AgendaItem6_2015 Ozone NAAQS Description, Rule, and Fiscal Note

Agenda Item 6
Page 1 of 1
Agenda Item: Request to Proceed to Public Hearing on the Ambient Air Quality Standards
to Incorporate the 2015 Ozone National Ambient Air Quality Standards (534)
Explanation: The Environmental Management Commission (EMC) is requested to approve the
proposed rule amendment, fiscal note, and approve one or more public hearings to
consider revisions to the ozone rule.
15A NCAC 02D .0405, Ozone, is proposed for amendment to reflect changes to the
national ambient air quality standards (NAAQS) for ozone. These proposed rule
changes are necessary to comply with federal requirements.
The United States Environmental Protection Agency (USEPA) strengthened its
NAAQS for ozone, also known as O3, on October 1, 2015 (80 FR 65291). These
revisions are the result of USEPA’s five-year periodic review of NAAQS as required
by the Clean Air Act. USEPA revised the primary and secondary ozone standards
from 0.075 ppm, set in 2008, to 0.070 ppm, while retaining the indicators (O3), forms
(fourth-highest daily maximum, averaged across three consecutive years) and
averaging times (eight hours). The monitoring season for ozone has also been
expanded by one month to ensure compliance with the 2008 and 2015 ozone
standards, and to ensure citizens are alerted when ozone reaches levels of concern.
The monitoring season changes are effective January 1, 2017.
A regulatory impact analysis was submitted to the Office of State Budget and
Management (OSBM). OSBM reviewed the Division of Air Quality’s proposed
change to rule 15A NCAC 02D .0405 in accordance with G.S. 150B-21.4. OSBM
determined the rule changes have minimal state, unlikely private sector, and no
substantial or local impacts.
Recommendation: The Director recommends that the Commission approve the proposed amendment
and fiscal note, along with authorizing a public hearing(s) on the proposed rule and
fiscal note, and that the Chairman appoint a member(s) of the Commission to serve
as hearing officer(s).
A-1
1 of 1
15A NCAC 02D .0405 is proposed for amendment as follows: 1
2
15A NCAC 02D .0405 OZONE 3
The ambient air quality standard for ozone measured by a reference method based on Appendix D of 40 CFR Part 50 4
and designated according to 40 CFR Part 53 is 0.075 0.070 parts per million (ppm), daily maximum 8-hour average. 5
The standard is attained at an ambient air quality monitoring site when the average of the annual fourth-highest daily 6
maximum 8-hour average ozone concentration is less than or equal to 0.075 0.070 parts per million (ppm) as 7
determined by Appendix P Appendix U of 40 CFR Part 50, or equivalent methods established under 40 CFR Part 53. 8
9
History Note: Authority G.S. 143-215.3(a)(1); 143-215.107(a)(3); 10
Eff. February 1, 1976; 11
Amended Eff. November 1, 2017; January 1, 2010; April 1, 1999; July 1, 1984; July 1, 1979; 12
December 1, 1976. 13
Agenda Item 6
B-1

1

ENVIRONMENTAL MANAGEMENT COMMISSION
FISCAL NOTE FOR PROPOSED AMENDMENT AND READOPTION TO THE
OZONE NATIONAL AMBIENT AIR QUALITY STANDARDS RULE

Rule Adoptions: None

Rule Amendments / Readoption: 15A NCAC 02D .0405, Ozone

Rule Repeals: None

Rule Topic: Revisions to Ozone Standards

DEQ Division: Division of Air Quality

Agency Contact: Joelle Burleson, Rule Development Branch Supervisor
Division of Air Quality (DAQ)
[phone]
[e-mail]

Analyst: Matthew Davis, Environmental Specialist
Division of Air Quality (DAQ)
[phone]
[e-mail]

Impact Summary: State government: Minimal
Local government: No
Substantial impact: No
Private Sector: Unlikely

Statutory Authority: G.S. 143-215.3(a)(1); 143-215.107(a)(3).

Necessity: To update and readopt the ambient standards for Ozone in
Rule 15A NCAC 02D .0405, Ozone. These proposed rule
changes are necessary to comply with federal regulations.

I. Certificate of Federal Requirement

The United States Environmental Protection Agency (USEPA) strengthened its primary and
secondary National Ambient Air Quality Standards (NAAQS) for ground-level ozone on
October 1, 2015. Primary standards provide public health protection, including the health of
“sensitive” populations such as asthmatics, children, and the elderly. Secondary standards
provide public welfare protection, including protection against decreased visibility and damage
to animals, crops, vegetation, and buildings. The USEPA recently determined that the 2008
primary and secondary ground-level ozone standard of 0.075 parts per million (ppm) is not
adequate to protect public health and welfare from known or anticipated adverse effects. Based
Agenda Item 6
B-2

2

on its review of the air quality criteria for ozone and related photochemical oxidants and
NAAQS, USEPA revised the primary and secondary ground-level ozone standard to 0.070 ppm
pursuant to Clean Air Act (CAA) Sections 108 and 109.

The ozone monitoring season has been expanded by one month to ensure compliance with the
2008 and 2015 ozone NAAQS, and to ensure citizens are alerted when ozone reaches levels of
concern. However, the indicators, forms, and averaging times (the annual fourth-highest daily
maximum 8-hour concentration, averaged over 3 consecutive years) have been retained. There are
currently 4 ozone monitors operating year-round which will not be affected by the rule. However,
there are labor costs for incorporating the one-month change to several existing ozone monitors.
Labor for each monitor is approximately $270 each month ($30/hr, for 3 hours, over 3 days). This
new regulation will affect 26 existing monitors, so there’s a new total labor cost of approximately
$7,020. No new monitors will be installed, and there’s no additional cost for electricity or audits
to existing units. The monitoring season changes are effective January 1, 2017.

In accordance with the requirements outlined in G.S. §150B-19.1(g) and §150B-21.3A, the DAQ
is proposing to amend and readopt rule 15A NCAC 02D .0405, Ozone. The amendment is identical
to 40 CFR 50.19 that the DAQ is required to implement in accordance with CAA section 107(a):
“Each State shall have the primary responsibility for assuring air quality within the entire
geographic area comprising such State by submitting an implementation plan for such State which
will specify the manner in which national primary and secondary ambient air quality standards
will be achieved and maintained within each air quality control region in such State.”

The primary benefit of this set of amendments is to address applicability consistent with the
requirements of the CAA and ensure approval of the state implementation plan (SIP) by USEPA.
Without the proposed rule change, USEPA will not be able to approve the current version of the
plan. If the state does not have a plan that meets federal requirements, the USEPA approval can
require corrective action within required timeframes or implement a federal implementation plan
(FIP) for North Carolina. A FIP may require solutions that are not the best to fit a particular area
and are less preferable than having a state-controlled program.

The USEPA intends to provide final air quality designations by October 1, 2017. Based on the
2013 – 2015 certified ambient monitoring data, the design values for all ozone monitors in North
Carolina are below the revised 2015 8-hour ozone NAAQS.1 In addition, for 2016, based on
preliminary data recorded through September 11, the design values for all ozone monitors in North
Carolina are below the revised 2015 ozone standard.2 Therefore, North Carolina is recommending
that all counties in North Carolina be designated as “Attainment” for the revised 8-hour ozone
standard. As such, the DAQ anticipates unlikely private sector and minimal state impacts.

1 NCDEQ. Division of Air Quality. Ozone Design Values for 2013 – 2015 in NC Counties
https://deq.nc.gov/node/83248/
2 NCDEQ. Division of Air Quality. Preliminary Ozone Design Values for 2014 – 2016 in NC Counties
https://ncdenr.s3.amazonaws.com/s3fs-
public/Air%20Quality/planning/attainment/mapping/NC_Ozone%20_Design_Values_2014_2016.jpg
Agenda Item 6
B-3

3

II. Conclusion

The DAQ does not expect NC counties to exceed the new ozone standard in the foreseeable future.
Over the past decade, NC has implemented substantial, progressive emissions reductions that have
resulted in statewide attainment of the 1997 8-hour and 2008 8-hour ozone standards. NC has
historically accomplished attainment of the ozone NAAQS within CAA timelines through hard
work with local, state, and federal partners. The partnerships allow for effective planning for
optimum control measures or strategies to bringing an area into attainment and maintain the area
in compliance with the federal standards. Currently, ozone concentrations in NC are attaining the
1997, 2008, and 2015 primary and secondary standards.

No direct economic impacts are expected for state or local governments if the ozone standard is
exceeded. This is especially true since NC’s final and preliminary design values1,2 are attaining the
2015 standard. However, indirect impacts to industry may occur in the unlikely event that the state
is designated nonattainment based on 2017 ozone season data. The impacts may include new
requirements for facilities to install air pollution control equipment or may have various
operational limits. If such control measures are needed, the DAQ would initiate rulemaking
consistent with the timelines codified in the CAA; and in the process, seek approval from the EMC
and the stakeholder community. Also, several voluntary measures may be implemented such as
utilizing mass transit, riding bikes, carpool lanes, reducing vehicle idling, alter fuel formulations,
and other various methods to reduce pollutants.
Agenda Item 6