BILL NUMBER: AB 2650	CHAPTERED
	BILL TEXT

	CHAPTER  1129
	FILED WITH SECRETARY OF STATE  SEPTEMBER 30, 2002
	APPROVED BY GOVERNOR  SEPTEMBER 30, 2002
	PASSED THE ASSEMBLY  AUGUST 28, 2002
	PASSED THE SENATE  AUGUST 27, 2002
	AMENDED IN SENATE  AUGUST 21, 2002
	AMENDED IN SENATE  AUGUST 15, 2002
	AMENDED IN SENATE  AUGUST 8, 2002
	AMENDED IN SENATE  AUGUST 5, 2002
	AMENDED IN SENATE  JUNE 27, 2002
	AMENDED IN SENATE  JUNE 12, 2002
	AMENDED IN ASSEMBLY  APRIL 22, 2002
	AMENDED IN ASSEMBLY  APRIL 2, 2002

INTRODUCED BY   Assembly Member Lowenthal
   (Principal coauthor:  Assembly Member Firebaugh)
   (Coauthors:  Assembly Members Briggs, Cedillo, Correa, Frommer,
Harman, Koretz, Longville, Negrete McLeod, and Rod Pacheco)
   (Coauthor:  Senator Karnette)

                        FEBRUARY 22, 2002

   An act to amend Section 42407 of, to add Section 40720 to, to add
Chapter 9.8 (commencing with Section 44299.80) to Part 5 of Division
26 of, to add and repeal Section 40720.5 of, and to repeal Section
44299.83 of, the Health  and Safety Code, relating to air pollution.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2650, Lowenthal.  Air pollution:  diesel emissions:  California
Port Community Air Quality Program:  Bay Area Air Quality Management
District and South Coast Air Quality Management District.
   (1) Existing law requires the State Air Resources Board to
endeavor to achieve the maximum degree of emission reduction possible
from vehicular and mobile sources of air pollution in order to
accomplish the attainment of the state ambient air quality standards
at the earliest practicable date.  Existing law delegates to air
quality management districts and air pollution control districts
primary responsibility for all nonvehicular sources of air pollution.

   This bill would require each marine terminal in the state to
operate in a manner that does not cause the engines on trucks to idle
for more than 30 minutes while waiting to load or unload at the
terminal, and would charge the district with geographical
jurisdiction over that marine terminal with enforcing the
requirement.  The bill would make any owner or operator of a marine
terminal that acts in violation of that requirement subject to a
fine.  The bill would also make any action taken by a marine terminal
to pass the costs of that fine onto the owner or operator of a truck
a violation of nonvehicular air pollution control laws.  Because
other enforcement provisions of law make a violation of those laws a
crime, this bill would create a state-mandated local program by
creating a new crime and by imposing additional enforcement duties on
local districts.  The bill would impose a fine on the owner or
operator of the marine terminal or port for taking any action to
divert idling trucks to area freeways or alternate staging areas.
The bill would exempt from the requirement any marine terminal that
provides specified staffing at receiving and delivery gates.  The
bill also would exempt from the requirement, until July 1, 2003, any
marine terminal that implements, or begins to implement, a scheduling
or appointment system for trucks to enter the marine terminal.  The
bill would require a marine terminal implementing a scheduling or
appointment system to adhere to specified criteria.
   (2) Existing law establishes the Carl Moyer Memorial Air Quality
Standards Attainment Program, administered by the state board, which
provides grants through the districts to offset the incremental cost
of projects that reduce emissions of oxides of nitrogen (NOx) from
specified onroad vehicles, offroad nonrecreational equipment and
vehicles, locomotives, diesel marine vessels, stationary agricultural
engines, and other high-emitting diesel engine categories.
   This bill would create the California Port Community Air Quality
Program in the Bay Area Air Quality Management District and the South
Coast Air Quality Management District, to be administered and
implemented by those districts within their jurisdictions.  The bill
would require those districts to provide grants to offset the
advanced introduction costs of eligible projects that reduce onroad
emissions of particulate matter within communities adjacent to marine
terminals or ports within the jurisdiction of those districts.   The
bill would authorize those districts to utilize moneys derived from
fines imposed within the district's jurisdiction for a violation of
the provisions described in (1) to offset the costs incurred in
administering, enforcing, and monitoring the activities described in
(1).  The bill would authorize any moneys derived from those fines
that remain after the district offsets its costs to be used by the
district to fund the grant program.
   (3) The bill would make certain findings and declarations
regarding the inapplicability of a general statute within the meaning
of Section 16 of Article IV of the California Constitution.
  (4) The California Constitution requires the state to reimburse
local agencies and school districts for certain costs mandated by the
state.  Statutory provisions establish procedures for making that
reimbursement, including the creation of a State Mandates Claims Fund
to pay the costs of mandates that do not exceed $1,000,000 statewide
and other procedures for claims whose statewide costs exceed
$1,000,000.
   This bill would provide that with regard to certain mandates no
reimbursement is required by this act for a specified reason.
   With regard to any other mandates, this bill would provide that,
if the Commission on State Mandates determines that the bill contains
costs so mandated by the state, reimbursement for those costs shall
be made pursuant to the statutory provisions noted above.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  The Legislature finds and declares all of the
following:
   (a) Air pollution in the state is an ongoing problem that impacts
the health and safety of its residents.
   (b) Long lines at California marine terminals and ports often
become congested and force trucks to idle for extended periods of
time.
   (c) Idling trucks emit air contaminants, including oxides of
nitrogen (NOx), carbon dioxide (CO2), and particulate matter.
   (d) Many marine terminals and ports in the state are close in
proximity to homes and businesses.
   (e) Owners and operators of marine terminals and ports generally
do not directly own or control trucks that conduct transactions at
their site.  However, due to the manner in which some marine
terminals and ports are operated, including, but not limited to,
setting short gate hours and maintaining systems that do not spread
truck transactions throughout the day, and because trucks must
operate within the systems established by the owners and operators of
marine terminals, trucks are forced to idle for extended periods of
time and create severe congestion on public roadways in communities
at and near marine terminals and ports.
   (f) It is the intent of the Legislature to prohibit extended
idling by trucks at marine terminals and ports in the state in order
to protect the health and safety of all Californians.
   (g) It is the intent of the Legislature, in enacting the
provisions of this act, to reduce only emissions of particulate
matter that are caused by trucks idling at marine terminals and ports
in the state.
   (h) It is not the intent of the Legislature, in providing a system
for the provisions of grants for the reduction of emission of
particulate matter at marine terminals and ports in the state, to
delegate any authority for the control of emissions from mobile
sources to districts.
  SEC. 2.  Section 40720 is added to the Health and Safety Code, to
read:
   40720.  (a) Each marine terminal in the state shall operate in a
manner that does not cause the engines on trucks to idle or queue for
more than  30 minutes while waiting to enter the gate into the
marine terminal.
   (1) Any owner or operator of a marine terminal that operates in
violation of this subdivision is subject to a $250 fine per vehicle
per violation.
   (2) Marine terminals in the state shall be monitored by the
district with jurisdiction over that terminal to ensure compliance
with this subdivision.
   (3) Citations for violations of this subdivision shall be issued
by the applicable district, and shall include the truck license plate
number, the name of the marine terminal and port at which the
violation occurred, and the date and time of the violation.
   (4) Any action taken by the marine terminal to assess, or seek
reimbursement from, the driver or owner of a truck for a violation of
this subdivision shall constitute a violation of Article 3
(commencing with Section 42400) of Chapter 4 of Part 4.
   (5) Any owner or operator of a marine terminal or port, or any
agent thereof, who takes any action intended to avoid or circumvent
the requirements of this subdivision or to avoid or circumvent the
reduction of emissions of particulate matter from idling or queuing
trucks is subject to a seven hundred fifty dollar ($750) fine per
vehicle per violation, including, but not limited to, either of the
following actions:
   (A) Diverting an idling truck to area freeways or alternate
staging areas, including, but not limited to, requiring a truck to
idle or queue inside the gate of a marine terminal.
   (B) Requiring or directing a truckdriver to turn on and off an
engine while queuing.
   (6) The owner or operator of a marine terminal does not violate
this subdivision by causing a truck to idle for more than 30 minutes
while waiting to enter the gate into the marine terminal, if the
delay is caused by acts of God, strikes, or declared state and
federal emergencies, or if the district finds that an unavoidable or
unforeseeable event caused trucks to idle and that the terminal is in
good faith compliance with this section.
   (7) Failure to pay a fine imposed pursuant to paragraph (1) or (5)
shall constitute a violation of Article 3 (commencing with Section
42400) of Chapter 4 of Part 4.
   (b) (1) Subdivision (a) does not apply to any marine terminal that
provides, as determined by the district, two continuous hours of
uninterrupted, fully staffed receiving and delivery gates two hours
prior to and after, peak commuter hours each day, at least five days
per week.
   (2) For the purposes of this subdivision, "peak commuter hours"
shall be those hours determined by the district, in consultation with
the owners and operators of the marine terminals within each
district's jurisdiction and any labor union that is represented at
those marine terminals.  The district shall notify the marine
terminals of the final determination of the peak commuter hours.
   (c) Subdivision (a) does not apply to any marine terminal that
operates fully staffed receiving and delivery gates for 65 hours,
five days per week, if that marine terminal is located at a port that
processes less than 3 million containers (20-foot equivalent units
(TEUs)) annually.
   (d) Subdivision (a) does not apply to any marine terminal that
operates fully staffed receiving and delivery gates for 70 hours,
five days per week, if that marine terminal is located at a port that
processes more than 3 million containers (20-foot equivalent units
(TEUs)) annually.
   (e) The district shall determine the necessary level of monitoring
and enforcement commensurate with the level of the truck idling
problem existing within its jurisdiction.
   (f) For the purposes of this section, "marine terminal" means a
facility that meets all of the following criteria:
   (1) Is located at a bay or harbor.
   (2) Is primarily used for loading or unloading containerized cargo
onto or off of a ship or marine vessel.
   (3) Contains one or more of the following:
   (A) Piers.
   (B) Wharves.
   (C) Slips.
   (D) Berths.
   (E) Quays.
   (4) Is located at a port that processes 100,000 or more containers
(20-foot equivalent units (TEUs)) annually.
   (g) Notwithstanding subdivision (a), if a marine terminal
implements a scheduling or appointment system for trucks to enter the
terminal, the terminal shall be subject to a fine pursuant to
subdivision (a) only for a truck that makes use of the system and
whose engine idles for more than 30 minutes while waiting to enter
the gate into the terminal, commencing from the start of the
appointment or the time the truck arrives, whichever is later.  The
scheduling or appointment system shall meet all of the following
requirements:
   (1) Provide appointments on a first-come, first-served basis.
   (2) Provide appointments that last at least 60 minutes and are
continuously staggered throughout the day.
   (3) Not discriminate against any motor carrier that conducts
transactions at the marine terminal in scheduling appointments.
   (4) Not interfere with a double transaction once inside the gate.

   (5) Not turn away or fine a motor carrier if that motor carrier
misses an appointment.
  SEC. 2.5.  Section 40720.5 is added to the Health and Safety Code,
to read:
   40720.5.  (a) Subdivision (a) of Section 40720 does not apply to
any marine terminal that implements, or begins to implement, a
scheduling or appointment system for trucks to enter the marine
terminal.
   (b) Any marine terminal that implements, or begins to implement a
scheduling or appointment system for trucks to enter the marine
terminal shall notify the applicable district of that implementation
as soon as practicable.
   (c) This section shall become inoperative on July 1, 2003, and, as
of January 1, 2004, is repealed, unless a later enacted statute that
is enacted before January 1, 2004, deletes or extends the dates on
which it becomes inoperative and is repealed.
  SEC. 3.  Section 42407 of the Health and Safety Code is amended to
read:
   42407.  Except as provided in Sections 40720 and 42403.5, this
article is not applicable to vehicular sources.
  SEC. 4.  Chapter 9.8 (commencing with Section 44299.80) is added to
Part 5 of Division 26 of the Health and Safety Code, to read:

      CHAPTER 9.8.  THE CALIFORNIA PORT COMMUNITY AIR QUALITY PROGRAM

   44299.80.  As used in this chapter, the following terms have the
following meanings:
   (a) "Advanced introduction cost" means the cost of a project less
a baseline cost that would otherwise be incurred by the applicant in
the normal course of business based on the actual age and turnover
rates of trucks used at ports, and may include, but is not limited
to, any of the following:  incremental engine costs, re-engine or
retrofit costs, additional operational costs, incremental fuel costs,
facility modifications, and scrappage costs to eliminate operation
on highways in the state.
   (b) "Cost-effectiveness" means the funds provided to a project for
each ton of particulate matter reduction attributed to a project or
to the program as a whole.  In calculating cost-effectiveness, a
one-time grant of funds made at the beginning of a project shall be
annualized using a time value of public funds or discount rate
determined for each project.  Cost-effectiveness shall be calculated
by dividing annualized costs by local emissions reductions of PM.
   (c) "Covered engine" includes an engine from any onroad heavy-duty
diesel truck or bus weighing over 33,000 pounds and used in for-hire
or proprietary trucking operated by a trucking company that services
a port in the state.
   (d) "Covered source" includes onroad heavy-duty diesel vehicles
and other onroad high-emitting diesel engine categories.
   (e) "Covered vehicle" includes any vehicle or piece of equipment
powered by a covered engine.
   (f) "District" means the Bay Area Air Quality Management District
as described in Chapter 4 (commencing with Section 40200) of Part 3
and the South Coast Air Quality Management District as described in
Chapter 5.5 (commencing with Section 40400) of Part 3.
   (g) "Fund" means the California Port Community Air Quality Program
Trust Fund established pursuant to Section 44299.84.
   (h) "Gr-bhph" means grams-per brake horsepower hour.
   (i) "Marine terminal" has the same meaning as in Section 40720.
   (j) "New very low-emission vehicle" means a vehicle that qualifies
as a  very low-emission vehicle when it is a new vehicle, as defined
in Section 430 of the Vehicle Code, with regard to particulate
matter emissions standards or that is modified with the approval and
warranty of the original equipment manufacturer to qualify as a very
low-emission vehicle with regard to particulate matter emissions
standards within 12 months of delivery to an owner for private or
commercial use.
   (k) "Port" means any sea or river port in the state.
   (l) "PM" means particulate matter.
   (m) "Program" means the California Port Community Air Quality
Program created by this chapter.
   (n) "Project" means the replacement,  repowering, scrapping or
retrofitting of a covered vehicle or covered engine that receives a
grant pursuant to this chapter.
   (o) "Repower" means replacing an engine with a different engine.
The term "repower" as used in this chapter, refers to replacing an
older, uncontrolled engine with a newer model engine that meets the
latest emissions standards.
   (p) "Retrofit" means making modifications to the engine and fuel
system so that the retrofitted engine does not have the same
emissions of particulate matter as the original engine.
   (q) "Very low-emission vehicle" means a vehicle with emissions
significantly lower than otherwise applicable baseline emission
standards or uncontrolled emission levels.
   44299.81.  (a) The California Port Community Air Quality Program
is hereby established in the Bay Area Air Quality Management District
and the South Coast Air Quality Management District.
   (b) The program shall be implemented and administered by a
district within its jurisdiction.  The district shall provide grants
to offset the advanced introduction costs of eligible projects that
reduce onroad emissions of particulate matter within communities
adjacent to marine terminals.
   (c) A district may use moneys derived from fines imposed within
its jurisdiction pursuant to paragraphs (1) and (5) of subdivision
(a) of Section 40720 to offset costs incurred performing the
administration, enforcement, and monitoring activities as required
pursuant to that section.
   (d) A district shall use any moneys derived from fines imposed
within its jurisdiction pursuant to paragraphs (1) and (5) of
subdivision (a) of Section 40720 that are not expended to offset
costs pursuant to paragraph (c) to fund the grant program.
   44299.82.  (a) A district shall determine the projects eligible
for grants within that district.  Those projects may include, but are
not limited to, any of the following:
   (1) Purchase of a new very-low-emission covered vehicle or covered
engine to replace an older heavy-duty diesel vehicle or engine.
   (2) Purchase and use of PM emission-reducing add-on equipment for
a covered vehicle.
   (3) Implementation of a practical, low-emission retrofit
technology, repower option, advanced technology, or low sulfur diesel
or alternative fuel mixture for a covered engine.
   (b) In determining eligible projects, the district shall consider
whether the project will have the following effects:
   (1) Reduce onroad PM emissions to the maximum extent feasible on a
timely and cost-effective basis at the marine terminal or port and
within the surrounding communities.
   (2) Meet environmental justice goals and objectives set by the
state and local air pollution control agencies, including, but not
limited to, districts.
   (3) Benefit small businesses, giving particular emphasis to
independent minority owners and operators.
   (4) Assist in meeting the 0.01 gr-bhph emission standards adopted
by the federal Environmental Protection Agency for 2007 and later
model year diesel heavy-duty engines and vehicles (40 C.F.R. Sec.
86.007-11).
   (c) A person that owns a covered vehicle that operates near or in
a marine terminal or port is eligible to apply for a project grant if
the district with jurisdiction over that marine terminal or port
determines that the covered vehicle contributes significantly to the
PM emissions inventory in the communities adjacent to that marine
terminal or port.
   (d) Each district shall allocate grant funds in the following
manner:
   (1) Covered engines and covered vehicles that are manufactured
prior to 1994 shall receive 50 percent of the funds to purchase
pre-existing engines  or vehicles that are certified by the state
board to have been manufactured after 1993.  If the replacement
engine or vehicle is not equipped with a PM retrofit device verified
by the state board, those funds shall be utilized to purchase a PM
retrofit device that is verified by the state board and to offset
incremental costs incurred during the first year of utilizing
low-sulfur diesel fuel with not more than 15 parts per million
sulfur.  The total cost to offset the incremental costs may not
exceed 10 percent of the cost of the retrofit control device.
   (2) The remaining 50 percent of the funds shall be used to fund
the purchase of engines or vehicles, including, but not limited to,
engines that are certified to be cleaner than existing exhaust
emission standards, and the repower or retrofit of existing engines
to meet the 0.01 gr-bhph PM emission standard.  A new engine
purchased pursuant to this section may operate on any fuel source if
that fuel source is certified by the state board.  If a new engine
does not meet the 0.01 gr-bhph PM emission standards, a portion of
these funds shall be utilized to purchase a PM retrofit device that
is verified by the state board and to offset the incremental costs
incurred during the first year of utilizing low-sulfur diesel fuel
with not more than 15 parts per million sulfur to achieve the 0.01
gr-bhph PM emission standard.  The total cost to offset the
incremental costs shall not exceed 10 percent of the cost of the
retrofit control device.
   (e) A district shall give priority to those grant applicants that
provide the greatest reduction in PM emissions.
   (f) A district may give priority to any grant applicant who
provides matching funds for the grant.
   (g) A district may provide a grant to a project that involves
replacing an engine that was manufactured before 1988, only if the
applicant delivers that engine to the district or its agent for
scrappage.  The grant award amount shall include the costs the
district will incur in scrapping that engine.
   (h) A district may provide a grant for a project involving PM
control retrofit technology only if that technology has been
determined to be eligible for use by the state board.
   (i) In determining eligible projects, a district may not exclude
any technology based on the type of fuel utilized by that technology.

   44299.83.  (a) Notwithstanding paragraph (4) of subdivision (b) of
Section 44299.82, a district may, on a case by case basis, determine
that a project that meets a PM standard that is less stringent than
0.01 gr-bhph, but does not exceed 0.1 gr-bhph, is eligible for
funding if it meets all of the following conditions:
   (1) The project is proposed, pursuant to paragraph (1) of
subdivision (d) of Section 44299.82 to reduce emissions from engines
manufactured before 1994.
   (2) The district has determined that the applicant's cost of
meeting a 0.01 gr-bhph standard will exceed thirty-seven thousand
five hundred dollars ($37,500).
   (3) The district has evaluated the emission reductions that can be
achieved by the applicant through available purchase and retrofit
options and the costs of these options prior to making the
determination.
   (b) This section shall remain in effect only until January 1,
2005, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2005, deletes or extends
that date.
   44299.85.  (a) A district may include any reduction in PM
emissions that result from the implementation of the program in any
state implementation plan, or revision of that plan, that is
submitted to the state board pursuant to Chapter 10 (commencing with
Section 40910) of Part 3 for a particulate matter nonattainment area.

   (b) All emission reductions or reduction credits resulting from a
project funded by a district pursuant to this chapter are the
property of the district that approved the grant.  The district may
utilize those emission reductions or reduction credits first to
fulfill local and regional commitments to air quality standards.  Any
additional reductions or credits that exist after the local or
regional commitment to air quality is fulfilled may be used by the
state board to fulfill the state's commitment to air quality
standards and attainment.
  SEC. 5.  The Legislature finds and declares that, due to the unique
circumstances relating to air quality in the communities surrounding
ports in the Bay Area Air Quality Management District and the South
Coast Air Quality Management District, a statute of general
applicability cannot be enacted within the meaning of subdivision (b)
of Section 16 of Article IV of the California Constitution.
  SEC. 6.  No reimbursement is required by this act pursuant to
Section 6 of Article XIII B of the California Constitution for
certain costs that may be incurred by a local agency or school
district because in that regard this act creates a new crime or
infraction, eliminates a crime or infraction, or changes the penalty
for a crime or infraction, within the meaning of Section 17556 of the
Government Code, or changes the definition of a crime within the
meaning of Section 6 of Article XIII B of the California
Constitution.
   However, notwithstanding Section 17610 of the Government Code, if
the Commission on State Mandates determines that this act contains
other costs mandated by the state, reimbursement to local agencies
and school districts for those costs shall be made pursuant to Part 7
(commencing with Section 17500) of Division 4 of Title 2 of the
Government Code.  If the statewide cost of the claim for
reimbursement does not exceed one million dollars ($1,000,000),
reimbursement shall be made from the State Mandates Claims Fund.