Notice of  Proposed Rulemaking for
                   Reformulated  Gasoline (RFG)
                   Requirements
                       The U.S. Environmental Protection Agency (EPA) is requesting
                       comment on options to revise the reasonable date on which we
                   determine the applicability of RFG to make them relevant for areas
                   that EPA rede signaled to attainment for the 1 -hr ozone standard prior
                   to its revocation.

                   Summary of the Notice of Proposed Rulemaking
                   EPA is seeking comment on two options to address whether a specific type of ozone
                   nonattainment area would remain a federal RFG covered area after it is no longer
                   classified as a severe area based upon redesignation to attainment for the 1 -hour ozone
                   National Ambient Air Quality Standard (NAAQS) prior to revocation of the 1-hour
                   NAAQS. This area is also designated as an ozone nonattainment area for the 8'hour
                   NAAQS. Atlanta is the only area that would fall within the scope of this proposal.
                   Key Elements
                      •  Under the first option, Atlanta would be required to use RFG at least until it
                         is redesignated to attainment for the 8-hour NAAQS,
                      •  Under the second option, the determining factor for Atlanta would be the
                         date of revocation of the 1-hour NAAQS. The use of this effective date
                         would mean that if RFG was a mandatory obligation on that date, then the
                         obligation would continue on after revocation of the 1-hour NAAQS. If RFG
                         was not a mandatory obligation on that date then it would not continue after
                         the date of revocation. EPA would interpret CAA section 211(k)(10)(D)
                         such that an area would no longer be considered an RFG area after redesig-
                         nation to attainment for the 1-hour NAAQS, if the State requests removal
                         of RFG and demonstrates that removal would not result in loss of emission
                         reductions relied upon in the State attainment plan.
SEPA
United States
Environmental Protection
Agency
Office of Transportation and Air Quality
                 EPA-420-F-06-053
                           2006

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    •   Under the first option, Atlanta would need to adopt RFG, and under the second option,
       Atlanta would not need to adopt RFG subject to the required demonstration.
Background
The proposed rule follows previous EPA action to replace the 1 -hour ozone standard with a
more protective 8-hour standard. To date, EPA has issued two rules that clarify the extent to
which Clean Air Act obligations that existed under the 1 -hour ozone standard continue in effect
under the 8-hour standard. These rules are the Phase 1 implementation rule, and the Phase 2
implementation rule.

In the Phase 1 rule, EPA addressed two  interrelated key issues regarding the transition from the
1-hour ozone NAAQS to the 8-hour ozone NAAQS. First, at what time the 1-hour NAAQS
would be revoked (i.e., no longer apply). Second, what protections would remain in place to
ensure that, once the 1 -hour NAAQS was revoked, air quality would not degrade and that
progress toward attainment would continue as areas transition frol implementing the 1-hour
NAAQS to implementing the 8-hour NAAQS.

In the proposed Implementation rule, EPA identified federal RFG as  an applicable requirement.
In the final rule, however, EPA did not include RFG in the list of applicable requirements. EPA
instead clarified that RFG is required under a Federal program, and thus differs significantly from
the programs on the final list of applicable requirements, which are developed and adopted by
States for inclusion in the state implementation plan (SIP). EPA recognized that various issues
exist regarding the scope and applicability of the RFG program during and after implementation
of the 8-hour ozone NAAQS that need further clarification. EPA stated that we were still con-
sidering how to treat RFG and that we would address these issues in an action separate from the
Phase 1 rule. Thus, EPA did not include RFG in the list of applicable requirements in the Phase
1 Rule, and EPA made no decision at that time concerning RFG treatment in the transition to
the 8-hour NAAQS.

In the Phase 2 Implementation Rule, EPA specified that the nine original mandatory RFG
covered areas, as well as mandatory "bump-up" areas that will no longer be classified as severe
based solely on the revocation of the 1-hour NAAQS, will remain covered areas at least until
they are redesignated to attainment for  the 8-hour NAAQS.  EPA relied on an approach, similar
to that in the  Phase  1 rule, of no loss of emission reductions relied upon in the State attainment
plan. However, EPA did not address in that Phase 2 final rule whether RFG would continue to
be required in bump-up areas that are designated nonattainment for the 8-hour NAAQS, but
are no longer classified as severe based on a redesignation to attainment for the 1-hour  NAAQS
before revocation of the 1-hour NAAQS. EPA redesignated Atlanta as a marginal nonattain-
ment area under the 8-hour ozone standard, and also to attainment for the 1-hour NAAQS,
prior to revocation of the 1-hour NAAQS. Atlanta is the only covered area that falls within the
scope of this proposal.

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For More Information
You can access this proposed rule on EPA's Office of Transportation and Air Quality Web site at:

          www.epa.gov/otaq/rfg_regs.htm

For further information on this rulemaking, please contact Kurt Gustafson at:

          U.S. Environmental Protection Agency
          Office of Transportation & Air Quality (6406J)
          1200 Pennsylvania Avenue NW
          Washington, DC 20460
          (202) 343-9219
          E-mail: gustafson.kurt@epa.gov

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