1. 1 Designations & Classifications for the 8-hour Ozone NAAQS U.S. EPA Office of Air Quality Planning and Standards

2. 2 Here’s what we’ll cover  Brief background  How designations and classifications were determined  A national look  Determining nonattainment boundaries  11 factors  Where to find more information

3. 3 What is a nonattainment area?  “... any area that does not meet (or that contributes to ambient air quality in a nearby area that does not meet) the NAAQS” CAA §107(d)(1)(A)(i)

4. 4 1-hr,.12 ppm ozone standard promulgated in 1979. 1-hr,.12 ppm ozone standard promulgated in 1979. 8-hr,.08 ppm ozone standard promulgated in 1997. 8-hr,.08 ppm ozone standard promulgated in 1997. Final 8-hr. designations & classifications signed on 4/15/04 (published 4/30/04 in 69 FR 23858). Final 8-hr. designations & classifications signed on 4/15/04 (published 4/30/04 in 69 FR 23858). Background & history

5. 5 Background & history (con’d) 8-hr. classification scheme originates in April 2004 implementation rule. 8-hr. classification scheme originates in April 2004 implementation rule. Based on the 1-hr approach. Based on the 1-hr approach. Control requirements tied to the applicable subpart and the area’s classification. Control requirements tied to the applicable subpart and the area’s classification.

6. 6 How were 8-hour designations and classifications determined?

7. 7 Violating the 8-hr? (>.085 ppm) yes Was area’s 1-hr. dv >.121 ppm? If no: Subpart 1 If yes: Subpart 2 8-hr classification MarginalModerateSeriousSevereExtreme

8. 8 CAA Table 181 Conversion

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10. 10 How the areas sorted out 71 subpart 1 “Basic” areas*71 subpart 1 “Basic” areas* Generally below.121 ppm (1-hr.) Generally below.121 ppm (1-hr.) Flexibility Flexibility 41* subpart 2 areas41* subpart 2 areas Have a classification Have a classification Mandated controls Mandated controls *Excludes EAC areas

11. 11 National summary 474 counties designated 474 counties designated nonattainment nonattainment  432 whole counties  42 partial counties ~159 million live in these areas ~159 million live in these areas

12. 12 CATEGORY/ CLASSIFICATION AREAS COUNTIES Severe 17 1 4 Serious 315 Moderate 30 185 Marginal 755 Subpart 2 41 255 Subpart 171172 SUBTOTAL:112425 Moderate EAC 1 8 Subpart 1 EAC1341 SUBTOTAL:1449 GRAND TOTAL 126474 A closer look.... * * Does not equal sum of parts as some counties are split into two classifications.

13. 13 9 Reclassifications – all Moderate to Marginal Effective November 22, 2004: Cass Co., MI Cass Co., MI Muskegon Co., MI Muskegon Co., MI Detroit Detroit Greensboro, NC Greensboro, NC Kent/Queen Anne Cos., MD Kent/Queen Anne Cos., MD Lancaster, PA Lancaster, PA LaPorte, IN LaPorte, IN Memphis Memphis Richmond, VA Richmond, VA

14. 14 Attainment Dates Subpart 1 areas have 5 -10 yearsSubpart 1 areas have 5 -10 years Subpart 2: based on classificationSubpart 2: based on classification Marginal – 3 Marginal – 3 Moderate – 6 Moderate – 6 Serious – 9 Serious – 9 Severe – 15 Severe – 15 Extreme – 20 Extreme – 20

15. 15 How were nonattainment boundaries determined?

16. 16 Starting point: C/MSA 11 factors to determine whether to exclude a county

17. 17 11 factors (con’d)

18. 18 How designation and classification affect an area

19. 19 Where can I find more information?

20. 20 Green Book Green Book … http://www.epa.gov/oar/oaqps/greenbk/o8index.html

21. 21 Or... 69 FR 23858 (April 30, 2004) or... Sharon Reinders reinders.sharon@epa.gov

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23. 23 Early Action Compacts for 8-hr Ozone NAAQS Early Action Compacts for 8-hr Ozone NAAQS U.S. EPA Office of Air Quality Planning and Standards

24. 24  What are Early Action Compacts (EACs)?  What are EAC areas required to do?  Where are EAC areas located?  What innovative measures are planned? What does this presentation cover?

25. 25 What are EACs?  Voluntary agreements – EPA/State/Local  Innovative approach to cleaner air  Encourage communities to act early to reduce ozone sooner than required  Commit to early SIP, early implementation

26. 26 What are EACs?  EAC areas required to meet certain milestones  Area designated nonattainment with deferred effective date  Nonattainment area requirements are not applicable if all milestones met

27. 27 What is required? (EAC Milestones)  Agreements signed December 2002  Preliminary measures identified June 2003  Local air quality plan submitted March 2004

28. 28 What is required? ( EAC Milestones)  State submits SIP by December 2004  Control measures implemented in 2005  Progress assessment due 2006  EAC areas must attain 8-hr ozone standard by December 2007

29. 29  Compacts approved for 33 areas in 9 States  14 areas received “deferred nonattainment designation”  Deferral extends to September 2005 with options for renewal Where are EAC areas and how many received “deferrals?

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31. 31 Specific Examples of Innovative Measures in EAC Areas  Truck Stop Electrification  School bus/diesel engine retrofits  Urban Heat Island Reduction/Cool Cities  Energy Efficiency/Renewable Energy

32. 32  12/31/04 - early SIPs due  9/30/05 - EPA final action  Areas with approved SIPs eligible for continued deferral  Areas with disapproved SIPs designated nonattainment What’s next for EAC areas ?

33. 33 For more information … For more information … www.epa.gov/ttn/naaqs/ozone/eac www.epa.gov/ttn/naaqs/ozone/eac

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35. 35 8-Hour Ozone NAAQS Implementation Rule Final Rule—Phase 1 Highlights Office of Air Quality Planning and Standards U.S. Environmental Protection Agency 9/24/04

36. 36 Chronology -- 8-hour Ozone Implementation Rule  Proposed June 2, 2003.  Comment period closed August 1, 2003.  Additional comment period on rule language closed September 5, 2003.  Re-opened the comment period -- additional classification approaches; closed November 5.

37. 37 Status of 8-hour Ozone Implementation Rule  Final rule to be issued in 2 phases: Phase 1: Phase 1: Classifications, transition/anti- backsliding, revocation of 1-hour std., attainment dates, attainment date extensions, timing of emission reductions needed for attainmentClassifications, transition/anti- backsliding, revocation of 1-hour std., attainment dates, attainment date extensions, timing of emission reductions needed for attainment

38. 38 Status of 8-hour Ozone Implementation Rule  Phase 1 (cont’d) Signed 4/15/2004Signed 4/15/2004 Published 4/30/2004Published 4/30/2004 Effective 6/15/2004Effective 6/15/2004

39. 39 Status of 8-hour Ozone Implementation Rule Phase 2: Phase 2: Remainder of rule elements (e.g., RACT, RFP, attainment demonstrations; 8-hr NSR)Remainder of rule elements (e.g., RACT, RFP, attainment demonstrations; 8-hr NSR) Planning for signature fall 2004Planning for signature fall 2004

40. 40 Separate 8-hour nonattainment areas based on 1-hr design values < 0.121 ppm -- Subpart 1 (attainment dates 5 or 10 years after designation)< 0.121 ppm -- Subpart 1 (attainment dates 5 or 10 years after designation) => than 0.121 ppm -- Subpart 2 (attainment dates 2007 – 2021)=> than 0.121 ppm -- Subpart 2 (attainment dates 2007 – 2021) Classification in general

41. 41 Subpart 2 areas (cont’d) – classified using “translated” 8- hour design values Subpart 2 areas (cont’d) – classified using “translated” 8- hour design values Subpart 1 areas -- No classification except that rural areas that meet overwhelming transport criteria will receive that classification Subpart 1 areas -- No classification except that rural areas that meet overwhelming transport criteria will receive that classification Classification cont’d

42. 42 Attainment Dates  Attainment “as expeditious as practicable but no later than... “ Subpart 2 -- from 6/15/04: Subpart 2 -- from 6/15/04: marginal – 3 years (2007)marginal – 3 years (2007) moderate – 6 years (2010)moderate – 6 years (2010) serious – 9 years (2013)serious – 9 years (2013) severe – 15 or 17 years (2019/2021)severe – 15 or 17 years (2019/2021) extreme – 20 years (2024)extreme – 20 years (2024)

43. 43 Attainment Dates Subpart 1 no later than 5 years after effective date of designation or up to 10 years after designation under certain conditions Subpart 1 no later than 5 years after effective date of designation or up to 10 years after designation under certain conditions

44. 44 Revocation of 1-hr std.  Complete revocation of 1-hr std. 1 year following designations 1 year following designations Continued applicability of subpart 2 requirements Continued applicability of subpart 2 requirements Continued air quality improvement, Continued air quality improvement, Focus toward implementation of the 8-hour standard. Focus toward implementation of the 8-hour standard. Consistent with 1-year grace period for 8-hr O3 conformity. Consistent with 1-year grace period for 8-hr O3 conformity.

45. 45 Anti-Backsliding  Ensures areas continue to implement control measures and planning in their 1-hour plans after 1-hour std revoked  (cont’d... )

46. 46 Anti-Backsliding  Actual rule broken out by kind of area: 8-hr NA area/1-hr NA area 8-hr NA area/1-hr NA area 8-hr NA area/1-hr maintenance area 8-hr NA area/1-hr maintenance area 8-hr attain. area/1-hr NA area 8-hr attain. area/1-hr NA area 8-hr attain. area/1-hr maintenance area 8-hr attain. area/1-hr maintenance area

47. 47 Anti-backsliding—duration of obligation  Time subpart 2 measures (e.g., I/M) need to be in place after the 1-hour standard is revoked: until an area is redesignated to attainment for the 8-hour standard.

48. 48 Anti-backsliding—duration of obligation  After redesignation to attainment, subpart 2 measures could not be dropped but could be recast as contingency measures with a sect. 110(l) showing of noninterference with the 8-hr std.

49. 49 Anti-backsliding—other provisions Would also retain requirements under NOx SIP call Would also retain requirements under NOx SIP call Other provisions in SIP would remain but could be revised Other provisions in SIP would remain but could be revised

50. 50 1-hr NAAQS Obligations that Don’t Apply after Revocation  Adopting the approach proposed rule with modifications  Providing clarification regarding the penalty obligations under sections 181(b)(4) and 185A of the CAA that apply in severe areas that do not attain the 1-hour standard by the applicable attainment date.

51. 51 1-hr NAAQS Obligations that Don’t Apply after Revocation  Demonstrate conformity for the 1-hour NAAQS  No findings of failure to attain the 1-hour standard (no more bump-ups & no and sect. 185 fees  (cont’d...)

52. 52 1-hr NAAQS Obligations that Don’t Apply after Revocation  No second 10-year maintenance plan and obligation to implement contingency measures upon a violation of the 1-hour NAAQS.  NSR for 1-hour NAAQS.

53. 53 Timeframe for emission reductions for attainment  If an area needs more than the reductions required by RFP in order to demonstrate attainment, then any additional reductions would have to be achieved by the beginning of the ozone season prior to the area’s attainment date.

54. 54 Websites  General Implementation site:  http://www.epa.gov/ttn/naaqs/ozone/o 3imp8hr/ http://www.epa.gov/ttn/naaqs/ozone/o 3imp8hr/ http://www.epa.gov/ttn/naaqs/ozone/o 3imp8hr/  Federal Register notice & related material — phase 1:  http://www.epa.gov/ttn/naaqs/ozone/o 3imp8hr/proprule.html

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56. 56 8-Hour Ozone NAAQS Implementation Rule Final Rule—Phase 2 Major Components & Policy Issues Office of Air Quality Planning and Standard U.S. Environmental Protection Agency 9/24/04

57. 57 Reasonable Further Progress (RFP)  What it’s for – Required to ensure progress toward attainment prior to attainment date  Major Policy Issues RFP for subpart 1 areas (flexible approach or more prescriptive approach) RFP for subpart 1 areas (flexible approach or more prescriptive approach) Timing of plan submission & implementation of measures Timing of plan submission & implementation of measures

58. 58 Reasonably Available Control Technology (RACT)  What it’s for – Ensure minimum level of emission control technology for nonattainment areas  Major Policy issues RACT for subpart 1 areas (flexible approach or more prescriptive approach) (cont’d...) RACT for subpart 1 areas (flexible approach or more prescriptive approach) (cont’d...)

59. 59 Reasonably Available Control Technology (RACT)  Major Policy issues (cont’d) Subpart 2 RACT Subpart 2 RACT Use of Previous GuidanceUse of Previous Guidance Effect of NOx SIP call coverageEffect of NOx SIP call coverage Timing of plan submission & implementation of measures Timing of plan submission & implementation of measures

60. 60 Attainment demonstrations & photochemical grid modeling  What it’s for – State must demonstrate analytically that emission reductions over time will achieve the NAAQS by the attainment date (cont’d..

61. 61 Attainment demonstrations & photochemical grid modeling  Major Policy Issues Timing of submission Timing of submission Which subpart 1 areas need to submit modeled attainment demonstrations Which subpart 1 areas need to submit modeled attainment demonstrations

62. 62 Long-range Transport  What’s the problem – Many areas cannot attain the standard through only local control but must rely on controls from upwind areas  Major Policy Issue – How should EPA address this problem?

63. 63 New Source Review  What it’s for – Ensure that new sources locating in a nonattainment area will not interfere with attainment or progress toward attainment  Major Policy Issue – How to structure existing NSR rule to address the 8-hour standard.

64. 64 Flexibility for Mandatory Measures under subpart 2  Major Policy Issue – Can EPA allow waivers for subpart 2 mandatory measures?

65. 65 Once again--Website  General Implementation site:  http://www.epa.gov/ttn/naaqs/ozone/o 3imp8hr/ http://www.epa.gov/ttn/naaqs/ozone/o 3imp8hr/ http://www.epa.gov/ttn/naaqs/ozone/o 3imp8hr/

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67. 67 New Source Review under the 8-hour Ozone NAAQS U.S. EPA Office of Air Quality Planning and Standards

68. 68 What does this presentation cover?  NSR in Phase II Ozone Implementation Rule  Implementing NSR Under the 8- hour Ozone NAAQS

69. 69 Nonattainment NSR in Phase II Ozone Implementation Rules

70. 70 NSR in Phase II Rule  Changing nonattainment major NSR rules to implement the 8- hour ozone NAAQS.  Changes to SIP rules (§51.165) and to Appendix S.  Expected promulgation: Fall 2004.

71. 71 What will the Phase II rule include?  Major Stationary Source Thresholds  Significant Emission Rates  Offset Ratios  NOx as an Ozone Precursor in Ozone Nonattainment Areas  Final Action on Transitional NSR Program Proposed June 2003

72. 72 Requirements in Subpart 1 (Basic) Areas Major Stationary Source Threshold 100 tpy VOC/NOx Significant Emission Rate 40 tpy VOC/NOx Offset Ratio At least 1:1

73. 73 Major Stationary Source Subpart 2 Areas Marginal 100 tpy VOC/NOx Moderate Serious 50 tpy VOC/NOx Severe 15/17 25 tpy VOC/NOx Extreme 10 tpy VOC/NOx

74. 74 Significant Emission Rate Subpart 2 Areas Marginal 40 tpy VOC or NOx Moderate Serious 25 tpy VOC or NOx Severe 15/17 25 tpy VOC or NOx Extreme Any increase

75. 75 Offset Ratios Subpart 2 Areas Marginal At least 1.1:1 Moderate At least 1.15:1 Serious At least 1.2:1 Severe 15/17 At least 1.3:1 Extreme At least 1.5:1

76. 76 Implementing NSR Under the 8-hr Ozone NAAQS

77. 77 When do the ozone NAAQS apply?  1-hr NAAQS revoked June 15, 2005.  8-hr NAAQS effective June 15, 2004.  From June 15, 2004 through June 14, 2005, designations and classifications for both 1-hr and 8-hr NAAQS will apply in some areas.

78. 78 Nonattainment Areas 1-hour 8-hour

79. 79 What about NSR SIPs?  Approved NSR SIP at permit issuance determines permit terms.  If no approved SIP applying to nonattainment area, States or EPA will issue permits meeting conditions in Appendix S.

80. 80 What about NSR SIPs?  States not required to keep NSR SIP that applied under the 1-hr standard once 1-hr standard revoked.  Instead, States must establish an 8- hr NSR SIP program based on 8-hr ozone designation and classification.  States must submit and EPA must approve 8-hr NSR SIPs before they apply.

81. 81 What about NSR permits?  Existing permits issued under the 1-hr NSR SIP remain in force.

82. 82 When does 1-hr NSR stop applying ?  New Source- see approved NSR SIP. In some areas, requirements cease to apply when 1-hr standard revoked. In some areas, requirements cease to apply when 1-hr standard revoked. In other areas, need SIP revision before requirements no longer apply. In other areas, need SIP revision before requirements no longer apply.  Permits issued under the 1-hr NSR SIP remain in force.

83. 83 What about 1-hr permits? 20032006 NAAQS1-hr8-hr Classificationseriousmoderate Major Source 50 tpy 100 tpy PTE VOC 79 tpy LAER 18.62 lb/hr

84. 84 When does NSR apply in 8-hr areas?  8-hr nonattainment NSR began applying on June 15, 2004.  Many States already have an approved NSR SIP that applies in 8- hr ozone nonattainment areas.  If no approved nonattainment NSR program that applies to 8-hr ozone nonattainment area, the State or EPA will issue preconstruction permits under 40 CFR Part 51, Appendix S.

85. 85 How does NSR apply in 1-hr/8-hr nonattainment areas?  Approved NSR SIP remains in place until SIP revision approved.  NSR SIP may not need revision to apply to 8-hr designations and classifications.  6-15-04 through 6-14-05, both 1-hr and 8-hr NAAQS are in effect and permits must be issued according to the higher classification that applies.

86. 86 What if 2 classifications apply? 1-hrSerious 50 tpy major source ≥ 1.2:1 offsets 8-hrModerate 100 tpy major source ≥ 1.15:1 offsets Permit before 6-15-05 based on: 50 tpy major source ≥ 1.2:1 offsets

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