BOARD MEETING DATE: May 5, 2006
AGENDA NO. 2

Set Public Hearings June 2, 2006 to Consider Amendments and/or Adoption to AQMD Rules and Regulations to:

1. Amend Regulation III – Fees.  Staff has prepared two options for Board consideration to amend Regulation III - Fees for FY 2006-07. Both options incorporate proposals to better recover program costs and changes to better clarify or correct existing language.  Both options also include new Rule 313, which is proposed to consolidate administrative fiscal activities such as late surcharges, penalties and Fee Review Committee activities.  Option 1 includes an increase in fees reflecting the 2005 California Consumer Price Index (CPI) increase of 3.65 percent for most fee categories for FY 2006-07.  Furthermore, in order to better recover program costs, Permit Processing Fees, Annual Operating Permit Renewal Fees and Annual Operating Emission Fees are proposed to be increased by an additional increment above the CPI, resulting in a total increase of 10 percent for each of the next three years through FY 2008-09. Option 2 proposes to increase all AQMD related fees by CPI for only FY 2006-07.  (Review: Stationary Source Committee, April 28, 2006 and Administrative Committee, May 12, 2006)
    
2. Amend Rule 1113 - Architectural Coatings.  The proposed amendment to Rule 1113 – Architectural Coatings has been developed to implement the recommendation of the most recent technology assessment for this rule.  The proposed rule will reduce the VOC limits for specific coating categories, establish a separate category for high gloss nonflat coatings, set interim and postpone the final limits for high gloss nonflats, quick-dry enamels, and specialty primers, provide a limited exemption for Tertiary-Butyl Acetate from the VOC definition, and include other minor modifications to improve clarity and enforceability of the rule.  (Review: Stationary Source Committee, April 28, 2006)
    
3. Amend Rule 1157 - PM10 Emission Reductions from Aggregate and Related Operations.  The proposed amendment simplifies and streamlines the implementation of the high wind exemption provision in accordance with a settlement agreement reached last year with the industry. The proposed amendment specifies the additional dust control strategies that an aggregate facility must implement in order to qualify for the exemption. (Review:  Stationary Source Committee, April 28, 2006)
    
4. Amend Rule 1171 - Solvent Cleaning Operations.  The proposed amendment will delay by one year the compliance date for the use of low-VOC clean-up solvents on ink application equipment used in lithographic/letterpress printing (except newspaper), screen printing and ultraviolet/electron beam inks. The new compliance date is July 1, 2007.  Additional time is necessary to allow further testing and industry transition to new cleaning materials. However, staff proposes to implement the 100 gram per liter VOC limit for clean-up solvents for ink application equipment used in newspaper printing starting July 1, 2006 and allow the use of cleaners with 650 g/l of VOCs for automatic roller and blanket systems (lithographic printing) until June 30, 2007.  The Board will also make infeasibility findings for the extended compliance date.  (Review: Stationary Source Committee, April 28, 2006)
    
5. Adopt Proposed Rule 223 - Emission Reduction Permits for Large Confined Animal Facilities.  Proposed Rule 223 establishes permitting and other requirements for large confined animal facilities, as defined by CARB, in California Health and Safety Code as a result of the enactment of Senate Bill 700.  The permit for large confined animal facilities must include a plan to reduce emissions to the maximum extent feasible and the plan is to be updated annually.  (Review: Stationary Source Committee, March 31, 2006)

The complete text of the proposed amendments, staff reports, and other supporting documents are available from the District’s Public Information Center, (909) 396-2550 and on the Internet (http://www.aqmd.gov/).

RECOMMENDED ACTION:

Set Public Hearings June 2, 2006 to amend Regulation III and Rules 1113, 1157 and 1171, and adopt Proposed Rule 223.

Barry R. Wallerstein, D.Env.
Executive Officer

Attachments

Amend Regulation III – Fees (EXE 1.5mb)

Amend Rule 1113 - Architectural Coatings (EXE 321kb)

Amend Rule 1157 - PM10 Emission Reductions from Aggregate and Related Operations (EXE 119kb)

Amend Rule 1171 - Solvent Cleaning Operations (EXE 127 kb)

Adopt Proposed Rule 223 - Emission Reduction Permits for Large Confined Animal Facilities (EXE 166kb)