ATTACHMENT D

– RESOLUTION

A Resolution of the South Coast Air Quality Management District (AQMD) Governing Board Certifying the Final Program Environmental Assessment for Proposed Amended Regulation (PAR) XX

– Regional Incentive Market Program (RECLAIM)
. A Resolution of the Governing Board A mending Proposed Amended R egulation XX ( P roposed Amended Rule (PAR) 2002

– Allocations for Oxides of Nitrogen (NOx) and Oxides of Sulfur (SOx) )

WHEREAS, the 2007 AQMP was adopted by the AQMD Governing Board in June 2007 and subsequently approved by the California Air Resources Board and submitted to the U.S. Environmental Protection Agency for inclusion into the State Implementation Plan; and

WHEREAS , the Governing Board finds and determines with certainty that the P A R XX (PAR 2002

– Allocations for Oxides of Nitrogen (NOx) and Oxides of Sulfur (SOx) ) is considered a “project” pursuant to the California Environmental Quality Act (CEQA); and

WHEREAS , the AQMD has had its regulatory program certified pursuant to Public Resources Code § 21080.5 and has conducted CEQA review and analysis pursuant t o such program (AQMD Rule 110); and

WHEREAS , AQMD staff has prepared a Draft Program Environmental Assessment ( P EA) pursuant to its certified regulatory program and CEQA Guidelin es §15252 and §15168 setting forth the potential environmental consequences of P A R XX (PAR 2002

– Allocations for Oxides of Nitrogen (NOx) and Oxides of Sulfur (SOx) ) ; and

WHEREAS , the Draft P EA was released for public review, all comments received were r esponded to, and the Draft P EA has been revised such that it is now a Final P EA; and2 WHEREAS , it is necessary that the adequacy of the Final P EA, including responses to comments be determined by the Governing Board prior to its certification; and

WHEREAS , it is necessary that the AQMD prepare a Statement of Findings and Statement of Overriding Considerations pursuant to CEQA Guidelines §15091 and § 15093, respectively, regarding potentially significant adverse environmental impacts that cannot be mitigated to insignificance; and a Mitigation Monitoring Plan pursuant to Public Resources Code §21081.6, regarding the mitigation included in the Final P EA; and

WHEREAS , the Governing Board prior to voting on PAR XX (PAR 2002 ) , has reviewed and considered the Fina l P EA including responses to comments , prior to its certification ; and

WHEREAS , the Governing Board finds and determines, taking into consideration the factors in §(d)(4)(D) of the Governing Board Procedures, that the modifications ad opted which have been made to PAR XX (PAR 2002 ) , since notice of public hearing was published do not significantly change the meaning of the proposed project within the meaning of Health and Safety Code §40726 and would not constitute significant new information requiring recir culation of the Draft PEA (CEQA document) pursuant to CEQA Guidelines §15088.5; and

WHEREAS , the Governing Board has determined that the socioeconomic impact assessment of the P A R 2002 is consistent with the Governing Board March 17, 1989 and October 14, 1994 resolutions and the provisio ns of Health and Safety Code §§ 40440.8, 40728.5 and 40920.6; and

WHEREAS , the Governing Board has reviewed and considered the staff's findings related to cost and employment impacts of the P A R Regulation XX (PAR 2002)
set forth in the socioeconomic impact assessment made public with the agenda package for this meeting, and hereby find and determines that cost and employment impacts are as set forth in that assessment; and3 WHEREAS , the Governing Board has determined that P A R XX (Rule 2002)
are cost

- effective per ton of SOx reduced; and

WHEREAS , the Governing Board has actively considered the socioeconomic impact assessment and has made a good faith effort to minimize such impacts; and

WHEREAS, the Governing Board of the Sout h Coast Air Quality Management District by adopting this regulation is implementing, interpreting, or making specific the provisions of Health and Safety Code §39616(c)(1) (equivalent or less cost under RECLAIM compared with command

- and

- control regulations ) and §39616(c)(4) (no significant shift from high

- to low

- skilled jobs); and

WHEREAS , the Governing Board has determined that a need exists to adopt the P A R XX (Rule 2002) to implement Control Measure CMB

- 0 2 of the 2007 AQMP and to reduce SOx and implemen t BARCT for refinery fluid catalytic cracking units , sulfur recovery units/tail gas, sulfuric acid plants, container glass manufacturing plants, cement kilns and coal fired boiler at cement manufacturing plants, and coke calciner ; and

WHEREAS , the Governin g Board of the South Coast Air Quality Management District obtains its authority to adopt this proposed amended rule from Sections 39002, 39616, 39650, 40000, 40001, 40440, 40440.1 , 40702, 41508 and 41700 of the California Health and Safety Code; and

WHERE AS , the Governing Board has determined that P AR XX (Rule 2002) as proposed is written or displayed so that its meaning can be easily understood by the persons directly affected by it; and

WHEREAS , the Governing Board has determined that P AR XX (PAR 2002)

a s proposed is in harmony with, and not in conflict with or contradictory to, existing federal or state statutes, court decisions, or regulations; and4 WHEREAS , the Governing Board has determined that P AR XX (PAR 2002) as proposed does not impose the same re quirements as any existing state or federal regulation and the proposed rule is necessary and proper to execute the powers and duties granted to, and imposed upon, the District; and

WHEREAS , the Governing Board has determined that P AR XX (PAR 2002)
as prop osed references the following statutes which the AQMD hereby implements, interprets or makes specific: Health and Safety Code § 40001(a) and (b) (air quality standards and air pollution episodes); 40702 (adoption of rules and regulations), § 40440(a) (rules to carry out plan); § 40440(b) (best available retrofit control technology); and Federal Clean Air Act Section 172(c)(1) (reasonably available control technology); and

WHEREAS, the AQMD Governing Board has determined that there is a problem that the propose d amendments to Regulation XX will alleviate (Health and Safety Code §40001(c)). Specifically, the amendments will reduce SOx credits in the market to reflect BARCT; and

WHEREAS , the AQMD Governing Board finds, pursuant to Health and Safety Code §39616(c) (1), that the proposed amendments to RECLAIM are designed to achieve the emissions levels projected to result from implementation of the rules and control measures subsumed by RECLAIM and any future air quality measures that would otherwise have been adopt ed as part of the District’s plan for attainment at equal or less cost; and

WHEREAS , the AQMD Governing Board finds, pursuant to Health and Safety Code §39616(c)(2), that the proposed amendments to RECLAIM do not change the previous findings that RECLAIM p rovides a level of enforcement and monitoring comparable to more stringent than command and control air quality measures by requiring more frequent and more accurate monitoring, more frequent and more complete emissions reports, electronic emissions report ing, maintenance of on

- site records of their emissions5

reports and underlying data for three years, annual or more frequent facility inspections, and annual emissions audits; and

WHEREAS , the AQMD Governing Board finds, pursuant to Health and Safety Code § 39616(c)(4), that the proposed amendment to RECLAIM will not result in a greater loss of jobs or more significant shifts from higher to lower skilled jobs, on an overall District

- wide basis, than would exist under command and control air quality

measures; and

WHEREAS , the Governing Board has determined that there is a problem that P AR XX (PAR 2002) will help alleviate, that is the basin does not meet the ambient quality standards for PM 2.5 , and the proposed rule will promote the attainment of these standard s; and

WHEREAS , a public hearing has been properly noticed in accordance with the provisions of Health and Safety Code Section 40725; and

WHEREAS , the Governing Board has held a public hearing in accordance with all provisions of law; and

WHEREAS , the Gov erning Board specifies the manager of PAR XX (PAR 2002) as the custodian of the documents or other materials which constitute the record of proceeding upon which the adoption of this proposed amended rule is based, which are located at the South Coast Air Quality Management District, 21865 Copley Drive, Diamond Bar, California; and

NOW, THEREFORE, BE IT RESOLVED , that the Governing Board does hereby certify that the Final P EA for P AR XX (PAR 2002) was completed in compliance with CEQA and Rule 110 provision s; and finds that the Final P EA was presented to the Governing Board, whose members reviewed, considered and approved the information therein prior to acting on P AR XX (PAR 2002) ; and6 BE IT FURTHER RESOLVED, that the Governing Board adopts a Statement of F indings and a Statement of Overriding Considerations pursuant to CEQA Guidelines §15091 and § 15093, respectively, and a Mitigation Monitoring Plan pursuant to Public Resources Code §21081.6 regarding potentially significant adverse environmental impacts th at cannot be mitigated to insignificance, as required by CEQA, and which are included as Attachment 1 and incorporated herein by reference; and

BE IT FURTHER RESOLVED , that the Governing Board does hereby adopt, pursuant to the authority granted by law, P A R XX (PAR 2002) as set forth in the attached and incorporated herein by reference.

_____________ ________________________________ Date Clerk of the District Board