South Coast Air Quality Management District

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Amend Rule 109 – Recordkeeping for Volatile Organic Compound Emissions

SYNOPSIS: 

Proposed amendments would (1) streamline existing daily recordkeeping requirements; (2) allow monthly recordkeeping for sources meeting certain criteria; and (3) allow sources to implement alternative recordkeeping systems that have been approved by the AQMD. The amendments are based on recommendations by the Monitoring, Recordkeeping, and Reporting Task Force that were presented to and approved by the Board. The changes are administrative and will result in a streamlined recordkeeping system that may result in a cost savings to affected sources.

COMMITTEE: 

Stationary Source, June 23, 2000, Reviewed

RECOMMENDED ACTION:

Adopt the attached resolution:

1. Certifying the CEQA Notice of Exemption for the proposed amendments.
2. Amending Rule 109 – Recordkeeping for Volatile Organic Compound Emissions.

Barry R. Wallerstein, D.Env.
Executive Officer

Background

Volatile organic compound (VOC) emissions from stationary and mobile sources are major contributors to the formation of smog in the South Coast Air Basin. VOCs react with oxides of nitrogen to form ozone in the atmosphere. Ozone, a criteria pollutant, has been shown to adversely affect human health. Ozone also contributes to the formation of another criteria pollutant, PM₁₀.

Rule 109 – Recordkeeping for Volatile Organic Compound Emissions, is an administrative regulation adopted by the AQMD in May 1989 that establishes the requirements for records of VOC emissions. Recordkeeping requirements play a key role in enforcement activities by assisting in the determination of rule applicability, the exemption status for a source, rule compliance, and compliance with permit conditions. Though no emission reductions are directly associated with Rule 109 requirements, the rule is an important tool in determining compliance and plays an integral role in the District’s mission to achieve air quality goals.

The rule currently requires that daily records be kept at stationary sources that use coatings, adhesives, solvents, and/or graphic arts materials. The data required to be recorded include the type and quantity of material used, the VOC content of the material, the method of application and substrate type, and the permit unit in which the material was used. The requirement to record such a large amount of data on a daily basis is time-consuming for many facilities and has prompted the business community to seek relief. To address the concerns of the business community, the Board established the Monitoring, Recordkeeping, and Reporting (MRR) Task Force to develop specific recommendations to streamline recordkeeping requirements without compromising air quality objectives. The Task Force consisted of Board members, District staff, industry representatives, and EPA and CARB staff.

The activities of the Task Force included the following:

• met on seven occasions in calendar year 1999;
  
  
• examined and discussed current recordkeeping requirements of the District;
  
  
• discussed possible strategies for streamlining these current recordkeeping practices;
  
  
• evaluated potential cost impacts;
  
  
• assessed the need to change potentially conflicting AQMD rules and policies, as well as state and federal requirements; and
  
  
• visited numerous facilities outside the District and investigated recordkeeping system allowed by other air pollution control agencies.

In January 2000, the Task Force presented its recommendations to the Governing Board. The recommendations were approved and the Board directed staff to amend the VOC recordkeeping regulation.

Proposal

This amendment to Rule 109 will incorporate the recommendations of the Task Force and will result in a more streamlined VOC recordkeeping system for facilities meeting certain criteria.

The recordkeeping system proposed is a monthly recordkeeping system and will be allowed as an option to the current daily recordkeeping system provided that the facility meets certain criteria.

The facility criteria are summarized as follows:

• must not be subject to a daily usage or emission limit in any applicable District rule(s) or permit(s); and
  
  
• must use materials complying with the VOC content limits in the applicable District rule(s).

The recordkeeping system developed for facilities meeting the above criteria includes listing data for all VOC-containing materials purchased for use at the facility (VOC Listing), recording the usage of VOC-containing materials on an ongoing basis (Usage Log), and totaling the monthly usage and associated emissions on a monthly basis (Monthly Summary). Forms for all three activities were developed by the Task Force and can be found in Rule 109 Staff Report. Facilities may use these forms or develop their own forms provided that the required data is captured.

Equipment not requiring a written permit pursuant to Rule 219 and Super Compliant Materials (materials with £ 50 grams of VOC per liter of material) will also be allowed to keep monthly records. For both these categories, materials used must comply with applicable District rules. Records required for these two cases consist of the VOC Listing and the Monthly Summary only. Cleaning solvents subject to Rule 1122 and Rule 1171 that contain no more than 50 grams of VOC per liter of material are exempt from Rule 109 recordkeeping requirements.

Facilities may choose to use an alternative monthly recordkeeping system. These alternative systems must be reviewed and approved by the District, the California Air Resources Board (CARB), and the United States Environmental Protection Agency (U.S. EPA).

California Environmental Quality Act (CEQA) Analysis

The AQMD has reviewed the proposed project pursuant to state CEQA Guidelines, Section 15002 (k)(1). It is concluded that the project has no potential to adversely impact air quality or any other environmental area. Therefore, it is exempt from CEQA pursuant to state CEQA Guidelines Section 15061(b)(3) – Review for Exemption. A Notice of Exemption has been prepared pursuant to state CEQA Guidelines Section 15062 – Notice of Exemption.

Socioeconomic Analysis

The proposed amendments will impact about 19,000 permitted and 30,000 non-permitted stationary sources that use coatings, adhesives, solvents, and/or graphic arts materials. The permitted sources belong mainly to the sectors of industrial manufacturing (SICs 33-39), wood furniture manufacturing (SICs 24 and 25), and automobile refinishing (SIC 75). The non-permitted sources could be from all industries in the local economy.

The amendments are expected to reduce various operational and administrative costs to the owners and operators of affected facilities as they switch from daily to monthly recordkeeping. Therefore, the proposed amendments are not expected to have adverse impacts on the economy and employment.

On October 14, 1994, the Governing Board adopted a resolution that requires staff to address whether rules being proposed for adoption are considered in order of cost-effectiveness. The 1997 AQMP ranked, in order of cost-effectiveness, all of the proposed control measures for which costs were quantified. The amendments to Rule 109 are not part of the 1997 AQMP, and instead, are proposed based on the Monitoring, Recordkeeping, and Reporting Task Force (MRR) recommendations to streamline existing daily recordkeeping requirements. Consideration in the order of cost-effectiveness is, therefore, not applicable.

AQMP and Legal Mandates

This amendment does not result from any AQMP requirements nor does it result in any decrease or increase in emissions nor any degradation of air quality.

Implementation Plan

The MRR Task Force recognized that new recordkeeping provisions would require proper source education and implementation. As a result, the Task Force made the following additional recommendations:

1) amend Regulation III to provide fee relief for facilities requiring permit changes in
    order to use new streamlined recordkeeping options;

2) amend Rule 219 to reflect exemption status on a monthly basis for daily usage and/or
    emissions so that the new Rule 109 requirements can apply to non-permitted
    equipment;

3) amend source specific Regulation XI and Regulation IV rules to allow daily or
    monthly demonstration of usage or VOC emissions so that new Rule 109
    requirements can apply to all compliant operations.

Item 1 was implemented through an amendment approved by the Board in May 2000; items 2 and 3 are being implemented in upcoming amendments scheduled for October 20, 2000.

Additional recommendations of the Task Force were that the AQMD:

• develop and maintain a web page to provide recordkeeping forms and instructions;
  
  
• develop a computer program that would allow recordkeeping data entry to link with the reporting of annual emissions;
  
  
• provide training classes to familiarize affected facilities with the new recordkeeping forms and available software; and
  
  
• create a simplified process for evaluating permit applications to convert daily limits to monthly limits.

Upon approval of these amendments by the Board, the AQMD will begin implementing these recommendations.

Resource Impacts

Current AQMD resources are sufficient to implement the proposed amendments to Rule 109 with no budget impact.

Attachments

A. Summary of Proposal
B. Key Issues and Responses
C. Monitoring, Recordkeeping, & Reporting Task Force Activities
D. Rule Development Process
E. Resolution
F. Proposed Rule Language
G. Staff Report
H. CEQA Notice of Exemption

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