1.

ACCEPTANCE OF ENVIRONMENTAL PROTECTION AGENCY GRANTS

(4 VOTES)

2.

AIR POLLUTION CONTROL DISTRICT - APPROVE IN PRINCIPLE THE PURCHASE OR LEASE OF A BUILDING TO REPLACE EXISTING LEASED SPACE

3.

NOTICED PUBLIC HEARING:

ADOPTION OF AMENDMENTS TO REGULATION X REPEALING AND ADOPTING BY REFERENCE THE FOLLOWING NEW SOURCE PERFORMANCE STANDARDS (NSPS): SUBPART D – NSPS FOR FOSSIL-FUEL-FIRED STEAM GENERATORS; SUBPART Da – NSPS FOR ELECTRIC UTILITY STEAM GENERATING UNITS; AND SUBPART GG – NSPS FOR STATIONARY GAS TURBINES

4.

2000 AIR TOXICS "HOT SPOTS" PROGRAM REPORT FOR SAN DIEGO COUNTY

(4 VOTES)

APCD 1.

SUBJECT:

ACCEPTANCE OF ENVIRONMENTAL PROTECTION AGENCY GRANTS (DISTRICT: ALL)

The U.S. Environmental Protection Agency (EPA) has offered seven grants to the Air Pollution Control District, three continuing grants, two one-time grants for specific purposes, and two grant supplements.  EPA Section 105 grants fund basic programs, and Section 103 grants fund specific program-related projects.

EPA Section 105 Base Grant for FY 2002

The EPA is offering $1,345,089 for the federal FY 2002 (October 2001 - September 2002) period, an increase of $67,033 (5%) over FY 2001.  The base grant funds permitting, compliance, air monitoring, planning, and public education and outreach activities required by the federal Clean Air Act and accounts for approximately 10% of total program funding.  Appropriations are included in the FY 2001-02 Operational Plan.

A $37,115, FY 2001 Section 105 grant supplement is offered from previously unallocated base grant funding.  It will provide funding for increased costs of permitting, compliance, air monitoring, planning, and public education and outreach activities in the fourth quarter of FY 2001 (July - September 2001).  Additional appropriations are not required.

This EPA Section 103 grant offers $207,914 to continue implementing the PM2.5 Monitoring Network, bringing total project funding to $857,779 over four years.  Appropriations are included in the FY 2001-03 Operational Plan.

Mexican Border Alliance

This EPA Section 103 grant of $50,000 is offered to continue supporting and participating in the Mexican Border Alliance studying US/Mexican border air pollution issues, bringing total funding to $139,350 over three years.  Appropriations are included in the FY 2001-02 Operational Plan.

Air Quality Monitoring Network Upgrade

A one-time EPA Section 103 grant of $50,000 is offered toward a $100,000 upgrade of the Data Acquisition System for the Ambient Air Quality Monitoring Network.  A $50,000 (50%) local fund match is required and available from District fund balance. Additional appropriations of $100,000 are required for the upgrade, $89,500 in fixed assets for equipment and $10,500 in services and supplies.  The Air Quality Monitoring Network is not in the scope of the IT contract.

Air Toxics Monitoring

This EPA Section 103 grant offers $75,000 for equipment to analyze select toxics compounds collected at air monitoring stations in the county.  No local fund match is required.  Additional appropriations of $75,000 are required, $72,500 for equipment and $2,500 for supplies. 

EPA 105 Grant Supplement for Data Analysis

A $118,200, FY 2001 grant supplement is offered to reimburse the District for the full cost of analyzing Photochemical Assessment Monitoring System (PAMS) samples from Arizona.  EPA requested the District provide this service for one year because Arizona is yet not equipped for sample analysis.  Additional appropriations of $9,500 are needed for related services and supplies.

The $118,200, 105 grant supplement will reimburse the District for the full cost of analyzing PAMS samples and requires additional appropriations of $9,500 for services and supplies. 

AIR POLLUTION CONTROL OFFICER
1.     Approve and authorize the Air Pollution Control Officer to execute the U.S. Environmental Protection Agency FY 2002 Section 105 Air Grant of $1,345,089 for ongoing Air Pollution Control program costs. 

2.    Approve and authorize the Air Pollution Control Officer to execute FY 2001 EPA Section 105 grant supplements of $37,115 for base grant activities and $118,200 to analyze PAMS data from Arizona monitoring stations.

3.   Approve and authorize the Air Pollution Control Officer to execute the U.S. Environmental Protection Agency FY 2002 Section 103 Air Grant of $207,914 for PM2.5 Monitoring Network implementation.

4.   Approve and authorize the Air Pollution Control Officer to execute the U.S. Environmental Protection Agency FY 2002 Section 103 Air Grant of $50,000 for the Mexican Border Alliance. 

5.   Approve and authorize the Air Pollution Control Officer to execute the U.S. Environmental Protection Agency FY 2002 Section 103 Air Grant of $50,000 toward upgrading the Air Quality Monitoring Network Data Acquisition System.

6.   Approve and authorize the Air Pollution Control Officer to execute the U.S. Environmental Protection Agency FY 2002 Section 103 Air Grant of $75,000 to analyze selected toxics compounds from two monitoring stations.

7.   Establish appropriations of $100,000 in the Air Pollution Control District, $50,000 from the EPA grant and $50,000 from fund balance, for the Data Acquisition System upgrade based on unanticipated revenue and available fund balance.(4 VOTES)

8.   Establish appropriations of $75,000 in the Air Pollution Control District from the EPA grant for analyzing toxics samples based on unanticipated revenue. (4 VOTES)

9.   Establish appropriations of $9,500 in the Air Pollution Control District from the EPA grant for the services and supplies used in analyzing Arizona PAMS samples. (4 VOTES)

ON MOTION of Member Roberts, seconded by Member Jacob, the Members of the Air Pollution Control Board took action as recommended, on Consent.

AYES:  Cox, Jacob, Slater, Roberts, Horn

APCD 2.

SUBJECT:

AIR POLLUTION CONTROL DISTRICT - APPROVE IN PRINCIPLE THE PURCHASE OR LEASE OF A BUILDING TO REPLACE EXISTING LEASED SPACE  (DISTRICT: ALL)

San Diego’s current real estate market presents your Board an opportunity to invest in the future by purchasing or leasing a building to replace the Air Pollution Control District’s (District) inadequate leased office space in the Kearny Mesa Area of San Diego County.  A General Services space validation study completed in June 2001 shows current District space requirements are 44,571 square feet (s.f.) to house staff and equipment to adequately serve our customers.  The five-year space requirement is projected at 47,144 s.f.  Current office space, approximately 31,992 s.f., is 12,579 s.f. (28%) less than currently needed and 15,152 s.f. (32%) below the five-year space need projection.

The District has occupied its current space since 1975 and has outgrown the building.  The District was paying below-market rent until the option to extend the lease was exercised, effective July 2001.  In conjunction with the lease extension, the landlord was able to raise rent from $355,000 in FY 2000-01 to market rent of about $720,000 in FY 2001-02.

The District has sufficient funding to buy or lease an adequately-sized building.  Purchasing a building would yield long-term savings, with facility costs decreasing once the building was paid for.  This would result in lower customer fees than if the District continues to lease.  However, leasing should remain an option given the inadequate space and significant cost increase at the current location.

The current lease allows vacating with six months notice, making this an excellent time and opportunity to seek adequate office space and reap the benefits of a buyer’s real estate market.

There is no fiscal impact directly associated with this action.  If a suitable building is found, the acquisition or lease proposal will be submitted to your Board for approval.  Funding will be from department funds and ongoing revenues.  At current market estimates ($180 to $220/s.f.), purchasing a 48,000 s.f. building would cost from $8.6 to $10.6 million in the Kearny Mesa area, although current market trends may yield lower prices.  The range of leased properties in the area would be similar to the current lease rate.

AIR POLLUTION CONTROL OFFICER
Approve in principle the purchase or lease of a building for Air Pollution Control District office space to replace current leased space, and authorize a search in the Kearny Mesa area of San Diego County for suitable property, from 48,000 to 53,000 square feet.

ON MOTION of Member Roberts, seconded by Member Jacob, the Members of the Air Pollution Control Board took action as recommended, on Consent.

AYES:  Cox, Jacob, Slater, Roberts, Horn

APCD 3.

SUBJECT:

NOTICED PUBLIC HEARING:

ADOPTION OF AMENDMENTS TO REGULATION X REPEALING AND ADOPTING BY REFERENCE THE FOLLOWING NEW SOURCE PERFORMANCE STANDARDS (NSPS): SUBPART D – NSPS FOR FOSSIL-FUEL-FIRED STEAM GENERATORS; SUBPART Da – NSPS FOR ELECTRIC UTILITY STEAM GENERATING UNITS; AND SUBPART GG – NSPS FOR STATIONARY GAS TURBINES (DISTRICT: ALL)

New Source Performance Standards (NSPS) are promulgated as Subparts by the Environmental Protection Agency (EPA) and apply uniformly throughout the country.  Subpart D, first promulgated by the EPA on June 14, 1974; Subpart Da, first promulgated on June 11, 1979; and Subpart GG, first promulgated on September 10, 1979, were adopted with minor modifications into Regulation X - Standards of Performance for New Stationary Sources (APCB 7/9/80 #1 and APCB 11/24/82 #1).  The District petitioned EPA for delegation and received authority to implement and enforce Regulation X, Subparts D, Da, and GG on November 8, 1976, May 24, 1982, and May 24, 1982, respectively. 

EPA has amended each of the original federal subparts several times since their original promulgation, causing the Regulation X versions of these Subparts to become outdated.  Therefore, the District is proposing to repeal the Regulation X versions and adopt Subparts D, Da, and GG and their current amendments by reference.  A copy of these Subparts, and all subsequent amendments, will be included in Appendix C of the District Rules and Regulations. Adoption by reference will satisfy federal requirements and simplify the process for adopting any future EPA amendments.  Following this action, the District will request that EPA delegate implementation and enforcement authority.

All units in San Diego County subject to these Subparts are currently in compliance with their applicable requirements, based on the District’s determination that such units are currently in compliance with more stringent applicable District prohibitory rules.

Subpart D regulates fossil-fuel-fired steam generating units rated at more than 73 megawatts heat input rate (250 million Btu per hour), which commenced construction, modification, or reconstruction after August 17, 1971.  Subpart Da regulates each electric utility steam generating unit capable of combusting more than 73 megawatts (250 million Btu/hour) heat input of fossil fuel and for which construction or modification commenced after September 18, 1978.  Subpart GG regulates stationary gas turbines with a heat input at peak load equal to or greater than 10.7 gigajoules per hour, based on the lower heating value and which commenced construction, modification, or reconstruction after October 3, 1977. 

Sulfur dioxide, particulate matter, and nitrogen oxide concentration standards are specified and test methods, emission monitoring, reporting, and recordkeeping requirements are provided.

There was no opposition to adopting Subparts D, Da, and GG by reference at the public workshop held on August 15, 2001.

The recommended action will have no fiscal impact on the District.

AIR POLLUTION CONTROL OFFICER
Adopt the resolution amending Regulation X of the District Rules and Regulations by repealing existing Subparts D, Da, and GG as adopted by the Board on September 1, 1976; July 9, 1980; and July 9, 1980, respectively, and adding federal Subparts D, Da, and GG and their subsequent amendments (to date) by referencing the Federal Register 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 an analysis of existing requirements applicable to the source or category is not required by Section 40727.2 of the Health and Safety Code because the proposed amendments do not impose new or more stringent requirements;

(iii)     that repealing existing Subparts D, Da, and GG and adding federal Subparts D, Da, and GG and their subsequent amendments (to date) will alleviate a problem and will promote attainment of ambient air quality standards (Section 40001 of the State Health and Safety Code);

(iv)    that an assessment of the socioeconomic impact is not required by Section 40728.5 of the State Health and Safety Code because repealing existing Subparts D, Da, and GG, and adding federal Subparts D, Da, and GG and their subsequent amendments (to date) will not significantly affect air quality or emission limitations; and

(v)     that it is certain there is no possibility that repealing existing Subparts D, Da, and GG, and adding federal Subparts D, Da, and GG and their subsequent amendments (to date) 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).

ON MOTION of Member Roberts, seconded by Member Jacob, the Members of the Air Pollution Control Board took action as recommended on Consent, adopting Resolution No.  01-298, entitled:  RESOLUTION REPEALING EXISTING NEW SOURCE PERFORMANCE STANDARDS (NSPS) SUBPARTS D, Da, AND GG TO TO REGULATION X OF THE RULES AND REGULATIONS OF THE SAN DIEGO COUNTY AIR POLLUTION CONTROL DISTRICT and closed the hearing; and, pursuant to Section 40727 of the Health and Safety Code, made the appropriate findings as presented by County Counsel and as set out in Board of Supervisors Exhibit No. 1.

AYES:  Cox, Jacob, Slater, Roberts, Horn

APCD 4.

SUBJECT:

2000 AIR TOXICS "HOT SPOTS" PROGRAM REPORT FOR SAN DIEGO COUNTY (DISTRICT: ALL)

The California Air Toxics "Hot Spots" Information and Assessment Act is a state-mandated program enacted in 1987.  The purpose is to evaluate toxic air contaminant emissions, determine what emissions, if any, present public health concerns, notify affected members of the public, and reduce significant risks.  The Air Resources Board (ARB) is responsible for evaluating emissions from mobile, area, and natural sources; the District for evaluating emissions from stationary sources.

There are about 12,600 tons of toxic air contaminants emitted in the region annually.  Automobiles and other mobile sources emit 7,500 tons (60%), area sources emit 2,500 tons (20%), and natural sources emit 500 tons (4%).  The remaining 2,000 tons (16%) are released from approximately 200 large industrial facilities and 1,600 smaller businesses.  Industrial source emissions have been reduced by approximately 4,300 tons per year (67%) since 1989, the first inventory year under this program (Attachment IA).

Although it is not appropriate (due to variables such as where and how emissions occur, the toxicity of particular contaminants, and the location of impacted areas) to directly relate reduced industrial emissions to public health risks, the declining trends for industrial toxic air emissions continue to be encouraging and are reflected by declining ambient air concentrations at the El Cajon and Chula Vista monitoring stations.  The monitoring results indicate a 50% reduction in the ambient incremental cancer risk measured at both locations since 1990.  The increased concentrations of benzene and 1,3-butadiene (associated primarily with motor vehicles) observed at both sites in 1999 were reversed in 2000.  The increases in 1999 were likely the result of unusual meteorological conditions.

District Rule 1210 (Toxic Air Contaminant Public Health Risks - Public Notification and Risk Reduction) specifies public notification and health risk reduction criteria.  Regulated facilities with estimated cancer risks above ten in one million or non-cancer risks above levels recommended by the state Office of Environmental Health Hazard Assessment (OEHHA) must provide direct mail notices to impacted residents, businesses, schools, and other specified locations.  Facilities with estimated cancer risks above 100 in one million or non-cancer risks above levels recommended by OEHHA must develop and implement a plan to reduce risks below these significant risk levels, generally within five years. 

Public health risk assessments have been conducted for 63 facilities (Attachment 1B). Risk assessment results for 18 sites exceeded the Rule 1210 thresholds.  Three of these businesses are no longer in operation, five implemented significant changes to reduce risk, an additional four are in the process of reducing risk, and six sites are currently notifying the public of potential risks on a biennial schedule.

New OEHHA guidelines, required by the passage of SB 1731 in 1992, have recently introduced numerous changes to health risk assessment.  These changes have made preparation of new and updated risk assessments using past computer tools impractical.  As a result, additional risk assessments have been delayed.  ARB is developing a computer program to incorporate the new guideline changes and plans to make a final version of the software available after final approval of the risk assessment guidelines in the second half of 2001.

State law requires the District to publish an annual report summarizing program efforts and results.  Attachment II is the 2000 report summarizing the program elements, current program status, emission estimates, health risk assessment results, current public notifications status, and conclusions drawn to date.  Stationary source emission estimates, by facility, are also available on the District's web site (www.sdapcd.co.san-diego.ca.us).

In response to community concerns, the District, in collaboration with the ARB, monitored ambient concentrations of toxic compounds in the Barrio Logan area from October 1999 to March 2001.  Preliminary results of the first six months of the monitoring were presented at a public meeting on September 9, 2000.  Results indicate that, for the initial six-month monitoring period, ambient concentrations of those toxic air contaminants that cause the majority of the health risks in Barrio Logan are similar to the levels detected in Chula Vista and El Cajon.  Concentrations of some metals including manganese, zinc, iron, chromium, and nickel were found in Barrio Logan at levels higher than those measured in either Chula Vista or El Cajon.  However, the concentrations at the site were not at levels that are known to pose a health risk.  More detailed comparisons of measured contaminant levels are summarized in the report titled Analysis of Air Toxics Data Collected in Barrio Logan, California from October 1999 through March 2000 which is available on the District's web site. 

Based on the first six months of data, cancer risk from air toxics in Barrio Logan is very similar to risk levels in Chula Vista and El Cajon, and significantly less than average cancer risk levels statewide and in Los Angeles.  Results of the full monitoring study through March 2001 are expected to be available by the end of this year.

Due to the availability of this monitoring data and robust emission inventory data, the Barrio Logan area was also selected as the pilot site for a Neighborhood Assessment Program (NAP) being implemented by the state Air Resources Board.  The intent of this state program is to produce cumulative health risk assessment guidelines that will assist local decision makers in addressing environmental justice concerns.  Recommended guidelines are scheduled for state Board consideration by December 2001.  This program is becoming controversial and all the goals may not be achieved by that time.

A public workshop on the 2000 Air Toxics "Hot Spots" Program Report was held on August 29, 2001.  A workshop report is provided as Attachment III.

The Air Pollution Control Board is required to hold a public hearing on the 2000 program report.  If approved, the District will disseminate the report to city councils, local health officials, and other interested persons.  The Board approved the 1999 Air Toxics "Hot Spot" Program Report on October 25, 2000.

Approval of the 2000 report will have no fiscal impact on the District.

AIR POLLUTION CONTROL OFFICER
Consider the 2000 Air Toxics "Hot Spots" Program Report and approve the report for public distribution.

ON MOTION of Member Roberts, seconded by Member Jacob, the Members of the Air Pollution Control Board took action as recommended, on Consent.