Information Collection Request for Requirements for Control Technology
Determinations from Major Sources in Accordance with Clean Air Act
Section 112(j)

Supporting Statement

  SEQ CHAPTER \h \r 1 PART A OF THE SUPPORTING STATEMENT

			

1.	IDENTIFICATION OF THE INFORMATION COLLECTION

	(a)	Title and Number of the Information Collection

		

ICR:	Information Collection Request for Requirements for Control
Technology Determinations from Major Sources in Accordance with Clean
Air Act Section 112(j).

OMB Control Number: 2060-0266, EPA ICR # 1648.07.

	(b)	Short Characterization

	Section 112 of the Clean Air Act (CAA) requires EPA to establish
National Emissions Standards for Hazardous Air Pollutants (NESHAP) for
both major and area sources of hazardous air pollutants (HAP) that are
listed for regulation under CAA section 112(c).  An area sources is a
stationary source that is not a major source (i.e., an area source does
not emit and does not have the potential to emit more than 10 tons per
year [tpy] of any single HAP and more than 25 tpy of any combination of
HAP).  Section 112(j) of the CAA requires that if EPA fails to
promulgate a standard for a category or subcategory of major sources
within 18 months after its scheduled date of promulgation, then sources
must submit a title V permit application beginning on that date.  States
(with approved title V operating permit programs) or EPA will issue
permits containing maximum achievable control technology (MACT) emission
limitations determined on a case-by-case basis to be equivalent to what
would have been promulgated by EPA pursuant to CAA section 112(d).  

EPA has promulgated regulations implementing section 112(j) for all of
the listed categories and the previous OMB clearance for the section
112(j) regulation was allowed to lapse.  However, recent vacaturs of
several MACT standards (Polyvinyl Chloride and Copolymers Production
(“PVC”), Brick and Structural Clay Products Manufacturing ("Brick"),
Clay Ceramics Manufacturing (“Clay Ceramics”), and the Industrial,
Commercial and Institutional Boilers and Process Heaters
(“Boilers”)) have re-established the need for applying the rule
implementing section 112(j) of the CAA.  EPA is proposing revisions to
the section 112(j) rule to clarify the application of section 112(j) in
the case of complete standards vacaturs and to clarify and streamline
the permit application and review process for the vacatur situation. 
The purpose of this ICR is to reinstate the OMB clearance for the
revised section 112(j) regulation.       

	This ICR supports the regulation to implement section 112(j) (40 CFR
part 63, subpart B, §§63.50-56).  It addresses the information
collection burden (hours and costs) to industry respondents subject to
these provisions; State and Local agencies that review applications
submitted under these provisions; and the EPA oversight review of a
percentage of State/Local decisions.  As discussed further below, only
activities related to the regulatory requirement to submit permit
applications are activities for which an estimate of burden need be
calculated.  

	This ICR includes about 149 major sources and 15,500 boilers at major
sources (see Table 1) contained in the four source categories for which
MACT standards have been vacated by the United States Court of Appeals
for the District of Columbia Circuit.  The average administrative cost
per major source of these activities is estimated to be $3,148, and the
average administrative cost per boiler of these activities is estimated
to be $1,048.  Total estimated administrative costs may be up to
$19,856,799 for all sources (including state and federal costs) in all
four source categories over the next 3 years. 

 

	Further, the burden estimate is conservative, because we assume 15,500
boilers are subject to section 112 and therefore covered by this ICR,
based on the number of initial notifications received following
promulgation of the boiler MACT.  However, this assumption likely
represents an overestimate of the number of such sources.  EPA's major
source boiler MACT was vacated by the DC Circuit Court of Appeals, along
with a separate rule defining a “commercial or industrial solid waste
incineration unit” for purposes of Section 129 of the Act (the
definitional rule).  NRDC V. EPA, 489 F.3d. 1250 (D.C. Cir. 2007).  In
the definitional rule case, the court held that Section 129’s
directive to regulate “any facility which combusts any solid waste
material from commercial or industrial establishments” does not permit
the exclusion of facilities that combust solid waste, but recover
thermal energy for a useful purpose  The court then concluded that the
flaws in EPA’s definitional rule would necessitate revision of the
major source boiler MACT rule as well, because the scope of facilities
subject to the MACT would change.  Therefore the court also vacated the
boiler MACT.  Once EPA revises both the definitional rule and the boiler
MACT, it is likely that the number of sources subject to the boiler MACT
will be smaller than those that would have been subject to the MACT the
court vacated.

2.	NEED FOR AND USE OF THE COLLECTION

	(a)	Need/Authority for the Collection

	Section 112(j) of the Clean Air Act as amended in 1990 contains the
need and authority for this information collection. [42 U.S.C. 7401 (et.
seq.)  as amended by Public Law 101-549]

 

	(b)	Use/Users of the Data

	The information collected in the permit applications will be used for
the purposes of permit approval, compliance determination, and the
selection of particular control technology on a case-by-case basis.  The
Federal or State administrator of the operating permits program will use
the information for the case-by-case emission limit determinations. 
Because the information gathered is necessarily source-specific, the
case-by-case determinations cannot be made without it.

3.	NONDUPLICATION, CONSULTATIONS, AND OTHER COLLECTION 		CRITERIA

	3(a)	Nonduplication

	The information collection activities required under the section 112(j)
regulation are not routinely collected elsewhere by EPA.  However, in
this situation, the permitting authority may likely have collected much,
if not all, of the information items previously in support of other
applications in the course of implementing or preparing to implement the
MACT standards that have been vacated.  Most permitting authorities,
though, will likely accept references to previously submitted
information in lieu of significant duplication, in accordance with
§63.53(b)(1). 

	3(b)	Public Notice Required Prior to ICR Submission to OMB

Since this is a reinstatement of a previously approved ICR, it will be
treated as if it were a new collection.  Comments will be solicited on
the proposal amendments to the section 112(j) rule and this ICR.

	3(c)	Consultations

	

Several industry representatives commented on a previous version of the
ICR (#1648.06), the availability of which was announced in the Federal
Register on April 17, 2008 (73 Federal Register 20920).  The relevant
comments that were reviewed have been considered in this ICR (#1648.07).
 These commenters were Pillsbury, Winthrop Shaw, Pittman representing
the American Forest & Paper Association, the American Petroleum
Institute, the National Oilseed Processors Association, and the
Synthetic Organic Chemical Manufacturers Association; the Alliance of
Automobile Manufacturers; the Council of Industrial Boiler Owners; the
National Association of Clean Air Agencies; the Brick Industry
Association; the Vinyl Institute; and the Occidental Chemical
Corporation (see Docket No. EPA-HQ-OAR-2002-0038).  

	3(d)	Effects of Less Frequent Collection

	Each applicant would submit the required information only once (a
permit application) over the term of this ICR.  There is no less
frequent collection.

	3(e)	General Guidelines

	The recordkeeping and reporting requirements contained in the section
112(j) regulation do not violate any of the Paperwork Reduction Act
guidelines contained in 5 CFR 1320.6.

	3(f)	Confidentiality

	Any information submitted to a permitting authority with a claim of
confidentiality will be safeguarded according to that agency’s
policies set forth prior to approval of the agency’s operating permit
program by EPA.  Any confidential information submitted to EPA will be
safeguarded according to policies in 40 CFR, Chapter 1, Part 2, Subpart
B -- Confidentiality of Business Information.

	3(g)	Sensitive Questions

	

	This section is not applicable.  This ICR does not contain any
sensitive questions relating to sexual behavior or attitudes, religious
beliefs, or other matters usually considered private.

4.	THE RESPONDENTS AND THE INFORMATION REQUESTED

	4(a)	Respondents/NAICS Codes

	Respondents include owners/operators of major sources of HAP in the
following source categories: polyvinyl chloride and copolymers
production, brick and structural clay products manufacturing, clay
ceramics manufacturing, and industrial, commercial, and institutional
boilers and process heaters (Table 1).  A major source is one that has
the potential to emit considering controls, in the aggregate, 10 tons
per year or more of any HAP or 25 tons per year or more of any
combination of HAP.  The boilers source category cuts across a wide
variety of industries, including both manufacturing and nonmanufacturing
sources.  The North American Industry Classification System (NAICS)
codes for polyvinyl chloride and copolymers production, brick and
structural clay products manufacturing, and clay ceramics manufacturing
facilities are 325211, 327121, 327122, and 327123; and the three-digit
NAICS codes for industrial, commercial, and institutional boilers and
process heaters are 211, 221, 316, 321, 322, 324, 325, 326, 331, 332,
336, 339, 611 and 622.   

  

	4(b)	Information Requested

	(i)	Data items, including recordkeeping requirements  

Section 112(j) regulation does not contain recordkeeping requirements. 
However, we have included an estimate for burden associated with filing
the permit applications and permits.

	The section 112(j) regulation requires a title V permit application or
revision.  State and local agencies that develop the permit will review
the information provided in the permit applications.  EPA will provide
oversight to the process.

	The permit application for a MACT determination requires the following
information:

(1) The name and address (physical location) of the major source.

(2) A brief description of the major source and an identification of the
relevant source category.

(3) An identification of the types of emission points belonging to the
relevant source category.

(4) An identification of any affected sources for which a section 112(g)
MACT determination has been made.

(5) For a new affected source, the anticipated date of startup of
operation.

(6) Each emission point or group of emission points at the affected
source which is part of a category or subcategory for which a permit
application is required, and each of the hazardous air pollutants
emitted at those emission points.  When the Administrator has proposed a
standard pursuant to section 112(d) of the Act for a category or
subcategory, such information may be limited to those emission points
and hazardous air pollutants which would be subject to control under the
proposed standard.

(7) Any existing Federal, State, or local limitations or requirements
governing emissions of hazardous air pollutants from those emission
points which are part of a category or subcategory for which a permit
application is required.

(8) For each identified emission point or group of affected emission
points, an identification of control technology in place.

(9) Any additional emission data or other information specifically
requested by the permitting authority.

For many sources the permitting authority already has much of this
information, gathered through previous title V permit submittals.  A
source may work with its permitting authority to determine what
additional or revised information is necessary for a complete
application submittal.

(ii)	Respondent Activities

	

Activities (see Tables 2a and 2b) that the owner or operator must
perform include:

- Develop and submit permit applications 

- File and maintain the permit applications 

- Utilize legal and consulting resources, as desired

- File and maintain permit.	

5.	THE INFORMATION COLLECTED -- AGENCY ACTIVITIES, COLLECTION 
METHODOLOGY, AND INFORMATION MANAGEMENT

	5(a)	Agency Activities

	This section addresses the activities of State and Local agencies, as
the permitting authority, and EPA, in an oversight capacity.  The
permitting authority, typically the State or Local air agency, will
perform the following activities (see Tables 3a and 3b):

- Review permit applications and deny or approve them

- File and maintain permit applications

- Interact with EPA as appropriate

- File and maintain permit.

Acting in an oversight capacity, EPA will perform the following
activities (see Tables 4a and 4b):

- Review permit applications

- Interact with the permitting authority

- File and maintain permit.

	5(b)	Collection Methodology and Management

	The owners or operators of the sources affected by this regulation will
have the responsibility of submitting permit applications to the
permitting authority.  It is the responsibility of the permitting
authority to provide information necessary for EPA oversight review.

	Qualified staff who work for the permitting authority will perform the
permit application reviews and check the quality of data submitted by
the applicant on a case-by-case basis.  The permitting authority’s
employees will handle confidential information submitted by the
applicant according to the permitting authority’s confidential
information handling procedures.

	The section 112(j) regulation does not require the request of
information through any type of survey.

	5(c)	Small Entity Flexibility

	Minimizing the information collection burden for all sizes of
organizations is a continuing effort on EPA’s part.  EPA has reduced
the information required by requiring only basic information needed by
the permitting authority to make a case-by-case MACT determination.

	

	5(d)	Collection Schedule

	This ICR does not require surveys.  Each source affected by the section
112(j) regulation is required to submit a permit application which the
permitting authority must then review.

6.	ESTIMATING THE BURDEN AND COST OF THE COLLECTION

	6(a)	Estimating Respondent Burden

	This ICR requires the calculation of the amount of burden hours
associated with each activity for each respondent.  In the section
112(j) permitting process for major sources, each respondent must submit
the permit application as specified in section 4(b)(i) of this
Supporting Statement.  Much of the information required in the permit
application will have already been submitted to the permitting authority
in previous permit submittals; we expect the burden to be relatively low
for this activity.

	For the section 112(j) regulation, burden for the respondents is
administrative costs (preparing and submitting the permit applications).


	We estimate the burden associated with the preparation and submittal of
permit applications to be about 35 hours for polyvinyl chloride and
copolymers production, brick and structural clay products manufacturing,
and clay ceramics manufacturing facilities (see Table 2a); and about 11
hours for each industrial, commercial, and institutional boiler and
process heater (see Table 2b).

	We have separated the burden estimates for boilers from the other
sources.  Unlike the other sources, boilers consist of a single emission
point and many facilities contain essentially identical boilers, making
permit application preparation for each boiler much less burdensome than
preparing a permit application for the other sources, which consist of
various different emission points.

	6(b)	Estimating Respondent Costs

	(i) 	Estimating Labor Costs

	

	Wage rates were based on May 2008 raw labor rates for the Manufacturing
Sector (NAICS 31 thru 33), loaded using an overhead factor of 110%, and
indexed to June 2009 using the Employment Cost Index.  The resulting
rates are $121.08 for management personnel, $82.39 for technical
personnel, and $31.41 for clerical personnel.  These values were taken
from the Bureau of Labor Statistics Occupational Employment Statistics
Survey Web site (  HYPERLINK
"http://www.bls.gov/oes/2008/may/naics2_31-33.htm" 
http://www.bls.gov/oes/2008/may/naics2_31-33.htm ) and reflect the
latest values available (May 2008).  The Employment Cost Index is
located at:   HYPERLINK "http://www.bls.gov/news.release/eci.t02.htm" 
http://www.bls.gov/news.release/eci.t02.htm .  Tables 2 and 2a provide a
breakdown of labor hours and associated costs per occurrence for each
activity in each part of the application process for existing and new
sources.

	(ii) 	Estimating Capital and Operation and Maintenance (O&M) Costs

	We do not expect sources to expend additional capital and O&M costs to
gather information required by the permit applications.  

(iii) 	Annualizing Capital Costs

Not applicable.

	6(c)	Estimating State/Local Agency Burden and Cost

	Similar to sections 6(a) and 6(b), the activities for State/Local
agencies are divided into the activities that would take place for the
application process as described in section 4(b)(i) of this Supporting
Statement.  Wage rates for State/Local employees were retrieved from the
Bureau of Labor Statistics (  HYPERLINK
"http://www.bls.gov/news.release/pdf/ecec.pdf" 
http://www.bls.gov/news.release/pdf/ecec.pdf , “Table 4. Employer
costs per hour worked for employee compensation and costs as a percent
of total compensation: State and local government workers, by
occupational and industry group, June 2009”) and are as follows:
$33.02 per hour for management labor, $32.64 per hour for technical
labor, and $16.80 per hour for clerical labor.  We added in the value of
total benefits in BLS Table 4.  We chose 20 percent of the base rate as
the percentage of salary that constitutes overhead.  The addition of
benefits and overhead to the hourly rate produces a pay rate that
reflects the true cost to employ a State, Local, or Tribal agency
worker.  Following is a summary of the computed hourly wages for State,
Local, and Tribal agency employees.  

 Hourly Labor Rates for State, Local and Tribal Respondents

Labor Type	Hourly Rate	Benefits

	Overhead

(20 % Salary)	Adjusted Hourly Rate

Management	$33.02	$15.65	$6.60	$55.27

Technical	$32.64	$15.32	$6.53	$54.49

Clerical	$16.80	$10.50	$3.36	$30.66



	Tables 3a and 3b provide a breakdown of labor hours and associated
costs for State/Local/Tribal agencies. 

	

	There are a total of 112 State/Local agencies that have a Title V
permitting program, and these State/Local agencies would review the
section 112(j) applications within the first year and issue permits
within 27 months after promulgation of these amendments.

	6(d)	Estimating Agency Burden and Cost

	Under the section 112(j) regulation, EPA would serve in an oversight
capacity and audit approximately 10 percent of all applications
processed by State/Local agencies.  As recommended in the ICR Handbook,
wage rates for EPA employees are based upon the Federal government pay
scale.  We calculated the hourly rates for EPA employees using
information on annual salaries from the Internet site for the Office of
Personnel Management.  (  HYPERLINK
"http://www.opm.gov/oca/09tables/pdf/RUS.pdf" 
http://www.opm.gov/oca/09tables/pdf/RUS.pdf ; January 2009).  We used
the appropriate pay grade levels for management, technical, and clerical
personnel.  We divided the annual pay rate by 2080, the amount of
working hours during a calendar year, to get the hourly wage rate.  We
then multiplied this rate by 1.6 to produce a pay rate that reflects the
true cost to the Federal government to employ a worker.  The value of
1.6 incorporates the addition of benefits at 40 % of salary and the
addition of overhead at 20% of salary to the hourly rate.  Following is
a summary of the computed wages for EPA personnel.

 Hourly Labor Rates for EPA

Labor Type	Pay Grade	Annual Salary	Hourly Rate	Benefits

(40 % Salary)	Overhead

(20 % Salary)	Adjusted Hourly Rate

Management	GS-15	$111,760	$53.73	$21.49	$10.75	$85.97

Technical	GS-12	$67,613	$32.51	$13.00	$6.50	$52.01

Clerical	GS-6	$34,300	$16.49	$6.60	$3.30	$26.39



	Tables 4a and 4b provide a breakdown in the amount of hours associated
with each activity and the total burden hours and cost per occurrence.

	6(e) Estimating the Respondent Universe

The estimated number of major sources subject to the section 112(j)
regulation in the proposed ICR is based on latest estimates from the EPA
rule writers for each of the affect source categories. 

After the vacatur of the boiler NESHAP, the Agency began collecting data
from EPA regional offices and delegated state authorities to revise its
estimate of boilers and process heaters that may be impacted under a
revised standard.  Since the last boiler and process heater data
gathering effort, many sources have shut down, others have selected to
operate with a limit on their HAP emissions in order to avoid being
subject to the boiler and process heater NESHAP, and some units have
switched out older solid fuel units for newer equipment due to increased
insurance and maintenance costs.  Therefore, the Agency will base its
boiler respondent pool on a revised list of initial notifications, Title
V permits, and state applicability lists.  Since the proposal of this
ICR, data from Alaska, Alabama, Colorado, Delaware, Florida, Georgia,
Indiana, Illinois, Kentucky, Louisiana, Michigan, New Jersey, New York,
North Carolina, Ohio, Tennessee, Utah, and Wisconsin has been compiled
and reviewed, and the Agency estimates that 15,500 existing boilers will
be subject to this ICR.  The estimated number of potentially affected
sources is shown in Table 1.

	6(f)	Bottom Line Burden Hours and Cost

	(i) 	Respondent tally

	Over the 3-year period of this ICR, the estimated average annual
respondent burden (sources) and cost associated with the section 112(j)
regulation are 63,863 hours and $5,573,129 respectively.  State/Local
agencies will experience 19,807 burden hours and $1,015,725. 
Approximately 2/3 of the burden will occur within the first hear after
promulgation of the amendments, consisting of permit application
submittal and initial review.  Table 5 contains the total estimated
burden and cost breakdown associated with the section 112(j) regulation.
 Table 6 provides a summary of the estimated bottom line burden hours
and costs associated with the section 112(j) regulation.

	(ii)	The Agency tally

	Over the 3-year period of this ICR, the average annual Federal
Government cost is $30,079 for 539 hours for the section 112(j)
regulation.  The bottom line Agency burden hours and costs presented in
Table 5.

(iii)	Variations in the annual bottom line

This section does not apply since no significant variation is
anticipated.

	6(g)	Reasons for Change in Burden					

	We are requesting an increase in burden of 84,208 hours due to
reinstatement of the previously approved collection. 

	6(h) 	Burden Statement

	 This estimate includes all activities associated with the respondents
or government agencies.  Overall, the section 112(j) program will have
the following average annual burden: 63,863 hours and $5,573,129 for
respondents; 19,807 hours and $1,015,725 for State/Local/Tribal
agencies; and 539 hours and $30,079 for the EPA.  Table 5 presents the
annual burden for respondents, State/Local agencies, and the EPA over
the next 3 years.

	Burden means the total time, effort, or financial resources expended by
persons to generate, maintain, retain, or disclose or provide
information to or for a Federal agency.  This includes the time needed
to review instructions; develop, acquire, install, and utilize
technology and systems for the purposes of collecting, validating, and
verifying information, processing and maintaining information, and
disclosing and providing information; adjust the existing ways to comply
with any previously applicable instructions and requirements; train
personnel to be able to respond to a collection of information; search
data sources; complete and review the collection of information; and
transmit or otherwise disclose the information.

	An agency may not conduct or sponsor, and a person is not required to
respond to a collection of information unless it displays a currently
valid OMB control number.  The OMB control numbers for EPA’s
regulations in 40 CFR part 63 are listed in 40 CFR part 9.

	To comment on the Agency’s need for this information the accuracy of
the provided burden estimates, and any suggestions for minimizing
respondent burden, including through the use of automated collection
techniques, EPA has established a public docket for this ICR under
Docket ID No. EPA-HQ-OAR-2009-0746, which is available for online
viewing at   HYPERLINK "http://www.regulations.gov" 
http://www.regulations.gov , or in person viewing at the Air and
Radiation Docket and Information Center in the EPA Docket Center
(EPA/DC), EPA West, Room 3334, 1301 Constitution Ave., NW, Washington,
DC.  The EPA Docket Center Public Reading Room is open from 8:30 a.m. to
4:30 p.m., Monday through Friday, excluding legal holidays.  The
telephone number for the Reading Room is (202) 566-1744, and the
telephone number for the Air Docket is (202) 566-1742.  An electronic
version of the public docket is available at   HYPERLINK
"http://www.regulations.gov"  http://www.regulations.gov .  This site
can be used to submit or view public comments, access the index listing
of the contents of the public docket, and to access those documents in
the public docket that are available electronically.  When in the
system, select “search,” then key in one of the Docket ID Numbers
identified above.  Also, you can send comments to the Office of
Information and Regulatory Affairs, Office of Management and Budget, 725
17th Street, NW, Washington, DC 20503, Attention Desk Officer for EPA. 
Please include the relevant Docket ID Number (EPA-HQ-OAR-2009-0746) in
any correspondence. 



Part B of the Supporting Statement

	This section is not applicable because statistical methods are not used
in the data collection associated with the section 112(j) regulation.



TABLES

								Table 1.  Source Categories for which MACT Standards Have Been
Vacated

Source Category	Total estimated number of sources

Polyvinyl chloride and copolymers production (Part 63, Subpart J)	19

Brick and structural clay products manufacturing (Part 63, Subpart
JJJJJ)	122

Clay ceramics manufacturing (Part 63, Subpart KKKKK)	8

Industrial, Commercial, and Institutional Boilers and Process Heaters
(Part 63, Subpart DDDDD)	15,500

Total	15,649



 (1) These are external consultations, assumed to be billed at $100/hr.

 (1) These are external consultations, assumed to be billed at $100/hr.

 

 

 

 



 (a) EPA only review 10% of permit applications.

 

(a) Number of Respondents consists of all existing sources and State and
local agencies affected by the section 112(j) program

	

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