450R82101
                           PROGRESS IN THE PREVENTION AND CONTROL




                                 OF AIR POLLUTION  IN 1982











                             ANNUAL REPORT OF THE ADMINISTRATOR




                           OF THE ENVIRONMENTAL PROTECTION AGENCY




                                          TO THE




                              CONGRESS OF THE UNITED STATES




                                    IN COMPLIANCE  VJITH




                             SECTIONS 313, 202(b)(4), and 306




                                            OF




                                  42 U.S.C. 7401 ET SEQ.




                              THE CLEAN AIR ACT, AS AMENDED
                                0.9.
                                C.Y"

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                                CONTENTS
PREFACE [[[  iii

   I.  INTRODUCTION AND  SUMMARY ..................................  1-1

  II.  AIR QUALITY  TRENDS,  MONITORING, AND MODELING
       A.  National Air  Quality  and  Emission Trends ..............  II-l
       B.  Ambient  Air Monitoring ................................  II-3
       C.  Air Quality Modeling ..................................  II-b

 III.  AIR POLLUTION RESEARCH  PROGRAMS
       A.  Oxidants ..............................................  III-l
       B.  Mobile Sources ........................................  III-3
       C.  Gases and Particles ...................................  III-4
       D.  Hazardous Air Pollutants ..............................  III-7
       E.  Acid Deposition .......................................  III-9

  IV.  DEVELOPMENT  OF NATIONAL AMBIENT AIR QUALITY  STANDARDS .....  IV-1

   V.  STATUS OF AIR QUALITY MANAGEMENT  PROGRAMS
       A.  State Implementation  Plans ............................  V-l
       B.  Processing of SIP Revisions ...........................  V-2
       C.  National Air  Audit  System .............................  V-3
       D.  Emissions Trading .....................................  V-3
       E.  BACT/LAER and Air Quality Modeling  Clearinghouses .....  V-4
       F.  New Source Review and Prevention  of Significant
             Deterioration .......................................  V-b
       G.  Implementation Guidance for Revised Participate
             Matter Standards ....................................  V-6
       H.  Visibility Protection .................................  V-6
       I.  Interstate Ai r Pollution ..............................  V-7
       J.  Tall Stacks and  Other Dispersion  Techniques ...........  V-7
       K.  Air Pollution Training ................................  V-B

  VI.  CONTROL OF STATIONARY SOURCE  EMISSIONS
       A.  New Source Performance Standards  (NSPS) ...............  VI-1
       B.  National Emissions  Standards  for  Hazardous Air
             Pollutants  (NESHAP) .................................  VI-1

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 VII.   STATIONARY  SOURCE  COMPLIANCE
       A.  Major Stationary  Sources	  VII-1
       B.  1982 Deadline  Enforcement  Policy	  VII-2
       C.  Steel Industry Compliance  Extension Act	  VII-3
       I).  Major Court  Actions	  VII-4
       E.  Compliance by  Federal  Facilities	  VH-b
       F.  List of Violating Facilities	  VII-5

VIII.   CONTROL OF  MOBILE  SOURCE  EMISSIONS
       A.  Standard Setting	  VIII-2
       B.  Preproduction  Compliance	  VIII-4
       C.  Inspect ion /Maintenance.	  VIII-4
       D.  Alternative  Compliance Measures	  VIII-5
       E.  Mobile Source  Enforcement	  VIII-5

  IX.   LITIGATION	  IX-1

   X.   REFERENCES	  X-l
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                                 PREFACE
     The Clean Air Act,  as amended,  authorizes  a  national  program  of  air
pollution research, regulation,  and  enforcement activities.   This  program
is directed at the Federal level  by  the U.S.  Environmental  Protection
Agency (EPA).  However,  primary  responsibility  for the  prevention  and
control of air pollution at its  source continues  to rest  with State  and
local governments.  EPA's role is to conduct  research  and development
programs, set national  standards  and regulations,  provide technical  and
financial assistance to  the States,  and,  where  necessary,  supplement
State implementation programs.

     Section 313 of the  Clean Air Act requires  the Administrator to  report
on measures taken toward implementing the purpose and  intent  of  the  Act.
This report covers the period January 1 to December 31,  1982, and  describes
the issues involved in the prevention and control  of air  pollution and
the major elements of progress toward that goal that have been made  during
that time.  In addition, this report also includes two  other  EPA reports
to Congress required under the Clean Air Act, as  amended:

     1.  Section 306 report on Federal procurement and  violating facilities
(Chapter VII), and

     '/.  Section 202(b)(4) report on measures taken in  relation  to motor
vehicle emissions control (Chapter VIII).

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                       I.   INTRODUCTION  AND  SUMMARY
A.   OVERVIEW

     This report describes the progress  that  the  Environmental Protection
Agency (EPA) has made in the prevention  and control  of  air  pollution
during 1982.  In many cases, this progress  builds on the  experiences  of
the prior decade.  The following paragraphs summarize the contents of  the
remaining chapters of this report,  especially insofar as  those chapters
illuminate current understanding of air  quality problems, controls, and
administrative apparatus.  Since it takes  approximately one year  to
assemble, analyze, and report air quality  and emissions data, the  latest
data available for this report is for the  year 1981.

B.   AIR QUALITY TRENDS, MONITORING,  AND MODELING

     With the exception of nitrogen dioxide,  data trends  over the  last
several years show continuing improvements  across the country in  ambient
air quality and total pollutant emissions.  For example:

     0 Between 1980 and 1981, average ambient total  suspended particulate
       (TSP) levels decreased 6 percent  while TSP emissions from  man-made
       sources decreased approximately 2 percent.

     0 Average ambient levels of sulfur  dioxide  (S0£) decreased 27
       percent between 1975 and 1981  and total S02 emissions decreased
       12 percent.

     0 Average ambient carbon monoxide (CO)  levels decreased 2b percent
       between 1975 and 1981, and the annual  rate of improvement  has
       been approximately 5 percent.   Total CO emitted  during this time
       decreased 10 percent.

     0 Average ambient nitrogen dioxide  (N02) levels increased  5  percent
       between 1975 and 1981, but the levels  were declining bpfween  198U
       and  1981.

     0 Between 197b and 1981, average ambient ozone  (03)  levels  decreased
       14 percent.  Total ^missions of volatile  organic compounds (VOC's),
       which are ozone precursors, declined approximately 9 percent
       during this same period.

     J The  composite maximum quarterly average of ambient lead  levels
       decreased 57 percent between 1975 and  1981.  This  is consistent
       with a reduction in  lead consumption in gasoline of  67 percent in
       this period.

     EPA promulgated regulations in 1979 which required States  to establis*
and operate air monitoring  networks and  to report the data  to EPA.  Two
types  of permanent stations are provided for  in  the regulations:   State
and Local Air Monitoring Stations  (SLAMS)  and National  Air  Monitoring

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                                   1-2
Stations (NAMS).   The SLAMS,  which  were  designed  to  meet  the  overall
monitoring requirements of State Implementation Plan activities,  were
required to meet  all  provisions of  the  regulations  by January 1,  1983.
Through December  1982, there  were 4,659  SLAMS monitors out  of a  total
planned network of 4,959 monitors that  met  all  requirements of the  regula-
tions.  The NAMS, which are a subset of  the SLAMS network,  are designed
to provide a national monitoring network as required by Section  319 of
the Act.  Through December 1982, there  were 1,323 NAMS monitors  out of  a
total  planned network of 1,370 monitors  that met  all requirements of the
regulati ons.

     In 1981, EPA entered into a cooperative agreement with the  American
Meteorological Society for peer scientific  review of EPA's  modeling
guidance.  During 1982, this  program to evaluate  several  categories of
models was continued.  The evaluation of rural  models was completed and
the results reaffirmed that these models are reasonably reliable in
estimating the magnitude of the highest  .concentrations occurring at some
timp and at some  place within a geographic  area.   The evaluation of urban
nodels was initiated and will be completed  in 1983.   Data bases  for
complex terrain and  long-range transport models were compiled in 1982  and
evaluation will be initiated  in 1983.

C.   AIR POLLUTION RESEARCH PROGRAMS

     EPA's air pollution research program is divided into four major
categories:  Oxidants, Mobile Sources,  Gases and Particles,  and  Hazardous
Air Pollutants.  The  research in each of these areas is planned  by  a
Research Committee composed of EPA research managers and representa-
tives from EPA's program offices.  Each Research Committee plans the full
range of research for the pollutants covered by that Committee.   The
research covers  scientific assessments, monitoring  systems and quality
dssjrance, health effects, environmental engineering and technology, and
environmental  processes and effects.

      In the oxidants  area, major efforts includpd research directed
toward  assessing pulmonary function changes  in healthy and potentially
sensitive  populations  following oxidant inhalation  and research  aimed at
developing  better models to extrapolate animal effects data  to humans.
Research in the  mobile sources  area in  1982  emphasized the health effects
of diesel  exhaust and  carbon monoxide emissions.  Research was also
directed toward  characterizing  the  gaseous  and particle emissions from a
variety  of  motor vehicle categories.  Research in the  gases  and  particles
area  in  1982  included  the  successful testing and installation of 10-micro-
nipt >r  samplers for particulate  matter at 24  stations,  assessment of the
>ist> of  adipic  acid to enhance  limestone flue gas desulfurization systems,
an.' research  into the transport  and  fate of  sulfur  dioxide and particles
js *;ell  as  their effects on  agricultural crops,  materials, and visibility.
Research  on  hazardous air  pollutants included the preparation of health
assessments  on a number  of chemicals, the  development  of methods to
 identify  mutagenic compounds  in the  ambient  air, quantification  of  the
 levels  of  potentially hazardous  air  pollutants,and  the determination of
 tVir fate in the atmosphere.

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                                   1-3
     In addition,  EPA conducted  research  on the sources, effects, and
possible mitigation  strategies  for  controlling acid deposition.  During
1982,  KPA worked to  establish more  clearly and verify the  relationship
between emissions and deposition, determine the dose-response  function^
and the extent  of potential  impacts,  and  assess the relative costs and
benefits of possible mitigation  strategies.

0.   DEVELOPMENT OF  NATIONAL AMBIENT  AIR  QUALITY  STANDARDS

     The 1977 Clean  Air Act  Amendments  require EPA to  review and, if
necessary, revise the national  ambient  air quality standards (NAAQS) on  a
five-year basis.  Reviews of all  seven  NAAQS  were in progress  in 1932
including the anticipated revocation  of the hydrocarbon  (HC) NAAQS on the
basis  that the HC NAAQS was  no  longer an  appropriate guide for attaining
the ozone NAAQS and  that more sophisticated techniques  are now available
for designing ozone  control  strategies.

     EPA continued to review the NAAQS  for nitrogen oxides, participate
matter, and sulfur oxides.  Proposal  of revised or reaffirmed  standards
for nitrogen oxides  and particulate matter  is expected  in  1933 and  for
sulfur oxides in 1984.  In addition,  work on  revising  the  criteria  documents
for lead and ozone continued in  1982.

F.   STATUS OF AIR QUALITY MANAGEMENT PROGRAMS

     In late 1982, EPA prepared  a Federal Regi ster notice  for  publication
in parly 1983 that identified  portions  of 32  States  and Territories  that
EPA concluded would  either not  attain air quality standards as required
or else would not comply with  certain other  portions of the Act pertaininy
to nonattainment plans.

     Also in late 1982, EPA prepared a  Federal Register notice for  publication
in early 1983 that pertained to  those States  that requested an extension
of the December 31,  1982, attainment date for ozone  or  carbon  monoxide  or
both.   States that received an  extension were required  to  submit  implemen-
tation plans that demonstrated  attainment of  the  relevant  standards  no
later than December  31, 1987.   In the same  Federal Register notic°,  EPA
proposed disapproval of plans  for 17 of the  31 States  that were required
to submit revised implpmentation plans.

     Through 1982, EPA reviewed and took final action  on 21 complete lead
State Implementation Plans  (SIP's)  and 7 partial  SIP's.  In 1982, the
Natural Resources Defense Council and others  filed suit to require  EPA  to
promulgate lead SIP's for those States  that  had  not yet submitted them
and to approve or disapprove lead SIP's that  had  been  submitted but  on
which EPA had not taken final  action.

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                                   1-4
     One of EPA's most significant  air  quality  management  initiatives
luring the year was the reduction of the SIP  backlog.   In  1982,  changes
to the SIP review process werp> made to  accelerate  review of  routine  and
noncontroversial SIP actions and reduce the duplication of effort  between
the States, the EPA Regional Offices, and EPA Headquarters.   Prior to the
implementation of these changes, the inventory  of  SIP  submittals awaiting
Regional Office and Headquarters action was growing  because  EPA  was  only
.ibl.j to process SIP actions at two-thirds the SIP  submittal  rate.  A
project was begun in late 1981 and  continued  into  1982 to  substantially
reduce this inventory.  A reduction of  93 percent  was  achieved by  July  1,
1982.  The continuing objective is  to process SIP  revisions  as rapidly  as
possible in order to avoid any future backlogs.

     EPA is actively working to delegate more air  quality  management
programs to State and local air pollution control  agencies.   At  the  same
tin», EPA is developing uniform audit processes to assure  that national
air quality goals are met while promoting and enhancing a  cooperative
working relationship between EPA and State and local agencies.  In 1982,
efforts in this area were directed toward developing comprehensive guidance
for implementation of a nationally consistent air  audit system.

     Another major EPA activity in 1982 was the development  and implementation
of various controlled emissions trading concepts such as bubble trades
dnd banking of emissions reductions.  EPA proposed or approved a total  of
33 bubble applications which would save users more than $120 million over
the cost of conventional aijp pollution  control devices.  In  addition,  three
metropolitan areas and one State developed and operated formal emissions
Banking systems.  These activities did  not alter air quality requirements
but simply gave States and  industry more flexibility in adopting control
strategies to meet the requirements.

     For several years, EPA has maintained clearinghouses  of technical
information.  One clearinghouse contains information on best available
control technology  (BACT)  and  lowest achievable emission rates  (LAER).
This 8ACT/LAER  clearinghouse  is a  central  collection point for  basic
BACF/LAER  information  and  is  designed  to assist Statp  and local agencies
in  the  technical  aspects of BACT/LAER  determinations.  Participation in
the clearinghouse by  State  and  local agencies  is voluntary.    In 1982, EPA
revitalized the  clearinghouse  to increase  user participation  and  to
increase the efficiency  of  information  receipt and  distribution.  In
addition,  EPA  published  a  report in May  1982 in which  over 550  BACT/LAER
doterminations  were  summarized.  Another clearinghouse contains information
on  air  quality  modeling.   This  clearinghouse maintains a historical
record  of  modeling  decisions,  clarifies  EPA modeling  guidance and promotes
an  ('wariness  of  EPA  modeling  policies.

      The Chemical Manufacturers Association  (CMA) and  others  legally
challenged the  regulations that EPA  promulgated on  August 7,  1980,  dealing
with  prevention  of  significant  deterioration  (PSD)  and nonattainment area

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                                   I-b
new source review regulations.   In  attempting to  resolve the CMA concerns
and to explore certain regulatory  reform measures, EPA entered  into a
litigation settlement with the  industrial  parties on February 22,  1982,
in which EPA agreed to propose  certain  regulatory changes.  One change
concerning vessel emissions was promulgated  June  2b, 1982.  Other
proposals are scheduled for 1983.

F.   CONTROL OF STATIONARY SOURCE  EMISSIONS

     In the area of stationary  source controls, work progressed on the
development of emissions standards  for  those major source  categories not
yet regulated under new source  performance standards  (NSPS).  A total of
nine NSPS were promulgated in 1982, and ten  were  proposed.  Thirteen
promulgations are planned for 1983.

     Regulations under Section  112  of the Act  governing  coke  oven  emissions
and benzene emissions from a number of  sources  in the  chemical  and petrolovn
industries were in preparation  in  1982.

G.   STATIONARY SOURCE COMPLIANCE

     In the late 1970s, .EPA embarked on a program to  bring sources which
had never installed control equipment into initial compliance with
applicable air quality regulations.  Through the  combined  efforts  of
industry, States, and the Federal  government,  the goals  of this program
had b^en  largely achieved by the end of 1982,  when over  94 percent of  the
sources in the country were reported as achieving initial  compliance  or
being in  compliance with schedules  to install  controls.  Among  the sources
brought into compliance through this effort  were  some  of the  largest
contributors to the nation's air pollution problems,  with  many  of  them
having been in violation for several years.

     On September 21), 1982, the Administrator  issued  a policy  on  enforcement
against sources in primary nonattai nment areas  that  are  not in  compliance
with the  Clean Air Act by December 31,  1982.  The policy  recognizes  that
courts have equitable jurisdiction to fashion  relief  that  allows  a source
to continue to operate in violation beyond 1982 while  taking  steps to
come into compliance expedi tiously.  The policy sets  forth criteria  to
determine the relief the Agency should seek  in each  case,  particularly
wnether a compliance schedule is appropriate or whether  the Agency should
seek closure of the source until it can demonstrate  compliance.
     One of the major ^niphases of the air enforcement program has
the implementation of the Steel Industry Compliance Extension Act.  Under
this Act, Congress gave the FPA Administrator authority to extend deadlines
for installation of certain air pollution control  equipment for up to
three years if a company agreed to invest an amount at least equal to
the deferred costs of pollution control equipment  in modernization to
improve the efficiency and productivity of its steel-making facilities.

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                                   1-6
A total  of ten companies submitted applications  since  the  legislation was
sijned on July 17, 1981.  In 1982, consent decrees  implementing  the
Administrator's favorable findings on four of these applications were
ivjotiated with the eligible companies and were  at  various stages  in the
judicial process.

H.   CONTROL OF MOBILE SOURCE EMISSIONS

     In the area of light-duty vehicle emission  standards, EPA has proposed
to postpone from 1985 to 1987 the requirement that  particulate emissions
from passenger cars he limited to 0.2 grams per  mile due to concerns
about the reliability of control  technology.   In 1982, EPA prepared
rulemaking pertaining to high altitude standards for 1984  light-duty
vehicles and 1984 and later light-duty trucks, and  proposed high altitude
standards for 1985 and later light-duty vehicles.  For heavy-duty  vehicles,
sMndards controlling heavy-duty  evaporative  hydrocarbon emissions for
the first time were prepared for promulgation in early 1983.  EPA  also
proposed that exhaust emission regulations for model year  1984  heavy-duty
engines requiring the use of catalyst technology be revised to  a level
that would not require catalysts, due to the  large  costs involved  and the
financial state of the industry.

     In 1982, EPA published a rule revising the  standards  applicable to
the lead content of gasoline.  This action will  reduce airborne  lead 34
percent more by 1990 than under the previous  rule.

     In order to assure that motor vehicles conform to applicable  emissions
standards, EPA required the recall of 1,169,352  vehicles in 1982.   In
addition, auto manufacturers voluntarily  recalled 28,049 vehicles  to
correct omissions problems.

     EPA is  responsible for implementing  programs designed to deter
tampering with vehicle emissions  control  systems or using leaded fuel  in
vehicles which require unleaded fuel.   In  1982,  EPA prepared an initiative
(0 promote State and  local anti-tampering  and anti-fuel switching
->nforcement  programs.

!.   LITIGATION

     The U.S.  Courts  of Appeals decided ten  cases under the Clean Air Act
 in  1982.  Nine of the ten cases involved  the  rules  for setting  up,
approving, and operating SIP's.

     The most  important  case decided  in 1982 was NRDC v. Gorsuch which
dealt with the definition of a major  source  for  new source  review purposes.
rJV-,  regulations  had  allowed States to treat  as  a single source  the
 sitiation where  a number of emitting  units,  each of which could be a
 •najor  source if  viewed  in  isolation,  are  located at a common plant site.
 The  District of  Columbia Circuit  Court  rejected  this  approach.

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                                   1-7
     Other major decisions  in  1982  related to EPA's approval of State
relaxations of control  requirements  for  sulfur  dioxide.  Three decisions
in 1982 upheld EPA's  approval  of  such  revisions.

     Other decisions  in 1982 upheld  EPA's  policies  of  conditionally
approving SIP's and approving  or  disapproving portions of SIP's instead
of the total  plan.

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            II.  AIR QUALITY TRENDS,  MONITORING, AND MODELING


     This chapter describes current  trends  in  ambient  air quality levels
(the concentration of a given pollutant  in  the atmosphere) as well as
trends in the actual emissions into  the  air of the  various pollutants.
In addition, the chapter discusses the topics  of air quality monitoring
and air quality modeling.  Data on ambient  air quality levels and emissions
are through 1981, the latest year for which EPA has complete statistics.

A.   NATIONAL AIR QUALITY AND EMISSION TRENDS

     National ambient air pollution  levels  have dropped for each  of  the
major pollutants between 1980 and 1981.   This  is the first time that  a
short-term improvement has been observed for each  of the pollutants  for
which there are national ambient air quality standards.  The ambient  air
quality data used in the following pollutant assessments were obtained
from EPA's National  Aerometric Data  Bank.  The data were gathered
primarily from State and local air pollution control agencies through
their monitoring activities.

     All of the ambient air quality  trend analyses, which follow,  required
the monitoring sites used to contain at  least  5 of  the 7 years  of data in
the period 1975 to 1981.  In each of these  years,  an annual data  completeness
criterion had to be met.  As a result of these criteria, only a subset of
existing sites are used for trends purposes.

     Total Suspended Particulate (TSP) - The trend  in  TSP is complicated
by the fact that the glass fiber filters used to  collect TSP data have
been manufactured by different vendors.   Since 1977, the glass  fiber
filters used throughout the nation  at TSP monitoring sites  have been
centrally procured by EPA for the State  and local  agencies  in order  to
obtain uniformity in TSP collection  methods and save money.  The  filters
used in 1979, 1980, and 1981 were found  to  record  higher values than the
filters used in 1978 and 1982 because of higher filter alkalinity, which
is related to conversion of sulfur  dioxide  and nitrogen dioxide to
particulate sulfates and nitrates.   This complication  makes  it  difficult
to determine long-term changes in air quality for  the  period  1975 to
1981.  However, the short-term changes in air quality  between  1980 and
1981 can be examined for the filters used in both  years were manufactured
by the same vendor.  The median rate of  decrease  among the 1289 sites
with data in 1980 and 1981 was 6 percent.  Most of the decrease between
1930 and 1981 occurred in the Northeastern, North  Central,  Rocky  Mountain,
and Northwestern States.  The largest decrease in  ambient TSP  air quality
levels was observed in the Northwestern  States which  fell 13  percent
between 1980 and 1981.  Particulate  emissions exhibited a decrease of
approximately 20 percent during the  1975 through  1981  time period with  a
decrease of approximately 2 percent  between 1980  and  1981.   It  is not
entirely clear why the estimated emissions  decrease is 2 percent  betwpen
1980 and 1981, while the TSP air quality decrease  is  6 percent.

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                                   II-2
     Sulfur Dioxide ($02)  -  Annual  average  ambient SO? air quality levels
measured at 416 sites  with continuous  SO? monitors decreased 27 percent from
1975 to 1981.   A similar decrease  of  31  percent was observed in the trend
in the composite average of  the  second maximum 24-hour average.  Corre-
spondingly, there was  a  12 percent  drop  in  sulfur oxide emissions.  Even
though precise statistics  on power plant siting trends are not available,
the difference between emission  trends and  air quality trends is believed
to arise because new electric utility  power plants have been located in
rural areas while older  plants located in urban areas have been closed.
Most of the ambient monitors are located in urban areas with few in rural
areas.  Further, the residential and  commercial areas, where the monitors
are located, have shown  sulfur oxide  emission decreases comparable to S02
air quality improvement.  These  decreases  in sulfur oxide emissions in
the residential and commercial areas  are believed to  be due to a combination
of energy conservation measures  and the use of cleaner fuels.

     Carbon Monoxide (CO)  -  The second highest nonoverlapping 8-hour
average ambient CO air quality levels  at 224 sites decreased at a rate of
approximately 5 percent  per  year,  with an  overall reduction of 26 percent
between 1975 and 1981.  An even  greater improvement was observed in the
estimated number of exceedances, which decreased  84 percent.  The improve-
ments generally reflect  CO levels at  traffic-saturated monitoring sites
in the center city, which are believed to have experienced  little or no
change in the number of vehicles in their vicinity.   A check of selected
National Air Monitoring Stations shows no discernible change in traffic
volume on the roads adjacent to the sites  over the time period 1975-1981.
Consequently, the improvement in CO air quality  levels  reflects the
reduction in emissions from  new cars  resulting from Federal standards  for
vehicle emissions.  CO emissions decreased 10  percent during the same
period.  Between 1980 and 1981,  the median  rate  of  improvement was 3
percent among the 163 sites  with both 1980 and  1981 data.   If only the
sites with second maximum values above the level  of the 8-hour CO standard
are  considered, the median rate of improvement was  7  percent,  so that  the
higher sites continued to show  improvement for  the  second  maximum value
between 1980 and 1981.

      Nitrogen Dioxide (N02)  - Annual  average ambient  N02  air  quality  levels
measured at 445 sites increased from 1975 to 1979 and then began  declining.
The  air quality trend is  very similar to the trend  in nitrogen oxides
•^missions.  The net long-term change  between 1975 and 1981  is  an  increase
of  5  percent in NO? air quality levels and a 5 percent increase  in emission
levels.  A  decrease was observed between 1980 and 1981  in  both  the  air
quality, as measured  at 201  sites with data in  both years,  and  emissions
levels  of  8 and 2 percent,  respectively.

      Ozone  (03) - The composite average of the ambient second  highest
daily  maximum  1-hour  03 air quality values  recorded at 209 sites  decreased
14  percent  between  1975 and  1981.  An even  greater improvement was  observed
in  the  estimated  number of  exceedances  in  the third quarter ozone  season,
which decreased 42  percent.   Volatile organic compound (VOC)  emissions

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                                   II-3
decreased 9 percent during the same  time  period.  The  greater  improvement
observed in ozone air quality levels appears  to  be  a combination of
reductions in VOC emissions and the  change  in the calibration  procedure
which took place between 1978 and 1979.   Between  1980  and  1981, the
majority of the 159 trend sites with ambient  air quality data  in both
years decreased with a median rate of improvement of 8 percent.  This  is
consistent with the 7 percent drop in VOC emissions during this period.

     Lead (Pb) - The composite maximum quarterly  average of ambient  lead
air quality levels, recorded at 92 sites, decreased 57 percent between
197b and 1981.  The sample of 92 sites is heavily weighted by  monitors  in
the States of Texas, Maryland, and Pennsylvania.  Individual trends  in
each of these States show decreases.  The lead consumed in gasoline
dropped 67 percent, primarily because the use of  unleaded  gasoline is
required in catalyst-equipped cars.   Between  1980 and  1981, the maximum
quarterly average lead air quality levels decreased 18 percent among the
113 sites with data in both years.  The decrease  in lead consumption over
the same time period is 29 percent.

B.   AMBIENT AIR MONITORING

     EPA promulgated regulations in 1979 which required States to  establish
and operate ambient air monitoring networks and  to  report  the  data to
EPAJ7  Two types of permanent stations are provided  for  in the regulations-
State and Local Air Monitoring Stations (SLAMS)  and National Air Monitoring
Stations (NAMS).

     The SLAMS, which were designed to meet the overall monitoring
requirements of State Implementation Plan activities,  were rpquirpd  to
meet all provisions of the regulations by January  1,  1983.  The NAMS,  a
subset of the SLAMS, were to provide a national  monitoring network as
required by Section 319 of the Clean Air Act.  The  NAMS deadline  for
meeting all provisions of the monitoring regulations  was  January  1,  1981.

     Tables II-l and 11-2 summarize the status of the SLAMS and NAMS
network through December 1982.  Table II-3 lists,  by  pollutant, the  number
of SLAMS as well as NAMS.

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                                   II-4
              Table II-1   SLAMS  Status  Through  December  1982
Network

Total  planned network*
Less:   Monitors not operational

Monitors operational
Less:   Monitors using uncertified or
       unacceptable equipment

       Monitors not having a fully approved quality
       assurance plan

       Monitors improperly located

Monitors in operation meeting all requirements
  of the regulations

includes NAMS monitors
                                                       Number  of
                                                       Monitors
   4959
    127

   4832
      0
     85


     88

   4659
           Percent of
           Total Network
     100.U
       2.6

      97.4
        0
       1.7


       1.7

      94.0
              Table 11-2  NAMS Status Through December 1982
Total planned network
Less:  Monitors not operational

Monitors operational
Less:  Monitors using uncertified or
       unacceptable equipment

       Monitors not having a fully approved quality
       assurance  plan

       Monitors improperly located

Monitors in  operation meeting  all requirements
   of  the regulations
Number of
Monitors

   1370
     16

   1354
      0
     31


      0

   1323
Percent of
 Network

   100.0
     1.2

    98.8
       0
     2.2


       0

    96.6

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                                   Il-b
     Table II-l  shows a total  of 4959 planned SLAMS  monitors  of  which
4832 or approximately 97 percent were in operation.   This  number is  about
the maximum expected since monitoring station shutdowns  routinely occur
because of lost leases, urban renewal projects,  and  changing  ambient air
monitoring priorities.  The table also shows that 4659 or  94  percent of
the total planned network are meeting all requirements of  the regulations.
The 173 noncomplying operating monitors should meet  the  requirements with
some small changes in monitor locations and the submittal  of  approvable
standard operating procedures for three local agencies.

     Table 11-2, shows that of the 1370 planned NAMS, 1354 or approximately
99 percent were in operation through December 1982.   Of  the operating
monitors, 1323 were meeting all requirements of the  regulations.  The
remaining monitors, which are mostly lead monitors,  should be in com-
pliance by April 1983.  Lead monitors were required  to meet all  monitoring
regulations by July 1, 1982.
         Table II-3  National Summary of Air Monitoring Stations
Pollutant
TSP
S02
N02
CO
03
Pb
TOTAL
SLAMS
(including NAMS)
2637
603
290
454
616
359
4959
NAMS
649
231
56
113
214
107
1370
C.   AIR QUALITY MODELING

     An air quality model  is a set of mathematical equations that describe
the atmospheric transport, dispersion, and transformation of pollutant
emissions.  By means of these equations, a model can be used to calculate
or predict the air quality impacts of emissions from proposed new sources,
emissions  from existing sources, or changes in emissions from either of
these  source categories.   These models are of great utility because they
provide a  means whereby the effectiveness of air pollution controls can b?
estimated  before action is taken.

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                                   II-6
     During 1982,  the major program to  evaluate  several  categories of
models was continued.  This program was developed  in  response  to
recommendations of the American Meteorological Society  (AMS) under its
cooperative agreement with EPA.  The evaluation  and scientific review of
rural models was completed.  The evaluation  of urban  models was initiated
and will be completed in 1983.   Data bases  for complex  terrain and long-
range transport models were compiled and evaluations  will  be initiated in
1983.

     The evaluation of rural models reaffirmed that models are reasonably
reliable in estimating the magnitude of the  highest concentrations
occurring some time, somewhere  within an area.   For example, errors  in
highest estimated concentrations of _+ 10 to  40 percent  are found  to  be
typical, i.e., certainly well within the often-quoted factor-of-two
accuracy that has long been recognized  for  these models.   However,
estimates of concentrations that occur  at a  specific  time  and  site are
often poorly correlated with actually observed concentrations  and are
much less reliable.  Poor correlations  are  probably due to uncertainties
in our knowledge of the precise plume location for any given time period.

     Work also continued on the explicit consideration of  model uncertainty
in decision-making.  Under the  AMS/EPA  cooperative agreement,  the AMS
conducted a workshop on "Quantifying and Communicating Uncertainty in
Regulatory Air Quality Modeling."  A major  result of  the workshop was  the
proposal of a new technique to  directly calculate uncertainty. This
proposal is being studied and tested both in-house and under  contract.
In addition, efforts are being  made to further test and expand the expected
exceedances (ExEx) methodology, which allows variability in  fuel  quality
to ho considered.  Inclusion of multi-year,  variable  meteorological
conditions was successfully implemented to  improve the representativeness
of the method.  During  1983, an effort will  be  made to integrate  calculation
of model uncertainty directly with the ExEx methodology.  As  a result,
decision-makers could have a complete,  quantitative assessment of the
effects of variable  emissions,  meteorological conditions,  and  model
performance on effective and reliable control regulations  for  fuel  burning
sources.

     Efforts to improve guidance on air quality  models and ensure
consistency in their use have also continued.  Model  clearinghouse
activities were maintained to ensure that use of nonguideline techniques
does not  lead to  inconsistent  regulatory decisions.  A workshop was  held
with modeling contacts  in EPA's ten Regional Offices  to improve communi-
cations on the use of models and to resolve problems  common to several
Regions.  Guidance on such  problems was expanded and circulated to these
offices.  Finally, work to  revise  and  update the "Guideline on Air Quality
Models" was  initiated.2J  During 1983,  an effort will be made to incorporate
the  results of the mod¥l ^valuation program, uncertainty analyses,  and
ongoing efforts to ensure  consistency  into improved  modeling  guidance
tor  regulatory applications.

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                   III.  AIR POLLUTION  RESEARCH  PROGRAMS


     EPA's Office of Research and Development  (ORD)  provided  pxtensive
technical support to EPA's air pollution  control  activities in  1982.
ORO's air research program is divided into  four  major  categories:  Oxidants,
Mobile Sources, Gases and Particles,  and  Hazardous Air Pollutants.  The
research in each of these areas is planned  by  a  Research  Committee composed
of ORD managers and representatives from  EPA's program offices.   Each
Research Committee plans the full range of  research  for the pollutants
covered by that Committee.  The research  covers  the  areas of  scientific
assessments, monitoring systems and quality assurance, health effects,
environmental engineering and technology, and  environmental processes
and effects.  The discussion of 1982 research  accomplishments is  organized
along these lines.  In addition to the discussions of  the four  major  air
research programs, a discussion of ORD's  research program on  acid deposition
is included.
A.   OXIDANTS
                  research program focuses on air pollution problems
                 tone (03), nitrogen dioxide (N02),  and volatile orgj
     The oxidants
associated with ozone (03),  nitrogen  dioxide  (N02),  and  volatile  organic
compounds (VOCs).

     Scientific Assessments

     National workshops were convened to collect  data and discuss scientific
issues necessary to update the criteria document  for ozone and  other  photo-
chemical oxidants.  The final  review  draft of the document is  scheduled to
be completed in 1984 and published in 1985.

     Monitoring

     The first operational,  standard  ultraviolet  spectrophotometer was
delivered to EPA by the National  Bureau of Standards.  Additional units
are to be used as standards  for the calibration of field units.  An interim
report was published describing the atmospheric ozone concentration in
National Forests (National Air Pollution Background Network).   Work continued
on the development of a cryogenic system for  trapping and measuring non-
methane hydrocarbons.  A portable auditing system was developed and is  in
use for the calibration and  auditing  of existing  field monitors of ozone
and nitrogen oxides (National  Audit Program).  Final data reports were
published for urban/point source plumes in the Midwestern U.S.  and North-
eastern U.S.  A final report was prepared covering a monitoring project
for the South Coast Air Basin/Southeast Desert Oxidant Transport Study  and
the operational phase of the San Diego Oxidant Transport Study  was completed.

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                                   III-2
     Health Effects

     The oxidants health effects research  program focuses  primarily  on
providing human and animal  dose-response data  to  re-evaluate  the  criteria
documents for 03 and N02.  Emphasis  was  placed on assessing pulmonary
function changes in healthy and potentially sensitive  populations following
oxidant inhalation.  Accomplishments during 1982  included  clinical studies
which describe alterations  in blood  lipid  levels  following chronic ozone
exposure.  An increase in the level  of circulating blood  lipids correlates
with increased risk of arteriosclerosis.

     The program also focused on developing better models  to  extrapolate
animal effects data to humans.  Major accomplishments  in  this area included
a mathematical model which  predicts  03 and N02 transport  patterns in human
lungs, using rodent dose-response data,  and in in vivo comparisons between
human and animal lung tissue and sensitivity to damage from oxidants.

     Environmental Engineering and Technology

     Research on VOC emission reduction technologies  focused  on the  evalua-
tion of technologies such as carbon  adsorption, thermal  oxidation, catalytic
oxidation, capture systems, and flares.   A pilot-scale testing facility for
flares was constructed and a testing program initiated to determine  industrial
flare emissions for a variety of operating conditions  and waste  gases.   Pre-
liminary results indicate greater than 98 percent combustion  efficiency
under most test conditions.  Under the catalytic oxidation project,  a
cooperative field test program was developed with several  industries and
full-scale testing was initiated.  A joint demonstration was  conducted
with a major truck manufacturing company to evaluate a microprocessor
control device  for VOC control in metal coating operations.   A compilation
of VOC emission factor data for the ferrous metallurgical  industries was
completed.

     Research on nitrogen oxides (NOX) emission reduction technologies
resulted in the following:   (1) Scale-up and field evaluation of  the heavy
oil/low NOX burner was initiated and  NOX emission Deductions of  75-80
percent were  achieved.   (2) Bench-scale studies of in-furnace NOX reduction
were completed  and a contract initiated to assess its applicability  to
domestically  designed boilers firing United States coals.  Bench-scale
reductions as high as 80 percent were attained.   (3) Performance  testing
of combustion modifications  that are applicable to spreader stoker boilers
was  completed for  a  1UO,000  lb  steam/hr unit  resulting in a 55-60 percent
reduction  in  NOX emissions.   (4) Combustion modification technologies
(e.g.,  reduced  primary air,  modification of fuel  injection velocities)
were evaluated  on  gas- and oil-fired refinery process heaters and on a
coal-fired kiln.   On the process heaters, NOX emissions were reduced by
70 percent with  gas  firing and  by 53 percent with oil firing.  Cement
kiln  experiments  identified  combustion modifications capable of 40 percent
NOX  reduction.   (5)  Experiments  to  identify how the chemical/physical

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                                   III-3
properties of coal  are related to NOX emissions were conducted to predict
NOX emissions for specific fuels.  (6)  An  investigation  of oxygen trim
systems applied to pulverized coal-fired utility  boilers was  conducted to
determine the extent to which other boilers  could adopt  this  mode of  opera-
tions to achieve NOX reduction.  (7)  A pilot evaluation  of a  one million
Btu per hour wall-fired furnace with  simulated boiler  conditions was  con-
ducted to test S02 removal by the limestone  injection  multi-stage burner
(LIMB) process.  Initial results indicate that on a  retrofit  basis  removals
of bO-60 percent are possible for NOX and sulfur  oxides  (SOX), and  on a
new boiler design basis removals of 60-80 percent are  possible for  SOX
and bO-70 percent for NOX.

     Environmental  Processes and Effects

     The primary focus of the research in this area  in 1982 was  the development
and testing of air quality models for use by the  States  in the development
of State Implementation Plans for ozone abatement strategies. Under this
program, several urban scalp photochemical air quality models for ozone
were successfully tested and validated against the St. Louis  area compre-
hensive air quality and emission data base.y  In addition,  a regional  scale
model for ozone was formulated, tested, and upgraded utilizing portions  of
the Northeast Regional Oxidant Study (NEROS) air  data  base.   The regional
model, when fully developed and validated, will  be used  by State and Regional
offices to calculate the extent of ozone transport from one  area to another.
Although the regional model was formulated to predict  regional ozone levels,
it was also designed for use in modeling regional scale  transport and
deposition of fine inhalable particles and sulfates.

     In the area of secondary  (welfare) effects,  research  focused on
assessing the impacts of ozone on major agronomic crops.  A  pilot assessment,
involving ozone dose-response functions for soybeans,  was  conducted to
test the feasibility of using crop yield simulation  models  for estimating
the impacts of ozone on crop production.  Regional economic  assessments
for crops grown in the Midwest and California are being completed.   These
will form the basis for national assessments of the economic impacts of
ozone on the agricultural industry in the U.S.

B.   MOBILE SOURCES

     The Mobile Sources research program is designed to determine the
health effects of motor vehicle  emissions with emphasis  on  diesel  exhaust
and carbon monoxide  (CO).  The program  is also designed to develop  methods
for measuring unregulated pollutants in automotive exhaust  and for  measuring
or estimating actual population  exposure to motor vehicle emissions.

     Scientific Assessments

     A  report using  recent Agency  research data was prepared comparing the
carcinogenic potency of diesel participates to other polycyclic  mixtures
that are known to be carcinogenic.  This report was prepared to  assist  in
setting standards for particulate  diesel emissions.

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                                   III-4
     Monitoring

     A computerized solid state data  logger  for  use  in  personal  monitoring
instruments was developed, and 75 miniaturized CO  personal  air quality
monitors were constructed incorporating an electrochemical  sensing  cell  and
the data logger.  A field study design was completed to conduct  a full-scale
study of exposure to CO in an urban area.  The field study  will  use the  new
personal monitors to measure the CO exposures  of 1,000  persons in Washington,
DC., and bOU person-days in Denver, Colorado.  Data  collection activities
were initiated in the fall of 1982.  A computer  model was developed to
simulate the daily activities of the  urban population and their  CO  exposures
and resulting carboxyhemog'lobin levels.

     Health Effects

     The carcinogenic potency of particle  bound  organics from diesel  exhaust
was evaluated utilizing intratracheal  instillation in hamsters and  dermal
exposure in mice.  In addition, the in vivo  distribution, metabolism,  and
carcinogenic potential of nitroaromatics were  studied since these agents
appear to account for a significant portion  of the mutagenic activity
observed in diesel particle bound organics.   The biological activity of
fractions of unregulated organic emissions (gaseous  and particle components)
resulting from combustion of a variety of  fuels  was  evaluated using in  vivo
bioassays to detect gene mutations, DNA damage,  chromosomal effects, oncogenic
transformations, and cellular toxicity.  Animal  studies were conducted to
ascertain the effects of chronic CO exposure on  cardiovascular and  central
nervous system development in fetuses and  newborn offsprings.

     Environmental Processes and Effects

     Research focused on characterizing the  gaseous  and particle emissions
from a  variety of motor  vehicle categories.   In  particular, chassis dynamom-
eter experimental test procedures were developed for use by researchers  to
characterize emissions under simulated in-use driving conditions.   Data
resulting from the characterizations will  improve the motor vehicle air
emissions data bases.  Also, emissions from gasolin^ fueled passenger cars
were characterized for volatile organic compounds, including aldehydes,
using these test procedures.  A major  study  on unregulated pollutants,  gas
phase toxic pollutants,  and catalyst synthesized gases  was  completed.2/
An  emissions characterization program was  initiated to  study gaseous and
particulatf emissions from in-use  heavy-duty and gasoline powered trucks
and  buses.

C.   GASES AND  PARTICLES

     The Gases  and Particles  research  proyram focuses  on air pollution
problems associated with  particulate matter, sulfur dioxide  (SO-^),  and lead,
and  the interactive effects of  combining  S02 and particles with other
pollutants such  as 03 and

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                                   III-5
     Scientific Assessments

     The air quality criteria document  for  sulfur  oxides  and particulate
matter was completed in 1982.  Copies of  the  final document are scheduled to
be published at the time the standard is  proposed  in  accordance with
Section 109 of the Act.

     National workshops were convened to  collect data and discuss  scientific
issues pertinent to the rewrite of  the  air  quality criteria document  for
lead.  The final draft is scheduled to  be completed  in 1984.
     In 1982, the new 10-micrometer (urn)  samplers  for  particulate  matter
were tested successfully and installed  in 24  stations  in  the  Inhalable
Particulate Network (IPN).  The results from  these stations will  be
compared to the results from the 15 urn  samplers  in 76  other IPN stations
to help assess the impact of revised standards  for particulate matter.

     A study was carried out in Philadelphia  to  estimate  the  influence  of
roadway traffic on atmospheric levels of  particles and various elements,
especially lead.  Another study tested  the ability of  a new particulate
matter sampler, the Wide-Range Aerosol  Classifier, to  size-classify  particles
in three different types of urban atmospheres and  in  a nonindustrial  comparison
area.

     Quality assurance activities for the IPN,  the NAMS/SLAMS Network,
and the trace metals network continued.  A second  prototype personal  monitor
for particles was built and received further  testing.

     Health Effects

     Dose-response studies in mice showed that pulmonary infection,  caused
or exacerbated by particle inhalation,  may result  in  lung fibrosis.   A  study
of the acute effects of volcanic ash inhalation  showed only  very  slight
effects on animal pulmonary physiology, structure, biochemistry,  and host-
defense mechanisms.  Animals with emphysema were found to be  less susceptible
than healthy animals to pulmonary structure changes following subchronic
exposure to ammonium sulfate and ammonium nitrate.

     An important advance was made in the area of  extrapolation  modeling
from animals to humans.  A model was developed which  used lung branchings
to determine particle deposition in the lungs of different animal species. 3/

     Environmental Engineering and Technology

     In the S02 area, a full scale assessment of the  use of  adipic acid to
enhance limestone flue gas desulfurization (FGD) systems confirmed that
SOX removal exceeding 95 percent can he achieved and  that the use of
this technology should enable both new and existing utility  boilers  to

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                                   III-6
more easily and cheaply comply with SOX emission  regulations.  The cost-
effective advantage of combined SOX and particle  control  using dry-scrubbing
with fabric filter baghouses was assessed and appears  to  be  superior  to
convpntional FGD systems for certain low and medium sulfur content coals.

     Initial tests of the limestone injection multi-stage burner (LIMB)
pror.pss on a tangential ly-fi red pilot furnace were  conducted.  Results
indicate that LIMB may be suitable for use in these furnaces.

     In the particulate area, pilot-scale testing of two  types of two-stage
electrostatic precipitators was initiated to determine their potential  for
commercial applications for low sulfur coal  fly ash collection.   Projections
suggest that particle collection costs could be reduced by up  to 50 percent.
Pilot-scale testing of an electrostatically  enhanced fabric  filter  (ESFF)
baghouse using reverse air cleaning (typical for utility  power plants)
showed that a substantial reduction of pressure drop can  be  achieved  (up
to 5U percent).  ESFF continued to show similar improvements for the  pulse-
jet mode, the mode most commonly used for industrial boilers.   In addition,
field evaluations were completed for magnetic high-gradient  filtration  of
magnetically susceptible dusts and for road  carpets for reducing fugitive
emissions.  Field studies were also undertaken in the  iron  and steel  area
to establish the long-term effectiveness of  sprayed-on additives for  fugitive
dust control on unpaved roads.

     Source characterizations and development of size-specific emission
factors for major sources of particulate matter emissions continued.
Results from the source characterizations are being combined with existing
data to develop size-specific emission factors for  sources  including  paved,
unpaved, and industrial roads, iron and steel, nonferrous,  cement,  lime,
asphaltic concrete, ferroalloy, kraft pulp mills, iron foundries, and
combustion  processes.  These emission factors are needed by  the  States  for
revision of State Implementation Plans.

     The Seventh FGD Symposium, co-sponsored with the  Electric Power
Research  Institute, the Fourth Symposium on the Transfer and Utilization
of Particle Control Technology, and the Fourth Symp^ium on Iron and Steel
Pollution Abatement Technology, co-sponsored with the  American Iron and
Steel  Institutes, were  conducted.

     Environmental Processes and Effects

     Research  in the  gases  and  particles area focused on the transport and
fate of S02 and particles as well  as their  effects  on agricultural  crops,
materials,  and  visibility.

     In the air modeling  research  area, work was conducted on the development
of  improved air quality  dispersion  models for use  in  complex terrain.  The
research  concentrated  on  plume  impaction studies in elevated terrain.  The
results of  the  Small  Hill  Impaction  Study #1 were  published in the fall of

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                                   III-7
1982 and will be used to evaluate the  complex  terrain  models.4_/  A  study of
plume impaction on a two-dimensional  ridge  was conducted  in  the  fall of  1982.
The Green River Ambient Model  Assessment  Study Group  completed development
of a mountain valley air quality model.

     An interim urban and mesoscale model that addresses  the 1-hour and  24-
hour average of S02 and particles needed  for SIP  revisions was developed.
Research was also conducted on regional  scale  model development  in  order to
understand better the meteorological  conditions that  lead to prolonged
elevated pollutant episodes.

     Under the Source Apportionment Methods (SAM)  program, the second
receptor modeling workshop was held in the  spring  of  1982 to determine thf
reliability of currently available source apportionment  methods. Two
major field studies were completed.  The  first was conducted in  Philadelphia
to provide source and ambient  data for developing  and evaluating urban
particulate dispersion and receptor models, and the second was conducted
in Denver to determine the sources of visibility-reducing particles.

     In the area of secondary  (welfare)  effects research, field  and green-
house studies were conducted to assess the  interactive effects of SO?, 03,
and N0£ on agricultural crop growth and yield. This  research was baspd
on preliminary information that indicated that these  pollutants, acting  in
combination, may affect crops  differently than if  crops  were exposed to
the pollutants individually.  Also, research conducted on the quantification
of pollutant damage to materials in economic terms resulted  in several
reports and journal articles on an economic benefits  model  for materials
and on the soiling of material surfaces under  various environmental conditions.

D.   HAZARDOUS AIR POLLUTANTS

     The pollutants covered by the hazardous air  pollutant  (HAP) research
program are those air pollutants that are either  currently  regulated or  are
potential candidates for being regulated under Section 112  or Section  lll(d)
of the Clean Ai r Act.

     Scientific Assessments
     Draft comprehensive health assessment documents for the following air
pollutants underwent initial review by the Science Advisory Board (SAB):
methylene chloride, methyl chloroform, fluorocarbon 113, toluene, perchloro-
ethylene, carbon tetrachloride, and acrylonitrile.  A draft report on the
carcinogenic effects associated with coke oven emissions also underwent SAB
review in 1982.

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                                 -  III-8
     Comprehensive health assessments  were initiated  for  eight  chemicals:
ethylene oxide,  ethylene dichloride,  chloroform,  epichlorohydrin, chromium,
manganese,  nickel, and vinylidene chloride.   Updated  assessments were
started for asbestos,  vinyl  chloride,  and cadmium.

     Monitoring

     As a result of stability tests  on quality  assurance  materials,  the
organic audit repository was expanded  to  40 different  compounds.  Thirteen
audits were completed  on source test  contractors.   A  benzene  Standard Ref-
erence Material  (SRM)  was issued. A  report  on  quality  assurance guidelines
for ambient air  programs of  national  scope was  peer reviewed  and was
distributed.^/  During 1982, validated data on  benzo-a-pyrene and trace
plements including arsenic,  chromium,  and cobalt  were  obtained.  This is
an annual update obtained from analysis of glass  fiber filters  from  State
and local control  agencies.

     Health Effects

     Short-term bioassays were developed and used to  identify mutagenic
fractions in ambient air.  Similar assays were  used to determine that
inhalable particulate  emissions from wood stoves  in the home  are 20-600
times greater than home heating oil  inhalable particulate emissions.  lr±
vitro studies of the non-carcinogenic effects of  toluene  at higher than
ambient concentration  levels showed  both  immunological  effects (increased
susceptibility to streptococcus infection) and neurobehavioral  effects
(increased sleep time) in animals.

     Environmental Engineering and Technology

     In  1982, emphasis was placed on collecting emission  data and  evaluating
emission reduction technologies to assist the review  and  development of
National Emission Standards  for Hazardous Air Pollutants  (NESHAPS).   An
analysis of potentially hazardous organic emissions from ferroalloy  produc-
tion was completed.  These results showed some furnaces generate  significant
quantities of these pollutants.  However, properly operated control  devices
can significantly reduce discharge of these materials into the atmosphere.
Research continued on generic VOC emissions reduction technologies which
may have application to the control  of hazardous  air  pollutants as well.

     Environmental Processes and Effects

     Emphasis was placed on quantifying the levels of potential hazardous
air pollutants and determining their fate in the atmosphere.   In  particular,
a data  base was compiled summarizing the current state of knowledge  of
volatile organic  compounds  (VOC's) in the ambient air and photolytic decompo-
sition  rates were determined for a selected number.  Also, research  was
conducted on some HAP's  having long atmospheric residence times to determine
their  rates ot physical  loss to  the atmosphere through dry and wet  deposition

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                                   III-9
and decomposition.  Preliminary ambient  air  characterization  studies were
concluded in ten urban areas on a selected  number  of  potentially  hazardous
trace VOC's as an initial  step towards  mapping  their  natural,  spatial, and
temporal variabilities.

E.   ACID DEPOSITION

     Research on the sources, effects,  and  possible mitigation strategies  for
controlling acid deposition continues to be  a high priority  for EPA.   During
1982, the Agency worked closely with the other  members  of the Interagency
Task Force on Acid Precipitation to more clearly  establish and verify  the
relationship between emissions and deposition,  determine the dose-response
functions and the extent of potential impacts,  and assess the relative
costs and benefits of possible mitigation strategies.  Research on  acid
deposition is organized by the following Task Force sub-groups: Natural
Sources, Man-made Sources, Atmospheric Processes,  Deposition Monitoring,
Aquatic Effects, Terrestrial Effects, Effects on  Materials and Cultural
Resources, and Assessments and Policy Analysis.  EPA  contributed  significantly
to the following major accomplishments achieved by the  Task  Force in  1982
as described below.

     Natural Sources

   Techniques for reliable field measurement of sulfur  and nitrogen emissions
from natural sources were developed and tested.  In addition, preliminary
measurements of natural sulfur compounds in the ocean were obtained that
suggest emissions from marine sources may contribute  significantly  to  the
production of acid precursors.

     Man-made Sources

     A study on emission sources was completed  that suggested that  local
petroleum combustion, as well as coal combustion,  could contribute  signifi-
cantly to the production of acid precursors.  Also, EPA continued to develop
models to predict the cost and emissions changes from utilities and industries
based on various possible control strategies.

           jheric Processes

     In 1982, the first comprehensive isopleth  maps describing the distribution
of major chemical species over North America were produced.  The  planning
and  initial testing for a major  field experiment to be  performed  in 1983
that will track thp movement of tracer gases released in the Midwest and
Canada over hundreds of miles was completed.   In addition, initial  obser-
vations that confirm the importance of clouds   in transforming sulfur dioxide
to acidic sulfates were obtained.

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                                   111-10
     Deposition Monitoring

     Three research sites to test  improved  methods  of monitoring wet and
dry deposition were established, precipitation  chemistry  data were analyzed,
and acid deposition maps for North America  were produced.   In addition,
field measurements of dry deposition  obtained  from  different prototype
methods were compared and continued efforts to develop  reliable techniques
for routine measurement of  dry deposition were compared.

     Aquatic Effects

     A preliminary, qualitative map of the  nation indicating regions where
surface waters are likely to be most  sensitive to acidification was produced,
and a preliminary survey of drinking  water  in  the Northeast was completed.
In addition, long-term monitoring  of  aquatic resources  (chemistry and
biota) in key sensitive regions was initiated,  and  existing information  on
mitigation strategies (e.g., liming)  was  evaluated, and field and laboratory
studies to examine their effectiveness and  limitations  were initiated.

     Terrestrial Effects

     Extensive long-term studies were initiated to  determine whether  acid
deposition has caused changes in the rate of growth and species composition
in forests.  In addition,  a study was conducted to  evaluate whether  acid
deposition predisposes pine seedlings to  stress factors.   Results indicated
that there was not an increase in susceptibility to insect or  disease
attack, and in some seedlings, there was  an increased resistance  to  disease.

     Agricultural experiments using simulated acid  deposition  also were
conducted.  These experiments did not indicate injury to potato  or to
forage plants.  Experiments involving corn and soybeans gave mixed  results  with
yields decreasing under some circumstances but increasing under  others.   A
study of  soils in the Southeast, mid-Atlantic coast, and Northeast was
conducted which showed  variable responses to acid deposition relative  to
mobilization of toxic metals and leaching of nutrients.

     Studies were conducted which indicate that southeastern watersheds  are
accumulating sulfur.  The  importance of this change in sulfur concentration
on the chemical and  biological characteristics of the surface waters is  not
clearly understood.  Finally,  several studies were conducted on forest
canopies  that  indicated the situation is complex since they can either
decrease  or  increase the acidity  of  rain traveling through them.

      Effects  on Materials  and  Cultural Resources

      Research  to  determine possible  acid deposition related damage to
historical  monuments was initiated anu field sites for testing materials
and  estimating the  relationship of deterioration rates to  acid deposition

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                                   III-ll
were established.  Information on the past  deterioration  of  materials was
analyzed and documentation of possible protective treatments for  materials
was begun.

     Assessments and Policy Analysis

     A first draft of a document providing  a state-of-the-art report  of
what is known about acid deposition and its effects  was prepared  for  scientific
review.  Research to develop methodologies  for conducting integrated  assess-
ments of the significance of various scientific and  economic information
was initiated.  Methods for estimating the  uncertainty in models  and  the
implications for formulating management strategies were developed and
tested.

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         IV.  DEVELOPMENT OF  NATIONAL  AMBIENT AIR QUALITY STANDARDS


     The 1977 Clean Air Act Amendments required  EPA to  review and  revise,
if necessary, all of the national  ambient  air quality standards  (NAAQS).
Reviews of all seven NAAQS were in progress  during  1982.

     In 1982, EPA developed material  to support  revocation  of the  existing
NAAQS for hydrocarbons (which was  originally established  as  a guide  for
attaining the NAAQS for photochemical  oxidants)  on  the  basis that  it was  no
longer appropriate and because there  are now much more  sophisticated techniques
available for designing control strategies for photochemical oxidants
(ozone).  Promulgation of this action  was  scheduled for 1983.

     During 1982, work continued on finalizing EPA's  proposal of August  18,
198U, to revise the NAAQS for carbon  monoxide.]_/ Additional  review  and
comment from the public and by the Clean Air Scientific Advisory Committee
(CASAC) was conducted in 1982 on several new issues that  were raised since
proposal,2J

     The revision to the criteria  document for nitrogen oxides  (NOX) was
completed in 1982.3>/  The NOX staff paper,4/ which  interprets the  critical
studies in the criteria document for  use in the  standard-setting process  and
provides a range of values which the  staff feels is most  appropriate for
selecting the level of the air quality standard, was  reviewed and  concurred  on
by CASAC.  Proposal of standards is expected in  1983.

     CASAC concurrence on the scientific accuracy and completeness of the
staff paper for particulate matter was received  in  January  1982.5/  Work  on
the  regulatory support documents was  nearly completed and a proposal is
expected in 1984.

     In 1982, CASAC conducted two public reviews of the staff paper  for
sulfur oxides (SOX) and their recommendations  to the  Administrator are
expected in 1983.  A proposal to reaffirm  or revise the SOX standards is
expected in 1984.

     Work on revising the criteria documents for ozone  and lead was  initiated
in late 1981, with initial drafts of  chapters  for the documents completed in
1982.  Public workshops on the draft  criteria  document  chapters were held
in late 1982.  Work on the regulatory support  documents was also initiated
in 1982.  Release of the first external review drafts of the criteria
documents is scheduled in 1983.

     Also in 1982, the Agency continued its efforts to  develop  methodologies
for  using risk assessment in setting NAAQS, as has  been suggested  by a
number of groups, including the National Commission on  Air Quality.   The
CASAC has agreed to set up a subcommittee  to assist and advise  EPA in
applying risk assessment to the lead  NAAQS review.

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               V.  STATUS OF AIR  QUALITY  MANAGEMENT  PROGRAMS


A.   STATE IMPLEMENTATION PLANS

     1982 Attainment of NAAQS

     One set of provisions included in the 1977  Amendments  to  the  Clean  Air
Act addressed those areas that had not yet attained  national ambient  air
quality standards (NAAQS).  These provisions required that  the primary
(health-related) NAAQS for particulate matter,  sulfur dioxide, and nitrogen
dioxide be attained by December 31, 1982.  For  ozone and carbon monoxide,
the Act also required attainment  of the primary  NAAQS by December  31,
1982, except for those areas of the country which demonstrated that attain-
ment by that date was not possible even after application of all  reasonably
available control methods.  For those areas, attainment of  the primary
NAAQS had to be as expeditious as practicable,  but no later than December  31,
1987.  In late 1982, EPA prepared a Federal Register notice for publication
in early 1983 that identified portions of 32 States  and Territories that
EPA concluded would not meet the  relevant requirements of the  Act.  Unless
information to the contrary was received from the public, EPA  proposed
to find the State Implementation  Plans (SIP's)  inadequate for  these areas.

1982 SIP Revisions for Ozone and  Carbon Monoxide

     Certain areas of the country that demonstrated  that the  primary NAAQS
for ozone (03) or carbon monoxide (CO) could not be  attained  by December 31,
1982, even with the application of all reasonably available control measures,
were granted an extension of the  attainment date until no later than December  31
1987.  The Clean Air Act required that all States receiving such an extension
submit a revised SIP by July 1, 1982, demonstrating  attainment no later
than the end of 1987.  A total of 31 States requested and were granted
compliance date extensions and were therefore required to submit revised
SIP's.

     Also in late 1982, EPA prepared a Federal  Register notice for publication
in early 1983 that pertained to the approval or disapproval of SIP's for
the 03 and CO extension areas.  As of the end of 1982, two SIP's had received
final approval by EPA.  All other SIP actions described in the Federal  Register
notice would either be proposed approvals or proposed disapprovals.  In  that
notice, EPA proposed disapproval  of plans for either 03, CO,  or both
for 17 of the 31 States.

     Lead SIP's

     In October  1978, EPA published a national  ambient air quality standard
for airborne lead under Section 109 of the Clean Air Act.jy  Section 110 of
the Act required each State to adopt and submit to EPA within  nine months
(i.e., by July 1979) a plan to implement that standard.  The  Act further

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                                    V-2
required EPA to approve or disapprove  these  SIP's within four additional
months (by November 1979)  and to promulgate  SIP's within two additional
months beyond that (by January 1980) for  States that did not meet the
requirements specified in  the Act.

     On July 30, 1982, the Natural  Resources Defense Council (NRDC) and
other parties tiled suit in the U.S. District Court for the District of
Columbia to require EPA to promulgate  lead SIP's  for those States that had
not yet submitted them and to approve  or  disapprove lead SIP's that had
been submitted but on which EPA had not taken final rulemaking.  The Lead
Industries Association and St. Joe  Minerals  Corporation intervened in
the suit on behalf of EPA.  By the  end of 1982, the parties to the suit
had met several times to try to negotiate a  settlement to the suit that
would provide schedules for submission of lead SIP's.

     Through 1982, EPA had reviewed and taken final action on 21 complete
SIP's for lead and 7 partial SIP's. For  lead, a  "complete" SIP  is a state-
wide plan that covers all  areas of  the State; a  "partial" SIP is a plan
that has been approved for some but not  all  areas of the State.  Six
other complete lead SIP's  had been  submitted to EPA but EPA had  not
taken final action in them in 1982. There were 29 States and Territories
that had not submitted complete lead SIP's to EPA through 1982.  At least
12 of the States or Territories without  approved  lead  SIP's appeared to  be  in
attainment already with the NAAQS for  lead.   In others, the problems were
generally found in local areas near stationary sources  of lead and were  not
statewide.

     EPA took action to reduce lead emissions from motor  vehicles, the
major source of lead emissions, as  early  as  1973.  On  October 29,
1982, EPA amended the  rules governing  fuel  and fuel  additives, known as
"lead-in-gas phasedown."2/  These amendments, which  further  limit  the  lead
content in gasoline, will   reduce lead  air pollution  from  mobile  sources
(the principal source  of airborne lead pollution) by  34 percent  more than
would have occurred under  the former regulations.  In  fact, the  reduction
of  lead emissions from mobile sources  since  1973  has  led  to  a  substantial
decrease in the levels of  airborne lead pollution i~  many areas  including
a  number of the States without approved lead SIP's.

B.    PROCESSING OF SIP REVISIONS

      One of the most  significant management  initiatives implemented  during
1982 was the reduction of  the SIP backlog.  A number of problems had  arisen
in the  past  in  the processing of SIP revisions,  all  causing  the  review to
take  too much  time and causing poor relations with the States.   Efforts
were  focused in  1982  on changes to the SIP  review process which  would
accelerate  review of  routine  and noncontroversial SIP actions  and reduce
the duplication  of effort  between the States, the EPA Regional  Offices,
and EPA Headquarters.  This  helped bring about better working  relationships
between EPA  and the  States and  reduced a great deal  of the  uncertainty
that  the  States  had  felt  toward EPA regarding their SIP revisions.  In
 1981,  three  improved SIP  processing procedures were developed,  tested,  and

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                                    V-3
implpmented.  These were the elimination  of  duplicative  review,  immediate
final rulemaking, and parallel  processing.   These were  formally  implemented
on September 4, 1981, and provided the  foundation for SIP  activity in
1982.3/

     Prior to the implementation of these three procedures,  the  inventory
of SIP submittals awaiting Regional Office and Headquarters  action was
growing because EPA was only able to process SIP actions at  two-thirds  the
SIP submittal rate.  A project  was begun  in  late 1981 and  continued  into
1982 to substantially eradicate this inventory.  A  reduction of  93 percent
was achieved by July 1, 1982.  The continuing objective is to process SIP
revisions as rapidly as possible in order to avoid  any  future backlogs.

C.   NATIONAL AIR AUDIT SYSTEM

     The Federal program for air quality  management under the Clean  Air Act
is entering a period where more programs  can be delegated  to, and assumed
by, State and local air pollution control agencies.  Examples of this
process include increased emphasis on delegations of authority for new
source performance standards (NSPS), national emission  standards for
hazardous air pollutants (NESHAPS), and prevention  of  significant deteriora-
tion (PSD).  This decreased Federal involvement in  State decisions will
require effective oversight of  national air quality management programs.

     Of primary concern is the  need to develop a uniform audit process
which enables the Regions to evaluate each State's  performance and adherence
to national  requirements and, at the same time, promotes and enhances  a
cooperative working relationship between  EPA and State  and local air pollution
control agencies.  In an effort to ensure equitable treatment of States in
the  audit process, EPA Headquarters personnel consulted with Regional
Offices and  representatives from State and local agencies in 1982 to develop
comprehensive guidance for implementation of a nationally consistent air
audit system.  With the assistance of State and local  air pollution  control
agencies, EPA intends to develop standardized audit criteria and measures
in 1983 and  begin a pilot national audit  program in 1984.

D.   EMISSIONS TRADING

     Emissions trading includes several alternatives to traditional
regulation.  These alternatives do not alter existing air quality require-
ments but simply give States and industry more flexibility to meet  these
requirements.  Bubble trades and emissions reduction banking are two of
the  major emissions trading concepts being promoted by  EPA.

     Bubble  Trades

     Bubble  trades allow existing plants (or groups of plants) to treat all
of their emission points as though they were under  a giant bubble and reduce
or eliminate pollution controls where costs are high,  in exchange for

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                                    V-4
compensating increased control  at emission sources  where control  costs  are
low.  They give firms increased compliance flexibility,  meet  current  or
future pollution control  requirements more quickly, make innovative control
approaches profitable, and can  result in significant savings  over the costs
of conventional controls.   In 1982,  EPA issued a proposed emissions trading
policy to replace the original  bubble policy and to streamline procedures,
giving States and industry more opportunities to use bubbles  in many  more
circumstances and geographic areas.4_/  EPA plans to issue the policy  in
final form after considering the comments that were submitted on  the  proposal.
In addition, in 1982 EPA approved or proposed to approve 33 bubbles saving
their users more than $120 million over the cost of conventional  pollution
controls, with many producing energy savings and greater emission reductions
than traditional regulation.  Over 100 other bubbles averaging $2 million
?ach in savings were under review at the State or Federal level.

     Emissions Reduction Banking

     Emissions reduction banking lets firms get credit for surplus emission
reductions and store such emission reduction credits (ERC's)  in a legally-
protected manner.  ERC's can be "banked" (stored) and used in bubble
applications to meet control requirements for existing plants more flexibly
and efficiently, as offsets to support economic growth in areas not meeting
air quality standards, or in "netting" to exempt certain expansions or
modernizations from new source review.  Banking rules can speed trades
between firms, expand opportunities for bubbles, and encourage the production
of cheap ERC's at optimal times.  Banking systems also provide the certainty
needed for firms to invest in ERC's when meeting other control requirements,
creating a pool of readily available credits that make trading easier and
speeds permit  issuance while assuring progress toward clean air.  As  of
December 31,  1982, four areas (Louisville, KY; San Francisco, CA; Puget
Sound, WA; and the State of Oregon) had formal banking systems in operation
and  at least  12 other areas had drafted or proposed full banking provisions.

E.   BACT/LAER AND AIR QUALITY MODELING CLEARINGHOUSES

     New or modified  facilities that are to be contracted in areas of the
country that  are currently  attaining the national  ambient air quality
standards are  required by the Clean Air Act to install best available
control technology  (BACT).   In those areas of the  country that have not yet
achieved compliance with the air quality standards, new  or modified facilities
are  required  to meet  the  lowest achievable emission rate  (LAER) for that
particular type source.  Permits to construct new  or modified sources are
issued by State  and  local agencies  only  after the  sources agree to comply
with either BACT or  LAER  requirements.  Often an air pollution control
agency will  need to  establish BACT  or LAER  requirements  either for a source
type completely new  to them  or for  a sou,ce type with which they have had
only minimal  experience.  In these  cases,  the permitting agency may not be
knowledgable  of the  more  recent advances  in  control technology for such
sources  and  it is  extremely  helpful  if  the agency  can refer to BACT or LAER
determinations made  by other control agencies.

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                                    V-5
     EPA established the BACT/LAER  clearinghouse  several years  ago  in  order
to assist State and local air pollution  control agencies by  promoting  the
sharing of air pollution control  technology  information.   In 1982,  EPA
revitalized the BACT/LAER clearinghouse  by  increasing  participation by
State and local agencies and by improving the  mechanisms whereby  input is
received and output is distributed.

     The primary output of the BACT/LAER clearinghouse is  a  report  of
information that has been obtained  from  the  BACT/LAER  determinations made
by the various control agencies.   The most  recent report entitled "BACT/LAER
Clearinghouse—A Compilation of Control  Technology Determinations (May 1982)"
contains over 550 BACT/LAER determinations.^/   An updated  compilation
containing approximately 700 determinations  will  be distributed in  1983.

     EPA's air quality modeling clearinghouse  was established in November
1980.  The primary purposes of the  clearinghouse  are to provide:   (1)  a
mechanism whereby the proposed acceptance by a Regional Office of a
nonguideline model or alternative techniques may  be reviewed for national
consistency before final approval by the Regional Administrator;  (2) a
mechanism whereby the indepth technical  evaluation and/or  performance
evaluation of a proposed technique may be reviewed by  those  EPA personnel
who are most familiar with the types of  techniques to be employed;  and (3)
a communication outlet for EPA's experience  with  the use of  nonguideline
models, data bases or other deviations from current guidance.  To accomplish
these purposes, the clearinghouse promotes  awareness of EPA  modeling
policies, develops and maintains a historical  record of modeling decisions,
develops clarifications of existing modeling guidance for  special situations,
reviews proposed actions which involve interpretation of  or deviation from
modeling guidance, and communicates the  results of significant decisions to
all regulatory users in the Agency.

     Clearinghouse activities for 1982 included review of  dispersion modeling
acceptability in 25 instances while 5 "bubble" actions and at least an
equal number of prevention of significant deterioration (PSD) modeling
evaluations were performed.

F.   NEW SOURCE REVIEW AND PREVENTION OF SIGNIFICANT DETERIORATION

     Significant progress was made by the Agency  in 1982 in  carrying out
its Act responsibilities as they relate to the preconstruction review of
new and modified stationary sources:

     PSD Program Transfer

     EPA made considerable progress in transferring responsibility for
implementing the existing prevention of significant deterioration  (PSD)
regulations to the States and local agencies.   Through 1982, 26 State and
local agencies had either full delegation of the PSD program or an approved
PSD SIP, and 18 had partial responsibility for the PSD program, for a total
of 44 States and locals.  This compares  to a total of 31 States and locals
with either full or partial responsibility for the PSD program at the end
of 1981.

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                                    V-6
     PSD Permit Reviews

     To expedite its issuance of PSD  permits,  EPA  management  established an
accountability system to track Agency performance  in  reviewing  PSD applications
in those cases where EPA is  the responsible  reviewing authority.  This
system showed that the average reviewing  time  for  issuing  PSD permits from
the point of complete application fell  from  approximately  eight to seven
months during 1982.

     CMA Agreement

     On August 7, 1980, EPA  promulgated extensive  revisions  to  its PSD  and
nonattainment new source review regulations.^/  Numerous  groups legally
challenged these regulations.  These  cases were consolidated  as Chemical
Manufacturers Association v. EPA.7/  In attempting to resolve the pending
concerns and to explore certain regulatory  reform  measures,  the Agency
entered into a litigation settlement  with the  industrial  parties on
February 22, 1982.  Pursuant to this  settlement, EPA  agreed  to  propose
certain regulatory changes.   One change to which EPA  agreed  pertained to
vessel emissions.  EPA agreed to complete rulemaking  proposing  to no longer
include vessel emissions in  applicability determinations  or  ambient
assessments for secondary emissions.   Final  promulgation  of  this provision
appeared in the Federal Register of June 25, 1982.8/   Other  rulemaking
packages to implement the litigation  settlement were  in preparation in
1982.  These other packages  addressed the topics of netting  and offsetting
baseline, changes to the particulate  matter  PSD increments,  and various
other issues such as fugitive emissions,  Federal enforceability,  "buffer
zones," secondary emissions, and prior shutdowns.

G.    IMPLEMENTATION GUIDANCE FOR REVISED PARTICULATE  MATTER  STANDARDS

      In anticipation of the proposal  in 1983 of revisions to the  national
ambient air quality standards for particulate matter, EPA has been  developing
material relevant to the implementation of those standards.   The  material
includes regulatory revisions, Agency policy,  and various guideline documents.
The areas covered by the material are State Implementation Plan requirements
for attainment and maintenance of air quality standards,  air quality  moni-
toring, and prevention  of significant deterioration/new source review.
EPA intends to propose  this material  for public comment along with  the
proposal of the  ambient standards.

H.    VISIBILITY  PROTECTION

      Section  169A  of the Clean Air Act establishes as a national  goal  "the
prevention  of  any  future, and the  remedying of any existing, impairment of
visibility  in  mandatory Class  I  Federal areas which  impairment results  from
manmade  air pollution."  On  December 2,  1980, EPA promulgated  regulations
implementing  this  section.9/   Subsequent to this  promulgation, ten organiza-
tions filed for  judicial review  of the visibility regulations.  In addition,
six  organizations  filed petitions  for  administrative  reconsideration of

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                                    V-7
the rules.  Judicial  review of the regulations  has  been  stayed  pending
the Agency's evaluation of the administrative  petitions.  Additionally, on
December 20, 1982, the Environmental  Defense Fund,  Inc.,  National  Parks
and Conservation Association,  Colorado Mountain Club,  et.al.,  filed  suit
in the United States  District  Court for the Northern  District  of California
seeking to compel the Agency to promulgate State plans under Section 110(c)
of the Clean Air Act  for those States which have not  submitted  such  plans.

I.   INTERSTATE AIR POLLUTION

     Section 126 of the Clean  Air Act provides  a mechanism  for a State  or
local authority to petition the Administrator  if there is concern  that
out-of-State sources  interfere with their ability to  meet Federal  require-
ments of the Clean Air Act.  Under this section, a total  of 7  States and  1
county have filed 18  petitions with EPA through 1982.   Twelve  of these
petitions from three  States (New York, Pennsylvania,  and Maine) have been
consolidated because  they all  address emissions from  many sources  in a
seven-State region claiming to result in long-range transport  and  transfor-
mation of pollutants.  The remaining six petitions involve  a specific
source contributing to a local air pollution problem.

     In 1982, the Agency reached a final decision on  the Section  126 petition
brought by Jefferson  County, Kentucky, against the Gallagher power plant  in
Indiana.J_0_/  The Agency concluded that the Gallagher  plant  did not interfere
with Jefferson County's ability to meet Federally required  standards.  That
determination has been challenged in court by  Jefferson County. The other
petitions were under review or were being resolved through  negotiations
with the  parties  involved.

J.   TALL STACKS AND  OTHER DISPERSION TECHNIQUES

     Section 123  of the Clean Air Act requires that stationary sources  of
air pollution not be allowed to take credit for having stacks  that are
higher than that  defined by "good engineering practice"  (GEP)  and  thereby
evade more stringent  emission limitations.  In addition, Section  123 does
not allow sources to take credit for any other type of air pollution
dispersion technique.  The section also requires the  Administrator to
promulgate  regulations to implement these requirements.  EPA promulgated
these  regulations on February 8, 1982.JJ_/  In July 1982, EPA denied petitions
to  reconsider these regu1ations.J_2/  The regulations  established  methods  to
determine GEP stack height and define other dispersion techniques.  Section
123 allows the use of a certain dispersion technique  known  as  an  intermittent
control system if this technique was implemented prior to December 31,
197U.  An intermittent control system is one which varies the rate of
pollutant emissions according to meteorological conditions.  The  Agency is
working on a regulation which will define the requirements  of an  implemented
system.   This rule will be proposed in 1983.

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                                    V-8
     There has been a court challenge  to  the  promulgated  stack  height  rules
filed by the Sierra Club,  Natural  Resources Defense  Council, and the
Commonwealth of Pennsylvania.   The petitioners  question several aspects of
the rule including stack  height credit for plume  impaction on elevated
terrain, the definition of a stack, and the use of a formula for determining
GEP stack height.  The petitioners filed  their  arguments  with the  court in
October 1982.  The ruling from the court  is not expected  until  1983.

K.   AIR POLLUTION TRAINING

     EPA provides technical training in the abatement and control  of  air
pollution.  This training includes short  course presentations  (three  to
five days in length), self-study courses, technical  assistance  to  others
who conduct training, and the support  of  traineeships and fellowships  for
graduate air pollution training.

     During 1982, EPA conducted 27 short  courses  in  8 different subject
areas for a total of 785 students.  These courses were presented in  locations
across the U.S. by 7 universities designated  as area training  centers.
Technical assistance was provided to State  and  EPA Regional  Offices  to
conduct 9 additional courses reaching  a total of  194 students.

     In an effort to reach more air pollution personnel  and  to  support the
transfer of control responsibilities to the States,  EPA expanded the numbers
and subjects of self-study courses.  Early  in the second  half  of 1982, ten
new self-study courses were added.  During the  last  5 months  of the  year,
just under 500 students applied for these courses.   (This represents  an
increase of over 75U percent compared with the  monthly average for the
first 7 months of  1982.)

     As an additional means of developing qualified  personnel,  EPA supported
26 graduate traineeships/fellowships to employees of State and local  air
pollution control  agencies.  These awards are for both part-time and full-
time study and the pnd objective is generally a graduate degree in the
field of air pollution control.

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                VI.  CONTROL OF STATIONARY  SOURCE  EMISSIONS


A.   NEW SOURCE PERFORMANCE STANDARDS (NSPS)

     The Administrator is required by Section 111  of the Clean  Air Act  to
establish national standards of performance for source categories  that  may
cause or contribute significantly to air pollution which may reasonably be
anticipated to endanger public health or welfare.   Such standards  apply to
new and substantially modified sources and  are generally referred  to as new
source performance standards (NSPS).

     During 1982, new source performance standards were promulgated for seven
new categories:  phosphate rock preparation _!_/, lead battery manufacture 27,
asphalt roofing manufacture 3/, surface coating of large appliances 4/,
surface coating of metal furniture J5/, metal  coil  surface coating  6/,  and
graphic arts (rotogravure printing).?/  The existing NSPS for petroleum
liquid storage (equivalency determination)  8/ and  gas turbines  were revised.^/
Standards were proposed for three new categories:   metallic  minerals pro-
cessing 10/, synthetic fiber manufacturing  11 /, and petroleum dry  cleaning.12/
Revisions were proposed for four phosphate  fertilizer processes 13/, lime
plants H/, and the industrial surface coating of  automobiles and  light-duty
trucks.J_5/,J_6/  Standards development programs now underway  are planned to
result in the promulgation of 13 and the proposal  of 24 standards  in 1983.

B.   NATIONAL EMISSIONS STANDARDS FOR HAZARDOUS AIR POLLUTANTS  (NESHAP)

     Standards development work continued in 1982  for coke oven emissions
sources in the iron and steel industry and  for major benzene emissions
sources in the chemical and petroleum industries.   Regulations  under Section
112 of the Clean Air Act were proposed in 1980 and 1981 for four source
categories of benzene emissions:  maleic anhydride manufacturing 17/,
ethyl benzene/styrene manufacturing  1_8/, and benzene storage and fugitive
leaks of benzene  in petroleum and chemical  plants  J_9_/,£0/  A public hearing
was held and public comment received.  As a result of a court order, EPA
plans to either propose NESHAP regulations  or make negative determinations
on several sources of inorganic arsenic in  1983.

     The Science Advisory Board  (SAB) completed their review of comprehensive
health assessment documents in 1982 for acrylonitrile, toluene, and chloro-
fluorocarbon-113.  SAB reviews on draft documents  for methyl chloroform,
methylene chloride, coke oven emissions, carbon tetrachloride,  and perchlor-
ethylene were also conducted in  1982, with  final  reviews scheduled in  1983.
These documents constitute the health basis for Agency decisions on whether
to regulate these  compounds as hazardous air pollutants under Section  112
or Section lll(d) of the Act or whether other appropriate action is necessary.
Health assessment  documents on 11 other pollutants are scheduled for initial
SAB review in 1983.

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                                    VI-2
C.   DELEGATION OF NSPS AND NESHAP

     EPA made considerable progress in 1982  in  delegating  responsibility
for implementing the NSPS and NESHAP programs to  the  states  and  local air
pollution control agencies.  At the beginning of  1982,  8 States  or
locals had accepted full delegation for applicable NSPS and  21 had  accepted
full delegation for NESHAP.  At the end of 1982,  these  delegations  increased
to 31 for NSPS and 45 for NESHAP.

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                     VII.  STATIONARY  SOURCE  COMPLIANCE
A.   MAJOR STATIONARY SOURCES

     The goal of the Clean Air Act is to protect  public health  and welfare
and enhance the quality of the nation's air.   The stationary  source  compliance
program is designed to assure compliance with air emission standards by
stationary sources of air pollution,  including such major facilities as
power plants, steel mills, smelters,  and refineries.  In addition to ensuring
compliance with emission limitations  contained in State Implementation
Plans (SIP's), EPA and delegated States are responsible for ensuring that
sources comply with new source performance standards (NSPS) and national
emission standards for hazardous air  pollutants (NESHAP).

     In the late 1970s, EPA embarked  on a program to bring sources which
had never installed control equipment into initial compliance with  applicable
air quality regulations.  Through the combined efforts of industry,  States,
and the Federal government, the goals of this program had been largely  achieved
by the end of 1982, when over 94 percent of the sources in the country  were
reported as achieving initial compliance or being in compliance with schedules
to install controls.  (This figure understates the progress which was made
since there was growth of over 2,000  additional SIP sources during  this
period.)  Among the sources brought into compliance through this effort
were some of the largest contributors to the nation's air pollution  problems,
with many of them having been in violation for several years.

     Since the conclusion of this effort, the compliance rate for major
sources has been stable.  This is an  expected outgrowth of the present
maturity of the program.  EPA and the States are not only continuing their
efforts to ensure that the remaining  sources achieve initial  compliance,
but also focusing on ensuring that controls which have been installed are
operated and maintained in a manner that maximizes their environmental
benefits.

     Illustrative of the importance of this effort is a study by the National
Commission on Air Quality (NCAQ), which found that 71 percent of 180 sources
reported as being in compliance had documented incidents of excess  emissions
2b percent above the allowed emissions level, with the primary cause being
improper operation and maintenance practices.^/

     To realize the maximum environmental benefit of the investments made
to date, programs to assure proper operation and maintenance are being
developed and made available to the States.  In 1982, EPA committed  itself
to work with States and local agencies on a voluntary basis to develop and
test various elements of a program designed to ensure continuing compliance.
In addition, EPA is providing an increasing level of technical support  to
strengthen State programs as well as  direct technical assistance when
requested.

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                                   VII-2
     Enforcement actions must be prioritized to ensure  that  the  maximum
environmental benefits are achieved.   EPA,  in cooperation  with the  States,
has been developing prioritized lists  of the most  significant violating
sources to focus resources where the  greatest environmental  gains can  be
madp.  EPA is looking to the States to assume the  primary  role in bringing
enforcement actions against these sources and will,  as  previously discussed,
provide ^technical support as needed.   Where the State efforts are not
successful, EPA is ensuring compliance by bringing a Federal  administrative
or judicial action.

     A fully integrated compliance data system (CDS) is essential as a
management tool to direct limited resources in maximizing  environmental
results.  EPA is continuing to improve its CDS and is working with
several States to develop or adapt their own integrated systems  to  make
them compatible with CDS.  This will  improve the quality of  the  State  data
in the system as well as minimize reporting burdens  on  the States.

     New source performance standards and hazardous air pollution programs
remain a high priority of the air enforcement program.   EPA  is actively
encouraging delegation of existing NSPS and NESHAP,  although a  residual
level of EPA enforcement activity is  still  required.  Substantial effort
has been made and is  likely to continue with respect to enforcing NESHAP
regulations for vinyl chloride and a  considerable effort is  anticipated as
new NESHAP regulations are promulgated.  While both NSPS and NESHAP sources
currently exhibit low violation rates, 3.1  percent and  1.4 percent,
respectively, EPA and the States are committed to ensuring that  these  rates
remain low despite significant growth in the number of  sources  subject to
these  standards.

B.    1982 DEADLINE ENFORCEMENT POLICY

     On September 20, 1982, the Administrator  issued a policy on enforcement
against sources  in primary nonattainment areas that are not  in  compliance
with  the Clean Air Act by December 31, 1982.   The policy recognizes that
courts have equitable jurisdiction to fashion  relief that allows a  source
to continue to  operate in violation beyond  1982 whT.e taking steps  to come
into  compliance  expeditiously.  The policy  sets forth criteria  to  determine
the  relief the Agency should  seek in each case, particularly whether a
compliance schedule  is appropriate or whether  the Agency should seek closure
of the  source  until  it can  demonstrate compliance.  To justify continued
operation  of the source,  the  Agency must determine that the public  interest
in continued operation outweighs the environmental  cost of the additional
period  of  noncompliance.

      If the  Agency  determines that continued  operation of a source is
appropriate, EPA may stipulate that an expeditious  compliance schedule
be used as the basis for entry of a judgment  order.  EPA will seek to ensure
that  the  order embodies  certain  conditions  enumerated  in the policy, including,

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                                   VII-3
most importantly, a schedule which  is  as  expeditious  as  practicable, an
interim emission limitation, and significant  civil  penalties.   EPA will
evaluate State enforcement actions  using  the  same  criteria  and  will initiate
independent Federal action if the State action  does not  implement the  basic
goals of the policy.

     The policy does not apply to sources of  pollutants  for which an area
has an extended attainment deadline of December 31, 1987,  pursuant to
Section 172 of the Clean Air Act.

C.   STEEL INDUSTRY COMPLIANCE EXTENSION  ACT

     One of the major emphases of the  air enforcement program has been the
implementation of the Steel Industry Compliance Extension  Act.   Under  this
Act, Congress gave the EPA Administrator authority to extend deadlines for
installation of certain air pollution  control equipment  for up  to three
years if a company agreed to invest an amount at least equal to the  deferred
costs of pollution control equipment in modernization to improve the
efficiency and productivity of its  steel  making facilities.  Any company
that gets an extension must ensure that all  of its air pollution sources
will comply with applicable standards.  The terms  of an  extension,  offsetting
modernization requirement, and compliance schedule are to  be set forth in
consent decrees.

     A total of ten companies submitted applications since the legislation
was signed on July 17, 1981.  Consent  decrees implementing the Administrator's
favorable findings on four of these applications have been negotiated  with
the eligible companies and are at various stages in the  judicial process.
In  1982, consent decrees involving the Ford Motor Company  and the Alabama
By-Products Corporation were entered by the appropriate  U.S. District
Courts reflecting extensions and modernization projects.  In 1982,  the
Administrator also completed negotiations approving extensions for  the
United States Steel Corporation and Sharon Steel Corporation, with  formal
decrees being entered early in 1983.  The Administrator  also approved  the
application submitted by Shenango Incorporated, but the  Corporation
subsequently withdrew its application because it decided not to invest in
modernization.

     The applications submitted by the National Steel Corporation,  Kaiser
Steel Corporation, and Inland Steel Corporation were withdrawn after pre-
liminary indications from the Agency that the corporations were not eligible
for extensions under the provisions of the Act.  An amended consent decree
covering National Steel Corporation's Great Lakes Steel  Division was entered
in  August 1982 requiring compliance by December 31, 1982,  and assessing
$3.0 million in  civil monetary penalties for violations  of the original
decree.  EPA is pursuing enforcement to resolve consent  decree violations
by  the companies.

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                                   VII-4
     The application submitted by the Wheeling-Pittsburgh  Steel Corporation
remains pending with the Agency.   Agency  staff completed  its  review of the
application in 1982, and recommended  that  the  application  be  granted  if the
Corporation first satisfies certain conditions required by the Act.   While
the Corporation is pursuing satisfaction  of these  conditions, the  negotiations
with the Corporation are proceeding to develop a  consent  decree which would
implement favorable findings if they  are  issued.

D.   MAJOR COURT ACTIONS

     United States Steel Corporation  - On  January  6,  1983, the Administrator
consented to the entry of seven new or amended consent  decrees under  the
Steel Industry Compliance Extension Act pertaining to the  United States
Steel Corporation.  The decrees establish  control  programs and compliance
schedules for every significant steel making source owned  by  the Corporation
which is not in compliance with the Clean  Air Act, and  contain stipulated
penalty provisions to ensure that the requirements of the decrees  are met.
The seven decrees cover the Corporation's  plants  located  in Mon Valley and
Fairless, Pennsylvania; Lorain, Ohio; Fairfield,  Alabama;  Gary, Indiana;
South Chicago, Indiana; and Baytown,  Texas.  In accordance with the Extension
Act, the Corporation is required to undertake modernization projects  totalling
$13.68 million in exchange for extensions, up to  December 31,  1985, to
install certain pollution control equipment.  The extensions  were  found  to
be necessary to enable the Corporation to invest  in these modernization
projects.  In addition, the decrees require the payment  of $250,000 as a
penalty for past violations, and contains  a commitment  by  the Corporation
to make publically available certain new,  very cost-effective,  pollution
control technology.

     Jone_s_a_nd Laugh!in Steel Corporation - On December 29, 1982,  the
Administrator denied the application submitted by the Jones and Laughlin
Steel Corporation under the Steel Industry Compliance Extension Act.  The
denial was based upon a finding that the Corporation is  in violation  of
Federal judicial decrees, and that the violations are not de minimi's  in
nature.  The Corporation therefore failed to meet an eligibility  requirement
established by the Act.  The Federal  government filcJ three contempt  actions
against the Corporation on January 6-7, 1983, citing judicial decree
violations at its plants located in Pittsburgh and Aliquippa, Pennsylvania;
Cleveland and Campbell, Ohio; and East Chicago, Indiana.   The actions seek
Clean Air Act compliance at the Corporation's plants and penalties for
past decree violations.

     National Steel Corporation  - As noted.earlier, on August 16,  1982,  an
amended judicial decree was entered affecting the National Steel  Corporation's
Great Lakes, Michigan  facility.  The decree required the payment  of $3.0
million as a penalty for violations of the original consent decree and
expeditious compliance  with the  Clean Air Act.

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                                   VII-5
     Commonwealth Edison,  Illinois  -  EPA  concurred on June  30, 1982, in
the filing of factual  stipulations  to be  used  as the basis of a judgment
order resolving this action.   The case was  originally filed in the Northern
District of Illinois by the State of  Illinois,  and the United States
intervened in the action in April 1980.   The case involves violations of
particulate and sulfur dioxide limitations  at  17 units at 7 power plants in
Illinois.  The stipulation was filed  with the  court on July 1, 1982, and
the court entered the order July 2, 1982.  The order provides for compliance
at all of the units for both pollutants.

     American Brick, Dolton,  Illinois - On  June 23, 1982, the Northern
District of Illinois denied American  Brick  Company's request that its 1980
consent decree schedule be extended until December  1, 1982.  EPA opposed
the request on the grounds that the extension  was not necessary.

     EPA and American Brick Company have  now  renegotiated the terms  of  the
consent decree which had been entered in  August 1980.  The modified  consent
decree was entered January 25, 1983.

     Under the terms of the new decree, American Brick  is now  shut  down.
On or before April 22, 1983, American Brick will notify  EPA whether  it
elects to remain shut down or to install  pollution  controls.   If  it  elects
to install controls, the company will proceed  on a  compliance  schedule
which requires it to complete installation  of  controls  and  demonstrate
compliance with all applicable Illinois State  Implementation  Plan  limitations
no later than October 22, 1984. American Brick will  not operate  its plant
at all between December 31, 1982,  and the date on which  it  begins  compliance
testing in 1984.

E.   COMPLIANCE BY FEDERAL FACILITIES

     During 1982, Federal facilities classified as  major sources  of air
pollutants made continuous progress toward  coming  into  compliance  with
applicable regulations.  Through 1982, 336  (92 percent)  of  these  facilities
met applicable emissions limitations.  Of the  29 noncomplying  facilities,
17 have agreed to compliance schedules that will eventually  bring  them  into
compliance.

F.   LIST OF VIOLATING FACILITIES

     The  list of  violating facilities, under Section  306 of the Clean Air
Act, is designed to prevent the Federal government  from subsidizing Clean
Air Act violators with contract, grant, or  loan monies.

     No Clean Air Act violators were listed in 1982.

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                  VIII.   CONTROL  OF  MOBILE  SOURCE EMISSIONS
     Control  of motor vehicle emissions  has  been  a Federal  responsibility
since 1968.  The requirements of the  Clean Air Act relating to mobile
sources have  been subsequently refined  several times, most  recently  in
1977.  The Clean Air Act Amendments of  1977  established  an  ambitious
regulatory program which addressed problems  identified in the motor  vehicle
emissions control program at that time,  and  bolstered efforts to  attain  and
maintain the  national ambient air quality  standards  for  carbon monoxide
(CO) and ozone.  The mobile source-related provisions of the 1977 Act  include:

     - Establishment of a schedule for  implementation of stringent emissions
standards for automobiles--0.41  grams per  mile  (gpm)  for hydrocarbons  (HC),
3.4 gpm for CO, and 1.0 gpm for oxides  of  nitrogen  (NOX).   The table below
displays the  level of control envisioned by  the  standards.
                      New Light-Duty  Vehicle  Emissions
            Hydrocarbons

            Carbon Monixode

            Oxides of Nitrogen
                                 Prior to
                                 Control

                                   8.8 gpm

                                   87.0 gpm

                                   3.6 gpm
Current
Standard

  .41 gpm

 3.4 gpm

 1.0 gpm
Percent
Reduction

   95%

   96%

   72%
     - Establishment of HC, CO, and NOX standards for heavy-duty engines
similar in stringency to those for light-duty vehicles.

     - Additional control of evaporative HC emissions from heavy-duty
vehicles through the adoption of a more realistic test procedure.

     - Control of particulate emissions from both light-duty and heavy-duty
vehi cles.

     - Implementation of motor vehicle inspection and maintenance (I/M)
programs in areas with severe CO and ozone air pollution problems.
     In the period since
the Act's mandates.  Thi
result of the financial
in recent years.  In the
                         1977,  EPA  has  made  great  progress  toward  fulfilling
                        s  process has become  more  complex,  however,  as  a
                        difficulties  encountered by  the  automotive industry
                         Auto Task  Force  report released by the White House
in April  1981,  EPA committed itself to  a  series of regulatory  relief measures
                         law and with continued movement toward cleaner
                         attempted  to achieve these  goals as it proceeded
                        mobile source emissions control  regulatory program.
consistent both with the
air.iy  During 1982, EPA
with development of its

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                                   VIII-2
A.   STANDARD SETTING

     Light-Duty Vehicles

     Beginning with the 1981 model  year,  the Clean Air Act standards  for
automotive exhaust emissions stabilized at 0.41  gpm HC, 3.4 gpm CO, and  1.0
gpm NOX.  (Limited waivers were made available for CO and NOX.)  Achievement
of these standards was made possible by the development of sophisticated
technology (most notably the three-way catalyst) capable of controlling
emissions of HC, CO, and NOX simultaneously.  Starting with the 1983  model
year, all gasoline-powered vehicles must  meet the statutory standards.

     Actions undertaken during 1982 with  respect to light-duty vehicle and
truck emissions standards include:

     - The current standard for particulate emissions from light-duty diesel
vehicles is 0.6 gpm.  This standard is scheduled to be tightened to 0.2  gpm
beginning with the 1985 model year.  However, since the technology which
was originally planned to be generally available by 1985 has not yet
demonstrated sufficient reliability, EPA proposed to postpone the more
stringent standards until 1987,2J  In the interim, EPA has undertaken an
in-depth study of controlling diesel particulates in order to develop
standards that will achieve the greatest impact on air quality while  causing
the least disruption to the industry.

     - EPA has developed a plan to regulate light-duty diesel particulate
emissions through averaging  (i.e., control of emissions from a manufacturer's
fleet on the average rather than from each individual vehicle).  This
concept affords manufacturers the option of selecting the most cost-effective
way of controlling emissions from their fleets by optimizing controls on
selected vehicles rather than on all vehicles in the fleet.  Final rulemaking
is expected during 1983.

     - The Clean Air Act requires that as of 1984, all cars sold in the
U.S. must be capable of meeting the emissions standards regardless of
altitude.  EPA has proceeded with the development r-1-" regulations designed
to meet the Act's requirements.  Separate rulemakings for model year 1984
light-duty trucks and  passenger cars were prepared for promulgation in
early 1983, in conjunction with the release to the Congress of a formal
report on this  issue.   In addition, EPA has set interim high altitude
standards applicable to model years 1982 and  1983 for both cars and light
trucks.  A  regulation  proposed in  late 1982 is  designed to assure that the
impact of these interim standards  focuses on those counties with the most
severe  pollution  problems.^/

     Heavy-Duty Engines

     With the  achievement  of strict standards by  passenger cars, EPA has
devoted  additional  attention to the development of a parallel  set of
standards for  heavy-duty  engines.   This process  is especially  important  in
 light of projections that  heavy-duty  vehicles will be  an  increasingly
significant  contributor  to  emissions  inventories  for the  rest  of the century.

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                                   VIII-3
     During 1982,  EPA made progress  on  a  number of  issues  related to heavy-
duty engines:

     - A regulation limiting evaporative  HC  emissions  from heavy-duty trucks
was prepared for promulgation in early  1983.   These standards will reduce
the levels of nomethane hydrocarbons (NMHC)  by 92 percent  over  uncontrolled
levels.

     - Exhaust emission regulations  that  were  to take  effect  in the  1984
model year specified that light trucks  and heavy-duty  engines must meet new
HC and CO standards that would require  the use of catalyst technology.  In
January 1982, EPA proposed to revise the  CO  standard to  a  level  that would
not require catalysts, resulting in  substantial cost-savings  while still
achieving significant emission reductions over current standards.^/  This
revision was not projected to affect the  ambient attainment status for CO
or ozone.  A number of factors combined to warrant  this  modification to the
CO standard.  After the promulgation of the  model year 1984 catalyst standards
in 1979, the industry began to experience the  effects  of the  economic
downturn.  As a result of these economic  difficulties, a series of actions
to provide some relief to the industry  was undertaken  in April  1981.  Among
these actions was the proposal by EPA to adjust the standards for HC and
CO.  Because of the inherent complexities, however, it has not  been  possible
to resolve all the issues and to promulgate  the final  rule.  EPA will
continue to work with the industry to clarify  the  issues and  develop workable
solutions.

     - A related rulemaking delaying the implementation of the  new HC/CO
standards until model year 1985 was  prepared for promulgation in early
1983.  This delay will ease manufacturers' concerns about adequate  leadtime
and give EPA the opportunity to resolve pending  issues related  to the
standards.

     - EPA improved its testing data base and  performed technical analyses
in preparation for the 1984 promulgation of  standard for heavy-duty  NOX and
particulate emissions.  This set of  regulations was the focus of a  public
hearing held in July 1982.

     Other Vehicle Categories

     During 1982, EPA promulgated a  revised  set  of  standards  for emissions
of HC and CO from aircraft; this rule substituted  for  outdated  standards
that were set to take effect on January 1,  1983,  and were more consistent
with international standards.5/  A related  rule  concerning aircraft  smoke
emissions was prepared for promulgation in  early  1983.

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                                   VIII-4
     Fuels

     In October 1982,  EPA published a  rule revising  the  standards  applicable
to lead in gasoline.6/  This rulemaking,  which  will  reduce  airborne  lead  34
percent more by 1990 than under the rule  previously  in effect,  resulted
from a review initiated in 1981 at the request  of the Presidential Task
Force on Regulatory Relief.   It will  speed up  reductions in airborne  lead
levels to protect the health and welfare  of all Americans,  particularly pre-
school children in urban areas.

     EPA has also been concerned about the regulatory implications of the
potential introduction into  the marketplace of  alternative  fuels such as
methanol.  A report on this  subject was prepared for delivery  to Congress
in early 1983 and several fuel  waivers were processed.

B.   PREPRODUCTION COMPLIANCE

     One of EPA's long-standing techniques for assuring  compliance with
motor vehicle emissions standards is the  preproduction certification  review
program.  Initiated in 1968, the program entails engineering review  by EPA
staff of engine families representing  the new  vehicles to be sold  in  the
United States.  Steps in the process include submission  by  manufacturers  of
technical data about respective vehicles, emissions  testing of prototypes
by manufacturers, review of engineering data and test results  by EPA, and,
in certain cases, confirmatory testing of prototypes at  EPA's  laboratory
facility in Ann Arbor, Michigan.

     During 1982, EPA completed a series of major changes to the  preproduction
certification program.  Now that many emissions standards are at  or  close
to their statutory levels, and manufacturers are familiar with the testing
program, extensive EPA involvement in the day-to-day process is no longer
required.  After  a thorough review of all procedures, EPA developed  reforms
which have reduced the complexity and cost of the program,  arid focused most
effort  on those engine families with the greatest potential impact on air
quality.  The new certification rules simplify testing  requirements, reduce
paperwork by  approximately 20  percent, and increase industry flexibility.
The  resulting savings to manufacturers will be at least  $5 million annually.

C.    INSPECTION/MAINTENANCE

      A  strategy for dealing directly with  in-use emissions problems  is the
encouragement of  motor vehicle  inspection  and  maintenance  (I/M) programs.
EPA's  basic approach  in  this area was determined by the  1977 Amendments  to
the  Clean Air Act.  Urban areas of the country which obtained an extension
in thp  deadline for attaining  the  ambient  air  quality standards for automotive-
related pollutants  beyond 1982  are  required by the Act to  implement  an I/M
program.

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                                   VIII-5
     This I/M requirement applies  to  areas  in  30 States.  As of the end of
1982, 14 States already  had operating programs, two others were on schedule,
and 14 others were deficient.   States whose State  Implementation Plans are
disapproved due to the failure to  proceed with an  I/M  program will be
subject to the sanctions specified in the Act.

D.   ALTERNATIVE COMPLIANCE MEASURES

     In recent years, increasing attention  has focused on the problem  of
excessive emissions from in-use vehicles.   This emphasis has  resulted  from
the perception that the  Nation's considerable  investment in  vehicle emissions
control technology can be squandered  if for any reason the equipment does
not perform as anticipated in  actual  use.

     EPA is now proceeding with a  study whose  goal  is  to identify the  most
efficient way to achieve in-use vehicle compliance with emissions standards.
It is possible that an alternative approach could  entail an  expanded role
for emissions averaging.  An ongoing  in-use vehicle testing  effort  is  aimed
at generating data for this study. EPA anticipates that the analytical
work may be completed sometime during 198b.  If a  replacement program  is
feasible, appropriate legislation  will be  proposed to  the Congress  and an
appropriate program developed.

E.   MOBILE SOURCE ENFORCEMENT

     The EPA mobile source enforcement program is  directed  primarily toward
achieving compliance with motor vehicle emissions  standards  and  fuel
regulations as required by the Clean  Air Act.   The major goals  and  objectives
are to:  (1) assure that new vehicles meet  emissions  standards;  (2) assure
that vehicles meet emissions standards in  use; (3) assure that  emissions
control systems are not  removed or rendered inoperative;  (4) assure control
of hydrocarbon emissions during gasoline transfer  operations;  (5) assure
that harmful additives are not present in  gasoline; (6) administer  statutory
and California emissions standards waivers; and (7) administer  the  statutory
emissions warranties.

     Recall Program

     Section 207(c) of the Clean Air Act authorizes EPA to  order the  recall
of vehicles if a substantial number of any class  of vehicles do  not conform
to emissions standards.   During 1982, 1,169,352 vehicles were recalled
either by direct order of EPA or as a result of an EPA investigation.   In
the same period, manufacturers voluntarily recalled 28,049  vehicles  to
correct emissions problems.  EPA conducted a total of 42 recall  investigations
in fiscal year 1982, and performed 612 tests of in-use vehicles  at  laboratory
facilites in Springfield, Virginia, and Ann Arbor, Michigan.  In order to
assure that emissions control  systems operate properly throughout their
useful lives, EPA has focused increasingly on testing and  investigation  of
high mileage vehicles.

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                                   VIII-6
     Emissions Standards Waivers

     During 1982, EPA granted several  requests  from automobile  manufacturers
for a short-term waiver of the 1981-1982 model  year carbon  monoxide  (CO)
emissions standard for gasoline engine powered  automobiles  and  1981-1984
model year oxides of nitrogen (NOX)  emissions standard  for  diesel  engine
powered automobiles.

     Selective Enforcement Auditing

     In order to assure that production vehicles  are made in  accordance
with emissions standards, EPA conducts Selective  Enforcement  Audit (SEA)
test programs at manufacturers' facilities.   EPA  has found  that the  SEA
program encounters few failures, because automobile manufacturers  routinely
test on a voluntary basis many more  vehicles than are strictly  required
through SEA orders.  Therefore, beginning in 1981,  EPA  changed  its SEA
policy to place greater reliance on  manufacturer  testing programs  and less
on EPA-mandated audits.  In fiscal year 1982, EPA conducted 25  SEA test
programs.

     IJnleaded Gasoline Enforcement  Program

     EPA has responsibility for enforcing Section 211 of the  Clean Air Act,
relating to the regulation of fuels  and fuel additives.  One of the
regulations under this section of the Act is aimed at protecting the
catalytic converters on 1975 and later model year cars.

     EPA has established a nationwide fuels  enforcement program to ensure
that affected retail outlets comply  with these  regulations.  This program
includes sampling of the fuel at retail outlets by Regional EPA field
inspectors and private or State inspectors under EPA contract,  in order  to
measure the fuel's  lead content.  EPA conducted 14,OUO inspections under
this program during 1982.

     Tampering/Fuel Switching

     EPA is also  responsible for carrying out programs designed to deter
tampering with vehicle emissions control systems or using leaded fuel in
vehicles which require unleaded fuel.  Surveys  undertaken by EPA have shown
tampering and fuel  switching to be continuing serious problems  which under-
mine the emissions  control performance of many  in-use vehicles.  The latest
survey indicates  that about  17  percent of the vehicle fleet is  subject to
gross  tampering,  and about 12 percent to fuel switching.

     In  1982, EPA prepared an  initiative to promote State and local
anti-tampering and  anti-fuel switching enforcement programs.  The aim of
this initiative  is  to establish tamper-ing and fuels programs which directly
benefit  HC, CO,  and NOX  nonattainment areas.  Implementation of the initiative
wi "11 proceed  in  1983.

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                                   VIII-7
     In a related area,  EPA is in  the  process  of  revising  its  current anti-
tampering regulations in order to  clarify  precisely what  constitutes
tampering and what is the liability  of manufacturers,  suppliers,  and
repairers of motor vehicles.  As part  of this  process,  EPA sponsored  a
public workshop on anti-tampering  issues in  July  1982.

     Enforcement Regulations Development

     The Clean Air Act prohibits the introduction into commerical  use of
automobiles which are not certified  as meeting emissions  standards,  but the
Act and EPA regulations  permit manufacturers to apply  for exemptions  for
vehicles used in development and testing programs for  new engines or  other
technologies.  In July 1982, EPA revised its regulations  governing these
exemptions in order to simplify the  application process and reduce reporting
requi rements.

     Another regulatory  amendment  signed by  the Administrator in 1982 makes
the octane designation portion of  EPA's unleaded  gasoline regulations
consistent with the Petroleum Marketing Practices Act.7_/   Gasoline
distributors and dealers will therefore not  be forced  to  obtain separate
octane values in order to comply with  EPA and  FTC rules.

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                              IX.   LITIGATION


     The United States  Courts  of Appeals  decided ten cases under the Clean
Air Act in 1982.  The range of issues  covered was unusually narrow, for
all but one of the cases  involved  the  rules  for setting up, approving, and
operating State Implementation Plans  (SIP's).  These plans are the basic
regulatory structures through  which States work to  attain the national
air quality standards and to implement the prevention  of  significant
deterioration (PSD) program.

     The most significant case of  the  year was NRDC v. Gorsuch, 685 F.2d
718 (D.C. Cir.).  Under the Clean  Air  Act, every major new source of air
pollution and every modification to an existing major  source that is located
in an area which is not attaining  national ambient  air quality standards
must meet certain regulatory conditions and  obtain  a permit before construction
begins.  A source is modified  within the  meaning of this  requirement if its
emissions of a pollutant  for which its area  is nonattainment increase  by
significant amounts.

     The question posed in the NRDC case  arises when a number of emitting
units, each of which would be  a major  source when viewed  in isolation, are
located at a common plant site. EPA,  by  regulation, had  moved to allow
States to define the entire plant  as the  source for purposes of new source
review.  Under this definition, increases at units  at  such a plant would  be
excluded from new source  review even when they exceeded the significance
threshold as long as the source owner  produced simultaneous emissions
decreases elsewhere in the plant so that  emisisons  from the plant as a
whole did not increase above this  threshold.

     The D.C. Circuit rejected this approach and held  that its prior decisions
had drawn a "bright line" between  programs designed to improve air quality,
as to which such a "bubble" approach to new  source  review was forbidden,
and programs designed to maintain  existing levels of air  quality, as to
which the "bubble" approach was permitted.

     1982 also saw decisions in the first of many pending challenges to EPA
approval of State relaxations  of  control  requirements  for sulfur dioxide
(S02).  In three decisions issued  the  same day, the Second Circuit upheld
EPA's approval of such revisions.

     In Connecticut Fund for the  Environment v. EPA, 696  F.2d  169, the
court held that EPA was not required  to consider the possible  impact on
particulate concentrations of relaxing emission  limits in Connecticut  for
SO^, in part because the Clean Air Act does  not appear to contemplate  such
a  requirement and in part because  evaluating the transformation  of S02 into
particulates, particularly over long  distances, presents  technical and
scientific problems that the Agency has not  yet  successfully  resolved.

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                                    IX-2
     In a companion case of the same  name  [696 F.2d  179], the court
upheld a Connecticut program that  allowed  sources  that  carried out energy
conservation programs to burn higher  sulfur  fuel in  return.  The court
relied in part on the same reasoning  as  in its first case and in part on
the fact that each new individual  SC>2 limit  would  be the subject of public
notice and comment as a SIP revision.

     The third case, State of Connecticut  v. EPA,  696 F.2d  147, involved
a challenge by Connecticut to an emission  limit  set  by  New  York and approved
by EPA that allowed a power plant  on  Long  Island to  continue burning higher
sulfur fuel than New York generally allows.   The court  approved EPA's
technical decisions in deciding that  the plant in  question  did not have a
significant effect on air quality  in  Connecticut.   It also  addressed the
meaning of the provisions of the Clean Air Act that  seek to prevent one
State from polluting the air of another, upholding EPA's view that these
provisions bar emissions increases in one  State  that, under existing control
patterns, would cause violations of the  standards  in another, but not those
that would have a lesser adverse impact.  It did,  however,  suggest that the
Clean Air Act requires EPA to evaluate the effect  of a  change in S02 emission
limits in one State on particulate concentrations  in another, even though
such an analysis is not required within  the State  that  is  changing its S02
rpquirements.  Nevertheless, the court upheld EPA's  decision because it
found that the direct impact of the plant's SC"2  emissions would be minimal
and that EPA lacked the technical  capability to  evaluate the impact of any
atmospheric transformation of SC>2 into particulates. Finally, the court
left open the question of how the effects  of interstate pollution on the PSD
program should be evaluated.

     In yet another case entitled Connecticut Fund for  the  Environment v.
EPA, 672 F.2d 998  (2d Cir. 1982),  the Second Circuit upheld EPA's policy of
"conditionally approving" State submissions that were not  fully complete
conditioned on the States repairing the  deficiencies within a set time.
However, it also concluded that EPA could not lift the  restrictions  on
construction of new or modified major stationary sources  of air pollution
that the statute imposes on States without approved SIP's  until the  SIP had
been fully—rather than conditional ly--approved.

     In Council of Commuter Organizations v. Gorsuch, 683 F.2d  648  (2d Cir.
1982), the court applied this same reasoning to  EPA's approval  of  a  plan to
control auto-related  pollutants in New York City.    It also found  that  this
plan satisfied the  first round of  requirements of the Clean Air Act  relating
to  public  transit  systems  (including a provision that only applied  to
New York City).

     In Public Service Company of  Indiana v. EPA,  682 F.2d 626  (7th  Cir.
1982), the court  rejected  industry arguments that in passing  on State-
submitted  SIP  revisions, EPA must  either  approve them as a whole or
disapprove them  as  a  whole.   Instead, it  upheld EPA's authority to  approve
those  portions of  a  submission that  met the standards of the Clean  Air Act
and disapprove those  that  did  not.

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                                    IX-3
     In a final  case relating to the adequacy  of  State  SIP  submissions,  the
Ninth Circuit held that the Pacific Legal  Foundation  lacked standing  to
challenge EPA's  imposition of construction limitations  on California,  and
its barring of certain Federal grants there,  because  of California's  failure
to conform its implementation plan provisions  to  the  requirements  of  Part D
of the Clean Air Act.  Pacific Legal Foundation  v.  Gorsuch.

     In Roosevelt Campobello International Park  Commission  v.  EPA,  684
F.2d. 10"3T~[~lst  Ci r. 1982), the court held that  judicial  review  of various
questions relating to EPA's grant of a PSD permit to  the Pittston  Company's
proposed refinery at Eastport, Maine, was  not  appropriate  because  the permit
would not he of  any practical use unless EPA  also amended  some of  the
applicable regulations, a step which it had not  yet taken.

     In Kennecott Corp. v. EPA, 684 F.2d 1007, the D.C. Circuit  invalidated
the portion of EPA's Section 119 nonferrous smelter order (NSO)  regulations
governing how the Agency determines a smelter's  eligibility for  an NSO.
EPA's test would have allowed an NSO, which postpones SIP  compliance, only
when timely SIP  compliance would cause the smelter to shut  down.  The court
found this too stringent, holding that Congress  did not intend to  deny an
NSO when timely  compliance would impose on the smelter certain adverse
economic consequences short of shutdown.  The decision pertains  only  to
EPA's NSO rules  for the first statutory period,  which expired  at the  end of
1982.  However,  its reasoning will be relevant to EPA's forthcoming NSO
rules for the second period, 1983-1988.

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                               X.  REFERENCES


Chapter II

1.   44 Federal  Register 27558 (May  10,  1979).

2.   Guideline on Air Quality  Models.   EPA-450/2-78-027.  April 1978.

Chapter III

1.   K. Scheme and J. Shreffler,  "Final  Evaluation  of Urban Scale Photochemical
     Air Quality Simulation Models," EPA-60U/3-82-094, December 1982.

2.   P. Gabele,  R. Sweidinger, and F.  Black,  "Passenger Car Exhaust Emission
     Patterns - Petroleum and  Oil  Shale Derived Diesel Fuels," Society of
     Automotive Engineers, 820770, June 1982.

3.   T.B. Martonen, and A.F. Wilson, "The  Influence of Hygroscopic Growth
     Upon the Deposition of Broncodilating Aerosols in Upper Human Airways,"
     The Proceedings of the G.A.E.F. Meeting  in Bologna,  Italy, September
     1982.

4.   T. Lavery,  A. Bass, D. Strimaitos, A. Venkatram, B.  Green, P. Drivas,
     and B. Egan, "EPA Complex Terrain Model  Development  - First Milestone
     Report - 1981," EPA-600/3-82-036, April  1982.

5.   "Recommended Accuracy Checks  for  NESHAP  Methods," QA Handbook Volume III.
     EPA-60U/4-77-0276.

Chapter IV

1.   45 Federal  Register 55066 (August 18, 198U).

2.   47 Federal  Register 26233 (June 17, 1982).

3.   "Air Quality Criteria for Oxides  of Nitrogen." Environmental Criteria
     and Assessment Office, Office of  Research and  Development, U.S. EPA,
     Research Triangle Park, N.C.  EPA-600/8-82-U26F, December  1982.

4.   "Review of the National Ambient Air Quality  Standards for  Nitrogen
     Oxides:  Assessment of Scientific and Technical Information."  Office
     of Air Quality Planning and Standards Staff  Paper.   U.S. EPA,
     Research Triangle Park, N.C.  EPA-450/5-82-002, August  1982.

5.   "Review of the National Ambient Air Quality  Standards for  Particulate
     Matter:  Assessment of Scientific and Technical Information."  OAQPS
     Staff Paper.  U.S. EPA, Research  Triangle Park, N.C. EPA-450/5-82-001,
     January 1982.

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                                    X-2
Chapter V

1.   43 Federal  Register  46246  (Octobers,  1978).

2.   47 Federal  Register  49322  (October  29,  1982).

3.   46 Federal  Register  44476  (September 4,  1981).

4.   47 Federal  Register  15076  (April  7,  1982)

5•   BACT/LAER Clearinghouse -  A Compilation  of Control Technology
     Determination "(Kay 1982),  U.S.  EPA, Control  Programs Development
     Division, Research Triangle Park, N.C.,  May  1982.

6.   45 Federal  Register  52676  (August 7, 1980).

7.   Court of Appeals for the D.C.  Circuit,  No. 79-1112.

8.   47 Federal  Register 27554  (June 25,  1982).

9.   45 Federal  Register  80084  (December 2,  1980).

10.  47 Federal  Register 6624 (February  16,  1982).

11.  47 Federal Register 5864 (February  8,  1982).

12.  47 Federal  Register  31321 (July 19,  1982).

Chapter VI

1.   47 Federal  Register 16582  (April 16,  1982).

2.   47 Federal  Register 16564  (April 16,  1982).

3.   47 Federal  Register 34137  (August 6,  1982).

4.   47 Federal  Register 47778 (October 27, 1982).

5.   47 Federal  Register 49278 (October 29, 1982).

6.   47 Federal Register 49606 (November 1, 1982).

7.   47 Federal Register 50644 (November 8, 1982).

8-   47 Federal Register 54258  (December 1, 1982).

9.   47 Federal Register 3767  (January 27,  1982).

10.  47 Federal Register 36859  (August 24,  1982).

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                                   X-3
11.   47 Federal  Register 52932  (November 23, 1982).

12.   47 Federal  Register 56118  (December 14, 1982).

13.   47 Federal  Register 26750  (June  21, 1982).

14.   47 Federal  Register 38832  (September 2, 1982).

15.   47 Federal  Register 34342  (August  6, 1982).

16.   47 Federal  Register  32743 (July 29, 1982).

17.   45 Federal  Register 26660  (April 18, 1980).

18.   45 Federal  Register 83448  (December 12, 1980).

19.   45 Federal  Register 83952  (December 19, 1980).

20.   46 Federal  Register 1165 (January  5, 1981).

Chapter VII

1.   Report of the National Commission  on Air  Quality.   To  Breathe Clean
     Ai^r.  GPO 1981 735-046/1424,  March 1981,  Page  3.8.

Chapter VIII

1.   "Actions to Help the Auto  Industry," White House  release  dated
     April 6, 1981.

2.   47 Federal  Register 54250  (December  1,  1982).

3.   47 Federal  Register 50929  (November  10,  1982).

4.   47 Federal  Register 1642 (January  13,  1982).

5.   47 Federal  Register b8462  (December 30,  1982).

6.   47 Federal  Register 49322  (October 29,  1982).

7.   48 Federal  Register 4286 (January  31,  1983).

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                        DATE DUE
O.S.

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                                   TECHNICAL REPORT DATA
                            (Please read Instructions on the reverse before completing)
1. REPORT NO.
                                                            3. RECIPIENT'S ACCESSION NO.
4. TITLE AND SUBTITLE
  Progress  in the Prevention  and Control of
   Air  Pollution in 1982
                                                            5. REPORT DATE
                                                              April 1984*
             6. PERFORMING ORGANIZATION CODE
7.XKHXKXCC39
                                                            8. PERFORMING ORGANIZATION REPORT NO
          Project Officer
          Will-Jam F. Hamilton
9. PERFORMING ORGANIZATION NAME AND ADDRESS
   Office of Air Quality Planning and Standards
     Control Programs Development Division
     Mail  Drop 15
     Research Triangle Park,   N.C.  27711
                                                            10. PROGRAM ELEMENT NO.
              JJJA2A.
             11. CONTRACT/GRANT NO.
 12. SPONSORING AGENCY NAME AND ADDRESS
   Environmental Protection  Agency
   401  M Street, S.W.
   Washington,  D.C.  20460
             13. TYPE OF REPORT AND PERIOD COVERED
                Final 1982
             14. SPONSORING AGENCY CODE
 15. SUPPLEMENTARY NOTES
   Annual Report of the Administrator of the Environmental Protection Agency to the
   Congress under Section  313,  202, and 306 of  the Clean Air Act
 16. ABSTRACT

         The report addresses  the progress made  in the prevention  and control of air

   pollution in 1982.  It  covers the areas of air quality trends  and monitoring,

   development of air quality criteria and standards, the status  of  State Imple-

   mentation Plans, the control of stationary and mobile source  emissions, enforce-

   ment,  and litigation.   The report is the annual report of  the  Administrator of

   EPA to the Congress in  compliance with Sections 313, 202(b)(4),  and 306 of the

   Clean Air Act, as amended.
                                 KEY WORDS AND DOCUMENT ANALYSIS
                  DESCRIPTORS
    Air Pollution
    Environmental Engineering
    Pollution Abatement
    Pollution Regulations
    Public Health
                                               b.IDENTIFIERS/OPEN ENDED TERMS
                           c.  COSATI l-ield'(,roup
JI8. DISTRIBUTION STATEMENT

|    Release unlimited.  Available
1    through NTIS
19 SECURITY CLASS (This Report,
  Unclassified
20 SECURITY CLASS (This page

  Unclassified
                    •<, !   ~  T'
21 NO OF PAGE.
       58
                           22. PRICE
 EPA Form 2220-1 (Rev. 4-77)   PREVIOUS  EDITION is OBSOLETE
   *Date of  transmittal  to  the Congress.

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