BOARD MEETING DATE: April 4, 2008
AGENDA NO. 6
PROPOSAL:
Approve Resolution Authorizing Executive Officer to Enter into a Grant Agreement with CARB for Proposition 1B Goods Movement Emission Reduction Program
SYNOPSIS:
In November 2006, voters approved $1 billion in bond funding under Proposition 1B to implement programs that reduce emissions from the movement of freight or “goods” along California’s trade corridors. In February 2008, CARB’s Board approved the Goods Movement Emission Reduction Program under Proposition 1B and awarded $25 million out of $250 million budgeted in Fiscal Year 2007-08 for “Early Grant” projects. The remaining $225 million will be awarded in May 2008 after CARB has reviewed applications from local public agencies that are due by April 4, 2008. As required by the program’s guideline, a resolution must be approved by the Board authorizing the AQMD to enter into a grant agreement with CARB, accept funds, and provide any matching funds under the fiduciary control of the AQMD.
COMMITTEE:
Technology, March 21, 2008. Less than a quorum was present for the discussion of this item; the Chair communicated their concurrence and recommendation that this item be forwarded for Board consideration with no approval or disapproval recommendation from the Committee.
RECOMMENDED ACTION:
Approve the attached resolution that authorizes the Executive Officer to enter into a grant agreement with CARB, accept funds, and provide any matching funds under the fiduciary control of the AQMD for the Prop 1B Program projects.
Barry R. Wallerstein, D.Env.
Executive Officer
Background
The Goods Movement Emission Reduction Program is a $1 billion bond program funded by Proposition 1B that was approved by voters in November 2006. This is a new incentive program designed to reduce diesel emissions and public health risks from “goods” movement along California’s trade corridors. The program will provide financial incentives to upgrade vehicles and equipment used in goods movement to cleaner technologies.
In February 2008, CARB’s Board approved the Proposition 1B Program guidelines and awarded $25 million out of $250 million budgeted in FY 2007-08 for the “Early Grant” projects. The remaining $225 million will be awarded in May 2008 after CARB has reviewed applications from local public agencies that are due by April 4, 2008. As part of the application package, the program guidelines require a resolution approved by the Governing Board that authorizes the AQMD to enter into a local agency grant agreement with CARB, accept funds, and provide any matching funds. The resolution shall also identify an authority to approve a competitively ranked equipment project list and a backup list of eligible equipment projects, and to execute a contract between the AQMD and equipment owner. Staff will seek Board approval of projects to be implemented under this program at a later date.
Proposal
Staff recommends that the Board approve the attached resolution authorizing the Executive Officer to enter into a grant agreement with CARB, accept funds, and provide any matching funds under the fiduciary control of the AQMD for the Goods Movement Emission Reduction Program projects.
Outreach
CARB released a Staff Draft Concepts for Implementation paper on September 17, 2007 to share their ideas and thoughts on how to implement the Goods Movement Emission Reduction Program and to begin the public discussion. In October 2007, CARB held five public workshops around the State to educate the public on the program and garner suggestions on improving the program implementation.
The AQMD has disseminated information about the Goods Movement Emission Reduction Program through several workshops for other related incentive programs such as Carl Moyer Programs and Carl Moyer Fleet Modernization Program. Furthermore, the AQMD is scheduled to hold a community meeting on March 25, 2008 to solicit public input on the source categories and equipment project options to be included in the AQMD’s project application. The AQMD has also worked closely with the Ports of Los Angeles and Long Beach, California Trucking Association and California Dump Truck Owners Association in soliciting applications for the program, and retained the services of TIAX LLC, Gladstein, Neandross & Associates, and Clean Fuel Connections/Sol Source Energy as consultants in soliciting potential applicants.
Benefits to AQMD
The successful implementation of the proposed projects will reduce NOx and PM emissions in a cost-effective and expeditious manner to meet the AQMD’s clean air goals. The vehicles funded under this program will operate many years and will provide long-term emission reductions.
Attachment
Resolution of the South Coast Air Quality Management District Board Recognizing and Approving Authorities for FY 2007-2008 Goods Movement Emission Reduction Program (Prop 1B Program) Projects
RESOLUTION NO.
A Resolution of the South Coast Air Quality Management District Board Recognizing and Approving Authorities for FY 2007-2008 Goods Movement Emission Reduction Program (Prop 1B Program) Projects
WHEREAS, under Health & Safety Code §40400 et seq. the South Coast Air Quality Management District (AQMD) is the local agency with the primary responsibility for the development, implementation, monitoring and enforcement of air pollution control strategies, clean fuels programs and motor vehicle use reduction measures; and
WHEREAS, the AQMD is authorized by Health & Safety Code §§40402, 40440, and 40448.5 to implement programs to reduce transportation emissions, including programs to encourage the use of alternative fuels and low-emission vehicles; to develop and implement other strategies and measures to reduce air contaminants and achieve the state and federal air quality standards; and
WHEREAS, the Board has adopted several programs to reduce emissions from on-road and off-road vehicles, as well as emissions from other equipment, including the School Bus Incentive Program and the Carl Moyer Program; and
WHEREAS, the South Coast Air Quality Management District is designated as an extreme non-attainment area for ozone and as such is required to utilize all feasible means to meet national ambient air quality standards.
THEREFORE, BE IT RESOLVED that the Board of the South Coast Air Quality Management District, State of California, in regular session assembled on April 4, 2008, does hereby authorize the Executive Officer to enter into a grant agreement with CARB, accept funds, and provide any matching funds under the fiduciary control of the AQMD for the Goods Movement Emission Reduction Program (Prop 1B Program).
BE IT FURTHER RESOLVED that the approval of a competitively ranked projects list indicating the equipment projects selected for funding and a backup list of eligible equipment projects for the Prop 1B Program shall be approved by the Governing Board and contracts between the AQMD and equipment owners executed by the Chairman.
________________________ __________________________
Date Clerk of the Board