Notice having been duly given, the regular meeting of the South Coast Air Quality Management District Board was held at District Headquarters, 21865 E. Copley Drive, Diamond Bar, California. Members present:
Dr. William Burke, Vice Chair
Speaker of the Assembly Appointee
Mayor Michael D. Antonovich (arrived at 10:18 a.m.)
County of Los Angeles
Cody G. Cluff
Governor’s Appointee
Councilmember Norma J. Glover
Cities of Orange County
Ms. Mee H. Lee
Senate Rules Committee Appointee
Mayor Ronald O. Loveridge
Cities of Riverside County
Councilmember Leonard Paulitz
Cities of San Bernardino County
Councilmember Nell Soto
Cities of Los Angeles County - Eastern Region
Supervisor S. Roy Wilson, Ed.D.
County of Riverside
Members Absent:
Supervisor James W. Silva
County of Orange
The meeting was called to order at 9:40 a.m. by Chairman Mikels.
• Opening Comments
Chairman Mikels. 1) Commented that the Board held a two-day retreat April 4 - April 5, 1997, during which Board members discussed many of the issues that face the AQMD in the years ahead regarding meeting air quality standards. As a result of interest expressed by Board members at the retreat, he and Dr. Lents will be investigating the possibility of having a similar joint retreat with CARB, and will report back to the Board at the May 9, 1997 Board meeting. 2) Announced that interviews of the 14 candidates for the DEO of Public Affairs & Local Government Assistance (PA&LGA) position have been completed, and a recommendation will be presented to the Board at its May 9 meeting. In addition, there are a number of executive staff contracts that are due for renewal, and the Board will receive recommendations on those as well at its May 9 meeting.
Dr. Wilson and Dr. Burke. Stated for the record that they were not present at the March 14, 1997 Board meeting, but had listened to the tape recording of the public hearing held that day regarding Proposed Rule 2506; and were therefore prepared to participate today in the continued hearing on the proposed rule.
James M. Lents, Ph.D., Executive Officer. Announced that the newly-formed "EV1 Club", expected to include approximately 40 potential owners of EV1 vehicles, will meet at the AQMD on Saturday, April 12, 1997.
• Retirement Presentation to Margaret Hoggan Honoring Her 25 Years of Service at AQMD
Chairman Mikels presented a retirement award to Ms. Hoggan in recognition of her
25 years of service at AQMD.
CONSENT CALENDAR
Agenda Items Nos. 3, 5, 6, 8, 15, 20 and 25 were held for discussion.
Ms. Soto questioned why Agenda Items Nos. 3, 5 and 8 did not provide the type of details delineated in Item No. 7, such as specifying the participants and explanations of the direct funding and in-kind funding.
Chung Liu, Assistant DEO of Technology Advancement, responded that the other possible partners in the proposed projects have not yet definitely committed. Staff agreed to include in future board letters the potential participants, rather than only specifying those that have made a firm commitment.
At Ms. Lee’s request, a review the AQMD’s sole-source justification process was referred to the Administrative Committee by Chairman Mikels. In response to concern expressed by Dr. Burke, Chairman Mikels also referred to the Administrative Committee consideration of whether or not the Board should consider items involving cost-sharing when firm commitments have not been made by the other possible partners/participants.
Noting that there was no mention in the Public Advisor’s Report of the reorganization of staff currently underway for the PA&LGA office, Ms. Soto asked that a full explanation of the reorganization be provided in the near future so that the public is aware of the changes made. Dr. Lents agreed to bring the requested information back to the Board. In response to Ms. Soto’s concern with regard to the new DEO’s ability to reorganize the PA&LGA office, Dr. Lents commented that all the DEOs are given a certain amount of flexibility in organizing their groups. He thought, however, that the new DEO would want to work with the existing arrangement for a while before making any changes.
The following individuals addressed the Board to speak on this item:
JACK KITOWSKI, California Air Resources Board
Commented that at the time of ARB’s hearing on the proposed project, there was opposition expressed in public comments--against EV projects in general, and also against the technical aspects of this particular project. ARB considered those comments, and voted in favor of the proposal, which they believe is a worthwhile investment.
ANITA MANGELS, Californians Against Hidden Taxes
Urged the Board to reject the proposed contract because this project does not fulfill the statutory requirements of AB 2766, which states that projects funded by motor vehicle registration fees must result in direct and tangible reductions in vehicular air pollution. (Submitted Written Comments)
BRUCE SEVERANCE, Solstice Design
Expressed opposition to the staff proposal because the proposed project would not actually help solve peak demand problems that utilities might face, and is too complicated a system to be cost-competitive in a home use application; and questioned whether it was a practical replacement for existing systems already in place at charging stations.
Mr. Paulitz clarified that the proposed funding for this contract would come from the AQMD’s Technology Advancement office; and not AB 2766 funds. With respect to application and use of the automatic charging system, he explained that the charging system would be located in a garage underneath the car induction system and would automatically restore the battery charge, as opposed to existing systems which require a paddle or plug be inserted in the vehicle for battery recharging.
Written Comments Submitted by:
Senator Raymond Haynes
Assemblyman Dick Ackerman
Assemblyman Steve Baldwin
Assemblyman Bill Morrow
(Mr. Antonovich arrived at 10:18 a.m.)
ANITA MANGELS, Californians Against Hidden Taxes
Opposed the proposed 1997-1999 AB 2766 discretionary fund work program because it appeared to be heavily weighted in favor of programs that will not comply with the AB 2766 requirement to fund only those projects that result in direct and tangible reductions in vehicular air pollution. (Submitted Written Comments.)
BRUCE SEVERANCE, Solstice Design
Expressed support for this item because it seems appropriate to him to allow local governments and jurisdictions to decide for themselves the best alternatives for expenditure of these funds to reduce air pollution.
Emphasizing the importance of local government subventions, Mr. Paulitz expressed his belief that the MSRC was moving in the right direction by spending half of the funds this year on that particular program. Mayor John Longville, MSRC Chair, commented that the AB 2766 program, which has been in existence for approximately six years, has improved measurably each year, and is making a very strong attempt to increase local control in the air pollution control field through the local government subventions.
JAMIE PHILLIPS, Planning & Conservation League
Expressed support for the local government match, heavy-duty vehicles and buses, and quick charge Phase II components; which will provide continued infrastructure development, and the means to get more zero-emission vehicles on the road.
TIM CARMICHAEL, Coalition for Clean Air
Speaking in support of the MSRC proposal, commented that it is entirely appropriate to invest in these clean technologies now, so that five years from now we are benefiting throughout this region and throughout this country from their distribution throughout our society.
The following individuals addressed the Board to speak on this item:
MELISSA BEARD CLACK, California Environmental Associates/Burger King Corporation
MICHAEL KISSEL, Carl Karcher Enterprises, dba Carl’s Jr. Restaurants
Asked that the Board defer this item until they have had an opportunity to work with staff on changes to the cost savings assumptions necessary to complete a more accurate cost effectiveness analysis of the catalyst technology for chain-driven charbroilers.
Jack Broadbent, Assistant DEO/Stationary Source Compliance, responded that the information contained in the status report represents what staff knows at this time. Staff intends to continue working with industry to refine the cost analysis. If staff proceeds into rule development for this source category, the refined cost analysis will be contained in the staff report for the proposed rule; and reviewed by the Boards’ Stationary Source Committee before going to the full Board for adoption.
Ms. Lee and Ms. Soto stressed the importance of staff continuing to work with the affected industry and to involve them in all phases of the rule development process.
BOARD CALENDAR
28. Administrative Committee
29. Legislative Committee
30. Mobile Source Committee
31. Stationary Source Committee
32. Technology Committee
33. Mobile Source Air Pollution Reduction Review Committee
34. Air Resources Board Monthly Meeting
Note: The ARB did not meet in February. The summary of the March 27, 1997 ARB meeting will be included in the agenda package for the May 9, 1997 Board meeting.
DR. WILSON MOVED TO RECEIVE AND FILE AGENDA ITEMS 28 THROUGH 33, AND ADOPT THE FOLLOWING POSITIONS ON LEGISLATION, AS RECOMMENDED:SB 432 (Lewis) - State Funding for Ridesharing WATCH
SB 1203 (Hayden) - AQMD Approval of Airports SEEK CLARIFICATION
SB 1247 (Hayden) - Particulate Matter, AQMP SUPPORT IF AMENDED
AB 968 (Knox) - Particulate Matter, Monitoring SUPPORT
AB 1061 (Machado) - Local Regulations, Consistency OPPOSE UNLESS AMENDED
SB 679 (Mountjoy) - Smog Check Repeal OPPOSE
SB 1250 (Hayden) - Smog Check Repair Assistance SUPPORT
AB 1269 (Granlund) - Border Surcharge/Diesel Fuel SUPPORT
SB 1343 (Johannessen) - CARB Truck Standards OPPOSE UNLESS AMENDED
THE MOTION WAS SECONDED BY MS. LEE AND PASSED BY A UNANIMOUS VOTE OF THE BOARD MEMBERS PRESENT (Absent: Braude, Paulitz and Silva).
PUBLIC HEARINGS
Chairman Mikels announced that Agenda Item No. 40, the public hearing to Adopt Proposed Rule 2501 - Air Quality Investment Program, would be continued by the Board to its May 9, 1997 meeting.
The public hearing was opened, and the Board heard testimony from the following individual:
GREG ADAMS, Los Angeles County Sanitation Districts
Thanked staff for their support for the past 18 months while L.A. Sanitation Districts has been operating under a variance granted by the Hearing Board from Rule 1134.
There being no further testimony, the public hearing was closed.
ON MOTION OF DR. WILSON, SECONDED BY MS. GLOVER, A UNANIMOUS VOTE WAS CAST BY THE BOARD MEMBERS PRESENT (Absent: Braude and Silva), ADOPTING RESOLUTION NO. 97-8, AMENDING RULE 1134 AS SET FORTH IN THE ERRATA FOR AGENDA NO. 35 AND CERTIFYING THE FINAL SUPPLEMENTAL ENVIRONMENTAL ASSESSMENT, AS RECOMMENDED BY STAFF.
Carol Coy, Assistant DEO/Stationary Source Compliance, gave the staff report. The public hearing was opened, and the Board heard testimony from the following individuals:
MIKE CARROLL, Attorney, on behalf of the Regulatory Flexibility Group
CURTIS L. COLEMAN, California Manufacturers Association, Southern California Air Quality Alliance
Expressed support for the proposed rule amendments, and appreciation to staff for working with industry to satisfactorily resolve the issues and provide important clarification on the monitoring and reporting requirements under RECLAIM.There being no further testimony, the public hearing was closed.
ON MOTION OF MR. LOVERIDGE, SECONDED BY MS. GLOVER, A UNANIMOUS VOTE WAS CAST BY THE BOARD MEMBERS PRESENT (Absent: Antonovich, Braude and Silva), ADOPTING RESOLUTION NO. 97-9, AMENDING RULES 2000, 2011 AND 2012 AND CERTIFYING THE NOTICE OF EXEMPTION, AS RECOMMENDED BY STAFF.
Pat Leyden, DEO of Stationary Source Compliance, gave the staff report; and noted the document "Adopt Proposed Rule 2506 - Area Source Credits for NOx and SOx", copies of which were distributed to Board members and made available to the public. The document included: (i) a revised Attachment 1 to the Governing Board Resolution: Statement of Findings, Statement of Overriding Considerations, and Mitigation Monitoring Plan; (ii) Proposed Rule 2506 - Area Source Credits for NOx and SOx, revised in order to clarify intent and resolve certain issues raised in testimony presented at the March 14, 1997 public hearing; and (iii) a revised Staff Report to replace the previous Staff Report, with the exception of Appendices C and D.
The public hearing was opened, and the Board heard testimony from the following individuals, expressing unanimous support for PR 2506 as revised by staff:
MIKE CARROLL, Attorney, on behalf of the Regulatory Flexibility Group
BILL QUINN, California Council for Environmental and Economic Balance
MARTIN LEDWITZ, Southern California Edison
JON OWYANG, Market-Based Solutions
LEE WALLACE, Pacific Enterprises/Southern California Gas Company
Expressed their belief that the staff proposal represents the greatest level of consensus that can be reached on the area source program at this time. A number of issues were resolved since the March 14, 1997 public hearing on PR 2506, and a number of issues have been deferred for further discussions and analysis. They were hopeful that some of the remaining issues can be resolved in the future, particularly those that would expand the scope of this program to include VOC sources. Mr. Quinn and Mr. Ledwitz also encouraged staff to follow through on changes to Table I in the rule to include internal combustion engines used in agriculture.
TIM CARMICHAEL, Coalition for Clean Air
Expressed the Coalition’s commitment to continue working with staff and the business community to resolve remaining differences on the future of trading and compliance flexibility programs.
GAIL RUDERMAN FEUER, Natural Resources Defense Council (NRDC)
Commented that the revised PR 2506 addresses the concerns which she raised at the March 14 public hearing by: (i) limiting the program to the NOx and SOx markets; (ii) removing the emissions rates from Table I which NRDC believed were not stringent enough; and (iii) for equipment or products that are not in Table I, having the standard for generating credits decided on a case-by-case basis.
JOHN BILLHEIMER, Small Business Coalition
1) Expressed concern that the credits were dedicated exclusively to the RECLAIM program, because small sources will also need these credits. 2) Suggested, in order to keep the VOC issue open, that the Board consider including language in Paragraph (k) of PR 2506 granting the Executive Officer the authority to establish demonstration programs for the VOC side of the area sources. (Submitted Written Comments)
There being no further testimony, the public hearing was closed.
Written Comments Submitted by:
Gail Ruderman Feuer, NRDC/Tim Carmichael, Coalition for Clean Air
Commenting that the revised staff proposal is an extraordinary example of bringing the parties to the table to arrive at a good will solution,
Henry Hogo, Planning & Rules Manager/PTIM, gave the staff report. On March 26, 1997 staff held a public consultation meeting regarding the proposed amendments to the rule; and at that time provided additional language to further safeguard against potential toxics impacts, as well as any potential violation of criteria pollutant standards. Staff therefore recommended that the Board adopt the proposed amendments to Rule 1610, and continue the public hearing, with regard to Subdivision (i) only, to the May 9, 1997 Board meeting in order to allow additional time for public comment on the proposed amendment to Subdivision (i).
Dr. Burke commended the Board for taking a leadership role three years ago in denying the ability to destroy the engines of vehicles scrapped pursuant to Rule 1610, because that single aspect of Rule 1610 is being used as a precedence in almost every state in the union.
The public hearing was opened, and the Board heard testimony from the following individuals:
SCOTT KUHN, Communities for a Better Environment (CBE)
1) Speaking in opposition to Rule 1610, expressed the following concerns: (i) Rule 1610 credits have been used by marine terminals in the south coast to avoid compliance with federal requirements under Rule 1142; (ii) recordkeeping should be required for a longer period of time; and (iii) CBE is concerned about the enforceability of the credit trades. 2) Urged the Board to allow the environmental community more time to comment on the proposed amended rule. (Submitted Written Comments)
DEE ALLEN, City of Los Angeles, Environmental Affairs Department
Speaking on the need to have EPA’s expeditious action on rules that are adopted by the AQMD Board so that local governments and regulated communities can be assured that they will be in compliance with federal regulations and requirements if they are in compliance with AQMD-adopted rules: (i) recommended that AQMD pursue an interim approval process from EPA to ensure that implementation of rules in the Basin prior to approval of such rules by EPA are legal and meet the requirements of the federal Clean Air Act; and (ii) requested that the SIP gap issues and the concept of an EPA approval process be made a priority of the Home Rule Working Group.
RON WILKNISS, Western States Petroleum Association
Expressed support for the administrative amendments proposed, and made two requests with regard to Subdivision (i): (i) that the Board direct staff to hold a workshop with affected stakeholders so that they can more fully understand the implications of the language in Subdivision (i); and (ii) that the Board consider extending the time for bringing Subdivision (i) back to the Board, in the event more than 30 days is required to resolve any issues.
Written Comments Submitted by:
Matt Kehr, concerned citizen
1) ADOPTING RESOLUTION NO. 97-11, AMENDING RULE 1610 AND CERTIFYING THE NOTICE OF EXEMPTION, EXCEPT THOSE PROPOSED REVISIONS IN SUBDIVISION (i);
2) CONTINUING THE PUBLIC HEARING ON RULE 1610 TO THE MAY 9, 1997 BOARD MEETING, SOLELY ON THE ISSUE OF SUBDIVISION (i); AND
3) DIRECTING STAFF TO HOLD A PUBLIC WORKSHOP ON THE PROPOSED REVISIONS TO SUBDIVISION (i) OF RULE 1610, PRIOR TO BRINGING THOSE REVISIONS BACK TO THE BOARD FOR ACTION.
Anupom Ganguli, Senior Manager/Stationary Source Compliance, gave the staff report. The public hearing was opened, and the Board heard testimony from the following individuals:
JERRY WICKER, R.D. Abbott Company
Opposed PAR 1168 and expressed concern that compliant materials are not readily available for many rubber-to-metal bonding applications; and may not be available before January 1, 1998, when the exemptions will expire for hot bond adhesives used for the manufacture of molded rubber components with metal or resin inserts [Subparagraph (j)(16)] and adhesives and primers used for rubber sheet-applied lining operations [Subparagraph (j)(17)].
Dr. Ganguli responded that prior to the January 1, 1998 date, staff will evaluate the availability of compliant coatings for these specific applications and, if determined to be necessary, will come back to the Board with proposed amendments to the rule.
GENE A. HUBER, G.A. Huber Company
Agreed that an extension of the exemptions under (j)(16) and (j)(17) will be necessary, and added that the VOC limit specified in (j)(16) should be increased from 650 to 850 grams per liter (gpl).
TONY SCARPELLINO, Vacco Industries
BOB SCHNEIDER, EEMUS Manufacturing Company
Expressed support for PAR 1168, particularly the proposed five-year extension of the exemption for thin metal lamination, Subparagraph (j)(12); and asked that the Board consider including under the rule requirements [Paragraph (c)] a separate category for thin metal laminating operations (with a VOC content of 780 gpl) because it would be impossible for materials used in this particular type of application to meet the 30 gpl VOC limit for metal-to-metal bonding specified in the rule, which their companies would have to comply with once the exemption expires. Also, if there was a separate category for thin metal laminating operations, it could be included in the technology assessment that the AQMD will perform one year before the effective date for the lower VOC limits.
SUSAN SAKAI, Attorney, on behalf of Committee on Solvent Cement Environmental Issues
Expressed support for the proposed amendments to the rule; and asked that the Board adopt a resolution authorizing staff to bring further amendments back to the Board at a later date to address adjustments to the VOC limits for "primer" and "other plastic cement welding" to reflect technical changes to Method 316A which will likely result from testing which is underway at this time for these two product categories.
Dr. Ganguli responded that staff was agreeable to bringing back to the Board adjustments to the VOC limits for the "primer" and "other plastic cement welding" categories, if appropriate, to reflect test method changes. With respect to the thin metal lamination, staff intends to include that category in the technology review and if staff finds that this category should be moved into the "requirements" section of the rule, proposed rule amendments to accomplish that will be brought back to the Board for adoption.
There being no further testimony, the public hearing was closed.
At the request of Ms. Soto and Ms. Glover, staff agreed to report back to the Board at a later date on staff’s efforts to address the issues raised in public testimony.
The public hearing was opened by Chairman Mikels, and continued to the May 9, 1997 Board meeting.
Written Comments Submitted by:
David Howekamp, U.S. Environmental Protection Agency
Tim Carmichael, Coalition for Clean Air/Gail Ruderman Feuer, NRDC
CLOSED SESSION
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 11:50 a.m. to 2:00 p.m., April 25, 1997, for the purpose of conducting the Board’s Workshop on the Executive Officer’s Fiscal Year 1997-98 Budget and Work Program. The Workshop will be held at AQMD Headquarters, 28165 E. Copley Drive, Diamond Bar, California, in Conference Room CC8.
The foregoing is a true statement of the proceedings held by the South Coast Air Quality Management District Board on April 11, 1997.
Respectfully Submitted,
SAUNDRA McDANIEL
Senior Deputy Clerk
Date Minutes Approved: ________________________
____________________________________________
Jon D. Mikels, Chair
ACRONYMS
AB = Assembly Bill
AQIP = Air Quality Investment Program
AQMD = (South Coast) Air Quality Management District
AQMP = Air Quality Management Plan
ARB/CARB = California Air Resources Board
U.S. EPA = United States Environmental Protection Agency
DEO = Deputy Executive Officer
EV = Electric Vehicle
FY = Fiscal Year
IAIC = Interagency AQMP Implementation Committee
MOU = Memorandum of Understanding
NOx = Oxides of Nitrogen
PAR = Proposed Amended Rule
PR = Proposed Rule
PM10 = Particulate Matters < 10 microns
PTIM = Planning, Transportation & Information Management
RECLAIM = REgional CLean Air Incentives Market
RFP = Request for Proposals
SB = Senate Bill
SIP = State Implementation Plan
SOx = Oxides of Sulfur
TCM = Transportation Control Measure
VOC = Volatile Organic Compound