GOVERNING BOARD AGENDA
MEETING, April 3, 2009

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 may be accessed for viewing or downloading by clicking on the word “Attachment” at the end of the Board Letter. For help in downloading “.exe” or “.zip” files, please click here.

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.

All documents (i) constituting non-exempt public records, (ii) relating to an item on the agenda, and (iii) having been distributed to at least a majority of the Governing Board after the agenda is posted, are available prior to the meeting for public review at the South Coast Air Quality Management District Clerk of the Board’s Office, 21865 Copley Drive, Diamond Bar, CA 91765.

CALL TO ORDER

Pledge of Allegiance

Opening Comments:

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

Note: Consent Calendar items held for discussion will be moved to Item No. 20.

1. Minutes of March 6, 2009 Board Meeting
   McDaniel (909)396-2500
   (smcdaniel@aqmd.gov)
    

2. Set Public Hearing May 1, 2009 to Amend Rule 1171 – Solvent Cleaning Operations and Rule 1122 – Solvent Degreasers
   Tisopulos (909) 396-3123
   (ltisopulos@aqmd.gov)
   The proposed amendments extend the compliance date for the use of low-VOC solvents for clean-up of lithographic ultraviolet/electron beam ink application equipment and on-press screens in screen printing. The proposal also addresses rule applicability for certain specialized, small usage, low emission applications and other clarifying language in Rules 1171 and 1122. (Review: Stationary Source Committee, March 20, 2009)
   
   
   Budget/Fiscal Impact
    
3. Execute Contract for Independent Audit Services for FYs Ending June 30, 2009, 2010, and 2011
   Pearce (909) 396-2828
   (rpearce@aqmd.gov)
   On November 7, 2008, the Board approved release of an RFP for independent financial audit services. An evaluation panel composed of outside and AQMD Legal and Finance staff evaluated the proposals. Three proposals were submitted to the Administrative Committee for consideration at its February 13, 2009 and again at its March 13, 2009 meetings. After the Committee interviewed representatives of each of the firms, Thompson, Cobb, Bazilio & Associates, PC was selected to be recommended to the full Board. (Review: Administrative Committee, February 13, 2009 and March 13, 2009)
    
4. Execute Contract to Demonstrate Natural Gas-Powered Concrete Mixer Truck
   Liu (909) 396-2105
   (cliu@aqmd.gov)
   Concrete mixer trucks are widely used in a variety of construction projects in the South Coast Air Basin. Currently no original equipment manufacturer produces a concrete truck with a natural gas-powered engine. This action is to execute a contract with McNeilus Truck and Manufacturing Company to demonstrate a natural gas-powered concrete mixer truck. Total project cost is estimated at $380,000 with the AQMD cost not to exceed $100,000 from the Clean Fuels Fund. (Review: Technology Committee, March 20, 2009)
    
5. Execute Contract to Cosponsor Development and Certification of Natural Gas Chevrolet Impala Sedans
   Liu (909) 396-2105
   (cliu@aqmd.gov)
   Full-size compressed natural gas (CNG) sedans are widely used in public and private fleets. Currently, there are a limited number of equipment manufacturers that produce full-size CNG sedans. To increase the number and variety of CNG vehicles in fleets, NaturalDrive Partners, LLC has proposed the development and certification of CARB compliant CNG full-size sedans that would be derived from the gasoline Chevrolet Impala 3.5 and 3.9 liter models. The total cost for this project is estimated to be $234,388. This action is to execute a contract with NaturalDrive Partners, LLC to conduct this project at a cost not to exceed $81,388 from the Clean Fuels Fund. (Review: Technology Committee, March 20, 2009)
    
6. Execute Contract to Cosponsor Sustainable Transportation Energy Pathways Program
   Liu (909) 396-2105
   (cliu@aqmd.gov)
   The UC Davis Institute of Transportation Studies is conducting a multi-year research and outreach program to develop the theory, tools and methods that allow for self-consistent and transparent comparisons of promising alternative energy and vehicle pathways, and apply these tools and methods in comparative assessments of four general transportation energy pathways in the areas of hydrogen, biofuels, electricity and fossil fuels. The Sustainable Transportation Energy Pathways (STEPS) program has input from a team of multi-disciplinary researchers and support from energy companies, automotive manufacturers and government agencies. STEPS analyses will include a focus on Southern California as the early market for alternative fueled vehicles, specifically hydrogen fuel cells, plug-in hybrid and battery electric vehicles. This action is to execute a contract with UC Davis to cosponsor STEPS program projects in 2009 and 2010 in an amount not to exceed $120,000 from the Clean Fuels Fund. (Review: Technology Committee, March 20, 2009)
    
7. Issue RFP for Rule 2202 Air Quality Investment Program and Issue Program Announcements for Low Emission Leaf Blower Vendors
   Liu (909) 396-2105
   (cliu@aqmd.gov)
   One of the compliance strategies under Rule 2202 allows employers to invest in the Air Quality Investment Program. Monies received are placed in a restricted account to fund programs that result in equivalent emission reductions that would otherwise have been achieved by the participating employers. This action is to issue a new RFP to solicit proposals to achieve the emission reduction targets. In addition, staff proposes to repeat the successful Leaf Blower Exchange Program, in the fall of 2009 to generate cost-effective emission reductions. This action is to issue a Program Announcement to solicit competitive bids from manufacturers of low-emission leaf blowers in sufficient quantities and at the lowest possible price. (Review: Mobile Source, March 20, 2009)
    
8. Recognize Additional Funds under “Year 10” Carl Moyer Program, Amend Awards under Carl Moyer Program and SOON Provision, and Execute Contract under “Year 10”Carl Moyer Program
   Miyasato (909) 396-3249
   (mmiyasato@aqmd.gov)
   At its April 4, 2008 meeting, the Board adopted a resolution recognizing $34,782,473 from CARB under the “Year 10” Carl Moyer Program. This action is to recognize additional $88,691 from CARB. Effective January 1, 2009, CARB required all retrofit devices to comply with a lower nitrogen dioxide emission limit. The devices that do not meet this limit are no longer verified and many contractors now must switch to more costly devices to meet this new requirement. This action is to amend existing contracts for retrofit projects to provide additional funding. Other actions are to also execute a new contract under the “Year 10” Carl Moyer Program and amend two awards under the SOON Provision. (Review: Technology Committee, March 20, 2009)
    
9. Issue RFP for Refinement of Sub-county Geography for AQMD
   Chang (909) 396-3186
   (echang@aqmd.gov)
   AQMD has used sub-county geography to assess socioeconomic impacts of the Air Quality Management Plan at the community level. Recent census data has shown increased urbanization along the I-15 corridor in San Bernardino County, southern Orange County, and western Riverside County. This action is to issue an RFP to hire a contractor to refine the current sub-county geography in an amount not to exceed $60,000. (Review: Administrative Committee, March 13, 2009)
    
10. Authorize Purchase of Maintenance and Support Services for Mini Computer Hardware and Software
    Marlia (909) 396-3148
    (cmarlia@aqmd.gov)
    Mini computers are used by most enterprise-level software applications at the AQMD and currently support a suite of client/server and web-based applications known collectively as the Clean Air Support System. These applications are used to support all of the AQMD core activities. Maintenance support for these computers expires April 30, 2009. This action is to obtain approval for the sole source purchase of mini computer hardware and software maintenance and support services from Hewlett Packard Company for one year. Funds ($215,000) for this expense are included in the FY 2008-09 Budget. (Review: Administrative Committee, March 13, 2009)
     
11. Modify Contract for Lease of Buses and Award for Temporary Refueling in Support of Mountain Area CNG School Bus Demonstration Program as Part of FY 2008-09 AB 2766 Discretionary Fund Work Program
    Staff recommends that this item be continued to the May 1, 2009 Board meeting.
    Roberts
    As an element of its FY 2006-07 Work Program, the MSRC funded the demonstration of CNG school buses at one or more mountain area school districts. The Bear Valley Unified School District elected to participate. This project includes the lease of two CNG buses and the lease of a portable CNG refueling station. A substitution of refueling station vendor was performed by the MSRC at their December 2008 meeting with a sole-source award to Gas Equipment Systems, Inc. (GESI). As part of its FY 2008 09 AB 2766 Discretionary Fund Work Program, at its March 19, 2009 meeting, following receipt of a firm cost estimate, the MSRC approved a revised total award amount to GESI, and the MSRC also approved extension of the school buses’ lease to provide the school district with a full school year of CNG bus experience. At this time, the MSRC seeks AQMD Board approval of the contract and award modifications. (Review: Mobile Source Air Pollution Reduction Review Committee, March 19, 2009)
    
    
    Action Item/No Fiscal Impact
     
12. Authorize Use of AQMD Logo on American Lung Association Outreach Material Pursuant to AQMD/BP ARCO Settlement Agreement
    Ospital (909) 396-2582)
    (jospital@aqmd.gov)
    The March 2005 settlement agreement commits $3 million per year for ten years, for a total commitment of $30 million, to fund community benefit programs selected by a joint AQMD/BP ARCO Public Benefits Oversight Committee. The American Lung Association was awarded $364,605 to provide asthma management and education programs to elementary school children, their parents, and school personnel; and $170,000 to provide a one week asthma camp for children residing within the AQMD boundaries. The award agreements call for the identification of BP and AQMD as sponsors or support organizations on all outreach or promotional material, presentations, advertising, and training or educational materials funded under the agreement. This action is to authorize the placement of the AQMD logo on this material. (Review: Administrative Committee, March 13, 2009)
    
    Information Only - Receive and File
     
13. Public Affairs Report
    Abarca (909) 396-3242
    (oabarca@aqmd.gov)
    This report highlights the February 2009 outreach activities of Public Affairs, which include Environmental Justice Update, Community Events/Public Meetings, Business Assistance, and Outreach to Business and Federal, State and Local Government.
     
14. Hearing Board Report
    Camarena (909) 396-2500
    (ecamarena@aqmd.gov)
    This reports the actions taken by the Hearing Board during the period of February 1 through February 28, 2009.
     

15. Civil Filings and Civil Penalties Report
    Wiese (909) 396-3460
    (kwiese@aqmd.gov)
    This reports the monthly penalties from January 1 through January 31, 2009, and legal actions filed by the District Prosecutor during January 1 through January 31, 2009. A glossary explaining the key terms and Index of District Rules are attached with the penalty report.
     

16. 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 February 1, 2009 and February 28, 2009, and those projects for which the AQMD is acting as lead agency pursuant to CEQA. (Review: Mobile Source Committee, March 20, 2009)
     

17. 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 2009.
     

18. Notification of State-Approved Reference Exposure Levels for Acetaldehyde, Acrolein, Arsenic, Formaldehyde, Manganese, and Mercury
    Chang (909) 396-3186
    (echang@aqmd.gov)
    Rules 1401 - New Source Review of Toxic Air Contaminants and 1402 - Control of Toxic Air Contaminants from Existing Sources, require that staff notify the Board and affected parties before risk values for toxic air contaminants are added to or changed in Rule 1401. On December 19, 2008, the Office of Environmental Health Hazard Assessment approved new and changed reference exposure levels (RELs) for several compounds: acetaldehyde, acrolein, arsenic, formaldehyde, manganese, and mercury. At a later Board meeting staff will propose addition of these RELs to Rule 1401. In addition, the proposed amendments will add chronic RELs for fluoride compounds which were the subject of a January 9, 2004 Board letter recommending delay in adding the values until the state had completed a multi-pathway assessment needed to complete the required impact analysis. The proposal will include analysis of potential impacts of new, modified, and existing sources.
     

19. Status Report on Major Projects for Information Management Scheduled to Start During First Six Months of FY 2008-09
    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 provide the monthly status report on major automation contracts and projects to be initiated by Information Management during the last six months of FY 2008-09.
     

20. Items Deferred from Consent Calendar
    
    
    BOARD CALENDAR
     

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

22. A. Legislative Committee
    Chair: Carney
    Abarca (909) 396-3242
    (oabarca@aqmd.gov)

    B. Provide Direction on State Assembly Bill 397 (Jeffries)
    Wallerstein (909) 396-3131
    (bwallerstein@aqmd.gov)
    This proposed bill makes the AQMD’s Board an elected board. This proposed bill would require that all the members of the AQMD’s Board be elected by 13 individual divisions, commencing with the 2012 general election. (Review: Legislative Committee, March 13, 2009)
     

23. Mobile Source Committee
    Chair: Loveridge
    Chang (909) 396-3186
    (echang@aqmd.gov)
     
24. Stationary Source Committee
    Chair: Yates
    Nazemi (909) 396-2662
    (mnazemi1@aqmd.gov)
     
25. Technology Committee
    Chair: Wilson
    Liu (909) 396-2105
    (cliu@aqmd.gov)
     
26. Mobile Source Air Pollution Reduction Review Committee
    Board Liaison: Antonovich
    Hogo (909) 396-3184
    (hhogo@aqmd.gov)
     
27. California Air Resources Board Monthly Report
    Board Rep: Loveridge
    McDaniel (909)396-2500
    (smcdaniel@aqmd.gov)
     
28. California Fuel Cell Partnership Steering Team Report and Activity Report, Renew AQMD’s Membership in CaFCP for Calendar Year 2009 and Provide Office Space for CaFCP
    Miyasato (909) 396-3249
    (mmiyasato@aqmd.gov)
    The AQMD has been a member of the California Fuel Cell Partnership (CaFCP) since March 17, 2000. This report summarizes the California Fuel Cell Partnership Steering Team meeting held February 17-18, 2009 and provides an activity report for the period beginning October 2008. This action is also to renew AQMD’s membership in the CaFCP in an amount not to exceed $87,800 for calendar year 2009 and co-fund 50 percent of the CaFCP Regional Coordinator position located at the AQMD, in addition to office space and utilities, in an amount not to exceed $50,000. Further actions are to continue providing in-kind office space and utilities for CaFCP employees in 2009 to increase hydrogen and fuel cell outreach and education activities in Southern California. (Review: Technology Committee, March 20, 2009)
    
    
    PUBLIC HEARINGS
     
29. Amend Rule 317 – Clean Air Act Non-Attainment Fees
    (Continued from March 6, 2009 Board Meeting)
    Tisopulos (909) 396-3123
    (ltisopulos@aqmd.gov)
    Rule 317 was adopted by the Board at its December 5, 2008 meeting for the Salton Sea Air Basin only. The public hearing for the provisions that apply to the South Coast Air Basin was continued to the April 3, 2009 Board meeting. Staff has prepared two options for the Board's consideration. (Review: Stationary Source Committee, January 23, 2009 and March 20, 2009)
     
30. Approve and Adopt Technology Advancement Office Clean Fuels Program Annual Report and Plan Update
    (Continued from March 6, 2009 Board Meeting)
    Liu (909) 396-2105
    (cliu@aqmd.gov)
    As a requirement of the Clean Fuels Program funding, the Technology Advancement Office must submit to the Legislative Analyst by March 31st of each year an approved Annual Report for the past year and a Plan Update for the current calendar year. Staff presented the 2009 Clean Fuels Program Draft Plan Update to the Board for review and comment at its October 3, 2008 meeting. Adoption of these documents was postponed one month to allow time to evaluate the impact of the Stimulus Bill on potential projects in the Plan Update and investigate leveraging opportunities with federal agencies. At this time, staff is re-submitting the Technology Advancement Clean Fuels Program Annual Report and Plan Update for Board approval. (Review: Technology Committee, February 20, 2009 and March 20, 2009)
     
31. Amend Regulation IX – Standards of Performance for New Stationary Sources
    Chang (909) 396-3186
    (echang@aqmd.gov)
    Periodic amendments to Regulation IX incorporate new or amended federal standards by reference. Seven actions enacted by U.S. EPA in 2008, for NSPS, are proposed for incorporation into Regulation IX. The NSPS actions cover: new standards for stationary spark ignition internal combustion engines; stays on certain standards for equipment leaks of VOC in the synthetic organic chemicals manufacturing industry and petroleum refineries; new standards for new, modified, or reconstructed process units at petroleum refineries; and temporary, interim and unlimited stays for certain provisions of the new standards for petroleum refineries. Affected industries include: stationary spark ignition internal combustion engines, synthetic organic chemicals manufacturing industry, and petroleum refineries. (Review: Stationary Source Committee, February 20, 2009)
     
32. Pre-Hearing Report to Receive Public Comments on Proposed Rule 2301 – Control of Emissions from New or Redevelopment Projects
    Chang (909) 396-3186
    (echang@aqmd.gov)
    This item introduces the basic program design of Proposed Rule 2301 to the Governing Board and the public, per the commitment made in 2007 AQMP Control Measure EGM-01 - Emission Reductions from New or Redevelopment Projects. Staff will present the current staff proposal, key issues, and stakeholder comments, including input received through the PR 2301 Stakeholder Working Group. After receiving comments from the Board and public, PR 2301 will be brought back for consideration of rule adoption. (Review: Mobile Source Committee, January 15, 2009 and March 20, 2009)
     

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

BOARD MEMBER TRAVEL – (No Written Material)
Board member travel reports have been filed with the Clerk of the Boards, and copies are available upon request.

CLOSED SESSION – (No Written Material)
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:

• NRDC, et al. v. SCAQMD, et al., U.S. District Court Case No. CV08-05403 GW (PLAx);

• NRDC, et al. v. SCAQMD, et al., Los Angeles Superior Court Case Nos. BS105728 and BS110792; and

• NRDC, et al. v. SCAQMD, et al., Court of Appeal, Second Appellate District, Case No. B212646.

It is also necessary for the Board to recess to closed session pursuant to Government Code sections 54956.9(c) to confer with its counsel regarding determining whether to initiate litigation (two cases) and 54956.9(b)(3)(C) to confer with counsel regarding threatened litigation (one case). Facts and circumstances giving rise to threat of litigation: Letter dated March 11, 2009 from Michael J. Carroll, Latham and Watkins, to Barry R. Wallerstein regarding Proposed Southeast Region Energy Project.

In addition, it is also necessary for the Board to recess to closed session pursuant to Government Code section 54597.6(a) to meet with

• designated representatives regarding represented employee salaries and benefits or other mandatory subjects within the scope of representation [Negotiator:  Eudora Tharp; Represented Employees: Teamsters Local 911 & SCAQMD Professional Employees Association]

and to meet with

• labor negotiators regarding unrepresented employees [Agency Designated Representative:  Eudora Tharp; Unrepresented Employees:  Designated Deputies and Management and Confidential employees].
   

ADJOURNMENT

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
EV = Electric Vehicle
FY = Fiscal Year
GHG = Greenhouse Gas
HRA = Health Risk Assessment
IAIC = Interagency AQMP Implementation Committee
IGA = Intergovernmental Affairs
LEV = Low Emission Vehicle
LNG = Liquefied Natural Gas
MATES = Multiple Air Toxics Exposure Study
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
RTC = RECLAIM Trading Credit
SCAG = Southern California Association of Governments
SIP = State Implementation Plan
SOx = Oxides of Sulfur
SULEV = Super Ultra Low Emission Vehicle
TCM = Transportation Control Measure
ULEV = Ultra Low Emission Vehicle
U.S. EPA = United States Environmental Protection Agency
VMT = Vehicle Miles Traveled
VOC = Volatile Organic Compound
ZEV = Zero Emission Vehicle