Call To Order

Download the complete agenda here.

• 1. Approve Minutes of January 4, 2019 Board Meeting

  Denise Garzaro

  (909) 396-2500
  

• 2. Set Public Hearing March 1, 2019 to Consider Adoption of and/or Amendments to SCAQMD Rules and Regulations

  Wayne Nastri

  (909) 396-3131
  Nakamura (909) 396-3105
  Determine that Proposed Amendments to Rules 110, 212, 301, 303, 306, 307.1, 309, 315, 518.2, 1310, 1605, 1610, 1612, 1620, 1623, 1710, 1714, and 3006 are Exempt from CEQA and Amend Rules 110, 212, 301, 303, 306, 307.1, 309, 315, 518.2, 1310, 1605, 1610, 1612, 1620, 1623, 1710, 1714, and 3006
  
  Proposed amendments to the above referenced rules will expand noticing options to include email and web page display for public notices for Clean Air Act permit programs and rulemaking activities. California Senate Bill 1502, drafted in response to SCAQMD’s initiative to modernize communication methods, and amendments to the U.S. EPA Code of Federal Regulations enable these changes. The option to deliver invoices to permit holders by email will also be included. This action is to adopt the Resolution: 1) Determining that the proposed amendments to the above referenced rules are exempt from the requirements of the California Environmental Quality Act; and 2) Amending the above referenced rules. (Reviewed: Stationary Source Committee, January 18, 2019)

• Budget/Fiscal Impact

  3. Execute Contract to Develop Optimal Operation Model for Renewable Electrolytic Fuel Production

  Matt Miyasato

  (909) 396-3249
  The University of California, Irvine (UCI) through its Advanced Power and Energy Program is developing a roadmap for deployment of renewable electrolytic hydrogen production facilities in California. This project leverages resources to develop a hydrogen generation model to optimize dispatch and operation of facilities, including impacts on air quality.  This action is to execute a contract with UCI in an amount not to exceed $100,000 from the Clean Fuels Program Fund (31).  (Reviewed: Technology Committee, January 18, 2019; Recommended for Approval)

• 4. Amend Contract for Tier 4 Passenger Locomotives and Carl Moyer Program Award

  Matt Miyasato

  (909) 396-3249
  Under the “Year 16” Carl Moyer Program, the Southern California Regional Rail Authority (SCRRA) requested $58.85 million to cofund the replacement of 17 and the purchase of 3 new Tier 4 locomotives. In September 2015, the Board awarded $22.85 million to SCRRA from the Carl Moyer Program AB 923 Fund (80), with a commitment to consider the remaining $36 million over four phases.  In December 2016 and 2017, the Board approved $18 million of the remaining $36 million. The SCAQMD cost-share of this $129 million project is only for the replacement component of the project. This action is to amend the contract with SCRRA, adding $9 million, comprised of $8.5 million from the Carl Moyer Program AB 923 Fund (80) and $500,000 from the Advanced Technology, Outreach and Education Fund (17), for a revised award total of $49.85 million. The remaining $9 million requested by SCRRA will be considered in a future Board request.  This action is to also amend a “Year 19” Carl Moyer award approved in November 2017 to McMillan Farm Management for replacement of two instead of three off-road equipment. (Reviewed: Technology Committee, January 18, 2019; Recommended for Approval)

• 5. Renew SCAQMD’s Membership in CaFCP for Calendar Year 2019 and Receive and File California Fuel Cell Partnership Executive Board Meeting Agenda and Quarterly Updates

  Matt Miyasato

  (909) 396-3249
  The SCAQMD has been a member of the California Fuel Cell Partnership (CaFCP) since 2000. These actions are to renew SCAQMD’s membership in the CaFCP in an amount not to exceed $70,000 for Calendar Year 2019 and cofund 50 percent of the CaFCP Regional Coordinator position located at SCAQMD in an amount not to exceed $50,000 from the Clean Fuels Program Fund (31). This action is to also receive and file the CaFCP Executive Board Meeting Agenda for October 17, 2018, and Quarterly Updates for the third and fourth quarters of 2018. (Reviewed: Technology Committee, January 18, 2019; Recommended for Approval)

• 6. Amend Contract to Demonstrate Low NOx Combustion Technology on Refinery Boiler

  Jason Low

  (909) 396-2269
  In September 2017, the Board awarded a contract to ClearSign Combustion Corporation to demonstrate their Duplex™ low NOx combustion technology on a refinery boiler in an amount not to exceed $320,000 from the Rule 1118 Mitigation Fund (54). Torrance Refining Company was identified as the host site for the demonstration, but they are no longer able to act as the host site due to operational schedule changes and higher than anticipated project costs.  However, ClearSign has identified an alternate in-basin refinery to serve as the host site using a smaller-sized heater for the demonstration. This action is to amend the contract with ClearSign, changing the host site to Lunday-Thagard Company dba World Oil Refining and reducing the contract value to an amount not to exceed $220,000 from the Rule 1118 Mitigation Fund (54). This action is to also authorize the Executive Officer to execute additional no-cost amendments to this contract, as needed. (Reviewed: Technology Committee, January 18, 2019; Recommended for Approval)

• 7. Appropriate Funds and Amend or Execute Contracts with Outside Counsel and Specialized Legal Counsel and Services

  
  This action is to appropriate $450,000 from the Undesignated (Unassigned) Fund Balance to Legal’s FY 2018-19 Budget and amend or execute contracts for legal counsel for specialized, environmental, and other litigation.  (Reviewed:  Administrative Committee; January 10, 2019; Recommended for Approval)

• 8. Issue RFP for Consultant Services for SCAQMD’s High School Air Quality Educational Program

  Derrick Alatorre

  (909) 396-3122
  SCAQMD seeks to implement an air quality educational program in high schools in environmental justice communities within its jurisdiction. This action is to issue an RFP to solicit proposals from individuals and organizations to provide assistance with the high school air quality educational program in an amount not to exceed $500,000.  (Reviewed:  Administrative Committee, January 10, 2019; Recommended for Approval)

• 9. Transfer and Appropriate Funds and Authorize Purchase of Kids Making Sense Kits

  Derrick Alatorre

  (909) 396-3122
  SCAQMD seeks to implement an air quality educational program at 100 high schools in environmental justice communities within its jurisdiction. The Kids Making Sense kits from Sonoma Technology, Inc. are critical to implementing the program as they integrate Science, Technology, Engineering, and Math education and California Next Generation Science Standards with air quality curriculum through hands-on learning experiences. This action is to transfer and appropriate funds from the BP ARCO Settlement Project Fund (46) to Legislative, Public Affairs and Media’s FY 2018-19 Budget and authorize the sole source purchase of 100 Kids Making Sense kits which can be reused multiple times, over multiple years in an amount not to exceed $276,875. (Reviewed:  Administrative Committee, January 10, 2019; Recommended for Approval)

• 10. Approve Contract Awards and Modifications as Approved by MSRC

  
  McCallon
  
  The MSRC approved two replacement contracts as part of their FYs 2014-16 Work Program. The Board is also requested to amend two previous awards under the MSRC’s Local Government Partnership Program, as part of their FYS 2016-18 Work Program, to correct the project descriptions. At this time the MSRC seeks Board approval of the contract awards and amendments as part of the FYs 2014-16 and 2016-18 Work Programs.  (Reviewed: Mobile Source Air Pollution Reduction Review Committee, September 20, 2018 and January 17, 2019; Recommended for Approval)

• Items 11 through 17 - Information Only/Receive and File

  11. Legislative, Public Affairs, and Media Report

  Derrick Alatorre

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

• 12. Hearing Board Report

  Julie Prussack

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

• 13. Civil Filings and Civil Penalties Report

  
  This reports the monthly penalties from December 1 through December 31, 2018, and legal actions filed by the General Counsel's Office from December 1 through December 31, 2018. An Index of District Rules is attached with the penalty report.  (Reviewed:  Stationary Source Committee, January 18, 2019)

• 14. 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 December 1, 2018 and December 31, 2018, and those projects for which the SCAQMD is acting as lead agency pursuant to CEQA.  (No Committee Review)

• 15. Rule and Control Measure Forecast

  Philip Fine

  (909) 396-2239
  This report highlights SCAQMD rulemaking activities and public hearings scheduled for 2019.  (No Committee Review)

• 16. 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, January 10, 2019)

• 17. Annual Report on 457 Deferred Compensation Plan

  John Olvera

  (909) 396-2309
  SCAQMD sponsors an IRS-approved 457 deferred compensation program for its employees. The Annual Report addresses the Board’s responsibility for monitoring the activities of the Deferred Compensation Plan Committee and ensuring the Committee carries out its fiduciary duties and responsibilities under the Committee Charter. This action is to file the annual report.  (Reviewed: Administrative Committee, January 10, 2019)

• 18. Items Deferred from Consent Calendar

  
  

• BOARD CALENDAR

  Note:  The January meeting of the Mobile Source Committee was canceled. The next meeting of the Mobile Source Committee is scheduled for February 15, 2019.

  19. Administrative Committee

  Wayne Nastri

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

• 20. Legislative Committee

  Derrick Alatorre

  (909) 396-3122
  Chair: Mitchell
  

• 21. Stationary Source Committee

  Laki Tisopulos

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

• 22. Technology Committee

  Matt Miyasato

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

• 23. Mobile Source Air Pollution Reduction Review Committee

  Naveen Berry

  (909) 396-2363
  Board Liasion: Benoit
  (Receive & File)

• 24. California Air Resources Board Monthly Report

  Denise Garzaro

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

• Staff Presentation/Board Discussion

  25. Proposed Approach to Address Hydrogen Fluoride Storage and Use at Petroleum Refineries

  Philip Fine

  (909) 396-2239
  At the September 22, 2018 Refinery Committee meeting, staff was directed to develop a rule by May 2019, and consider utilization of a Memorandum of Understanding (MOU) with each refinery, to reduce the risk and consequences of a release of modified hydrogen fluoride (MHF). The direction included that the proposed rule or MOU should include a possible phase-out of MHF if satisfactory mitigation and performance standards cannot be achieved. MHF is currently used at two refineries in the Basin: Torrance Refining Company Refinery (formerly ExxonMobil Refinery) and Valero Wilmington Refinery. At the recommendation of the Refinery Committee, staff will present information on hydrogen fluoride use, health impacts, dispersion characteristics, and mitigation measures. Staff has been working with stakeholders on the development of Proposed Rule 1410 – Hydrogen Fluoride Storage and Use at Petroleum Refineries, and providing updates to the Refinery Committee since April 2017. Staff will also present concepts that could be included in a rule or MOU for mitigation requirements and a possible phase-out of MHF if proposed performance standards are not met. This action is to seek Board input on the overall concept and to direct staff on how to proceed to address hydrogen fluoride storage and use at petroleum refineries. (No Committee Review)

• 26. Status Report on Regulation XIII – New Source Review

  Laki Tisopulos

  (909) 396-3123
  This report presents the federal preliminary determination of equivalency for January 2017 through December 2017.  As such, it provides information regarding the status of Regulation XIII – New Source Review in meeting federal NSR requirements and shows that SCAQMD’s NSR program is in preliminary compliance with applicable federal requirements from January 2017 through December 2017.  (Reviewed: Stationary Source Committee, January 18, 2019)

• PUBLIC HEARINGS

  27. 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
  Staff is recommending that the public hearing on this item be withdrawn from consideration.
  
  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 reinforcing 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 and December 19, 2018)

• 28. Determine that Proposed Amendments to BACT Guidelines and Charter for BACT Scientific Review Committee Are Exempt from CEQA, and Amend BACT Guidelines and Charter for BACT Scientific Review Committee

  Jason Low

  (909) 396-2269
  Periodically, staff proposes amendments to the BACT Guidelines to add new or update determinations and/or policy. These actions are to add new and amended listings to Part B: Lowest Achievable Emission Rate Determinations for Major Polluting Facilities, Part D: BACT Determinations for Non-Major Polluting Facilities and update Parts A and C Policy for Major and Non-Major Polluting Facilities. Additionally, these actions are to determine the proposed amendments to the BACT Guidelines and the Charter for BACT Scientific Review Committee are exempt from the California Environmental Quality Act, amend the BACT Guidelines to make them consistent with recent changes to SCAQMD rules and regulations as well as state requirements, and approve amendments to the charter for the BACT Scientific Review Committee. (Reviewed: Stationary Source Committee, January 18, 2019; Recommended for Approval)
  
  CONFLICT OF INTEREST DISCLOSURES – (No Written Material)
  

  Under the approval authority of the Executive Officer, the District will enter into a contract and modifications with the following entities: Gladstein, Neandross & Associates, LLC (C19232), Southern California Gas Company (Contract Nos. C172811 & C170381), Transportation Power, Inc. (Contract No. 160231), and Sonoma Technology, Inc. (Contract No. C182551). Gladstein, Neandross & Associates, LLC, Southern California Gas Company and Transportation Power, Inc. 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. Additionally, Sonoma Technology, Inc. has entered into a contractual relationship with Dr. Lyou’s non-profit employer, which also qualifies for the remote interest exception of Section 1090 of the Code. Dr. Lyou abstained from any participation in the making of the contract and modifications.

  
  

  On October 5, 2018, the Governing Board authorized the Governing Board Chairman to execute a contract with the City of Los Angeles Harbor Department for the development of a battery-operated switcher locomotive in an amount not to exceed $300,000 from the Clean Fuels Program Fund (31) (Contract No. C19192). After this October 5, 2018 authorization, the Port of Long Beach was added as cost sharing in the project as a modification to the proposed contract. At the October 5, 2018 meeting, Governing Board Member Joseph Lyou recused himself from this matter because the City of Los Angeles is a potential source of income, which qualifies for the remote interest exception of Section 1090 of the California Government Code.The Port of Long Beach is also a potential source of income to Dr. Lyou, and this also qualifies for the remote interest exception of Section 1090 of the California Government Code. Dr. Lyou abstained from any participation in the initial authorization of the contract, and abstained from any participation in the making of the contract modification.