Requires the Administrator to require, during the period beginning on this Act's enactment and ending three years after such date, persons selling gasoline that contains MTBE at retail to label the fuel dispensing system with a notice that the gasoline contains MTBE.
(Sec. 4) Amends the Safe Drinking Water Act to require the Administrator to develop technical guidelines to assist States in the investigation and cleanup of MTBE in groundwater.
(Sec. 5) Revises the oxygen content requirement for reformulated gasoline under the Act to require the oxygen content to equal or exceed two percent oxygen by weight averaged on an annual basis. (Current law requires such percentage without averaging.) Prohibits the regulations for the use of reformulated gasoline from specifying a minimum oxygen content.
(Sec. 6) Requires the Administrator to revise performance standards regarding reformulated gasoline to ensure that the ozone-forming potential, taking into account all ozone precursors, of the aggregate emissions during the high ozone season from baseline vehicles when using reformulated gasoline does not exceed such potential of the emissions from such vehicles when using reformulated gasoline that complies with regulations that were in effect on September 1, 1999, and applicable to such gasoline sold in 2000 and subsequent calendar years.
Provides for adjustments to the performance standard for volatile organic compounds (VOCs) to account for emissions of carbon monoxide that are greater or less than a specified baseline for emissions achieved by reformulated gasoline containing two percent oxygen by weight and meeting other performance standards.
Requires the Administrator to revise performance standards by redefining "baseline vehicles" to mean vehicles representative of vehicles (including off-road vehicles) in use as of January 1, 2000.
Directs the Administrator to revise performance standards to ensure that the aggregate emissions of precursors of toxic air pollutants, particulate matter (PM)-10, and fine particulate matter from baseline vehicles when using reformulated gasoline do not exceed such emissions from such vehicles when using reformulated gasoline that complies with regulations that were in effect on January 1, 2000, and applicable to such gasoline sold in 2000 and subsequent calendar years.
Prohibits the average aromatic hydrocarbon content of such gasoline from exceeding the average aromatic hydrocarbon content of such gasoline sold in covered areas (specified ozone nonattainment areas where the use of such gasoline is required) for use in baseline vehicles when using such gasoline sold during 2000. Sets the maximum aromatic hydrocarbon content of such gasoline at 30 percent.
Bars the average olefin content of reformulated gasoline from exceeding the average olefin content of such gasoline sold in covered areas for use in baseline vehicles when using such gasoline during 2000. Limits the olefin content of such gasoline to ten percent.
(Sec. 7) Removes a provision which allows the Administrator to waive the oxygen content requirement for reformulated gasoline for any ozone nonattainment area if the requirement would interfere with the attainment of any national primary ambient air quality standard. Permits the Administrator, if the Secretary of Energy finds that there is an insufficient domestic supply of oxygenates to meet the oxygen content requirement, to promulgate regulations temporarily reducing such requirement to ensure an adequate supply of oxygenates. Requires such regulations to ensure that the environmental benefits of reformulated gasoline are maintained during the period of the temporary reduction in the oxygen content requirement.
(Sec. 8) Requires the Administrator, upon the application of a State Governor, to apply prohibitions on the sale of conventional gasoline in covered areas (areas requiring the use of reformulated gasoline), to any nonclassified areas (opt-in areas).
(Sec. 9) Directs the Administrator to revise anti-dumping regulations with respect to the sale of gasoline to ensure that this Act and its amendments do not result in any increased emissions in areas that are not covered areas.
(Sec. 10) Amends provisions regarding State reasonable progress demonstrations with respect to VOC emissions to authorize States, in making such demonstrations, to claim as a credit toward the requirement for VOC emission reductions an amount equivalent to the ozone-forming potential of carbon monoxide emission reductions attributable to any amount by which the average oxygen content of reformulated gasoline sold in the State exceeds two percent.
(Sec. 11) Amends Federal highway provisions to provide that for purposes of determining the estimated tax payments attributable to highway users paid into the Highway Trust Fund, the amount paid into the Fund with respect to the sale or gasohol or other fuels containing alcohol by reason of taxes imposed on special fuels or gasoline shall be treated as equal to the amount that would have been imposed without regard to the reduction in revenues resulting from regulations prohibiting the use of MTBE or other ether compounds as fuel additives under the Clean Air Act and specified Internal Revenue Code provisions concerning alcohol fuels.
[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[S. 2546 Introduced in Senate (IS)]
106th CONGRESS
2d Session
S. 2546
To amend the Clean Air Act to prohibit the use of methyl tertiary butyl
ether, to provide flexibility within the oxygenate requirement of the
reformulated gasoline program of the Environmental Protection Agency,
to promote the use of renewable ethanol, and for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
May 11, 2000
Mr. Bond (for himself, Mr. Durbin, Mr. Grassley, Mr. Ashcroft, and Mr.
Fitzgerald) introduced the following bill; which was read twice and
referred to the Committee on Environment and Public Works
_______________________________________________________________________
A BILL
To amend the Clean Air Act to prohibit the use of methyl tertiary butyl
ether, to provide flexibility within the oxygenate requirement of the
reformulated gasoline program of the Environmental Protection Agency,
to promote the use of renewable ethanol, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Clean Air and Water Preservation Act
of 2000''.
SEC. 2. FINDINGS.
Congress finds that--
(1) the oxygenate requirement of the reformulated gasoline
program under the Clean Air Act (42 U.S.C. 7401 et seq.) has
proven to be effective in reducing emissions of exhaust
hydrocarbons, nitrous oxide, and carbon monoxide, which are
precursors to smog;
(2) methyl tertiary butyl ether (referred to in this Act as
``MTBE''), an oxygenate selected by gasoline refiners to comply
with regulations promulgated under the Clean Air Act (42 U.S.C.
7401 et seq.), has been discovered in water sources throughout
the United States;
(3) MTBE renders water undrinkable and is considered to be
a probable carcinogen by the Environmental Protection Agency;
(4) MTBE is highly soluble in water and slow to degrade;
(5) as little as 1 gallon of MTBE can contaminate
26,000,000 gallons of water;
(6) ethanol, an alternative oxygenate, is a biobased
product that, as compared with MTBE--
(A) produces the same reductions in emissions;
(B) is not as soluble in water;
(C) biodegrades rapidly; and
(D) is considered safe for the environment;
(7) the oxygenate requirement of the reformulated gasoline
program requires that 2 percent by weight of an oxygenate be
added to gasoline;
(8) because ethanol contains approximately twice as much as
oxygen as MTBE, supplying the reformulated gasoline program
with sufficient ethanol to replace MTBE would require half the
volume of MTBE currently used;
(9) the ethanol industry is expanding rapidly;
(10) ethanol production capacity in 1998 was estimated at
1,800,000,000 gallons, but new production facilities that began
operation in 1999 have greatly increased that capacity;
(11) a recent report completed for the Governors' Ethanol
Coalition concludes that the United States ethanol industry
could easily expand ethanol production to more than
3,400,000,000 gallons by 2004, which would amply meet the
demand for oxygenates created by any MTBE phase-out without
causing supply shortages or increased consumer gasoline costs;
(12) the Department of Agriculture estimates that replacing
MTBE with ethanol would--
(A) increase the demand for corn for ethanol by
more than 500,000,000 bushels each year, improving the
price of corn by 14 cents per bushel each year and
increasing average total farm cash receipts by
$1,000,000,000 each year;
(B) create 13,000 new jobs; and
(C) increase the average annual United States
agricultural net export value by more than $200,000,000
and reduce the average annual United States import
value of MTBE by $1,100,000,000, resulting in an
improved United States trade balance of $1,300,000,000
each year;
(13) ethanol is an energy-efficient fuel;
(14)(A) a 1995 report by the Department of Agriculture
estimated that 1 gallon of ethanol provides 25 percent more
energy than is required to produce the gallon; and
(B) other studies demonstrate that the net energy gain
potential of ethanol could exceed 150 percent when state-of-
the-art agricultural and production technologies are used;
(15) ethanol has been proven to enhance the performance of
automobiles, and all vehicle manufacturers approve the use of
10 percent ethanol-blended fuels;
(16) replacing MTBE with ethanol would maintain the
emission reductions obtained through the reformulated gasoline
program without the water contamination problems associated
with MTBE;
(17) in implementing Public Law 101-549 and the amendments
made by that Public Law (referred to in this section as the
``Clean Air Act Amendments of 1990''), the Environmental
Protection Agency requires, by regulation, that each gallon of
gasoline sold under the reformulated gasoline program contain a
minimum of 1.5 percent by weight of oxygenate;
(18) that requirement--
(A) was not the intent of Congress in enacting the
oxygenate requirement; and
(B) prohibits the most efficient use of oxygenates;
(19) rescinding that regulatory requirement would provide--
(A) to refiners, more flexibility in complying with
the reformulated gasoline program; and
(B) to consumers of gasoline, a stable supply of
high performance gasoline;
(20) because increased flexibility in the use of oxygenates
could lead to increases in the use of aromatics (many of which
are known carcinogens), and in the emission of toxic air
pollutants, a limit on the quantity of aromatics added to
gasoline and a prohibition on an increase in emissions of toxic
air pollutants above the level achieved by using reformulated
gasoline are necessary to protect human health and the
environment;
(21) when Congress enacted the Clean Air Act Amendments of
1990, volatile organic compounds were thought to be the
principal precursors to ozone formation;
(22) the weight of the scientific evidence accumulated
since the enactment of the Clean Air Act Amendments of 1990
indicates that carbon monoxide is an increasingly significant
ozone precursor;
(23) off-road engines generate high levels of emissions of
volatile organic compounds and carbon monoxide relative to on-
road engines, because off-road engines are not typically
equipped with emission control systems;
(24) emissions of volatile organic compounds and carbon
monoxide from off-road engines are significantly reduced when
oxygenates are present in the fuel;
(25) adding oxygen to gasoline provides unique air quality
benefits that exceed those ensured by the performance standards
under the Clean Air Act (42 U.S.C. 7401 et seq.), including
reductions in exhaust hydrocarbons, carbon monoxide, and fine
particulates; and
(26) oxygenates are the only means of reducing emissions
from non-catalyst off-road engines that are a major source of
ozone pollution in urban areas.
SEC. 3. USE OF MTBE AS A FUEL ADDITIVE.
(a) Prohibition on Use of MTBE and Other Ether Compounds.--Section
211(c) of the Clean Air Act (42 U.S.C. 7545(c)) is amended by adding at
the end the following:
``(5) Prohibition on use of mtbe and other ether
compounds.--
``(A) In general.--Subject to subparagraph (B), the
regulations promulgated under paragraph (1) shall
prohibit the use of methyl tertiary butyl ether or any
other ether compound as a fuel additive.
``(B) Waiver.--The Administrator may by regulation
waive the prohibition under subparagraph (A) with
respect to an ether compound other than methyl tertiary
butyl ether if the Administrator determines that the
use of the ether compound as a fuel additive will not
pose a significant risk to human health or the
environment.''.
(b) Regulations.--As soon as practicable after the date of
enactment of this Act, the Administrator of the Environmental
Protection Agency shall revise the regulations promulgated under
section 211(c)(1) of the Clean Air Act (42 U.S.C. 7545(c)(1)) to
conform to the amendment made by subsection (a).
(c) Labeling.--During the period beginning on the date of enactment
of this Act and ending 3 years after that date, the Administrator of
the Environmental Protection Agency shall require any person selling at
retail gasoline that contains methyl tertiary butyl ether to
prominently label the fuel dispensing system for the gasoline with a
notice that the gasoline contains methyl tertiary butyl ether.
(d) Effective Date.--Subsection (a) takes effect 3 years after the
date of enactment of this Act.
SEC. 4. CLEANUP GUIDELINES FOR CONTAMINATION OF WATER BY MTBE.
Section 1442 of the Safe Drinking Water Act (42 U.S.C. 300j-1) is
amended by adding at the end the following:
``(f) Cleanup Guidelines for MTBE Contamination.--The Administrator
shall develop technical guidelines to assist States in the
investigation and cleanup of methyl tertiary butyl ether in ground
water.''.
SEC. 5. OXYGEN AVERAGING UNDER THE REFORMULATED GASOLINE PROGRAM.
(a) In General.--Section 211(k) of the Clean Air Act (42 U.S.C.
7545(k)) is amended--
(1) in paragraphs (2)(B) and (3)(A)(v), by inserting
``averaged on an annual basis'' after ``2.0 percent by weight''
each place it appears; and
(2) in paragraph (2)(B), by adding at the end the
following: ``The regulations shall not specify a minimum oxygen
content.''.
(b) Regulations.--Not later than October 1, 2000, the Administrator
of the Environmental Protection Agency shall revise the regulations
promulgated under section 211(k) of the Clean Air Act (42 U.S.C.
7545(k)) to conform to the amendments made by subsection (a).
SEC. 6. ANTI-BACKSLIDING.
Section 211(k)(3)(B) of the Clean Air Act (42 U.S.C. 7545(k)(3)(B))
is amended--
(1) by striking ``Any reduction'' and inserting the
following:
``(iii) Treatment of greater reductions.--
Any reduction''; and
(2) by adding at the end the following:
``(iv) Ozone anti-backsliding provision.--
``(I) In general.--Not later than
October 1, 2000, the Administrator
shall revise the performance standards
under this subparagraph to ensure that
the ozone-forming potential, taking
into account all ozone precursors
(including volatile organic compounds,
oxides of nitrogen, and carbon
monoxide), of the aggregate emissions
during the high ozone season (as
determined by the Administrator) from
baseline vehicles when using
reformulated gasoline does not exceed
the ozone-forming potential of the
aggregate emissions during the high
ozone season from baseline vehicles
when using reformulated gasoline that
complies with the regulations that--
``(aa) were in effect on
September 1, 1999; and
``(bb) were applicable to
reformulated gasoline sold in
calendar year 2000 and
subsequent calendar years.
``(II) Adjustment for emissions of
carbon monoxide.--
``(aa) In general.--In
carrying out subclause (I), the
Administrator shall adjust the
performance standard for
emissions of volatile organic
compounds under this
subparagraph to account for
emissions of carbon monoxide
that are greater than or less
than the carbon monoxide
baseline determined under item
(bb).
``(bb) Carbon monoxide
baseline.--The carbon monoxide
baseline shall be equal to the
mass carbon monoxide emissions
achieved by reformulated
gasoline that contains 2
percent oxygen by weight and
meets the other performance
standards under this
subparagraph.
``(III) Updating of baseline
vehicles.--Not later than 3 years after
the date of enactment of this clause,
the Administrator shall revise the
performance standards under this
subparagraph by redefining the term
`baseline vehicles' as used in this
clause to mean vehicles representative
of vehicles (including off-road
vehicles) in use as of January 1, 2000.
``(v) Toxics and particulate matter anti-
backsliding provision.--
``(I) In general.--Not later than
October 1, 2000, the Administrator
shall revise the performance standards
under this subparagraph to ensure that
the aggregate emissions of precursors
of pollutants specified in subclause
(II) from baseline vehicles when using
reformulated gasoline do not exceed the
aggregate emissions of precursors of
pollutants specified in subclause (II)
from baseline vehicles when using
reformulated gasoline that complies
with the regulations that--
``(aa) were in effect on
January 1, 2000; and
``(bb) were applicable to
reformulated gasoline sold in
calendar year 2000 and
subsequent calendar years.
``(II) Specified pollutants.--The
pollutants referred to in subclause (I)
are--
``(aa) toxic air
pollutants, as measured
according to their toxicity;
``(bb) PM-10; and
``(cc) fine particulate
matter.
``(vi) Aromatic content of reformulated
gasoline.--
``(I) Average.--Subject to
subclause (II), the average aromatic
hydrocarbon content of reformulated
gasoline shall not exceed the average
aromatic hydrocarbon content of
reformulated gasoline sold in covered
areas for use in baseline vehicles when
using reformulated gasoline during
calendar year 2000.
``(II) Maximum.--No reformulated
gasoline shall have an aromatic
hydrocarbon content in excess of 30
percent.
``(vii) Olefin content of reformulated
gasoline.--
``(I) Average.--Subject to
subclause (II), the average olefin
content of reformulated gasoline shall
not exceed the average olefin content
of reformulated gasoline sold in
covered areas for use in baseline
vehicles when using reformulated
gasoline during calendar year 2000.
``(II) Maximum.--No reformulated
gasoline shall have an olefin content
in excess of 10 percent.''.
SEC. 7. REVISION OF WAIVER PROVISION.
Section 211(k) of the Clean Air Act (42 U.S.C. 7545(k)) is
amended--
(1) in paragraph (2)(B), by striking the second sentence;
(2) by redesignating paragraph (10) as paragraph (11); and
(3) by inserting after paragraph (9) the following:
``(10) Temporary reduction of oxygen content requirement.--
``(A) In general.--If the Secretary of Energy, with
the concurrence of the Secretary of Agriculture, finds
that there is an insufficient domestic supply of
oxygenates to meet the oxygen content requirement of
paragraphs (2)(B) and (3)(A)(v), the Administrator may,
in accordance with section 307, promulgate regulations
temporarily reducing the oxygen content requirement to
the extent necessary to ensure an adequate supply of
oxygenates.
``(B) Duration of reduction.--
``(i) In general.--A temporary reduction in
the oxygen content requirement under
subparagraph (A) shall remain in effect for a
period of 90 days unless the Secretary of
Energy finds, before the end of that period,
that an adequate supply of oxygenates exists.
``(ii) Extension.--Upon the expiration of
the 90-day period under clause (i), the
temporary reduction in the oxygen content
requirement may be extended for an additional
90-day period in accordance with subparagraph
(A).
``(C) Maintenance of environmental benefits.--
Regulations promulgated under subparagraph (A) shall
ensure that the environmental benefits of reformulated
gasoline are maintained during the period of the
temporary reduction in the oxygen content
requirement.''.
SEC. 8. ADDITIONAL OPT-IN AREAS UNDER REFORMULATED GASOLINE PROGRAM.
Section 211(k)(6) of the Clean Air Act (42 U.S.C. 7545(k)(6)) is
amended--
(1) by striking ``(6) Opt-in areas.--(A) Upon'' and
inserting the following:
``(6) Opt-in areas.--
``(A) Classified areas.--
``(i) In general.--Upon'';
(2) in subparagraph (B), by striking ``(B) If'' and
inserting the following:
``(ii) Effect of insufficient domestic
capacity to produce reformulated gasoline.--
If'';
(3) in subparagraph (A)(ii) (as so redesignated)--
(A) in the first sentence, by striking
``subparagraph (A)'' and inserting ``clause (i)''; and
(B) in the second sentence, by striking ``this
paragraph'' and inserting ``this subparagraph''; and
(4) by adding at the end the following:
``(B) Nonclassified areas.--
``(i) In general.--Upon the application of
the Governor of a State, the Administrator
shall apply the prohibition specified in
paragraph (5) in any area in the State that is
not a covered area or an area referred to in
subparagraph (A)(i).
``(ii) Publication of application.--As soon
as practicable after receipt of an application
under clause (i), the Administrator shall
publish the application in the Federal
Register.''.
SEC. 9. ANTI-DUMPING RULES.
The Administrator of the Environmental Protection Agency shall
revise the regulations promulgated under section 211(k)(8) of the Clean
Air Act (42 U.S.C. 7545(k)(8)) to ensure that this Act and the
amendments made by this Act do not result in any increased emissions in
areas that are not covered areas (as defined in section 211(k)(11) of
the Clean Air Act (as redesignated by section 7(a)(2))).
SEC. 10. STATE REASONABLE FURTHER PROGRESS DEMONSTRATIONS.
Section 182(c)(2)(B) of the Clean Air Act (42 U.S.C.
7511a(c)(2)(B)) is amended by adding at the end the following: ``In
making the demonstration required under this subparagraph, a State may
claim as a credit toward the requirement for VOC emission reductions an
amount equivalent to the ozone-forming potential of carbon monoxide
emission reductions attributable to any amount by which the average
oxygen content of reformulated gasoline sold in the State exceeds 2
percent.''.
SEC. 11. PREVENTION OF EFFECTS ON HIGHWAY APPORTIONMENTS.
(a) Surface Transportation Program.--Section 104(b)(3) of title 23,
United States Code, is amended by adding at the end the following:
``(C) Determination of estimated tax payments.--For
the purpose of determining under subparagraph (A)(iii)
the estimated tax payments attributable to highway
users in a State paid into the Highway Trust Fund
(other than the Mass Transit Account) in a fiscal year,
the amount paid into the Highway Trust Fund with
respect to the sale of gasohol or other fuels
containing alcohol by reason of the tax imposed by
section 4041 (relating to special fuels) or 4081
(relating to gasoline) of the Internal Revenue Code of
1986 shall be treated as being equal to the amount that
would have been so imposed with respect to that sale
without regard to the reduction in revenues resulting
from the application of the regulations promulgated
under section 211(c)(5) of the Clean Air Act (42 U.S.C.
7545(c)(5)) and the following provisions of the
Internal Revenue Code of 1986:
``(i) Section 4041(b)(2) (relating to
exemption for qualified methanol and ethanol
fuel).
``(ii) Section 4041(k) (relating to fuels
containing alcohol).
``(iii) Section 4041(m) (relating to
certain alcohol fuels).
``(iv) Section 4081(c) (relating to reduced
rate on gasoline mixed with alcohol).''.
(b) Minimum Guarantee.--Section 105(f)(1) of title 23, United
States Code, is amended--
(A) by striking ``(1) In general.--Before'' and
inserting the following: ``(1) In general.--
``(A) Adjustment.--Before''; and
(B) by adding at the end the following:
``(B) Determination of estimated tax payments.--For
the purpose of determining under this subsection the
estimated tax payments attributable to highway users in
a State paid into the Highway Trust Fund (other than
the Mass Transit Account) in a fiscal year, the amount
paid into the Highway Trust Fund with respect to the
sale of gasohol or other fuels containing alcohol by
reason of the tax imposed by section 4041 (relating to
special fuels) or 4081 (relating to gasoline) of the
Internal Revenue Code of 1986 shall be treated as being
equal to the amount that would have been so imposed
with respect to that sale without regard to the
reduction in revenues resulting from the application of
the regulations promulgated under section 211(c)(5) of
the Clean Air Act (42 U.S.C. 7545(c)(5)) and the
following provisions of the Internal Revenue Code of
1986:
``(i) Section 4041(b)(2) (relating to
exemption for qualified methanol and ethanol
fuel).
``(ii) Section 4041(k) (relating to fuels
containing alcohol).
``(iii) Section 4041(m) (relating to
certain alcohol fuels).
``(iv) Section 4081(c) (relating to reduced
rate on gasoline mixed with alcohol).''.
<all>
Introduced in Senate
Sponsor introductory remarks on measure. (CR S3919-3920)
Read twice and referred to the Committee on Environment and Public Works.
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