A.
A registered supplier that elects to certify that
Arizona CBG or AZRBOB meets an averaging standard under
R3-7-751 shall ensure that
compliance surveys are conducted in accordance with a compliance survey program
plan approved by the associate director. The associate director shall approve a
compliance survey program plan if it:
1. Consists of at least four VOC
and NOx surveys conducted at least one per month between May 1 through
September 15 of each year, and
2. Complies with subsection
(J).
A. A registered supplier
shall conduct surveys for oxygenate blending during the winter and a compliance
survey during the summer. The winter survey shall be conducted following the
requirements in subsection (A), or using an independent third-party surveyor
following the requirements in subsections (B) and (D). The summer survey shall
be conducted following the requirements in subsection (C), or using an
independent third-party surveyor following the requirements in subsections (C)
and (D). Surveys for oxygenate blending during the winter: A registered
supplier supplying AZRBOB from a production or import facility shall conduct an
oxygenate blending survey program to be carried out at the facilities of each
oxygenate blender who blends any AZRBOB produced or imported by the refiner or
importer with any oxygenate, to determine whether the Arizona CBG, which has
been produced through blending, complies with the applicable standards using
the methodology specified in
R3-7-759 . The sampling and testing
program shall be conducted as follows:
1.
Samples shall be collected in accordance with ASTM D4057 and be analyzed for
oxygenates. All samples shall be collected subsequent to the addition of
oxygenate and prior to combining the resulting gasoline with any other
gasoline.
2. Sampling and testing
shall be at one of the following rates, regardless of the amount of oxygenate
added:
a. In the case of AZRBOB which is
blended with oxygenate in a gasoline storage tank, a rate of not less than one
sample for every 400,000 barrels of AZRBOB produced or imported by that refiner
or importer that is blended by that oxygenate blender, or one sample every
month, whichever is more frequent;
b. In the case of AZRBOB which is blended
with oxygenate in gasoline delivery trucks through the use of
computer-controlled in-line blending equipment, a rate of not less than one
sample for every 200,000 barrels of AZRBOB produced or imported by that refiner
or importer that is blended by that oxygenate blender, or one sample every
three months, whichever is more frequent; or
c. In the case of AZRBOB which is blended
with oxygenate in gasoline delivery trucks without the use of
computer-controlled in-line blending equipment, a rate of not less than one
sample for each 50,000 barrels of AZRBOB produced or imported by that refiner
or importer which is blended, or one sample per month, whichever is more
frequent.
3. In the event
that the test results for any sample indicate the gasoline does not comply with
applicable standards, including reproducibility, the refiner or importer shall:
a. Immediately take steps to stop the sale of
the gasoline that was sampled;
b.
Take steps which are reasonably calculated to determine and correct the cause
of the noncompliance;
c. Increase
the rate of sampling and testing to double the required frequency outlined in
subsection (A)(2); and
d. Continue
the increased frequency of sampling and testing until the results of ten
consecutive samples and tests indicate the gasoline complies with applicable
standards, at which time the sampling and testing may be conducted at the
original frequency.
4.
This survey program conducted by a registered supplier shall be conducted in
addition to any survey requirements carried out under this subsection by other
registered suppliers.
B.
If a registered supplier fails to ensure that an
approved compliance survey program is conducted, the associate director shall
issue an order requiring the registered supplier to comply with all applicable
fuel property and performance standards on a per-gallon basis for six months or
through the end of the survey period identified in subsection (A)(1), whichever
is longer. Regardless of when a failure to survey occurs, the associate
director's order shall require compliance with per-gallon standards from the
beginning of the survey period during which the failure to survey
occurs.
B. Instead of conducting the oxygenate
blending survey program in subsection (A), the registered supplier may use an
independent third-party surveyor to conduct a winter oxygenate blending survey
that meets the following requirements:
1.
Designed and conducted by an independent third-party surveyor that meets the
requirements of subsection (D)(2)(a);
2. Conducted November 1 through March 31 on
all samples collected under the program design approved by the associate
director under subsection (D);
3.
Involves sampling and testing that is representative of all Arizona CBG
dispensed in the CBG-covered area, including a representative number of E15
samples;
4. Analyzes each sample
for oxygenate according to the methodologies specified in
R3-7-759;
5. Collects samples of gasoline produced at
blender pumps using "Method #1" of the E15 Sampling Procedure specified in
Handbook 158;
6. Verifies
compliance of E15 labeling requirements at gasoline retail outlets that offer
E15 for sale; and
7. Includes a
sufficient amount of samples to ensure that the average levels of oxygen is
determined at a 95% confidence level with an error of 0.1% or less for oxygen
by weight.
C.
General compliance survey requirements. A registered
supplier shall ensure that a compliance survey conforms to the
following:
1. Consists of all samples that
are collected under an approved survey program plan during any consecutive
seven days and that are not excluded under subsection (C)(4);
2. Is representative of all
Arizona CBG being dispensed in the CBG-covered area as provided in subsection
(G);
3. Analyzes each sample included
in the compliance survey for oxygenate type and content, olefins, sulfur,
aromatic hydrocarbons, E200, E300, and vapor pressure according to the test
methods in R3-7-759 . Vapor pressure is
required to be analyzed only from May 1 through September 15;
4. Bases the results of the
compliance survey upon an analysis of each sample collected during the course
of the compliance survey, unless a sample does not comply with the applicable
per gallon maximum or minimum fuel property standard being evaluated in
addition to any reproducibility that applies to the fuel property standard;
and
5. If a laboratory analyzes the
compliance survey samples, the laboratory participates in a correlation program
with the associate director to ensure the validity of analysis
results.
C. Summer Compliance Surveys. A registered
supplier shall ensure that compliance surveys are conducted in accordance with
a compliance survey program plan approved by the associate director. A
registered supplier may use an independent third-party surveyor as outlined in
subsection (D) to conduct a summer compliance survey. The associate director
shall approve a compliance survey program plan if the plan:
1. Consists of at least four VOC and NOx
surveys conducted at least once per month between June 1 and September 30 of
each year;
2. Consists of all
samples that are collected under an approved survey program plan during any
consecutive seven days;
3. Is
representative of all Arizona CBG being dispensed in the CBG-covered area
including a representative number of E15 samples;
4. Includes enough samples to ensure that the
average levels of oxygen, vapor pressure, aromatic hydrocarbons, olefins, T50,
T90, and sulfur are determined at a 95% confidence level with an error of:
a. 0.1% or less for oxygen by
weight;
b. 0.1 psi for vapor
pressure;
c. 0.5% for aromatic
hydrocarbons by volume;
d. 0.5% for
olefins by volume;
e. 5º F for
T50 and T90; and
f. 10 ppm for
sulfur.
5. Analyzes each
sample included in the compliance survey for oxygenate type and content,
olefins, sulfur, aromatic hydrocarbons, E200, E300, and vapor pressure
according to the test methods in
R3-7-759 (vapor pressure is
required to be analyzed only from June 1 through September 30); and
6. If a laboratory analyzes the compliance
survey samples, the laboratory participates in a correlation program approved
by the associate director to ensure the validity of analysis results.
7. For each compliance survey sample,
determine the VOC and NOx emissions reduction percentage based upon the tested
fuel properties for that sample using the methodology for calculating VOC and
NOx emissions reductions under the Federal Complex Model.
D.
If the associate director determines that a sample
used in a compliance survey does not comply with
R3-7-751 or another requirement
under this Article, the associate director shall take enforcement action
against the registered supplier.
D. An independent third-party surveyor may
conduct the winter oxygenate blending survey outlined in subsection (B) and the
summer compliance survey outlined in subsection (C), if the survey program:
1. Is approved by the associate
director;
2. Is designed and
conducted by a third-party surveyor that is independent of the registered
supplier. To be considered independent:
a.
The surveyor shall not be an employee of any registered supplier;
b. The surveyor shall not have an obligation
to, or interest in, any registered supplier; and
c. The registered supplier shall not have an
obligation to or interest in the surveyor.
3. Requires that the surveyor not provide
advance notice, except as provided in subsection (D)(8), of the date or
location of any survey sampling;
4.
Provides a duplicate of any sample taken during the survey to the associate
director, upon request of the associate director within 30 days following
submission of the survey report required under subsection (D)(7), including:
a. Information regarding the name and address
of the facility from where the sample was collected, and
b. The date of collection;
5. Requires that the surveyor
permit a Division official to monitor sample collection, transportation,
storage, and analysis at any time;
6. Requires the laboratory to participate in
a correlation program approved by the associate director to ensure the validity
of analysis results;
7. Requires
the surveyor to submit a report of each survey to the associate director within
30 days after sampling is completed, including the following information:
a. Name of the person conducting the
survey;
b. Attestation by an
officer of the surveyor that the sampling and testing was conducted according
to the compliance survey program plan and the results are accurate;
c. Identification of the registered supplier
for whom the compliance survey was conducted if the compliance survey was
conducted for only one registered supplier;
d. Identification of the area from which
survey samples were selected;
e.
Dates on which the survey was conducted;
f. Address of each facility at which a sample
was collected, and the date of collection;
g. Name and address of each laboratory at
which samples were analyzed;
h.
Description of the method used to select the facilities from which a sample was
collected;
i. Number of samples
collected from each facility;
j.
Justification for excluding a collected sample from the survey, if one was
excluded; and
k. For a survey
conducted under subsection (A), analyzes each sample for oxygenate according to
the methodologies specified in
R3-7-759; or
l. For a survey conducted under subsection
(C), results of the sample analysis for oxygenate type, oxygen weight percent,
aromatic hydrocarbons, olefin content, E200, E300, vapor pressure, and the
calculated VOC or NOx emissions reduction percentage, as applicable, for each
survey conducted during the period identified in subsection (C)(1);
8. Begins each survey on a date
selected by the associate director, or as approved in the survey program. The
associate director shall notify the surveyor of the date selected at least 10
days before the survey is to begin.
E. To obtain the associate director's
approval of a survey program plan, the person seeking approval shall:
1. Submit the plan to the associate director
no later than January 1 to cover the survey period of November 1 through March
31 or June 1 through September 15 of each year, as applicable; and
2. Have the plan signed by a corporate
officer of the registered supplier or by an officer of the independent
third-party surveyor.
3. The CBG-covered area fails a
NOx compliance survey if the NOx emissions reduction percentage average of all
samples collected during the compliance survey is less than the per-gallon
standard for NOx emissions reduction percentage in Table 1, column
A.
F. If
the associate director determines that a sample used in a compliance survey
does not comply with
R3-7-751 or another requirement
under this Article, the associate director may take enforcement action against
the registered supplier, oxygenate blender, and/or retail location.
1. For each compliance survey
sample, the NOx emissions reduction percentage is determined based upon the
tested fuel properties for that sample using the methodology for calculating
NOx emissions reduction at 40 CFR 80.45, as incorporated by
reference in
R3-7-702 ; and
2. The CBG-covered area fails the
NOx series of compliance surveys conducted May 1 through September 15 if the
NOx emissions reduction percentage average for all compliance survey samples
collected during that time is less than the Federal Complex Model per-gallon
standard for the NOx emissions reduction percentage in Table 1, column
A.
G. If a
registered supplier fails to ensure that an approved compliance survey program
is conducted, the associate director may consider all batches delivered into
the CBG-covered area during the survey period as non-compliant.
1. Is designed and conducted by a
surveyor that is independent of the registered supplier. To be considered
independent:
a. The surveyor shall not be an
employee of any registered supplier,
b. The surveyor shall not have an
obligation to or interest in any registered supplier, and
c. The registered supplier shall
not have an obligation to or interest in the surveyor;
2. Includes enough samples to
ensure that the average levels of oxygen, vapor pressure, aromatic
hydrocarbons, olefins, T50, T90, and sulfur are determined with a 95 percent
confidence level, with error of less than 0.1 psi for vapor pressure, 0.1
percent for oxygen (by weight), 0.5 percent for aromatic hydrocarbons (by
volume), 0.5 percent for olefins (by volume), 5°F for T50 and T90, and 10
wppm for sulfur;
3. Requires that the surveyor not
provide advance notice, except as provided in subsection (H), of the date or
location of any survey sampling;
4. Requires that the surveyor
provide a duplicate of any sample taken during the survey, with information
regarding the name and address of the facility from and the date on which the
sample was taken, upon request of the associate director, within 30 days
following submission of the survey report required under subsection
(G)(6);
5. Requires that the surveyor
permit a Division official to monitor sample collection, transportation,
storage, and analysis at any
6. Requires the surveyor to submit
a report of each survey to the associate director within 30 days after sampling
for the survey is completed that includes the following
information:
a. Name of the person conducting
the survey;
b. Attestation by an officer of
the surveyor that the sampling and testing was conducted according to the
compliance survey program plan and the results are accurate;
c. Identification of the
registered supplier for whom the compliance survey was conducted if the
compliance survey was conducted for only one registered
supplier;
d. Identification of the area from
which survey samples were selected;
e. Dates on which the survey was
conducted;
f. Address of each facility at
which a sample was collected, and the date of collection;
g. Results of the analysis of
samples for oxygenate type and oxygen weight percent, aromatic hydrocarbon, and
olefin content, E200, E300, and vapor pressure, and the calculated VOC or NOx
emissions reduction percentage, as applicable, for each survey conducted during
the period identified in subsection (A)(1);
h. Name and address of each
laboratory at which samples were analyzed;
i. Description of the method used
to select the facilities from which a sample was collected;
j. Number of samples collected
from each facility;
k. Justification for excluding a
collected sample from the survey, if one was excluded; and
l. Average VOC and NOx emissions
reduction percentage.
H. No later than April 1 of each year, a
registered supplier that intends to meet the requirements in subsections (A)
and (C) by contracting with an independent third-party surveyor to conduct the
compliance survey plan for the next summer and winter season shall enter into
the contract and pay all of the money necessary to conduct the compliance
survey plan. The registered supplier may pay the money necessary to conduct the
compliance survey plan to the independent third-party surveyor or to an escrow
account with instructions to the escrow agent to release the money to the
independent third-party surveyor as the compliance survey plan is implemented.
No later than April 15, the registered supplier shall submit to the associate
director a copy of the contract with the independent third-party surveyor,
proof that the money necessary to conduct the compliance survey plan has been
paid, and, if applicable, a copy of the escrow agreement.
I. A registered supplier is exempt from the
survey requirements of this section if they supply less than 1,000,000 gallons
of Arizona CBG or AZRBOB within a calendar year.
1. Submit the plan to the
associate director no later than January 1 to cover the survey period of May 1
through September 15 of each year, and
2. Have the plan signed by a
corporate officer of the registered supplier or by an officer of the
independent surveyor.
J.
No later than April 1 of each year, a registered
supplier that intends to meet the requirements in subsection (A) by contracting
with an independent surveyor to conduct the compliance survey plan for the next
summer and winter season shall enter into the contract and pay all of the money
necessary to conduct the compliance survey plan. The registered supplier may
pay the money necessary to conduct the compliance survey plan to the
independent surveyor or to an escrow account with instructions to the escrow
agent to release the money to the independent surveyor as the compliance survey
plan is implemented. No later than April 15, the registered supplier shall
submit to the associate director a copy of the contract with the independent
surveyor, proof that the money necessary to conduct the compliance survey plan
has been paid, and, if applicable, a copy of the escrow
agreement.
