BOARD MEETING DATE: October 2, 2009
AGENDA NO. 35
REPORT:
Mobile Source Committee
SYNOPSIS:
The Mobile Source Committee met Friday, September 25, 2009.
Following is a summary of that meeting.
RECOMMENDED ACTION:
Receive and file the attached report.
Jane Carney, Acting Chair
Mobile Source Committee
Attendance
Acting Chair Jane Carney called the meeting to order at 9:00 a.m. Board Member Joseph Lyou was appointed to be a Committee Member for this meeting. Committee Member Josie Gonzales joined the meeting at 9:15 a.m. Absent were Chair Ronald Loveridge, Committee Members Bill Campbell and Jan Perry. The following items were presented:
INFORMATIONAL ITEM:
- Annual Report on AB 2766 Funds from Motor Vehicle Registration Fees for
FY 2007-2008
The purpose of this report is to present the outcome of FY 2007-08 AB 2766 Subvention Fund usage and program results to CARB, AQMD’s Board, local governments and other entities. AB 2766 was signed into law September 1990. It currently authorizes a $6 motor vehicle registration fee surcharge, of which 40% of $4 of the funds is subvened to local governments to implement projects that reduce mobile source emissions.
Carol Gomez, Planning & Rules Manager, reported on the Subvention Fund’s financial summary relative to the beginning balance ($32.9 mill), funds received ($19.9 mill), project spending ($17.9 mill), earmarked funds ($27.4 mill), and funds remaining after earmarking ($8.9 mill). In addition, staff reported on the number of projects funded and quantified over the past seven fiscal years. For FY 2007-08, local governments reported that they funded 340 projects of which 175 were quantified. Expenditures in 10 of the project categories indicated that Transportation Demand Management and Alternative Fuels had the highest spending. A total of 4,699 tons of emissions (NOx, ROG, PM10 and CO/7) were reduced through implementation of the 340 projects. The overall average cost-effectiveness of all projects implemented was reported to be just under $1/lb.
The summary of accomplishments presented by staff indicated an increase in emission reductions, earmarked funds, and project quantification. Staff’s future efforts will focus on encouraging the funding of SIP creditable & cost effective projects, continuing AQMD’s outreach presence and collaborating with CARB to improve the AB 2766 Subvention Fund reporting process.
ACTION ITEM:
- Release RFP to Provide for the Development of Land Use Emission Model
Software
Susan Nakamura, Planning and Rules Manager, provided background information for releasing an RFP for software development for calculating emissions for land use projects. Currently, the District along with other air agencies throughout California are using URBEMIS, which is a computer software program that calculates construction and operational emissions from land use projects. URBEMIS is widely used by lead agencies and the public to estimate emissions from land use projects for compliance with the California Environmental Quality Act. The District has been contracting with Tim Rimpo and Associates to develop URBEMIS, however, in the most recent contract discussions Mr. Rimpo is claiming ownership of the source code for the URBEMIS computer program. District staff believes that a computer model that is funded with public funds should remain under the public domain, and the URBEMIS model should be available to cities, counties, and the public free of charge. District staff is recommending that the Governing Board approve release of an RFP to develop a new land use emissions calculation computer program to replace URBEMIS. Dr. Joseph Lyou asked if toxic air contaminates (TACs) were included in the RFP. Ms. Nakamura answered that they were not at this time. Dr. Elaine Chang, Deputy Executive Officer, stated that TACs are typically estimated outside of the model, but that staff would look into adding TACs to the RFP. Supervisor Josie Gonzales asked if ethanol was included in the RFP. She stated that ethanol is an important source of alternative energy and that emissions from ethanol should be included in the land use model. Dr. Chang stated that staff would follow up on this. Supervisor Gonzales asked who issued the current URBEMIS contract. Kurt Wiese, General Counsel, stated that it was issued by the District. Supervisor Gonzales asked why the District did not have a copy of the source code. Mr. Wiese stated that Rimpo and Associates is in breach of contract by not delivering the source code. Supervisor Gonzales asked that the source code be included as a deliverable in the RFP for the land use model. She also asked that the source code be included as a periodic deliverable so that the District would be in possession of the source code at all times. Supervisor Gonzales stated that contracts should be opened every three to four years to allow for a re-examination of terms and to allow competitors to bid. Mrs. Jane Carney asked legal counsel to review the copyright language in Section 10B of the RFP. She also requested that the RFP specifically state that the District would own the copyright to the land use model.
Motion by Lyou; seconded by Gonzales; and unanimously approved.
INFORMATIONAL ITEMS:
- Update on Senate Bill 375 Regional Targets Advisory Committee
Dr. Elaine Chang provided the update to the Committee regarding Senate Bill (SB) 375 Regional Targets Advisory Committee (RTAC) activities, the RTAC’s recommendations to CARB, and the key policy issues raised during the RTAC deliberations.
SB375 is intended to seek GHG reductions from light and medium duty vehicles by integrating land use and transportation planning. CARB will set GHG reduction targets for 2020 and 2035. These targets will be updated every 8 years or every 4 years if necessary. SB375 provides a CEQA incentive to streamline or exempt GHG impact analysis if a project meets certain criteria and is consistent with the Sustainable Communities Strategy (SCS)/Alternative Planning Strategy (APS) that is approved by CARB to meet the reduction targets. The RTAC mandate under SB375 is to recommend factors and methodologies for setting the GHG reductions targets. The RTAC committee consists of 21 members that are representative of the local planning agencies, air districts, transportation agencies, local governments and members of the public. The RTAC met 14 times since February of this year and will be reporting to CARB with their recommendations on guiding principles, target setting process; methods and tools; and implementation.
In summary, RTAC recommends CARB use 2005 as the base year and percentage per capita GHG reduction as the metric for measuring reductions. There should be a statewide uniform target with a “reasonably tough test” to adjust the target to address regional differences. The target setting process emphasized public participation as well as CARB/MPO interactions. The key policy issues discussed by the RTAC include funding availability for transit and redevelopment projects in light of the current budget situation; social equity in terms of providing adequate affordable housing and having right job-housing fit; and lastly, the most contentious item debated among RTAC members is the use of best management practices (BMP) versus regional modeling for compliance demonstration. The question was whether BMP can be used as a sole tool for compliance demonstration, especially for large MPOs who all have a region-specific transportation model. Dr. Chang presented pros and cons of each approach and drew the analogy with our risk management programs of using modeling versus BMP. For the air toxic programs the environmental and EJ communities strongly prefer a BMP approach; however, in the case of SB375, the public interest and environmental representatives favor the modeling approach. RTAC in the end did not reach resolution on this, but agreed that both tools need to be further developed and improved.
The RTAC will be sending its final report to CARB by the end of September. CARB will release the draft targets by June 2010 and adopt the final targets by September 2010. Locally, SCAG has begun its outreach efforts to the sub-regions and any SCS developed will be incorporated into the 2012 Regional Transportation Plan (RTP)
Supervisor Gonzales asked if the requirement for SCS would differ based on existing air quality. Dr. Barry Wallerstein, Executive Officer, responded that the effect of GHG reductions is the same regardless of locations; therefore, existing air quality is not part of the consideration in setting the reduction targets. Mr. David Pettit, of the Natural Resources Defense Council, inquired about whether the same limitation on modeling approach applied to the BMP as well. Henry Hogo, Assistant Deputy Executive Officer, responded that both approaches rely on empirical studies of social behavior to different transportation and land-use choices. The modeling approach is based on a series of regression equations; whereas, air quality models are based on scientific equations and physical (air) measurements to gauge performance. There are a number of assumptions made in order to run the current transportation/land use models. These assumptions (of which some are subjective in nature) are typically made by planning experts. The results of the modeling may differ depending on the assumptions. In addition, most metropolitan planning organizations do not have sophisticated models to conduct the types of analysis necessary under SB 375 at this time. As such, the current models may not be sensitive enough to capture certain land use policies. Dr. Wallerstein added that some RTAC members recommended off-model adjustments to address this problem, which is basically taking the BMP approach.
- Update on the SOON Program
Henry Hogo, Assistant Deputy Executive Officer, provided an update on the implementation of the Surplus Off-Road Opt-In for NOx (SOON) Program. The SOON Program is part of the statewide In-Use Off-Road Diesel Vehicle Regulation adopted by CARB in July 2007. The AQMD adopted Rule 2449 to implement the SOON Program in May 2008. The SOON Program would require fleets with 20,000 hp or more to submit off-road vehicles that are not needed to meet the statewide regulation into a funding program. If awarded, the fleet must complete the project. Typical projects are the repowering of Tier 0 and 1 off-road engines to cleaner Tier 3 off-road engines. Staff estimated that about $120 million in funding could lead to 12 tons/day of additional NOx emissions reductions by 2014.
There has been three rounds of funding opportunity for the SOON Program with $60 million available. There is a fourth solicitation currently opened and will be closing November 6, 2009. To-date, there has been 46 awards for a total of $28 million. The expected NOx emissions reductions are 1.36 tons/day. Staff discussed several reasons for the low participation to-date. Probably the most significant impact on the SOON Program is the current economic conditions. Given the economic downturn, the construction industry is experiencing a significant reduction in work. As such, many fleets have disposed their oldest off-road vehicles. There has been about a 50% reduction in the number of older vehicles. The remaining vehicles are generally cleaner Tier 1 or 2 vehicles.
For those fleets that have participated in the SOON Program, the reported hours of activity have also dropped. Staff indicated that prior to the SOON Program, the range of reported activity hours was from 937 to 2,000 hrs (years 2002 to 2007) compared to the range of hours of 436 to 1,873 reported in 2008 and 2009. Staff looked at the average number of hours during the 2002 to 2007 period and compared this average with the average number of hours during 2008 to 2009. The average hours dropped from 1,799 hours to 1,175 hours for the two periods indicating the impacts of the current economy. Staff indicated that according to CARB’s forecast, the economy would pick up again after 2012. This would lead to greater NOx benefits for the funded vehicles.
Staff indicated that another factor that contributed to the lower participation is the voluntary nature of the first year of the program. Despite the fact that fleets have been participating on a voluntary basis, staff indicated that three fleets turned down their awards of about $1.13 million and three fleets have requested modifications to their existing contracts resulting in about $3.11 million in turnback funds.
Staff indicated that since the first year has passed, fleets are required to participate in the SOON Program. In addition, CARB has completed the compilation of fleet population information (a reporting requirement of the statewide regulation). The information from CARB indicated that there are 154 fleets statewide that have 20,000 hp or greater. Staff has contacted all 154 fleets to determine if they operate in the South Coast Air Basin. At this time, staff believes that between 10-to-20 fleets have cost-effective projects for the SOON Program.
Staff is continuing its on-going efforts to meet with fleets on a one-to-one basis and participate in association meetings. Staff indicated that they will make extra efforts to increase participation in the SOON Program. As part of this effort, staff is planning regional workshops in the mid-October timeframe; sending out flyers and announcements to all fleets on the potential funding; working with the industry to post funding opportunity announcements in newsletters and e-mails; and providing announcements through equipment vendors.
- Relationship of Various AQMD Mobile Source Emissions Programs
Per Board Member Carney’s request, Carol Gomez provided an overview on the relationship of certain AQMD mobile source programs. The first program to be presented was AB2766. A portion of DMV fees are subvened to the AQMD to be used to reduce air pollution from motor vehicles. Subvention funding for local Governments is approximately $20 million/yr. The MSRC, another program under AB2766 receives approximately $14 million/yr. AB2766 funds can be used for stationary (entrained road dust), on-road, and off-road programs such as: signal synchronization, alternative fuel vehicles (hybrids/CNG), rideshare programs and bike lanes.
Compliance with Rule 2202 - On-Road Motor Vehicle Mitigation Options by local governments as employers, can be funded with AB2766 funds. As this rule applies to employers of 250 or more employees, only the larger local governments would potentially use these funds for this purpose. Rule 2202 targets on-road and off-road source categories. The R2202 Air Quality Investment Program (AQIP) targets 60% of its funds to be spent on on-road mobile projects.
The Carl Moyer Program provides grant funds to business and public agencies to clean up heavy-duty engines and to a lesser extent light and medium duty vehicles (i.e., vehicle scrapping). Examples of on-road and off-road projects targeted in this program are: trash trucks, marine vessels, and locomotives.
Projects found to have significant impacts through the CEQA process need to reduce these impacts through mitigation measures. These mitigation measures could cover stationary, on-road, and off-road sources through actions such as energy conservation, bike lane programs, transit, and pedestrian programs.
The last program discussed was Proposed Rule 2301 – Control of Emissions from New or Redevelopment Projects. The purpose of this proposed rule is to mitigate emission growth from new residential, commercial, industrial, institutional development and redevelopment projects. The draft rule includes a list of mitigation measures for local governments and developers to choose from, many of which are mobile reduction measures. Examples of transportation related measures listed in the draft rule include: bike lanes, shuttles, ARB certified lawn mowers, and certified cleaning products. This list of measures targets the stationary, on-road, and off-road source categories.
- Rule 2202 Activity Report
Written report submitted. No comments.
- Monthly Report on Environmental Justice Initiatives – CEQA Document Commenting Update
Written report submitted. No comments.
- Other Business
None
- Public Comment
None
The meeting adjourned at 10:30 a.m.
Attachment (DOC, 44k)
Attendance Roster