BOARD OF DIRECTORS Summary of Actions WEDNESDAY, OCTOBER 21, :30 P.M Silver Cloud Court, Board Room, 3 rd Floor, Monterey, California

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1 Agenda Item No. 9 BOARD OF DIRECTORS Summary of Actions WEDNESDAY, OCTOBER 21, :30 P.M Silver Cloud Court, Board Room, 3 rd Floor, Monterey, California 1. CALL TO ORDER The meeting was called to order at 1:34 p.m. 2. PLEDGE OF ALLEGIANCE 3. ROLL CALL Present Absent Simon Salinas, Chair Jerry Muenzer None Steve McShane, Vice Chair Jane Parker Ryan Coonerty John Phillips Zach Friend Simon Salinas Fred Ledesma Ken Talmage Robert Lund Michael Termini 4. PUBLIC COMMENT PERIOD None. 5. COMMENTS AND REFERRALS FROM CHAIR AND BOARD MEMBERS Director Parker requested that copies of presentations be included with the minutes. 6. REPORTS BY COMMITTE CHAIRS ON COMMITTEE MEETINGS a. Budget, Personnel, and Nominating Committee No meeting held. b. Advisory Committee No meeting held. 7. REPORT FROM AIR POLLUTION CONTROL OFFICER Richard Stedman, APCO, reported on the following: EPA Activity a. On October 1, 2015, EPA strengthened the National Ambient Air Quality Standards (NAAQS) b. Volkswagen Issue Update on Fort Ord Burns Newly Hired Personnel a. Seong Kim, Engineer 1; Kodi Taggart, Inspector 2 Legislation a. SB 513 signed by the Governor which allows locally directed funding for projects Update on Building Remodel Wood Stove Program a. Out of funds; all monies have been allocated. Waiting list has been established. Randy Segawa from DPR will be at November 18 Board regarding pesticide exposures at some

2 Agenda MBUAPCD Item No. Board 9 of Directors Summary of Actions Page 2 of 2 Wednesday, October 21, 2015 Monterey and Santa Cruz county schools. October 29 is a District all staff training day. Outreach: We'll be up in SLV School board meeting to recognize art contest winners. CONSENT AGENDA Upon motion of Director McShane and seconded by Director Coonerty the Board unanimously moved to approve all items on the Consent Agenda. 8. Accepted and Filed Summary of Actions for the September 16, 2015 Board of Directors Meeting 9. Accepted and Filed Budget to Actual Report for the Three Months Ended September 30, Accepted and Filed Report on Daily Eight-Hour Peak Ozone Concentrations, Hourly Peak Ozone Concentrations, PM2.5 and PM10 Air Monitoring Data for the Month of September Accepted and Filed Report of Summary of Mutual Settlement Program Actions for September Accepted and Filed Compliance Division Activity Report for Month of August Accepted and Filed Engineering Division Activity Report for Month of September RESOLUTION NO : Adopted a Resolution Electing to Pay 4% of the California Public Employees Retirement System Normal Member Contributions as Employer Paid Member Contributions For Management Employees Covered under the 2% at 55 CalPERS Retirement Plan in Accordance with Government Code Section REGULAR AGENDA 15. RESOLUTION NO : Adopted a Resolution Approving an Update to the Carl Moyer Program Policies and Procedures Manual and the Off-Road Equipment Replacement Plan Upon motion of Director Parker and seconded by Director Coonerty the Board unanimously moved to adopt the resolution. 16. Receive a Presentation on an Introduction to the Rule Modification Process Received presentation; no action taken. 17. Receive a Presentation on Permitting 101 Recommended that presentations, manuals, and videos be made available online. 18. Receive a Report and Hold a Discussion on the City of Carmel-by-the-Sea s Beach Fires Received presentation; recommended that graph be included in the minutes. 19. Adjournment The meeting was adjourned at 2:51 p.m. Ann O'Rourke Executive Assistant

3 Attachment - Item No. 15 Agenda Item No. 9 Carl Moyer Program District participated in program for the past 16 years Current funding levels ~ $800,000 per year Board of Directors Amy Clymo, Supervising Air Quality Planner October 21, 2015 Match requirement is 15% of state funds received District uses AB 923 funds Match = ~$120, Carl Moyer Program Statewide program to reduce ozone forming pollutants and diesel particulate matter. Local air districts work collaboratively with Air Resources Board (ARB) to implement program. Guideline Updates Incorporate additional District policies Reference anticipated changes in December 2015 mail out Senate Bill 513 This year ARB allocated ~ $58 million to local air districts. 2 5 Carl Moyer Program Highlights From : $980 million grant funds Cleaned up 46,000 engines Reduced 174,000 tons ozone precursors Reduced 6,400 tons of particulate matter Update to District Policies and Procedures Require complete applications. Clarification of procedures for transmission replacement, use of local equipment dealers, horsepower limit, recordkeeping, annual reporting, and inspections. Address inspection safety issues such as requiring engines to not be operated during the inspection unless for operational verification. Make available the fire truck reuse option

4 Agenda Item No. 9 Attachment - Item No /3/2015 Current Status 47 projects under contract 5 new projects added in 2015 Annual use reports go out in January Application acceptance begins in January Recommendation Approve update to District s Moyer Program Policies and Procedures and Off Road Equipment Replacement Plan 7 10 Example Projects Tractor Replacement (John Deere 8360RT) Total cost $335,070 Grant amount $268,056 Total weighted emissions reduced o 3 tons per year Marine Vessel Repower Total cost $176,640 Grant amount $150,144 Total weighted emissions reduced o 3tons per year 8 Program Challenges Cost Effectiveness Can limit project funding Adjustments anticipated in 2017 Regulatory Requirements Details of multiple regulations for many project categories Restrict funding Senate Bill 513 expand eligible project categories Administrative Requirements Separate plans required depending on project categories 9 2

5 Attachment - Item No. 16 Agenda Item No. 9 Rules Considered For Modification Rule 201 Address areas of improvement, simplification and alignment with current operations Jaime Hernandez 10/21/ Rules Considered For Modification Rules Considered For Modification Rule 200, Permits Required Rule 201, Sources Not Requiring Permits Rule 207, Review of New or Modified Sources Rule 1000, Permit Guidelines and Requirements for Sources Emitting Toxic Air Contaminants Rule 207 Submitted 5/12/2011 for SIP approval March 2015 Partial disapproval Include suggested language o Add public notice thresholds for PM2.5, lead; revise definition of Major Stationary Source and Major Modification to an Existing Stationary Source, and others Simplify Federal NSR requirements 2 5 Rules Considered For Modification Rules Considered For Modification Rule 200 Submitted 5/8/2001 for SIP approval Disapproval March 2015 Need to include Federally Enforceable language Rule 1000 Address areas of improvement, simplification and general update 3 6 1

6 Agenda Item No. 9 Attachment - Item No /3/2015 Quiz A State Implementation Plan (SIP) is a United States state plan for complying with the federal Clean Air Act, administered by the Environmental Protection Agency. The SIP consists of narrative, rules, technical documentation, and agreements that an individual state will use to clean up polluted areas. 7 Rule Modification Proposed Timeline Prepare language and negative declaration by 11/2015 Public Notice 12/2015 Public Workshops 1/2016 Advisory Committee 2/2016 Board Hearing 3/2015 Presented for adoption 4/ Rules Considered For Modification Questions Thank you 9 2

7 Attachment - Item No. 17 Agenda Item No. 9 ENGINEERING EVALUATION PERMITTING 101 October 21, 2015 District Prohibitory Rules and other Local Rules State Regulations Federal Regulations INITIAL CONTACT 1. Determine the nature of the project what is the applicant proposing to do? 2. Inform applicant of the rules and regulations that will apply to their process. 3. Discuss the regulatory time frame allowed to complete the engineering review. 4. Supply the applicant with Application Forms and Permit Application Fee Sheet. 5. Request any additional information deemed necessary to calculate the potential emissions from the facility. Local District Rule 207 Review of New or Modified Sources Implementation of the Federal and California Clean Air Act Requirements for both New Source Review (NSR) and Prevention of Significant Deterioration (PSD) Programs REGULATORY TIME CLOCK From the date the District receives the application, the engineer has 30 days to deem the application complete or incomplete. If incomplete the time clock stops. If complete, the application review must be completed within 180 days. Goals of Prevention of Significant Deterioration (PSD) Review 1. Ensure that economic growth will occur in harmony with the preservation of existing clean air resources to prevent the development of any new nonattainment problems; 2. To protect the public health and welfare from any adverse effect which might occur even at air pollution levels better than the national ambient air quality standards; and 3. To preserve, protect, and enhance the air quality in areas of special natural, recreational, scenic, or historic value. 1

8 Agenda Item No. 9 Attachment - Item No. 17 How Does the District Prevention Significant Deterioration? Through Two Legal Tools: 1. Best Available Control Technology; and 2. Offsets WHAT IS AN OFFSET AND HOW IS IT OBTAINED? An offset is an emissions reduction from an existing source that is necessary to mitigate an emissions increase from a proposed project. 1. Internally offset their emissions by taking limits or adding controls to other process at their site. 2. Reduce emissions from a source within the District by purchasing control equipment for another facility. 3. Purchase Emission Reduction Credits from Bank. Federal BACT Trigger Levels (NOx, SOx, VOC, & PM) Local District Rule 1000 Toxic Air Contaminants Source Emissions 150 Emissions greater than or equal to 150 lbs/day = BACT Required Emissions less than 150 lbs/day = No BACT required Trigger Level Utilize air dispersion models to predict maximum Toxic Air Contaminant (TAC) concentrations off the property boundary Review TAC concentration results to ensure proposed project does not exceed any Acute or Chronic Reference Exposure Levels, or exceed an excess cancer risk of 10 in million Federal Offset Threshold Levels CRITERIA POLLUTANTS POUNDS PER DAY Oxides of Nitrogen (NOx) 150 Oxides of Sulfur (SOx) 150 Volatile Organic Compounds (VOCs) 150 Carbon Monoxide (CO) 550 Particulate Matter < 100 microns (PM) 150 Particulate Matter < 10 microns (PM10) 82 State & Federal Regulations State Air Toxic Control Measures (ATCMs) Emissions of Hexavalent Chromium and Cadmium from Motor Vehicle and Mobile Equipment Coatings Federal New Source Performance Standards (NSPS) Mineral Processing Facilities Federal National Emission Standards of Hazardous Air Pollutants (NESHAP) Stationary Compression Ignition Internal Combustion Engines 2

9 Attachment - Item No. 17 Agenda Item No. 9 SCHOOL NOTICE CALIFORNIA HEALTH & SAFETY CODE Triggered when there are new toxic air contaminant emissions within 1000 feet of any K 12 schools, (both public and private) with 12 or more students. Notice allows for a 30 day public comment period. PERMIT TO OPERATE (PTO) The engineer must produce an effective permit to not only assist the facility in operating in compliance, but to also assist the District inspector in determining ongoing compliance. An effective permit should do all the following: 1. Identify the emission units to be regulated; 2. Establish clear and concise emission standards or other enforceable operational limits to be met; 3. Specify methods for determining compliance, including reporting and recordkeeping requirements. AUTHORITY TO CONSTRUCT (ATC) An ATC is an air quality permit issued prior to construction or modification of any emissions unit or permitted process. Shows the proposal can reasonably be expected to comply with air quality regulations. Valid for 2 years, but may be extended up to a total of 7 years. START UP INSPECTION 1. Verify that the equipment/operation in the field matches the proposed and reviewed project; 2. Discuss any monitoring, recordkeeping, and reporting requirements; 3. Ensure facility is aware of emission limits, and any operational or production limits; and 4. Answer any questions the owner/operator might have. 3

10 Agenda Item No. 9 ATTACHMENT - ITEM NO. 18

11 ATTACHMENT - ITEM NO. 18 Agenda Item No. 9

12 Agenda Item No. 9 ATTACHMENT - ITEM NO. 18