BOARD MEETING DATE: November 2, 2007
AGENDA NO. 29

REPORT: 

Stationary Source Committee

SYNOPSIS:

The Stationary Source Committee met Friday, October 26, 2007. Following is a summary of that meeting. The next meeting will be November 16, at 10:30 a.m., in Conference Room CC8.

RECOMMENDED ACTION:

Receive and file.

Dennis Yates, Chair
Stationary Source Committee

Attendance

The meeting began at 10:30 a.m. Present were Dennis Yates, Dr. Joseph Lyou and Jane Carney. Absent were Ron Loveridge and Gary Ovitt.

INFORMATIONAL ITEMS

1. Update on Gregg Industries Monitoring and Compliance Activities

Carol Coy, Deputy Executive Officer for Engineering and Compliance, delivered an update on the compliance situation at Gregg Industries, a sand and mold iron casting manufacturer in El Monte, that has been the subject of ongoing odor complaints. She reported that a total of nine complaints had been received to date in October including one that morning. For the eight previous complaints, at times, inspectors were able to detect foundry-like odors immediately downwind of the facility, but not with complainants at their residences. In addition, during October enforcement inspectors conducted eight off-hours odor surveillances in the neighborhood downwind of Gregg. Peter Mieras, District Prosecutor, then gave an update on ongoing settlement negotiations. Significant discussion ensued when Chairman Yates stated his preference that the AQMD hire the proposed required consultant to survey and evaluate Gregg’s operation for odor generating activities and recommend engineering solutions. Both Ms. Carney and Dr. Lyou echoed this preference. After discussion regarding concerns about assuming the facility’s compliance obligation and liability, Committee Members requested instead that the AQMD craft and include in the Settlement Agreement, an enforceable, detailed outline for the scope of the consultant’s required work; that the District have the right to refuse the consultant proposed by Gregg; and that community members be given the opportunity to review and comment on the Settlement Agreement before it is finalized. The Committee also heard from a number of community complainants including Mr. Joe Blackburn, who requested information on the content of the odor emissions; Ms. Irma Munoz, who expressed concern about the odors, but requests AQMD continue to work with the company to solve the problem and assure jobs are preserved; Ms. Kelly Andrews who requested clarification on the status of the HRA (and was told AQMD notified Gregg Industries on October 5 that their submittal was incomplete and required additional information be submitted within 60 days); Mr. Ruben Castellanos who expressed continuing concern about Gregg; and, Ms. Maria Rosario Valdez who urged continued work to fix the problem and stated her daughter works near Gregg and felt the odor situation had improved. Lastly, Mr. Joseph Hower, an ENVIRON consultant for the company, stated the revised HRA risk would likely decline with the AQMD-requested additional information and discussed lifetime cancer and childhood cancer risk comparisons. Dr. Lyou expressed disagreement that these two measures are comparable. Committee Members requested the next Committee briefing on Gregg be scheduled when reportable progress has been made.

2. Toxic Management Working Group Update

Susan Nakamura, Planning and Rules Manager, provided an update of the Air Toxics Management Working Group.  This Working Group was established after the adoption of Rule 1401.1 to address different approaches for regulating air toxics.  The four types of approaches that have traditionally been used in air toxic regulatory programs include:  emissions-based; health-risk based, technology-based and pollution prevention.  Staff discussed the merits and limitations will all four of these approaches, highlighting the various perspectives from environmental community representatives, business representatives, and the AQMD staff.  In addition, through the Working Group the issue of cumulative impacts was discussed.  AQMD staff will continue to pursue approaches and tools for addressing cumulative impacts.  Staff explained that there will be an upcoming opportunity to enhance the AQMD toxics programs through the Update to the Air Toxics Control Plan.

Dr. Lyou commented that there are examples of all the strategies:  technology-based, emissions-based, risk assessment, and pollution prevention, that we have already done.  None of the four approaches to toxics rulemaking is completely unprecedented.  There are examples of each category.  For example, the dry cleaning rule was more pollution prevention and technology-based even though it had an element of risk assessment.  Using all the strategies gives a broader perspective to rulemaking than any single approach.  In addition, the federal government uses a technology-based approach to toxics in their MACT standards.  He was wondering why he did not hear more about MACT standards and Elaine Chang, Deputy Executive Officer for Planning, Rules and Area Sources, told him that was because they were not stringent enough for the South Coast.  Most of our rules are more stringent than the MACT standards.  He was glad to know that the AQMD’s rules were at least as stringent, if not more so, than the federal MACTs.

Dr. Lyou also had a question regarding balancing costs because it was his understanding that economic considerations were not a criteria for toxics rules.  Ms. Nakamura responded that the AQMD does not conduct a cost-effectiveness analysis for toxics rules.  However, implementation of toxic rules considers affordability.  Mayor Yates commented that it is necessary to consider the impacts of environmental requirements on industry, especially small businesses.

3. Update on Proposed Amended Rule 1110.2 – Emissions from Gaseous- and Liquid-Fueled Engines

Elaine Chang provided an update on the status of Proposed Amended Rule 1110.2 regarding stationary engines. Staff has responded to comments by including a technology assessment of the biogas emission limits into the rule, adjusting compliance schedules, adding exemptions for overhauls and initial commissioning, and revising the requirements for inspection and maintenance and reporting. Representatives of the Los Angeles County Sanitation Districts, Eastern Municipal Water District, and California Integrated Waste Management Board still have concerns about the possible impacts of the future biogas emission limits. Orange County Sanitation District also raised concern on the 10% natural gas blend limitation for their digester gas during high storm water season. The Engine Manufacturers Association representative said their primary concern is that new engine generators will not be able to meet the CARB 2007 distributed generation standards subject to the new rule. Staff will continue to work with stakeholders to resolve the remaining issues.

4. Update on AB32 and the District’s Role in Mandatory Reporting

Jill Whynot, Director, Strategic Initiatives, suggested this item be waived due to time constraints.

5. Issue RFP to Conduct Research Study and Demonstrate Feasibility on Control Technologies to Reduce PM2.5 and Ultrafine Particulate Emissions from Natural Gas-Fired Power Plants

This item was approved by the Committee.

WRITTEN REPORTS

All written reports were acknowledged by the Committee.

The meeting was adjourned at 12:05 p.m.

Attachment (DOC 59kb)
October 26, 2007 Committee Agenda (without its attachments)