BOARD MEETING DATE: March 1, 2002
AGENDA NO. 7

Approve Issuance of Program Announcement & Application for FY 2001-02 Lower-Emission School Bus Retrofit Program Funding

SYNOPSIS:

The State’s FY 2001-02 Budget contains $16 million for the Lower-Emission School Bus Program. The AQMD has received $5.31 million for the replacement and $1.77 million for the retrofit components of the program allocated for the South Coast Air Basin. The program announcement for the school bus replacement component of the program was issued on December 21, 2001. The purpose of the proposed program announcement and application is to solicit requests for funding up to a total of $1.77 million to retrofit school buses with particulate traps.

COMMITTEE:

Technology, February 22, 2002, Recommended for Approval

RECOMMENDED ACTION:

Approve issuance of Program Announcement & Application #PA2002-04, for FY 2001-02 Lower-Emission School Bus Retrofit Program in the South Coast Air Basin, in an amount not to exceed $1.77 million from the Lower-Emission School Bus Fund.

Barry R. Wallerstein, D.Env.
Executive Officer

Background

Exhaust emissions from high emitting diesel-fueled school buses are harmful to children and are a key source of public exposure to toxic diesel particulate matter and smog forming pollutants. In the state’s FY 2001-02 Budget, $16 million has been provided for implementation of the Lower-Emission School Bus Program. The AQMD has received $5.31 million for the school bus replacement and $1.77 million for the school bus retrofit components of the program. CARB has recently verified particulate traps from two manufacturers to retrofit a number of engine families. This enables the AQMD to proceed with the implementation of the retrofit component of the State’s Lower-Emission School Bus Program.

Proposal

Total amount of funding for the "Lower-Emission School Bus Replacement Program" in the South Coast Air Basin is $1.77 million. Based on the recent results of the verification process, only post-1993, four stroke engine families verified by CARB may be eligible for funding under this program. Due to the limited availability of verified engine families in the school bus population for the retrofit program, all the eligible buses will be retrofitted if the program is not oversubscribed. Otherwise, funding will be distributed consistent with a new state requirement AB1390 (Firebaugh) discussed below. Subject to AB1390, the following factors will also be considered:

• At least ten percent of the state funds available for this program will be allocated in each county within the jurisdiction of the SCAQMD.
  
   
• Because of the special funding for school bus replacement under the AES Settlement Fund, Jurupa Unified School District will not be eligible for this specific solicitation.

Disproportionate Impact Funding

AB 1390 (Firebaugh) requires for the FY 2001-02 Lower-Emission School Bus Program that at least 50% of the state's funds be spent to reduce pollution or risks from airborne toxics and particulate matter in areas that have the most significant exposure to air pollution or localized air pollution including low income communities or minority communities or both. CARB has issued goals and left the details of how to implement this requirement to each air agency. Staff recommends the following methodology to meet the new requirements, if the program is oversubscribed:

All applications will be evaluated for poverty level, PM exposure, and toxic exposure according to the following criteria:
 

Any applicant qualifying based on both the poverty level and either PM exposure or toxic exposure categories will qualify for disproportionate impact funding. All other applicants not awarded under the disproportionate impact funding will then be awarded starting with buses with the newest eligible engine families verified by CARB.

Staff proposes to issue the attached Program Announcement & Application, for the implementation of the Lower-Emission School Bus Retrofit Program in the South Coast Air Basin for FY 2001-02.

Outreach

In accordance with the AQMD’s consulting and contracting policies, a public notice advertising the Program Announcement & Application and inviting applications will be published in the following publications:
 

Additionally, potential applicants will be notified utilizing the Los Angeles County MTA and Cal Trans Directories of Certified Minority, Women, Disadvantaged and Disabled Veterans Business Enterprises; the Inland Area Opportunity Pages Ethnic/Women Business & Professional Directory; AQMD’s own electronic listing of certified minority vendors; and AQMD Purchasing’s mailing list. Notice of the Program Announcement & Application will be mailed to the Black and Latino Legislative Caucuses and various minority chambers of commerce and business associations; and placed on the Internet at AQMD’s Web site [http://www.aqmd.gov, "Business and Job Opportunities" icon] and AQMD’s bidder’s 24-hour telephone message line (909) 396-2724.

Benefits to AQMD

The successful implementation of the Lower-Emission School Bus Retrofit Program will provide less polluting school transportation for school children, and will reduce public exposure to toxic diesel particulate matter emissions.

The selection methodology for the school bus retrofit awards will maximize the potential emission benefits in low income, high diesel and high PM10 exposure areas, and will enhance the objectives of the Environmental Justice, and Children’s Health initiatives adopted by the Governing Board.

Resource Impacts

The AQMD has received $1.77 million for the Lower-Emission School Bus Retrofit Program from CARB.

Monies received from CARB will be placed in the Lower-Emission School Bus Fund created last year, to be used only for the replacement and retrofit of school buses in the South Coast Air Basin, according to the guidelines adopted by the CARB Board on December 7, 2000.

Attachment

Program Announcement & Application No. PA2002-04 – Lower Emission School Bus Retrofit Program

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