The Stationary Source Committee met Friday, May 26, 2000. Following is a summary of that meeting. In addition, the Governing Board will consider approving a revision to the Mission Statement for the Home Rule Advisory Group. The next meeting will be June 23, 2000, at 10:30 a.m., in Conference Room CC8.
RECOMMENDED ACTION:
Approve the revised mission statement for the Home Rule Advisory Group and receive and file the Committee Report.
Ronald O. Loveridge
Chairman, Stationary Source Committee
Attendance
The meeting began at 10:40 a.m. Present were Jane Carney and Leonard Paulitz (who arrived at 11:00 a.m.). Also attending was Board Member Cynthia Verdugo-Peralta. Absent were Ron Loveridge, Committee Chair; Norma Glover, Committee Vice-Chair; and Jon Mikels. Ms. Carney announced that there was not a quorum for the meeting and that it would therefore be an informational meeting only.
DISCUSSION ITEMS
Rule 403.1Wind Entrainment of Fugitive Dust
Alene Taber, Planning, Rule Development & Area Sources Manager, explained that there is a simple reference change that needs to be made in this rule because of a subsequent change in another rule.
Appoint Rule 461 Implementation Task Force
Carol Coy, Deputy Executive Officer of Engineering and Compliance, reported that this item is a follow-up to the Boards April meeting when the Rule 461 revisions were adopted. It was agreed that an implementation task force would be formed to work with industry to address a number of open issues and ensure effective implementation. Two key commitments include working with industry to develop a minor defect list and to explore opportunities to allow testing at stations on the weekend. She said it was believed the 24-hour testing during the week would be adequate but staff has pledged to examine additional alternatives. There were also questions during the rule hearing about whether staff would be able to offer adequate orientation training sessions so that the testers will be able to obtain required training by November 2000. Staff is confident this can be completed during the summer and will be reporting back to the Board this fall. Barry Wallerstein will chair the implementation task force and will work with the Stationary Source Committee on its membership.
Ms. Coy reported that this would be a long-term task force with bimonthly meetings beginning in June. The California Air Resources Boards implementation of enhanced vapor recovery regulations over the next four to five years will necessitate review of District rules to ensure they are consistent with state requirements. In addition, a technology review will be completed and presented to the Governing Board at the end of 2004.
Ms. Coy concluded that this update was to advise the Committee that staff is going forward with the implementation of the Board Resolution to form this task force. She reviewed a list of proposed task force members which includes several of those who testified at the hearing in April. Staff is asking the Committees endorsement to contact these people and arrange a meeting in June. Those on the list will be asked to suggest other participants and Ms. Coy asked the Committee to identify others they would like invited. After the task force is underway, staff will continue to update the Committee on rule implementation progress.
Board Member Verdugo-Peralta asked who would be doing the training. Ms. Coy explained that the training sessions will be in-house and given by staff in July and August.
Rule 1401New Compounds
Jill Whynot, Manager, Planning, Rule Development & Area Sources, presented this item. She explained that this rule includes a list of chemicals that are considered when a new permit comes in or equipment is relocated or modified. Periodically the state adds new chemicals or will update risk values. She indicated staff would return in August to recommend some minor amendments to Rule 1401 and that list. The other half of this project is that with the recent amendments to Rule 1402 in March a process was added where staff would notify the Board when changes occur to chemicals used in the analysis for facilities subject to Rule 1402. That report will be included in the report to the Board in August, although it does not affect language in Rule 1402.
The state has, over the last two years, added carcinogens and updated or added compounds with acute or short-term impacts. They are now addressing chronic or long-term health impacts. This is the first of three groups of chemicals they are updating. Ms. Whynot said they are prioritizing these reviews so this is the group where they would expect to see more potent chemicals or chemicals that are more likely to be used in higher volume. The next batches after that are probably less significant. This update involves about 40 compounds, which include many classes (a total of about 75 individual chemicals). Many have previously been analyzed for Rule 1401. She said staff is in the process of analyzing five years of permit data to see if these new and revised values would have required additional controls. The preliminary estimate is that there are just a few chemicals that may affect a small number of facilities. A Public Workshop will be held in June and this item will be on the August Board meeting agenda.
John Billheimer commented this is the first time that "chronic" values have gotten into the discussion. Acute values were first because they are usually determined by the manufacturers who are concerned about accidents or emergencies. He said he didnt recall a definition anywhere in Rules 1401 or 1402 for chronic effects that was in lay terms. Ms. Whynot said she would check on that. Mr. Billheimer said a guideline was needed on how to know when a situation is an acute or chronic application. Ms. Whynot said there is a guidance document for Rule 1401 that includes this information
BACT Guidelines Update
Pom Pom Ganguli, Planning and Rules Manager, gave the update on this item. Pom Pom explained that BACT is required for New Source Review permits. Any source that comes into the District as a new source or relocates from one place to another needs an NSR permit. Since AQMD has a rule requirement to publish BACT Guidelines, the guidelines are being updated with a June quarterly report to the Board. A few BACT examples are being added to Part B, Sections 1-3. Dr. Ganguli told the Committee that BACT Guidelines information is available at the AQMD website. This information is reviewed by the Scientific Review Committee, composed of public members and agencies (such as EPA, ARB, and staff), whose comments are taken into consideration. Pursuant to a recent request, dissenting comments are also being included in this report.
Rita Loof of Radtech asked Dr. Ganguli if lithographic printing press and screen printing listings under Part B, Section 3 (emerging technologies) would eventually move into Part A. Dr. Ganguli said yes, after six months of operation and testing, if they perform in a reliable and effective manner, they could move into Part A.
John Billheimer asked if consideration is given for cases that may not be cost effective. Dr. Ganguli said that under the LAER process now, cost effectiveness is not considered. A proposed rule amendment in August regarding cost effectiveness will provide consideration for minor sources. The minor source BACT guidelines update will include cost effectiveness, which is prohibited for major sources under EPAs federal land policy.
Curt Coleman asked if the size of operation was being looked at in regard to UV printing. Dr. Ganguli said yes, the application of the UV products is specific and depends on the type of application.
Notice of Violation Penalty Summary
The Committee acknowledged the summary report attached to the agenda.
Rule Forecast Report
Jack Broadbent, Deputy Executive Officer of Planning, Rule Development and Area Sources, highlighted items that would be going to the Board at their next meeting. He said that in June the three fleet rules (Rules 1191, 1192, and 1193) would be heard, as well as Rule 1146, and Rule 403.1. Mr. Broadbent said staff is considering moving Rule 1610 to August to allow staff more time to work on the rule. At the July meeting, Rule 1194, Commercial Airport Ground Access, is on the agenda. The August Board meeting will have the remainder of the fleet rules, as well as the Rule 431.2 amendment. He said several other rules scheduled for August might be moved.
Monthly Report on Home Rule Advisory Group
Jack Broadbent reported that this is a new item on the agenda, but will be a regular item each month. He reported on the May 18, 2000 meeting of the HRAG . Key items included Subcommittee Status Reports of Credit Trading, NSR, Model Program/EJ Complaint Process, Small Business Financial Assistance, and State and Local Variance Programs. Mr. Broadbent highlighted the discussion regarding the Local Variance Programs. He said discussions are ongoing regarding Rule 518.2. The HRAG recommended that AQMD reject EPAs request that emission credits be provided to offset all variances and consider litigating the matter, if necessary.
Other key items were Status Report on the California Coalition and Update on Inspection/Maintenance Program. Regarding the latter, ARB provided an update on the states program. Emission reductions originally anticipated are not being achieved, which impacts SIP and transportation conformity. ARB is working on improvements to the program. After some discussion, Committee Member Leonard Paulitz asked if there was any position that the Home Rule Advisory Group could give to the Board Chairman to take to CARB. Both Jane Carney and Cynthia Verdugo-Peralta thought it would be advisable. Mr. Broadbent said that the CARB Board is being briefed on this and said he would be bringing the suggestion back to the Home Rule Advisory Group.
The last key item, under Action Items, was regarding reporting to the Stationary Source Committee concerns relative to a guidance document that was prepared by CAPCOA (California Air Pollution Control Officers Association). One of the activities they undertake is guidance to the local districts relative to how BACT/LAER decisions are made. There has been considerable concern that this guidance is insufficient on such points as cost effectiveness, and small sources vs. large sources.
Board Member Verdugo-Peralta asked about small business financial assistance information. Mr. Broadbent said that there is a subcommittee on that item. Jack Wyatt is in charge of that subcommittee and has been reporting on the activities of a number of small business and industry groups and their efforts to obtain more funds for small business assistance.
Larry Kolczak, Community Relations Manager in the Public Advisors Office, explained that because the Small Business Assistance Fund has been in existence for a number of years, but is not widely used, they are looking to see how that program can be better used. He said there is approximately 2.2 million dollars available for small business assistance and he briefly explained the new program and outreach for the program.
John Billheimer said this loan program would be an improvement over the previous one. In the past, many small businesses were reluctant to get a loan from the District. He also indicated that Air Quality Assistance Funds should be used only to assist stationary sources and should not be used for transportation-related programs.
Other Business
John Billheimer commented that small business owners may be concerned their permit fees could be improperly allocated to mobile source programs and suggested a routine permit backlog report to the Governing Board could be used to monitor appropriate fee use.
Ms. Carney said that the Permit Streamlining Committee is about to meet again and that the Stationary Source Committee should wait to see what comes out of that meeting before deciding whether a report is needed on a periodic basis.
The meeting was adjourned at 11:36 a.m.
In addition, at the last Stationary Source Committee meeting on April 28, 2000, the Committee voted to approve proposed changes to the Home Rule Advisory Group Mission Statement. These revisions are attached for consideration and recommended approval by the Governing Board.