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ISSUE BRIEF

Methyl Tertiary Butyl Ether (MTBE)
Prepared for the NCSL Clean Air Working Group and AFI Environment Committee
NCSL Annual Meeting, July 2000

Background
Where is MTBE used?
Actions to Ban MTBE
State Legislation on MTBE

Background

The gasoline additive methyl tertiary butyl ether (MTBE) is an oxygenate added to gasoline to help reduce air pollution. For years, it has been considered one of the best agents for reducing automobile emissions that create ozone (smog), but states and the Environmental Protection Agency have moved to ban MTBE because of its propensity to contaminate ground and drinking water supplies.

MTBE enters underground water sources anytime reformulated or oxygenated gasoline spills out of faulty underground storage tanks. Once in the water, MTBE can form plumes and exhibits a tendency to travel quickly spreading the contamination. MTBE is colorless, tastes and smells like turpentine, and can be detected by smell at extremely low concentrations. MTBE may be a human carcinogen and poses other potential health risks including, but not limited to, memory loss, asthma and skin irritation..

Where is MTBE used?

MTBE is most often used in reformulated gasoline and oxygenated gasoline across the country. Reformulated gasoline (RFG) has been in use since the late 1980s. RFG creates fewer emissions of toxics and ozone precursors than conventional gasoline by controlling oxygen, benzene, aromatic hydrocarbon and metals content. Today, RFG constitutes approximately 32 percent of all gasoline in the nation.

The Clean Air Act requires that RFG must be at least 2 percent oxygenate by weight. MTBE is the most popular oxygenate and currently is used in approximately 80 percent of RFG nationwide.

The Clean Air Act required the use of reformulated gasoline (RFG) in the nine cities in the country with the worst smog-Los Angeles, San Diego, Chicago, Houston, Milwaukee, Baltimore, Philadelphia, Hartford, and New York City (Sacramento was added in 1995).

Other areas have voluntarily entered the RFG program to help attain air quality goals. These "opt-in" areas include portions or all of Connecticut, Delaware, the District of Columbia, Kentucky, Maryland, Massachusetts, Missouri, New Hampshire, New Jersey, New York, Rhode Island, Texas and Virginia. States that voluntarily enter the RFG program are allowed to opt out as well.

There also are gasoline oxygen-content requirements for areas that have problems with carbon monoxide pollution. Oxygenated fuel requirements apply to 19 areas designated as nonattainment for carbon monoxide. Gasoline in these areas must contain 2.7 percent oxygen by weight during winter months (this standard must be defined in state air quality implementation plans). MTBE is not widely used, however, in the oxygenated fuel program. Only Los Angeles and the New York/Northern New Jersey/Connecticut region use MTBE in their wintertime oxy-fuel program.

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Actions to Ban MTBE

In March 1999, California became the first state to officially ban MTBE when Governor Davis issued an executive order for a three-year phase out. Then, Pennsylvania opted out of the federal RFG program in June, citing MTBE health effects as its primary reason for doing so. Maine had also opted out of RFG for similar reasons in 1998.

California and New Hampshire passed legislation in 1999 that addressed MTBE. California SB 989 codified the governor's executive order for the phase-out of MTBE. The legislature also required that refiners submit quarterly reports to detail the amount of MTBE used in gasoline and how the amount compares to last year's use.

New Hampshire passed several pieces of legislation in 1999 that provided for health studies, limits on MTBE content in gasoline and standards for maximum levels of MTBE in drinking water.

In March 2000, EPA and the Department of Agriculture joined in calling for Congress to amend the Clean Air Act to remove the oxygenate requirement from the RFG program. The Clinton administration is hoping to replace the requirement with a mandate for renewable energy content. This would open the door for ethanol to replace MTBE as the dominant additive in MTBE. In addition to the call for Congressional action, EPA plans to phase out MTBE use through rulemaking authority provided under the Toxic Substances Control Act. The law allows EPA to ban chemicals that pose an unreasonable risk to public health.

The stringent requirements for review under the Toxic Substance Control Act, however, may require several years to complete. The following is a state by state compilation of legislative action related to MTBE.

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STATE LEGISLATION ON MTBE ADDITIVES IN REFORMULATED GASOLINE

Alabama

Little or no activity.

Alaska

Little or no activity.

Arizona

  • FINAL ACTION. Arizona will ban the MTBE no later than 180 days after California completes its phaseout of MTBE on December 31, 2002, according to Senate Bill 1504 (HB 2386), which was recently approved by the Governor.

Arkansas

Little or no activity.

 

California

FINAL ACTIONS.

  • In March 1999, California became the first state to officially ban MTBE when Governor Gray Davis issued an executive order for a three-year phase out of the gasoline additive.
  • California SB 989 codified the governor's executive order for the phase-out of MTBE. The legislature also required that refiners submit quarterly reports to detail the amount of MTBE used in gasoline and how the amount compares to last year's use.
  • MTBE has shown up in hundreds more underground fuel links in and water quality experts have raised their estimate of the number of MTBE spills from 4,500 to nearly 6,600, a nearly 32 percent increase over the past year.

Colorado

FINAL ACTION.

Colorado's Governor recently signed SB 190 into law, which mandates a phasing out of MTBE by April 30, 2002. In areas where MTBE is not currently sold or stored - which includes Denver and the rest of the Front Range of the Rocky Mountains - the additive will be banned immediately.

Connecticut

FINAL ACTION.

SB 571 (signed by Governor 6/1/2000) will phase out the use of MTBE as a gasoline additive over a five-year period, and increase penalties for the unlawful discharge of gasoline.

Delaware

The legislature is studying the groundwater problem, but as of now, no resolutions have passed or been proposed to phase out MTBE. (Source at the Department of Environmental Control)

District of Columbia

Little or no activity.

Florida

Florida has been monitoring its public water system for MTBE since the early 1990's; MTBE has not yet been found in amounts exceeding the EPA guidelines. No MTBE legislation has passed as of the present.

Georgia

Little or no activity.

Hawaii

FINAL ACTION.

The Governor recently vetoed Hawaii HB 3021 (passed House and Senate) which would have banned MTBE by July 1, 2001.

Idaho

Little or no activity.

Illinois

  • FINAL ACTION. A proposal to ban MTBE was blocked on 4/11/2000 in an Illinois House committee. Rep. Bill Mitchell, (R-Forsyth), proposed the original amendment to Senate Bill 1046 that would have banned MTBE in Illinois by 2001.
  • PENDING ACTION. Other resolutions have urged Congress and the executive branch to take immediate steps to ban MTBE.

Indiana

Little or no activity.

Iowa

  • FINAL ACTION. Iowa HB 2294 died in committee. It would have prohibited the sale of MTBE, but would have permitted the sale or storage of an "incidental amount" of MTBE if the Department of Natural Resources found no threat to public health/ environment.
  • FINAL ACTION A resolution has been considered to urge Congress or the state's congressional delegation to change the Clean Air Act to phase out MTBE.

Kansas

Little or no activity.

Kentucky

  • FINAL ACTION. House Resolution 151, passed 3/23/2000, recognized the benefits of ethanol as an effective alternative to MTBE.
  • FINAL ACTION. HB 849, which would have banned the use of MTBE, died in committee with the end of the legislative session.
  • FINAL ACTION. Senate Joint Resolution 68, which urged KY's congressional delegation to support changes to the Clean Air Act that would allow the state to opt out of the federal RFG program, passed in the Senate, but died in committee in the House.

Louisiana

Little or no activity.

Maine

FINAL ACTION.

Maine has not participated in the RFG program since 1999 because of concerns about a state study that detected MTBE in 15 percent of drinking water supplies. Although legislation to ban MTBE was proposed, it was tabled because the MTBE contamination of water improved rapidly.

Maryland

  • FINAL ACTION. Legislation has been enacted creating a state Task Force to investigate the contamination of water supplies MTBE and to examine potential health effects. (HB 823)
  • Environmental officials have found the gasoline additive MTBE in 66 of the 1,060 public water systems in Maryland they investigated (03/08/2000).

Massachusetts

  • FINAL ACTION. Resolution against MTBE failed in the legislature.
  • Although no ban is likely to be proposed, the Dept. of Environmental Affairs is working with regional groups to monitor water contamination and to eventually phase out MTBE additives. NESCAUM, a coalition of New England regions, is the principle organization working to monitor the situation.

Michigan

FINAL ACTION.

On June 15, 2000, Michigan's Governor signed into law HB5570, which bans MTBE beginning 1/1/2003, and directs the department of environmental quality to study the environmental and health effects of MTBE.

Minnesota

FINAL ACTION.

Minnesota HB 3131, a complete ban on MTBE, died in committee at the end of this legislative session. However, SB2946, which instead limits MTBE content in gasoline to 1/3 of one percent by weight, and requires that MTBE be phased out by July 2005, was signed into law. (Codified in Chapter 434)

Mississippi

Little or no activity.

Missouri

FINAL ACTION.

  • Concurrent resolutions in the legislature urged the governor to exercise the state's right to opt out of the RFG program until a safe substitute for MTBE is identified (e.g. HCR 32, HCR 14).
  • Thus pressed by the Republicans, the Governor issued an executive order which will ban MTBE after the EPA and Congress meet certain conditions. These conditions include: a requirement that the EPA provide a waiver for Missouri from provisions in the Clean Air Act and the reformulated gasoline program (RFG); a requirement that Congress prevent price increases or a decline in air quality that could result from an MTBE ban; and assurance from Congress that Missouri will not lose federal highway funds because of its ban of MTBE.
  • FINAL ACTION. SB 966 (HB 1801), which was to codify the Governor's ban on MTBE, died in committee at the end of the legislative session.
  • PENDING ACTION. Missouri lawmakers are also urging quick action at the federal levels to ban MTBE and to promote ethanol as a replacement. (03/29/2000)

Montana

Little or no activity.

Nebraska

FINAL ACTION.

The much-talked-about ethanol mandate in Nebraska appears to be finished for this year, and thus Gas station owners will not be required to sell an ethanol blend. The ethanol mandate instead evolved into a ban of MTBE (LB 1234), which was approved by the Governor on 4/12/2000.

Nevada

Little or no activity.

New Hampshire

FINAL ACTIONS.

  • In 1999, New Hampshire signed three actions on MTBE into law: HB 592 established a legislative study committee to investigate actions for reducing the effects of MTBE on surface and groundwater; HJR 9 urges the U.S. Congress and the U.S. Environmental Protection Agency to eliminate federal requirements for oxygenates; SB 70 requires that the commissioner of environmental services limit the concentration of MTBE allowed in gasoline and that the commissioner seek waivers from EPA for MTBE.
  • SB 71, a complete ban on MTBE, passed the Senate in 1999; however, its House companion bill failed to pass early this year.
  • New Hampshire has also introduced legislation that would permit the state to enter into discussions with other northeastern states about implementing a regional gasoline that contains less MTBE.

New Jersey

PENDING ACTION.

New Jersey (AB 218, AB 1667, AB 1923, SB 527) has several pieces of legislation that would prohibit MTBE use. All are currently in Committee, and will carry over to the next legislative session.

New Mexico

Little or no activity.

New York

  • FINAL ACTION. Governor Pataki (R-NY) signed a bill banning MTBE by Jan. 1, 2004. The New York ban, drafted partly in response to contamination reported on Long Island and upstate, will prohibit the use, sale, and importation of MTBE beginning January 1, 2004 under penalty of up to $10,000, according to Pataki's office. (5/24/2000)
  • PENDING ACTION. Legislation has also been proposed to direct state agencies to study MTBE contamination of water supplies and to examine its health effects.

North Carolina

Little or no activity.

North Dakota

Little or no activity.

Ohio

Little or no activity.

Oklahoma

Little or no activity.

Oregon

Little or no activity.

Pennsylvania

  • FINAL ACTION. In June 1999, Pennsylvania chose to no longer participate in the federal RFG program, citing MTBE health effects as its primary reason. SB 989 codified the governor's executive order for the phase out of MTBE.
  • Studies found 73 percent of Pennsylvania's drinking water supplies were contaminated with MTBE.

Rhode Island

  • FINAL ACTION. House Resolution 7999 (passed 06/07/2000) requests that the federal government lift the requirement for 2% oxygenate levels in reformulated gasoline.
  • PENDING ACTION. Legislation has been proposed to direct state agencies to study MTBE contamination of water supplies and to examine its health effects.

South Carolina

Little or no activity.

South Dakota

  • FINAL ACTION. South Dakota passed legislation (SB 1124 signed by the governor) that limits MTBE content in gasoline to no more than 2 percent by weight.
  • PENDING ACTION. A proposed bill, South Dakota HB 1132, would prohibit MTBE use entirely.

Tennessee

Little or no activity.

Texas

Little or no activity.

Utah

Little or no activity.

Vermont

Little or no activity.

Virginia

FINAL ACTION.

HB 909 was recently enacted (4/09/2000), which directs state agencies to study MTBE contamination of water supplies and to examine its health effects.

Washington

Little or no activity.

West Virginia

FINAL ACTION.

West Virginia SB 441, which would have prohibited MTBE use, died in committee at the end of the legislative session.

Wisconsin

FINAL ACTION.

AB 838, a proposed ban on MTBE, failed to pass the Wisconsin Assembly in 1999.

Wyoming

Little or no activity.

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