unavailable for service and that the unit's owners and operators do not
expect to return to service in the future.
    Permitting authority means ``permitting authority'' as defined in
Sec. Sec.  70.2 and 71.2 of this chapter.
    Potential electrical output capacity means, for a unit, 33 percent
of the unit's maximum design heat input, divided by 3,413 Btu/kWh,
divided by 1,000 kWh/MWh, and multiplied by 8,760 hr/yr.
    Receive or receipt of means, when referring to the Administrator,
to come into possession of a document, information, or correspondence
(whether sent in hard copy or by authorized electronic transmission),
as indicated in an official log, or by a notation made on the document,
information, or correspondence, by the Administrator in the regular
course of business.
    Recordation, record, or recorded means, with regard to TR
NOX Annual allowances, the moving of TR NOX

Annual allowances by the Administrator into, out of, or between
Allowance Management System accounts, for purposes of allocation,
auction, transfer, or deduction.
    Reference method means any direct test method of sampling and
analyzing for an air pollutant as specified in Sec.  75.22 of this
chapter.
    Replacement, replace, or replaced means, with regard to a unit, the
demolishing of a unit, or the permanent retirement and permanent
disabling of a unit, and the construction of another unit (the
replacement unit) to be used instead of the demolished or retired unit
(the replaced unit).
    Sequential use of energy means:
    (1) The use of reject heat from electricity production in a useful
thermal energy application or process; or
    (2) The use of reject heat from useful thermal energy application
or process in electricity production.
    Serial number means, for a TR NOX Annual allowance, the
unique identification number assigned to each TR NOX Annual
allowance by the Administrator.
    Solid waste incineration unit means a stationary, fossil-fuel-fired
boiler or stationary, fossil-fuel-fired combustion turbine that is a
``solid waste incineration unit'' as defined in section 129(g)(1) of
the Clean Air Act.
    Source means all buildings, structures, or installations located in
one or more contiguous or adjacent properties under common control of
the same person or persons. This definition does not change or
otherwise affect the definition of ``major source'', ``stationary
source'', or ``source'' as set forth and implemented in a title V
operating permit program or any other program under the Clean Air Act.
    State means one of the States that is subject to the TR
NOX Annual Trading Program pursuant to Sec.  52.38(a) of
this chapter.
    Submit or serve means to send or transmit a document, information,
or correspondence to the person specified in accordance with the
applicable regulation:
    (1) In person;
    (2) By United States Postal Service; or
    (3) By other means of dispatch or transmission and delivery;
    (4) Provided that compliance with any ``submission'' or ``service''
deadline shall be determined by the date of dispatch, transmission, or
mailing and not the date of receipt.
    Topping-cycle unit means a unit in which the energy input to the
unit is first used to produce useful power, including electricity,
where at least some of the reject heat from the electricity production
is then used to provide useful thermal energy.
    Total energy input means, for a unit, total energy of all forms
supplied to the unit, excluding energy produced by the unit. Each form
of energy supplied shall be measured by the lower heating value of that
form of energy calculated as follows:

LHV = HHV - 10.55(W + 9H)

Where:

LHV = lower heating value of the form of energy in Btu/lb,
HHV = higher heating value of the form of energy in Btu/lb,
W = weight % of moisture in the form of energy, and
H = weight % of hydrogen in the form of energy.

    Total energy output means, for a unit, the sum of useful power and
useful thermal energy produced by the unit.
    TR NOX Annual allowance means a limited authorization issued and
allocated or auctioned by the Administrator under this subpart, or by a
State or permitting authority under a SIP revision approved by the
Administrator under Sec.  52.38(a)(3), (4), or (5) of this chapter, to
emit one ton of NOX during a control period of the specified
calendar year for which the authorization is allocated or auctioned or
of any calendar year thereafter under the TR NOX Annual
Trading Program.
    TR NOX Annual allowance deduction or deduct TR NOX Annual
allowances means the permanent withdrawal of TR NOX Annual
allowances by the Administrator from a compliance account (e.g., in
order to account for compliance with the TR NOX Annual
emissions limitation) or from an assurance account (e.g., in order to
account for compliance with the assurance provisions under Sec. Sec.
97.406 and 97.425).
    TR NOX Annual allowances held or hold TR NO4 Annual allowances
means the TR NOX Annual allowances treated as included in an
Allowance Management System account as of a specified point in time
because at that time they:
    (1) Have been recorded by the Administrator in the account or
transferred into the account by a correctly submitted, but not yet
recorded, TR NOX Annual allowance transfer in accordance
with this subpart; and
    (2) Have not been transferred out of the account by a correctly
submitted, but not yet recorded, TR NOX Annual allowance
transfer in accordance with this subpart.
    TR NOX Annual emissions limitation means, for a TR NOX
Annual source, the tonnage of NOX emissions authorized in a
control period in a given year by the TR NOX Annual
allowances available for deduction for the source under Sec.  97.424(a)
for such control period.
    TR NOX Annual source means a source that includes one or more TR
NOX Annual units.
    TR NOX Annual Trading Program means a multi-state NOX
air pollution control and emission reduction program established in
accordance with this subpart and Sec.  52.38(a) of this chapter
(including such a program that is revised in a SIP revision approved by
the Administrator under Sec.  52.38(a)(3) or (4) of this chapter or
that is established in a SIP revision approved by the Administrator
under Sec.  52.38(a)(5) of this chapter), as a means of mitigating
interstate transport of fine particulates and NOX.
    TR NOX Annual unit means a unit that is subject to the TR
NOX Annual Trading Program.
    TR NOX Ozone Season Trading Program means a multi-state
NOX air pollution control and emission reduction program
established in accordance with subpart BBBBB of this part and Sec.
52.38(b) of this chapter (including such a program that is revised in a
SIP revision approved by the Administrator under Sec.  52.38(b)(3) or
(4) of this chapter or that is established in a SIP revision approved
by the Administrator under Sec.  52.38(b)(5) of this chapter), as a
means of mitigating interstate transport of ozone and NOX.
    TR SO2 Group 1 Trading Program means a multi-state SO2
air pollution control and emission reduction program established in
accordance with subpart CCCCC of this part and Sec.  52.39(a), (b), (d)
through (f), (j), and (k) of this chapter (including such a program
that is revised in a SIP revision approved by the Administrator under
Sec.  52.39(d) or (e) of this chapter or that is established in a SIP
revision approved by the Administrator under Sec.  52.39(f) of this
chapter), as a means of mitigating interstate transport of fine
particulates and SO2.
    TR SO2 Group 2 Trading Program means a multi-state SO2 air
pollution control and emission reduction program established in
accordance with subpart DDDDD of this part and 52.39(a), (c), and (g)
through (k) of this chapter (including such a program that is revised
in a SIP revision approved by the Administrator under Sec.  52.39(g) or
(h) of this chapter or that is established in a SIP revision approved
by the Administrator under Sec.  52.39(i) of this chapter), as a means
of mitigating interstate transport of fine particulates and
SO2.

    Unit means a stationary, fossil-fuel-fired boiler, stationary,
fossil-fuel-fired combustion turbine, or other stationary, fossil-fuel-
fired combustion device. A unit that undergoes a physical change or is
moved to a different location or source shall continue to be treated as
the same unit. A unit (the replaced unit) that is replaced by another
unit (the replacement unit) at the same or a different source shall
continue to be treated as the same unit, and the replacement unit shall
be treated as a separate unit.
    Unit operating day means, with regard to a unit, a calendar day in
which the unit combusts any fuel.
    Unit operating hour or hour of unit operation means, with regard to
a unit, an hour in which the unit combusts any fuel.
    Useful power means, with regard to a unit, electricity or
mechanical energy that the unit makes available for use, excluding any
such energy used in the power production process (which process
includes, but is not limited to, any on-site processing or treatment of
fuel combusted at the unit and any on-site emission controls).
    Useful thermal energy means thermal energy that is:
    (1) Made available to an industrial or commercial process (not a
power production process), excluding any heat contained in condensate
return or makeup water;
    (2) Used in a heating application (e.g., space heating or domestic
hot water heating); or
    (3) Used in a space cooling application (i.e., in an absorption
chiller).
    Utility power distribution system means the portion of an
electricity grid owned or operated by a utility and dedicated to
delivering electricity to customers.

Sec.  97.403  Measurements, abbreviations, and acronyms.

    Measurements, abbreviations, and acronyms used in this subpart are
defined as follows:

Btu--British thermal unit
CO2--carbon dioxide
H2O--water
hr--hour
kW--kilowatt electrical
kWh--kilowatt hour
lb--pound
mmBtu--million Btu
MWe--megawatt electrical
MWh--megawatt hour
NOX--nitrogen oxides
O2--oxygen
ppm--parts per million
scfh--standard cubic feet per hour
SO2--sulfur dioxide
yr--year

Sec.  97.404  Applicability.

    (a) Except as provided in paragraph (b) of this section:
    (1) The following units in a State (and Indian country within the
borders of such State) shall be TR NOX Annual units, and any
source that includes one or more such units shall be a TR
NOX Annual source, subject to the requirements of this
subpart: any stationary, fossil-fuel-fired boiler or stationary,
fossil-fuel-fired combustion turbine serving at any time, on or after
January 1, 2005, a generator with nameplate capacity of more than 25
MWe producing electricity for sale.
    (2) If a stationary boiler or stationary combustion turbine that,
under paragraph (a)(1) of this section, is not a TR NOX
Annual unit begins to combust fossil fuel or to serve a generator with
nameplate capacity of more than 25 MWe producing electricity for sale,
the unit shall become a TR NOX Annual unit as provided in
paragraph (a)(1) of this section on the first date on which it both
combusts fossil fuel and serves such generator.
    (b) Any unit in a State (and Indian country within the borders of
such State) that otherwise is a TR NOX Annual unit under
paragraph (a) of this section and that meets the requirements set forth
in paragraph (b)(1)(i) or (2)(i) of this section shall not be a TR
NOX Annual unit:
    (1)(i) Any unit:
    (A) Qualifying as a cogeneration unit throughout the later of 2005
or the 12-month period starting on the date the unit first produces
electricity and continuing to qualify as a cogeneration unit throughout
each calendar year ending after the later of 2005 or such 12-month
period; and
    (B) Not supplying in 2005 or any calendar year thereafter more than
one-third of the unit's potential electric output capacity or 219,000
MWh, whichever is greater, to any utility power distribution system for
sale.
    (ii) If, after qualifying under paragraph (b)(1)(i) of this section
as not being a TR NOX Annual unit, a unit subsequently no
longer meets all the requirements of paragraph (b)(1)(i) of this
section, the unit shall become a TR NOX Annual unit starting
on the earlier of January 1 after the first calendar year during which
the unit first no longer qualifies as a cogeneration unit or January 1
after the first calendar year during which the unit no longer meets the
requirements of paragraph (b)(1)(i)(B) of this section. The unit shall
thereafter continue to be a TR NOX Annual unit.
    (2)(i) Any unit:
    (A) Qualifying as a solid waste incineration unit throughout the
later of 2005 or the 12-month period starting on the date the unit
first produces electricity and continuing to qualify as a solid waste
incineration unit throughout each calendar year ending after the later
of 2005 or such 12-month period; and
    (B) With an average annual fuel consumption of fossil fuel for the
first 3 consecutive calendar years of operation starting no earlier
than 2005 of less than 20 percent (on a Btu basis) and an average
annual fuel consumption of fossil fuel for any 3 consecutive calendar
years thereafter of less than 20 percent (on a Btu basis).
    (ii) If, after qualifying under paragraph (b)(2)(i) of this section
as not being a TR NOX Annual unit, a unit subsequently no
longer meets all the requirements of paragraph (b)(1)(i) of this
section, the unit shall become a TR NOX Annual unit starting
on the earlier of January 1 after the first calendar year during which
the unit first no longer qualifies as a solid waste incineration unit
or January 1 after the first 3 consecutive calendar years after 2005
for which the unit has an average annual fuel consumption of fossil
fuel of 20 percent or more. The unit shall thereafter continue to be a
TR NOX Annual unit.
    (c) A certifying official of an owner or operator of any unit or
other equipment may submit a petition (including any supporting
documents) to the Administrator at any time for a determination
concerning the applicability, under paragraphs (a) and (b) of this
section or a SIP revision approved under Sec.  52.38(a)(4) or (5) of
this chapter, of the TR NOX Annual Trading Program to the
unit or other equipment.
    (1) Petition content. The petition shall be in writing and include
the identification of the unit or other equipment and the relevant
facts about the unit or other equipment. The petition and any other
documents provided to the Administrator in connection with the petition
shall include the following certification statement, signed by the
certifying official: ``I am authorized to make this submission on
behalf of the owners and operators of the unit or other equipment for
which the submission is made. I certify under penalty of law that I
have personally examined, and am familiar with, the statements and
information submitted in this document and all its attachments. Based
on my inquiry of those individuals with primary responsibility for
obtaining the information, I certify that the statements

and information are to the best of my knowledge and belief true,
accurate, and complete. I am aware that there are significant penalties
for submitting false statements and information or omitting required
statements and information, including the possibility of fine or
imprisonment.''
    (2) Response. The Administrator will issue a written response to
the petition and may request supplemental information determined by the
Administrator to be relevant to such petition. The Administrator's
determination concerning the applicability, under paragraphs (a) and
(b) of this section, of the TR NOX Annual Trading Program to
the unit or other equipment shall be binding on any State or permitting
authority unless the Administrator determines that the petition or
other documents or information provided in connection with the petition
contained significant, relevant errors or omissions.

Sec.  97.405  Retired unit exemption.

    (a)(1) Any TR NOX Annual unit that is permanently
retired shall be exempt from Sec.  97.406(b) and (c)(1), Sec.  97.424,
and Sec. Sec.  97.430 through 97.435.
    (2) The exemption under paragraph (a)(1) of this section shall
become effective the day on which the TR NOX Annual unit is
permanently retired. Within 30 days of the unit's permanent retirement,
the designated representative shall submit a statement to the
Administrator. The statement shall state, in a format prescribed by the
Administrator, that the unit was permanently retired on a specified
date and will comply with the requirements of paragraph (b) of this
section.
    (b) Special provisions. (1) A unit exempt under paragraph (a) of
this section shall not emit any NOX, starting on the date
that the exemption takes effect.
    (2) For a period of 5 years from the date the records are created,
the owners and operators of a unit exempt under paragraph (a) of this
section shall retain, at the source that includes the unit, records
demonstrating that the unit is permanently retired. The 5-year period
for keeping records may be extended for cause, at any time before the
end of the period, in writing by the Administrator. The owners and
operators bear the burden of proof that the unit is permanently
retired.
    (3) The owners and operators and, to the extent applicable, the
designated representative of a unit exempt under paragraph (a) of this
section shall comply with the requirements of the TR NOX
Annual Trading Program concerning all periods for which the exemption
is not in effect, even if such requirements arise, or must be complied
with, after the exemption takes effect.
    (4) A unit exempt under paragraph (a) of this section shall lose
its exemption on the first date on which the unit resumes operation.
Such unit shall be treated, for purposes of applying allocation,
monitoring, reporting, and recordkeeping requirements under this
subpart, as a unit that commences commercial operation on the first
date on which the unit resumes operation.

Sec.  97.406  Standard requirements.

    (a) Designated representative requirements. The owners and
operators shall comply with the requirement to have a designated
representative, and may have an alternate designated representative, in
accordance with Sec. Sec.  97.413 through 97.418.
    (b) Emissions monitoring, reporting, and recordkeeping
requirements.
    (1) The owners and operators, and the designated representative, of
each TR NOX Annual source and each TR NOX Annual
unit at the source shall comply with the monitoring, reporting, and
recordkeeping requirements of Sec. Sec.  97.430 through 97.435.
    (2) The emissions data determined in accordance with Sec. Sec.
97.430 through 97.435 shall be used to calculate allocations of TR
NOX Annual allowances under Sec. Sec.  97.411(a)(2) and (b)
and 97.412 and to determine compliance with the TR NOX
Annual emissions limitation and assurance provisions under paragraph
(c) of this section, provided that, for each monitoring location from
which mass emissions are reported, the mass emissions amount used in
calculating such allocations and determining such compliance shall be
the mass emissions amount for the monitoring location determined in
accordance with Sec. Sec.  97.430 through 97.435 and rounded to the
nearest ton, with any fraction of a ton less than 0.50 being deemed to
be zero.
    (c) NOX emissions requirements. (1) TR NOX Annual
emissions limitation. (i) As of the allowance transfer deadline for a
control period in a given year, the owners and operators of each TR
NOX Annual source and each TR NOX Annual unit at
the source shall hold, in the source's compliance account, TR
NOX Annual allowances available for deduction for such
control period under Sec.  97.424(a) in an amount not less than the
tons of total NOX emissions for such control period from all
TR NOX Annual units at the source.
    (ii) If total NOX emissions during a control period in a
given year from the TR NOX Annual units at a TR
NOX Annual source are in excess of the TR NOX
Annual emissions limitation set forth in paragraph (c)(1)(i) of this
section, then:
    (A) The owners and operators of the source and each TR
NOX Annual unit at the source shall hold the TR
NOX Annual allowances required for deduction under Sec.
97.424(d); and
    (B) The owners and operators of the source and each TR
NOX Annual unit at the source shall pay any fine, penalty,
or assessment or comply with any other remedy imposed, for the same
violations, under the Clean Air Act, and each ton of such excess
emissions and each day of such control period shall constitute a
separate violation of this subpart and the Clean Air Act.
    (2) TR NOX Annual assurance provisions. (i) If total
NOX emissions during a control period in a given year from
all TR NOX Annual units at TR NOX Annual sources
in a State (and Indian country within the borders of such State) exceed
the State assurance level, then the owners and operators of such
sources and units in each group of one or more sources and units having
a common designated representative for such control period, where the
common designated representative's share of such NOX
emissions during such control period exceeds the common designated
representative's assurance level for the State and such control period,
shall hold (in the assurance account established for the owners and
operators of such group) TR NOX Annual allowances available
for deduction for such control period under Sec.  97.425(a) in an
amount equal to two times the product (rounded to the nearest whole
number), as determined by the Administrator in accordance with Sec.
97.425(b), of multiplying--
    (A) The quotient of the amount by which the common designated
representative's share of such NOX emissions exceeds the
common designated representative's assurance level divided by the sum
of the amounts, determined for all common designated representatives
for such sources and units in the State (and Indian country within the
borders of such State) for such control period, by which each common
designated representative's share of such NOX emissions
exceeds the respective common designated representative's assurance
level; and
    (B) The amount by which total NOX emissions from all TR
NOX Annual units at TR NOX Annual sources in the
State (and Indian country within the borders of such State) for such
control period exceed the State assurance level.

    (ii) The owners and operators shall hold the TR NOX
Annual allowances required under paragraph (c)(2)(i) of this section,
as of midnight of November 1 (if it is a business day), or midnight of
the first business day thereafter (if November 1 is not a business
day), immediately after such control period.
    (iii) Total NOX emissions from all TR NOX
Annual units at TR NOX Annual sources in a State (and Indian
country within the borders of such State) during a control period in a
given year exceed the State assurance level if such total
NOX emissions exceed the sum, for such control period, of
the State NOX Annual trading budget under Sec.  97.410(a)
and the State's variability limit under Sec.  97.410(b).
    (iv) It shall not be a violation of this subpart or of the Clean
Air Act if total NOX emissions from all TR NOX
Annual units at TR NOX Annual sources in a State (and Indian
country within the borders of such State) during a control period
exceed the State assurance level or if a common designated
representative's share of total NOX emissions from the TR
NOX Annual units at TR NOX Annual sources in a
State (and Indian country within the borders of such State) during a
control period exceeds the common designated representative's assurance
level.
    (v) To the extent the owners and operators fail to hold TR
NOX Annual allowances for a control period in a given year
in accordance with paragraphs (c)(2)(i) through (iii) of this section,
    (A) The owners and operators shall pay any fine, penalty, or
assessment or comply with any other remedy imposed under the Clean Air
Act; and
    (B) Each TR NOX Annual allowance that the owners and
operators fail to hold for such control period in accordance with
paragraphs (c)(2)(i) through (iii) of this section and each day of such
control period shall constitute a separate violation of this subpart
and the Clean Air Act.
    (3) Compliance periods. A TR NOX Annual unit shall be
subject to the requirements under paragraphs (c)(1) and (c)(2) of this
section for the control period starting on the later of January 1, 2012
or the deadline for meeting the unit's monitor certification
requirements under Sec.  97.430(b) and for each control period
thereafter.
    (4) Vintage of allowances held for compliance. (i) A TR
NOX Annual allowance held for compliance with the
requirements under paragraph (c)(1)(i) of this section for a control
period in a given year must be a TR NOX Annual allowance
that was allocated for such control period or a control period in a
prior year.
    (ii) A TR NOX Annual allowance held for compliance with
the requirements under paragraphs (c)(1)(ii)(A) and (2)(i) through
(iii) of this section for a control period in a given year must be a TR
NOX Annual allowance that was allocated for a control period
in a prior year or the control period in the given year or in the
immediately following year.
    (5) Allowance Management System requirements. Each TR
NOX Annual allowance shall be held in, deducted from, or
transferred into, out of, or between Allowance Management System
accounts in accordance with this subpart.
    (6) Limited authorization. A TR NOX Annual allowance is
a limited authorization to emit one ton of NOX during the
control period in one year. Such authorization is limited in its use
and duration as follows:
    (i) Such authorization shall only be used in accordance with the TR
NOX Annual Trading Program; and
    (ii) Notwithstanding any other provision of this subpart, the
Administrator has the authority to terminate or limit the use and
duration of such authorization to the extent the Administrator
determines is necessary or appropriate to implement any provision of
the Clean Air Act.
    (7) Property right. A TR NOX Annual allowance does not
constitute a property right.
    (d) Title V permit requirements. (1) No title V permit revision
shall be required for any allocation, holding, deduction, or transfer
of TR NOX Annual allowances in accordance with this subpart.
    (2) A description of whether a unit is required to monitor and
report NOX emissions using a continuous emission monitoring
system (under subpart H of part 75 of this chapter), an excepted
monitoring system (under appendices D and E to part 75 of this
chapter), a low mass emissions excepted monitoring methodology (under
Sec.  75.19 of this chapter), or an alternative monitoring system
(under subpart E of part 75 of this chapter) in accordance with
Sec. Sec.  97.430 through 97.435 may be added to, or changed in, a
title V permit using minor permit modification procedures in accordance
with Sec. Sec.  70.7(e)(2) and 71.7(e)(1) of this chapter, provided
that the requirements applicable to the described monitoring and
reporting (as added or changed, respectively) are already incorporated
in such permit. This paragraph explicitly provides that the addition
of, or change to, a unit's description as described in the prior
sentence is eligible for minor permit modification procedures in
accordance with Sec. Sec.  70.7(e)(2)(i)(B) and 71.7(e)(1)(i)(B) of
this chapter.
    (e) Additional recordkeeping and reporting requirements. (1) Unless
otherwise provided, the owners and operators of each TR NOX
Annual source and each TR NOX Annual unit at the source
shall keep on site at the source each of the following documents (in
hardcopy or electronic format) for a period of 5 years from the date
the document is created. This period may be extended for cause, at any
time before the end of 5 years, in writing by the Administrator.
    (i) The certificate of representation under Sec.  97.416 for the
designated representative for the source and each TR NOX
Annual unit at the source and all documents that demonstrate the truth
of the statements in the certificate of representation; provided that
the certificate and documents shall be retained on site at the source
beyond such 5-year period until such certificate of representation and
documents are superseded because of the submission of a new certificate
of representation under Sec.  97.416 changing the designated
representative.
    (ii) All emissions monitoring information, in accordance with this
subpart.
    (iii) Copies of all reports, compliance certifications, and other
submissions and all records made or required under, or to demonstrate
compliance with the requirements of, the TR NOX Annual
Trading Program.
    (2) The designated representative of a TR NOX Annual
source and each TR NOX Annual unit at the source shall make
all submissions required under the TR NOX Annual Trading
Program, except as provided in Sec.  97.418. This requirement does not
change, create an exemption from, or or otherwise affect the
responsible official submission requirements under a title V operating
permit program in parts 70 and 71 of this chapter.
    (f) Liability. (1) Any provision of the TR NOX Annual
Trading Program that applies to a TR NOX Annual source or
the designated representative of a TR NOX Annual source
shall also apply to the owners and operators of such source and of the
TR NOX Annual units at the source.
    (2) Any provision of the TR NOX Annual Trading Program
that applies to a TR NOX Annual unit or the designated
representative of a TR NOX Annual unit shall also apply to
the owners and operators of such unit.
    (g) Effect on other authorities. No provision of the TR
NOX Annual Trading Program or exemption under

Sec.  97.405 shall be construed as exempting or excluding the owners
and operators, and the designated representative, of a TR
NOX Annual source or TR NOX Annual unit from
compliance with any other provision of the applicable, approved State
implementation plan, a federally enforceable permit, or the Clean Air
Act.

Sec.  97.407  Computation of time.

    (a) Unless otherwise stated, any time period scheduled, under the
TR NOX Annual Trading Program, to begin on the occurrence of
an act or event shall begin on the day the act or event occurs.
    (b) Unless otherwise stated, any time period scheduled, under the
TR NOX Annual Trading Program, to begin before the
occurrence of an act or event shall be computed so that the period ends
the day before the act or event occurs.
    (c) Unless otherwise stated, if the final day of any time period,
under the TR NOX Annual Trading Program, is not a business
day, the time period shall be extended to the next business day.

Sec.  97.408  Administrative appeal procedures.

    The administrative appeal procedures for decisions of the
Administrator under the TR NOX Annual Trading Program are
set forth in part 78 of this chapter.

Sec.  97.409  [Reserved]

Sec.  97.410  State NOX Annual trading budgets, new unit
set-asides, Indian country new unit set-aside, and variability limits.

    (a) The State NOX Annual trading budgets, new unit set-
asides, and Indian country new unit set-asides for allocations of TR
NOX Annual allowances for the control periods in 2012 and
thereafter are as follows:

----------------------------------------------------------------------------------------------------------------
                                                                                Indian country
                                                                    NOX Annual     New unit set-   new unit set-
                              State                               trading budget   aside (tons)    aside (tons)
                                                                    (tons)* for    for 2012 and    for 2012 and
                                                                   2012 and 2013       2013            2013
----------------------------------------------------------------------------------------------------------------
Alabama.........................................................          72,691           1,454  ..............
Georgia.........................................................          62,010           1,240  ..............
Illinois........................................................          47,872           3,830  ..............
Indiana.........................................................         109,726           3,292  ..............
Iowa............................................................          38,335             729              38
Kansas..........................................................          30,714             583              31
Kentucky........................................................          85,086           3,403  ..............
Maryland........................................................          16,633             333  ..............
Michigan........................................................          60,193           1,144              60
Minnesota.......................................................          29,572             561              30
Missouri........................................................          52,374           1,571  ..............
Nebraska........................................................          26,440           1,825              26
New Jersey......................................................           7,266             145  ..............
New York........................................................          17,543             508              18
North Carolina..................................................          50,587           2,984              51
Ohio............................................................          92,703           1,854  ..............
Pennsylvania....................................................         119,986           2,400  ..............
South Carolina..................................................          32,498             617              33
Tennessee.......................................................          35,703             714  ..............
Texas...........................................................         133,595           3,874             134
Virginia........................................................          33,242           1,662  ..............
West Virginia...................................................          59,472           2,974  ..............
Wisconsin.......................................................          31,628           1,866              32
----------------------------------------------------------------------------------------------------------------

----------------------------------------------------------------------------------------------------------------
                                                                    NOX Annual                    Indian country
                                                                  trading budget   New unit set-   new unit set-
                              State                                 (tons)* for    aside (tons)    aside (tons)
                                                                     2014 and      for 2014 and    for 2014 and
                                                                    thereafter      thereafter      thereafter
----------------------------------------------------------------------------------------------------------------
Alabama.........................................................          71,962           1,439  ..............
Georgia.........................................................          40,540             811  ..............
Illinois........................................................          47,872           3,830  ..............
Indiana.........................................................         108,424           3,253  ..............
Iowa............................................................          37,498             712              38
Kansas..........................................................          25,560             485              26
Kentucky........................................................          77,238           3,090  ..............
Maryland........................................................          16,574             331  ..............
Michigan........................................................          57,812           1,098              58
Minnesota.......................................................          29,572             561              30
Missouri........................................................          48,717           1,462  ..............
Nebraska........................................................          26,440           1,825              26
New Jersey......................................................           7,266             145  ..............
New York........................................................          17,543             508              18
North Carolina..................................................          41,553           2,451              42
Ohio............................................................          87,493           1,750  ..............
Pennsylvania....................................................         119,194           2,384  ..............
South Carolina..................................................          32,498             617              33
Tennessee.......................................................          19,337             387  ..............

Texas...........................................................         133,595           3,874             134
Virginia........................................................          33,242           1,662  ..............
West Virginia...................................................          54,582           2,729  ..............
Wisconsin.......................................................          30,398           1,794              30
----------------------------------------------------------------------------------------------------------------
* Each trading budget includes the new unit set-aside and, where applicable, the Indian country new unit set-
  aside and does not include the variability limit.

    (b) The States' variability limits for the State NOX
Annual trading budgets for the control periods in 2012 and thereafter
are as follows:

------------------------------------------------------------------------
                                                            Variability
                                            Variability     limits for
                  State                     limits for       2014 and
                                           2012 and 2013    thereafter
------------------------------------------------------------------------
Alabama.................................          13,084          12,953
Georgia.................................          11,162           7,297
Illinois................................           8,617           8,617
Indiana.................................          19,751          19,516
Iowa....................................           6,900           6,750
Kansas..................................           5,529           4,601
Kentucky................................          15,315          13,903
Maryland................................           2,994           2,983
Michigan................................          10,835          10,406
Minnesota...............................           5,323           5,323
Missouri................................           9,427           8,769
Nebraska................................           4,759           4,759
New Jersey..............................           1,308           1,308
New York................................           3,158           3,158
North Carolina..........................           9,106           7,480
Ohio....................................          16,687          15,749
Pennsylvania............................          21,597          21,455
South Carolina..........................           5,850           5,850
Tennessee...............................           6,427           3,481
Texas...................................          24,047          24,047
Virginia................................           5,984           5,984
West Virginia...........................          10,705           9,825
Wisconsin...............................           5,693           5,472
------------------------------------------------------------------------

Sec.  97.411  Timing requirements for TR NOX Annual allowance
allocations.

    (a) Existing units. (1) TR NOX Annual allowances are
allocated, for the control periods in 2012 and each year thereafter, as
provided in a notice of data availability issued by the Administrator.
Providing an allocation to a unit in such notice does not constitute a
determination that the unit is a TR NOX Annual unit, and not
providing an allocation to a unit in such notice does not constitute a
determination that the unit is not a TR NOX Annual unit.
    (2) Notwithstanding paragraph (a)(1) of this section, if a unit
provided an allocation in the notice of data availability issued under
paragraph (a)(1) of this section does not operate, starting after 2011,
during the control period in two consecutive years, such unit will not
be allocated the TR NOX Annual allowances provided in such
notice for the unit for the control periods in the fifth year after the
first such year and in each year after that fifth year. All TR
NOX Annual allowances that would otherwise have been
allocated to such unit will be allocated to the new unit set-aside for
the State where such unit is located and for the respective years
involved. If such unit resumes operation, the Administrator will
allocate TR NOX Annual allowances to the unit in accordance
with paragraph (b) of this section.
    (b) New units. (1) New unit set-asides. (i) By June 1, 2012 and
June 1 of each year thereafter, the Administrator will calculate the TR
NOX Annual allowance allocation to each TR NOX
Annual unit in a State, in accordance with Sec.  97.412(a)(2) through
(7) and (12), for the control period in the year of the applicable
calculation deadline under this paragraph and will promulgate a notice
of data availability of the results of the calculations.
    (ii) For each notice of data availability required in paragraph
(b)(1)(i) of this section, the Administrator will provide an
opportunity for submission of objections to the calculations referenced
in such notice.
    (A) Objections shall be submitted by the deadline specified in each
notice of data availability required in paragraph (b)(1)(i) of this
section and shall be limited to addressing whether the calculations
(including the identification of the TR NOX Annual units)
are in accordance with Sec.  97.412(a)(2) through (7) and (12) and
Sec. Sec.  97.406(b)(2) and 97.430 through 97.435.
    (B) The Administrator will adjust the calculations to the extent
necessary to ensure that they are in accordance with the provisions
referenced in paragraph (b)(1)(ii)(A) of this section. By August 1
immediately after the promulgation of each notice of data availability
required in paragraph (b)(1)(i) of this section, the

Administrator will promulgate a notice of data availability of any
adjustments that the Administrator determines to be necessary with
regard to allocations under Sec.  97.412(a)(2) through (7) and (12) and
the reasons for accepting or rejecting any objections submitted in
accordance with paragraph (b)(1)(ii)(A) of this section.
    (iii) If the new unit set-aside for such control period contains
any TR NOX Annual allowances that have not been allocated in
the applicable notice of data availability required in paragraph
(b)(1)(ii) of this section, the Administrator will promulgate, by
December 15 immediately after such notice, a notice of data
availability that identifies any TR NOX Annual units that
commenced commercial operation during the period starting January 1 of
the year before the year of such control period and ending November 30
of year of such control period.
    (iv) For each notice of data availability required in paragraph
(b)(1)(iii) of this section, the Administrator will provide an
opportunity for submission of objections to the identification of TR
NOX annual units in such notice.
    (A) Objections shall be submitted by the deadline specified in each
notice of data availability required in paragraph (b)(1)(iii) of this
section and shall be limited to addressing whether the identification
of TR NOX annual units in such notice is in accordance with
paragraph (b)(1)(iii) of this section.
    (B) The Administrator will adjust the identification of TR
NOX Annual units in the each notice of data availability
required in paragraph (b)(1)(iii) of this section to the extent
necessary to ensure that it is in accordance with paragraph (b)(1)(iii)
of this section and will calculate the TR NOX Annual
allowance allocation to each TR NOX Annual unit in
accordance with Sec.  97.412(a)(9), (10), and (12) and Sec. Sec.
97.406(b)(2) and 97.430 through 97.435. By February 15 immediately
after the promulgation of each notice of data availability required in
paragraph (b)(1)(iii) of this section, the Administrator will
promulgate a notice of data availability of any adjustments of the
identification of TR NOX Annual units that the Administrator
determines to be necessary, the reasons for accepting or rejecting any
objections submitted in accordance with paragraph (b)(1)(iv)(A) of this
section, and the results of such calculations.
    (v) To the extent any TR NOX Annual allowances are added
to the new unit set-aside after promulgation of each notice of data
availability required in paragraph (b)(1)(iv) of this section, the
Administrator will promulgate additional notices of data availability,
as deemed appropriate, of the allocation of such TR NOX
Annual allowances in accordance with Sec.  97.412(a)(10).
    (2) Indian country new unit set-asides. (i) By June 1, 2012 and
June 1 of each year thereafter, the Administrator will calculate the TR
NOX Annual allowance allocation to each TR NOX
Annual unit in Indian country within the borders of a State, in
accordance with Sec.  97.412(b)(2) through (7) and (12), for the
control period in the year of the applicable calculation deadline under
this paragraph and will promulgate a notice of data availability of the
results of the calculations.
    (ii) For each notice of data availability required in paragraph
(b)(2)(i) of this section, the Administrator will provide an
opportunity for submission of objections to the calculations referenced
in such notice.
    (A) Objections shall be submitted by the deadline specified in each
notice of data availability required in paragraph (b)(2)(i) of this
section and shall be limited to addressing whether the calculations
(including the identification of the TR NOX Annual units)
are in accordance with Sec.  97.412(b)(2) through (7) and (12) and
Sec. Sec.  97.406(b)(2) and 97.430 through 97.435.
    (B) The Administrator will adjust the calculations to the extent
necessary to ensure that they are in accordance with the provisions
referenced in paragraph (b)(2)(ii)(A) of this section. By August 1
immediately after the promulgation of each notice of data availability
required in paragraph (b)(2)(i) of this section, the Administrator will
promulgate a notice of data availability of any adjustments that the
Administrator determines to be necessary with regard to allocations
under Sec.  97.412(b)(2) through (7) and (12) and the reasons for
accepting or rejecting any objections submitted in accordance with
paragraph (b)(2)(ii)(A) of this section.
    (iii) If the Indian country new unit set-aside for such control
period contains any TR NOX Annual allowances that have not
been allocated in the applicable notice of data availability required
in paragraph (b)(2)(ii) of this section, the Administrator will
promulgate, by December 15 immediately after such notice, a notice of
data availability that identifies any TR NOX Annual units
that commenced commercial operation during the period starting January
1 of the year before the year of such control period and ending
November 30 of year of such control period.
    (iv) For each notice of data availability required in paragraph
(b)(2)(iii) of this section, the Administrator will provide an
opportunity for submission of objections to the identification of TR
NOX annual units in such notice.
    (A) Objections shall be submitted by the deadline specified in each
notice of data availability required in paragraph (b)(2)(iii) of this
section and shall be limited to addressing whether the identification
of TR NOX annual units in such notice is in accordance with
paragraph (b)(2)(iii) of this section.
    (B) The Administrator will adjust the identification of TR
NOX Annual units in the each notice of data availability
required in paragraph (b)(2)(iii) of this section to the extent
necessary to ensure that it is in accordance with paragraph (b)(2)(iii)
of this section and will calculate the TR NOX Annual
allowance allocation to each TR NOX Annual unit in
accordance with Sec.  97.412(b)(9), (10), and (12) and Sec. Sec.
97.406(b)(2) and 97.430 through 97.435. By February 15 immediately
after the promulgation of each notice of data availability required in
paragraph (b)(2)(iii) of this section, the Administrator will
promulgate a notice of data availability of any adjustments of the
identification of TR NOX Annual units that the Administrator
determines to be necessary, the reasons for accepting or rejecting any
objections submitted in accordance with paragraph (b)(2)(iv)(A) of this
section, and the results of such calculations.
    (v) To the extent any TR NOX Annual allowances are added
to the Indian country new unit set-aside after promulgation of each
notice of data availability required in paragraph (b)(2)(iv) of this
section, the Administrator will promulgate additional notices of data
availability, as deemed appropriate, of the allocation of such TR
NOX Annual allowances in accordance with Sec.
97.412(b)(10).
    (c) Units incorrectly allocated TR NOX Annual
allowances. (1) For each control period in 2012 and thereafter, if the
Administrator determines that TR NOX Annual allowances were
allocated under paragraph (a) of this section, or under a provision of
a SIP revision approved under Sec.  52.38(a)(3), (4), or (5) of this
chapter, where such control period and the recipient are covered by the
provisions of paragraph (c)(1)(i) of this section or were allocated
under Sec.  97.412(a)(2) through (7), (9), and (12) and (b)(2) through
(7), (9), and (12), or under a provision of a SIP revision approved
under Sec.  52.38(a)(4) or (5) of this chapter, where such control
period and the recipient are covered by the

provisions of paragraph (c)(1)(ii) of this section, then the
Administrator will notify the designated representative of the
recipient and will act in accordance with the procedures set forth in
paragraphs (c)(2) through (5) of this section:
    (i)(A) The recipient is not actually a TR NOX Annual
unit under Sec.  97.404 as of January 1, 2012 and is allocated TR
NOX Annual allowances for such control period or, in the
case of an allocation under a provision of a SIP revision approved
under Sec.  52.38(a)(3), (4), or (5) of this chapter, the recipient is
not actually a TR NOX Annual unit as of January 1, 2012 and
is allocated TR NOX Annual allowances for such control
period that the SIP revision provides should be allocated only to
recipients that are TR NOX Annual units as of January 1,
2012; or
    (B) The recipient is not located as of January 1 of the control
period in the State from whose NOX Annual trading budget the
TR NOX Annual allowances allocated under paragraph (a) of
this section, or under a provision of a SIP revision approved under
Sec.  52.38(a)(3), (4), or (5) of this chapter, were allocated for such
control period.
    (ii) The recipient is not actually a TR NOX Annual unit
under Sec.  97.404 as of January 1 of such control period and is
allocated TR NOX Annual allowances for such control period
or, in the case of an allocation under a provision of a SIP revision
approved under Sec.  52.38(a)(3), (4), or (5) of this chapter, the
recipient is not actually a TR NOX Annual unit as of January
1 of such control period and is allocated TR NOX Annual
allowances for such control period that the SIP revision provides
should be allocated only to recipients that are TR NOX
Annual units as of January 1 of such control period.
    (2) Except as provided in paragraph (c)(3) or (4) of this section,
the Administrator will not record such TR NOX Annual
allowances under Sec.  97.421.
    (3) If the Administrator already recorded such TR NOX
Annual allowances under Sec.  97.421 and if the Administrator makes the
determination under paragraph (c)(1) of this section before making
deductions for the source that includes such recipient under Sec.
97.424(b) for such control period, then the Administrator will deduct
from the account in which such TR NOX Annual allowances were
recorded an amount of TR NOX Annual allowances allocated for
the same or a prior control period equal to the amount of such already
recorded TR NOX Annual allowances. The authorized account
representative shall ensure that there are sufficient TR NOX
Annual allowances in such account for completion of the deduction.
    (4) If the Administrator already recorded such TR NOX
Annual allowances under Sec.  97.421 and if the Administrator makes the
determination under paragraph (c)(1) of this section after making
deductions for the source that includes such recipient under Sec.
97.424(b) for such control period, then the Administrator will not make
any deduction to take account of such already recorded TR
NOX Annual allowances.
    (5)(i) With regard to the TR NOX Annual allowances that
are not recorded, or that are deducted as an incorrect allocation, in
accordance with paragraphs (c)(2) and (3) of this section for a
recipient under paragraph (c)(1)(i) of this section, the Administrator
will:
    (A) Transfer such TR NOX Annual allowances to the new
unit set-aside for such control period for the State from whose
NOX Annual trading budget the TR NOX Annual
allowances were allocated; or
    (B) If the State has a SIP revision approved under Sec.
52.38(a)(4) or (5) covering such control period, include such TR
NOX Annual allowances in the portion of the State
NOX Annual trading budget that may be allocated for such
control period in accordance with such SIP revision.
    (ii) With regard to the TR NOX Annual allowances that
were not allocated from the Indian country new unit set-aside for such
control period and that are not recorded, or that are deducted as an
incorrect allocation, in accordance with paragraphs (c)(2) and (3) of
this section for a recipient under paragraph (c)(1)(ii) of this
paragraph, the Administrator will:
    (A) Transfer such TR NOX Annual allowances to the new
unit set-aside for such control period; or
    (B) If the State has a SIP revision approved under Sec.
52.38(a)(4) or (5) covering such control period, include such TR
NOX Annual allowances in the portion of the State
NOX Annual trading budget that may be allocated for such
control period in accordance with such SIP revision.
    (iii) With regard to the TR NOX Annual allowances that
were allocated from the Indian country new unit set-aside for such
control period and that are not recorded, or that are deducted as an
incorrect allocation, in accordance with paragraphs (c)(2) and (3) of
this section for a recipient under paragraph (c)(1)(ii) of this
paragraph, the Administrator will transfer such TR NOX
Annual allowances to the Indian country new unit set-aside for such
control period.

Sec.  97.412  TR NOX Annual allowance allocations to new
units.

    (a) For each control period in 2012 and thereafter and for the TR
NOX Annual units in each State, the Administrator will
allocate TR NOX Annual allowances to the TR NOX
Annual units as follows:
    (1) The TR NOX Annual allowances will be allocated to
the following TR NOX Annual units, except as provided in
paragraph (a)(10) of this section:
    (i) TR NOX Annual units that are not allocated an amount
of TR NOX Annual allowances in the notice of data
availability issued under Sec.  97.411(a)(1);
    (ii) TR NOX Annual units whose allocation of an amount
of TR NOX Annual allowances for such control period in the
notice of data availability issued under Sec.  97.411(a)(1) is covered
by Sec.  97.411(c)(2) or (3);
    (iii) TR NOX Annual units that are allocated an amount
of TR NOX Annual allowances for such control period in the
notice of data availability issued under Sec.  97.411(a)(1), which
allocation is terminated for such control period pursuant to Sec.
97.411(a)(2), and that operate during the control period immediately
preceding such control period; or
    (iv) For purposes of paragraph (a)(9) of this section, TR
NOX Annual units under Sec.  97.411(c)(1)(ii) whose
allocation of an amount of TR NOX Annual allowances for such
control period in the notice of data availability issued under Sec.
97.411(b)(1)(ii)(B) is covered by Sec.  97.411(c)(2) or (3).
    (2) The Administrator will establish a separate new unit set-aside
for the State for each such control period. Each such new unit set-
aside will be allocated TR NOX Annual allowances in an
amount equal to the applicable amount of tons of NOX
emissions as set forth in Sec.  97.410(a) and will be allocated
additional TR NOX Annual allowances (if any) in accordance
with Sec. Sec.  97.411(a)(2) and (c)(5) and paragraph (b)(10) of this
section.
    (3) The Administrator will determine, for each TR NOX
Annual unit described in paragraph (a)(1) of this section, an
allocation of TR NOX Annual allowances for the later of the
following control periods and for each subsequent control period:
    (i) The control period in 2012;
    (ii) The first control period after the control period in which the
TR NOX Annual unit commences commercial operation;
    (iii) For a unit described in paragraph (a)(1)(ii) of this section,
the first control period in which the TR NOX Annual unit
operates in the State after operating in another jurisdiction and for
which

the unit is not already allocated one or more TR NOX Annual
allowances; and
    (iv) For a unit described in paragraph (a)(1)(iii) of this section,
the first control period after the control period in which the unit
resumes operation.
    (4)(i) The allocation to each TR NOX annual unit
described in paragraph (a)(1)(i) through (iii) of this section and for
each control period described in paragraph (a)(3) of this section will
be an amount equal to the unit's total tons of NOX emissions
during the immediately preceding control period.
    (ii) The Administrator will adjust the allocation amount in
paragraph (a)(4)(i) in accordance with paragraphs (a)(5) through (7)
and (12) of this section.
    (5) The Administrator will calculate the sum of the TR
NOX Annual allowances determined for all such TR
NOX Annual units under paragraph (a)(4)(i) of this section
in the State for such control period.
    (6) If the amount of TR NOX Annual allowances in the new
unit set-aside for the State for such control period is greater than or
equal to the sum under paragraph (a)(5) of this section, then the
Administrator will allocate the amount of TR NOX Annual
allowances determined for each such TR NOX Annual unit under
paragraph (a)(4)(i) of this section.
    (7) If the amount of TR NOX Annual allowances in the new
unit set-aside for the State for such control period is less than the
sum under paragraph (a)(5) of this section, then the Administrator will
allocate to each such TR NOX Annual unit the amount of the
TR NOX Annual allowances determined under paragraph
(a)(4)(i) of this section for the unit, multiplied by the amount of TR
NOX Annual allowances in the new unit set-aside for such
control period, divided by the sum under paragraph (a)(5) of this
section, and rounded to the nearest allowance.
    (8) The Administrator will notify the public, through the
promulgation of the notices of data availability described in Sec.
97.411(b)(1)(i) and (ii), of the amount of TR NOX Annual
allowances allocated under paragraphs (a)(2) through (7) and (12) of
this section for such control period to each TR NOX Annual
unit eligible for such allocation.
    (9) If, after completion of the procedures under paragraphs (a)(5)
through (8) of this section for such control period, any unallocated TR
NOX Annual allowances remain in the new unit set-aside for
the State for such control period, the Administrator will allocate such
TR NOX Annual allowances as follows--
    (i) The Administrator will determine, for each unit described in
paragraph (a)(1) of this section that commenced commercial operation
during the period starting January 1 of the year before the year of
such control period and ending November 30 of year of such control
period, the positive difference (if any) between the unit's emissions
during such control period and the amount of TR NOX Annual
allowances referenced in the notice of data availability required under
Sec.  97.411(b)(1)(ii) for the unit for such control period;
    (ii) The Administrator will determine the sum of the positive
differences determined under paragraph (a)(9)(i) of this section;
    (iii) If the amount of unallocated TR NOX Annual
allowances remaining in the new unit set-aside for the State for such
control period is greater than or equal to the sum determined under
paragraph (a)(9)(ii) of this section, then the Administrator will
allocate the amount of TR NOX Annual allowances determined
for each such TR NOX Annual unit under paragraph (a)(9)(i)
of this section; and
    (iv) If the amount of unallocated TR NOX Annual
allowances remaining in the new unit set-aside for the State for such
control period is less than the sum under paragraph (a)(9)(ii) of this
section, then the Administrator will allocate to each such TR
NOX Annual unit the amount of the TR NOX Annual
allowances determined under paragraph (a)(9)(i) of this section for the
unit, multiplied by the amount of unallocated TR NOX Annual
allowances remaining in the new unit set-aside for such control period,
divided by the sum under paragraph (a)(9)(ii) of this section, and
rounded to the nearest allowance.
    (10) If, after completion of the procedures under paragraphs (a)(9)
and (12) of this section for such control period, any unallocated TR
NOX Annual allowances remain in the new unit set-aside for
the State for such control period, the Administrator will allocate to
each TR NOX Annual unit that is in the State, is allocated
an amount of TR NOX Annual allowances in the notice of data
availability issued under Sec.  97.411(a)(1), and continues to be
allocated TR NOX Annual allowances for such control period
in accordance with Sec.  97.411(a)(2), an amount of TR NOX
Annual allowances equal to the following: the total amount of such
remaining unallocated TR NOX Annual allowances in such new
unit set-aside, multiplied by the unit's allocation under Sec.
97.411(a) for such control period, divided by the remainder of the
amount of tons in the applicable State NOX Annual trading
budget minus the sum of the amounts of tons in such new unit set-aside
and the Indian country new unit set-aside for the State for such
control period, and rounded to the nearest allowance.
    (11) The Administrator will notify the public, through the
promulgation of the notices of data availability described in Sec.
97.411(b)(1)(iii), (iv), and (v), of the amount of TR NOX
Annual allowances allocated under paragraphs (a)(9), (10), and (12) of
this section for such control period to each TR NOX Annual
unit eligible for such allocation.
    (12)(i) Notwithstanding the requirements of paragraphs (a)(2)
through (11) of this section, if the calculations of allocations of a
new unit set-aside for a control period in a given year under paragraph
(a)(7) of this section, paragraphs (a)(6) and (9)(iv) of this section,
or paragraphs (a)(6), (9)(iii), and (10) of this section would
otherwise result in total allocations of such new unit set-aside
exceeding the total amount of such new unit set-aside, then the
Administrator will adjust the results of the calculations under
paragraph (a)(7), (9)(iv), or (10) of this section, as applicable, as
follows. The Administrator will list the TR NOX Annual units
in descending order based on the amount of such units' allocations
under paragraph (a)(7), (9)(iv), or (10) of this section, as
applicable, and, in cases of equal allocation amounts, in alphabetical
order of the relevant source's name and numerical order of the relevant
unit's identification number, and will reduce each unit's allocation
under paragraph (a)(7), (9)(iv), or (10) of this section, as
applicable, by one TR NOX Annual allowance (but not below
zero) in the order in which the units are listed and will repeat this
reduction process as necessary, until the total allocations of such new
unit set-aside equal the total amount of such new unit set-aside.
    (ii) Notwithstanding the requirements of paragraphs (a)(10) and
(11) of this section, if the calculations of allocations of a new unit
set-aside for a control period in a given year under paragraphs (a)(6),
(9)(iii), and (10) of this section would otherwise result in a total
allocations of such new unit set-aside less than the total amount of
such new unit set-aside, then the Administrator will adjust the results
of the calculations under paragraph (a)(10) of this section, as
follows. The Administrator will list the TR NOX Annual units
in descending order based on the amount of such units' allocations
under paragraph (a)(10) of this section and, in cases of equal
allocation amounts, in alphabetical order of the relevant source's name
and numerical order of the relevant unit's identification number, and
will increase each unit's

allocation under paragraph (a)(10) of this section by one TR
NOX Annual allowance in the order in which the units are
listed and will repeat this increase process as necessary, until the
total allocations of such new unit set-aside equal the total amount of
such new unit set-aside.
    (b) For each control period in 2012 and thereafter and for the TR
NOX Annual units located in Indian country within the
borders of each State, the Administrator will allocate TR
NOX Annual allowances to the TR NOX Annual units
as follows:
    (1) The TR NOX Annual allowances will be allocated to
the following TR NOX Annual units, except as provided in
paragraph (b)(10) of this section:
    (i) TR NOX Annual units that are not allocated an amount
of TR NOX Annual allowances in the notice of data
availability issued under Sec.  97.411(a)(1); or
    (ii) For purposes of paragraph (b)(9) of this section, TR
NOX Annual units under Sec.  97.411(c)(1)(ii) whose
allocation of an amount of TR NOX Annual allowances for such
control period in the notice of data availability issued under Sec.
97.411(b)(2)(ii)(B) is covered by Sec.  97.411(c)(2) or (3).
    (2) The Administrator will establish a separate Indian country new
unit set-aside for the State for each such control period. Each such
Indian country new unit set-aside will be allocated TR NOX
Annual allowances in an amount equal to the applicable amount of tons
of NOX emissions as set forth in Sec.  97.410(a) and will be
allocated additional TR NOX Annual allowances (if any) in
accordance with Sec.  97.411(c)(5).
    (3) The Administrator will determine, for each TR NOX
Annual unit described in paragraph (b)(1) of this section, an
allocation of TR NOX Annual allowances for the later of the
following control periods and for each subsequent control period:
    (i) The control period in 2012; and
    (ii) The first control period after the control period in which the
TR NOX Annual unit commences commercial operation.
    (4)(i) The allocation to each TR NOX annual unit
described in paragraph (b)(1)(i) of this section and for each control
period described in paragraph (b)(3) of this section will be an amount
equal to the unit's total tons of NOX emissions during the
immediately preceding control period.
    (ii) The Administrator will adjust the allocation amount in
paragraph (b)(4)(i) in accordance with paragraphs (b)(5) through (7)
and (12) of this section.
    (5) The Administrator will calculate the sum of the TR
NOX Annual allowances determined for all such TR
NOX Annual units under paragraph (b)(4)(i) of this section
in Indian country within the borders of the State for such control
period.
    (6) If the amount of TR NOX Annual allowances in the
Indian country new unit set-aside for the State for such control period
is greater than or equal to the sum under paragraph (b)(5) of this
section, then the Administrator will allocate the amount of TR
NOX Annual allowances determined for each such TR
NOX Annual unit under paragraph (b)(4)(i) of this section.
    (7) If the amount of TR NOX Annual allowances in the
Indian country new unit set-aside for the State for such control period
is less than the sum under paragraph (b)(5) of this section, then the
Administrator will allocate to each such TR NOX Annual unit
the amount of the TR NOX Annual allowances determined under
paragraph (b)(4)(i) of this section for the unit, multiplied by the
amount of TR NOX Annual allowances in the Indian country new
unit set-aside for such control period, divided by the sum under
paragraph (b)(5) of this section, and rounded to the nearest allowance.
    (8) The Administrator will notify the public, through the
promulgation of the notices of data availability described in Sec.
97.411(b)(2)(i) and (ii), of the amount of TR NOX Annual
allowances allocated under paragraphs (b)(2) through (7) and (12) of
this section for such control period to each TR NOX Annual
unit eligible for such allocation.
    (9) If, after completion of the procedures under paragraphs (b)(5)
through (8) of this section for such control period, any unallocated TR
NOX Annual allowances remain in the Indian country new unit
set-aside for the State for such control period, the Administrator will
allocate such TR NOX Annual allowances as follows--
    (i) The Administrator will determine, for each unit described in
paragraph (b)(1) of this section that commenced commercial operation
during the period starting January 1 of the year before the year of
such control period and ending November 30 of year of such control
period, the positive difference (if any) between the unit's emissions
during such control period and the amount of TR NOX Annual
allowances referenced in the notice of data availability required under
Sec.  97.411(b)(2)(ii) for the unit for such control period;
    (ii) The Administrator will determine the sum of the positive
differences determined under paragraph (b)(9)(i) of this section;
    (iii) If the amount of unallocated TR NOX Annual
allowances remaining in the Indian country new unit set-aside for the
State for such control period is greater than or equal to the sum
determined under paragraph (b)(9)(ii) of this section, then the
Administrator will allocate the amount of TR NOX Annual
allowances determined for each such TR NOX Annual unit under
paragraph (b)(9)(i) of this section; and
    (iv) If the amount of unallocated TR NOX Annual
allowances remaining in the Indian country new unit set-aside for the
State for such control period is less than the sum under paragraph
(b)(9)(ii) of this section, then the Administrator will allocate to
each such TR NOX Annual unit the amount of the TR
NOX Annual allowances determined under paragraph (b)(9)(i)
of this section for the unit, multiplied by the amount of unallocated
TR NOX Annual allowances remaining in the Indian country new
unit set-aside for such control period, divided by the sum under
paragraph (b)(9)(ii) of this section, and rounded to the nearest
allowance.
    (10) If, after completion of the procedures under paragraphs (b)(9)
and (12) of this section for such control period, any unallocated TR
NOX Annual allowances remain in the Indian country new unit
set-aside for the State for such control period, the Administrator
will:
    (i) Transfer such unallocated TR NOX Annual allowances
to the new unit set-aside for the State for such control period; or
    (ii) If the State has a SIP revision approved under Sec.
52.38(a)(4) or (5) covering such control period, include such
unallocated TR NOX Annual allowances in the portion of the
State NOX Annual trading budget that may be allocated for
such control period in accordance with such SIP revision.
    (11) The Administrator will notify the public, through the
promulgation of the notices of data availability described in Sec.
97.411(b)(2)(iii), (iv), and (v), of the amount of TR NOX
Annual allowances allocated under paragraphs (b)(9), (10), and (12) of
this section for such control period to each TR NOX Annual
unit eligible for such allocation.
    (12)(i) Notwithstanding the requirements of paragraphs (b)(2)
through (11) of this section, if the calculations of allocations of an
Indian country new unit set-aside for a control period in a given year
under paragraph (b)(7) of this section, paragraphs (b)(6) and (9)(iv)
of this section, or paragraphs (b)(6), (9)(iii), and (10) of this
section would otherwise result in total allocations of such Indian
country new unit set-aside exceeding the total amount of such Indian
country new unit set-aside, then the Administrator will adjust the
results of the calculations

under paragraph (b)(7), (9)(iv), or (10) of this section, as
applicable, as follows. The Administrator will list the TR
NOX Annual units in descending order based on the amount of
such units' allocations under paragraph (b)(7), (9)(iv), or (10) of
this section, as applicable, and, in cases of equal allocation amounts,
in alphabetical order of the relevant source's name and numerical order
of the relevant unit's identification number, and will reduce each
unit's allocation under paragraph (b)(7), (9)(iv), or (10) of this
section, as applicable, by one TR NOX Annual allowance (but
not below zero) in the order in which the units are listed and will
repeat this reduction process as necessary, until the total allocations
of such Indian country new unit set-aside equal the total amount of
such Indian country new unit set-aside.
    (ii) Notwithstanding the requirements of paragraphs (b)(10) and
(11) of this section, if the calculations of allocations of an Indian
country new unit set-aside for a control period in a given year under
paragraphs (b)(6), (9)(iii), and (10) of this section would otherwise
result in a total allocations of such Indian country new unit set-aside
less than the total amount of such Indian country new unit set-aside,
then the Administrator will adjust the results of the calculations
under paragraph (b)(10) of this section, as follows. The Administrator
will list the TR NOX Annual units in descending order based
on the amount of such units' allocations under paragraph (b)(10) of
this section and, in cases of equal allocation amounts, in alphabetical
order of the relevant source's name and numerical order of the relevant
unit's identification number, and will increase each unit's allocation
under paragraph (b)(10) of this section by one TR NOX Annual
allowance in the order in which the units are listed and will repeat
this increase process as necessary, until the total allocations of such
Indian country new unit set-aside equal the total amount of such Indian
country new unit set-aside.

Sec.  97.413  Authorization of designated representative and alternate
designated representative.

    (a) Except as provided under Sec.  97.415, each TR NOX
Annual source, including all TR NOX Annual units at the
source, shall have one and only one designated representative, with
regard to all matters under the TR NOX Annual Trading
Program.
    (1) The designated representative shall be selected by an agreement
binding on the owners and operators of the source and all TR
NOX Annual units at the source and shall act in accordance
with the certification statement in Sec.  97.416(a)(4)(iii).
    (2) Upon and after receipt by the Administrator of a complete
certificate of representation under Sec.  97.416:
    (i) The designated representative shall be authorized and shall
represent and, by his or her representations, actions, inactions, or
submissions, legally bind each owner and operator of the source and
each TR NOX Annual unit at the source in all matters
pertaining to the TR NOX Annual Trading Program,
notwithstanding any agreement between the designated representative and
such owners and operators; and
    (ii) The owners and operators of the source and each TR
NOX Annual unit at the source shall be bound by any decision
or order issued to the designated representative by the Administrator
regarding the source or any such unit.
    (b) Except as provided under Sec.  97.415, each TR NOX
Annual source may have one and only one alternate designated
representative, who may act on behalf of the designated representative.
The agreement by which the alternate designated representative is
selected shall include a procedure for authorizing the alternate
designated representative to act in lieu of the designated
representative.
    (1) The alternate designated representative shall be selected by an
agreement binding on the owners and operators of the source and all TR
NOX Annual units at the source and shall act in accordance
with the certification statement in Sec.  97.416(a)(4)(iii).
    (2) Upon and after receipt by the Administrator of a complete
certificate of representation under Sec.  97.416,
    (i) The alternate designated representative shall be authorized;
    (ii) Any representation, action, inaction, or submission by the
alternate designated representative shall be deemed to be a
representation, action, inaction, or submission by the designated
representative; and
    (iii) The owners and operators of the source and each TR
NOX Annual unit at the source shall be bound by any decision
or order issued to the alternate designated representative by the
Administrator regarding the source or any such unit.
    (c) Except in this section, Sec.  97.402, and Sec. Sec.  97.414
through 97.418, whenever the term ``designated representative'' (as
distinguished from the term ``common designated representative'') is
used in this subpart, the term shall be construed to include the
designated representative or any alternate designated representative.

Sec.  97.414  Responsibilities of designated representative and
alternate designated representative.

    (a) Except as provided under Sec.  97.418 concerning delegation of
authority to make submissions, each submission under the TR
NOX Annual Trading Program shall be made, signed, and
certified by the designated representative or alternate designated
representative for each TR NOX Annual source and TR
NOX Annual unit for which the submission is made. Each such
submission shall include the following certification statement by the
designated representative or alternate designated representative: ``I
am authorized to make this submission on behalf of the owners and
operators of the source or units for which the submission is made. I
certify under penalty of law that I have personally examined, and am
familiar with, the statements and information submitted in this
document and all its attachments. Based on my inquiry of those
individuals with primary responsibility for obtaining the information,
I certify that the statements and information are to the best of my
knowledge and belief true, accurate, and complete. I am aware that
there are significant penalties for submitting false statements and
information or omitting required statements and information, including
the possibility of fine or imprisonment.''
    (b) The Administrator will accept or act on a submission made for a
TR NOX Annual source or a TR NOX Annual unit only
if the submission has been made, signed, and certified in accordance
with paragraph (a) of this section and Sec.  97.418.

Sec.  97.415  Changing designated representative and alternate
designated representative; changes in owners and operators; changes in
units at the source.

    (a) Changing designated representative. The designated
representative may be changed at any time upon receipt by the
Administrator of a superseding complete certificate of representation
under Sec.  97.416. Notwithstanding any such change, all
representations, actions, inactions, and submissions by the previous
designated representative before the time and date when the
Administrator receives the superseding certificate of representation
shall be binding on the new designated representative and the owners
and operators of the TR NOX Annual source and the TR
NOX Annual units at the source.
    (b) Changing alternate designated representative. The alternate
designated representative may be changed at any

time upon receipt by the Administrator of a superseding complete
certificate of representation under Sec.  97.416. Notwithstanding any
such change, all representations, actions, inactions, and submissions
by the previous alternate designated representative before the time and
date when the Administrator receives the superseding certificate of
representation shall be binding on the new alternate designated
representative, the designated representative, and the owners and
operators of the TR NOX Annual source and the TR
NOX Annual units at the source.
    (c) Changes in owners and operators. (1) In the event an owner or
operator of a TR NOX Annual source or a TR NOX
Annual unit at the source is not included in the list of owners and
operators in the certificate of representation under Sec.  97.416, such
owner or operator shall be deemed to be subject to and bound by the
certificate of representation, the representations, actions, inactions,
and submissions of the designated representative and any alternate
designated representative of the source or unit, and the decisions and
orders of the Administrator, as if the owner or operator were included
in such list.
    (2) Within 30 days after any change in the owners and operators of
a TR NOX Annual source or a TR NOX Annual unit at
the source, including the addition or removal of an owner or operator,
the designated representative or any alternate designated
representative shall submit a revision to the certificate of
representation under Sec.  97.416 amending the list of owners and
operators to reflect the change.
    (d) Changes in units at the source. Within 30 days of any change in
which units are located at a TR NOX Annual source (including
the addition or removal of a unit), the designated representative or
any alternate designated representative shall submit a certificate of
representation under Sec.  97.416 amending the list of units to reflect
the change.
    (1) If the change is the addition of a unit that operated (other
than for purposes of testing by the manufacturer before initial
installation) before being located at the source, then the certificate
of representation shall identify, in a format prescribed by the
Administrator, the entity from whom the unit was purchased or otherwise
obtained (including name, address, telephone number, and facsimile
number (if any)), the date on which the unit was purchased or otherwise
obtained, and the date on which the unit became located at the source.
    (2) If the change is the removal of a unit, then the certificate of
representation shall identify, in a format prescribed by the
Administrator, the entity to which the unit was sold or that otherwise
obtained the unit (including name, address, telephone number, and
facsimile number (if any)), the date on which the unit was sold or
otherwise obtained, and the date on which the unit became no longer
located at the source.

Sec.  97.416  Certificate of representation.

    (a) A complete certificate of representation for a designated
representative or an alternate designated representative shall include
the following elements in a format prescribed by the Administrator:
    (1) Identification of the TR NOX Annual source, and each
TR NOX Annual unit at the source, for which the certificate
of representation is submitted, including source name, source category
and NAICS code (or, in the absence of a NAICS code, an equivalent
code), State, plant code, county, latitude and longitude, unit
identification number and type, identification number and nameplate
capacity (in MWe, rounded to the nearest tenth) of each generator
served by each such unit, actual or projected date of commencement of
commercial operation, and a statement of whether such source is located
in Indian Country. If a projected date of commencement of commercial
operation is provided, the actual date of commencement of commercial
operation shall be provided when such information becomes available.
    (2) The name, address, e-mail address (if any), telephone number,
and facsimile transmission number (if any) of the designated
representative and any alternate designated representative.
    (3) A list of the owners and operators of the TR NOX
Annual source and of each TR NOX Annual unit at the source.
    (4) The following certification statements by the designated
representative and any alternate designated representative--
    (i) ``I certify that I was selected as the designated
representative or alternate designated representative, as applicable,
by an agreement binding on the owners and operators of the source and
each TR NOX Annual unit at the source.''
    (ii) ``I certify that I have all the necessary authority to carry
out my duties and responsibilities under the TR NOX Annual
Trading Program on behalf of the owners and operators of the source and
of each TR NOX Annual unit at the source and that each such
owner and operator shall be fully bound by my representations, actions,
inactions, or submissions and by any decision or order issued to me by
the Administrator regarding the source or unit.''
    (iii) ``Where there are multiple holders of a legal or equitable
title to, or a leasehold interest in, a TR NOX Annual unit,
or where a utility or industrial customer purchases power from a TR
NOX Annual unit under a life-of-the-unit, firm power
contractual arrangement, I certify that: I have given a written notice
of my selection as the `designated representative' or `alternate
designated representative', as applicable, and of the agreement by
which I was selected to each owner and operator of the source and of
each TR NOX Annual unit at the source; and TR NOX
Annual allowances and proceeds of transactions involving TR
NOX Annual allowances will be deemed to be held or
distributed in proportion to each holder's legal, equitable, leasehold,
or contractual reservation or entitlement, except that, if such
multiple holders have expressly provided for a different distribution
of TR NOX Annual allowances by contract, TR NOX
Annual allowances and proceeds of transactions involving TR
NOX Annual allowances will be deemed to be held or
distributed in accordance with the contract.''
    (5) The signature of the designated representative and any
alternate designated representative and the dates signed.
    (b) Unless otherwise required by the Administrator, documents of
agreement referred to in the certificate of representation shall not be
submitted to the Administrator. The Administrator shall not be under
any obligation to review or evaluate the sufficiency of such documents,
if submitted.

Sec.  97.417  Objections concerning designated representative and
alternate designated representative.

    (a) Once a complete certificate of representation under Sec.
97.416 has been submitted and received, the Administrator will rely on
the certificate of representation unless and until a superseding
complete certificate of representation under Sec.  97.416 is received
by the Administrator.
    (b) Except as provided in paragraph (a) of this section, no
objection or other communication submitted to the Administrator
concerning the authorization, or any representation, action, inaction,
or submission, of a designated representative or alternate designated
representative shall affect any representation, action, inaction, or
submission of the designated representative or alternate designated
representative or the finality of any

decision or order by the Administrator under the TR NOX
Annual Trading Program.
    (c) The Administrator will not adjudicate any private legal dispute
concerning the authorization or any representation, action, inaction,
or submission of any designated representative or alternate designated
representative, including private legal disputes concerning the
proceeds of TR NOX Annual allowance transfers.

Sec.  97.418  Delegation by designated representative and alternate
designated representative.

    (a) A designated representative may delegate, to one or more
natural persons, his or her authority to make an electronic submission
to the Administrator provided for or required under this subpart.
    (b) An alternate designated representative may delegate, to one or
more natural persons, his or her authority to make an electronic
submission to the Administrator provided for or required under this
subpart.
    (c) In order to delegate authority to a natural person to make an
electronic submission to the Administrator in accordance with paragraph
(a) or (b) of this section, the designated representative or alternate
designated representative, as appropriate, must submit to the
Administrator a notice of delegation, in a format prescribed by the
Administrator, that includes the following elements:
    (1) The name, address, e-mail address, telephone number, and
facsimile transmission number (if any) of such designated
representative or alternate designated representative;
    (2) The name, address, e-mail address, telephone number, and
facsimile transmission number (if any) of each such natural person
(referred to in this section as an ``agent'');
    (3) For each such natural person, a list of the type or types of
electronic submissions under paragraph (a) or (b) of this section for
which authority is delegated to him or her; and
    (4) The following certification statements by such designated
representative or alternate designated representative:
    (i) ``I agree that any electronic submission to the Administrator
that is made by an agent identified in this notice of delegation and of
a type listed for such agent in this notice of delegation and that is
made when I am a designated representative or alternate designated
representative, as appropriate, and before this notice of delegation is
superseded by another notice of delegation under 40 CFR 97.418(d) shall
be deemed to be an electronic submission by me.''
    (ii) ``Until this notice of delegation is superseded by another
notice of delegation under 40 CFR 97.418(d), I agree to maintain an e-
mail account and to notify the Administrator immediately of any change
in my e-mail address unless all delegation of authority by me under 40
CFR 97.418 is terminated.''.
    (d) A notice of delegation submitted under paragraph (c) of this
section shall be effective, with regard to the designated
representative or alternate designated representative identified in
such notice, upon receipt of such notice by the Administrator and until
receipt by the Administrator of a superseding notice of delegation
submitted by such designated representative or alternate designated
representative, as appropriate. The superseding notice of delegation
may replace any previously identified agent, add a new agent, or
eliminate entirely any delegation of authority.
    (e) Any electronic submission covered by the certification in
paragraph (c)(4)(i) of this section and made in accordance with a
notice of delegation effective under paragraph (d) of this section
shall be deemed to be an electronic submission by the designated
representative or alternate designated representative submitting such
notice of delegation.

Sec.  97.419  [Reserved]

Sec.  97.420  Establishment of compliance accounts, assurance accounts,
and general accounts.

    (a) Compliance accounts. Upon receipt of a complete certificate of
representation under Sec.  97.416, the Administrator will establish a
compliance account for the TR NOX Annual source for which
the certificate of representation was submitted, unless the source
already has a compliance account. The designated representative and any
alternate designated representative of the source shall be the
authorized account representative and the alternate authorized account
representative respectively of the compliance account.
    (b) Assurance accounts. The Administrator will establish assurance
accounts for certain owners and operators and States in accordance with
Sec.  97.425(b)(3).
    (c) General accounts. (1) Application for general account. (i) Any
person may apply to open a general account, for the purpose of holding
and transferring TR NOX Annual allowances, by submitting to
the Administrator a complete application for a general account. Such
application shall designate one and only one authorized account
representative and may designate one and only one alternate authorized
account representative who may act on behalf of the authorized account
representative.
    (A) The authorized account representative and alternate authorized
account representative shall be selected by an agreement binding on the
persons who have an ownership interest with respect to TR
NOX Annual allowances held in the general account.
    (B) The agreement by which the alternate authorized account
representative is selected shall include a procedure for authorizing
the alternate authorized account representative to act in lieu of the
authorized account representative.
    (ii) A complete application for a general account shall include the
following elements in a format prescribed by the Administrator:
    (A) Name, mailing address, e-mail address (if any), telephone
number, and facsimile transmission number (if any) of the authorized
account representative and any alternate authorized account
representative;
    (B) An identifying name for the general account;
    (C) A list of all persons subject to a binding agreement for the
authorized account representative and any alternate authorized account
representative to represent their ownership interest with respect to
the TR NOX Annual allowances held in the general account;
    (D) The following certification statement by the authorized account
representative and any alternate authorized account representative: ``I
certify that I was selected as the authorized account representative or
the alternate authorized account representative, as applicable, by an
agreement that is binding on all persons who have an ownership interest
with respect to TR NOX Annual allowances held in the general
account. I certify that I have all the necessary authority to carry out
my duties and responsibilities under the TR NOX Annual
Trading Program on behalf of such persons and that each such person
shall be fully bound by my representations, actions, inactions, or
submissions and by any decision or order issued to me by the
Administrator regarding the general account.''
    (E) The signature of the authorized account representative and any
alternate authorized account representative and the dates signed.
    (iii) Unless otherwise required by the Administrator, documents of
agreement referred to in the application for a

general account shall not be submitted to the Administrator. The
Administrator shall not be under any obligation to review or evaluate
the sufficiency of such documents, if submitted.
    (2) Authorization of authorized account representative and
alternate authorized account representative. (i) Upon receipt by the
Administrator of a complete application for a general account under
paragraph (b)(1) of this section, the Administrator will establish a
general account for the person or persons for whom the application is
submitted, and upon and after such receipt by the Administrator:
    (A) The authorized account representative of the general account
shall be authorized and shall represent and, by his or her
representations, actions, inactions, or submissions, legally bind each
person who has an ownership interest with respect to TR NOX
Annual allowances held in the general account in all matters pertaining
to the TR NOX Annual Trading Program, notwithstanding any
agreement between the authorized account representative and such
person.
    (B) Any alternate authorized account representative shall be
authorized, and any representation, action, inaction, or submission by
any alternate authorized account representative shall be deemed to be a
representation, action, inaction, or submission by the authorized
account representative.
    (C) Each person who has an ownership interest with respect to TR
NOX Annual allowances held in the general account shall be
bound by any decision or order issued to the authorized account
representative or alternate authorized account representative by the
Administrator regarding the general account.
    (ii) Except as provided in paragraph (c)(5) of this section
concerning delegation of authority to make submissions, each submission
concerning the general account shall be made, signed, and certified by
the authorized account representative or any alternate authorized
account representative for the persons having an ownership interest
with respect to TR NOX Annual allowances held in the general
account. Each such submission shall include the following certification
statement by the authorized account representative or any alternate
authorized account representative: ``I am authorized to make this
submission on behalf of the persons having an ownership interest with
respect to the TR NOX Annual allowances held in the general
account. I certify under penalty of law that I have personally
examined, and am familiar with, the statements and information
submitted in this document and all its attachments. Based on my inquiry
of those individuals with primary responsibility for obtaining the
information, I certify that the statements and information are to the
best of my knowledge and belief true, accurate, and complete. I am
aware that there are significant penalties for submitting false
statements and information or omitting required statements and
information, including the possibility of fine or imprisonment.''
    (iii) Except in this section, whenever the term ``authorized
account representative'' is used in this subpart, the term shall be
construed to include the authorized account representative or any
alternate authorized account representative.
    (3) Changing authorized account representative and alternate
authorized account representative; changes in persons with ownership
interest. (i) The authorized account representative of a general
account may be changed at any time upon receipt by the Administrator of
a superseding complete application for a general account under
paragraph (c)(1) of this section. Notwithstanding any such change, all
representations, actions, inactions, and submissions by the previous
authorized account representative before the time and date when the
Administrator receives the superseding application for a general
account shall be binding on the new authorized account representative
and the persons with an ownership interest with respect to the TR
NOX Annual allowances in the general account.
    (ii) The alternate authorized account representative of a general
account may be changed at any time upon receipt by the Administrator of
a superseding complete application for a general account under
paragraph (c)(1) of this section. Notwithstanding any such change, all
representations, actions, inactions, and submissions by the previous
alternate authorized account representative before the time and date
when the Administrator receives the superseding application for a
general account shall be binding on the new alternate authorized
account representative, the authorized account representative, and the
persons with an ownership interest with respect to the TR
NOX Annual allowances in the general account.
    (iii)(A) In the event a person having an ownership interest with
respect to TR NOX Annual allowances in the general account
is not included in the list of such persons in the application for a
general account, such person shall be deemed to be subject to and bound
by the application for a general account, the representation, actions,
inactions, and submissions of the authorized account representative and
any alternate authorized account representative of the account, and the
decisions and orders of the Administrator, as if the person were
included in such list.
    (B) Within 30 days after any change in the persons having an
ownership interest with respect to NOX Annual allowances in
the general account, including the addition or removal of a person, the
authorized account representative or any alternate authorized account
representative shall submit a revision to the application for a general
account amending the list of persons having an ownership interest with
respect to the TR NOX Annual allowances in the general
account to include the change.
    (4) Objections concerning authorized account representative and
alternate authorized account representative. (i) Once a complete
application for a general account under paragraph (c)(1) of this
section has been submitted and received, the Administrator will rely on
the application unless and until a superseding complete application for
a general account under paragraph (b)(1) of this section is received by
the Administrator.
    (ii) Except as provided in paragraph (c)(4)(i) of this section, no
objection or other communication submitted to the Administrator
concerning the authorization, or any representation, action, inaction,
or submission of the authorized account representative or any alternate
authorized account representative of a general account shall affect any
representation, action, inaction, or submission of the authorized
account representative or any alternate authorized account
representative or the finality of any decision or order by the
Administrator under the TR NOX Annual Trading Program.
    (iii) The Administrator will not adjudicate any private legal
dispute concerning the authorization or any representation, action,
inaction, or submission of the authorized account representative or any
alternate authorized account representative of a general account,
including private legal disputes concerning the proceeds of TR
NOX Annual allowance transfers.
    (5) Delegation by authorized account representative and alternate
authorized account representative. (i) An authorized account
representative of a general account may delegate, to one or more
natural persons, his or her authority to make an electronic submission
to the Administrator

provided for or required under this subpart.
    (ii) An alternate authorized account representative of a general
account may delegate, to one or more natural persons, his or her
authority to make an electronic submission to the Administrator
provided for or required under this subpart.
    (iii) In order to delegate authority to a natural person to make an
electronic submission to the Administrator in accordance with paragraph
(c)(5)(i) or (ii) of this section, the authorized account
representative or alternate authorized account representative, as
appropriate, must submit to the Administrator a notice of delegation,
in a format prescribed by the Administrator, that includes the
following elements:
    (A) The name, address, e-mail address, telephone number, and
facsimile transmission number (if any) of such authorized account
representative or alternate authorized account representative;
    (B) The name, address, e-mail address, telephone number, and
facsimile transmission number (if any) of each such natural person
(referred to in this section as an ``agent'');
    (C) For each such natural person, a list of the type or types of
electronic submissions under paragraph (c)(5)(i) or (ii) of this
section for which authority is delegated to him or her;
    (D) The following certification statement by such authorized
account representative or alternate authorized account representative:
``I agree that any electronic submission to the Administrator that is
made by an agent identified in this notice of delegation and of a type
listed for such agent in this notice of delegation and that is made
when I am an authorized account representative or alternate authorized
representative, as appropriate, and before this notice of delegation is
superseded by another notice of delegation under 40 CFR
97.420(c)(5)(iv) shall be deemed to be an electronic submission by
me.''; and
    (E) The following certification statement by such authorized
account representative or alternate authorized account representative:
``Until this notice of delegation is superseded by another notice of
delegation under 40 CFR 97.420(c)(5)(iv), I agree to maintain an e-mail
account and to notify the Administrator immediately of any change in my
e-mail address unless all delegation of authority by me under 40 CFR
97.420(c)(5) is terminated.''.
    (iv) A notice of delegation submitted under paragraph (c)(5)(iii)
of this section shall be effective, with regard to the authorized
account representative or alternate authorized account representative
identified in such notice, upon receipt of such notice by the
Administrator and until receipt by the Administrator of a superseding
notice of delegation submitted by such authorized account
representative or alternate authorized account representative, as
appropriate. The superseding notice of delegation may replace any
previously identified agent, add a new agent, or eliminate entirely any
delegation of authority.
    (v) Any electronic submission covered by the certification in
paragraph (c)(5)(iii)(D) of this section and made in accordance with a
notice of delegation effective under paragraph (c)(5)(iv) of this
section shall be deemed to be an electronic submission by the
designated representative or alternate designated representative
submitting such notice of delegation.
    (6) Closing a general account. (i) The authorized account
representative or alternate authorized account representative of a
general account may submit to the Administrator a request to close the
account. Such request shall include a correctly submitted TR
NOX Annual allowance transfer under Sec.  97.422 for any TR
NOX Annual allowances in the account to one or more other
Allowance Management System accounts.
    (ii) If a general account has no TR NOX Annual allowance
transfers to or from the account for a 12-month period or longer and
does not contain any TR NOX Annual allowances, the
Administrator may notify the authorized account representative for the
account that the account will be closed after 30 days after the notice
is sent. The account will be closed after the 30-day period unless,
before the end of the 30-day period, the Administrator receives a
correctly submitted TR NOX Annual allowance transfer under
Sec.  97.422 to the account or a statement submitted by the authorized
account representative or alternate authorized account representative
demonstrating to the satisfaction of the Administrator good cause as to
why the account should not be closed.
    (d) Account identification. The Administrator will assign a unique
identifying number to each account established under paragraph (a),
(b), or (c) of this section.
    (e) Responsibilities of authorized account representative and
alternate authorized account representative. After the establishment of
a compliance account or general account, the Administrator will accept
or act on a submission pertaining to the account, including, but not
limited to, submissions concerning the deduction or transfer of TR
NOX Annual allowances in the account, only if the submission
has been made, signed, and certified in accordance with Sec. Sec.
97.414(a) and 97.418 or paragraphs (c)(2)(ii) and (c)(5) of this
section.

Sec.  97.421  Recordation of TR NOX Annual allowance allocations and
auction results.

    (a) By November 7, 2011, the Administrator will record in each TR
NOX Annual source's compliance account the TR NOX
Annual allowances allocated to the TR NOX Annual units at
the source in accordance with Sec.  97.411(a) for the control period in
2012.
    (b) By November 7, 2011, the Administrator will record in each TR
NOX Annual source's compliance account the TR NOX
Annual allowances allocated to the TR NOX Annual units at
the source in accordance with Sec.  97.411(a) for the control period in
2013, unless the State in which the source is located notifies the
Administrator in writing by October 17, 2011 of the State's intent to
submit to the Administrator a complete SIP revision by April 1, 2012
meeting the requirements of Sec.  52.38(a)(3)(i) through (iv) of this
chapter.
    (1) If, by April 1, 2012, the State does not submit to the
Administrator such complete SIP revision, the Administrator will record
by April 15, 2012 in each TR NOX Annual source's compliance
account the TR NOX Annual allowances allocated to the TR
NOX Annual units at the source in accordance with Sec.
97.411(a) for the control period in 2013.
    (2) If the State submits to the Administrator by April 1, 2012, and
the Administrator approves by October 1, 2012, such complete SIP
revision, the Administrator will record by October 1, 2012 in each TR
NOX Annual source's compliance account the TR NOX
Annual allowances allocated to the TR NOX Annual units at
the source as provided in such approved, complete SIP revision for the
control period in 2013.
    (3) If the State submits to the Administrator by April 1, 2012, and
the Administrator does not approve by October 1, 2012, such complete
SIP revision, the Administrator will record by October 1, 2012 in each
TR NOX Annual source's compliance account the TR
NOX Annual allowances allocated to the TR NOX
Annual units at the source in accordance with Sec.  97.411(a) for the
control period in 2013.
    (c) By July 1, 2013, the Administrator will record in each TR
NOX Annual source's compliance account the TR

NOX Annual allowances allocated to the TR NOX
Annual units at the source, or in each appropriate Allowance Management
System account the TR NOX Annual allowances auctioned to TR
NOX Annual units, in accordance with Sec.  97.411(a), or
with a SIP revision approved under Sec.  52.38(a)(4) or (5) of this
chapter, for the control period in 2014 and 2015.
    (d) By July 1, 2014, the Administrator will record in each TR
NOX Annual source's compliance account the TR NOX
Annual allowances allocated to the TR NOX Annual units at
the source, or in each appropriate Allowance Management System account
the TR NOX Annual allowances auctioned to TR NOX
Annual units, in accordance with Sec.  97.411(a), or with a SIP
revision approved under Sec.  52.38(a)(4) or (5) of this chapter, for
the control period in 2016 and 2017.
    (e) By July 1, 2015, the Administrator will record in each TR
NOX Annual source's compliance account the TR NOX
Annual allowances allocated to the TR NOX Annual units at
the source, or in each appropriate Allowance Management System account
the TR NOX Annual allowances auctioned to TR NOX
Annual units, in accordance with Sec.  97.411(a), or with a SIP
revision approved under Sec.  52.38(a)(4) or (5) of this chapter, for
the control period in 2018 and 2019.
    (f) By July 1, 2016 and July 1 of each year thereafter, the
Administrator will record in each TR NOX Annual source's
compliance account the TR NOX Annual allowances allocated to
the TR NOX Annual units at the source, or in each
appropriate Allowance Management System account the TR NOX
Annual allowances auctioned to TR NOX Annual units, in
accordance with Sec.  97.411(a), or with a SIP revision approved under
Sec.  52.38(a)(4) or (5) of this chapter, for the control period in the
fourth year after the year of the applicable recordation deadline under
this paragraph.
    (g) By August 1, 2012 and August 1 of each year thereafter, the
Administrator will record in each TR NOX Annual source's
compliance account the TR NOX Annual allowances allocated to
the TR NOX Annual units at the source, or in each
appropriate Allowance Management System account the TR NOX
Annual allowances auctioned to TR NOX Annual units, in
accordance with Sec.  97.412(a)(2) through (8) and (12), or with a SIP
revision approved under Sec.  52.38(a)(4) or (5) of this chapter, for
the control period in the year of the applicable recordation deadline
under this paragraph.
    (h) By August 1, 2012 and August 1 of each year thereafter, the
Administrator will record in each TR NOX Annual source's
compliance account the TR NOX Annual allowances allocated to
the TR NOX Annual units at the source in accordance with
Sec.  97.412(b)(2) through (8) and (12) for the control period in the
year of the applicable recordation deadline under this paragraph.
    (i) By February 15, 2013 and February 15 of each year thereafter,
the Administrator will record in each TR NOX Annual source's
compliance account the TR NOX Annual allowances allocated to
the TR NOX Annual units at the source in accordance with
Sec.  97.412(a)(9) through (12), for the control period in the year
before the year of the applicable recordation deadline under this
paragraph.
    (j) By the date on which any allocation or auction results, other
than an allocation or auction results described in paragraphs (a)
through (i) of this section, of TR NOX Annual allowances to
a recipient is made by or are submitted to the Administrator in
accordance with Sec.  97.411 or Sec.  97.412 or with a SIP revision
approved under Sec.  52.38(a)(4) or (5) of this chapter, the
Administrator will record such allocation or auction results in the
appropriate Allowance Management System account.
    (k) When recording the allocation or auction of TR NOX
Annual allowances to a TR NOX Annual unit or other entity in
an Allowance Management System account, the Administrator will assign
each TR NOX Annual allowance a unique identification number
that will include digits identifying the year of the control period for
which the TR NOX Annual allowance is allocated or auctioned.

Sec.  97.422  Submission of TR NOX Annual allowance transfers.

    (a) An authorized account representative seeking recordation of a
TR NOX Annual allowance transfer shall submit the transfer
to the Administrator.
    (b) A TR NOX Annual allowance transfer shall be
correctly submitted if:
    (1) The transfer includes the following elements, in a format
prescribed by the Administrator:
    (i) The account numbers established by the Administrator for both
the transferor and transferee accounts;
    (ii) The serial number of each TR NOX Annual allowance
that is in the transferor account and is to be transferred; and
    (iii) The name and signature of the authorized account
representative of the transferor account and the date signed; and
    (2) When the Administrator attempts to record the transfer, the
transferor account includes each TR NOX Annual allowance
identified by serial number in the transfer.

Sec.  97.423  Recordation of TR NOX Annual allowance transfers.

    (a) Within 5 business days (except as provided in paragraph (b) of
this section) of receiving a TR NOX Annual allowance
transfer that is correctly submitted under Sec.  97.422, the
Administrator will record a TR NOX Annual allowance transfer
by moving each TR NOX Annual allowance from the transferor
account to the transferee account as specified in the transfer.
    (b) A TR NOX Annual allowance transfer to or from a
compliance account that is submitted for recordation after the
allowance transfer deadline for a control period and that includes any
TR NOX Annual allowances allocated for any control period
before such allowance transfer deadline will not be recorded until
after the Administrator completes the deductions from such compliance
account under Sec.  97.424 for the control period immediately before
such allowance transfer deadline.
    (c) Where a TR NOX Annual allowance transfer is not
correctly submitted under Sec.  97.422, the Administrator will not
record such transfer.
    (d) Within 5 business days of recordation of a TR NOX
Annual allowance transfer under paragraphs (a) and (b) of the section,
the Administrator will notify the authorized account representatives of
both the transferor and transferee accounts.
    (e) Within 10 business days of receipt of a TR NOX
Annual allowance transfer that is not correctly submitted under Sec.
97.422, the Administrator will notify the authorized account
representatives of both accounts subject to the transfer of:
    (1) A decision not to record the transfer, and
    (2) The reasons for such non-recordation.

Sec.  97.424  Compliance with TR NOX Annual emissions limitation.

    (a) Availability for deduction for compliance. TR NOX
Annual allowances are available to be deducted for compliance with a
source's TR NOX Annual emissions limitation for a control
period in a given year only if the TR NOX Annual allowances:
    (1) Were allocated for such control period or a control period in a
prior year; and

    (2) Are held in the source's compliance account as of the allowance
transfer deadline for such control period.
    (b) Deductions for compliance. After the recordation, in accordance
with Sec.  97.423, of TR NOX Annual allowance transfers
submitted by the allowance transfer deadline for a control period in a
given year, the Administrator will deduct from each source's compliance
account TR NOX Annual allowances available under paragraph
(a) of this section in order to determine whether the source meets the
TR NOX Annual emissions limitation for such control period,
as follows:
    (1) Until the amount of TR NOX Annual allowances
deducted equals the number of tons of total NOX emissions
from all TR NOX Annual units at the source for such control
period; or
    (2) If there are insufficient TR NOX Annual allowances
to complete the deductions in paragraph (b)(1) of this section, until
no more TR NOX Annual allowances available under paragraph
(a) of this section remain in the compliance account.
    (c)(1) Identification of TR NOX Annual allowances by serial number.
The authorized account representative for a source's compliance account
may request that specific TR NOX Annual allowances,
identified by serial number, in the compliance account be deducted for
emissions or excess emissions for a control period in a given year in
accordance with paragraph (b) or (d) of this section. In order to be
complete, such request shall be submitted to the Administrator by the
allowance transfer deadline for such control period and include, in a
format prescribed by the Administrator, the identification of the TR
NOX Annual source and the appropriate serial numbers.
    (2) First-in, first-out. The Administrator will deduct TR
NOX Annual allowances under paragraph (b) or (d) of this
section from the source's compliance account in accordance with a
complete request under paragraph (c)(1) of this section or, in the
absence of such request or in the case of identification of an
insufficient amount of TR NOX Annual allowances in such
request, on a first-in, first-out accounting basis in the following
order:
    (i) Any TR NOX Annual allowances that were allocated to
the units at the source and not transferred out of the compliance
account, in the order of recordation; and then
    (ii) Any TR NOX Annual allowances that were allocated to
any unit and transferred to and recorded in the compliance account
pursuant to this subpart, in the order of recordation.
    (d) Deductions for excess emissions. After making the deductions
for compliance under paragraph (b) of this section for a control period
in a year in which the TR NOX Annual source has excess
emissions, the Administrator will deduct from the source's compliance
account an amount of TR NOX Annual allowances, allocated for
a control period in a prior year or the control period in the year of
the excess emissions or in the immediately following year, equal to two
times the number of tons of the source's excess emissions.
    (e) Recordation of deductions. The Administrator will record in the
appropriate compliance account all deductions from such an account
under paragraphs (b) and (d) of this section.

Sec.  97.425  Compliance with TR NOX Annual assurance provisions.

    (a) Availability for deduction. TR NOX Annual allowances
are available to be deducted for compliance with the TR NOX
Annual assurance provisions for a control period in a given year by the
owners and operators of a group of one or more TR NOX Annual
sources and units in a State (and Indian country within the borders of
such State) only if the TR NOX Annual allowances:
    (1) Were allocated for a control period in a prior year or the
control period in the given year or in the immediately following year;
and
    (2) Are held in the assurance account, established by the
Administrator for such owners and operators of such group of TR
NOX Annual sources and units in such State (and Indian
country within the borders of such State) under paragraph (b)(3) of
this section, as of the deadline established in paragraph (b)(4) of
this section.
    (b) Deductions for compliance. The Administrator will deduct TR
NOX Annual allowances available under paragraph (a) of this
section for compliance with the TR NOX Annual assurance
provisions for a State for a control period in a given year in
accordance with the following procedures:
    (1) By June 1, 2013 and June 1 of each year thereafter, the
Administrator will:
    (i) Calculate, for each State (and Indian country within the
borders of such State), the total NOX emissions from all TR
NOX Annual units at TR NOX Annual sources in the
State (and Indian country within the borders of such State) during the
control period in the year before the year of this calculation deadline
and the amount, if any, by which such total NOX emissions
exceed the State assurance level as described in Sec.
97.406(c)(2)(iii); and
    (ii) Promulgate a notice of data availability of the results of the
calculations required in paragraph (b)(1)(i) of this section, including
separate calculations of the NOX emissions from each TR
NOX Annual source.
    (2) For each notice of data availability required in paragraph
(b)(1)(ii) of this section and for any State (and Indian country within
the borders of such State) identified in such notice as having TR
NOX Annual units with total NOX emissions
exceeding the State assurance level for a control period in a given
year, as described in Sec.  97.406(c)(2)(iii):
    (i) By July 1 immediately after the promulgation of such notice,
the designated representative of each TR NOX Annual source
in each such State (and Indian country within the borders of such
State) shall submit a statement, in a format prescribed by the
Administrator, providing for each TR NOX Annual unit (if
any) at the source that operates during, but is not allocated an amount
of TR NOX Annual allowances for, such control period, the
unit's allowable NOX emission rate for such control period
and, if such rate is expressed in lb per mmBtu, the unit's heat rate.
    (ii) By August 1 immediately after the promulgation of such notice,
the Administrator will calculate, for each such State (and Indian
country within the borders of such State) and such control period and
each common designated representative for such control period for a
group of one or more TR NOX Annual sources and units in the
State (and Indian country within the borders of such State), the common
designated representative's share of the total NOX emissions
from all TR NOX Annual units at TR NOX Annual
sources in the State (and Indian country within the borders of such
State), the common designated representative's assurance level, and the
amount (if any) of TR NOX Annual allowances that the owners
and operators of such group of sources and units must hold in
accordance with the calculation formula in Sec.  97.406(c)(2)(i) and
will promulgate a notice of data availability of the results of these
calculations.
    (iii) The Administrator will provide an opportunity for submission
of objections to the calculations referenced by the notice of data
availability required in paragraph (b)(2)(ii) of this section and the
calculations referenced by the relevant notice of data availability
required in paragraph (b)(1)(i) of this section.
    (A) Objections shall be submitted by the deadline specified in such
notice

and shall be limited to addressing whether the calculations referenced
in the relevant notice required under paragraph (b)(1)(ii) of this
section and referenced in the notice required under paragraph
(b)(2)(ii) of this section are in accordance with Sec.
97.406(c)(2)(iii), Sec. Sec.  97.406(b) and 97.430 through 97.435, the
definitions of ``common designated representative'', ``common
designated representative's assurance level'', and ``common designated