BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 28
                                                                  Page 1

          Date of Hearing:  May 4, 2009

                       ASSEMBLY COMMITTEE ON NATURAL RESOURCES
                                Nancy Skinner, Chair
                    AB 28 (Jeffries) - As Amended:  April 13, 2009
           
          SUBJECT  :  Natural gas engines:  water movement:  emissions  
          limitation requirements

           SUMMARY  :  Prohibits air pollution control districts and air  
          quality management districts (local air districts) from imposing  
          specified emissions, testing, and reporting requirements for  
          natural gas engines.  

           EXISTING LAW  :  Imposes various limitations on emissions of air  
          contaminants.  Designates the Air Resources Board (ARB) as the  
          state agency with primary responsibility for the control of  
          vehicular air pollution, and local air districts with the  
          primary responsibility for the control of air pollution from  
          stationary sources.  

           THIS BILL  : 

          1)Defines "natural gas engine" as a natural gas engine that is  
            used in the movement of any type of water and that is owned,  
            operated, or contracted for operation by a local government or  
            special district.  

          2)Prohibits local air districts from imposing any of the  
            following requirements on a natural gas engine: 

             a)   Emissions testing for oxides of nitrogen (NOx), carbon  
               monoxide (CO), or volatile organic compounds (VOCs) more  
               than once every 8,760 operating hours (equivalent to one  
               year); 

             b)   Emissions testing for NOx, CO, and oxygen by use of a  
               portable NOx, CO, or oxygen analyzer; 

             c)   Installation of a continuous emission monitoring system  
               for a natural gas engine of less than 1000 brake  
               horsepower, regardless of the location of the engine with  
               respect to any other engine; 

             d)   Submission of reports listing occurrences of breakdowns  








                                                                  AB 28
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               or malfunctions resulting in emissions in excess of  
               applicable emission limits more than once per year; and, 

             e)   Removal, replacement, or retrofit of any natural gas  
               engine within five years of the adoption of the  
               requirement. 

          3)If a local air district requires an inspection and maintenance  
            plan, requires the local air district to accept  
            self-certification of the plan in lieu of formal submission  
            and approval by the district. 

           FISCAL EFFECT  :  This bill is nonfiscal.

           COMMENTS  :

           1)Background
           
          Local air districts are required to adopt all feasible controls  
          on stationary sources to achieve the state ambient air quality  
          standards, including for natural gas engines.  Stationary  
          natural gas engines are subject to the reporting provisions of  
          the ARB Stationary Compression Ignition Engine Airborne Toxic  
          Control Measure.  In 2001, ARB issued the report Determination  
          of Reasonably Available Control Technologies and Best Available  
          Retrofit Control Technology for Stationary Spark-Ignited  
          Internal Combustion Engines (IC engines), which establishes "all  
          feasible controls" serves as the basis for local air districts  
          to adopt controls on natural gas engines.  

          Most local air districts have stationary IC engine rules that  
          include natural gas engines in order to control NOx emissions.   
          These measures have been required to meet both the state and  
          federal ambient air quality standards.  Local air district IC  
          engine rules have been adopted into the State Implementation  
          Plan, which demonstrates how the state will achieve and maintain  
          the federal ambient air quality standards.  When these plans are  
          approved by the U.S. Environmental Protection Agency, the rules  
          become federally enforceable and any changes to the rule must  
          have federal approval.

           2)This bill
           
          According to the author, having back-up power for water pumps is  
          critical during wildfires and during power outages.  The author  








                                                                  AB 28
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          states that new rules passed by the South Coast Air Quality  
          Management District (SCAQMD), and under consideration by other  
          districts in the state, have "severely restricted the ability of  
          water districts, municipal utilities, and some fire protection  
          districts to install, maintain, or use natural gas as a reliable  
          source of power to operate domestic water pumps."   The author  
          also states that this bill "would make significant modifications  
          to the rules passed by SCAQMD and set forth reasonable,  
          cost-effective guidelines for compliance and reporting."

          This bill will reduce regulatory requirements for water  
          districts and other local government entities using natural  
          gas-powered water pumps.  At the same time, the bill will hinder  
          the ability of local air districts to implement and enforce  
          health-based emission limits for IC engines, which could  
          compromise achievement of air quality attainment goals.  The  
          purpose of local air district standards is to protect public  
          health; however, the criteria in this bill are not health-based  
          nor are they necessarily economically beneficial to the general  
          public.  The practical effect of the testing, monitoring and  
          reporting limitations in this bill would be to overturn the  
          existing SCAQMD rules and prevent other air districts from  
          adopting similar rules.

           REGISTERED SUPPORT / OPPOSITION  :

           Support 
           
          Association of California Water Agencies
          California Association of Sanitation Agencies
          California Water Association
          Castaic Lake Water Agency
          City of Corona Department of Water and Power
          City of Garden Grove
          City of Palm Desert
          Cucamonga Valley Water District
          Del Paso Manor Water District
          Eastern Municipal Water District
          Elsinore Valley Municipal Water District
          Friant Water Authority
          Indian Wells Valley Water District
          Lake Hemet Municipal Water District
          Kern County Supervisor Don Maben
          McKinleyville Community Service District
          Mesa Consolidated Water District








                                                                  AB 28
                                                                  Page 4

          Mission Springs Water District
          Ramona Municipal Water District
          Rancho California Water District
          Sacramento Suburban Water District
          San Bernardino County Fire Department 
          San Diego County Water Authority
          Stockton East Water District
          Tehachapi-Cummings County Water District
          Three Valleys Municipal Water District
          Western Municipal Water District
          Victorville Water District
          Yorba Linda Water District
          Yuima Municipal Water District

          Opposition 
           
          Bay Area Air Quality Management District
          Breathe California
          California Air Pollution Control Officers Association
          Sierra Club California
          South Coast Air Quality Management District
           

          Analysis Prepared by  :  Elizabeth MacMillan / NAT. RES. / (916)  
          319-2092