Call To Order

Download the complete agenda here.

• 1. Approve Minutes of November 2, 2018 Board Meeting

  Denise Garzaro

  (909) 396-2500
  

• 2. Set Public Hearings to Consider Adoption of and/or Amendments to SCAQMD Rules and Regulations

  Wayne Nastri

  (909) 396-3131
  

  January 4, 2019:
  

  A. Determine that Proposed Amendments to Rule 1325 – Federal PM2.5 New Source Review Program Are Exempt from CEQA and Amend Rule 1325
  Susan Nakamura, 909-396-3105
  
  Rule 1325 establishes requirements for new and modified sources to ensure compliance with federal PM2.5 New Source Review requirements.  Rule 1325 was amended in 2016 to expand the definition of “precursor” to include VOC and ammonia (NH3) emissions, as required under U.S. EPA’s 2016 implementation rule for PM2.5 State Implementation Plans and a court decision requiring states to regulate PM2.5 under the same part of the Federal Clean Air Act as PM10.  The 2016 amendment expanded the definition of precursor, however, it did not expand the definition of “regulated NSR pollutant” to explicitly reference the PM2.5 precursors VOC and NH3.  Proposed Amended Rule 1325 will address this deficiency by referencing "precursor" in the definition of “regulated NSR pollutant”.  In addition, other revisions are made to improve clarity.  This action is to adopt the Resolution: 1) Determining that the proposed amendments to Rule 1325 - Federal PM2.5 New Source Review Program are exempt from the California Environmental Quality Act, and 2) Amending Rule 1325  – Federal PM2.5 New Source Review Program. (Reviewed: Stationary Source Committee, November 16, 2018)
  
  
  

  February 1, 2019:

  B. Determine that Proposed Amendments to Rule 1403 - Asbestos Emissions from Renovation/Demolition Activities Are Exempt from CEQA and Amend Rule 1403
  Sarah Rees 909-396-2856
  
  Proposed amendments to Rule 1403 will provide revisions to further clarify existing rule requirements, enhance enforceability, and align the requirements with the applicable U.S. EPA NESHAP and with other state and local agency regulations.  The proposed amendments include clarifying who is covered by the rule, standard and emergency notification procedures, specifying information to be included in survey reports, and establishing minimum sampling requirements for determining whether materials are asbestos-containing. This action is to adopt the Resolution: 1) Determining that the proposed amendments to Rule 1403 - Asbestos Emissions from Renovation/Demolition Activities are exempt from the requirements of the California Environmental Quality Act; and 2) Amending Rule 1403 - Asbestos Emissions from Renovation/Demolition Activities.  (Reviewed: Stationary Source Committee, November 16, 2018)

• Budget/Fiscal Impact

  3. Develop and Demonstrate Near-Zero and Zero Emissions Vehicles and Equipment at Ports

  Matt Miyasato

  (909) 396-3249
  The Port of Long Beach and its project partners have received $50,000,000 in funding and the Port of Los Angeles and its project partners have received $41,122,260 under CARB’s Low Carbon Transportation Investments grant solicitation to demonstrate near-zero and zero emissions on-road, off-road and marine vehicles and equipment, including battery electric and hydrogen fuel cell trucks and supporting infrastructure. Total anticipated projects costs are $102,998,742 and $82,547,024 for the Ports of Long Beach and Los Angeles, respectively. This action is to execute contracts from the Clean Fuels Program Fund (31) with the Port of Long Beach in an amount not to exceed $500,000 and the Port of Los Angeles in an amount not to exceed $1,000,000 for SCAQMD’s project cost-share.  (Reviewed: Technology Committee, November 16, 2018; Recommended for Approval)

• 4. Conduct Emissions Study on Use of Alternative Diesel Blends in Off-Road Heavy-Duty Engines and Amend SOON Provision Awards

  Matt Miyasato

  (909) 396-3249
  CARB has committed to adopting a low emission diesel measure in the State Implementation Plan to reduce NOx and particulate matter (PM) emissions from on-road and off-road vehicles. Renewable diesel and biodiesel with NOx-mitigating additives show a potential for reductions up to 13 percent in NOx and 30 percent in PM. CARB is currently contributing $932,499 in a $1,353,499 study by the University of California Riverside (UCR) CE-CERT testing on- and off-road diesel engines on a wide matrix of test fuels. Additional cost-share is proposed for this comprehensive study as follows: SCAQMD, $261,000; U.S. EPA, $150,000; and San Joaquin Valley Air Pollution Control District, $10,000. This action is to execute a contract with UCR CE-CERT in an amount not to exceed $261,000 from the Clean Fuels Program Fund (31). In addition, in November 2017 and September 2018, the Board approved SOON Provision awards. This action is to also amend awards under the SOON Provision. (Reviewed: Technology Committee, November 16, 2018; Recommended for Approval)

• 5. Execute Contract to Conduct Preliminary Cost and Economic Impact Analysis of Proposed Warehouse Indirect Source Rule

  Sarah Rees

  (909) 396-2856
  Following Board direction at the May 2018 Board meeting, staff has begun formal rulemaking on a potential indirect source rule for warehouses. An RFP was released on September 7, 2018 to assist staff in estimating a range of potential costs based on hypothetical rule scenarios and the resultant impacts on freight operation, such as potential cargo diversion from local warehouses to facilities in adjacent regions. This preliminary analysis will be a component of a more comprehensive socioeconomic analysis that will be brought to the Board when it considers this proposed rule for adoption. This action is to execute a contract with Industrial Economics, Incorporated, in an amount not to exceed $200,000, to conduct preliminary cost and economic impact analysis of a proposed warehouse indirect source rule. Funding for this contract is available in the Planning, Rule Development and Area Sources FY 2018-19 Budget. (Reviewed: Mobile Source Committee, November 16, 2018; Recommended for Approval)

• 6. Issue RFP for Engineering Consultant to Assess BARCT for Proposed Rule 1109.1 – NOx Emission Reductions for Refinery Equipment

  Susan Nakamura

  (909) 396-3105
  Staff is seeking an independent third-party consultant with technical expertise and experience with NOx control equipment and emissions control technologies preferably in the refinery field. This action is to issue an RFP to solicit proposals for review of staff’s BARCT technology assessment, estimated emission reductions, and cost-effectiveness for NOx emitting equipment at petroleum refineries to support Proposed Rule 1109.1, in an amount not to exceed $100,000. Sufficient funding is available in the General Fund (AB 617). (Reviewed: Administrative Committee, November 9, 2018; Recommended for Approval)

• 7. Execute Contracts for Legislative Representation in Washington, D.C.

  Derrick Alatorre

  (909) 396-3122
  At the September 7, 2018 meeting, the Board approved release of an RFP to solicit proposals for legislative representation in Washington, D.C. Four proposals were submitted to the Legislative Committee for consideration at its November 9, 2018 meeting. After the Committee interviewed representatives of each firm, three firms were selected for recommendation to the full Board. This action is to execute contracts with Carmen Group, Inc. in the amount of $222,090; Cassidy & Associates, Inc. in the amount of $216,000; and Kadesh & Associates in the amount of $226,400 for the agency’s legislative representation in Washington, D.C. for one year beginning on January 11, 2019, with an option for up to two one-year renewals, upon satisfactory performance, at the Board’s discretion. Funding is available in the Legislative, Public Affairs & Media FY 2018-19 Budget and for the two optional one-year extensions, contingent upon Board approval of the Budget for the respective fiscal years. (Reviewed: Legislative Committee, November 9, 2018; Recommended for Approval)

• 8. Issue RFP for Consultant Services for SCAQMD Environmental Justice Outreach and Initiatives

  Derrick Alatorre

  (909) 396-3122
  This action is to issue an RFP to solicit proposals from individuals and organizations to provide assistance with community and stakeholder outreach efforts related to SCAQMD's Environmental Justice Program, including but not limited to, the Environmental Justice Community Partnership Initiative meetings and conference. (Reviewed: Administrative Committee, November 9, 2018; Recommended for Approval)

• 9. Execute Contract for Operation of Diamond Bar Headquarters Cafeteria

  John Olvera

  (909) 396-2309
  The current contract for operation of the Diamond Bar headquarters cafeteria expires December 31, 2018. On June 1, 2018, the Board approved release of an RFP to solicit proposals from food service management firms interested in providing these services for the next three-year period. This action is to execute a no-cost contract with California Dining Services from January 1, 2019 to December 31, 2021. (Reviewed: Administrative Committee, November 9, 2018; Recommended for Approval)

• 10. Transfer and Appropriate Funds, Recognize Revenue, Approve Positions, Issue Solicitations and Purchase Orders, and Execute Contracts and Agreements for Mid-Year Budget Adjustments, AB 617 Implementation, Volkswagen Mitigation Projects, and China Partnership for Cleaner Shipping; and Amend Salary Resolution

  Jill Whynot

  (909) 396-3104
  Additional resources of $4,436,328 are needed in the FY 2018-19 Budget to enable the implementation of critical projects and programs. In addition, SCAQMD is expected to receive up to $20,000,000 for AB 617 implementation. These actions are to: (1) Appropriate $3,611,776 from the Undesignated (Unassigned) Fund Balance as a budget restoration measure; (2) Appropriate an additional $824,552 from the Undesignated (Unassigned) Fund Balance into the FY 2018-19 General Fund Budget for several key projects; (3) Recognize revenue up to $20,000,000 for AB 617 into the General Fund and appropriate $10,211,076 into the FY 2018-19 and/or 2019-20 General Fund Budgets; (4) Transfer $421,390 from the Volkswagen (VW) Mitigation Fund (79) to the General Fund and appropriate $421,390 for administrative costs into the  FY 2018-19 Budget; (5) Approve the addition, reassignment and upgrade of positions for AB 617, VW Mitigation projects, and  China Partnership for Cleaner Shipping; (6) Issue solicitations and purchase orders and execute contracts for Mid-Year Budget Adjustments, AB 617, VW Mitigation projects, and China Partnership for Cleaner Shipping; (7) Authorize the Executive Officer to enter into a Bailment Agreement with the National Park Service; and (8) Amend the Salary Resolution to revise the Assistant Deputy Executive Officer class title. (Reviewed: Administrative Committee, November 9, 2018; Recommended for Approval)

• Action Item/No Fiscal Impact

  11. Rule and Control Measure Forecast

  Philip Fine

  (909) 396-2239
  This report highlights SCAQMD rulemaking activities and public hearings scheduled for 2019 and AB 617 Expedited BARCT Implementation Schedule. This action is to receive and file the report and adopt the proposed AB 617 BARCT Implementation Rules Schedule. (No Committee Review)

• Items 12 through 17 - Information Only/Receive and File

  12. Legislative, Public Affairs, and Media Report

  Derrick Alatorre

  (909) 396-3122
  This report highlights the October 2018 outreach activities of the Legislative, Public Affairs and Media Office, which includes: Major Events, Community Events/Public Meetings, Environmental Justice Update, Business Assistance, Media Relations and Outreach to Business and Federal, State, and Local Government. (No Committee Review)

• 13. Hearing Board Report

  Julie Prussack

  (909) 396-2822
  This reports the actions taken by the Hearing Board during the period of  October 1 through October 31, 2018. (No Committee Review)

• 14. Civil Filings and Civil Penalties Report

  Bayron Gilchrist

  (909) 396-3459
  This reports the monthly penalties from October 1, 2018 through October 31, 2018, and legal actions filed by the General Counsel's Office from October 1, 2018 through October 31, 2018. An Index of District Rules is attached with the penalty report. (Reviewed: Stationary Source Committee, November 16, 2018)

• 15. Lead Agency Projects and Environmental Documents Received by SCAQMD

  Susan Nakamura

  (909) 396-3105
  This report provides, for the Board's consideration, a listing of CEQA documents received by the SCAQMD between October 1, 2018 and October 31, 2018, and those projects for which the SCAQMD is acting as lead agency pursuant to CEQA. (Reviewed: Mobile Source Committee, November 16, 2018)

• 16. Annual Audited Financial Statements for FY Ended June 30, 2018

  Sujata Jain

  (909) 396-2804
  This item transmits the annual audited financial statements of the SCAQMD. The SCAQMD has received an unmodified opinion (the highest obtainable) on its financial statements.  (Reviewed: Administrative Committee, November 9, 2018)

• 17. Status Report on Major Ongoing and Upcoming Projects for Information Management

  Ron Moskowitz

  (909) 396-3329
  Information Management is responsible for data systems management services in support of all SCAQMD operations. This action is to provide the monthly status report on major automation contracts and planned projects. (Reviewed: Administrative Committee, November 9, 2018)

• 18. Items Deferred from Consent Calendar

  
  

• BOARD CALENDAR

  Note: The November meeting of the Mobile Source Air Pollution Reduction Review Committee (MSRC) was canceled. The next meeting of the MSRC is scheduled for December 20, 2018.

  19. Administrative Committee

  Wayne Nastri

  (909) 396-3131
  Chair: Burke
  (Receive & File)

• 20. Investment Oversight Committee

  Sujata Jain

  (909) 396-2804
  Chair: Cacciotti
  (Receive & File)

• 21. Legislative Committee

  Derrick Alatorre

  (909) 396-3122
  Chair: Mitchell
  

  Receive and file; and take the following actions as recommended:

  
  

  Agenda Item	Recommendation
  Interview Firms and Recommend Execution of Contract(s) for Legislative Representation in Washington, D.C.	Authorize the Chairman to execute contract(s) with Carmen Group, Inc., Cassidy & Associates, Inc., and Kadesh & Associates for legislative representation in Washington, D.C.

• 22. Mobile Source Committee

  Philip Fine

  (909) 396-2239
  Chair: Parker
  (Receive & File)

• 23. Refinery Committee

  Philip Fine

  (909) 396-2239
  Chair: Parker
  (Receive & File)

• 24. Stationary Source Committee

  Laki Tisopulos

  (909) 396-3123
  Chair: Benoit
  (Receive & File)

• 25. Technology Committee

  Matt Miyasato

  (909) 396-3249
  Chair: Buscaino
  (Receive & File)

• 26. California Air Resources Board Monthly Report

  Denise Garzaro

  (909) 396-2500
  Board Rep: Mitchell
  (Receive & File)

• PUBLIC HEARINGS

  27. Certify Final Environmental Assessment and Adopt Rule 1118.1 - Control of Emissions from Non-Refinery Flares

  Susan Nakamura

  (909) 396-3105
  

  Staff is recommending that the public hearing on this item be continued to the January 4, 2019 Board Meeting.

  Proposed Rule 1118.1 applies to RECLAIM and non-RECLAIM facilities that operate non-refinery flares located at landfills, wastewater treatment plants, oil and gas production facilities, organic liquid loading stations, and tank farms. The proposed rule will implement, in part, the 2016 AQMP Control Measure CMB-03 - Emission Reductions from Non-Refinery Flares and facilitate the transition of the NOx RECLAIM program to a command-and-control regulatory structure.  Proposed Rule 1118.1 establishes emission limits for NOx, VOC, and CO for new flares, and a capacity threshold for existing flares. In addition, some new flares at oil and gas production facilities will have additional limitations.  Proposed Rule 1118.1 also establishes provisions for source testing, monitoring, reporting, recordkeeping, and provides exemptions for low-use and low-emitting flares. This action is to adopt the Resolution: 1) Certifying the Final Environmental Assessment for Proposed Rule 1118.1 - Control of Emissions from Non-Refinery Flares, and 2) Adopting Proposed Rule 1118.1 - Control of Emissions from Non-Refinery Flares.  (Reviewed: Stationary Source Committee, October 19, 2018, and To Be Reviewed: December 19, 2018)

• 28. Certify Final Subsequent Environmental Assessment and Amend Rules 1146, 1146.1, 1146.2 and Adopt Rule 1100

  Susan Nakamura

  (909) 396-3105
  The adoption Resolution of the 2016 AQMP directed staff to achieve additional NOx emission reductions and to transition the RECLAIM program to a command-and-control regulatory structure as soon as practicable. Proposed Amended Rules 1146, 1146.1 and 1146.2 updates NOx emission limits for boilers, heaters, and steam generators applicable to these rules. The revised NOx emission limits represent BARCT and apply to RECLAIM and non-RECLAIM facilities.  Proposed Rule 1100 establishes the compliance schedule for equipment at RECLAIM facilities that are subject to Proposed Amended Rules 1146 and 1146.1. PAR 1146.2 includes the compliance schedule for equipment regulated under this rule.  This action is to adopt the Resolution:  1) Certifying the Final Subsequent Environmental Assessment for Proposed Amended Rules 1146 - Emissions of Oxides of Nitrogen from Industrial, Institutional and Commercial Boilers, Steam Generators, and Process Heaters; 1146.1 - Emissions of Oxides of Nitrogen from Small Industrial, Institutional, and Commercial Boilers, Steam Generators, and Process Heaters; 1146.2 - Emissions of Oxides of Nitrogen from Large Water Heaters and Small Boilers and Process Heaters; and Proposed Rule 1100 - Implementation Schedule for NOx Facilities; 2) Amending Rules 1146, 1146.1, and 1146.2; and 3) Adopting Rule 1100.  (Reviewed: Stationary Source Committee, April 20 and October 19, 2018)

• 29. Determine that Proposed Rule 1407.1 – Emissions of Toxic Air Contaminants from Chromium Alloy Melting Operations Is Exempt from CEQA and Adopt Rule 1407.1 (Continued from November 2, 2018 Board Meeting)

  Susan Nakamura

  (909) 396-3105
  

  Staff is recommending that the public hearing on this item be withdrawn from consideration.

  Proposed Rule 1407.1 is an information gathering rule that will require a one-time source test and submittal of information to quantify arsenic, cadmium, chromium, hexavalent chromium and nickel emissions from chromium alloy melting operations. Information obtained will be used to establish emission standards and other provisions. Proposed Rule 1407.1 also includes requirements for metals composition testing, recordkeeping, and reporting. This action is to adopt the Resolution: 1) Determining that Proposed Rule 1407.1 – Toxic Air Contaminants from Chromium Alloy Melting Operations is exempt from the requirements of the California Environmental Quality Act; and 2) Adopting Rule 1407.1 – Toxic Air Contaminants from Chromium Alloy Melting Operations.  (Reviewed: Stationary Source Committee, September 21, and November 16, 2018)
  
  

  CONFLICT OF INTEREST DISCLOSURES – (No Written Material)
  Under the approval authority of the Executive Officer the District will enter into a contract modification with Gladstein, Neandross & Associates (Contract No. C170973) and agreements with the Port of Long Beach (Contract No. C19181) and Southern California Edison (Contract No. C19193). Gladstein, Neandross & Associates, the Port of Long Beach, and Southern California Edison are potential sources of income for Governing Board Member Joseph Lyou which qualify for the remote interest exception of Section 1090 of the California Government Code.  Dr. Lyou abstained from any participation in the making of the contract modification and agreements.