BOARD MEETING DATE: April 4, 2003
AGENDA NO. 9

Recognize Funding from U.S. EPA and Appropriate Funds to Execute Contract with Port of Long Beach to Retrofit Yard Equipment with Diesel Oxidation Catalysts

SYNOPSIS:

U.S. EPA has allocated funding under Section 103 Grant Funds for the Port of Long Beach to retrofit yard equipment with diesel oxidation catalysts (DOCs). This action is to recognize $75,000 from U.S. EPA upon receipt, appropriate these funds to the FY 2002-03 Budget, and execute a contract with the Port of Long Beach to retrofit up to fifty pieces of diesel yard equipment with DOCs.

COMMITTEE:

Technology, March 28, 2003, Recommended for Approval

RECOMMENDED ACTIONS:

1. Recognize revenue upon receipt of the Section 103 Grant award from U.S. EPA in an amount of $75,000 for a Port of Long Beach project involving the retrofit of yard equipment with diesel oxidation catalysts.
   
   
2. Appropriate $75,000 from the Undesignated Fund Balance to the FY 2002-03 Budget of Science & Technology Advancement, Professional and Special Services account.
   
   
3. Authorize the Executive Officer to execute a contract with Port of Long Beach to retrofit yard equipment with diesel oxidation catalysts in an amount not to exceed $75,000.

Barry R. Wallerstein, D.Env.
Executive Officer

Background

In December 2002, U.S. EPA allocated funding in the amount of $75,000 under Section 103 Grant Funds for the Port of Long Beach. These funds are to support a one-year grant to retrofit diesel yard equipment, such as yard tractors, with diesel oxidation catalysts (DOCs) at the Port of Long Beach. The project is expected to reduce particulate emissions from in-use off-road heavy-duty diesel equipment at the Port. This emission control strategy is also expected to reduce gaseous hydrocarbons, including air toxics, and carbon monoxide emissions from the yard equipment engines.

Diesel emissions in the Port area represent a growing concern facing port authorities, regulators, legislators, and impacted communities. In August 1998, CARB identified particulate matter emitted from diesel engines as a Toxic Air Contaminant. In March 2000, the AQMD reported in its Multiple Air Toxics Exposure Study (MATES-II) that diesel exhaust emissions represented approximately 70% of the cancer risk associated with air pollution. As a significant source of diesel equipment, the Port of Long Beach is under increasing pressure to clean up the ships, vehicles, and other equipment utilizing diesel fuel in the Port area.

Diesel oxidation catalysts (DOCs) are considered a viable emission control technology to reduce particulate emissions from marine terminal equipment. This technology promises to be cost effective and has the greatest potential for general application to reduce emissions from existing off-road diesel equipment at the Port. At this time, no DOCs have been verified by CARB for off-road applications. This project will demonstrate the feasibility of using DOCs on off-road heavy-duty diesel equipment at the Port.

The vehicles selected for retrofit will include diesel-powered equipment, such as yard hostlers, operated by a specific marine terminal at the Port of Long Beach. Vehicle selection will aim to include as many different age classes into the program while meeting the terminal’s operational requirements and maintaining an adequate test fleet for the project. The project will identify up to 50 pieces of yard equipment, such as yard hostlers including but not limited to 175 to 240 horsepower engines, that are suitable for retrofit and can be retained at the marine terminal for a minimum of two years.

The goals of the project are to: 1) reduce particulate emissions from in-use off-road heavy-duty diesel equipment, 2) assess the effectiveness of DOC technologies in reducing pollution over long periods, and 3) quantify the emission reductions achieved from the retrofit program for the DOC.

Proposal

This action is to recognize $75,000 Section 103 grant funds from U.S. EPA upon receipt of the award, appropriate these funds to the FY 2002-03 Budget, and execute a contract with the Port of Long Beach to retrofit up to 50 pieces of yard equipment with DOCs. Upon execution of the contract, the Port of Long Beach will identify DOC manufacturers and solicit bids for participation in the demonstration program. Initial estimates from the retrofit manufacturers include a cost per unit of approximately $1,500, including installation costs. However, actual costs will be determined through the bid process, which will require a fleet survey to determine the retrofit requirements for each selected piece of equipment. The total funding for this project is limited to the $75,000 grant from U.S. EPA.

The Port of Long Beach will be responsible for submitting a progress report including, but not limited to, a description of each vehicle selected for retrofit, hours of operation, and amount of fuel consumed per vehicle over the course of the year. In addition, upon completion of the program, the Port of Long Beach will submit a final report summarizing the results obtained and including recommendations for future applications.

Benefits to AQMD

The successful implementation of this project will result in the reduction of particulate matter emissions associated with diesel engines operated at the Port of Long Beach. The project will also produce concurrent reductions of gaseous hydrocarbons, including air toxics, and carbon monoxide emissions, which is an additional benefit.

Resource Impacts

The total funding for this project at the Port of Long Beach will be limited to the $75,000 grant from U.S. EPA.

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