DRAFT

PHASE II MANAGEMENT PLAN

OZONE, PM AND REGIONAL HAZE

IMPLEMENTATION PROGRAMS

Date Revised: April 7, 1997

CONTENTS

page I. Introduction 1 II. Major Regulatory Outputs 2 III. Other Deliverables 3 IV. Phase II Issue Paper Status Summary 4 V. Phase II Issue Paper Work Group Liaisons 7 VI. Summary of Critical Implementation Issues and Their Resolution 8 VII. Schedule of FY 1997 FACA Subcommittee Meetings 16 VIII. Schedule of Face-to-Face Work Group Meetings 20 IX. Schedule of NAAQS Implementation Public Meetings 21

Attachment A1 - Major NAAQS/Haze Implementation Milestones Through 7/99 Attachment A2 - General Air Quality Management and Issue Paper Flow Chart Attachment A3 - Issue Paper Principles and Development Process Attachment A4 - Staffing Summary - Ad Hoc Groups and Caucuses Attachment A5 - Subcommittee Membership List Attachment A6 - Membership List - Coordination and Work Groups

I. INTRODUCTION

The purpose of this management plan is to identify the critical components of the process that EPA is using to develop ozone, PM and regional haze implementation program rules/guidance. These rules/guidance will be used by States, Tribes and local agencies to develop plans which implement new or revised NAAQS for ozone and PM and which also achieve mandated regional haze objectives. This management plan focuses upon those activities that need to be completed in 1997 and will be used by EPA to assure that a comprehensive and effective implementation strategy is developed in a timely manner.

Major elements of the plan include the following:

critical implementation outputs to be developed such as the interim implementation policy and the integrated implementation strategy,

schedules for development of issue papers and other outputs that will support the integrated strategy,

a summary of critical implementation issues and their resolution, and

schedules of Subcommittee and other meetings scheduled for 1997.

II. MAJOR REGULATORY OUTPUTS

AREA OUTPUT DATE NAAQS - Ozone and PM NAAQS Proposal 12/13/96 NAAQS Final Action 7/19/97 Part 53/58 PM Monitoring Requirements Proposal 12/13/96 Final Action 7/19/97 Part 58 Ozone Monitoring Requirements Proposal 7/19/97 Final Action 7/19/98 Interim Implementation Policy Proposed Policy 12/13/96 Final Policy 7/19/97 Integrated Implementation Strategy - O3/PM/Regional Haze (1) ANPR 12/13/96 Phase I Proposal 7/19/97 Phase I Final Action 2/28/98 Phase II Proposal 7/19/98 Phase II Final Action 7/19/99

(1)	Regional haze components are contained in both the Phase I and the Phase II strategy.

III. OTHER DELIVERABLES

DELIVERABLE

DUE DATE DATE COMPLETE

COMMENTS Preliminary Phase I Report to CAAAC 12/5/96 12/5/96 Preliminary overview of Phase I major accomplishments, discussions and recommendations to date. Interim Implementation Policy (IIP) Principles 12/96 12/30/96 Memo transmitting IIP principles from the Subcommittee to the CAAAC. Content-related issue paper principles 12/96 1/97 See Attachment A3, Section B. Conceptual Model - Vol 1 2/97 2/20/97 Initial Report to CAAAC on Subcommittee Discussions 4/97 Report on Phase I issues, accomplishments, etc. Summary of Available Air Quality Management Tools 6/97 RIA for the Phase I Implementation Strategy 7/97 Conceptual Model - Vol 2 8/97 Preliminary Phase II Report to CAAAC 12/97 Preliminary overview of Phase II major accomplishments, discussions and recommendations to date. Final Phase II Report to CAAAC 3/98 Full report on Phase II issues, accomplishments, etc.

IV. PHASE II ISSUE PAPER STATUS SUMMARY

ISSUE PAPER [1]

EPA STAFF CONTACT WORK GRP(s) [2]

EXTERNAL LEAD [3] DATE TO CG - PLAN DATE TO CG - ACTUAL DATE TO SC - PLAN DATE TO SC - ACTUAL DATE SC DISCUSS. COMPL. CATE-

GORY

[4]

COMMENTS AOI's, CONTROL REGNS Pace/Meyer NRS Theiler 9/97 10/97 AREA AND MOBILE SOURCE INCENTIVES Rodriguez NRS Brownstein 5/97 6/97 AREAS AT RISK Woodard BP Chastain 5/97 6/97 AREA OF VIOLATION BOUNDARIES Baldridge

(N. Frank - monitoring support liaison.) BP Crouch 2/97

7/97 2/14/97 2/97

8/97 2/97 ATTAINMENT DATES Woodard BP Williams 7/97 8/97 CLASSIFICATIONS Byrd/

Nikbakht BP Skelton 1/97

7/97 1/24/97 2/97

8/97 2/97 CONTROL STRATEGIES Rosendahl (support from Reinders and Damberg.) NRS/BP Johnson/

Vernet

5/97

7/97 3/21/97 4/97

6/97

8/97 Incl. national/

regional measures. CONTROL TECHNOLOGY - POINT AND AREA SOURCES Spells/

Woodard NRS Lamb

7/97 3/21/97 4/97

8/97 GENERAL ECONOMIC INCENTIVES Rodriquez NRS Belanger 7/97

9/97 8/97

10/97 GENERAL MOBILE SOURCE ISSUES - FUELS, I/M, VEHICLE AND ENGINE STDS Hawk BP 5/97 6/97 INSTITUTIONAL MECHANISMS Meyer NRS Shaver 1/97

9/97 1/24/97 2/97

10/97 2/97 INTEGRATED IMPLEMENTATION Johnson NRS/BP Lamb/

Kappelman 5/97

9/97 6/97

10/97 Includes regional haze issues. MAINT. PLANNING/

CONTINGENCY MEASURES Cole/

Nikbakht BP Skelton 7/97 8/97 Incl. SIP revisions and emergency episodes. MODELING REQMNTS, EMISS. INV. AND STMNTS. Pace/

Meyer NRS/ST Russell/

Jeffries 5/97

9/97 6/97

10/97 MONITORING SIP's Byrd BP Nicholson 5/97 6/97 Monitoring incentives to be handled by ad hoc monitoring group. NSR/PERMITTING deRoeck BP/NRS Schaefer/

Craig 5/97

9/97 6/97

10/97 PRE-SIP RFP Mayer NRS Doughtery

5/97 3/21/97 4/97

6/97 PM DESIGNATIONS Blais BP (none) Not scheduled for further SC discussion. RAMP's/AOI's Pace/Meyer NRS Theiler 2/7/97 2/97 2/97 REASONABLE FURTHER PROGRESS Silvasi/

Mayer NRS/BP Pierce-Sandner/

Phelps 1/97

5/97 1/24/97

3/21/97 2/97

4/97

6/97 2/97 Incl. concept of risk reduction as a measure of progress. REWARDS AND SANCTIONS Mayer BP/NRS Gerritson/

Dougherty 2/97

5/97 2/14/97 2/97

6/97 2/97 SUSTAINABLE DEVELOPMENT North BP Brisini TRADING Rodriguez NRS Belanger 2/97

7/97

9/97 2/7/97 2/97

8/97

10/97 2/97 TRANSPORTATION CONFORMITY Sargeant NRS 5/97 6/97 [1] See Section VI for a description of the issue paper contents. [2] Lead work group listed first. [3] See Section V for list of issue paper liaisons. [4] A: Subcommittee reached consensus supporting the recommendations presented in the issue paper. B: Subcommittee could not reach consensus on the recommendations, but agrees with the range of options presented in the issue paper. C: Subcommittee could not reach consensus or agree on a limited set of options. D: Subcommittee could not reach consensus or agree on a limited set of options but did reach consensus on issue paper principles.

V. PHASE II ISSUE PAPER WORK GROUP LIAISONS

ISSUE PAPER

BASE PROGRAMS LIAISON NATIONAL/

REGIONAL STRATEGIES LIAISON

SCIENCE/

TECHNOLOGY LIAISON

COMMUNICATIONS AND OUTREACH LIAISON AOI's, CONTROL REGNS Zeldin,

Lawler (1) Moore AREA AND MOBILE SOURCE INCENTIVES (1) AREAS AT RISK (1) Chock AREA OF VIOLATION BOUNDARIES (1) Salmon Moore ATTAINMENT DATES (1) Dougherty Cabaniss CLASSIFICATIONS (1) Feldcamp Andrews CONTROL STRATEGIES (1) (1) Rao CONTROL TECHNOLOGY - POINT AND AREA SOURCES Vernet (1) (1) GENERAL ECONOMIC INCENTIVES Crouch (1) McNeil GENERAL MOBILE SOURCE ISSUES - FUELS, I/M, VEHICLE AND ENGINE STDS (1) INSTITUTIONAL MECHANISMS Brisini (1) Rao INTEGRATED IMPLEMENTATION (1) (1) Scruggs MAINT. PLANNING/

CONTINGENCY MEASURES (1) Lowrey MODELING REQMNTS, EMISS. INV. AND STMNTS. (1) (1) MONITORING SIP's (1) Lamb Andrews NSR/PERMITTING (1) (1) McNeill PRE-SIP RFP Lee (1) PM DESIGNATIONS (1) Cass RAMP's/AOI's (1) REASONABLE FURTHER PROGRESS (1) (1) Ziman REWARDS AND SANCTIONS (1) (1) Ziman SUSTAINABLE DEVELOPMENT (1) TRADING (1) TRANSPORTATION CONFORMITY Ralston (1)

(1) Not applicable. See Section IV for list of project leads and co-leads.

VI. SUMMARY OF CRITICAL IMPLEMENTATION ISSUES AND THEIR RESOLUTION

ISSUE PAPER TITLE: AOI's, CONTROL REGIONS DESCRIPTION: MAJOR ISSUES: ISSUE RESOLUTION/SUBCOMMITTEE DIRECTION: 1. 2. 3. ISSUE PAPER TITLE: AREA AND MOBILE SOURCE INCENTIVES DESCRIPTION: This paper will address the use of incentive programs to achieve emission reductions from area and mobile sources and/or provide compliance flexibility. Topics will likely include the types of incentive programs applicable to area and mobile sources, on a local, regional and national scale, implementation issues, and technical considerations. MAJOR ISSUES: ISSUE RESOLUTION/SUBCOMMITTEE DIRECTION: 1. 2. 3. ISSUE PAPER: AREAS AT RISK DESCRIPTION: This paper will explore options for determining when the air quality of an area is approaching the national ambient air quality standards. The premise of this paper will be that it is preferable for areas that are not violating a standard, but are in danger of doing so, to act affirmatively to avoid further deterioration in air quality. MAJOR ISSUES: ISSUE RESOLUTION/SUBCOMMITTEE DIRECTION: 1. 2. 3. 4. ISSUE PAPER: AREA OF VIOLATION BOUNDARIES DESCRIPTION: This paper will discuss options for defining the boundaries of AOV's. This could be based on monitored data or, where available, on a combination of both monitored and modeled data and refined by analytical methods, including modeling, reviewing source and emissions data, and using statistical tools. This paper will also discuss co-AOV's as areas where both PM-fine and ozone violations occur. MAJOR ISSUES: ISSUE RESOLUTION/SUBCOMMITTEE DIRECTION: 1. 2. 3. 4. ISSUE PAPER: ATTAINMENT DATES DESCRIPTION: This issue paper will explore options for establishing attainment dates that allow adequate time for planning, rule adoption and implementation of measures to reduce emissions. The pros and cons of firm dates and specific consequences for failing to meet planning deadlines will be discussed. MAJOR ISSUES ISSUE RESOLUTION/SUBCOMMITTEE DIRECTION: 1. 2. 3. 4. ISSUE PAPER: CLASSIFICATIONS DESCRIPTION: The Classifications Issue Paper will address three main questions: 1. Should classifications, based on the severity of air quality violations, be used as part of designations? 2. How should the classification system be modified, if at all? and 3. Will the current concept of attainment and nonattainment designations and classifications be workable under a regional scale approach, and if not, what approach can be used? MAJOR ISSUES ISSUE RESOLUTION/SUBCOMMITTEE DIRECTION: 1. 2. 3. 4. ISSUE PAPER: CONTROL STRATEGIES DESCRIPTION: This issue paper will recommend a process to be used by the responsible air quality planning authority for allocation of control responsibilities among national, prescribed, and discretionary required measures. This paper will also attempt to produce a list of suggested national measures and suggested prescribed measures, which the FACA Subcommittee should consider and potentially recommend to EPA. MAJOR ISSUES ISSUE RESOLUTION/SUBCOMMITTEE DIRECTION: 1. 2. 3. 4. ISSUE PAPER: CONTROL TECHNOLOGY - POINT AND AREA SOURCES DESCRIPTION: The purpose of the Opportunity Matrix issue paper is to identify emission control techniques with multipollutant control potential for consideration in the development of integrated control strategies. MAJOR ISSUES: ISSUE RESOLUTION/SUBCOMMITTEE DIRECTION: 1. 2. 3. 4. ISSUE PAPER: GENERAL ECONOMIC INCENTIVES DESCRIPTION: This paper addresses special applications of non-trading economic incentives not covered in either the area and mobile source incentives issue paper or the trading issue paper. Some of these special applications of economic incentives presented in this paper are covered in other issue papers, but will be collected in the special applications paper for comprehensiveness and integration. MAJOR ISSUES: ISSUE RESOLUTION/SUBCOMMITTEE DIRECTION: 1. 2. 3. 4. ISSUE PAPER: GENERAL MOBILE SOURCE ISSUES - FUELS, I/M, VEHICLE AND ENGINE STDS DESCRIPTION: The general mobile source issue paper will discuss issues surrounding vehicle-related federal measures (emission standards for cars, trucks, nonroad engines and fuels) as well as local control measures, such as clean fuel fleets and inspection and maintenance programs. The intent of this issue paper is to address all mobile source issues other than conformity, economic incentives and sustainable development, which will be treated in other papers. MAJOR ISSUES: ISSUE RESOLUTION/SUBCOMMITTEE DIRECTION: 1. 2. 3. ISSUE PAPER: INSTITUTIONAL MECHANISMS DESCRIPTION: This paper will identify options and make recommendations on the need for new/modified institutional mechanisms to ensure development and implementation of strategies to reduce regional transport of ozone, particulate matter, and regional haze, and their precursors. MAJOR ISSUES ISSUE RESOLUTION/SUBCOMMITTEE DIRECTION: 1. 2. 3. 4. ISSUE PAPER: INTEGRATED IMPLEMENTATION DESCRIPTION: MAJOR ISSUES: ISSUE RESOLUTION/SUBCOMMITTEE DIRECTION: 1. 2. 3. 4. ISSUE PAPER: MAINT. PLANNING/CONTINGENCY MEASURES DESCRIPTION: The purpose of this issue paper is to address the issue of implementing maintenance plans and contingency measures in both attainment and nonattainment areas under the new ozone and PM NAAQS. Maintenance plans are developed to ensure continued attainment of the air quality standards. Contingency measures are needed either to promptly correct any violation of the NAAQS, or to assist an area in meeting reasonable further progress or in attaining the NAAQS by a certain date. MAJOR ISSUES: ISSUE RESOLUTION/SUBCOMMITTEE DIRECTION: 1. 2. 3. 4. ISSUE PAPER: MODELING REQMNTS, EMISS. INV. AND STMNTS. DESCRIPTION: MAJOR ISSUES: ISSUE RESOLUTION/SUBCOMMITTEE DIRECTION: 1. 2. 3. 4. ISSUE PAPER: MONITORING SIP's DESCRIPTION: The development of regional approaches (e.g., Areas of Influence/Areas of Violation approach) to air quality management introduces new variables into the ambient air monitoring program. This issue paper will address the broad concepts of how monitoring networks may be designed to better reflect this type of regional scale approach and program integration, including regional/transport assessment, particulate matter speciation, and ozone precursor monitoring. MAJOR ISSUES: ISSUE RESOLUTION/SUBCOMMITTEE DIRECTION: 1. 2. 3. 4. ISSUE PAPER: NSR/PERMITTING DESCRIPTION: This issue paper describes various options for addressing emissions increases from new and modified major stationary sources as part of the Spatially Integrated Plan to attain and maintain compliance of the proposed O3 and PM NAAQS. The options examine different approaches for integrating (and possibly improving) the fundamental new source review requirements with the proposed AOI/AOV designation structure and planning process. It is desired that the selected option should be cost-effective, offer ample flexibility for regional implementation, and encourage real reductions via market incentives. MAJOR ISSUES: ISSUE RESOLUTION/SUBCOMMITTEE DIRECTION: 1. 2. 3. 4. ISSUE PAPER: PRE-SIP RFP DESCRIPTION: This paper will address issues associated with reasonable further progress requirements during the pre-SIP phase for the proposed ozone and fine particulate NAAQS. The pre-SIP phase is defined as some period of time up to when the State Implementation Plan has been approved by EPA. The areas covered by this paper include all areas that potentially violate or potentially contribute to a violation of the new/revised Ozone and PM2.5 standards. MAJOR ISSUES: ISSUE RESOLUTION/SUBCOMMITTEE DIRECTION: 1. 2. 3. 4. ISSUE PAPER: PM DESIGNATIONS DESCRIPTION: MAJOR ISSUES: ISSUE RESOLUTION/SUBCOMMITTEE DIRECTION: 1. 2. 3. ISSUE PAPER: RAMP's/AOI's DESCRIPTION: MAJOR ISSUES: ISSUE RESOLUTION/SUBCOMMITTEE DIRECTION: 1. 2. 3. 4. ISSUE PAPER: REASONABLE FURTHER PROGRESS DESCRIPTION: This paper addresses implementation issues associated with reasonable further progress requirements for the proposed ozone and PM2.5 NAAQS. MAJOR ISSUES: ISSUE RESOLUTION/SUBCOMMITTEE DIRECTION: 1. 2. 3. 4. ISSUE PAPER: REWARDS AND SANCTIONS DESCRIPTION: The Economic Incentives and Disincentives as an Adjunct to Sanctions paper covers a range of options to encourage States to develop and implement effective plans for attaining the NAAQS. The Act contains four sanctions that EPA can impose on States after a State has been given an 18-month warning: 1) removing 105 funds, 2) removing highway funds, 3) increasing offset ratios for New Source Review and 4) development of a Federal Implementation Plan. This issue paper will explore additional options to encourage States to develop and implement SIP's that 1) that increase in effect over time, 2) that are clearly environmentally beneficial, 3) can be imposed on a shorter time frame, and 4) that use rewards rather than punishments. MAJOR ISSUES: ISSUE RESOLUTION/SUBCOMMITTEE DIRECTION: 1. 2. 3. ISSUE PAPER: SUSTAINABLE DEVELOPMENT DESCRIPTION: MAJOR ISSUES: ISSUE RESOLUTION/SUBCOMMITTEE DIRECTION: 1. 2. 3. 4. ISSUE PAPER: TRADING DESCRIPTION: MAJOR ISSUES: ISSUE RESOLUTION/SUBCOMMITTEE DIRECTION: 1. 2. 3. 4. ISSUE PAPER: TRANSPORTATION CONFORMITY DESCRIPTION: The transportation conformity issue paper will discuss whether transportation conformity should apply in areas of violation or areas of influence or both, as well as how the geographic boundaries within which conformity applies would be determined. Also included will be a discussion of how transportation conformity should be demonstrated, if the areas subject to transportation conformity are much larger than metropolitan area boundaries or include rural areas. (The general conformity provisions of the CAA will by handled in another forum.) MAJOR ISSUES: ISSUE RESOLUTION/SUBCOMMITTEE DIRECTION: 1. 2. 3. 4.

VII. SCHEDULE OF FY 1997 FACA SUBCOMMITTEE MEETINGS

DATE LOCATION ISSUE PAPERS OTHER TOPICS 2/19-21/97 Washington, DC Regional Air Management Partnerships (RAMP's)/Areas of Influence (AOI's)

Area of Violation Boundaries

Classifications

General Economic Incentives

Institutional Mechanisms

Reasonable Further Progress (RFP)

Rewards and Sanctions Coordination and Work Group Status Reports

Monitoring Ad Hoc Group Report

NAAQS Update (evening session)

NAAQS RIA Update (evening session)

PM Monitoring Issues (evening session) 4/7-9/97 Falls Church, VA Control Strategies

Control Technology Matrix

Pre-SIP RFP

RFP

Coordination and Work Group Status Reports

Issue Paper Linkage Discussion

Overview of Acid Rain Program

Overview of Mobile Source Control Programs

Update on Implementation Timeline 6/9-11/97 Durham, NC Area and Mobile Source Incentives

Areas At Risk

Control Strategies

General Mobile Source Issues - Fuels, I/M, Vehicle and Engine Standards

Integrated Implementation

Modeling Requirements, Emission Inventories and Statements.

Monitoring SIP's

NSR/Permitting

Pre-SIP RFP

Reasonable Further Progress

Rewards and Sanctions

Transportation Conformity Coordination and Work Group Status Reports

(other topics to be determined) 8/12-14/97 Portland, OR Area of Violation Boundaries

Attainment Dates

Classifications

Control Strategies

Control Technology - Point and Area Sources

General Economic Incentives

Maintenance Planning and Contingency Measures

Trading Coordination and Work Group Status Reports

(other topics to be determined) 10/14-16/97 or

10/21-23/97 (to be determined) Areas of Influence, Control Regions

General Economic Incentives

Institutional Mechanisms

Integrated Implementation

Modeling Requirements, Emission Inventories and Statements

NSR/Permitting

Trading Coordination and Work Group Status Reports

(other topics to be determined)

VIII. SCHEDULE OF FACE-TO-FACE WORK GROUP MEETINGS

DATE LOCATION COMMENTS 1/9/97

1/10/97 RTP, NC Joint meeting of the Base Programs, National and Regional Strategies, and Science and Technology work groups 1/30/97

1/31/97 RTP, NC 1/30 - Joint meeting of Base Programs, National and Regional Strategies, and Science and Technology work groups.

1/31- individual Base Programs, National and Regional Strategies, and Science and Technology work groups. 2/19/97 Washington, DC Meetings held in conjunction with the Subcommittee meeting. 3/13/97

3/14/97 Durham, NC Joint meeting of the Base Programs and the National and Regional Strategies work groups. 4/97 Falls Church, VA Meetings to be held in conjunction with the Subcommittee meeting. 5/15/97

5/16/97 Durham, NC Joint meeting of the Base Programs and the National and Regional Strategies work groups. Representatives of Science and Technology work group also to attend. 6/97 RTP, NC Meetings to be held in conjunction with the Subcommittee meeting. 7/97 (to be determined) 8/97 Portland, OR (tentative) Meetings to be held in conjunction with the Subcommittee meeting. 9/97 (to be determined) 10/97 (to be determined) Meetings to be held in conjunction with the Subcommittee meeting.

IX. SCHEDULE OF NAAQS IMPLEMENTATION PUBLIC MEETINGS

DATE LOCATION 1/28/97 Los Angeles, CA 1/30/97 Seattle, WA 1/31/97 Chicago, IL 2/5/97 New York City, NY 2/5/97 Salt Lake city, UT 2/6/97 Denver, CO 2/6/97 Pittsburgh, PA 2/7/97 Hartford, CT 2/10/97 Houston, TX 2/11/97 Kansas City, MO 2/11/97 Dallas, TX 2/14/97 Atlanta, GA