BOARD MEETING DATE: April 1, 2005
AGENDA NO. 19

REPORT:

Legislative Committee

SYNOPSIS:

The Legislative Committee considered agenda items including the following legislation for which the Board will consider approving a position:
 

Bill/Title

Recommended Position

S.131 (Inhofe/Voinovich) Clear Skies Legislation

Oppose

AB 32 (Pavley) Greenhouse Gas Emissions:
California Climate Action Registry

Support

AB 1697 (Pavley) Day Care Centers Licensure:
Location

Support in Concept

SB 44 (Kehoe) General Plans:
Air Quality Element

Support with Amendments

SB 225 (Soto) Carl Moyer Program

Support

SB 250 (Campbell) Vehicular Air Pollution Control:
Hydrogen Fuel

Support

SB 760 (Lowenthal) Ports: Congestion Relief:
Security Enhancement: Environmental Mitigation:
User Fee

Support

SB 761 (Lowenthal) Air Resources:
Marine Terminals

Support with Amendments

SB 762 (Lowenthal) Vehicular Sources:
California Intermodal Port Congestion and Environmental Quality

Support in Concept

SB 763 (Lowenthal) Ports:
Priority Berthing Program

Support with Amendment

SB 764 (Lowenthal) Air Resources:
South Coast Air Quality Management District:
Ports

Support with Amendments

AB 1101 (Oropeza) Air Pollution:
Diesel Magnet Sources

Support in Concept

AB 1220 (Jones) Air Quality:
Portable Equipment Registration

Support

RECOMMENDED ACTION:

Receive and file this report and adopt positions on the bills as specified in this letter.

Beatrice J.S. LaPisto-Kirtley, Chair
Legislative Committee


Attendance [Attachment 1]
The Legislative Committee met on March 11, 2005. Present were Committee Vice-Chair Jane Carney, and Committee Member Gary Ovitt, in attendance via videoconference were Committee Chair Beatrice J.S. LaPisto-Kirtley, and Committee Members Michael Antonovich, Jan Perry, and Roy Wilson.

Federal Report/Update [Attachment 2]
Lynn Jacquez, AQMD federal legislative consultant, reported that she has been working with AQMD staff, Oscar Abarca and Pom Pom Ganguli, regarding AQMD’s 2005 federal legislative agenda. They visited various delegation offices while Mr. Abarca and Mr. Ganguli were in Washington, D.C. presenting AQMD’s legislative agenda. Ms. Jacquez said that the meetings went well and that they received pledges of support and assistance with various issues.

In addition, Ms. Jacquez reported that the Transportation Reauthorization Bill has passed the House floor. She stated that there were a few amendments involving CMAQ which were defeated, and that the bill is essentially the same on the House side as it was the previous year. The Senate mark-up for the bill is scheduled for March 16 in the Environment and Public Works Committee.

Mr. Abarca stated that because the Board had directed staff to aggressively pursue becoming a part of the CMAQ decision making process, staff has met with the Executive Officers of each of the four county transportation commissions and the Executive Director of SCAG. Due to a lack of progress, staff is pursuing a legislative remedy that could result in an amendment to the Transportation Reauthorization Bill that would require that air districts be part of the decision making process to ensure how CMAQ funds will be spent.

Discussion then moved to S. 131, the Clear Skies Act. Mr. Abarca said that S. 131 was currently stalled in the Senate Environment and Public Works Committee, but staff felt that the Committee should take a position on this bill, in case the legislation begins to move forward again. Barbara Baird said that on the House side, a hearing is scheduled in the Energy & Commerce Committee’s Subcommittee on Energy and Air Quality on March 17.

Ms. Baird said that the bill would establish a cap and trade program for NOx, sulfur dioxides, and mercury emitted from power plants. She said that staff has concerns that the bill contains exemptions from basic Clean Air Act requirements for sources covered under the proposed program. It could allow industry sources of NOx and sulfur dioxides to opt into the program. Power plants that would be covered by the program and industrial sources that would opt into the program could be exempted from New Source Review for 20 years after adoption of the Clear Skies Act. This means that power plants and industrial sources would not be required to install Best Available Control Technology or provide offsets for their emissions. Also, industrial sources that would opt into the program would be exempt from the national emissions standards for hazardous air pollutants for industrial boilers and heaters. Staff is also concerned that the Clear Skies Act may preempt state and local agencies from adopting their own more stringent regulations such as New Source Review, Rule 1401 and 1402 to control toxics, RECLAIM, and AQMD’s controls on boilers and heaters.

Ms. Baird added that the State and Territorial Air Pollution Program Administrators and the Association of Local Air Pollution Control Officials (STAPPA-ALAPCO), and a coalition of state attorney generals, including California Attorney General Bill Lockyer, have taken an oppose position on this bill. The bill will not assist in cleaning the air in the Basin, and it may interfere with the AQMD’s stringent program to control pollution. Therefore, Ms. Baird said that staff recommends an Oppose position on this bill.

The Legislative Committee unanimously adopted staff's recommendation to OPPOSE S.131.

Sacramento Report/Update [Attachment 3]
Jared Ficker, AQMD’s Sacramento consultant, reported on AQMD’s four bills (Locomotive Emission Mitigation Fees; Remote Sensing; Railyard Retrofit Equipment; and Joint Resolution). He reported that a number of preliminary briefings and meetings with CARB’s Board, U.S. EPA, and the Governor’s Office have taken place. He reported that CARB’s Board has expressed concerns on issues related to the memorandum of understanding with the railroads.

Chris Micheli, AQMD’s Sacramento consultant, reported that his team, which includes Mr. Ficker, has been meeting with administration officials and legislators in Sacramento to discuss the three railroad bills introduced in the California Legislature (the Joint Resolution was not subject to the same deadline as the other three bills and should be introduced in the upcoming weeks). He expects AQMD’s bills to be heard by legislative committees in April, after the legislators return from their spring recess at the end of March. He reported that Executive Officer Barry Wallerstein as well as the railroad industry briefed 13 legislators who are members of the Bipartisan Group on March 7. This is a group of legislators that meets on a regular basis to substantively study issues.

Allan Lind, AQMD’s Sacramento consultant, reported that since the last committee meeting (March 11, 2005) the California legislature has introduced 2,500 new bills, bringing the total to approximately 2,900 bills. He said that AQMD is tracking approximately 50% more bills than they have done in the past which he attributed to the subject area becoming more controversial. He also said that of the bills tracked by AQMD, some are spot bills, which staff will monitor.

Recommended Positions on Bills [Attachment 4]
Oscar Abarca provided analyses and position recommendations on the following bills. A brief description of each bill is also provided:

AB 32 (Pavley) Greenhouse Gas Emissions: California Climate Action Registry
This bill was passed out of the Assembly Committee on Natural Resources on February 28. It passed by a 6-2 vote and it has been referred to the Assembly Committee on Appropriations.

This bill would expand the responsibilities of the California Action Registry (voluntary program) by specifying the Registry to work in coordination with Cal EPA and the State Energy Resources Conservation and Development Commission (CEC) to adopt procedures and protocols for monitoring, estimating, calculating, and reporting greenhouse gas emissions from specified industrial sectors. The changes resulting from this bill will enhance opportunities to seek funding and better consideration of greenhouse gases by state agencies. AQMD is currently a member of this voluntary program.

Staff recommends a Support position and requests that the Registry re-evaluate third party certification requirements for air quality agencies to reduce costs. Mr. Abarca stated that this may be a spot bill and staff will monitor the progress of this bill as it moves through the legislature.

The Legislative Committee unanimously adopted staff’s recommendation to SUPPORT AB 32.

AB 1697 (Pavley) Day Care Centers Licensure Location
This bill would prohibit the State Department of Social Services, or any licensing agency with which it contracts for licensing, from granting a license to operate a day care center in a facility that is located within 1,000 feet of a state highway, interstate freeway, or industrial site. This bill would exempt previously granted licenses from this prohibition.

This bill would impose similar requirement in the Public Resources Code which requires any school site boundary within 500 feet of the edge of the closest traffic lane of a freeway to analyze air quality and determine that neither short term or long term exposure poses significant health risks to pupils.

This bill would be more stringent by restricting more sensitive receptors from operating within 1,000 feet of freeways. Also, it would be consistent with the Public Resources Code by limiting distance of affected sites to freeway by 500 feet.

Chair Bea LaPisto-Kirtley asked if Early Education Centers (at schools) would be included with this bill. Dr. Wallerstein noted that this bill applies only to new facilities, and not existing facilities.

Chair Bea LaPisto-Kirtley said that Los Angeles Unified would like to build additional schools in the future, and that prior to any recommendation she would prefer to wait and receive their input.

Jane Carney questioned whether 1,000 feet is adequate since information developed by the AQMD shows that the exposure to diesel emissions declines at 1,500 feet. She suggested supporting this bill in concept with the change to 1,500 feet.

Chair Bea LaPisto-Kirtley inquired as to how the term "industrial site" is defined and whether the restriction within 1,000 feet of a state highway was too broad, given that it could include common arterials. Dr. Wallerstein replied that he believed that an industrial site was one zoned for specific purposes, but that staff would inquire with the Assemblywoman’s staff. In addition, Barry Wallerstein said that staff can confer with CARB on whether all state highways would be included, or whether there is a threshold of traffic that would be needed with the highway.

The Legislative Committee unanimously adopted the recommendation to SUPPORT IN CONCEPT AB 1697 and to include the recommendation that 1,000 feet may not be adequate due to recent findings.

SB 44 (Kehoe) General Plans: Air Quality Element
The California League of Cities is working with the author on this bill. This bill would require cities and counties at the time of their update to their Housing element to adopt policies that would demonstrate how the cities or counties would reduce emissions from their development activities. The legislation also provides for cities and counties to either adopt an air quality element to their General Plan or identify policies and programs that would guide other elements of their General Plan. The bill would require each agency within 45 days prior to the adoption of the air quality amendments to the General Plan, to send a copy of their draft document to the air quality management districts for review and comment, within 30 days. If the air districts fail to respond, or provide data to the local jurisdictions, then the entity would be authorized to move forward in adopting air quality element policies into other elements of the General Plans.

Mr. Abarca stated that AQMD is in the process of developing a draft guidance document for local jurisdictions; upon request, AQMD will be prepared to provide assistance to local governments in the South Coast Air Basin.

Dr. Wallerstein also said that Mayor Loveridge has communicated his strong support for this bill. The Mayor believes that this bill is important in terms of meeting future air quality needs.

Staff recommends a Support with Amendment position. The amendments would include: 1) Air districts comment and review period be changed from 30 days to 45 days; 2) Clarification on the kind of information that should be included in the general plan amendments; and 3) CARB and/or districts be required to publish a guidance document describing contents of air quality elements that could fit into the work that the local jurisdictions are required to do.

The Legislative Committee unanimously adopted staff’s recommendation to SUPPORT SB 44 WITH AMENDMENTS.

SB 109 (Ortiz) Air Pollution: Minor Violations: Stationary Sources: Prosecution of Violations
Dr. Wallerstein said that he and other air districts will be meeting with Senator Ortiz to discuss this bill, which is similar to a bill introduced by the Senator last year that AQMD supported with amendments. Staff is seeking support from the committee to proceed with the meeting discussing two concepts with the Senator. The first concept is about the prosecution of air pollution violators. Staff believes that when an AQMD violation occurs where entire schools and hundreds of children are affected by large and inappropriate release of air pollution, AQMD should prosecute for multiple. AQMD would like to seek clarification of the current statute.

The second concept presented by Peter Mieras would provide for a prevailing party provision, in which the prevailing party of a civil penalty complaint case in excess of $50 million would receive attorney’s fees based on the amount demanded as opposed to the amount recovered.

Jane Carney expressed her concern with the prevailing party concept, saying that it was unusual to have a prevailing party provision that is based on the amount demanded as opposed to the amount recovered. She suggested that the amount be linked to the amount recovered.

Peter Mieras replied that whether it was the amount pled or amount recovered, it would be a significant amount, and that staff would like the provision to be reserved for special important air pollution prosecutions.

The Legislative Committee unanimously recommended that this item be continued to the next Committee meeting, and to allow staff to discuss the two concepts with Senator Ortiz.

SB 225 (Soto) Carl Moyer Program
This bill would allow CARB to adjust the cost-effectiveness maximum for awards under the Carl Moyer Program by the California consumer price index in order to keep up with inflation. This bill is sponsored by CAPCOA and is the intended vehicle for providing additional funding for "large emission reduction programs" (LERPs), as well as to make various technical and clarifying changes and corrections to the LERP legislation from 2004.

The Legislative Committee unanimously adopted staff’s recommendation to SUPPORT SB 225.

SB 250 (Campbell) Air Pollution: Vehicular Air Pollution: Hydrogen Fuel
This bill is sponsored by the Governor’s Administration. It would direct CARB to facilitate a steady, sustainable transition to broad-based renewable hydrogen fuel in this state, explore options to streamline the permitting process, and provide guidelines to local permitting agencies for hydrogen fuel codes and standards.

The Legislative Committee unanimously adopted staff’s recommendation to SUPPORT SB 250.

SB 760 (Lowenthal) Ports: Congestion Relief: Security Enhancement: Environmental Mitigation: User Fee
This bill would impose a fee on each shipping container processed in the Port of Los Angeles and the Port of Long Beach. The fee would be $30 per twenty-foot equivalent unit, 1/3 of the revenue would go to the ports to improve port security, 1/3 would go to the California Transportation Commission to alleviate traffic congestion in the port and the remaining 1/3 would go to the South Coast district to mitigate port-related air pollution.

Dr. Wallerstein said that this bill would result in approximately $100 million a year to mitigate pollution in and around the Long Beach and Los Angeles Ports. He further said that the port operation are the only general source that are increasing in emissions while other sources are reducing their emissions. This bill would provide a Carl Moyer Program type of funding to assist the ports to implement their no net increase plan. Staff recommends a Support position, and staff will seek clarification in the bill to ensure that if AQMD administers this program that it receive the customary administrative costs (up to 5%).

The Legislative Committee unanimously adopted staff’s recommendation to SUPPORT SB 760, and to seek clarification of the 5% administrative costs.

SB 761 (Lowenthal) Air Resources: Marine Terminals
This bill would require each marine terminal in the state to operate in a manner that will not cause trucks to idle or queue for more than 30 minutes while waiting to enter the gate into the marine terminal while conducting business there. In addition, this bill would require each terminal to implement a scheduling or appointment system for trucks to enter the terminal, so that it does not cause trucks to exceed a turn time of 60 minutes while conducting business at the marine terminal. There is also a provision in the bill that would require the marine terminals to reimburse local districts for monitoring and enforcement costs. Staff recommends a Support with Amendment position on this bill. The amendment would be to allow exceptions to the turn-around time in instances when law enforcement officials pull vehicles aside for customs or security inspections.

The Legislative Committee unanimously adopted staff’s recommendation to SUPPORT SB 761 WITH AMENDMENTS.

SB 762 (Lowenthal) Vehicular Sources: California Intermodal Port Congestion and Environmental Quality
This bill would create two new commissions, the Los Angeles—Long Beach Area Intermodal Joint Powers Authority and the Oakland Area Intermodal Joint Powers Authority to oversee the functions of the Los Angeles—Long Beach Area Regional Intermodal Port Congestion and Environmental Quality Commission (LAIPC) and the Oakland Area Regional Intermodal Port Congestion and Environmental Quality Commission (OAIPC).

The bill would allow the commissions and the Joint Powers Authority to grant to each motor carrier, a port permit for authority to enter a specific port for pick-up or delivery of intermodal freight for their truck fleet on the basis of a combined score, and determining the number of intermodal trucks needed to efficiently move intermodal freight from marine terminals to the first point of delivery, unloading, or interchange. Port permit fees imposed upon the carriers would fund the commissions. The commission would make a determination as to the number of intermodal truck trips allowed to pass through the ports of Long Beach or Los Angeles on an average daily basis, as well as the number of intermodal trucks needed to efficiently move intermodal freight from marine terminals to the first point of delivery, unloading, or interchange. It would also allow the commissions to ascertain the number of drivers necessary to make at least 3 round trips to and from the port and to develop a system to ensure that they are sufficient number of trucks to met short term or peak demand.

Staff recommends a Support In Concept position in concept on this bill. Dr. Wallerstein stated the bill contains specification of the membership of the commission, which he stated was well balanced because it includes representatives from the City of Los Angeles, City of Long Beach, AQMD, California Trucking Association, the ports, and community groups.

The Legislative Committee unanimously adopted the recommendation to SUPPORT IN CONCEPT SB 762.

SB 763 (Lowenthal) Ports: Priority Berthing Program
This bill will require the Port of Los Angeles and the Port of Long Beach to develop a program to provide priority berthing to ocean-going vessels that use fuel with no more than 0.2% sulfur content. It would require the program to be implemented by the ports by June 1, 2006. Staff recommends a support with amendment position on this bill. The amendment is to add language "that berthing priority should be first for use of 0.2% sulfur fuel in main and auxiliary engines, followed by the use of 0.2% sulfur fuel in auxiliary engines only."

The Legislative Committee unanimously adopted staff’s recommendation to SUPPORT SB 763 WITH AMENDMENTS.

SB 764 (Lowenthal) Air Resources: South Coast Air Quality Management District: Ports
This bill is similar to a bill that the author introduced last year that would establish an air quality baseline for the ports of Los Angeles and Long Beach. The bill would specifically require the ports to develop this baseline to be based on the level of emissions from specified sources.

This bill would also require the ports to hold public hearings on the baseline data and discuss potential mitigation and control measures to reduce emissions from sources at the ports. It would require the respective ports to develop a date for which it will meet their 2001 baseline for each source listed, no later than January 1, 2008. It will require the ports to report to AQMD and CARB regarding the port compliance, as specified.

Staff is recommending a Support with amendments position to encompass emissions from port-related sources as they travel throughout the air basin, e.g., trucks and locomotives, and to drop the CO requirement since South Coast is in compliance with CO health standards.

The Legislative Committee unanimously adopted staff’s recommendation to SUPPORT SB 764 WITH AMENDMENTS

AB 1101 (Oropeza) Air pollution: Diesel Magnet Sources
This bill expressed the legislature’s intent to define diesel magnet sources to include ports, airports, rail yards, distribution centers and intermodal sites, and to establish the time frame for districts to review and, if necessary, revise policies and procedures and for the largest diesel magnet sources to comply with the requirements applicable to traditional stationary sources. This bill would make legislative findings and declarations relating to diesel magnet sources of air pollution. This bill is sponsored by CAPCOA. Staff recommends a Supporting in Concept position on this bill.

The Legislative Committee unanimously adopted staff’s recommendation to SUPPORT AB 1101 IN CONCEPT

AB 1220 (Jones) Air Quality: Portable Equipment Registration
This bill would require CARB to include a uniform statewide district fee schedule for the recovery of actual costs of enforcement of the statewide registration program, emissions limitations, and emissions control requirements. The bill would required districts to approve and submit to CARB the actual costs of enforcement and would require CARB’s Board to adjust its fees to fully reimburse districts for those actual costs, as part of the state’s next billing cycle. It would also permit district boards to require hour meters to be installed to determine engine use and additional notification by operators or engine movement into and within an air district to ensure proper enforcement of the program. This bill is sponsored by CAPCOA. Staff recommends a Support position because it will provide AQMD with the ability to adopt a limited number of enforcement tools and allow for the recovery of enforcement cost associated with this program.

The Legislative Committee unanimously adopted staff’s recommendation to SUPPORT AB 1220

AB 1221 (Jones and Leslie) Air Pollution: State Air Resources Board
This bill will add another member to the CARB from the Sacramento area.

After a brief discussion, the committee members unanimously agreed to table this item, without taking a position.

Status Report on Actions by the South Bay Cities Council of Governments To Impact the Composition of the AQMD Governing Board
Mr. Abarca reported that the South Bay Cities Council of Governments has retained the services of a consultant to generate a consensus between the chapters of the league of cities and the various COGs throughout the 4-county basin to review the composition of the AQMD’s Governing Board. The South Bay Cities COG is interested in securing an additional seat on the board for the western Los Angeles County cities. Jan Perry commented that she has spoken with Suzie Seaman (South Bay Cities Council of Governments Chair) in the past regarding this issue and that she has advised them that she would support their efforts.

Jane Carney said that Riverside and San Bernardino Counties, as downwind counties, have only one seat each on the Governing Board, and the Governing Board would be extremely unbalanced to downwind counties if western Los Angeles County cities gained another seat. Gary Ovitt, Roy Wilson, and Chair Bea La Pisto-Kirtley concurred with Ms. Carney’s comment.

Mr. Abarca said that staff will continue to monitor this matter and report back to the committee.

Other Business: None

Public Comments:
John Billheimer expressed his concern with SB 109 saying that this bill may extend itself to stationary sources, which could result in bounty hunting of small businesses. He suggested that in order to avoid this, SB 109 be suspended during the first three years of a new rule.

Attachments (12,647 KB)

  1. Attendance Roster
  2. Federal Report/Update
  3. Sacramento Report/Update
  4. Recommended Positions on Bills

/ / /