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REPORT:

Legislative Committee

SYNOPSIS:

The Legislative Committee held its regular meeting on Friday,
December 19, 1997. The next Legislative Committee meeting is Friday, January 23, 1998, at 8:30 a.m., in Conference Room CC8.

RECOMMENDED ACTION

Receive and file this report.

Richard Alarcón, Chairman
Legislative Committee

Attendance

Present were Committee Chairman Richard Alarcón, Committee Vice Chairman Jim Silva, and Committee members Michael Antonovich and Nell Soto. Pursuant to the Procedures for Standing Committees of the Governing Board, adopted March 8, 1996, Board Vice Chairman Norma Glover appointed herself as an ad hoc member of the Legislative Committee for the December 19, 1997, meeting only. (Attachment 1)

Draft Report on 1997 Legislation Affecting Air Quality Programs

Staff presented the draft report on 1997 air quality legislation. The report describes all bills monitored during the last session and their outcome. Also included in the report is the full text of new laws affecting AQMD. Final copies will be available after January 9, 1998, in the AQMD Public Information Center and Library. (Attachment 2)

1998 Legislative Concepts

Lupe Valdez, DEO/Public Affairs and Local Government Assistance, briefed the Committee on suggestions received from staff for legislative concepts for 1998. (Attachment 3) Draft bill language for the TAO clean fuels program reauthorization, which was approved by the Board in November, was also submitted to the Committee.

Dr. Barry Wallerstein, Acting Executive Officer, provided the Committee with a brief history behind proposed Legislative Concept #1 to repeal Health and Safety Code Section 44243.5 which gives $1.5 million annually to the Regional Transportation Agencies Coalition (RTAC). The AQMD was mandated to provide the funding to RTAC through Senator Lewis’ SB 836 which raises the employee threshold in AQMD’s Rule 2202 from 100 to 250 and requires the AQMD and SCAG to monitor voluntary ridesharing. The funding was provided to transportation agencies for marketing to increase voluntary ridesharing. When SB 836 was in negotiation, the AQMD was able to identify funding from the Small Business Assistance Fund for two years. In order to cover funding for the third year, the AQMD will need to transfer money from the General Fund. It was understood during negotiations that the AQMD may request modification of this requirement because of budget constraints.

Cathy Wasikowski, Director of Transportation, reported that SB 836 calls for a study of the effectiveness of voluntary ridesharing. The study is due in June, but data is already available and a report could be final by late February. Councilman Alarcón asked if there is currently enough data for the AQMD to open discussion. Ms. Wasikowski reported that current data show that equivalency measures are not being met. Dr. Wallerstein added that if the AQMD does not seek an amendment to legislation this year, AQMD will be required to provide funding to RTAC for one more year.

Councilman Alarcón stated that the AQMD should be careful to respect the process and a request for repeal may be too strong. Councilwoman Soto agreed. Dr. Wallerstein added that a meeting between Senator Lewis and Board members Jim Silva, Wayne Nastri and Norma Glover to discuss the Senator’s view on voluntary ridesharing is in order now that data is available. Supervisor Silva stated that the meeting could take place in Orange County. AQMD is also looking to other agencies to provide the funding. Dr. Wallerstein added that he plans to meet with the Orange County Business Council to get their perspective.

Al Bowser, representative for the Automobile Club of Southern California, asked whether affected parties were invited to the Legislative Committee meeting. Ms. Wasikowski responded that she has raised this issue to RTAC members and they are interested, but not surprised by the funding concern. Councilman Alarcón moved to change proposal from "repeal" to "discuss possibility of repealing" Health & Safety Code Section 44243.5 and to invite interested parties to the Legislative Committee meeting to discuss the matter before seeking repeal action.

Pat Leyden, DEO/Stationary Source Compliance, provided the Committee with background information leading up to Legislative Concept #2, which proposes to seek Congressional hearings regarding criteria used by U.S. EPA to judge equivalency of state and/or local programs. The AQMD and ARB have been working for over a year with EPA to encourage flexibility and delegation of program approval under Title III to the state and local districts. The AQMD program would require much less recordkeeping than the federal program, while requirements under EPA appear to be burdensome, duplicative, and costly. Ms. Leyden added that the Home Rule Working Group will meet on January 7, 1998, to discuss this issue further.

Councilman Alarcón asked which Congressional committees would be appropriate to target. La Ronda Bowen, Public Advisor, responded that the Small Business Committee could be interested in how the Paper Reduction Act is affected. Ms. Leyden added that House Representative Howard Berman (D-CA) has been very involved with the Clean Air Act. Dr. Wallerstein stated that with additional focus from the California Congressional delegation, this issue could possibly be resolved and not involve an amendment to the Clean Air Act. Councilman Alarcón directed, and Committee agreed, to have staff initiate dialog with the California Congressional delegation on this issue.

Legislative Concept #3 proposes to amend Health and Safety Code Section 40448.7(e) to include hospitals and non-profits. Ms. Bowen briefly explained that under the U.S. Small Business Administration definition, funds from the Air Quality Assistance Fund (AQAF) may be used to assist small businesses in complying with AQMD regulations. Hospitals and non-profits do not fall under this definition. Amending the language would give the AQMD the applicability to reach out to more businesses and accomplish the Governing Board’s directive to staff to increase utilization of the AQAF. The Committee approved without discussion.

Ms. Valdez reported that issues on the horizon for 1998 include environmental justice, diesel engine exhaust, and Smog Check. Staff will follow these issues closely for any impact they may have on the AQMD.

Dr. Wallerstein briefly discussed efforts to include Board members on the Contract Cities trip to Sacramento on January 12-14, 1998. Staff is working to schedule meetings for Councilman Alarcón with Senators Quentin Kopp and Byron Sher. In addition, Board member Wayne Nastri has offered to meet with various legislators on the TAO clean fuels program reauthorization. Councilwoman Nell Soto added that she had a conversation with Sam Olivito of Contract Cities and agreed that it would be a good idea for AQMD to partner on the trip to Sacramento.

TAO Clean Fuels Program Reauthorization

Staff is currently working to secure an author to carry a TAO clean fuels program reauthorization bill. Mr. Nastri is working with Assemblyman Bill Leonard as possible author. Staff will report progress in this effort at the next Legislative Committee meeting. Councilwoman Soto suggested Assemblyman Gary Miller and Councilman Alarcón deferred to the Committee members to assist in approaching legislators to author legislation.

Other Business

Councilman Alarcón requested a special meeting of the Legislative Committee to take place before the January 9, 1998, Governing Board meeting. Purpose of meeting will be to discuss a TAO clean fuels program reauthorization bill and to review prospective legislative consultants for both Washington, D.C., and Sacramento, CA.

Public Comments

Al Bowser, representative for Automobile Club of Southern California, reported on a recent meeting he had with Wayne Nastri, Lupe Valdez, Asst. DEO for Technology Advancement, Dr. Chung Liu, and Technology Advancement Manager Andy Abele, about the TAO clean fuels program. The Automobile Club has questions with the bill language as is. Staff presented an overview of the AQMD Clean Fuel program, addressing the questions raised. Mr. Bowser requested additional information regarding historical expenditures and the resulting benefits derived as well as future direction of the program and expected benefits, especially addressing the nexus of the source of revenues with the benefits derived.

Small Business Coalition representative John Billheimer, with regard to legislative support for the TAO clean fuels program funding, observed that there is an extensive array of grants and contracts in the Governing Board’s monthly agendas that add up to hundreds of thousands of dollars. The source of this funding is not well understood by the permit community of stationary sources, who feel that they furnish two-thirds of the District’s revenue, but are getting increasingly inadequate resources. In preparation for the next budget, and possible permit/emission fee increase, he asked that clarification of this topic be readily available in District documents and proceedings. Councilman Alarcón asked staff to look into Mr. Billheimer’s request.

Attachments

1 - Attendance Roster

2 - Draft Report on 1997 Legislation Affecting Air Quality Programs*

3 - 1998 Legislative Concepts

*Draft report sent to Governing Board members only. Final copies will be available after January 9, 1998, in the AQMD Public Information Center and Library

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