[Sigma](RIN)D <= [Sigma](Vsi * 2.5)D

Where:

D = Applicable date.
[Sigma](RIN)D = Sum of all assigned gallon-RINs with a K
code of 1 that are owned on date D.
(Vsi)D = Volume i of renewable fuel owned on
date D, standardized to 60 [deg]F, in gallons.

    (ii) The applicable dates are March 31, June 30, September 30, and
December 31.
    (6) Any transfer of ownership of assigned RINs must be documented
on product transfer documents generated pursuant to Sec.  80.1453.
    (i) The RIN must be recorded on the product transfer document used
to transfer ownership of the volume of renewable fuel to another
person; or
    (ii) The RIN must be recorded on a separate product transfer
document transferred to the same person on the same day as the product
transfer document used to transfer ownership of the volume of renewable
fuel.
    (b) RINs separated from volumes of renewable fuel.
    (1) Separated RIN, for the purposes of this subpart, means a RIN
with a K code of 2 that has been separated from a volume of renewable
fuel pursuant to Sec.  80.1429.
    (2) Any person that has registered pursuant to Sec.  80.1450 can
own a separated RIN.
    (3) Separated RINs can be transferred any number of times.
    (c) RIN expiration. Except as provided in Sec.  80.1427(a)(7), a
RIN is valid for compliance during the calendar year in which it was
generated, or the following calendar year. Any RIN that is not used for
compliance purposes for the calendar year in which it was generated, or
for the following calendar year, will be considered an expired RIN.
Pursuant to Sec.  80.1431(a), an expired RIN that is used for
compliance will be considered an invalid RIN.
    (d) Any batch-RIN can be divided into multiple batch-RINs, each
representing a smaller number of gallon-RINs, if all of the following
conditions are met:
    (1) All RIN components other than SSSSSSSS and EEEEEEEE are
identical for the original parent and newly formed daughter RINs.
    (2) The sum of the gallon-RINs associated with the multiple
daughter batch-RINs is equal to the gallon-RINs associated with the
parent batch-RIN.

Sec.  80.1429  Requirements for separating RINs from volumes of
renewable fuel.

    (a)(1) Separation of a RIN from a volume of renewable fuel means
termination of the assignment of the RIN to a volume of renewable fuel.
    (2) RINs that have been separated from volumes of renewable fuel
become separated RINs subject to the provisions of Sec.  80.1428(b).
    (b) A RIN that is assigned to a volume of renewable fuel can be
separated from that volume only under one of the following conditions:
    (1) Except as provided in paragraphs (b)(7) and (b)(9) of this
section, a party that is an obligated party according to Sec.  80.1406
must separate any RINs that have been assigned to a volume of renewable
fuel if that party owns that volume.
    (2) Except as provided in paragraph (b)(6) of this section, any
party that owns a volume of renewable fuel must separate any RINs that
have been assigned to that volume once the volume is blended with
gasoline or diesel to produce a transportation fuel, heating oil, or
jet fuel. A party may separate up to 2.5 RINs per gallon of blended
renewable fuel.

    (3) Any party that exports a volume of renewable fuel must separate
any RINs that have been assigned to the exported volume. A party may
separate up to 2.5 RINs per gallon of exported renewable fuel.
    (4) Any party that produces, imports, owns, sells, or uses a volume
of neat renewable fuel, or a blend of renewable fuel and diesel fuel,
must separate any RINs that have been assigned to that volume of neat
renewable fuel or that blend if:
    (i) The party designates the neat renewable fuel or blend as
transportation fuel, heating oil, or jet fuel; and
    (ii) The neat renewable fuel or blend is used without further
blending, in the designated form, as transportation fuel, heating oil,
or jet fuel.
    (5) Any party that produces, imports, owns, sells, or uses a volume
of electricity or biogas for which RINs have been generated in
accordance with Sec.  80.1426(f) must separate any RINs that have been
assigned to that volume of renewable electricity or biogas if:
    (i) The party designates the electricity or biogas as
transportation fuel; and
    (ii) The electricity or biogas is used as transportation fuel.
    (6) RINs assigned to a volume of biodiesel (mono-alkyl ester) can
only be separated from that volume pursuant to paragraph (b)(2) of this
section if such biodiesel is blended into diesel fuel at a
concentration of 80 volume percent biodiesel (mono-alkyl ester) or
less.
    (i) This paragraph (b)(6) shall not apply to biodiesel owned by
obligated parties or to exported volumes of biodiesel.
    (ii) This paragraph (b)(6) shall not apply to parties meeting the
requirements of paragraph (b)(4) of this section.
    (7) For RINs that an obligated party generates for renewable fuel
that has not been blended into gasoline or diesel to produce a
transportation fuel, heating oil, or jet fuel, the obligated party can
only separate such RINs from volumes of renewable fuel if the number of
gallon-RINs separated in a calendar year are less than or equal to a
limit set as follows:
    (i) For RINs with a D code of 3, the limit shall be equal to
RVOCB.
    (ii) For RINs with a D code of 4, the limit shall be equal to
RVOBBD.
    (iii) For RINs with a D code of 7, the limit shall be equal to the
larger of RVOBBD or RVOCB.
    (iv) For RINs with a D code of 5, the limit shall be equal to
RVOAB-RVOCB-RVOBBD.
    (v) For RINs with a D code of 6, the limit shall be equal to
RVORF-RVOAB.
    (8) Small refiners and small refineries may only separate RINs that
have been assigned to volumes of renewable fuel that the party blends
into gasoline or diesel to produce transportation fuel, heating oil, or
jet fuel, or that the party used as transportation fuel, heating oil,
or jet fuel. This paragraph (b)(8) shall apply only under the following
conditions:
    (i) During the calendar year in which the party has received a
small refinery exemption under Sec.  80.1441 or a small refiner
exemption under Sec.  80.1442; and
    (ii) The party is not otherwise an obligated party during the
period of time that the small refinery or small refiner exemption is in
effect.
    (9) Except as provided in paragraphs (b)(2) through (b)(5) and
(b)(8) of this section, RINs owned by obligated parties whose non-
export renewable volume obligations are solely related to the addition
of blendstocks into a volume of finished gasoline, finished diesel
fuel, RBOB, or CBOB, can only be separated from volumes of renewable
fuel if the number of gallon-RINs separated in a calendar year are less
than or equal to a limit set as follows:
    (i) For RINs with a D code of 3, the limit shall be equal to
RVOCB.
    (ii) For RINs with a D code of 4, the limit shall be equal to
RVOBBD.
    (iii) For RINs with a D code of 7, the limit shall be equal to the
larger of RVOBBD or RVOCB.
    (iv) For RINs with a D code of 5, the limit shall be equal to
RVOAB-RVOCB-RVOBBD.
    (v) For RINs with a D code of 6, the limit shall be equal to
RVORF-RVOAB.
    (c) The party responsible for separating a RIN from a volume of
renewable fuel shall change the K code in the RIN from a value of 1 to
a value of 2 prior to transferring the RIN to any other party.
    (d) Upon and after separation of a RIN from its associated volume
of renewable fuel, the separated RIN must be accompanied by
documentation when transferred to another party pursuant to Sec.
80.1453.
    (e) Upon and after separation of a RIN from its associated volume
of renewable fuel, product transfer documents used to transfer
ownership of the volume must meet the requirements of Sec.  80.1453.
    (f) Any party that uses a renewable fuel in any application that is
not transportation fuel, heating oil, or jet fuel, or designates a
renewable fuel for use as something other than transportation fuel,
heating oil, or jet fuel, must retire any RINs received with that
renewable fuel and report the retired RINs in the applicable reports
under Sec.  80.1451.
    (g) Any 2009 RINs retired pursuant to Sec.  80.1129 because
renewable fuel was used in a non-motor vehicle application, heating
oil, or jet fuel may be reinstated by the retiring party for sale or
use to demonstrate compliance with a 2010 RVO.

Sec.  80.1430  Requirements for exporters of renewable fuels.

    (a) Any party that owns any amount of renewable fuel, whether in
its neat form or blended with gasoline or diesel, that is exported from
any of the regions described in Sec.  80.1426(b) shall acquire
sufficient RINs to comply with all applicable Renewable Volume
Obligations under paragraph (b) of this section representing the
exported renewable fuel.
    (b) Renewable Volume Obligations. An exporter of renewable fuel
shall determine its Renewable Volume Obligations from the volumes of
the renewable fuel exported.
    (1) Cellulosic biofuel.

RVOCB,i = [Sigma](VOLk *
EVk)i + DCB,i-1

Where:

RVOCB,i = The Renewable Volume Obligation for cellulosic
biofuel for the exporter for calendar year i, in gallons.
k = A discrete volume of exported renewable fuel.
VOLk = The standardized volume of discrete volume k of
exported renewable fuel that the exporter knows or has reason to
know is cellulosic biofuel, in gallons, calculated in accordance
with Sec.  80.1426(f)(8).
EVk = The equivalence value associated with discrete
volume k.
[Sigma] = Sum involving all volumes of cellulosic biofuel exported.
    DCB,i-1 = Deficit carryover from the previous year
for cellulosic biofuel, in gallons.

    (2) Biomass-based diesel.

RVOBBD,i = [Sigma](VOLk *
EVk)i + DBBD,i-1

Where:

RVOBBD,i = The Renewable Volume Obligation for biomass-
based diesel for the exporter for calendar year i, in gallons.
k = A discrete volume of exported renewable fuel.
VOLk = The standardized volume of discrete volume k of
exported renewable fuel that is biodiesel or renewable diesel, or
that the exporter knows or has reason to know is biomass-based
diesel, in gallons, calculated in accordance with Sec.
80.1426(f)(8).
EVk = The equivalence value associated with discrete
volume k.
[Sigma] = Sum involving all volumes of biomass-based diesel
exported.
DBBD,i-1 = Deficit carryover from the previous year for
biomass-based diesel, in gallons.

    (3) Advanced biofuel.

RVOAB,i = [Sigma](VOLk *
EVk)i + DAB,i-1

Where:

RVOAB,i = The Renewable Volume Obligation for advanced
biofuel for the exporter for calendar year i, in gallons.
k = A discrete volume of exported renewable fuel.
VOLk = The standardized volume of discrete volume k of
exported renewable fuel that is biodiesel or renewable diesel, or
that the exporter knows or has reason to know is biomass-based
diesel, cellulosic biofuel, or advanced biofuel, in gallons,
calculated in accordance with Sec.  80.1426(f)(8).
EVk = The equivalence value associated with discrete
volume k.
[Sigma] = Sum involving all volumes of advanced biofuel exported.
DAB,i-1 = Deficit carryover from the previous year for
advanced biofuel, in gallons.

    (4) Renewable fuel.

RVORF,i = [Sigma](VOLk *
EVk)i + DRF,i-1

Where:

RVORF,i = The Renewable Volume Obligation for renewable
fuel for the exporter for calendar year i, in gallons.
k = A discrete volume of exported renewable fuel.
VOLk = The standardized volume of discrete volume k of
any exported renewable fuel, in gallons, calculated in accordance
with Sec.  80.1426(f)(8).
EVk = The equivalence value associated with discrete
volume k.
[Sigma] = Sum involving all volumes of renewable fuel exported.
DRF,i-1 = Deficit carryover from the previous year for
renewable fuel, in gallons.

    (c) If the exporter knows or has reason to know that a volume of
exported renewable fuel is cellulosic diesel, he must treat the
exported volume as either cellulosic biofuel or biomass-based diesel
when determining his Renewable Volume Obligations pursuant to paragraph
(b) of this section.
    (d) For the purposes of calculating the Renewable Volume
Obligations:
    (1) If the equivalence value for a volume of exported renewable
fuel can be determined pursuant to Sec.  80.1415 based on its
composition, then the appropriate equivalence value shall be used in
the calculation of the exporter's Renewable Volume Obligations under
paragraph (b) of this section.
    (2) If the category of the exported renewable fuel is known to be
biomass-based diesel but the composition is unknown, the value of
EVk shall be 1.5.
    (3) If neither the category nor composition of a volume of exported
renewable fuel can be determined, the value of EVk shall be
1.0.
    (e) For renewable fuels that are in the form of a blend with
gasoline or diesel at the time of export, the exporter shall determine
the volume of exported renewable fuel based on one of the following:
    (1) Information from the supplier of the blend of the concentration
of renewable fuel in the blend.
    (2) Determination of the renewable portion of the blend using
Method B or Method C of ASTM D 6866 (incorporated by reference, see
Sec.  80.1468), or an alternative test method as approved by the EPA.
    (3) Assuming the maximum concentration of the renewable fuel in the
blend as allowed by law and/or regulation.
    (f) Each exporter of renewable fuel must demonstrate compliance
with its RVOs pursuant to Sec.  80.1427.

Sec.  80.1431  Treatment of invalid RINs.

    (a) Invalid RINs.
    (1) An invalid RIN is a RIN that is any of the following:
    (i) A duplicate of a valid RIN.
    (ii) Was based on incorrect volumes or volumes that have not been
standardized to 60 [deg]F.
    (iii) Has expired, as provided in Sec.  80.1428(c).
    (iv) Was based on an incorrect equivalence value.
    (v) Deemed invalid under Sec.  80.1467(g).
    (vi) Does not represent renewable fuel as defined in Sec.  80.1401.
    (vii) Was assigned an incorrect ``D'' code value under Sec.
80.1426(f) for the associated volume of fuel.
    (viii) Was improperly separated pursuant to Sec.  80.1429.
    (ix) Was otherwise improperly generated.
    (2) In the event that the same RIN is transferred to two or more
parties, all such RINs are deemed invalid, unless EPA in its sole
discretion determines that some portion of these RINs is valid.
    (b) In the case of RINs that are invalid, the following provisions
apply:
    (1) Upon determination by any party that RINs owned are invalid,
the party must keep copies and adjust its records, reports, and
compliance calculations in which the invalid RINs were used. The party
must retire the invalid RINs in the applicable RIN transaction reports
under Sec.  80.1451(c)(2) for the quarter in which the RINs were
determined to be invalid.
    (2) Invalid RINs cannot be used to achieve compliance with the
Renewable Volume Obligations of an obligated party or exporter,
regardless of the party's good faith belief that the RINs were valid at
the time they were acquired.
    (3) Any valid RINs remaining after invalid RINs are retired must
first be applied to correct the transfer of invalid RINs to another
party before applying the valid RINs to meet the party's Renewable
Volume Obligations at the end of the compliance year.

Sec.  80.1432  Reported spillage or disposal of renewable fuel.

    (a) A reported spillage or disposal under this subpart means a
spillage or disposal of renewable fuel associated with a requirement by
a federal, state, or local authority to report the spillage or
disposal.
    (b) Except as provided in paragraph (c) of this section, in the
event of a reported spillage or disposal of any volume of renewable
fuel, the owner of the renewable fuel must retire a number of RINs
corresponding to the volume of spilled or disposed of renewable fuel
multiplied by its equivalence value.
    (1) If the equivalence value for the spilled or disposed of volume
may be determined pursuant to Sec.  80.1415 based on its composition,
then the appropriate equivalence value shall be used.
    (2) If the equivalence value for a spilled or disposed of volume of
renewable fuel cannot be determined, the equivalence value shall be
1.0.
    (c) If the owner of a volume of renewable fuel that is spilled or
disposed of and reported establishes that no RINs were generated to
represent the volume, then no RINs shall be retired.
    (d) A RIN that is retired under paragraph (b) of this section:
    (1) Must be reported as a retired RIN in the applicable reports
under Sec.  80.1451.
    (2) May not be transferred to another person or used by any
obligated party to demonstrate compliance with the party's Renewable
Volume Obligations.

Sec. Sec.  80.1433-80.1439  [Reserved]

Sec.  80.1440  What are the provisions for blenders who handle and
blend less than 125,000 gallons of renewable fuel per year?

    (a) Renewable fuel blenders who handle and blend less than 125,000
gallons of renewable fuel per year, and who do not have Renewable
Volume Obligations, are permitted to delegate their RIN-related
responsibilities to the party directly upstream of them who supplied
the renewable fuel for blending.
    (b) The RIN-related responsibilities that may be delegated directly
upstream include all of the following:
    (1) The RIN separation requirements of Sec.  80.1429.
    (2) The reporting requirements of Sec.  80.1451.
    (3) The recordkeeping requirements of Sec.  80.1454.
    (4) The attest engagement requirements of Sec.  80.1464.
    (c) For upstream delegation of RIN-related responsibilities, both
parties

must agree on the delegation, and a quarterly written statement signed
by both parties must be included with the reporting party's reports
under Sec.  80.1451.
    (1) Both parties must keep copies of the signed quarterly written
statement agreeing to the upward delegation for 5 years.
    (2) Parties delegating their RIN responsibilities upward shall keep
copies of their registration forms as submitted to EPA.
    (3) If EPA finds that a renewable fuel blender improperly delegated
its RIN-related responsibilities under this subpart M, the blender will
be held accountable for any RINs separated and will be subject to all
RIN-related responsibilities under this subpart.
    (d) Renewable fuel blenders who handle and blend less than 125,000
gallons of renewable fuel per year and delegate their RIN-related
responsibilities under paragraph (b) of this section must register
pursuant to Sec.  80.1450(e).
    (e) Renewable fuel blenders who handle and blend less than 125,000
gallons of renewable fuel per year and who do not opt to delegate their
RIN-related responsibilities will be subject to all requirements stated
in paragraph (b) of this section, and all other applicable requirements
of this subpart M.

Sec.  80.1441  Small refinery exemption.

    (a)(1) Transportation fuel produced at a refinery by a refiner, or
foreign refiner (as defined at Sec.  80.1465(a)), is exempt from
January 1, 2010 through December 31, 2010 from the renewable fuel
standards of Sec.  80.1405, and the owner or operator of the refinery,
or foreign refinery, is exempt from the requirements that apply to
obligated parties under this subpart M for fuel produced at the
refinery if the refinery meets the definition of a small refinery under
Sec.  80.1401 for calendar year 2006.
    (2) The exemption of paragraph (a)(1) of this section shall apply
unless a refiner chooses to waive this exemption (as described in
paragraph (f) of this section), or the exemption is extended (as
described in paragraph (e) of this section).
    (3) For the purposes of this section, the term ``refiner'' shall
include foreign refiners.
    (4) This exemption shall only apply to refineries that process
crude oil through refinery processing units.
    (5) The small refinery exemption is effective immediately, except
as specified in paragraph (b)(3) of this section.
    (6) Refiners who own refineries that qualified as small under 40
CFR 80.1141 do not need to resubmit a small refinery verification
letter under this subpart M. This paragraph (a) does not supersede
Sec.  80.1141.
    (b)(1) A refiner owning a small refinery must submit a verification
letter to EPA containing all of the following information:
    (i) The annual average aggregate daily crude oil throughput for the
period January 1, 2006 through December 31, 2006 (as determined by
dividing the aggregate throughput for the calendar year by the number
365).
    (ii) A letter signed by the president, chief operating or chief
executive officer of the company, or his/her designee, stating that the
information contained in the letter is true to the best of his/her
knowledge, and that the refinery was small as of December 31, 2006.
    (iii) Name, address, phone number, facsimile number, and e-mail
address of a corporate contact person.
    (2) Verification letters must be submitted by July 1, 2010 to one
of the addresses listed in paragraph (h) of this section.
    (3) For foreign refiners the small refinery exemption shall be
effective upon approval, by EPA, of a small refinery application. The
application must contain all of the elements required for small
refinery verification letters (as specified in paragraph (b)(1) of this
section), must satisfy the provisions of Sec.  80.1465(f) through (i)
and (o), and must be submitted by July 1, 2010 to one of the addresses
listed in paragraph (h) of this section.
    (4) Small refinery verification letters are not required for those
refiners who have already submitted a complete verification letter
under subpart K of this part 80. Verification letters submitted under
subpart K prior to July 1, 2010 that satisfy the requirements of
subpart K shall be deemed to satisfy the requirements for verification
letters under this subpart M.
    (c) If EPA finds that a refiner provided false or inaccurate
information regarding a refinery's crude throughput (pursuant to
paragraph (b)(1)(i) of this section) in its small refinery verification
letter, the exemption will be void as of the effective date of these
regulations.
    (d) If a refiner is complying on an aggregate basis for multiple
refineries, any such refiner may exclude from the calculation of its
Renewable Volume Obligations (under Sec.  80.1407) transportation fuel
from any refinery receiving the small refinery exemption under
paragraph (a) of this section.
    (e)(1) The exemption period in paragraph (a) of this section shall
be extended by the Administrator for a period of not less than two
additional years if a study by the Secretary of Energy determines that
compliance with the requirements of this subpart would impose a
disproportionate economic hardship on a small refinery.
    (2) A refiner may petition the Administrator for an extension of
its small refinery exemption, based on disproportionate economic
hardship, at any time.
    (i) A petition for an extension of the small refinery exemption
must specify the factors that demonstrate a disproportionate economic
hardship and must provide a detailed discussion regarding the hardship
the refinery would face in producing transportation fuel meeting the
requirements of Sec.  80.1405 and the date the refiner anticipates that
compliance with the requirements can reasonably be achieved at the
small refinery.
    (ii) The Administrator shall act on such a petition not later than
90 days after the date of receipt of the petition.
    (f) At any time, a refiner with a small refinery exemption under
paragraph (a) of this section may waive that exemption upon
notification to EPA.
    (1) A refiner's notice to EPA that it intends to waive its small
refinery exemption must be received by November 1 to be effective in
the next compliance year.
    (2) The waiver will be effective beginning on January 1 of the
following calendar year, at which point the transportation fuel
produced at that refinery will be subject to the renewable fuels
standard of Sec.  80.1405 and the owner or operator of the refinery
shall be subject to all other requirements that apply to obligated
parties under this Subpart M.
    (3) The waiver notice must be sent to EPA at one of the addresses
listed in paragraph (h) of this section.
    (g) A refiner that acquires a refinery from either an approved
small refiner (as defined under Sec.  80.1442(a)) or another refiner
with an approved small refinery exemption under paragraph (a) of this
section shall notify EPA in writing no later than 20 days following the
acquisition.
    (h) Verification letters under paragraph (b) of this section,
petitions for small refinery hardship extensions under paragraph (e) of
this section, and small refinery exemption waiver notices under
paragraph (f) of this section shall be sent to one of the following
addresses:
    (1) For US mail: U.S. EPA, Attn: RFS Program, 6406J, 1200
Pennsylvania Avenue, NW., Washington, DC 20460.
    (2) For overnight or courier services: U.S. EPA, Attn: RFS Program,
6406J,

1310 L Street, NW., 6th floor, Washington, DC 20005.<PHONE_NUMBER>.

Sec.  80.1442  What are the provisions for small refiners under the RFS
program?

    (a)(1) To qualify as a small refiner under this section, a refiner
must meet all of the following criteria:
    (i) The refiner produced transportation fuel at its refineries by
processing crude oil through refinery processing units from January 1,
2006 through December 31, 2006.
    (ii) The refiner employed an average of no more than 1,500 people,
based on the average number of employees for all pay periods for
calendar year 2006 for all subsidiary companies, all parent companies,
all subsidiaries of the parent companies, and all joint venture
partners.
    (iii) The refiner had a corporate-average crude oil capacity less
than or equal to 155,000 barrels per calendar day (bpcd) for 2006.
    (2) For the purposes of this section, the term ``refiner'' shall
include foreign refiners.
    (3) Refiners who qualified as small under 40 CFR 80.1142 do not
need to reapply for small refiner status under this subpart M. This
paragraph (a) does not supersede Sec.  80.1142.
    (b)(1) The small refiner exemption is effective immediately, except
as provided in paragraph (b)(5) of this section.
    (2) Refiners who qualify for the small refiner exemption under
paragraph (a) of this section must submit a verification letter (and
any other relevant information) to EPA by July 1, 2010. The small
refiner verification letter must include all of the following
information for the refiner and for all subsidiary companies, all
parent companies, all subsidiaries of the parent companies, and all
joint venture partners:
    (i) A listing of the name and address of each company location
where any employee worked for the period January 1, 2006 through
December 31, 2006.
    (ii) The average number of employees at each location based on the
number of employees for each pay period for the period January 1, 2006
through December 31, 2006.
    (iii) The type of business activities carried out at each location.
    (iv) For joint ventures, the total number of employees includes the
combined employee count of all corporate entities in the venture.
    (v) For government-owned refiners, the total employee count
includes all government employees.
    (vi) The total corporate crude oil capacity of each refinery as
reported to the Energy Information Administration (EIA) of the U.S.
Department of Energy (DOE), for the period January 1, 2006 through
December 31, 2006. The information submitted to EIA is presumed to be
correct. In cases where a company disagrees with this information, the
company may petition EPA with appropriate data to correct the record
when the company submits its application.
    (vii) The verification letter must be signed by the president,
chief operating or chief executive officer of the company, or his/her
designee, stating that the information is true to the best of his/her
knowledge, and that the company owned the refinery as of December 31,
2006.
    (viii) Name, address, phone number, facsimile number, and e-mail
address of a corporate contact person.
    (3) In the case of a refiner who acquires or reactivates a refinery
that was shutdown or non-operational between January 1, 2005 and
January 1, 2006, the information required in paragraph (b)(2) of this
section must be provided for the time period since the refiner acquired
or reactivated the refinery.
    (4) EPA will notify a refiner of its approval or disapproval of the
application for small refiner status by letter.
    (5) For foreign refiners the small refiner exemption shall be
effective upon approval, by EPA, of a small refiner application. The
application must contain all of the elements required for small refiner
verification letters (as specified in paragraph (b)(2) of this
section), must satisfy the provisions of Sec.  80.1465(f) through (h)
and (o), must demonstrate compliance with the crude oil capacity
criterion of paragraph (a)(1)(iii) of this section, and must be
submitted by July 1, 2010 to one of the addresses listed in paragraph
(i) of this section.
    (6) Small refiner verification letters submitted under subpart K
(Sec.  80.1142) prior to July 1, 2010 that satisfy the requirements of
subpart K shall be deemed to satisfy the requirements for small refiner
verification letters under this subpart M.
    (c) Small refiner temporary exemption.
    (1) Transportation fuel produced by an approved small refiner, or
foreign small refiner (as defined at Sec.  80.1465(a)), is exempt from
January 1, 2010 through December 31, 2010 from the renewable fuel
standards of Sec.  80.1405 and the requirements that apply to obligated
parties under this subpart if the refiner or foreign refiner meets all
the criteria of paragraph (a)(1) of this section.
    (2) The small refiner exemption shall apply to an approved small
refiner unless that refiner chooses to waive this exemption (as
described in paragraph (d) of this section).
    (d)(1) A refiner with approved small refiner status may, at any
time, waive the small refiner exemption under paragraph (c) of this
section upon notification to EPA.
    (2) A refiner's notice to EPA that it intends to waive the small
refiner exemption must be received by November 1 of a given year in
order for the waiver to be effective for the following calendar year.
The waiver will be effective beginning on January 1 of the following
calendar year, at which point the refiner will be subject to the
renewable fuel standards of Sec.  80.1405 and the requirements that
apply to obligated parties under this subpart.
    (3) The waiver must be sent to EPA at one of the addresses listed
in paragraph (i) of this section.
    (e) Refiners who qualify as small refiners under this section and
subsequently fail to meet all of the qualifying criteria as set out in
paragraph (a) of this section are disqualified as small refiners of
January 1 of the next calendar year, except as provided under
paragraphs (d) and (e)(2) of this section.
    (1) In the event such disqualification occurs, the refiner shall
notify EPA in writing no later than 20 days following the disqualifying
event.
    (2) Disqualification under this paragraph (e) shall not apply in
the case of a merger between two approved small refiners.
    (f) If EPA finds that a refiner provided false or inaccurate
information in its small refiner status verification letter under this
subpart M, the refiner will be disqualified as a small refiner as of
the effective date of this subpart.
    (g) Any refiner that acquires a refinery from another refiner with
approved small refiner status under paragraph (a) of this section shall
notify EPA in writing no later than 20 days following the acquisition.
    (h) Extensions of the small refiner temporary exemption.
    (1) A small refiner may apply for an extension of the temporary
exemption of paragraph (c)(1) of this section based on a showing of all
the following:
    (i) Circumstances exist that impose disproportionate economic
hardship on the refiner and significantly affects the refiner's ability
to comply with the RFS standards.
    (ii) The refiner has made best efforts to comply with the
requirements of this subpart.

    (2) A refiner must apply, and be approved, for small refiner status
under this section.
    (3) A small refiner's hardship application must include all the
following information:
    (i) A plan demonstrating how the refiner will comply with the
requirements of Sec.  80.1405 (and all other requirements of this
subpart applicable to obligated parties), as expeditiously as possible.
    (ii) A detailed description of the refinery configuration and
operations including, at a minimum, all the following information:
    (A) The refinery's total crude capacity.
    (B) Total crude capacity of any other refineries owned by the same
entity.
    (C) Total volume of gasoline and diesel produced at the refinery.
    (D) Detailed descriptions of efforts to comply.
    (E) Bond rating of the entity that owns the refinery.
    (F) Estimated investment needed to comply with the requirements of
this subpart M.
    (4) A small refiner shall notify EPA in writing of any changes to
its situation between approval of the extension application and the end
of its approved extension period.
    (5) EPA may impose reasonable conditions on extensions of the
temporary exemption, including reducing the length of such an
extension, if conditions or situations change between approval of the
application and the end of the approved extension period.
    (i) Small refiner status verification letters, small refiner
exemption waivers, or applications for extensions of the small refiner
temporary exemption under this section must be sent to one of the
following addresses:
    (1) For US Mail: U.S. EPA, Attn: RFS Program, 6406J, 1200
Pennsylvania Avenue, NW., Washington, DC 20460.
    (2) For overnight or courier services: U.S. EPA, Attn: RFS Program,
6406J, 1310 L Street, NW., 6th floor, Washington, DC 20005. (202) 343-
9038.

Sec.  80.1443  What are the opt-in provisions for noncontiguous states
and territories?

    (a) Alaska or a United States territory may petition the
Administrator to opt-in to the program requirements of this subpart.
    (b) The Administrator will approve the petition if it meets the
provisions of paragraphs (c) and (d) of this section.
    (c) The petition must be signed by the Governor of the state or his
authorized representative (or the equivalent official of the
territory).
    (d)(1) A petition submitted under this section must be received by
EPA by November 1 for the state or territory to be included in the RFS
program in the next calendar year.
    (2) A petition submitted under this section should be sent to
either of the following addresses:
    (i) For US Mail: U.S. EPA, Attn: RFS Program, 6406J, 1200
Pennsylvania Avenue, NW., Washington, DC 20460.
    (ii) For overnight or courier services: U.S. EPA, Attn: RFS
Program, 6406J, 1310 L Street, NW., 6th floor, Washington, DC 20005.
(202) 343-9038.
    (e) Upon approval of the petition by the Administrator:
    (1) EPA shall calculate the standards for the following year,
including the total gasoline and diesel fuel volume for the state or
territory in question.
    (2) Beginning on January 1 of the next calendar year, all gasoline
and diesel fuel refiners and importers in the state or territory for
which a petition has been approved shall be obligated parties as
defined in Sec.  80.1406.
    (3) Beginning on January 1 of the next calendar year, all renewable
fuel producers in the state or territory for which a petition has been
approved shall, pursuant to Sec.  80.1426(a)(2), be required to
generate RINs and comply with other requirements of this subpart M that
are applicable to producers of renewable fuel.

Sec. Sec.  80.1444-80.1448  [Reserved]

Sec.  80.1449  What are the Production Outlook Report requirements?

    (a) A registered renewable fuel producer or importer, for each of
its facilities, must submit all of the following information, as
applicable, to EPA by March 31 of each year (September 1 for the report
due in 2010):
    (1) The type, or types, of renewable fuel expected to be produced
or imported at each facility owned by the renewable fuel producer or
importer.
    (2) The volume of each type of renewable fuel expected to be
produced or imported at each facility.
    (3) The number of RINs expected to be generated by the renewable
fuel producer or importer for each type of renewable fuel.
    (4) Information about all the following:
    (i) Existing and planned production capacity.
    (ii) Long-range plans for expansion of production capacity at
existing facilities or construction of new facilities.
    (iii) Feedstocks and production processes to be used at each
production facility.
    (iv) Changes to the facility that would raise or lower emissions of
any greenhouse gases from the facility.
    (5) For expanded production capacity that is planned or underway at
each existing facility, or new production facilities that are planned
or underway, information on all the following, as available:
    (i) Strategic planning.
    (ii) Planning and front-end engineering.
    (iii) Detailed engineering and permitting.
    (iv) Procurement and construction.
    (v) Commissioning and startup.
    (6) Whether capital commitments have been made or are projected to
be made.
    (b) The information listed in paragraph (a) of this section shall
include the reporting party's best estimates for the five following
calendar years.
    (c) Production outlook reports must provide an update of the
progress in each of the areas listed in paragraph (a) of this section
in comparison to information provided in previous year production
outlook reports.
    (d) Production outlook reports shall be sent to one of the
following addresses:
    (1) For U.S. Mail: U.S. EPA, Attn: RFS Program--Production Outlook
Reports, 6406J, 1200 Pennsylvania Avenue, NW., Washington, DC 20460.
    (2) For overnight or courier services: U.S. EPA, Attn: RFS
Program--Production Outlook Reports, 6406J, 1310 L Street, NW., 6th
floor, Washington, DC 20005;<PHONE_NUMBER>.
    (e) All production outlook reports required under this section
shall be submitted on forms and following procedures prescribed by the
Administrator.

Sec.  80.1450  What are the registration requirements under the RFS
program?

    (a) Obligated Parties and Exporters. Any obligated party described
in Sec.  80.1406, and any exporter of renewable fuel described in Sec.
80.1430, must provide EPA with the information specified for
registration under Sec.  80.76, if such information has not already
been provided under the provisions of this part. An obligated party or
an exporter of renewable fuel must receive EPA-issued identification
numbers prior to engaging in any transaction involving RINs.
Registration information may be submitted to EPA at any time after
publication of this rule in the Federal Register, but must be submitted
and accepted by EPA by July 1, 2010, or 60 days prior to RIN ownership,
whichever date comes later.

    (b) Producers. Any RIN-generating foreign or domestic producer of
renewable fuel or any foreign producer that sells renewable fuel for
RIN generation by a United States importer must provide EPA the
information specified under Sec.  80.76 if such information has not
already been provided under the provisions of this part, and must
receive EPA-issued company and facility identification numbers prior to
the generation of any RINs for their fuel. All the following
registration information may be submitted to EPA at any time after
promulgation of this rule in the Federal Register, but must be
submitted and accepted by EPA by July 1, 2010, or 60 days prior to the
generation of RINs, whichever date comes later, subject to this
subpart:
    (1) A description of the types of renewable fuels that the producer
intends to produce at the facility and that the facility is capable of
producing without significant modifications to the existing facility.
For each type of renewable fuel, the renewable fuel producer shall also
provide all the following:
    (i) A list of all the feedstocks the facility is capable of
utilizing without significant modification to the existing facility.
    (ii) A description of the facility's renewable fuel production
processes.
    (iii) The type of co-products produced with each type of renewable
fuel.
    (iv) A list of the facility's process energy fuel types and
locations from which the fuel was produced or extracted.
    (v) For facilities described in Sec.  80.1403(c) and (d):
    (A) The facility's baseline volume as defined in Sec.
80.1403(a)(1).
    (B) The facility's renewable fuel production capacity as specified
in applicable air permits issued by the U.S. Environmental Protection
Agency, state, local air pollution control agencies, or foreign
governmental agencies and that govern the construction and/or operation
of the renewable fuel facility:
    (1) Issued or revised no later than December 19, 2007 for
facilities described in Sec.  80.1403(c).
    (2) Issued or revised no later than December 31, 2009 for
facilities described in Sec.  80.1403(d).
    (C) Copies of applicable air permits issued by the U.S.
Environmental Protection Agency, state, local air pollution control
agencies, or foreign governmental agencies, that provide evidence that
such permits were issued prior to December 19, 2007 for facilities
described in Sec.  80.1403(c), and prior to December 31, 2009 for
facilities described in Sec.  80.1403(d).
    (D) Copies of documents demonstrating the facility's actual peak
capacity as defined in Sec.  80.1401(a)(3) if the maximum rated annual
volume output of renewable fuel is not specified in any applicable air
permits issued by the U.S. Environmental Protection Agency, state,
local air pollution control agencies, or foreign governmental agencies.
    (E) The date that construction commences, along with evidence
demonstrating that construction commenced as defined in Sec.
80.1403(a)(4) including, but not limited to, contracts with
construction and other companies.
    (vi) Records relevant to generation of RINs from:
    (A) Producers providing biogas, or renewable electricity to
transportation fueling facilities as described in Sec.  80.1426(f)(10);
    (B) Producers providing biogas, or renewable electricity to
transportation fueling facilities via commercial distribution systems
as described in Sec.  80.1426(f)(11); and
    (C) Producers using biogas for process heat in the production of
renewable fuel as described in Sec.  80.1426(f)(12).
    (vii)(A) For a producer of renewable fuel made from separated yard
waste per Sec.  80.1426(f)(5)(i)(A):
    (1) The location of any municipal waste facility or other facility
from which the waste stream consisting solely of separated yard waste
is collected; and
    (2) A plan documenting how the waste will be collected and for
ongoing verification that such waste consists only of yard waste and
kept separate since generation from other waste materials, and
incidental other components (e.g., paper and plastics).
    (B) For a producer of renewable fuel made from separated food waste
per Sec.  80.1426(f)(5)(i)(B):
    (1) The location of any municipal waste facility or other facility
from which the waste stream consisting solely of separated food waste
is collected; and
    (2) A plan documenting how the waste will be collected, how the
cellulosic and non-cellulosic portions of the waste will be quantified,
and for ongoing verification that such waste consists only of food
waste kept separate since generation from other waste materials,
containing only incidental other components (e.g., paper and plastics).
    (viii) For a producer of renewable fuel made from separated
municipal solid waste per Sec.  80.1426(f)(5)(i)(C):
    (A) The location of the municipal waste facility from which the
separated food and yard waste is collected.
    (B) A plan providing ongoing verification that there is separation
of recyclable paper, cardboard, plastics, rubber, textiles, metals, and
glass wastes to the extent reasonably practicable and which documents
the following:
    (1) Extent and nature of recycling that occurred prior to receipt
of the waste material by the renewable fuel producer;
    (2) Identification of available recycling technology and practices
that are appropriate for removing recycling materials from the waste
stream; and
    (3) Identification of the technology or practices selected
including an explanation for such selection, and reasons why other
technologies or practices were not.
    (C) Contracts relevant to materials recycled from municipal waste
streams as described in Sec.  80.1426(f)(5)(iii).
    (D) Certification by the producer that recycling is conducted in a
manner consistent with goals and requirements of applicable State and
local laws relating to recycling and waste management.
    (2) An independent third party engineering review and written
report and verification of the information provided pursuant to
paragraph (b)(1) of this section. The report and verification shall be
based upon a site visit and review of relevant documents and shall
separately identify each item required by paragraph (b)(1) of this
section, describe how the independent third party evaluated the
accuracy of the information provided, state whether the independent
third party agrees with the information provided, and identify any
exceptions between the independent third party's findings and the
information provided.
    (i) The verifications required under this section must be conducted
by:
    (A) A Professional Chemical Engineer who is based in the United
States and is licensed by an appropriate state agency for a domestic
production facility.
    (B) An independent third party who is a licensed professional
engineer or foreign equivalent who works in the chemical engineering
field for a foreign production facility.
    (ii) To be considered an independent third party under this
paragraph (b)(2):
    (A) The third party shall not be operated by the renewable fuel
producer or any subsidiary or employee of the renewable fuel producer.
    (B) The third party shall be free from any interest in the
renewable fuel producer's business.

    (C) The renewable fuel producer shall be free from any interest in
the third party's business.
    (D) Use of a third party that is debarred, suspended, or proposed
for debarment pursuant to the Government-wide Debarment and Suspension
regulations, 40 CFR part 32, or the Debarment, Suspension and
Ineligibility provisions of the Federal Acquisition Regulations, 48
CFR, part 9, subpart 9.4, shall be deemed noncompliance with the
requirements of this section.
    (E) The third party must provide to EPA documentation of his or her
qualifications as part of the engineering review, including proof of
appropriate professional license or foreign equivalent.
    (iii) The independent third party shall retain all records
pertaining to the verification required under this section for a period
of five years from the date of creation and shall deliver such records
to the Administrator upon request.
    (iv) The renewable fuel producer must retain records of the review
and verification, as required in Sec.  80.1454(b)(6).
    (3) A Fuel Supply Plan that includes all the following information:
    (i) Name of source of each and every fuel that the renewable fuel
producer intends to be co-fired or used in a fuel blend.
    (ii) Anticipated proportion of each fuel in the mix or in the fuel
blend.
    (iii) Anticipated net heat content of each, including any expected
seasonal variations, such as those due to moisture content or wood
species.
    (iv) Seasonal variation, if any, of the fuel mix or blend.
    (v) An affidavit from the biogas supplier stating its intent to
supply biogas to the renewable fuel producer, the quantity and energy
content of the biogas that it intends to provide to the renewable fuel
producer, and a statement that this volume of biogas will not be used
for the creation of a Renewable Energy Credit, or of any other type of
environmental or energy attribute or credit.
    (c) Importers. Importers of renewable fuel must provide EPA the
information specified under Sec.  80.76, if such information has not
already been provided under the provisions of this part and must
receive an EPA-issued company identification number prior to generating
or owning RINs. Registration information may be submitted to EPA at any
time after promulgation of this rule in the Federal Register, but must
be submitted and accepted by EPA by July 1, 2010, or 60 days prior to
an importer importing any renewable fuel with assigned RINs or
generating any RINs for renewable fuel, whichever date comes later.
    (d) Registration updates.
    (1) Any producer of renewable fuel who makes changes to his
facility that will qualify his renewable fuel for a renewable fuel
category or D code as defined in Sec.  80.1425(g) that is not reflected
in the producer's registration information on file with EPA must update
his registration information and submit a copy of an updated
independent engineering review at least 60 days prior to producing the
new type of renewable fuel.
    (2) Any producer of renewable fuel who makes any other changes to a
facility that do not affect the renewable fuel category for which the
producer is registered per paragraph (b) of this section must update
his registration information 7 days prior to the change.
    (3) All producers of renewable fuel must update registration
information and submit a copy of an updated independent engineering
review every 3 years after initial registration. In addition to
conducting the engineering review and written report and verification
required by paragraph (b)(2) of this section, the updated independent
engineering review shall include a detailed review of the renewable
fuel producer's calculations used to determine VRIN of a
representative sample of batches of each type of renewable fuel
produced since the last registration. The representative sample shall
be selected in accordance with the sample size guidelines set forth at
Sec.  80.127.
    (e) Any party who owns RINs, intends to own RINs, or intends to
allow another party to separate RINs as per Sec.  80.1440, but who is
not covered by paragraphs (a), (b), or (c) of this section, must
provide EPA the information specified under Sec.  80.76, if such
information has not already been provided under the provisions of this
part and must receive an EPA-issued company identification number prior
to owning any RINs. Registration information may be submitted to EPA at
any time after promulgation of this rule in the Federal Register, but
must be submitted at least 30 days prior to RIN ownership.
    (f) To aid EPA in verifying claims that a facility qualifies for an
exemption described in Sec.  80.1403(c) or (d), registrations for such
facilities must be submitted by July 1, 2013. EPA may in its sole
discretion waive this requirement if it determines that the information
submitted in any later registration can be verified by EPA in the same
manner as would have been possible with a timely submission.
    (g) Registration shall be on forms, and following policies,
established by the Administrator.

Sec.  80.1451  What are the reporting requirements under the RFS
program?

    (a) Obligated parties and exporters. Any obligated party described
in Sec.  80.1406 or exporter of renewable fuel described in Sec.
80.1430 must submit to EPA reports according to the schedule, and
containing all the information, that is set forth in this paragraph
(a).
    (1) Annual compliance reports for the previous compliance period
shall be submitted by February 28 of each year and shall include all of
the following information:
    (i) The obligated party's or exporter's name.
    (ii) The EPA company registration number.
    (iii) Whether the domestic refiner, as defined in Sec.  80.1406, is
complying on a corporate (aggregate) or facility-by-facility basis.
    (iv) The EPA facility registration number, if complying on a
facility-by-facility basis.
    (v) The production volume and import volume of all of the products
listed in Sec.  80.1407(c) and (e) for the reporting year.
    (vi) The RVOs, as defined in Sec.  80.1427(a) for obligated parties
and Sec.  80.1430(b) for exporters of renewable fuel, for the reporting
year.
    (vii) Any deficit RVOs carried over from the previous year.
    (viii) The total current-year RINs by category of renewable fuel,
as those fuels are defined in Sec.  80.1401 (i.e., cellulosic biofuel,
biomass-based diesel, advanced biofuel, renewable fuel, and cellulosic
diesel), retired for compliance.
    (ix) The total prior-year RINs by renewable fuel category, as those
fuels are defined in Sec.  80.1401, retired for compliance.
    (x) The total cellulosic biofuel waiver credits used to meet the
party's cellulosic biofuel RVO.
    (xi) A list of all RINs retired for compliance in the reporting
year.
    (A) RIN information provided by the EPA Moderated Transaction
System (EMTS) that is retired to meet compliance conveyed via the EMTS
as per Sec.  80.1452.
    (B) [Reserved]
    (xii) Any deficit RVO(s) carried into the subsequent year.
    (xiii) Any additional information that the Administrator may
require.
    (2) The RIN transaction reports required under paragraph (c)(1) of
this section.

    (3) The quarterly RIN activity reports required under paragraph
(c)(2) of this section.
    (4) Reports required under this paragraph (a) must be signed and
certified as meeting all the applicable requirements of this subpart by
the owner or a responsible corporate officer of the obligated party or
exporter.
    (b) Renewable fuel producers (domestic and foreign) and importers.
Any domestic producer or importer of renewable fuel who generates RINs,
or foreign renewable fuel producer who generates RINs, must submit to
EPA reports according to the schedule, and containing all the
information, that is set forth in this paragraph (b).
    (1)(i) For RINs generated beginning on July 1, 2010, RIN generation
reports for each facility owned by the renewable fuel producer or
importer shall be submitted according to the schedule specified in
paragraph (f)(2) of this section.
    (ii) The RIN generation reports shall include all the following
information for each batch of renewable fuel produced or imported,
where ``batch'' means a discrete quantity of renewable fuel produced or
imported and assigned a unique batch-RIN per Sec.  80.1426(d):
    (A) The RIN generator's name.
    (B) The RIN generator's EPA company registration number.
    (C) The renewable fuel producer EPA facility registration number.
    (D) The importer EPA facility registration number and foreign
renewable producer company registration number, if applicable.
    (E) The applicable reporting period.
    (F) The quantity of RINs generated for each batch according to
Sec.  80.1426.
    (G) The production date of each batch.
    (H) The category of renewable fuel of each batch, as defined in
Sec.  80.1401.
    (I) The volume of denaturant and applicable equivalence value of
each batch.
    (J) The volume of each batch produced.
    (K) The types and volumes of feedstocks used.
    (L) The process(es) and feedstock(s) used and proportion of
renewable volume attributable to each process and feedstock.
    (M) The type of co-products produced with each batch of renewable
fuel.
    (N) The volume of co-products produced in each quarter.
    (O) A list of the RINs generated and an affirmation that the
feedstock(s) used for each batch meets the definition of renewable
biomass as defined in Sec.  80.1401.
    (P) Producers of renewable electricity and biogas used for
transportation as described in Sec.  80.1426(f)(10) and (11), and
producers of renewable fuel that use biogas for process heat as
described in Sec.  80.1426(f)(12), shall report the energy content
produced and supplied to the transportation fueling facility, in units
of energy (for example, MMBtu or MW) based on metering of gas volume or
electricity. And the name and EPA company registration number of the
transportation fueling facility.
    (Q) Producers of renewable fuel that use biogas for process heat as
described in Sec.  80.1426(f)(12), shall identify the supplier of the
biogas and report the energy content produced and supplied to the
renewable fuel facility, in MMBtu based on metering of gas volume.
    (R) Producers of renewable fuel made from municipal solid waste as
described in Sec.  80.1426(f)(5)(i)(C), shall report the amount of
paper, cardboard, plastics, rubber, textiles, metals, and glass
separated from municipal solid waste for recycling. Reporting shall be
in units of weight.
    (S) Any additional information the Administrator may require.
    (2) The RIN transaction reports required under paragraph (c)(1) of
this section.
    (3) The RIN activity reports required under paragraph (c)(2) of
this section.
    (4) Reports required under this paragraph (b) must be signed and
certified as meeting all the applicable requirements of this subpart by
the owner or a responsible corporate officer of the renewable fuel
producer or importer.
    (c) All RIN-owning parties. Any party, including any party
specified in paragraphs (a) and (b) of this section, that owns RINs
during a reporting period, must submit reports to EPA according to the
schedule, and containing all the information, that is set forth in this
paragraph (c).
    (1)(i) For RIN transactions beginning on July 1, 2010, RIN
transaction reports listing each RIN transaction shall be submitted
according to the schedule in paragraph (f)(2) of this section.
    (ii) As per Sec.  80.1452, RIN transaction information listing each
RIN transaction shall be submitted to the EMTS.
    (iii) Each report required by paragraph (c)(1)(i) of this section
shall include all of the following information:
    (A) The submitting party's name.
    (B) The submitting party's EPA company registration number.
    (C) The applicable reporting period.
    (D) Transaction type (i.e., RIN buy, RIN sell, RIN separation, RIN
retire, reinstated 2009 RIN).
    (E) Transaction date.
    (F) For a RIN purchase or sale, the trading partner's name.
    (G) For a RIN purchase or sale, the trading partner's EPA company
registration number. For all other transactions, the submitting party's
EPA company registration number.
    (H) RIN subject to the transaction.
    (I) For a RIN purchase or sale, the per gallon RIN price and/or the
per gallon price of renewable fuel price with RINs included.
    (J) The reason code for retiring RINs, separating RINs, buying
RINs, or selling RINs.
    (K) Any additional information that the Administrator may require.
    (2) RIN activity reports shall be submitted to EPA according to the
schedule specified in paragraph (f)(2) of this section. Each report
shall summarize RIN activities for the reporting period, separately for
RINs separated from a renewable fuel volume and RINs assigned to a
renewable fuel volume. The quarterly RIN activity reports shall include
all of the following information:
    (i) The submitting party's name.
    (ii) The submitting party's EPA company registration number.
    (iii) The number of current-year RINs owned at the start of the
quarter.
    (iv) The number of prior-year RINs owned at the start of the
quarter.
    (v) The total current-year RINs purchased.
    (vi) The total prior-year RINs purchased.
    (vii) The total current-year RINs sold.
    (viii) The total prior-year RINs sold.
    (ix) The total current-year RINs retired.
    (x) The total prior-year RINs retired.
    (xi) The number of current-year RINs owned at the end of the
quarter.
    (xii) The number of prior-year RINs owned at the end of the
quarter.
    (xiii) The number of RINs generated.
    (xiv) The volume of renewable fuel (in gallons) owned at the end of
the quarter.
    (xv) The total 2009 retired RINs reinstated.
    (xvi) Any additional information that the Administrator may
require.
    (3) All reports required under this paragraph (c) must be signed
and certified as meeting all the applicable requirements of this
subpart by the RIN owner or a responsible corporate officer of the RIN
owner.
    (d) Except for those producers subject to the aggregate compliance
approach described in Sec.  80.1454(g), producers and RIN-generating
importers of renewable fuel made from feedstocks that are planted crops
and crop residue from existing agricultural land, planted trees or tree
residue from actively managed tree plantations, slash and pre-
commercial thinnings from forestlands

or biomass obtained from areas at risk of wildfire must submit
quarterly reports according to the schedule in paragraph (f)(2) of this
section that include all of the following:
    (1) A summary of the types and volumes of feedstocks used in that
quarter.
    (2) Electronic data identifying the land by coordinates of the
points defining the boundaries from which each type of feedstock listed
per paragraph (d)(1) of this section was harvested.
    (3) If electronic data identifying a plot of land have been
submitted previously, producers and RIN-generating importers may submit
a cross-reference to that electronic data.
    (e) If EPA finds that the 2007 baseline amount of agricultural land
has been exceeded in any year beginning in 2010, beginning on the first
day of July of the following calendar year any domestic producers of
renewable fuel as defined in Sec.  80.1401 who use planted crops and/or
crop residue from existing agricultural lands as feedstock must submit
quarterly reports according to the schedule in paragraph (f)(2) of this
section that include all of the following:
    (1) A summary of the types and volumes of feedstocks used in that
quarter.
    (2) Maps or electronic data identifying the land from which each
type of feedstock listed per paragraph (d)(1) above was harvested.
    (i) If maps or electronic data identifying a plot of land have been
submitted previously, producers and RIN-generating importers may submit
a cross-reference to that map or electronic data.
    (ii) [Reserved.]
    (f) Quarterly report submission deadlines. The submission deadlines
for quarterly reports shall be as follows:
    (1) [Reserved.]
    (2) Quarterly reports shall be submitted to EPA by the last day of
the second month following the reporting period (i.e., the report
covering January-March would be due by May 31st, the report covering
April-June would be due by August 31st, the report covering July-
September would be due by November 30th and the report covering
October-December would be due by February 28th). Any reports generated
by EMTS must be reviewed, supplemented, and/or corrected if not
complete and accurate, and verified by the owner or responsible
corporate office prior to submittal.
    (3) Reports required must be signed and certified as meeting all
the applicable requirements of this subpart by the owner or a
responsible corporate officer of the submitter.
    (g) All reports required under this section shall be submitted on
forms and following procedures prescribed by the Administrator.

Sec.  80.1452  What are the requirements related to the EPA Moderated
Transaction System (EMTS)?

    (a) Each party required to submit information under this section
must establish an account with the EPA Moderated Transaction System
(EMTS) at least 60 days prior to engaging in any RIN transactions, or
July 1, 2010, whichever is later.
    (b) Starting July 1, 2010, each time a domestic producer or
importer of renewable fuel, or foreign renewable fuel producer who
generates RINs, produces or imports a batch of renewable fuel, all the
following information must be submitted to EPA via the submitting
party's EMTS account within five (5) business days:
    (1) The renewable fuel producer's, foreign renewable fuel
producer's, or importer's name.
    (2) The renewable fuel producer's or foreign renewable fuel
producer's EPA company registration number.
    (3) The importer's EPA company registration number if applicable.
    (4) The renewable fuel producer's or foreign renewable fuel
producer's EPA facility registration number.
    (5) The importer's EPA facility registration number.
    (6) The RIN type (i.e., D code) of the batch.
    (7) The production process(es) used for the batch.
    (8) The production date of the batch.
    (9) The category of renewable fuel of the batch, as defined in
Sec.  80.1401.
    (10) The volume of the batch.
    (11) The volume of denaturant and applicable equivalence value of
each batch.
    (12) Quantity of RINs generated for the batch.
    (13) The type and volume of feedstock(s) used for the batch.
    (14) An affirmation that the feedstock(s) used for each batch meets
the definition of renewable biomass as defined in Sec.  80.1401.
    (15) The type of co-products produced with the batch of renewable
fuel.
    (16) Any additional information the Administrator may require.
    (c) Starting July 1, 2010, each time any party engages in a
transaction involving RINs, all the following information must be
submitted to EPA via the submitting party's EMTS account within five
(5) business days:
    (1) The submitting party's name.
    (2) The submitting party's EPA company registration number.
    (3) The generation year of the RINs.
    (4) The RIN assignment information (Assigned or Separated).
    (5) The RIN type, or D code.
    (6) Transaction type (i.e., RIN buy, RIN sell, RIN separation, RIN
retire).
    (7) Transaction date as per Sec.  80.1453(a)(4).
    (8) For a RIN purchase or sale, the trading partner's name.
    (9) For a RIN purchase or sale, the trading partner's EPA company
registration number.
    (10) For an assigned RIN purchase or sale, the renewable fuel
volume associated with the sale.
    (11) Quantity of RINs involved in a transaction.
    (12) The per gallon RIN price or the per-gallon price of renewable
fuel with RINs included.
    (13) The reason for retiring RINs, separating RINs, buying RINs, or
selling RINs.
    (14) Any additional information that the Administrator may require.
    (d) All information required under this section shall be submitted
on forms and following procedures prescribed by the Administrator.

Sec.  80.1453  What are the product transfer document (PTD)
requirements for the RFS program?

    (a) On each occasion when any party transfers ownership of
renewable fuels or separated RINs subject to this subpart, the
transferor must provide to the transferee documents identifying the
renewable fuel and any RINs (whether assigned or separated) which
include all of the following information, as applicable:
    (1) The name and address of the transferor and transferee.
    (2) The transferor's and transferee's EPA company registration
numbers.
    (3) The volume of renewable fuel that is being transferred, if any.
    (4) The date of the transfer.
    (5) For assigned or separated RINs, the per gallon RIN price or the
per gallon renewable fuel price if the RIN price is included.
    (6) The quantity of RINs being traded.
    (7) The RIN type (i.e., D code).
    (8) The Assignment Code (Assigned or Separated, or K code = 1 or
2).
    (9) The RIN generation year.
    (10) The associated reason for the sell or buy transaction.
    (11) Whether any RINs are assigned to the volume, as follows:
    (i) If the assigned RINs are being transferred on the same PTD used
to transfer ownership of the renewable fuel, then the assigned RINs
shall be listed on the PTD.

    (ii) If the assigned RINs are being transferred on a separate PTD
from that which is used to transfer ownership of the renewable fuel,
then the PTD which is used to transfer ownership of the renewable fuel
shall state the number of gallon-RINs being transferred as well as a
unique reference to the PTD which is transferring the assigned RINs.
    (iii) If no assigned RINs are being transferred with the renewable
fuel, the PTD which is used to transfer ownership of the renewable fuel
shall state ``No assigned RINs transferred.''
    (iv) If RINs have been separated from the renewable fuel or blend
pursuant to Sec.  80.1429(b)(4), then all PTDs which are at any time
used to transfer ownership of the renewable fuel or blend shall state
``This volume of fuel must be used in the designated form, without
further blending.''
    (b) Except for transfers to truck carriers, retailers, or wholesale
purchaser-consumers, product codes may be used to convey the
information required under paragraphs (a)(1) through (a)(11) of this
section if such codes are clearly understood by each transferee.
    (c) For renewable fuel, other than ethanol, that is not registered
as motor vehicle fuel under 40 CFR Part 79, the PTD which is used to
transfer ownership of the renewable fuel shall state ``This volume of
renewable fuel may not be used as a motor vehicle fuel.''

Sec.  80.1454  What are the recordkeeping requirements under the RFS
program?

    (a) Requirements for obligated parties and exporters. Beginning
July 1, 2010, any obligated party (as described at Sec.  80.1406) or
exporter of renewable fuel (as described at Sec.  80.1401) must keep
all of the following records:
    (1) Product transfer documents consistent with Sec.  80.1453 and
associated with the obligated party's or exporter's activity, if any,
as transferor or transferee of renewable fuel or separated RINs.
    (2) Copies of all reports submitted to EPA under Sec. Sec.  80.1449
and 80.1451(a), as applicable.
    (3) Records related to each RIN transaction, including all of the
following:
    (i) A list of the RINs owned, purchased, sold, separated, retired,
or reinstated.
    (ii) The parties involved in each RIN transaction including the
transferor, transferee, and any broker or agent.
    (iii) The date of the transfer of the RIN(s).
    (iv) Additional information related to details of the RIN
transaction and its terms.
    (4) Records related to the use of RINs (by facility, if applicable)
for compliance, including all of the following:
    (i) Methods and variables used to calculate the Renewable Volume
Obligations pursuant to Sec.  80.1407 or Sec.  80.1430.
    (ii) List of RINs used to demonstrate compliance.
    (iii) Additional information related to details of RIN use for
compliance.
    (5) Records related to the separation of assigned RINs from
renewable fuel volume.
    (b) Requirements for all producers of renewable fuel. Beginning
July 1, 2010, any domestic or RIN-generating foreign producer of a
renewable fuel as defined in Sec.  80.1401 must keep all of the
following records in addition to those required under paragraphs (c) or
(d) of this section:
    (1) Product transfer documents consistent with Sec.  80.1453 and
associated with the renewable fuel producer's activity, if any, as
transferor or transferee of renewable fuel or separated RINs.
    (2) Copies of all reports submitted to EPA under Sec. Sec.  80.1449
and 80.1451(b).
    (3) Records related to the generation and assignment of RINs for
each facility, including all of the following:
    (i) Batch volume in gallons.
    (ii) Batch number.
    (iii) RIN as assigned under Sec.  80.1426, if applicable.
    (iv) Identification of batches by renewable category.
    (v) Type and quantity of co-products produced.
    (vi) Type and quantity of feedstocks used.
    (vii) Type and quantity of fuel used for process heat.
    (viii) Feedstock energy calculations per Sec.  80.1426(f)(4).
    (ix) Date of production.
    (x) Results of any laboratory analysis of batch chemical
composition or physical properties.
    (xi) All commercial documents and additional information related to
details of RIN generation.
    (4) Records related to each RIN transaction, separately for each
transaction, including all of the following:
    (i) A list of the RINs owned, purchased, sold, retired, or
reinstated.
    (ii) The parties involved in each transaction including the
transferor, transferee, and any broker or agent.
    (iii) The date of the transfer of the RIN(s).
    (iv) Additional information related to details of the transaction
and its terms.
    (5) Records related to the production, importation, ownership, sale
or use of any volume of renewable fuel for which RINs were generated or
blend of renewable fuel for which RINs were generated and gasoline or
diesel fuel that any party designates for use as transportation fuel,
jet fuel, or heating oil and the use of the fuel or blend as
transportation fuel, jet fuel, or heating oil without further blending,
in the designated form.
    (6) Copies of registration documents required under Sec.  80.1450,
including information on fuels and products, feedstocks, facility
production processes, process changes, and capacity, energy sources,
and a copy of the independent third party engineering review submitted
to EPA per Sec.  80.1450(b)(2).
    (c) Additional requirements for imports of renewable fuel.
    (1) Beginning July 1, 2010, any RIN-generating foreign producer of
a renewable fuel or RIN-generating importer must keep records of
feedstock purchases and transfers associated with renewable fuel for
which RINs are generated, sufficient to verify that feedstocks used are
renewable biomass (as defined in Sec.  80.1401).
    (i) RIN-generating foreign producers and importers of renewable
fuel made from feedstocks that are planted crops or crop residue from
existing agricultural land, planted trees or tree residue from actively
managed tree plantations, slash and pre-commercial thinnings from
forestlands or biomass obtained from wildland-urban interface must
maintain all of the following records to verify the location where
these feedstocks were produced:
    (A) Maps or electronic data indentifying the boundaries of the land
where each type of feedstock was produced.
    (B) Bills of lading, product transfer documents, or other
commercial documents showing the quantity of feedstock purchased from
each area identified in paragraph (c)(1)(i)(A) of this section, and
showing each transfer of custody of the feedstock from the location
where it was produced to the renewable fuel production facility.
    (ii)(A) RIN-generating foreign producers and importers of renewable
fuel made from planted crops or crop residue from existing agricultural
land must keep records that serve as evidence that the land from which
the feedstock was obtained was cleared or cultivated prior to December
19, 2007 and actively managed or fallow, and nonforested on December
19, 2007. RIN-generating foreign producers or importers of renewable
fuel made from planted trees or tree residue from actively managed tree
plantations must

keep records that serve as evidence that the land from which the
feedstock was obtained was cleared prior to December 19, 2007 and
actively managed on December 19, 2007.
    (B) The records must be provided by the feedstock producer,
traceable to the land in question, and consist of at least one of the
following documents:
    (1) Sales records for planted crops or trees, crop or tree residue,
or livestock; purchasing records for fertilizer, weed control, or
reseeding, including seeds, seedlings, or other nursery stock.
    (2) A written management plan for agricultural or silvicultural
purposes; documentation of participation in an agricultural or
silvicultural program sponsored by a Federal, state, or local
government agency.
    (3) Documentation of land management in accordance with an
agricultural or silvicultural product certification program, an
agreement for land management consultation with a professional forester
that identifies the land in question.
    (4) Evidence of the existence and ongoing maintenance of a road
system or other physical infrastructure designed and maintained for
logging use, together with one of the aforementioned documents in this
paragraph (c)(1)(ii)(B).
    (iii) RIN-generating foreign producers and importers of renewable
fuel made from any other type of renewable biomass must have documents
from their feedstock supplier certifying that the feedstock qualifies
as renewable biomass as defined in Sec.  80.1401, describing the
feedstock and identifying the process that was used to generate the
feedstock.
    (2) Beginning July 1, 2010, any RIN-generating importer of
renewable fuel (as defined in Sec.  80.1401) must keep all of the
following records:
    (i) Product transfer documents consistent with Sec.  80.1453 and
associated with the renewable fuel importer's activity, if any, as
transferor or transferee of renewable fuel.
    (ii) Copies of all reports submitted to EPA under Sec. Sec.
80.1449 and 80.1451(b); however, duplicate records are not required.
    (iii) Records related to the generation and assignment of RINs for
each facility, including all of the following:
    (A) Batch volume in gallons.
    (B) Batch number.
    (C) RIN as assigned under Sec.  80.1426.
    (D) Identification of batches by renewable category.
    (E) Type and quantity of feedstocks used.
    (F) Type and quantity of fuel used for process heat.
    (G) Date of import.
    (H) Results of any laboratory analysis of batch chemical
composition or physical properties.
    (I) The EPA registration number of the foreign renewable fuel
producers producing the fuel.
    (J) Additional information related to details of RIN generation.
    (iv) Records related to each RIN transaction, including all of the
following:
    (A) A list of the RINs owned, purchased, sold, separated, retired,
or reinstated.
    (B) The parties involved in each transaction including the
transferor, transferee, and any broker or agent.
    (C) The date of the transfer of the RIN(s).
    (D) Additional information related to details of the transaction
and its terms.
    (v) Copies of registration documents required under Sec.  80.1450.
    (vi) Records related to the import of any volume of renewable fuel
that the importer designates for use as transportation fuel, jet fuel,
or heating oil.
    (d) Additional requirements for domestic producers of renewable
fuel. Except as provided in paragraphs (g) and (h) of this section,
beginning July 1, 2010, any domestic producer of renewable fuel as
defined in Sec.  80.1401 that generates RINs for such fuel must keep
documents associated with feedstock purchases and transfers that
identify where the feedstocks were produced and are sufficient to
verify that feedstocks used are renewable biomass (as defined in Sec.
80.1401) if RINs are generated.
    (1) Domestic producers of renewable fuel made from feedstocks that
are planted trees or tree residue from actively managed tree
plantations, slash and pre-commercial thinnings from forestlands or
biomass obtained from areas at risk of wildfire must maintain all the
following records to verify the location where these feedstocks were
produced:
    (i) Maps or electronic data identifying the boundaries of the land
where each type of feedstock was produced.
    (ii) Bills of lading, product transfer documents or other
commercial documents showing the quantity of feedstock purchased from
each area identified in paragraph (d)(1)(i) of this section, and
showing each transfer of custody of the feedstock from the location
where it was produced to the renewable fuel production facility.
    (2) Domestic producers of renewable fuel made from planted trees or
tree residue from actively managed tree plantations must keep records
that serve as evidence that the land from which the feedstock was
obtained was cleared prior to December 19, 2007 and actively managed on
December 19, 2007. The records must be provided by the feedstock
producer and must include at least one of the following documents,
which must be traceable to the land in question:
    (i) Sales records for planted trees or tree residue.
    (ii) Purchasing records for fertilizer, weed control, or reseeding,
including seeds, seedlings, or other nursery stock.
    (iii) A written management plan for silvicultural purposes.
    (iv) Documentation of participation in a silvicultural program
sponsored by a Federal, state, or local government agency.
    (v) Documentation of land management in accordance with a
silvicultural product certification program, an agreement for land
management consultation with a professional forester.
    (vi) Evidence of the existence and ongoing maintenance of a road
system or other physical infrastructure designed and maintained for
logging use, together with one of the aforementioned documents.
    (3) Domestic producers of renewable fuel made from any other type
of renewable biomass must have documents from their feedstock supplier
certifying that the feedstock qualifies as renewable biomass as defined
in Sec.  80.1401, describing the feedstock and identifying the process
that was used to generate the feedstock.
    (e) Additional requirements for producers of fuel exempt from the
20% GHG reduction requirement. Beginning July 1, 2010, any production
facility with a baseline volume of fuel that is not subject to the 20%
GHG threshold, pursuant to Sec.  80.1403(c) and (d), must keep all of
the following:
    (1) Detailed engineering plans for the facility.
    (2) Federal, State, and local (or foreign governmental)
preconstruction approvals and permitting.
    (3) Procurement and construction contracts and agreements.
    (f) Requirements for other parties that own RINs. Beginning July 1,
2010, any party, other than those parties covered in paragraphs (a) and
(b) of this section, that owns RINs must keep all of the following
records:
    (1) Product transfer documents consistent with Sec.  80.1453 and
associated with the party's activity, if any, as transferor or
transferee of renewable fuel or separated RINs.
    (2) Copies of all reports submitted to EPA under Sec.  80.1451(c).

    (3) Records related to each RIN transaction by renewable fuel
category, including all of the following:
    (i) A list of the RINs owned, purchased, sold, retired, or
reinstated.
    (ii) The parties involved in each RIN transaction including the
transferor, transferee, and any broker or agent.
    (iii) The date of the transfer of the RIN(s).
    (iv) Additional information related to details of the transaction
and its terms.
    (4) Records related to any volume of renewable fuel that the party
designated for use as transportation fuel, jet fuel, or heating oil and
from which RINs were separated pursuant to Sec.  80.1429(b)(4).
    (g) Aggregate compliance with renewable biomass requirement. Any
domestic producer of renewable fuel made from planted crops or crop
residue from existing agricultural land as defined in Sec.  80.1401 is
subject to the aggregate compliance approach and is not required to
maintain feedstock records unless EPA publishes a finding that the 2007
baseline amount of agricultural land has been exceeded.
    (1) EPA will make a finding concerning whether the 2007 baseline
amount of agricultural land has been exceeded and will publish this
finding in the Federal Register by November 30 of the year preceding
the compliance period.
    (2) If EPA finds that the 2007 baseline amount of agricultural land
has been exceeded, beginning on the first day of July of the compliance
period in question any domestic producer of renewable fuel made from
planted crops and/or crop residue from agricultural lands as feedstock
for renewable fuel for which RINs are generated must keep all the
following records:
    (i) Records that serve as evidence that the land from which the
feedstock was obtained was cleared or cultivated prior to December 19,
2007 and actively managed or fallow, and nonforested on December 19,
2007. The records must be provided by the feedstock producer and must
include at least one of the following documents, which must be
traceable to the land in question:
    (A) Sales records for planted crops, crop residue or livestock.
    (B) Purchasing records for fertilizer, weed control, seeds,
seedlings, or other nursery stock.
    (C) A written management plan for agricultural purposes.
    (D) Documentation of participation in an agricultural program
sponsored by a Federal, state, or local government agency.
    (E) Documentation of land management in accordance with an
agricultural product certification program.
    (ii) Records to verify the location where the feedstocks were
produced:
    (A) Maps or electronic data indentifying the boundaries of the land
where each type of feedstock was produced; and
    (B) Bills of lading, product transfer documents or other commercial
documents showing the quantity of feedstock purchased from each area
identified in paragraph (c)(1)(i)(A) of this section, and showing each
transfer of custody of the feedstock from the location where it was
produced to the renewable fuel facility.
    (h) Alternative renewable biomass tracking requirement. Any foreign
or domestic renewable fuel producer or importer as defined in Sec.
80.1401 may comply with the following alternative renewable biomass
tracking requirement instead of the recordkeeping requirements in
paragraphs (c)(1), (d), and (g) of this section:
    (1) To comply with the alternative renewable biomass tracking
requirement under this paragraph (h), a renewable fuel producer or
importer must either arrange to have an independent third party conduct
a comprehensive program of annual compliance surveys, or participate in
the funding of an organization which arranged to have an independent
third party conduct a comprehensive program of annual compliance
surveys, to be carried out in accordance with a survey plan which has
been approved by EPA.
    (2) The annual compliance surveys under this paragraph (h) must be
all the following:
    (i) Planned and conducted by an independent surveyor that meets the
requirements in Sec.  80.68(c)(13)(i).
    (ii) Conducted at renewable fuel production and import facilities
and their feedstock suppliers.
    (iii) Representative of all renewable fuel producers and importers
in the survey area and representative of their feedstock suppliers.
    (iv) Designed to achieve at least the same level of quality
assurance required in paragraphs (c)(1), (d) and (g) of this section.
    (3) The compliance survey program shall require the independent
surveyor conducting the surveys to do all the following:
    (i) Conduct feedstock audits of renewable fuel production and
import facilities in accordance with the survey plan approved under
this paragraph (h), or immediately notify EPA of any refusal of these
facilities to allow an audit to be conducted.
    (ii) Obtain the records and product transfer documents associated
with the feedstocks being audited.
    (iii) Determine the feedstock supplier(s) that supplied the
feedstocks to the renewable fuel producer.
    (iv) Confirm that feedstocks used to produce RIN-generating
renewable fuels meet the definition of renewable biomass as defined in
Sec.  80.1401.
    (v) Immediately notify EPA of any case where the feedstocks do not
meet the definition of renewable biomass as defined in Sec.  80.1401.
    (vi) Immediately notify EPA of any instances where a renewable fuel
producer, importer or feedstock supplier subject to review under the
approved plan fails to cooperate in the manner described in this
section.
    (vii) Submit to EPA a report of each survey, within thirty days
following the completion of each survey, such report to include all the
following information:
    (A) The identification of the person who conducted the survey.
    (B) An attestation by the officer of the surveyor company that the
survey was conducted in accordance with the survey plan and the survey
results are accurate.
    (C) Identification of the parties for whom the survey was
conducted.
    (D) Identification of the covered area surveyed.
    (E) The dates on which the survey was conducted.
    (F) The address of each facility at which the survey audit was
conducted and the date of the audit.
    (G) A description of the methodology used to select the locations
for survey audits and the number of audits conducted.
    (viii) Maintain all records relating to the survey audits conducted
under this section (h) for a period of at least 5 years.
    (ix) At any time permit any representative of EPA to monitor the
conduct of the surveys, including observing audits, reviewing records,
and analysis of the audit results.
    (4) A survey plan under this paragraph (h) must include all the
following:
    (i) Identification of the parties for whom the survey is to be
conducted.
    (ii) Identification of the independent surveyor.
    (iii) A methodology for determining all the following:
    (A) When the audits will be conducted.
    (B) The audit locations.
    (C) The number of audits to be conducted during the annual
compliance period.
    (iv) Any other elements determined by EPA to be necessary to
achieve the

level of quality assurance required under paragraphs (c)(1), (d), and
(g) of this section.
    (5)(i) Each renewable fuel producer and importer who participates
in the alternative renewable biomass tracking under this paragraph (h)
must take all reasonable steps to ensure that each feedstock producer,
aggregator, distributor, or supplier cooperates with this program by
allowing the independent surveyor to audit their facility and by
providing to the independent surveyor and/or EPA, upon request, copies
of management plans, product transfer documents, and other records or
information regarding the source of any feedstocks received.
    (ii) Reasonable steps under paragraph (h)(5)(i) of this section
must include, but typically should not be limited to: Contractual
agreements with feedstock producers, aggregators, distributors, and
suppliers, which require them to cooperate with the independent
surveyor and/or EPA in the manner described in paragraph (h)(5)(i) of
this section.
    (6) The procedure for obtaining EPA approval of a survey plan under
this paragraph (h), and for revocation of any such approval, are as
follows:
    (i) A detailed survey plan which complies with the requirements of
this paragraph (h) must be submitted to EPA, no later than September 1
of the year preceding the calendar year in which the surveys will be
conducted.
    (ii) The survey plan must be signed by a responsible corporate
officer of the renewable fuel producer or importer, or responsible
officer of the organization which arranges to have an independent
surveyor conduct a program of renewable biomass compliance surveys, as
applicable.
    (iii) The survey plan must be sent to the following address:
Director, Compliance and Innovative Strategies Division, U.S.
Environmental Protection Agency, 1200 Pennsylvania Ave., NW. (6406J),
Washington, DC 20460.
    (iv) EPA will send a letter to the party submitting a survey plan
under this section, either approving or disapproving the survey plan.
    (v) EPA may revoke any approval of a survey plan under this section
for cause, including an EPA determination that the approved survey plan
had proved inadequate in practice or that it was not diligently
implemented.
    (vi) The approving official for an alternative quality assurance
program under this section is the Director of the Compliance and
Innovative Strategies Division, Office of Transportation and Air
Quality.
    (vii) Any notifications required under this paragraph (h) must be
directed to the officer designated in paragraph (h)(6)(vi) of this
section.
    (7)(i) No later than December 1 of the year preceding the year in
which the surveys will be conducted, the contract with the independent
surveyor shall be in effect, and an amount of money necessary to carry
out the entire survey plan shall be paid to the independent surveyor or
placed into an escrow account with instructions to the escrow agent to
pay the money to the independent surveyor during the course of the
conduct of the survey plan.
    (ii) No later than December 15 of the year preceding the year in
which the surveys will be conducted, EPA must receive a copy of the
contract with the independent surveyor, proof that the money necessary
to carry out the survey plan has either been paid to the independent
surveyor or placed into an escrow account, and, if placed into an
escrow account, a copy of the escrow agreement, to be sent to the
official designated in paragraph (h)(6)(iii) of this section.
    (8) A failure of any renewable fuel producers or importer to
fulfill or cause to be fulfilled any of the requirements of this
paragraph (h) will cause the option for such party to use the
alternative quality assurance requirements under this paragraph (h) to
be void ab initio.
    (i) Beginning July 1, 2010, all parties must keep transaction
information sent to EMTS in addition to other records required under
this section.
    (j) A renewable fuel producer that produces fuel from separated
yard and food waste as described in Sec.  80.1426(f)(5)(i)(A) and (B)
and separated municipal waste as described in Sec.  80.1426(f)(5)(i)(C)
shall keep all the following additional records:
    (1) For separated yard and food waste as described in Sec.
80.1426(f)(5)(i)(A) and (B):
    (i) Documents demonstrating the amounts, by weight, purchased of
separated yard and food waste for use as a feedstock in producing
renewable fuel.
    (ii) Such other records as may be requested by the Administrator.
    (2) For separated municipal solid waste as described in Sec.
80.1426(f)(5)(i)(C):
    (i) Contracts and documents memorializing the sale of paper,
cardboard, plastics, rubber, textiles, metals, and glass separated from
municipal solid waste for recycling.
    (ii) Documents demonstrating the amounts by weight purchased of
post-recycled separated yard and food waste for use as a feedstock in
producing renewable fuel.
    (iii) Such other records as may be requested by the Administrator.
    (k) A renewable fuel producer that generates RINs for biogas or
electricity produced from renewable biomass (renewable electricity) for
fuels that are used for transportation pursuant to Sec.  80.1426(f)(10)
and (11), or that uses process heat from biogas to generate RINs for
renewable fuel pursuant to Sec.  80.1426(f)(12) shall keep all of the
following additional records:
    (1) Contracts and documents memorializing the sale of biogas or
renewable electricity for use as transportation fuel relied upon in
Sec.  80.1426(f)(10), Sec.  80.1426(f)(11), or for use of biogas for
use as process heat to make renewable fuel as relied upon in Sec.
80.1426(f)(12), and the transfer of title of the biogas or renewable
electricity and all associated environmental attributes from the point
of generation to the transportation fueling facility.
    (2) Documents demonstrating the volume and energy content of
biogas, or energy content of renewable electricity relied upon under
Sec.  80.1426(f)(10) that was delivered to the transportation fueling
facility.
    (3) Documents demonstrating the volume and energy content of
biogas, or energy content of renewable electricity relied upon under
Sec.  80.1426(f)(11) or biogas relied upon under Sec.  80.1426(f)(12)
that was placed into the common carrier pipeline (for biogas) or
transmission line (for renewable electricity).
    (4) Documents demonstrating the volume and energy content of
biogas, or energy content of renewable electricity relied upon under
Sec.  80.1426(f)(12) at the point of distribution.
    (5) Affidavits from the biogas, or renewable electricity producer
and all parties that held title to the biogas or renewable electricity
confirming that title and environmental attributes of the biogas or
renewable electricity relied upon under Sec.  80.1426(f)(10) and (11)
or biogas relied upon under Sec.  80.1426(f)(12) were delivered to the
transportation fueling facility and only to the transportation fueling
facility. The renewable fuel producer shall create and/or obtain these
affidavits at least once per calendar quarter.
    (6) The biogas or renewable electricity producer's Compliance
Certification required under Title V of the Clean Air Act.
    (7) Such other records as may be requested by the Administrator.
    (l) The records required under paragraphs (a) through (d) and (f)
through (k) of this section and under

Sec.  80.1453 shall be kept for five years from the date they were
created, except that records related to transactions involving RINs
shall be kept for five years from the date of the RIN transaction.
    (m) The records required under paragraph (e) of this section shall
be kept through calendar year 2022.
    (n) On request by EPA, the records required under this section and
under Sec.  80.1453 must be made available to the Administrator or the
Administrator's authorized representative. For records that are
electronically generated or maintained, the equipment or software
necessary to read the records shall be made available; or, if requested
by EPA, electronic records shall be converted to paper documents.
    (o) The records required in paragraphs (b)(3) and (c)(1) of this
section must be transferred with any renewable fuel sent to the
importer of that renewable fuel by any foreign producer not generating
RINs for his renewable fuel.
    (p) Copies of all reports required under Sec.  80.1464.

Sec.  80.1455  What are the small volume provisions for renewable fuel
production facilities and importers?

    (a) Standard volume threshold. Renewable fuel production facilities
located within the United States that produce less than 10,000 gallons
of renewable fuel each year, and importers who import less than 10,000
gallons of renewable fuel each year, are not subject to the
requirements of Sec.  80.1426(a) and (e) related to the generation and
assignment of RINs or to batches of renewable fuel. Except as stated in
paragraph (b) of this section, such production facilities and importers
that do not generate and/or assign RINs to batches of renewable fuel
are also exempt from all the following requirements of this subpart:
    (1) The registration requirements of Sec.  80.1450.
    (2) The reporting requirements of Sec.  80.1451.
    (3) The EMTS requirements of Sec.  80.1452.
    (4) The recordkeeping requirements of Sec.  80.1454.
    (5) The attest engagement requirements of Sec.  80.1464.
    (6) The production outlook report requirements of Sec.  80.1449.
    (b)(1) Renewable fuel production facilities and importers who
produce or import less than 10,000 gallons of renewable fuel each year
and that generate and/or assign RINs to batches of renewable fuel are
subject to the provisions of Sec. Sec.  80.1426, 80.1449 through
80.1452, 80.1454, and 80.1464.
    (2) Renewable fuel production facilities and importers who produce
or import less than 10,000 gallons of renewable fuel each year but wish
to own RINs will be subject to all requirements stated in paragraphs
(a)(1) through (a)(6) and (b)(1) of this section, and all other
applicable requirements of this subpart M.
    (c) Temporary volume threshold. Renewable fuel production
facilities located within the United States that produce less than
125,000 gallons of renewable fuel each year are not subject to the
requirements of Sec.  80.1426(a) and (e) related to the generation and
assignment of RINs to batches of renewable fuel for up to three years,
beginning with the calendar year in which the production facility
produces its first gallon of renewable fuel. Except as stated in
paragraph (d) of this section, such production facilities that do not
generate and/or assign RINs to batches of renewable fuel are also
exempt from all the following requirements of this subpart for a
maximum of three years:
    (1) The registration requirements of Sec.  80.1450.
    (2) The reporting requirements of Sec.  80.1451.
    (3) The EMTS requirements of Sec.  80.1452.
    (4) The recordkeeping requirements of Sec.  80.1454.
    (5) The attest engagement requirements of Sec.  80.1464.
    (6) The production outlook report requirements of Sec.  80.1449.
    (d)(1) Renewable fuel production facilities who produce less than
125,000 gallons of renewable fuel each year and that generate and/or
assign RINs to batches of renewable fuel are subject to the provisions
of Sec. Sec.  80.1426, 80.1449 through 80.1452, 80.1454, and 80.1464.
    (2) Renewable fuel production facilities who produce less than
125,000 gallons of renewable fuel each year but wish to own RINs will
be subject to all requirements stated in paragraphs (c)(1) through
(c)(6) and (d)(1) of this section, and all other applicable
requirements of this subpart M.

Sec.  80.1456  What are the provisions for cellulosic biofuel waiver
credits?

    (a) If EPA reduces the applicable volume of cellulosic biofuel
pursuant to section 211(o)(7)(D)(i) of the Clean Air Act (42 U.S.C.
7545(o)(7)(D)(i)) for any given compliance year, then EPA will provide
cellulosic biofuel waiver credits for purchase for that compliance
year.
    (1) The price of these cellulosic biofuel waiver credits will be
set by EPA on an annual basis in accordance with paragraph (d) of this
section.
    (2) The total cellulosic biofuel waiver credits available will be
equal to the reduced cellulosic biofuel volume established by EPA for
the compliance year.
    (b) Use of cellulosic biofuel waiver credits.
    (1) Cellulosic biofuel waiver credits are only valid for use in the
compliance year that they are made available.
    (2) Cellulosic biofuel waiver credits are nonrefundable.
    (3) Cellulosic biofuel waiver credits are nontransferable.
    (4) Cellulosic biofuel waiver credits may only be used for an
obligated party's current year cellulosic biofuel RVO and not towards
any prior year deficit cellulosic biofuel volume obligations.
    (c) Purchase of cellulosic biofuel waiver credits.
    (1) Only parties with an RVO for cellulosic biofuel may purchase
cellulosic biofuel waiver credits.
    (2) Cellulosic biofuel waiver credits shall be purchased from EPA
at the time that a party submits its annual compliance report to EPA
pursuant to Sec.  80.1451(a)(1).
    (3) Parties may not purchase more cellulosic biofuel waiver credits
than their current year cellulosic biofuel RVO minus cellulosic biofuel
RINs with a D code of 3 that they own.
    (4) Cellulosic biofuel waiver credits may only be used to meet an
obligated party's cellulosic biofuel RVO.
    (d) Setting the price of cellulosic biofuel waiver credits.
    (1) The price for cellulosic biofuel waiver credits shall be set
equal to the greater of:
    (i) $0.25 per cellulosic biofuel waiver credit, adjusted for
inflation in comparison to calendar year 2008; or
    (ii) $3.00 less the wholesale price of gasoline per cellulosic
biofuel waiver credit, adjusted for inflation in comparison to calendar
year 2008.
    (2) The wholesale price of gasoline will be calculated by averaging
the most recent twelve monthly values for U.S. Total Gasoline Bulk
Sales (Price) by Refiners as provided by the Energy Information
Administration that are available as of September 30 of the year
preceding the compliance period.
    (3) The inflation adjustment will be calculated by comparing the
most recent Consumer Price Index for All Urban Consumers (CPI-U) for
All Items expenditure category as provided by the Bureau of Labor
Statistics that is available at the time EPA sets the cellulosic
biofuel standard to the most recent comparable value reported after
December 31, 2008. When EPA must set the price of cellulosic biofuel
waiver credits for a compliance year, EPA will calculate the new
amounts for

paragraphs (d)(1)(i) and (ii) of this section for each year after 2008
and every month where data is available for the year preceding the
compliance period at the time EPA sets the cellulosic biofuel standard.
    (e) Cellulosic biofuel waiver credits under this section will only
be able to be purchased on forms and following procedures prescribed by
EPA.

Sec. Sec.  80.1457-80.1459   [Reserved]

Sec.  80.1460  What acts are prohibited under the RFS program?

    (a) Renewable fuels producer or importer violation. Except as
provided in Sec.  80.1455, no person shall produce or import a
renewable fuel without complying with the requirements of Sec.  80.1426
regarding the generation and assignment of RINs.
    (b) RIN generation and transfer violations. No person shall do any
of the following:
    (1) Generate a RIN for a fuel that is not a renewable fuel, or for
which the applicable renewable fuel volume was not produced.
    (2) Create or transfer to any person a RIN that is invalid under
Sec.  80.1431.
    (3) Transfer to any person a RIN that is not properly identified as
required under Sec.  80.1425.
    (4) Transfer to any person a RIN with a K code of 1 without
transferring an appropriate volume of renewable fuel to the same person
on the same day.
    (5) Introduce into commerce any renewable fuel produced from a
feedstock or through a process that is not described in the person's
registration information.
    (c) RIN use violations. No person shall do any of the following:
    (1) Fail to acquire sufficient RINs, or use invalid RINs, to meet
the person's RVOs under Sec.  80.1427.
    (2) Fail to acquire sufficient RINs to meet the person's RVOs under
Sec.  80.1430.
    (3) Use a validly generated RIN to meet the person's RVOs under
Sec.  80.1427, or separate and transfer a validly generated RIN, where
the person ultimately uses the renewable fuel volume associated with
the RIN in an application other than for use as transportation fuel,
jet fuel, or heating oil (as defined in Sec.  80.1401).
    (d) RIN retention violation. No person shall retain RINs in
violation of the requirements in Sec.  80.1428(a)(5).
    (e) Causing a violation. No person shall cause another person to
commit an act in violation of any prohibited act under this section.
    (f) Failure to meet a requirement. No person shall fail to meet any
requirement that applies to that person under this subpart.

Sec.  80.1461  Who is liable for violations under the RFS program?

    (a) Liability for violations of prohibited acts.
    (1) Any person who violates a prohibition under Sec.  80.1460(a)
through (d) is liable for the violation of that prohibition.
    (2) Any person who causes another person to violate a prohibition
under Sec.  80.1460(a) through (d) is liable for a violation of Sec.
80.1460(e).
    (b) Liability for failure to meet other provisions of this subpart.
    (1) Any person who fails to meet a requirement of any provision of
this subpart is liable for a violation of that provision.
    (2) Any person who causes another person to fail to meet a
requirement of any provision of this subpart is liable for causing a
violation of that provision.
    (c) Parent corporation liability. Any parent corporation is liable
for any violation of this subpart that is committed by any of its
subsidiaries.
    (d) Joint venture liability. Each partner to a joint venture is
jointly and severally liable for any violation of this subpart that is
committed by the joint venture operation.

Sec.  80.1462  [Reserved]

Sec.  80.1463  What penalties apply under the RFS program?

    (a) Any person who is liable for a violation under Sec.  80.1461 is
subject a to civil penalty as specified in sections 205 and 211(d) of
the Clean Air Act, for every day of each such violation and the amount
of economic benefit or savings resulting from each violation.
    (b) Any person liable under Sec.  80.1461(a) for a violation of
Sec.  80.1460(c) for failure to meet its RVOs, or Sec.  80.1460(e) for
causing another person to fail to meet their RVOs, during any averaging
period, is subject to a separate day of violation for each day in the
averaging period.
    (c) Any person liable under Sec.  80.1461(b) for failure to meet,
or causing a failure to meet, a requirement of any provision of this
subpart is liable for a separate day of violation for each day such a
requirement remains unfulfilled.

Sec.  80.1464  What are the attest engagement requirements under the
RFS program?

    The requirements regarding annual attest engagements in Sec. Sec.
80.125 through 80.127, and 80.130, also apply to any attest engagement
procedures required under this subpart M. In addition to any other
applicable attest engagement procedures, such as the requirements in
Sec. Sec.  80.1465 and 80.1466, the following annual attest engagement
procedures are required under this subpart.
    (a) Obligated parties and exporters. The following attest
procedures shall be completed for any obligated party as stated in
Sec.  80.1406(a) or exporter of renewable fuel:
    (1) Annual compliance demonstration report.
    (i) Obtain and read a copy of the annual compliance demonstration
report required under Sec.  80.1451(a)(1) which contains information
regarding all the following:
    (A) The obligated party's volume of all products listed in Sec.
80.1407(c) and (e), or the exporter's volume of each category of
exported renewable fuel identified in Sec.  80.1430 (b)(1)(i),
(b)(1)(ii), (b)(2)(i), and (b)(2)(ii).
    (B) RVOs.
    (C) RINs used for compliance.
    (ii) Obtain documentation of any volumes of renewable fuel used in
products listed in Sec.  80.1407(c) and (e) at the refinery or import
facility or exported during the reporting year; compute and report as a
finding the total volumes of renewable fuel represented in these
documents.
    (iii) For obligated parties, compare the volumes of products listed
in Sec.  80.1407(c) and (e) reported to EPA in the report required
under Sec.  80.1451(a)(1) with the volumes, excluding any renewable
fuel volumes, contained in the inventory reconciliation analysis under
Sec.  80.133 and the volume of non-renewable diesel produced or
imported. Verify that the volumes reported to EPA agree with the
volumes in the inventory reconciliation analysis and the volumes of
non-renewable diesel produced or imported, and report as a finding any
exception.
    (iv) For exporters, perform all of the following:
    (A) Obtain the database, spreadsheet, or other documentation that
the exporter maintains for purposes for all exported renewable fuel.
    (B) Compare the volume of products identified in these documents
with the volumes reported to EPA.
    (C) Verify that the volumes reported to EPA agree with the volumes
identified in the database, spreadsheet, or other documentation, and
report as a finding any exception.
    (v) Compute and report as a finding the obligated party's or
exporter's RVOs, and any deficit RVOs carried over from the previous
year or carried into the subsequent year, and verify that the values
agree with the values reported to EPA.

    (vi) Obtain the database, spreadsheet, or other documentation for
all RINs by type of renewable fuel used for compliance during the year
being reviewed; calculate the total number of RINs associated with each
type of renewable fuel used for compliance by year of generation
represented in these documents; state whether this information agrees
with the report to EPA and report as a finding any exceptions.
    (vii) For exporters, perform all the following:
    (A) Select sample batches in accordance with the guidelines in
Sec.  80.127 from each separate category of renewable fuel exported and
identified in Sec.  80.1451(a).
    (B) Obtain invoices, bills of lading and other documentation for
the representative samples. Calculate the RVO for the exported fuel,
state whether this information agrees with the report to EPA and report
as a finding any exception.
    (C) State whether any of these documents refer to the exported fuel
as advanced biofuel or cellulosic biofuel, and report as a finding
whether or not the exporter calculated an advanced biofuel or
cellulosic biofuel RVO for these fuels pursuant to Sec.
80.1430(b)(2)(i) or (ii).
    (2) RIN transaction reports.
    (i) Obtain and read copies of a representative sample, selected in
accordance with the guidelines in Sec.  80.127, of each RIN transaction
type (RINs purchased, RINs sold, RINs retired, RINs reinstated)
included in the RIN transaction reports required under Sec.
80.1451(a)(2) for the compliance year.
    (ii) Obtain contracts, invoices, or other documentation for the
representative samples of RIN transactions; compute the transaction
types, transaction dates, and RINs traded; state whether the
information agrees with the party's reports to EPA and report as a
finding any exceptions.
    (3) RIN activity reports.
    (i) Obtain and read copies of all quarterly RIN activity reports
required under Sec.  80.1451(a)(3) for the compliance year.
    (ii) Obtain the database, spreadsheet, or other documentation used
to generate the information in the RIN activity reports; compare the
RIN transaction samples reviewed under paragraph (a)(2) of this section
with the corresponding entries in the database or spreadsheet and
report as a finding any discrepancies; compute the total number of
current-year and prior-year RINs owned at the start and end of each
quarter, purchased, sold, retired and reinstated, and for parties that
reported RIN activity for RINs assigned to a volume of renewable fuel,
the volume and type of renewable fuel (as defined in Sec.  80.1401) of
renewable fuel owned at the end of each quarter; as represented in
these documents; and state whether this information agrees with the
party's reports to EPA.
    (b) Renewable fuel producers and RIN-generating importers. The
following attest procedures shall be completed for any RIN-generating
renewable fuel producer or importer:
    (1) RIN generation reports.
    (i) Obtain and read copies of the reports required under Sec.
80.1451(b)(1), (e), and (d) for the compliance year.
    (ii) Obtain production data for each renewable fuel batch by type
of renewable fuel that was produced or imported during the year being
reviewed; compute the RIN numbers, production dates, types, volumes of
denaturant and applicable equivalence values, and production volumes
for each batch; report the total RINs generated during the year being
reviewed; and state whether this information agrees with the party's
reports to EPA. Report as a finding any exceptions.
    (iii) Verify that the proper number of RINs were generated and
assigned pursuant to the requirements of Sec.  80.1426 for each batch
of renewable fuel produced or imported.
    (iv) Obtain product transfer documents for a representative sample,
selected in accordance with the guidelines in Sec.  80.127, of
renewable fuel batches produced or imported during the year being
reviewed; verify that the product transfer documents contain the
applicable information required under Sec.  80.1453; verify the
accuracy of the information contained in the product transfer
documents; report as a finding any product transfer document that does
not contain the applicable information required under Sec.  80.1453.
    (v)(A) Obtain documentation, as required under Sec.  80.1451(b),
(d), and (e) associated with feedstock purchases for a representative
sample, selected in accordance with the guidelines in Sec.  80.127, of
renewable fuel batches produced or imported during the year being
reviewed.
    (B) Verify that feedstocks were properly identified in the reports
and met the definition of renewable biomass in Sec.  80.1401.
    (2) RIN transaction reports.
    (i) Obtain and read copies of a representative sample, selected in
accordance with the guidelines in Sec.  80.127, of each transaction
type (RINs purchased, RINs sold, RINs retired, RINs reinstated)
included in the RIN transaction reports required under Sec.
80.1451(b)(2) for the compliance year.
    (ii) Obtain contracts, invoices, or other documentation for the
representative samples of RIN transactions; compute the transaction
types, transaction dates, and the RINs traded; state whether this
information agrees with the party's reports to EPA and report as a
finding any exceptions.
    (3) RIN activity reports.
    (i) Obtain and read copies of the quarterly RIN activity reports
required under Sec.  80.1451(b)(3) for the compliance year.
    (ii) Obtain the database, spreadsheet, or other documentation used
to generate the information in the RIN activity reports; compare the
RIN transaction samples reviewed under paragraph (b)(2) of this section
with the corresponding entries in the database or spreadsheet and
report as a finding any discrepancies; report the total number of each
RIN generated during each quarter and compute and report the total
number of current-year and prior-year RINs owned at the start and end
of each quarter, purchased, sold, retired and reinstated, and for
parties that reported RIN activity for RINs assigned to a volume of
renewable fuel, the volume of renewable fuel owned at the end of each
quarter, as represented in these documents; and state whether this
information agrees with the party's reports to EPA.
    (4) Independent Third Party Engineering Review.
    (i) Obtain documentation of independent third party engineering
reviews required under Sec.  80.1450(b)(2).
    (ii) Review and verify the written verification and records
generated as part of the independent third party engineering review.
    (c) Other parties owning RINs. The following attest procedures
shall be completed for any party other than an obligated party or
renewable fuel producer or importer that owns any RINs during a
calendar year:
    (1) RIN transaction reports.
    (i) Obtain and read copies of a representative sample, selected in
accordance with the guidelines in Sec.  80.127, of each RIN transaction
type (RINs purchased, RINs sold, RINs retired, RINs separated, RINs
reinstated) included in the RIN transaction reports required under
Sec.  80.1451(c)(1) for the compliance year.
    (ii) Obtain contracts, invoices, or other documentation for the
representative samples of RIN transactions; compute the transaction
types, transaction dates, and the RINs traded; state whether this
information

agrees with the party's reports to EPA and report as a finding any
exceptions.
    (2) RIN activity reports.
    (i) Obtain and read copies of the quarterly RIN activity reports
required under Sec.  80.1451(c)(2) for the compliance year.
    (ii) Obtain the database, spreadsheet, or other documentation used
to generate the information in the RIN activity reports; compare the
RIN transaction samples reviewed under paragraph (c)(1) of this section
with the corresponding entries in the database or spreadsheet and
report as a finding any discrepancies; compute the total number of
current-year and prior-year RINs owned at the start and end of each
quarter, purchased, sold, retired, separated, and reinstated and for
parties that reported RIN activity for RINs assigned to a volume of
renewable fuel, the volume of renewable fuel owned at the end of each
quarter, as represented in these documents; and state whether this
information agrees with the party's reports to EPA.
    (d) For each compliance year, each party subject to the attest
engagement requirements under this section shall cause the reports
required under this section to be submitted to EPA by May 31 of the
year following the compliance year.
    (e) The party conducting the procedures under this section shall
obtain a written representation from a company representative that the
copies of the reports required under this section are complete and
accurate copies of the reports filed with EPA.
    (f) The party conducting the procedures under this section shall
identify and report as a finding the commercial computer program used
by the party to track the data required by the regulations in this
subpart, if any.

Sec.  80.1465  What are the additional requirements under this subpart
for foreign small refiners, foreign small refineries, and importers of
RFS-FRFUEL?

    (a) Definitions. The following additional definitions apply for
this subpart:
    (1) Foreign refinery is a refinery that is located outside the
United States, the Commonwealth of Puerto Rico, the U.S. Virgin
Islands, Guam, American Samoa, and the Commonwealth of the Northern
Mariana Islands (collectively referred to in this section as ``the
United States'').
    (2) Foreign refiner is a person that meets the definition of
refiner under Sec.  80.2(i) for a foreign refinery.
    (3) Foreign small refinery is a foreign refinery that has received
a small refinery exemption under Sec.  80.1441.
    (4) Foreign small refiner is a foreign refiner that has received a
small refiner exemption under Sec.  80.1442.
    (5) RFS-FRFUEL is transportation fuel produced at a foreign
refinery that has received a small refinery exemption under Sec.
80.1441 or by a foreign refiner with a small refiner exemption under
Sec.  80.1442.
    (6) Non-RFS-FRFUEL is one of the following:
    (i) Transportation fuel produced at a foreign refinery that has
received a small refinery exemption under Sec.  80.1441 or by a foreign
refiner with a small refiner exemption under Sec.  80.1442.
    (ii) Transportation fuel produced at a foreign refinery that has
not received a small refinery exemption under Sec.  80.1441 or by a
foreign refiner that has not received a small refiner exemption under
Sec.  80.1442.
    (b) General requirements for RFS-FRFUEL for foreign small
refineries and small refiners. A foreign refiner must do all the
following:
    (1) Designate, at the time of production, each batch of
transportation fuel produced at the foreign refinery that is exported
for use in the United States as RFS-FRFUEL.
    (2) Meet all requirements that apply to refiners who have received
a small refinery or small refiner exemption under this subpart.
    (c) Designation, foreign small refiner certification, and product
transfer documents.
    (1) Any foreign small refiner must designate each batch of RFS-
FRFUEL as such at the time the transportation fuel is produced.
    (2) On each occasion when RFS-FRFUEL is loaded onto a vessel or
other transportation mode for transport to the United States, the
foreign small refiner shall prepare a certification for each batch of
RFS-FRFUEL that meets all the following requirements:
    (i) The certification shall include the report of the independent
third party under paragraph (d) of this section, and all the following
additional information:
    (A) The name and EPA registration number of the refinery that
produced the RFS-FRFUEL.
    (B) [Reserved]
    (ii) The identification of the transportation fuel as RFS-FRFUEL.
    (iii) The volume of RFS-FRFUEL being transported, in gallons.
    (3) On each occasion when any person transfers custody or title to
any RFS-FRFUEL prior to its being imported into the United States, it
must include all the following information as part of the product
transfer document information:
    (i) Designation of the transportation fuel as RFS-FRFUEL.
    (ii) The certification required under paragraph (c)(2) of this
section.
    (d) Load port independent testing and refinery identification.
    (1) On each occasion that RFS-FRFUEL is loaded onto a vessel for
transport to the United States the foreign small refiner shall have an
independent third party do all the following:
    (i) Inspect the vessel prior to loading and determine the volume of
any tank bottoms.
    (ii) Determine the temperature-corrected volume of RFS-FRFUEL
loaded onto the vessel (exclusive of any tank bottoms before loading).
    (iii) Obtain the EPA-assigned registration number of the foreign
refinery.
    (iv) Determine the name and country of registration of the vessel
used to transport the RFS-FRFUEL to the United States.
    (v) Determine the date and time the vessel departs the port serving
the foreign refinery.
    (vi) Review original documents that reflect movement and storage of
the RFS-FRFUEL from the foreign refinery to the load port, and from
this review determine:
    (A) The refinery at which the RFS-FRFUEL was produced; and
    (B) That the RFS-FRFUEL remained segregated from Non-RFS-FRFUEL and
other RFS-FRFUEL produced at a different refinery.
    (2) The independent third party shall submit a report to all the
following:
    (i) The foreign small refiner or owner of the foreign small
refinery, containing the information required under paragraph (d)(1) of
this section, to accompany the product transfer documents for the
vessel.
    (ii) The Administrator, containing the information required under
paragraph (d)(1) of this section, within thirty days following the date
of the independent third party's inspection. This report shall include
a description of the method used to determine the identity of the
refinery at which the transportation fuel was produced, assurance that
the transportation fuel remained segregated as specified in paragraph
(j)(1) of this section, and a description of the transportation fuel's
movement and storage between production at the source refinery and
vessel loading.
    (3) The independent third party must do all the following:
    (i) Be approved in advance by EPA, based on a demonstration of
ability to perform the procedures required in this paragraph (d).

    (ii) Be independent under the criteria specified in Sec.
80.65(f)(2)(iii).
    (iii) Sign a commitment that contains the provisions specified in
paragraph (f) of this section with regard to activities, facilities,
and documents relevant to compliance with the requirements of this
paragraph (d).
    (e) Comparison of load port and port of entry testing.
    (1)(i) Any foreign small refiner or foreign small refinery and any
United States importer of RFS-FRFUEL shall compare the results from the
load port testing under paragraph (d) of this section, with the port of
entry testing as reported under paragraph (k) of this section, for the
volume of transportation fuel, except as specified in paragraph
(e)(1)(ii) of this section.
    (ii) Where a vessel transporting RFS-FRFUEL offloads this