Rule (collectively, 
the ``NSR Reform Rules''). On May 1, 2008, EPA approved Alabama's June 
16, 2006, SIP submission to adopt PSD provisions consistent with the 
requirements of the NSR Reform Rules. See 73 FR 23957. Alabama's May 2, 
2011, SIP revision adopts NNSR changes pursuant to the NSR Reform Rules 
regarding the following definitions, revisions and provisions at 
Chapter 335-3-14 .05: Regulated NSR pollutant; major modification; net 
emissions increase; credit for increases and decreases in actual 
emissions; emissions unit; actual emissions; lowest achievable emission 
rate; construction; pollution prevention; significant emissions 
increase; projected actual emissions; major NNSR program; continuous 
emissions monitoring system; predictive emissions monitoring system; 
continuous parameter monitoring system; continuous emissions rate 
monitoring system; baseline actual emissions; project; best available 
control technology; federal land manager; PSD permit; NNSR 
applicability procedures; actual-to-projected-actual applicability 
tests; and PAL and recordkeeping provisions.
    As noted above, the submittal originally included an ``actual-to-
potential'' applicability test (ADEM Rule 335-3-14-.05(1)(h)) that was 
inconsistent with the federal rules at 40 CFR 51.165. However, on June 
5, 2015, ADEM submitted a letter to EPA formally withdrawing the 
``actual-to-potential'' applicability test from the May 2, 2011 SIP 
revision (See Docket No. EPA-R04-OAR-2012-0079). Therefore, this 
applicability test is no longer before EPA for consideration and will 
not be incorporated into Alabama's SIP.
    State agencies may meet the requirements of 40 CFR part 51, and the 
NSR Reform Rules, with different-but-equivalent regulations. More 
information on regulations developed by ADEM which are different-but-
equivalent to federal rules are included in Section III.G below. EPA 
has preliminarily determined that the proposed SIP revisions to adopt 
the NSR Reform Rules, including those which differ from the federal 
rule, are consistent with program requirements for the preparation, 
adoption and submittal of implementation plans for NNSR set forth at 40 
CFR 51.165, including the changes to the federal NNSR regulations 
promulgated in the NSR Reform Rules.

C. Phase 2 Rule

    The Phase 2 Rule established the NSR requirements needed to 
implement the 8-hour ozone NAAQS and made changes to federal NNSR 
regulations. Pursuant to these requirements, states were required to 
submit SIP revisions adopting the relevant federal requirements of the 
Phase 2 Rule (at 40 CFR 51.165 and 51.166) into their SIP no later than 
June 15, 2007.\17\ Alabama's May 2, 2011, SIP revision adopts the 
following relevant NNSR provisions promulgated in the Phase 2 Rule (at 
40 CFR 51.165) into the Alabama SIP at Chapter 335-3-14-.05 to be 
consistent with federal NNSR permitting regulations: (1) Thresholds to 
establish a major stationary source (as codified at 40 CFR 
51.165(a)(1)(iv)(A)(1)-(3); (2) provisions establishing that 
significant net increases for NOX are considered significant 
for ozone, and that significant emissions of ozone precursors include 
NOX (as codified at 40 CFR 51.165(a)(1)(v)(E) and 
(a)(1)(x)); (3) provisions that provide offset credits for shutting 
down or curtailing operation of existing sources (as codified at 40 CFR 
51.165(a)(3)(ii)(C)); (4) a provision establishing that the 
requirements applicable to major stationary sources and major 
modifications of VOC shall apply to NOX emissions from major 
stationary sources and major modifications of NOX in an 
ozone transport region or in any ozone nonattainment area (as codified 
at 40 CFR 51.165(a)(8)); and (5) a provision establishing that 
requirements applicable to major stationary sources and major 
modifications of PM10 shall apply to major stationary 
sources and major modifications of PM10 precursors (as 
codified at 40 CFR 51.165(a)(10)). EPA has preliminarily determined 
that the May 2, 2011 submittal is consistent with the federal NNSR 
regulations promulgated in the Phase 2 Rule.
---------------------------------------------------------------------------

    \17\ On June 21, 2006, Alabama submitted a SIP revision which 
adopted the PSD provisions established in the Phase 2 Rule (at 40 
CFR 51.166) recognizing NOX as an ozone precursor. EPA 
took final action to approve this SIP revision on May 1, 2008 (73 FR 
23957).
---------------------------------------------------------------------------

D. NSR PM2.5 Rule

    ADEM's May 2, 2011, SIP revision establishes that the State's 
existing NSR permitting program requirements for NNSR apply to the 
PM2.5 NAAQS and certain precursors. Specifically, the SIP 
revision adopts the following NSR PM2.5 Rule NNSR provisions 
into the Alabama SIP: (1) The requirement for NNSR permits to address 
directly emitted PM2.5 and precursor pollutants (e.g., 
SO2 and NOX, as codified at 40 CFR 
51.165(a)(1)(xxxvii)(C)); (2) the significant emission rates for direct 
PM2.5 and precursor pollutants (SO2 and 
NOX, as codified at 40 CFR 51.165(a)(1)(x)(A)); (3) 
clarification of the NNSR PM2.5 (and general criteria air 
pollutant) emission offsets (pursuant to 51.165(a)(9)); (4) the NNSR 
requirement that condensable PM10 and PM2.5 
emissions be accounted for in applicability determinations and emission 
limits for permitting (as codified at 40 CFR 51.165(a)(1)(xxxvii)(D)); 
and (5) the basic interpollutant trading policy for PM2.5 
precursors (as codified at 40 CFR 51.165(a)(11)). For the reasons 
discussed below, the EPA is proposing to approve these revisions into 
the Alabama SIP.
    ADEM's submission of revisions to its NNSR regulations at Chapter 
335-3-14-.05 identify SO2 as a PM2.5 precursor 
and NOX as a presumed PM2.5 precursor while VOCs 
and ammonia are presumed not to be PM2.5 precursors for a 
PM2.5 NAA. These revisions are consistent with the 2008 NSR 
PM2.5 Rule as developed pursuant to subpart 1 of the 
Act.\18\
---------------------------------------------------------------------------

    \18\ See Section II for a discussion of why the additional 
requirements of subpart 4 of the Act do not apply to Alabama's May 
2, 2011 SIP submittal for revisions to the NNSR program.
---------------------------------------------------------------------------

    Alabama's May 2, 2011, SIP revision originally adopted into the SIP 
at Chapter 335-3-14.05(3)(g) the elective interpollutant trading 
policy, set forth at 40 CFR 51.165(a)(11), and the preferred trading 
ratios, provided in the preamble to the NSR PM2.5 Rule, for 
the purpose of offsets under the PM2.5 NNSR

[[Page 52708]]

program. As established in EPA's July 21, 2011, Interpollutant Trading 
Memorandum, the preferred precursor trading ratios and technical 
demonstration included in the NSR PM2.5 Rule are no longer 
considered presumptively approvable. Therefore any precursor trading 
ratios submitted to EPA for approval, as part of the NSR SIP for a 
PM2.5 NAA must be accompanied by a technical demonstration 
showing the suitability of the ratios for that particular NAA. 
Consequently, prior to approving a request by a major stationary source 
or source with a major modification in Alabama to obtain offsets 
through interpollutant trading, the State of Alabama would first be 
required, pursuant to 51.165(a)(11), to revise its SIP to adopt 
appropriate trading ratios. ADEM would need to submit to EPA a 
technical demonstration showing how either the preferred ratios 
established in the NSR PM2.5 Rule or the State's own ratios 
are appropriate for the state's particular PM2.5 
nonattainment areas as well as a revision to the NSR program adopting 
the ratios into the SIP. EPA would then have to approve the 
demonstration and ratios into the Alabama SIP prior to any major 
stationary source or major modification obtaining offsets through the 
interpollutant trading policy.
    Alabama's May 2, 2011, SIP revision relied on EPA's technical 
demonstration in the NSR PM2.5 Rule for the preferred 
ratios, which, as explained above, the Agency has now deemed 
unapprovable. However, on October 9, 2014, ADEM submitted a letter to 
EPA formally withdrawing the offset ratios (or interpollutant trading 
ratios) from the May 2, 2011 SIP revision (See Docket No. EPA-R04-OAR-
2012-0079). Therefore, these ratios are no longer before EPA for 
consideration, while the interpollutant trading provisions themselves 
remain before EPA. The Agency continues to support the basic policy 
that sources may offset increases in emissions of direct 
PM2.5 or of any PM2.5 precursor in a 
PM2.5 NAA with actual emissions reductions in direct 
PM2.5 or PM2.5 precursor, respectively, in 
accordance with offset ratios as approved in the SIP for the applicable 
NAA. Alabama's adoption of the interpollutant trading policy without 
trading ratios does not in any way allow a new major stationary source 
or major modification in the state to obtain offsets through 
interpollutant trading, nor does it affect the approvability of ADEM's 
May 2, 2011, SIP revision. EPA has preliminarily determined that the 
May 2, 2011 submittal is consistent with the federal regulations for 
NNSR promulgated in the NSR PM2.5 Rule.

E. PM2.5 PSD-Increment-SILs-SMC Rule

    The only portion of the October 20, 2010, PM2.5 PSD-
Increment-SILs-SMC Rule concerning NNSR considered for this proposed 
rulemaking is the table modified to include SILs for PM2.5, 
promulgated at 40 CFR 51.165(b)(2). See 75 FR 64864. As discussed 
above, these SILs are used to determine whether a new major stationary 
source or major modification that would be located in an area 
designated as in attainment or unclassifiable would cause or contribute 
to a NAAQS violation in any locality. These SILs were not affected by 
Sierra Club v. EPA, 705 F.3d at 458, which addressed PSD SILs that 
served to exempt a source from conducting a cumulative air quality 
analysis. Accordingly, Alabama's May 2, 2011 submittal revises the 
definition of ``Significant Impact'' at ADEM Rule 335-3-14.05(2)(aaa) 
to incorporate the PM2.5 SILs from 40 CFR 51.165(b)(2). An 
additional revision to ADEM Rule 335-3-14-.05(2)(aaa)--unrelated to the 
PM2.5 PSD-Increment-SILs-SMC Rule--eliminates the annual 
PM10 SIL of 1 [micro]g/m\3\, which had previously been 
approved into the Alabama SIP. However, the annual PM10 SIL 
of 1 [micro]g/m\3\ is separately included in ADEM Rule 335-3-
14-.03(1)(g), ``Standards for Granting Permits.'' ADEM Rule 335-3-
14-.03(1)(g) incorporates the requirements of 40 CFR 51.165(b) and has 
been approved by EPA as part of Alabama's SIP. 77 FR 59101, 59105 
(Sept. 26, 2012) (identifying ADEM Rule 335-3-14-.03, State effective 
date May 23, 2011, as part of Alabama's SIP). Therefore, the removal of 
the annual PM10 SIL from ADEM Rule 335-3-14.05(2)(aaa) does 
not interfere with Alabama's compliance with 40 CFR 51.165(b). EPA 
proposes to approve the aforementioned revisions to the SILs in ADEM's 
May 2, 2011 SIP submittal.

F. Fugitive Emissions Interim Rule

    Due to the March 30, 2011, Fugitive Emissions Interim Rule (See 76 
FR 17548), the CFR has been converted back to the language that existed 
prior to the Fugitive Emissions Rule changes in the December 19, 2008, 
rulemaking. Many of the affected rules are entirely new to the ADEM 
NNSR Chapter. For example, the definition of fugitive emissions (40 CFR 
51.165(a)(ix)) is added, not revised, at Chapter 335-3-14-.05(2)(t). 
Alabama's May 2, 2011, SIP submittal, having been submitted after the 
Fugitive Emissions Interim Rule, adopts revisions regarding fugitive 
emissions that are mostly consistent with the current CFR. One 
provision included in the May 2, 2011, submittal at ADEM Rule 335-3-
14-.05(2)(c)3, regarding the exclusion of fugitive emissions from the 
determination of creditable emission increases and decreases in the 
definition of ``net emissions increase,'' was stayed indefinitely in 
the Fugitive Emissions Interim Rule. Therefore, EPA is proposing to 
approve Alabama's adoption of regulations affecting fugitive emissions 
at ADEM Rule 335-3-14-.05, except the provision at ADEM Rule 335-3-
14-.05(2)(c)3. For more background on the Fugitive Emissions Interim 
Rule, see Section II above, or the March 30, 2011, rulemaking.

G. Different-but-Equivalent Regulations

    Alabama currently has a SIP-approved nonattainment NSR program for 
new and modified stationary sources. EPA is now proposing to approve 
revisions to Alabama's existing NNSR program in the SIP. State agencies 
may meet the requirements of 40 CFR part 51, including the changes made 
by the NSR Reform Rules, with different-but-equivalent regulations. The 
May 2, 2011, submission to revise the Alabama SIP contains several 
rules that EPA has determined are different-but-equivalent regulations. 
The Agency's analysis for each of these items is included below.
1. ``Reasonable Possibility'' Provisions
    The ``reasonable possibility'' standard identifies, for sources and 
reviewing authorities, the circumstances under which a major stationary 
source undergoing a physical or operational change that is not 
projected to result in an emissions increase above NSR applicability 
thresholds must keep post-change emissions records. EPA's December 2007 
action clarified the meaning of the term ``reasonable possibility'' 
through changes to the federal rule language in 40 CFR parts 51 and 52. 
EPA's December 2007 rule also acknowledged that State and local 
authorities may adopt or maintain NSR program elements that have the 
effect of making their regulations more stringent than the federal 
rules and instructed those State and local authorities to submit notice 
to EPA to acknowledge that their regulations fulfill the requirements 
of the federal regulations. Unlike the federal rules, which only 
require those projects that have a reasonable possibility that the 
project may result in a significant emissions increase to keep records, 
ADEM's rules require all projects that use the actual-to-projected-
actual applicability test to keep records. Therefore, all projects 
undergo agency review. If ADEM

[[Page 52709]]

determines that there is a reasonable possibility that the project may 
result in a significant emissions increase, then the owner or operator 
must submit those records to the Director, must monitor and maintain a 
record of annual emissions for 5 years (or 10 years depending upon the 
specific circumstances), and must submit annual reports. These 
recordkeeping, monitoring, and reporting requirements apply to all 
facilities--EGUs and non-EGUs. Although the changes to the reasonable 
possibility provisions identified above are different than the federal 
rules, ADEM's approach is at least as stringent as the federal rules 
and is approvable.
2. PAL Provisions
    Alabama's actuals PAL provisions in ADEM Rule 335-3-14-.05(23) 
differ from the federal regulations in several ways. First, at 
subparagraph (23)(a)2., ADEM omitted the provision which allows 
facilities utilizing a PAL to remove previously set emissions 
limitations that the major stationary source used to avoid NNSR program 
applicability. Similarly, at subparagraph (23)(i)5., ADEM added the 
provision that sources must comply with any State or federal applicable 
requirements that may have applied during the PAL effective period, 
including those emission limitations that the source used to avoid NNSR 
applicability. According to Alabama's submittal, it is ADEM's intent 
that previously set limits (e.g., BACT, RACT, NSPS, synthetic minor 
limit, etc.) remain intact during the PAL effective period and after 
its expiration. EPA concludes that ADEM's approach in these regulatory 
provisions is at least as stringent as the federal regulations and 
therefore is approvable.
    ADEM's method of setting a PAL at subparagraph (23)(f) also differs 
slightly from the federal rules. The federal rules state at 40 CFR 
51.165(f)(6)(ii) that emissions from units on which actual construction 
began after the 24-month period chosen for setting the PAL ``must be 
added to the PAL level in an amount equal to the potential to emit of 
the units.'' ADEM's rule differs in that it limits inclusion of 
emissions based on a unit's potential to emit to only those units that 
began operation less than 24 months prior to the submittal of the PAL 
application. Under ADEM's rule, baseline actual emissions from units on 
which actual construction began after the beginning of the 24-month 
period and that commenced operation 24 months or more prior to the 
submittal of the PAL application must be added to the PAL based upon 
actual emissions during any 24-month period since the unit commenced 
operation. According to Alabama's SIP submittal, it is ADEM's intent 
that the PAL be based upon true actual emissions, and ADEM considers 
units that have been operating more than 24 months to be existing units 
that should be included in the PAL based on their actual emissions 
rather than their potential to emit. EPA concludes that ADEM's approach 
to this provision is at least as stringent as the federal regulations 
and is therefore approvable.
    At subparagraph (23)(n)1., ADEM has omitted the requirement in the 
federal regulations to submit a semi-annual report within 30 days of 
the end of the PAL reporting period. Because the facility's title V 
permit would require these reports to be submitted, its inclusion in 
the NNSR regulations is not necessary. EPA's concludes that ADEM's 
approach to PAL reporting requirements is at least as stringent as the 
federal rules and is approvable.
    Finally, Alabama's PAL rules differ from the federal rules in that 
they do not expressly state that a PAL permit must require that 
emissions calculations for PAL compliance purposes include 
``malfunction'' emissions. Compare ADEM Rule 335-3-14-.05(23)(g)4 to 40 
CFR 51.165(f)(7)(iv). However, EPA does not read Alabama's rules as 
authorizing sources to exclude malfunction emissions from PAL 
compliance calculations. Rather, consistent with 40 CFR 
51.165(f)(7)(iv), EPA interprets Alabama's rules to mean that startup 
and shutdown emissions must be included in emission calculations for 
PAL compliance purposes in addition to emissions that occur during 
normal operations and malfunctions. EPA Region 4 and ADEM discussed 
this issue via conference call on January 27, 2015. ADEM agreed with 
this interpretation of ADEM Rule 335-3-14-.05(23)(g)4 during the call 
and confirmed that ADEM would require sources to include malfunction 
emissions in emission calculations for PAL compliance purposes, just as 
compliance is determined with respect to other enforceable limits. In a 
document attached to an email dated February 3, 2015, ADEM provided 
written clarification of several items as a follow-up to the January 
27, 2015 conference call, including the treatment of malfunction 
emissions in nonattainment PALs. A memo summarizing the call and ADEM's 
February 3, 2015 email and attachment are in the Docket for this 
proposed rulemaking. Therefore, EPA concludes that while the wording of 
ADEM Rule 335-3-14-.05(23)(g)4 differs from the federal rule, ADEM's 
approach is at least as stringent as the federal rules and is 
approvable.
3. Emissions Associated With Malfunctions
    One notable difference from the federal rules is that the Alabama 
rules do not contain provisions accounting for ``malfunction'' 
emissions in the calculation of ``baseline actual emissions'' and 
``projected actual emissions'' (ADEM Rule 334-3-14-.05(2)(nn) and 
(uu)). Alabama states that it will rely only on quantifiable emissions 
that can be verified so as to provide a more accurate estimation of the 
emissions increases associated with a project. Because Alabama will be 
consistently applying this approach for both ``projected actual 
emissions'' and ``baseline actual emissions'' and because this approach 
will not prevent malfunctions from being considered as exceedances of 
applicable standards, EPA has determined that this difference does not 
make Alabama's NNSR program less stringent than the federal program.

IV. Incorporation by Reference

    In this action, EPA is proposing to include in a final EPA rule 
regulatory text that includes incorporation by reference. In accordance 
with requirements of 1 CFR 51.5, EPA is proposing to incorporate by 
reference portions of ADEM Regulation Chapter 335-3-14-.05 entitled 
``Air Permits Authorizing Construction in or Near Non-Attainment 
Areas,'' effective May 23, 2011, with revisions and additions to 
applicability, definitions, permitting requirements, offset rules, area 
classifications, air quality models, control technology review, air 
quality monitoring, source information, source obligation, innovative 
control technology, and actuals PALs, and with administrative changes 
throughout. EPA has made, and will continue to make, these documents 
generally available electronically through www.regulations.gov and/or 
in hard copy at the appropriate EPA office (see the ADDRESSES section 
of this preamble for more information).

V. Proposed Action

    EPA is proposing to approve the portion of Alabama's May 2, 2011 
submission that makes changes to Alabama's SIP-approved NNSR 
regulations set forth at ADEM Rule 335-3-14-.05, with the exceptions 
noted above. ADEM submitted the proposed changes to its NNSR SIP to be 
consistent with amendments to the federal regulations made by the WEPCO 
Rule, the 2002 NSR Reform Rule (and

[[Page 52710]]

associated Reconsideration Rule and Vacated Elements Rule), Phase 2 
Rule, NSR PM2.5 Rule, PM2.5 PSD Increment-SILs-
SMC Rule, and the Fugitive Emissions Interim Rule. The Agency has made 
the preliminary determination that the proposed changes to Alabama's 
NNSR SIP are approvable because they are consistent with section 110 of 
the CAA and EPA regulations.

VI. Statutory and Executive Order Reviews

    Under the CAA, the Administrator is required to approve a SIP 
submission that complies with the provisions of the Act and applicable 
Federal regulations. 42 U.S.C. 7410(k); 40 CFR 52.02(a). Thus, in 
reviewing SIP submissions, EPA's role is to approve state choices, 
provided that they meet the criteria of the CAA. Accordingly, this 
proposed 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 proposed action:
     Is not a ``significant regulatory action'' subject to 
review by the Office of Management and Budget under Executive Orders 
12866 (58 FR 51735, October 4, 1993) and 13563 (76 FR 3821, January 21, 
2011);
     does not impose an information collection burden under the 
provisions of the Paperwork Reduction Act (44 U.S.C. 3501 et seq.);
     is certified as not having a significant economic impact 
on a substantial number of small entities under the Regulatory 
Flexibility Act (5 U.S.C. 601 et seq.);
     does not contain any unfunded mandate or significantly or 
uniquely affect small governments, as described in the Unfunded 
Mandates Reform Act of 1995 (Pub. L. 104-4);
     does not have Federalism implications as specified in 
Executive Order 13132 (64 FR 43255, August 10, 1999);
     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 Clean Air Act; 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).
    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 as specified by Executive Order 13175 (65 
FR 67249, November 9, 2000), nor will it impose substantial direct 
costs on tribal governments or preempt tribal law.

List of Subjects in 40 CFR Part 52

    Environmental protection, Air pollution control, Carbon monoxide, 
Incorporation by reference, Ozone, Particulate matter, Nitrogen oxides, 
Reporting and recordkeeping requirements, Sulfur oxides, Volatile 
organic compounds.

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

    Dated: August 20, 2015.
Heather McTeer Toney,
Regional Administrator, Region 4.
[FR Doc. 2015-21537 Filed 8-31-15; 8:45 am]
 BILLING CODE 6560-50-P



                                                                         Federal Register / Vol. 80, No. 169 / Tuesday, September 1, 2015 / Proposed Rules                                                52701

                                                    the transaction has been reported,                      delegates under the terms of the Bank                 Subpart F—Special Standards of
                                                    paragraph (d)(1) shall not be construed                 Secrecy Act, for compliance with this                 Diligence; Prohibitions; and Special
                                                    as prohibiting:                                         section. Failure to satisfy the                       Measures for Investment Advisers
                                                       (A) The disclosure by an investment                  requirements of this section may be a
                                                    adviser, or any director, officer,                                                                            § 1031.600    [Reserved]
                                                                                                            violation of the Bank Secrecy Act and of
                                                    employee, or agent of an investment                     this part.                                            § 1031.610    [Reserved]
                                                    adviser of:
                                                       (1) A SAR, or any information that                     (g) Applicability date. This section                § 1031.620    [Reserved]
                                                    would reveal the existence of a SAR, to                 applies to transactions occurring after
                                                    FinCEN or any Federal, State, or local                  full implementation of an anti-money                  § 1031.630    [Reserved]
                                                    law enforcement agency, or any Federal                  laundering program required by
                                                                                                                                                                  § 1031.640    [Reserved]
                                                    regulatory authority that examines the                  § 1031.210.
                                                    investment adviser for compliance with                                                                        § 1031.670    [Reserved]
                                                    the Bank Secrecy Act; or                                Subpart D—Records Required To Be
                                                       (2) The underlying facts, transactions,              Maintained by Investment Advisers                       Dated: August 24, 2015.
                                                    and documents upon which a SAR is                                                                             Jennifer Shasky Calvery
                                                    based, including but not limited to                     § 1031.400    General.                                Director, Financial Crimes Enforcement
                                                    disclosures to another financial                                                                              Network.
                                                                                                              Investment advisers are subject to the
                                                    institution, or any director, officer,                  recordkeeping requirements set forth                  [FR Doc. 2015–21318 Filed 8–31–15; 8:45 am]
                                                    employee, or agent of a financial                       and cross referenced in this subpart.                 BILLING CODE 4810–02–P
                                                    institution, for the preparation of a joint             Investment advisers should also refer to
                                                    SAR; or                                                 subpart D of part 1010 of this chapter for
                                                       (B) The sharing by an investment                                                                           ENVIRONMENTAL PROTECTION
                                                                                                            recordkeeping requirements contained
                                                    adviser, or any director, officer,                                                                            AGENCY
                                                    employee, or agent of the investment                    in that subpart which apply to
                                                    adviser, of a SAR, or any information                   investment advisers.                                  40 CFR Part 52
                                                    that would reveal the existence of a                    § 1031.410    Recordkeeping.                          [EPA–R04–OAR–2012–0079; FRL–9933–31–
                                                    SAR, within the investment adviser’s                                                                          Region 4]
                                                    corporate organizational structure for                    Refer to § 1010.410 of this chapter.
                                                    purposes consistent with Title II of the                                                                      Approval and Promulgation of
                                                    Bank Secrecy Act as determined by                       Subpart E—Special Information
                                                                                                                                                                  Implementation Plans; Alabama:
                                                    regulation or in guidance.                              Sharing Procedures To Deter Money                     Nonattainment New Source Review
                                                       (2) Prohibition on disclosures by                    Laundering and Terrorist Activity
                                                    government authorities. A Federal,                                                                            AGENCY:  Environmental Protection
                                                                                                            § 1031.500    General.                                Agency.
                                                    State, local, territorial, or tribal
                                                    government authority, or any director,                    Investment advisers are subject to the              ACTION: Proposed rule.
                                                    officer, employee, or agent of any of the               special information sharing procedures
                                                    foregoing, shall not disclose a SAR, or                                                                       SUMMARY:   The Environmental Protection
                                                                                                            to deter money laundering and terrorist
                                                    any information that would reveal the                                                                         Agency (EPA) is proposing to approve
                                                                                                            activity requirements set forth and cross             portions of a revision to the Alabama
                                                    existence of a SAR, except as necessary                 referenced in this subpart. Investment
                                                    to fulfill official duties consistent with                                                                    State Implementation Plan (SIP)
                                                                                                            advisers should also refer to subpart E               submitted by the Alabama Department
                                                    Title II of the Bank Secrecy Act. For                   of part 1010 of this chapter for special
                                                    purposes of this section, official duties                                                                     of Environmental Management (ADEM)
                                                                                                            information sharing procedures to deter               to EPA on May 2, 2011. The proposed
                                                    shall not include the disclosure of a                   money laundering and terrorist activity
                                                    SAR, or any information that would                                                                            SIP revision modifies Alabama’s
                                                                                                            contained in that subpart which apply                 nonattainment new source review
                                                    reveal the existence of a SAR, to a non-
                                                                                                            to investment advisers.                               (NNSR) regulations in their entirety to
                                                    governmental entity in response to a
                                                    request for disclosure of non-public                                                                          be consistent with the federal new
                                                                                                            § 1031.520 Special information sharing
                                                    information or a request for use in a                                                                         source review (NSR) regulations for the
                                                                                                            procedures to deter money laundering and
                                                    private legal proceeding, including a                   terrorist activity for investment advisers.
                                                                                                                                                                  implementation of the criteria pollutant
                                                    request pursuant to 31 CFR 1.11.                                                                              national ambient air quality standards
                                                       (e) Limitation on liability. An                        (a) Refer to § 1010.520 of this chapter.            (NAAQS). EPA is proposing approval of
                                                    investment adviser, and any director,                     (b) [Reserved]                                      portions of the NNSR rule changes in
                                                    officer, employee, or agent of any                                                                            Alabama’s May 2, 2011, SIP revision
                                                    investment adviser, that makes a                        § 1031.530    [Reserved]                              because the Agency has preliminarily
                                                    voluntary disclosure of any possible                                                                          determined that the changes are
                                                                                                            § 1031.540 Voluntary information sharing              consistent with the Clean Air Act (CAA
                                                    violation of law or regulation to a                     among financial institutions.
                                                    government agency or makes a                                                                                  or Act) and federal regulations regarding
                                                    disclosure pursuant to this section or                    (a) Refer to § 1010.540 of this chapter.            NNSR permitting.
                                                    any other authority, including a                          (b) [Reserved]                                      DATES: Comments must be received on
                                                    disclosure made jointly with another                                                                          or before October 1, 2015.
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                                                    institution, shall be protected from                                                                          ADDRESSES: Submit your comments,
                                                    liability for any such disclosure, or for                                                                     identified by Docket ID No. EPA–R04–
                                                    failure to provide notice of such                                                                             OAR–2012–0079, by one of the
                                                    disclosure to any person identified in                                                                        following methods:
                                                    the disclosure, or both, to the full extent                                                                     1. www.regulations.gov: Follow the
                                                    provided by 31 U.S.C. 5318(g)(3).                                                                             on-line instructions for submitting
                                                       (f) Compliance. Investment advisers                                                                        comments.
                                                    shall be examined by FinCEN or its                                                                              2. Email: R4-ARMS@epa.gov.


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                                                    52702                Federal Register / Vol. 80, No. 169 / Tuesday, September 1, 2015 / Proposed Rules

                                                       3. Fax: (404) 562–9019.                                 Docket: All documents in the                         program, set forth at ADEM
                                                       4. Mail: ‘‘EPA–R04–OAR–2012–                         electronic docket are listed in the                     Administrative Code, Division 3,
                                                    0079,’’ Air Regulatory Management                       www.regulations.gov index. Although                     Chapter 14, Subchapter .05 (ADEM Rule
                                                    Section (formerly Regulatory                            listed in the index, some information is                335–3–14-.05), which applies to the
                                                    Development Section), Air Planning and                  not publicly available, i.e., CBI or other              construction and modification of any
                                                    Implementation Branch, Air, Pesticides                  information whose disclosure is                         major stationary source in or near a
                                                    and Toxics Management Division, U.S.                    restricted by statute. Certain other                    nonattainment area (NAA) as required
                                                    Environmental Protection Agency,                        material, such as copyrighted material,                 by part D of title I of the CAA.
                                                    Region 4, 61 Forsyth Street SW.,                        is not placed on the Internet and will be               Alabama’s NNSR regulations at ADEM
                                                    Atlanta, Georgia 30303–8960.                            publicly available only in hard copy                    Rule 335–3–14-.05 were originally
                                                       5. Hand Delivery or Courier: Lynorae                 form. Publicly available docket                         approved into the SIP on November 26,
                                                    Benjamin, Chief, Air Regulatory                         materials are available either                          1979 (See 44 FR 67375), with periodic
                                                    Management Section, Air Planning and                    electronically in www.regulations.gov or                revisions approved through December 8,
                                                    Implementation Branch, Air, Pesticides                  in hard copy at the Air Regulatory                      2000 (See 65 FR 76938). Subsequent
                                                    and Toxics Management Division, U.S.                    Management Section, Air Planning and                    revisions to Alabama’s NNSR
                                                    Environmental Protection Agency,                        Implementation Branch, Air, Pesticides                  regulations have not yet been
                                                    Region 4, 61 Forsyth Street SW.,                        and Toxics Management Division, U.S.                    incorporated into Alabama’s SIP.
                                                    Atlanta, Georgia 30303–8960. Such                       Environmental Protection Agency,                        Alabama’s May 2, 2011, SIP revision
                                                    deliveries are only accepted during the                 Region 4, 61 Forsyth Street SW.,                        replaces the State’s NNSR regulations in
                                                    Regional Office’s normal hours of                       Atlanta, Georgia 30303–8960. EPA                        their entirety with a new version that
                                                    operation. The Regional Office’s official               requests that if at all possible, you                   reflects changes to the federal NNSR
                                                    hours of business are Monday through                    contact the person listed in the FOR                    regulations at 40 Code of Federal
                                                    Friday, 8:30 a.m. to 4:30 p.m., excluding               FURTHER INFORMATION CONTACT section to                  Regulations (CFR) 51.165,2 including
                                                    Federal holidays.                                       schedule your inspection. The Regional                  provisions promulgated in the following
                                                       Instructions: Direct your comments to                Office’s official hours of business are                 federal rules: (1) ‘‘Requirements for
                                                    Docket ID No. EPA–R04–OAR–2012–                         Monday through Friday, 8:30 a.m. to                     Preparation, Adoption and Submittal of
                                                                                                            4:30 p.m., excluding Federal holidays.                  Implementation Plans; Approval and
                                                    0079. EPA’s policy is that all comments
                                                                                                            FOR FURTHER INFORMATION CONTACT: For                    Promulgation of Implementation Plans;
                                                    received will be included in the public
                                                                                                            further information regarding the                       Standards of Performance for New
                                                    docket without change and may be
                                                                                                            Alabama SIP, contact Mr. D. Brad Akers,                 Stationary Sources,’’ Final Rule, 57 FR
                                                    made available online at
                                                                                                            Air Regulatory Management Section, Air                  32314 (July 21, 1992) (hereafter referred
                                                    www.regulations.gov, including any
                                                                                                            Planning and Implementation Branch,                     to as the Wisconsin Electric Power
                                                    personal information provided, unless
                                                                                                            Air, Pesticides and Toxics Management                   Company (WEPCO) Rule); (2)
                                                    the comment includes information
                                                                                                            Division, U.S. Environmental Protection                 ‘‘Prevention of Significant Deterioration
                                                    claimed to be Confidential Business
                                                                                                            Agency, Region 4, 61 Forsyth Street                     (PSD) and Nonattainment New Source
                                                    Information (CBI) or other information
                                                                                                            SW., Atlanta, Georgia 30303–8960. Mr.                   Review (NSR): Baseline Emissions
                                                    whose disclosure is restricted by statute.
                                                                                                            Akers can be reached by phone at (404)                  Determination, Actual-to-Future-Actual
                                                    Do not submit through
                                                                                                            562–9089 or via electronic mail at                      Methodology, Plantwide Applicability
                                                    www.regulations.gov or email,
                                                                                                            akers.brad@epa.gov. For information                     Limitations, Clean Units, Pollution
                                                    information that you consider to be CBI
                                                                                                            regarding NSR, contact Ms. Yolanda                      Control Projects,’’ Final Rule, 67 FR
                                                    or otherwise protected. The
                                                                                                            Adams, Air Permits Section, at the same                 80186 (December 31, 2002) (hereafter
                                                    www.regulations.gov Web site is an
                                                                                                            address above. Telephone number: (404)                  referred to as the NSR Reform Rule); (3)
                                                    ‘‘anonymous access’’ system, which
                                                                                                            562–9214; email address:                                ‘‘Prevention of Significant Deterioration
                                                    means EPA will not know your identity
                                                                                                            adams.yolanda@epa.gov.                                  (PSD) and Non-Attainment New Source
                                                    or contact information unless you
                                                                                                            SUPPLEMENTARY INFORMATION:                              Review (NSR): Reconsideration,’’ Final
                                                    provide it in the body of your comment.
                                                                                                                                                                    Rule, 68 FR 63021 (November 7, 2003)
                                                    If you send an email comment directly                   I. What is EPA’s proposed action for                    (hereafter referred to as the
                                                    to EPA without going through                            changes to Alabama’s NNSR rules?                        Reconsideration Rule); (4) ‘‘Prevention
                                                    www.regulations.gov, your email                            On May 2, 2011, ADEM submitted a                     of Significant Deterioration (PSD) and
                                                    address will be automatically captured                  SIP revision to EPA for approval that                   Non-Attainment New Source Review
                                                    and included as part of the comment                     involves changes to Alabama’s                           (NSR): Removal of Vacated Elements,’’
                                                    that is placed in the public docket and                 regulations needed to make them                         Final Rule, 72 FR 32526 (June 13, 2007)
                                                    made available on the Internet. If you                  consistent with federal requirements for                (hereafter referred to as the Vacated
                                                    submit an electronic comment, EPA                       general and transportation conformity
                                                    recommends that you include your                        and NSR permitting.1 In this action,                       2 EPA’s regulations governing the implementation
                                                    name and other contact information in                   EPA is proposing to approve the portion                 of NSR permitting programs are contained in 40
                                                    the body of your comment and with any                   of Alabama’s May 2, 2011 submission                     CFR 51.160–.166; 52.21, .24; and part 51, appendix
                                                    disk or CD–ROM you submit. If EPA                                                                               S. The CAA NSR program is composed of three
                                                                                                            that makes changes to Alabama’s NNSR                    separate programs: PSD, NNSR, and Minor NSR.
                                                    cannot read your comment due to                                                                                 PSD is established in part C of title I of the CAA
                                                    technical difficulties and cannot contact                  1 The original submittal, found at Docket ID No.     and applies in areas that meet the NAAQS—
                                                    you for clarification, EPA may not be
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                                                                                                            EPA–R04–OAR–2012–0079, proposed changes to              ‘‘attainment areas’’—as well as areas where there is
                                                    able to consider your comment.                          Alabama regulations pertaining to NSR and general       insufficient information to determine if the area
                                                                                                            and transportation conformity found at ADEM             meets the NAAQS—‘‘unclassifiable areas.’’ The
                                                    Electronic files should avoid the use of                Administrative Code Chapter 335–3–14—Permits            NNSR program is established in part D of title I of
                                                    special characters, any form of                         (including general permits, prevention of significant   the CAA and applies in areas that are not in
                                                    encryption, and be free of any defects or               deterioration (PSD) and NNSR) and Chapter 335–3–        attainment of the NAAQS—‘‘nonattainment areas.’’
                                                    viruses. For additional information                     17 Conformity of Federal Actions to State               The Minor NSR program addresses construction or
                                                                                                            Implementation Plans, respectively. The first two       modification activities that do not qualify as
                                                    about EPA’s public docket visit the EPA                 portions of the submittal regarding conformity and      ‘‘major’’ and applies regardless of the designation
                                                    Docket Center homepage at http://                       PSD were acted on by EPA on September 26, 2012          of the area in which a source is located. Together,
                                                    www.epa.gov/epahome/dockets.htm.                        (See 77 FR 59100).                                      these programs are referred to as the NSR programs.



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                                                                          Federal Register / Vol. 80, No. 169 / Tuesday, September 1, 2015 / Proposed Rules                                                   52703

                                                    Elements Rule); (4) ‘‘Prevention of                     Significant Deterioration (PSD) and                    the Alabama SIP the NNSR
                                                    Significant Deterioration and                           Nonattainment New Source Review                        requirements promulgated in these rules
                                                    Nonattainment New Source Review:                        (NSR): Reconsideration of Inclusion of                 to be consistent with federal regulations.
                                                    Reasonable Possibility in                               Fugitive Emissions; Interim Rule; Stay                 A brief summary of the abovementioned
                                                    Recordkeeping,’’ Final Rule, 72 FR                      and Revisions’’, Interim Rule, 76 FR                   rules as well as details of Alabama’s
                                                    72607 (December 21, 2007), (hereafter                   17548 (March 30, 2011) (hereafter                      May 2, 2011, SIP submission is
                                                    referred to as the Reasonable Possibility               referred to as the Fugitive Emissions                  discussed below.
                                                    Rule); (5) ‘‘Final Rule To Implement the                Interim Rule).                                            Originally, Alabama included PM2.5
                                                    8-Hour Ozone National Ambient Air                          EPA is not, however, proposing to                   SILs and NNSR interpollutant offset
                                                    Quality Standard—Phase 2; Final Rule                    approve into the Alabama SIP ADEM                      ratios in the May 2, 2011, SIP
                                                    To Implement Certain Aspects of the                     Rule 335–3–14–.05(1)(k), which                         submission, consistent with the PM2.5
                                                    1990 Amendments Relating to New                         Alabama promulgated pursuant to the                    PSD Increments-SILs-SMC Rule.
                                                    Source Review and Prevention of                         federal rule entitled ‘‘Prevention of                  However, EPA cannot act on SIL
                                                    Significant Deterioration as They Apply                 Significant Deterioration,                             provisions for PSD due to the January
                                                    in Carbon Monoxide, Particulate Matter                  Nonattainment New Source Review, and                   22, 2013, decision by the D.C. Circuit
                                                    and Ozone NAAQS; Final Rule for                         Title V: Treatment of Certain Ethanol                  vacating and remanding to EPA the SILs
                                                    Reformulated Gasoline,’’ Final Rule, 70                 Production Facilities Under the ‘Major                 portion of the PM2.5 PSD Increments-
                                                    FR 71612 (November 29, 2005)                            Emitting Facility’ Definition’’, Final                 SILs-SMC Rule for further
                                                    (hereafter referred to as the Phase 2                   Rule, 72 FR 24060 (May 1, 2007) (or the                consideration.6 See Sierra Club v. EPA,
                                                    Rule); (6) ‘‘Implementation of the New                  Ethanol Rule).5 EPA is also not acting                 705 F.3d 458 (D.C. Cir. 2013). Nor can
                                                    Source Review (NSR) Program for                         on the provision at Rule 335–3–14–                     EPA approve the interpollutant offset
                                                    Particulate Matter Less Than 2.5                        .05(2)(c)3 that excludes fugitive                      ratios for PM2.5 and selected precursors
                                                    Micrometers (PM2.5),3’’ Final Rule, 73                  emissions from the determinion of                      included in the May 2, 2011
                                                    FR 28321 (May 16, 2008) (hereafter                      creditable emission increases and                      submission, which adopted the EPA
                                                    referred to as the NSR PM2.5 Rule); (7)                 decreases. (See Sections II.F. and III.F.              presumptive ratios from the May 16,
                                                    ‘‘Prevention of Significant Deterioration               of this notice for details). Finally, EPA              2008, preamble to the NSR PM2.5
                                                    (PSD) for Particulate Matter Less Than                  is not proposing to approve ADEM’s                     Implementation Rule. After publication,
                                                    2.5 Micrometers (PM2.5)—Increments,                     rules regarding the PM2.5 significant                  these ratios were the subject of a
                                                    Significant Impact Levels (SILs) and                    impact levels (SILs) for PSD at Rule                   petition for reconsideration, which the
                                                    Significant Monitoring Concentration                    335–3–14–.04(8)(h)1., the NNSR                         Administrator granted, and are no
                                                    (SMC),’’ Final Rule, 75 FR 64864                        interpollutant offset ratios at ADEM                   longer presumptively approvable.
                                                    (October 20, 2010) (hereafter referred to               Rule 335–3–14-.05(3)(g), or the ‘‘actual-              Accordingly, ADEM has since submitted
                                                    as the PM2.5 PSD Increments-SILs-SMC                    to-potential’’ NNSR applicability test at              a letter to EPA dated October 9, 2014,
                                                    Rule 4); and (8) ‘‘Prevention of                        ADEM Rule 335–3–14–.05(1)(h), all of                   requesting that the PM2.5 SILs
                                                                                                            which ADEM withdrew from EPA’s                         provisions for PSD and the
                                                       3 Airborne particulate matter (PM) with a nominal
                                                                                                            consideration subsequent to the May 2,                 interpollutant trading ratios for NNSR
                                                    aerodynamic diameter of 2.5 micrometers or less (a      2011 submittal.                                        be withdrawn from the May 2, 2011,
                                                    micrometer is one-millionth of a meter, and 2.5
                                                    micrometers is less than one-seventh the average
                                                                                                                                                                   submission; therefore these provisions
                                                                                                            II. What is the background for EPA’s                   are no longer before EPA for
                                                    width of a human hair) are considered to be ‘‘fine
                                                    particles’’ and are also known as PM2.5. Fine           proposed action?                                       consideration. ADEM still intends to
                                                    particles in the atmosphere are made up of a               This proposed action to revise the                  adopt the NNSR interpollutant trading
                                                    complex mixture of components including sulfate;
                                                    nitrate; ammonium; elemental carbon; a great
                                                                                                            NNSR regulations in Alabama’s SIP                      policy itself, however, and therefore the
                                                    variety of organic compounds; and inorganic             relates to EPA’s WEPCO Rule, 2002 NSR                  letter only requested the withdrawal of
                                                    material (including metals, dust, sea salt, and other   Reform Rule (and associated                            the presumptive ratios. The letter can be
                                                    trace elements) generally referred to as ‘‘crustal’’    Reconsideration Rule and Vacated                       found in Docket ID: EPA–R04–OAR–
                                                    material, although it may contain material from
                                                    other sources. The health effects associated with       Elements Rule), Reasonable Possibility                 2012–0079.
                                                    exposure to PM2.5 include potential aggravation of      Rule, Phase 2 Rule, NSR PM2.5 Rule,                       The May 2, 2011, submittal also
                                                    respiratory and cardiovascular disease (i.e., lung      PM2.5 PSD Increments-SILs-SMC Rule,                    included an ‘‘actual-to-potential’’ NNSR
                                                    disease, decreased lung function, asthma attacks        and Fugitive Emissions Interim Rule.                   applicability test for projects involving
                                                    and certain cardiovascular issues). On July 18,
                                                    1997, EPA revised the NAAQS for PM to add new           Together these rules address the NSR                   only existing emissions units at ADEM
                                                    standards for fine particles, using PM2.5 as the        permitting requirements needed to                      Rule 335–3–14–.05(1)(h). This test,
                                                    indicator. Previously, EPA used PM10 (inhalable         implement the NAAQS in NAAs. The                       which is not contained in the federal
                                                    particles smaller than or equal to 10 micrometers       State’s May 2, 2011, revision adopts into              regulations, utilizes the definition of
                                                    in diameter) as the indicator for the PM NAAQS.
                                                    EPA established health-based (primary) annual and                                                              ‘‘actual emissions’’ at ADEM Rule 335–
                                                    24-hour standards for PM2.5, setting an annual          SMC and SILs (and remanded the SILs portion to
                                                    standard at a level of 15.0 micrograms per cubic        EPA for further consideration) for PSD, but left the      6 On January 22, 2013, D.C. Circuit granted a

                                                    meter (mg/m3) and a 24-hour standard at a level of      PM2.5 SILs in place for the NNSR program in the        request from EPA to vacate and remand to the
                                                    65 mg/m3. See 62 FR 38652. At the time the 1997         table in section 51.165(b)(2). See Sierra Club v.      Agency the portions of the October 20, 2010 rule
                                                    primary standards were established, EPA also            EPA, 705 F.3d 458 (D.C. Cir. 2013).                    addressing the SILs for PM2.5, except for the parts
                                                    established welfare-based (secondary) standards           5 Alabama’s changes to its NNSR regulations (at      codifying the PM2.5 SILs in the NNSR rule at 40 CFR
                                                    identical to the primary standards. The secondary       335–3–14–.05(1)(k)) exclude ‘‘chemical process         51.165(b)(2), so that the EPA could voluntarily
                                                    standards are designed to protect against major
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                                                                                                            plants’’ that produce ethanol through a natural        correct an error in the provisions. See Sierra Club
                                                    environmental effects of PM2.5, such as visibility      fermentation process from the NSR major source         v. EPA, 705 F.3d 458 at 463–66 (D.C. Cir. 2013). The
                                                    impairment, soiling, and materials damage. On           permitting requirement as promulgated in the           Court also vacated parts of the PM2.5 PSD
                                                    October 17, 2006, EPA revised the primary and           Ethanol Rule (as amended at 40 CFR 51.165). See        Increment-SILs-SMC Rule establishing the PM2.5
                                                    secondary 24-hour NAAQS for PM2.5 to 35 mg/m3           72 FR 24060 (May 1, 2007). However, due to a           SMC, finding that the Agency had exceeded its
                                                    and retained the existing annual PM2.5 NAAQS of         petition by Natural Resources Defense Council to       statutory authority with respect to these provisions.
                                                    15.0 mg/m3. See 71 FR 61236. On January 15, 2013,       reconsider the rule, EPA is not proposing to take      Id at 469. On December 9, 2013, EPA issued a final
                                                    EPA published a final rule revising the annual          action to approve this provision into the Alabama      rulemaking to remove the vacated and remanded
                                                    PM2.5 NAAQS to 12 mg/m3. See 78 FR 3086.                SIP at this time. Pending final resolution, EPA will   PM2.5 SILs and the vacated PM2.5 SMC provisions
                                                       4 The D.C. Circuit vacated the portions of the       make a final determination on action regarding this    from the Federal regulations at 40 CFR 51.166 and
                                                    PM2.5 PSD Increment-SILs-SMC Rule addressing the        portion of Alabama’s SIP revision.                     52.21. See 78 FR 73698.



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                                                    52704                 Federal Register / Vol. 80, No. 169 / Tuesday, September 1, 2015 / Proposed Rules

                                                    3–14-.05(2)(u) for determining whether                  allow major stationary sources to                     for sources and reviewing authorities,
                                                    a change to an existing emissions unit                  comply with plant-wide applicability                  the circumstances under which a major
                                                    would result in a significant emissions                 limits (PALs) to avoid having a                       stationary source undergoing a
                                                    increase that triggers NNSR                             significant emissions increase that                   modification that does not trigger major
                                                    applicability.7 To be consistent with the               triggers the requirements of the major                NSR must keep records. EPA’s
                                                    NNSR provisions at 40 CFR 51.165,                       NSR program; (4) provide a new                        December 21, 2007, final rule on the
                                                    ADEM submitted a letter to EPA on June                  applicability provision for emissions                 recordkeeping and reporting provisions
                                                    5, 2015, withdrawing the ‘‘actual-to-                   units that are designated clean units;                also explained state obligations with
                                                    potential’’ applicability test at ADEM                  and (5) exclude pollution control                     regard to the reasonable possibility-
                                                    Rule 335–3–14–.05(1)(h) from the May                    projects (PCPs) from the definition of                related rule changes.
                                                    2, 2011, SIP revision. This letter is                   ‘‘physical change or change in the
                                                                                                                                                                  C. Phase 2 Rule
                                                    included in the docket for this proposed                method of operation.’’ On November 7,
                                                    action (Docket ID: EPA–R04–OAR–                         2003 (68 FR 63021), EPA published a                      Part of Alabama’s May 2, 2011, SIP
                                                    2012–0079).                                             notice of final action on its                         submittal to revise its NNSR rules
                                                                                                            reconsideration of the 2002 NSR Reform                relates to EPA’s 1997 8-Hour Ozone
                                                    A. WEPCO Rule                                           Rules, which added a definition for                   NAAQS Implementation Rule NSR
                                                       On July 21, 1992, EPA finalized the                  ‘‘replacement unit’’ and clarified an                 Update or Phase 2 Rule. On November
                                                    WEPCO Rule, which put forward                           issue regarding PALs. For additional                  29, 2005, EPA published the Phase 2
                                                    regulations arising out of the decision in              information on the 2002 NSR Reform                    Rule, which addressed control and
                                                    the WEPCO case. See Wisconsin Electric                  Rules, see 67 FR 80186 (December 31,                  planning requirements as they applied
                                                    Power Co. v. Reilly, 893 F.2d 901 (7th                  2002) and http://www.epa.gov/nsr/                     to areas designated nonattainment for
                                                    Cir. 1990). The WEPCO Rule made                         actions.html#2002.                                    the 1997 8-hour ozone NAAQS 8 such as
                                                    changes to the NNSR and PSD                                After the 2002 NSR Reform Rules                    reasonably available control technology,
                                                    regulations found at 40 CFR 51.165,                     were finalized and effective (March 3,                reasonably available control measures,
                                                    51.166 and 52.21. Relevant to this                      2003), industry, state, and                           reasonable further progress, modeling
                                                    proposed rulemaking, EPA established                    environmental petitioners challenged                  and attainment demonstrations, NSR,
                                                    definitions in the WEPCO Rule for                       numerous aspects of the 2002 NSR                      and the impact to reformulated gas for
                                                    electric utility steam generating unit                  Reform Rules, along with portions of                  the 1997 8-hour ozone NAAQS
                                                    (EGU), clean coal technology (CCT),                     EPA’s 1980 NSR Rules. See 45 FR 52676                 transition. See 70 FR 71612. The NSR
                                                    CCT demonstration project, temporary                    (August 7, 1980). On June 24, 2005, the               permitting requirements established in
                                                    CCT demonstration project, and                          United States Court of Appeals for the                the rule included the following
                                                    repowering. In addition, the rule                       District of Columbia Circuit (D.C.                    provisions: (1) Recognized NOX as an
                                                    exempted CCT demonstration projects                     Circuit) issued a decision on the                     ozone precursor for PSD purposes; (2)
                                                    (that constitute repowering) from PSD or                challenges to the 2002 NSR Reform                     changes to the NNSR rules establishing
                                                    NNSR requirements (major                                Rules: New York v. U.S. EPA, 413 F.3d                 major stationary thresholds (marginal,
                                                    modification), providing the projects do                3 (D.C. Cir. 2005). In summary, the D.C.              moderate, serious, severe, and extreme
                                                    not cause an increase in potential to                   Circuit vacated portions of the rules                 NAA classifications); and significant
                                                    emit of a regulated NSR pollutant                       pertaining to clean units and PCPs,                   emission rates for the 8-hour ozone,
                                                    emitted by the unit.                                    remanded a portion of the rules                       PM10 and carbon monoxide NAAQS;
                                                                                                            regarding recordkeeping and the term                  and (3) revised the criteria for crediting
                                                    B. NSR Reform and Reasonable                            ‘‘reasonable possibility’’ found in 40                emission reductions credits from
                                                    Possibility                                             CFR 52.21(r)(6) and 40 CFR 51.165(a)(6)               operation shutdowns and curtailments
                                                       On December 31, 2002 (67 FR 80186),                  and 51.166(r)(6), and either upheld or                as offsets, and changes to offset ratios
                                                    EPA published final rule changes to 40                  did not comment on the other                          for marginal, moderate, serious, severe,
                                                    CFR parts 51 and 52 regarding the                       provisions included as part of the 2002               and extreme ozone NAA. For additional
                                                    CAA’s PSD and NNSR programs. On                         NSR Reform Rules. On June 13, 2007 (72                information on provisions in the Phase
                                                    November 7, 2003 (68 FR 63021), EPA                     FR 32526), EPA took final action to                   2 Rule see the November 29, 2005, final
                                                    published a notice of final action on the               revise the 2002 NSR Reform Rules to                   rule (70 FR 71612).
                                                    reconsideration of the December 31,                     remove from federal law all provisions                D. NSR PM2.5 Rule
                                                    2002, final rule changes. The December                  pertaining to clean units and the PCP
                                                                                                            exemption that were vacated by the D.C.                  On May 16, 2008, EPA finalized the
                                                    31, 2002, and the November 7, 2003,
                                                                                                            Circuit.                                              NSR PM2.5 Rule to implement the PM2.5
                                                    final actions are collectively referred to
                                                                                                               With regard to the remanded portions               NAAQS for the NSR permitting
                                                    as the ‘‘2002 NSR Reform Rules.’’ The
                                                                                                            of the 2002 NSR Reform Rules related to               program. See 73 FR 28321. The NSR
                                                    2002 NSR Reform Rules made changes
                                                                                                            recordkeeping, the D.C. Circuit                       PM2.5 Rule revised the federal NSR
                                                    to five areas of the NSR programs. In
                                                                                                            remanded these provisions to EPA                      program requirements to establish the
                                                    summary, the 2002 NSR Reform Rules:
                                                                                                            either to provide an acceptable                       framework for implementing
                                                    (1) Provide a new method for
                                                    determining baseline actual emissions;                  explanation for its ‘‘reasonable
                                                                                                                                                                     8 On July 18, 1997, EPA promulgated a revised 8-
                                                    (2) adopt an actual-to-projected-actual                 possibility’’ standard, or to devise an
                                                                                                                                                                  hour ozone NAAQS of 0.08 parts per million—also
                                                    methodology for determining whether a                   appropriate alternative. To satisfy the               referred to as the 1997 8-hour ozone NAAQS. On
                                                                                                            court, the EPA published the
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                                                    major modification has occurred; (3)                                                                          April 30, 2004, EPA designated areas as
                                                                                                            Reasonable Possibility Rule, thereby                  unclassifiable/attainment, nonattainment and
                                                                                                            taking action to clarify that a                       unclassifiable for the 1997 8-hour ozone NAAQS.
                                                      7 The definition of ‘‘actual emissions’’ at ADEM
                                                                                                                                                                  In addition, on April 30, 2004, as part of the
                                                    Rule 335–3–14–.05(2)(u) is based on the definition      ‘‘reasonable possibility’’ applies where              framework to implement the 1997 8-hour ozone
                                                    of ‘‘actual emissions’’ in the federal NNSR             source emissions equal or exceed 50                   NAAQS, EPA promulgated an implementation rule
                                                    regulations at 40 CFR 51.165(a)(1)(xii). However,       percent of the CAA NSR significance                   in two phases (Phase I and II). The Phase I Rule
                                                    the federal regulations expressly state that ‘‘this                                                           (effective on June 15, 2004), provided the
                                                    definition shall not apply for calculating whether a
                                                                                                            levels for any pollutant. See 72 FR                   implementation requirements for designating areas
                                                    significant emissions increase has occurred.’’ 40       72607 (December 21, 2007). The                        under subpart 1 and subpart 2 of the CAA. See 69
                                                    CFR 51.165(a)(1)(xii)(A).                               Reasonable Possibility Rule identified,               FR 23951.



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                                                                          Federal Register / Vol. 80, No. 169 / Tuesday, September 1, 2015 / Proposed Rules                                                   52705

                                                    preconstruction permit review for the                   of Part D, title I, of the CAA. Relative to             prior to December 31, 2014. See 79 FR
                                                    PM2.5 NAAQS in both attainment and                      subpart 1, subpart 4 of Part D, title I                 at 31570.
                                                    NAA. Specifically, the NSR PM2.5 Rule                   includes additional provisions that                        Two areas were initially designated
                                                    established the following NSR                           apply to PM10 NAA and is more specific                  moderate nonattainment for the 1997
                                                    provisions to implement the PM2.5                       about what states must do to bring areas                annual PM2.5 NAAQS in Alabama: The
                                                    NAAQS: (1) Required NSR permits to                      into attainment. In particular, subpart 4               Birmingham area and the Chattanooga
                                                    address directly-emitted PM2.5 and                      includes section 189(e) of the CAA,                     multi-state area.12 On May 2, 2011,
                                                    certain precursor pollutants; (2)                       which requires the control of major                     ADEM submitted a redesignation
                                                    established significant emission rates for              stationary sources of PM10 precursors                   request for the Birmingham NAA for the
                                                    direct PM2.5 and precursor pollutants                   (and hence under the court decision,                    1997 annual PM2.5 NAAQS. This request
                                                    (including sulfur dioxide (SO2) and                     PM2.5 precursors) ‘‘except where the                    was granted, and the area was
                                                    nitrogen oxides (NOX)); (3) established                 Administrator determines that such                      redesignated on January 22, 2013. See
                                                    NNSR PM2.5 emission offsets; (4)                        sources do not contribute significantly                 78 FR 4341. On December 22, 2014, the
                                                    required states to account for gases that               to PM10 levels which exceed the                         Jackson County, Alabama portion of the
                                                    condense to form particles                              standard in the area.’’ The court ordered               Chattanooga NAA was successfully
                                                    (condensables) in PM2.5 and PM10                        EPA to repromulgate the                                 redesignated to attainment for the 1997
                                                    applicability determinations and                        implementation rules pursuant to                        PM2.5 annual NAAQS based on an April
                                                    emission limits in PSD and NNSR                         subpart 4.                                              23, 2013 request for redesignation by
                                                    permits; and (5) provided a                                On June 2, 2014, EPA published a                     ADEM.13 See 79 FR 76235. Because
                                                    grandfathering provision in the federal                 final rule 11 which, in part, set a                     these counties in Alabama have been
                                                    program for certain pending PM2.5                       December 31, 2014 deadline for states to                redesignated, Alabama has no other
                                                    permit applications. Additionally, the                  make any remaining required                             PM2.5 NAA for the annual 1997 NAAQS,
                                                    NSR PM2.5 Rule authorized states to                     attainment-related and NNSR SIP                         the 24-hour 1997 NAAQS, nor the 24-
                                                    adopt provisions in their NNSR rules                    submissions, pursuant to and                            hour 2006 PM2.5 NAAQS. Therefore, the
                                                    that would allow interpollutant offset                  considering the application of subpart 4.               additional NNSR SIP requirements
                                                    trading. Alabama’s May 2, 2011 SIP                      See 79 FR 31566. Requirements under                     pursuant to subpart 4 do not apply to
                                                    revision addresses the effective portions               subpart 4 for a moderate NAA are                        the State.
                                                    of the NNSR provisions established in                   generally comparable to subpart 1,
                                                                                                            including: (1) CAA section 189(a)(1)(A)                 2. Interpollutant Trading Ratios
                                                    EPA’s May 16, 2008 NSR PM2.5 Rule.
                                                    Two key issues described in greater                     (NNSR permit program); (2) section                         The NSR PM2.5 Rule authorized states
                                                    detail below include the NSR PM2.5                      189(a)(1)(B) (attainment demonstration                  to adopt provisions in their NNSR rules
                                                    litigation and interpollutant trading                   or demonstration that attainment by the                 that would allow major stationary
                                                    ratios for the NNSR program.                            applicable attainment date is                           sources and major modifications
                                                                                                            impracticable); (3) section 189(a)(1)(C)                locating in areas designated
                                                    1. PM2.5 Implementation Rule(s)                         (reasonably available control measures                  nonattainment for PM2.5 to offset
                                                    Litigation                                              and reasonably available control                        emissions increases of direct PM2.5
                                                       On January 4, 2013, the D.C. Circuit                 technology (RACT); and (4) section                      emissions or PM2.5 precursors with
                                                    issued a judgment 9 that remanded                       189(c) (reasonable further progress and                 reductions of either direct PM2.5
                                                    EPA’s April 25, 2007 10 and May 16,                     quantitative milestones). The additional                emissions or PM2.5 precursors in
                                                    2008 PM2.5 implementation rules                         requirements pursuant to subpart 4 as                   accordance with offset ratios contained
                                                    implementing the 1997 PM2.5 NAAQS.                      opposed to subpart 1 correspond to                      in the approved SIP for the applicable
                                                    See Natural Resources Defense Council                   section 189(e) (precursor requirements                  NAA. The inclusion, in whole or in
                                                    v. EPA, 706 F.3d 428 (D.C. Cir. 2013).                  for major stationary sources). Further                  part, of the interpollutant trading offset
                                                    The Court found that because the                        additional SIP planning requirements                    provisions for PM2.5 is discretionary on
                                                    statutory definition of PM10 (see section               are introduced by subpart 4 in the case                 the part of the states. In the preamble to
                                                    302(t) of the CAA) included particulate                 that a moderate NAA is reclassified to                  the NSR PM2.5 Rule, EPA included
                                                    matter with an aerodynamic diameter                     a serious NAA, or in the event that the                 preferred offset ratios applicable to
                                                    less than or equal to 10 micrometers, it                moderate NAA needs additional time to                   specific PM2.5 precursors that states may
                                                    necessarily includes PM2.5. EPA had                     attain the NAAQS. The additional                        adopt in conjunction with the new
                                                    developed the 2007 and 2008 (or NSR                     requirements under subpart 4 are not                    interpollutant trading offset provisions
                                                    PM2.5 Rule) Rules consistent with the                   applicable for the purposes of CAA                      for PM2.5, and for which the state could
                                                    general NAA requirements of subpart 1                   section 107(d)(3)(E) in any area that has               rely on the EPA’s technical work to
                                                                                                            submitted a complete redesignation                      demonstrate the adequacy of the ratios
                                                       9 The Natural Resources Defense Council, Sierra
                                                                                                            request prior to the due date for those                 for use in any PM2.5 NAA. Alternatively,
                                                    Club, American Lung Association, and Medical
                                                    Advocates for Healthy Air challenged before the
                                                                                                            requirements; therefore, EPA is not                     the preamble indicated that states may
                                                    D.C. Circuit EPA’s April 25, 2007 Rule entitled         required to consider subpart 4                          adopt their own ratios, subject to the
                                                    ‘‘Clean Air Fine Particle Implementation Rule’’ (72     requirements for moderate NAA that                      EPA’s approval, that would have to be
                                                    FR 20586), which established detailed                   have submitted a redesignation request
                                                    implementation regulations to assist states with the
                                                                                                                                                                       12 EPA designated the Birmingham multi-county
                                                    development of SIPs to demonstrate attainment for
                                                    the 1997 annual and 24-hour PM2.5 NAAQS and the           11 The  rule is entitled ‘‘Identification of          area and Chattanooga TN–GA–AL area as
                                                                                                                                                                    nonattainment for the 1997 Annual PM2.5 NAAQS
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                                                    separate May 16, 2008 NSR PM2.5 Rule (which is          Nonattainment Classification and Deadlines for
                                                    considered in this proposed rulemaking). This           Submission of State Implementation Plan (SIP)           on January 5, 2005 (70 FR 944) as supplemented on
                                                    proposed rulemaking only pertains to the impacts        Provisions for the 1997 Fine Particle (PM2.5)           April 14, 2005 (70 FR 19844).
                                                    of the Court’s decision on the May 16, 2008 NSR         National Ambient Air Quality Standard (NAAQS)              13 The Georgia portion of the Chattanooga TN–

                                                    PM2.5 Rule and not the April 25, 2007                   and 2006 PM2.5 NAAQS’’, Final Rule, 79 FR 31566         GA–AL nonattainment area for 1997 Annual PM2.5
                                                    implementation rule as the State’s May 2, 2011 SIP      (June 2, 2014). This final rule also identifies the     NAAQS has been redesignated in the December 19,
                                                    revision adopts the NSR permitting provisions           initial classification of current 1997 and 2006 PM2.5   2014 final rule (79 FR 75748). Tennessee submitted
                                                    established in the NSR PM2.5 Rule.                      nonattainment areas as moderate and the EPA             a redesignation request for the Tennessee portion of
                                                       10 This rule is entitled ‘‘Clean Air Fine Particle   guidance and relevant rulemakings that are              the Chattanooga TN–GA–AL NAA on November 11,
                                                    Implementation Rule,’’ Final Rule, 72 FR 20586          currently available regarding implementation of         2014, but the redesignation has not yet been
                                                    (hereafter referred to as the 2007 Rule).               subpart 4 requirements.                                 proposed.



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                                                    52706                Federal Register / Vol. 80, No. 169 / Tuesday, September 1, 2015 / Proposed Rules

                                                    substantiated by modeling or other                      to the PM2.5 SILs and SMC provisions of               the Fugitive Emissions Rule 16 on March
                                                    technical demonstrations of the net air                 the PM2.5 PSD-Increment-SILs-SMC                      31, 2010, EPA stayed the rule for 18
                                                    quality benefit for ambient PM2.5                       Rule filed by the Sierra Club, the D.C.               months to October 3, 2011. The stay
                                                    concentrations.                                         Circuit vacated and remanded to EPA                   allowed the Agency time to propose,
                                                       The preferred ratios were                            for further consideration the portions of             take comment and issue a final action
                                                    subsequently the subject of a petition for              the rule addressing PM2.5 SILs, except                regarding the inclusion of fugitive
                                                    reconsideration which the EPA                           for the PM2.5 SILs promulgated in EPA’s               emissions in NSR applicability
                                                    Administrator granted in 2009. As a                     NNSR rules at 40 CFR 51.165(b)(2). See                determinations. On March 30, 2011 (76
                                                    result of the reconsideration, on July 21,              Sierra Club v. EPA, 705 F.3d 458, 469                 FR 17548), EPA proposed an interim
                                                    2011, EPA issued a memorandum                           (D.C. Cir. 2013). The D.C. Circuit also               rule (the ‘‘Fugitive Emissions Interim
                                                    entitled ‘‘Revised Policy to Address                    vacated the parts of the rule establishing
                                                    Reconsideration of Interpollutant                                                                             Rule’’) which superseded the March 31,
                                                                                                            a PM2.5 SMC for PSD purposes. Id. EPA                 2010, stay and clarified and extended
                                                    Trading Provisions for Fine Particles                   removed these vacated provisions in a
                                                    (PM2.5)’’ (hereafter referred to as the                                                                       the stay of the Fugitive Emission Rule
                                                                                                            December 9, 2013 final rule (78 FR
                                                    ‘‘Interpollutant Trading                                                                                      until EPA completes its reconsideration.
                                                                                                            73693). In a letter dated October 9, 2014,
                                                    Memorandum’’). The Interpollutant                       ADEM withdrew the PM2.5 SILs set forth                The Fugitive Emissions Interim Rule
                                                    Trading Memorandum indicated that                       in Alabama’s PSD regulations from                     simply reverts the CFR text back to the
                                                    the existing preferred offset ratios are no             EPA’s consideration for incorporation                 language that existed prior to the
                                                    longer considered presumptively                         into Alabama’s SIP.                                   Fugitive Emissions Rule changes in the
                                                    approvable and that any precursor offset                                                                      December 19, 2008, rulemaking. EPA
                                                    ratio submitted as part of the NSR SIP                     This action pertains only to the PM2.5
                                                                                                                                                                  plans to issue a final rule affirming the
                                                    for a PM2.5 NAA must be accompanied                     SILs promulgated in EPA’s NNSR
                                                                                                                                                                  interim rule as final. The Fugitive
                                                    by a technical demonstration showing                    regulations at 40 CFR 51.165(b)(2),
                                                                                                                                                                  Emissions Interim Rule will remain in
                                                    the net air quality benefits of such ratio              which were not vacated by the D.C.
                                                                                                            Circuit. Unlike the SILs promulgated in               effect until EPA completes its
                                                    for the PM2.5 NAA in which it will be                                                                         reconsideration.
                                                    applied. Alabama’s May 2, 2011, SIP                     the PSD regulations (40 CFR 51.166,
                                                    revision adopts the interpollutant                      52.21), the SILs promulgated in the                   III. What is EPA’s analysis of ADEM’s
                                                    trading offset provisions, and originally               NNSR regulations at 40 CFR                            SIP revision?
                                                    adopted the preferred ratios included in                51.165(b)(2) do not serve to exempt a
                                                    the May 16, 2008, preamble. However,                    source from conducting a cumulative air                 Alabama currently has a SIP-approved
                                                    ADEM has since withdrawn these ratios                   quality analysis. Rather, the SILs                    NSR program for new and modified
                                                    in a letter dated October 9, 2014 (See                  promulgated at 40 CFR 51.165(b)(2)                    stationary sources found in ADEM
                                                    Docket ID: EPA–R04–OAR–2012–0079).                      establish levels at which a proposed                  regulations at Chapter 335–3–14.
                                                    EPA’s analysis of Alabama’s May 2,                      new major source or major modification                ADEM’s NNSR preconstruction
                                                    2011, SIP revision regarding                            locating in an area designated as                     regulations are found at Chapter 335–3–
                                                    interpollutant trading is provided below                attainment or unclassifiable for any                  14–.05, and apply to major stationary
                                                    in Section III.                                         NAAQS would be considered to cause                    sources or modifications constructed in
                                                                                                            or contribute to a violation of a NAAQS               or impacting upon a nonattainment area
                                                    E. PM2.5 PSD-Increment-SILs-SMC Rule                    in any area. For this reason, the D.C.                as required under part D of title I of the
                                                      The October 20, 2010, final                           Circuit left the PM2.5 SILs at 40 CFR                 CAA with respect to the NAAQS. The
                                                    rulemaking established the following:                   51.165(b)(2) in place, and EPA can                    revisions to Chapter 335–3–14–.05 that
                                                    (1) PM2.5 increments pursuant to section                consider ADEM’s request that these SILs
                                                                                                                                                                  EPA is now proposing to approve into
                                                    166(a) of the CAA to prevent significant                be approved as part of Alabama’s NNSR
                                                                                                                                                                  the SIP were provided to update the
                                                    deterioration of air quality in areas                   program.
                                                                                                                                                                  existing provisions to be consistent with
                                                    meeting the NAAQS; (2) PM2.5 SILs for
                                                                                                            F. Fugitive Emissions Interim Rule                    the current federal NNSR rules,
                                                    PSD and NNSR; and (3) SMC for PSD
                                                    purposes. See 75 FR 64864. EPA                                                                                including the WEPCO Rule, 2002 NSR
                                                                                                               On December 19, 2008, EPA issued a
                                                    approved the provisions for PM2.5 PSD                                                                         Reform Rule (and associated
                                                                                                            final rule revising the requirements of
                                                    increments and SMC into the Alabama                                                                           Reconsideration Rule and Vacated
                                                                                                            the NSR permitting program regarding
                                                    SIP on September 26, 2012 (77 FR                                                                              Elements Rule), Phase 2 Rule, NSR
                                                                                                            the treatment of fugitive emissions. See
                                                    59100).14 Though ADEM had submitted                     ‘‘Prevention of Significant Deterioration             PM2.5 Rule, PM2.5 PSD-Increment-SILs-
                                                    PM2.5 SILs for PSD purposes, EPA did                    (PSD) and Nonattainment New Source                    SMC Rule, and Fugitive Emissions
                                                    not take action on them in the                          Review (NSR): Reconsideration of                      Interim Rule. These changes to ADEM’s
                                                    September 26, 2012 rulemaking.                          Inclusion of Fugitive Emissions,’’ Final              regulations became state effective on
                                                    Subsequently, in response to a challenge                Rule, 73 FR 77882 (the ‘‘Fugitive                     May 23, 2011. EPA is proposing to
                                                                                                            Emissions Rule’’). The final rule                     approve the changes to Chapter 335–3–
                                                       14 Although the SMC provisions were approved
                                                                                                            required fugitive emissions to be                     14–.05, with certain exceptions noted
                                                    into the Alabama SIP in a September 26, 2012, final
                                                    rule (77 FR 59100), the January 22, 2013, D.C.          included in determining whether a                     below, into Alabama’s SIP to be
                                                    Circuit decision vacated the SMCs on the basis that     physical or operational change results in             consistent with federal NNSR
                                                    EPA did not have the authority to use SMCs to           a major modification only for sources in              regulations (at 40 CFR 51.165) and the
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                                                    exempt permit applicants from the statutory             industries that have been designated                  CAA.
                                                    requirement in section 165(e)(2) of the CAA that
                                                    ambient monitoring data for PM2.5 be included in        through rulemaking under section
                                                    all PSD permit applications. EPA accordingly            302(j) 15 of the CAA. As a result of EPA                16 On April 24, 2009, EPA agreed to reconsider

                                                    removed the PM2.5 SMC of 4 mg/m3 from federal           granting the Natural Resource Defense                 the approach to handling fugitive emissions and
                                                    PSD regulations on December 9, 2013 (See 78 FR          Council’s petition for reconsideration on             granted a 3-month administrative stay of the
                                                    73693), and advised states to remove the PM2.5                                                                Fugitive Emissions Rule. The administrative stay of
                                                    provisions from their state PSD regulations and                                                               the Fugitive Emissions Rule became effective on
                                                    SIPs. For more information on states with approved        15 Pursuant to CAA section 302(j), examples of      September 30, 2009. EPA put an additional three-
                                                    SMC provisions in their SIPs, see the December 9,       these industry sectors include oil refineries,        month stay in place from December 31, 2009, until
                                                    2013, final rule.                                       Portland cement plants, and iron and steel mills.     March 31, 2010.



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                                                                         Federal Register / Vol. 80, No. 169 / Tuesday, September 1, 2015 / Proposed Rules                                                  52707

                                                    A. WEPCO Rule                                           formally withdrawing the ‘‘actual-to-                 sources and major modifications of NOX
                                                       As stated in Section II, the WEPCO                   potential’’ applicability test from the               in an ozone transport region or in any
                                                    Rule made several changes to NNSR                       May 2, 2011 SIP revision (See Docket                  ozone nonattainment area (as codified at
                                                    regulations located at 40 CFR 51.165.                   No. EPA–R04–OAR–2012–0079).                           40 CFR 51.165(a)(8)); and (5) a provision
                                                    The definitions established in the                      Therefore, this applicability test is no              establishing that requirements
                                                    WEPCO Rule that persist through the                     longer before EPA for consideration and               applicable to major stationary sources
                                                    most recent CFR, including those for                    will not be incorporated into Alabama’s               and major modifications of PM10 shall
                                                    EGU, CCT, CCT demonstration project,                    SIP.                                                  apply to major stationary sources and
                                                                                                              State agencies may meet the                         major modifications of PM10 precursors
                                                    temporary CCT demonstration project,
                                                                                                            requirements of 40 CFR part 51, and the               (as codified at 40 CFR 51.165(a)(10)).
                                                    and repowering are all included in the
                                                                                                            NSR Reform Rules, with different-but-                 EPA has preliminarily determined that
                                                    May 2, 2011 ADEM SIP submittal at
                                                                                                            equivalent regulations. More                          the May 2, 2011 submittal is consistent
                                                    Chapter 335–3–14–.05. The SIP                           information on regulations developed
                                                    submittal also adopts exemptions for                                                                          with the federal NNSR regulations
                                                                                                            by ADEM which are different-but-                      promulgated in the Phase 2 Rule.
                                                    temporary CCT demonstration projects                    equivalent to federal rules are included
                                                    from NNSR requirements as                               in Section III.G below. EPA has                       D. NSR PM2.5 Rule
                                                    promulgated in the WEPCO Rule. EPA                      preliminarily determined that the                        ADEM’s May 2, 2011, SIP revision
                                                    has preliminarily determined that the                   proposed SIP revisions to adopt the NSR               establishes that the State’s existing NSR
                                                    May 2, 2011 submittal is consistent with                Reform Rules, including those which                   permitting program requirements for
                                                    the federal regulations for NNSR                        differ from the federal rule, are                     NNSR apply to the PM2.5 NAAQS and
                                                    promulgated in the WEPCO Rule.                          consistent with program requirements                  certain precursors. Specifically, the SIP
                                                    B. NSR Reform                                           for the preparation, adoption and                     revision adopts the following NSR PM2.5
                                                                                                            submittal of implementation plans for                 Rule NNSR provisions into the Alabama
                                                      Some of the changes to Alabama’s
                                                                                                            NNSR set forth at 40 CFR 51.165,                      SIP: (1) The requirement for NNSR
                                                    NNSR rules that EPA is now proposing
                                                                                                            including the changes to the federal                  permits to address directly emitted
                                                    to approve into the Alabama SIP were                    NNSR regulations promulgated in the
                                                    established to update Alabama’s                                                                               PM2.5 and precursor pollutants (e.g., SO2
                                                                                                            NSR Reform Rules.                                     and NOX, as codified at 40 CFR
                                                    existing NNSR program to meet the
                                                    requirements of the 2002 NSR Reform                     C. Phase 2 Rule                                       51.165(a)(1)(xxxvii)(C)); (2) the
                                                    Rule (and associated Reconsideration                                                                          significant emission rates for direct
                                                                                                              The Phase 2 Rule established the NSR                PM2.5 and precursor pollutants (SO2 and
                                                    Rule and Vacated Elements Rule) and                     requirements needed to implement the
                                                    the 2007 Reasonable Possibility Rule                                                                          NOX, as codified at 40 CFR
                                                                                                            8-hour ozone NAAQS and made
                                                    (collectively, the ‘‘NSR Reform Rules’’).                                                                     51.165(a)(1)(x)(A)); (3) clarification of
                                                                                                            changes to federal NNSR regulations.
                                                    On May 1, 2008, EPA approved                                                                                  the NNSR PM2.5 (and general criteria air
                                                                                                            Pursuant to these requirements, states
                                                    Alabama’s June 16, 2006, SIP                                                                                  pollutant) emission offsets (pursuant to
                                                                                                            were required to submit SIP revisions
                                                    submission to adopt PSD provisions                                                                            51.165(a)(9)); (4) the NNSR requirement
                                                                                                            adopting the relevant federal
                                                    consistent with the requirements of the                                                                       that condensable PM10 and PM2.5
                                                                                                            requirements of the Phase 2 Rule (at 40
                                                    NSR Reform Rules. See 73 FR 23957.                                                                            emissions be accounted for in
                                                                                                            CFR 51.165 and 51.166) into their SIP
                                                    Alabama’s May 2, 2011, SIP revision                                                                           applicability determinations and
                                                                                                            no later than June 15, 2007.17 Alabama’s
                                                    adopts NNSR changes pursuant to the                                                                           emission limits for permitting (as
                                                                                                            May 2, 2011, SIP revision adopts the
                                                    NSR Reform Rules regarding the                                                                                codified at 40 CFR
                                                                                                            following relevant NNSR provisions
                                                    following definitions, revisions and                                                                          51.165(a)(1)(xxxvii)(D)); and (5) the
                                                                                                            promulgated in the Phase 2 Rule (at 40
                                                    provisions at Chapter 335–3–14 .05:                     CFR 51.165) into the Alabama SIP at                   basic interpollutant trading policy for
                                                    Regulated NSR pollutant; major                          Chapter 335–3–14–.05 to be consistent                 PM2.5 precursors (as codified at 40 CFR
                                                    modification; net emissions increase;                   with federal NNSR permitting                          51.165(a)(11)). For the reasons discussed
                                                    credit for increases and decreases in                   regulations: (1) Thresholds to establish              below, the EPA is proposing to approve
                                                    actual emissions; emissions unit; actual                a major stationary source (as codified at             these revisions into the Alabama SIP.
                                                    emissions; lowest achievable emission                   40 CFR 51.165(a)(1)(iv)(A)(1)–(3); (2)                   ADEM’s submission of revisions to its
                                                    rate; construction; pollution prevention;               provisions establishing that significant              NNSR regulations at Chapter 335–3–14–
                                                    significant emissions increase; projected               net increases for NOX are considered                  .05 identify SO2 as a PM2.5 precursor
                                                    actual emissions; major NNSR program;                   significant for ozone, and that                       and NOX as a presumed PM2.5 precursor
                                                    continuous emissions monitoring                         significant emissions of ozone                        while VOCs and ammonia are presumed
                                                    system; predictive emissions monitoring                 precursors include NOX (as codified at                not to be PM2.5 precursors for a PM2.5
                                                    system; continuous parameter                            40 CFR 51.165(a)(1)(v)(E) and (a)(1)(x));             NAA. These revisions are consistent
                                                    monitoring system; continuous                           (3) provisions that provide offset credits            with the 2008 NSR PM2.5 Rule as
                                                    emissions rate monitoring system;                       for shutting down or curtailing                       developed pursuant to subpart 1 of the
                                                    baseline actual emissions; project; best                operation of existing sources (as                     Act.18
                                                    available control technology; federal                   codified at 40 CFR 51.165(a)(3)(ii)(C));                 Alabama’s May 2, 2011, SIP revision
                                                    land manager; PSD permit; NNSR                          (4) a provision establishing that the                 originally adopted into the SIP at
                                                    applicability procedures; actual-to-                    requirements applicable to major                      Chapter 335–3–14.05(3)(g) the elective
                                                    projected-actual applicability tests; and               stationary sources and major                          interpollutant trading policy, set forth at
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                                                    PAL and recordkeeping provisions.                       modifications of VOC shall apply to                   40 CFR 51.165(a)(11), and the preferred
                                                      As noted above, the submittal                         NOX emissions from major stationary                   trading ratios, provided in the preamble
                                                    originally included an ‘‘actual-to-                                                                           to the NSR PM2.5 Rule, for the purpose
                                                    potential’’ applicability test (ADEM                       17 On June 21, 2006, Alabama submitted a SIP       of offsets under the PM2.5 NNSR
                                                    Rule 335–3–14–.05(1)(h)) that was                       revision which adopted the PSD provisions
                                                                                                            established in the Phase 2 Rule (at 40 CFR 51.166)      18 See Section II for a discussion of why the
                                                    inconsistent with the federal rules at 40               recognizing NOX as an ozone precursor. EPA took       additional requirements of subpart 4 of the Act do
                                                    CFR 51.165. However, on June 5, 2015,                   final action to approve this SIP revision on May 1,   not apply to Alabama’s May 2, 2011 SIP submittal
                                                    ADEM submitted a letter to EPA                          2008 (73 FR 23957).                                   for revisions to the NNSR program.



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                                                    52708                Federal Register / Vol. 80, No. 169 / Tuesday, September 1, 2015 / Proposed Rules

                                                    program. As established in EPA’s July                   the federal regulations for NNSR                      with the current CFR. One provision
                                                    21, 2011, Interpollutant Trading                        promulgated in the NSR PM2.5 Rule.                    included in the May 2, 2011, submittal
                                                    Memorandum, the preferred precursor                                                                           at ADEM Rule 335–3–14–.05(2)(c)3,
                                                                                                            E. PM2.5 PSD-Increment-SILs-SMC Rule
                                                    trading ratios and technical                                                                                  regarding the exclusion of fugitive
                                                    demonstration included in the NSR                          The only portion of the October 20,                emissions from the determination of
                                                    PM2.5 Rule are no longer considered                     2010, PM2.5 PSD-Increment-SILs-SMC                    creditable emission increases and
                                                    presumptively approvable. Therefore                     Rule concerning NNSR considered for                   decreases in the definition of ‘‘net
                                                    any precursor trading ratios submitted                  this proposed rulemaking is the table                 emissions increase,’’ was stayed
                                                    to EPA for approval, as part of the NSR                 modified to include SILs for PM2.5,                   indefinitely in the Fugitive Emissions
                                                    SIP for a PM2.5 NAA must be                             promulgated at 40 CFR 51.165(b)(2). See               Interim Rule. Therefore, EPA is
                                                    accompanied by a technical                              75 FR 64864. As discussed above, these                proposing to approve Alabama’s
                                                    demonstration showing the suitability of                SILs are used to determine whether a                  adoption of regulations affecting fugitive
                                                    the ratios for that particular NAA.                     new major stationary source or major                  emissions at ADEM Rule 335–3–14-.05,
                                                    Consequently, prior to approving a                      modification that would be located in                 except the provision at ADEM Rule
                                                    request by a major stationary source or                 an area designated as in attainment or                335–3–14–.05(2)(c)3. For more
                                                    source with a major modification in                     unclassifiable would cause or contribute              background on the Fugitive Emissions
                                                    Alabama to obtain offsets through                       to a NAAQS violation in any locality.                 Interim Rule, see Section II above, or the
                                                    interpollutant trading, the State of                    These SILs were not affected by Sierra                March 30, 2011, rulemaking.
                                                    Alabama would first be required,                        Club v. EPA, 705 F.3d at 458, which
                                                                                                            addressed PSD SILs that served to                     G. Different-but-Equivalent Regulations
                                                    pursuant to 51.165(a)(11), to revise its
                                                    SIP to adopt appropriate trading ratios.                exempt a source from conducting a                       Alabama currently has a SIP-approved
                                                    ADEM would need to submit to EPA a                      cumulative air quality analysis.                      nonattainment NSR program for new
                                                    technical demonstration showing how                     Accordingly, Alabama’s May 2, 2011                    and modified stationary sources. EPA is
                                                    either the preferred ratios established in              submittal revises the definition of                   now proposing to approve revisions to
                                                    the NSR PM2.5 Rule or the State’s own                   ‘‘Significant Impact’’ at ADEM Rule                   Alabama’s existing NNSR program in
                                                    ratios are appropriate for the state’s                  335–3–14.05(2)(aaa) to incorporate the                the SIP. State agencies may meet the
                                                    particular PM2.5 nonattainment areas as                 PM2.5 SILs from 40 CFR 51.165(b)(2). An               requirements of 40 CFR part 51,
                                                    well as a revision to the NSR program                   additional revision to ADEM Rule 335–                 including the changes made by the NSR
                                                                                                            3–14–.05(2)(aaa)—unrelated to the PM2.5               Reform Rules, with different-but-
                                                    adopting the ratios into the SIP. EPA
                                                                                                            PSD-Increment-SILs-SMC Rule—                          equivalent regulations. The May 2,
                                                    would then have to approve the
                                                                                                            eliminates the annual PM10 SIL of 1 mg/               2011, submission to revise the Alabama
                                                    demonstration and ratios into the
                                                                                                            m3, which had previously been                         SIP contains several rules that EPA has
                                                    Alabama SIP prior to any major
                                                                                                            approved into the Alabama SIP.                        determined are different-but-equivalent
                                                    stationary source or major modification
                                                                                                            However, the annual PM10 SIL of 1 mg/                 regulations. The Agency’s analysis for
                                                    obtaining offsets through the
                                                                                                            m3 is separately included in ADEM Rule                each of these items is included below.
                                                    interpollutant trading policy.
                                                                                                            335–3–14–.03(1)(g), ‘‘Standards for
                                                       Alabama’s May 2, 2011, SIP revision                                                                        1. ‘‘Reasonable Possibility’’ Provisions
                                                                                                            Granting Permits.’’ ADEM Rule 335–3–
                                                    relied on EPA’s technical demonstration                 14–.03(1)(g) incorporates the                            The ‘‘reasonable possibility’’ standard
                                                    in the NSR PM2.5 Rule for the preferred                 requirements of 40 CFR 51.165(b) and                  identifies, for sources and reviewing
                                                    ratios, which, as explained above, the                  has been approved by EPA as part of                   authorities, the circumstances under
                                                    Agency has now deemed unapprovable.                     Alabama’s SIP. 77 FR 59101, 59105                     which a major stationary source
                                                    However, on October 9, 2014, ADEM                       (Sept. 26, 2012) (identifying ADEM Rule               undergoing a physical or operational
                                                    submitted a letter to EPA formally                      335–3–14–.03, State effective date May                change that is not projected to result in
                                                    withdrawing the offset ratios (or                       23, 2011, as part of Alabama’s SIP).                  an emissions increase above NSR
                                                    interpollutant trading ratios) from the                 Therefore, the removal of the annual                  applicability thresholds must keep post-
                                                    May 2, 2011 SIP revision (See Docket                    PM10 SIL from ADEM Rule 335–3–                        change emissions records. EPA’s
                                                    No. EPA–R04–OAR–2012–0079).                             14.05(2)(aaa) does not interfere with                 December 2007 action clarified the
                                                    Therefore, these ratios are no longer                   Alabama’s compliance with 40 CFR                      meaning of the term ‘‘reasonable
                                                    before EPA for consideration, while the                 51.165(b). EPA proposes to approve the                possibility’’ through changes to the
                                                    interpollutant trading provisions                       aforementioned revisions to the SILs in               federal rule language in 40 CFR parts 51
                                                    themselves remain before EPA. The                       ADEM’s May 2, 2011 SIP submittal.                     and 52. EPA’s December 2007 rule also
                                                    Agency continues to support the basic                                                                         acknowledged that State and local
                                                    policy that sources may offset increases                F. Fugitive Emissions Interim Rule                    authorities may adopt or maintain NSR
                                                    in emissions of direct PM2.5 or of any                    Due to the March 30, 2011, Fugitive                 program elements that have the effect of
                                                    PM2.5 precursor in a PM2.5 NAA with                     Emissions Interim Rule (See 76 FR                     making their regulations more stringent
                                                    actual emissions reductions in direct                   17548), the CFR has been converted                    than the federal rules and instructed
                                                    PM2.5 or PM2.5 precursor, respectively,                 back to the language that existed prior               those State and local authorities to
                                                    in accordance with offset ratios as                     to the Fugitive Emissions Rule changes                submit notice to EPA to acknowledge
                                                    approved in the SIP for the applicable                  in the December 19, 2008, rulemaking.                 that their regulations fulfill the
                                                    NAA. Alabama’s adoption of the                          Many of the affected rules are entirely               requirements of the federal regulations.
                                                    interpollutant trading policy without                   new to the ADEM NNSR Chapter. For                     Unlike the federal rules, which only
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                                                    trading ratios does not in any way allow                example, the definition of fugitive                   require those projects that have a
                                                    a new major stationary source or major                  emissions (40 CFR 51.165(a)(ix)) is                   reasonable possibility that the project
                                                    modification in the state to obtain                     added, not revised, at Chapter 335–3–                 may result in a significant emissions
                                                    offsets through interpollutant trading,                 14–.05(2)(t). Alabama’s May 2, 2011, SIP              increase to keep records, ADEM’s rules
                                                    nor does it affect the approvability of                 submittal, having been submitted after                require all projects that use the actual-
                                                    ADEM’s May 2, 2011, SIP revision. EPA                   the Fugitive Emissions Interim Rule,                  to-projected-actual applicability test to
                                                    has preliminarily determined that the                   adopts revisions regarding fugitive                   keep records. Therefore, all projects
                                                    May 2, 2011 submittal is consistent with                emissions that are mostly consistent                  undergo agency review. If ADEM


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                                                                         Federal Register / Vol. 80, No. 169 / Tuesday, September 1, 2015 / Proposed Rules                                           52709

                                                    determines that there is a reasonable                   unit commenced operation. According                   least as stringent as the federal rules and
                                                    possibility that the project may result in              to Alabama’s SIP submittal, it is                     is approvable.
                                                    a significant emissions increase, then                  ADEM’s intent that the PAL be based
                                                                                                                                                                  3. Emissions Associated With
                                                    the owner or operator must submit those                 upon true actual emissions, and ADEM
                                                                                                                                                                  Malfunctions
                                                    records to the Director, must monitor                   considers units that have been operating
                                                    and maintain a record of annual                         more than 24 months to be existing                       One notable difference from the
                                                    emissions for 5 years (or 10 years                      units that should be included in the                  federal rules is that the Alabama rules
                                                    depending upon the specific                             PAL based on their actual emissions                   do not contain provisions accounting for
                                                    circumstances), and must submit annual                  rather than their potential to emit. EPA              ‘‘malfunction’’ emissions in the
                                                    reports. These recordkeeping,                           concludes that ADEM’s approach to this                calculation of ‘‘baseline actual
                                                    monitoring, and reporting requirements                  provision is at least as stringent as the             emissions’’ and ‘‘projected actual
                                                    apply to all facilities—EGUs and non-                   federal regulations and is therefore                  emissions’’ (ADEM Rule 334–3–14–
                                                    EGUs. Although the changes to the                       approvable.                                           .05(2)(nn) and (uu)). Alabama states that
                                                    reasonable possibility provisions                          At subparagraph (23)(n)1., ADEM has                it will rely only on quantifiable
                                                    identified above are different than the                 omitted the requirement in the federal                emissions that can be verified so as to
                                                    federal rules, ADEM’s approach is at                    regulations to submit a semi-annual                   provide a more accurate estimation of
                                                    least as stringent as the federal rules and             report within 30 days of the end of the               the emissions increases associated with
                                                    is approvable.                                          PAL reporting period. Because the                     a project. Because Alabama will be
                                                                                                            facility’s title V permit would require               consistently applying this approach for
                                                    2. PAL Provisions                                       these reports to be submitted, its                    both ‘‘projected actual emissions’’ and
                                                       Alabama’s actuals PAL provisions in                  inclusion in the NNSR regulations is not              ‘‘baseline actual emissions’’ and because
                                                    ADEM Rule 335–3–14–.05(23) differ                       necessary. EPA’s concludes that                       this approach will not prevent
                                                    from the federal regulations in several                 ADEM’s approach to PAL reporting                      malfunctions from being considered as
                                                    ways. First, at subparagraph (23)(a)2.,                 requirements is at least as stringent as              exceedances of applicable standards,
                                                    ADEM omitted the provision which                        the federal rules and is approvable.                  EPA has determined that this difference
                                                    allows facilities utilizing a PAL to                       Finally, Alabama’s PAL rules differ                does not make Alabama’s NNSR
                                                    remove previously set emissions                         from the federal rules in that they do not            program less stringent than the federal
                                                    limitations that the major stationary                   expressly state that a PAL permit must                program.
                                                    source used to avoid NNSR program                       require that emissions calculations for
                                                                                                                                                                  IV. Incorporation by Reference
                                                    applicability. Similarly, at subparagraph               PAL compliance purposes include
                                                    (23)(i)5., ADEM added the provision                     ‘‘malfunction’’ emissions. Compare                      In this action, EPA is proposing to
                                                    that sources must comply with any State                 ADEM Rule 335–3–14–.05(23)(g)4 to 40                  include in a final EPA rule regulatory
                                                    or federal applicable requirements that                 CFR 51.165(f)(7)(iv). However, EPA does               text that includes incorporation by
                                                    may have applied during the PAL                         not read Alabama’s rules as authorizing               reference. In accordance with
                                                    effective period, including those                       sources to exclude malfunction                        requirements of 1 CFR 51.5, EPA is
                                                    emission limitations that the source                    emissions from PAL compliance                         proposing to incorporate by reference
                                                    used to avoid NNSR applicability.                       calculations. Rather, consistent with 40              portions of ADEM Regulation Chapter
                                                    According to Alabama’s submittal, it is                 CFR 51.165(f)(7)(iv), EPA interprets                  335–3–14–.05 entitled ‘‘Air Permits
                                                    ADEM’s intent that previously set limits                Alabama’s rules to mean that startup                  Authorizing Construction in or Near
                                                    (e.g., BACT, RACT, NSPS, synthetic                      and shutdown emissions must be                        Non-Attainment Areas,’’ effective May
                                                    minor limit, etc.) remain intact during                 included in emission calculations for                 23, 2011, with revisions and additions
                                                    the PAL effective period and after its                  PAL compliance purposes in addition to                to applicability, definitions, permitting
                                                    expiration. EPA concludes that ADEM’s                   emissions that occur during normal                    requirements, offset rules, area
                                                    approach in these regulatory provisions                 operations and malfunctions. EPA                      classifications, air quality models,
                                                    is at least as stringent as the federal                 Region 4 and ADEM discussed this                      control technology review, air quality
                                                    regulations and therefore is approvable.                issue via conference call on January 27,              monitoring, source information, source
                                                       ADEM’s method of setting a PAL at                    2015. ADEM agreed with this                           obligation, innovative control
                                                    subparagraph (23)(f) also differs slightly              interpretation of ADEM Rule 335–3–14–                 technology, and actuals PALs, and with
                                                    from the federal rules. The federal rules               .05(23)(g)4 during the call and                       administrative changes throughout. EPA
                                                    state at 40 CFR 51.165(f)(6)(ii) that                   confirmed that ADEM would require                     has made, and will continue to make,
                                                    emissions from units on which actual                    sources to include malfunction                        these documents generally available
                                                    construction began after the 24-month                   emissions in emission calculations for                electronically through
                                                    period chosen for setting the PAL ‘‘must                PAL compliance purposes, just as                      www.regulations.gov and/or in hard
                                                    be added to the PAL level in an amount                  compliance is determined with respect                 copy at the appropriate EPA office (see
                                                    equal to the potential to emit of the                   to other enforceable limits. In a                     the ADDRESSES section of this preamble
                                                    units.’’ ADEM’s rule differs in that it                 document attached to an email dated                   for more information).
                                                    limits inclusion of emissions based on                  February 3, 2015, ADEM provided
                                                    a unit’s potential to emit to only those                written clarification of several items as             V. Proposed Action
                                                    units that began operation less than 24                 a follow-up to the January 27, 2015                     EPA is proposing to approve the
                                                    months prior to the submittal of the PAL                conference call, including the treatment              portion of Alabama’s May 2, 2011
                                                    application. Under ADEM’s rule,                         of malfunction emissions in                           submission that makes changes to
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                                                    baseline actual emissions from units on                 nonattainment PALs. A memo                            Alabama’s SIP-approved NNSR
                                                    which actual construction began after                   summarizing the call and ADEM’s                       regulations set forth at ADEM Rule 335–
                                                    the beginning of the 24-month period                    February 3, 2015 email and attachment                 3–14–.05, with the exceptions noted
                                                    and that commenced operation 24                         are in the Docket for this proposed                   above. ADEM submitted the proposed
                                                    months or more prior to the submittal of                rulemaking. Therefore, EPA concludes                  changes to its NNSR SIP to be consistent
                                                    the PAL application must be added to                    that while the wording of ADEM Rule                   with amendments to the federal
                                                    the PAL based upon actual emissions                     335–3–14–.05(23)(g)4 differs from the                 regulations made by the WEPCO Rule,
                                                    during any 24-month period since the                    federal rule, ADEM’s approach is at                   the 2002 NSR Reform Rule (and


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                                                    52710                Federal Register / Vol. 80, No. 169 / Tuesday, September 1, 2015 / Proposed Rules

                                                    associated Reconsideration Rule and                     practicable and legally permissible                   DATES:  Any comments must arrive by
                                                    Vacated Elements Rule), Phase 2 Rule,                   methods, under Executive Order 12898                  October 1, 2015.
                                                    NSR PM2.5 Rule, PM2.5 PSD Increment-                    (59 FR 7629, February 16, 1994).                      ADDRESSES: Submit comments,
                                                    SILs-SMC Rule, and the Fugitive                           The SIP is not approved to apply on                 identified by docket number EPA–R09–
                                                    Emissions Interim Rule. The Agency has                  any Indian reservation land or in any                 OAR–2015–0289, by one of the
                                                    made the preliminary determination                      other area where EPA or an Indian tribe               following methods:
                                                    that the proposed changes to Alabama’s                  has demonstrated that a tribe has                        1. Federal eRulemaking Portal:
                                                    NNSR SIP are approvable because they                    jurisdiction. In those areas of Indian                www.regulations.gov. Follow the on-line
                                                    are consistent with section 110 of the                  country, the rule does not have tribal                instructions.
                                                    CAA and EPA regulations.                                implications as specified by Executive                   2. Email: steckel.andrew@epa.gov.
                                                                                                            Order 13175 (65 FR 67249, November 9,                    3. Mail or deliver: Andrew Steckel
                                                    VI. Statutory and Executive Order                       2000), nor will it impose substantial                 (Air-4), U.S. Environmental Protection
                                                    Reviews                                                 direct costs on tribal governments or                 Agency Region IX, 75 Hawthorne Street,
                                                       Under the CAA, the Administrator is                  preempt tribal law.                                   San Francisco, CA 94105–3901.
                                                    required to approve a SIP submission                                                                             Instructions: All comments will be
                                                                                                            List of Subjects in 40 CFR Part 52                    included in the public docket without
                                                    that complies with the provisions of the
                                                    Act and applicable Federal regulations.                   Environmental protection, Air                       change and may be made available
                                                    42 U.S.C. 7410(k); 40 CFR 52.02(a).                     pollution control, Carbon monoxide,                   online at www.regulations.gov,
                                                    Thus, in reviewing SIP submissions,                     Incorporation by reference, Ozone,                    including any personal information
                                                    EPA’s role is to approve state choices,                 Particulate matter, Nitrogen oxides,                  provided, unless the comment includes
                                                    provided that they meet the criteria of                 Reporting and recordkeeping                           Confidential Business Information (CBI)
                                                    the CAA. Accordingly, this proposed                     requirements, Sulfur oxides, Volatile                 or other information whose disclosure is
                                                    action merely approves state law as                     organic compounds.                                    restricted by statute. Information that
                                                    meeting Federal requirements and does                     Authority: 42 U.S.C. 7401 et seq.                   you consider CBI or otherwise protected
                                                    not impose additional requirements                                                                            should be clearly identified as such and
                                                                                                              Dated: August 20, 2015.
                                                    beyond those imposed by state law. For                                                                        should not be submitted through
                                                                                                            Heather McTeer Toney,
                                                    that reason, this proposed action:                                                                            www.regulations.gov or email.
                                                                                                            Regional Administrator, Region 4.
                                                       • Is not a ‘‘significant regulatory                                                                        www.regulations.gov is an ‘‘anonymous
                                                                                                            [FR Doc. 2015–21537 Filed 8–31–15; 8:45 am]           access’’ system, and the EPA will not
                                                    action’’ subject to review by the Office
                                                    of Management and Budget under                          BILLING CODE 6560–50–P                                know your identity or contact
                                                    Executive Orders 12866 (58 FR 51735,                                                                          information unless you provide it in the
                                                    October 4, 1993) and 13563 (76 FR 3821,                                                                       body of your comment. If you send
                                                                                                            ENVIRONMENTAL PROTECTION                              email directly to the EPA, your email
                                                    January 21, 2011);
                                                       • does not impose an information                     AGENCY                                                address will be automatically captured
                                                    collection burden under the provisions                                                                        and included as part of the public
                                                                                                            40 CFR Part 52
                                                    of the Paperwork Reduction Act (44                                                                            comment. If the EPA cannot read your
                                                    U.S.C. 3501 et seq.);                                   [EPA–R09–OAR–2015–0289; FRL 9933–19–                  comment due to technical difficulties
                                                       • is certified as not having a                       Region 9]                                             and cannot contact you for clarification,
                                                    significant economic impact on a                                                                              the EPA may not be able to consider
                                                                                                            Revisions to the California State                     your comment. Electronic files should
                                                    substantial number of small entities
                                                                                                            Implementation Plan, Imperial County                  avoid the use of special characters, any
                                                    under the Regulatory Flexibility Act (5
                                                                                                            Air Pollution Control District                        form of encryption, and be free of any
                                                    U.S.C. 601 et seq.);
                                                       • does not contain any unfunded                      AGENCY:  Environmental Protection                     defects or viruses.
                                                    mandate or significantly or uniquely                    Agency (EPA).                                            Docket: Generally, documents in the
                                                    affect small governments, as described                  ACTION: Proposed rule.                                docket for this action are available
                                                    in the Unfunded Mandates Reform Act                                                                           electronically at www.regulations.gov
                                                    of 1995 (Pub. L. 104–4);                                SUMMARY:   The Environmental Protection               and in hard copy at EPA Region IX, 75
                                                       • does not have Federalism                           Agency (EPA) is proposing to approve a                Hawthorne Street, San Francisco,
                                                    implications as specified in Executive                  revision to the Imperial County Air                   California 94105–3901. While all
                                                    Order 13132 (64 FR 43255, August 10,                    Pollution Control District (ICAPCD or                 documents in the docket are listed at
                                                    1999);                                                  the District) portion of the California               www.regulations.gov, some information
                                                       • is not an economically significant                 State Implementation Plan (SIP). We                   may be publicly available only at the
                                                    regulatory action based on health or                    propose to approve the following SIP                  hard copy location (e.g., copyrighted
                                                    safety risks subject to Executive Order                 demonstration from ICAPCD: Final 2009                 material, large maps), and some may not
                                                    13045 (62 FR 19885, April 23, 1997);                    Reasonably Available Control                          be publicly available in either location
                                                       • is not a significant regulatory action             Technology State Implementation Plan,                 (e.g., CBI). To inspect the hard copy
                                                    subject to Executive Order 13211 (66 FR                 July 13, 2010. This demonstration                     materials, please schedule an
                                                    28355, May 22, 2001);                                   addresses the 1997 8-hour National                    appointment during normal business
                                                       • is not subject to requirements of                  Ambient Air Quality Standards                         hours with the contact listed in the FOR
                                                    Section 12(d) of the National                           (NAAQS) for ozone. This submitted SIP                 FURTHER INFORMATION CONTACT section.
                                                    Technology Transfer and Advancement                     revision contains ICAPCD’s negative
mstockstill on DSK4VPTVN1PROD with PROPOSALS




                                                                                                                                                                  FOR FURTHER INFORMATION CONTACT:
                                                    Act of 1995 (15 U.S.C. 272 note) because                declarations for volatile organic                     James Shears, EPA Region IX, (213)
                                                    application of those requirements would                 compound (VOC) source categories. We                  244–1810, shears.james@epa.gov.
                                                    be inconsistent with the Clean Air Act;                 propose to approve the submitted                      SUPPLEMENTARY INFORMATION:
                                                    and                                                     reasonably available control technology               Throughout this document, ‘‘we,’’ ‘‘us,’’
                                                       • does not provide EPA with the                      (RACT) SIP revision under the Clean Air               and ‘‘our’’ refer to the EPA.
                                                    discretionary authority to address, as                  Act (CAA or the Act). We are taking
                                                    appropriate, disproportionate human                     comments on this proposal and plan to                 Table of Contents
                                                    health or environmental effects, using                  follow with a final action.                           I. The State’s Submittal



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Document Created: 2018-02-26 10:04:45
Document Modified: 2018-02-26 10:04:45
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionProposed Rules
ActionProposed rule.
DatesComments must be received on or before October 1, 2015.
ContactFor further information regarding the Alabama SIP, contact Mr. D. Brad Akers, Air Regulatory Management Section, Air Planning and Implementation Branch, Air, Pesticides and Toxics Management Division, U.S. Environmental Protection Agency, Region 4, 61 Forsyth Street SW., Atlanta, Georgia 30303-8960. Mr. Akers can be reached by phone at (404) 562-9089 or via electronic mail at [email protected] For information regarding NSR, contact Ms. Yolanda
FR Citation80 FR 52701 
CFR AssociatedEnvironmental Protection; Air Pollution Control; Carbon Monoxide; Incorporation by Reference; Ozone; Particulate Matter; Nitrogen Oxides; Reporting and Recordkeeping Requirements; Sulfur Oxides and Volatile Organic Compounds

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