Charbroiler Incentive Program Guidelines 

## San Joaquin Valley Air Pollution Control District

Charbroiler Incentive Program (ChIP) Guidelines

I. Pilot Program

A charbroiler incentive pilot program will be initiated to advance development of underfired charbroiler emissions control technol ogy and to gauge interest for funding. This program will install up to ten (10) particulate control devices on existing under-fired charbroilers. Up to five-hundred thousand dolla rs ($500,000) will be init ially allocated by the San Joaquin Valley Air Pollution Contro l SJVAPCD (SJVAPCD) to fund the pilot

program.



### II. Technology

The following control technologies may be suitable for under-fired charbroilers:

• High efficiency particulate-arre sting (HEPA) filtration systems

• Electrostatic precipitators (ESPs)

• Wet scrubbers

• Other technologies ap proved by the SJVAPCD



### III. Outreach

Promotion of ChIP will begin by informing potent ially eligible applicants of the funds available through ChIP. Dir ect contact with individual restaurant owners and outreach through the California Restaur ant Association (CRA) wil l be used to promote the program. The marketing plan will c onsist of the following components:

1. Media:

• Periodic press releases while funding is available.

• Distribution of ChIP informati on through restaurant associations.

2. Emails: An email notice will be sent to all parties signed-up on the SJVAPCD's

list-serv. 3. Internet: Applications and guidance material will be posted on the SJVAPCD's

website. 4. Meeting Announcements: Staff will announce the availability of funding through public meetings for parties that would likely be interested in the program. 5. Telephone Contact: Staff will be av ailable to advise applicants that may be eligible for participation by telephone dur ing the regular course of business.Charbroiler Incentive Program (ChIP) Guidelines September 17, 2009

Charbroiler Incentive Program Guidelines 2 

### IV. Competitive Application Process

A competitive application process will be o pened to gather potential applicants. The SJVAPCD will accept appl ications for a set period of time. All applications received during this time will be ranked so that t he SJVAPCD may determine which projects to fund. Ranking will be based on project emission reductions and cost-effectiveness. Consideration may be given to the size of th e restaurant to ensure that technologies are implemented across multiple sizes of rest aurants. SJVAPCD wi ll begin funding the highest ranked project and continue down t he list until approved funding is expended. If a project is determined to be i neligible, the applicant is formally notified in writing of the project’s ineligibility status. Reasons ar e provided in the letter for clarification, explaining the ineligibility.



### V. Program Funding

The District anticipates using Indirect Source Review (ISR) fees as funding for the ChIP program. The funding leve l and cost-effectiveness of ChIP projects will be capped to
ensure that ISR funds are used in a manner that meet s ISR cost-effectiveness requirements.



### VI. Cost Effectiveness Analysis

Each ChIP project will be calculated prior to funding to determine cost effectiveness and the maximum amount of funding the project qualifies for. Table 2 shows potential funding levels for projects. This value va ries depending on the am ount of meat being cooked and the project lif e. Calculations were made using an emission factor of 63.8 lb PM2.5/ton hamburger cooked an d the assumption that a particulate control device

achieves a 90% reduction.



### Table 2. Incentive ValuesCharbroiler Incentive Program (ChIP) Guidelines September 17, 2009

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### VII. Contract

Applicants accepting funding will be required to enter into a legally binding contract with
the SJVAPCD. Contracts will contain at a minimum the following provisions:

1. Party names and date.

2. Contact information for both parti es to send and receive notices.

3. Disclosure of funds statem ent to ensure the applicant has not submitted another application or signed a nother contract for the same project. The disclosure

statement must also indica te whether the owner or designee has received prior incentive funding for the same project.

4. Contract term, which includes the projec t completion and project implementation

time frames.

5. Project specifications, which include detailed information on the new equipment in the project.

6. Maintenance clause, which requires the applicant to maintain the new equipment according to the manufacturer’s specif ications for the life of the project.

7. Purchasing requirements, which specify that applicants must receive an executed contract before new equipment may be purchased or installed.

8. Payment requirements, which specify that applicants must receive an executed contract before payment can be made, elig ible invoices must be submitted, and the project post-inspection must be comp leted to ensure the work performed in the project is specific to t he invoice, executed contract , and project requirements.

9. Maximum contract amount clearly identified.

10. Reporting requirements, which includes t he date the Annual Report is due, and information, for District purposes, needed to assess the new technologies reliability, effectiveness, etc.

11. Record retention, including what to record and for how long.

12. Insurance requirement, including what ty pe of insurance it required and how long

it must be held for.

13. On-site inspections and audits measure, which allows the SJVAPCD to conduct a fiscal audit of the pr oject and/or to inspect the project equipment and associated records during the contract term.

14. Repercussions for nonperformance, wh ich specifies the repercussions associated with non-complianc e to the obligation of the contract terms.



### VIII. Inspections, Annual Reports and Audits

SJVAPCD will perform all inspections necessary to determine funding eligibility. Upon receipt of an application, SJVAPCD staff will contact the applicant to arrange a preinspection at the restaurant. Once the new particulate control device is installed and operating SJVAPCD staff will arrange for a post-i nspection at the restaurant. At the time of inspection SJVAPCD staff will take photos as documentation.Charbroiler Incentive Program (ChIP) Guidelines September 17, 2009

Charbroiler Incentive Program Guidelines 4 Applicants shall submit annual reports on new equipment operation, hours of operation, maintenance, and any other pertinent information requested by District on a form to be provided to Participant by District. The fi rst year annual report s hall commence no later than eighteen (18) months a fter the project post-inspecti on and continue for the life of the project. Noncompliance with the r eporting requirements shall require on-site monitoring by the District.

SJVAPCD reserves the right to conduct a fiscal audit of the pr oject and/or to inspect the equipment and associated records at any time during the agreement term. Applicants will be notified prior to an audit.