Congressional Review Act Revocation of 2024 Review of Final Rule Reclassification of Major Sources as Area Sources Under Section 112 of the Clean Air Act

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<title>Federal Register, Volume 91 Issue 1 (Friday, January 2, 2026)</title>
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[Federal Register Volume 91, Number 1 (Friday, January 2, 2026)]
[Rules and Regulations]
[Pages 58-61]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-24202]

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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 63

[EPA-HQ-OAR-2023-0330; FRL-4908.2-01-OAR]
RIN 2060-AW28

Congressional Review Act Revocation of 2024 Review of Final Rule
Reclassification of Major Sources as Area Sources Under Section 112 of
the Clean Air Act

AGENCY: Environmental Protection Agency (EPA).

ACTION: Final rule.

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SUMMARY: The U.S. Environmental Protection Agency (EPA or Agency) is
amending the Code of Federal Regulations (CFR) to remove the provisions
finalized by the EPA in a 2024 rule titled ``Review of Final Rule
Reclassification of Major Sources as Area Sources Under Section 112 of
the Clean Air Act'' (2024 Rule) and restoring the language of the final
rule titled ``Reclassification of Major Sources as Area Sources Under
Section 112 of the Clean Air Act,'' published November 19, 2020, and
with minor corrections published December 28, 2020. Under the
Congressional Review Act (CRA), Congress passed, and the President
signed, a joint resolution of disapproval of the 2024 Rule. The 2024
Rule amended the General Provisions that apply to National Emission
Standards for Hazardous Air Pollutants (NESHAP) by requiring certain
sources of persistent and bioaccumulative hazardous air pollutants
(HAP) listed in Clean Air Act (CAA) section 112(c)(6) to continue to
comply with major source emission standards under CAA section 112(d)(2)
or standards under CAA section 112(d)(4) even if the sources reclassify
as area sources. Under the joint resolution and by operation of the
CRA, the 2024 Rule has no legal force or effect.

DATES: This final rule is effective January 2, 2026.

ADDRESSES: The EPA has established a docket for this action under
Docket ID No. EPA-HQ-OAR-2023-0330. All documents in the docket are
listed at <a href="https://www.regulations.gov">https://www.regulations.gov</a>. Although listed, some
information is not publicly available, e.g., Confidential Business
Information (CBI) or other information whose disclosure is restricted
by statute. The EPA does not place certain other material, such as
copyrighted material, on the internet; this material is publicly
available only as PDF versions accessible only on EPA computers in the
docket office reading room. The public cannot download certain data
bases and physical items from the docket but may request these items by
contacting the docket office at 202-566-1744. The docket office has 10
business days to respond to such requests. With the exception of such
material, publicly available docket materials are available
electronically at <a href="https://www.regulations.gov">https://www.regulations.gov</a>.

FOR FURTHER INFORMATION CONTACT: For information about this final rule,
contact U.S. EPA, Attn: Ms. Angela M. Ortega, Mail Drop: D243-02 109
T.W.

[[Page 59]]

Alexander Drive, P.O. Box 12055, Research Triangle Park, North Carolina
27711; telephone number: (919) 541-4197; and email address:
<a href="/cdn-cgi/l/email-protection#5c332e28393b3d723d323b39303d1c392c3d723b332a"><span class="__cf_email__" data-cfemail="85eaf7f1e0e2e4abe4ebe2e0e9e4c5e0f5e4abe2eaf3">[email&#160;protected]</span></a>.

SUPPLEMENTARY INFORMATION:
Preamble acronyms and abbreviations. Throughout this document the
use of ``we,'' ``us,'' or ``our'' refers to the EPA. We use multiple
acronyms and terms in this preamble. While this list may not be
exhaustive, to ease the reading of this preamble and for reference
purposes, the EPA defines the following terms and acronyms here:

APA Administrative Procedure Act
CAA Clean Air Act
CBI Confidential Business Information
CFR Code of Federal Regulations
CRA Congressional Review Act
EPA Environmental Protection Agency
FR Federal Register
HAP hazardous air pollutant(s)
MACT maximum achievable control technology
NESHAP national emission standards for hazardous air pollutants
NTTAA National Technology Transfer and Advancement Act
OMB Office of Management and Budget
PDF portable document format
PRA Paperwork Reduction Act
RFA Regulatory Flexibility Act
RIA Regulatory Impact Analysis
UMRA Unfunded Mandates Reform Act of 1995
U.S.C. United States Code

Table of Contents

I. Does this action apply to me?
II. Background and Rationale for This Final Action
III. Final Action
IV. Statutory and Executive Order Review
A. Executive Order 12866: Regulatory Planning and Review
B. Executive Order 14192: Unleashing Prosperity Through
Deregulation
C. Paperwork Reduction Act (PRA)
D. Regulatory Flexibility Act (RFA)
E. Unfunded Mandates Reform Act (UMRA)
F. Executive Order 13132: Federalism
G. Executive Order 13175: Consultation and Coordination With
Indian Tribal Governments
H. Executive Order 13045: Protection of Children From
Environmental Health Risks and Safety Risks
I. Executive Order 13211: Actions That Significantly Affect
Energy Supply, Distribution, or Use
J. National Technology Transfer and Advancement Act (NTTAA)
K. Congressional Review Act (CRA)
L. Judicial Review

I. Does this action apply to me?

Regulated entities. Categories and entities potentially impacted by
this rule include major sources of HAP that were subject to certain
major source NESHAP requirements and that reclassified from a major to
an area source of HAP pursuant to the requirements in 40 CFR part 63
subpart A, implementing CAA section 112. If you have any questions
regarding the applicability of any aspect of this NESHAP, please
contact the appropriate person listed in the preceding FOR FURTHER
INFORMATION CONTACT section of this preamble.

II. Background and Rationale for This Final Action

On January 25, 2018, the EPA issued a guidance memorandum titled,
``Reclassification of Major Sources as Areas Sources Under Section 112
of the Clean Air Act.'' \1\ The memorandum discussed the statutory
provisions that govern when a major source subject to a major source
NESHAP under CAA section 112 may be reclassified as an area source, and
thereby avoid being subject to major source NESHAP requirements. The
guidance also rescinded the May 1995 ``Once In, Always In Policy.'' \2\
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\1\ See notice of issuance of this guidance memorandum at 83 FR
5543 (February 8, 2018).
\2\ ``Potential to Emit for MACT Standards--Guidance on Timing
Issues,'' from John Seitz to the EPA Regional Air Division Directors
(May 16, 1995) (``May 1995 Seitz Memorandum'').
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On October 1, 2020, the EPA finalized a rule titled
``Reclassification of Major Sources as Area Sources Under Section 112
of the Clean Air Act'' (also known as Major MACT (Maximum Achievable
Control Technology) to Area Rule or 2020 Final Rule).\3\ The 2020 Final
Rule allowed major sources of HAP to reclassify as an area source at
any time after taking steps to limit emissions.
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\3\ 85 FR 73854, November 19, 2020.
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On September 10, 2024, the EPA finalized a rule titled ``Review of
Final Rule Reclassification of Major Sources as Area Sources Under
Section 112 of the Clean Air Act.'' \4\ This 2024 Rule amended the 2020
Final Rule. Specifically, the 2024 Rule amended the NESHAP General
Provisions in 40 CFR 63.1(c)(6) to require that sources subject to
major source NESHAP used to meet the Agency's obligations under CAA
section 112(c)(6) for seven specific persistent and bioaccumulative HAP
remain subject to those major source NESHAP, even if the sources
reclassify to area source status. In addition, the 2024 Rule made minor
amendments to the notification requirements in 40 CFR 63.9.
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\4\ 89 FR 73293, September 10, 2024.
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The United States Senate passed a joint resolution, S.J. Res. 31,
on May 1, 2025, disapproving the 2024 Rule under the CRA, 5 U.S.C. 801
et seq. The United States House of Representatives passed S.J. Res. 31
on May 22, 2025, and President Donald J. Trump signed it into law as
Public Law (Pub. L.) 119-20 on June 20, 2025. Under the joint
resolution and by operation of the CRA, the 2024 Rule has no legal
force or effect.

III. Final Action

This final action revises the CFR by removing the now nullified
amendments that had been codified under the 2024 Rule, thus returning
the rule to the version finalized in the 2020 Final Rule.
The EPA is taking this ministerial action as a final rule without
providing an opportunity for public comment or a public hearing because
the EPA finds that the Administrative Procedure Act (APA) ``good
cause'' exemption to notice-and-comment rulemaking applies here.\5\ The
EPA has determined that good cause exists to take this final action
because the correction of the CFR is a ministerial act to effectuate
S.J. Res. 31 and the operation of the CRA. The CRA joint resolution
became law on June 20, 2025, at which point the 2024 Rule ceased to
have any legal force or effect. As such, public notice and comment is
unnecessary and would serve no useful purpose.
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\5\ 5 U.S.C. 553(b)(B).
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For these reasons, the EPA finds good cause to issue a final
rulemaking without undergoing public notice and comment, in conformance
with 5 U.S.C. 553(b)(B).

IV. Statutory and Executive Order Review

Additional information about these statutes and Executive Orders
can be found at <a href="https://www.epa.gov/laws-regulations/laws-and-executive-orders">https://www.epa.gov/laws-regulations/laws-and-executive-orders</a>.

A. Executive Order 12866: Regulatory Planning and Review

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

B. Executive Order 14192: Unleashing Prosperity Through Deregulation

This action is considered an Executive Order 14192 deregulatory
action. The present value (PV) of the regulatory costs savings
beginning in 2025 using a 7 percent discount rate over an infinite time
horizon is $935.8 million in 2024 dollars discounted to 2024. The
equivalent annual value (EAV) is $65.5 million dollars (in 2024
dollars). Details on the estimated cost savings of this final rule can
be found

[[Page 60]]

in EPA's analysis of the potential costs and benefits associated with
this action, which can be found in the docketed memo Derivation of
Regulatory Cost Savings under Executive Order 14912. To reflect the CRA
nullification, this final rule removes from the CFR provisions that
keep sources subject to certain major source NESHAP after
reclassification to area source status, thus provides regulatory
certainty to sources, permitting authorities, and other stakeholders.

C. Paperwork Reduction Act (PRA)

This action does not impose an information collection burden under
the PRA. This final action is ministerial in nature and does not
contain any information collection activities.

D. Regulatory Flexibility Act (RFA)

This action is not subject to the RFA. The RFA applies only to
rules subject to notice and comment rulemaking requirements under the
APA, 5 U.S.C. 553, or any other statute. This rule is not subject to
notice and comment requirements because the Agency has invoked the APA
``good cause'' exemption under 5 U.S.C. 553(b)(B).

E. Unfunded Mandates Reform Act (UMRA)

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

F. Executive Order 13132: Federalism

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

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

This action does not have Tribal implications as specified in
Executive Order 13175. This action is ministerial in nature. Thus,
Executive Order 13175 does not apply to this action.

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

The EPA interprets Executive Order 13045 as applying only to those
regulatory actions that concern environmental health or safety risks
that the EPA has reason to believe may disproportionately affect
children, per the definition of ``covered regulatory action'' in
section 2-202 of the Executive Order.
Therefore, this action is not subject to Executive Order 13045
because it does not concern an environmental health risk or safety
risk. Since this action does not concern human health, the EPA's Policy
on Children's Health also does not apply.

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

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

J. National Technology Transfer and Advancement Act (NTTAA)

This rulemaking does not involve technical standards.

K. Congressional Review Act (CRA)

As discussed earlier in this document, this action reflects the
effect of the joint resolution to disapprove the 2024 Rule under the
CRA.

L. Judicial Review

Under CAA section 307(b)(1), any petition for review of this final
rule must be filed in the U.S. Court of Appeals for the District of
Columbia Circuit by March 3, 2026.

List of Subjects in 40 CFR Part 63

Environmental protection, Administrative practice and procedures,
Air pollution control, Congressional Review Act, Hazardous substances,
Intergovernmental relations, Reporting and recordkeeping requirements.

Lee Zeldin,
Administrator.

Under the authority of the Congressional Review Act and Public Law
119-20, 139 Stat. 71, the Environmental Protection Agency amends part
63 of title 40, chapter I, of the Code of Federal Regulations as
follows:

PART 63--NATIONAL EMISSION STANDARDS FOR HAZARDOUS AIR POLLUTANTS
FOR SOURCE CATEGORIES

0
1. The authority citation for part 63 continues to read as follows:

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

Subpart A--General Provisions

Sec. 63.1 [Amended]

0
2. Amend Sec. 63.1 by removing paragraph (c)(6)(iii).

0
3. Amend Sec. 63.9 by revising paragraphs (j) and (k) introductory
text, and removing paragraph (k)(3) to read as follows:

Sec. 63.9 Notification requirements.

* * * * *
(j) Change in information already provided. Any change in the
information already provided under this section shall be provided to
the Administrator within 15 calendar days after the change. The owner
or operator of a major source that reclassifies to area source status
is also subject to the notification requirements of this paragraph (j).
The owner or operator may use the application for reclassification with
the regulatory authority (e.g., permit application) to fulfill the
requirements of this paragraph (j). A source which reclassified after
January 25, 2018, and before January 19, 2021, and has not yet provided
the notification of a change in information is required to provide such
notification no later than February 2, 2021, according to the
requirements of paragraph (k) of this section. Beginning January 19,
2021, the owner or operator of a major source that reclassifies to area
source status must submit the notification according to the
requirements of paragraph (k) of this section. A notification of
reclassification must contain the following information:
(1) The name and address of the owner or operator;
(2) The address (i.e., physical location) of the affected source;
(3) An identification of the standard being reclassified from and
to (if applicable); and
(4) Date of effectiveness of the reclassification.
(k) Electronic submission of notifications or reports. If you are
required to submit notifications or reports following the procedure
specified in this paragraph (k), you must submit notifications or
reports to the EPA via CEDRI, which can be accessed through the EPA's
Central Data Exchange (CDX) (<a href="https://cdx.epa.gov/">https://cdx.epa.gov/</a>). The notification or
report must be submitted by the deadline specified. The EPA will make
all the information submitted through CEDRI available to the public
without further notice to you. Do not use CEDRI to submit information
you claim as confidential business information (CBI). Anything
submitted using CEDRI cannot later be claimed to be CBI. Although we do
not expect persons to assert a claim of CBI, if persons wish to assert
a CBI, submit a complete notification or report, including information
claimed to be CBI, to the EPA. Submit the file on a

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compact disc, flash drive, or other commonly used electronic storage
medium and clearly mark the medium as CBI. Mail the electronic medium
to U.S. EPA/OAQPS/CORE CBI Office, Attention: Group Leader, Measurement
Policy Group, MD C404-02, 4930 Old Page Rd., Durham, NC 27703. The same
file with the CBI omitted must be submitted to the EPA via the EPA's
CDX as described earlier in this paragraph (k). All CBI claims must be
asserted at the time of submission. Furthermore, under section 114(c)
of the Act emissions data is not entitled to confidential treatment and
requires the EPA to make emissions data available to the public. Thus,
emissions data will not be protected as CBI and will be made publicly
available.
* * * * *
[FR Doc. 2025-24202 Filed 12-31-25; 8:45 am]
BILLING CODE 6560-50-P

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Congressional Review Act Revocation of 2024 Review of Final Rule Reclassification of Major Sources as Area Sources Under Section 112 of the Clean Air Act

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