EPA Action
On March 21, 2025, the Federal Register published the interim final decisions by EPA to stay and defer active and pending sanctions after the Sacramento Metro Federal Non-attainment Area (SFNA) was determined to be in attainment with the 2008 8-hour ozone NAAQS. This decision was based on area monitoring data from 2022-2024.
The Area was designated Severe-15 for 2008 8-hour ozone NAAQs, indicating an ambient concentration of 0.113-0.119 ppm O3, on May 21, 2012, with an applicable attainment date of December 31, 2024. On October 22, 2021, EPA approved the State attainment and reasonable further progress (RFP) demonstrations associated with the 2008 ozone NAAQS for the Area but deferred action on required contingency measures if RFP milestones were not met. Subsequently, EPA published a disapproval of the area’s contingency measures on June 15, 2023. This disapproval started a sanctions clock which would impose offset sanctions 18 months after July 17, 2023, highway funding sanctions 6 months after offset sanctions took effect, and a two-year clock on the EPA promulgation of a Federal Implementation Plan (FIP).
California submitted updated contingency measures for the SFNA on December 23, 2024. The EPA took no action on the submittal and offset sanctions have been in place for the SFNA since January 17, 2025, with highway funding sanctions set to start on July 17, 2025. Impacted air districts include the Sacramento Metro Air Quality Management District (SMAQMD), Yolo-Solano Air Quality Management District (YSAQMD), Placer County Air Pollution Control District (PCAPCD), El Dorado Air Quality Management District (EDAQMD), and Feather River Air Quality Management District (FRAQMD).
Updates to Sanctions
With EPA’s interim final determination, offset sanctions are stayed and highway funding sanctions are deferred. The offset sanctions rules introduced in SMAQMD, YSAQMD, PCAPCD, FRAQMD, and EDAQMD. would have introduced substantial fees per ton of NOX and VOC above a threshold of 80% of the baseline emissions from the previous year for all Title V Major Stationary Sources within the SFNA.
Additionally, some VOC contingency measures for SMAQMD, YSAQMD, PCAPCD, EDAQMD, and FRAQMD will no longer trigger once the attainment designation is finalized. These measures were set to limit VOC emissions from architectural coating usages in all three air districts, composting operations in SMAQMD and YSAQMD, liquefied petroleum gas (LPG) transportation and storage in SMAQMD, and solvent cleanings within PCAPCD. The contingency measures would have also eliminated exemptions to the California Smog Check program within the SFNA.
Looking Forward
Prior to reaching a final determination, EPA opened a public comment period that ended April 21, 2025, regarding the interim final designation. Typically, a public comment period would precede an action that stayed sanctions, but EPA invoked the good cause exception under the Administrative Procedure Act to ensure timely sanctions relief. EPA is now considering these comments before making a final determination.
The interim attainment designation provides relief from offset sanctions and defers highway funding sanctions. Offset fees were expected to be $12,476.67 per ton of NOX and VOCs above the threshold in 2024, so this relief represents a significant yearly savings for Title V Major Sources within the SFNA.
New VOC limits would have also impacted operational flexibility by imposing stricter emissions limits on numerous industries in the area. The architectural coatings rule was already in effect for all impacted air districts, but this interim final determination pauses the implementation of the LPG limits, composting limits, and solvent cleaning limits. These limits could still go into effect as they are also triggered by EPA designation for the 2015 8-hour ozone NAAQS.
With this interim designation, associated air districts in the Area will move forward with addressing the 2015 ozone NAAQS non-attainment status. The SFNA is currently designated non-attainment, serious, with an ambient 8-hour ozone concentration between 0.093-0.105 ppm. With an attainment date of August 2033, both public and private entities within the area will continue to work to reduce 8-hour ozone concentrations below the 0.070 ppm target.
If you would like to discuss the interim final determination and how it may impact your facility, please contact Trinity’s Sacramento office or call 916.444.6666.
