81_FR_42381 81 FR 42256 - Approval and Promulgation of Air Quality Implementation Plans; State of Kansas; Cross-State Air Pollution Rule

81 FR 42256 - Approval and Promulgation of Air Quality Implementation Plans; State of Kansas; Cross-State Air Pollution Rule

ENVIRONMENTAL PROTECTION AGENCY

Federal Register Volume 81, Issue 125 (June 29, 2016)

Page Range42256-42263
FR Document2016-15040

The Environmental Protection Agency (EPA) is taking direct final action to approve a December 1, 2015, State Implementation Plan (SIP) submittal from Kansas concerning allocations of Cross-State Air Pollution Rule (CSAPR) emission allowances. Under CSAPR, large electricity generating units in Kansas are subject to a Federal Implementation Plan (FIP) requiring the units to participate in CSAPR's Federal trading program for annual emissions of nitrogen oxides (NO<INF>X</INF>). This action approves Kansas's adoption into its SIP of state regulations establishing state-determined allocations to replace EPA's default allocations to Kansas units of CSAPR allowances for annual NO<INF>X</INF> emissions for 2017 through 2019. EPA is approving the SIP revision because it meets the requirements of the Clean Air Act (CAA) and EPA's regulations for approval of an abbreviated SIP revision replacing EPA's default allocations of CSAPR emission allowances with state-determined allocations. Approval of this SIP revision does not alter any provision of CSAPR's Federal trading program for annual NO<INF>X</INF> emissions as applied to Kansas units other than the allowance allocation provisions, and the FIP requiring the units to participate in the trading program (as modified by the SIP revision) remains in place. The approval is being issued as a direct final rule without a prior proposed rule because EPA views it as uncontroversial and does not anticipate adverse comment.

Federal Register, Volume 81 Issue 125 (Wednesday, June 29, 2016)
[Federal Register Volume 81, Number 125 (Wednesday, June 29, 2016)]
[Rules and Regulations]
[Pages 42256-42263]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-15040]


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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[EPA-R07-OAR-2016-0303; FRL-9948-13-Region 7]


Approval and Promulgation of Air Quality Implementation Plans; 
State of Kansas; Cross-State Air Pollution Rule

AGENCY: Environmental Protection Agency (EPA).

ACTION: Direct final rule.

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SUMMARY: The Environmental Protection Agency (EPA) is taking direct 
final action to approve a December 1, 2015, State Implementation Plan 
(SIP) submittal from Kansas concerning allocations of Cross-State Air 
Pollution Rule (CSAPR) emission allowances. Under CSAPR, large 
electricity generating units in Kansas are subject to a Federal 
Implementation Plan (FIP) requiring the units to participate in CSAPR's 
Federal trading program for annual emissions of nitrogen oxides 
(NOX). This action approves Kansas's adoption into its SIP 
of state regulations establishing state-determined allocations to 
replace EPA's default allocations to Kansas units of CSAPR allowances 
for annual NOX emissions for 2017 through 2019. EPA is 
approving the SIP revision because it meets the requirements of the 
Clean Air Act (CAA) and EPA's regulations for approval of an 
abbreviated SIP revision replacing EPA's default allocations of CSAPR 
emission allowances with state-determined allocations. Approval of this 
SIP revision does not alter any provision of CSAPR's Federal trading 
program for annual NOX emissions as applied to Kansas units 
other than the allowance allocation provisions, and the FIP requiring 
the units to participate in the trading program (as modified by the SIP 
revision) remains in place. The approval is being issued as a direct 
final rule without a prior proposed rule because EPA views it as 
uncontroversial and does not anticipate adverse comment.

DATES: This direct final rule will be effective August 15, 2016, 
without further notice, unless EPA receives adverse comment by July 29, 
2016. If EPA receives adverse comment, we will publish a timely 
withdrawal of the direct final rule in the Federal Register informing 
the public that the rule will not take effect.

ADDRESSES: Submit your comments, identified by Docket ID No. EPA-R07-
OAR-2016-0303, to http://www.regulations.gov. Follow the online 
instructions for submitting comments. Once submitted, comments cannot 
be edited or removed from Regulations.gov. EPA may publish any comment 
received to its public docket. Do not submit electronically any 
information you consider to be Confidential Business Information (CBI) 
or other information whose disclosure is restricted by statute. 
Multimedia submissions (audio, video, etc.) must be accompanied by a 
written comment. The written comment is considered the official comment 
and should include discussion of all points

[[Page 42257]]

you wish to make. EPA will generally not consider comments or comment 
contents located outside of the primary submission (i.e., on the web, 
cloud, or other file sharing system). For additional submission 
methods, the full EPA public comment policy, information about CBI or 
multimedia submissions, and general guidance on making effective 
comments, please visit http://www2.epa.gov/dockets/commenting-epa-dockets.

FOR FURTHER INFORMATION CONTACT: Mr. Larry Gonzalez, Air Planning and 
Development Branch, Air and Waste Management Division, EPA Region 7, 
11201 Renner Boulevard, Lenexa KS 66219; telephone number: (913) 551-
7041; email address: [email protected].

SUPPLEMENTARY INFORMATION: Throughout this document ``we,'' ``us,'' or 
``our'' refer to EPA. This section provides additional information by 
addressing the following:

I. What is being addressed in this document?
II. Background on CSAPR and CSAPR-Related SIP Revisions
III. Conditions for Approval of CSAPR-Related SIP Revisions
IV. Kansas's SIP Submittal and EPA's Analysis
    A. Kansas's SIP Submittal
    B. EPA's Analysis of Kansas' Submittal
    1. Timeliness and Completeness of SIP Submittal
    2. Methodology Covering All Allowances Potentially Requiring 
Allocation
    3. Assurance That Total Allocations Will Not Exceed the State 
Budget
    4. Timely Submission of State-Determined Allocations to EPA
    5. No Changes to Allocations Already Submitted to EPA or 
Recorded
    6. No Other Substantive Changes to Federal Trading Program 
Provisions
V. EPA's Action on Kansas' Submittal

I. What is being addressed in this document?

    EPA is taking direct final action to approve a revision to the SIP 
for Kansas concerning allocations of allowances used in the CSAPR \1\ 
Federal trading program for annual emissions of NOX. Large 
electricity generating units in Kansas are subject to a CSAPR FIP that 
requires the units to participate in the Federal CSAPR NOX 
Annual Trading Program.\2\ Each of CSAPR's Federal trading programs 
includes default provisions governing the allocation among 
participating units of emission allowances used for compliance under 
that program. CSAPR also provides a process for the submission and 
approval of SIP revisions to replace EPA's default allocations with 
state-determined allocations.
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    \1\ Federal Implementation Plans; Interstate Transport of Fine 
Particulate Matter and Ozone and Correction of SIP Approvals, 76 FR 
48208 (August 8, 2011), (codified as amended at 40 CFR 52.38 and 
52.39 and subparts AAAAA through DDDDD of 40 CFR part 97).
    \2\ EPA has proposed to replace the terms ``Transport Rule'' and 
``TR'' in the text of the Code of Federal Regulations with the 
updated terms ``Cross-State Air Pollution Rule'' and ``CSAPR.'' 80 
FR 75706, 75759 (December 3, 2015). Except where otherwise noted, 
EPA uses the updated terms here.
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    The SIP revision approved in this action incorporates into Kansas' 
SIP state regulations establishing state-determined allowance 
allocations to replace EPA's default allocations to Kansas units of 
CSAPR NOX Annual allowances issued for the control periods 
in 2017 through 2019. EPA is approving the SIP revision because it 
meets the requirements of the CAA and EPA's regulations for approval of 
an abbreviated SIP revision replacing EPA's default allocations of 
CSAPR emission allowances with state-determined allocations. Approval 
of this SIP revision does not alter any provision of the CSAPR 
NOX Annual Trading Program as applied to Kansas units other 
than the allowance allocation provisions, and the FIP requiring those 
units to participate in the program (as modified by this SIP revision) 
remains in place. Because the SIP revision addresses only the control 
periods in 2017 through 2019, absent submission and approval of a 
further SIP revision, allocations of CSAPR NOX Annual 
allowances for control periods in 2020 and later years will be made 
pursuant to the default allocation provisions.
    Large electricity generating units in Kansas are also subject to an 
additional CSAPR FIP requiring them to participate in the Federal CSAPR 
SO2 Group 2 Trading Program. Kansas's SIP submittal does not 
seek to replace the default allocations of CSAPR SO2 Group 2 
allowances to Kansas units. Approval of this SIP revision concerning 
another CSAPR trading program has no effect on the CSAPR SO2 
Group 2 Trading Program as applied to Kansas units, and the FIP 
requiring the units to participate in that program remains in place.
    Section II of this document summarizes relevant aspects of the 
CSAPR Federal trading programs and FIPs as well as the range of 
opportunities states have to submit SIP revisions to modify or replace 
the FIP requirements while continuing to rely on CSAPR's trading 
programs to address the states' obligations to mitigate interstate air 
pollution. Section III describes the specific conditions for approval 
of such SIP revisions. Section IV contains EPA's analysis of Kansas' 
SIP submittal, and section V sets forth EPA's action on the submittal.
    We are publishing this direct final rule without a prior proposed 
rule because we view this as a noncontroversial action and anticipate 
no adverse comment. However, in the Proposed Rules section of this 
Federal Register, we are publishing a separate document that will serve 
as the proposed rule to approve the SIP revision if adverse comments 
are received on this direct final rule. We will not institute a second 
comment period on this action. Any parties interested in commenting 
must do so at this time. For further information about commenting on 
this rule, see the ADDRESSES section of this document. If EPA receives 
adverse comment, we will publish a timely withdrawal in the Federal 
Register informing the public that this direct final rule will not take 
effect. We will address all public comments in any subsequent final 
rule based on the proposed rule.

II. Background on CSAPR and CSAPR-Related SIP Revisions

    EPA issued CSAPR in July 2011 to address the requirements of CAA 
section 110(a)(2)(D)(i)(I) concerning interstate transport of air 
pollution. As amended, CSAPR requires twenty-eight Eastern states to 
limit their statewide emissions of SO2 and/or NOX 
in order to mitigate transported air pollution unlawfully impacting 
other states' ability to attain or maintain three National Ambient Air 
Quality Standards (NAAQS): The 1997 ozone NAAQS, the 1997 annual fine 
particulate matter (PM2.5) NAAQS, and the 2006 24-hour 
PM2.5 NAAQS. The emissions limitations are defined in terms 
of maximum statewide ``budgets'' for emissions of annual 
SO2, annual NOX, and/or ozone-season 
NOX by each covered state's large electricity generating 
units. The budgets are implemented in two phases of generally 
increasing stringency, with the Phase 1 budgets applying to emissions 
in 2015 and 2016 and the Phase 2 budgets applying to emissions in 2017 
and later years. As a mechanism for achieving compliance with the 
emissions limitations, CSAPR established four Federal emissions trading 
programs: A program for annual NOX emissions, a program for 
ozone-season NOX emissions, and two geographically separate 
programs for annual SO2 emissions. CSAPR also established up 
to three FIPs applicable to the large electricity generating units in 
each covered state. Each CSAPR FIP requires a state's units to 
participate in one of the four CSAPR trading programs.

[[Page 42258]]

    CSAPR includes provisions under which states may submit and EPA 
will approve SIP revisions to modify or replace the CSAPR FIP 
requirements while allowing states to continue to meet their transport-
related obligations using either CSAPR's Federal emissions trading 
programs or state emissions trading programs integrated with the 
Federal programs.\3\ Through such a SIP revision, a state may replace 
EPA's default provisions for allocating emission allowances among the 
state's units, employing any state-selected methodology to allocate or 
auction the allowances, subject to timing conditions and limits on 
overall allowance quantities. In the case of CSAPR's Federal trading 
program for ozone-season NOX emissions (or an integrated 
state trading program), a state may also expand trading program 
applicability to include certain smaller electricity generating units. 
However, no emissions budget increases or other substantive changes to 
the trading program provisions are allowed. If a state wants to replace 
CSAPR FIP requirements with SIP requirements under which the state's 
units participate in a state trading program that is integrated with 
and identical to the federal trading program even as to the allocation 
and applicability provisions, the state may submit a SIP revision for 
that purpose as well. A state whose units are subject to multiple CSAPR 
FIPs and Federal trading programs may submit SIP revisions to modify or 
replace the requirements under either some or all of those FIPs.
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    \3\ See 40 CFR 52.38, 52.39. States also retain the ability to 
submit SIP revisions to meet their transport-related obligations 
using mechanisms other than the CSAPR Federal trading programs or 
integrated state trading programs.
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    States can submit two basic forms of CSAPR-related SIP revisions 
effective for emissions control periods in 2017 or later years.\4\ 
Specific conditions for approval of each form of SIP revision are set 
forth in the CSAPR regulations, as described in section III below. 
Under the first alternative--an ``abbreviated'' SIP revision--a state 
may submit a SIP revision that upon approval replaces the default 
allowance allocation and/or applicability provisions of a CSAPR Federal 
trading program for the state.\5\ Approval of an abbreviated SIP 
revision leaves the corresponding CSAPR FIP and all other provisions of 
the relevant Federal trading program in place for the state's units.
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    \4\ CSAPR also provides for a third, more streamlined form of 
SIP revision that is effective only for control periods in 2016 and 
is not relevant here. See Sec.  52.38(a)(3), (b)(3); Sec.  52.39(d), 
(g).
    \5\ Sec.  52.38(a)(4), (b)(4); Sec.  52.39(e), (h).
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    Under the second alternative--a ``full'' SIP revision--a state may 
submit a SIP revision that upon approval replaces a CSAPR Federal 
trading program for the state with a state trading program integrated 
with the Federal trading program, so long as the state trading program 
is substantively identical to the Federal trading program or does not 
substantively differ from the Federal trading program except as 
discussed above with regard to the allowance allocation and/or 
applicability provisions.\6\ For purposes of a full SIP revision, a 
state may either adopt state rules with complete trading program 
language, incorporate the Federal trading program language into its 
state rules by reference (with appropriate conforming changes), or 
employ a combination of these approaches.
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    \6\ Sec.  52.38(a)(5), (b)(5); Sec.  52.39(f), (i).
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    The CSAPR regulations identify several important consequences and 
limitations associated with approval of a full SIP revision. First, 
upon EPA's approval of a full SIP revision as correcting the deficiency 
in the state's SIP that was the basis for a particular CSAPR FIP, the 
obligation to participate in the corresponding CSAPR Federal trading 
program is automatically eliminated for units subject to the state's 
jurisdiction without the need for a separate EPA withdrawal action, so 
long as EPA's approval of the SIP is full and unconditional.\7\ Second, 
approval of a full SIP revision does not terminate the obligation to 
participate in the corresponding CSAPR Federal trading program for any 
units located in any Indian country within the borders of the state, 
and if and when a unit is located in Indian country within a state's 
borders, EPA may modify the SIP approval to exclude from the SIP, and 
include in the surviving CSAPR FIP instead, certain trading program 
provisions that apply jointly to units in the state and to units in 
Indian country within the state's borders.\8\ Finally, if at the time a 
full SIP revision is approved EPA has already started recording 
allocations of allowances for a given control period to a state's 
units, the Federal trading program provisions authorizing EPA to 
complete the process of allocating and recording allowances for that 
control period to those units will continue to apply, unless EPA's 
approval of the SIP revision provides otherwise.\9\
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    \7\ Sec.  52.38(a)(6), (b)(6); Sec.  52.39(j).
    \8\ Sec.  52.38(a)(5)(iv)-(v), (a)(6), (b)(5)(v)-(vi), (b)(6); 
Sec.  52.39(f)(4)-(5), (i)(4)-(5), (j).
    \9\ Sec.  52.38(a)(7), (b)(7); Sec.  52.39(k).
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    Certain CSAPR Phase 2 emissions budgets have been remanded to EPA 
for reconsideration.\10\ However, the CSAPR trading programs remain in 
effect and all CSAPR emissions budgets likewise remain in effect 
pending EPA final action to address the remands. Neither of the CSAPR 
emissions budgets applicable to Kansas units has been remanded.
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    \10\ EME Homer City Generation, L.P. v. EPA, 795 F.3d 118, 138 
(D.C. Cir. 2015).
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    In 2015, EPA proposed to update CSAPR to address Eastern states' 
interstate air pollution mitigation obligations with regard to the 2008 
ozone NAAQS. Among other things, the proposed rule would establish a 
FIP requiring Kansas units to participate in the CSAPR NOX 
Ozone Season Trading Program and would make technical corrections and 
nomenclature changes throughout the CSAPR regulations, including the 
CSAPR FIPs at 40 CFR part 52 and the CSAPR Federal trading program 
regulations for annual NOX, ozone-season NOX, and 
SO2 emissions at 40 CFR part 97.\11\
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    \11\ 80 FR 75706, 75710, 75757 (December 3, 2015).
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III. Conditions for Approval of CSAPR-Related SIP Revisions

    Each CSAPR-related abbreviated or full SIP revision must meet the 
following general submittal conditions:
     Timeliness and completeness of SIP submittal. If a state 
wants to replace the default allowance allocation or applicability 
provisions of a CSAPR Federal trading program, the complete SIP 
revision must be submitted to EPA by December 1 of the year before the 
deadlines described below for submitting allocation or auction amounts 
to EPA for the first control period for which the state wants to 
replace the default allocation and/or applicability provisions.\12\ 
(This SIP submission deadline is inoperative in the case of a SIP 
revision that seeks only to replace a CSAPR FIP and Federal trading 
program with a SIP and a substantively identical state trading program 
integrated with the Federal trading program.) The SIP submittal 
completeness criteria in section 2.1 of appendix V to 40 CFR part 51 
also apply.
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    \12\ 40 CFR 52.38(a)(4)(ii), (a)(5)(vi), (b)(4)(iii), 
(b)(5)(vii); Sec.  52.39(e)(2), (f)(6), (h)(2), (i)(6).
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    In addition to the general submittal conditions, a CSAPR-related 
abbreviated or full SIP seeking to address the allocation or auction of 
emission allowances must meet the following further conditions:

[[Page 42259]]

     Methodology covering all allowances potentially requiring 
allocation. For each Federal trading program addressed by a SIP 
revision, the SIP revision's allowance allocation or auction 
methodology must replace both the Federal program's default allocations 
to existing units \13\ at 40 CFR 97.411(a), 97.511(a), 97.611(a), or 
97.711(a), as applicable, and the Federal trading program's provisions 
for allocating allowances from the new unit set-aside (NUSA) for the 
state at 40 CFR 97.411(b)(1) and 97.412(a), 97.511(b)(1) and 97.512(a), 
97.611(b)(1) and 97.612(a), or 97.711(b)(1) and 97.712(a), as 
applicable.\14\ In the case of a state with Indian country within its 
borders, while the SIP revision may neither alter nor assume the 
Federal program's provisions for administering the Indian country NUSA 
for the state, the SIP revision must include procedures addressing the 
disposition of any otherwise unallocated allowances from an Indian 
country NUSA that may be made available for allocation by the state 
after EPA has carried out the Indian country NUSA allocation 
procedures.\15\
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    \13\ In the context of the approval conditions for CSAPR-related 
SIP revisions, an ``existing unit'' is a unit for which EPA has 
determined default allowance allocations (which could be allocations 
of zero allowances) in the rulemakings establishing and amending 
CSAPR. A spreadsheet showing EPA's default allocations to existing 
units is posted at www.epa.gov/crossstaterule/techinfo.html.
    \14\ Sec.  52.38(a)(4)(i), (a)(5)(i), (b)(4)(ii), (b)(5)(ii); 
Sec.  52.39(e)(1), (f)(1), (h)(1), (i)(1).
    \15\ See Sec. Sec.  97.412(b)(10)(ii), 97.512(b)(10)(ii), 
97.612(b)(10)(ii), 97.712(b)(10)(ii).
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     Assurance that total allocations will not exceed the state 
budget. For each Federal trading program addressed by a SIP revision, 
the total amount of allowances auctioned or allocated for each control 
period under the SIP revision (prior to the addition by EPA of any 
unallocated allowances from any Indian country NUSA for the state) may 
not exceed the state's emissions budget for the control period less the 
sum of the amount of any Indian country NUSA for the state for the 
control period and any allowances already allocated to the state's 
units for the control period and recorded by EPA.\16\ Under its SIP 
revision, a state is free to not allocate allowances to some or all 
potentially affected units, to allocate or auction allowances to 
entities other than potentially affected units, or to allocate or 
auction fewer than the maximum permissible quantity of allowances and 
retire the remainder.
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    \16\ Sec.  52.38(a)(4)(i)(A), (a)(5)(i)(A), (b)(4)(ii)(A), 
(b)(5)(ii)(A); Sec.  52.39(e)(1)(i), (f)(1)(i), (h)(1)(i), 
(i)(1)(i).
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     Timely submission of state-determined allocations to EPA. 
The SIP revision must require the state to submit to EPA the amounts of 
any allowances allocated or auctioned to each unit for each control 
period (other than allowances initially set aside in the state's 
allocation or auction process and later allocated or auctioned to such 
units from the set-aside amount) by the following deadlines.\17\ Note 
that the submission deadlines differ for amounts allocated or auctioned 
to units considered existing units for CSAPR purposes and amounts 
allocated or auctioned to other units.
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    \17\ Sec.  52.38(a)(4)(i)(B)-(C), (a)(5)(i)(B)-(C), 
(b)(4)(ii)(B)-(C), (b)(5)(ii)(B)-(C); Sec.  52.39(e)(1)(ii)-(iii), 
(f)(1)(ii)-(iii), (h)(1)(ii)-(iii), (i)(1)(ii)-(iii).

------------------------------------------------------------------------
                                                        Deadline for
                                   Year of the      submission to EPA of
             Units                control period       allocations or
                                                      auction results
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Existing......................  2017 and 2018....  June 1, 2016.
                                2019 and 2020....  June 1, 2017.
                                2021 and 2022....  June 1, 2018.
                                2023 and later     June 1 of the fourth
                                 years.             year before the year
                                                    of the control
                                                    period.
Other.........................  All years........  July 1 of the year of
                                                    the control period.
------------------------------------------------------------------------

     No changes to allocations already submitted to EPA or 
recorded. The SIP revision must not provide for any change to the 
amounts of allowances allocated or auctioned to any unit after those 
amounts are submitted to EPA or any change to any allowance allocation 
determined and recorded by EPA under the Federal trading program 
regulations.\18\
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    \18\ Sec.  52.38(a)(4)(i)(D), (a)(5)(i)(D), (b)(4)(ii)(D), 
(b)(5)(ii)(D); Sec.  52.39(e)(1)(iv), (f)(1)(iv), (h)(1)(iv), 
(i)(1)(iv).
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     No other substantive changes to Federal trading program 
provisions. The SIP revision may not substantively change any other 
trading program provisions, except in the case of a SIP revision that 
also expands program applicability as described below.\19\ Any new 
definitions adopted in the SIP revision (in addition to the Federal 
trading program's definitions) may apply only for purposes of the SIP 
revision's allocation or auction provisions.\20\
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    \19\ Sec.  52.38(a)(4), (a)(5), (b)(4), (b)(5); Sec.  52.39(e), 
(f), (h), (i).
    \20\ Sec.  52.38(a)(4)(i), (a)(5)(ii), (b)(4)(ii), (b)(5)(iii); 
Sec.  52.39(e)(1), (f)(2), (h)(1), (i)(2).
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    In addition to the general submittal conditions, a CSAPR-related 
abbreviated or full SIP revision seeking to expand applicability under 
the CSAPR NOX Ozone Season Trading Program (or an integrated 
state trading program) must meet the following further conditions:
     Only electricity generating units with nameplate capacity 
of at least 15 MWe. The SIP revision may expand applicability only to 
additional fossil fuel-fired boilers or combustion turbines serving 
generators producing electricity for sale, and only by lowering the 
generator nameplate capacity threshold used to determine whether a 
particular boiler or combustion turbine serving a particular generator 
is a potentially affected unit. The nameplate capacity threshold 
adopted in the SIP revision may not be less than 15 MWe.\21\
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    \21\ Sec.  52.38(b)(4)(i), (b)(5)(i).
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     No other substantive changes to Federal trading program 
provisions. The SIP revision may not substantively change any other 
trading program provisions, except in the case of a SIP revision that 
also addresses the allocation or auction of emission allowances as 
described above.\22\
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    \22\ Sec.  52.38(b)(4), (b)(5).
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    In addition to the general submittal conditions and the other 
applicable conditions described above, a CSAPR-related full SIP 
revision must meet the following further conditions:
     Complete, substantively identical trading program 
provisions. The SIP revision must adopt complete state trading program 
regulations substantively identical to the complete Federal trading 
program regulations at 40 CFR 97.402 through 97.435, 97.502 through 
97.535, 97.602 through 97.635, or 97.702 through 97.735, as applicable, 
except as described above in the case of a SIP revision that seeks to 
replace the default allowance allocation and/or applicability 
provisions.
     Only non-substantive substitutions for the term ``State.'' 
The SIP revision may substitute the name of the state for the term 
``State'' as used in the Federal trading program regulations, but only 
to the extent that EPA determines that the substitutions do not 
substantively

[[Page 42260]]

change the trading program regulations.\23\
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    \23\ Sec.  52.38(a)(5)(iii), (b)(5)(iv); Sec.  52.39(f)(3), 
(i)(3).
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     Exclusion of provisions addressing units in Indian 
country. The SIP revision may not include references to or impose 
requirements on any unit in any Indian country within the state's 
borders and must not include the Federal trading program provisions 
governing allocation of allowances from any Indian country NUSA for the 
state.\24\
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    \24\ Sec.  52.38(a)(5)(iv), (b)(5)(v); Sec.  52.39(f)(4), 
(i)(4).
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IV. Kansas's SIP Submittal and EPA's Analysis

A. Kansas's SIP Submittal

    In the CSAPR rulemaking, EPA determined that air pollution 
transported from Kansas unlawfully affected other states' ability to 
attain or maintain the 2006 24-hour PM2.5 NAAQS.\25\ Kansas 
units meeting the CSAPR applicability criteria are consequently subject 
to CSAPR FIPs that require participation in the CSAPR NOX 
Annual Trading Program and the CSAPR SO2 Group 2 Trading 
Program.\26\
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    \25\ 76 FR 48208, 48213 (August 8, 2011).
    \26\ 40 CFR 52.38(a)(2); Sec.  52.39(c); Sec.  52.882(a); Sec.  
52.883.
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    On December 1, 2015, Kansas submitted to EPA an abbreviated SIP 
revision that, if approved, would replace the default allowance 
allocation provisions of the CSAPR NOX Annual Trading 
Program for the state's EGUs for the control periods in 2017 through 
2019 with provisions establishing state-determined allocations for 
those control periods but that would leave the corresponding CSAPR FIP 
and all other provisions of that trading program in place. The SIP 
submittal generally consists of a duly adopted state rule, K.A.R. 28-
19-274 (Nitrogen oxides; allocations), which in turn adopts by 
reference a document entitled ``TR NOX annual allowance 
allocations for 2017, 2018, and 2019,'' dated July 17, 2015. The latter 
document contains tables establishing fixed amounts of allowances to be 
allocated to specified Kansas electricity generating units under the 
provisions of the state rule. For each of the years 2017, 2018, and 
2019, there is a table with allocations of all allowances in the Kansas 
budget other than allowances in the Indian country NUSA for Kansas. For 
each of those years there is a second table with potential allocations 
to the same units of otherwise unallocated allowances from the Indian 
country NUSA for Kansas if all of those allowances should be made 
available by EPA for state allocation. The rule also includes 
provisions for computing potential allocations to the same units of 
otherwise unallocated allowances from the Indian country NUSA for 
Kansas if some but not all of those allowances should be made available 
by EPA for state allocation. Finally, the rule includes provisions 
defining several terms used either in the rule's allocation provisions 
or in other definitions.
    The SIP revision was submitted to EPA by a letter from the Kansas 
Secretary of Health and Environment acting as the designated 
representative of the Governor of Kansas. The letter describes steps 
taken by Kansas to provide public notice prior to adoption of the state 
rule. The letter also indicates that paragraphs 28-19-274(a)(2)(A) and 
(B) of the Kansas rule, which contain definitions of certain terms 
differing from the definitions of the same terms in the Federal trading 
program regulations, are excluded from the SIP submittal.
    EPA has previously approved a separate Kansas SIP revision 
replacing the default allowance allocation provisions of the CSAPR 
NOX Annual Trading Program for Kansas existing units for the 
control period in 2016.\27\ At this time, Kansas has not submitted any 
SIP revision to modify or replace the CSAPR FIP that requires the 
state's units to participate in the CSAPR SO2 Group 2 
Trading Program.
---------------------------------------------------------------------------

    \27\ 80 FR 50789 (August 21, 2015).
---------------------------------------------------------------------------

B. EPA's Analysis of Kansas's Submittal

1. Timeliness and Completeness of SIP Submittal
    Kansas' SIP revision seeks to establish state-determined 
allocations of CSAPR NOX Annual allowances for the control 
periods in 2017, 2018, and 2019. Under 40 CFR 52.38(a)(4)(i)(B), the 
deadline for submission of state-determined allocations for the 2017 
and 2018 control periods is June 1, 2016, which under Sec.  
52.38(a)(4)(ii) makes December 1, 2015 the deadline for submission to 
EPA of a complete SIP revision establishing state-determined 
allocations for those control periods. Kansas submitted its SIP 
revision to EPA by a letter dated and delivered electronically on 
December 1, 2015, and EPA has determined that the submittal complies 
with the applicable minimum completeness criteria in section 2.1 of 
appendix V to 40 CFR part 51. Because Kansas's SIP revision was timely 
submitted and meets the applicable completeness criteria, it meets the 
condition under 40 CFR 52.38(a)(4)(ii) for timely submission of a 
complete SIP revision.
2. Methodology Covering All Allowances Potentially Requiring Allocation
    Paragraph 28-19-274(c) of the Kansas rule provides that the 
allowance allocation methodology adopted by Kansas in the SIP revision 
replaces the provisions of 40 CFR 97.411(a), thereby addressing all 
allowances that under the default allocation provisions for the Federal 
trading program would be allocated to units considered existing units 
for CSAPR purposes (prior to allocation of any otherwise unallocated 
allowances from the NUSA or Indian country NUSA for Kansas). The same 
Kansas rule paragraph also provides that the state's allocation 
methodology replaces the provisions of 40 CFR 97.411(b)(1) and 
97.412(a), thereby addressing allocation of allowances in the NUSA 
established for Kansas under the Federal trading program. In addition, 
paragraphs 28-19-274(d) and (e) of the Kansas rule provide procedures 
addressing any otherwise unallocated allowances from the Indian country 
NUSA for Kansas that may be made available for allocation by the state 
after EPA has carried out the Indian country NUSA allocation 
procedures. Collectively, the allocation provisions in the Kansas rule 
therefore enable Kansas' SIP revision to meet the condition under 40 
CFR 52.38(a)(4)(i) that the state's allocation or auction methodology 
must cover all allowances potentially requiring allocation by the 
state.
3. Assurance That Total Allocations Will Not Exceed the State Budget
    Paragraph 28-19-274(d) of the Kansas rule provides for allowance 
allocations to be made in fixed amounts set forth in tables adopted by 
reference into the state rules. For each of the three control periods 
for which the rule allocates allowances, there is a table providing 
allocations for the allowances that absent this SIP revision would be 
allocated pursuant to 40 CFR 97.411(a), 97.411(b)(1), and 97.412(a). 
For each of the control periods, the sum of the fixed amounts allocated 
according to these tables is 31,323 allowances, which is equal to the 
Kansas budget for the control period (31,354 tons) less the amount of 
the Indian country NUSA for Kansas (31 tons).\28\ EPA has not yet 
allocated or recorded CSAPR allowances for the 2017 through 2019 
control periods. The allocation methodology in Kansas's SIP revision 
therefore meets the condition under 40 CFR 52.38(a)(4)(i)(A) that the 
total

[[Page 42261]]

amount of allowances allocated under the SIP revision (before the 
addition of any otherwise unallocated allowances from an Indian country 
NUSA) may not exceed the state's budget for the control period less the 
amount of the Indian country NUSA for the state and any allowances 
already allocated and recorded by EPA.
---------------------------------------------------------------------------

    \28\ See 40 CFR 97.410(a)(6)(iv), (a)(6)(vi).
---------------------------------------------------------------------------

    While the Kansas rule also has provisions providing potential 
allocations of allowances from the Indian country NUSA for Kansas, 
under paragraph 28-19-274(b) of the Kansas rule the only allowances 
available for allocation under those provisions are otherwise 
unallocated allowances that EPA has made available from the Indian 
country NUSA for state allocation after having carried out the Indian 
country NUSA allocation procedures. The total of the allowances 
allocated under the SIP revision and any allowances allocated by EPA 
from the Indian country NUSA for Kansas therefore will not exceed the 
state budget, consistent with the purpose of 40 CFR 52.38(a)(4)(i)(A).
4. Timely Submission of State-Determined Allocations to EPA
    The state-determined allowance allocations established by the 
Kansas rule for each of the three control periods covered by the rule 
are included in tables that have been adopted by reference into the 
state rule and that were provided to EPA as part of the SIP submittal 
on December 1, 2015. As noted above, in the case of a SIP revision 
seeking to allocate allowances starting with the 2017 control period, 
the earliest deadline for submission to EPA of the state-determined 
allocations is June 1, 2016. Kansas' SIP revision therefore meets the 
conditions under 40 CFR 52.38(a)(4)(i)(B) and (C) requiring that the 
SIP revision provide for submission of state-determined allowance 
allocations to EPA by the deadlines specified in those provisions.
5. No Changes to Allocations Already Submitted to EPA or Recorded
    The Kansas rule includes no provision allowing alteration of 
allocations after the allocation amounts have been provided to EPA and 
no provision allowing alteration of any allocations made and recorded 
by EPA under the Federal trading program regulations, thereby meeting 
the condition under 40 CFR 52.38(a)(4)(i)(D).
6. No Other Substantive Changes to Federal Trading Program Provisions
    Besides the provisions addressing allowance allocations discussed 
above, the Kansas rule includes a number of provisions defining terms 
used either in the rule's allocation provisions or in other 
definitions. In paragraph 28-19-274(a)(1), the rule adopts by reference 
several terms defined in 40 CFR 97.402, and in paragraph 28-19-274(b), 
the rule defines a new term ``Indian country new unit set-aside 
allowance'' that is used only in the Kansas rule for purposes of 
allowance allocations. These provisions do not make substantive changes 
to the Federal trading program provisions.\29\
---------------------------------------------------------------------------

    \29\ EPA has proposed to make certain technical corrections to 
the CSAPR FIP and Federal trading program regulations in order to 
more accurately reflect EPA's intent as described in the CSAPR 
rulemaking and has also proposed to replace ``TR'' with ``CSAPR'' 
throughout the regulations (for example, ``TR NOX Annual 
unit'' would become ``CSAPR NOX Annual unit''). See 80 FR 
75706, 75758. Because the proposed technical corrections merely 
clarify and do not change EPA's interpretations, where the proposed 
corrections would apply to a provision incorporated by reference in 
the Kansas rule, EPA would interpret the Kansas rule as reflecting 
the corrections. Further, EPA anticipates that if the proposed 
nomenclature updates are finalized, the final CSAPR Federal 
regulations would explicitly provide that terms that include 
``CSAPR'' encompass otherwise identical terms in approved SIP 
revisions that include ``TR''.
---------------------------------------------------------------------------

    Paragraphs 28-19-274(a)(2)(A) and (B) of the Kansas rule adopt 
definitions of ``administrator'', ``State'', and ``permitting 
authority'' that substantively differ from the definitions of these 
terms in the Federal trading program regulations. While these terms are 
not used directly in the Kansas rule, they are used in the Federal 
trading program definitions of some of the other terms that are adopted 
by reference under paragraph 28-19-274(a)(1). Inclusion of the Kansas 
rule's definitions of ``administrator'', ``State'', and ``permitting 
authority'' in the SIP revision therefore would cause the meanings of 
those other adopted terms as used in the Kansas rule to substantively 
differ from the meanings of the same terms as used in the Federal 
trading program regulations. After being advised of these differences 
by EPA, Kansas elected to exclude the provisions of paragraphs 28-19-
274(a)(2)(A) and (B) of the Kansas rule from the SIP revision, as the 
state's letter submitting the SIP revision makes clear. (Without the 
excluded provisions, the rule remains fully functional for its intended 
purpose of allocating CSAPR allowances among the state's units.) 
Considering Kansas' SIP revision without the excluded rule provisions, 
EPA has determined that the SIP revision meets the condition under 40 
CFR 52.38(a)(4) of making no substantive changes to the Federal trading 
program regulations beyond the provisions addressing allowance 
allocations.

V. EPA's Action on Kansas' Submittal

    EPA is taking direct final action to approve the revision to 
Kansas' SIP submitted on December 1, 2015 concerning allocations to 
Kansas units of CSAPR NOX Annual allowances for the control 
periods in 2017, 2018, and 2019. This SIP revision adopts into the SIP 
the rule codified in Kansas' regulations at K.A.R. 28-19-274 excluding 
paragraphs 28-19-274(a)(2)(A) and (B). The Kansas rule in turn 
incorporates a document entitled ``TR NOX annual allowance 
allocations for 2017, 2018, and 2019,'' dated July 17, 2015, which 
contains tables setting forth state-determined allowance allocations to 
individual Kansas units. Following this approval, allocations of these 
allowances will be made according to the provisions of Kansas' SIP 
instead of CSAPR's default allocation provisions at 40 CFR 97.411(a), 
97.411(b)(1), and 97.412(a). Approval of this SIP revision does not 
alter any provision of the Federal CSAPR NOX Annual Trading 
Program as applied to Kansas units other than the allowance allocation 
provisions, and the FIP requiring the units to participate in that 
program (as modified by this SIP revision) remains in place. EPA is 
approving the SIP revision because it meets the requirements of the CAA 
and EPA's regulations for approval of an abbreviated SIP revision 
replacing EPA's default allocations of CSAPR emission allowances with 
state-determined allocations, as discussed in section IV above. Because 
the SIP revision addresses only the control periods in 2017 through 
2019, absent submission and approval of a further SIP revision, 
allocations of CSAPR NOX Annual allowances for control 
periods in 2020 and later years will be made pursuant to the default 
allocation provisions.
    Large electricity generating units in Kansas are also subject to an 
additional CSAPR FIP requiring them to participate in the Federal CSAPR 
SO2 Group 2 Trading Program. Kansas's SIP submittal does not 
seek to replace the default allocations of CSAPR SO2 Group 2 
allowances to Kansas units. Approval of this SIP revision concerning 
another CSAPR trading program has no effect on the Federal CSAPR 
SO2 Group 2 Trading Program as applied to Kansas units, and 
the FIP requiring the units to participate in that program remains in 
place.

Incorporation by Reference

    In this rule, EPA is finalizing regulatory text that includes 
incorporation by reference. In

[[Page 42262]]

accordance with requirements of 1 CFR 51.5, EPA is finalizing the 
incorporation by reference of the Kansas Cross-State Air Pollution 
Regulations described in the direct final amendments to 40 CFR part 52 
set forth below. EPA has made, and will continue to make, these 
documents generally available electronically through 
www.regulations.gov and at the appropriate EPA office (see the 
ADDRESSES section of this preamble for more information).

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 
action merely approves state law as meeting Federal requirements and 
does not impose additional requirements beyond those imposed by state 
law. For that reason, this action:
     Is not a significant regulatory action subject to review 
by the Office of Management and Budget under Executive Orders 12866 (58 
FR 51735, October 4, 1993) and 13563 (76 FR 3821, January 21, 2011);
     Does not impose an information collection burden under the 
provisions of the Paperwork Reduction Act (44 U.S.C. 3501 et seq.);
     Is certified as not having a significant economic impact 
on a substantial number of small entities under the Regulatory 
Flexibility Act (5 U.S.C. 601 et seq.);
     Does not contain any unfunded mandate or significantly or 
uniquely affect small governments, as described in the Unfunded 
Mandates Reform Act of 1995 (Pub. L. 104-4);
     Does not have Federalism implications as specified in 
Executive Order 13132 (64 FR 43255, August 10, 1999);
     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 this rulemaking does not involve technical standards; 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 and will not impose substantial direct 
costs on tribal governments or preempt tribal law as specified by 
Executive Order 13175 (65 FR 67249, November 9, 2000).
    The Congressional Review Act, 5 U.S.C. 801 et seq., as added by the 
Small Business Regulatory Enforcement Fairness Act of 1996, generally 
provides that before a rule may take effect, the agency promulgating 
the rule must submit a rule report, which includes a copy of the rule, 
to each House of the Congress and to the Comptroller General of the 
United States. EPA will submit a report containing this action and 
other required information to the U.S. Senate, the U.S. House of 
Representatives, and the Comptroller General of the United States prior 
to publication of the rule in the Federal Register. A major rule cannot 
take effect until 60 days after it is published in the Federal 
Register. This action is not a ``major rule'' as defined by 5 U.S.C. 
804(2).
    Under section 307(b)(1) of the CAA, petitions for judicial review 
of this action must be filed in the United States Court of Appeals for 
the appropriate circuit by August 29, 2016. Filing a petition for 
reconsideration by the Administrator of this final rule does not affect 
the finality of this action for the purposes of judicial review nor 
does it extend the time within which a petition for judicial review may 
be filed, and shall not postpone the effectiveness of such rule or 
action. This action may not be challenged later in proceedings to 
enforce its requirements. (See section 307(b)(2).)

List of Subjects in 40 CFR Part 52

    Environmental protection, Administrative practice and procedure, 
Air pollution control, Incorporation by reference, Intergovernmental 
relations, Nitrogen dioxide, Ozone, Particulate matter, Reporting and 
recordkeeping requirements, Sulfur oxides.

    Dated: June 16, 2016.
Mark Hague,
Regional Administrator, Region 7.
    For the reasons stated in the preamble, EPA amends 40 CFR part 52 
as set forth below:

PART 52--APPROVAL AND PROMULGATION OF IMPLEMENTATION PLANS

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

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

Subpart R--Kansas

0
2. Amend Sec.  52.870(c), by adding entry 28-19-274, in numerical 
order, under the subheading entitled ``General Provisions'' to read as 
follows:


Sec.  52.870  Identification of plan.

* * * * *
    (c) * * *

[[Page 42263]]



                                         EPA-Approved Kansas Regulations
----------------------------------------------------------------------------------------------------------------
                                                            State
        Kansas citation                  Title         effective date    EPA approval date       Explanation
----------------------------------------------------------------------------------------------------------------
       Kansas Department of Health and Environment Ambient Air Quality Standards and Air Pollution Control
----------------------------------------------------------------------------------------------------------------
 
                                                  * * * * * * *
----------------------------------------------------------------------------------------------------------------
                                               General Provisions
----------------------------------------------------------------------------------------------------------------
 
                                                  * * * * * * *
K.A.R. 28-19-274...............  Nitrogen Oxide               11/6/15  6/29/16 and [Insert   Approval of EGU-
                                  allocations.                          Federal Register      specific NOX
                                                                        citation].            allocations does
                                                                                              not include KAR 28-
                                                                                              19-274(a)(2)(A)
                                                                                              and (a)(2)(B).
 
                                                  * * * * * * *
----------------------------------------------------------------------------------------------------------------

* * * * *
[FR Doc. 2016-15040 Filed 6-28-16; 8:45 am]
 BILLING CODE 6560-50-P



                                                42256            Federal Register / Vol. 81, No. 125 / Wednesday, June 29, 2016 / Rules and Regulations

                                                State, local, or tribal government, in the              § 165.T07–0347 Safety Zone; Fourth of                  ACTION:   Direct final rule.
                                                aggregate, or by the private sector of                  July Fireworks Murrells Inlet, SC.
                                                $100,000,000 (adjusted for inflation) or                   (a) This rule establishes a safety zone             SUMMARY:   The Environmental Protection
                                                more in any one year. Though this rule                  on all Atlantic Ocean waters within a                  Agency (EPA) is taking direct final
                                                will not result in such an expenditure,                 500 yard radius of Veterans Pier, from                 action to approve a December 1, 2015,
                                                we do discuss the effects of this rule                  which fireworks will be launched.                      State Implementation Plan (SIP)
                                                elsewhere in this preamble.                                (b) Definition. As used in this section,            submittal from Kansas concerning
                                                                                                        ‘‘designated representative’’ means                    allocations of Cross-State Air Pollution
                                                F. Environment                                                                                                 Rule (CSAPR) emission allowances.
                                                                                                        Coast Guard Patrol Commanders,
                                                  We have analyzed this rule under                      including Coast Guard coxswains, petty                 Under CSAPR, large electricity
                                                Department of Homeland Security                         officers, and other officers operating                 generating units in Kansas are subject to
                                                Management Directive 023–01 and                         Coast Guard vessels, and Federal, state,               a Federal Implementation Plan (FIP)
                                                Commandant Instruction M16475.lD,                       and local officers designated by or                    requiring the units to participate in
                                                which guide the Coast Guard in                          assisting the Captain of the Port                      CSAPR’s Federal trading program for
                                                complying with the National                             Charleston in the enforcement of the                   annual emissions of nitrogen oxides
                                                Environmental Policy Act of 1969 (42                    regulated areas.                                       (NOX). This action approves Kansas’s
                                                U.S.C. 4321–4370f), and have                               (c) Regulations. (1) All persons and                adoption into its SIP of state regulations
                                                determined that this action is one of a                 vessels are prohibited from entering,                  establishing state-determined
                                                category of actions that do not                         transiting through, anchoring in, or                   allocations to replace EPA’s default
                                                individually or cumulatively have a                     remaining within the regulated area                    allocations to Kansas units of CSAPR
                                                significant effect on the human                         unless authorized by the Captain of the                allowances for annual NOX emissions
                                                environment. This rule involves a safety                Port Charleston or a designated                        for 2017 through 2019. EPA is
                                                zone lasting less than 1 hour that will                 representative.                                        approving the SIP revision because it
                                                prohibit entry within 500 yards of the                     (2) Persons and vessels desiring to                 meets the requirements of the Clean Air
                                                Veterans Pier. Normally such actions are                enter, transit through, or remain within               Act (CAA) and EPA’s regulations for
                                                categorically excluded from further                     the regulated area may contact the                     approval of an abbreviated SIP revision
                                                review under paragraph 34(g) of Figure                  Captain of the Port Charleston by                      replacing EPA’s default allocations of
                                                2–1 of Commandant Instruction                           telephone at 843–740–7050, or a                        CSAPR emission allowances with state-
                                                M16475.lD. A preliminary                                designated representative via VHF radio                determined allocations. Approval of this
                                                environmental analysis checklist and                    on channel 16, to request authorization.               SIP revision does not alter any provision
                                                Categorical Exclusion Determination are                 If authorization to enter, transit through,            of CSAPR’s Federal trading program for
                                                available in the docket where indicated                 or remain within the regulated area is                 annual NOX emissions as applied to
                                                under ADDRESSES. We seek any                            granted by the Captain of the Port                     Kansas units other than the allowance
                                                comments or information that may lead                   Charleston or a designated                             allocation provisions, and the FIP
                                                to the discovery of a significant                       representative, all persons and vessels                requiring the units to participate in the
                                                environmental impact from this rule.                    receiving such authorization must                      trading program (as modified by the SIP
                                                                                                        comply with the instructions of the                    revision) remains in place. The approval
                                                G. Protest Activities                                                                                          is being issued as a direct final rule
                                                                                                        Captain of the Port Charleston or a
                                                  The Coast Guard respects the First                    designated representative.                             without a prior proposed rule because
                                                Amendment rights of protesters.                            (3) The Coast Guard will provide                    EPA views it as uncontroversial and
                                                Protesters are asked to contact the                     notice of the regulated area by Local                  does not anticipate adverse comment.
                                                person listed in the FOR FURTHER                        Notice to Mariners, Broadcast Notice to                DATES: This direct final rule will be
                                                INFORMATION CONTACT section to                          Mariners, and on-scene designated                      effective August 15, 2016, without
                                                coordinate protest activities so that your              representatives.                                       further notice, unless EPA receives
                                                message can be received without                            (d) Enforcement period. This rule will              adverse comment by July 29, 2016. If
                                                jeopardizing the safety or security of                  be enforced on July 4, 2016 from 9:15                  EPA receives adverse comment, we will
                                                people, places or vessels.                              p.m. until 10 p.m.                                     publish a timely withdrawal of the
                                                List of Subjects in 33 CFR Part 165                       Dated: June 24, 2016.                                direct final rule in the Federal Register
                                                                                                        B.D. Falk,                                             informing the public that the rule will
                                                  Harbors, Marine safety, Navigation                                                                           not take effect.
                                                (water), Reporting and recordkeeping                    Commander, U.S. Coast Guard, Acting
                                                                                                        Captain of the Port Charleston.                        ADDRESSES: Submit your comments,
                                                requirements, Security measures,                                                                               identified by Docket ID No. EPA–R07–
                                                                                                        [FR Doc. 2016–15415 Filed 6–28–16; 8:45 am]
                                                Waterways.                                                                                                     OAR–2016–0303, to http://
                                                                                                        BILLING CODE 9110–04–P
                                                  For the reasons discussed in the                                                                             www.regulations.gov. Follow the online
                                                preamble, the Coast Guard amends 33                                                                            instructions for submitting comments.
                                                CFR part 165 as follows:                                                                                       Once submitted, comments cannot be
                                                                                                        ENVIRONMENTAL PROTECTION
                                                                                                                                                               edited or removed from Regulations.gov.
                                                PART 165—REGULATED NAVIGATION                           AGENCY
                                                                                                                                                               EPA may publish any comment received
                                                AREAS AND LIMITED ACCESS AREAS                                                                                 to its public docket. Do not submit
                                                                                                        40 CFR Part 52
                                                                                                                                                               electronically any information you
                                                ■ 1. The authority citation for part 165                [EPA–R07–OAR–2016–0303; FRL–9948–13–                   consider to be Confidential Business
                                                continues to read as follows:
mstockstill on DSK3G9T082PROD with RULES




                                                                                                        Region 7]                                              Information (CBI) or other information
                                                  Authority: 33 U.S.C. 1231; 50 U.S.C. 191;                                                                    whose disclosure is restricted by statute.
                                                33 CFR 1.05–1, 6.04–1, 6.04–6, and                      Approval and Promulgation of Air
                                                                                                        Quality Implementation Plans; State of                 Multimedia submissions (audio, video,
                                                Department of Homeland Security Delegation                                                                     etc.) must be accompanied by a written
                                                No. 0170.1.                                             Kansas; Cross-State Air Pollution Rule
                                                                                                                                                               comment. The written comment is
                                                ■ 2. Add a temporary § 165.T07–0347 to                  AGENCY: Environmental Protection                       considered the official comment and
                                                read as follows:                                        Agency (EPA).                                          should include discussion of all points


                                           VerDate Sep<11>2014   16:45 Jun 28, 2016   Jkt 238001   PO 00000   Frm 00032   Fmt 4700   Sfmt 4700   E:\FR\FM\29JNR1.SGM   29JNR1


                                                                  Federal Register / Vol. 81, No. 125 / Wednesday, June 29, 2016 / Rules and Regulations                                           42257

                                                you wish to make. EPA will generally                    trading programs includes default                      SIP submittal, and section V sets forth
                                                not consider comments or comment                        provisions governing the allocation                    EPA’s action on the submittal.
                                                contents located outside of the primary                 among participating units of emission                     We are publishing this direct final
                                                submission (i.e., on the web, cloud, or                 allowances used for compliance under                   rule without a prior proposed rule
                                                other file sharing system). For                         that program. CSAPR also provides a                    because we view this as a
                                                additional submission methods, the full                 process for the submission and approval                noncontroversial action and anticipate
                                                EPA public comment policy,                              of SIP revisions to replace EPA’s default              no adverse comment. However, in the
                                                information about CBI or multimedia                     allocations with state-determined                      Proposed Rules section of this Federal
                                                submissions, and general guidance on                    allocations.                                           Register, we are publishing a separate
                                                making effective comments, please visit                    The SIP revision approved in this                   document that will serve as the
                                                http://www2.epa.gov/dockets/                            action incorporates into Kansas’ SIP                   proposed rule to approve the SIP
                                                commenting-epa-dockets.                                 state regulations establishing state-                  revision if adverse comments are
                                                                                                        determined allowance allocations to                    received on this direct final rule. We
                                                FOR FURTHER INFORMATION CONTACT: Mr.
                                                                                                        replace EPA’s default allocations to                   will not institute a second comment
                                                Larry Gonzalez, Air Planning and
                                                                                                        Kansas units of CSAPR NOX Annual                       period on this action. Any parties
                                                Development Branch, Air and Waste
                                                                                                        allowances issued for the control                      interested in commenting must do so at
                                                Management Division, EPA Region 7,
                                                                                                        periods in 2017 through 2019. EPA is                   this time. For further information about
                                                11201 Renner Boulevard, Lenexa KS
                                                                                                        approving the SIP revision because it                  commenting on this rule, see the
                                                66219; telephone number: (913) 551–
                                                                                                        meets the requirements of the CAA and                  ADDRESSES section of this document. If
                                                7041; email address:                                    EPA’s regulations for approval of an                   EPA receives adverse comment, we will
                                                Gonzalez.larry@epa.gov.                                 abbreviated SIP revision replacing                     publish a timely withdrawal in the
                                                SUPPLEMENTARY INFORMATION:                              EPA’s default allocations of CSAPR                     Federal Register informing the public
                                                Throughout this document ‘‘we,’’ ‘‘us,’’                emission allowances with state-                        that this direct final rule will not take
                                                or ‘‘our’’ refer to EPA. This section                   determined allocations. Approval of this               effect. We will address all public
                                                provides additional information by                      SIP revision does not alter any provision              comments in any subsequent final rule
                                                addressing the following:                               of the CSAPR NOX Annual Trading                        based on the proposed rule.
                                                                                                        Program as applied to Kansas units
                                                I. What is being addressed in this document?                                                                   II. Background on CSAPR and CSAPR-
                                                II. Background on CSAPR and CSAPR-                      other than the allowance allocation
                                                                                                                                                               Related SIP Revisions
                                                      Related SIP Revisions                             provisions, and the FIP requiring those
                                                III. Conditions for Approval of CSAPR-                  units to participate in the program (as                   EPA issued CSAPR in July 2011 to
                                                      Related SIP Revisions                             modified by this SIP revision) remains                 address the requirements of CAA
                                                IV. Kansas’s SIP Submittal and EPA’s                    in place. Because the SIP revision                     section 110(a)(2)(D)(i)(I) concerning
                                                      Analysis                                          addresses only the control periods in                  interstate transport of air pollution. As
                                                   A. Kansas’s SIP Submittal                            2017 through 2019, absent submission                   amended, CSAPR requires twenty-eight
                                                   B. EPA’s Analysis of Kansas’ Submittal               and approval of a further SIP revision,                Eastern states to limit their statewide
                                                   1. Timeliness and Completeness of SIP                                                                       emissions of SO2 and/or NOX in order
                                                                                                        allocations of CSAPR NOX Annual
                                                      Submittal                                                                                                to mitigate transported air pollution
                                                   2. Methodology Covering All Allowances               allowances for control periods in 2020
                                                                                                        and later years will be made pursuant to               unlawfully impacting other states’
                                                      Potentially Requiring Allocation
                                                   3. Assurance That Total Allocations Will             the default allocation provisions.                     ability to attain or maintain three
                                                      Not Exceed the State Budget                          Large electricity generating units in               National Ambient Air Quality Standards
                                                   4. Timely Submission of State-Determined             Kansas are also subject to an additional               (NAAQS): The 1997 ozone NAAQS, the
                                                      Allocations to EPA                                CSAPR FIP requiring them to participate                1997 annual fine particulate matter
                                                   5. No Changes to Allocations Already                 in the Federal CSAPR SO2 Group 2                       (PM2.5) NAAQS, and the 2006 24-hour
                                                      Submitted to EPA or Recorded                      Trading Program. Kansas’s SIP submittal                PM2.5 NAAQS. The emissions
                                                   6. No Other Substantive Changes to Federal           does not seek to replace the default                   limitations are defined in terms of
                                                      Trading Program Provisions                                                                               maximum statewide ‘‘budgets’’ for
                                                                                                        allocations of CSAPR SO2 Group 2
                                                V. EPA’s Action on Kansas’ Submittal                                                                           emissions of annual SO2, annual NOX,
                                                                                                        allowances to Kansas units. Approval of
                                                I. What is being addressed in this                      this SIP revision concerning another                   and/or ozone-season NOX by each
                                                document?                                               CSAPR trading program has no effect on                 covered state’s large electricity
                                                                                                        the CSAPR SO2 Group 2 Trading                          generating units. The budgets are
                                                  EPA is taking direct final action to                                                                         implemented in two phases of generally
                                                                                                        Program as applied to Kansas units, and
                                                approve a revision to the SIP for Kansas                                                                       increasing stringency, with the Phase 1
                                                                                                        the FIP requiring the units to participate
                                                concerning allocations of allowances                                                                           budgets applying to emissions in 2015
                                                                                                        in that program remains in place.
                                                used in the CSAPR 1 Federal trading                        Section II of this document                         and 2016 and the Phase 2 budgets
                                                program for annual emissions of NOX.                    summarizes relevant aspects of the                     applying to emissions in 2017 and later
                                                Large electricity generating units in                   CSAPR Federal trading programs and                     years. As a mechanism for achieving
                                                Kansas are subject to a CSAPR FIP that                  FIPs as well as the range of                           compliance with the emissions
                                                requires the units to participate in the                opportunities states have to submit SIP                limitations, CSAPR established four
                                                Federal CSAPR NOX Annual Trading                        revisions to modify or replace the FIP                 Federal emissions trading programs: A
                                                Program.2 Each of CSAPR’s Federal                       requirements while continuing to rely                  program for annual NOX emissions, a
                                                                                                        on CSAPR’s trading programs to address                 program for ozone-season NOX
                                                   1 Federal Implementation Plans; Interstate
                                                                                                        the states’ obligations to mitigate                    emissions, and two geographically
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                                                Transport of Fine Particulate Matter and Ozone and
                                                Correction of SIP Approvals, 76 FR 48208 (August        interstate air pollution. Section III                  separate programs for annual SO2
                                                8, 2011), (codified as amended at 40 CFR 52.38 and      describes the specific conditions for                  emissions. CSAPR also established up to
                                                52.39 and subparts AAAAA through DDDDD of 40
                                                                                                        approval of such SIP revisions. Section                three FIPs applicable to the large
                                                CFR part 97).                                                                                                  electricity generating units in each
                                                   2 EPA has proposed to replace the terms              IV contains EPA’s analysis of Kansas’
                                                ‘‘Transport Rule’’ and ‘‘TR’’ in the text of the Code
                                                                                                                                                               covered state. Each CSAPR FIP requires
                                                of Federal Regulations with the updated terms           FR 75706, 75759 (December 3, 2015). Except where       a state’s units to participate in one of the
                                                ‘‘Cross-State Air Pollution Rule’’ and ‘‘CSAPR.’’ 80    otherwise noted, EPA uses the updated terms here.      four CSAPR trading programs.


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                                                42258             Federal Register / Vol. 81, No. 125 / Wednesday, June 29, 2016 / Rules and Regulations

                                                   CSAPR includes provisions under                      Federal trading program in place for the                      approval of the SIP revision provides
                                                which states may submit and EPA will                    state’s units.                                                otherwise.9
                                                approve SIP revisions to modify or                         Under the second alternative—a                                Certain CSAPR Phase 2 emissions
                                                replace the CSAPR FIP requirements                                                                                    budgets have been remanded to EPA for
                                                                                                        ‘‘full’’ SIP revision—a state may submit
                                                while allowing states to continue to                                                                                  reconsideration.10 However, the CSAPR
                                                                                                        a SIP revision that upon approval
                                                meet their transport-related obligations                                                                              trading programs remain in effect and
                                                                                                        replaces a CSAPR Federal trading
                                                using either CSAPR’s Federal emissions                                                                                all CSAPR emissions budgets likewise
                                                                                                        program for the state with a state trading                    remain in effect pending EPA final
                                                trading programs or state emissions                     program integrated with the Federal
                                                trading programs integrated with the                                                                                  action to address the remands. Neither
                                                                                                        trading program, so long as the state                         of the CSAPR emissions budgets
                                                Federal programs.3 Through such a SIP                   trading program is substantively                              applicable to Kansas units has been
                                                revision, a state may replace EPA’s                     identical to the Federal trading program                      remanded.
                                                default provisions for allocating                       or does not substantively differ from the                        In 2015, EPA proposed to update
                                                emission allowances among the state’s                   Federal trading program except as                             CSAPR to address Eastern states’
                                                units, employing any state-selected                     discussed above with regard to the                            interstate air pollution mitigation
                                                methodology to allocate or auction the                  allowance allocation and/or                                   obligations with regard to the 2008
                                                allowances, subject to timing conditions                applicability provisions.6 For purposes                       ozone NAAQS. Among other things, the
                                                and limits on overall allowance                         of a full SIP revision, a state may either                    proposed rule would establish a FIP
                                                quantities. In the case of CSAPR’s                      adopt state rules with complete trading                       requiring Kansas units to participate in
                                                Federal trading program for ozone-                      program language, incorporate the                             the CSAPR NOX Ozone Season Trading
                                                season NOX emissions (or an integrated                  Federal trading program language into                         Program and would make technical
                                                state trading program), a state may also                its state rules by reference (with                            corrections and nomenclature changes
                                                expand trading program applicability to                 appropriate conforming changes), or                           throughout the CSAPR regulations,
                                                include certain smaller electricity                     employ a combination of these                                 including the CSAPR FIPs at 40 CFR
                                                generating units. However, no emissions                 approaches.                                                   part 52 and the CSAPR Federal trading
                                                budget increases or other substantive                                                                                 program regulations for annual NOX,
                                                                                                           The CSAPR regulations identify
                                                changes to the trading program                                                                                        ozone-season NOX, and SO2 emissions
                                                                                                        several important consequences and
                                                provisions are allowed. If a state wants                                                                              at 40 CFR part 97.11
                                                                                                        limitations associated with approval of
                                                to replace CSAPR FIP requirements with                  a full SIP revision. First, upon EPA’s                        III. Conditions for Approval of CSAPR-
                                                SIP requirements under which the                        approval of a full SIP revision as                            Related SIP Revisions
                                                state’s units participate in a state trading            correcting the deficiency in the state’s                         Each CSAPR-related abbreviated or
                                                program that is integrated with and                     SIP that was the basis for a particular                       full SIP revision must meet the
                                                identical to the federal trading program                CSAPR FIP, the obligation to participate                      following general submittal conditions:
                                                even as to the allocation and                           in the corresponding CSAPR Federal                               • Timeliness and completeness of SIP
                                                applicability provisions, the state may                 trading program is automatically                              submittal. If a state wants to replace the
                                                submit a SIP revision for that purpose                  eliminated for units subject to the state’s                   default allowance allocation or
                                                as well. A state whose units are subject                jurisdiction without the need for a                           applicability provisions of a CSAPR
                                                to multiple CSAPR FIPs and Federal                      separate EPA withdrawal action, so long                       Federal trading program, the complete
                                                trading programs may submit SIP                         as EPA’s approval of the SIP is full and                      SIP revision must be submitted to EPA
                                                revisions to modify or replace the                      unconditional.7 Second, approval of a                         by December 1 of the year before the
                                                requirements under either some or all of                full SIP revision does not terminate the                      deadlines described below for
                                                those FIPs.                                             obligation to participate in the                              submitting allocation or auction
                                                   States can submit two basic forms of                 corresponding CSAPR Federal trading                           amounts to EPA for the first control
                                                CSAPR-related SIP revisions effective                   program for any units located in any                          period for which the state wants to
                                                for emissions control periods in 2017 or                Indian country within the borders of the                      replace the default allocation and/or
                                                later years.4 Specific conditions for                   state, and if and when a unit is located                      applicability provisions.12 (This SIP
                                                approval of each form of SIP revision                   in Indian country within a state’s                            submission deadline is inoperative in
                                                are set forth in the CSAPR regulations,                 borders, EPA may modify the SIP                               the case of a SIP revision that seeks only
                                                as described in section III below. Under                approval to exclude from the SIP, and                         to replace a CSAPR FIP and Federal
                                                the first alternative—an ‘‘abbreviated’’                include in the surviving CSAPR FIP                            trading program with a SIP and a
                                                SIP revision—a state may submit a SIP                   instead, certain trading program                              substantively identical state trading
                                                                                                        provisions that apply jointly to units in                     program integrated with the Federal
                                                revision that upon approval replaces the
                                                                                                        the state and to units in Indian country                      trading program.) The SIP submittal
                                                default allowance allocation and/or
                                                                                                        within the state’s borders.8 Finally, if at                   completeness criteria in section 2.1 of
                                                applicability provisions of a CSAPR
                                                                                                        the time a full SIP revision is approved                      appendix V to 40 CFR part 51 also
                                                Federal trading program for the state.5                                                                               apply.
                                                Approval of an abbreviated SIP revision                 EPA has already started recording
                                                                                                                                                                         In addition to the general submittal
                                                leaves the corresponding CSAPR FIP                      allocations of allowances for a given
                                                                                                                                                                      conditions, a CSAPR-related abbreviated
                                                and all other provisions of the relevant                control period to a state’s units, the
                                                                                                                                                                      or full SIP seeking to address the
                                                                                                        Federal trading program provisions
                                                                                                                                                                      allocation or auction of emission
                                                   3 See 40 CFR 52.38, 52.39. States also retain the    authorizing EPA to complete the process
                                                                                                                                                                      allowances must meet the following
                                                ability to submit SIP revisions to meet their           of allocating and recording allowances
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                                                                                                                                                                      further conditions:
                                                transport-related obligations using mechanisms          for that control period to those units
                                                other than the CSAPR Federal trading programs or        will continue to apply, unless EPA’s                            9 § 52.38(a)(7), (b)(7); § 52.39(k).
                                                integrated state trading programs.
                                                   4 CSAPR also provides for a third, more                                                                              10 EME   Homer City Generation, L.P. v. EPA, 795
                                                                                                          6 § 52.38(a)(5),  (b)(5); § 52.39(f), (i).                  F.3d 118, 138 (D.C. Cir. 2015).
                                                streamlined form of SIP revision that is effective
                                                only for control periods in 2016 and is not relevant      7 § 52.38(a)(6),  (b)(6); § 52.39(j).                         11 80 FR 75706, 75710, 75757 (December 3, 2015).

                                                here. See § 52.38(a)(3), (b)(3); § 52.39(d), (g).          8 § 52.38(a)(5)(iv)–(v), (a)(6), (b)(5)(v)–(vi), (b)(6);     12 40 CFR 52.38(a)(4)(ii), (a)(5)(vi), (b)(4)(iii),
                                                   5 § 52.38(a)(4), (b)(4); § 52.39(e), (h).            § 52.39(f)(4)–(5), (i)(4)–(5), (j).                           (b)(5)(vii); § 52.39(e)(2), (f)(6), (h)(2), (i)(6).



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                                                                       Federal Register / Vol. 81, No. 125 / Wednesday, June 29, 2016 / Rules and Regulations                                                                              42259

                                                   • Methodology covering all                                          addressing the disposition of any                                allowances to some or all potentially
                                                allowances potentially requiring                                       otherwise unallocated allowances from                            affected units, to allocate or auction
                                                allocation. For each Federal trading                                   an Indian country NUSA that may be                               allowances to entities other than
                                                program addressed by a SIP revision,                                   made available for allocation by the                             potentially affected units, or to allocate
                                                the SIP revision’s allowance allocation                                state after EPA has carried out the                              or auction fewer than the maximum
                                                or auction methodology must replace                                    Indian country NUSA allocation                                   permissible quantity of allowances and
                                                both the Federal program’s default                                     procedures.15                                                    retire the remainder.
                                                                                                                          • Assurance that total allocations will
                                                allocations to existing units 13 at 40 CFR
                                                                                                                       not exceed the state budget. For each                               • Timely submission of state-
                                                97.411(a), 97.511(a), 97.611(a), or                                                                                                     determined allocations to EPA. The SIP
                                                                                                                       Federal trading program addressed by a
                                                97.711(a), as applicable, and the Federal                                                                                               revision must require the state to submit
                                                                                                                       SIP revision, the total amount of
                                                trading program’s provisions for                                       allowances auctioned or allocated for                            to EPA the amounts of any allowances
                                                allocating allowances from the new unit                                each control period under the SIP                                allocated or auctioned to each unit for
                                                set-aside (NUSA) for the state at 40 CFR                               revision (prior to the addition by EPA of                        each control period (other than
                                                97.411(b)(1) and 97.412(a), 97.511(b)(1)                               any unallocated allowances from any                              allowances initially set aside in the
                                                and 97.512(a), 97.611(b)(1) and                                        Indian country NUSA for the state) may                           state’s allocation or auction process and
                                                97.612(a), or 97.711(b)(1) and 97.712(a),                              not exceed the state’s emissions budget                          later allocated or auctioned to such
                                                as applicable.14 In the case of a state                                for the control period less the sum of the                       units from the set-aside amount) by the
                                                with Indian country within its borders,                                amount of any Indian country NUSA for                            following deadlines.17 Note that the
                                                while the SIP revision may neither alter                               the state for the control period and any                         submission deadlines differ for amounts
                                                nor assume the Federal program’s                                       allowances already allocated to the                              allocated or auctioned to units
                                                provisions for administering the Indian                                state’s units for the control period and                         considered existing units for CSAPR
                                                country NUSA for the state, the SIP                                    recorded by EPA.16 Under its SIP                                 purposes and amounts allocated or
                                                revision must include procedures                                       revision, a state is free to not allocate                        auctioned to other units.

                                                                      Units                                   Year of the control period                           Deadline for submission to EPA of allocations or auction results

                                                Existing ............................................   2017 and 2018 ..............................           June 1, 2016.
                                                                                                        2019 and 2020 ..............................           June 1, 2017.
                                                                                                        2021 and 2022 ..............................           June 1, 2018.
                                                                                                        2023 and later years .....................             June 1 of the fourth year before the year of the control period.
                                                Other ...............................................   All years .........................................    July 1 of the year of the control period.



                                                   • No changes to allocations already                                 applicability under the CSAPR NOX                                allocation or auction of emission
                                                submitted to EPA or recorded. The SIP                                  Ozone Season Trading Program (or an                              allowances as described above.22
                                                revision must not provide for any                                      integrated state trading program) must                              In addition to the general submittal
                                                change to the amounts of allowances                                    meet the following further conditions:                           conditions and the other applicable
                                                allocated or auctioned to any unit after                                                                                                conditions described above, a CSAPR-
                                                                                                                          • Only electricity generating units                           related full SIP revision must meet the
                                                those amounts are submitted to EPA or
                                                                                                                       with nameplate capacity of at least 15                           following further conditions:
                                                any change to any allowance allocation
                                                                                                                       MWe. The SIP revision may expand                                    • Complete, substantively identical
                                                determined and recorded by EPA under
                                                the Federal trading program                                            applicability only to additional fossil                          trading program provisions. The SIP
                                                regulations.18                                                         fuel-fired boilers or combustion turbines                        revision must adopt complete state
                                                   • No other substantive changes to                                   serving generators producing electricity                         trading program regulations
                                                Federal trading program provisions. The                                for sale, and only by lowering the                               substantively identical to the complete
                                                SIP revision may not substantively                                     generator nameplate capacity threshold                           Federal trading program regulations at
                                                change any other trading program                                       used to determine whether a particular                           40 CFR 97.402 through 97.435, 97.502
                                                provisions, except in the case of a SIP                                boiler or combustion turbine serving a                           through 97.535, 97.602 through 97.635,
                                                revision that also expands program                                     particular generator is a potentially                            or 97.702 through 97.735, as applicable,
                                                applicability as described below.19 Any                                affected unit. The nameplate capacity                            except as described above in the case of
                                                new definitions adopted in the SIP                                     threshold adopted in the SIP revision                            a SIP revision that seeks to replace the
                                                revision (in addition to the Federal                                   may not be less than 15 MWe.21                                   default allowance allocation and/or
                                                trading program’s definitions) may                                                                                                      applicability provisions.
                                                                                                                          • No other substantive changes to                                • Only non-substantive substitutions
                                                apply only for purposes of the SIP                                     Federal trading program provisions. The
                                                revision’s allocation or auction                                                                                                        for the term ‘‘State.’’ The SIP revision
                                                                                                                       SIP revision may not substantively                               may substitute the name of the state for
                                                provisions.20
                                                                                                                       change any other trading program                                 the term ‘‘State’’ as used in the Federal
                                                   In addition to the general submittal
                                                conditions, a CSAPR-related abbreviated                                provisions, except in the case of a SIP                          trading program regulations, but only to
                                                or full SIP revision seeking to expand                                 revision that also addresses the                                 the extent that EPA determines that the
                                                                                                                                                                                        substitutions do not substantively
                                                   13 In the context of the approval conditions for                       15 See §§ 97.412(b)(10)(ii), 97.512(b)(10)(ii),                  18 § 52.38(a)(4)(i)(D), (a)(5)(i)(D), (b)(4)(ii)(D),
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                                                CSAPR-related SIP revisions, an ‘‘existing unit’’ is                   97.612(b)(10)(ii), 97.712(b)(10)(ii).                            (b)(5)(ii)(D); § 52.39(e)(1)(iv), (f)(1)(iv), (h)(1)(iv),
                                                a unit for which EPA has determined default                               16 § 52.38(a)(4)(i)(A), (a)(5)(i)(A), (b)(4)(ii)(A),          (i)(1)(iv).
                                                allowance allocations (which could be allocations                                                                                          19 § 52.38(a)(4), (a)(5), (b)(4), (b)(5); § 52.39(e), (f),
                                                                                                                       (b)(5)(ii)(A); § 52.39(e)(1)(i), (f)(1)(i), (h)(1)(i),
                                                of zero allowances) in the rulemakings establishing
                                                                                                                       (i)(1)(i).                                                       (h), (i).
                                                and amending CSAPR. A spreadsheet showing                                                                                                  20 § 52.38(a)(4)(i), (a)(5)(ii), (b)(4)(ii), (b)(5)(iii);
                                                                                                                          17 § 52.38(a)(4)(i)(B)–(C), (a)(5)(i)(B)–(C),
                                                EPA’s default allocations to existing units is posted
                                                at www.epa.gov/crossstaterule/techinfo.html.                           (b)(4)(ii)(B)–(C), (b)(5)(ii)(B)–(C); § 52.39(e)(1)(ii)–         § 52.39(e)(1), (f)(2), (h)(1), (i)(2).
                                                   14 § 52.38(a)(4)(i), (a)(5)(i), (b)(4)(ii), (b)(5)(ii);                                                                                 21 § 52.38(b)(4)(i), (b)(5)(i).
                                                                                                                       (iii), (f)(1)(ii)–(iii), (h)(1)(ii)–(iii), (i)(1)(ii)–(iii).
                                                § 52.39(e)(1), (f)(1), (h)(1), (i)(1).                                                                                                     22 § 52.38(b)(4), (b)(5).




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                                                42260               Federal Register / Vol. 81, No. 125 / Wednesday, June 29, 2016 / Rules and Regulations

                                                change the trading program                                 computing potential allocations to the                  2. Methodology Covering All
                                                regulations.23                                             same units of otherwise unallocated                     Allowances Potentially Requiring
                                                  • Exclusion of provisions addressing                     allowances from the Indian country                      Allocation
                                                units in Indian country. The SIP                           NUSA for Kansas if some but not all of                     Paragraph 28–19–274(c) of the Kansas
                                                revision may not include references to                     those allowances should be made                         rule provides that the allowance
                                                or impose requirements on any unit in                      available by EPA for state allocation.                  allocation methodology adopted by
                                                any Indian country within the state’s                      Finally, the rule includes provisions                   Kansas in the SIP revision replaces the
                                                borders and must not include the                           defining several terms used either in the               provisions of 40 CFR 97.411(a), thereby
                                                Federal trading program provisions                         rule’s allocation provisions or in other
                                                governing allocation of allowances from                                                                            addressing all allowances that under the
                                                                                                           definitions.                                            default allocation provisions for the
                                                any Indian country NUSA for the                               The SIP revision was submitted to
                                                state.24                                                                                                           Federal trading program would be
                                                                                                           EPA by a letter from the Kansas                         allocated to units considered existing
                                                IV. Kansas’s SIP Submittal and EPA’s                       Secretary of Health and Environment                     units for CSAPR purposes (prior to
                                                Analysis                                                   acting as the designated representative                 allocation of any otherwise unallocated
                                                                                                           of the Governor of Kansas. The letter                   allowances from the NUSA or Indian
                                                A. Kansas’s SIP Submittal                                  describes steps taken by Kansas to                      country NUSA for Kansas). The same
                                                   In the CSAPR rulemaking, EPA                            provide public notice prior to adoption                 Kansas rule paragraph also provides that
                                                determined that air pollution                              of the state rule. The letter also indicates            the state’s allocation methodology
                                                transported from Kansas unlawfully                         that paragraphs 28–19–274(a)(2)(A) and                  replaces the provisions of 40 CFR
                                                affected other states’ ability to attain or                (B) of the Kansas rule, which contain                   97.411(b)(1) and 97.412(a), thereby
                                                maintain the 2006 24-hour PM2.5                            definitions of certain terms differing                  addressing allocation of allowances in
                                                NAAQS.25 Kansas units meeting the                          from the definitions of the same terms                  the NUSA established for Kansas under
                                                CSAPR applicability criteria are                           in the Federal trading program                          the Federal trading program. In
                                                consequently subject to CSAPR FIPs                         regulations, are excluded from the SIP                  addition, paragraphs 28–19–274(d) and
                                                that require participation in the CSAPR                    submittal.                                              (e) of the Kansas rule provide
                                                NOX Annual Trading Program and the                            EPA has previously approved a
                                                                                                                                                                   procedures addressing any otherwise
                                                CSAPR SO2 Group 2 Trading Program.26                       separate Kansas SIP revision replacing
                                                                                                                                                                   unallocated allowances from the Indian
                                                   On December 1, 2015, Kansas                             the default allowance allocation
                                                                                                                                                                   country NUSA for Kansas that may be
                                                submitted to EPA an abbreviated SIP                        provisions of the CSAPR NOX Annual
                                                                                                                                                                   made available for allocation by the
                                                revision that, if approved, would                          Trading Program for Kansas existing
                                                                                                                                                                   state after EPA has carried out the
                                                replace the default allowance allocation                   units for the control period in 2016.27 At
                                                                                                                                                                   Indian country NUSA allocation
                                                provisions of the CSAPR NOX Annual                         this time, Kansas has not submitted any
                                                                                                                                                                   procedures. Collectively, the allocation
                                                Trading Program for the state’s EGUs for                   SIP revision to modify or replace the
                                                                                                                                                                   provisions in the Kansas rule therefore
                                                the control periods in 2017 through                        CSAPR FIP that requires the state’s units
                                                2019 with provisions establishing state-                                                                           enable Kansas’ SIP revision to meet the
                                                                                                           to participate in the CSAPR SO2 Group
                                                determined allocations for those control                                                                           condition under 40 CFR 52.38(a)(4)(i)
                                                                                                           2 Trading Program.
                                                periods but that would leave the                                                                                   that the state’s allocation or auction
                                                corresponding CSAPR FIP and all other                      B. EPA’s Analysis of Kansas’s Submittal                 methodology must cover all allowances
                                                provisions of that trading program in                                                                              potentially requiring allocation by the
                                                                                                           1. Timeliness and Completeness of SIP
                                                place. The SIP submittal generally                                                                                 state.
                                                                                                           Submittal
                                                consists of a duly adopted state rule,                                                                             3. Assurance That Total Allocations
                                                                                                              Kansas’ SIP revision seeks to establish
                                                K.A.R. 28–19–274 (Nitrogen oxides;                                                                                 Will Not Exceed the State Budget
                                                                                                           state-determined allocations of CSAPR
                                                allocations), which in turn adopts by
                                                                                                           NOX Annual allowances for the control                      Paragraph 28–19–274(d) of the Kansas
                                                reference a document entitled ‘‘TR NOX
                                                                                                           periods in 2017, 2018, and 2019. Under                  rule provides for allowance allocations
                                                annual allowance allocations for 2017,
                                                                                                           40 CFR 52.38(a)(4)(i)(B), the deadline for              to be made in fixed amounts set forth in
                                                2018, and 2019,’’ dated July 17, 2015.
                                                                                                           submission of state-determined                          tables adopted by reference into the
                                                The latter document contains tables
                                                                                                           allocations for the 2017 and 2018                       state rules. For each of the three control
                                                establishing fixed amounts of
                                                                                                           control periods is June 1, 2016, which                  periods for which the rule allocates
                                                allowances to be allocated to specified
                                                                                                           under § 52.38(a)(4)(ii) makes December                  allowances, there is a table providing
                                                Kansas electricity generating units
                                                                                                           1, 2015 the deadline for submission to                  allocations for the allowances that
                                                under the provisions of the state rule.
                                                                                                           EPA of a complete SIP revision                          absent this SIP revision would be
                                                For each of the years 2017, 2018, and
                                                                                                           establishing state-determined                           allocated pursuant to 40 CFR 97.411(a),
                                                2019, there is a table with allocations of
                                                                                                           allocations for those control periods.                  97.411(b)(1), and 97.412(a). For each of
                                                all allowances in the Kansas budget
                                                                                                           Kansas submitted its SIP revision to                    the control periods, the sum of the fixed
                                                other than allowances in the Indian
                                                                                                           EPA by a letter dated and delivered                     amounts allocated according to these
                                                country NUSA for Kansas. For each of
                                                                                                           electronically on December 1, 2015, and                 tables is 31,323 allowances, which is
                                                those years there is a second table with
                                                                                                           EPA has determined that the submittal                   equal to the Kansas budget for the
                                                potential allocations to the same units of
                                                                                                           complies with the applicable minimum                    control period (31,354 tons) less the
                                                otherwise unallocated allowances from
                                                                                                           completeness criteria in section 2.1 of                 amount of the Indian country NUSA for
                                                the Indian country NUSA for Kansas if
                                                                                                           appendix V to 40 CFR part 51. Because                   Kansas (31 tons).28 EPA has not yet
                                                all of those allowances should be made
                                                                                                           Kansas’s SIP revision was timely                        allocated or recorded CSAPR
                                                available by EPA for state allocation.
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                                                                                                           submitted and meets the applicable                      allowances for the 2017 through 2019
                                                The rule also includes provisions for
                                                                                                           completeness criteria, it meets the                     control periods. The allocation
                                                  23 § 52.38(a)(5)(iii),
                                                                      (b)(5)(iv); § 52.39(f)(3), (i)(3).
                                                                                                           condition under 40 CFR 52.38(a)(4)(ii)                  methodology in Kansas’s SIP revision
                                                  24 § 52.38(a)(5)(iv),
                                                                      (b)(5)(v); § 52.39(f)(4), (i)(4).    for timely submission of a complete SIP                 therefore meets the condition under 40
                                                   25 76 FR 48208, 48213 (August 8, 2011).                 revision.                                               CFR 52.38(a)(4)(i)(A) that the total
                                                   26 40 CFR 52.38(a)(2); § 52.39(c); § 52.882(a);

                                                § 52.883.                                                    27 80   FR 50789 (August 21, 2015).                    28 See   40 CFR 97.410(a)(6)(iv), (a)(6)(vi).



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                                                                 Federal Register / Vol. 81, No. 125 / Wednesday, June 29, 2016 / Rules and Regulations                                            42261

                                                amount of allowances allocated under                    the Kansas rule includes a number of                   V. EPA’s Action on Kansas’ Submittal
                                                the SIP revision (before the addition of                provisions defining terms used either in                  EPA is taking direct final action to
                                                any otherwise unallocated allowances                    the rule’s allocation provisions or in                 approve the revision to Kansas’ SIP
                                                from an Indian country NUSA) may not                    other definitions. In paragraph 28–19–                 submitted on December 1, 2015
                                                exceed the state’s budget for the control               274(a)(1), the rule adopts by reference                concerning allocations to Kansas units
                                                period less the amount of the Indian                    several terms defined in 40 CFR 97.402,                of CSAPR NOX Annual allowances for
                                                country NUSA for the state and any                      and in paragraph 28–19–274(b), the rule                the control periods in 2017, 2018, and
                                                allowances already allocated and                        defines a new term ‘‘Indian country new                2019. This SIP revision adopts into the
                                                recorded by EPA.                                        unit set-aside allowance’’ that is used                SIP the rule codified in Kansas’
                                                   While the Kansas rule also has                       only in the Kansas rule for purposes of
                                                                                                                                                               regulations at K.A.R. 28–19–274
                                                provisions providing potential                          allowance allocations. These provisions
                                                                                                                                                               excluding paragraphs 28–19–
                                                allocations of allowances from the                      do not make substantive changes to the
                                                                                                                                                               274(a)(2)(A) and (B). The Kansas rule in
                                                Indian country NUSA for Kansas, under                   Federal trading program provisions.29
                                                paragraph 28–19–274(b) of the Kansas                       Paragraphs 28–19–274(a)(2)(A) and                   turn incorporates a document entitled
                                                rule the only allowances available for                  (B) of the Kansas rule adopt definitions               ‘‘TR NOX annual allowance allocations
                                                allocation under those provisions are                   of ‘‘administrator’’, ‘‘State’’, and                   for 2017, 2018, and 2019,’’ dated July
                                                otherwise unallocated allowances that                   ‘‘permitting authority’’ that                          17, 2015, which contains tables setting
                                                EPA has made available from the Indian                  substantively differ from the definitions              forth state-determined allowance
                                                country NUSA for state allocation after                 of these terms in the Federal trading                  allocations to individual Kansas units.
                                                having carried out the Indian country                   program regulations. While these terms                 Following this approval, allocations of
                                                NUSA allocation procedures. The total                   are not used directly in the Kansas rule,              these allowances will be made
                                                of the allowances allocated under the                   they are used in the Federal trading                   according to the provisions of Kansas’
                                                SIP revision and any allowances                         program definitions of some of the other               SIP instead of CSAPR’s default
                                                allocated by EPA from the Indian                        terms that are adopted by reference                    allocation provisions at 40 CFR
                                                country NUSA for Kansas therefore will                  under paragraph 28–19–274(a)(1).                       97.411(a), 97.411(b)(1), and 97.412(a).
                                                not exceed the state budget, consistent                 Inclusion of the Kansas rule’s                         Approval of this SIP revision does not
                                                with the purpose of 40 CFR                              definitions of ‘‘administrator’’, ‘‘State’’,           alter any provision of the Federal
                                                52.38(a)(4)(i)(A).                                      and ‘‘permitting authority’’ in the SIP                CSAPR NOX Annual Trading Program as
                                                                                                        revision therefore would cause the                     applied to Kansas units other than the
                                                4. Timely Submission of State-                          meanings of those other adopted terms                  allowance allocation provisions, and the
                                                Determined Allocations to EPA                           as used in the Kansas rule to                          FIP requiring the units to participate in
                                                   The state-determined allowance                       substantively differ from the meanings                 that program (as modified by this SIP
                                                allocations established by the Kansas                   of the same terms as used in the Federal               revision) remains in place. EPA is
                                                rule for each of the three control periods              trading program regulations. After being               approving the SIP revision because it
                                                covered by the rule are included in                     advised of these differences by EPA,                   meets the requirements of the CAA and
                                                tables that have been adopted by                        Kansas elected to exclude the provisions               EPA’s regulations for approval of an
                                                reference into the state rule and that                  of paragraphs 28–19–274(a)(2)(A) and                   abbreviated SIP revision replacing
                                                were provided to EPA as part of the SIP                 (B) of the Kansas rule from the SIP                    EPA’s default allocations of CSAPR
                                                submittal on December 1, 2015. As                       revision, as the state’s letter submitting             emission allowances with state-
                                                noted above, in the case of a SIP                       the SIP revision makes clear. (Without                 determined allocations, as discussed in
                                                revision seeking to allocate allowances                 the excluded provisions, the rule                      section IV above. Because the SIP
                                                starting with the 2017 control period,                  remains fully functional for its intended              revision addresses only the control
                                                the earliest deadline for submission to                 purpose of allocating CSAPR allowances                 periods in 2017 through 2019, absent
                                                EPA of the state-determined allocations                 among the state’s units.) Considering                  submission and approval of a further
                                                is June 1, 2016. Kansas’ SIP revision                   Kansas’ SIP revision without the                       SIP revision, allocations of CSAPR NOX
                                                therefore meets the conditions under 40                 excluded rule provisions, EPA has                      Annual allowances for control periods
                                                CFR 52.38(a)(4)(i)(B) and (C) requiring                 determined that the SIP revision meets                 in 2020 and later years will be made
                                                that the SIP revision provide for                       the condition under 40 CFR 52.38(a)(4)                 pursuant to the default allocation
                                                submission of state-determined                          of making no substantive changes to the                provisions.
                                                allowance allocations to EPA by the                     Federal trading program regulations                       Large electricity generating units in
                                                deadlines specified in those provisions.                beyond the provisions addressing                       Kansas are also subject to an additional
                                                                                                        allowance allocations.                                 CSAPR FIP requiring them to participate
                                                5. No Changes to Allocations Already                                                                           in the Federal CSAPR SO2 Group 2
                                                Submitted to EPA or Recorded                               29 EPA has proposed to make certain technical       Trading Program. Kansas’s SIP submittal
                                                   The Kansas rule includes no                          corrections to the CSAPR FIP and Federal trading       does not seek to replace the default
                                                                                                        program regulations in order to more accurately
                                                provision allowing alteration of                        reflect EPA’s intent as described in the CSAPR
                                                                                                                                                               allocations of CSAPR SO2 Group 2
                                                allocations after the allocation amounts                rulemaking and has also proposed to replace ‘‘TR’’     allowances to Kansas units. Approval of
                                                have been provided to EPA and no                        with ‘‘CSAPR’’ throughout the regulations (for         this SIP revision concerning another
                                                                                                        example, ‘‘TR NOX Annual unit’’ would become           CSAPR trading program has no effect on
                                                provision allowing alteration of any                    ‘‘CSAPR NOX Annual unit’’). See 80 FR 75706,
                                                allocations made and recorded by EPA                    75758. Because the proposed technical corrections      the Federal CSAPR SO2 Group 2
                                                under the Federal trading program                       merely clarify and do not change EPA’s                 Trading Program as applied to Kansas
                                                regulations, thereby meeting the                        interpretations, where the proposed corrections        units, and the FIP requiring the units to
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                                                                                                        would apply to a provision incorporated by
                                                condition under 40 CFR                                  reference in the Kansas rule, EPA would interpret
                                                                                                                                                               participate in that program remains in
                                                52.38(a)(4)(i)(D).                                      the Kansas rule as reflecting the corrections.         place.
                                                                                                        Further, EPA anticipates that if the proposed
                                                6. No Other Substantive Changes to                      nomenclature updates are finalized, the final          Incorporation by Reference
                                                Federal Trading Program Provisions                      CSAPR Federal regulations would explicitly
                                                                                                                                                                 In this rule, EPA is finalizing
                                                                                                        provide that terms that include ‘‘CSAPR’’
                                                   Besides the provisions addressing                    encompass otherwise identical terms in approved        regulatory text that includes
                                                allowance allocations discussed above,                  SIP revisions that include ‘‘TR’’.                     incorporation by reference. In


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                                                42262            Federal Register / Vol. 81, No. 125 / Wednesday, June 29, 2016 / Rules and Regulations

                                                accordance with requirements of 1 CFR                   Order 13132 (64 FR 43255, August 10,                   This action is not a ‘‘major rule’’ as
                                                51.5, EPA is finalizing the incorporation               1999);                                                 defined by 5 U.S.C. 804(2).
                                                by reference of the Kansas Cross-State                     • Is not an economically significant                   Under section 307(b)(1) of the CAA,
                                                Air Pollution Regulations described in                  regulatory action based on health or                   petitions for judicial review of this
                                                the direct final amendments to 40 CFR                   safety risks subject to Executive Order                action must be filed in the United States
                                                part 52 set forth below. EPA has made,                  13045 (62 FR 19885, April 23, 1997);                   Court of Appeals for the appropriate
                                                and will continue to make, these                           • Is not a significant regulatory action            circuit by August 29, 2016. Filing a
                                                documents generally available                           subject to Executive Order 13211 (66 FR                petition for reconsideration by the
                                                electronically through                                  28355, May 22, 2001);                                  Administrator of this final rule does not
                                                www.regulations.gov and at the                             • Is not subject to requirements of                 affect the finality of this action for the
                                                appropriate EPA office (see the                         Section 12(d) of the National                          purposes of judicial review nor does it
                                                ADDRESSES section of this preamble for                  Technology Transfer and Advancement                    extend the time within which a petition
                                                more information).                                      Act of 1995 (15 U.S.C. 272 note) because               for judicial review may be filed, and
                                                                                                        this rulemaking does not involve                       shall not postpone the effectiveness of
                                                Statutory and Executive Order Reviews
                                                                                                        technical standards; and                               such rule or action. This action may not
                                                   Under the CAA, the Administrator is                     • Does not provide EPA with the                     be challenged later in proceedings to
                                                required to approve a SIP submission                    discretionary authority to address, as                 enforce its requirements. (See section
                                                that complies with the provisions of the                appropriate, disproportionate human                    307(b)(2).)
                                                Act and applicable Federal regulations.                 health or environmental effects, using                 List of Subjects in 40 CFR Part 52
                                                42 U.S.C. 7410(k); 40 CFR 52.02(a).                     practicable and legally permissible
                                                Thus, in reviewing SIP submissions,                                                                              Environmental protection,
                                                                                                        methods, under Executive Order 12898
                                                EPA’s role is to approve state choices,                                                                        Administrative practice and procedure,
                                                                                                        (59 FR 7629, February 16, 1994).
                                                provided that they meet the criteria of                                                                        Air pollution control, Incorporation by
                                                                                                           The SIP is not approved to apply on                 reference, Intergovernmental relations,
                                                the CAA. Accordingly, this action
                                                                                                        any Indian reservation land or in any                  Nitrogen dioxide, Ozone, Particulate
                                                merely approves state law as meeting
                                                                                                        other area where EPA or an Indian tribe                matter, Reporting and recordkeeping
                                                Federal requirements and does not
                                                                                                        has demonstrated that a tribe has                      requirements, Sulfur oxides.
                                                impose additional requirements beyond
                                                                                                        jurisdiction. In those areas of Indian
                                                those imposed by state law. For that                                                                             Dated: June 16, 2016.
                                                                                                        country, the rule does not have tribal
                                                reason, this action:                                                                                           Mark Hague,
                                                                                                        implications and will not impose
                                                   • Is not a significant regulatory action             substantial direct costs on tribal                     Regional Administrator, Region 7.
                                                subject to review by the Office of                      governments or preempt tribal law as                     For the reasons stated in the
                                                Management and Budget under                             specified by Executive Order 13175 (65                 preamble, EPA amends 40 CFR part 52
                                                Executive Orders 12866 (58 FR 51735,                    FR 67249, November 9, 2000).                           as set forth below:
                                                October 4, 1993) and 13563 (76 FR 3821,
                                                                                                           The Congressional Review Act, 5
                                                January 21, 2011);                                                                                             PART 52—APPROVAL AND
                                                                                                        U.S.C. 801 et seq., as added by the Small
                                                   • Does not impose an information                     Business Regulatory Enforcement                        PROMULGATION OF
                                                collection burden under the provisions                  Fairness Act of 1996, generally provides               IMPLEMENTATION PLANS
                                                of the Paperwork Reduction Act (44                      that before a rule may take effect, the
                                                U.S.C. 3501 et seq.);                                                                                          ■ 1. The authority citation for part 52
                                                                                                        agency promulgating the rule must
                                                   • Is certified as not having a                                                                              continues to read as follows:
                                                                                                        submit a rule report, which includes a
                                                significant economic impact on a                        copy of the rule, to each House of the                     Authority: 42 U.S.C. 7401 et seq.
                                                substantial number of small entities                    Congress and to the Comptroller General
                                                under the Regulatory Flexibility Act (5                 of the United States. EPA will submit a                Subpart R—Kansas
                                                U.S.C. 601 et seq.);                                    report containing this action and other                ■ 2. Amend § 52.870(c), by adding entry
                                                   • Does not contain any unfunded                      required information to the U.S. Senate,               28–19–274, in numerical order, under
                                                mandate or significantly or uniquely                    the U.S. House of Representatives, and                 the subheading entitled ‘‘General
                                                affect small governments, as described                  the Comptroller General of the United                  Provisions’’ to read as follows:
                                                in the Unfunded Mandates Reform Act                     States prior to publication of the rule in
                                                of 1995 (Pub. L. 104–4);                                the Federal Register. A major rule                     § 52.870    Identification of plan.
                                                   • Does not have Federalism                           cannot take effect until 60 days after it              *       *    *      *      *
                                                implications as specified in Executive                  is published in the Federal Register.                      (c) * * *
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                                                                   Federal Register / Vol. 81, No. 125 / Wednesday, June 29, 2016 / Rules and Regulations                                                           42263

                                                                                                            EPA-APPROVED KANSAS REGULATIONS
                                                                                                                        State effective
                                                    Kansas citation                            Title                                                      EPA approval date                       Explanation
                                                                                                                             date

                                                                    Kansas Department of Health and Environment Ambient Air Quality Standards and Air Pollution Control


                                                           *                        *                         *                           *                       *                       *                     *

                                                                                                                              General Provisions


                                                         *                         *                   *                               *                         *                        *                  *
                                                K.A.R. 28–19–274 .....       Nitrogen Oxide allocations .........                 11/6/15        6/29/16 and [Insert       Federal       Approval of EGU-specific NOX
                                                                                                                                                   Register citation].                     allocations does not include
                                                                                                                                                                                           KAR 28–19–274(a)(2)(A) and
                                                                                                                                                                                           (a)(2)(B).

                                                           *                        *                         *                           *                       *                       *                     *



                                                *      *       *       *      *                             reclassify the San Joaquin Valley                           instructions and related paragraph
                                                [FR Doc. 2016–15040 Filed 6–28–16; 8:45 am]                 Moderate nonattainment area, including                      designation to become effective on the
                                                BILLING CODE 6560–50–P                                      areas of Indian country within it, as a                     date of publication. Section 553(d)(3) of
                                                                                                            Serious nonattainment area for the 2006                     the APA allows an effective date less
                                                                                                            PM2.5 NAAQS. In the January 20, 2016                        than 30 days after publication ‘‘as
                                                ENVIRONMENTAL PROTECTION                                    document, the EPA included                                  otherwise provided by the agency for
                                                AGENCY                                                      amendatory instructions that added                          good cause found and published with
                                                                                                            paragraph (e) to 40 CFR 52.247. 81 FR                       the rule.’’ 5 U.S.C. 553(d)(3). The EPA
                                                40 CFR Part 52                                              2993, at 3000 (column 2). However, in                       finds that resolving the conflict in the
                                                [EPA–R09–OAR–2014–0636; FRL–9948–24–                        a separate final rule published on                          amendatory instructions in the two
                                                Region 9]                                                   January 13, 2016 (81 FR 1514), the EPA                      relevant final rules does not create any
                                                                                                            also included amendatory instructions                       new regulatory requirements such that
                                                Designation of Areas for Air Quality                        that added paragraph (e) to 40 CFR                          affected parties would need time to
                                                Planning Purposes; California; San                          52.247. 81 FR 1514, at 1520 (column 2).                     prepare before the rule takes effect.
                                                Joaquin Valley; Reclassification as                         As such, the amendments to 40 CFR                           Rather, this rule eliminates the
                                                Serious Nonattainment for the 2006                          52.247 in the two final rules are in                        confusion caused by designating two
                                                PM2.5 NAAQS; Correction                                     conflict and cannot be implemented                          paragraphs in 40 CFR 52.247 as
                                                AGENCY:  Environmental Protection                           together. The January 20, 2016 final rule                   paragraph (e). For these reasons, the
                                                Agency (EPA).                                               should have included amendatory                             EPA finds good cause under APA
                                                                                                            instructions adding paragraph (f), rather                   section 553(d)(3) for the correction in
                                                ACTION: Final rule; correcting
                                                                                                            than (e). This document corrects that                       the amendatory instructions associated
                                                amendment.
                                                                                                            error.                                                      with the January 20, 2016 final rule to
                                                SUMMARY:    This document corrects a                           The EPA has determined that this                         become effective on the date of
                                                paragraph designation error that                            action falls under the ‘‘good cause’’                       publication of this final rule.
                                                occurred in a January 20, 2016, final                       exemption in section 553(b)(B) of the
                                                                                                                                                                        Statutory and Executive Order Reviews
                                                rule pertaining to the Environmental                        Administrative Procedure Act (APA)
                                                Protection Agency’s (EPA’s)                                 which, upon finding ‘‘good cause,’’                            Under Executive Order 12866 (58 FR
                                                reclassification of the San Joaquin                         authorizes agencies to dispense with                        51735, October 4, 1993), this action is
                                                Valley in California from Moderate to                       public participation where public notice                    not a ‘‘significant regulatory action’’ and
                                                Serious for the 2006 PM2.5 National                         and comment procedures are                                  therefore is not subject to review by the
                                                Ambient Air Quality Standards                               impracticable, unnecessary or contrary                      Office of Management and Budget. For
                                                (NAAQS). The paragraph designation in                       to the public interest. Public notice and                   this reason, this action is also not
                                                that rulemaking conflicts with a                            comment for this action are unnecessary                     subject to Executive Order 13211,
                                                paragraph designation in a different                        because the underlying rule for which                       ‘‘Actions Concerning Regulations That
                                                final rule. The EPA, therefore, is                          this correcting amendment has been                          Significantly Affect Energy Supply,
                                                correcting the erroneous paragraph                          prepared was already subject to a 30-day                    Distribution, or Use’’ (66 FR 28355, May
                                                designation.                                                comment period and because the error                        22, 2001). Because the agency has made
                                                                                                            addressed herein does not change the                        a ‘‘good cause’’ finding that this action
                                                DATES:  This correcting amendment is                        regulatory language in the rule. It only                    is not subject to notice-and-comment
                                                effective on June 29, 2016.                                 changes the paragraph designation for                       requirements under the Administrative
                                                FOR FURTHER INFORMATION CONTACT:                            the relevant regulatory language. Thus,                     Procedure Act or any other statute as
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                                                Wienke Tax, Air Planning Office (AIR–                       no purpose would be served by                               indicated in the SUPPLEMENTARY
                                                2), U.S. Environmental Protection                           additional public notice and comment,                       INFORMATION section, above, it is not
                                                Agency, Region IX, (415) 947–4192,                          and additional public notice and                            subject to the regulatory flexibility
                                                tax.wienke@epa.gov.                                         comment is unnecessary.                                     provisions of the Regulatory Flexibility
                                                SUPPLEMENTARY INFORMATION: The EPA                             The EPA also finds that there is good                    Act (5 U.S.C. 601 et seq.) or to sections
                                                published a final rule document on                          cause under APA section 553(d)(3) for                       202 and 205 of the Unfunded Mandates
                                                January 20, 2016 (81 FR 2993) to                            the correction in the amendatory                            Reform Act of 1995 (UMRA) (Pub. L.


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Document Created: 2018-02-08 07:42:59
Document Modified: 2018-02-08 07:42:59
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionRules and Regulations
ActionDirect final rule.
DatesThis direct final rule will be effective August 15, 2016, without further notice, unless EPA receives adverse comment by July 29, 2016. If EPA receives adverse comment, we will publish a timely withdrawal of the direct final rule in the Federal Register informing the public that the rule will not take effect.
ContactMr. Larry Gonzalez, Air Planning and Development Branch, Air and Waste Management Division, EPA Region 7, 11201 Renner Boulevard, Lenexa KS 66219; telephone number: (913) 551-
FR Citation81 FR 42256 
CFR AssociatedEnvironmental Protection; Administrative Practice and Procedure; Air Pollution Control; Incorporation by Reference; Intergovernmental Relations; Nitrogen Dioxide; Ozone; Particulate Matter; Reporting and Recordkeeping Requirements and Sulfur Oxides

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