REPORT:
Mobile Source Committee
SYNOPSIS:
The Mobile Source Committee met on Friday, September 27, 1996. Presentations were made on the following items: Legislative Update; Attorney General Opinion Re: Rule 2202; SB 836 Effects on Rule 2202; AQIP Status Report; Progress Report on 1997 AQMP/-PM10 Task Force; Status Report on REACH Task Force; and a Briefing/Demonstration of the Ballard Zero-Emission Fuel Cell Bus. The next meeting is November 15, 1996, at 9:30 a.m., in Conference Room CC-8.
RECOMMENDED ACTION:
Receive and file this report.
Candace Haggard, Chairperson
Mobile Source Committee
ATTENDANCE:
Present were Committee Chairperson Candace Haggard, Committee Vice Chair Nell Soto (left 11:28 a.m.), and Committee Member Ronald Loveridge (arrived 9:53 a.m.). In the absence of Committee Members Mee Hae Lee and Marvin Braude, and pursuant to the Procedures for Standing Committees of the Governing Board, adopted March 8, 1996, Board Chairman Jon Mikels appointed himself and Councilman Leonard Paulitz (arrived 11:00 a.m.) ad hoc Members of the Mobile Source Committee for the meeting September 27, 1996 only. Attachment 1 is an attendance roster.
MOBILE SOURCE COMMITTEE DISCUSSION ITEMS
1. Legislative Update
Staff gave a legislative update (Attachment 2) and a status report on interim legislative hearings (Attachment 3) which are scheduled during the months of September through January 1997. The legislative session ended August 31, 1996. Senate Bill 836 (Lewis) is expected to be signed by the Governor, but there has been no action as of yet. If the Governor does not sign the bill by September 30, 1996, it becomes law. Staff stated that Governor Wilson vetoed Assembly Bill 2282 (Knox), indicating the Governor’s intent to retain Higher Occupancy Vehicle (HOV) Lanes for multi-passenger vehicles and continue to utilize the HOV lanes as a congestion management tool. The bill would have allowed solo drivers with certified Lower Emissions Vehicles (LEVs) or electric vehicles to use the HOV lanes.
Board Chairman Mikels briefed committee members on the recently held Senate Local Government Committee interim hearing on AB 3248 (Napolitano). Mr. Mikels stated that the hearing focused on the independent ombudsman position and the fiscal impact of both the Assemblywoman’s proposal and the AQMD’s recommended administrative alternatives in lieu of legislation.
Staff advised that Senate Natural Resources Committee Chairman Tom Hayden intends to hold a hearing in the near future* to discuss PM10 issues. (*tentatively scheduled for October 28 in Los Angeles, exact location to be determined)
2. Attorney General Opinion Re: Rule 2202
Staff gave a presentation on the Office of the Attorney General’s conclusions regarding Rule 2202. (This opinion is provided as an attachment to the Legislative Committee report.) Through the Air Resources Board, the AQMD asked the Attorney General two questions: 1) can an Air Pollution Control District (APCD) adopt a regulation to require emissions reductions where one of the options is to implement an employee trip reduction plan?; and 2) can an APCD adopt a regulation requiring parking subsidy equivalency program, mandated by state law, as part of an employee trip reduction plan?
On September 16, 1996, the Attorney General concluded that an APCD does have the authority to require an emissions reduction regulation for employers which includes a trip reduction option. The Attorney General concluded that a parking subsidy equivalency program could not be required by an APCD. Under the Health & Safety Code, the Air Resources Board is the only governmental agency that has the authority to mandate such a program. Staff stated that they will ask the ARB to adopt language so that credit can be given in the SIP for parking subsidy programs as a backstop rule. It will ultimately be EPA’s decision if California can obtain such credit.
Carla Walecka of Carla Walecka Planning asked staff who was responsible for implementation of the 1997 AQMP control measures and contingency measures related to Parking Cashout. Staff stated that the implementation component of the draft 1997 AQMP will have to be refined to reflect the Attorney General’s opinion.
3. SB 836 (Lewis) Effects on Rule 2202
Staff gave an overview on the impacts of recently passed SB 836 (Lewis) and reported that Rule 2202 will be amended in accordance with the new law and will incorporate language specified in the law. A public workshop is scheduled October 9, 1996 with the final draft rule going to the Governing Board on November 8, 1996. Staff stated that approximately 63% of Rule 2202 work sites will fall out of the rule on January 1, 1997. Staff indicated that on an annual basis, AQMD will appropriate $1.5 million to the Regional Transportation Agencies Coalition (RTAC). For the first two years the money will be taken from AQMD’s small business assistance fund. Ms. Soto asked staff if the $1.5 million rideshare project was duplicative of Southern California Rideshare’s current program. Staff responded by stating that the monies must be used as an enhancement to existing activities occurring in the Basin and it will be RTAC’s responsibility to determine how the monies will be dispersed.
In response to Board Chairman Mikels’ inquiry regarding the composition of RTAC, staff stated that RTAC (Attachment 4) consists of executive directors and members of the Boards from transportation commissions, associations of governments and Caltrans. Staff further stated that RTAC meets on a monthly basis to provide transportation commissions with the opportunity to address inter-county issues; that AQMD is an ex-officio non-voting member of RTAC; that the RTAC makes intermittent reports to SCAG’s Regional Advisory Council’ and that the RTAC Rideshare Subcommittee will recommend how the monitoring and tracking methodology for voluntary ridesharing will be developed, based upon the results of a contracted study by experts in that area.
Ms. Soto asked how funds are allocated for ridesharing services. Staff responded that ridesharing services are provided by SCAG which secures funding from Caltrans. Ms. Soto stated that it appears that there are several agencies who are providing the same type of services. Mr. Mikels stated that RTAC has the monies and SCAG is part of RTAC. Ms. Soto asked why the AQMD doesn’t have any input. Mr. Mikels asked how RTAC originated, how RTAC’s authority is established, and if RTAC has the ability to legally execute contracts. Mr. Mikels stated that he believes that RTAC has no legal authority to execute contracts and that the committee would have to designate an agency to oversee the contract process. Mr. Mikels also asked if RTAC had any bylaws. Jim Ortner of the Orange County Transportation Authority stated that the committee meets under an agreement among the participating agencies and that there is no formal written bylaws. Mr. Mikels asked if the Imperial Valley Association of Governments (IVAG) votes on AQMD issues. Jim Ortner stated that this is a policy issue and it is currently being evaluated. Mr. Mikels stated that if the revenue is being generated within the Basin, there may be a statutory issue regarding IVAG and Ventura County Transportation Commission participation regarding how monies are possibly spent outside of the area.
Staff distributed a draft letter that is scheduled to be sent out to Rule 2202 employers. The letter outlines the provisions of the new law and an information sheet that will address various implementation aspects of the rule. The AQMD is proposing to refund prorated portions of Air Quality Investment Programs funds. In response to a request by Ms. Soto, staff stated that the letter and the information sheet will be sent to all employers currently subject to Rule 2202 as well as local governments, leagues of cities, and special local government organizations. Staff indicated that employers will have the option of purchasing MSERCs if they do not wish to survey their employees as part of their plan submittal to the AQMD. Jim Lantry (sponsor of SB 836 - Lewis), representing the California Retail Air Quality Coalition, wrote a letter to the RTAC Technical Advisory Committee proposing that perhaps the AQIP funds not be refunded so that voluntary ridesharing could count those emissions credits towards emissions equivalencies.
Carol Gomez of Hughes Electronics asked about the $1.5 million which will be given to the RTAC and where this money was coming from within the AQMD budget. Staff stated that during the next two years, the money will come from the AQMD’s small business assistance fund. After 1999, the money will have to be taken from other programs within the AQMD.
John Owyang of Market-Based Solutions requested that staff prorate the evaluation fees for those smaller employers who elect to offer MSERCs for the remaining months of 1996. Staff indicated that they will evaluate the scenario to determine what can be done to streamline and reduce employer costs, but that the registration fee covers the time of evaluating the registration. Committee Member Loveridge moved (seconded by Ms. Soto and approved) to approve the draft letter and policies and direct staff to send it out to employers. The fee question that Mr. Owyang asked will be dealt with on a separate occasion. Ms. Haggard requested that staff include language to notify employers that they will be kept informed of other policy changes as they occur. Staff advised the Committee that these policies would be placed in a rule amendment for Board approval.
4. AQIP Status Report
Staff gave an update on Second Quarter 1996 proposals and staff recommendations. Staff has received RFP proposals from the following companies: Santa Barbara Research for $849,701; Ecotek (SkoolPool) for $240,075 - $630,025; Traffic Assist for $372,280 - $628,703; Santa Monica TMA for $600,000; City of Santa Monica for $450,000; Ecology Auto Wrecking for $1,168,100; Market Based Solutions for $268,750 - $1,379,000; and Eco-Scrap for $919,590 - $1,379,902. Based upon cost-effectiveness, staff is recommending funding to Ecology Auto Wrecking for $989,000 to obtain triennial MSERCs. Staff also is recommending amending Ecology Auto Wrecking contract awarded for the First Quarter of 1996 for an additional $200,000. Staff will be refunding approximately $1.4 million dollars to those employers that will be exempt effective January 1, 1997, pursuant to SB 836, leaving an ending balance of $189,000 that will be carried over to the Third Quarter of 1996.
5. Progress Report on 1997 AQMP/PM10 Task Force
Staff gave a status report on the 1997 AQMP/PM10 Task Force (Attachment 5). Staff reported that since June 1995, there have been 20 meetings and over 150 participants involved in the PM10 Task Force. The public comment period for the draft AQMP closed on September 24, 1996. AQMP public hearings have been scheduled for October 21 through 24, 1996. SCAG will be taking the AQMP to their Regional Council on November 7, 1996. The AQMD Governing Board will hold a public hearing on November 8, 1996 to consider adoption of the AQMP. Staff advised that approximately 30 letters regarding the AQMP have been received with most of them specifically commenting on a control measure and not the technical elements of the document. Committee Member Loveridge asked if any comments were received from current or former members of the Advisory Council. Staff indicated that they had not received any letters from the Advisory Council members but that Dr. Jane Hall, former Advisory Council member, was expected to attend the upcoming Socioeconomic meeting. Staff stated that a key topic of discussion is the emissions budget for the year 2020. SCAG has indicated that a 2020 emissions budget is not needed at this time. Staff intends to retain the 2020 budget for reference purposes and will request that ARB not forward it to EPA.
6. Status Report on REACH Task Force
Staff reported that the task force, which has two remaining meetings, has distributed a draft executive summary of REACH’s Strategy Subcommittee, and an outline of pricing strategies and recommendations. Staff stated that the latest survey highlighted congestion fees and pollution fees. The preliminary results indicated that participants were slightly more favorable towards an emissions based approach rather than congestion fees. The results also indicated that there was softer resistance towards the emission fee approach from the polled participants opposing these strategies, compared to the harder resistance towards the congestion fee approach. Staff stated that future efforts will focus on HOT lanes and evaluating their effectiveness as well as pursuing the possibility of developing policy and pricing strategies.
7. Rule 2202 Activity Report
Written report submitted, no comments. (Attachment 6)
8. EIR Review and Preparation
Written report submitted, no comments. (Attachment 7)
9. Ballard Zero-Emission Fuel Cell Bus
There was a brief presentation given on the Ballard Bus. The Mobile Source Committee adjourned the meeting with a tour and demonstration of the fuel cell bus.
10. Other Business
There was no other business.
11. Public Comment
There were no public comments. The meeting was adjourned at 11:50 a.m.
Attachments
1. Attendance Roster
2. Legislative Update
3. Interim Hearing Schedule
4. RTAC Information Sheet
5. 1997 AQMP Status Report
6. Rule 2202 Summary/Upcoming Events
7. EIR Review and Preparation