The Stationary Source Committee met Friday, July 28, 2000. Following is a summary of that meeting. The next meeting will be August 25, 2000, at 10:30 a.m., in Conference Room CC8.
RECOMMENDED ACTION:
Receive and file.
Jon D. Mikels
Stationary Source Committee Member
Attendance
The meeting began at 10:50 a.m. Present were Jon Mikels, acting Committee Chair, Committee members Jane Carney, Leonard Paulitz, and Cynthia Verdugo-Peralta. Absent were Norma Glover and Ron Loveridge. William Burke viewed the meeting by teleconference.
Carol Coy, Deputy Executive Officer of Engineering and Compliance, presented this item. Governor Davis has directed the phase out of MTBE in reformulated gasoline and CARB has adopted the implementing regulations for this task. Gasoline will be required to meet the new specifications by January 1, 2003. The AQMD is working with WSPA and member refineries to develop and execute MOUs which lay out an expeditious schedule to submit and process permit applications as well as complete required CEQA documentation. The joint AQMD and refinery commitments will expedite completion of these projects. This item will be presented to the Board for consideration in August, 2000.
Field Compliance Program Overview/Notice of Violation Penalty Summary
Carol Coy, Deputy Executive Officer, Engineering & Compliance, and Peter Mieras, District Prosecutor, presented this item. At the June Stationary Source Committee, Mayor Loveridge inquired about field enforcement program status. Carol Coy gave a brief overview of the current program. Over the last year, industrial inspectors have been given geographic sector responsibility which has increased inspector efficiency in the field. This "community-based deployment" has empowered inspectors to maximize the number of inspection visits. During the first half of the year 2000, nearly 20,000 inspections have been conducted which is more than were conducted annually in each of the years 1992 through 1997. Most Notices of Violation (NOVs) have been issued to smaller facilities which have not been inspected in many years. In these cases a conservative approach is taken toward penalties. Many of the NOVs involve service stations or dry cleaners. Peter Mieras commented on the penalty policy for dry cleaners, Rule 1421, recordkeeping requirements, and also the Rule 1401 amendment which creates New Source Review and TBACT for these sources. Cynthia Verdugo-Peralta encouraged the District to assist dry cleaners as small businesses with lack of cash availability to come into compliance. Mohsen Nazemi, Assistant Deputy Executive Officer of Engineering and Compliance, explained that a close look is being taken at this problem. District staff has been working with the dry cleaners through the District Prosecutor’s office to make sure they are given adequate time to comply and through the Public Affair’s office to make sure financial assistance is available to them.
Status Report on Reg. XIII New Source Review (Annual Report)
Mohsen Nazemi, Assistant Deputy Executive Officer of Engineering and Compliance, gave a brief status report on NSR equivalency relevant to federal and state mandates. Federal requirements are the lowest achievable emission rate (LAER) and offset requirements at a ratio of 1.5 to 1. The state requires Best Available Control Technology (BACT) and also the offset requirement to result in no net emission increase. The AQMD exempts certain sources from offset requirements. This status report provides information on the amounts of emission increases for which the AQMD is responsible and the amount of creditable emission credits made available by the AQMD. The report demonstrates that the AQMD complies with both federal and state laws.
NOx Credit Availability
Pom Pom Ganguli, Planning and Rules Manager, presented this item and discussed the availability of NOx credits for both RECLAIM and non-RECLAIM markets. He explained that although the supply of credits in the non-RECLAIM area was low, the demand is also low. However, prices have been going up in the RECLAIM sector, and there was some discussion about the prices of RECLAIM credits and the impact on credit trading. Henry Hogo, Planning Manager, presented the scientific basis for interpollutant offset trading and described the site-specific factors necessary to determine what amount of VOC credits may be allowed to offset potential increases in NOx emissions.
Rule 1131 – Food Manufacturing and Processing Operations
Jack Broadbent, Deputy Executive Officer, Planning Rule Development & Area Sources, presented this item. There are approximately 25 food processing companies in the Basin. These companies use solvent for distillation extraction and sterilization. A series of control options are being proposed including control equipment, low-VOC materials and process changes. This item will go to the Board for consideration at the September Board meeting.
Rule 1168 – Emission Reductions from Adhesives
Laki Tisopulos, Manager, Planning, Rule Development & Area Sources, presented this item. Rule 1168 applies to commercial and industrial applications of adhesives. There are approximately 8,000 contractors and other users that are impacted by this rule. As a result of this wide usage of adhesive, approximately 8 tons of VOCs are being released on a daily basis. This proposed amendment would reduce VOC limits for architectural adhesives, general-use contact adhesives and foam bonding and porous materials. This amendment would also prohibit the sale of noncompliant products. Emission reductions from this proposal would be approximately 5 tons per day with a cost-effectiveness of $620 per ton. This item is scheduled to be presented to the Board for consideration in September.
Rule 1138.1 – Report to Board in August Regarding Status of Technology Development for Underfired Charbroilers
Jill Whynot, Manager, Planning, Rule Development & Area Sources, presented this item which will be a report at the August Board meeting. Rule 1138.1 is part of the 1999 amendment to the 1997 AQMP and is scheduled for adoption by the end of the year. This rule will reduce PM and VOC emissions from underfired charbroilers. Current cost-effectiveness exceeds $3,500 per ton for VOC. Staff recommends using extra VOC emission reductions from other rules to satisfy the AQMP emission reduction required. Staff will continue to work with manufacturers and the College of Engineering, Center for Environmental Research and Technology (CE-CERT) at the University of California Riverside (UCR) to identify cost-effective controls.
Rule 431.2 – Sulfur Content of Liquid Fuels
Elaine Chang, Assistant Deputy Executive Officer, Planing, Rule Development & Area Sources, presented this proposed amendment to Rule 431.2. The purpose of this amendment is to support aftertreatment technologies for heavy-duty diesel vehicles, making ultra-low sulfur fuel available and ensuring fuel quality for end-users. This amendment will apply to fuel producers and suppliers for applications in both stationary and mobile sources. Staff continues to work with refiners and distributors to address ongoing concerns. This item will go to the Board for consideration in September.
Rule Forecast Report
The Committee acknowledged the summary report attached to the agenda.
South Coast Air Quality Management District