[Federal Register Volume 61, Number 146 (Monday, July 29, 1996)]
[Proposed Rules]
[Pages 39375-39377]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-19087]


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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[IA-005-1005; FRL-5542-8]


Approval and Promulgation of Implementation Plans and Approval 
Under Section 112(l); State of Iowa

AGENCY: Environmental Protection Agency (EPA).

ACTION: Proposed rule.

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SUMMARY: The Environmental Protection Agency proposes approval of 
revisions to the State Implementation Plan (SIP) submitted by the state 
of Iowa. Several of the revisions are necessary to meet requirements of 
the Clean Air Act (Act) and Code of Federal Regulations (CFR). Others 
are intended to improve the state's permitting program and air quality. 
Collectively, these revisions will strengthen the SIP with respect to 
attainment and maintenance of established air quality standards and 
with respect to control of hazardous air pollutants.

DATES: Comments must be received on or before August 28, 1996.

ADDRESSES: Comments may be mailed to Christopher D. Hess, Environmental 
Protection Agency, Air Branch, 726 Minnesota Avenue, Kansas City, 
Kansas 66101.

FOR FURTHER INFORMATION CONTACT: Christopher D. Hess at (913) 551-7213.

SUPPLEMENTARY INFORMATION: The state of Iowa requested approval of four 
SIP revisions under the authority and signature of the Governor's 
designee, Larry J. Wilson, Director, Iowa Department of Natural 
Resources (IDNR). Two separate requests each dated February 16, along 
with requests dated February 19 and February 27, 1996, were received by 
the EPA. All of these submittals were determined complete in accordance 
with the criteria specified in 40 CFR part 51, appendix V. The state 
provided evidence of the lawful adoption of regulations, public notice, 
and relevant public hearing requirements for each submittal.

Revision Topics

    Revisions by the state are summarized by date of the request to 
amend the SIP.

I. February 16, 1996(b)--Construction Permit Exemptions and Permit by 
Rule for Spray Booths

    The list of exemptions from the requirement to obtain an air 
construction permit is amended and expanded. The practical effect of 
this action reduces the large volume of permits formerly required under 
state rule. Many of the activities that triggered a construction permit 
contained negligible emissions. For example, Iowa previously required 
permits for modifications which did not result in increased emissions.
    The rule now exempts such modifications and others involving 
minimal increases, but requires that such sources provide information 
showing that increased emissions will not prevent attainment or 
maintenance of air quality standards.
    The rule also exempts certain activities from the requirement to 
obtain a preconstruction permit, such as incinerators with a rated 
burning capacity of less than 25 pounds per hour. Iowa has determined, 
through the use of screening models, that such operations and 
activities would not have an adverse impact on air quality anywhere in 
the state. Based on this determination, EPA proposes to approve the 
exemptions.
    The exemption provision, rule 22.1(2), also contains a provision 
which clarifies that the exemptions are not retroactive. This provision 
was adopted by the Environmental Protection Commission (EPC) on May 15, 
1995, and submitted to the EPA on February 16, 1996. Subsequently, on 
April 15, 1996, the EPC removed the provision clarifying the 
retroactivity of the exemptions. However, on June 12, 1996, the IDNR 
submitted a letter clarifying that it intended that the EPA act on the 
preamended exemption provision (including the clarification that the 
exemptions are not retroactive), and that it does not intend that the 
EPA act on the subsequent amendment. The EPA proposes to approve the 
exemption provision on this basis.
    With this amendment, there will be less burden on the regulated 
community (due to fewer required permits), and the IDNR can focus on 
more significant sources of pollution. The EPA believes that the rule, 
as revised, continues to meet the preconstruction review requirements 
of section 110(a)(2)(C) of the Act.
    A permit by rule for paint spray booths is added. If a source meets 
the criteria established in the rule, the source's spray booths will be 
deemed to be in compliance with the requirements to obtain air 
construction and operating permits. Sources which emit at levels 
allowed by the rule would not be major sources for purposes of the 
construction and operating permit programs under the Act.
    Thus, this revision provides a mutual benefit to the IDNR, 
regulated community and the public. Sources have an incentive to 
maintain low levels of emissions, thereby reducing their own and the 
IDNR's administrative requirements while the public's exposure to 
pollutants is decreased. The rule requires specific and enforceable 
operating restrictions which meet the EPA guidance for Federal 
enforceability.
    Because the rule limits emissions of hazardous air pollutants as 
well as volative organic compounds, the EPA is proposing to approve the 
rule under sections 110 and 112(l) of the Act.

II. February 16, 1996(c)--Open Burning

    Open burning exemptions and their intent in rural settings are 
clarified. The exemptions are also modified to prohibit burning of 
asbestos-containing shingles as required by the Iowa statutes.
    The use of ``landowner'' in certain definitions is expanded to 
include a

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tenant. A clarified exemption allows open burning within one-fourth 
mile of a building inhabited by a person if a waiver is submitted by 
the owner prior to the activity. Finally, the previous rule's 
restriction to two training fires per year is clarified to indicate the 
restriction only related to fires where the asphalt roofing has not 
been removed. The EPA believes that this revision strengthens the 
previously approved open burning rule, and is therefore approvable.
III. February 19, 1996(a)--New Source Review (NSR) in Nonattainment 
Areas
    On March 8, 1994, the EPA designated areas of Muscatine County, 
Iowa, nonattainment for the SO2 National Ambient Air Quality 
Standard. This area is currently the only designated nonattainment area 
in Iowa. The nonattainment designation requires the state to amend its 
NSR rules to conform with changes made by the 1990 Act.
    Many of these amendments were approved by the EPA in a rulemaking 
dated October 30, 1995. The remaining amendments are addressed in this 
request for a SIP revision and include:
    1. Emission offsets for SO2 which provide for reasonable 
further progress toward attainment of the national standard must be 
obtained by major new sources and modifications. The practical effect 
of this is a positive net air quality benefit by new or modified 
sources.
    2. Emission reduction credits are only valid if not required by 
other requirements of the Act.
    3. Emission reduction credits for shutdown or curtailment of 
operations must be Federally enforceable conditions.
    4. A new or modified source must comply with the lowest achievable 
emission rate to reduce SO2 emissions.
    5. Sources must provide an alternate site analysis demonstrating 
the emissions from the proposed activity in a nonattainment area are 
outweighed by the benefits of the activity.
    6. No permit may be issued until notice and opportunity for public 
comment are made available. This procedure must be conducted in 
accordance with 40 CFR Sec. 51.161.
    7. A permit may not be issued if the EPA determines that the state 
is not implementing the applicable SIP in the designated area.
    The EPA believes these revisions meet the requirements of section 
173 of the Clean Air Act and applicable regulations in 40 CFR part 51, 
subpart I. The reader may request the Technical Support Document (TSD) 
for this action which further explains this conclusion.
    On a procedural note, the EPA is currently developing a proposed 
rule to assist the implementation of the changes under the amended Act 
in the NSR provisions in Parts C and D of Title I of the Act. If the 
EPA has not taken final action on the state's NSR submittals by the 
time the proposed rule is published for comment, the EPA may refer to 
the proposed rule as the most authoritative guidance available 
regarding the approvability of the submittals. Upon promulgation of the 
final regulations, the EPA will review the NSR SIPs of all states to 
determine whether additional SIP revisions are necessary.
    Prior to the EPA approval of a state's NSR SIP submission, the 
state may continue permitting only in accordance with the new statutory 
requirements for permit applications completed after the relevant SIP 
submittal date. This policy was explained in transition guidance 
memoranda from John Seitz dated March 11, 1991, and September 3, 1992. 
As explained in the March 11 memorandum, the EPA does not believe 
Congress intended to mandate the more stringent Title I NSR 
requirements during the time provided for SIP development. States were 
thus allowed to continue issuing permits consistent with requirements 
in their current NSR SIPs during that period, or to apply 40 CFR Part 
51, Appendix S, for new designated areas without previous NSR 
requirements.
IV. February 27, 1996(b)--Definitions and Adoption Updates
    These amendments update the state's incorporation by reference of 
the Federal regulation concerning the definition of volatile organic 
compound and the guidelines for air quality models. This revision also 
updates the incorporation by reference of Federal regulations relating 
to stack sampling and associated analytical methods used to evaluate 
compliance with emission limitations.
    The revision also references an updated compliance sampling manual 
which the state uses to determine compliance with applicable SIP 
requirements for SO2 and particulate matter. The specific 
regulations are referenced in the TSD.
V. January 26, 1995--Permit Requirements Relating to Nonattainment 
Areas
    In a previous revision to the SIP requested by the state dated 
January 26, 1995, the EPA inadvertantly failed to act on rule 31.1 
which contains specific requirements for nonattainmnet areas. This rule 
informs readers that special construction permit requirements in 
nonattainment areas are contained in subrules 22.5 and 22.6 (which are 
addressed in section III of this notice).
EPA Action
    The EPA proposes approval of the revisions described in this 
document to strengthen maintenance of air quality standards and meet 
the Act's requirements.
    Nothing in this action should be construed as permitting or 
allowing or establishing a precedent for any future request for 
revision to any SIP. Each request for revision to the SIP shall be 
considered separately in light of specific technical, economic, and 
environmental factors, and in relation to relevant statutory and 
regulatory requirements.
    Under the Regulatory Flexibility Act, 5. U.S.C. 600 et seq., the 
EPA must prepare a regulatory flexibility analysis assessing the impact 
of any proposed or final rule on small entities (5 U.S.C. 603 and 604). 
Alternatively, the EPA may certify that the rule will not have a 
significant impact on a substantial number of small entities. Small 
entities include small businesses, small not-for-profit enterprises, 
and government entities with jurisdiction over populations of less than 
50,000.
    SIP approvals under sections 110, 112, and subchapter I, Part D of 
the Clean Air Act do not create any new requirements, but simply 
approve requirements that the state is already imposing. Therefore, 
because the Federal SIP approval does not impose any new requirements, 
the EPA certifies that it does not have a significant impact on any 
small entities affected. Moreover, due to the nature of the Federal-
state relationship under the Act, preparation of a regulatory 
flexibility analysis would constitute Federal inquiry into the economic 
reasonableness of state action. The Act forbids the EPA to base its 
actions concerning SIPs on such grounds (Union Electric Co. v. U.S. 
E.P.A., 427 U.S. 246, 256-66 (S.Ct. 1976); 42 U.S.C. 7410(a)(2)).
    This action has been classified as a Table 3 action for signature 
by the Regional Administrator under the procedures published in the 
Federal Register on January 19, 1989 (54 FR 2214-2225), as revised by a 
July 10, 1995, memorandum from Mary Nichols, Assistant Administrator 
for Air and Radiation. The Office of Management and Budget has exempted 
this regulatory action from E.O. 12866 review.
Unfunded Mandates
    Under sections 202, 203, and 205 of the Unfunded Mandates Reform 
Act of 1995 (``Unfunded Mandates Act''), signed into law on March 22, 
1995, the EPA must undertake various actions in

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association with proposed or final rules that include a Federal mandate 
that may result in estimated costs of $100 million or more to the 
private sector, or to state, local, or tribal governments in the 
aggregate.
    Through submission of this plan revision, the state and any 
affected local governments have elected to adopt the program provided 
for under sections 110 and 112 of the Act. These rules may bind state 
and local governments to perform certain actions and also require the 
private sector to perform certain duties. To the extent that the rules 
being proposed for approval by this action will impose new 
requirements, sources are already subject to these regulations under 
state law. Accordingly, no additional costs to state or local 
governments, or to the private sector, result from this action. The EPA 
has also determined that this proposed action does not include a 
mandate that may result in estimated costs of $100 million or more to 
state or local governments in the aggregate or to the private sector. 
The EPA has determined that these rules result in no additional costs 
to tribal governments as regulators.

List of Subjects in 40 CFR Part 52

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

    Authority: 42 U.S.C. 7401-7671q.

    Dated: July 5, 1996.
William Rice,
Acting Regional Administrator.
[FR Doc. 96-19087 Filed 7-26-96; 8:45 am]
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