BOARD MEETING DATE: November 5, 2004
AGENDA NO. 6

Execute Contract for Lubricant and Rust Inhibitor Study

SYNOPSIS:

The U.S. EPA and AQMD are contracting with Institute for Research and Technical Assistance to characterize the emissions inventory of lubricants and rust inhibitors and to conduct eight case studies to demonstrate alternative low-VOC or non-emitting products for metal stampers, machine shops, and rust preventative operations. This action is to enter into a one-year sole source agreement. The $104,986 contract includes an EPA 105 grant award in the amount of $79,986 that the Board recognized and appropriated at the September meeting. AQMD will provide an additional $25,000 in contract dollars.

COMMITTEE:

Administrative, October 8, 2004. Less than a quorum was present for the discussion of this item; those Committee members present communicated their concurrence.

RECOMMENDED ACTION:

Authorize the Chairman to execute a sole-source contract with Institute for Research and Technical Assistance to identify, test, and demonstrate alternative low-VOC or non-emitting lubricants and rust preventatives in an amount not to exceed $104,986.

Barry R. Wallerstein, D.Env.
Executive Officer

Background

On September 3 the Board recognized $79,986 in revenue from the U.S. EPA in Pollution Prevention Grant Funding to characterize the emission inventory for VOC-emitting lubricants and rust inhibitors and identify and test environmentally friendly alternative products. Upon completion of the study, a final report will be prepared with recommendations as to whether a rule will be necessary.

EPA previously sponsored a project with Institute for Research and Technical Assistance to identify, test, and implement alternative lubricants, specifically those that do not rely on chlorinated paraffin additives. The project was not specifically designed to convert companies to low-VOC alternatives. However, in this study, non-emitting lubricants were identified that have proved successful including (1) synthetics and semi-synthetics which are diluted with water and (2) vegetable oils which are diluted with water or are not diluted at all. After learning of these promising results, AQMD prepared a successful joint proposal to U.S. EPA with U.S. EPA’s contractor Institute for Research and Technical Assistance (IRTA) to conduct further work in this area.

Proposal

Staff is proposing that the Board execute a contract with Institute for Research and Technical Assistance to further test alternative lubricants and rust preventatives at metalworking facilities within the South Coast Air Basin. The contract includes an EPA 105 grant award in the amount of $79,986, $54,986 of in-kind funding of personnel services to develop the emission inventory, review, print, and distribute the final report and $25,000 from AQMD contract dollars.

Benefits to AQMD

Project E-6 of AQMD’s Advanced Air Pollution Research Plan calls for a technical assessment to identify low-VOC lubricants to reduce emissions from this source category. Control Measure #CTS-10 in the 2003 AQMP covers industrial coatings and solvent operations. The objective of this control measure is to further assess emission reduction potential from several categories, including lubricants. This study will assist in carrying out the objectives of the Advanced Air Pollution Research Plan and SIP commitment.

Task 1: Assist SCAQMD Staff at Characterizing Emissions Inventory. SCAQMD staff will obtain emissions inventory data from suppliers, company surveys, and internal databases. The contractor will provide supplier lists, assist with developing survey questionnaires for suppliers and companies, and help evaluate and compile survey results. This task is a small component of the overall work the contractor will perform but is important to assure that sufficient data is collected to characterize the emissions inventory and propose rule development strategies.

The contractor shall assist AQMD with preparing an Interim Board Report for the December 2004 Governing Board Meeting including an analysis of the emissions inventory and recommendations of companies for performance testing.

Task 2: Select Companies for Testing. The contractor will identify at least three (3) metal stamping companies, three (3) machine shops, and two (2) companies using rust inhibitors to conduct on-site performance tests. (A single facility with multiple lubricant activities may qualify as multiple facilities if approved by the AQMD.) The contractor will attempt to choose facilities among significantly different processes representative of the majority of the metal industries.

Task 3: Develop Test Protocol and Conduct Performance Testing. The contractor will develop a site specific protocol that will include the methods and methodologies to conduct performance testing at facilities selected to determine the technological feasibility of converting to one or more lower emitting alternatives including dry or near dry machining, vegetable-based ester lubricants, water miscible lubricants, synthetics, or other low emitting lubricant. The contractor will also submit samples of each lowest-VOC lubricant or other lubricants with an unknown VOC content for laboratory analysis by SCAQMD to determine emission reduction, comparative costs, worker exposure implications, and environmental impacts.

Task 4: Progress Meetings. In this ongoing task, the contractor will periodically meet with AQMD staff to present data and discuss the progress of the project. Occasionally, the contractor may be required to participate in meetings with industry association representatives and suppliers.

Task 5: Compile and Analyze Data. This task will involve performing detailed emission reduction, cost, safety and environmental impact analysis to establish the overall feasibility of each alternative proposed for the particular operation.

Task 6: Submission of Final Report. At the conclusion of the study, the contractor will prepare a final report to the AQMD that summarizes the testing, the findings, and the results of the project.

TASK IMPLEMENTATION SCHEDULE
 

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 a sole source award is made under provisions B.2.d.(1) projects involving cost-sharing by multiple sponsors. EPA Region IX recently sponsored a project with IRTA to find replacement alternatives for chlorinated lubricants. EPA committed an additional $79,986 to fund a new contract with IRTA to identify, test, and demonstrate low-VOC or non-emitting lubricants. AQMD is providing an additional $25,000 in funding for contractor services.

Resource Impacts

The total AQMD funding for the work contemplated under this contract will not exceed $104,986 of which $79,986 has been awarded by the U.S. EPA and AQMD will provide an additional $25,000 from the FY 2004-05 Planning, Rule Development and Area Sources Budget, Services and Supplies Major Object, Professional and Special Services account.

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