South Coast Air Quality Management District

Execute Four Agreements to Cosponsor CARB Research Projects

SYNOPSIS:

In August 2001, January 2002 and March 2002, CARB issued three RFPs soliciting research projects. From these RFPs, six projects were selected for funding. Due to the current state budgetary con-straints, CARB has requested that the AQMD cosponsor four of the research projects. These include developing an integrated autothermal cyclic reformer and polymer electrolyte membrane fuel cell; developing high-performance, low-VOC waterborne coatings; developing alternatives to automotive consumer products that use VOCs and/or chlorinated organic compound solvents; and quantifying health benefits of incremental improvements in air quality in the South Coast Air Basin. The total cost of these four projects is $1,733,099. CARB funding will total $525,551, and AQMD funding will not exceed $270,000.

COMMITTEE:

Technology, June 28, 2002, Recommended for Approval

RECOMMENDED ACTION:

Authorize the Executive Officer to execute four agreements with the California Air Resources Board for the following projects:

1. Integrated Autothermal Cyclic Reformer and PEM Fuel Cell for an amount not to exceed $100,000 from the Clean Fuels Fund (Fund 31);
   
   
2. High-Performance Low-VOC Waterborne Coatings for an amount not to exceed $20,000 from the Advanced Technology, Outreach and Educational Fund (Fund 17);
   
   
3. Alternatives to Automotive Consumer Products that Use VOCs and/or Chlorinated Organic Compound Solvents for an amount not to exceed $50,000 from the Advanced Technology, Outreach and Educational Fund (Fund 17); and,
   
   
4. Quantify Health Benefits of Incremental Improvements in Air Quality in the SCAB in an amount not to exceed $100,000 from the Clean Fuels Fund (Fund 31).

Barry R. Wallerstein, D.Env.
Executive Officer

Background

The CARB has been directed by the State Legislature to carry out an effective research program along with its efforts to combat air pollution. Pursuant to this direction, CARB issued the following RFPs:
 

2002 ICAT	August 9, 2001	Innovative Clean Air Technologies
01-317	January 24, 2002	Alternatives to Automotive Consumer Products that Use VOCs and/or Chlorinated Organic Compound Solvents
01-330	March 25, 2002	A Pilot Study to Quantify Health Benefits of Incremental Improvements in Air Quality

CARB received a total of 24 proposals in response to these RFPs. With the assistance of AQMD staff, CARB selected six projects for funding. Subsequent to the submission of proposals, the Governor implemented program-funding restrictions to compensate for the loss of State revenues. For this reason, CARB has requested that the AQMD cosponsor four of the selected projects.

Proposal

Four projects proposed for support are:

Integrated Autothermal Cyclic Reformer and PEM Fuel Cell ("Reformer/Fuel Cell")
GE Energy and Environmental Research (GE EER) Corporation will develop an economical fuel cell system based on autothermal cyclic reforming (ACR). ACR can produce hydrogen from many fuels including natural gas, diesel fuel, coal and renewable feedstocks. In this project, ACR will be integrated with a polymer electrolyte membrane (PEM) fuel cell. The goals of this project are develop and demonstrate a fuel cell system that will produce 10 kW of electrical power, have a system availability of greater than 90 percent, operate at greater than 40 percent overall thermal efficiency, and achieve NO_x emissions less than 1 ppm.

High Performance Low-VOC Waterborne Coatings ("Low-VOC Coatings")
Southwest Texas State University (SWTSU) will develop a prototype high-performance wood and metal coatings using a compound called Polyol (hyper-branched vegetable oil polyol phosphate esters). The use of this compound in a coating should reduce VOCs as well as reduce the cost of the coating, improve its durability, and improve its adhesion. This new coating should have a VOC content of 50 g/L or less for some formulations, and will provide additional information for Phase III of the control measure for architectural coatings.

Alternatives to Automotive Consumer Products that Use VOCs and/or Chlorinated Organic Compound Solvents ("Automotive Cleaners")
The Institute for Research and Technical Assistance (IRTA) will demonstrate low-VOC, low-toxicity, water-based aerosol automotive cleaners that are capable of replacing traditional VOC and chlorinated solvent cleaners. Following a technical literature search, IRTA will conduct a test program in which at least 25 water-based cleaners will be evaluated in the laboratory using spray bottles. The best performing solvents will then be packaged in aerosol form and field tested at auto repair centers. It is expected that one or more new aerosol automotive cleaners will be developed.

Quantify Health Benefits of Incremental Improvements in Air Quality in the South Coast Air Basin ("Health Benefits")
Significant improvements in air quality have been made over the past 20 years in the South Coast Air Basin (SCAB). These include a 50 percent reduction in peak ozone levels and a 47 percent reduction in annual-average PM10 at some sites. University of California Berkeley will investigate the relation of health changes in residents to air quality improvements in the SCAB. Health measures investigated will include changes in mortality and morbidity from respiratory and cardiovascular diseases that can be associated with changes in air quality over the period 1980 to 2000. This project will provide an analysis of the association between long-term changes in air quality and health benefits due to these changes. In addition, an analysis will be conducted to estimate the economic benefits of reducing air pollution in the SoCAB.

Benefits to AQMD

The proposed projects are included in the March 2002 update of the Technology Advancement Plan under 2002 CFM4-5, "Development and Demonstration of Residential Fuel Cells and a Reformer Based, Energy Station;" 2002 CFS2-2, "Development and Demonstration of Near-Zero/Zero VOC Products;" and 2002 CFE-3, "Evaluation of Benefits and Emissions from Advanced Mobile Source Controls."

The Reformer/Fuel Cell project will demonstrate the technological feasibility of a near-zero emission reformer/fuel cell system that will provide electrical power. The reformer potentially could provide hydrogen from a centralized reforming station for mobile sources. Eventually, if these pilot concepts are commercially successful, these technologies will substantially reduce emissions from power plants using conventional fuels and eliminate exhaust emissions from light duty vehicles.

According to CARB estimates, the coating categories covered under this Low-VOC Coatings project represent approximately 10 tons per day of VOC emissions in the Basin. If successfully developed and implemented, new coating systems could reduce over 10 tons per day of VOC emissions.

CARB estimates that about 10 tons per day of VOC and chlorinated solvents are emitted from automotive cleaning operations in the Basin. CARB has banned the use of chlorinated automotive products starting January 2003. The Automotive Cleaners project will help develop alternative water-based, near-zero-VOC aerosol automotive cleaners.

The Health Benefits project will result in important information quantifying the benefits to health resulting from reductions in air pollution. Significant resources have been devoted to reducing air pollution in the SCAB. However, to date there are no studies that quantify the health benefits of the actions that have led to improvements in air quality.

Sole Source Justification

Section VIII.B.2. of the Procurement Policy and Procedure identifies four major provisions under which a sole source award may be justified. This request for four sole source awards is made under provision B.2.d.: Other circumstances exist which in the determination of the Executive Officer require such waiver in the best interest of the AQMD. Specifically, clause B.2.d.(1): Projects including cost sharing by multiple sponsors. These four projects are being developed in partnership with CARB, which is the major contributing partner. For the Reformer/Fuel Cell project, GE EER is another major contributing partner, while STSU is another major contributing partner for the Low-VOC Coatings project.

Resource Impacts

Total cost for the four proposed projects is $1,733,099. The AQMD’s cost will not exceed $270,000 and is detailed below:
 

	CARB	AQMD	Others	Total
Reformer/Fuel Cell (GE EER)	$100,000	$100,000	$600,000	$800,000
Low-VOC Coatings (SWTSU)	79,324	20,000	337,548	436,872
Automotive Cleaners (IRTA)	139,966	50,000	-	189,966
Health Benefits (UC Berkeley)	206,261	100,000	-	306,261
Total	$525,551	$270,000	$937,548	$1,733,099

For the Reformer/Fuel Cell and Health Benefits projects, sufficient funds are available from the Clean Fuels Fund (Fund 31), established as a special revenue fund resulting from the state-mandated Clean Fuels Program. The Clean Fuels Program, under Health and Safety Code Sections 40448.5 and 40512 and Vehicle Code Section 9250.11, establishes mechanisms to collect revenues from mobile sources to support projects to increase the utilization of clean fuels, including the development of the necessary advanced enabling technologies. Funds collected from motor vehicles are restricted, by statute, to be used for projects and program activities related to mobile sources that support the objectives of the Clean Fuels Program.

For the Low-VOC Coatings and Automotive Cleaners projects, sufficient funds are available from the Advanced Technology, Outreach and Education Fund (Fund 17). This fund was established as a special revenue fund for revenues received as a result of fines, penalties, and settlements from air pollution violations. These settlement payments by the violators are to be used by the AQMD for research, development, public outreach and education related to advanced technology and to air pollution and its impacts.

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