State of California
AIR RESOURCES BOARD

Hotel San Diego
Continental Room
339 West Broadway
San Diego, CA

December 2, 1980

AGENDA

Page

80-25-1
Public Hearing to Consider Confirmation of 001
Emergency Adoption of Section 1960.4, Title 13,
California Administrative Code, Regarding Special
NOx Standards for Small-Volume Manufacturers.

80-25-2 Public Hearing to Consider Confirmation of 056
Amendments to Title 13, California Administrative
Code Regarding the 1982 and Subsequent Model Year
Exhaust Emission Standards.

80-25-3 CONTINUATION OF Public Hearing to Reconsider 108
Rule 1135.1 of the South Coast Air Quality
Management District and Rule 59.1 of the Ventura
County Air Pollution Control District Controlling
Emissions of Oxides of Nitrogen from Power Plants.

80-25-4 Request for Delegation to Conduct Public Hearing
Regarding 1982 Assemblyline Test Procedures.

December 3, 1980

80-26-1 CONTINUATION OF Public Hearing to Reconsider Rule
1135.1 of the South Coast Air Quality Management
District and Rule 59.1 of the Ventura County Air
Pollution Control District Controlling Emissions of
Oxides of Nitrogen from Power Plants.

80-26-2 Other Business
a. Executive Session
Personnel
Litigation
b. Research Proposals
c. Delegations of Executive Officer

ITEM NO.: 80-25-1

Public Hearing to Consider Confirmation of Emergency Adoption of
Section 1960.4, Title 13, California Administrative Code,
Regarding Special NOx Standards for Small-Volume Manufacturers.

ERRATA TO

Public Hearing to Consider Confirmation of Emergency Adoption of
Section 1960.4, Title 13, California Administrative Code,
Regarding Special NOx Standards for Small-Volume Manufacturers.

1. Page 018, second line from bottom, after "0.7", add "(j)".

2. Page 020, footnote (j), after "1983" add:

"passenger car and 1984 LDT and MDV".

ITEM NO.: 80-25-1

SUMMARY AND STATEMENT OF REASONS FOR PROPOSED RULEMAKING

Under Section 202(b)(1)(B) of the Clean Air Act, a "small-volume
manufacturer" may be assigned less stringent oxides of nitrogen
emission standards for a period of up to two years before meeting
the standards required of larger vehicle manufacturers for 1981
and 1982 passenger cars. This allows a small-volume manufacturer
the lead time to buy, adapt and apply new emissions control
technology if the manufacturer does not have the capability or
expertise to develop its own emission controls.

On June 14, 1978 the Air Resources Board (ARB) was granted a
waiver of federal pre-emption by the Environmental Protection
Agency (EPA) for a 1.0 gram per mile oxides of nitrogen (NOx)
standard for 1980 and 1981 passenger cars. American Motors
Corporation (AMC), a small-volume manufacturer, brought suit
against EPA on August 14, 1978, to challenge the waiver, arguing
that the lead time requirement for small manufacturers of the
Clean Air Act had not been met by ARB. The court ruled in favor
of AMC, and subsequently vacated the waiver insofar as it denies
lead time to meet NOx standards for passenger cars to
small-volume manufacturers.

In response to the court decision, the Board revised its 1981 and
subsequent exhaust emission standards and 1981 assembly-line test
procedures for passenger cars on March 5, 1980. The new
regulation, Section 1960.2, Title 13, California Administrative
Code, "Special Standards for 1980 and 1981 Model Passenger Cars",
allows small volume manufacturers of passenger cars to meet a 1.5
gram per mile (g/mi) NOx certification standard, and a cumulative
assembly-line level of 1.0 g/mi based on quality audit data.

The court's decision applied to 1981 and 1982 model passenger
cars and not to light-duty trucks (LDTs) and medium-duty vehicles
(MDVs) under 4,000 pounds equivalent inertia weight. However, as
AMC pointed out, emission control technologies are first
introduced on passenger cars, and then they are applied to LDTs
and MDVs. In order to respond to this concern, the Board adopted
Section 1960.3 of Title 13 of the California Administrative Code
on March 26, 1980. This section provides one year of lead time
between the effective date of the 1980-1981 passenger car 1.5
g/mi NOx standard and the effective date of this standard for
LDTs and MDVs.

AMC was concerned that the Board's action did not address 1982
and later passenger car standards or 1983 and later LDT and MDV
standards. This led AMC to request an EPA waiver hearing on
April 15, 1980 to consider California's authority to enforce NOx
standards for those model years, even though the Board had
adopted Section 1960.2 and 1960.3.

As a result of AMC's petition, an EPA hearing was held July 24,
1980. At the hearing, consideration of waiver revisions was
deferred until later in the year to give AMC an opportunity to
agree upon a set of NOx standards for 1982 and later model year
vehicles produced by small-volume manufacturers within the
guidelines of the Clean Air Act.

The ARB staff met with representatives of AMC to discuss NOx
standards for small-volume manufacturers. After consideration of
lead time requirements, the staff proposed the 1982 and
subsequent model year NOx standards listed in the table below for
small-volume manufacturers. (The standards for other
manufacturers and the 1980 and 1981 standards are given as a
reference.)

California NOx Standards for Small-Volume Manufacturers
(grams per mile)

1980 1981 1982 1983
1984 1985 1986

California passenger
car standard 1.0 0.7 0.7 0.4
0.4 0.4 0.4

Small-volume mfg. 1.5 1.5 1.0 0.7
0.7 0.4 0.4
passenger cars (1.0) (1.0) (0.7)

Small-volume mfg.
LDTs and MDVs 1.5 1.5 1.5 1.0
0.7 0.7 0.4
under 4000 pounds (1.0) (1.0) (1.0)
(0.7)
EIW

The staff further proposed that AMC and other small-volume
manufacturers be required to meet a 0.7 g/mi level on cumulative
quality audit data for passenger cars in 1982 and for LDTs and
MDVs in 1983 as shown in the table. Compliance with these
assembly-line levels for small-volume manufacturers is based on
cumulative data from passenger car (or LDT and MDV) lines rather
than the normal quarter-by quarter evaluation by engine family.

Comparison of cumulative quality audit data was dropped for 1983
and 1984 passenger cars (1984 and 1985 LDTs and MDVs), but
compliance will still be determined based upon combined averages
of engine families for passenger car lines, and separately, for
LDT and MDV lines. Thereafter, the staff proposed that
small-volume manufacturers meet the certification exhaust
emission standard on quality audit compliance testing in accordance with
the requirements specified for other manufacturers.

The Board adopted the staff's proposal on August 27, 1980, on an
emergency basis by adding Section 1960.4 to the regulations in
Title 13, California Administrative Code. Related changes were
made to the California Exhaust Emission Standards and Test
Procedures for 1981 and Subsequent Model Passenger Cars,
Light-Duty Trucks, and Medium-Duty Vehicles. This hearing is
provided to consider confirmation of the Board's action and to present
further opportunities for public comment. The staff believes
that the adopted emission standards provide adequate relief for
small-volume manufacturers and, therefore, it recommends that the
Board confirm the standards which it adopted on August 27, 1980.

The staff has prepared a report that presents in detail the need
for the proposed regulation, the standards proposed for each
included model year and weight class of vehicles, and the
technological data and evaluation upon which the staff has relied
in making the proposal.

ITEM NO.: 80-25-2

Public Hearing to Consider Confirmation of Amendments to Title
13, California Administrative Code, Regarding the 1982 and
Subsequent Model Year Exhaust Emission Standards.

SUMMARY AND STATEMENT OF REASONS FOR PROPOSED RULEMAKING

In March, 1980, the EPA promulgated a final rule establishing a
particulate emission standard of 0.6 grams per mile (GPM) for
light-duty diesels beginning with the 1982 model year. This was
done to diminish the total suspended particulate matter in the
many air quality regions which exceed the primary national
ambient air quality standards of 75 ug/m3 (annual mean). The EPA
concluded that this standard could be met, but made the
provision, "the levels of the standard would only be feasible in
the near term if some relaxation of the 1.0 gram per mile (0.62
gram per kilometer) NOx standard was granted ... to at least some
engine families." Based upon this reasoning several diesel
manufacturers petitioned the Air Resources Board to reconsider
the optional 1982 1.0 gpm NOx standard or to adopt a less
stringent particulate standard than the federal standard. In
more recent conversations, however, manufacturers stated that
diesel NOx and particulate emissions are not interrelated. The
staff concurs with those manufacturers' findings, and has
considered the NOx and particulate standards as separate issues.

Because of the manufacturers need to start durability
certification testing, the Board held an emergency public hearing
to reconsider the emission standards for light-duty diesels on
August 27, 1980. On August 28, 1980, the Board resolved (1) to
enforce the federal particulate standards, (2) to change the 1982
NOx standards to 1.2 gpm for 50,000 mile certification of diesel
passenger cars and 1.5 gpm for 100,000 mile certification for
turbocharged diesels, and (3) to eliminated the hydrocarbon
exhaust emission allowance granted to vehicles with low
evaporative emissions for 1982 and subsequent model years.

Particulates

In California, the concerns of EPA with respect to the potential
health effects of particulate emissions are more acute. Because
of the geographic limitations for particulate dispersal, many air
basins in California regularly exceed the particulate air quality
standards. Diesel particulates only pose minor health threat at
the present time in California due to the relatively small
population of diesel vehicles. However, it is expected that as
much as 25% of domestic passenger cars produced will be
diesel-powered in 1990. Thus, diesel particulates will become a
serious health hazard if the stringent standards adopted by EPA are not
enforced.

Based upon an evaluation of EPA documents which study diesel
particulates, the staff recommended that the EPA particulate
emission st