BOARD MEETING STATE OF CALIFORNIA AIR RESOURCES BOARD JOE SERNA, JR. BUILDING CALIFORNIA ENVIRONMENTAL PROTECTION AGENCY CENTRAL VALLEY AUDITORIUM, SECOND FLOOR 1001 I STREET SACRAMENTO, CALIFORNIA FRIDAY, JANUARY 31, 2003 9:00 A.M. JAMES F. PETERS, CSR, RPR CERTIFIED SHORTHAND REPORTER LICENSE NUMBER 10063 PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 ii APPEARANCES BOARD MEMBERS Dr. Allan Lloyd, Chairperson Mr. Joseph Calhoun Ms. Dorene D'Adamo Supervisor Mark DeSaulnier Professor Hugh Friedman Mr. Matthew McKinnon Supervisor Barbara Patrick Mrs. Barbara Riordan Supervisor Ron Roberts STAFF Ms. Catherine Witherspoon, Executive Officer Mr. Tom Cackette, Acting Executive Officer Mr. Mike Scheible, Deputy Executive Officer Ms. Lynn Terry, Deputy Executive Officer Ms. Kathleen Walsh, General Counsel Mr. Dipak Bishnu, ARE, On-Road Heavy-Duty Diesel Section Mr. Richard Bode, Chief, Health and Exposure Assessment Branch Ms. Karen Buckley, Staff, PTSD Mr. Michael Carter, Chief, Emission Research and Regulatory Development Branch PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 iii APPEARANCES CONTINUED STAFF CONTINUED Mr. Don Chernich, Manager, Heavy-Duty Diesel I/M Development Section Mr. Richard Corey, Manager, Research Division Mr. Bart Croes, P.E., Chief, Research Division Mr. Bob Cross, Chief, Mobile Source Control Division Ms. Artavia Edwards, Manager, Board Administration and Regulatory Coordination Unit(BARCU), Office of Legal Affairs Mr. Bob Flethcer, Division Chief, PTSD Ms. Diane Johnston, Senior Staff Counsel, Office of Legal Affairs Ms. Leslie Krinsk, Senior Staff Counsel, Office of Legal Affairs Mr. Stephan Lemieux, Manager, On-Road Heavy-Duty Diesel Section Mr. Aron Livingston, Staff Counsel, Office of Legal Affairs Mr. Bob Lyons, Chief, Mobile Source Operations Division Mr. David Mazzera, Ph.D., Research Division Ms. Linda Murchison, Assistant Division Chief, PTSD Ms. Emma Plasencia, Research Division Contracts Coordinator, Research Division Mr. Dale Shimp, Manager, PTSD Ms. Linda Smith, Ph.D., Manager, Health and Ecosystems Assessment Section Mr. John Urkov, Chief, In-Use Vehicle Programs Branch Ms. Amy Whiting, Regulations Coordinator, BARCU, Office of Legal Affairs PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 iv INDEX PAGE Pledge of Allegiance 1 Roll Call 1 Presentation for Mike Kenny 3 Closed Session 27 Item 03-1-1 27 Chairperson Lloyd 27 Acting Executive Officer Cackette 28 Staff Presentation 28 Q&A 35 Mr. Curt Rasmussen 36 Item 03-1-2 39 Staff Presentation 39 Vote 42 Item 03-1-6 42 Chairperson Lloyd 42 Acting Executive Officer Cacketter 43 Staff Presentation 44 Motion 46 Vote 46 Item 03-1-3 47 Chairperson Lloyd 47 Acting Executive Officer Cackette 48 Q&A 55 Item 03-1-4 61 Chairperson Lloyd 61 Acting Executive Officer Lloyd 62 Staff Presentation 63 Ms. Jane Williams 75 Mr. Tim Carmichael 78 Mr. Carlos Porros 82 Ms. Bonnie Holmes-Gen 86 Ms. Paula Forbis 88 Ms. Diane Bailey 93 Mr. Joe Lyou 96 Mr. Stew Wilson 101 Ms. Cindy Tuck 103 Q&A 106 PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 v AFTERNOON SESSION PAGE Afternoon Session 119 Item 03-1-5 119 Chairperson Lloyd 119 Acting Executive Officer Cackette 119 Staff Presentation 122 Q&A 149 Adjournment 163 Reporter's Certificate 164 PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 1 1 PROCEEDINGS 2 CHAIRPERSON LLOYD: Good morning. The January 3 31st, 2003 public meeting of the Air Resources Board will 4 now come to order. 5 Supervisor Patrick, will you please lead the 6 Board in the Pledge of Allegiance. 7 (Thereupon the Pledge of Allegiance was 8 Recited in unison.) 9 CHAIRPERSON LLOYD: Thank you very much. 10 Will the clerk of the Board please call the roll. 11 BOARD CLERK DORAIS: Dr. Burke? 12 Mr. Calhoun? 13 BOARD MEMBER CALHOUN: Here. 14 BOARD CLERK DORAIS: Ms. D'Adamo? 15 BOARD MEMBER D'ADAMO: Here. 16 BOARD CLERK DORAIS: Supervisor DeSaulnier? 17 BOARD MEMBER DeSAULNIER: Here. 18 BOARD CLERK DORAIS: Professor Friedman? 19 BOARD MEMBER HUGH FRIEDMAN: Here. 20 BOARD CLERK DORAIS: Dr. Friedman? 21 Mr. McKinnon? 22 BOARD MEMBER McKINNON: Here. 23 BOARD CLERK DORAIS: Supervisor Patrick? 24 BOARD MEMBER PATRICK: Here. 25 BOARD CLERK DORAIS: Mrs. Riordan? PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 2 1 BOARD MEMBER RIORDAN: Here. 2 BOARD CLERK DORAIS: Supervisor Roberts? 3 BOARD MEMBER ROBERTS: Here. 4 BOARD CLERK DORAIS: Chairman Lloyd? 5 CHAIRPERSON LLOYD: Here. 6 Thank you. 7 We've got several interesting items on the agenda 8 today. And really before we get into the meat of the 9 program, we're going to have a little ceremony to honor 10 our late departed executive officer, or recently elevated 11 executive officer. 12 And then we will have a closed session to 13 deliberate on Mike's replacement, a new executive officer. 14 And then we will go into the public meeting. 15 Before that I'd just like to mention a couple of 16 things. I think you'll notice, fellow colleagues on the 17 Board, that tonight I think that Bill Moyer's program is 18 doing a program focusing on the greenhouse gas bill and 19 how that got through the Legislature. So I think that 20 should be of interest. 21 And, Jerry, maybe we could make sure that we get 22 copies of that so that Board members who have not got it, 23 could make sure they get a copy. 24 Secondly, I think this week was pretty 25 significant that the President made an announcement on PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 3 1 some significant funding for hydrogen to augment what he 2 put in there for the Freedom Car, and this is Freedom 3 Fuel. And I think it's nice to see that in fact the 4 direction we've been pushing through the California Clean 5 Air Partnership and through our low emission regulations, 6 in fact that now we're working basically in step with the 7 Department of Energy and leadership at the national level. 8 So I think this is a very good sign for us, and 9 I'm hoping we can get -- work with the federal government 10 to get some of those dollars out here to build our 11 infrastructure for hydrogen, which is sorely needed. It 12 will start us on the path which we've already started with 13 the fuel cell that we can use hydrogen in an IC engine as 14 well. 15 So I think that was really good news. And so 16 I'll be working on behalf of the Board and behalf of 17 California to see if we can get some of those dollars and 18 do some joint programs out here. 19 Now, we get into the part of the program to 20 basically honor Mike Kenny. And what I'd like to do here 21 is to read a resolution prepared by staff for Mike. I 22 would like also to read a note and E-mail I got from Dr. 23 Friedman, who unfortunately is not here, but is here in 24 spirit. And then I'd like to turn it over to my 25 colleagues at the Board so that they can add their own PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 4 1 words for Mike. And I know each individual member has 2 some comments and particular memories there. 3 And before that I would again like to say it's 4 been a great honor to serve with Mike. It's wonderful. 5 I've had a wonderful time with him. When I came on board 6 he provided me with great guidance, continued help, as I 7 was trying to steer my way through, and he did a great 8 job. And I think the resolution summarizes many of the 9 things -- not all of the things that we have, but it's 10 again a great honor. So I'll read this as Resolution 11 Number 03-3. 12 "Whereas Michael Patrick Kenny has enriched and 13 enlivened the Air Resources Board for 13 years, the first 14 6 1/2 as General Counsel and the last 6 1/2 as Executive 15 Officer. 16 "Whereas during his tenure as Executive Officer, 17 Mike masterfully elevated the State Implementation Plan 18 and its rich panoply of technology, forcing measures to 19 the summit, which divergent constituency rallied to 20 attain. 21 "Whereas Mike enthusiastically agreed to new 22 ideas and encouraged robust debate, galvanizing all the 23 talent at the ARB into an awesome team of air quality 24 professionals. 25 "Whereas Mike's practical creativity, commitment PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 5 1 to clean air, negotiating skills, and overwhelming desire 2 to reach the goal, combined with an uncanny -- for a 3 lawyer -- grasp of technical information yielded 4 phenomenal gains in mobile source emission reductions, 5 including groundbreaking compliance schedules for 6 locomotives, new requirements for zero emission and ultra 7 super low emission vehicles, vastly extended warranties, 8 radical advance in clean-fuel technology and on-board 9 diagnostics, and a cutting-edge mobile source program that 10 is a model for the nation, I would say for the world. 11 "Whereas Mike's faith in American technology and 12 his personal mantra, 'Well, what's the worse that can 13 happen?' often led bold new adventures scaling the peaks 14 of air pollution control. 15 "Whereas Mike's belief that nothing is impossible 16 endeared him to the Chair and to my colleagues at the 17 Board by saying "yes" with a smile to whatever they 18 requested and figuring out how to deliver the near 19 impossible later." 20 You will notice Mike is turning color. 21 (Laughter.) 22 CHAIRPERSON LLOYD: "Whereas Mike's boundless 23 energy, love of life, and dedication to every present 24 moment gave us an executive officer who never sat down on 25 the job, unless he happened to be in Mexico City with a PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 6 1 careless cleaner and a faulty leatherman." 2 There must be something to that. 3 "Whereas Mike's respect for each and every ARB 4 employee" -- and I would stress that because I've observed 5 that -- "his respect for each and every ARB employee, his 6 openness and loyalty to staff, and his willingness to 7 share the triumph from air quality gains with all of us, 8 help make our jobs worthwhile and our contribution a 9 source of great satisfaction. 10 "Whereas Mike's perseverance is well illustrated 11 by his bicycle adventures, which are legendary if not 12 always inspiring, including a run-in with a former Board 13 member in the ARB parking lot and a broken arm at zero 14 miles per hour, which did not stop him from taking the 15 ride. 16 (Laughter.) 17 CHAIRPERSON LLOYD: "Whereas Mike's air 18 experience includes sharing it almost to the last breath 19 with a climber from Norway on the treacherous slopes of 20 Aconcagua." That's on the Chilean-Argentinian border. 21 "Whereas Mike's ability to think fast and his 22 abhorrence of dead time comforted staff at Board meetings 23 with a certain knowledge that if they did not respond to a 24 Board member's question in one nanosecond or less, he 25 would. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 7 1 "Whereas Mike's loathing of dead time had the 2 opposite effect during his hair-raising races with staff 3 to the airport." And I can attest to some of those. 4 (Laughter.) 5 CHAIRPERSON LLOYD: "Whereas Mike has achieved 6 the next step of his life with appointment to serve the 7 public as a member of California's judiciary. 8 "Whereas Mike's personal integrity, honesty, 9 decisiveness, fairness, directness, intelligence, humor, 10 compassion, and ability to focus contribute to a highly 11 judicious temperament that will serve him well on the 12 bench. 13 "Whereas all of the aforementioned recitals will 14 cause us to essentially remember Mike at this point in 15 time as a basically stellar human being." And we do have 16 double doors to open so that you can exit. 17 (Laughter.) 18 CHAIRPERSON LLOYD: "Now, therefore, be it 19 resolved that the Board expresses heartfelt gratitude to 20 Mike for guiding the ARB with skill, with daring, and with 21 heart, and wishes him a fulfilling and exemplary new 22 career as judge. 23 Be it further resolved that the Board applauds 24 Mike for tempering his work ethic with a healthy sense of 25 priorities, commitment to family, and respect of vocation PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 8 1 requests him to maintain this perspective and report back 2 to the Board on his progress in this regard. 3 "Be it further resolved that the Board looks 4 forward to reading judicial opinions penned by the 5 familiar hand now wielded by the Honorable Michael P. 6 Kenny and urges him to keep those legal opinions logical, 7 spirited, and short." 8 (Laughter.) 9 CHAIRPERSON LLOYD: With that I'd like to read 10 first the one from Dr. Friedman, who is not here. 11 "Dear Mike: The attributes you demonstrate and 12 the conduct in your role with the ARB are so many and so 13 commendable, it's difficult to know where to start, and 14 recognize at least a few of the most noteworthy. 15 "I've sat in awe at your equanimity for your 16 preparation, organization talents and diligence and 17 thoughtful wisdom. You have taught me much in the past 18 seven years, both directly and by example, and I am 19 forever grateful. 20 "Mike, you have earned the respect and admiration 21 of the universe of individuals committed to protecting the 22 environment and its inhabitants, and particularly the 23 Board members and ARB staff with whom you have so closely 24 worked. You have brought great credit to the ARB and to 25 the State of California. You will be truly missed. But PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 9 1 go to your judgeship with our warmest wishes for your 2 future happiness. 3 "It's been a privilege to have worked with you. 4 "My best, Bill." 5 That's Dr. Friedman, with all his degrees and 6 aptitude. Though, thank you, Mike. 7 So with that I would like to give the opportunity 8 for my colleagues to speak in a similar vein. 9 So maybe I can start at the -- I'm not sure with 10 Mike whether I should start at the far right of the far 11 left. But we'll -- 12 BOARD MEMBER DeSAULNIER: Right in the middle, I 13 think, Dr. Lloyd. 14 Well, thank you. I don't know whether to cry 15 or -- it is with some suspicion, Mike, that I know you've 16 been trying to get this appointment for some months, and I 17 note that you're leaving just before the ZEV hearing. 18 But I want to thank you for all the help you've 19 given me and the fond memories of not just ZEV, but Owens 20 Lake, those hearings; the fabulous ozone attainment 21 hearings for the Bay Area; and the toga party that you and 22 Board members, who I won't mention, but one of them is 23 just to the left of me, sat up late at night out here and 24 had pizza brought into the hotel room and beverages. And 25 you responded in kind in the morning. But for all the PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 10 1 things you've done, you've been a good friend, your good 2 humor, your guidance has been something that I personally 3 will reflect on for many years. 4 And to paraphrase somebody who is better at this 5 than any of us, people won't remember what we say here, 6 but I think Californians will long benefit from what you 7 did here. And for myself, I have great admiration for 8 what you've done. 9 So good luck, my friend, Judge Kenny. 10 BOARD MEMBER McKINNON: Yeah, Mike, I don't know 11 about toga parties, but anyway -- 12 (Laughter.) 13 BOARD MEMBER DeSAULNIER: We have photographs. 14 (Laughter.) 15 BOARD MEMBER McKINNON: I'm not sure if you take 16 great comfort. I take great comfort that you've been 17 requested to report back one more time. So that's good. 18 (Laughter.) 19 BOARD MEMBER McKINNON: I guess this is sort of 20 one of those that you had to have been there. But to any 21 staff that Mike made run through an airport, it is nothing 22 that he wouldn't do at a greater scale. 23 We took a trip to Mexico to visit some of the 24 Mikela Dora neighborhoods. And on our way back to the 25 hotel in the bus Mike decided he could make it home for PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 11 1 dinner. And the rest of us were busing to the hotel. We 2 stopped the bus on Harbor Drive in San Diego, which is 3 sort of like a freeway, and it's about a mile from the 4 airport. Mike got off the bus and sprinted to the 5 airport. And he made it home for dinner. 6 (Laughter.) 7 BOARD MEMBER McKINNON: Amazing, amazing. 8 But truly, Mike, we're going to miss you. Your 9 negotiating skills -- I come from a background where 10 there's a lot of negotiating. And I've been impressed 11 time and time again. And I hope there's a place for that 12 in what you're doing. I think there is and I think you 13 sort of tell people what the end result is. But good 14 luck, and we'll be expecting the report back. 15 Thanks. 16 BOARD MEMBER D'ADAMO: Your Honor, it's with 17 mixed feelings that I have -- especially the day that you 18 called to inform me about your appointment. I am just 19 thrilled and happy for you. I've known that this is 20 something you've been wanting to do for a long time, and 21 wish you well. 22 But I do have to share with you a little bit of 23 mixed feelings, because it has been just wonderful to work 24 with you and to see your endless enthusiasm and passion on 25 these issues, that we all care very much for, but it's PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 12 1 just been so reassuring to have you at the helm to 2 navigate us through and guide us on what has been many 3 complex and, from my perspective often times, confusing 4 issues. And you've continued to amaze me with your 5 ability, as Matt said, to negotiate through some complex 6 issues and to always do it with integrity, honesty, and 7 fairness, the very qualities that will serve you well on 8 the bench. 9 It's been reassuring for me, especially as I've 10 kind of had to grapple with some of these complex issues 11 and get halfway through and think, "I really just don't 12 see an end-game here. I don't see how this is going to 13 end up. I don't really know where we ought to head, and 14 I'm also very confused. I'll call Mike." 15 (Laughter.) 16 BOARD MEMBER D'ADAMO: And you've never once 17 disappointed me. So I want to thank you for all of that 18 guidance, and for also the friendship and the humor that 19 you've brought to the Board. Wish you tremendous success, 20 and I know that you will do well as a judge. 21 And I want you to know that the work that you've 22 done will be benefiting the State of California for many, 23 many years to come. You've got your hand print all over 24 the environmental quality progress that has been done for 25 years past and many, many years to continue. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 13 1 So thank you very much, and good luck. 2 BOARD MEMBER HUGH FRIEDMAN: This is a happy 3 occasion. It's not an occasion for a eulogy. 4 (Laughter.) 5 BOARD MEMBER HUGH FRIEDMAN: Michael, as the 6 Irish poet said, "Surely we're going to miss yee," that's 7 clear. 8 You know, following my appointment, yours -- 9 after Chairman Lloyd's -- was the first call I received to 10 congratulate me and welcome me. And at that conversation 11 you reminded me that our acquaintanceship had begun when 12 you and your wife Sue had met each other and formed a 13 study group in my Corporations class many years ago. 14 And I always wondered what went on in that class. 15 (Laughter.) 16 BOARD MEMBER HUGH FRIEDMAN: And I immediately 17 began to hope that I had given you a good grade, both you 18 and Sue -- 19 (Laughter.) 20 BOARD MEMBER HUGH FRIEDMAN: -- because we were 21 going to be working together. 22 You know that the great reward that a teacher can 23 ever possibly get is to have a student path cross later on 24 in life and be able close up to experience all that that 25 student has achieved and the excellence of his or her PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 14 1 career. And I really -- I'm so proud to have the 2 opportunity to work with you and to see how you have 3 bloomed and what you've become. And when I hear about 4 negotiating skills and quick intelligence and wit, I just 5 wish you'd manifested that in my class years ago. 6 (Laughter.) 7 BOARD MEMBER HUGH FRIEDMAN: Or maybe you did and 8 I just don't remember. 9 (Laughter.) 10 BOARD MEMBER HUGH FRIEDMAN: I'm kidding. 11 I too have mixed feelings because on the one hand 12 it's a great loss for all of us. You have contributed so 13 much. On the other hand it's a great gain to the 14 Sacramento bench, when you bring the attributes that you 15 bring to it. The capacity to listen patiently, to 16 evaluate, to reason logically to that end-game, the 17 conclusions that are important. The ability to be 18 decisive. I mean, after all, some decision's better than 19 none for litigants and people who turn to the system and 20 the judges to make decisions. And yet always flexible and 21 willing to adjust as the occasion demands, as you have 22 often done for us when we've asked for adjustments in 23 staff proposals. 24 I think of Jack Valenti's words. He was the very 25 close personal aid to President Lyndon Johnson. And he PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 15 1 always said -- or at least he's quoted as saying, and now 2 he's fond of repeating it as if he invented it -- that "I 3 always slept a little better at night knowing my president 4 was in the White House." And I must say from the day I 5 joined this Board, I felt very good knowing you were there 6 and with such a steady, even-handed hand at the helm. 7 On the other hand, as I say, you will bring those 8 attributes to the bench, and our judiciary always needs a 9 good infusion of fresh strength and the quality and 10 excellence that you bring. I think that lawyers and 11 litigants alike who appear before you are going to find a 12 very fair and impartial person who will listen to them, 13 will give them courtesy and respect. I can visualize you 14 addressing and instructing the jury. I hope you'll talk a 15 little less rapidly for those on the jury who may be in 16 their 60's or 70's, may have a little hearing impediment. 17 But I can just see you in that role. I think you 18 would be central casting -- will be. And I think that 19 when you sit in judgment of your fellow humans, they will 20 know that they've got a thoroughly decent, kind, 21 compassionate man judging them. 22 I wish you utmost satisfaction in this new 23 career. 24 CHAIRPERSON LLOYD: Before I pass on to Barbara, 25 one thing I did say. Maybe, Mike, on your way out you PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 16 1 could stop by the office. We want to remove that computer 2 chip implant which erased the no spray days from your 3 vocabulary. So now you can feel free to say that. 4 (Laughter.) 5 BOARD MEMBER RIORDAN: Thank you, Mr. Chairman. 6 I had the good fortune of working with Mike 7 through both of his roles here at the Air Resources Board. 8 And I must say he certainly excelled at both, both being 9 our General Counsel and then our Chief Executive Officer. 10 I can remember the day that I was given the 11 opportunity to have some input when you were made Chief 12 Executive Officer. And I was so delighted because I knew 13 that Mike would do such a wonderful job, and he certainly 14 has. 15 Mike, it's interesting that we've all mentioned, 16 with some degree of importance, this negotiating skill 17 that you have. And I'm just hopeful that as you sit on 18 the bench, that that will be transferred sometimes to some 19 of those attorneys before you and their clients, because 20 it is truly one of your outstanding skills. The ability 21 to negotiate for a reasonably good solution has been just 22 to your credit. And I just commend you for that. 23 I thank you for all of your time that you've 24 given, because he's given many, many hours, certainly here 25 in Sacramento, but many hours on the road. I don't think PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 17 1 people realize the travel that you have undertaken in 2 these last 6 1/2 years representing the State Air 3 Resources Board. I thank you for that. 4 And I just feel that California is a better place 5 in which to live because of your many contributions to air 6 quality and to good government. 7 Thank you, Mike. 8 BOARD MEMBER CALHOUN: Mike, you are the third 9 lawyer that has been the staff counsel for the Air 10 Resources Board that later become the Executive Officer. 11 We had Bill Simmons, Bill Lewis, and now at least we had 12 you. And I often wondered what is it that -- what 13 attribute, what trait lawyers had that would make them be 14 chosen as the executive officer. And I don't know if it's 15 because they like to argue -- 16 (Laughter.) 17 BOARD MEMBER CALHOUN: -- or if they are good at 18 obfuscating the facts -- 19 (Laughter.) 20 BOARD MEMBER CALHOUN: -- or exactly what it is. 21 But one of the things that I notice is when the 22 Board asked the staff questions and staff would look 23 around at each other, and Mike said, "Well, okay, I'll 24 answer the question." So they knew who was in charge. 25 And now that you are moving on to the judicial PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 18 1 field, one that you have wanted for a long time, and I'm 2 happy for you, I don't think you're going to have a large 3 staff to argue with. So whatever the decisions get made, 4 you'll end up making them, as you did most of them here. 5 But I do hope that whatever decisions you make as 6 a judge, that it be done with passion and fairness with 7 everyone. And I'm sure that you will. And I wish you 8 much success. 9 Thank you. 10 BOARD MEMBER PATRICK: Mike, it's been a real 11 pleasure for me to serve with you. I think all of us are 12 telling you that we're better people because we've worked 13 with you. California's better off because of the good 14 work that you and the staff here at ARB have done. 15 I know that you've certainly done everything you 16 can to bring various parties and interests together, and 17 that is such a tremendous challenge. And in the final 18 analysis, all of those people have tremendous respect for 19 you. Even the ones that didn't get exactly what they 20 wanted certainly feel that you did everything you could, 21 you weighed everything, all the information and all the 22 interests. And together with staff you came up with what 23 was in the best interests of the public. 24 And so as brokenhearted as I am that you're 25 leaving -- because I told you when you called me that I PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 19 1 was truly brokenhearted that you were leaving -- but I 2 think that we're all better off, not that you're leaving, 3 we're all better off for having worked with you. And I 4 think the people that are here in Sacramento County are so 5 very fortunate to have someone like you on the bench. 6 We all have spoken of your tremendous negotiating 7 skills. You're obviously a very, very bright person. 8 You're a compassionate person. And, most important, 9 you're a regular guy. And I think that's what we all like 10 about you. We not only like you professionally, but you'd 11 be a great next door neighbor too. And I think that is 12 one of your real strengths. 13 So congratulations. We're going to miss you. 14 But I think that your family is certainly better off with 15 having you be close to home more. 16 Congratulations. 17 BOARD MEMBER ROBERTS: Well, thank you. 18 You know, when you're batting ninth in the 19 lineup, not much is expected of you. So I'll try not to 20 disappoint here. 21 (Laughter.) 22 BOARD MEMBER ROBERTS: Wow, you sound pretty 23 great, Mike. I'm not sure if that's the guy I know. But 24 I -- 25 (Laughter.) PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 20 1 BOARD MEMBER ROBERTS: -- I am delighted, first 2 of all, what's happened to you because it's a realization 3 of your dream. And I don't think any of us could be so 4 selfish to say, "Well, that's too bad for us." It's good 5 for you, and that's good, period. 6 I will share with you, what I'm going to miss 7 with Mike is not these meetings. We have for years now 8 been trading recommendations on books to read. He likes 9 to read and I like to read, and we frequently exchange 10 recommendations. 11 Now, for my part I'm always recommending usually 12 nonfiction and history and something that's got some 13 socially redeeming value to it. 14 For his part I get pirates and 18th Century 15 swashbuckling heroes and so much garbage that I can't 16 hardly fit it into a normal reading list. But he's opened 17 all new worlds to me. 18 (Laughter.) 19 BOARD MEMBER ROBERTS: O'Brien, who writes -- you 20 know, has been a very prolific writer of the Napoleonic 21 period from a fiction standpoint, things like this, very 22 heavy duty. You know, you read them in about a day, so 23 that's the nice side of it. I'm going to miss that. And 24 I think it is the regular-guy thing that has been 25 mentioned. Not just regular -- a normal guy, normal PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 21 1 person. 2 I also appreciate what you have helped me 3 personally to understand. And more than that, to get 4 committed to some of the issues that have been before us 5 over the last several years. It has made, I think for me 6 and I think for all of us, our work here far more 7 significant. Some of us are volunteers here in the 8 fullest sense of the word. And it's not the easiest thing 9 to get up here. And for years now, every time I keep 10 thinking it's too much of a problem, Mike has been 11 convincing me, "No, you've got to do it for at least 12 another year." So there's one nice thing of not having 13 him here. I will not have that to contend with any 14 longer. 15 I want to thank you for everything you've done. 16 And it is very nice to see somebody who's had a dream for 17 a number of years being able to attain that dream. Judges 18 do -- the very good judges -- and I'm not a lawyer, but 19 the one thing I've noticed, and I work with a lot of 20 judges in my capacity as the county supervisors, the very 21 good judges do more than just judge. And as leaders they 22 can affect things in the community in a much bigger way. 23 I expect and I hope that you will be one of those kinds of 24 judges that doesn't just define a box in a room -- in a 25 courtroom, but sees how you can use that to create a far PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 22 1 better community for all of us. I expect that you will. 2 Congratulations. And as an old Chinese poet once 3 said, "Gung hai fat choi." And that means "Happy New Year 4 to you." 5 (Laughter.) 6 CHAIRPERSON LLOYD: Well, just concluding remarks 7 before we entertain a motion on the resolution, I would 8 also like to comment on a few things that probably is not 9 as apparent to my colleagues on the Board. But seeing 10 Mike in action on a daily basis, I think one of the 11 tremendous things he's done, why we will miss him, he has 12 made sure that the staff and the resources and the 13 infrastructure at ARB are stronger than probably when 14 he -- even stronger than when he took that over. 15 He fought vigorously for the identity of ARB. He 16 fought vigorously to get adequate office space in this new 17 building. He has instituted the virtual brown bag, always 18 open to ideas and I know responded to many of those. 19 And so I think, while he is leaving, he has a 20 satisfaction of leaving behind a very strong staff. He's 21 helped to promote people, making sure that they got the 22 paths to development, helped them wherever possible; been 23 extremely supportive, as I say, as my time of Chair and 24 the Chair's office. So I think that's something that I 25 would also like to tremendously applaud. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 23 1 So that he recognized one day he would go, but he 2 also prepared for that day and with the staff. And so we 3 have an extremely strong staff, an extremely committed 4 staff which will continue along. 5 And again, Mike, I'd like to recognize your 6 continued contribution for that and the extra dimension 7 that you added. And as I said before, whether it was the 8 janitor or whether it was the Chair or the Board members, 9 Mike always had a smile, always had a word, and that I'll 10 forever remember. 11 So with that, I'd like to entertain a motion. 12 BOARD MEMBER HUGH FRIEDMAN: Mr. Chairman, I'd 13 like to make a motion. I would also like to underscore 14 that this guy next door, this basically 15 thoroughly-decent-human-being characteristic is important. 16 And as you make this giant leap from the bar to the bench, 17 I know you'll never forget from whence you come. And that 18 human touch is very important when other people's lives 19 and property are at issue. 20 So I congratulate you again. I congratulate the 21 Administration, the Governor, who had the wisdom to see 22 those virtues in you and appoint you to this bench. 23 And I move that we adopt that resolution that was 24 carefully crafted. 25 BOARD MEMBER ROBERTS: Second. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 24 1 CHAIRPERSON LLOYD: Seconded by Supervisor 2 Roberts. 3 All in favor say aye. 4 (Ayes.) 5 CHAIRPERSON LLOYD: Unanimous. 6 We'd like, Mike, to invite you up to take the 7 resolution with you. 8 (Standing Applause.) 9 BOARD MEMBER RIORDAN: Is he going to say 10 anything? 11 MR. KENNY: I'll say it down there. 12 Well, this is not a place to be. When I walked 13 in today, I actually started to walk up to the staff 14 table. And it felt very funny not going there. 15 My head's probably about 50 times larger than 16 normal at the moment. I mean you are all very, very kind 17 and very, very generous. 18 I have really been fortunate. I mean it's as 19 simple as that. This is a wonderful place to work. In 20 the 13 years I've been here I've had the great honor, the 21 great privilege, the great luck to really work with people 22 who cared. And that is pretty neat. 23 It's very hard to say goodbye, so I'm not going 24 to. I really do hope I continue to see you all. You are 25 incredibly wonderful to work with. I mean you have PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 25 1 vision, you have commitment, you have passion, you have a 2 direction that really is setting this state on a course 3 that the world will continue to follow because it has been 4 following you. 5 You have a staff which is second to none. I mean 6 you're not going to find a staff that matches up with this 7 staff anywhere in the world. They're phenomenal, they're 8 fabulous. And probably more than anything, they will put 9 in the time, they will put in the effort, and they put in 10 whatever is required to get the job done. 11 And I'm talking about essentially the people who 12 are seated right in front of you. They are spectacular 13 and they direct the staff immensely well. 14 And I'm talking about the people who actually 15 work in this organization, you know, from the smallest 16 position to the largest position. Everyone brings forward 17 that same level of commitment, and they do a wonderful 18 job. 19 I've really enjoyed my time here. It's been 20 absolutely spectacular, it's been wonderful. I look back 21 on this with wonderful fondness. You know, some day I'll 22 probably think back on the time I spent here, and I may 23 look at this as the best time of my life. I was here from 24 when I was 35 to when I was 48, and I grew immensely while 25 I was here, simply because of the opportunity to work with PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 26 1 incredible talent and incredible commitment. And that 2 made an immense difference in my life. 3 So I do want to thank you as a board. I want to 4 thank the staff. And I also want to thank you, Hugh, and 5 you, Allen, for all your assistance, and it was 6 substantial, in making this next move to this next career. 7 And so I greatly appreciate that. I wouldn't have gotten 8 there without either one of you. So thank you. 9 But to the Board as a whole, thank you immensely. 10 I'll walk out of here and hopefully my head will shrink 11 back down to normal. It may take me a little while. 12 (Laughter.) 13 MR. KENNY: But I hope that happens. 14 But to the staff, I want to say thank you. It's 15 been a wonderful ride, and I've truly, truly enjoyed it. 16 It's been, you know, just absolutely fabulous. 17 So thank you very much. 18 (Applause.) 19 CHAIRPERSON LLOYD: Thank you very much, Mike. 20 We will now adjourn and reconvene a closed 21 session of the Board, as indicated in the public notice 22 for today's meeting. 23 The purpose of the closed session is to consider 24 personnel matters under Government Code Section 11126A. 25 Health and Safety Code 39515A provides that the PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 27 1 State Board shall appoint an executive officer who shall 2 serve at the pleasure of the State Board. The Board will 3 hold a closed session as authorized by Government Section 4 11126A to consider the appointment of a new executive 5 officer. 6 At the conclusion of the closed session, we will 7 reconvene in open session. 8 So thank you for your patience. And we will 9 assemble at the conclusion of the closed session. 10 Thank you. 11 (Thereupon the Board recessed into 12 closed session.) 13 CHAIRPERSON LLOYD: Thank you for your patience. 14 The meeting of the Air Resources Board is now in 15 session. So if we could please come to order. 16 And first item on the agenda is item 03-1-1. 17 I'd like to remind anybody who wants in the 18 audience who wants to testify on today's agenda items to 19 please sign up with the clerk of the Board. And also if 20 you have a written statement, please give 30 copies to the 21 clerk. 22 Again, the first item is our monthly update -- 23 health update. And as we heard during last month's health 24 update, studies are beginning to identify a biological 25 link between short-term exposure to fine and ultrafine PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 28 1 particles and the risk of heart disease. 2 So today's presentation will provide an overview 3 of the important developments in this area. 4 With that I'd like to turn it over to Mr. 5 Cackette to begin staff's presentation. 6 ACTING EXECUTIVE OFFICER CACKETTE: Thank you, 7 Dr. Lloyd, members of the Board. 8 (Thereupon an overhead presentation was 9 Presented as follows.) 10 ACTING EXECUTIVE OFFICER CACKETTE: Health 11 implications of exposure to ultrafine particulate matter, 12 which is the stuff that's much finer than PM2.5, is of 13 great concern to us from a public health standpoint. 14 Because these particles are so small, they could get deep 15 down into the lung and cause potential health problems. 16 Dr. Dave Mazzera from our Health and Exposure 17 Assessment Branch will make a staff presentation on the 18 studies. 19 DR. MAZZERA: Thank you, Mr. Cackette. 20 Good morning, Chairman Lloyd, and good morning, 21 members of the Board. 22 Today's presentation focuses on public health 23 issues and research activities related to ultrafine 24 particulate matter, as you've just heard. This 25 presentation expands upon last month's health update that PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 29 1 summarized the study indicating exposure to ultrafine PM 2 may cause a higher risk of cardiac ischemia, a serious 3 health effect. 4 --o0o-- 5 DR. MAZZERA: What exactly is ultrafine 6 particulate matter? These very small particles are a 7 sub-fraction of the currently regulated PM10 and PM2.5 8 sub-size fractions. Technically speaking, they are 9 defined as particles with a aerodynamic diameter of 0.1 10 microns and smaller. 11 The left panel of this slide compares PM10 and 12 PM2.5 relative to a human hair, which is typically 60 13 microns in diameter. 14 In this schematic the particulars are idealized 15 as individual spheres. But under real conditions are 16 likely more regular in shape. However, it does illustrate 17 how different these particles are in size. 18 For example, PM10 and PM 2.5 particles have 19 diameters that are 6 and 24 times smaller, respectively, 20 than that of a human hair. In the right panel, PM2.5 and 21 ultrafine PM are compared to the much larger PM10 22 particle, illustrating the fact that ultrafine PM is 25 23 times smaller than PM2.5 and 100 times smaller than PM10. 24 We're talking about very small particles relative to PM10 25 and even to PM2.5. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 30 1 The right panel also illustrates an important 2 physical characteristic of small particles. A given mass 3 of ultrafine PM contains thousands to tens of thousands 4 greater number of particles, with a correspondingly larger 5 surface area than an equivalent mass of larger particles. 6 This implies that the given mass of ultrafine particles 7 will impact a larger surface area of the lung tissue than 8 will an equal mass of larger particles, thus increasing 9 exposure. 10 --o0o-- 11 DR. MAZZERA: The major source of ultrafine 12 particulate matter is combustion. This pie chart shows 13 the contributions of major combustion sources to total 14 estimated ultrafine PM emissions based on the 1996 15 emissions inventory for the South Coast Air Basin. The 16 largest sources of ultrafine particle mass are on-road 17 motor vehicles; stationary-source fuel combustion; 18 non-highway mobile sources, for example, diesel off-road 19 vehicles; and miscellaneous processes like charbroiling, 20 petroleum refining, and waste burning. 21 --o0o-- 22 DR. MAZZERA: From an exposure perspective, the 23 amount of ambient monitoring information for ultrafine 24 particulate matter is limited. In fact, the only 25 comprehensive ambient monitoring network currently in PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 31 1 operation in the world is currently maintained by the ARB. 2 It is located in southern California. 3 Interestingly, data from this monitoring network 4 show freshly emitted ultrafine PM concentrations do not 5 correlate well with PM10 and PM 2.5 mass concentrations. 6 As a result, assessing exposure to these small particles 7 requires dedicated monitors. 8 --o0o-- 9 DR. MAZZERA: Other research has shown that the 10 concentrations of freshly emitted ultrafine PM decrease 11 rapidly with distance from source. A study on two Los 12 Angeles freeways confirms this as measurements of 13 ultrafine PM levels decreased to urban background levels 14 at about 300 meters from their freeway source. These 15 findings suggest that near-source exposures may play an 16 important role in ultrafine PM exposure. 17 --o0o-- 18 DR. MAZZERA: Exposure to ultrafine PM may lead 19 to adverse health effects. Several recent studies have 20 produced intriguing health-related findings that are worth 21 summarizing for you today. 22 A daily mortality study in Ehrfurt, Germany, was 23 the first epidemiology study that examined and found 24 significant associations between exposure to ultrafine PM 25 and mortality from respiratory and cardiovascular disease. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 32 1 Human exposure studies have shown that 2 individuals with moderate to severe airway obstruction 3 receive a greater dose of ultrafine PM than do healthy 4 individuals. 5 In addition, that ultrafine particles pass 6 rapidly into the human circulatory system, implying a 7 clearance mechanism exists for ultrafine PM in the lungs; 8 however, at the same time increasing the number of 9 particles in the blood and, thus, increasing exposure to 10 other organs. These results suggest that certain 11 sensitive sub-populations, like individuals with chronic 12 obstructive pulmonary disease, may be at greater risk than 13 healthy individuals when exposed to ultrafine PM due to an 14 increase of dose in the lungs, which leads to an increased 15 dose in the circulatory system. 16 Finally, a toxicology study published just last 17 month indicates that ultrafine PM is more potent than fine 18 or course PM towards inducing cellular damage, a possible 19 indicator of the biological mechanism of how ultrafine PM 20 exposure can affect human health. 21 It should be noted that relatively few reports 22 have been published on the health effects of ultrafine PM. 23 The first epidemiology study was published only a few 24 years ago, which is in contrast to the hundreds of 25 epidemiology studies on PM10 and PM2.5 published over the PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 33 1 last two decades. 2 3 --o0o-- 4 DR. MAZZERA: In an effort to help fill this 5 void, ARB is sponsoring research to investigate issues 6 related to the complexity of these particles. For 7 example, we are sponsoring research to investigate 8 emissions, including studying the characteristics of 9 ultrafine particles emitted from compressed natural gas 10 engines compared to those from diesel engines, including 11 the impact of controlled technologies. 12 Furthermore, as you will hear in detail during 13 the next agenda item, we are proposing to fund a study on 14 the dynamometer and roadside measurements of particular 15 emissions from heavy- and light-duty gas vehicles, which 16 will provide valuable information for fine tuning emission 17 profiles for ultrafine PM. 18 Exposure-related ultrafine PM measurements are 19 being conducted under contract supporting the Particle 20 Center exposure facility in southern California, the 21 12-station ultrafine monitoring network in-vehicle and 22 in-home measurement studies and an upcoming mobile 23 monitoring study. 24 --o0o-- 25 DR. MAZZERA: Health related research on PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 34 1 ultrafine PM is being performed under contract supporting 2 studies on elucidating the mechanisms of PM toxicity. 3 More importantly, the ARB is supporting studies to 4 evaluate health impacts from exposure to ultrafine PM as 5 part of the children's health study and the Fresno 6 Asthmatic Children's Environment Study. 7 Finally, staff is working with the University of 8 California to develop a proposal for an epidemiology study 9 focusing on the potential health effects to elderly 10 individuals exposed to ultrafine PM. We expect to bring 11 this proposal before the Board in March. 12 --o0o-- 13 DR. MAZZERA: This area of research is truly in 14 its infancy, especially in comparison to research with 15 other particle size fractions like PM10 and PM2.5. 16 However, exposure and health-related research is gaining 17 momentum. And results from studies to date have provided 18 us with important health-related findings that are 19 intriguing from a public health perspective. Therefore, 20 it is important to continue on the path of supporting 21 existing research as well as developing more focused 22 studies; in particular, health-related studies that 23 utilize ARB's unique ultrafine PM monitoring network to 24 provide us with the needed information on exposure and 25 potential adverse health effects related to these various PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 35 1 small particles. 2 Thank you. This concludes our presentation. 3 We would be happy to answer any of your 4 questions. 5 CHAIRPERSON LLOYD: Thank you very much. 6 Any questions from the Board? 7 Yes, Ms. D'Adamo. 8 BOARD MEMBER D'ADAMO: I just had a question on 9 slide 3, sources of ultrafine PM. I believe it was under 10 miscellaneous combustion, you indicated three sources. I 11 just didn't pick up on the second. I think you said 12 charbroiling, waste burning -- 13 DR. MAZZERA: Yes. Charbroiling, petroleum 14 refining, and waste burning. Those are the categories 15 that went into the miscellaneous combustion. 16 BOARD MEMBER D'ADAMO: Okay. And waste burning, 17 would it open or would it be waste-to-energy-type 18 facilities that are in a controlled setting? 19 DR. MAZZERA: I believe it's a combination of 20 both. 21 BOARD MEMBER D'ADAMO: This is all news to me. 22 But perhaps at some point staff could come back and maybe 23 give a more in-depth presentation on the differences 24 between 10, 2.5 and ultrafine. 25 I don't know, Chairman, if you agree with that. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 36 1 But I would find it helpful. 2 CHAIRPERSON LLOYD: Yes, yes. 3 DR. MAZZERA: Sure. We'll do that. 4 CHAIRPERSON LLOYD: Maybe at the beginning of the 5 next Board meeting or if you could -- or send the Board 6 members some specific information on looking at the whole 7 spectrum of the fines. 8 Any other questions, comments? 9 Turns out we have one witness signed up. 10 I just want to verify that the witness does 11 realize he's signing up in this session? 12 I'd like to call the first witness who is signed 13 up to speak on this item. That's Mr. Curt Rasmussen from 14 Yahoo Technologies. 15 MR. RASMUSSEN: Dr. Lloyd, since I talked to you 16 last we have made many progress and technology is now in 17 place -- three different technologies are now in place to 18 take care of all rice straw. There'll be no more air 19 pollution. There'll be no more burning. It will be 20 profitable to do it. And what we will do is we going to 21 make -- one technology is to make it into building 22 material in 2 1/2 inch thick walls that can be used and is 23 certified for building material. Now, not all of the rice 24 straw can be used there. The rest of it will be made into 25 biodegradable diesel fuel, that will burn cleaner and PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 37 1 better than any other diesel fuel. So we will sell it 2 back to the farmers. So there will be no waste there. 3 And the technology's negative energy consuming, because 4 the waste that comes out of the rise straw after you make 5 diesel fuel becomes boiler fuel, and you can now run the 6 plant with that, with generating electricity. And there 7 will be a little bit left over for selling to the to 8 the -- 9 And the next thing we will do also is, with 10 another technology, we will treat the rice straw so 11 everything can be used. And also we should be able to 12 take care of most of the methane problems in the rice 13 fields at the same if we get all -- once we get all three 14 together. USDA is going to fund half the research, and 15 we're going to build a research reactor in Albany this 16 year. And all the beta -- all the alpha testing has been 17 done. We're now into the beta testing. We expect to 18 go -- have at least ten plants up. 19 Then we're going to take care -- from then on 20 we're going to take care of all of the pollution from -- 21 and you can sell pollution points off of that because it's 22 so clean. Then we will take care of the waste water from 23 the sewer plants. It can be cleaned up and run into the 24 biodegradable diesel fuel. 25 The next thing we will do is we will take all PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 38 1 solid waste, any green waste, food waste, paper waste -- 2 anything that is carbon can be ground down to micro -- by 3 micron, went into fermenters, run into the reactor, comes 4 out like organic acids that can be changed into 5 biodegradable diesel fuel, biodegradable plastic, 6 methanol, ethanol, and a couple of other things. And then 7 we look -- the only thing I haven't -- and we looking on 8 and we maybe can solve also -- solve your PM problem from 9 the dairy farms. That technology is available and is used 10 in 150 dairies in Europe. And I hope to have -- some day 11 I'll have -- if I could only get UC Davis to do 12 something -- so we will solve that also. 13 CHAIRPERSON LLOYD: Thank you very much. It 14 would be very helpful if those technologies can help us. 15 What I would suggest, that maybe our roving 16 ombudsman could get in touch with you so that you could 17 pass on the information, that we could utilize that. 18 MR. RASMUSSEN: Is it possible to have the 19 vendors, the people involved, investors and so forth, and 20 they would like to meet you. Have you got any time 21 February 6th for lunch? 22 (Laughter.) 23 CHAIRPERSON LLOYD: I don't make appointments 24 from the podium. 25 Thank you very much. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 39 1 So with that I'd like to officially close this 2 item. This is not a regulatory item. Not necessary to 3 officially close it. 4 And we move on to the next agenda item, 03-1-2. 5 Then while the Research division is up at the 6 podium, we're going to take two items. That's the 7 research proposals and the appointments to the RSC. 8 So, Mr. Croes, do you have anything to add in 9 terms of the research proposals? 10 RESEARCH DIVISION CHIEF CROES: Yes, we do, 11 Chairman Lloyd. Dr. Eileen McCauley, the head of our 12 mospheric Processes Research Group, will provide a brief 13 overview of the two projects. 14 DR. McCAULEY: Good morning, Chairman Lloyd and 15 members of the Board. 16 Today we are presenting two research proposals 17 for a total of approximately $280,000 for your approval. 18 (Thereupon an overhead presentation was 19 Presented as follows.) 20 DR. McCAULEY: These proposals support areas 21 important to the Board, such as AB 1493, a bill requiring 22 the Board to regulate greenhouse gas emissions from 23 light-duty vehicles and PM source apportionment. 24 I will discuss each project briefly. 25 --o0o-- PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 40 1 DR. McCAULEY: The first proposal is entitled 2 Global Radiative Effect of Black Carbon and will be 3 conducted by the California Institute of Technology. 4 While the effects of greenhouse gases on climate 5 have received more attention, PM such as black carbon can 6 also warm the global climate. The interactions of black 7 carbon with sulfate and other particles that have a 8 cooling effect are extremely complex. And, thus, at 9 present there's significant uncertainty as to the 10 magnitude and direction of the overall radiative forcing 11 from PM. 12 This project will use a global general 13 circulation model to provide improved estimates of the 14 radiative forcing values for PM from motor vehicles and, 15 thus, support ARB's efforts on AB 1493. 16 --o0o-- 17 DR. McCAULEY: The second proposal is entitled 18 Source Apportionment of Fine and Ultrafine Particles in 19 California: Tailpipe and Roadside Measurements of 20 Ultrafine Particles. 21 As you learned earlier today, ultrafine PM is an 22 area of emerging interest. And ARB would like to have a 23 better understanding of the role different sources play in 24 ultrafine PM levels. 25 The proposal before you is an augmentation of an PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 41 1 existing contract. Because light-duty motor vehicles are 2 such an important source of ultrafine particles, the 3 original source apportionment project will benefit by 4 having the best data possible for this category. The data 5 collected as part of this augmentation will be used to 6 apportion ultrafine PM in both southern and central 7 California. 8 This concludes my presentation. We will be happy 9 to answer any questions. 10 CHAIRPERSON LLOYD: Thank you. 11 Any questions from the Board? 12 One question. When will the results of the 13 latter proposal appear in the mobile model to protect -- 14 or the emissions model to protect ambient particulates? 15 DR. McCAULEY: We expect to have results from the 16 source apportionment project in a year. But I would 17 expect it would take additional time to take those results 18 and put them into a model. 19 CHAIRPERSON LLOYD: Okay. 20 Mr. Calhoun. 21 BOARD MEMBER CALHOUN: Are the dollar amounts 22 shown on these slides accurate? 23 DR. McCAULEY: Yes. 24 BOARD MEMBER CALHOUN: Do we expect any support 25 from the federal government in doing these? PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 42 1 DR. McCAULEY: No, the -- well, the source 2 apportionment project will benefit by collaborating with a 3 Coordinating Research Council project that is ongoing. 4 And, as you now, the Coordinating Research Council has 5 funding from the federal government among other agencies. 6 Professor Seinfeld, who is doing the first 7 project, has a grant into I believe NASA for an 8 improvement of the treatment of particulate matter in 9 general circulation models. But that isn't directly part 10 of this proposal. 11 BOARD MEMBER CALHOUN: Thank you. 12 CHAIRPERSON LLOYD: Thank you. 13 With that I'd like to move to a vote. 14 All in favor of supporting and approving these 15 proposals, say aye. 16 (Ayes.) 17 CHAIRPERSON LLOYD: Anybody against? 18 No. 19 Thank you. 20 Next item on the agenda is 03-1-6, public meeting 21 to consider appointments to the Research Screening 22 Committee. 23 The statute creating the Board also authorizes 24 the Board to appoint a Research Screening Committee to 25 advise the Board on its extramural research activities. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 43 1 The Committee has nine members and one ex 2 officio, each representing a scientific or technical 3 discipline that is relevant to review and advise on our 4 air quality research program. 5 We have been privileged over the years to have a 6 host of eminent scientists serve on this Committee. As 7 you know, the workload is significant -- and I can 8 personally attest to that -- and the compensation is more 9 symbolic than financial. At a hundred dollars a day, 10 that's definitely true. Their input, however, has been 11 invaluable to the Board over the years, and I think 12 they've done an outstanding job. 13 Ms. Lynn Hyldmann and Ms. Catherine Koshland have 14 departed from serving on the Committee, for various 15 reasons. Nominations for their replacements and 16 information on the current members are before us today. 17 Dr. Robert Devlin and Dr. Barbara Finlayson-Pitts 18 have been identified as two excellent and well qualified 19 candidates and have been put forward for the Board's 20 consideration as members of the Research Screening 21 Committee. 22 Mr. Cackette, I would like for you and your staff 23 to describe their general affiliations and areas of 24 expertise. 25 ACTING EXECUTIVE OFFICER CACKETTE: Thank you. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 44 1 Emma Plasencia will read into the record the 2 qualifications of Doctors Devlin and Finlayson-Pitts. 3 RESEARCH DIVISION CONTRACTS COORDINATOR 4 PLASENCIA: Thank you, Mr. Cackette. 5 Good morning, Chairman Lloyd and members of the 6 Board. 7 We are very pleased the two highly qualified 8 candidates are willing to serve on the Research Screening 9 Committee. Dr. Robert Devlin is with the U.S. EPA Office 10 of Research and Development. He is the chief of the 11 clinical research where he leads a group of scientists 12 responsible for assessing the effects of environmental 13 pollutants in humans. 14 His current research uses a combination of 15 molecular in vitro toxicology, in vivo human exposure, and 16 epidemiological approaches to understanding the mechanisms 17 by which inhaled pollutants damage the respiratory and 18 cardiovascular systems of humans. 19 His research has been recognized with numerous 20 U.S. EPA scientific awards. Since joining the U.S. EPA in 21 1986 he has authored more than 100 journal articles and 22 has given more than 40 invited seminars at research 23 institutions or international meetings. 24 He also reviews articles for several journals, 25 reviews research grants for several agencies, and is a PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 45 1 member of several advisory panels, review groups, and 2 professional societies in his areas of interest. 3 The second nominee, Dr. Barbara Finlayson-Pitts, 4 joined the faculty in the Department of Chemistry at the 5 University of California Irvine in 1994, where she is 6 currently Professor of chemistry. 7 Her research interests include the 8 photo-chemistry, kinetics, and mechanisms of atmospheric 9 reactions, especially heterogeneous reactions. 10 Current studies include reactions of gases with 11 sea salt particles and their components, as well as of 12 oxides of nitrogen on surfaces representative of those 13 found in the lower atmosphere. 14 She has been honored with numerous awards for her 15 outstanding contributions to students. She is the author 16 or co-author of more than 90 peer-reviewed articles as 17 well as two books. 18 She was elected a Fellow of the American 19 Association of the Advancement of Science in 1993 and a 20 Fellow of the American Geophysical Union in 2002. 21 She is currently on the NASA date evaluation 22 panel and on the editorial boards of several journals, 23 including Science. 24 That summarizes the qualification of the 25 candidates. Further details are available in your PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 46 1 information packages. 2 We recommend that you approve the appointments of 3 Dr. Robert Devlin and Dr. Finlayson-Pitts to the Research 4 Screening Committee. 5 This concludes my presentation. We will be happy 6 to answer any questions you may have. 7 CHAIRPERSON LLOYD: Thank you very much. 8 I think it's great also to have Dr. Devlin having 9 a linkage with EPA, I think is -- that's wonderful because 10 it can leverage some of their dollars and also avoids 11 duplication of efforts. So that's excellent. 12 And conjunction with having Dr. Lipsett as an ex 13 officio, I think this is really a strong committee. 14 And of course I personally know Dr. 15 Finlayson-Pitts, so that will work out very well. And 16 there you may even get two for the price of one. 17 BOARD MEMBER RIORDAN: Do you need a motion, Mr. 18 Chair? 19 CHAIRPERSON LLOYD: Yes, please. 20 BOARD MEMBER RIORDAN: I'd like to move their 21 approval. 22 BOARD MEMBER PATRICK: Second. 23 CHAIRPERSON LLOYD: All in favor say aye. 24 (Ayes.) 25 CHAIRPERSON LLOYD: Thank you. A unanimous vote PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 47 1 on that. 2 Thank you. 3 Next agenda item today is 03-1-3, overview of the 4 Air Resources Board regulatory and non-regulatory calendar 5 for 2003. Essentially the look ahead. 6 Each year ARB is required to submit its proposed 7 rulemaking calendar to the Office of Administrative Law 8 for publication. At the same time, for internal planning 9 purposes, staff forecast all the significant 10 non-regulatory projects that will occur during the 11 calendar year. 12 I had an opportunity to see a preview of the 2003 13 calendar and, I must say, it's very ambitious. What's 14 happening is that several projects staff began to work on 15 months and years ago are now nearing fruition. And of 16 course then we see that now we have a significant workload 17 as that's coming to a head. 18 On other the hand, I also recognize that while we 19 make projections at the beginning of the year, things can 20 happen during the time period that we have to modify that 21 as the years go by. 22 But, again, I'm delighted to see the calendar 23 ahead, and turn this over to Mr. Cackette to begin the 24 staff presentation. 25 ACTING EXECUTIVE OFFICER CACKETTE: Thank you, PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 48 1 Dr. Lloyd. 2 (Thereupon an overhead presentation was 3 Presented as follows.) 4 ACTING EXECUTIVE OFFICER CACKETTE: I tried to 5 break out the Board items that you'll be seeing this year 6 into four different categories rather than to give you the 7 month-by-month rundown, which you can see in the draft 8 regulatory agenda that you have. 9 And I've broken it down into, first of all, major 10 regulations that will be presented to the Board. And we 11 tried to split these up into those that are primarily 12 oriented at achieving HC and NOx reductions for our State 13 Implementation Plan. Although, as you'll see, many of 14 those reduce other pollutants as well. 15 And then there are a series of regulations that 16 are aimed at -- primarily at reducing PM. And those are a 17 focus of our Diesel Risk Reduction Plan, which is the DRRP 18 you see on the slide. Then there'll be several that are 19 specifically oriented at reducing toxics that the Board 20 has identified. And in particular we'll have two items 21 that deal with review of the ambient air quality standards 22 for ozone and some toxic identification, new compounds 23 identified as TAC's. 24 Then we'll slip on to talk about several SIP 25 revisions that are coming to the Board, some funds and PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 49 1 fees issues that you'll have to address, and finally some 2 reports both required by the Legislature and by yourself 3 of the staff. 4 --o0o-- 5 ACTING EXECUTIVE OFFICER CACKETTE: First, we'll 6 break down the regulations that are aimed at reducing HC 7 and NOx into gasoline vehicles and then diesel vehicles. 8 As you know, next month we'll be hearing revisions to the 9 ZEV Program. And of course that's quite a controversial 10 issue, as you know, and will consume most of the Board 11 meeting I believe for that month. 12 Later in the year we'll also be looking at new 13 regulations for lawn mowers and related small engines that 14 affect both the tailpipe emissions and the evaporative 15 emissions. There's quite a bit of emission opportunity 16 for reductions here. 17 We're also going to be looking at another set of 18 standards for forklifts later in the year. 19 --o0o-- 20 ACTING EXECUTIVE OFFICER CACKETTE: For the heavy 21 diesel engines we have a proposal under development to use 22 technology to reduce truck idling. This will be a device 23 that can sort of turn the engine off after so many 24 minutes. It reduces not only -- and all of these cases 25 they reduce HC and NOx, but also will reduce particulate PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 50 1 matter. 2 There's a proposal -- you'll be hearing about 3 this later today -- to impose a requirement for on-board 4 diagnostics, much like we have on cars that check engine 5 light, on heavy-duty diesel trucks. A proposal to have an 6 in-use compliance program, a recall program, which we have 7 for cars but do not have for trucks. 8 Proposal to require the computer chips on some of 9 the vehicles from the 1990's that had that problem with 10 high emissions that we ended up with a settlement with the 11 industry on -- it's now possible to reflash some of those 12 chips for lower emissions. And so we'll have a proposal 13 to explore that. 14 Staff will be bringing to you also a proposal to 15 reduce the sulfur content in diesel fuel down to a level 16 of about -- something like 15 PPM, which will support the 17 use of advanced emission control technologies on the 18 exhaust of diesel engines both on and off the road. 19 We'll have one more vapor recovery proposal this 20 year. This deals with aboveground storage tanks. Last 21 year you dealt with the traditional underground storage 22 tank that most service stations have. But there are many 23 aboveground tanks as well, and they are a source of 24 hydrocarbon emissions. 25 And, finally, we'll be proposing amendments to PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 51 1 the mitigation portion of the transport regulations that 2 you adopted previously. 3 --o0o-- 4 ACTING EXECUTIVE OFFICER CACKETTE: Now, 5 regulations directly trying to reduce PM primarily from 6 the existing fleet. These are a series of retrofit 7 regulations. The first one that will be coming to you is 8 a proposal to add retrofit devices to refuse or garbage 9 trucks. There will be another one for gasoline fuel 10 delivery trucks. And then finally one towards the end of 11 the year -- this might be one of those that slips into the 12 next year, but we're on target right now to have a 13 regulation that would require retrofits on public fleets, 14 municipal and other types of government diesel engines 15 which can use the particulate filter and other similar 16 type technologies. 17 There's a similar proposal under development for 18 TRU's, transportation refrigeration units, those engines 19 that kind of sit on the front of the trailer. One for 20 stationary diesel engines and one for portable diesel 21 engines. 22 So this is quite a large menu that is trying to 23 implement the Diesel Risk Reduction Plan that you approve 24 several years ago. 25 --o0o-- PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 52 1 ACTING EXECUTIVE OFFICER CACKETTE: For air toxic 2 control measures, there'll be a proposal to reduce the 3 amount of formaldehyde that is contained in wood products 4 and to eliminate lead from automotive coatings or paints. 5 --o0o-- 6 ACTING EXECUTIVE OFFICER CACKETTE: Regarding the 7 standards and toxic identification, the ambient ozone 8 standard comes under a regular review by the Board every 9 five or so years. There's new science there. And also 10 EPA has adopted a different form of the standard in terms 11 8 hours instead of 1 hour. And so the staff will be 12 presenting to you the latest science and their 13 recommendations on what forms the standards should take. 14 We're also in the process of developing the 15 assessment of environmental tobacco smoke as a toxic air 16 contaminant. And that may come to you also this year. 17 --o0o-- 18 ACTING EXECUTIVE OFFICER CACKETTE: That's just 19 for listing it along with the long list of other compounds 20 that you've identified as TAC's. 21 On the area of State Implementation Plans, we are 22 in the very end of the process of developing a draft State 23 Implementation Plan for the South Coast, working with the 24 South Coast. Some of the materials are now on our website 25 and have been published and there's workshops and things PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 53 1 going on. And this will come to you at the middle of the 2 year, as will a PM10 SIP for the San Joaquin valley. 3 --o0o-- 4 ACTING EXECUTIVE OFFICER CACKETTE: We do deal 5 with funds and fees, as you know. The Carl Moyer Program 6 will be coming forward to you for a few fine tunes and 7 revisions because, you know, we have money from Prop 40 to 8 continue this program for the next two years. 9 Also our budget has a reduction in it of around 10 $10 million. And in the budget there's an indication that 11 the Legislature may decide to establish some additional 12 fees to make up for that loss. And if that happens, it 13 would come back to the Board in the form of a regulation 14 to establish what our those fees. 15 --o0o-- 16 ACTING EXECUTIVE OFFICER CACKETTE: We won't know 17 about that of course until after the Legislature takes its 18 action on next year's or July '03 budget. 19 Number of significant reports. First set are 20 required by legislation. As part of extending the smog 21 check program or the enhanced smog check program to the 22 Bay Area, the legislation provided that additional cars 23 could be exempted. Right now we exempt cars for the first 24 four years. The legislation said it could exempt cars up 25 to six years. However, it included a provision for you to PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 54 1 amend that legislative direction should it create an 2 adverse impact on air quality. So whether we exempt two 3 more years, one more year, zero years, or some combination 4 in between will be something that the Board will have to 5 decide. 6 There's a report that the CEC and ourselves have 7 been working on for several years now on ways to reduce 8 petroleum dependency. And that's coming to a closure here 9 and will come to the Board, also to the Commission at the 10 similar timeframe, for approval. And has a wide range of 11 issues in it addressing reduction in petroleum use from 12 all the mobile sectors. 13 We also will have a portable classroom study that 14 looks at what are the indoor air quality issues 15 surrounding portable classrooms that the Legislature 16 required. And that will be coming to you for your 17 approval as well. 18 Also, you have asked us for some studies. And 19 those will be put on the agenda. You've asked us to look 20 at what are the causes and sources of in-use emissions 21 from the existing fleet of light-duty vehicles and what 22 can we do about it. We'll present a report to you on 23 that. You've asked us to look at and better characterize 24 and present a picture of what are the emissions from 25 federal sources. We'll do that. Probably those both at PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 55 1 the same time. 2 And we owe you a report on the weekend effect, 3 which is the trend where the peak ozone values have been 4 migrating from the workdays to the weekend days. 5 Finally, as we I think shared with you late last 6 year, we'll be presenting a fairly extensive status report 7 on our progress to reduce greenhouse gases and in 8 particular to implement the regulations required in AB 9 1493. And That comes I believe in October of this year. 10 And I think that's it. So if you have any 11 questions, we'd be glad to answer them or entertain a 12 discussion. 13 CHAIRPERSON LLOYD: Thanks very much, Tom. This 14 is really a nice way of presenting that. It looks as 15 though we've got a pretty full plate ahead. 16 On the last area where you talk about information 17 reports, the timing for the two reports we asked for last 18 month was conspicuous by its absence. Do you have a 19 time -- 20 ACTING EXECUTIVE OFFICER CACKETTE: As to when we 21 plan on those? 22 Both of the reports on in-use emissions on 23 federal sources, I think you'd asked for them for March, 24 but we're targeting, with your approval, April. Both it 25 fits into the Board agenda and gives us a little bit more PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 56 1 time. 2 CHAIRPERSON LLOYD: Okay. That's fine. 3 ACTING EXECUTIVE OFFICER CACKETTE: So those are 4 both equal. 5 CHAIRPERSON LLOYD: Okay. Thank you. 6 BOARD MEMBER RIORDAN: Mr. Chairman, I have just 7 a brief question. 8 CHAIRPERSON LLOYD: Yes. 9 BOARD MEMBER RIORDAN: The portable diesel engine 10 item, if I look to our tentative agenda, I see it for 11 December; is that correct? 12 ACTING EXECUTIVE OFFICER CACKETTE: Yeah, I 13 believe that's correct. I'll tell you here in just -- 14 BOARD MEMBER RIORDAN: To be honest with you, the 15 reason I'm asking, it was asked of me. So I -- and that 16 would not be taken up any earlier, would it? If anything, 17 it would maybe drop back slightly, in other words -- or 18 move forward? Excuse me. Not drop back. 19 ACTING EXECUTIVE OFFICER CACKETTE: Yeah, that 20 will probably depend on the new executive officer. Mike 21 Kenny had a reputation of always asking for more, earlier, 22 faster. 23 But, yeah, I think in general, the dates that we 24 have in here are either on target or optimistic. And 25 depending on interactions with stakeholders, availability PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 57 1 of new data, et cetera. You know, there's a possibility 2 that some will slip and -- 3 BOARD MEMBER RIORDAN: Okay. Thank you. I 4 appreciate that. 5 CHAIRPERSON LLOYD: Mr. Calhoun. 6 BOARD MEMBER CALHOUN: How far along are we in 7 developing the proposed regulations? For example, you 8 mentioned about retrofitting diesel trucks. What's the 9 status of that? 10 ACTING EXECUTIVE OFFICER CACKETTE: Well, the 11 first one that would come to the Board is the trash truck 12 or refuse truck regulation. That's targeted for May or 13 June of this year. I think the calendar says May. 14 We're quite a ways along on it. We have had an 15 extensive number of workshops and outreach with the 16 industry. There's maybe a couple of big issues that are 17 still lingering out there. But we're hoping to wrap those 18 up and have it to you by that mid-year date. 19 BOARD MEMBER CALHOUN: Well, I guess I'll ask the 20 very simple question then. What does it appear like at 21 this stage? Does it appear like it's going to be a go 22 program? 23 ACTING EXECUTIVE OFFICER CACKETTE: Yes, it 24 appears like it's a go program. 25 BOARD MEMBER CALHOUN: Okay. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 58 1 ACTING EXECUTIVE OFFICER CACKETTE: There'll be 2 different kinds of retrofits. And, you know, we've 3 learned that not all vehicles can be retrofitted. But we 4 believe that a large number of them can on trash trucks, 5 and we believe the evidence we're seeing now is that they 6 will work successfully. And so, well, we're dealing with 7 issues now that are like building our confidence in the 8 experience of those trucks that now have the equipment 9 voluntarily in demonstration programs and figuring out the 10 financing. 11 BOARD MEMBER CALHOUN: Okay. On the in-use 12 emissions from light-duty vehicles, what's the status of 13 that? 14 ACTING EXECUTIVE OFFICER CACKETTE: That was a 15 report that the Board asked for a couple months ago, I 16 believe it was. And I think it came out of reviewing some 17 information that shows that at least in this decade the 18 in-use fleet has much larger emissions than the newer 19 vehicles that will be rolling into the fleet. And that to 20 make progress towards the attainment deadlines, we have to 21 do something with the existing fleet, not just always with 22 the new vehicles. 23 And so you asked us to try to, you know, present 24 a clearer picture of where the emissions are coming from, 25 is it, you know, gross emitters, is it just the fact PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 59 1 there's a lot of old cars? You know, what is it and are 2 there other things that can be done other than the current 3 smog check program we have now to reduce emissions? And 4 that's what we'll try to present to you just in an 5 informal staff report in April. 6 BOARD MEMBER CALHOUN: Okay. Thank you. 7 CHAIRPERSON LLOYD: Professor Friedman. 8 BOARD MEMBER HUGH FRIEDMAN: Just a question. I 9 noticed that in May we're scheduling the San Joaquin 10 Valley SIP and amendments to the transport regulations, 11 which I assume would affect that area. 12 And then the following month, in June, we do the 13 South Coast SIP, or at least get a report on the measures 14 and the South Coast ozone. 15 I'm just wondering, is there any chance that 16 budgetarily we could meet at least one of those occasions 17 in the area and give the people there an opportunity? I 18 don't know, you know, where we are on the budget and I 19 know there's cost constraints. But all of the meetings 20 are now scheduled for Sacramento. And I don't know if 21 this would be appropriate for outreach or not. 22 ACTING EXECUTIVE OFFICER CACKETTE: Yeah, I'm 23 not -- I know we had planned on one or two Board meetings 24 away from Sacramento. I think budgetarily we could do it. 25 They do cost us extra money, but I think it's doable. And PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 60 1 what we haven'nt decided yet is where -- 2 BOARD MEMBER HUGH FRIEDMAN: I don't think we've 3 met yet, in my mind or memory, in either Fresno, Modesto, 4 Bakersfield in the last four years or so. 5 ACTING EXECUTIVE OFFICER CACKETTE: I don't 6 think -- we have in the past. But I think your 7 recollection's correct that -- 8 BOARD MEMBER RIORDAN: Yeah, we've been in 9 Bakersfield in 19 -- 10 BOARD MEMBER HUGH FRIEDMAN: Anyway I just asked 11 the question. Obviously it's premature. 12 CHAIRPERSON LLOYD: You're requesting July in -- 13 BOARD MEMBER HUGH FRIEDMAN: I'm just raising it 14 if it would be appropriate, May in Modesto or month dose 15 at the or -- 16 BOARD MEMBER ROBERTS: April in Paris. 17 (Laughter.) 18 BOARD MEMBER HUGH FRIEDMAN: April in Paris. 19 That would be good. 20 ACTING EXECUTIVE OFFICER CACKETTE: Well, we'll 21 definitely go back and look at that and talk to Dr. Lloyd 22 about it and see if we can arrange that. 23 CHAIRPERSON LLOYD: Well, maybe for some of the 24 more exciting Board meetings we could charge price of 25 admission so we can recover some of our costs for going PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 61 1 down there. 2 (Laughter.) 3 CHAIRPERSON LLOYD: But thank you. We'd 4 appreciate looking into that, yes. 5 BOARD MEMBER HUGH FRIEDMAN: You can pay me now, 6 Dede. 7 (Laughter.) 8 BOARD MEMBER DeSAULNIER: We'll be happy to host 9 the transport issue in the Bay Area. 10 (Laughter.) 11 BOARD MEMBER DeSAULNIER: I don't know if I want 12 to go. 13 CHAIRPERSON LLOYD: Any other questions from the 14 Board? 15 Thank you very much. 16 It' not a regulatory item. It's not necessary to 17 officially close the record. And there's no resolution, 18 so no action to take. 19 So we move on to the next agenda item, which will 20 be the report on environmental justice. 21 So we'll get a moment while staff comes up. 22 The next item on the agenda today is 03-1-4, a 23 status report on implementation of ARB's environmental 24 justice policies and actions. 25 As Chairman, I've always held environmental PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 62 1 justice as one of the Board's highest priorities. I'm 2 proud of what we have accomplished during the past four 3 years, and I fully expect this agency to continue its 4 leadership role in this area. 5 Over the last year Board Member McKinnon has 6 chaired an environmental stakeholders group that helped us 7 to produce two very important work products. And I deeply 8 appreciative of Mr. McKinnon's efforts in this area, the 9 time, effort and the leadership that he has shown as being 10 tremendous, and I want to publicly thank him for his 11 excellent efforts in this tough area. 12 As I said, that stakeholders group provided 13 valuable input as the staff followed up on the action 14 items on the 2001 policy document. I'm looking forward to 15 hearing about the activities that have been completed in 16 the last six months and those planned for this year. 17 So with that I would like to turn it over to Mr. 18 Cackette to begin the staff presentation and introduce the 19 item. 20 ACTING EXECUTIVE OFFICER CACKETTE: Thank you, 21 Dr. Lloyd and members of the Board. 22 The ARB's environmental justice policies and 23 actions are important aspects of our community health 24 program. Policies provide a framework for incorporating 25 environmental justice into the ARB's programs consistent PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 63 1 with the directives of state law. State law defines 2 environmental justice as the fair treatment of all 3 individuals with respect to the development, adoption, 4 implementation, and enforcement of environmental laws, 5 regulations, and policies. 6 And we certainly want to recognize Board Member 7 McKinnon's effort in leading the Environmental Justice 8 Stakeholders Group. 9 In cooperation with the EJ stakeholder group, the 10 ARB staff has completed two major work products: The 11 complaint resolution protocol and the public participation 12 guidebook. 13 These items were specifically requested by the 14 environmental justice community groups to promote the 15 timely resolution of air pollution complaints and to aid 16 community members in more fully participating in air 17 pollution decision making. 18 So with that introduction, I'll ask Karen Buckley 19 of the Environmental Justice Section to present the status 20 report. 21 (Thereupon an overhead presentation was 22 Presented as follows.) 23 MS. BUCKLEY: Thank you, Mr. Cackette. 24 Good morning, Mr. Chairman and members of the 25 Board. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 64 1 We're here today to provide an update on the 2 status of the implementation of the environmental justice 3 policies and actions approved by the Board in December of 4 2001. 5 These policies committed ARB to specific actions 6 to incorporate environmental justice into our programs. 7 The activities to implement, the environmental justice 8 commitments, are guided by policies along with input from 9 the environmental justice stakeholders and community 10 groups. 11 --o0o-- 12 MS. BUCKLEY: First, let me begin by reviewing 13 how our Environmental Justice Program has evolved over the 14 last few years. 15 In 1999, we began to community-oriented air 16 monitoring Barrio Logan. The lessons we learned in Barrio 17 Logan over the last three years have helped shape our 18 Environmental Justice Program. 19 In 2000 the chairman's community health advisor 20 broadened this program to a statewide level and initiated 21 the Neighborhood Assessment Program. As part of this 22 program, ARB staff worked closely with the working group 23 composed of a diverse group of stakeholders now called the 24 Environmental Justice Stakeholders Group. 25 In 2001 the environmental justice policies and PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 65 1 actions were developed and approved by the Board. 2 Implementation of the policies is ongoing, beginning with 3 the formation of an environmental justice section, the 4 development of a workplan, and providing ARB staff with 5 environmental justice training. 6 --o0o-- 7 MS. BUCKLEY: Our priorities for last year were 8 guided by the commitments in the policy document and input 9 from the Environmental Justice Stakeholders Group. The 10 main work products of 2002 include the complaint 11 resolution protocol and the public participation 12 guidebook. Other activities include our community 13 monitoring projects and developing innovative approaches 14 for making air pollution information more accessible to 15 the public. 16 --o0o-- 17 MS. BUCKLEY: The Environmental Justice 18 Stakeholders Group has assisted ARB staff in the 19 development of this year's environmental justice work 20 products. This group is chaired by Board Member Matt 21 McKinnon and consists of representatives from CAPCOA, 22 community members, community groups, and industry 23 representatives. The group met six times last year and 24 has provided ARB staff with valuable comments and diverse 25 perspectives on the issues. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 66 1 --o0o-- 2 MS. BUCKLEY: The environmental justice workplan 3 was developed from commitments that were made in the 4 policies at the December 2001 Board meeting. This 5 workplan identifies the environmental justice, related 6 activities that ARB will be conducting through the end of 7 this year. 8 --o0o-- 9 MS. BUCKLEY: The complaint resolution protocol 10 through out of concerns from community groups who believed 11 action was not always being taken on their complaints 12 about local air pollution problems. In response to these 13 concerns a joint ARB/CAPCOA complaint resolution protocol 14 was developed. 15 This protocol was designed to promote a timely 16 response to air pollution complaints and to ensure that 17 complainants are in informed of the outcome of the 18 investigation. While the protocol is primarily based on 19 existing ARB and district practice, a major new element of 20 this item is the availability of an over-the-phone 21 translation service. 22 --o0o-- 23 MS. BUCKLEY: The complaint resolution protocol 24 recognizes that the districts have the primary 25 responsibility for complaints concerning local facilities. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 67 1 The protocol details the process for resolving complaints, 2 including the commitment that complainants will be 3 notified about the outcome of their complaint. The 4 protocol combines the best elements of existing 5 enforcement practices from ARB and local air districts to 6 ensure a timely response and effective investigation of 7 air pollution complaints. The protocol includes an 8 explanation of the responsibilities of ARB and local air 9 districts in the complaint resolution process. 10 --o0o-- 11 MS. BUCKLEY: Community members expressed the 12 importance of ensuring that the complaint process is 13 accessible to everyone, including those who do not speak 14 English. In response to this issue, ARB contracted with 15 an over-the-phone translation service that provides verbal 16 translations in 140 languages. The service is available 17 for use by ARB and all local districts. We began 18 receiving the service this month, and ARB will be 19 providing training to district staff to ensure that 20 everyone knows how to take advantage of this important 21 tool. 22 --o0o-- 23 MS. BUCKLEY: Community members frequently 24 indicated that a source of basic information about air 25 pollution was needed to help promote public participation PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 68 1 in communities that have traditionally not been able to 2 participate in the air pollution regulatory process. The 3 public participation guidebook describes how government 4 agencies makes air quality decisions. 5 --o0o-- 6 MS. BUCKLEY: The guidebook describes in detail 7 how to become involved in the air pollution regulatory 8 process. It defines many issues, including the roles of 9 air pollution agencies, how to file a complaint, how to 10 participate in public hearings and meetings, and key 11 terms. 12 --o0o-- 13 MS. BUCKLEY: In addition to the development of 14 the complaint resolution protocol and the public 15 participation guidebook, we have been pursuing other 16 activities to further implement the environmental justice 17 policies. These activities include conducting community 18 monitoring, providing air pollution risk maps, conducting 19 environmental justice training, providing air quality 20 information to libraries and developing tools for 21 assessing air pollution impacts on communities. 22 --o0o-- 23 MS. BUCKLEY: Our community monitoring projects 24 continue our efforts to understand air quality impacts at 25 the community level. The Children's Environmental Health PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 69 1 Protection Program is almost complete at the six sites 2 selected throughout the state. 3 The sites selected are representative of six 4 diverse areas of California in terms of geography, types 5 of pollutants to which children are exposed, and the 6 sources that emit the air pollution. 7 Most of the sites were located in low income and 8 minority Communities. Data analysis is continuing and we 9 will be presenting the results at meetings in these 10 communities as results become available. 11 Last September we provided you with update on our 12 other major monitoring effort, the Barrio Logan hexavalent 13 chromium project. 14 --o0o-- 15 MS. BUCKLEY: In an effort to make information 16 more accessible, our community health website has been 17 expanded and includes descriptions of our Environmental 18 Justice Program, the Neighborhood Assessment Program, and 19 the Children's Environmental Health Protection Program. 20 The community monitoring data are posted on the community 21 health website as they become available. 22 Also available on this website are the air 23 pollution risk maps and a list of documents and fact 24 sheets that are available in English and Spanish. At this 25 time we are working with the districts to expand our PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 70 1 placement of air pollution documents in community 2 libraries. 3 --o0o-- 4 MS. BUCKLEY: Our priority for this year is to 5 address the issue of cumulative emissions, exposure and 6 risk. This will be a very challenging goal. One 7 challenge would be to develop an air quality handbook for 8 land-use planners. In order to do this we will bring 9 local land-use planning agencies into our environmental 10 justice stakeholders process. While these agencies have 11 had limited involvement so far, their full participation 12 and cooperation will be essential to the success of this 13 effort. 14 There are also technical challenges because there 15 is currently no generally accepted method for calculating 16 cumulative emissions, exposure and risk. ARB staff is 17 currently taking a lead role in developing methods for 18 assessing cumulative impacts. Our overall objective is to 19 improve the local decisionmaking process, which will in 20 turn result in reductions in cumulative emissions, 21 exposure and risk. 22 --o0o-- 23 MS. BUCKLEY: While we working to implement the 24 ARB's environmental justice policies, we are participating 25 in three different and parallel efforts. The three PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 71 1 parallel tracks are: The ARB Environmental Justice 2 Stakeholders Group, the CalEPA Interagency Working Group 3 on Environmental Advertise, and the South Coast Air 4 Quality Management District Working Group for Cumulative 5 Impacts. The CalEPA Interagency Working Group works with 6 the CalEPA Advisory Committee on Environmental Justice to 7 develop an overall environmental justice strategy for 8 CalEPA. The South Coast Air Quality Management District 9 Working Group for Cumulative Impacts is considering 10 regulatory options for dealing with cumulative risk. 11 In addition, the Governor's Office of Planning 12 and Research is developing an environmental justice 13 element to their general plan guidelines. 14 --o0o-- 15 MS. BUCKLEY: Cumulative risk analysis considers 16 cumulative emissions, exposure and risk from all air 17 pollution sources when assessing air pollution impacts. 18 Cumulative risk analysis is an additional approach for 19 assessing air pollution impacts. 20 Assessing cumulative impacts will require the 21 development of new technical tools that will calculate the 22 risks posed by local air pollution sources and combine it 23 with the risk posed by regional air pollution sources. 24 --o0o-- 25 MS. BUCKLEY: We are taking two tracks for PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 72 1 assessing cumulative impacts. Our first track is to take 2 a community-level approach that is designed to answer 3 basic questions about community health, such as, "What is 4 the air pollution risk in my community?" and "What are the 5 important sources of air pollution near where I live?" 6 While these questions are clearly of interest to community 7 members, this type of information is also useful to local 8 agencies when making permitting and siting decisions. 9 These sources of information are designed to be easy to 10 use and will be available this summer. 11 Our second track is to develop technical tools 12 that will allow for a more rigorous cumulative impact 13 analysis at a specific location or to assess the impact of 14 a new facility. These tools will be independently 15 peer-reviewed and are scheduled to be available toward the 16 end of the year. 17 --o0o-- 18 MS. BUCKLEY: To help answer questions about 19 regional air pollution risk, ARB has placed maps of air 20 pollution risk on the ARB website. These maps using 21 EPA-approved model and show variations in air pollution 22 risk on a 2 to 4 kilometer scale of resolution. The maps 23 are currently based on 1997 emissions data, but will be 24 updated to reflect 2000 emissions data by the middle of 25 this year. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 73 1 ARB is also developing an interactive mapping 2 system that can answer questions about what are the 3 important air pollution sources in a community. The 4 Community Health, Air Pollution and Information System, or 5 CHAPIS, allows the user to generate maps down to the 6 street and block level that show the location and 7 distribution of air pollution sources in that area. These 8 detailed maps provide information on the amount and type 9 of air pollution in the area. 10 In addition to showing air pollution sources, 11 CHAPIS will also allow the user to display sensitive 12 facilities such as schools and hospitals. 13 --o0o-- 14 MS. BUCKLEY: To answer specific questions about 15 cumulative air pollution risk at a specific location or in 16 a small area, ARB is developing several air pollution 17 modeling tools. The Hotspots Analysis and Reporting 18 Program, or HARP, is being developed to identify the air 19 pollution risk posed by local sources of air pollution. 20 Our regional risk modeling is being improved, and a 21 cumulative risk protocol is being developed to provide a 22 framework for linking regional and local risk modeling. 23 --o0o-- 24 MS. BUCKLEY: Implementing the environmental 25 justice policies and actions over the next year will be PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 74 1 challenging. Our first step will be to convene a meeting 2 of the Environmental Justice Stakeholders Group in 3 February. The topics for that meeting will be to brief 4 them on the cumulative risk tools we're developing and to 5 begin outreach to local land-use agencies. Also, we will 6 be continuing the development of the cumulative air 7 pollution risk assessment methods and participating with 8 CalEPA, the South Coast Air Quality Management District, 9 and the Office of Planning and Research in their 10 environmental justice efforts. 11 --o0o-- 12 Thank you. And We would be happy to answer any 13 questions you might have. 14 CHAIRPERSON LLOYD: Thank you very much. 15 Any questions or comments from my colleagues? 16 Mr. McKinnon, do you want to say something at 17 this time? 18 BOARD MEMBER McKINNON: I'll hold till everybody 19 gets their turn. 20 CHAIRPERSON LLOYD: Okay. So you will wait till 21 the public testimony? 22 BOARD MEMBER McKINNON: Yes. 23 CHAIRPERSON LLOYD: Since we see no questions 24 from the Board, I'd like to thank staff for the excellent 25 overview. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 75 1 At this time I'd like to call up the first three 2 witnesses who signed up to speak on this particular 3 item -- Tim Carmichael, Jane Williams, Carlos Porros. 4 MS. WILLIAMS: Good afternoon, Dr. Lloyd, members 5 of the Board. I'm Jane Williams. I'm the Executive 6 Director of California Communities Against Toxics, which 7 is a statewide organization formed over a decade ago of 8 the environmental justice community-based organizations. 9 First of all, having been part of the NAP process 10 and now I'm part of the EJ stakeholder process, I want to 11 say how much I appreciate Mr. McKinnon's wonderful 12 leadership. It's been wonderful to work with him. I know 13 that you've praised him and that staff has praised him, 14 but I just want you to here it from the environmental 15 community as well. He's done a great job under very 16 difficult circumstances. 17 I also want to say that I think the process has 18 given us two great tools, the complaint resolution 19 protocol and the Public Participation Guidance Manual, 20 which I think will be very helpful to my constituents and 21 other members of the public. 22 As you know, if we can institute policies and 23 tools and procedures that protect the most vulnerable 24 among us, we will in-kind be protecting public health as a 25 whole in California, which is the goal of my organization. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 76 1 A couple things I want to bring up. I'm 2 concerned about the cumulative risk process that we've 3 gotten involved in because I am not convinced that we have 4 really good inventories. Having looked at the inventory 5 problem at both the national level and the state level in 6 my role as Chair of the Sierra Club's National Air Toxics 7 Committee and been involved recently with AQMD, I have 8 concerns that we're moving forward with complicated 9 technical analysis before we have really good inventory. 10 So I was happy to see that the staff is updating 11 inventories. As you know, we were using 1997. But I'm 12 not sure that even the 2000 inventories are perfected 13 enough to be putting them into models that are -- then 14 we're going to be making decisions about policy and risk 15 and emissions and exposure without having really good 16 inventory. So I just want to bring that up as a concern. 17 I don't have a solution for it. Just a concern. 18 The second thing I want to bring to your 19 attention is actually not part of this effort, but is -- 20 definite has a nexus with it. As you know, yesterday the 21 Centers for Disease Control released the NHANES Study. I 22 have not had a chance to do an in-depth look at that. But 23 I was alarmed by a couple of different things: One, most 24 important to this process is that we're finding VOC's in 25 children's blood. And what I would like to propose at PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 77 1 this time is that we create a working group at ARB to take 2 a look at what implications In-Hanes data has for both the 3 ARB's regulatory program and the TAC listing process. 4 And I realize I'm blind siding you with this. 5 But, as you know, the data was just released yesterday. 6 And it is the first look at this kind of sample size and 7 this kind of -- we added 116 new contaminants that we 8 looked at in the study. So we have a much better idea of 9 what exposures are looking like in people, not just from 10 what emissions look like in modeling. And we know that 11 some of those exposures are going to be coming from air 12 sources. We don't know which ones. 13 But I do think it's something that we would like 14 to look at cooperatively with ARB. And so I put that out 15 to you, Dr. Lloyd, and also Dr. Prasad, who I know is your 16 environmental health officer. I believe there's 17 implications in the In-Hanes Study for the ARB's 18 regulatory programs, as well as for the districts' 19 programs. 20 And, again, I just want to close by saying that I 21 have been involved in processes to deal with environmental 22 justice policy efforts for over a decade in the state, and 23 I think that the one that we've just concluded and are in 24 the process of working on with the ARB on the Public 25 Participation Guidance Manual and the complaint resolution PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 78 1 protocol are really stellar -- stellar efforts. 2 Congratulations. 3 Thank you. 4 CHAIRPERSON LLOYD: Thank you very much. 5 And maybe I could -- Jane, if you could share 6 with us the recent information. And maybe staff could, if 7 appropriate, address that, you know, before the next Board 8 meeting in the health update, if appropriate. 9 MS. WILLIAMS: That'd be great. Thank you. 10 CHAIRPERSON LLOYD: Any questions, comments from 11 the Board. 12 Thank you. 13 MR. CARMICHAEL: Good morning, Dr. Lloyd, members 14 of the Board. Tim Carmichael. I'm the Executive Director 15 of the Coalition for Clean Air. 16 Jane took care of the thank you's for the 17 environmental community, I guess. So I can just focus on 18 the hard-line position. No. 19 CHAIRPERSON LLOYD: Are you practicing? 20 MR. CARMICHAEL: No. I just want to echo Jane's 21 comments. Mr. McKinnon has done a very good job in 22 leading this effort on behalf of the Board. And we really 23 do appreciate -- you know, you're going to hear from half 24 a dozen of us. We work all over the state on these 25 issues, and in individual city councils to county PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 79 1 supervisors to AQMDs to CalEPA, and it's really heartening 2 when an agency takes it seriously and dedicates resources. 3 Not that we're not going to be asking for more and pushing 4 for more, but it's much appreciated, not only by us as 5 individual advocates, but by the communities we represent. 6 None of what we are trying to accomplish on 7 environmental justice as far as handbooks or modeling or 8 assessments makes a damn bit of difference unless we 9 reduce emissions in the communities that are most 10 impacted. And that is, you know, a core message in the 11 letter that -- which I believe you have before you that's 12 signed by a number of us; that unless we achieve emission 13 reductions in the relative near term, we are not doing 14 enough to protect public health of the communities that 15 are really being impacted by, you know, a terrible mix of 16 toxic chemicals. 17 So as we move forward and -- you know, there are 18 things that we have to do as far as process and make sure 19 that we have our, you know, information in hand to justify 20 specific actions. But let's remember that we -- you know, 21 we must reduce emissions in these communities or we 22 haven't really accomplished that much. 23 A Couple of things that we're asking you to do in 24 this letter and through our testimony today and through 25 participation in this process is to look at some of the PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 80 1 turf, if you will, that has been established in the 2 bureaucracy of California between environmental agencies 3 and city councils, et cetera -- planning agencies. There 4 is the system in place that says, "We take care of this. 5 This agency takes care of that," and we don't, you know, 6 want to mess with their turf. 7 What we're asking in many respects with our 8 request in this letter and our advocacy through 9 environmental justice is for this agency to reevaluate 10 those boundaries. And in some instances it makes sense 11 for this agency to cross that line, if you will, and to 12 require other agencies to do more; to provide information 13 that you haven't provided in the past to enable local 14 land-use decision makers to make better decisions in 15 siting facilities. 16 And we encourage -- you know, the staff, as they 17 indicated in their report, they're moving in that 18 direction. There's already been some heat, some feedback. 19 There's going to be more, because some of these agencies 20 are very protective of their turf, if you will. But we 21 encourage you to keep in mind how important it is for a 22 public health agency like the Air Resources Board to see 23 that as important on one level, but the protection of 24 public health as important on a much higher level. 25 And so with that, two brief comments: PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 81 1 One of the things that we request in our letter 2 is that in all -- in the development of all air toxic 3 control measures, that we include evaluation criteria for 4 siting. And that has not been done to ensure -- we don't 5 believe it's been done to ensure that every other agency 6 that's working on siting in the state knows where the Air 7 Resource Board stands on what is safe and acceptable to 8 site in a given community or in a given context. 9 This agency has a lot of information that other 10 agencies don't have. And we need to do a better job of 11 getting this information to them so they can make better 12 decisions. They may not like, you know, the state agency 13 coming in and telling them this is how serious the 14 situation is. But they will like it better than having 15 made a bad decision and having the community come back to 16 them and say, "Why do we have every kid in our school 17 developing some form of cancer?" We have information that 18 must get to these decision makers, and we encourage you to 19 support your staff as they disseminate this information. 20 Last thing I want to say relates to permitting. 21 This is one of those turf areas again, where Air Resources 22 Board, it seems to us, has been reluctant or resistant to 23 venture into or to give more direction to districts, 24 AQMDs, APCDs, how to handle their permitting. 25 But here again, we encourage you to push on this. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 82 1 Because the districts for the most part have not done a 2 good job of developing protocol to encourage -- sorry -- 3 to include environmental justice concerns as part of their 4 permitting process. And specifically we want included in 5 the permitting process an assessment, a consideration, and 6 a reduction of cumulative emissions, exposures and health 7 risks. To date that hasn't been a part of the permitting 8 process. It's been much more of a, you know, a pro forma 9 system, "Yes, you got to check off this box, this box, 10 this box." But nowhere on the page is the box about 11 environmental justice concerns or environmental justice 12 impacts. That needs to be part of the process. That 13 protocol needs to be developed. And this agency needs to 14 push districts to make sure that it happens. 15 Thank you again for your support for this 16 important program and this effort. 17 Thank you for your leadership, Dr. Lloyd. 18 CHAIRPERSON LLOYD: Thank you very much, Tim. 19 Carlos Porros, then Bonnie Holmes Gen, and Paula 20 Forbis. 21 MR. PORROS: Good morning -- or good afternoon, 22 as it is. I want to thank the Board. It is the Board's 23 action that allows me to be here today commenting on this 24 very agenda item. 25 I also want to start off by thanking Chairman PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 83 1 Lloyd, for your leadership in prioritizing environmental 2 justice and the challenge that that poses for California 3 and society as a whole. 4 Additionally, I want to thank Board Member 5 McKinnon for his leadership in getting us through a very 6 difficult process this year and producing a very valuable 7 product that I'm sure will be very useful in many of the 8 resolution of situations throughout California on these 9 issues. 10 However, I think that it is important to ask 11 again here today for a recommitment from the Board on 12 environmental justice; especially in today's time, 13 economic times, as we see the implications of the budget 14 crisis having a ripple effect throughout so many parts of 15 the state function. And, in particular, I think this is 16 something that we all kind of shudder about in our offices 17 and in our planning processes as we try to hope to get 18 further progress from all agencies on environmental 19 justice. 20 So I think it's definitely a time to ask for a 21 recommitment on environmental justice from this Board. 22 And also to ask that the Board give strong direction to 23 the staff of the Air Resources Board and guidance to the 24 local districts on environmental justice. And we'll 25 continue to participate with you on those matters through PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 84 1 the Environmental Justice Stakeholders Group and other 2 venues as well. 3 The couple of points that I wanted to 4 particularly focus on for your attention that I think are 5 at a critical juncture. One was mentioned by Tim earlier, 6 the siting criteria for air toxics control measures, I 7 think is important. 8 For those of you I think that were able to come 9 to the L.A. area and participate in the toxic tour there, 10 you know that our communities are based with a significant 11 challenge of multiple facility clusters. And this is 12 something that unfortunately was not adequately assessed 13 during the permitting process and the evolution of air 14 toxics control measures previously. 15 It also reminds -- I will remind you of the 16 proximity issue of sensitive receptors, where we have 17 schools literally adjacent to dangerous facilities or 18 facilities emitting dangerous emissions. 19 And so it's time to look at that and move forward 20 in producing some more far-reaching policies, regulations, 21 guidance. And I think that that is something that will be 22 very difficult, but still certainly something that I think 23 all the stakeholders recognize as a significant need for 24 communities. 25 I also wanted to make one comment on the PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 85 1 cumulative impacts, risk, emissions issue. And that is a 2 concern of mine also that, as I agree with Jane's earlier 3 comments. 4 But another point on cumulative that I would 5 underscore is that when we talk about cumulative risk, 6 there's way too much focus on the cancer and not enough on 7 the chronic and acute effects, because in our communities 8 we hear so many testimonials about some of the chronic 9 effects of smog, criteria pollutants, as well as toxics. 10 And so I think it is important to give very 11 straightforward direction that the chronic health effects 12 of air pollution are something that needs considerable 13 investigation. 14 And with that, lastly, I would just close by 15 saying that while we did a lot in 2002, there's a lot of 16 data gaps. We have not addressed the data gaps yet. I 17 don't think of all of the -- I don't know exactly what the 18 budget is for ARB. But if you look at the money that went 19 towards research, I don't think anything was specifically 20 targeted to investigate the data gaps on environmental 21 justice. 22 So thank you again. And I want to again 23 congratulate the Board and the leadership that the Board 24 has on moving this difficult issue forward. 25 CHAIRPERSON LLOYD: Thank you very much, Carlos. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 86 1 Bonnie Holmes Gen, Paula Forbis, Diane Bailey. 2 MS. HOLMES: Good morning, Mr. Chairman and Board 3 members. I'm Bonnie Holmes Gen with the American Lung 4 Association of California. 5 And I'm here also to applaud your efforts and to 6 stress how important they are in the area of environmental 7 justice. Both our state organization and our 15 local 8 lung affiliates feel that this program is extremely 9 important in California. 10 And we are proud that our State Air Board has 11 taken the lead and has accomplished so much in this area 12 and has really set the standard for the other CalEPA 13 agencies. And that's something to be proud of. 14 And this effort is especially important when we 15 consider how much new information we do have about the 16 serious air pollution health impacts. And it seems like 17 there's new studies everyday that are coming out with more 18 information. 19 And we're trying, as you know, to work with our 20 partners in trying to expand the constituency of health 21 organizations that are activated and involved in air 22 quality issues. 23 As you're moving forward this next year on your 24 environmental justice action agenda, you're facing some 25 very, very rocky terrain, as you know. You not only have PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 87 1 to deal with the California budget crisis and the serious 2 cutbacks that are being asked of all the agencies, but 3 you're also dealing with major setbacks at the federal 4 level and the federal EPA actions and, you know, actions 5 that threaten very fundamental programs in California, 6 such as New Source Review. 7 And, again, I want to stress this EJ Program is 8 so important, especially in light of those federal 9 setbacks that we're experiencing, and need to fight back 10 against. 11 So we're here to encourage you to maintain your 12 commitment to environmental justice and to be creative in 13 finding ways to expand and energize the Environmental 14 Justice Program even in the midst of this rocky terrain 15 and to find ways to use the resources you have -- and 16 direct resources you have to fulfill some of the goals you 17 have for this year. And of course, as has been mentioned, 18 the cumulative impact is such an important area. And 19 understanding how to better analyze and reduce cumulative 20 emissions has been very important to the Lung Association 21 for a long time. And, you know, we hope that we'll be 22 able to not only have, you know, hotspot emissions, but 23 have good information on the cumulative emissions from 24 sources that we can use in our permit programs. 25 And we also feel it's very important to do PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 88 1 something to address the local government siting 2 decisions. And we've talked about this so many times. 3 But there's just some, you know, very obvious 4 incompatibilities that need to be pointed out. And I 5 think finalizing the air quality handbook and working on 6 these local government guidelines is so important to stop 7 some of these very obvious incompatible uses that create 8 problems for generations of children that are -- for 9 example, if it's a school site that's next to, you know, 10 an industrial facility or plating facility. 11 So we've signed on to this letter, so we support 12 all of the recommendations in the letter. And applaud 13 your efforts, and encourage you to just redouble your 14 efforts in this area. 15 CHAIRPERSON LLOYD: Thank you very much, Bonnie. 16 Paula Forbis, Diane Bailey, Joe Lyou. 17 MS. FORBIS: Hi. I'm Paula Forbis, the Director 18 of the Toxic-free Neighborhoods Campaign for Environmental 19 Health Coalition. 20 I just want to echo some of the comments of my 21 colleagues that have spoken. We've been very pleased to 22 participate on the stakeholders work group for 23 environmental justice, and thank Mr. McKinnon and the 24 staff for their leadership and their hard work in pursuing 25 these issues. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 89 1 We think there's some accomplishments that need 2 recognition, and we've talked about them today. But the 3 complaint resolution protocol and the Public Participation 4 Guidebook are going to be very useful to our communities 5 as well, and we're very pleased to have seen those 6 completed. 7 Another accomplishment that was mentioned in the 8 staff report deals specifically with Barrio Logan and the 9 work that ARB completed there. And as I think we reported 10 to you in September when we came before the Board, the 11 plating shop, Master Plating, decided to close rather than 12 face aggressive prosecution by the County of San Diego. 13 And the community held a celebration in November of this 14 year and gave a series of awards to a lot of the agencies 15 and individuals that were associated with that closure. 16 This one is for the Air Resources Board. And so I'll be 17 leaving that with you today. But it's really on behalf of 18 the community residents of Barrio Logan and it goes to the 19 agency staff and all the personnel and the Board that 20 worked to make that happen. 21 I also want to encourage you to continue your 22 commitment to environmental justice in the coming year. 23 We've seen a lot of progress, but we also have a long way 24 to go. And ultimately our efforts will have failed if we 25 don't show tangible emission reductions, tangible PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 90 1 substantive improvements to the communities that we're 2 here to serve. The documents produced so far have been 3 helpful. But we need to go beyond process improvements, 4 to also achieve substantive improvements in communities of 5 color and low income communities throughout the state. 6 And so for that reason I suggest three priorities, which I 7 think your staff have called to your attention for the 8 coming year. 9 One of them that's very important in our mind is 10 that of the air toxic control measures. We're really 11 hoping to see the chrome plating and dry cleaning, ATCM 12 revisions come before you. We think those are critical. 13 And we would also ask staff to be investigating 14 whether there are other ATCMs that either need creation or 15 revision this year. One that I would suggest just from 16 the sources that we see in very close proximity to homes 17 in Barrio Logan is that of welding. A lot of those 18 emissions are not even required to have permits from the 19 local air district, even though they do result in 20 hexavalent chromium emissions. 21 And there may be other industries. We'd ask 22 staff to work and build upon the information developed 23 through the Neighborhood Assessment Program to see if 24 there are other industrial sectors that may need control 25 measures established. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 91 1 And then another important point is that of 2 inclusion of siting criteria in all of your ATCMs. It's 3 really critical that in industries that are located in 4 close proximity to homes and schools be subject to more 5 stringent requirements than their industrial counterparts 6 that are in industrial parks. And I think Barrio Logan's 7 situation has made that very clear, that there is really 8 no margin for error. Master Plating may have closed down, 9 but there are several other plating shops that are located 10 within inches and feet of the nearest homes. And that's 11 just a situation that cannot continue. 12 That brings us to the next priority to call to 13 your attention. That's the land-use guidance. It's 14 critical that environmental justice be incorporated into 15 land-use decisions, because land use is something that is 16 essentially precautionary and preventative. It can 17 prevent future problems of this nature from being created. 18 It can also solve problems in a retrospective 19 sense. Jurisdictions can decide to change zoning in areas 20 to gradually grandfather out nonconforming uses. And that 21 can result in real benefits to the people living in that 22 community. 23 We've some indications from various planning 24 agencies that they are open to incorporating environmental 25 justice principles, notably the OPR guidance on -- general PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 92 1 plan guidance has started that process of incorporating 2 environmental justice as a requirement of state law. 3 We've also seen it with our regional comprehensive plan 4 that's currently being prepared by the San Diego 5 Association of Governments. But despite their best 6 intentions, planners can't do this without your 7 information. You have the responsibility as an agency to 8 be providing them with the technical tools and knowledge 9 to be able to incorporate those concepts. 10 So, finally, I urge you to continue your 11 commitment to environmental justice over the coming year. 12 I think we have some tough discussions in front of us as a 13 group. Cumulative risk has been mentioned by my 14 colleagues, so I won't go into it again. Certainly it's 15 one of our priorities. But I really encourage you to 16 stick with it during the coming year. We look forward to 17 continuing to working with you. 18 And, again, thank you for your leadership. 19 CHAIRPERSON LLOYD: Thank you, Paula. 20 And also I'd like to comment at this stage, 21 Supervisor Roberts and the role he played Barrio Logan. 22 When it was established there was a real problem. Again I 23 can attest how swiftly Ron worked and worked very closely 24 with the community. And so, Ron, I would really like to 25 thank you for that aspect. Thank you very much for this. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 93 1 Diane Bailey, Joe Lyou, Stewart Wilson, and then 2 Cindy Tuck. 3 MS. BAILEY: Chairman Lloyd and members of the 4 Board, thanks for the opportunity to comment today. My 5 name is Diane Bailey and I'm a scientist with the Natural 6 Resources Defense Council. 7 First of all, I'd like to commend you, the Board, 8 for adopting these environmental justice policies 9 recently, and echo the congratulatory comments of my 10 colleagues. 11 And, secondly, although we were not officially 12 signed on to the letter from the California Environmental 13 Rights Alliance, CLCV Education Fund, and other groups, we 14 do fully support their comments including the 15 recommendations that they've outlined. 16 The most important thing that we expect out of 17 this process is discrete and quantifiable emission 18 reductions. And these should really be the core of this 19 Environmental Justice Program. While estimating exposure 20 as risks and impacts are all very important, in order to 21 be successful this program must lead to significant 22 emission reductions in areas with already 23 disproportionately high pollution burdens. 24 Pollution prevention should be pursued to the 25 highest degree possible, with the priority of working in PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 94 1 the most heavily affected areas first. 2 In addition to achieving emission reductions, we 3 urge you to pay special attention to the siting 4 restrictions, as several of my colleagues have already 5 outlined. Zoning rules and local land-use planning are 6 not reliably protective of public health, as evidenced 7 throughout California in communities that are in the 8 shadow of large industrial complexes or bisected by busy 9 freeways. 10 While Developing new airborne toxic control 11 measures, ARB has a great opportunity to address this 12 problem by including some siting provisions. And the 13 recent school bus idling ATCM is a wonderful example of 14 this type of siting protection, and we urge you to use 15 this ATCM as a model. 16 In some cases siting criteria for new measures 17 come as too little too late. Many schools in California 18 are already situated at the sides of busy freeways, 19 subjecting students to pollution that could be 25 times 20 higher than background levels. 21 The EJ Program needs to take a look at these 22 issues and take action to minimize these types of risks 23 and prevent new ones from developing. The EJ Program 24 needs to take a special look at schools and day cares and 25 other sensitive sites. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 95 1 Another important issue that the program must 2 remedy is permitting, as my colleagues have already 3 discussed. With a multitude of pollution sources 4 affecting most Californians, it's imperative that 5 permitting processes take into consideration cumulative 6 risk. 7 It's not enough to look at the risks of one 8 facility in a vacuum when many communities are already 9 suffering from unsafe levels of pollution from 10 combinations of different sources, both stationary and 11 mobile. And I emphasize mobile here. 12 Permitting should be required to prove that any 13 proposed new source will not push pollution levels over 14 health protected thresholds, including criteria of 15 pollutants and air toxics. 16 Additionally, ARB should be prepared to step in 17 where local air districts fail. For example, in the Bay 18 Area many companies consider fines from violations as 19 merely the cost of doing business because the fines are so 20 low. ARB needs to make sure that the air districts are 21 setting fines at similar and effective levels so as to 22 deter repeat violations. Chronic violators should be 23 forced to clean up or risk losing their permits. 24 Finally, we would like to see ARB weigh in more 25 on local CEQA decisions. Recently we won a case against PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 96 1 the Port of Los Angeles for violating CEQA because of a 2 massive container on a wharf complex that was approved 3 without conducting a full environmental impact review. 4 Had we not stepped in to stop this process, the 5 already overburdened citizens of San Pedro and Wilmington 6 would have been stuck with thousands more trucks rumbling 7 through their neighborhoods, more of the massive ships 8 coming in, and other pollution sources in this already 9 chokingly polluted area. 10 ARB with all of its expertise should be 11 participating and commenting on local district CEQA 12 decisions, especially where mobile sources are 13 affecting -- or rather increasing the cumulative impacts 14 on a community. 15 We're highly optimistic that ARB will create a 16 constructive and effective Environmental Justice Program, 17 and I urge you to continue the current dialogue with 18 stakeholders and consider our recommendations. 19 Thank you. 20 CHAIRPERSON LLOYD: Thank you very much. 21 MR. LYOU: Chairman Lloyd, members of the Board, 22 thank you for the opportunity to address you today on this 23 issue. My name is Joe Lyou. I am with the California 24 League of Conservation Voters Education Fund. 25 I think that -- you know, I too would like to PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 97 1 echo the thanks that have been offered here today to both 2 staff and to Board member Matt McKinnon for the leadership 3 that he has shown on this issue. Since everyone has said 4 it, I think you're getting the message, we can't thank you 5 enough. It's been a very productive and worthwhile 6 endeavor to take this on. And we look forward to the 7 challenges in the future. 8 And the thing that we've been sort of skirting 9 and not talking about directly but I'd like to bring up is 10 the fact that we intentionally took on the least difficult 11 issues first over the last year. And this year we start 12 addressing the real tough issues. We're rolling up our 13 sleeves. We're getting to the things that are more 14 meaningful, more important, more controversial, but also 15 the things that are going to get to the core of the 16 environmental justice issues that we want to address. 17 Several people have mentioned the letter that has 18 been submitted to you. I really encourage you to read it 19 so that you have an understanding of where we're coming 20 from on this issue. There's several recommendations that 21 are in there. I won't dwell upon them. You have heard 22 many of them from the excellent speakers that have 23 preceded me today. 24 I would like to also add that Bill McGavern from 25 the Sierra Club who had to leave, also as Diane Bailey PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 98 1 from NRDC, wanted to express that he supported the letter; 2 and had he had an extra day would have been able to sign 3 on to it. 4 There are basically two recommendations I want to 5 speak to before I close and talk about the importance of 6 what we're doing. 7 The first one that hasn't gotten a lot of 8 attention here today is the issue of research and what 9 needs to be done. We have said time and again that 10 research should not be used as an excuse to prevent 11 action, where we have sufficient data and understanding of 12 the issues to move forward. At the same time you have not 13 funded through the last year any research on environmental 14 justice issues, and no research specifically on developing 15 better ways of assessing cumulative emissions and 16 cumulative exposures to the pollutants that are hurting 17 those communities that are both overburdened. And you 18 have a vehicle for doing that through the Vulnerable 19 Populations Research Program. 20 I've been participating as a member of the 21 external review group for that program. And you have 22 great recommendations coming out of that group. And the 23 problem you face is really getting out there and 24 getting -- finding a way to cultivate the proposals that 25 will start addressing these very difficult issues of PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 99 1 cumulative emissions and exposures and to fund that 2 research. And it's not going to happen if you sit back 3 and wait for them to come to you. You have to take an 4 affirmative action to go out and find those people to do 5 that work. 6 The second recommendation I wanted to speak 7 about -- and I was very impressed with the staff 8 presentation -- focusing on the issue of cumulative 9 impacts, and how I'm very thankful that we're all on the 10 same page of what's important and where we go next. 11 The one aspect of this that we need to consider 12 is that the South Coast Air Quality Management District 13 has embarked upon a process to develop a regulation on the 14 issue. And it's going to be necessary to coordinate very 15 closely with the South Coast Air District on this issue 16 and make sure that the two processes work together. It's 17 a very complicated issue, very controversial issue. But 18 we want to make sure that we're coordinated and not out of 19 step with each other as we proceed down dual paths of 20 addressing this issue both at the Air Resources Board, but 21 also at South Coast. 22 And, finally, I just want to talk about the 23 importance of what we're doing and why ARB in its 24 leadership role is setting a standard -- not a standard -- 25 but a precedent for the other CalEPA boards, departments, PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 100 1 and offices for dealing with environmental justice. 2 Last week we had a meeting of the California 3 Environmental Protection Agency's Advisory Committee on 4 Environmental Justice. Carlos Porros, Cindy Tuck and 5 myself are all members of that group. And we also had a 6 joint meeting with the interagency working group for 7 environmental justice, which includes the heads of all the 8 boards, departments, and offices within CalEPA, and 9 Secretary Hickox -- Secretary Hickox informed us that the 10 commitment was there, that there was no cutting back, even 11 in these tough budgetary times, on environment justice 12 priorities at CalEPA. And the leadership of ARB was 13 brought to fore on many of the comments from the public 14 and also in the discussions within the group about how ARB 15 has set a precedent that others can look to and have taken 16 on issues that the others need to address. 17 Well, Secretary Hickox's commitment 18 notwithstanding, just yesterday I got E-mailed from 19 Assistant Secretary, CalEPA, Romel Pascual, a budget 20 letter from the Department of Finance. And we all know 21 that Secretary Hickox has limited authority over 22 Department of Finance, as we all do. The memorandum says 23 that advisory groups such as -- I mean which includes our 24 CalEPA Advisory Committee -- are limited now to one 25 meeting per year. We're not going to get anything done if PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 101 1 we're bound by this memorandum from the Department of 2 Finance. What happens here at ARB is going to become only 3 more important because we're doing it through a 4 stakeholders' process, not through what is legally defined 5 as this process. And we're also going to have to find 6 creative ways to do this. 7 We successfully had a video-conference meeting 8 the last time out. And I think we should look at those 9 options of doing it in the future. 10 So the basic issue is that the importance of what 11 we're doing is coming more to fore as the budget crisis is 12 going to be adversely impacting other processes that are 13 going on. 14 So thank you for the opportunity to comment. 15 CHAIRPERSON LLOYD: Thank you, Joe, very much. 16 Court reporter, can you hold on for the next two 17 witnesses? 18 Okay. Thank you. 19 Stew Wilson and Cindy Tuck. 20 MR. WILSON: Thank you, Mr. Chairman. I'll try 21 and be brief. 22 It's a pleasure to be before you today, Mr. 23 Chairman and members of the Board. I'm Stew Wilson. I'm 24 Executive Director of the California Air Pollution Control 25 Officers Association. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 102 1 Barbara Lee very much wanted to be here today. 2 But she's got a terrible case of the flu and just wasn't 3 able to drive down. 4 Before I start I'd just like to make one comment. 5 I know you have not named your new executive officer yet, 6 but the districts are very much looking forward to working 7 with the new individual, whoever that may be. We have a 8 long history of working closely with the executive 9 officers here, going back long before even the Jim Boyd 10 days and through Mike Kenny. And so we're excited about 11 working with the new executive officer of the Air 12 Resources Board. 13 As you know, the districts obviously are very 14 much involved in the environmental justice issue, very 15 active on the Committee. And we wish to affirm our 16 support of the process and the efforts on environmental 17 justice that the ARB and staff have undertaken over the 18 last several years. I think it's an exemplary effort. 19 We fully participated in the development of the 20 Complaint Response Protocol, the Public Participation 21 Handbook, and the drafting of the environmental justice 22 recommendations to Secretary Hickox for consideration of 23 CalEPA. 24 This has been a very ambitious and difficult 25 undertaking, as you know, but has been positive and PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 103 1 productive due to the commitment of the participants and 2 the process. 3 The development of the Complaint Response 4 Protocol used a semi-structured group, while the Advisory 5 Committee formulating the recommendations to CalEPA is 6 staffed by legislative direction. In both cases, very 7 diverse interest groups have worked well together to break 8 new ground and to achieve the goals set before them. 9 Public input was welcomed with ideas and comments 10 incorporated in the end products. 11 In our view, these collaborative processes have 12 produced well-thought-out results that have the support of 13 all the principal interest groups on the issue. Indeed, 14 this effort may well serve as a model for future work in 15 this and other areas. 16 So we're very much appreciative of what you've 17 done, and we believe the process has worked very well up 18 to this point. 19 CHAIRPERSON LLOYD: Thank you very much, Stew. 20 And pass on the thanks to all your members of CAPCOA for 21 continuing to work with us. Thank you. 22 Cindy Tuck. 23 MS. TUCK: Thank you, Chairman Lloyd and members 24 of the Board. My names is Cindy Tuck. I'm with the 25 California Council for Environmental and Economic Balance. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 104 1 I thought it might be helpful for the Board to 2 hear a few comments from the business perspective. 3 I participated in the stakeholder process. And 4 this was a very positive forum. We had very frank 5 discussions, very open and honest exchanges on the 6 environmental justice issues. I with the environmental 7 representatives and community representatives want to 8 thank Mr. McKinnon and also Lynn Terry for providing 9 leadership at those meetings. I think they sort of forced 10 us to stretch and work together to come to consensus, and 11 that was very positive. 12 As Joe Lyou mentioned, the products that we 13 worked on, we knew going in that those weren't going to be 14 the hardest things that ARB was going to have to address. 15 I think they proved to be more challenging than we thought 16 going in. But they were successful efforts, and CCEEB 17 thinks that they're very good work products. 18 We particularly urge ARB to continue this 19 stakeholder group process as we work on further issues. 20 Think it's a very good process. 21 Just a couple more points. Obviously the more 22 controversial issues are coming to the table. And what 23 the business community is really looking for I think first 24 is having technically valid basis for the cumulative 25 impacts work. And so the tools will be very, very PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 105 1 important. And you have a very capable staff in that 2 area. 3 The other thing we look for is certainty in what 4 the rules are. As you can imagine, when you start hearing 5 about businesses being shut down, that kind of thing, it 6 makes the business community as a whole nervous. But if 7 we can look at how to address cumulative impacts from a 8 technically valid basis and have a fair process where you 9 look at changing the rules, not just addressing issues 10 permit by permit or project by project, but come up with 11 what needs to be done on a programmatic basis to be fair, 12 we think that's the direction the state should take. 13 The last thing, I just wanted to echo Joe Lyou's 14 comment, that we think it's important that the Board 15 coordinate closely with the South Coast Air Quality 16 Management District on its work. And we understand that 17 coordination's already happening. 18 Thank you very much. 19 CHAIRPERSON LLOYD: Also, thank you, Cindy, for 20 your personal involvement in CCEEB there in helping us 21 move ahead. I know you were very instrumental in helping 22 us get the policy approved by the Board. And your 23 continuing participation is much appreciated. 24 Thank you. 25 MS. TUCK: Thank you very much. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 106 1 CHAIRPERSON LLOYD: So with that, any other 2 comments? That's the last of the witnesses. Any comments 3 from Board members? 4 Mr. McKinnon. 5 BOARD MEMBER McKINNON: Here it goes. 6 I'd like to start by thanking sort of my 7 intellectual bodyguards, who were Lynn Terry, who sort of 8 kept the stable plain of moving through this process and 9 made sure things happened; and Dr. Prasad, who continued 10 to make sure that he was challenging us in the process; 11 and all of the EJ staff who some sometimes had to turn 12 around changes in minutes as we were sort of bargaining in 13 the process, in the stakeholders process. 14 With that said, the advocates that are in the 15 stakeholder process made it work. Clearly, the organized 16 environmental community challenged us to move and to make 17 things happen, and today challenged us some more. And 18 that's -- that needs to happen and it needs to continue 19 to happen. The business community challenged us to keep a 20 fair process moving. 21 And actually this last year -- and this may not 22 be true next year -- but this last year really who was on 23 target for the changes that were being moved were the 24 local air agencies because we were working through the 25 process of -- the complaint process. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 107 1 So if there were sort of an award for who did 2 what this year, I would have to say that CAPCOA stepped to 3 the plate and helped make things happen this year in sort 4 of working out some pretty difficult problems between 5 small air districts and large air districts and who could 6 do what in terms of moving to a better complaint process 7 and a fair one and one that we have a reasonable, honest 8 expectation will happen everywhere in California. And if 9 it doesn't, we have a basis to question it. 10 So, finally, there's another group that the 11 letter about stakeholders meeting kind of really concerns 12 me about. And the other group were community members who 13 were not organized. They were not part of an organization 14 who came to meetings. And the first several meetings were 15 conducted throughout the state. As the budget stuff got 16 worse, we kind of met here in Sacramento. And we finally 17 did a video-conference. But the early meetings were in 18 the community. 19 And, in fact, there were questions and 20 suggestions that came from the public that ended up 21 incorporated in the complaint process, that ended up 22 incorporated in the public participation manual. Because 23 the public didn't know the terms, didn't know the 24 acronyms, didn't know the process, and the public came and 25 said, "Hey, look. We want a play this game on a level PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 108 1 playing field where we know how we get this done, because 2 we want to breathe clean air." And these are things that 3 we need. 4 With that said, I have to echo that the work 5 ahead of us is much harder than this last year. This last 6 year was sort of about how government works in this area. 7 The next year is sort of how there is an interaction 8 between businesses and communities and what is the fair 9 response to deal with communities that are overburdened. 10 And it's going to be hard to do. It's going to be much 11 more difficult than what we've done. 12 I have kind of two requests, as sort of the 13 person that's been taking this on for the Board, of the 14 Board. The first one is that we ask staff, and 15 particularly research, to put together a proposal of what 16 research should be done and that we figure out a way to 17 fund it. And it is -- it's not in all cases that we need 18 research to deal with land-use planning. Certainly a 19 school next to a freeway or a school next to a plating 20 shop, like Carlos pointed out earlier and took me to the 21 school, some of that stuff is obvious. But to the 22 extent -- and we shouldn't freeze and stop and wait for 23 the research to do things. But if we're going to have a 24 fair approach that really does what's needed here, we 25 should do it based upon science. And if we don't do the PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 109 1 research, we're in trouble. So that's number one. 2 Number 2, it is really important that we meet, it 3 is really important that we meet with the public more than 4 once a year. We've cut some ideas on using 5 teleconferencing and having very few of us travel. But I 6 think that we need to talk about making sure that there 7 are meetings in communities to talk about this subject. I 8 don't think you do this without meeting with communities. 9 There may be other stakeholder groups that you can do. 10 But I don't think it's right to do this without meeting 11 with the communities. 12 Thanks. 13 Oh, and I don't know -- I would like -- Shankar, 14 Dr. Prasad has given a lot of thought of this. And I 15 don't know if he wants to speak. But I would ask you to 16 give him an opportunity if he has anything to add. 17 CHAIRPERSON LLOYD: You want to speak, Shankar? 18 COMMUNITY HEALTH ADVISOR PRASAD: I guess so. 19 Mr. Chairman and members of the Board yesterday 20 Mr. McKinnon indicated that he might ask me, so I did give 21 a considerable thought on this issue. 22 And until now, as you know, for the last four 23 years almost I've been working behind the scenes 24 primarily. And I really welcome this opportunity to 25 address you on this forum. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 110 1 A year ago you took a bold step and demonstrated 2 the leadership and the vision to the rest of CalEPA and to 3 the state by adopting the EJ policies. And we have made a 4 tremendous progress during the year. And, once again, 5 thanks to the leadership role by the Board Member 6 McKinnon. We would not have been here with these kudos 7 but for his leadership, and the tireless efforts of Linda 8 and her staff and the support by Lynn and Bob Fletcher. 9 Having said that, I have given considerable 10 thoughts on what -- we have reached a juncture where some 11 deliberation among all of us and direction from you is 12 necessary at this point because we are at that critical 13 stage. And I will just touch upon a couple of concepts, 14 as opposed to the specifics, because the specifics will 15 have to be worked out and will be worked out during the 16 stakeholder process. 17 First we know that, from all of you who have 18 taken the toxics tour, that the primary reason we have 19 this problem is cluster of facilities near receptors, 20 whether it is people's homes or schools. In order 21 to avoid that, we have to embrace the concept are we 22 willing to go ahead and consider a safe-distance approach 23 or some -- call it an unpleasant word -- buffer zone, or 24 whatever word we can call it, are we willing to embrace 25 that concept or not? That depends upon -- that will PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 111 1 decide whether we will be able to avoid a future develop 2 and a future of similar cluster formation in the future 3 growth areas. 4 It may not specifically address today's problems, 5 but certainly that will be able to a avoid the future 6 issues. 7 The second issue that I want to touch upon is 8 what CCEEB respond -- and the other people have said, that 9 is, we should focus on emission reduction in the areas 10 where the problem is. That throws it to the question of: 11 Where is that problem? And how do we identify those 12 communities which have a disproportionate burden? 13 And the question becomes more serious because we 14 have habitually -- and since 1807, 2588 risk process, 15 hotspot identification process, we have all tended 16 follow-up on the quantification of the risk and the risk 17 assessment process. 18 Which to a large people and the consultants who 19 are in the business know that it is to some extent a 20 big -- to an extent is a number game. I'm sorry to say 21 that, but it is true. 22 So the question comes -- and in that process what 23 we have seen is that diesel more than -- as a primary risk 24 driver across the state and on a regional scale. It is 25 true that it is a major player. But is it true at the PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 112 1 same -- on a sub-regional scale? I'm not sure we have a 2 good answer to that. 3 So it is also important, while we need to 4 establish a risk waste approach and to make sure that we 5 take an action where the problem is, we also have 6 developed methods to see an alternate process or a 7 non-risk-based approaches to define or to identify those 8 communities where the major problems are. 9 Some reject this hypothesis or some reject -- do 10 not want to go this path because the end game of this is 11 that once we go there, that means the facilities going 12 into that place will have to have additional controls or 13 will have to commit to cleaner technologies. That means a 14 cost to the person who is putting in a business. And some 15 think to argue this could be an economic disincentive to 16 that community. 17 But on the contrary to that, it is actually a 18 benefit, emission reduction benefit to the community, or 19 to the people who are living there, for their health. 20 And the support also comes -- a counter-argument 21 for that also comes from the simple way in which our -- 22 return as being fair. It was not return as being equal. 23 So a community could consider that this approach or an 24 added control cost is actually a sort of a punitive damage 25 for what the past actions are, and it was likely to draw PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 113 1 more ingenuity with the technologies to come to that area. 2 So that's probably enough of the 3 counter-arguments I want to say. And I also echo that 4 siting criteria inclusion among all the ATCM's and this 5 community impact assessment will make a great in-depth 6 progress to the land-use guide recommends as we embark 7 along. 8 And once again thank you for the opportunity. It 9 has been a pleasure to work with the Board. And I'll 10 continue to look for the opportunity to work on these 11 staff issues as we move forward. 12 Thank you. 13 CHAIRPERSON LLOYD: Thank you, Shankar. Again, 14 thank you as my health advisor for continuing to provide 15 me with honest input and for pushing me in these areas. 16 And I think your honesty and integrity is much 17 appreciated. 18 With that I guess we -- any other comments from 19 the Board? 20 So I think with that, again I'd like to thank 21 staff. I'd like to thank Lynn and all the staff for the 22 wonderful job you've done on a tough issue. And to hear 23 the kudos there, and it was really nice for me sitting 24 here to hear all that going on. And then early on to hear 25 the word on the work on Barrio Logan. So it's a PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 114 1 tremendous job well done. 2 With that I guess it's not necessary to 3 officially close the record since it's not a regulatory 4 item. We're going to take a break now for 20 minutes, I 5 guess, while we get a quick bite. And I'd like the -- 6 BOARD MEMBER HUGH FRIEDMAN: Could I just ask one 7 quick question? 8 CHAIRPERSON LLOYD: Yes. 9 BOARD MEMBER HUGH FRIEDMAN: First of all, I hope 10 it's self-evident that we all join in appreciation to Matt 11 for the leadership, riding point for us, devoting 12 countless hours and a lot of energy and bringing all his 13 skills and background and experience to this. 14 But I guess there's a question about the future, 15 especially budgetary, for being most efficient or 16 efficacious. And maybe there's some way we could raise 17 some private funds for this. It seems to me this might be 18 the kind of a cause that might be attractive to 19 foundations or to other places. 20 So is there some way we could -- 21 CHAIRPERSON LLOYD: Well, what I was going to do, 22 Professor Friedman, with the new executive officer, I 23 think I was going to look at this as a priority. Because 24 I can just thoroughly concur with Mr. McKinnon, this is 25 just a critical issue that you cannot resolve without PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 115 1 going into the communities, getting the community 2 participation. We expect communities to come to our 3 meetings. And we have to find a way, whatever it is -- 4 and I agree with you, we should explore additional funds 5 within our agency. We should look at potential sources of 6 fund, whatever they are, and, if necessary, private funds, 7 to keep this going; and maybe work with a community to try 8 to go after and secure some additional funds. I couldn't 9 agree with you more. 10 BOARD MEMBER HUGH FRIEDMAN: And I think that 11 subsumes an answer to the request that we reaffirm as a 12 board our mission -- and I think that's evident -- 13 environmental justice. 14 CHAIRPERSON LLOYD: Yeah, you raise a good point. 15 I think that I heard some people ask for reaffirmation of 16 our vows. And I think what you're hearing is that you're 17 getting that. 18 I did see Supervisor DeSaulnier maybe 19 volunteering some Bay Area funds to help us out in this 20 arena. But maybe I miss -- great expectations here. 21 (Laughter.) 22 BOARD MEMBER DeSAULNIER: We're always willing to 23 help the state out. 24 (Laughter.) 25 BOARD MEMBER DeSAULNIER: Actually that was what PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 116 1 I was going to suggest, is that -- I know in the Bay Area, 2 and I assume this is similar in the other metropolitan 3 areas, we're, for instance, about to go out with our 4 SIP -- to start our SIP. And we're doing much more 5 community outreach because of what this Board directed us 6 to do. 7 The Metropolitan Planning Organization, MTC, of 8 which I'm a member, is under the same kind of federal 9 commitments to go ahead and do more outreach. Last time 10 we did the Regional Transportation Plan just a year and a 11 half ago. We had I think 12 public meetings and we 12 involved community. 13 One of the things I would suggest is that staff 14 look at better coordination between the regional and local 15 agencies. Perhaps we can go, rather than go in multiple 16 times -- for instance, in Richmond where the Board has 17 come to have a meeting, some of the folks -- the Chairman 18 might remember Ethyl Dotson. Ethyl has told me we're 19 having too much community outreach now. 20 (Laughter.) 21 BOARD MEMBER DeSAULNIER: Well, I think it was 22 meant as a compliment. It was funny. You all remember 23 Ethyl. I tried to limit Ethyl's public comment as well, 24 and I learned. And actually during that hearing I walked 25 over to the chairman and I said, "Don't try to stop Ethyl PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 117 1 Dotson from talking." 2 But the fact of the matter is that at least in 3 the Bay Area agencies -- multiple agencies, including in 4 my county, our health department are doing more outreach. 5 If we could provide a template, basically this agency, 6 where we were sort of the coordinator with a template 7 around the state, I think we could make better use of 8 existing resources because they're getting hit, 9 fortunately, finally, with a lot of input. But we can do 10 it in a more focused way and get people perhaps to one 11 meeting or two meetings rather than six in an area where 12 we really bring all the focus to bear, and include public 13 health officials because doctors and the physicians in the 14 community-based organizations are often the ones that 15 those communities trust the most. 16 CHAIRPERSON LLOYD: It's a very good point. And 17 I think similarly I heard we are coordinating with South 18 Coast. And I'm sure if Dr. Burke was here, he would also 19 endorse your suggestion we work closely with the groups 20 there. 21 Other comments? 22 Mr. McKinnon. 23 BOARD MEMBER McKINNON: Yeah, I don't want the 24 idea of having a research plan lost or missed. So 25 that's -- I mean it's not something we're going to do PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 118 1 overnight, but -- 2 CHAIRPERSON LLOYD: But when do we think we can 3 get that back to the Board? 4 Tom, any -- it's easy for you to volunteer now. 5 (Laughter.) 6 BOARD MEMBER McKINNON: I'm not looking for a 7 date. I'm looking for we're committed to get that done. 8 CHAIRPERSON LLOYD: Oh, I heard that. I'm sure 9 there's a commitment there. Yes, we have a commitment. A 10 I would think a couple months probably to take a look at 11 that. 12 ACTING EXECUTIVE OFFICER CACKETTE: Yeah, I think 13 we can bring it back in April, if you'd like. 14 CHAIRPERSON LLOYD: Yeah, that sounds to be good. 15 Good. With that -- so there's no other comments 16 on this item. And I think we have reaffirmation of the 17 commitment to the program. We've heard that I think very 18 strongly. And we're going to look for funds. We're going 19 to look for research. And we're going to continue to work 20 cooperatively with all the stakeholders, private sector 21 and industry, to move ahead. So with that let's break for 22 20 minutes, till 1:15. And we'll reassemble for the last 23 item. And then the announcement of the new executive 24 officer at the end of that. 25 (Thereupon a lunch break was taken.) PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 119 1 AFTERNOON SESSION 2 CHAIRPERSON LLOYD: We'll reconvene the Board 3 meeting. 4 On the next agenda item is 03-1-5, update on the 5 status of efforts to reduce in-use NOx emissions from 6 on-road heavy-duty vehicles. That's Element M17 of the 7 California Sip. 8 From time to time it becomes necessary to review 9 where we are with respect to implementing individual 10 measures in the SIP. This is one of those items. 11 M17 began as a scrappage concept in 1994, then 12 was revised to an inspection and repair concept in 1998 13 when the scrappage approach proved to be unworkable. 14 Today staff is reporting back to us on their 15 detailed technical assessment as to whether a repair and 16 inspection approach is viable. If not, we'll need to find 17 a third way, essentially, to skin the cat. And I guess 18 that's no plug for cat. 19 (Laughter.) 20 CHAIRPERSON LLOYD: Mr. Cackette, would you 21 please begin the staff's presentation. 22 ACTING EXECUTIVE OFFICER CACKETTE: Thank you, 23 Chairman Lloyd, members of the Board. 24 New on-road heavy-duty diesel engines have been 25 required to meet California emissions standards since the PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 120 1 1970's. Since that time emission standards for new 2 engines have been ratcheted down significantly. 3 Most recently the Board adopted lower emission 4 standards that apply to new engines sold in the 2004 and 5 then also in the 2007 model years. Begin in 2007 model 6 year these emission standards will effectively reduce NOx 7 and PM emissions from on-road heavy-duty trucks by over 95 8 percent compared to the uncontrolled levels. 9 However, efforts to reduce emissions do not end 10 once an engine model is certified. In the case of cars 11 and light trucks, assembly line inspections assure 12 individual engines are achieving low emissions when 13 they're first built and use compliance testing with a 14 possibility of a recall assures that emission control 15 design continues to be effective for the vehicle's useful 16 life, and smog check and on-board diagnostics to check 17 engine light assure vehicles are maintained and that 18 broken or worn parts are replaced for entire life of the 19 vehicle. 20 For heavy-duty diesel engines used in on-road 21 trucks the current emission control program lacks several 22 of these steps. There is no compliance program to assure 23 the in-use or in-service durability of heavy-duty engines. 24 The Board operates two programs that require random and 25 periodic inspections for smoke, but not for the other PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 121 1 pollutants such as NOx. And there is no requirement for 2 on-board diagnostics. 3 In 1998, the Board revised the ozone sip to 4 replace a truck scrappage commitment with an alternative 5 approach to cut emissions from trucks in use. 6 The new measure, M17, retained ARB's obligation 7 to reduce NOx emissions by 10 tons per day in the South 8 Coast by 2010. 9 As part of ARB's settlement agreement on the 1994 10 SIP, ARB staff agreed to make its best efforts to 11 accelerate development of this new program and bring 12 regulations to the Board this month, with provisions for 13 an additional year, if needed. 14 Today staff will provide you with a status report 15 on our efforts to develop the programs envisioned in SIP 16 element M17. The report will cover efforts to develop an 17 infield test for NOx that could complement the current 18 smoke inspection program. Staff will also discuss 19 development of an in-use compliance and recall program and 20 a requirement for new engines being equipped with on-board 21 diagnostic systems. 22 Our report will show that we do not believe 23 implementation of an infield NOx inspection program for 24 the current fleet can be implemented at this time. On a 25 more positive note, we are well along the way to PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 122 1 finalizing two proposals to be brought to the Board later 2 this year, and mentioned this morning in my summary, that 3 would establish an in-use compliance and recall program 4 for heavy-duty on-road trucks and a regulatory requirement 5 to equip these vehicles with an on-board diagnostic 6 system. 7 So today's presentation is informational, not 8 regulatory, unless there are no changes being proposed for 9 your consideration at this time. 10 Now, I'd like to turn the presentation over to 11 Mr. Dipak Bishnu of the Mobile Source Control Division, 12 who will begin the presentation, and then he is going to 13 share it with Mr. Don Chernich of the Mobile Source 14 Operations Division, who will focus on our assessment of 15 the infield NOx inspection program. 16 Dipak. 17 (Thereupon an overhead presentation was 18 Presented as follows.) 19 ON-ROAD HEAVY DUTY DIESEL SECTION ARE BISHNU: 20 Thank you, Mr. Cackette. 21 And good afternoon to you, Chairman Lloyd and 22 members of the Board. My name is Dipak Bishnu. And it's 23 my pleasure to be here today to present -- 24 CHAIRPERSON LLOYD: Can you speak just a little 25 bit louder. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 123 1 Thank you. 2 ON-ROAD HEAVY DUTY DIESEL SECTION ARE BISHNU: As 3 I said, my name is Dipak Bishnu. And it's my pleasure to 4 be here today to present along with Don Chernich an update 5 on the status of the efforts to reduce in-use oxides of 6 nitrogen, or NOx, emissions from on-road heavy-duty diesel 7 trucks. This is Element M17 of the California State 8 Implementation Plan. 9 --o0o-- 10 ON-ROAD HEAVY DUTY DIESEL SECTION ARE BISHNU: 11 Here is an outline to this presentation: 12 First, I will talk briefly on the background of 13 heavy-duty diesel engines, followed by a discussion of the 14 State Implementation Plan Measure M17. 15 Measure M17 calls for the reduction of emissions 16 from in-use on-road heavy-duty diesel vehicles. The 17 presentation before you today will describe four 18 strategies designed to address the requirements of M17. 19 The first strategy will be presented by Mr. Don 20 Chernich. He will provide an update on the development of 21 a NOx field-screening program for on-road heavy-duty 22 diesel engines. 23 Next, I will discuss our efforts to develop a 24 manufacturer-run in-use compliance test program for 25 on-road heavy-duty diesels engines, in collaboration with PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 124 1 U.S. EPA and the Engine Manufacturers Association. This 2 will be followed by an update on our efforts to develop 3 on-board diagnostic requirements for on-road heavy-duty 4 trucks. 5 Finally, I will discuss our efforts to increase 6 incentives on NOx reduction programs. 7 --o0o-- 8 ON-ROAD HEAVY DUTY DIESEL SECTION ARE BISHNU: 9 Due to their superior durability and fuel 10 efficiency, heavy-duty diesel engines are used for on-road 11 interstate and intrastate transportation. Also, these 12 engines are used in many stationary source and portable 13 equipment applications, like backup power generation 14 systems. 15 Heavy-duty diesel engines are the primary choice 16 of truckers who transport goods and material throughout 17 the United States. Consequently, they are vital to the 18 nation's economy. 19 However, the emissions of diesel engines are of 20 great concern. Diesel trucks currently emit approximately 21 28 percent and 16 percent of the total statewide mobile 22 source NOx and particulate matter, or PM, emissions, 23 respectively. 24 As you know, NOx is a precursor to ozone 25 formation. And diesel exhaust PM has been designated by PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 125 1 ARB as a toxic air contaminant. 2 --o0o-- 3 ON-ROAD HEAVY DUTY DIESEL SECTION ARE BISHNU: 4 Because of the significance of diesel emissions 5 the Board has adopted emission standards for new 6 heavy-duty diesel engines. 7 This chart shows how the heavy-duty diesel NOx 8 and PM emission standards for engines used in on-road 9 trucks have become increasingly more stringent over the 10 past decade or so. Note that the PM emissions shown here 11 are multiplied by 10 for comparison purposes in this 12 chart. 13 The first pair of bars show the NOx and the PM 14 emission standards in 1990. At that time the ARB was in 15 the very early stages of regulating on-road heavy-duty 16 diesel engines. Complying with these emission standards 17 required minor engine modifications. Since then tougher 18 NOx and PM standards have been adopted. 19 By 2004 the NOx emission standard has been 20 reduced by over 60 percent and PM emission standard by 21 over 80 percent compared to the omission standard of 1990. 22 Complying with the 2004 standards will require improved 23 engine designs and emission control technologies, such as 24 exhaust gas recirculation, or EGR. 25 In 2007 NOx and PM standards will be reduced by PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 126 1 another 90 percent compared to the 2004 standards. 2 Complying with the standards will require the most 3 advanced engine designs, coupled with aftertreatment-based 4 emission control systems. 5 The 2007 standard for NOx will be phased in over 6 three years, with full compliance in 2010. 7 While we have made significant gains adopting 8 stringent standards for the new engines, we also need 9 assurances that these standards continue to be met in use. 10 That importance of this in-use assurance has been 11 recognized and successfully demonstrated with our 12 passenger car and light-duty truck programs, as shown in 13 the next slide. 14 --o0o-- 15 ON-ROAD HEAVY DUTY DIESEL SECTION ARE BISHNU: 16 The ARB first adopted the lower emission vehicle, 17 or LEV, standard for new passenger cars and light trucks 18 in 1990. And in 1999 adopted much tougher standards under 19 the LEV II program, applicable to 2004 and subsequent 20 model year vehicles. 21 Similarly for the heavy-duty truck sector the ARB 22 has also adopted tougher standards with adoption of 2004 23 and 2007 heavy-duty diesel engine regulations for new 24 engines. But unlike the passenger car and light-duty 25 truck sector where we have an effective in-use compliance PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 127 1 and smog check program, we do not have a comprehensive, 2 practical, or cost effective in-use compliance testing 3 program for on-road heavy-duty diesel trucks. 4 Our current effort is limited to a random 5 inspection program for smoke. 6 All passenger cars, pickup trucks, and most 7 sports utility vehicles since 1996 are now equipped with 8 On-Board Diagnostic II, or OBD II systems. 9 The OBD II system monitors virtually every 10 component that can affect the emissions performance of the 11 vehicle to ensure that the vehicle remains as clean as 12 possible over its is entire life. 13 Currently there is no regulation in California 14 requiring OBD systems on heavy-duty vehicles, with gross 15 vehicle weight rating over 14,000 pounds. 16 --o0o-- 17 ON-ROAD HEAVY DUTY DIESEL SECTION ARE BISHNU: To 18 complement the emission standards for new heavy-duty 19 diesel engine, measure M17 was included in the California 20 State Implementation Plan. Its goal is to reduce in-use 21 emissions from on-road heavy-duty engines by 10 tons per 22 day NOx and one ton per day reactive organic gases by 2010 23 in the South Coast Air Basin. 24 The measure identified four different approaches 25 to reducing in-use emissions. These are: PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 128 1 A new field screening test to identify trucks 2 with excess NOx emission that may be caused by 3 malmaintenance or the need for repairs; 4 An in-use compliance program whose goal is to 5 identify engines with emission controls that are less 6 effective due to poor design, and reduce the excess 7 emission with a recall; 8 A requirement to incorporate on-board diagnostic 9 on new engines; 10 And a commitment to seek incentives to modernize 11 trucks with low emitting engines. 12 At this time, Mr. Don Chernich will explain our 13 efforts to develop a heavy-duty diesel engine NOx field 14 screening program. 15 HEAVY-DUTY DIESEL I/M DEVELOPMENT SECTION MANAGER 16 CHERNICK: Thank you, Mr. Bishnu. 17 Good afternoon, Chairman, members of the Board. 18 Today I will be reporting on the development of a 19 NOx screening test that could augment existing ARB smoke 20 capacity programs. 21 As you know, we currently use a snap acceleration 22 test to screen on-road trucks for smoke emissions. The 23 test involves pushing the accelerator pedal to the floor 24 with the truck in neutral, and measuring the maximum 25 density of smoke emitted. We do this test at roadside PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 129 1 locations and require California-based fleets to perform 2 the test annually. 3 Unfortunately this test cannot be used to measure 4 NOx emissions. To measure NOx a load must be put on the 5 engine, and more sophisticated emissions measurement 6 equipment is needed. Therefore, a new test for field 7 measurement must be developed. 8 In order to investigate such a program, we 9 assembled a lab at a rented facility in Stockton where we 10 are performing emissions tests on in-use trucks. Those 11 with high NOx emissions are repaired and then retested. 12 We are evaluating the data to determine how much excess 13 NOx is present in the fleet and to learn if we can quickly 14 identify those trucks with the highest NOx emission 15 levels. 16 Trucks are retested after servicing to determine 17 how effective repairs are in reducing emissions. 18 --o0o-- 19 HEAVY-DUTY DIESEL I/M DEVELOPMENT SECTION MANAGER 20 CHERNICK: Before getting into our test results I'll 21 briefly explain how a NOx screening test could work in 22 practice. The example I'm going to describe is modeled 23 after our ARB's existing roadside Smoke Inspection 24 Program. 25 A network of transportable dynamometers could be PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 130 1 deployed at various sites around the state. Likely test 2 locations would be ports of entry or roadside truck 3 scales. 4 Candidate trucks would be flagged to undergo a 5 short dynamometer test. Vehicles determined to be 6 non-compliant would be cited and be required to receive 7 repairs. Using the existing repair industry's dynamometer 8 network, trucks could be repaired and retested. Repair 9 results would be submitted to show proof of correction. 10 --o0o-- 11 HEAVY-DUTY DIESEL I/M DEVELOPMENT SECTION MANAGER 12 CHERNICK: To determine whether such a program is 13 valuable, we are evaluating four critical questions: 14 First, are there excess NOx emissions that are 15 the result of tampering and malmaintenance? This is the 16 basis for any I/M program. 17 Second, is there a test with a threshold or 18 cutpoint that can be applied to indicate whether or not a 19 vehicle is emitting excess NOx? 20 Third, if we can identify vehicles with excess 21 NOx emissions, can they be corrected through repairs and 22 maintenance? 23 And, lastly, how much do the related repairs 24 cost? 25 Our definition of excess NOx is NOx which can be PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 131 1 reduced through maintenance and repairs. 2 --o0o-- 3 HEAVY-DUTY DIESEL I/M DEVELOPMENT SECTION MANAGER 4 CHERNICK: Very little data is available on excess 5 emissions from on-road heavy-duty trucks and their causes. 6 This is because the traditional test facility capable of 7 testing a heavy-duty truck is large, expensive, and can 8 test only a few engines or vehicles per week. A 9 successful screening program would require a higher 10 testing volume from roadside locations, and testing would 11 have to be relatively inexpensive. 12 Therefore, we rented a facility in Stockton that 13 has a repair-grade dynamometer and installed 14 laboratory-grade emissions instrumentation. A comparable 15 test site could screen five to eight vehicles per day. 16 --o0o-- 17 HEAVY-DUTY DIESEL I/M DEVELOPMENT SECTION MANAGER 18 CHERNICK: This graph illustrates the test we perform on 19 each truck brought to the lab in order to evaluate the 20 effectiveness of a NOx screening test. After warming up 21 the truck, the driver puts the truck in direct gear and 22 gives it full throttle. A load is slowly applied, using 23 the dynamometer until the engine lugs down to past its 24 peak power. 25 We call this test cycle a power curve. The cycle PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 132 1 was chosen to permit NOx emissions testing under high 2 engine load conditions. 3 After the power curve the truck is run at 60 4 miles per hour for several minutes at three different 5 loads, then at idle for several minutes, followed by a 6 snap acceleration test. We run each truck through three 7 sets of tests back-to-back to check for consistency and to 8 determine if high NOx emissions -- determine if it has 9 high NOx emissions. 10 Candidates for emission repairs are selected 11 based on the data. Altogether each truck is run about 50 12 miles on the dynamometer. Of course under normal -- 13 actual I/M program the test would be much shorter and 14 quicker. 15 --o0o-- 16 HEAVY-DUTY DIESEL I/M DEVELOPMENT SECTION MANAGER 17 CHERNICK: The data set being presented consists of 18 testing from 67 vehicles so far. Vehicles were selected 19 based on a target list that was developed in cooperation 20 with the University of California, Riverside, before 21 testing began. 22 With multiple tests per vehicle, we have 23 approximately 1300 individual tests completed. Twenty-one 24 of these vehicles were sent for repairs. I'll talk more 25 about the results of the repaired vehicles shortly. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 133 1 --o0o-- 2 HEAVY-DUTY DIESEL I/M DEVELOPMENT SECTION MANAGER 3 CHERNICK: The baseline NOx emissions from the 67 trucks 4 tested to date are plotted on this chart against model 5 year. The NOx emission standard applicable to each model 6 year is indicated at the top of the chart for reference. 7 Note that the certification standards referenced 8 are based on different test procedure and cycle than was 9 used to collect the data shown. There are also 10 differences in how horsepower is measured between the 11 certification and screening tests. Thus the certification 12 standard cannot be directly compared to the values shown 13 in this chart. 14 The data show a wide variation in test results, 15 and it appears that some manufacturers have better in-use 16 emission performance based on the power curve test than do 17 others. 18 --o0o-- 19 HEAVY-DUTY DIESEL I/M DEVELOPMENT SECTION MANAGER 20 CHERNICK: This graph presents the data as a percentile 21 plot. It attempts to answer our first question: "Are 22 there excess NOx emissions in the vehicle population 23 caused by tampering and malmaintenance?" Ideally, when 24 plotted, we would find a group of vehicles with high 25 emissions that is distinctly different from vehicles with PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 134 1 normal emissions. 2 As we look at the actual data collected at 3 Stockton, we can see a slight upward turn at approximately 4 10 grams per wheel horsepower hour. This suggests a 5 possible cutpoint where approximately 15 percent of the 6 vehicles may have some excess NOx emissions. The highest 7 five percent of the population are at or above 12 grams 8 per wheel horsepower hour. 9 However, the upward turn does not appear to 10 clearly distinguish between high and normal emitting 11 vehicles. 12 --o0o-- 13 HEAVY-DUTY DIESEL I/M DEVELOPMENT SECTION MANAGER 14 CHERNICK: To further illustrate this, this plot shows the 15 test results from an in-use surveillance project for light 16 and medium-duty gasoline-powered vehicles. 17 As you can see to the right of the chart, the 18 data curves sharply upward towards the higher NOx values 19 at the end of the distribution, making it easier to 20 identify the levels at which vehicle emissions are likely 21 excessive. 22 --o0o-- 23 HEAVY-DUTY DIESEL I/M DEVELOPMENT SECTION MANAGER 24 CHERNICK: After understanding the baseline NOx emission 25 levels, the next step is to see if NOx emissions can be PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 135 1 reduced through emissions-related repairs. 2 Based on emission levels and our assessment of 3 the condition of the truck, we repaired 21 vehicles and 4 measured their emissions after repair. The round blue 5 circles represent emissions before repairs and the red 6 squares represent emissions after repairs. As you can 7 see, most of the emission reductions are small. And in 8 several cases the NOx emissions actually increased. 9 The staff believes that a workable inspection and 10 maintenance program would require that there be a distinct 11 separation between the baseline and after-repair emission 12 measurements. 13 Complicating this, the repair industry currently 14 does not measure NOx emissions during their normal 15 repairs. 16 In reviewing the post-repair emissions, the data 17 suggests that certain criteria when applied to the data 18 yielded a small post-repair emissions decrease. However, 19 because of the variability in the data compared to the 20 average emissions decrease, no emission reduction 21 potential could be found that is statistically 22 significant. 23 To illustrate the difficulty in finding a 24 workable cutpoint, I'll explain the test results with a 25 cutpoint of 10 grams per wheel horsepower hour when PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 136 1 applied to the data. 2 There are six vehicles with baseline emissions 3 greater than 10 grams. Two exhibited higher post-repair 4 emission levels. Three of the vehicles showed a decrease 5 in emissions after repairs. One vehicle showed virtually 6 no change. Furthermore, none of the post-repair values 7 were reduced below the 10 gram cutpoint. That is, all 6 8 trucks would still fail the screening test even after 9 repairs. 10 --o0o-- 11 HEAVY-DUTY DIESEL I/M DEVELOPMENT SECTION MANAGER 12 CHERNICK: Overall, the average NOx emissions of the 6 13 repaired trucks were reduced by 2.1 percent, which would 14 translate to approximately 3 tons per day reduction in the 15 South Coast fleet. However, due to the statistical 16 uncertainty of these reductions and the practical problem 17 of being unable thus far to repair trucks below the 18 designated cutpoint, a screening test that is implemented 19 and based on this data would subject many vehicle owners 20 and making repairs -- I'm sorry, excuse me -- subject many 21 vehicle owners to making repairs that are not effective in 22 reducing NOx. The trucks would also likely be flagged 23 again for having excess NOx emissions on their next test. 24 The average repair cost for the 6 trucks repaired 25 was approximately a thousand dollars. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 137 1 Overall, if the potential to reduce in-use 2 heavy-duty diesel truck emissions does exist, a better 3 understanding of its causes and effective repairs will be 4 needed. 5 --o0o-- 6 HEAVY-DUTY DIESEL I/M DEVELOPMENT SECTION MANAGER 7 CHERNICK: In summary, based on the test data generated, 8 additional testing and possibly new approaches to the 9 problem will be needed to demonstrate the feasibility of a 10 NOx-screening program. The per vehicle emissions 11 reductions achieved have been minimal, and the data do not 12 indicate a screening criteria that can identify vehicles 13 with excessive NOx emissions without also failing many 14 vehicles that will not benefit from repairs. 15 However, the testing has yielded important 16 information on in-use emission characteristics from the 17 heavy-duty truck fleet. The data raises some important 18 questions on the correlation between reduced remission 19 standards and in-use emission levels. The staff will 20 continue to work to understand the degree to which excess 21 NOx emissions exist in the heavy-duty truck fleet. 22 Further, to the degree that they do exist, we will 23 continue to investigate practical methods to ensure that 24 they are minimized. 25 I will now turn the presentation back over to Mr. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 138 1 Bishnu, who will discuss additional programs that we have 2 been evaluating to further reduce in-use emissions. 3 ON-ROAD HEAVY DUTY DIESEL SECTION ARE BISHNU: 4 Thank you, Mr. Chernich. 5 I will now discuss the development of heavy-duty 6 diesel in-use compliance program. 7 --o0o-- 8 ON-ROAD HEAVY DUTY DIESEL SECTION ARE BISHNU: 9 The Objective of the compliance testing is to 10 identify designs that fail to control emissions, and 11 correct the problem with recalling poorly designed 12 engines. 13 The ideal way of conducting compliance testing is 14 to test the engine in use the same way it was originally 15 certified, and compare the results. 16 Our existing regulations for in-use compliance 17 testing of heavy-duty engines require testing of 10 18 engines of the same engine family. For heavy-duty 19 vehicles this testing must be done on an engine 20 dynamometer since this is how the original engines were 21 certified. 22 This requires the removal of the engines from a 23 minimum of 10 vehicles, costing as much as $700,000 per 24 engine family tested. The owner or operator of the 25 vehicle would also be adversely impacted. The vehicle PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 139 1 would need to be at the test facility for at least one 2 month to complete testing, and the vehicle owner would 3 need to be provided with a loaner vehicle or compensated 4 for the lost business during testing. Both of these 5 propositions would be problematic and very expensive. 6 Because of these obstacles, extremely limited 7 in-use compliance testing of heavy-duty vehicles have been 8 conducted to date. Thus we have very little assurance 9 that the engines in these vehicles are complying with the 10 emission standards they were originally certified to. 11 However, we now have the means to overcome these 12 obstacles. In-use compliance testing of heavy-duty 13 vehicles can be conducted based on the development of a 14 not to exceed, or NTE, test procedure. Initially the NTE 15 facility was developed to prevent manufacturers from using 16 devices to turn off, or defeat, emission controls. 17 Earlier, in 1998, several engine manufacturers entered 18 into a settlement agreement with the ARB that required 19 compliance with NTE procedures beginning with the 1999 20 model year engines. The Board formally adopted the NTE 21 test procedure requirements in December of 2000. 22 This NTE test procedure provides the opportunity 23 to test these engines both on a chassis-dynamometer or 24 with an on-board measurement system, at a substantial cost 25 and time savings. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 140 1 --o0o-- 2 ON-ROAD HEAVY DUTY DIESEL SECTION ARE BISHNU: 3 The NTE test is unique and different from 4 traditional testing in the following ways: 5 Traditional testing consists of exercising an 6 engine over a prescribed driving cycle called the Federal 7 Test Procedure, or FTP. In contrast, the NTE test does 8 not require testing under a prescribed driving cycle, but 9 allows testing over a broad range of engine operation, as 10 shown in the shaded blue area on the chart. 11 So, if the engine is initially certified to meet 12 NTE requirements when new, it can be NTE compliance tested 13 in use, in the vehicle, and under any driving cycle as 14 long as the speed and the torque of the engine remain 15 within this control area when it is being tested. 16 Most of the steady state, on highway driving for 17 heavy-duty diesel trucks are normally in this NTE control 18 area. In this way we can ensure that the manufacturers 19 optimize emission control over virtually all driving 20 conditions and that defeat devices are not used. 21 The FTP emission samples are averaged together 22 over the entire test cycle and compared to the emission 23 standard. NTE compliance is based on emission samples, as 24 short as 30 seconds, and compared to an emission cap 25 within the NTE control area. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 141 1 Also, the FTP for heavy-duty engines is currently 2 conducted using an engine dynamometer only. NTE testing 3 can be conducted on an engine or chassis dynamometer, and 4 can also be conducted on the road using on-board emission 5 measurement technology, affording relatively inexpensive 6 and timely in-use compliance testing. 7 --o0o-- 8 ON-ROAD HEAVY DUTY DIESEL SECTION ARE BISHNU: In 9 March of 2002 the ARB began working with U.S. EPA, Engine 10 Manufacturers Association, and the diesel engine 11 manufacturers to develop a manufacturer-run heavy-duty 12 diesel engine in-use compliance program. 13 The three parties have already agreed to the 14 major elements of the program, including testing protocol, 15 number of engine families to be tested in a given year, 16 compliance determination protocol, and causes for 17 recalling an engine family. 18 In this program, the testing of the heavy-duty 19 diesel engine will be conducted by the manufacturer with 20 an on-board measurement system under the not-to-exceed 21 testing concept. 22 The Manufacturer-run program would offer benefits 23 to both the manufacturer and the regulatory agencies. 24 Both ARB and U.S. EPA will be able to share data, thereby 25 reducing expenses, verify compliance with heavy-duty PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 142 1 diesel engine standards, and check for the presence of 2 defeat devices. 3 The manufacturers, on the other hand, will be 4 able to streamline their certification process, run a 5 joint compliance program for both ARB and U.S. EPA, reduce 6 their assembly line testing requirements, and reduce their 7 deterioration factor development burden. 8 --o0o-- 9 ON-ROAD HEAVY DUTY DIESEL SECTION ARE BISHNU: 10 In the Manufacturer-run program, ARB and U.S. EPA 11 will select 25 percent of a large manufacturer's engine 12 families for testing in a given year. Whereas, only one 13 engine family per year will be tested for smaller 14 manufacturers. 15 The manufacturer will test each vehicle over one 16 full shift day of operation, with the regular driver 17 operating the vehicle under normal in-use operating 18 conditions. 19 The manufacturer-run program will include two 20 phases of testing. In the first phase 5 to 6 vehicles of 21 an engine family will be initially tested. In the case 22 where more than one vehicle fails the vehicle pass 23 criteria, an additional four vehicles will be tested, 24 making a total of 10 vehicles tested under Phase 1. 25 If 5 or more vehicles fail the Phase 1 testing, PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 143 1 then up to 10 additional vehicles will be tested under 2 Phase 2 testing. 3 Phase 2 testing may be focused on operating 4 conditions where a failure occurred under Phase 1 testing. 5 Upon completion of the Phase 2 testing, the ARB 6 and the U.S. EPA will evaluate the test results. At that 7 time ARB and U.S. EPA will also consider other relevant 8 supplemental data, obtained either from the manufacturers 9 or generated by the agencies. Based upon the overall 10 assessment, the ARB and U.S. EPA will determine whether 11 the data indicate serious concerns for the engine family 12 and whether further action, such as a recall, is required 13 for this specific engine family. 14 --o0o-- 15 ON-ROAD HEAVY DUTY DIESEL SECTION ARE BISHNU: 16 The Manufacturer-run in-use compliance program 17 will be initiated as a pilot program in California during 18 2005 and 2006. 19 The manufacturers will only be conducting Phase 1 20 testing under the pilot program. The data generated under 21 the pilot program will be analyzed by ARB, the U.S. EPA, 22 and the manufacturers. 23 The manufacturers will not be subjected to any 24 enforcement action solely based on the pilot program data 25 alone. The purpose of the pilot program will be to refine PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 144 1 the program. However, ARB/U.S. EPA may utilize pilot 2 program test data in conjunction with its own test data to 3 assess or pursue any necessary and appropriate enforcement 4 actions. 5 The experience gained under this pilot program 6 will help implement a fully enforceable and refined 7 manufacturer-run in-use compliance testing program 8 nationally in the year 2007, starting with 2007 model year 9 engines. 10 We will be proposing the regulations for your 11 consideration that will govern this program in late 2003. 12 --o0o-- 13 ON-ROAD HEAVY DUTY DIESEL SECTION ARE BISHNU: 14 Now, I'll comment on the development of the 15 heavy-duty on-board diagnostics program. 16 --o0o-- 17 ON-ROAD HEAVY DUTY DIESEL SECTION ARE BISHNU: 18 Another separate and important program to ensure 19 heavy-duty diesel engines remain as clean as possible 20 throughout their life will be the On-Board Diagnostics, or 21 OBD, program. 22 OBD systems are comprised mostly of software in 23 the on-board computer, and monitor virtually all 24 emission-delivered components for malfunctions. When a 25 malfunction occurs, the OBD systems detects the PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 145 1 malfunction, alerts the driver by illuminating a dashboard 2 warning light, and stores diagnostic information that can 3 be retrieved by repair technicians to identify the likely 4 cause of the malfunction. 5 OBD systems have been required on all gasoline 6 and light- and medium-duty diesel vehicles since the 1996 7 model year. 8 --o0o-- 9 ON-ROAD HEAVY DUTY DIESEL SECTION ARE BISHNU: 10 Identical to the current light- and medium-duty 11 vehicle OBD requirements, we are developing a program to 12 require heavy-duty engine manufacturers to install on new 13 engines an OBD system that will detect malfunctions of 14 electronic emission-related components, aftertreatment 15 devices such as traps and catalysts, engine misfire, the 16 fuel delivery system, and any other emission control 17 components. 18 --o0o-- 19 ON-ROAD HEAVY DUTY DIESEL SECTION ARE BISHNU: It 20 is expected that the proposal will require heavy-duty OBD 21 on all 2007 and subsequent model year heavy-duty gasoline 22 and diesel vehicle applications. 23 Staff is currently working with the U.S. EPA to 24 ensure consistent requirements are adopted nationally in 25 the same, or similar, timeframe. Staff has begun PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 146 1 developing on-board diagnostic requirements for heavy-duty 2 vehicles and expects to present the proposed regulations 3 to the Board in late 2003. 4 A fourth task under the M17 measure was to pursue 5 incentive monies beyond existing commitments to facilitate 6 further in-use emission reductions. The staff has 7 estimated the emission reductions expected from already 8 implemented Carl Moyer projects, and has found that the 9 current NOx reduction will exceed the ARB's 2005 10 commitment contained in SIP measure M4 for the South 11 Coast. 12 With the continued availability of incentive 13 monies, additional reductions will be achieved as more 14 projects are implemented. 15 Although the magnitude of further reduction is 16 not yet known, the staff expects that NOx emission 17 reduction will exceed ARB's M4 commitment for the South 18 Coast by a significant amount. These added reductions can 19 be counted towards ARB's M17 commitment for 2005 and 20 beyond. 21 --o0o-- 22 ON-ROAD HEAVY DUTY DIESEL SECTION ARE BISHNU: 23 Here is a comparison of the current in-use 24 emission reduction programs that are in place for the 25 passenger cars and light-duty trucks, and those for the PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 147 1 heavy-duty diesel trucks. The chart also shows the 2 different M17 programs that are being developed for 3 heavy-duty diesel trucks that will assure trucks maintain 4 their emission performance in use. 5 As we previously indicated, the heavy-duty diesel 6 truck sector compares well with the passenger car and an 7 light-duty truck sector when it comes to implementing 8 stringent emission standards. 9 Currently, however, unlike the passenger car and 10 the light-duty truck sector, there is no cost effective 11 in-use compliance, real smog check, or on-board diagnostic 12 programs for the heavy-duty diesel trucks. Currently the 13 only in-use program for heavy-duty diesel trucks is a 14 periodic smoke inspection program. 15 The proposed M17 programs discussed in this 16 presentation will provide the important missing pieces to 17 assure that heavy-duty diesel trucks remain clean 18 throughout their useful life. 19 Note the question mark in the Smog Check row. At 20 this time, staff has not determined whether a NOx field 21 screening program or an alternate program will augment the 22 periodic smoke inspection program. 23 --o0o-- 24 ON-ROAD HEAVY DUTY DIESEL SECTION ARE BISHNU: 25 Staff will continue testing heavy-duty diesel PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 148 1 trucks to better understand their in-use emissions, 2 including whether a NOx screening program may be effective 3 in reducing emissions from on-road in-use diesel trucks. 4 Staff plans on working with the U.S. EPA and the 5 Engine Manufacturers Association in the coming months to 6 finalize the manufacturer-run heavy-duty diesel in-use 7 compliance program and the heavy-duty on-board diagnostic 8 program. 9 As additional funding becomes available, more 10 incentive programs will be implemented to achieve 11 additional NOx reduction. 12 Staff also plans on conducting workshops during 13 this year, appraising the environmental community and 14 other stakeholders on the development of the proposed M17 15 programs. 16 Staff plans on coming to the board with 17 regulatory packages for the manufacturer-run heavy-duty 18 diesel in-use compliance and the heavy-duty on-board 19 diagnostic programs in late 2003. 20 This concludes my presentation. We'd like to 21 welcome any questions that you might have. 22 CHAIRPERSON LLOYD: Thank you very much. A 23 comprehensive overview. 24 Questions from the Board? 25 Yes, Mr. Calhoun. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 149 1 BOARD MEMBER CALHOUN: The subject of your 2 presentation was status of efforts to reduce in-use NOx 3 emissions from on-road heavy-duty diesel vehicles. And 4 during the course of the discussion you described the 5 short test that you were using to identify the vehicle 6 with heavy -- with the high or excess NOx emissions. And 7 I gather from that you have not had a lot of success. 8 Is EMA -- well, maybe I should rephrase the 9 question. 10 I assume that EMA is participating in the 11 process; is that correct? 12 ACTING EXECUTIVE OFFICER CACKETTE: Mr. Calhoun, 13 at this time we are just collecting the data over the last 14 couple of months. We have talked to EMA about the data, 15 and they have suggested an interest in looking at it more 16 and working with us on it before we proceed with 17 additional data collection. So, yes. But they have not 18 had a chance to actually examine the individual data 19 points because some of these have just been collected in 20 the last weeks. 21 BOARD MEMBER CALHOUN: Did we consult them before 22 we started our test program? 23 HEAVY-DUTY DIESEL I/M DEVELOPMENT SECTION MANAGER 24 CHERNICK: Yes, we did. Prior to the beginning of our 25 test project we made a large tour of all the engine PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 150 1 manufacturers and notable labs throughout the country to 2 gain insight and how we would set up such a test program. 3 And they have been notified. 4 BOARD MEMBER CALHOUN: So you plan to pursue with 5 them, I assume? 6 HEAVY-DUTY DIESEL I/M DEVELOPMENT SECTION MANAGER 7 CHERNICK: Yes. 8 BOARD MEMBER CALHOUN: Okay. Can you very 9 briefly describe for me what the present day in-use 10 compliance test program is for heavy-duty engine. 11 ACTING EXECUTIVE OFFICER CACKETTE: For an 12 on-road heavy-duty -- 13 BOARD MEMBER CALHOUN: Yes. 14 ACTING EXECUTIVE OFFICER CACKETTE: If you 15 exclude assembly line testing, there really isn't one. 16 There'd been small numbers of vehicles tested. But 17 there's no ongoing program where we collect a number of 18 trucks of a similar type together, test their engines, and 19 determine whether they meet the standards they were 20 designed to meet. We do test trucks randomly, but not for 21 that purpose. And as we pointed out, it's just an 22 enormously expensive process. 23 BOARD MEMBER CALHOUN: I realize that. 24 ACTING EXECUTIVE OFFICER CACKETTE: So that's why 25 we're trying to use this other technique that came out of PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 151 1 these enforcement settlements this -- 2 BOARD MEMBER CALHOUN: This has been a 3 controversial -- a very controversial issue for a long, 4 long time. That's why I was assuming. I thought maybe it 5 made a little progress in all these years. 6 ACTING EXECUTIVE OFFICER CACKETTE: Well, I think 7 there has been progress. But because of this NTE concept, 8 which allows you to actually take a portable 9 instrumentation, a box-size thing, throw it in a truck and 10 measure its emissions all day long, it has given us a way 11 of determining compliance without having to replicate the 12 expensive certification tests. 13 And the engine manufactures have -- I mean we've 14 been working with them in EPA, and they're very 15 cooperative on this. They actually want to see this 16 happen. And they're going to run the program at their 17 expense. So these engines will be tested by them, and 18 we'll be looking at the data. And then we can either 19 supplement it with our own testing or take it to the next 20 step if it looks like their data suggests a recall is 21 appropriate. 22 So I think we're on the precipice of being able 23 to actually have a program that's manageable, affordable, 24 and workable, similar to what we have on light-duty 25 vehicles. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 152 1 CHAIRPERSON LLOYD: Yes, Professor Friedman, Mrs. 2 Riordan. 3 BOARD MEMBER HUGH FRIEDMAN: My question has to 4 do with the heavy-duty diesel engine field NOx screening 5 program. And the critical questions are listed for 6 questions. And the answers, it seems, if I'm hearing you, 7 are "yes," "yes," and "no," "no," In other words, there 8 are excess NOx emissions in the vehicle population are 9 caused by tampering or by malmaintenance. And there 10 apparently there is a practical field test that might 11 diagnose this. 12 But these excess NOx emissions can't be reduced 13 through repairs and maintenance, at least not greatly 14 reduced. A small, small, really almost minor reduction. 15 And then the cost of that is not very cost beneficial. I 16 mean its cost benefit, it wouldn't stand up. 17 So where does that leave you -- leave us? 18 ACTING EXECUTIVE OFFICER CACKETTE: Well, I think 19 your characterization of the four questions is correct. 20 BOARD MEMBER HUGH FRIEDMAN: Well, tell me if I'm 21 wrong. 22 ACTING EXECUTIVE OFFICER CACKETTE: No, you're 23 right, you're right. It leaves us, based on the 24 admittedly small sizes that we have collected to date, 25 unsure of whether or not we can do an in-use test. Right PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 153 1 now if you were to say, Let's go do it," I don't think we 2 could -- we would be -- there's enough benefit to be up to 3 the challenge of where do we get the resources to buy 4 dynamometers, put them out in the field, do this testing, 5 and assure those who are failed that they really have 6 something wrong with their truck and that their repairs 7 benefited air quality. 8 So we don't think we're there. 9 We have other reasons to test more vehicles, and 10 that's why we say we'll keep looking at it. Because I 11 feel uncomfortable with a -- you know, a sample of where 12 we've done six repairs on trucks where it was above the 13 cutpoint. And, you know, it would be nicer to have a 14 bigger sample. 15 So we'll keep looking at it. But at this point 16 if we were to be asked to run a program just to further 17 this objective, I think we probably wouldn't do that 18 either. But given that we have other reasons to be 19 testing data, we'll be collecting it and trying to decide 20 if maybe this preliminary answer was an error. 21 CHAIRPERSON LLOYD: Mrs. Riordan. 22 BOARD MEMBER RIORDAN: Mr. Chairman, just talking 23 to the next steps, I feel very comfortable with where 24 you're going. I think that our effort to work with the 25 U.S. EPA and the EMA just has tremendous possibilities, PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 154 1 and hopefully will provide some information really for all 2 the states in the United States that could be utilized. 3 So I'm excited about that opportunity. I'm sorry 4 this test wasn't very successful. Or the repairs, I 5 guess, weren't successful. But I think this will be very 6 interesting to proceed with that cooperative effort. I 7 encourage that. 8 ACTING EXECUTIVE OFFICER CACKETTE: And I want to 9 emphasize that we are I think very close on it. We have a 10 meeting next week with the manufacturers to work out some 11 guidance documents, some kind of details on how the in-use 12 enforcement program would work. And if those were worked 13 out, I expect that we'll be having a handshake ceremony 14 somewhere within a month. And then we will bring you the 15 reg as soon as we can. The only thing that affects the 16 reg timing is we're doing it cooperatively with EPA. And 17 if their process is longer than ours, that means it might 18 be next year and not this year. 19 But the point is that the testing will be 20 committed to go ahead and we'll be able to shake out 21 any -- sort of have a trial of this whole concept. And 22 then by the time we get the trucks that have the 23 aftertreatment on them, which are one we're worried about, 24 we'll have an enforcement program in place. 25 The problem that -- unfortunately the part about PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 155 1 the screening test is -- and this may not have been 2 obvious from the presentation. But that was our way of 3 trying to get at the existing fleet. These other two 4 approaches of recall and OBD get at the future fleet. The 5 incentive money gets at the current fleet. 6 So we had four mechanisms to reduce emissions. 7 One didn't pan out too well on the existing fleet. We do 8 luckily have -- thanks to the public voting for Prop 40, 9 we do have money for a couple of years to help with the 10 existing fleet. The other two for the future fleet look 11 like they're going to pan out quite well. 12 CHAIRPERSON LLOYD: Tom -- or maybe Lynn can 13 answer this one. As you look at the scatter plot of the 14 baseline NOx test results there showing substantially 15 exceeding the standard for that year, what data do you use 16 to put into the emissions model to drive the air quality 17 model? 18 ACTING EXECUTIVE OFFICER CACKETTE: This data is 19 not the data we use. We have been testing trucks on a 20 chassis dynamometer for those that you have seen, like on 21 our facility down at MTA in Los Angeles or on a big 22 portable dynamometer. And that's the data that goes into 23 the emission model. 24 So it's more representative of a total driving 25 trip than this data are. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 156 1 CHAIRPERSON LLOYD: How confident are you -- 2 ACTING EXECUTIVE OFFICER CACKETTE: But it's no 3 bigger -- the sample size is, you know, 40 or something 4 like that. 5 CHAIRPERSON LLOYD: So as I say, how confident 6 are you that the emissions model represents the on-road 7 fleet emissions? 8 ACTING EXECUTIVE OFFICER CACKETTE: Reasonably 9 confident because -- 10 CHAIRPERSON LLOYD: Reasonable, as in, plus or 11 minus? 12 ACTING EXECUTIVE OFFICER CACKETTE: Oh, well -- 13 (Laughter.) 14 ACTING EXECUTIVE OFFICER CACKETTE: I don't have 15 a factual way of doing that. But, you know, maybe 25 16 percent or maybe somewhat bigger than that. But the part 17 we don't capture is the off-cycle driving conditions very 18 well. And so it's -- I think it's reasonable given it's 19 30 some or 40 pieces of data. It's reasonable for the 20 cycle that we use to drive it, which is driving through 21 the urban area. It doesn't represent other types of 22 driving conditions. 23 CHAIRPERSON LLOYD: Also, what I was trying to 24 highlight, Tom, for colleagues on the Board, when we see 25 we've, you know, underestimated the mobile source PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 157 1 emissions, it's a very tough job to be able to 2 characterize that. 3 So as our tools improve, you know, we can get the 4 better estimates. But by no means we're at a point 5 whereby we're completely confident of that. 6 ACTING EXECUTIVE OFFICER CACKETTE: No. And if 7 you look at this data chart here, the reason we put the 8 numbers at the top, even though they're a different 9 cycling and you can't really compare them to the vertical 10 axis, they do imply that the emissions should have gone 11 from six to four grams over time, and that's a 30 percent 12 reduction. 13 If you look at that plot, it's a little hard to 14 see it. And if you look at the plot of the chassis 15 dynamometer testing that we used to go into the model, it 16 looks just like this. It looks straight and flat. It 17 doesn't look downward. And, again, it's sample size is 18 small, it's confounded by a lot of different things that 19 we haven't been able to pull out. But the reason we're 20 going to be doing more testing is we want to make sure 21 that as these standards go down, the emissions really are 22 going down, they're not just staying up on the in-use 23 fleet. 24 CHAIRPERSON LLOYD: Do we have -- without giving 25 names, do we have any manufacturers who were typically PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 158 1 much closer to the standards than others? 2 ACTING EXECUTIVE OFFICER CACKETTE: Well, if you 3 look at the -- this is colored coded by manufacturer. And 4 I guess it's not real clear, but you can kind of see that 5 purple and green don't seem to be doing as well as red and 6 blue. I don't know where gray is in there, but it's -- 7 and, you know, we're not sure why. 8 But what we have concluded from that very limited 9 number of repair vehicles is that it doesn't appear to be 10 traditional, you know, a part broke or, you know, some 11 maintenance wasn't performed. 12 CHAIRPERSON LLOYD: Thank you. 13 ACTING EXECUTIVE OFFICER CACKETTE: So there must 14 be another reason. 15 CHAIRPERSON LLOYD: Thanks. 16 Any other questions from the Board? 17 With that I'd like to thank staff. An excellent 18 presentation. 19 Unless you have any further comments, Tom, we 20 will close the record. It's not necessary -- I guess it's 21 not necessary to officially close the record since it's 22 not a regulatory item. But we will do that. 23 And seeing no one signed up to testify on this 24 item, we'll move on to the next one. 25 Again, thank you very much. PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 159 1 The last one will be a discussion of our closed 2 session. 3 Thanks, Bob. Thanks for coming up. 4 As you know, the Board met early today in closed 5 session to discuss the appointment of a new executive 6 officer pursuant to Government Code Section 11126 A. To 7 consider personnel matters, health and Safety Code Section 8 39515 A provides that the State Board shall appoint an 9 executive officer who shall serve at the pleasure of the 10 Board. 11 We ended up with two highly qualified candidates 12 in the end. We discussed those and deliberated. And the 13 Board voted to select Catherine Witherspoon as the new 14 Executive Officer of the Air Resources Board, effective 15 today, January 31st, 2003. 16 Catherine has been notified of the Board decision 17 and, as a big surprise, she accepted the appointment. 18 I will say, just before -- my colleagues want to 19 say anything and before I ask Catherine and congratulate 20 her on, again, her promotion to Executive Officer -- how 21 much I've enjoyed working with her during the past four 22 years. The enormous advice, and respect I have for her 23 for her technical capabilities, for a knowledge of all the 24 issues from the technical to the Board to the Legislature. 25 And she stood me I hope in great stead. And as I've said PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 160 1 to my colleagues, now I feel that I've been potty trained. 2 I don't need another policy advisor. But she will 3 continue obviously as Executive Officer in that role. 4 But I think that we've discussed that during the 5 interview. And I think that we have many challenges 6 ahead, and I feel Catherine, with the cooperation of the 7 deputies -- we've talked to all the deputies -- and 8 working as a team, as usual, and backed by a tremendous 9 staff, I think again she'll do a wonderful job in this 10 arena. 11 So, again, congratulations, Catherine. Look 12 forward very much to working with you, colleagues on the 13 Board. 14 So if you'd like to step forward and say a few 15 words. And I don't know if my colleagues want to say 16 anything after that. 17 EXECUTIVE OFFICER WITHERSPOON: Well, I don't 18 want to prolong this meeting too much longer since you 19 have planes to catch and some of you long distances to 20 drive. 21 But since this is such a momentous occasion for 22 the Board and for me personally, just a few words. 23 First of all, thank you again for your confidence 24 in the skills and experience I bring to the job and for 25 your trust that I can grow and learn and acquire new PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 161 1 skills that I will need in this very challenging role. 2 I also want to second something Mike Kenny said 3 earlier, that we have the best staff in the world. 4 Earlier this week we honored 72 individuals across this 5 organization for their superior sustained achievements and 6 going above and beyond the call on a wide variety of 7 programs. And had you been there to hear their stories of 8 achievement and see their beaming faces, I know your 9 hearts would have been full with pride, as mine was and 10 all the deputies here. 11 And I hope that next year we can find a way of 12 sharing at least part of that too, our award ceremony, 13 with you so that you can see all the unsung heroes at the 14 Air Resources Board. Well, we sang about them this week, 15 but give you a chance to sing too. 16 And I also want to give kudos to the management 17 team. Any single individual on our top management staff 18 can rise to any occasion before them, whether it's a 19 crisis in a local district, a problem in the Legislature, 20 a hostile reporter, uncharted regulatory territory. Any 21 single one of them represents this Board with incredible 22 skill and aplomb. And I have loved working with all of 23 them. They're the nicest, funniest, smartest people you'd 24 ever want to spend a working day with, and I know we're 25 going to have great fun in this new teamwork structure on PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 162 1 a going-forward basis. 2 There are two people who came up today, expecting 3 a positive outcome, to support me. 4 My twin sister, Christy Witherspoon, who's a 5 conservator in San Francisco. We've been joking about her 6 taking some of my conference calls. We don't look exactly 7 alike, but we sound like doppelgangers, and you just 8 wouldn't believe it. 9 And my husband, Ted Bell, who knows better than 10 anyone what I'm about to embark upon because he has an 11 identical role at the Department of Food and Agriculture. 12 And I'm sure we'll have a lot to talk about as I start in 13 this new position. 14 Thank you again very much. And I guess it's time 15 to get back to work. 16 (Applause.) 17 CHAIRPERSON LLOYD: Thank you very much, 18 Catherine. And people who here recognize that our secret 19 weapon in dealing with the ag community is in fact Ted. 20 And so some nights I'm sure we'd like to be a fly on the 21 wall as they have these harmonious discussions on how to 22 address the ag community. 23 But thank you very much indeed. And, again, we 24 look forward to many productive years ahead. And thank my 25 colleagues here for appointing a new executive officer as PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 163 1 we move ahead. 2 And of course this is the first female executive 3 officer in that position. So again we look at things on 4 merit here. 5 So thank you very much. And the next month we 6 will have not nearly as, if you like -- none of this has 7 been relaxing, but this has not been nearly as challenging 8 as the next month will be. 9 So I encourage my Board members to have plenty of 10 rest before that meeting. Although we'll be inundated by 11 requests for meetings during that period of time. So we 12 will need all the wisdom we can get and we will need all 13 the guidance from Tom and new executive officer on the 14 mobile source side on the ZEV and the staff. 15 So we will look forward to the challenges ahead. 16 And hopefully, hopefully, maybe this is last time we will 17 visit this particular regulation as we looked in February. 18 (Laughter.) 19 CHAIRPERSON LLOYD: With that I'd like to 20 officially bring the January 31st meeting of the Air 21 Resources Board to a close. 22 And thank you all very much indeed. 23 (Thereupon the California Air Resources Board 24 adjourned at 2:20 p.m.) 25 PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345 164 1 CERTIFICATE OF REPORTER 2 I, JAMES F. PETERS, a Certified Shorthand 3 Reporter of the State of California, and Registered 4 Professional Reporter, do hereby certify: 5 That I am a disinterested person herein; that the 6 foregoing California Air Resources Board meeting was 7 reported in shorthand by me, James F. Peters, a Certified 8 Shorthand Reporter of the State of California, and 9 thereafter transcribed into typewriting. 10 I further certify that I am not of counsel or 11 attorney for any of the parties to said meeting nor in any 12 way interested in the outcome of said meeting. 13 IN WITNESS WHEREOF, I have hereunto set my hand 14 this 16th day of February, 2003. 15 16 17 18 19 20 21 22 23 JAMES F. PETERS, CSR, RPR 24 Certified Shorthand Reporter 25 License No. 10063 PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345