[Federal Register Volume 70, Number 160 (Friday, August 19, 2005)]
[Rules and Regulations]
[Pages 48647-48650]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 05-16487]
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ENVIRONMENTAL PROTECTION AGENCY
40 CFR Part 52
[R06-OAR-2005-TX-0021; FRL-7956-3]
Approval and Promulgation of Implementation Plans; State of
Texas; Control of Air Pollution From Motor Vehicles, Mobile Source
Incentive Programs
AGENCY: Environmental Protection Agency (EPA).
ACTION: Final rule.
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SUMMARY: The EPA is approving a revision to the Texas State
Implementation Plan (SIP) to incorporate the Texas Emission Reduction
Plan (TERP) into the Texas SIP. The TERP is utilized in each of the
nonattainment areas and near nonattainment areas in the State to
achieve reductions in the emissions of oxides of nitrogen from on-road
and non-road mobile sources. This action will allow the State to
capture credit from those reductions and use them in attainment
demonstrations for these areas.
DATES: This rule is effective on September 19, 2005.
ADDRESSES: EPA has established a docket for this action under Regional
Materials in EDocket (RME) Docket ID No. R06-OAR-2005-TX-0021. All
documents in the docket are listed in the RME index at http://docket.epa.gov/rmepub/, once in the system, select ``quick search,''
then key in the appropriate RME Docket identification number. Although
listed in the index, some information is not publicly available, i.e.,
CBI or other information, the disclosure of which is restricted by
statute. Certain other material, such as copyrighted material, is not
placed on the Internet and will be publicly available only in hard copy
form. Publicly available docket materials are available either
electronically in RME or in hard copy at the Air Planning Section (6PD-
L), Environmental Protection Agency, 1445 Ross Avenue, Suite 700,
Dallas, Texas 75202-2733. The file will be made available by
appointment for public inspection in the Region 6 FOIA Review Room
between the hours of 8:30 a.m. and 4:30 p.m. weekdays except for legal
holidays. Contact the person listed in the FOR FURTHER INFORMATION
CONTACT paragraph below, or Mr. Bill Deese at (214) 665-7253, to make
an appointment. If possible, please make the appointment at least two
working days in advance of your visit. There will be a 15 cents per
page fee for making photocopies of documents. On the day of the visit,
please check in at the EPA Region 6 reception area at 1445 Ross Avenue,
Suite 700, Dallas, Texas.
The State submittal is also available for public inspection at the
State Air Agency listed below during official business hours by
appointment: Texas Commission on Environmental Quality, Office of Air
Quality, 12124 Park 35 Circle, Austin, Texas 78753.
FOR FURTHER INFORMATION CONTACT: Ms. Sandra Rennie, Air Planning
Section (6PD-L), Environmental Protection Agency, Region 6, 1445 Ross
Avenue, Suite 700, Dallas, Texas 75202-2733, telephone (214) 665-7367;
fax (214) 665-7263; e-mail address [email protected].
SUPPLEMENTARY INFORMATION: Throughout this document wherever ``we,''
``us,'' or ``our'' is used, we mean the EPA.
Outline
What Action Are We Taking?
What Is the Background for This Action?
What Do These Rules Require?
What Are Oxides of Nitrogen?
What Areas in Texas Will This Action Affect?
Why Are We Approving This Submittal?
What Comments Did We Receive?
Final Rule
Statutory and Executive Order Reviews
What Action Are We Taking?
We are approving this revision to the SIP as meeting the
requirements of the economic incentive program guidance. For a more
complete description of our review, please see the technical support
document for this action and our Federal Register notice of proposed
approval dated May 12, 2005 (70 FR 25008).
We are approving rules that implement the TERP legislation. On
March 9, 2005, the Texas Commission on Environmental Quality submitted
to
[[Page 48648]]
EPA the Texas Emission Reduction Plan (TERP) at 30 TAC, Chapter 114,
Subchapter K, Mobile Source Incentive Programs, as a revision to the
SIP. This legislation created an economic incentive program to
accelerate the introduction of lower emitting mobile source
technologies in nonattainment and near nonattainment areas of Texas.
The State adopted these rules on August 22, 2001.
We are also approving revisions to the above mentioned rules which
the State adopted on January 28, 2004, and submitted to EPA on March 3,
2004.
What Is the Background for This Action?
In 2001, the Texas Legislature enacted Senate Bill 5 which
established the TERP. The TERP includes a grant program designed to
accelerate the early introduction and use of lower emitting diesel
technologies in the nonattainment and near nonattainment areas of
Texas; a grant program to fund improved energy efficiency in buildings;
purchase and lease incentives to encourage the introduction of cleaner
light duty vehicles into the Texas fleet; and funding for research and
development programs focused on new air pollution reduction
technologies. This legislation also establishes a state-wide incentive
program for the purchase or lease of new on-road diesel vehicles and
light-duty motor vehicles that meet more stringent emission standards
than those required by any federal requirements. The incentives
eligible for on-road diesel vehicles are for the incremental cost to
purchase the cleaner vehicle. The incentive for eligible light duty
vehicles are a specified dollar amount. Each of the incentives is
structured upon the specific emission standard to which the vehicle is
certified.
In 2003, Texas House Bill 1365 amended surcharges and fees which
fund TERP, along with the eligibility criteria. The 2003 adoption adds
three counties to the list where eligible projects may be funded and
will include for the future any other county located within an area of
Texas designated as an ozone nonattainment area under the Federal Clean
Air Act. The amendment also provides for the new methods for
streamlining the grant process for small business. The 2003 legislation
expected to provide approximately $120 million dollars per year for
funding those programs through September 2008.
What Do These Rules Require?
TERP includes a number of voluntary incentive and assistance
programs designed to help improve the air quality in Texas. The
programs included in TERP are as follows: the On-Road Diesel Vehicle
Purchase or Lease Incentive Program, the Light-Duty Motor Vehicle
Purchase or Lease Incentive Program, and the Diesel Emission Reduction
Incentive Grant Program for On-Road and Non-Road Vehicles (``Incentive
Grant Program''). It is the Incentive Grant Program that is before us
as a SIP revision.
The rules approved today specify the individuals and businesses
that may apply for grants under TERP and that all applicants are
subject to the criteria listed in Texas Emission Reduction Plan:
Guidance for Emissions Reduction Incentive Grants Program (RG-388).
Eligible projects include multiple variations of leasing or purchasing,
retrofitting, repowering, or other NOX reducing technologies
for on-road and off-road diesel powered engines. The rule requires that
any project funded by a grant must operate no less than 75% of the
vehicle miles traveled or hours of operations over the following five
years in a nonattainment or near nonattainment county.
The plan also requires that a project, excluding infrastructure
projects, must meet a minimum cost-effectiveness not to exceed $13,000
per ton of NOX emissions. Except in extreme circumstances,
the emissions reductions gained by any project funded through a TERP
grant may not be used for credit under any State or Federal emission
reduction credit averaging, banking or trading program. The program
allows TERP reductions to be credited toward the NOX cap and
trade program in Houston but only in the unlikely event that the
industrial source's compliance cost exceeds $75,000/ton. In that case,
the source would be able to deposit $75,000/ton into the TERP account
where the money would be used to achieve more cost effective mobile
source reductions.
What Are Oxides of Nitrogen?
Nitrogen oxides (NOX) belong to the group of criteria
air pollutants. NOX results from burning fuels, including
gasoline and coal. Nitrogen oxides react with volatile organic
compounds (VOC's) to form ozone or smog. NOX is also a major
component of acid rain.
What Areas in Texas Will This Action Affect?
The approval of TERP will provide potential emission reductions in
the following counties: Bastrop, Bexar, Brazoria, Caldwell, Chambers,
Collin, Comal, Dallas, Denton, El Paso, Ellis, Fort Bend, Galveston,
Gregg, Guadalupe, Harris, Hardin, Harrison, Hayes, Henderson, Hood,
Hunt, Jefferson, Johnson, Kaufman, Liberty, Montgomery, Nueces, Orange,
Parker, Rockwall, Rusk, San Patricio, Smith, Tarrant, Travis, Upshur,
Victoria, Waller, Williamson, Wilson, and any other county located
within an area of Texas designated as nonattaiment for ground-level
ozone.
Why Are We Approving This Submittal?
TERP is a measure relied upon in the State Implementation Plans for
all of the Early Action Compact areas, as well as the Houston/Galveston
Attainment Demonstration, and the Dallas/Fort Worth 5% Increment of
Progress Plan. We will be taking action on the amount of emission
reductions projected for the TERP program when we take action on these
plan revisions. These reductions will assist an area to either attain
or maintain the National Ambient Air Quality Standard for ozone.
Diesel engines are targeted due to their relatively high
NOX emissions and their long operational life which makes
the introduction of newer cleaner engines into a fleet a long term
process with normal turnover. The TERP will offset the incremental cost
of projects that can reduce oxides of nitrogen emissions from heavy
duty diesel trucks and construction equipment in nonattainment areas.
This is an incentive to owners and operators to upgrade their fleets at
an expedited rate. The upgrade of these fleets will reduce the amount
of NOX emissions to the atmosphere. This approval will add
TERP as a new program to the Texas SIP. TERP will not cause an increase
in the criteria pollutants or their precursors since old fleets will be
replaced with new fleets, thereby reducing emissions. As such, the
State's revisions meet and comply with the requirements of section
110(l) of the Clean Air Act. We are approving these revisions to the
Texas SIP because they will contribute to the attainment of the ozone
standard, and therefore strengthen the SIP.
What Comments Did We Receive?
We proposed approval of this revision to the Texas SIP on May 12,
2005 (70 FR 25008). We received no comments on this proposed approval.
Final Action
We are granting final approval of the TERP as a revision to the SIP
because it meets the requirements of an economic incentive program.
[[Page 48649]]
Statutory and Executive Order Reviews
The Office of Management and Budget (OMB) has exempted this
regulatory action from Executive Order 12866, ``Regulatory Planning and
Review.'' (58 FR 51735, October 4, 1993). This rule is not a
``significant energy action'' as defined in Executive Order 13211,
``Actions Concerning Regulations That Significantly Affect Energy
Supply, Distribution, or Use'' (66 FR 28355, May 22, 2001), because it
is not likely to have a significant adverse effect on the supply,
distribution, or use of energy. This action merely approves state law
as meeting Federal requirements and imposes no additional requirements
beyond those imposed by State law. Accordingly, the Administrator
certifies that this rule will not have a significant economic impact on
a substantial number of small entities under the Regulatory Flexibility
Act (5 U.S.C. 601 et seq.). Because this rule approves pre-existing
requirements under state law and does not impose any additional
enforceable duty beyond that required by State law, EPA has determined
that this rule does not contain a Federal mandate that may result in
expenditures of $100 million or more for State, local or tribal
governments in the aggregate, or on the private sector, in any one
year. Thus, today's rule is not subject to the requirements of sections
202 and 205 of the Unfunded Mandates Reform Act of 1995 (UMRA) (Pub. L.
104-4). In addition, EPA has determined that this rule contains no
regulatory requirements that might significantly or uniquely affect
small governments in accordance with section 203 of UMRA.
This rule also does not have tribal implications because it will
not have a substantial direct effect on one or more Indian tribes, on
the relationship between the Federal Government and Indian tribes, or
on the distribution of power and responsibilities between the Federal
Government and Indian tribes, as specified by Executive Order 13175,
``Consultation and Coordination with Indian Tribal Governments'' (65 FR
67249, November 9, 2000). This action also does not have federalism
implications because it does 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, as specified in Executive Order 13132,
``Federalism'' (64 FR 43255, August 10, 1999). This action merely
approves a state rule implementing a Federal standard, and does not
alter the relationship or the distribution of power and
responsibilities established in the Clean Air Act. This rule also is
not subject to Executive Order 13045, ``Protection of Children from
Environmental Health Risks and Safety Risks'' (62 FR 19885, April 23,
1997). EPA interprets Executive Order 13045 as applying only to those
regulatory actions that are based on health or safety risks, such that
the analysis required under section 5-501 of the Order has the
potential to influence the regulation. This rule is not subject to
Executive Order 13045 because it approves a state program.
Section 12 of the National Technology Transfer and Advancement Act
(NTTAA) of 1995 (15 U.S.C. 272 note) requires Federal agencies to
evaluate existing technical standards when developing a new regulation.
To comply with NTTAA, EPA must consider and use ``voluntary consensus
standards'' (VCS) if available and applicable when developing programs
and policies unless doing so would be inconsistent with applicable law
or otherwise impractical. In reviewing a SIP submission, EPA has no
authority under the Clean Air Act, in the absence of a prior existing
requirement for the State to use VCS, to disapprove a SIP submission
for failure to use VCS. Thus it would be inconsistent with applicable
law for EPA to use VCS in place of a SIP submission that otherwise
satisfies the provisions of the Clean Air Act and further consideration
of VCS is not required. Under the Paperwork Reduction Act (PRA) of 1995
(44 U.S.C. 3501 et seq.), OMB must approve all ``collections of
information'' by EPA. The PRA defines ``collection of information'' as
a requirement for ``answers to * * * identical reporting or
recordkeeping requirements imposed on ten or more persons.'' (44 U.S.C.
3502(3)(A)). This rule does not impose an information collection burden
under the provisions of the PRA.
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 rule 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.
section 804(2).
Under section 307(b)(1) of the Clean Air Act, petitions for
judicial review of this action must be filed in the United States Court
of Appeals for the appropriate circuit by October 18, 2005. Filing a
petition for reconsideration by the Administrator of this final rule
does not affect the finality of this rule 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, Air pollution control, Carbon Monoxide,
Hydrocarbons, Incorporation by reference, Intergovernmental relations,
Lead, Nitrogen oxides, Ozone, Particulate matter, Reporting and
recordkeeping requirements, Sulfur oxides, Volatile organic compounds.
Dated: August 11, 2005.
Richard E. Greene,
Regional Administrator, Region 6.
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40 Part 52 is amended as follows:
PART 52--[AMENDED]
0
1. The authority citation for part 52 continues to read as follows:
Authority: 42 U.S.C. 7401 et seq.
Subpart SS--Texas
0
2. The table in Sec. 52.2270(c) entitled ``EPA Approved Regulations in
the Texas SIP'' is amended under Chapter 114, immediately following the
entry for Section 114.517, by adding a new centered heading
``Subchapter K--Mobile Source Incentive Programs'' followed by centered
heading ``Division 3: Diesel Emission Reduction Incentive Program for
On-road and Non-road Vehicles'' followed by entries for Sections
114.620, 114.621, 114.622, 114.623, 114.626 and 114.629 to read as
follows:
Sec. 52.2270 Identification of plan.
* * * * *
(c) * * *
[[Page 48650]]
EPA Approved Regulations in the Texas SIP
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State approval/
State citation Title/subject submittal date EPA approval date Explanation
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* * * * * * *
Chapter 114 (Reg 4)--Control of Air Pollution from Motor Vehicles
* * * * * * *
Subchapter K--Mobile Source Incentive Programs
Division 3: Diesel Emission Reduction Incentive Program for On-road and Non-road Vehicles
Section 114.620.................. Definitions........ 01/28/04 08/19/05 [Insert FR ...................
page number where
document begins].
Section 114.621.................. Applicability...... 01/28/04 08/19/05 [Insert FR ...................
page number where
document begins].
Section 114.622.................. Incentive Program 01/28/04 08/19/05 [Insert FR ...................
Requirements. page number where
document begins].
Section 114.623.................. Small Business 01/28/04 08/19/05 [Insert FR ...................
Incentives. page number where
document begins].
Section 114.626.................. Monitoring, 08/22/01 08/19/05 [Insert FR ...................
Recordkeeping, and page number where
Reporting document begins].
Requirements.
Section 114.629.................. Affected Counties 01/28/04 08/19/05 [Insert FR ...................
and Implementation page number where
Schedule. document begins].
* * * * * * *
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[FR Doc. 05-16487 Filed 8-18-05; 8:45 am]
BILLING CODE 6560-50-P