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STATEMENT
OF PROCEEDINGS Meeting was called to order at 9:10 a.m. Present: Members Dianne Jacob, Chairwoman; Greg Cox; Pam Slater; and Bill Horn; also Thomas J. Pastuszka, Clerk; Ron Roberts, Vice Chairman, being absent. Approval of Statement of Proceedings/Minutes for meeting of October 25, 2000. ACTION: ON MOTION of Member Horn, seconded by Member Cox, the Members of the Air Pollution Control Board approved the minutes for the meeting of October 25, 2000. AYES: Cox, Jacob, Slater, Horn ABSENT: Roberts Public Communication (No Speakers) Air Pollution Control District Agenda Items 1. ACCEPTANCE OF THREE ENVIRONMENTAL PROTECTION AGENCY FISCAL YEAR 2001 GRANTS 2.
NOTICED PUBLIC HEARING: 3.
NOTICED PUBLIC HEARING: 4.
NOTICED PUBLIC HEARING:
APCB1 SUBJECT: ACCEPTANCE OF THREE ENVIRONMENTAL PROTECTION AGENCY FISCAL YEAR 2001 GRANTS (Supv. Dist: All) OVERVIEW: The U.S. Environmental Protection Agency (EPA) has offered three grants to the Air Pollution Control District for federal fiscal year 2001 (October 2000 through September 2001). All these are included in the FY 2000-02 Operational Plan. The first offers $1,278,056 for the base grant for federal FY 2001, an increase of $47,494 (4%) over FY 2000. The base grant provides approximately 10% of District funding for permitting, compliance, air monitoring, planning, and public education and outreach required by the federal Clean Air Act. The other two grants each provide funding for a specific purpose. The first offers $225,695 to continue implementing the PM 2.5 Particulate Matter Monitoring Network, bringing total project funding to $649,865 over three years. The other offers $50,350 to support the Mexican Border Alliance studying US/Mexican border air pollution issues, bringing total funding to $89,350 over two years. FISCAL IMPACT: Revenue from these three grants was included in the FY 2000-02 Operational Plan. The federal fiscal year is from October to September, therefore, seventy-five percent of the FY 2001 base grant revenue ($958,742) will be received in FY 2000-01. The balance ($319,514) will be received in FY 2001-02. The two other grants are received on a reimbursement basis and are invoiced periodically based on actual costs. RECOMMENDATION: AIR POLLUTION CONTROL OFFICER: 1. Approve and authorize the Air Pollution Control Officer to execute the U.S. Environmental Protection Agency FY 2001 Section 105 Air Grant of $1,278,056 for ongoing Air Pollution Control program costs. 2. Approve and authorize the Air Pollution Control Officer to execute the U.S. Environmental Protection Agency FY 2001 Section 103 Air Grant of $255,695 for PM 2.5 Monitoring Network implementation. 3. Approve and authorize the Air Pollution Control Officer to execute the U.S. Environmental Protection Agency FY 2001 Section 103 Air Grant of $50,350 for the Mexican Border Alliance. ACTION: ON MOTION of Member Horn, seconded by Member Cox, the Members of the Air Pollution Control Board took action as recommended, on Consent. AYES: Cox, Jacob, Slater, Horn ABSENT: Roberts APCB2
SUBJECT: NOTICED PUBLIC HEARING: (Supv. Dist: All) OVERVIEW: Portions of Rules 11 and 12 related to engines are being amended to conform with proposed new Rule 69.4.1. Approximately 200 to 300 engines currently exempted from permit requirements pursuant to Rule 11 or registered pursuant to Rule 12 will become subject to the proposed new Rule 69.4.1 emission standards upon adoption. The amendments will require such engines to obtain a Permit to Operate. Requiring permits allows the District to evaluate compliance with all applicable requirements, assure ongoing compliance, and recover appropriate costs. Rule 11 specifies equipment exempt from permitting requirements. The proposed amendments remove the exemption for engines subject to the requirements of proposed new Rule 69.4.1. Specifically, any engine or group of engines with a combined rating of 200 brake horsepower (bhp) or less, excluding engines with a rating of less than 50 bhp will be required to submit a permit application within six months of rule adoption. Rule 11 allows sources to install near identical replacement equipment without triggering additional permitting requirements if emissions do not increase and other conditions are met. To ensure replacement engines comply with proposed new Rule 69.4.1, the identical replacement provisions in Rule 11 are amended to clarify that they do not apply if the replacement equipment is subject to the replacement equipment standards of Rule 69.4.1. Rule 12 specifies requirements and procedures for registering eligible equipment. To be consistent with proposed new Rule 69.4.1, Rule 12 is amended so that new emergency standby engines, any engine with a rating of less than 500 bhp installed before April 5, 1983, any aircraft auxiliary power unit with a rating of 200 bhp or less, and any aircraft air start unit with a rating of 500 bhp or less will no longer be eligible for registration. Engines currently registered in these categories will be required to submit a permit application within six months of rule adoption and comply with all proposed new Rule 69.4.1 requirements within two years. The amendments will make existing engines rated at 200 bhp or less, including engines currently exempted by Rule 11, eligible for registration if they are operated less than 200 hours per calendar year. Existing emergency standby engines will remain eligible for registration. The Rule 12 amendments also clarify which Rule 69.4.1 requirements apply to existing emergency standby engines and existing engines operated less than 200 hours per year by incorporating these requirements directly into Rule 12. These requirements include installation of an operating hour meter, performing annual maintenance, additional recordkeeping and for diesel fired engines, the use of California Diesel Fuel. The amendments also replace outdated language regarding registration application fees. A public workshop was held on August 24, 2000. The workshop report is provided in Attachment II. FISCAL IMPACT: The recommended action will have no fiscal impact on the District. BUSINESS IMPACT STATEMENT: Adopting amended Rules 11 and 12 will require District Permits to Operate for two to three hundred currently exempt or registered engines since these engines will be required to comply with proposed new Rule 69.4.1. Requiring permits allows the District to evaluate compliance with all applicable requirements, assure ongoing compliance, and recover appropriate costs. RECOMMENDATION: AIR POLLUTION CONTROL OFFICER : Adopt the resolution adopting amendments to Rule 11 – Exemption From Rule 10 Permit Requirements and Rule 12 - Registration of Specified Equipment of the District Rules and Regulations and make appropriate findings: (i) of necessity, authority, clarity, consistency, non-duplication and reference as required by Section 40727 of the State Health and Safety Code; (ii) that amending Rules 11 and 12 will alleviate a problem and will promote attainment of ambient air quality standards (Section 40001 of the State Health and Safety Code); (iii) that an assessment of the socioeconomic impact of the proposed amendments is not required by Section 40728.5 of the State Health and Safety Code because the proposed amendments will not significantly affect air quality or emission limitations; and (iv) that it is certain there is no possibility that the proposed amendments to Rules 11 and 12 may have a significant adverse effect on the environment and that this action is exempt from the provisions of the California Environmental Quality Act (CEQA) pursuant to California Code of Regulations, Title 14, Section 15061(b)(3). ACTION: ON MOTION of Member Horn, seconded by Member Cox, the Members of the Air Pollution Control Board closed the Hearing and took action as recommended, on Consent, adopting Findings as presented by County Counsel and adopting Resolution No. 00-384, entitled: RESOLUTION AMENDING RULE 11 OF REGULATION II OF THE RULES AND REGULATIONS OF THE SAN DIEGO COUNTY AIR POLLUTION CONTROL DISTRICT; and Resolution No. 00-388, entitled: RESOLUTION AMENDING RULE 12 OF REGULATION II OF THE RULES AND REGULATIONS OF THE SAN DIEGO COUNTY AIR POLLUTION CONTROL DISTRICT. AYES: Cox, Jacob, Slater, Horn ABSENT: Roberts APCB3 SUBJECT:
NOTICED PUBLIC HEARING: (Supv. Dist: All) OVERVIEW: Rule 69.4 implements federally mandated Reasonably Available Control Technology (RACT). It regulates emissions of nitrogen oxides (NOx), an ozone precursor, from 50 brake horsepower or greater stationary reciprocating internal combustion engines located at sources emitting 50 tons or more of NOx per year. The proposed amendments provide minor clarifications and ensure consistency with proposed new Rule 69.4.1 exemptions, definitions, and recordkeeping requirements only. No new emission standards are imposed. In addition, the amendments exempt engines operated exclusively within a permitted test cell solely for research, development, or testing of various types of engines. The allowable non-emergency operating hours for exempt emergency engines located at nuclear power stations are reduced from 500 to 200 hours per year. In addition, engines used in conjunction with military tactical support equipment are no longer restricted to 1,000 hours of operation per calendar year. A public workshop was held on February 17, 2000. The workshop report is provided in Attachment III. FISCAL IMPACT: The recommended action will have no fiscal impact on the District. BUSINESS IMPACT STATEMENT: The amendments to Rule 69.4 impose no new requirements and, therefore, will have a negligible impact on business. RECOMMENDATION: AIR POLLUTION CONTROL OFFICER Adopt the resolution amending Rule 69.4 of the District Rules and Regulations and make appropriate findings: (i) of necessity, authority, clarity, consistency, non-duplication and reference as required by Section 40727 of the State Health and Safety Code; (ii) that amending Rule 69.4 will alleviate a problem and will promote attainment of ambient air quality standards (Section 40001 of the State Health and Safety Code); (iii) that an assessment of the socioeconomic impact is not required by Section 40728.5 of the State Health and Safety Code because amending Rule 69.4 will not significantly affect air quality or emission limitations; and (iv) that it is certain there is no possibility that amending Rule 69.4 may have a significant adverse effect on the environment, and this action is exempt from the provisions of the California Environmental Quality Act (CEQA) pursuant to California Code of Regulations, Title 14, Section 15061(b)(3). ACTION: ON MOTION of Member Horn, seconded by Member Cox, the Members of the Air Pollution Control Board closed the Hearing and took action as recommended, on Consent, adopting Findings as presented by County Counsel and adopting Resolution No. 00-385, entitled: RESOLUTION AMENDING RULE 69.4 OF REGULATION IV OF THE RULES AND REGULATIONS OF THE SAN DIEGO COUNTY AIR POLLUTION CONTROL DISTRICT. AYES: Cox, Jacob, Slater, Horn ABSENT: Roberts APCB4 SUBJECT:
NOTICED PUBLIC HEARING: (Supv. Dist: All) OVERVIEW: Proposed new Rule 69.4.1 implements state-mandated requirements for Best Available Retrofit Control Technology (BARCT) and all feasible control measures as reflected in the San Diego Regional Air Quality Strategy. The new rule will regulate NOx emissions from existing, new or replacement stationary reciprocating internal combustion engines with a manufacturer’s output rating of 50 brake horsepower or greater. It will reduce oxides of nitrogen (NOx) emissions by approximately 481 tons per year. Approximately 207 existing engines at 90 facilities will be subject to new requirements. The NOx emission standards can be achieved by using combustion modification techniques such as turbocharging or aftercooling, replacement with a new, cleaner engine or by using add-on controls. New carbon monoxide emission standards for affected engines and volatile organic compound emission standards for rich-burn engines are also specified to prevent increases of these pollutants as NOx emissions are reduced. Rule 69.4.1 also requires installation of a non-resettable fuel or elapsed operating time meter, periodic inspection and annual maintenance of the engine and any air pollution control system, and monitoring of specified operational characteristics of the engine as recommended by the engine manufacturer and approved by the District. Emissions testing requirements, including a requirement for biennial testing, and test methods to determine compliance are also specified. All diesel-fueled engines will be required to use California Diesel Fuel certified by the California Air Resources Board (ARB). For approximately 900 existing emergency standby and low-use engines, the rule requires annual engine maintenance, installation of an operating hour meter, records to demonstrate compliance and for diesel-fired engines, the use of California Diesel Fuel. These engines are not subject to any new emission standards. During the rule development process, ARB suggested the District consider requiring selective catalytic reduction (SCR) for high-use diesel engines. The District identified technical and economic feasibility issues related to using this technology and rejected ARB’s suggestion. ARB recently clarified this suggestion to mean the District should continue to evaluate the applicability and cost-effectiveness of SCR for certain classes or categories of diesel engines located in San Diego County and, if appropriate, consider revising Rule 69.4.1 at a later date to incorporate a requirement for SCR on such classes or categories of engines. ARB also requested the District closely monitor performance and cost-effectiveness of SCR installed on diesel engines in California and development of ARB’s NOx and particulate matter control measures for diesel engines and propose future revisions to Rule 69.4.1 as deemed appropriate by the District. Particulate matter from diesel engines has been classified as a toxic air contaminant. The District has agreed to closely follow the applicability of SCR for diesel engines and consider such amendments to Rule 69.4.1 at a later date. Also during the rule development process, the issue of requiring emission testing for certified engines was raised. The District determined that engines certified by ARB and/or the Environmental Protection Agency (EPA) at emission rates at or below Rule 69.4.1 requirements should not be required to perform biennial emissions testing until an appropriate field test method is developed for certified engines. In the interim, the District will rely on ARB/EPA certification statements for each engine to determine compliance. In conjunction with adopting proposed new Rule 69.4.1, District Rule 11 (Exemption From Rule 10 Permit Requirements), Rule 12 (Registration of Specified Equipment) and Rule 69.4 (Stationary Reciprocating Internal Combustion Engines) are separately being proposed for revision. Amendments to Rules 11 and 12 will bring currently exempt or registered engines into the permit system to facilitate implementing the requirements of Rule 69.4.1. The Rule 69.4 amendments will update the rule for engines located at federal major sources of NOx and provide consistency with Rule 69.4.1 language. Public workshops were held on April 29, 1999, and February 17, 2000. The workshop reports are provided in Attachment V. FISCAL IMPACT: The recommended action will have no fiscal impact on the District. BUSINESS IMPACT STATEMENT: Adopting Rule 69.4.1 will affect the regulated business community by imposing new requirements for stationary internal combustion engines. Adopting this regulation is mandated by state law. The District worked closely with an industry workgroup to minimize the economic impacts of the rule and ensure the requirements are cost-effective. RECOMMENDATION: AIR POLLUTION CONTROL OFFICER: Adopt the resolution adopting new Rule 69.4.1 into the District Rules and Regulations and make appropriate findings: (i) of necessity, authority, clarity, consistency, non-duplication and reference as required by Section 40727 of the State Health and Safety Code; (ii) that adopting new Rule 69.4.1 will alleviate a problem and will promote attainment of ambient air quality standards (Section 40001 of the State Health and Safety Code); (iii) that an assessment of the socioeconomic impact of the proposed amendments has been prepared and that the socioeconomic impacts of the proposed new rule have been actively considered and the District has made a good faith effort to minimize adverse socioeconomic impacts; and (iv) that an analysis of the effectiveness of the proposed new rule, including an analysis of the cost-effectiveness of the potential control options, has been prepared pursuant to Health and Safety Code Section 40920.6, and that the proposed rule emission limits represent cost-effective options; and (v) that there is no reasonable possibility that the proposed new rule may have a significant adverse effect on the environment, and that adoption of the proposed new rule is categorically exempt from the provisions of the California Environmental Quality Act (CEQA) pursuant to California Code of Regulations, Title 14, Section 15308, as an action taken to assure the maintenance or protection of the environment and where the regulatory process involves procedures for protection of the environment. ACTION: ON MOTION of Member Horn, seconded by Member Cox, the Members of the Air Pollution Control Board closed the Hearing and took action as recommended, on Consent, adopting Findings as presented by County Counsel and adopting Resolution No. 00-386, entitled: RESOLUTION ADDING NEW RULE 69.4.1 TO REGULATION IV OF THE RULES AND REGULATIONS OF THE SAN DIEGO COUNTY AIR POLLUTION CONTROL DISTRICT. AYES: Cox, Jacob, Slater, Horn ABSENT: Roberts There being no further business, the Board adjourned at 9:39 a.m. THOMAS J. PASTUSZKA Notes by: Galang NOTE: This Statement of Proceedings sets forth all actions taken by the San Diego County Air Pollution Control Board on the matters stated, but not necessarily the chronological sequence in which the matters were taken up. |