South Coast Air Quality Management District

SUMMARY MINUTES OF THE
SOUTH COAST AIR QUALITY MANAGEMENT DISTRICT
June 16, 2000

Notice having been duly given, the regular meeting of the South Coast Air Quality Management District Board was held at District Headquarters, 21865 E. Copley Drive, Diamond Bar, California. Members present:

William A. Burke, Ed.D., Chairman
Speaker of the Assembly Appointee

Councilmember Norma J. Glover, Vice Chairman
Cities of Orange County

Supervisor Michael D. Antonovich (arrived at 9:45 a.m.)
County of Los Angeles

Councilmember Hal Bernson
Cities of Los Angeles County - Western Region

Ms. Jane W. Carney
Senate Rules Committee Appointee

Supervisor Cynthia P. Coad, Ed.D.
County of Orange

Councilmember Beatrice J. S. LaPisto-Kirtley
Cities of Los Angeles County - Eastern Region

Mayor Ronald O. Loveridge
Cities of Riverside County

Supervisor Jon D. Mikels
County of San Bernardino

Mayor Pro Tem Leonard Paulitz
Cities of San Bernardino County

Cynthia Verdugo-Peralta
Governor�s Appointee

Supervisor S. Roy Wilson, Ed.D.
County of Riverside

Chairman Burke called the meeting to order at 9:15 a.m.

• Presentation of Retirement Award to La Ronda Bowen

        Chairman Burke presented a retirement award to Ms. Bowen in recognition of her 11 years of dedicated District service.

CONSENT CALENDAR

1. Minutes of May 19, 2000 Board Meeting
   
   
2. Execute Contracts for Employee Relations Litigation and/or Negotiation Services
   
   
3. Approve Reallocation of PAMS Funds for Fixed Assets and Execute Contracts for Equipment in Air Monitoring Network
   
   
4. Execute Contract to Co-Sponsor Implementation of Advanced Technology Natural Gas Fueling Station in Banning
   
   
5. Execute Contracts to Co-Sponsor Demonstration of School Buses Retrofitted with Particulate Matter Reduction Technologies
   
   
6. Execute Contract to Co-Sponsor Demonstration and Evaluation of U.S. Postal Service Electric Mail Delivery Vehicles
   
   
7. Execute Contract to Cost-Share Demonstration of Hydrogen Refueling Station at Sunline Transit
   
   
8. Execute Contracts for Class 5-6 Vehicles, Transit Buses and Other On-Road Applications Awarded Under Carl Moyer Memorial Air Quality Standards Attainment Program
   
   
9. Issue RFP to Assess, Develop and Demonstrate Low-VOC Cleaning Systems
   
   
10. Execute Contract to Expand AQMD Socioeconomic Assessment Program
    
    
11. Execute Contract to Conduct Performance Audit of AQMD for FY Ending June 30, 2000
    
    
12. Adopt Resolution to Renew General Services Agreement with County of Los Angeles
    
    
13. Authorize Purchase of Doppler Sodar Boundary Layer Wind Measurement Systems
    
    
14. Redesign Air Quality Assistance Fund Program to Provide Financial Assistance for Small Businesses Subject to Air Pollution Control Requirements
    
    
15. Public Affairs Report
    
    
16. AB 2766 Subvention Fund Report from Motor Vehicle Registration Fees for FY 1998-99
    
    
17. Report on Effectiveness of Voluntary Ridesharing and Other Emission Reduction Options
    
    
18. Hearing Board Variances and Appeals
    
    
19. Civil Filing and Civil Penalties Report
    
    
20. Rule and Control Measure Forecast
    
    
21. Lead Agency Projects and Environmental Documents Received by the AQMD
    
    
22. Best Available Control Technology Guidelines Report
    
    
23. Status Report on Major Projects for Information Management Scheduled to Start During Last Six Months of FY 1999-00
    
    
24. Report of RFPs and RFQs Scheduled for Release in June

    Agenda Item No. 14 was withheld for discussion.

    ON A MOTION DULY MADE AND SECONDED, THE BOARD APPROVED AGENDA ITEMS 1 THROUGH 13 AND 15 THROUGH 24, AS RECOMMENDED BY STAFF, BY THE FOLLOWING VOTE:

    AYES: Bernson, Burke, Carney, Coad (except Item #6), Glover, LaPisto-Kirtley, Loveridge, Mikels, Paulitz,
    Verdugo-Peralta, and Wilson.

    NOES: None.

    ABSTAIN: Coad (Item #6 only).

    ABSENT: Antonovich

25. Items Deferred from Consent Calendar

    14. Redesign Air Quality Assistance Fund Program to Provide Financial Assistance for Small Businesses Subject to Air Pollution Control Requirements

                John Billheimer, Enviro Reality, addressed the Board and suggested the removal of No. 5 from the list of recommended actions because he believed it would be inappropriate to divert money from the Air Quality Assistance Fund (AQAF), which was designed to assist small businesses, to assist the public and private fleet operators affected by the proposed 1190 series of fleet rules.

                Dr. Wallerstein responded that staff is revamping the AQAF program because the demand has not paralleled the amount of money that is available in the fund, and there are fleet operators, such as cities and counties, that could use assistance in complying with the proposed fleet rules. However, to avoid any controversy, he suggested that the Board pull No. 5 from the list of recommended actions, and that staff report back to the Board at its July 21, 2000 meeting on any other funding sources for which the District could assist fleet operators with their grant proposals.

    DR. WILSON MOVED APPROVAL OF AGENDA ITEM NO. 14
    AS RECOMMENDED BY STAFF, WITH THE DELETION OF ITEM NO. 5 OF THE RECOMMENDED ACTION, AUTHORIZE STAFF TO REDIRECT $200,000, ON A ONE-TIME BASIS, FROM THE AIR QUALITY ASSISTANCE FUND (AQAF) TO PROVIDE GRANT APPLICATION ASSISTANCE TO PUBLIC AND PRIVATE ENTITIES FOR THE PURPOSE OF COMPLYING WITH THE 1190 SERIES OF RULES, UPON ADOPTION BY THE GOVERNING BOARD OF THOSE RULES. THE MOTION WAS SECONDED BY
    MS. LaPISTO-KIRTLEY.

                Commenting that there are small businesses that would ultimately be affected by the fleet rules,

    MS. CARNEY MADE A SUBSTITUTE MOTION TO APPROVE AGENDA ITEM NO. 14 AS RECOMMENDED BY STAFF. THE MOTION WAS SECONDED BY MR. LOVERIDGE.

                Expressing her concern for small businesses, Ms. Verdugo-Peralta commented that while there will be small businesses that are affected by the fleet rules, she believes there may be other means to assist fleet operators with their grant proposals.

    THE SUBSTITUTE MOTION BY MS. CARNEY TO APPROVE AGENDA ITEM NO. 14 AS RECOMMENDED BY STAFF FAILED, FOR A LACK OF SEVEN CONCURRING VOTES, AS FOLLOWS:

    AYES: Burke, Carney, Loveridge, Paulitz, and Wilson.

    NOES: Bernson, Coad, LaPisto-Kirtley, Mikels, and
    Verdugo-Peralta.

    ABSENT: Antonovich.

    NOTE: The voting equipment failed to register Ms. Glover's vote on this item.

    THE MOTION BY DR. WILSON, SECONDED BY
    MS. LaPISTO-KIRTLEY, TO APPROVE AGENDA ITEM NO. 14 AS RECOMMENDED BY STAFF, WITH THE DELETION OF ITEM
    NO. 5 OF THE RECOMMENDED ACTION, AUTHORIZE STAFF TO REDIRECT $200,000, ON A ONE-TIME BASIS, FROM THE AIR QUALITY ASSISTANCE FUND (AQAF) TO PROVIDE GRANT APPLICATION ASSISTANCE TO PUBLIC AND PRIVATE ENTITIES FOR THE PURPOSE OF COMPLYING WITH THE 1190 SERIES OF RULES, UPON ADOPTION BY THE GOVERNING BOARD OF THOSE RULES, PASSED BY THE FOLLOWING VOTE:

    AYES: Bernson, Burke, Carney, Coad, LaPisto-Kirtley, Loveridge, Mikels, Verdugo-Peralta, and Wilson.

    NOES: Paulitz.

    ABSENT: Antonovich.

    NOTE: The voting equipment failed to register Ms. Glover's vote on this item

BOARD CALENDAR

26. Administrative Committee
    
    
27. Investment Oversight Committee
    
    
28. Legislative Committee
    
    
29. Mobile Source Committee
    
    
30. Stationary Source Committee
    
    
31. Technology Committee
    
    
32. Mobile Source Air Pollution Reduction Review Committee
    
    
33. Air Resources Board Monthly Report

    A MOTION WAS DULY MADE TO RECEIVE AND FILE AGENDA ITEMS 26 THROUGH 33, AND ADOPT THE FOLLOWING POSITIONS ON LEGISLATION, AS RECOMMENDED:

    AB 2835 (Hertzberg) � Urban Traffic Congestion Support

    ACR 132 (Firebaugh) � Phase 3 Reformulated Gasoline Support

    HR 3546 (McGovern) � Commuter Benefits Equity Act of 2000 Support

    S 2083 (Robb) � Commuter Benefits Equity Act of 2000 Support

    THE MOTION WAS DULY SECONDED, AND PASSED BY THE FOLLOWING VOTE:

    AYES: Bernson, Burke, Carney, Coad, Glover, LaPisto-Kirtley, Loveridge, Mikels (except Item #28), Paulitz,
    Verdugo-Peralta, and Wilson.

    NOES: Mikels (on Item #28 only).
    
    ABSENT: Antonovich

PUBLIC HEARINGS

Agenda Items Nos. 35, 36, and 37 were taken out of order because of the number of requests to comment on the items.

35. Adopt Proposed Rule 1191 � Light- and Medium-Duty Public Fleet Vehicles
    
    
36. Adopt Proposed Rule 1193 � Clean On-Road Residential and Commercial Refuse Collection Vehicles
    
    
37. Adopt Proposed Rule 1192 � Clean On-Road Transit Buses

                Henry Hogo, Planning and Rules Manager, gave a brief overview on the development of the proposed 1190 series of fleet rules that staff will be bringing before the Board for adoption and presented the staff report on the first proposed rule in the series, PR 1191.

    (Mr. Antonovich arrived at 9:45 a.m.)

                Subsequent to opening the public hearing on Item No. 35,

    MR. BERNSON MOVED TO OPEN THE PUBLIC HEARINGS ON ITEMS 36 AND 37 AS WELL. THE MOTION WAS DULY SECONDED AND CARRIED UNANIMOUSLY (Absent: Coad, Glover, and Mikels).

                Chairman Burke advised the audience of the availability of colored-sheet handouts summarizing staffs' recent changes to the staff proposals.

                Following is a listing of the individuals who commented on the proposed rules, and a summary of the key issues raised during public comment. Where possible, the speakers have been grouped in terms of the similarity of comments presented.

    SANDRA JACOBS, Mayor Pro Tem, City of El Segundo
    WILLIAM KLEINDIENST, Mayor/Palm Springs, Board Member/Sunline Transit, Chairman/MSRC
    *GLADYS MEADE, American Lung Association
    BOONE PICKENS, BP Capital and Energy Trading Partnership and Pickens Fuel Corp.
    *TIM CARMICHAEL, Coalition for Clean Air
    RICK MORROW, MIKE BOLIN, LEE WALLACE, and MITCHELL PRATT, Southern California Gas Company/Sempra Energy
    MARY LOU TREVIS, Mothers of East L.A.
    DANIEL L. SCHULIST, East Los Angeles Sheriffs Youth Activities League
    *TODD CAMPBELL, Coalition for Clean Air
    *GAIL RUDERMAN FEUER and JULIE MASTERS, Natural Resources Defense Council
    PAUL T. DeLONG, John Deere, Deere Power Systems
    MARY EDWARDS, Granada Hills Woman's Club and North Valley Coalition
    ESTHER SIMMONS, North Valley Coalition
    *RON SMITH, Pinnacle CNG Systems, LLC
    *RICARDO HERNANDEZ, Southeast Community Development Corporation
    MARTIN SCHLAGETER, Sierra Club
    NEIL SILVER, ATU Local 1277
    CRAIG PERKINS, City of Santa Monica
    *CHERYL LOVE-QUEEN, South Central Coalition for Change/Spa 6
    *PETER DAVIS, Advanced Transportation Technologies
    ANDREW LITTLEFAIR, Pickens Fuel Corp.
    *RICHARD CROMWELL III, Sunline Transit Agency
    *DR. MAYME A. CLAYTON, Western States Black Research and Education Center
    *JENNI CHO, Korean Youth & Community Center
    *MARK BUEHLER, Engineering Ventures for the Environment
    GREG VLASEK, California Natural Gas Vehicle Coalition
    SCOTT WEISMAN, Physicians for Social Responsibility
    CHERIE MANN, North Valley Coalition
    KENT STODDARD, Wast Management, Inc.
    ROBERT A. NELSON, Riverside County Waste Management Department
    PENNY NEWMAN, Center for Community Action
    *JAMES ORTNER, Orange County Transportation Authority
    *CYNTHIA ROJAS, EDGAR SANCHEZ, CARL GUNTHER, and RUTH WILLIAMS, Bus Riders Union and Labor/Community Strategy Center
    DON BLOSE, American Lung Association
    JOSE SANCHEZ, Boyle Heights Students
    MS. TERRY WOLD, Sierra Club and Clean Air Now
    MARGARITA SANCHEZ, Boyle Heights Mejoramiento
    JOE LYOU, LUIS R. CABRALES, ANGELA JOHNSON MESZAROS, and CLIFF GLADSTEIN, California League of Conservation Voters Education Fund
    AGUSTIN EICHWALD, BOHRAM FAZELI, and YUKI KIDOKORO, Communities for a Better Environment
    MATILDE CALDERON and JAIRUS RAMOS, Huntington Park Residents
    SETH CARPENTER, Residents of Manhattan Beach
    GEYMAN HERNANDEZ, CBE Youth for Environmental Justice
    GARRICK RUIZ, concerned citizen
    MIKE STEVENS, LAX Expansion No!
    *PATRICK HUTSON, Applied LNG Technologies
    *Submitted Written Comments
    
                Urged the Board to adopt the proposed fleet rules as recommended by staff. The key comments made were as set forth below.
    
    

    • The MSRC has committed in excess of $13.5 million (95 percent of its available funds) from its current work program toward project categories which will directly support successful implementation of PRs 1191, 1192 and 1193, placing a special emphasis on alternate fuel infrastructure, which is a primary barrier to the use of alternate fuels.
      
      
    • Diesel particulate emissions represent over 70 percent of the cancer risk in the region, according to the MATES-II study. Diesel exhaust is a serious threat to public health, especially children. Thus, the fleet rules will move this region from diesel to alternative fuels and the protection of public health.
      
      
    • There are LNG and CNG bus and truck fleets operating in the basin, and companies such as Pinnacle CNG Systems, Pickens Fuel Corporation and Applied LNG Technologies have the capability to build LNG/CNG refueling stations to serve those covered by PRs 1191, 1192 & 1193.
      
      
    • Natural gas is 90 percent cleaner than diesel fuel, costs less, and is a domestic fuel. Green diesel, while cleaner than the conventional diesel, is currently not as clean as alternative fuels. The NOx levels have not been brought down, and the toxicity issue has not been addressed.
      
      
    • The proposed rules are not anti-competitive. Diesel is, and for the foreseeable future will remain, the primary fuel used to transport goods in Southern California. The fleet rules will foster competition by increasing the infrastructure for natural gas refueling and increasing investments by engine manufacturers in natural gas-fueled engines.
      
      
    • For the thousands of mechanics, maintenance workers, and drivers/operators of buses, cleaner, healthier air at their job site is a matter of life and breath. There are retirees who are now battling cancer and other diseases possibly linked to years of breathing foul, polluted air in close working conditions.
      
      
    • Suggested the Board consider expanding the fleet rules to include private fleets, also, particularly those that operate at airports.

    *ROBERT SULNICK, South Coast Clean Air Partnership (SCCAP)
    DR. CHARLES LAPIN, Lapin & Associates/SCCAP
    DAVE SMITH, ARCO/SCCAP
    CRAIG MOYER, Attorney on behalf of California Waste Association
    BILL PRESCOTT, Covina Valley Unified School District
    MARTIN HEFNER, Clean Fuels Technology, Inc.
    RALPH KROY, North Valley Coalition
    *Submitted Written Comments

             1) Indicating that they would like the option to mix and match whatever technology is available that can meet AQMD�s standards, requested that the Board include language in the adopting Resolution for PR 1191 directing staff to prepare a report on the state-of-science of control technology for medium-duty diesel fueled engines and emissions comparisons between diesel fueled engines and gasoline, liquefied petroleum gas, and natural gas counterparts; and to submit such report to the Governing Board within 120 days.

            2) Clarified that the intent is to use low-sulfur diesel fuel that ranges from 5 to 15ppm of sulfur, as opposed to conventional diesel which ranges from 340 to 500ppm of sulfur.

            3) Noted that, compared to natural gas, low-sulfur diesel fuel: (i) can achieve equivalent emissions reductions, (ii) is a less potent green house gas than natural gas; (iii) is more energy efficient; and (iv) will be 4 to 11 times cheaper in terms of conversion.

    KEVIN HALLSTROM, Engelhard Corp.

            Discussed Engelhard�s diesel particulate catalyzed filter. When used with fuels, such as a 15ppm sulfur fuel, it will offer more than 90 percent particulate reduction from virtually any diesel engine; more than 80 percent hydrocarbons and carbon monoxide. Engelhard has received an ARB exemption for its particulate trap, meaning that it results in no increase in emissions, and they are pursuing the certification to demonstrate it actually reduces emissions. This technology is also under development with a complementary EGR system to provide 50 percent NOx reductions from an existing diesel engine.

    DR. TOM DURBIN, University of California, Riverside/SCCAP

            Discussed a program at UCR regarding low-sulfur diesel fuel produced by ARCO, combined with after-treatment, and the possibilities these technologies have for reducing emissions within a fuel-neutral policy. Results have shown dramatic reductions in carbon monoxide, hydrocarbons, and particulate matter.

    DEITRICH ALLEN, City of Los Angeles

            Expressed the Los Angeles City Council�s support for PRs 1191, 1192 and 1193, and their request that the following modifications to the rules be made: 1) Allow any vehicle or technology to be eligible for purchase under the rules if it can be certified to meet the CARB optional low-NOx standard and a methanol-equivalent particulate standard. 2) That the Board direct staff to develop amendments to PR 1191 that would extend the rule to private utilities and fuel providers so that the rule is equitably applied among all utilities and fuel providers, whether public or private. 3) With regard to PR 1192, that the rule be amended to allow for a sufficient number of demonstration vehicles to ensure that new technology can be adequately tested. 4) That the eligibility of dual fuel vehicles under PR 1193 be extended one year until 2003.

    KELLY ASTON, California Refuse Removal Council
    *TOM VOGT, Taormina Industries
    FRANK CAPONI, Los Angeles County Sanitation Districts (LACSD)
    *Submitted Written Comments

            Suggested that a provision be added to PR 1193 to allow fleet operators flexibility if the infrastructure is not in place when the rule becomes effective. Mr. Caponi suggested an investigation of centralized fueling facilities at all landfills fueled by landfill gas that is converted to LNG and CNG, noting that LACSD has a program of this type at its Puente Hills Landfill.

            Dr. Wallerstein recommended that staff provide monthly reports on Rules 1191, 1192 and 1193 to the Board�s Mobile Source Committee. He noted that there will be a working group to evaluate the possibility of expanding the compliance flexibility of Rule 1193, and suggested that staff report back to the Board three months prior to the implementation date. If necessary, staff would at that time either seek enforcement discretion or recommend an amendment to the rule.

    CHRISTINA MORGAN, Ceryx, Santa Paula, CA

            Discussed an after-treatment device manufactured by Ceryx called the quadcat, because it reduces four pollutants--hydrocarbon, carbon monoxide, and particulate matter by up to 90 percent, and oxides of nitrogen by 30 to 50 percent. It is fuel neutral--green diesel, CNG, or LNG�and, at a cost of $7,500, affordable.

    WALTER BURNETT, National Association of Fleet Administrators

            1) Expressed concern that despite the assurance of AQMD staff and promises from fuel providers, either the funds will not be available to offset the increased costs or the infrastructure will not be in place for cost effective and timely compliance with the rules.

            2) Expressed support for PR 1191; the vehicles they most acquire are readily available and there is no need for additional fueling infrastructure. Recommended that PR 1192 and 1193 be revised to be fuel neutral, because the economic assessment does not reflect the cost of upgrading maintenance infrastructure. If the Board does adopt PR 1192 and 1193 as proposed, suggested that the implementation dates be delayed until the Executive Officer makes a finding that the fuel and infrastructure are available. (Submitted Written Comments)

    BILL QUINN, California Council for Environmental and Economic Balance (CCEEB)

            Noted that CCEEB worked with AQMD staff to add the following three points to the resolutions for PRs 1191, 1192, and 1193, which were included in the Revisions distributed to Board members:

    i) possible future revisions to the rules based on any changes in state or federal law that may expand or clarify the authority of the AQMD to pursue a fuel neutral fleet rule policy;

    ii) consideration of additional compliance flexibility provisions that would allow an exchange mechanism between various vehicle types, while still achieving environmental goals; and

    iii) an annual symposium to review the research, development, and demonstration of advanced diesel technology, electric vehicles, hybrids, fuel cell powered vehicles, and other advanced technology vehicles.

    GERALD SMITH, Johnson Matthey

            Discussed the after-treatment particulate trap manufactured by Johnson Matthey. There are currently over 11,000 of these devices in use worldwide, and EPA and CARB certifications are in process. This technology, a passive system that requires the use of ultra low sulfur diesel, has proven emission reductions of over 90 percent for hydrocarbon, carbon monoxide and particulate matter.

    BRAD McALLESTER, Los Angeles County Metropolitan Transportation Authority

            Encouraged consideration of allowing flexibility in PR 1192 to allow diesel/electric hybrid buses to be considered under the rule, as well as diesel articulated buses, when no other alternative is available.

    MICHAEL WANG, Western States Petroleum Association

            Recommended that the Board resolution be modified to allow time for OEHHA, CARB, the District and other affected parties to work together on the toxicity issue.

    MARLENE TINGLEY-CARNEY, California Chamber of Commerce and Californians for a
    Sound Fuel Strategy
    *JAMES WHITE, White Environmental Associates
    *KEN GIBSON, Kenny Manta Industrial Services/WSPA
    MARK SAPERSTEIN and MATT REZVANI, BP Amoco
    NEIL KAY, Association of California Recycling Industries
    *JED MANDEL, Engine Manufacturers Association
    JOHN DeWITT and ROCHELLE LEWIS, SCCAP
    *NINA YOUNG, Orange County Department of Education
    DOUG SNYDER, California Association of School Transportation Officials
    CHUCK LeTAVEC and SUSAN STARK, BP Amoco (ARCO)
    TOM BARRIO, City of Montebello
    WAYNE KING, Drivers for Highway Safety
    *MARTIN HEFNER, Clean Fuels Technology, Inc.
    STEVE D. SMITH, Tosco Corporation
    JOHN HALL, Torrance Transit
    MICHAEL JIMENEZ, Los Angeles Convention and Visitors Bureau
    *GUY HESTON, Long Beach Transit
    SOO LEE, International Truck & Engine Co.
    *Submitted Written Comments

            Asked that the Board modify the proposed fleet rules and adopt a policy that gives fleet operators a choice between alternative fuels and clean diesel technology in meeting universally-applied emission reductions standards. The key comments made were as summarized below.
    
    

    • Proposed Rules 1191, 1192 and 1193 ignore the air quality improvement benefits from ultra-low sulfur diesel which will provide major emission reductions from current local and transient diesel vehicles.
      
      
    • The proposed rules would mandate the use of vehicles using fuels that may only serve the public in the near term and with no incremental emissions reduction benefit in the long term, as compared to other less costly options. Following such a mandate would require the costly process of building new or vastly modified fuel distribution refueling infrastructures for fuels that may only marginally serve a near-term benefit. Resources of local and regional governments should not be expended on further embellishment of what amounts to near term niche fuel markets.
      
      
    • This region cannot risk voiding the nation's uniform system of heavy-duty on-highway regulation in favor of a state-by-state or local district-by-district patchwork quilt of differing requirements.
      
      
    • Industry has demonstrated that advanced diesel engines with after-treatment technology, operated on low-sulfur fuel, is a viable, low-emitting option.
      
      
    • If an adequate after-market particulate trap is developed for retrofitting, it could provide a cost-effective solution for school districts.
      
      
    • Clean diesel can compete with the CNG; it surpasses CNG in affordability, availability, and reliability. The infrastructure is already in place to support it. Tosco Corporation is prepared to supply a new ultra-low sulfur diesel fuel to public fleets in the basin.
      
      
    • Diesel particulates have been studied extensively; whereas, ultra fine CNG particulates have not been studied in epidemiology and animal toxicology studies.

            Dr. Wallerstein indicated that the resolutions for PRs 1191, 1192 & 1193 provide that staff will determine the procedure for calculating the toxic risk reduction and provide the information to the Board in 60 days. During that 60-day period, staff will hold public consultation meetings to discuss the issue.

    DAVID LAWSON, Long Beach Unified School District
    *BOB WIGGINTON, Rowland Unified School District
    *Submitted Written Comments

            Indicated that the school districts have specialized diesel vehicles that they must use, and that the cost for complying with PR 1191 could have an impact on classrooms.

            In response to Ms. LaPisto-Kirtley, Dr. Wallerstein indicated that the final PR 1191 recommended by staff does contain an exemption for situations where there are no regular gasoline equivalent vehicles available.

    CATHI COLE, City of Pasadena

    JOHN BOYNEE, San Gabriel Valley Council of Governments

            Expressed support for PR 1191, and opposition to PRs 1192 and 1193. Requested that the Board delay adoption of PRs 1192 and 1193 for 120 days to allow them the opportunity to discuss with District staff their concerns regarding the economic impact of the proposed rules.

    DAVE COLE, City of Glendale

            Expressed support for PRs 1191 and 1192, indicating that the City operates a fleet of 30 CNG buses and has 8 alternative fueled buses on order. Opposed PR 1193, however, because the City has tried propane, methanol, and dual fuel vehicles at great expense and with limited success.

            There being no further testimony, the public hearing was closed. Numerous written comments were submitted for the record, and copies are on file in the AQMD Library.

            Dr. Wallerstein noted that three colored sheets had been distributed to Board members, and copies made available to the public: Proposed Revisions to Adopting Resolution for Proposed Rule 1191 (tan), Proposed Revisions to Adopting Resolution for Proposed Rule 1192 (salmon), and Proposed Revisions to Adopting Resolution for Proposed Rule 1193 (green). The revisions were as follows:
    
    

    • For PR 1191, 1192 & 1193, deleting from the resolution the automatic submittal of the rules to U.S. EPA upon receipt of any litigation in this matter.
      
      
    • For PR 1191, three paragraphs were inserted in the resolution, at the request of CCEEB:
      (i) an annual technology advancement conference on all fuels, all engine types, with a report to the Board; (ii) to examine the feasibility of broadening the way the rules are implemented and having a credit trading between the programs; and (iii) incorporating the item suggested by SCCAP to have a study comparing diesel-fueled engines to other types of engines, with a report back to the Board in 120 days, with recommendations, if any, on potential amendments to Rule 1191.
      
      
    • Many of the same revisions for PR 1191 were also proposed for the resolution for PR 1192, with the addition of language regarding the ability to have any type of engine or fuel allowed under the rule, upon demonstration that it can achieve emission levels equivalent to alternatively-fueled engines. Also, direction to staff to work with CARB and OEHHA to develop procedures for calculating toxic risk reduction and present that information to the Board within 60 days. Dr. Wallerstein indicated that, as requested by WSPA, staff would be willing to extend that 60-day period and provide progress reports to the Board�s Mobile Source and Administrative Committees. In addition, two provisions were added related to
      in-use emissions. Current procedures do not adequately estimate the true emissions of the vehicles. These two provisions encourage CARB to re-examine the issue, and then if CARB makes a modification to its procedures, to include the modification in Rule 1192. Lastly, there is an addition regarding an incremental cost effectiveness analysis.
      
      
    • Revisions to the resolution for PR 1193 were the same as those proposed for PR 1192. Staff also recommended the following addition to Subparagraph (e), Exemptions, as requested by the City of Los Angeles:

    (6) Upon demonstration to the Executive Officer that all existing solid waste collection vehicles equipped with 1995 and subsequent model year diesel engines in the fleet have been equipped with CARB certified particulate matter control devices that achieve 71 percent or greater reductions in particulate matter emissions, a fleet operator may purchase dual-fuel vehicles pursuant to subparagraph (d)(1)(B) until
    July 1, 2003.

    Ms. LaPisto-Kirtley noted that the Board received approximately 17 letters from members of the legislature in support of the proposed rules, with the revisions proposed for the resolutions, some of whom had previously submitted comments in opposition to the proposed rules.

            Board members expressed support for the proposed rules and the revisions to the resolutions recommended by staff, and commended staff for working with industry, the environmental community, and other affected parties to develop the proposed rules and to add language to encourage competition and development of new technologies, as long as the lower emission standards can be achieved and proven.

            Dr. Coad indicated that she had concerns regarding elimination of diesel fuel under the proposed rules; however, she believes the revisions proposed by staff encourage a more fair playing field. She added that she would like staff to address the state legislature as to how the District could, in the future, set a fuel standard and become fuel neutral. If a statute needs to be changed to accomplish this, she would like the District to be proactive to bring about that change.

            Commenting that while we are all subjected to the air pollution in this basin, it is the low income, minorities, children, and the elderly who are most impacted, Ms. Verdugo-Peralta expressed her belief that the AQMD has made large strides regarding environmental justice, and if the Board did not adopt the proposed rules, she believes the AQMD would be taking a step backwards. Regarding maintenance, she suggested the formation of a task force that would be inclusive of the community college districts that are working on alternative fuels to provide a workforce for maintenance of alternative fueled vehicles.

            Dr. Wallerstein responded that staff's understanding is that, for the transit agencies, approximately 83 percent of the cost differential is covered by the federal government. Local transit agencies have then been making use of the Moyer funds and MSRC funds, and the capital costs are completely offset. With regard to fuel and operating costs, staff understands there are creative financing mechanisms for putting the infrastructure in place, and that the diesel fuel actually costs more on a per-gallon equivalent basis than the natural gas.

    DR. WILSON MOVED TO ADOPT RESOLUTIONS NOS. 00-18, 00-19, AND 00-20, ADOPTING RULES 1191, 1192, AND 1193 AND CERTIFYING THE ENVIRONMENTAL ASSESSMENTS, AS RECOMMENDED BY STAFF, INCLUDING THE PROPOSED REVISIONS TO THE ADOPTING RESOLUTIONS, AND THE AMENDMENT TO RULE 1193 SET FORTH IN THE ADDENDUM SHEETS AND OUTLINED BY DR. WALLERSTEIN. THE MOTION WAS SECONDED BY MS. LaPISTO-KIRTLEY.

    At Ms. Carney�s request,

    DR. WILSON AMENDED HIS MOTION TO CHANGE THE PERIOD OF TIME IN THE ADOPTING RESOLUTIONS FOR RULES 1192 AND 1193 FOR STAFF TO COME BACK TO THE BOARD WITH A PROPOSAL ON DETERMINING HOW TO JUDGE TOXICITY FROM 60 DAYS TO 90 DAYS.

            Commenting that he believed the proposed rules should be redrafted to reflect the revised resolutions before being adopted by the Board,

    MR. ANTONOVICH MADE A SUBSTITUTE MOTION THAT THE BOARD ADOPT THE RESOLUTIONS AND DIRECT STAFF TO DRAFT THE RULES FOR PRESENTATION AT THE JULY 21, 2000 BOARD MEETING. THE MOTION WAS SECONDED BY
    MS. COAD.

            Expressing his belief that the Board needs to not only adopt the resolutions at this time, but the rules as well, Dr. Wilson commented that the resolutions are flexible enough to allow staff to come back to the Board with amendments if and when the diesel industry or any other industry develops comparably clean technology and fuels.

    THE SUBSTITUTE MOTION BY MR. ANTONOVICH, SECONDED BY DR. COAD, TO ADOPT THE RESOLUTIONS AND DIRECT STAFF TO DRAFT THE RULES FOR PRESENTATION AT THE JULY 21, 2000 BOARD MEETING, FAILED BY THE FOLLOWING VOTE:

    AYES: Antonovich and Coad.

    NOES: Bernson, Burke, Carney, Glover, LaPisto-Kirtley, Loveridge, Mikels, Paulitz, Verdugo-Peralta, and Wilson.

    ABSENT: None.

    DR WILSON'S MOTION, SECONDED BY MS. LaPISTO-KIRTLEY TO (i) ADOPT RESOLUTIONS NOS. 00-18, 00-19, AND 00-20, ADOPTING RULES 1191, 1192, AND 1193 AND CERTIFY THE ENVIRONMENTAL ASSESSMENTS, AS RECOMMENDED BY STAFF; (ii) APPROVE THE PROPOSED REVISIONS TO THE ADOPTING RESOLUTIONS, AND THE AMENDMENT TO RULE 1193 SET FORTH IN THE ADDENDUM SHEETS AND OUTLINED BY DR. WALLERSTEIN; AND (iii) DIRECT STAFF TO REPORT BACK TO THE BOARD IN 90 DAYS INSTEAD OF 60 DAYS WITH A DETERMINATION ON JUDGING TOXICITY, CARRIED UNANIMOUSLY.**

    **Ms. Carney abstained on Rule 1193.

            Chairman Burke directed staff to prepare a proposal to be presented to ARB Chairman Alan Lloyd for the AQMD to be given demonstration project status for the retrofit of school buses with current applicable technology to reduce their emissions in this district; and that AQMD be provided with currently evolving technology, such as the particulate trap, to test it on the road.

OTHER BUSINESS

40. Report on Potential for Requiring Low-Sulfur Diesel and Particulate Traps for Existing Diesel Vehicles and Direct District Staff Concerning Methods to Require Retrofits

    MR. BERNSON MOVED THAT THE BOARD:

    1. DIRECT STAFF TO ASSIST CARB, INCLUDING FUNDING OF TECHNOLOGY AND TEST PROGRAMS AND REQUIRED EMISSIONS TESTING, TO EXPEDITE CARB'S EMISSION REDUCTION CERTIFICATION FOR PARTICULATE TRAPS FOR VARIOUS ENGINE CATEGORIES;
       
       

    2. URGE CARB TO ADOPT RETROFIT REQUIREMENTS FOR EXISTING DIESEL VEHICLES;
       
       
    3. DIRECT STAFF TO DEVELOP FOR EXPEDITIOUS BOARD CONSIDERATION RETROFIT INCENTIVE PROGRAMS, INCLUDING POTENTIAL MODIFICATIONS TO THE PROPOSED FLEET RULES, EMISSION TRADING PROGRAMS, AQMD FUNDING PROGRAMS, ETC., TO FACILITATE THE EXPEDITIOUS RETROFIT OF EXISTING DIESEL VEHICLES WITH CARB CERTIFIED EMISSION REDUCTION TECHNOLOGIES; AND
       
       
    4. SEEK ANY LEGISLATIVE ACTION NECESSARY TO ACHIEVE THES GOAL OF MAKING SURE THAT EVERY DIESEL VEHICLE IN THE SOUTH COAST REGION HAS AT LEAST A PARTICULATE TRAP AND USES CLEAN DIESEL.

    THE MOTION WAS SECONDED BY MR. ANTONOVICH, AND CARRIED UNANIMOUSLY.

34. Amend Rule 1146 � Emissions of Oxides of Nitrogen from Industrial, Institutional, and Commercial Boilers, Steam Generators, and Process Heaters

            In the interest of time, staff waived an oral report on this item.

            The public hearing was opened. There being no requests from the public to comment on this item, the public hearing was closed.

    ON MOTION OF MR. BERNSON, DULY SECONDED AND CARRIED UNANIMOUSLY (Absent: Coad), THE BOARD ADOPTED RESOLUTION NO. 00-16, AMENDING RULE 1146 AND CERTIFYING THE EXEMPTION FROM CEQA REQUIREMENTS, AS RECOMMENDED BY STAFF.

38. Amend Rule 403.1 � Wind Entrainment of Fugitive Dust

            In the interest of time, staff waived an oral report on this item.

            The public hearing was opened. There being no requests from the public to comment on this item, the public hearing was closed.

    ON MOTION OF DR. WILSON, SECONDED BY
    MS. LaPISTO-KIRTLEY, AND CARRIED UNANIMOUSLY
    (Absent: Coad), THE BOARD ADOPTED RESOLUTION NO. 00-17, AMENDING RULE 403.1 AND CERTIFYING THE EXEMPTION FROM CEQA REQUIREMENTS, AS RECOMMENDED BY STAFF.

PUBLIC COMMENT PERIOD - (Public Comment on Non-Agenda Items, Pursuant to Government Code Section 54954.3)

There was no public comment on non-agenda items.

39. Closed Session

    The Board recessed to closed session at 2:00 p.m., pursuant to Government Code Sections:

    • 54956.9(a), to confer with counsel regarding pending litigation which has been initiated formally and to which the District is a party--the actions are Coalition for Clean Air, et al. v. SCAQMD, et al., United States District Court Case No. 97-6916 HLH (SHx); and Langsam v. SCAQMD, Los Angeles Superior Court Case
      No. BS055249;

    • 54956.9(c) to confer with its counsel to decide, based on existing facts and circumstances, whether to initiate litigation (one case); and
      
      
    • 54956.8, to provide direction to its negotiator regarding the price and terms for a lease of real property. The property is a portion of the District Headquarters building at 21865 E. Copley Drive, Diamond Bar, California 91765. The negotiator is Sylvia Oroz. The parties to the negotiations are AsiaDemand Inc., Babynet.com, and City of Diamond Bar.

        Following closed session, District Counsel Barbara Baird announced that a written report of actions taken by the Board in closed session would be available in the Clerk of the Board�s Office after the meeting; and the meeting was adjourned by Chairman Burke at 2:40 p.m.

        The foregoing is a true statement of the proceedings held by the South Coast Air Quality Management District Board on June 16, 2000.

Respectfully Submitted,

SAUNDRA McDANIEL
Senior Deputy Clerk

Date Minutes Approved: ________________________

____________________________________________
William A. Burke, Ed.D., Chairman

ACRONYMS

AB = Assembly Bill
CARB = California Air Resources Board
CEQA = California Environmental Quality Act
CNG = Compressed Natural Gas
EPA = Environmental Protection Agency
FY = Fiscal Year
LNG = Liquefied Natural Gas
MSRC = Mobile Source (Air Pollution Reduction) Review Committee
NOx = Oxides of Nitrogen
NRDC = Natural Resources Defense Council
OEHHA = Office of Environmental Health & Hazard Assessment
PR = Proposed Rule
RFP = Request for Proposals
SB = Senate Bill
VOC = Volatile Organic Compound