BOARD MEETING DATE: June 6, 2008
AGENDA NO. 15

RECOMMENDED ACTIONS:

1. Adopt a Resolution recognizing and accepting the terms and conditions of the Lower-Emission School Bus Program Award under Proposition 1B in the amount of $70,100,000 and record the funding, upon receipt, in the Proposition 1B Lower-Emission School Bus Program Fund (Fund 82); and
2. Authorize the Chairman to re-allocate San Jacinto School District’s $52,064 CNG fueling infrastructure funds awarded on October 6, 2006 to Hemet Unified School District, to enable Hemet to expand its fueling facility to refuel San Jacinto’s CNG buses based on their mutual agreement.
    

Barry R. Wallerstein, D.Env.
Executive Officer

Background

Proposition 1B Funds

On November 7, 2006, California voters approved Proposition 1B, the Highway Safety, Traffic Reduction, Air Quality, and Port Security Bond Act of 2006. This measure was subsequenty enacted into law as Senate Bill 88 (Stats 2007 Ch 181), which provides $200 million for replacing and retrofitting older and higher emitting school buses.

Senate Bill 88 appropriated these funds:

(a) for the replacement of all pre-1977 model year school buses, and

(b) for allocation of the remaining funds to local and regional air pollution control districts on the basis of the number of 1977 to 1986 model year school buses operating within each Air District. These allocated funds are to be used for the replacement of the old high-polluting buses with new buses, and for the retrofit of older buses with CARB-verified technologies. The implementation and disbursement of these funds will be governed by the Lower-Emission School Bus Program (Program) Guidelines, as approved by the CARB Board on March 27, 2008, and issued on April 15, 2008.
 

San Jacinto and Hemet School District

At its October 6, 2006 meeting, the Board approved awards to buy new CNG school buses and install CNG infrastructure in both San Jacinto and Hemet Unified School Districts. San Jacinto has entered into a contract with Hemet for the latter to manage San Jacinto’s buses, including the fueling of the new CNG buses awarded by the AQMD. San Jacinto has requested that AQMD approve the re-allocation of its $52,064 infrastructure awards to Hemet for the fueling of its buses. This would enable Hemet to expand its CNG fueling infrastructure to refuel San Jacinto’s CNG buses.

Proposal

Proposition 1B Funds

CARB has allocated $70,100,000 to the AQMD for the replacement and retrofit of school buses within the South Coast Air Basin. Staff recommends that the Board approve the attached resolution accepting the terms and conditions of the Lower-Emission School Bus Program award under Proposition 1B in the amount of $70,100,000 and record the funding, upon receipt, in the Proposition 1B Lower-Emission School Bus Program Fund (Fund 82).

Subsequently, upon acceptance of the AQMD’s Lower-Emission School Bus Program Policies and Procedures by CARB, a program announcement will be issued making the Proposition 1B funds available for the replacement and retrofit of school buses.
 

San Jacinto and Hemet School District

Per San Jacinto School District’s request, approve the re-allocation of San Jacinto’s $52,064 CNG fueling infrastructure funds awarded on October 6, 2006 to Hemet Unified School District to enable Hemet to refuel San Jacinto’s CNG school buses.

Benefits to AQMD

The successful implementation of the Lower-Emission School Bus Replacement Program will provide less polluting and safer school transportation for school children, and will reduce public exposure to toxic diesel particulate matter emissions. 
 

Resource Impacts

Up to $70,100,000 will be placed in the Proposition 1B Lower-Emission School Bus Program Fund (Fund 82).

Attachment

Resolution of SCAQMD Board Recognizing and Accepting the Terms and Conditions of the Proposition 1B Lower-Emission School Bus Program Grant Award.
 

RESOLUTION NO. 08-

A Resolution of the South Coast Air Quality Management District Board
Recognizing and Accepting the Terms and Conditions of the
Proposition 1B Lower-Emission School Bus Program Grant Award

WHEREAS, on November 7, 2006, California voters approved Proposition 1B, the Highway Safety, Traffic Reduction, Air Quality, and Port Security Bond Act of 2006, enacted into law as Senate Bill (SB) 88 (Stats 2007 Ch 181), which provides $200 million for replacing and retrofitting older and higher emitting school buses;

WHEREAS, the Legislature appropriated $193 million of these funds to the Air Resources Board (ARB) in the 2007 Budget Act, approved by Governor Schwarzenegger August 24, 2007, for the replacement of all pre-1977 model year school buses and for allocation of the remaining funds to local and regional air pollution control districts (Districts) on the basis of the number of 1977 to 1986 model year school buses operating within each District for the replacement of the oldest high-polluting buses with new buses and for the retrofit of older buses with ARB-verified technologies;

WHEREAS, the grant program is to be administered by the ARB and implemented by the Districts in accordance with the Lower-Emission School Bus Program Guidelines, as approved by the ARB on March 27, 2008, and issued on April 15, 2008;

WHEREAS, based upon the direction in SB88, the ARB has apportioned $70,100,000 of the Lower-Emission School Bus Program Funds to the SCAQMD through a grant award of Proposition 1B funds for the 2007-08 fiscal year funding cycle to implement the Program within the District;

THEREFORE, BE IT RESOLVED, that the SCAQMD affirms its continued participation in the Lower-Emission School Bus Program and accepts the grant award of Proposition 1B funds to implement the Program in the District.
BE IT FURTHER RESOLVED, that the SCAQMD commits to follow all Program requirements, including those set forth in the 2008 Lower-Emission School Bus Program Guidelines;

BE IT FURTHER RESOLVED, that the SCAQMD Board hereby authorizes and directs the Executive Officer to implement the District's local Program in cooperation with eligible parties.

BE IT FURTHER RESOLVED, that the SCAQMD Board hereby authorizes the Executive Officer to execute on behalf of the SCAQMD a grant agreement with the ARB, and all other necessary documents to implement and carry out the purposes of this resolution.

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                   Date                          Clerk of the Board