CALIFORNIA AIR RESOURCES BOARD

Lincoln Plaza
Auditorium, First Floor
400 "P" Street
Sacramento, CA

July 13, 1989
9:00 a.m.

AGENDA

Page

89-13-1 Report on California Solvents Control Effort: 001

a. Air Resources Board and District Effort on
Industrial, Architectural, and Other Solvents.

b. Consumer Products Control Plan.

89-13-2 Public Hearing to Consider the Adoption of 041
Regulations Regarding Annual New Motor Vehicle
Certification Fees Pursuant to the Provisions of
the Clean Air Act of 1988.

89-13-3 Public Hearing to Consider the Adoption of a 060
Regulatory Amendment Identifying Methylene
Chloride as a Toxic Air Contaminant.

89-13-4 Consideration of Appointment of Modeling Advisory 659
Committee Members.

89-13-5 Consideration of Research Proposals: 660

Proposal 1673-145B, "Perform Ozone and PM Case Study
Analyses", Submitted by Sonoma Technology Inc., for a
Total Amount Not to Exceed $24,992.

Proposal 1690-147, "Analysis of the 1987 Southern
California Air Quality Study (SCAQS) Atmospheric Tracer
Data", Submitted by the California Institute of
Technology for a Total Amount not to Exceed $77,660.

Proposal 182-30, "Long-term Studies of Lakes and
Watersheds in the Sierra Nevada: Patterns and Processes
of Surface Water Acidification", Submitted by the
University of California, Santa Barbara, for a Total
Amount Not to Exceed $399,996.

SUMMARY

ITEM #89-13-1

Report on California's Solvent Control Efforts.

RECOMMENDATION

There is no staff recommendation. This is an informational item.

DISCUSSION

This item is divided into two parts. Part A of this item is an
oral presentation outlining Air Resources Board (ARB) staff
oversight of local district activities related to architectural
coatings, industrial coatings, and industrial solvent-use. Part
B of this item reports on ARB staff activities related to
consumer products, a source category for which ARB has direct
regulatory authority. Part B presents our control plan for
reducing VOC emissions from consumer products as required by the
California Clean Air Act (CCAA).

ITEM #89-13-2

Public Hearing to Consider Adoption of Regulations Regarding
Annual Motor Vehicle Certification Fees Pursuant to the
Provisions of the California Clean Air Act of 1988.

RECOMMENDATION

The staff recommends that the Board adopt the proposed
regulations governing annual certification fees. The proposed
regulations would provide the mechanism for collection of annual
certification fees which will be used to fund mobile source
activities required under the California Clean Air Act.

DISCUSSION

In September 1988, the California Clean Air Act of 1988 was
signed into law (AB 2595, Stats 1988, ch 1568). The statute
directs the Board to attain all ambient air quality standards by
the earliest practicable date, achieve steady measurable progress
in emission reductions each and every year until these standards
are attained, and gives the Board broader regulatory authority
over transportation and nonvehiclular mobile sources. In order
to support these activities, the Act authorizes funding through a
combination of motor vehicle and engine certification fees and
permit fee surcharges on major industrial facilities.

Most of the motor vehicle related activities required under the
statute begin to occur in the first years of its implementation.
As a result, the staff has identified approximately $4,500,000 in
expenses related to mobile sources for Fiscal Year 1989-90 and is
proposing to collect that amount through annual certification
fees. In subsequent years, total fees may increase but cannot
exceed the annual increase in the California Consumer price Index
for the previous year.

Pursuant to Health and Safety Code Section 43019, the staff is
proposing regulations which will establish annual certification
fees. The proposal sets forth procedures for calculating the
certification fees on a per-vehicle or per-engine basis and
specifies a billing process. Specifically, the proposed
regulations would:

1) Require that all manufacturers of California-certified
vehicles and engines including federally certified vehicles sold
in California pursuant to Health and Safety Code Section 43102 be
subject to annual certification fees. Vehicles and engines,
currently unregulated, would be included in the fee payment
scheme as they become regulated.

2) Specify annual fees for a manufacturer proportional to the
number of vehicles and engines it produced for California each
calendar year. The per-vehicle or per-engine certification fee
will be calculated each July. The calculation will be made by
dividing the total revenues collected in the previous fiscal year
(plus a dollar amount proportional to the annual increase in the
California Consumer Price Index), by the total number of vehicles
and engines produced for California during the previous calendar
year.

3) Require fees to be payable within 30 days following the ARB
notification of the amount to be collected for the fiscal year.
Manufacturers will be notified by July 31st of each year except
for the initial collection in Fiscal Year 1989-90 when they will
be notified immediately following the effective date of the
regulation.

4) Require certification of subsequent model-year vehicles or
engines to be conditional upon the payment of annual
certification fees.

IMPACT OF THE PROPOSED REGULATIONS

The adoption of the proposed regulations would provide funds in
the amount of $4,500,00 which will enable the ARB to conduct new
programs required under the California Clean Air Act. This
amount will be used to establish more stringent standards;
develop regulations to control unregulated mobile sources such as
construction and farm equipment, locomotives, utility engines and
marine vessels; as well as develop and enforcement program to
ensure that standards and other regulatory requirements are
effective in reducing emissions. The certification fees will
also provide resources needed to partially support activities
such as technical studies on emissions inventory, air quality
modeling and cost effectiveness.

ITEM #89-13-3

Proposed Identification of Methylene Chloride as a toxic Air
Contaminant (Regulatory).

RECOMMENDATION

The ARB staff recommends that methylene chloride be identified as
a toxic air contaminant with no identified threshold.

DISCUSSION

In accordance with the provisions of Health and Safety Code
Section 39650 et seq, the ARB staff, after consulting the
Department of Health Services (DHS), selected methylene chloride
for the Board's consideration for listing as a toxic air
contaminant. The staff selected methylene chloride because the
International Agency for Research on Cancer (IARC) and the
Environmental Protection Agency (EPA) have concluded that there
is ample evidence that methylene chloride is carcinogenic in
animals (IARC considers methylene chloride a possible human
carcinogen and the EPA considers methylene chloride a probable
human carcinogen); it is emitted from many sources in the state,
and so significant reduction in public exposure is expected to
result from atmospheric removal processes.

As required by Health and Safety Code Section 39661, a report was
prepared jointly by the DHS and ARB staffs reviewing the health
effects and anticipated exposure levels of methylene chloride.
The Scientific Review Panel, which was established by Health and
Safety Code Section 39670, reviewed the report. The scientific
Review Panel found that the methylene chloride report is without
serious deficiency and submitted its written findings to the
Board. The Scientific Review Panel has recommended that the Air
Resources Board list methylene chloride by regulation as a toxic
air contaminant, and found that based on available scientific
information, a methylene chloride exposure level below which
carcinogenic effects are not expected to occur cannot be
identified.

SUMMARY AND IMPACTS OF PROPOSED BOARD ACTION

The identification of methylene chloride as a toxic air
contaminant will not in itself have any environmental and
economic impacts. However, specific control measures may be
developed subsequent to identification. Analyses of potential
environmental and economic impacts will be included in the
consideration of such control measures.