GOVERNING BOARD AGENDA
MEETING, February 6, 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

Swearing In of Newly Appointed Board Member Josie Gonzales, Burke

Presentation of Retirement Awards to Larry Kolczak and Robert Stannard, Burke

Note: Consent Calendar items held for discussion will be moved to Item No. 21.

1.  Minutes of January 9, 2009 Board Meeting
McDaniel (909)396-2500
(smcdaniel@aqmd.gov)

2.  Set Public Hearings to March 6, 2009 to Amend Rule 1156 – PM10 Emission Reductions from Cement Manufacturing Facilities
Tisopulos (909) 396-3123
(ltisopulos@aqmd.gov)
The proposed amendments will require additional controls for particulate matter and require monitoring for particulates and hexavalent chrome. (Review: Stationary Source Committee, June 20, 2008, September 19, 2008, November 21, 2008, and January 23, 2009)

Budget/Fiscal Impact

3. Execute Contracts for Surplus Off-Road Opt-In for NOx Provision of State In-Use Off-Road Vehicle Regulation
Liu (909) 396-2105
(cliu@aqmd.gov)
On November 7, 2008, proposals were received in response to the Program Announcement that was issued for the Surplus Off-Road Opt-In for NOx (SOON) provision of the state in-use off-road vehicle regulation. This action is to execute contracts under the SOON Provision with funds from the Carl Moyer Program Fund. (Review: Technology Committee, January 23, 2009)

4. Execute Contract to Conduct Research Study and Demonstrate Feasibility of Control Technologies to Reduce PM2.5 and Ultrafine Emissions from Natural Gas-fired Power Plants
Liu (909) 396-2105
(cliu@aqmd.gov)
On May 2, 2008, the Board awarded a contract to the Fossil Energy Research Corporation (FERCO) to identify and demonstrate the most advanced control technologies to reduce PM2.5 emissions while not increasing ultrafine emissions from natural gas-fired power plants in an amount not to exceed $3,493,800 from the Rule 1309.1 Priority Reserve Mitigation Fees Fund. Prior to contract execution, one of FERCO’s primary subcontractors withdrew from the project so AQMD requested a revised proposal for the same scope and cost. After review by staff and the original RFP technical review panel, this action is to execute a contract with FERCO in an amount not to exceed $3,493,800 based on the revised proposal. (Review: Technology Committee, January 23, 2009)

5. Adopt Resolution Accepting Terms and Conditions for FY 2008-09 Carl Moyer Program Award and Recognizing Funds, Issue Carl Moyer Program Announcement for FY 2008-09 and Amend Award under Carl Moyer Program
Liu (909) 396-2105
(cliu@aqmd.gov)
These actions are to adopt a resolution recognizing $34,387,858 in Carl Moyer Program grant awards from CARB under SB 1107 with its terms and conditions for FY 2008-09 and to approve the release of a Program Announcement to provide incentive funding for low-emission on- and off-road vehicles and equipment for the FY 2008-09 “Year 11” Carl Moyer Program. Total available funds for the program announcement will be approximately $15 million from the Carl Moyer Program Fund SB 1107 and AB 923 accounts. The final action is to amend an award under the Carl Moyer Program. (Review: Technology Committee, January 23, 2009)

6. Execute Contracts to Conduct 2009 Lawn Mower Exchange Program and Leaf Blower Exchange Program for Public Parks
Miyasato (909) 396-3249
(mmiyasato@aqmd.gov)
At its September 5, 2008 meeting, the Board approved release of a Program Announcement to solicit competitive bids from cordless electric lawn mower manufacturers for the expanded 2009 Lawn Mower Exchange Program. This action is to: (1) execute contracts with two manufacturers to conduct the 2009 Lawn Mower Exchange Program in an amount not to exceed $716,000; and (2) transfer $126,000 from the AQIP Special Revenue Fund to carry out the 2009 Lawnmower Exchange Program. This action is also to recognize potential additional funds from CARB under the AB 118 AQIP Program to purchase additional lawn mowers. Finally, the Leaf Blower Exchange Program will encourage public parks to exchange their old 2-stroke leaf blowers for new 4-stroke, low-emission and low-noise leaf blowers. This action is to execute a contract with Pacific Stihl to purchase 156 leaf blowers in an amount not to exceed $51,760.80 from the Rule 1309.1 Priority Reserve Mitigation Fees. (Review: Mobile Source Committee, January 23, 2009)

7.  Execute Contract for Demonstration of Medium Speed Electric Vehicles
Miyasato (909) 396-3249
(mmiyasato@aqmd.gov)
For many residents within the South Coast Air Basin, commutes and short trips can be accomplished solely on residential streets at speeds below 35 mph. This proposed project is to demonstrate a Medium Speed Electric Vehicle (MSEV) program in the South Bay. The program will promote MSEVs, also called Neighborhood Electric Vehicles, to residents, select businesses, municipalities and government entities and establish a website with driver’s information. This demonstration project is for a period of up to 18 months. This action is to execute a contract with the South Bay Cities Council of Governments to establish and implement the MSEV program in an amount not to exceed $178,825 from the Clean Fuels Fund. (Review: Technology Committee, January 23, 2009)

8. Execute Truck Fleet Modernization Contracts Under Carl Moyer Program
Miyasato (909) 396-3249
(mmiyasato@aqmd.gov)
On April 4, 2008, the Board approved release of a Program Announcement to solicit projects at a cost not to exceed $6 million under the “Year 9” Carl Moyer Truck Fleet Modernization Program. These projects are evaluated on a first-come, first-served basis and are submitted monthly to the Board for approval. This action is to execute Fleet Modernization contracts from the Carl Moyer Program Fund SB 1107 Account.

9. Execute Contract to Demonstrate Natural Gas-Powered Police Vehicles
Hogo (909) 396-3184
(hhogo@aqmd.gov)
There is an interest in the use of natural gas-powered vehicles in daily law enforcement activities. Such vehicles have been placed into police service. However, past generations of natural gas vehicles were not used as pursuit vehicles given their performance under such conditions. This action is to execute a contract with AFV Fleet Service to implement a natural gas-powered police interceptor demonstration program with the Cities of Redlands and South Pasadena. The total cost for this project is estimated to be at a cost not to exceed $85,000 from the Clean Fuels Fund. (Review: Technology Committee, January 23, 2009)

10. Execute Contract to Replace Cooling Tower
Tharp (909) 396-3018
(etharp@aqmd.gov)
On September 5, 2008, the Board authorized release of an RFP to replace the building’s third cooling tower. This action is to execute a contract with C.J.S. Industrial Maintenance in an amount not to exceed $79,950 to replace the cooling tower. Sufficient funding is available in the FY 2008-09 Budget. (Review: Administrative Committee, January 16, 2009)

11. Execute Contract with Cheryl Wade to Provide Expert Technical Consulting Services and Approve Findings Supporting Contract
Pearce (909) 396-2828
(rpearce@aqmd.gov)
This action is to execute a contract with Cheryl Wade, former Financial Services Manager, who retired from AQMD employment on January 2, 2009, to provide expert technical consulting services regarding final testing and acceptance of several financial system enhancements. Additionally, this action is to approve findings under Health and Safety Code section 40426.7, which requires the Board to make specific findings before contracting with certain District employees within 12 months following retirement. Sufficient funds are available in the FY 2008-09 Budget. (Review: Administrative Committee, January 16, 2009)

12. Terminate Guaranteed Investment Contract and Escrow Agreement with MBIA Insurance Corporation; Establish Debt Service Fund with AQMD Treasurer
Pearce (909) 396-2828
(rpearce@aqmd.gov)
The Board, at its December 1, 2006 meeting, authorized the execution of a Guaranteed Investment Contract (GIC) and Escrow Agreement with MBIA Insurance Corporation (MBIA), an AAA-rated provider. Changes in the financial markets over the past several months have led to a ratings downgrade of MBIA by rating agencies Moody’s and Standard and Poor’s. The GIC provides several remedies that a provider (MBIA) may take to mitigate such a downgrade. This action is to authorize the Executive Officer to terminate this investment agreement with MBIA at no cost to AQMD and establish a Debt Service Fund with AQMD Treasurer. (Review: Administrative Committee, January 16, 2009)

13. Amend Contract for Media Relations Services
Wallerstein (909) 396-3131
(bwallerstein@aqmd.gov)
On April 4, 2008, the Board exercised the option to renew for an additional year the contract for Media Relations/Public Relations Services with Westbound Communications for $12,916 per month. The existing contract with the firm expires on May 31, 2009. This action is to amend the existing contract for one additional year. (Review: Administrative Committee, January 16, 2009)

14. Consider Issuance of Local Government Match Program Announcement and Contract Modification as Part of FY 2008-09 AB 2766 Discretionary Fund Work Program
Roberts
At its January 22, 2009 meeting, the MSRC approved the release of a Local Government Match Program Announcement and a contract modification for A-Z Bus Sales providing additional funds for alternative fuel school buses as part of its FY 2008-09 AB 2766 Discretionary Fund Work Program. The MSRC seeks AQMD Board approval of the Program Announcement release and contract modification at this time. (Review: Mobile Source Air Pollution Reduction Review, January 22, 2009)

Information Only - Receive and File

15. Public Affairs Report
Abarca (909) 396-3242
(oabarca@aqmd.gov)
This report highlights the December 2008 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.

16.  Hearing Board Report
Camarena (909) 396-2500
(ecamarena@aqmd.gov)
This reports the actions taken by the Hearing Board during the period of December 1 through December 31, 2008.

17. Civil Filings and Civil Penalties Report
Wiese (909) 396-3460
(kwiese@aqmd.gov)
This reports the legal actions filed by the District Prosecutor from November 1 through November 30, 2008.

18.  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.

19. 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 December 1, 2008, and December 31, 2008, and those projects for which the AQMD is acting as lead agency pursuant to CEQA. (Review Mobile Source Committee, January 23, 2009)

20.  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.

21. Items Deferred from Consent Calendar
 

BOARD CALENDAR

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

23. Legislative Committee
Chair: Carney
Abarca (909) 396-3242
(oabarca@aqmd.gov)
The Committee deliberated on the following items for Board consideration:

24. Mobile Source Committee
Chair: Loveridge
Chang (909) 396-3186
(echang@aqmd.gov)

25. Stationary Source Committee
Chair: Yates
Nazemi (909) 396-2662
(mnazemi1@aqmd.gov)

26. Technology Committee
Chair: Wilson
Liu (909) 396-2105
(cliu@aqmd.gov)

27. Mobile Source Air Pollution Reduction Review Committee
Board Liaison: Antonovich

28. California Air Resources Board Monthly Report
Board Rep: Loveridge
McDaniel (909)396-2500
(smcdaniel@aqmd.gov)

29. Approve Work Plan to Implement 'Helping Hand Initiative for 2009' as Proposed by Chairman William A. Burke
Wallerstein (909) 396-3131
(bwallerstein@aqmd.gov)
At the January 9 Board meeting, Chairman Burke proposed a 'Helping Hand Initiative for 2009,' for the purpose of enhancing supportive interactions with air district permit-holders and residents during the current economic downturn. In subsequent discussion at the meeting, fellow Board Members suggested additional components to include with the initiative. Dr. Burke directed AQMD staff to develop a work plan based on the Board's combined suggestions and present it for approval at the February 9, 2009 Board meeting. This action is to approve the general work plan for the 'Helping Hand Initiative for 2009.'

30. Enforcement Discretion for Clean-up of Ultraviolet/Electron Beam Inks, On-Press Screens, and Photocurable Resins from Stereolithography Equipment and Models in Rule 1171 – Solvent Cleaning Operations and Rule 1122 – Solvent Degreasers
Tisopulos (909) 396-3123
(ltisopulos@aqmd.gov)
Prior amendments to Rules 1171 and 1122 had extended the effective dates for the use of low-VOC cleanup solvents for ultraviolet/electron beam inks, on-press screens, and stereolithography equipment to December 31, 2008. A recently completed evaluation by the printing industry concluded that the currently available solvents do not meet industry’s performance criteria. Consequently, industry has requested an extension of the compliance date to allow additional time for reformulation and testing. Staff plans to propose amendments to Rules 1171 and 1122 to the Board at a later date to address this request. In the meantime, staff proposes to exercise enforcement discretion for the low-VOC limits that went into effect January 1, 2009. (Review: Stationary Source Committee, January 23, 2009)

31.Status Report on Proposed Rule 317 – Clean Air Act Non-Attainment Fees
(No Written Material)
Tisopulos (909) 396-3123
(ltisopulos@aqmd.gov)
Staff was directed by the Board to review the baseline provisions of the proposed rule, including averaging options and report back to the Board with appropriate recommendations. Staff will report on the status of the analysis and the guidance under development by the U.S. EPA.

PUBLIC HEARINGS

32. Receive Public Input on Executive Officer’s Proposed Program Goals/Objectives for FY 2009-10
Wallerstein (909) 396-3131
(bwallerstein@aqmd.gov)
A set of priority goals for the FY 2009-10 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.

33. Amend Rule 1173 – Control of Volatile Organic Compound Leaks and Releases from Components at Petroleum Facilities and Chemical Plants
Tisopulos (909) 396-3123
(ltisopulos@aqmd.gov)
The proposed amendments will require changes in the rule to amend the exemption listed in paragraph (l)(5) for enforceability. When the rule was last amended in June 2007 two new paragraphs – (h)(1) and (h)(3) were added to address the installation schedule for continuous monitors for atmospheric process pressure relief devices, but the references made in the exemption were inadvertently left unchanged as (h)(4) and (h)(5) as opposed to (h)(6) and (h)(7). The new amendment will not result in any changes in emissions and solely reflects administrative changes that will correctly express the intent of the June 2007 rule amendment. (Review: Stationary Source Committee January 23, 2009)

34. Amend Rule 2701 – SoCal Climate Solutions Exchange
Chang (909) 396-3186
(echang@aqmd.gov)
Rule 2701 – SoCal Climate Solutions Exchange was adopted at the December 5, 2008 Board meeting. The Board directed staff to evaluate the potential environmental justice impacts, if any, relative to the Manure Management Project Protocol prior to adding it to the list of approved protocols under the AQMD's GHG reduction program. Staff recommends inclusion of the Manure Management Project Protocol with some local requirements to the list of approved GHG emission reduction protocols in Rule 2701. (Review: Climate Change Committee, January 16, 2009)

35. Adopt Proposed Rule 2702 – Greenhouse Gas Reduction Program
(Continued from January 9, 2009 Board Meeting)
Chang (909) 396-3186
(echang@aqmd.gov)
The proposed rule will create a voluntary Greenhouse Gas Reduction Program administered by AQMD. The AQMD can accept funds to generate GHG reductions and Requests for Proposals would be issued. Projects selected by the AQMD would follow pre-approved protocols to generate GHG emission reductions in the AQMD. (Review: Climate Change Committee, September 19, 2008 and October 29, 2008)

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. EPA, et al., Ninth Circuit Case No. 08-72288;
• 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;
• NRDC, et al. v. SCAQMD, et al., Court of Appeal, Second Appellate District, Case
  No. B212646; and
• Association of American Railroads, et al. v. SCAQMD, et al., U. S. District Court Case No. CV06-1416 JFW (PLAx) and United States Court of Appeals, 9th Circuit, Case No. 07-55804.

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