South Coast Air Quality Management District

1.

Minutes of June 15, 2001 Board Meeting

2.

Set Public Hearing August 17, 2001 to Amend Rule 1122 - Solvent Degreasers

3.

Execute Agreement to Become Member of Advanced Petroleum-Based Fuels - Diesel Emissions Control Program

4.

Execute Contract to Cosponsor Heavy-Duty Vehicle Chassis Dynamometer Testing for Emissions Inventory, Air Quality Modeling, Source Apportionment and Air Toxic Emissions Inventory

5.

Issue RFP for Development and Demonstration of Aftertreatment Technologies for PM Emissions Control of CNG-Fueled Heavy-Duty Engines

6.

Transfer Funds from Clean Fuels Fund to FY 2001-02 General Fund Budget of Science & Technology Advancement, Services and Supplies Major Object, Professional and Special Services Account

7.

Execute Contracts for Infrastructure, Forklift and Off-Road Other Project Awards Under FY 2000–01 Carl Moyer Memorial Air Quality Standards Attainment Program and Modify Three Contracts from FY 1999-00 Program

8.

Execute Contract to Cosponsor Demonstration of Passive Particulate Trap Technologies on Existing Off-Road Heavy-Duty Construction Equipment Fueled by Low-Sulfur Diesel Fuel

9.

Issue RFP for Pilot Demonstration of Residential Fuel Cells and Reformer Based Energy Station in South Coast Air Basin

10.

Establish State Emissions Mitigation Fund, Recognize State Funding, and Authorize Contracts For Credit Generation

11.

Modify Marine Vessel Contract Awards and Allocate Funds to Source Test, Acquire Global Positioning Systems, and Secure Letters of Credit for Marine Vessels Under Pre-Funded RECLAIM AQIP and Rule 118 Executive Order Programs

12.

Recognize and Appropriate Funds for PAMS, National Air Toxics Pilot, and PM2.5 Monitoring Programs

13.

Establish List of Prequalified Providers of Temporary Employment Services

14.

Amend Contract for Lease of South Bay Field Office

15.

Execute Contract for AQIP Proposal Received During First Quarter of 2001

16.

Authorize Purchase of PeopleSoft, Oracle and LibertyNet Software Support

17.

Authorize Purchase of Desktop Computers, Mini-Computers, Networks, and Phone System Hardware

18.

Approve in Concept FY 2001-02 AB 2766 Discretionary Fund Work Program, Approve Issuance of Funding Solicitations for TCM and Clean Fuels Programs, Award Sole-Source Contract to California Energy Commission; Award Contract for Technical Advisor Services, and Allocate Funds for Outreach

19.

Public Affairs Report

20.

AB 2766 Funds Report from Motor Vehicle Registration Fees for FY 1999-00

21.

Hearing Board Report

22.

Civil Filing and Civil Penalties Report

23.

Lead Agency Projects and Environmental Documents Received by the AQMD

24.

Rule and Control Measure Forecast

25.

Annual Audit Report and Three-Year Program Evaluation Report for Area Source Credit Rule 2506

26.

Annual Status Report on Rule 1113 - Architectural Coatings

27.

This item was withdrawn by staff.

28.

Report on Major Projects for Information Management Scheduled to Start During First Six Months of FY 2001-02

30.

Administrative Committee

31.

Legislative Committee

32.

Mobile Source Committee

33.

Stationary Source Committee

34.

Technology Committee

ON MOTION OF MS. LaPISTO-KIRTLEY, SECONDED BY
MR. SILVA, THE BOARD APPROVED AGENDA ITEMS
NOS. 1 THROUGH 6 AND 8 THROUGH 28 AND RECEIVED AND FILED AGENDA ITEMS NOS. 30 THROUGH 34, AS RECOMMENDED, BY THE FOLLOWING VOTE:

AYES: Bernson, Burke, Carney (except Item #16), Glover,
LaPisto-Kirtley, Loveridge, Mikels, Paulitz, Silva,
and Verdugo-Peralta (except Item #11).

NOES: None.

ABSTAIN: Carney (Item #16) and Verdugo-Peralta (Item#11).

ABSENT: Antonovich and Wilson.

-o-

Chairman Burke presented to Melvin Zeldin, Asst. DEO/Science & Technology Advancement, a Resolution from the Los Angeles City Council commending Mr. Zeldin for his many years of public service. Mr. Zeldin will be retiring from the AQMD effective September 1, 2001. Mr. Loveridge commented that Mr. Zeldin’s performance has been extraordinary and that he exemplifies three characteristics which are rare in combination: one, the clarity with which he is able to express and discuss very complex air quality issues; two, he has brought forth a high level of science; and three, he exemplifies a goodwill, respecting those who do not understand the same complexities that he does.

35.

Mobile Source Air Pollution Reduction Review Committee

36.

Air Resources Board Monthly Report

ON MOTION OF MS. GLOVER, SECONDED BY
MS. LaPISTO-KIRTLEY AND CARRIED UNANIMOUSLY (Absent: Antonovich and Wilson), THE BOARD RECEIVED AND FILED AGENDA ITEMS 35 AND 36 AS RECOMMENDED.

37.

Approve Funding Process for PM10 Trap Retrofit on School Buses or Other Emission Reduction Projects Using Mitigation Fees Collected under Rule 1309.1 - Priority Reserve

Executive Officer Dr. Barry Wallerstein recommended that this item be continued to the August 17, 2001 Board meeting, at which time staff could provide information on the state budget with respect to the final amount of funding for items such as the Carl Moyer Memorial Fund and the Lower-Emission School Bus Program.

BY UNANIMOUS CONSENT OF THE BOARD (Absent: Antonovich and Wilson), AGENDA ITEM NO. 37 WAS CONTINUED TO THE AUGUST 17, 2001 BOARD MEETING.

Chairman Burke recused himself from participating in Agenda Item No. 38, and Vice Chairman Glover presided during the Board’s consideration of Agenda Items No. 7 and No. 38.

7.

Execute Contracts for Infrastructure, Forklift and Off-Road Other Project Awards Under FY 2000–01 Carl Moyer Memorial Air Quality Standards Attainment Program and Modify Three Contracts from FY 1999-00 Program

38.

Award Contracts for Natural Gas Refueling Station Infrastructure

District Counsel Barbara Baird indicated that Ms. Verdugo-Peralta had faxed to other Board members a motion that she intended to make on this item with respect to the CNG refueling stations being hydrogen compatible. Ms. Baird had advised that because of legal noticing requirements it would not be appropriate for the Board to consider the motion at this time.

In response to comments by several Board members on the hydrogen compatibility issue, Dr. Wallerstein indicated that staff could bring back to the Board at its August 17, 2001 meeting a proposal to offer to the recipients of these contracts, on a voluntary basis, assistance in making the refueling stations hydrogen compatible in the future.

MR. PAULITZ MOVED APPROVAL OF AGENDA ITEMS NO. 7 AND NO. 8 AS RECOMMENDED BY STAFF. THE MOTION WAS SECONDED BY MS. LaPISTO-KIRTLEY.

The following individuals addressed the Board regarding Item 7 and/or
Item 38:

GREG VLASEK, Pinnacle CNG Company
ROLLIN EDMUNDS, Jurupa Unified School District
As contract recipients, expressed support of the staff recommendation on this item. Mr. Edmunds commented that the school district has purchased 24 CNG school buses. Work has begun on construction of the refueling facility, which is the subject of one of the contracts under consideration, and completion is expected by the end of August. If Agenda Item No. 38 is delayed until August there will be a significant adverse impact to the school district, in that they may be unable to provide transportation for students.

VIRGINIA FIELD, JAMES PROVENZANO, ROBERT ZWEIG, M.D., Clean Air Now
PAUL STAPLES, HyGen Industries, and RICHARD CAPUA, Matrix Engineers
Requested that the Board defer Item No. 38 until the August 17 board meeting so that the hydrogen compatibility issue can be investigated and there can be further public discussion and disclosure on the issue. With respect to staff’s suggestion to bring a proposal back to the Board in August regarding providing assistance in making natural gas fueling stations hydrogen compatible, Clean Air Now representatives expressed concern with the suggestion that participation be voluntary on the part of the contractors.

Mr. Staples and Mr. Capua explained that what would be proposed as far as making the CNG fueling sites hydrogen compatible is installing an upgraded compressor and upgraded piping underground. Even if the hydrogen is not brought in later, the upgraded compressor and plumbing will make the CNG station more durable and last longer. If the upgraded plumbing and new compressor has to be added later after the CNG facility is already built, there will be a significant price increase. Also, installation of the upgraded piping underground at the time the facility is constructed would prevent having to excavate in order to install upgraded piping later on.

LISA WOLF, TERESA LOPEZ, and JAN MISQUEZ, West Side Residents for Cleaner Air Now
Opposed funding of the proposal by Omnitrans to convert its CNG fueling facility in San Bernardino to LNG because it is, they believe, a substandard facility with old, outdated CNG equipment that has had constant leaks. Residents in the vicinity have made numerous complaints to the AQMD regarding ethyl mercaptan odors from gas leaks at the facility. Urged the Board to make the funds to Omnitrans for the LNG conversion contingent upon relocation of the facility to an industrial, non-residential area. (Submitted Newspaper Articles)

PAUL HUGHES, California Air Resources Board
Commented that the California Fuel Cell Partnership is planning a pilot program in the near future to provide demonstration of fuel cell vehicles on the road; and if a hydrogen fueling infrastructure can be put in place in the South Coast region by 2003, it will greatly facilitate demonstration of this important technology.

Ms. LaPisto-Kirtley and Ms. Carney expressed concern that the CNG fueling facilities will not have the space set aside for the equipment necessary to operate as hydrogen fueling facilities in the future.

Dr. Wallerstein clarified that the International Code Council has an ad hoc committee that is working on developing specifications and standards for hydrogen fueling stations, which are not expected to be finalized until the first part of 2002. Hydrogen fuel technology is in the demonstration phase at this time, and there is a tremendous amount of uncertainty and unknowns. However, staff will work with outside experts to determine if there are certain things that can be done, such as leaving space for an additional dispenser.

PENNY NEWMAN, Center for Community Action and Environmental Justice
Commented that if these first CNG stations are constructed in residential areas and begin creating problems for people, it could create a ground swell of opposition to AQMD’s efforts to convert to CNG and hydrogen fuel.

Mr. Loveridge commented that the location of fueling stations is a local zoning decision and not within the AQMD’s purview. Ms. Carney questioned whether the odor problem was endemic to CNG fueling stations or if it was specific to the Omnitrans facility.

Dr. Wallerstein responded that the problem with the Omnitrans facility stems from the two antiquated engines at the site. The community has asked that Omnitrans replace the engines and Dr. Wallerstein has offered to seek funding from the Board for replacement of the engines; however, Omnitrans declined the offer. Staff has increased enforcement action and is confident that the matter will be resolved in the near term.

At Ms. Verdugo-Peralta’s suggestion, Vice Chair Glover directed staff to conduct a field evaluation and assessment of possible enhancements that could enable natural gas fueling stations to be compatible for future hydrogen refueling, and present the information to the Board’s Technical Committee as well as to the full Board by the August 17, 2001 Board meeting.

Vice Chair Glover also directed staff to bring to the Board at its August 17 meeting a recommendation for funding upgrades of natural gas fueling stations for future hydrogen refueling with monies from the Clean Fuel Fund identified for potential support of fleet vehicle regulations.

THE MOTION BY MR. PAULITZ, SECONDED BY
MS. LaPISTO-KIRTLEY, TO APPROVE AGENDA ITEMS
NO. 7 AND NO. 38 AS RECOMMENDED BY STAFF, CARRIED BY THE FOLLOWING VOTE:

AYES: Bernson, Burke (on #7 only), Carney, Glover,
LaPisto-Kirtley, Loveridge, Mikels, Paulitz, Silva, and Verdugo-Peralta.

NOES: None.

ABSTAIN: Antonovich (on #7 & #38) and Burke (on #38 only).

ABSENT: Wilson.

39.

Consider Recommendations of Adopt-A-School Bus Foundation (a) Regarding Administrative Support for Foundation and (b) Confirm Disbursement of Funds to Adopt-a-School Bus Foundation

Dr. Wallerstein commented that, as directed by the Board at its June 15, 2001 meeting, staff solicited further input from the Adopt-a-School Bus Foundation and the Foundation board met with representatives of the American Lung Association. The Foundation requested the Governing Board’s approval for AQMD staff to continue providing administrative support to the Foundation until January 2002. The Foundation will evaluate other administration options and return to the AQMD Board at its January 2002 meeting with a status report and recommendations. The Foundation also requested the transfer to the Foundation of the $1 million donation tentatively designated by the AQMD Governing Board in March 2001.

Ms. Carney suggested that the Board include a restriction that a minimum of $800,000 of the $1 million donation be used exclusively for grants to school districts for retrofitting diesel school buses and purchasing clean-fueled buses.

Noting that the AQMD provided support for the MSRC for approximately the first year after the committee was established, Mr. Paulitz indicated that he was not opposed to providing continued administrative support to the Adopt-a-School Bus Foundation until January 2002.

Chairman Burke and Mr. Bernson expressed their belief that the $550,000 that the Foundation had already received from AQMD should be sufficient to start a fundraising program. Mr. Bernson indicated that he believed the $1 million should be held in reserve until after the Board has had a report from the Foundation on how the $550,000 has been utilized and ascertained that any monies contributed to the Foundation by the AQMD will be used in conformance with the policies of the AQMD.

MR. BERNSON MOVED THAT THE BOARD: 1) CONTINUE PROVIDING AQMD STAFF SUPPORT TO THE FOUNDATION, WITH A SIX-MONTH REVIEW AND STATUS REPORT TO BE PROVIDED TO THE AQMD BOARD AT ITS JANUARY 2002 MEETING; AND 2) HOLD IN RESERVE THE
$1 MILLION DONATION FROM AQMD TO THE FOUNDATION WHICH WAS TENTATIVELY DESIGNATED BY THE AQMD BOARD IN MARCH 2001. THE MOTION WAS SECONDED BY MS. GLOVER, AND CARRIED UNANIMOUSLY (Absent: Wilson.)

Ms. LaPisto-Kirtley asked that staff provide Board members with a one-page summary of the action taken by the Board on this item.

40.

Amend Rule 1113 - Architectural Coatings

Dr. Elaine Chang, DEO/Planning, Rule Development & Area Sources, gave the staff report. She noted that staff had distributed to Board members, and made available to the public, copies of an errata sheet containing a revision to PAR 1113 Table of Standards to delete the reference to an interim limit for Clear Brushing Lacquer.

The public hearing was opened. In the interest of time, the three individuals who had submitted requests to address the Board in support of the staff recommendation on this item waived comment; and the public hearing was closed.

ON MOTION OF MS. GLOVER, DULY SECONDED, AND CARRIED UNANIMOUSLY (Absent: Loveridge, Mikels, and Wilson), THE BOARD ADOPTED RESOLUTION NO. 01-22, AMENDING RULE 1113 AND CERTIFYING THE FINAL ENVIRONMENTAL ASSISSMENT, AS RECOMMENDED BY STAFF, WITH THE DELETION OF THE REFERENCE TO AN INTERIM LIMIT FOR CLEAR BRUSHING LACQUER IN THE RULE 1113 TABLE OF STANDARDS.

41.

Amend Rule 2000 - General

Dr. Wallerstein reported that when the Board considered adoption of RECLAIM amendments at its May 11, 2001 meeting, there was a request at that time from the Western Independent Refiners Association (WIRA) to make a modification to the RECLAIM AQIP to allow small refiners access to the program. Staff received a letter dated July 18, 2001 from WIRA withdrawing its request at this time, and indicating a desire to work with environmental community groups and work further with AQMD staff to attempt to address their concerns regarding RTC prices.

Written Comments Submitted by:
Gail Ruderman Feuer, NRDC, and Tom Carmichael, Coalition for Clean Air

MR. BERNSON MOVED THAT THE BOARD RECEIVE AND FILE AGENDA ITEM NO. 41. THE MOTION WAS DULY SECONDED AND CARRIED UNANIMOUSLY (Absent: Loveridge, Mikels, and Wilson).

42.

Amend Rule 1610 - Old Vehicle Scrapping

Dr. Chang reported that staff recommended the proposed amendments to Rule 1610 be withdrawn until CARB adopts amendments to its Voluntary Light-Duty Vehicle Retirement regulations. CARB's action is expected to take place this Fall. The public hearing will be set after CARB amends its regulation.

ON MOTION OF MS. LaPISTO-KIRTLEY, SECONDED BY
MR. SILVA, AND CARRIED UNANIMOUSLY (Absent: Loveridge, Mikels, and Wilson), AGENDA ITEM NO. 42 WAS WITHDRAWN, AS RECOMMENDED BY STAFF.

43.

Closed Session

The Board did not recess to closed session.

Penny Newman, of the Center for Community Action and Environmental Justice, and Marilyn Alcantar and Jan Misquez, of West Side Residents for Cleaner Air Now, addressed the Board regarding a public nuisance which has been caused by ethyl mercaptan odors from gas leaks at the refueling facility in San Bernardino for CNG buses operated by Omnitrans. They expressed their disappointment in the AQMD’s response to the complaints and concerns of the residents near the Omnitrans facility and to the Board’s action on Agenda Item
No. 38, indicating that they believed contributing funds to Omnitrans funds to convert the refueling facility from CNG to LNG will not address the problem that they are experiencing at this time with the odors.

Dr. Wallerstein responded that subsequent to discussion of this issue at the June 15, 2001 Board meeting, staff met with the community members again and provided clarity regarding AQMD’s enforcement procedures on odor nuisances. Based on the clarifications the community was provided at that meeting, staff has now had the appropriate number of complaints for a given instance, verified the incident, and has been able to issue notices of violation to Omnitrans.

Noting that public nuisance cases are the most expedited matters and have the highest priority, District Prosecutor Peter Mieras indicated that his staff will review the notices of violation and contact Omnitrans representatives to meet with them by July 27, 2001, with regard to resolving the odor problem. Dr. Burke directed staff, after District Prosecutor and Omnitrans representatives meet, to apprise the community residents of how efforts to resolve the odor problem are progressing.