The meeting was called to order at 9:50 a.m. by Chairman Mikels.
1. Opening Comments
Ms. Soto. Expressed her appreciation to staff for preparing, at her request earlier this year, a calendar of public events and hearings related to the technical and political debate presently underway concerning California's zero-emission and low-emission vehicle mandates. This calendar, which she recently had staff update to include a series of hearings on this subject by the California Air Resources Board, will be updated and distributed to Board members each year with the calendar of monthly Board meetings. She emphasized the high political, industrial, economic and air quality stakes that are entangled within this debate, and hoped the calendar would help the Board focus their supportive efforts accordingly.
CONSENT CALENDAR
2. Minutes of May 12, 1995 Board Meeting
3. Report of the Public Advisor, Small Business Assistance, and
Economic
Development Offices
4. Set a Public Hearing on July 14, 1995 to Consider Amendments
to the AQMD's
Rules and Regulations, and to Adopt Any Necessary California Environmental
Quality Act Documentation for the Following Rule:
Adopt Proposed Regulation XXI - Portable Equipment
5. Report of Civil Actions Filed
6. Report of Hearing Board Cases and Appeals
7. Recommendation for a Fiscal Year 1994-95 Budget Transfer
8. Recommendation to Approve Funding for Four Additional Backup
Projects as an
Amendment to the Fiscal Year 1994-95 AB 2766 Discretionary Work
Program
and Authorize the Board Chairman to Execute Agreements
9. Recommendation to Purchase Ultra-Low and Zero-Emission Vehicles
10. Status Report on AQMD Listing of Environmental Documents and
Lead Agency
Projects Received by the AQMD for Review and Comment
11. Recommendation Regarding a Request for Proposals for Business
Computer
Hardware, Database Software, and Disaster and Conversion Services
12. Rule Forecast Report
13. Recommendation to Award Bids for Review or Preparation of
Air Toxics
"Hot Spots" Information and Assessment Act (AB 2588)
Health Risk Assessments
14. Recommendation Regarding Use of Reserve Funds to Issue Air
Toxics "Hot Spots"
Fee Rebate for Fiscal Year 1994-95
15. Recommendation to Adopt Resolution Amending the Annual Compensation
for the
AQMD's Hearing Board Members
16. Recommendation to Award Bids for Source Emissions Testing by Outside Contractors
17. Recommendation Regarding a Request for Proposals to Prequalify
Providers of
Temporary Staff Services
18. Recommendation to Award Bid for Medical Services Provider
19. Recommendation to Dispose of AQMD Property
20. Recommendation Regarding Requests for Quotations to Prequalify
Providers of
Various Services and Supplies
21. Recommendation Regarding Memoranda of Understanding With the
Federation
of Public Sector Workers
22. Recommendation Regarding Memorandum of Understanding With
the
San Bernardino Public Employees Association
22(A) Status Report Regarding Implementation of the Business Clean Air Partnership
Agenda Items 2, 9, 10, 16, 21 and 22 were held for discussion.
2. Minutes of May 12, 1995 Board Meeting
Ms. Soto asked that the motion on Page 7 of the Minutes approving Agenda Item No. 10 be modified to include amendment of the Response to Finding No. 2 of the Summary of Findings and Recommendations to indicate that the AQMD would proactively commit to expanding its outreach efforts to include more small business sources, as suggested in her comments on the item. As she recalled, Board members were agreeable to her suggestion; however, the motion approving the item did not include that amendment.
MR. BRAUDE MOVED TO REMOVE ITEM NO. 2 FROM THE AGENDA, TO BE BROUGHT BACK TO THE BOARD AT ITS JULY 14, 1995 MEETING WITH LANGUAGE ADDRESSING MS. SOTO'S REQUEST. THE MOTION WAS SECONDED BY MR. PAULITZ.
16. Recommendation to Award Bids for Source Emissions Testing by Outside Contractors
21. Recommendation Regarding Memoranda of Understanding With the
Federation of Public
Sector Workers
22. Recommendation Regarding Memorandum of Understanding With the San Bernardino Public Employees Association
James M. Lents, Ph.D., Executive Officer, explained that negotiations were ongoing between AQMD and the unions representing employees in the Technical and Enforcement, Office Clerical and Maintenance, and Professional bargaining units. Items 21 and 22 will be standing items on the agenda until closure is reached and a recommendation regarding Memoranda of Understanding can be made. He recommended that these two items be continued to the Board's July 14, 1995 meeting.
THE CONSENT CALENDAR WAS AMENDED AT CHAIRMAN MIKELS' DIRECTION TO SHOW AGENDA ITEMS 2, 21 AND 22 CONTINUED TO THE JULY 14, 1995 BOARD MEETING.
ON MOTION OF MR. PAULITZ, SECONDED BY DR. WILSON, A UNANIMOUS VOTE WAS CAST BY THE BOARD MEMBERS PRESENT (Absent: Silva, Lee and Loveridge) APPROVING AGENDA ITEMS 3 THROUGH 7 (Agenda Item No. 8 having been withdrawn), 11 THROUGH 20 (With Mr. Antonovich abstaining on Item No. 16) AND 22(A), AS RECOMMENDED BY STAFF.
(Ms. Soto left at 10:00 a.m.)
9. Recommendation to Purchase Ultra-Low and Zero-Emission Vehicles
Dr. Burke questioned why the AC Propulsion electric vehicle (EV), at $90,000, costs three times as much as the $29,000-compressed natural gas minivans; and also how the cost of this EV compared to that of the two AC Propulsion EVs (a Honda CRX and a Saturn ELX) currently owned by AQMD.
Dr. Alan Lloyd, Chief Scientist, explained that AC Propulsion is a small company located in the Basin which is still trying to build up a large production capability. The previous two EVs were purchased from them by the AQMD at an approximate cost of $70,000 each. While the battery, electronics and so forth will still be of the same high standard AC Propulsion has produced in the past, the EV staff recommends for purchase will be much more finished, more sophisticated and will have more interior improvements. In response to Dr. Burke, Dr. Lloyd added that although the Air Resources Board (ARB) is not contributing funds for this program, AQMD has shared its results with ARB and views this as a partnership to ensure that the zero-emission vehicle program be sustained.
Mr. Braude commented on the enormous leverage to be gained by the AQMD, for a relatively small investment, in advancing production of state-of-the-art low- and zero-emission vehicles.
ON MOTION OF DR. BURKE, SECONDED BY MR. PAULITZ, A UNANIMOUS VOTE WAS CAST OF THE BOARD MEMBERS PRESENT (Absent: Lee, Loveridge, Silva and Soto) APPROVING AGENDA ITEM NO. 9 AS RECOMMENDED BY STAFF.
10. Status Report on AQMD Listing of Environmental Documents and Lead Agency Projects Received by the AQMD for Review and Comment
Expressing concern that staff would no longer be able to routinely comment on California Environmental Quality Act (CEQA) documents, Mr. Hewitt brought attention to an AQMD publication, Building Markets for Low Emission Technologies and Clean Fuels, published in January 1995 at a cost of $28,000. He believed that instead of spending money on publications of this type, which are frequently not read, AQMD should devote those funds to items essential to the mission of the AQMD, such as CEQA review.
ON MOTION OF MR. HEWITT, SECONDED BY DR. WILSON, A UNANIMOUS VOTE WAS CAST OF THE BOARD MEMBERS PRESENT (Absent: Lee, Loveridge, Silva and Soto) APPROVING AGENDA ITEM NO. 10 AS RECOMMENDED BY STAFF.
BOARD CALENDAR
Notes: (A) The Legislative Committee meeting of May 19, 1995
was canceled. The Committee
expects to meet at 8:30 a.m. on June 9, 1995 prior to the regular
monthly Board meeting.
An oral report may be made at the June 9 Board meeting.
(B) The Mobile Source Committee rescheduled its meeting to
June 16, 1995. The minutes
of the meeting will be reported at the July 14, 1995 Board meeting.
(C) The Interagency AQMP Implementation Committee now meets
bimonthly, hence the
Committee did not meet in the month of May. The next Committee
meeting is scheduled for
June 22, 1995 at 10:00 a.m.
23. Administrative Committee Report
24. Recommendation of Administrative Committee Regarding Appointments
to the District's
Hearing Board
25. Legislative Committee Report and Recommendations (See Note A)
26. Mobile Source Committee Report (See Note B)
27. Stationary Source Committee Report
28. Technology Committee Report
29. Air Resources Board Monthly Meeting Report
30. Interagency AQMP Implementation Committee Meeting Report (See Note C)
31. Mobile Source Air Pollution Reduction Review Committee Report
32. Advisory Council Minutes of April 27, 1995 Meeting
Agenda Item No. 24 was held for comment by Chairman Mikels.
ON MOTION OF MS. HAGGARD, SECONDED BY DR. WILSON, A UNANIMOUS VOTE WAS CAST OF THE BOARD MEMBERS PRESENT (Absent: Lee, Loveridge, Silva and Soto) APPROVING AGENDA ITEMS 23 AND 25 THROUGH 32 AS RECOMMENDED.
24. Recommendation of Administrative Committee Regarding Appointments
to the District's
Hearing Board
Chairman Mikels reported that the Administrative Committee recommended the reappointment of Marcus Lewis as a Public Member and Joseph D. Auerbach, M.D. as the Medical Member on the Hearing Board. In addition, he introduced Ms. Marti L. Klein, whom the Committee recommended for appointment as a Public Member.
ON MOTION OF DR. WILSON, SECONDED BY MR. PAULITZ, A UNANIMOUS VOTE WAS CAST OF THE BOARD MEMBERS PRESENT (Absent: Lee, Loveridge, Silva and Soto) APPROVING THE FOLLOWING APPOINTMENTS TO THE AQMD'S HEARING BOARD, WITH TERMS ENDING JULY 1, 1998, AS RECOMMENDED:
Public Members Medical Member
Marcus Lewis Joseph D. Auerbach, M.D.
Terry Dipple, Alternate Robert Zweig, M.D., Alternate
Marti L. Klein
James Manion, Alternate
PUBLIC HEARINGS
33. Adopt Proposed Rule 518.1 - Permit Appeal Procedures for Title V Facilities, and Amend Regulation XXX -Title V Permits and Rule 518 - Hearing Board Procedures for Title V Facilities
Dr. Lents reported that the business community has expressed concerns regarding this item, which is required by federal law. The U.S. Environmental Protection Agency (EPA) has recommended that the Board continue the public hearing on this item to the August 11, 1995 Board meeting to allow EPA the opportunity to work with industry on addressing their concerns. Staff concurred in that recommendation, and copies of the June 8, 1995 letter from EPA requesting the continuance were distributed to Board Members.
(Mr. Loveridge arrived at 10:15 a.m.)
Chairman Mikels opened the public hearing, with the understanding that the hearing would be continued to the Board's August 11, 1995 meeting. The Board heard testimony from the following individuals:
STEVEN BROILES, Attorney, on behalf of the Cities of Burbank, Glendale and Pasadena
1) Requested that a task force be formed to explore the possibility of creating a federal analog that would achieve the same purpose for Title V sources as the variance achieves for state sources in California.
2) Commented that he had brought to staff's attention several errors in the Technical Guidance Document (TGD); and suggested, since there was insufficient time allowed for review and comment on the TGD before its submittal to EPA, that workshops be held during the next 60 days to allow public comment on the document. (Submitted Written Comments.)
Dr. Lents responded that one of the key issues to be discussed during the negotiations with EPA is the variance procedures, and indicated that he would speak with EPA representative David Howekamp about including Mr. Broiles in negotiations on that particular issue.
Indicating her agreement with Mr. Broiles' comments on the TGD, Ms. Leyden stated staff's intention to provide the public the opportunity to identify any concerns they have so that staff can make any corrections necessary. With respect to the variance issue, she suggested that staff initiate a working meeting within the next two weeks with all interested parties and EPA--including notice to the existing Title V Working Group--to work on developing an alternative proposal. At Ms. Haggard's request, Ms. Leyden agreed to include members of the Stationary Source Committee in the meeting also.
CLAYTON MILLER, Construction Industry Air Quality Coalition (CIAQC)
Requested the removal of certain construction companies from the Appendix A List of Facilities Subject to Title V due to Criteria Pollutant Emissions. The fuel usage reported by these companies in 1992 was an aggregate of all of the diesel fuel used by them. The majority of that fuel, however, was used on mobile equipment, which, CIAQC believes, is not supposed to be counted in the Title V program. (Submitted Written Comments)
Ms. Leyden responded that there is not a final list yet of what is considered Phase I Title V sources. Mobile equipment is included in the existing equipment permits and the emissions are part of what has to be addressed as the total project goes through New Source Review for offsetting requirements. Staff is still pursing this particular aspect, which affects approximately 12 facilities on the initial Title V list, and will get an answer back to CIAQC before the continued public hearing in August.
MICHAEL CARROLL, Attorney, on behalf of Regulatory Flexibility Group
Expressed support for continuing the public hearing, and looked forward to working with staff and Board Members on resolving the outstanding issues.
Ms. Haggard clarified, for the record, that the issues stated in the letters submitted to Board Members by Lee Wallace of the Gas Company and Michael Carroll of Latham & Watkins, as well as the comments by Mr. Broiles and Mr. Miller should all be addressed as part of the discussions.
Stressing the importance of the variance procedure, Mr. Braude commented that the need for flexibility and a certain amount of discretion at the local level is very fundamental; and to have a rigid system of regulation at the federal level is disastrous for this type of regulation. He and Mr. Hewitt both expressed disappointment that no one from EPA was present to participate in the discussion on this item, and Mr. Hewitt suggested that staff urge EPA to have someone present for the August Board meeting.
Mr. Hewitt also commented that as the negotiations go forward, staff should be aware that he will not support any set of regulations that does not include a variance procedure along the lines of what was originally supported. He expressed his belief that AQMD should take a stern, unyielding position in the next 60 days to allow AQMD the type of regulatory flexibility advocated by Mr. Braude in his comments, and hoped that staff would take that position into the working group meetings. If EPA finds it cannot approve the Title V program AQMD puts forward and imposes a federal operating permits program, he believed Congress would find EPA's program unacceptable.
Mr. Paulitz indicated his agreement with Mr. Braude's and Mr. Hewitt's comments, and added that he believes EPA is beginning to realize that AQMD has had more experience in this regard and has a better permit type of program.
Mr. Braude asked that staff keep the Board apprised of what complying with the law entails, and he was pleased and hopeful that the federal government gave AQMD an opportunity not to be confronted with that dilemma at this time.
(Mr. Silva arrived at 10:25 a.m., during Board discussion.)
ON MOTION OF DR. WILSON, SECONDED BY MS. HAGGARD, A UNANIMOUS VOTE WAS CAST OF THE BOARD MEMBERS PRESENT (Absent: Lee and Soto) CONTINUING THE PUBLIC HEARING ON PROPOSED RULE 518.1, REGULATION XXX AND RULE 518 TO THE AUGUST 11, 1995 BOARD MEETING; AND DIRECTING STAFF TO MEET WITH THE INTERESTED PARTIES WITH REGARD TO THIS ITEM AND TO CONTINUE NEGOTIATIONS IN A FORUM WITH EPA IN AN EFFORT TO RESOLVE DIFFERENCES BEFORE THE AUGUST 11 MEETING.
34. Amend Rule 462 - Organic Liquid Loading
Mr. Hewitt indicated that he was not participating in this item because of a conflict of interest arising from his law firm's representation on a real estate matter of an entity that might have a material effect.
The staff report was presented by William Thompson, Senior Manager of Stationary Source Compliance's Public Facilities Team. Mr. Thompson brought attention to the Revisions to Agenda Item #34, copies of which had been distributed to Board members and made available to the public.
The public hearing was opened, and the Board heard testimony from Ron Wilkness, on behalf of Western States Petroleum Association (WSPA), in support of the proposed amended rule. Mr. Wilkness commended AQMD staff for working cooperatively with WSPA to develop amendments to the rule which will reduce emissions and are cost effective as well.
There being no further testimony, the public hearing was closed.
Mr. Braude acknowledged AQMD's courage in significantly reducing emissions and advancing state-of-the-art technology, while at the same time not causing economic hardship to the affected industry.
ON MOTION OF MR. LOVERIDGE, SECONDED BY MS. HAGGARD, A UNANIMOUS
VOTE WAS CAST OF THE BOARD MEMBERS PRESENT (Absent: Burke, Hewitt,
Lee, Paulitz and Soto) ADOPTING RESOLUTION
NO. 95-12, AMENDING RULE 462 AND CERTIFYING THE FINAL ENVIRONMENTAL
ASSESSMENT AS RECOMMENDED BY STAFF, INCLUDING THE MODIFICATIONS
SET FORTH IN THE REVISIONS TO AGENDA ITEM #34 BY STAFF.
CLOSED SESSION
35. Recommendation Regarding a Closed Session to Consider Pending or Potential Litigation and Personnel Matters
The Board did not recess to closed session.
PUBLIC COMMENT PERIOD - (Public Comment on Non-Agenda
Items,
Pursuant to Government Code Section 54954.3)
There was no public comment on non-agenda items.
ADJOURNMENT
The meeting was adjourned by Chairman Mikels at 10:40 a.m.
The foregoing is a true statement of the proceedings held by the South Coast Air Quality Management District Board on June 9, 1995.
Respectfully Submitted,
SAUNDRA MCDANIEL
Senior Deputy Clerk
Date Minutes Approved: _______________________________
__________________________________________________
Jon D. Mikels, Chairman