BOARD MEETING DATE: January 21, 2000
AGENDA NO. 27

Mobile Source Committee

SYNOPSIS:

The Mobile Source Committee met Friday, December 17, 1999. Following is a summary of that meeting.

RECOMMENDED ACTION:

Receive and file.

Cynthia P. Coad, Chair
Mobile Source Committee

Attendance

The meeting started at 8:36 a.m. Present: Committee Chair Cynthia Coad (participated via video teleconference), Committee Member Norma Glover (arrived at 8:45 a.m.), Committee Member Ron Loveridge (arrived at 8:45 a.m.), and Committee Vice Chair Roy Wilson (participated via video teleconference). Absent: Committee Members Mee Hae Lee and Jon Mikels. The attachment is an attendance roster.

ACTION/DISCUSSION ITEMS:

1) Rule 2202 – AQIP
    Proposal of Recommendations for Third Quarter/1999

Staff’s presentation to the Committee for their proposal included: summary of available funding; proposals received – 4 proposals in total; emission reduction credits balance; cost effectiveness of each proposal; and projects funded in 1999. Staff recommended a contract be awarded to Pick Your Part Auto Wrecking, in the amount of $400,000 for old-vehicle scrapping.

Less than a quorum was present during the discussion of this item; those Committee members who were present communicated their concurrence.

Committee Members Norma Glover and Ron Loveridge joined the meeting at 8:45 a.m.

2) Rule 2202 ETC Training
   Proposal of Recommendation for No-Cost Contract

Staff informed the Committee that a panel had initially been established in July to evaluate proposals for the Rule 2202 ETC Training contract. Three proposals were received at that time and one bidder contested the panel decision. To avoid possible issues regarding fairness, a second panel was established. Only two proposals were reviewed this time since one proposal was withdrawn. The two remaining bidders are: MSN & Associates and TVS Consulting. Based on the second scoring, MSN & Associates would be recommended to receive the contract.

During the course of presentation of this item, both bidders addressed the Committee. TVS Consulting requested the Committee to reconsider staff’s recommendation of awarding the contract to MSN & Associates, stating that they did not believe that the second panel met the criteria stated at the bidders conference. MSN & Associates stated that they had a dispute with one member of the first panel and the scoring outcome of that panel was therefore biased. They considered the scoring by the second panel unbiased and fair.

Staff informed the Committee that they were not aware of this situation until after the first panel had completed the evaluation of the proposals, and therefore, in order to assure fairness, a second panel was established to re-evaluate the proposals.

In view of the current situation, staff put forward an additional option for consideration: the training be provided in-house by Transportation Programs staff. There are now three options before the Committee: 1) in-house training; 2) recommendation by the first panel; and 3) recommendation by the second panel.

Vice-Chair Roy Wilson moved that staff conduct a cost analysis on the in-house training and report back to the Committee at the next meeting. He also moved that a decision on the awarding of the contract be delayed to the next meeting. Committee Member Norma Glover seconded, and the motion was passed unanimously.

Committee Member Ron Loveridge inquired what preventive measures will be taken in the future. Staff advised the Committee that staff proposes to set up a procedure whereby proposed panel members will be interviewed beforehand regarding any potential problems with bidding parties to prevent similar situations from occurring.

INFORMATION ITEMS:

3) Status Report on Fleet Rule (PR 1190) Development

A status report on the fleet rule development efforts was provided. Staff reported that the main issues and concerns are: implementation costs; availability of alternative-fueled vehicles for specific applications; short implementation lead time; definition of contracted services; emergency vehicle exemption; and length of public review and commenting period. The rule is scheduled to go to the Governing Board at the February 2000 Board meeting.

Committee Member Norma Glover asked about the possibility of providing funding for the differential in cost involved in the implementation of the rule. Staff advised that funding can potentially be provided by the Carl Moyer Fund, the MSRC fund, and the 2766 Subvention fund. In addition, staff are looking at some creative tools such as a tax-exempt financing program. Programs for education, training and outreach are also being developed.

Committee Chair Cynthia Coad inquired if there are specific ways to provide assistance to school districts. Staff responded that funding from the Carl Moyer Fund and the AB2766 Subvention Fund are available for schools. Staff also mentioned that this issue is being considered at the state legislature level and one legislative member asked if a letter should be sent to the Governor urging that funding for school buses be included in the Governor’s budget. Staff have been receiving positive response from legislators, business communities and other air districts on this issue. Committee Chair Cynthia Coad requested staff to hold public workshops for school districts (grades K-12), as well as sending out special bulletins and newsletters. She also suggested that efforts be made to get the school districts to move forward with a letter to the Governor urging appropriate funding for school buses. In addition, she asked that a summary of recent studies on the school bus issue be provided to her before the next meeting.

Committee Member Ron Loveridge inquired about the position of CARB on this proposed rule and commented that it is important to have CARB as an ally as the District goes forward.

There was also a brief discussion on the rule adoption schedule; there was some concern about the time-frame for the rulemaking process. Staff also noted the importance of uninterrupted momentum in aggressively pursuing air toxics reduction from mobile sources in light of the MATES II findings about local health impacts from vehicle operations.

4) Tax-Exempt Financing

Mr. Verlyn Jensen of California Environmental Finance Corporation (CEFC) briefed the Committee. The CEFC is a non-profit public benefit corporation formed in 1995 to assist public entities in meeting their capital financing needs. The CEFC is designed to assist local governments, special districts and other public entities in enhancing revenues and reducing costs through the use of innovative financing programs. Mr. Jensen also talked about the benefits of participating through the CEFC by utilizing its Certificates of Participation (COP) financing program, how this tax-financing program works and the benefits of pooled financing.

Staff recommended that legal analysis of this program by an outside counsel be conducted, and the Committee approved the recommendation.

5) Status Report on Air Toxics Reduction Plan

Written report submitted, no comments.

6) Rule 2202 Activity Report

Rule 2202 Summary Status Report submitted, no comments.

7) Monthly Report on Environmental Justice Initiatives

Item #4 – CEQA Commenting:
a. CEQA Document Commenting Update: Written report submitted, no comments.
b. CEQA Handbook Revision: No meeting in December.

7) Monthly Report on Environmental Justice Initiatives

Item #7 – Cleanup Incentives for Diesel: Written report submitted, no comments.

8) Other Business

None

9) Public Comment

None

The meeting adjourned at 9:55 a.m.

Attachment

Attendance Roster

SOUTH COAST AIR QUALITY MANAGEMENT DISTRICT
MOBILE SOURCE COMMITTEE

ATTENDANCE ROSTER

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