A meeting of the South Coast Air Quality Management District Board will be held at 9:00 a.m., in the Auditorium at AQMD Headquarters, 21865 Copley Drive, Diamond Bar, California. Most agenda items and attachments are described in a “Board Letter” which may be accessed by clicking the appropriate link below. Unless otherwise noted, all agenda items are in .pdf format.

The agenda and documents in the agenda packet will be made available upon request in appropriate alternative formats to assist persons with a disability. Disability-related accommodations will also be made available to allow participation in the Board meeting. Any accommodations must be requested as soon as practicable. Requests will be accommodated to the extent feasible. Please telephone the Clerk of the Boards Office at (909) 396-2500 from 7:00 a.m. to 5:30 p.m. Tuesday through Friday.

All documents (i) constituting non-exempt public records, (ii) relating to an item on the agenda, and (iii) having been distributed to at least a majority of the Governing Board after the agenda is posted, are available prior to the meeting for public review at the South Coast Air Quality Management District Clerk of the Board’s Office, 21865 Copley Drive, Diamond Bar, CA 91765.

CALL TO ORDER

Pledge of Allegiance

Swearing In of Reappointed Board Member Michael D. Antonovich, Burke

Video Presentation: “State of the Air 2011”, Burke

Opening Comments:

• William A. Burke, Ed.D., Chair
• Other Board Members
• Barry R. Wallerstein, D. Env., Executive Officer

This agenda is also available in .PDF format. (PDF, 30.2mb)

Note: Consent Calendar items held for discussion will be moved to Item No. 16.

1. Approve Minutes of December 3, 2010 Board Meeting and Minutes of December 7, 2010 Special Board Meeting (PDF, 101kb)
   McDaniel (909)396-2500
   (smcdaniel@aqmd.gov)
   
   
2. Set Public Hearings February 4, 2011 (PDF, 321kb)
   Wallerstein (909) 396-3131
   (bwallerstein@aqmd.gov)
   
   
   1. Receive Public Input on Executive Officer’s Priority Goals for FY 2011-12 (PDF, 74k)
      Wallerstein (909) 396-3131
      (bwallerstein@aqmd.gov)
      A set of priority goals for the FY 2011-12 Budget has been developed. The Executive Officer wishes to receive public and Board Member input on these priority goals as they serve as the foundation of AQMD’s Work Program.
      
      
   2. Amend Rule 1150.1 - Control of Gaseous Emissions from Municipal Solid Waste Landfills
      Tisopulos (909) 396-3123
      (ltisopulos@aqmd.gov)
      The proposed amendments will incorporate provisions to make the rule consistent with a CARB state-wide rule for landfills, add NESHAP requirements which are already in effect, make minor corrections for clarity and amendments to reduce recordkeeping and reporting requirements to multiple agencies. (Reviewed: Stationary Source Committee, July 23, 2010)
      
      
   3. Amend Rule 317 – Clean Air Act Non-Attainment Fees (PDF, 233k)
      Tisopulos (909) 396-3123
      (ltisopulos@aqmd.gov)
      Sections 182 and 185 of the Clean Air Act, as amended in 1990, require major stationary sources of NOx and VOC located in air basins that do not attain the federal one-hour ozone standard by the statutory deadline pay mitigation fees based upon a prescribed formula each year until attainment is demonstrated.  The proposed amended rule obviates the need for a fee payment from major stationary sources by utilizing a fee equivalent approach as provided in Section 172 (e) of the Act.  The fee equivalent approach recognizes funding from programs that are surplus to the SIP and provide for air quality improvement projects in the SCAQMD.  Proposed Amended Rule 317 satisfies the Clean Air Act requirements and replaces  2007 AQMP Control Measure MCS-08, 1997 AQMP FSS-04, and 1994 AQMP CTY-10.  (Review: Stationary Source Committee, January 21, 2011)
      
      

Budget/Fiscal Impact

3. Adopt Resolution and Recognize Funds from California Department of Transportation (PDF, 13kb)
   Liu (909) 396-2105
   (cliu@aqmd.gov)
   In October 2010, the AQMD received a $1,799,612 award from the California Department of Transportation (Caltrans) to replace existing heavy-duty diesel trucks with new heavy-duty natural gas trucks. This action is to adopt a resolution which recognizes $1,799,612 from Caltrans and identifies the AQMD official authorized to execute the grant agreement with Caltrans. (Reviewed: Administrative Committee, December 10, 2010; Recommended for Approval)
   
   
4. Execute Contract to Install and Maintain Air Filtration Systems in Wilmington Area Schools (PDF, 54kb)
   Liu (909) 396-2105
   (cliu@aqmd.gov)
   In December 2009, the AQMD entered into a Memorandum of Agreement with the City of Los Angeles and the TraPac Appellants for the installation of air filtration technologies in Wilmington schools. IQAir was judged the only technically qualified responder to a subsequent RFP. However, since only two proposals were received, staff was directed to assess additional technologies and vendors, accomplished through a Program Opportunity Notice soliciting submissions for testing at UCR CE-CERT. IQAir’s technologies were the only ones that met the specified performance standards. This action is to execute a contract with IQAir North America in an amount not to exceed $5.4 million from the TraPac Air Filtration Special Revenue Fund for the installation and maintenance of high-performance air filtration technologies and HVAC systems principally in Wilmington area schools. (Reviewed: Administrative Committee, December 10, 2010; Recommended for Approval)
   
   
5. Recognize Funds and Approve Issuance of Program Announcement for FY 2008-09 “Year 2” Proposition 1B-Goods Movement Program (PDF, 593kb)
   Liu (909) 396-2105
     (cliu@aqmd.gov)
   On June 24, 2010, CARB allocated $110 million to AQMD under the FY 2008-09 “Year 2” Proposition 1B-Goods Movement Program for implementation of projects in the Los Angeles/Inland Empire trade corridor. These actions are to recognize up to $110 million under the Proposition 1B-Goods Movement Program and to approve the release of a Program Announcement to solicit projects in the funding category of ships at berth and cargo handling equipment in an amount not to exceed $61.3 million from the FY 2008-09 Proposition 1B-Goods Movement Program funds. (No Committee Review)
   
   
6. Appropriate Funds for Purchase of One Gas Chromatograph/Mass Spectrometer/Flame Ionization Detector and Authorize Purchase of Gas Chromatograph/Mass Spectrometer/Flame Ionization Detector System (PDF, 10kb)
   Liu (909) 396-2105
     (cliu@aqmd.gov)
   AQMD lab currently has two Gas Chromatograph/Mass Spectrometer/Flame Ionization Detector (GC/MS/FID) systems to process VOC samples generated under Rules 1113, 1168, 1171, and other Reg XI VOC rules. The numbers of samples generated under these enforcement actions exceeded the working capacity of these two GC/MS/FID systems. This action is to appropriate funds from the Undesignated Fund balance to the FY 2010-11 Science & Technology Advancement Budget, Capital Outlays Account, for the purchase of one additional GC/MS/FID and authorize the purchase of the GC/MS/FID from Agilent Technologies, Inc. (Reviewed: Administrative Committee, December 10, 2010; Recommended for Approval)
   
   
7. Revise Procurement Policy and Procedure (PDF, 75kb)
   O’Kelly (909) 396-2828
   (mokelly@aqmd.gov)
   This action is to revise the AQMD’s Procurement Policy and Procedure to adopt procedures for the review and disposition of protests from bidders or prospective bidders. (Reviewed: Administrative Committee, December 10, 2010; Recommended for Approval)
   
   
8. Amend Administrative Code to Include Policy for Distribution of Tickets to Officials and Employees (PDF, 18kb)
   Wiese (909) 396-3460
   (kwiese@aqmd.gov)
   The California Fair Political Practices Commission (FPPC) recently adopted regulations requiring that any distribution of tickets by an agency to its officials or employees who attend an event for the purpose of performing a ceremonial role or duty be made in accordance with a board-adopted policy that states a public purpose to be accomplished by the ticket distribution. The regulation also requires the agency to post information relating to such distribution on its website, on a form approved by the FPPC. This action is to amend the Administrative Code to include a Ticket Policy. (Reviewed: Administrative Committee, December 10, 2010; Recommended for Approval)
   
   
   Items 9 through 15 -- Information Only/Receive and File
   
   
   
9. Legislative & Public Affairs Report (PDF, 32kb)
   Abarca (909) 396-3242
   (oabarca@aqmd.gov)
   This report highlights the November 2010 outreach activities of Legislative & Public Affairs, which include Environmental Justice Update, Community Events/Public Meetings, Business Assistance, and Outreach to Business and Federal, State and Local Government. (No Committee Review)
   
   
10. Hearing Board Report (PDF, 52kb)
    Camarena (909) 396-2500
    (ecamarena@aqmd.gov)
    This reports the action taken by the Hearing Board during the period of November 1 through November 30, 2010. (No Committee Review)
    
    
11. Civil Filings and Civil Penalties Report (PDF, 45kb)
    Wiese (909) 396-3460
      (kwiese@aqmd.gov)
    This reports the monthly penalties from October 1 through October 31, 2010, and legal actions filed by the District Prosecutor during November 1 through November 30, 2010. An Index of District Rules is attached with the penalty report. (No Committee Review)
    
    
12. Rule and Control Measure Forecast (PDF, 95kb)
    Chang (909) 396-3186
      (echang@aqmd.gov)
    This report highlights AQMD rulemaking activity and public workshops potentially scheduled for the year 2011. (No Committee Review)
    
    
13. Lead Agency Projects and Environmental Documents Received by AQMD (PDF, 285kb)
    Chang (909) 396-3186
      (echang@aqmd.gov)
    This report provides, for the Board's consideration, a listing of CEQA documents received by the AQMD between November 1, 2010 and November 30, 2010, and those projects for which the AQMD is acting as lead agency pursuant to CEQA. (No Committee Review)
    
    
14. Report of RFPs and RFQs Scheduled for Release in January (PDF, 12kb)
    O’Kelly (909) 396-2828
      (mokelly@aqmd.gov)
    This report summarizes the RFPs and RFQs for budgeted services over $75,000 scheduled to be released for advertisement for the month of January. (Reviewed: Administrative Committee, December 10, 2010; Recommended for Approval)
    
    
15. Report on Major Projects for Information Management Scheduled to Start During Last Six Months of FY 2010-11 (PDF, 13kb)
    Marlia (909) 396-3148
      (cmarlia@aqmd.gov)
    Information Management is responsible for data systems management services in support of all AQMD operations. This action is to report on major automation contracts and projects to be initiated by Information Management during the last six months of FY 2010-11. (Reviewed: Administrative Committee, December 10, 2010)
    
    
16. Items Deferred from Consent Calendar
    
    
    BOARD CALENDAR

    Note: The regular meeting of the MSRC and Legislative Committee were canceled. The Mobile Source, Stationary Source, and Technology Committees did not meet in December. The next MSRC meeting is scheduled for January 20, 2011; the next meeting of the Legislative Committee is scheduled for January 14, 2011; and the next meetings of the Mobile Source, Stationary Source, and Technology Committees are scheduled for January 21, 2011.
    
    

17. Administrative Committee (PDF, 40kb)
    Wallerstein (909) 396-3131
    (bwallerstein@aqmd.gov)
    Chair: Burke
    (Receive & File)
    
    
18. California Air Resources Board Monthly Report (PDF, 76k)
    McDaniel (909) 396-2500
    (smcdaniel@aqmd.gov)
    Board Rep: Loveridge
    (Receive & File)
    
    
19. Response to U.S. EPA’s Proposed Partial Approval and Partial Disapproval of 2007 Air Quality Management Plan PM2.5 Plan (PDF, 108kb)
    Chang (909) 396-3186
    (echang@aqmd.gov)
    On November 22, 2010, U.S. EPA published its notice of proposed partial approval and partial disapproval of the 2007 Air Quality Management Plan (AQMP) PM2.5 Plan. The proposed disapproval is primarily because the attainment demonstration relies heavily on emissions reductions from several State rules that have not been finalized or submitted to U.S. EPA for approval. Also cited was U.S. EPA’s refusal to accept assignment for implementation of a proposed emission reduction measure. The impact of the disapproval will automatically cause denial of the AQMD’s request for an extension of the attainment date until 2015, and void the Reasonably Available Control chonolgy SIP, conformity budget and Reasonable Further Progress demonstration. Staff is working with U.S. EPA and CARB to resolve these issues. This response to comments lays out staff's response to address issues raised by U.S. EPA. Comments are due to U.S. EPA by January 21, 2011. This item is to seek Board direction on AQMD’s comments to U.S. EPA regarding the proposed partial approval and partial disapproval of the 2007 AQMP PM2.5 Plan.
    
    PUBLIC HEARINGS
    
    
20. Adopt Proposed Rule 1315 – Federal New Source Review Tracking System (PDF, 28.6mb)
    Nazemi (909) 396-2662
    (mnazemi1@aqmd.gov)
    Proposed Rule 1315 was developed to maintain AQMD’s ability to issue permits to major sources that require offsets, but obtain offset credits from the AQMD's Priority Reserve under Rule 1309.1 and/or that are exempt from offsets under AQMD Rule 1304 through December 31, 2030. The rule will also memorialize in rule form the procedures to be followed to both establish the equivalency of AQMD’s NSR program with federal NSR offset requirements for such major sources and demonstrate that sufficient emission reductions, including previously-untracked emission reductions, exist beyond regulatory requirements under federal law to be used as offset credits to establish that AQMD’s NSR program is equivalent with federal NSR offset requirements for those major sources. The rule includes provisions designed to ensure equivalency with federal offset requirements is achieved and additional backstop provisions to ensure the actual impacts of implementing the proposed rule do not exceed the impacts analyzed in the CEQA process. This action is to adopt the resolution: 1) Certifying the CEQA Program Environmental Assessment for Proposed Rule 1315; and 2) Adopting Rule 1315. (Reviewed: Stationary Source Committee, November 19, 2010)
    
    OTHER BUSINESS
    
    
21. Notification of Executive Officer Enforcement Discretion Regarding Rule 1147 (PDF, 30kb)
    Nazemi (909) 396-2662
    (mnazemi1@aqmd.gov)
    Rule 1147, adopted in December of 2008, controls NOx emissions from miscellaneous sources, such as ovens, dryers, roasters, and calciners.  The rule requires installation of fuel and time meters for each affected unit by January 1, 2011.  Recently, staff has determined that there is no need for installation of time meters and no need to install fuel meters, depending on the compliance option a source takes.  Staff will present proposed amendments to the Board at the earliest possible date to make these changes.  In addition, staff will propose extending the compliance deadline for early phase emission limits by approximately one year.  So that facilities do not incur unnecessary expense complying with rule requirements that may be amended, the Executive Officer intends to exercise enforcement discretion with regard to Rule 1147 until the rule amendments have been presented to the Board.  (No Committee Review)
    
    
    

PUBLIC COMMENT PERIOD – (Public Comment on Non-Agenda Items, Pursuant to Government Code Section 54954.3)

BOARD MEMBER TRAVEL – (No Written Material)
Board member travel reports have been filed with the Clerk of the Boards, and copies are available upon request.

CLOSED SESSION – (No Written Material)
Wiese (909) 396-3460
(kwiese@aqmd.gov)
It is necessary for the Board to recess to closed session pursuant to Government Code section 54956.9(a) to confer with its counsel regarding pending litigation which has been initiated formally and to which the District is a party. The actions are:

• NRDC, et al. v. SCAQMD, et al., U.S. District Court Case No. CV08-05403 GW (PLAx) and United States Court of Appeals, 9th Circuit, Case No. 09-57064;

• CCAT, et al. v. State of California; SCAQMD, et al., Los Angeles Superior Court Case No. BS124264 and California Court of Appeal, Second District, Case No. B226692;

• Petition Before the Administrator of the U.S. Environment Protection Agency In the Matter of Alleged Failure of California to Comply with Mandatory Procedures to Amend SIP Regarding Internal Bank Offset Credits Held by the South Coast Air Quality Management District (filed December 10, 2009);

• NPCA v. SCAQMD, Court of Appeal, 4th Appellate District, Division Three, Case No. G040122 and Supreme Court of California Case No. S177823;

• Association of American Railroads, et al. v. SCAQMD, et al., U. S. District Court Case No. CV06-1416 JFW (LAx) and United States Court of Appeals, 9th Circuit, Case No. 07-55804;

• W.M. Barr & Company, Inc. v. SCAQMD, Los Angeles Superior Court Case No. BS127359;

• Southern California Gas Company v. SCAQMD, Los Angeles Superior Court Case No. BS122004;

• Communities for a Better Environment v. South Coast Air Quality Management District, et al., Los Angeles Superior Court Case No. BS091275, and Carlos Valdez, et al. v. South Coast Air Quality Management District, et al., Los Angeles Superior Court Case No. BS091276, Court of Appeal of the State of California Case No. B193500, and Supreme Court of California Case No. S161190;

• Voices of the Wetlands v. California State Water Resources Control Board, et al., California Supreme Court, Case No. S160211;

• Robert Sarvey v. North Coast Unified Air Quality Management District, et al., Humboldt Superior Court, Case No. CV 100303;

• South Coast Air Quality Management District v. Rimpo & Associates, Los Angeles Superior Court Case No. BC432208;

• Natural Resources Defense Council, et al. v. EPA, United States Court of Appeals, 9th Circuit, Case No. 08-72288;

• Pacific Merchant Shipping Association v. Goldstene, United States District Court, Eastern, Case No. 09-01151, U.S. Court of Appeals, 9th Circuit, Case No. 09-17765; and

• Neenah Enterprises, Inc., et al, United States Bankruptcy Court for the District of Delaware, Case No. 10-10360 (MFW) [Neenah Enterprises is the parent of Gregg Industries].