1.

 2.

(B) Adopt 2003 Coachella Valley PM10 State Implementation Plan
 

 3.

 4.

 5.

 6.

 7.

 8.

 9.

10.

11.

12.

13.

14.

15.

16.

17.

18.

19.

20.

21.

22.

37.

38.

39.

     Agenda Items Nos. 7, 9, 10, 12, and 15 were withheld for discussion.

ON MOTION OF MR. CRAYCRAFT, SECONDED BY MR. ANTONOVICH, AND CARRIED UNANIMOUSLY (Absent: Carney, LaPisto-Kirtley, and Silva), THE BOARD: 1) APPROVED AGENDA ITEMS 1 THROUGH 6, 8, 11, 14, 16 THROUGH 22, AND 27 THROUGH 29; AND 2) ADOPTED RESOLUTION NO. 03-17, DELEGATING AUTHORITY TO THE EXECUTIVE OFFICER TO APPROVE, EXECUTE, AND MANAGE A MASTER AGREEMENT AND PROGRAM SUPPLEMENT WITH CALTRANS IMPLEMENTING THE GREEN AIRPORT INITIATIVE, AS RECOMMENDED BY STAFF.

23.

Items Deferred from Consent Calendar
 

7.

Issue RFP to Develop and Demonstrate Hydrogen Internal Combustion Engine Vehicles and Five Hydrogen Fueling Stations

       Scott Stevens, Attorney at Law, and Paul Staples and James Provenzano of HyGen Industries addressed the Board and requested that the release of the RFP for the proposed hydrogen demonstration projects be delayed until such time that the evaluation criteria and the administrative procedures for selection of the contractors is more clearly and objectively defined.  They indicated that their main concern is the fundamental fairness of the selection process for the RFP; and stated that a more definitive description of the necessary criteria for a complete proposal, along with identification of the selection process to be utilized, is needed for a fair evaluation of the proposals and to eliminate the appearances of impropriety in the selection process by AQMD’s technology advancement office.  They also believed that too many unanswered questions existed at this time for the RFP to be released.
 

         Dr. Barry R. Wallerstein, Executive Officer, noted that staff had provided to the Board, and made available to the public, an addendum sheet giving the cities a choice to, at their own costs, obtain oversight management services for their fueling stations.  The gentlemen with HyGen had asked staff to put such a statement in the proposal, and staff is including that in its recommendation to the Board on this item.  In terms of the dates, there was a typographical error in the RFP which specified September 6, 2003 as the  date for submittal of proposals.  That date has been corrected in the addendum to September 16, 2003.  He indicated that many of the detailed questions posed by HyGen could be addressed in the bidder’s conference.
 

ON MOTION OF DR. WILSON, SECONDED BY
MR. LOVERIDGE, AND CARRIED UNANIMOUSLY (Absent: Carney, LaPisto-Kirtley, and Silva), THE BOARD  APPROVED AGENDA ITEM NO. 7 AS RECOMMENDED BY STAFF.
 

9.

Modify Existing Financial Incentive Program to Assist Dry Cleaners Converting to Non-Perchloroethylene Alternative Cleaning Technologies

        Dr. Wallerstein noted a modification to the staff proposal to, at the request of the producers of the silicon-based alternative, Green Earth, delay staff’s recommendation regarding the potential for a $2,000-grant for cleaners wanting to convert from Green Earth, and bring that back to Board in 30 to 60 days after counsel has had the opportunity to review certain issues related to that portion of the proposal.

       In response to Ms. Verdugo-Peralta, Dr. Wallerstein stated that to date, 94 applications had been received under this grant program.
 

ON MOTION OF DR. WILSON, SECONDED BY
MR. PAULITZ, AND CARRIED UNANIMOUSLY (Absent: Carney, LaPisto-Kirtley, Loveridge, and Silva), THE BOARD:

1)                    INCREASED THE TOTAL GRANT FOR CO₂ CONVERSION FROM $10,000 TO $20,000 FROM THE $2 MILLION DRY CLEANERS INCENTIVE GRANT PROGRAM FUND (FUND 43), PREVIOUSLY APPROVED BY THE BOARD.

2)                    SUSPENDED THE GRANT FOR SILICON-BASED SOLVENT CLEANING TECHNOLOGY EFFECTIVE APRIL 4, 2003.
 

3)                    GRANTED FROM THE DRY CLEANERS INCENTIVE GRANT PROGRAM FUND (FUND 43) UP TO $5,000 TO CLEANERS CONVERTING TO WET CLEANING WHO:
a.  Purchased a washer and dryer on or after
         December 6, 2002, but purchased tensioning
         equipment before December 6, 2002; or
b.  Do not purchase tensioning equipment where it is
         not needed for their specialty operation as
         demonstrated to the Executive Officer’s
         satisfaction.
 

10.

Authorize Purchase of PeopleSoft, Oracle and LibertyNet Software Support

        Dr. Joseph Lyou, California Environmental Rights Alliance, addressed the Board and commented that AQMD staff, in response to a public records request, had been unable to provide him information, specifically a copy of a company’s permit application, in common computer format on a disk.  He, therefore, suggested that the Board, in renewing AQMD’s software contract, direct staff to explore and ultimately obtain the ability to provide documents in common computer format, such as PDF or MS Word.

        Mr. Chris Marlia, Director of Information Management, responded that he was not aware of the specific circumstances related to Dr. Lyou’s records request, but indicated that there should be no problem in providing the information to Dr. Lyou on disk in common computer format.
 

ON MOTION OF MR. CRAYCRAFT, SECONDED BY
MS. VERDUGO-PERALTA, AND CARRIED UNANIMOUSLY (Absent: Carney, LaPisto-Kirtley, and Silva), THE BOARD  APPROVED AGENDA ITEM NO. 10 AS RECOMMENDED BY STAFF.
 

12.

Approve Benefits Adjustment for Management, Confidential, and Attorney Employees

        Mr. Aguiar commented that in offering basic long-term care insurance for management, confidential, and attorney employees, the AQMD is introducing a new benefit that has never been offered before to AQMD employees; and his concern is that economics are uncertain at this time.  Also, this could be setting a precedent.  He asked that the Board not approve this item, and instead send it back to committee for review.
 

       Dr. Wilson indicated that he raised concern at the Board’s June 6, 2003 meeting similar to that expressed by Mr. Aguiar.  However, the matter did go to the Personnel Committee, and they approved of it.  His understanding is that it is cost neutral; it is not an additional benefit, but is offered in lieu of some other benefit that management would get.
 

DR. WILSON MOVED APPROVAL OF AGENDA ITEM NO. 12, AS RECOMMENDED BY STAFF.  THE MOTION WAS DULY SECONDED.
 

       In response to Mr. Craycraft’s request to elaborate on Dr. Wilson’s comments regarding the proposal being cost neutral, Dr. Wallerstein explained that the total cost of the portion that is being discussed is $41,071; however, it makes up part of the overall labor agreement package for the year, and in a manner that is comparable with the other employee groups.  So absent this provision in the package, these employees would get less than all of the other AQMD employees in terms of the annual adjustment this year.  The other employees got a larger adjustment to their health benefits cap than this group of employees is getting, so the long-term care is in lieu of a larger adjustment to the health benefits cap.

        Mr. Aguiar commented that increasing the medical payment benefit in this environment is very important because medical insurance and costs are rising.  That is an appropriate benefit, and he believes increasing that benefit payment is warranted.  He further expressed his belief that if this level of AQMD employees is offered the long-term care benefit at this time, all of the other employees are going to request that benefit as well during the next round of labor negotiations.  Further, he believed this would be the case not only at AQMD, but at each agency that is represented by the Board members.

        Commenting that there should be equity among the different employee groups, Mr. Paulitz stated that the same situation exists for the City of Montclair, where they try to at least have the management employees have the same package that the bargaining units were able to obtain.  He indicated that he is not overly concerned with this issue, but urged a word of caution that when the next bargaining sessions occur and if bargaining agents ask for the long-term care, that it be pointed out that the long-term care was something this group of employees got in lieu of something else.

        Ms. Verdugo-Peralta concurred with Mr. Paulitz, indicating that if the other Board members were agreeable to taking another look at this, she did not have a problem with it, as long as that equity is maintained.
 

       Indicating that he did not have a problem either way on this issue,
Mr. Bernson asked Dr. Wallerstein for his recommendation, and also, if the Board has a problem with this, would the whole negotiation process have to be opened again to offer the affected employees something else in order to give them equity with the other groups of employees.

       Dr. Wallerstein responded that he believes the Board has to weigh the anxiety of staff, with this being the second board meeting where this item has been discussed.  The alternative to offering these employees the long-term care would be, in his judgment, raising the benefits cap by 12.5 percent instead of the 10 percent that is in the proposal before the Board.  That would then be equivalent on a dollar-for-dollar basis with what the other employee groups have.  If that was the Board’s desire, then he would recommend that the Board grant the authority to the Chairman, with consultation and input from the Executive Officer after meeting with the affected employees, to approve the 12.5 percent adjustment.  Those employees that are below the cap, could purchase similar type coverage through the PERS system.  He noted that part of the importance of having the Chairman finalize the agreement is that PERS enrollment has to be done by July 31, 2003.
 

ON MOTION OF MR. AGUIAR, SECONDED BY
MR. BERNSON, AND CARRIED UNANIMOUSLY (Absent: Carney, LaPisto-Kirtley, and Silva), THE BOARD AUTHORIZED THE CHAIRMAN TO APPROVE A 12.5 PERCENT ADJUSTMENT TO THE FIXED MONTHLY BENEFIT AMOUNT PROVIDED TO MANAGEMENT, CONFIDENTIAL, AND ATTORNEY EMPLOYEES, EFFECTIVE SEPTEMBER 1, 2003, ONLY IF AGREEABLE TO THE AFFECTED EMPLOYEES.  IN THE EVENT THAT MANAGEMENT, CONFIDENTIAL, AND ATTORNEY EMPLOYEES ARE NOT AGREEABLE TO THE PROPOSED 12.5 PERCENT ADJUSTMENT, THE EXECUTIVE OFFICER SHALL BRING THIS ITEM BACK TO THE BOARD FOR CONSIDERATION AT ITS AUGUST 1, 2003 MEETING.
 

15.

Amend Governing Board Meeting Procedures Regarding Receipt of Public Testimony

        Chairman Burke indicated that this item had been continued to the August 1, 2003 Board meeting.

        Written Comments Submitted by: 
         Joseph K. Lyou, Ph.D., California Environmental Rights Alliance

24.

Administrative Committee
 

25.

Legislative Committee
 

26.

Mobile Source Committee
 

27.

Stationary Source Committee
 

28.

Technology Committee
 

29.

Mobile Source Air Pollution Reduction Review Committee
 

30.

California Air Resources Board Monthly Report  (No Written Material - Transcripts of the meetings are available at CARB's web site, www.arb.ca.gov.)
 

31.

Annual Report on Implementation of 2002-03 Environmental Justice Enhancements and Proposed 2003-04 Workplan for Public Review
 

32.

Implement FY 2002-03 Environmental Justice Enhancement III-2 – Develop Expedited CEQA Analysis Process for Any Major Project Which Contains Commitments and Milestone Schedules for Implementation of “Super Clean Air Actions” and Amend AQMD's Green Carpet Program
 

33.

Overview of Clean Cities Programs within AQMD Boundaries

        Emphasizing the importance of the Board’s attention to the Clean Cities programs in the basin, Mr. Loveridge requested a report to the Board from staff every six months.

        Agenda Item No. 31 was withheld for public comment.
 

ON MOTION OF DR. WILSON, DULY SECONDED, AND CARRIED UNANIMOUSLY (Absent: Carney, LaPisto-Kirtley, and Silva), THE BOARD:  1) APPROVED AGENDA ITEMS 24 THROUGH 30, 32, AND 33;  AND 2) ADOPTED THE FOLLOWING POSITIONS ON LEGISLATION, AS RECOMMENDED BY STAFF:

AB 1214 (Firebaugh) – Net Energy Metering for Fuel          SUPPORT AND
                                         Cells                                           SEEK AMENDMENTS

AB 1468 (Pavley) – Negative Air Machines; Asbestos         SUPPORT AND
                                   Removal                                            SEEK AMENDMENTS

SB 352 (Escutia) – Sources of Pollution at Schoolsites        SUPPORT AND
                                                                                              SEEK AMENDMENTS
 

31.

Annual Report on Implementation of 2002-03 Environmental Justice Enhancements and Proposed 2003-04 Workplan for Public Review

        Dr. Joseph Lyou, of California Environmental Rights Alliance, expressed his support for the Board’s commitment and the staff’s commitment to AQMD’s Environmental Justice program.
 

ON MOTION OF MR. AGUIAR, SECONDED BY
MS. VERDUGO-PERALTA, AND CARRIED UNANIMOUSLY (Absent: Carney, LaPisto-Kirtley, and Silva), THE BOARD  APPROVED AGENDA ITEM NO. 31 AS RECOMMENDED BY STAFF.

34.

Amend Rule 1162 - Polyester Resin Operations

       Larry Bowen, Planning & Rules Manager, gave the staff report.  The public hearing was opened.  There being no requests from the public to speak on this item, the public hearing was closed.
 

ON MOTION OF MR. AGUIAR, SECONDED BY
MR. CRAYCRAFT, AND CARRIED UNANIMOUSLY (Absent: Carney, LaPisto-Kirtley, and Silva), THE BOARD ADOPTED RESOLUTION NO. 03-15, AMENDING RULE 1162 AND CERTIFYING THE FINAL ENVIRONMENTAL ASSESSMENT, AS RECOMMENDED BY STAFF.
 

35.

Amend Rule 219 - Equipment Not Requiring a Written Permit Pursuant to Regulation II

       Ms. Lee Lockie, Director of Area Sources, gave the staff report.  The public hearing was opened, and the Board heard testimony from the following individuals.

CURTIS COLEMAN, CMTA, Southern California Air Quality Alliance
       Recommended, for the sake of clarity, that the words “adhesive application” be inserted into Subparagraph(l)(6) of PAR 219, which provides exemptions for certain coating and adhesive processing equipment.

       Staff indicated its agreement to the modification suggested by Mr. Coleman.

JOHN BILLHEIMER, Enviro-Reality
        Requested that the Board substitute the word “emit” for “use” in the category for food and drink, pharmaceutical, and cosmetics operations because, while these type of operations may use thousands of gallons of organic solvents in a tank, they might emit only ounces a day.

        There being no further public testimony, the public hearing was closed.
 

ON MOTION OF MR. LOVERIDGE, SECONDED BY
MS. VERDUGO-PERALTA, AND CARRIED UNANIMOUSLY (Absent: Carney, LaPisto-Kirtley, and Silva), THE BOARD ADOPTED RESOLUTION NO. 03-16, AMENDING RULE 219 AND CERTIFYING THE EXEMPTION FROM CEQA, AS RECOMMENDED BY STAFF, WITH THE FOLLOWING MODIFICATION TO SUBPARAGRAPH (l)(6) OF RULE 219:

“Coating, adhesive application, or laminating equipment operated …”
 

36.

Implement FY 2002-03 Environmental Justice Enhancement I-4 – Continue to Develop Localized Significance Thresholds for Subregions of Air District as Another Indicator of CEQA Significance

       Dr. Wallerstein stated that Board Members Craycraft and LaPisto-Kirtley had requested that this item be delayed for 90 days to allow for further consultation with local government.  While staff has no objection to delaying the item for 90 days, he noted that this is an important issue which staff has been working on since 1998.
 

MR. CRAYCRAFT MOVED TO DELAY THE ITEM FOR 90 DAYS, CONTINUING IT TO THE BOARD’S OCTOBER 3, 2003 MEETING.  THE MOTION WAS DULY SECONDED, AND CARRIED UNANIMOUSLY (Absent:  Antonovich, Carney, LaPisto-Kirtley, and Silva).
 

Written Comments Submitted by:
Charles Wilson, Community Development Director, City of Mission Viejo
Joel Rosen, Orange County Council of Governments
Richard R. Powers, Gateway Cities Council of Governments
Lee Whittenberg, City of Seal Beach
Kenneth C. Farfsing, City of Signal Hill
Michael W. Lewis, Construction Industry Air Quality Coalition
Tim Piasky, Building Industry Association of Southern California
Matthew B. Jones and Fred Greve, Mestre Greve Associates
Detrich B. Allen, City of Los Angeles