[Federal Register Volume 85, Number 57 (Tuesday, March 24, 2020)]
[Proposed Rules]
[Pages 16588-16590]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-05985]


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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[EPA-R09-OAR-2020-0079; FRL-10006-51-Region 9]


Air Plan Approval; California; San Joaquin Valley Unified Air 
Pollution Control District

AGENCY: Environmental Protection Agency (EPA).

ACTION: Proposed rule.

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SUMMARY: The Environmental Protection Agency (EPA) is proposing to 
approve a revision to the San Joaquin Valley Unified Air Pollution 
Control District (SJVUAPCD) portion of the California State 
Implementation Plan (SIP). This revision concerns emissions of oxides 
of nitrogen (NOX) and particulate matter (PM) from off-road 
mobile, diesel agricultural equipment. We are proposing to approve a 
local measure to reduce NOX and PM emissions from these 
emission sources under the Clean Air Act (CAA or the Act). We are 
taking comments on this proposal and plan to follow with a final 
action.

DATES: Any comments must arrive by April 23, 2020.

ADDRESSES: Submit your comments, identified by Docket ID No. EPA-R09-
OAR-2020-0079 at https://www.regulations.gov. For comments submitted at 
Regulations.gov, follow the online instructions for submitting 
comments. Once submitted, comments cannot be edited or removed from 
Regulations.gov. The 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 you wish to make. The 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, please contact the person identified in 
the FOR FURTHER INFORMATION CONTACT section. For the full EPA public 
comment policy, information about CBI or multimedia submissions, and 
general guidance on making effective comments, please visit https://www.epa.gov/dockets/commenting-epa-dockets.

FOR FURTHER INFORMATION CONTACT: Rynda Kay, EPA Region IX, 75 Hawthorne 
Street, San Francisco, CA 94105, (415) 947-4118, kay.rynda@epa.gov.

SUPPLEMENTARY INFORMATION: Throughout this document, ``we,'' ``us'' and 
``our'' refer to the EPA.

Table of Contents

I. The State's Submittal
    A. What measure did the State submit?
    B. Are there other versions of this measure?
    C. What is the purpose of the submitted measure?
II. The EPA's Evaluation and Proposed Action
    A. How is the EPA evaluating the measure?
    B. Does the measure meet the evaluation criteria?
    C. Proposed Action and Request for Public Comment
III. Incorporation by Reference
IV. Statutory and Executive Order Reviews

I. The State's Submittal

A. What measure did the State submit?

    Table 1 lists the measure addressed by this proposal with the date 
that it was adopted by the California Air Resources Board (CARB). We 
refer to this measure as the ``Valley Incentive Measure.''

                                           Table 1--Submitted Measure
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              Agency                Resolution No.          Measure title             Adopted        Submitted
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CARB..............................           19-26  ``San Joaquin Valley                12/12/19        02/11/20
                                                     Agricultural Equipment
                                                     Incentive Measure,'' as
                                                     amended by ``Additional
                                                     Clarifying Information for
                                                     the San Joaquin Valley
                                                     Agricultural Equipment
                                                     Incentive Measure.''
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    We find that the submittal for the Valley Incentive Measure meets 
the completeness criteria in 40 CFR part 51 Appendix V, which must be 
met before formal EPA review.

B. Are there other versions of this measure?

    There are no previous versions of the Valley Incentive Measure in 
the SIP.

C. What is the purpose of the submitted measure?

    Emissions of NOX contribute to ground-level ozone, smog 
and particular matter, which harm human health and the environment. 
Emissions of PM, including PM equal to or less than 2.5 microns in 
diameter (PM2.5) and PM equal to or less than 10 microns in 
diameter (PM10), contribute to effects that are harmful to 
human health and the environment, including premature mortality, 
aggravation of respiratory and cardiovascular disease, decreased lung 
function, visibility impairment, and damage to vegetation and 
ecosystems. The CAA generally requires states to submit control 
measures to reduce NOX and PM emissions.
    The San Joaquin Valley is designated and classified as a Serious 
nonattainment area for the 1997 annual and 24-hour PM2.5 
standards and the 2006 24-hour PM2.5 standards, and 
designated and classified as a Moderate nonattainment area for the 2012 
annual PM2.5 standard.\1\ On May 10, 2019, CARB submitted 
the ``2018 Plan for the 1997, 2006, and 2012 PM2.5 
Standards,'' adopted November 15, 2018 (``2018 PM2.5 Plan'') 
and the ``San Joaquin Valley Supplement to the 2016 State Strategy for 
the State Implementation Plan,'' adopted October 25, 2018 (``Valley 
State SIP Strategy''), which contain, inter alia, a request to extend 
the attainment deadline for the 2006 PM2.5 standards from 
2019 to 2024 in the San Joaquin Valley and commitments to achieve 
specific amounts of PM2.5 and NOX emission 
reductions by 2024 and 2025 toward attainment requirements for the 2006 
24-hour and the 2012 annual PM2.5 standards, 
respectively.\2\
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    \1\ 40 CFR 81.305.
    \2\ 2018 PM2.5 Plan, 6-2.
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    The Valley Incentive Measure contains a set of enforceable 
commitments by CARB to monitor, assess, and regularly report on 
emission reductions from off-road mobile, diesel agricultural equipment 
replacement

[[Page 16589]]

projects implemented through CARB's Carl Moyer Memorial Air Quality 
Standards Attainment Program (Carl Moyer), the United States Department 
of Agriculture's Natural Resources Conservation Service (NRCS) 
Environmental Quality Incentives Program (EQIP), and CARB's Funding 
Agricultural Replacement Measures for Emission Reductions (FARMER) 
Program, according to specific guidelines and/or program criteria. 
These program requirements ensure, among other things, that older, 
dirtier agricultural equipment currently in operation in the San 
Joaquin Valley will be replaced with less-polluting equipment.
    The Valley Incentive Measure obligates CARB to achieve specific 
amounts of NOX and PM2.5 emission reductions 
through implementation of these programs by specific years, to submit 
annual reports to the EPA beginning on May 15, 2021, detailing the 
implementation of specific projects and the projected emission 
reductions, and to adopt and submit substitute measures by specific 
dates if the EPA determines that the identified projects will not 
achieve the necessary emission reductions by the applicable 
implementation deadlines. The Valley Incentive Measure includes 
technical corrections and clarifications to the Board resolution 
adopting the measure, which are described in a document entitled 
``Additional Clarifying Information for the San Joaquin Valley 
Agricultural Equipment Incentive Measure.''
    We are proposing to approve the Valley Incentive Measure into the 
California SIP and to make the State commitments contained therein 
enforceable by the EPA and by citizens under the CAA. The State relies 
on the Valley Incentive Measure to achieve 5.9 tpd of NOX 
and 0.3 tpd PM2.5 emission reductions in 2024 and 5.1 tpd of 
NOX and 0.3 tpd PM2.5 emission reductions in 2025 
for purposes of meeting the requirements for attainment of the 2006 and 
2012 PM2.5 NAAQS. We intend to evaluate CARB's submitted 
plans to provide for attainment of the PM2.5 NAAQS in the 
San Joaquin Valley through subsequent notice-and-comment rulemaking 
actions, as appropriate. The EPA's technical support document (TSD) has 
more information about this measure.

II. The EPA's Evaluation and Proposed Action

A. How is the EPA evaluating the measure?

    Generally, SIP control measures must be enforceable (see CAA 
section 110(a)(2)), must not interfere with applicable requirements 
concerning attainment and reasonable further progress or other CAA 
requirements (see CAA section 110(l)), and must not modify certain SIP 
control requirements in nonattainment areas without ensuring equivalent 
or greater emission reductions (see CAA section 193).
    The CAA explicitly provides for the use of economic incentive 
programs (EIPs) as one tool for states to use to achieve attainment of 
the NAAQS.\3\ EIPs use market-based strategies to encourage the 
reduction of emissions from stationary, area, and mobile sources in an 
efficient manner. EPA has promulgated regulations for statutory EIPs 
required under section 182(g) of the Act and has issued guidance for 
discretionary EIPs.\4\
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    \3\ See, e.g., CAA sections 110(a)(2)(A), 172(c)(6), and 
183(e)(4).
    \4\ 59 FR 16690 (April 7, 1994), codified at 40 CFR part 51, 
subpart U and EPA, ``Improving Air Quality with Economic Incentive 
Programs,'' January 2001 (``2001 EIP Guidance''). A ``discretionary 
economic incentive program'' is ``any EIP submitted to the EPA as an 
implementation plan revision for purposes other than to comply with 
the statutory requirements of sections 182(g)(3), 182(g)(5), 
187(d)(3), or 187(g) of the Act.'' 40 CFR 51.491.
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    The EPA's guidance documents addressing EIPs and other 
nontraditional programs provide for some flexibility in meeting 
established SIP requirements for enforceability and quantification of 
emission reductions, provided the State takes clear responsibility for 
ensuring that the emission reductions necessary to meet applicable CAA 
requirements are achieved. Accordingly, the EPA has consistently stated 
that nontraditional emission reduction measures submitted to satisfy 
SIP requirements under the Act must be accompanied by appropriate 
``enforceable commitments'' from the State to monitor emission 
reductions achieved and to rectify shortfalls in a timely manner.\5\ 
The EPA has also consistently stated that, where a state intends to 
rely on a nontraditional program to satisfy CAA requirements, the state 
must demonstrate that the program achieves emission reductions that are 
quantifiable, surplus, enforceable, and permanent.\6\
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    \5\ See, e.g., EPA, ``Guidance on Incorporating Voluntary Mobile 
Source Emission Reduction Programs in State Implementation Plans 
(SIPs),'' Richard D. Wilson, Acting Assistant Administrator for Air 
and Radiation, October 24, 1997 (``1997 VMEP''), 4-5.
    \6\ See, e.g., 2001 EIP Guidance, section 4.1.
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    Guidance documents that we use to evaluate discretionary EIPs and 
other nontraditional emission reduction programs include the following:
     ``Guidance on Incorporating Voluntary Mobile Source 
Emission Reduction Programs in State Implementation Plans (SIPs),'' 
Richard D. Wilson, Acting Assistant Administrator for Air and 
Radiation, October 24, 1997 (``1997 VMEP'').
     ``Improving Air Quality with Economic Incentive Programs'' 
January 2001 (EPA-452/R- 01-001) (``2001 EIP Guidance'').
     ``Incorporating Emerging and Voluntary Measure in a State 
Implementation Plan (SIP),'' Stephen D. Page, OAQPS, October 4, 2004 
(``2004 Emerging and Voluntary Measures Guidance'').
     ``Guidance on Incorporating Bundled Measures in a State 
Implementation Plan,'' Stephen D. Page, OAQPS, and Margo Oge, OTAQ, 
August 16, 2005 (``2005 Bundled Measures Guidance'').
     ``Diesel Retrofits: Quantifying and Using Their Emission 
Benefits in SIPs and Conformity: Guidance for State and Local Air and 
Transportation Agencies,'' March 2018 (EPA-420-B-18-017) (``2018 Diesel 
Retrofits Guidance'').

B. Does the measure meet the evaluation criteria?

    The Valley Incentive Measure contains clear, mandatory obligations 
that are enforceable against CARB and ensure that information about the 
emission reductions achieved through the identified incentive programs 
will be readily available to the public through CARB's submission of 
annual demonstration reports to the EPA. Our approval of the Valley 
Incentive Measure would make these obligations enforceable by the EPA 
and by citizens under the CAA. The Valley Incentive Measure obligates 
the State to monitor implementation of specific projects in accordance 
with the identified programs to ensure that these projects achieve 
quantifiable, surplus, permanent, and enforceable NOX and 
PM2.5 emission reductions. The Valley Incentive Measure does 
not alter any existing SIP requirements. Our approval of this measure 
would strengthen the SIP and would not interfere with applicable 
requirements concerning attainment and reasonable further progress or 
other CAA requirements, consistent with the requirements of CAA section 
110(l). Section 193 of the CAA does not apply

[[Page 16590]]

to this action because this measure does not modify any SIP control 
requirement that was in effect before November 15, 1990.
    We are proposing to find that the Valley Incentive Measure 
satisfies CAA requirements for enforceability, SIP revisions, and 
nontraditional emission reduction programs as interpreted in EPA 
guidance documents. The TSD contains more information on our evaluation 
of this measure.

C. Proposed Action and Request for Public Comment

    The EPA proposes to fully approve the submitted measure under CAA 
section 110(k)(3) based on a conclusion that the measure satisfies all 
applicable requirements. We will accept comments from the public on 
this proposal until April 23, 2020. If we take final action to approve 
the submitted measure, our final action will incorporate this measure 
into the federally enforceable SIP.

III. Incorporation by Reference

    In this rule, the EPA is proposing to include in a final EPA rule 
regulatory text that includes incorporation by reference. In accordance 
with requirements of 1 CFR 51.5, the EPA is proposing to incorporate by 
reference the CARB measure described in Table 1 of this preamble. The 
EPA has made, and will continue to make, these materials available 
through www.regulations.gov and at the EPA Region IX Office (please 
contact the person identified in the FOR FURTHER INFORMATION CONTACT 
section of this preamble for more information).

IV. Statutory and Executive Order Reviews

    Under the Clean Air Act, 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, the EPA's role is to approve state 
choices, provided that they meet the criteria of the Clean Air Act. 
Accordingly, this proposed action merely proposes to approve state law 
as meeting federal requirements and does not impose additional 
requirements beyond those imposed by state law. For that reason, this 
proposed 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);
     Is not an Executive Order 13771 (82 FR 9339, February 2, 
2017) regulatory action because SIP approvals are exempted under 
Executive Order 12866;
     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 application of those requirements would be inconsistent 
with the Clean Air Act; and
     Does not provide the EPA with the discretionary authority 
to address disproportionate human health or environmental effects with 
practical, appropriate, and legally permissible methods under Executive 
Order 12898 (59 FR 7629, February 16, 1994).
    In addition, the SIP is not approved to apply on any Indian 
reservation land or in any other area where the 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).

List of Subjects in 40 CFR Part 52

    Environmental protection, Air pollution control, Incorporation by 
reference, Nitrogen dioxide, Particulate matter, Reporting and 
recordkeeping requirements.

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

    Dated: March 16, 2020.
Deborah Jordan,
Acting Regional Administrator, Region IX.
[FR Doc. 2020-05985 Filed 3-23-20; 8:45 am]
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