ÿWPCp “™Æðø/‘¥1Í#€Ñ`ljw³K²2"£ü3Äjéº\9«·ßr¼Åq”Hô ŽìÙ„cÀ¢ÚÚ6Ê+–ÕGåGZxH>n³+‡YÍ j-¿N7Ž ¯#§n¶ ˆ¡ú?]-©ñMòÎèk×ë^£¿Ü/QtadRw€¬åq׉öCB $ó—V:!ÛnÄ~+þ¨Ðã"cgd<þÔªcêøx¹f—ïÑöÌÞÅlŠhj–…vö=ÿö,È?ÌÓfþå7Ä…>å}j|W'  +4¨¼Pæ ‚òšåTŒ›ñg¬O¨YD…h¶k±Bº×ì{ù[`exé"9Vx&þ”K(r¹`(M?š¢6’a'ŸXôšÐÍtþNΗ–ÚØ4µD׺8?e&£›I†V;lÊ@ÅT¸S#çÙ5ÝÞk•Þêmžäåum(o¶ÿ˵B÷”qYÕ¦Mž#ÄÓ-%pQ›·“L•—‹ö° $37F¹C!›H† ¿¸·>]ìh¦B7Q‚‡§:–äK Â>¸!9 ¾^Oÿ‰ä½Ãú·3N“í]l ZƒQ°_ù4×@|JÙ}7¥~÷äšil“û-SËHÂÕ&#ÁUNÕ %# 0()^ Qw]4au„ m† 1‡ 1u$ 0 c™ 0 wü 1ss 0Šæ 0Ap 0T± 0h 0|m 0é 1‡y   U> 0 U 0´õ 0Ç© 0Ûp 0ïK 1‡: 1‡Á 1‡H 1‡ÏÞVN4 726bh˜HP LaserJet 4050 Series PCL 6ÈÈÈÈÈÈÈÈ0(ÖÃ9 Z‹6Times New Roman RegularX($¡¡.±<)˜ ¸e5) 3|xÿU‹ÿÀÀÀ(5hCEKQW]cioAutoList1I.I.I.I.I.I.I.I.3#37=CIQYag­­1.a.i.(1)(a)(i)1)a)(;3£$´´Ô2#ÔÚ  Ú0Ú  Ú.Ô3  Ôà0  à(Oé;$µµà0  àÔ2#ÔÚ  ÚaÚ  Ú.Ô3  Ôà0` (#(#à"•Ñ37=CIOW_e®®I.A.1.a.(1)(a)i)a)(b·¤$¶¶à0  àà0` (#(#àÔ2#ÔÚ  ÚÚ  Ú.Ô3  Ôà0¸ ` (#` (#à(Vm$˜˜Ìà0  àà ° à(,!ù$™™à0  àà0` (#(#àà  à(@›‚$ššà0  àà0` (#(#àà0¸ ` (#` (#àà ` à(TÅþ$››à0  àà0` (#(#àà0¸ ` (#` (#àà0¸ (#¸ (#àà ¸ à(hJí$œœà0  àà0` (#(#àà0¸ ` (#` (#àà0¸ (#¸ (#àà0h(#(#àà  à š¼CEKQW]cioAutoList2A.A.1.A.A.A.A.A.ô\  `&Times New Roman(xir$··à0  àà0` (#(#àà0¸ ` (#` (#àÔ2#Ô(Ú  Ú0Ú  Ú)Ô3  Ôà0¸ (#¸ (#à(ŒÜ$¸¸à0  àà0` (#(#àà0¸ ` (#` (#àà0¸ (#¸ (#àÔ2#Ô(Ú  ÚaÚ  Ú)Ô3  Ôà0h(#(#à(ŸF$¹¹à0  àà0` (#(#àà0¸ ` (#` (#àà0¸ (#¸ (#àà0h(#(#àÔ2#Ô(Ú  ÚÚ  Ú)Ô3  Ôà0Àh(#h(#à(³Àô$ººà0  àà0` (#(#àà0¸ ` (#` (#àà0¸ (#¸ (#àà0h(#(#àà0Àh(#h(#àÔ2#ÔÚ  Ú0Ú  Ú)Ô3  Ôà0À(#À(#à(ǵ{$»»à0  àà0` (#(#àà0¸ ` (#` (#àà0¸ (#¸ (#àà0h(#(#àà0Àh(#h(#àà0À(#À(#àÔ2#ÔÚ  ÚaÚ  Ú)Ô3  Ôà0p(#(#à hSµCEIMQUY]aAutoList4""""""""i)1)a) hcµCEIMQUY]aAutoList5""""""""i)1)a)(…hCEKQW]cioAutoList6IIIIIIIIIIIIIIII(ê½CEKQW]cioAutoList7A.A.A.A.A.A.A.A.  SIPs CFRs]pecificsubmittal RHRsubmittals WGA TIPsS]ince FIP FIPsofffset tpy i)F- ùÝ ƒ!ÝÝ  ÝÔ_ÔÑ8€ñÈXdìdÈ8ÑÑ€%ÑԀ舓çXXÔò òÓ  ÓAttachment€F:€€Ð ° ÐConceptual€Proposal€For€Re„Allocation€Ð 8ˆ Ðof€the€Tribal€Set„Asideó óÔ€XñÈXç舓ÔÐ À ÐÓ”ÓÌà  àThe€Annex€provides€that,€upon€the€implementation€of€the€trading€program,€20,000€tonsÐ 4 „ Ðper€year€will€be€ð ðestablished€as€a€general€tribal€allocation,ðð€to€be€distributed€as€determined€by€theÐ  p Ðtribes€in€the€region.€€In€order€to€insure€that€all€tribes€in€the€region€have€a€fair€and€meaningfulÐ  \ Ðopportunity€to€take€part€in€this€determination,€it€must€be€done€in€the€context€of€government„to„Ð ø H Ðgovernment€consultation€between€EPA€and€the€tribes,€during€the€rule€making€process€to€amendÐ ä 4  ÐRegional€Haze€Rule€ðð€309.€€This€Attachment€describes€the€parameters€governing€the€tribal€re„Ð Ð  Ðallocation€(distribution),€and€presents€a€preliminary€conceptual€proposal,€in€order€to€facilitateÐ ¼  Ðtribal€comment.€€Ð ¨ø  ÐÌà  àThis€is€not€a€consensus€document.€€In€general€terms,€the€members€and€participants€in€theÐ €Ð  ÐWRAP€have€agreed€that€the€re„allocation€of€the€tribal€set„aside€is€a€matter€internal€to€the€tribes.€Ð l¼ ÐHowever,€to€the€extent€the€methodology€affects€other€aspects€of€the€program,€other€members€andÐ X¨ Ðparticipants€reserve€their€right€to€comment.Ð D” ÐÔ  ÔÌÓ€ (•Ñ23 ÓÝ"‚ 3£"ÝÝ  ÝÝ‚ 3£õÝÔ2•ÑÔÚ  ÚIÚ  Ú.Ô3  Ôà0  àÝ  ÝParameters€and€Principles€Governing€Re„Allocation€Methodology݃ 3£õ"ÝŒÐl(#(# ÐŒÝ  ÝÔ Ý fÔÔ  ÔÌÝ"‚é;"ÝÝ  ÝÝ‚é;Ýà0  àÔ2•ÑÔÚ  ÚAÚ  Ú.Ô3  Ôà0` (#(#àÝ  ÝProvision€for€Late€(Post€2003)€Opt„in€by€TribesÔ Ý Ô݃é;IÝŒÐôD` (#` (# ÐŒÝ  ÝÌà  àThe€re„allocation€scheme€should€provide€for€the€possibility€that€some€tribes€will€opt€toÐ Ì Ðparticipate€in€the€program€after€the€2003€deadline€applicable€to€states€for€their€SIPs.Ð ¸ ÐÔ  ÔÌÝ"‚·¤"ÝÝ  ÝÝ‚·¤/ Ýà0  àà0` (#(#àÔ2•ÑÔÚ  Ú1Ú  Ú.Ô3  Ôà0¸ ` (#` (#àÝ  ÝPolicy€RationaleÔ Ý ! Ô݃·¤/ \ ÝŒÐภ(#¸ (# ÐŒÝ  ÝÌà  àSeveral€factors€point€to€the€need€to€allow€tribes€to€make€the€decision€to€participate€in€theÐ h¸ Ðprogram€after€the€2003€deadline€applicable€to€states.€€The€more€than€200€tribes€in€the€Ô_ÔGCVTCÔ_ÔÐ T ¤ Ðregion€will€face€a€formidable€task€in€deciding€whether€to€ð ðopt€inðð€to€ðð€309€over€the€next€threeÐ @! Ðyears.€€The€ð ðbackstopðð€emission€trading€program€described€in€the€Annex€is€in€many€ways€anÐ ,"| Ðinnovative€and€even€experimental€program.€€The€program€marks€the€first€time€tribes€will€beÐ #h Ðintegrated€into€a€multi„state€regional€trading€scheme,€raising€new€issues€regarding€tribalÐ $T  Ðsovereignty,€federalism,€and€relationships€to€states.€€Additionally,€a€fundamental€differenceÐ ð$@ ! Ðbetween€it€and€existing€emission€trading€programs€is€the€concept€that€voluntary€measures€willÐ Ü%,!" Ðinitially€be€relied€on€to€meet€emissions€goals,€with€the€actual€trading€program€serving€as€aÐ È&"# Ðcontingency€measure.€By€design,€it€is€structured€to€minimize€the€likelihood€of€ð ðtriggeringðð€theÐ ´'#$ Ðtrading€program€until€well€after€2003.€€Because€most€tribes€will€likely€not€be€affected€until€theÐ  (ð#% Ðactual€trading€program€is€triggered,€the€relevance€of€the€program€to€a€particular€tribe€may€be€hardÐ Œ)Ü$& Ðto€gauge€in€2003.Ð x*È%' ÐÐ d+´&( Ðà  àTo€these€complicating€regulatory€factors€are€added€the€inherent€uncertainty€of€futureÐ ° Ðtrends€in€technology,€energy€use,€and€economic€development,€both€within€the€region€as€a€wholeÐ œì Ðand€on€particular€tribal€lands.€€In€this€regard,€tribes€face€a€different€situation€than€states.€€StatesÐ ˆØ Ðcomprise€larger€geographic€areas,€which€lessens€the€need€for€accuracy€in€predicting€exactlyÐ tÄ Ðwhere€economic€development€may€occur€ð!ð€simplifying€assumptions,€averaging,€and€otherÐ `° Ðð ðsmoothingðð€functions€can€be€used.€€Moreover,€tribes€will€more€often€than€states€have€aÐ L œ Ðproprietary€interest€in€development€projects€within€their€jurisdiction,€and€thus€have€more€at€stakeÐ 8 ˆ Ðin€insuring€that€the€regulatory€strategy€they€employ€is€complementary€to€their€developmentÐ $ t Ðstrategy.Ð  ` Ðà  àÌà  à€Finally,€tribes€are€faced€with€these€decisions€at€a€time€when€most€tribes€are€in€the€earlyÐ è 8  Ðstages€of€establishing€air€programs€through€such€activities€as€creating€emissions€inventories,Ð Ô$  Ðimplementing€ambient€monitoring€programs,€and€adopting€basic€air€quality€codes.€€TribalÐ À  Ðgovernment€resources€are€generally€not€available€for€dedication€to€the€type€of€economic/airÐ ¬ü  Ðquality€policy€analysis€required€to€assess€prospectively€the€ultimate€implications€of€the€decisionÐ ˜è  Ðwhether€to€opt€into€ðð€309.Ð „Ô  ÐÌà  àAllowing€tribes€to€opt€into€the€program€after€2003€will€not€compromise€theÐ \¬ Ðenvironmental€goals€of€the€program.€€In€fact,€it€would€be€environmentally€beneficial€to€encourageÐ H˜ Ðthe€inclusion€of€new€tribal€sources€in€the€program,€in€order€to€insure€the€integrity€of€the€regionalÐ 4„ Ðcap.€€If€tribes€lose€the€option€of€opting€into€the€program€after€2003,€new€sources€on€tribal€landsÐ  p Ðwould€be€regulated€under€ðð€308€of€the€haze€rule.€€This€means€they€would€be€subject€to€controlÐ  \ Ðrequirements,€but€their€emissions€would€not€be€mitigated€by€corresponding€reductions€elsewhere,Ð øH Ðas€would€occur€under€the€trading€program.€(A€different€analysis€may€apply€to€tribes€with€existingÐ ä4 Ðsources.€€As€noted€below,€EPA€has€the€authority€to€utilize€federal€implementation€whereÐ Ð  Ðnecessary€to€ensure€reasonable€progress€with€respect€to€such€sources).Ð ¼  ÐÌÌÝ"‚·¤"ÝÝ  ÝÝ‚·¤KÝà0  àà0` (#(#àÔ2•ÑÔÚ  Ú2Ú  Ú.Ô3  Ôà0¸ ` (#` (#àÝ  ÝÔ  ÔLegal€RationaleÔ Ý ùÔ݃·¤Kx݌Ѐи (#¸ (# ÐŒÝ  ÝÌà  àFor€the€reasons€explained€below,€allowing€tribes€to€opt„in€to€the€trading€program€afterÐ X ¨ Ð2003€is€consistent€with€the€framework€provided€by€the€Clean€Air€Act€and€implementingÐ D!” Ðregulations.Ð 0"€  ÐÌÝ"‚ir"ÝÝ  ÝÝ‚iroÝà0  àà0` (#(#àà0¸ ` (#` (#àÔ2•ÑÔÚ  ÚaÚ  Ú.Ô3  Ôà0¸ (#¸ (#àÝ  ÝTribes€are€expressly€exempt€from€visibility€implementationÐ $X" Ðdeadlines€under€the€Tribal€Authority€Rule.݃iroœÝŒÐô$D #(#(# ÐŒÝ  ÝÌà  àThe€Tribal€Authority€Rule€(TAR),€40€CFR€ðð€49.1€ð!ð€49.11,€delineates€the€CAA€sectionsÐ Ì&"% Ðfor€which€it€is€appropriate€to€treat€tribes€in€the€same€manner€as€states.€€Under€the€generalÐ ¸'#& Ðapproach€of€the€TAR,€tribes€which€meet€certain€eligibility€criteria€may€apply€for€and€receiveÐ ¤(ô#' Ðtreatment€in€the€same€manner€states€for€all€CAA€provisions€except€those€specifically€identified€asÐ )à$( Ðinappropriate.€€Among€provisions€identified€as€inappropriate€for€tribes€are€ð ð[s]pecific€visibilityÐ |*Ì%) Ðimplementation€plan€submittal€deadlines€established€under€169A€of€the€Act.ðð€€40€CFR€ðð€49.4(e).€€Ð h+¸&* Їà  àThis€exemption€applies€to€the€deadlines€contained€in€the€RHR€sections€308€and€309.€Ð ° ÐAlthough€the€Regional€Haze€Rule€originated€from€a€process€prescribed€in€CAA€ðð€169B,€€ðð€169BÐ œì Ðrequires€that€EPA€respond€to€reports€from€Visibility€Transport€Commissions€by€carrying€out€itsÐ ˆØ Ðregulatory€duties€under€ðð€169A.€€See€42€U.S.C.€ðð€7492(e).€€Therefore€the€deadlines€in€the€RHRÐ tÄ Ðare€established€under€ðð€169A€of€the€Act€and€are€not€applicable€to€tribes€under€the€TAR.€€Ð `° ÐÌà  àEPA€recognized€this€in€the€preamble€to€the€RHR:€ð ðSection€49.4(f)€of€the€TAR€providesÐ 8 ˆ Ðthat€deadlines€related€to€SIP€submittals€under€section€169(B)(e)(2)€do€not€apply€to€Tribes.ðð€€òò64Ð $ t ÐFed.€Reg.€35714,€35759,July€1,€1999.óóÐ  ` ÐÌØ! !ØÌØ! !ØÝ"‚ir"ÝÝ  ÝÝ‚irr%Ýà0  àà0` (#(#àà0¸ ` (#` (#àÔ2•ÑÔÚ  ÚbÚ  Ú.Ô3  Ôà0¸ (#¸ (#àÝ  ÝNothing€in€the€structure€or€language€of€the€TAR€or€RHR€suggestsÐ Ô$  Ðthat€the€RHR€ðð€309€option€would€disappear€for€tribes€upon€theÐ À  Ðpassing€of€the€state„applicable€deadline.݃irr%Ÿ%݌Ьü (#(# ÐŒÝ  ÝÌà  àThe€provisions€of€the€TAR€firmly€establish€that€the€RHR€implementation€deadlines€areÐ „Ô  Ðnot€applicable€to€tribes.€€Nevertheless,€an€argument€could€be€made€that€a€tribesðð€failure€to€submitÐ pÀ Ða€TIP€by€the€state€deadline€of€December€31,€2003€would€preclude€a€tribe€from€submitting€a€ðð€309Ð \¬ ÐTIP€at€a€later€date,€even€though€the€date€is€not€a€deadline€in€the€sense€that€failure€to€meet€it€wouldÐ H˜ Ðinvoke€sanctions.€€Such€a€reading€would€be€counter€to€the€spirit€of€the€TAR€and€the€RHR.Ð 4„ ÐÌà  àThe€RHR€itself€is€silent€on€this€question.€€The€only€language€addressing€tribalÐ  \ Ðimplementation€of€ðð€309€is€found€in€ðð€309(d)(12):Ð øH Ðà  àà ` àÌÔ‡XñÈXXXñÈÔà0  àTribal€implementation.€Consistent€with€40€CFR€Part€49,€tribes€within€the€TransportÐ Ð  ÐRegion€may€implement€the€required€visibility€programs€for€the€16€Class€I€areas,€in€theÐ ¼  Ðsame€manner€as€States,€regardless€of€whether€such€tribes€have€participated€as€members€ofÐ ¨ø Ða€visibility€transport€commission.Дä(#(# ÐÌà  àÔ#†XñÈXXXñÈo*#ÔOne€might€argue€that€phrase€ð ðin€the€same€manner€as€Statesðð€implies€that€the€tribes€areÐ l¼ Ðalso€subject€to€the€same€restrictions€as€states.€€However,€the€preamble€discussion€of€this€languageÐ X ¨ Ðmakes€it€clear€that€the€purpose€of€this€language€is€to€emphasize€the€tribes€independence€fromÐ D!” Ðstates.€€€In€fact,€the€preamble€erroneously€states€that€this€provision€is€not€included€in€the€final€ruleÐ 0"€  Ðbecause€it€would€be€superfluous€in€light€of€the€TAR:Ð #l! ÐÌà8  àThe€WGA€called€for€EPA's€final€rule€òòto€permit€tribes€within€the€Ô_ÔGCVTCÔ_ÔÐ ô$D # ÐTransport€Region€to€implement€visibility€programs,€or€reasonably€severableÐ à%0!$ Ðelements,€in€the€same€manner€as€States,€regardless€of€whether€such€tribes€haveÐ Ì&"% Ðparticipated€as€members€of€a€visibility€transport€Ô_ÔGCVTCÔ_Ôóó€[sic].€The€EPA€òòhas€notÐ ¸'#& Ðincludedóó€the€WGA's€recommended€rule€provision€in€today's€action€because€theÐ ¤(ô#' Ðnecessary€authority€for€tribal€organizations€has€already€been€provided€in€aÐ )à$( Ðprevious€EPA€Ô_ÔrulemakingÔ_Ô€.FN133€The€EPA€does,€however,€agree€with€theÐ |*Ì%) Ðposition€expressed€in€the€WGA€recommendation.€The€EPA€wishes€to€clarify€thatÐ h+¸&* ÐÔ_Ôtribes€may€directly€implement€the€requirements€of€this€section€of€the€regional€hazeÐ ° Ðrule€in€the€same€manner€as€States.€The€Tribal€Authority€Rule€provides€for€this,€asÐ œì Ðdiscussed€further€in€unit€V€of€today's€notice.€The€independence€of€tribes€meansÐ ˆØ Ðthat€a€tribal€visibility€program€is€not€dependent€on€strategies€selected€by€the€StateÐ tÄ Ðor€States€in€which€the€tribe€is€located.Ð`°Ð Ð  ÐÌòò64€Fed.€Reg.€At€€35756€(emphasis€added).óó€€Section€309(d)(12)€was€in€fact€included€in€the€finalÐ 8 ˆ Ðrule,€notwithstanding€the€explanation€in€the€preamble€of€why€it€was€not.€€In€any€case,€it€is€clearÐ $ t Ðthat€EPA€interpreted€the€language€of€ðð€309(d)(12)€to€be€merely€redundant€to€the€provisions€of€theÐ  ` ÐTAR,€and€not€in€any€way€limiting€the€options€available€to€tribes€under€the€TAR.Ð ü L  ÐÌà  àMoreover,€elsewhere€in€the€preamble,€the€non„applicability€of€visibility€implementationÐ Ô$  Ðplan€deadlines€to€tribes€is€discussed€at€some€length,€concluding€with€the€following€paragraph:Ð À  ÐÌà8  àIn€order€to€encourage€tribes€to€develop€self„sufficient€programs,€the€TAR€providesÐ ˜è  Ðtribes€with€the€flexibility€of€submitting€programs€as€they€are€developed,€ratherÐ „Ô  Ðthan€in€accordance€with€statutory€deadlines.€€òòThis€means€that€tribes€that€choose€toÐ pÀ Ðdevelop€programs,€where€necessary€may€take€additional€time€to€submitÐ \¬ Ðimplementation€plans€for€regional€haze€over€and€above€the€deadlines€in€the€TEA„Ð H˜ Ð21€legislation€as€codified€in€todayððs€ruleóó.€€.€.€.€€We€encourage€tribes€choosing€toÐ 4„ Ðdevelop€implementation€plans€to€make€every€effort€to€submit€by€the€deadlines€toÐ  p Ðensure€that€the€plans€are€integrated€with€and€coordinated€with€regional€planningÐ  \ Ðefforts.€€In€the€interim,€EPA€will€work€with€the€States€and€tribes€to€ensure€thatÐ øH Ðachievement€of€reasonable€progress€is€not€delayed.Ðä4Ð Ð  ÐÌòò64€Fed.€Reg.€35714,€35759,July€1,€1999.€(Emphasis€added).óó€€€€Significantly,€the€discussion€makesÐ ¼  Ðno€distinction€between€development€of€tribal€implementation€plans€under€RHR€ðððð€308€and€309.€Ð ¨ø ÐAlso€significantly,€nowhere€in€the€quoted€passage€or€the€entire€discussion€of€tribalÐ ”ä Ðimplementation€of€the€RHR€is€any€mention€made€of€consequences€to€tribes€of€failing€to€submitÐ €Ð ÐTIPs€by€the€state€deadlines.€€The€integration€and€coordination€of€state€and€tribal€planning€effortsÐ l¼ Ðis€cited€as€a€positive€incentive€for€early€development€of€visibility€TIPs,€but€nowhere€is€theÐ X ¨ Ðpossibility€of€any€negative€consequences€discussed.€€If€EPA€had€intended€the€state€309€deadlineÐ D!” Ðto€serve€as€a€cut€off€point€for€tribal€implementation€of€ðð€309,€it€is€reasonable€to€expect€that€itÐ 0"€  Ðwould€have€written€such€a€provision€into€the€rule€that€or€at€least€discussed€in€the€preamble€the€Ð #l! Ðrationale€for€such€an€effect.€à  àà h àÐ $X" ÐÌà  àTaken€together,€EPAððs€assurances€that€tribes€may€choose€between€ðð€308€and€ðð309Ð à%0!$ Ðindependently€of€state€decisions,€and€that€tribes€ð ðwhere€necessary€may€take€additional€time€toÐ Ì&"% Ðsubmit€implementation€plans,ðð€create€a€strong€implication€that€tribes€may€submit€implementationÐ ¸'#& Ðplans€under€ðð€309€after€the€òòstate€óóimplementation€plan€deadline€for€that€section.€Ð ¤(ô#' ÐÌÝ"‚ir"ÝÝ  ÝÝ‚ir¶@Ýà0  àà0` (#(#àà0¸ ` (#` (#àÔ2•ÑÔÚ  ÚcÚ  Ú.Ô3  Ôà0¸ (#¸ (#àÝ  ÝLoss€of€the€ðð€309€option€upon€failure€to€meet€the€2003€deadlineÐ |*Ì%) Ðwould€effectively€constitute€a€sanction€to€tribes€and€thus€runÐ h+¸&* Ðcounter€to€the€spirit€of€the€TAR.݃ir¶@ã@݌а(#(# ÐŒÝ  ÝÌÓB.°°` ¸ hÀpÈ xÐ (#°œXBÓIn€explaining€the€rationale€for€not€subjecting€tribes€to€SIP€submittal€deadlines,€EPA€in€theÐ ˆØ Ðpreamble€to€the€TAR€noted€among€other€things€that:Ð tÄ ÐÌà8  à[S]ince€.€.€.€tribal€authority€for€establishing€CAA€programs€was€expresslyÐ L œ Ðaddressed€for€the€first€time€in€the€1990€CAA€Amendments,€in€comparison€toÐ 8 ˆ Ðstates,€tribes€in€general€are€in€the€early€stages€of€developing€air€planning€andÐ $ t Ðimplementation€expertise.€Accordingly,€EPA€determined€that€it€would€beÐ  ` Ðinfeasible€and€inappropriate€to€subject€tribes€to€the€mandatory€submittal€deadlinesÐ ü L  Ðimposed€by€the€Act€on€states,€and€to€the€related€federal€oversight€mechanisms€inÐ è 8  Ðthe€Act€which€are€triggered€when€EPA€makes€a€finding€that€states€have€failed€toÐ Ô$  Ðmeet€required€deadlines€or€acts€to€disapprove€a€plan€submittal.ÐÀ Ð Ð  ÐÌà  àòò63.€Fed.€Reg.€at€7265.óó€€The€federal€oversight€mechanism€referred€to€is€implementation€ofÐ ˜è  Ða€federal€implementation€plan€(FIP)€pursuant€to€CAA€ðð€110(c)(1).€òòId.óó€(providing€for€FIPs€withinÐ „Ô  Ð2€years€of€stateððs€failure€to€submit€SIP€or€SIP€revision)€€€The€preamble€goes€on€to€explain€thatÐ pÀ Ððð110(c)(1)€is€therefore€among€those€listed€in€the€TAR€as€inappropriate€for€application€to€tribes,Ð \¬ Ðalthough€EPA€retains€its€obligation€to€promulgate€FIPs€in€Indian€country€as€necessary€andÐ H˜ Ðappropriate.€òòId.óóÐ 4„ ÐÌà  àEnforcement€of€a€FIP€against€a€state€is€commonly€perceived€as€a€sanction€against€theÐ  \ Ðstate,€as€it€represents€an€assertion€of€federal€supremacy€over€considerations€of€state€sovereignty.€Ð øH ÐFurthermore,€CAA€110€provides€for€additional€sanctions€in€the€event€of€a€stateððs€failure€to€submitÐ ä4 Ða€complete€and€timely€SIP,€in€the€form€of€withheld€highway€funding€and€emission€offfsetÐ Ð  Ðrequirements.€€òòSee€42€U.S.C.€ðð€7410(m)€and€ðð7509.óóÐ ¼  ÐÌà  àEPA€correctly€determined€that,€given€the€relative€inexperience€of€tribes€in€air€regulation,Ð ”ä Ðand€the€recentness€of€Congressional€authorization€of€tribal€CAA€implementation,€it€isÐ €Ð Ðinappropriate€to€subject€tribes€to€deadlines€and€sanctions.€€For€similar€reasons,€and€for€theÐ l¼ Ðreasons€related€to€future€uncertainty€discussed€in€part€I.A.1€above,€tribes€should€not€be€punishedÐ X ¨ Ðfor€failure€to€meet€the€2003€deadline€by€losing€the€option€to€implement€ðð€309.€€Therefore,€theÐ D!” Ðmethodology€should€accommodate€post„2003€entry€into€the€market€by€tribes.Ð 0"€  ÐÌØ! !ØÝ"‚é;"ÝÝ  ÝÝ‚é;NÝà0  àÔ2•ÑÔÚ  ÚBÚ  Ú.Ô3  Ôà0` (#(#àÝ  ÝÔ  ÔAccommodation€of€the€Multiple€Purposes€of€the€Tribal€Set€AsideÔ Ý ¨NÔ݃é;N;NÝŒÐ$X"` (#` (# ÐŒÝ  ÝÌà  àTribal€participants€in€the€WRAP€cited€several€potential€uses€for€the€tribal€set€aside,€Ð à%0!$ Ðincluding€retirement€for€the€benefit€of€the€environment,€use€to€attract€development,€and€sale€forÐ Ì&"% Ðrevenue.€€The€allocation€methodology€should€provide€for€all€these€needs€to€some€degree.€Ð ¸'#& ÐNaturally,€there€is€a€tension€between€these€purposes,€given€the€fact€that€there€are€many€tribes€whoÐ ¤(ô#' Ðmay€have€differing€priorities.€€There€are€many€ways€of€striking€a€balance€between€uses,€of€whichÐ )à$( Ðthe€proposed€methodology€is€but€one.€€For€example,€the€proposed€methodology€would€utilize€theÐ |*Ì%) Ðallowances€for€revenue€until€needed€for€development€(with€individual€tribes€able€to€retire€aÐ h+¸&* Ðportion€at€their€discretion).€€An€alternative€method€would€be€to€effectively€retire€the€allowancesÐ ° Ðuntil€needed€for€development€or€sale.€€The€former€method€is€put€forth€here€under€the€assumptionÐ œì Ðthat€the€monetary€benefit€to€tribes€outweighs€the€marginal€environmental€benefit€of€retiring€thisÐ ˆØ Ðsmall€portion€of€the€total€emissions.€Ð tÄ ÐÌÝ"‚é;"ÝÝ  ÝÝ‚é;TÝà0  àÔ2•ÑÔÚ  ÚCÚ  Ú.Ô3  Ôà0` (#(#àÝ  ÝFlexibility€to€Allow€for€Changes€If€the€New€Source€Set€Aside€Is€Exhausted€or€inÐ L œ ÐAccordance€with€Market€Prices.݃é;T?TÝŒÐ8 ˆ` (#` (# ÐŒÝ  ÝÌà  àThe€tribal€set€aside€is€designed€to€help€insure€equitable€treatment€for€tribal€economies€andÐ  ` Ðto€prevent€barriers€to€economic€development.€€It€is€not€the€only€source€of€allowances€for€tribes,€asÐ ü L  Ðtribal€sources€also€have€access€to€allowances€under€the€general€existing€and€new€sourceÐ è 8  Ðprovisions.€€The€new€source€set„aside€is€intended€to€be€sufficient€to€cover€all€new€sources€in€theÐ Ô$  Ðregion,€whether€they€are€tribal€or€non„tribal.€The€reallocation€concept€presented€here€is€based€onÐ À  Ðthe€assumption€that€the€new€source€set€aside€is€adequate.€€However,€if€for€unanticipated€reasonsÐ ¬ü  ÐSO2€new€source€growth€exceeds€projections,€the€use€of€the€tribal€set€aside€should€be€subject€toÐ ˜è  Ðchange.€€Similarly,€the€methodology€should€be€flexible€to€allow€changes€in€strategy€based€uponÐ „Ô  Ðthe€market€price€of€credits.€€For€example,€if€credits€become€very€valuable,€tribes€who€have€retiredÐ pÀ Ðallowances€may€wish€to€reconsider€the€option€of€selling.€Provisions€for€flexibility€must€beÐ \¬ Ðconsistent€with€the€general€allocation€methodology€of€the€program,€which€provides€certainty€inÐ H˜ Ðallocations€for€5€year€increments.Ð 4„ ÐÌØ! !ØÓ€ !(ê½82ÓÝ"‚ 3£"ÝÝ  Ýà  àÝ‚ 3£S[ÝÔ2ê½ÔÚ  ÚDÚ  Ú.Ô3  Ôà0 ` àÝ  ÝMaximization€of€Benefit€to€Tribes€in€the€Aggregate.݃ 3£S[Œ[݌Р\` (#` (# ÐŒÝ  ÝÌà  àThe€methodology€should€be€structured€so€that€the€maximum€benefit€is€gained€from€theÐ ä4 Ðallowances,€and€they€are€not€so€distributed€as€to€be€of€no€practical€use€to€any€one€tribe.€€For€thisÐ Ð  Ðreason,€a€simple€pro„rata€distribution€is€not€proposed.€€That€would€result€in€approximately€95Ð ¼  Ðtons/year€per€tribe,€not€quite€enough€to€construct€a€ð ðmajorðð€source€(100€tpy).€€It€is€felt€that€betterÐ ¨ø Ðuse€can€be€made€of€the€allowances€by€pooling€them€and€using€the€revenue€for€a€common€good,Ð ”ä Ðwith€the€pool€being€dipped€into€as€needed€for€individual€tribal€projects.€€Again,€however,€theÐ €Ð Ðcalculus€may€change€according€to€according€to€market€prices€for€credits.Ð l¼ ÐÌØ! !ØÓ€ (…h88!ÓÝ"‚ 3£"ÝÝ  ÝÝ‚ 3£`ÝÔ2…hÔIIÔ3  Ôà0  àÝ  ÝÔ  ÔProposed€Conceptual€MethodologyÔ €i`Ô݃ 3£`L`ÝŒÐD!”(#(# ÐŒÝ  ÝÌà  àThe€conceptual€framework€put€forth€€here€for€comment€is€quite€simple.€€Essentially,€itÐ #l! Ðconsists€of€the€following:€(1)€Initially€the€allowances€would€be€pooled€and€sold,€with€revenueÐ $X" Ðused€for€the€benefit€of€common€tribal€interests,€(2)€Individual€tribes€could€draw€from€the€pool€forÐ ô$D # Ðthe€purpose€of€(A)€SO2€emitting€development€projects,€and€(B)€retirement€of€allowances€for€theÐ à%0!$ Ðenvironment.€€The€allocation€scheme€would€be€subject€to€change€at€the€5€year€check€points€builtÐ Ì&"% Ðinto€the€program,€in€response€to€changed€conditions.€€These€concepts€are€described€in€more€detailÐ ¸'#& Ðbelow:Ð ¤(ô#' ÐØ! !ØÓ€ (š¼08 ÓÌÌÝ"‚·¤"ÝÝ  ÝÝ‚·¤‘dÝà0  àà0` (#(#àÔ2š¼ÔÚ  Ú1Ú  Ú.Ô3  Ôà0¸ ` (#` (#àÝ  Ýð ðUnclaimedðð€allowances€administered€as€pool€for€shared€revenue݃·¤‘d¾dÝŒÐh+¸&*¸ (#¸ (# ÐŒÝ  ÝÔ_ÔÌà  àThis€provision€is€intended€to€insure€that€the€tribal€allowance€is€used€in€a€manner€whichÐ œì Ðwill€provide€benefits€to€tribes,€regardless€of€whether€individual€tribes€have€decided€to€apply€forÐ ˆØ Ðan€allocation€of€allowances.Ð tÄ ÐÌà  àUpon€the€commencement€of€the€trading€program,€those€tribal€allowances€which€have€notÐ L œ Ðbeen€allocated€to€individual€tribes€according€to€the€procedures€below€would€be€sold€on€the€openÐ 8 ˆ Ðmarket,€at€a€fair€market€price.€€The€proceeds€would€be€transferred€to€a€trustee,€who€would€use€theÐ $ t Ðfunds€for€a€purpose€determined€after€consultation€with€the€tribes€in€the€region.€€Ð  ` ÐÌà  àThe€use€to€which€funds€are€put€should€be€logically€grounded€in€the€rationale€for€creatingÐ è 8  Ðthe€set€aside.€€For€example,€they€could€be€used€to€fund€tribal€environmental€programs,€to€partiallyÐ Ô$  Ðcompensate€for€the€fact€that€the€benefits€of€energy€and€industrial€development€have€not€beenÐ À  Ðproportionally€shared€with€tribes.€€This€could€be€accomplished€by€using€the€monies€to€supplyÐ ¬ü  Ðtribes€with€matching€funds€in€order€to€meet€federal€grant€requirements€(e.g.€under€sections€103€orÐ ˜è  Ð105€of€the€CAA),€to€help€tribes€acquire€monitoring€or€other€equipment,€or€to€assist€tribes€inÐ „Ô  Ðestablishing€tribal,€non„federal€programs.€€€Another€promising€idea€which€has€been€suggested€isÐ pÀ Ðthe€establishment€of€a€scholarship€fund€to€encourage€the€development€of€tribal€environmentalÐ \¬ Ðprofessionals.Ð H˜ ÐÌà  àòòóóThere€are€several€fundamental€issues€to€be€resolved€regarded€the€pooled€approach,Ð  p Ðincluding:€the€mechanism€by€which€tribal€allocations€would€be€sold€on€the€market€(e.g.,€by€theÐ  \ Ðprogram€administrator)€and€the€identity€or€method€of€selecting€the€trustee€to€administer€revenuesÐ øH Ðfrom€sales.Ð ä4 ÐÌÝ"‚·¤"ÝÝ  ÝÝ‚·¤ nÝà0  àà0` (#(#àÔ2š¼ÔÚ  Ú2Ú  Ú.Ô3  Ôà0¸ ` (#` (#àÝ  ÝAllowances€distributed€to€individual€tribes€via€application€process݃·¤ n6n݌м ¸ (#¸ (# ÐŒÝ  ÝÌà  àA€primary€purpose€of€the€tribal€set€aside€is€to€ensure€that€barriers€to€development€on€tribalÐ ”ä Ðland€are€not€created,€where€such€development€is€desired€by€tribes.€€Many€€tribal€participants€alsoÐ €Ð Ðinsisted€that€tribes€should€be€able€to€retire€credits,€at€their€discretion.€€In€order€to€accomplishÐ l¼ Ðthese€objectives,€there€must€be€means€for€individual€tribes€to€acquire€a€quantity€of€credits€overÐ X ¨ Ðwhich€the€tribe€has€sole€control.€€A€method€for€doing€this€is€proposed€below:Ð D!” ÐÌÝ"‚ir"ÝÝ  ÝÝ‚ir„qÝà0  àà0` (#(#àà0¸ ` (#` (#àÔ2š¼ÔÚ  ÚAÚ  Ú.Ô3  Ôà0¸ (#¸ (#àÝ  ÝRetirement€quota݃ir„q±qÝŒÐ#l!(#(# ÐŒÝ  ÝÌà  àTribes€would€be€able€to€apply€for€a€quota€of€allowances€for€the€express€purpose€of€retiringÐ ô$D # Ðthem.€€The€quota€could€be€either€a€flat,€pro€rata€amount€for€every€federally€recognized€tribe€in€theÐ à%0!$ Ðregion,€(e.g.,€20,000€tpy/211€tribes€=€94.8€tpy/tribe),€or€it€could€be€adjusted€on€a€tribe„specificÐ Ì&"% Ðbasis,€such€as€tribal€population.€€A€flat€amount€would€reflect€the€equality€of€all€federallyÐ ¸'#& Ðrecognized€tribes€as€sovereign€domestic€nations,€while€a€population€based€allocation€wouldÐ ¤(ô#' Ðperhaps€better€reflect€the€amount€of€development€a€tribe€is€willing€to€forego,€by€retiring€theÐ )à$( Ðcredits.Ð |*Ì%) ÐÐ h+¸&* Ðà  àSome€questions€raised€by€this€provision€are€whether€tribes€that€retire€credits€should€beÐ ° Ðexcluded€from€receiving€benefits€from€the€revenue€generated€by€the€sale€of€the€remainder€ofÐ œì Ðcredits,€and€whether,€tribes€who€retire€credits€would€be€able€to€pursue€SO2€emitting€developmentÐ ˆØ Ðoutside€of€the€trading€program?€€(E.g.,€under€RHR€ðð€308).Ð tÄ ÐÌÝ"‚ir"ÝÝ  ÝÝ‚ir