GOVERNING BOARD AGENDA
MEETING, January 7, 2005

A meeting of the South Coast Air Quality Management District Board will be held at 9:00 a.m., in the Auditorium at  AQMD Headquarters, 21865 Copley Drive, Diamond Bar, California. Most agenda items are described in a “Board Letter” which may be accessed by clicking the appropriate link below. Some Board Letters also have attachments in various formats, such as .doc, .xls, .ppt, .pdf, .zip, .exe, and others. Attachments can be accessed for viewing or downloading by clicking on the word “Attachment” at the end of the Board Letter.

The agenda and documents in the agenda packet will be made available upon request in appropriate alternative formats to assist persons with a disability. Disability-related accommodations will also be made available to allow participation in the Board meeting. Any accommodations must be requested as soon as practicable. Requests will be accommodated to the extent feasible. Please telephone the Clerk of the Boards Office at (909) 396-2500 from 7:00 a.m. to 5:30 p.m. Tuesday through Friday.

Pledge of Allegiance

Opening Comments:

• William A. Burke, Ed.D., Chair
• Other Board Members
• Barry R. Wallerstein, D. Env., Executive Officer

Recognition of Outgoing Board Member William Craycraft

• Burke

Note: Consent Calendar items held for discussion will be moved to Item No. 19.

1. Minutes of December 3, 2004 Board Meeting
McDaniel (909) 396-2500
(smcdaniel@aqmd.gov)

2. Set Public Hearing February 4, 2005 to Receive Public Input on Executive Officer's Priority Goals for FY 2005-06
Wallerstein (909) 396-3131
(bwallerstein@aqmd.gov)

A set of priority goals for the FY 2005-06 Budget has been developed. The Executive Officer wishes to receive public and Board Member input on these priority goals as they serve as the foundation of AQMD's Work Program.

Budget/Fiscal Impact

3. Execute Contract for Legislative Representation in Washington, D.C.
Abarca (909) 396-3242
(oabarca@aqmd.gov)

At the September 3, 2004 meeting, the Board approved release of an RFP to solicit proposals for legislative representation in Washington, D.C. Proposals were submitted and evaluated. This action is to execute a contract based on the evaluation of the proposals submitted and interviews of finalists by the Legislative and Administrative Committees. (Review: Legislative and Administrative Committees, December 10, 2004)

4. Execute Contract to Provide Technical Support for AQMD Coachella Valley Meteorological Network
Chang (909) 396-3186
(echang@aqmd.gov)

On August 6, 2004, the Board approved release of an RFP to provide technical support for the AQMD Coachella Valley meteorological network. The contracted effort will provide field support of the meteorological stations, instrument testing and data management. This action is to execute a one-year contract with Technical and Business Systems, Inc. with a renewal option up to the next three fiscal years based on satisfactory performance and availability of funds in an amount not to exceed $50,000 per year. Annual renewal options for the next three fiscal years shall be based upon availability of funds and satisfactory performance. (Review: Administrative Committee, December 10, 2004)

5. Execute Contract for Privatization of Portion of Annual Emission Reporting Program
Chang (909) 396-3186
(echang@aqmd.gov)

At its October 1, 2004 meeting, the Board approved release of an RFP for continuation of privatization of portions of the Annual Emissions Reporting (AER) Program. This action is to award the contract to Ecotek, MST Solutions, Inc. for implementing the 2004-2005 AER Program. (Administrative Committee, December 10, 2004)

6. Appropriate Grant Funds from U.S. EPA for Boiler Tune-Up Outreach Program
Tisopulos (909) 396-3123
(ltisopulos@aqmd.gov)

U.S. EPA previously awarded the AQMD Section 103 Grant funds to design and implement a multi-agency program to assist small businesses in performing regular boiler tune-ups. The project was completed as of September 30, 2004 and a final report was submitted to U.S. EPA in December 2004. AQMD received $60,161 U.S. EPA matching funds for its efforts. This action is to appropriate $24,519 of grant funds received to the FY 2004-05 Planning, Rule Development and Area Sources Budget and appropriate the remainder to the general fund. (Review: Administrative Committee, December 10, 2004)

7. Execute Purchase Order for Two Natural Gas Fueled Cargo Vans for U.S. Department of Defense Funded Low-Level Pollutant Concentration Measurement Study, One Natural Gas Fueled Passenger Van for AQMD Vanpool Fleet, and Allocate Rule 2202 AQIP Funds to Assist in Purchase of Natural Gas Fueled Passenger Vans for Taxicab Services
Hogo (909) 396-3184
hhogo@aqmd.gov

At its August 2004 meeting, the Board authorized the purchase of two natural gas fueled cargo vans from Thorson Motor Center for a special project with the U.S. Department of Defense (DOD). Subsequent to the Board’s approval, Thorson indicated that General Motors has stopped taking orders for any new natural gas fueled vehicles and there are no other General Motors natural gas vans available. Recently, Wondries Ford indicated that they have available seven Ford E350 dedicated natural gas passenger vans and two Ford E350 natural gas cargo vans. This action is to re-authorize the purchase order originally for two General Motors natural gas fueled cargo vans to instead purchase two Ford E350 dedicated natural gas cargo vans from Wondries Ford at a cost not to exceed $60,000. Funding for the purchase of the two vans are provided as part of the contract with the U.S. DOD. In addition, staff is requesting Board approval to purchase one Ford E350 dedicated natural gas passenger van for the AQMD’s vanpool fleet at a cost not to exceed $35,000, and allocate turn-back Rule 2202 AQIP funds to assist in the purchase of up to six natural gas passenger vans for taxicab services at cost not to exceed $92,292. (Review: Administrative Committee, December 10, 2004)

8. Award Multiple Contracts for Natural Gas Refueling Station Infrastructure, Amend Prior Funding Commitment, and Reissue RFP (Continued from December 3, 2004 Board Meeting)
Liu (909) 396-2105
cliu@aqmd.gov

On August 6, 2004, the Board approved the re-release of an RFP to solicit proposals for natural gas refueling station infrastructure projects. The budget for the RFP ranged from $726,046 to $1,726,046. At this time, only $726,046 is available. Nine proposals were received by the RFP deadline of October 1, 2004. Staff recommends that eight of the proposals be funded at a total cost not to exceed $980,618 from the Clean Fuels Fund. Staff proposes that $254,572 from the Clean Fuels Fund be used to augment the original budget of $726,046 to cover the eight recommended proposals for a total amount not to exceed $980,618. Staff recommends amending a prior funding commitment to Clean Energy, Inc. for fueling infrastructure totaling $200,000 and reverting these funds to the AES Settlement Fund. In addition, staff recommends that the RFP be reissued to solicit additional natural gas fueling infrastructure projects with a budget of $245,428, $200,000 from the AES Settlement Fund and $45,428 from the Clean Fuels Fund. (Review: Technology Committee, November 19, 2004)

9. Issue RFP to Conduct Marine Vessel and Aircraft Emissions Inventory Studies
Liu (909) 396-2105
cliu@aqmd.gov

Emissions from marine vessels and aircraft are expected to grow considerably in the future because of the anticipated economic growth in the region. Development of accurate emission projections for these categories is critical in assessing potential future controls and their impact on the Basin's attainment with the federal ambient air quality standards. This action is to issue an RFP to solicit proposals to develop updated emissions inventories (base and future years) for marine vessels and aircrafts at a cost not to exceed $150,000 ($100,000 for marine vessels and $50,000 for aircrafts) from the Clean Fuels Fund. The results from these studies will be used in the development of the 2007 AQMP Revision. (Review: Administrative Committee, December 10, 2004)

10. Approve RFP Issuance and Multiple Contract Awards as Part of MSRC's FY 2004-05 AB 2766 Discretionary Fund Work Program; Grant MSRC Authority to Adjust Project Costs Up to Five Percent; and Authorize Board Chairman to Execute Agreements (Continued from December 3, 2004 Board Meeting)
Norton-Perry

The MSRC developed a $15.3 million FY 2004-05 Work Program consisting of 11 program elements. Four RFPs closed September 21, 2004, and two Program Announcements closed October 26, 2004. The MSRC met on November 18, 2004, to take action on recommendations from its Technical Advisory Committee regarding proposals received under five of the six solicitations. Currently, the MSRC requests approval of multiple contract awards for on-road heavy-duty vehicles, off-road heavy-duty vehicles, alternative fuel/advanced technology transit buses, the upgrade and expansion of existing CNG and LNG refueling stations, and the Local Government Match Program. The MSRC also approved release of an RFP for website development, maintenance and hosting as part of FY 2004-05 Work Program and modifications to a $1 million sole-source contract to Johnson|Ukropina as a follow-on to last year’s rideshare campaign. Further FY 2004-05 contract awards will be considered by the MSRC and AQMD Board in the future. Finally, the MSRC requests authority to adjust contracts up to five percent and authority for the Board Chairman to execute agreements. (Review: Mobile Source Air Pollution Reduction Review Committee, November 18, 2004)

Information Only - Receive and File

11. Public Affairs Report
Abarca (909) 396-3242
(oabarca@aqmd.gov)

This report highlights the November 2004 outreach activities of Public Affairs which include: Environmental Justice Update, Community Events/Public Meetings, Business Assistance, and Local Governmental Activity.

12. Hearing Board Report
Camarena (909) 396-2500
(ecamarena@aqmd.gov)

This reports the actions taken by the Hearing Board during the period of November 1 through November 30, 2004.

13. Civil Filing and Civil Penalties Report
Mieras (909) 396-3400
(pmieras@aqmd.gov)

This reports the monthly penalties from October 1 through October 31, 2004, and legal actions filed by the District Prosecutor during November 1 through November 30, 2004. A glossary explaining the key terms and Index of District Rules are attached with the penalty report.

14. Report on Major Projects for Information Management Scheduled to Start During Last Six Months of FY 2004-05
Marlia (909) 396-3148
cmarlia@aqmd.gov

Information Management is responsible for data systems management services in support of all AQMD operations. This action is to report on major automation contracts and projects to be initiated by Information Management during the last six months of FY 2004-05. (Review: Administrative Committee, December 10, 2004)

15. Lead Agency Projects and Environmental Documents Received by AQMD
Chang (909) 396-3186
(echang@aqmd.gov)

This report provides, for the Board's consideration, a listing of CEQA documents received by the AQMD between November 1, 2004, and November 30, 2004, and those projects for which the AQMD is acting as lead agency pursuant to CEQA. (Review: Mobile Source Committee, November 19, 2004)

16. Rule and Control Measure Forecast
Chang (909) 396-3186
(echang@aqmd.gov)

This report highlights AQMD rulemaking activity and public workshops potentially scheduled for the year 2005.

17. Audit for FY Ended June 30, 2004
Pearce (909) 396-2828
(rpearce@aqmd.gov)

This agenda item transmits the annual financial audit of the AQMD performed by an independent certified public accountant. The AQMD has received an unqualified opinion (the highest obtainable) on its financial statements. (Review: Administrative Committee, December 10, 2004)

18. Report of RFPs and RFQs Scheduled for Release in January
Pearce (909) 396-2828
(rpearce@aqmd.gov)

This report summarizes the RFPs and RFQs for budgeted services over $50,000 scheduled to be released for advertisement for the month of January. (Review: Administrative Committee, December 10, 2004)

19. Items Deferred from Consent Calendar

Note: The MSRC, Mobile Source, and Technology Committees did not meet in December. The next MSRC meeting is scheduled for January 27, 2005; and the next meetings of the Mobile Source and Technology Committees are scheduled for January 28, 2005.

20. Administrative Committee
Chair: Burke
Wallerstein (909) 396-3131
(bwallerstein@aqmd.gov)

21. Legislative Committee
Chair: LaPisto-Kirtley
Abarca (909) 396-3242
(oabarca@aqmd.gov)

22. Stationary Source Committee
Chair: Loveridge
Coy (909) 396-2434
(ccoy@aqmd.gov)

23. California Air Resources Board Monthly Report
(No Written Material - Transcripts of the meetings are available at CARB's web site, www.arb.ca.gov)
Board Rep: Loveridge
McDaniel (909) 396-2821
(smcdaniel@aqmd.gov)

PUBLIC HEARINGS

24. Adopt Rule 1157 - PM10 Emission Reductions from Aggregate and Related Operations (Continued from December 3, 2004 Board Meeting)
Tisopulos (909) 396-3123
(ltisopulos@aqmd.gov)

Proposed Rule 1157 is developed to reduce PM10 emissions from aggregate and related operations as part of 2003 AQMP Control Measure BCM-08 - Further Emission Reductions from Aggregate and Cement Manufacturing Operations. The proposed rule would reduce fugitive dust PM10 emissions from various dust sources including loading and unloading activities, process equipment, open storage piles, unpaved and paved roads inside the facilities, and track-out. (Review: Stationary Source Committee, September 24, 2004;October 22, 2004)

25. Amend Regulation XX - REgional CLean Air Incentives Market
Chang (909) 396-3186
(echang@aqmd.gov)

AQMD staff is proposing amendments to Regulation XX - RECLAIM to achieve additional NOx reductions pursuant to the 2003 AQMP Control Measure #2003CMB-10. The proposed amendments also address requirements for demonstrating Best Available Retrofit Control Technology equivalency in accordance with California Health and Safety Code §40440. In addition to rule and protocol clarifications, other proposed changes include removing trading restrictions for power producing facilities, adding an alternative method of compliance demonstration for equipment with high oxygen content in the exhaust, adjusting the testing schedule for equipment operating sporadically and allowing transmission of CEMS monitoring data through AQMD website. (Review: Stationary Source Committee, June 25, July 30, August 27, September 24, October 22 and November 19, 2004)

26. Amend Rule 1146.2 - Emissions of Oxides of Nitrogen from Large Water Heaters and Small Boilers
Tisopulos (909) 396-3123
(ltisopulos@aqmd.gov)

Rule 1146.2 was adopted in January 1998 to establish NOx emission limits for small boilers and large water heaters ranging from 75,000 Btu/hr to 2 million (MM) Btu/hr. Since the rule adoption, staff has prepared and submitted to the Board three implementation studies required by the rule. The proposed amendments reflect recommendations of the implementation studies and address technical feasibility issues. Specifically, the amendments extend the January 1, 2006 compliance date for retrofitting or replacing smaller units (400,000 to 1 MM Btu/hr) and extend the January 1, 2005 compliance date for larger units (1 to 2 MM Btu/hr) manufactured between 1992 and 1999 inclusive. For both size categories, compliance with the rule limits will be required when the units become 15 years old. (Review: Stationary Source Committee, November 19, 2004)

27. Amend Rule 1168 - Adhesive and Sealant Applications
Tisopulos (909) 396-3123
(ltisopulos@aqmd.gov)

In addition to changes for clarity and consistency, the proposed amendments reduce the VOC limit for primers used in conjunction with polyvinyl chloride and chlorinated polyvinyl chloride welding, reduce the VOC limit for acrylonitrile-butadiene-styrene cements, postpone the final limit for top and trim adhesives until January 1, 2007, and allow limited use of methylene chloride in adhesive formulations used in the solvent welding of hard acrylic, polycarbonate and polyethylene terephalate glycol plastics. [Review: Stationary Source Committee, October 22 and November 19, 2004]

OTHER BUSINESS
 

PUBLIC COMMENT PERIOD - (Public Comment on Non-Agenda Items, Pursuant to Government Code Section 54954.3)

CLOSED SESSION
Wiese (909) 396-3460
(kwiese@aqmd.gov)

It is necessary for the Board to recess to closed session pursuant to Government Code section 54956.9(a) to confer with its counsel regarding pending litigation which has been initiated formally and to which the District is a party. The actions are: Engine Manufacturers Association, et al. v. SCAQMD, et al., United States District Court Case No. CV00-09065 FMC (BQRx); Western States Petroleum Association v. SCAQMD, et al., Los Angeles Superior Court Case No. BS 087190; People of the State of California ex rel SCAQMD v. BP West Coast Products, LLC, et al., Los Angeles Superior Court Case No. BC291876; Communities for a Better Environment v. SCAQMD, et al., ConocoPhillips Company, Los Angeles Superior Court Case No. BS091275; ConocoPhillips Company, Los Angeles Superior Court Case No. BS091276; National Paint & Coatings Association v. SCAQMD, et al., Ninth Circuit Court of Appeals Case No. 04-55623; and National Paint & Coatings Association v. SCAQMD, Orange County Superior Court Case No. 03CC00007.

ACRONYMS

AQIP = Air Quality Investment Program
AVR = Average Vehicle Ridership
Cal/EPA = California Environmental Protection Agency
CARB = California Air Resources Board
CEMS = Continuous Emissions Monitoring Systems
CEQA = California Environmental Quality Act
CE-CERT = College of Engineering-Center for Environmental Research and Technology
CNG = Compressed Natural Gas
CO = Carbon Monoxide
CTG = Control Techniques Guideline
EPA = Environmental Protection Agency
EV = Electric Vehicle
FY = Fiscal Year
HRA = Health Risk Assessment
IAIC = Interagency AQMP Implementation Committee
IGA = Intergovernmental Affairs
LEV = Low Emission Vehicle
LNG = Liquefied Natural Gas
MOU = Memorandum of Understanding
MSERCs = Mobile Source Emission Reduction Credits
MSRC = Mobile Source (Air Pollution Reduction) Review Committee
NESHAPS = National Emission Standards for Hazardous Air Pollutants
NGV = Natural Gas Vehicle
NOx = Oxides of Nitrogen
NSPS = New Source Performance Standards
NSR = New Source Review
PAMS = Photochemical Assessment Monitoring Stations
PAR = Proposed Amended Rule
PM₁₀ = Particulate Matter < 10 microns
PM_2.5 = Particulate Matter < 2.5 microns
PR = Proposed Rule
RFP = Request for Proposals
RFQ = Request for Quotations
SCAG = Southern California Association of Governments
SIP = State Implementation Plan
SOx = Oxides of Sulfur
TCM = Transportation Control Measure
ULEV = Ultra Low Emission Vehicle
VMT = Vehicle Miles Traveled
VOC = Volatile Organic Compound
ZEV = Zero Emission Vehicle