(Adopted December 8, 1995)(Amended March 8, 1996)

(Amended November 8, 1996)

(Amended October 9, 1998)

RULE 2202 - ON-ROAD MOTOR VEHICLE MITIGATION OPTIONS

(a) Purpose

The purpose of this Rule is to provide employers with a menu of options to reduce

mobile source emissions generated from employee commutes, to comply with

federal and state Clean Air Act requirements, Health & Safety Code Section 40458,

and Section 182(d)(1)(B) ofthe federal Clean Air Act.

(b) Applicability

Effective June 19, 1998, this rule applies to any employer who employs 250 or more

employees on a full or part-thne basis at a worksite for a consecutive six-month

period calculated as a monthly average, except as provided in subdivision (1) of this

rule.

(c) Sunset Provision

This rule shall be rescinded at such time that a replacement measure is implemented

which produces an equivalent level of emission reductions and such emission

reductions are real, quantifiable, and surplus relative to the most recently adopted

state implementation plan.

(d) Defmitions

For the purpose ofthis Rule, the following definitions shall apply:

(1) AIR QUALITY INVESTMENT PROGRAM (AQIP) is an emission

reduction option, in which monies collected by the District from employers

are used to fund mobile source emission reduction programs that have been

approved by the District’s Governing Board.

(2) ALTE~ATP~ FUEL VEHICLE is any vehicle powered by natural gas

(NG), methanol, propane, liquefied petroleum gas (LPG) or electricity that
has been certified and/or approved by the California Air Resources Board

(CARE) to have met the transitional low-emission vehicle (TLEV’), lowemission vehicle (LEV), ultra-low-emission vehicle ((JLEV), or zeroemission vehicle (ZEV) emissions standards.

(3) EMISSION REDUCTION TARGET (ERT) is the annual VOC, NOx, and

CO emissions required to be reduced based on the number of employees per

worksite and the employee emission reduction factor, determined in

accordance with the provisions of subdivision (e) ofthis rule.

(4) EMPLOYEE is any person employed by a person(s), firm, business,

educational institution, non-profit agency or corporation, government or other

entity. The term exempts the following in accordance with the Rule 2202 -

On-Road Motor Vehicle Mitigation Options Implementation Guidelines

(amended October 9, 1998) seasonal employees; temporary employees;

volunteers; field personnel; field construction workers; and independent

contractors.

(5) EMPLOYER is any person(s), firm, business, educational institution, non

profit agency or corporation, government agency, or other entity that employs

250 or more employees. Several subsidiaries or units that occupy the same

work site and report to one common governing board or governing entity or

that function as one corporate unit are considered to be one employer.

(6) MOBILE SOURCE EMISSION REDUCTION CREDITS (MSERCs) are

real, quantifiable, emission reductions, in accordance with the California Air

Resources Board’s Mobile Source Credit Guidelines, approved by the

Executive Officer or designee, that can be used to comply with District

Regulations, as authorized by Regulation XVI, Mobile Source Offset

Programs.

(7) NITROGEN OXIDES (NOx) are nitric oxides and nitrogen dioxides,

collectively expressed as nitrogen dioxide.

(8) PEAK COMMUTE TRIP is any employee trip from home to work occurring

during the peak window.

(9) PEAK WINDOW is the period of time, Monday through Friday between the

hours of 6:00 AM and 10:00 AM, and used in calculating the vehicle trip

emission credit.

(10) PERFORMANCE TARGET ZONE is a geographic area that determines the

employee emission reductioii factor for a particular worksite pursuant to the

map in Attachment I of this rule.

2202 -2
(11) REMOTh SENSING is an emissions reduction strategy in which grosspolluting vehicles are identified by exhaust gas analyzers. Remote sensors

measure absorption changes in the infrared or ultraviolet light spectrum and

correlate that change to exhaust emissions levels. Emissions reductions

resulting from the subsequent repair of the identified vehicles can be used to

meet the emission reduction target according to the provisions of paragraph

(f)(l), which allows credits through Regulation XVI.

(12) SCHOOL DISTRICT means a public agency of the state that is a school

district of every kind or class except a community college district, and shall

include a County Office ofEducation.

(13) VEHICLE TRIP EMISSION CREDITS (VTEC) are the emission reductions

that result from the reduction of peak commute trips; other work related trips;

alternative fuel vehicles; or other District approved method; expressed in

pounds per year per pollutant, and determined according to the provisions of

subdivision (g) ofthis rule.

(14) VOLATILE ORGANIC COMPOUND (VOC) is any volatile compound of

carbon, excluding: methane, carbon monoxide, carbon dioxide, carbonic

acid, metallic carbides or carbonates, ammonium carbonate, and exempt

compounds as defined in District Rule 102.

(15) WORKSITE means a structure, building, portion of a building, or grouping

of buildings that are in actual physical contact or are separated solely by a

private or public roadway or other private or public right-of-way, and that are

occupied by the same employer. Employers may opt to treat more than one

structure, building or grouping of buildings as a single worksite, even ifthey

do not have the above characteristics, if they are located within a 2 mile

radius and are in the same Perfomiance Target Zone.

(e) Requirements

An employer subject to this Rule shall annually register with the District beginning

within 90 days ofreceipt of notification to implement an emission reduction program

to reduce emissions related to employee commutes and to meet a worksite specific

emission reduction target (ERT) specified for the subsequent year. The annual ERT

shall be determined according to the following equation, for VOC, NOx, and CO,

based on employee emission reduction factors specified in paragraph (m)(1) of this

rule.

2202 -3
[Red~”l =E[ Employees 1 x[Em~03~~ Emissioni 1— E Vehicle Trip [ (lbs I year) J L L J L Reduction Factor ~j LEmission Credit

Where:

Employees = Average daily number of employees reporting to work in the

Peak Window for a typical Monday through Friday period

excluding those weeks which include a national holiday.

Employee Emission

Reduction Factor = Determined by year of the registration submittal and the

worksite Performance Target Zone in paragraph (m)(l) of

this nile.

Vehicle Trip

Emission Credits = Determined according to subdivision (g) ofthis rule.

(f) On-Road Vehicle Mitigation Options

Employers shall use credits generated pursuant to one or more of the following

emission reduction options to meet their Emission Reduction Target (ERT):

(1) Mobile Source Emission Reduction Credits

Any person may implement a mobile source offset program in accordance

with the provisions ofRegulation XVI such as Old Vehicle Scrapping, Clean

On-Road Vehicles, Clean Off-Road Mobile Equipment, and Remote Sensing.

(2) Emission Reduction Credits (ERC) from Stationary Sources

Any person may elect to use Emission Reduction Credits (ERC) generated

from stationary sources after January 1, 1996, in accordance with the

provisions ofRegulation XIII.

(3) Air Quality Investment Program (AQIP)

Notwithstanding other provisions of this rule, employers may participate in

the air quality investment program by submitting an air quality investment, to

be placed in a restricted fund in accordance with Rule 311 — Air Quality

Investment Program (AQIP) Fees.

The District shall use these funds to obtain an emission reduction or air

quality benefit that is equivalent to the sum of the ERTs for all participating

employers in the AQIP.

2202-4
(4) Other Emission Reduction Strategies

Notwithstanding the foregoing provisions, any employer may receive credit

toward its ERT for any emission reduction strategy that the employer or other

person demonstrates to the Executive Office achieves real, quantifiable,

enforceable, and surplus emission reductions for a discrete period of time.

Such strategies may include, but are not limited to, the reduction of non-work

trips, other vehicle or engine accelerated turnover programs, investments in

clean fuel infrastructure, clean fuel fleet purchases or conversion as specified

in Regulation XVI, the provision of new vehicle purchase subsidies or

discounts, and local community or development projects that reduce trip or

energy demand or that expand clean fuel or high-occupancy travel options.

The Executive Officer shall not approve an alternative emission reduction

program unless it is consistent with other District regulations and Governing

Board policies, and shall consider guidelines established by the California Air

Resources Board and the Environmental Protection Agency.

(g) Vehicle Trip Eniission Credits (VTEC)

Employers may elect to implement any of the following strategies and obtain vehicle

trip emission credits that can be applied towards their ERT. Such actions are at the

sole discretion ofthe employer.

(1) Peak Commute Trip Reductions

Employers may receive VTEC from employee commute reductions that

occur during the peak window in accordance with the Rule 2202 - On-Road

Motor Vehicle Mitigation Options Implementation Guidelines (amended

October 9, 1998). VTEC obtained from peak commute trip reductions shall

be determined according to the following equation:

VTEC = r Creditable Commute 1 ~ F Emission

Lvehicle Reductions (CCVR) J L Factor (EF)

V/here:

CCVR = The daily average of total commute vehicle reductions that are

real, surplus, and quantifiable.

EF = Emission Factor in paragraph (m)(2) of this rule.

2202 - 5
In calculating VTEC for the subsequent year, employers may utilize data

from previous years obtained by one of the following methods, with the

exception of (C), provided that employers maintain programs that would

reasonably be expected to achieve an equivalent level of reductions during

the subsequent year:

(A) Default data based on the weighted average of the average vehicle

ridership survey data ofthe previous three consecutive years, or

(B) Data obtained by conducting an average vehicle ridership survey in

accordance with the Rule 2202 - Commute Reduction Program

Guidelines, or

(C) Data based on the default average vehicle ridership of 1.10, or

(D) Data obtained by an. equivalent methodology approved by the

Executive Officer or designee.

(2) Other Work-Related Trip Reductions

Employers may receive additional VTEC from employee commute

reductions that occur outside of the peak window or from non-commute

vehicle usage calculated as creditable trip reductions and approved by the

Executive Officer or designee. VTEC obtained from other work-related trip

reductions shall be determined according to the following equation:

VTEC = r Creditable Trip Reductions (CTR) 1 ~ r Emission [ Conversion Factor (CF) J L Factor (EF)

‘Where:

CTR = The daily average of one-way trip reductions that are real,

surplus, and quantifiable. A round trip is considered to be two

one-way trips.

CF = 2.0 for Peak Window trips; 2.3 for other trips.

EF Emission Factor in paragraph (m)(2) ofthis rule.

(3) Alternative Fuel Vehicles

Employers may receive VTEC for the use of alternative fuel vehicles

(original equipment manufacturer (OEM) or converted) for commute or other

work-related trips, in accordance with the Rule 2202 - On-Road Motor

Vehicle Mitigation Options Implementation Guidelines (amended October 9,

1998) and according to the following formula:

2202 - 6
VTEC = [VT(NGs)jx[0.83jx[EFj

+ [VT(Ms)jx[o.80jx[EF]

+ [VT(Ps)jx{0.80Jx{EF]

+ [VT(ZEVs)] x { EF]

Conversion Factor (CF)

Where:

VT(NGs) = Daily Average Number of Vehicle Trips from natural gas

vehicles

VT(Ms) = Daily Average Number of Vehicle Trips from flexible fuel

vehicles operated on Methanol

VT(Ps) = Daily Average Number of Vehicle Trips from Propane or

LPG vehicles

VT(ZEVs) = Daily Average Number of Vehicle Trips from ZeroEmission Vehicles

EF = Emission Factor from paragraph (m)(2) ofthis rule.

CF = 2.0 for Peak Window trips; 2.3 for other trips.

(4) Vehicle Miles Traveled (VMT) Reduction Programs

Subject to approval of the Executive Officer or designee, employers may

elect to implement VMT reduction programs and receive VTEC towards their

ERT. Reduction of annual employee commute VMT may result from

employment center relocation,- video-conference centers, telecommuting

centers or other alternative programs approved by the Executive Officer or

designee. The Executive Officer shall not offer any VTEC for a VMT

reduction program unless it includes baseline VMT estimates and

demonstrates that VMT reductions result in real, quantifiable, and surplus

emission reductions.

(5) Parking Cash-Out Program

Employers may elect to implement a Parking Cash-Out Program to reduce

employee commutes and receive VTEC toward their ERT. Parking Cash-Out

is a program where an employer offers to provide a cash allowance to an

employee, equivalent to the parking subsidy that the employer would

otherwise pay to provide the employee with a parking space. Incorporation

of the Parking Cash-Out Program as one of the options in Rule 2202, does

2202 -7
not relieve the affected parties from complying with the provisions of the

Health and Safety Code section 43845 (AR 2109-Katz).

(Ii) General Emissions Credit Provisions:

The following provisions shall apply to any of the emission credit strategies

identified in this rule:

(1) An employer or other person seeking credit under this rule may use actual

annual mileage per vehicle, or alternative estimates of vehicle miles traveled

(VMT) contained in Rule 2202 - On Road Motor Vehicle Mitigation Options

Implementation Guidelines (amended October 9, 1998).

(2) Emission credit strategies that do not provide the precise amount of surplus

emission reductions required for each ofthe three pollutants addressed by this

rule (VOC, NOx, and CO) may still qualify for equivalent credit if the

employer provides equivalent credits obtained pursuant to paragraph (h)(3).

(~) Any person holding surplus emission credits, other than vehicle trip emission

credits (VTEC), pursuant to this rule may trade some or all of the those

credits to other employers.

(4) Upon the expiration of this rule, any unused emission credits may be applied

to other emission reduction programs pursuant to and consistent with District

rules and regulations.

(i) Program Administration

Rule 2202 shall be administered according to the following:

(1) Employers shall annually register with the District to implement an Emission

Reduction Program for each worksite. Employers shall commence

implementation of the approved Emission Reduction Program within 60 days

of approval by the Executive Officer. The registration shall include the

following information:

(A) The name of the highest ranking company official, the name of the

contact person, company address, telephone numbers for all

participating worksites;

(B) The on-road vehicle mitigation option(s) that will be used;

(C) The total number of employees that report to work in the peak

window;

(D) The total number of employees at that worksite; and,

2202 - 8
(F) Calculations for VOC, NOx, and CO emission reductions for any of

the on-road vehicle mitigation options in subdivision (f) or the vehicle

trip emission credit options in subdivision (g).

(2) Annual registration shall include changes in employment base and any other

changes that would necessitate adjustment in emission reduction targets or

program implementation.

(3) Employers may request to amend their Emission Reduction Program at any

time and implement the amendments with written approval of the Executive

Officer subject to the criteria contained in paragraph (i)(l).

(4) Rather than registering with the District for each individual worksite, an

employer may submit a single registration to implement an Emission

Reduction Program that meets the aggregated ERT of several sites.

(5) Emission credits obtained pursuant to subdivision (f) or (g) shall be

surrendered to the Executive Officer within the first six months of the

approval of• the registration forms. The Executive Officer may grant

extensions not to exceed six months on a case by case basis upon a finding

that earlier compliance would present an unreé.sonable hardship.

(6) Records which document the accuracy and validity of all information

submitted to the District as required by this rule shall be kept by the employer

for a minimum ofthree years and made available upon request during normal

business hours.

(7) On a quarterly basis the Executive Officer shall recommend to the District’s

Governing Board the release of monies from the AQIP restricted fund. The

program shall be administered and consideration of proposals shall be subject

to the following:

(A) Proposals shall be accepted on an ongoing basis;

(B) Equal consideration shall be given to cost-effective proposals and

those that achieve long-term advancement of mobile source

technology;

(C) The amouiit of emission reductions required to demonstrate

equivalent emission reductions shall be determined on a quarterly

basis;

(D) The allocation of funding shall be recommended for proposals that

reduce equivalent emissions within each county proportional to the

contribution level of employers within each county to the greatest

extent feasible; and,

2202 - 9
(E) The emissions reductions are demonstrated to be real, quantifiable,

enforceable, and surplus, in accordance with the Rule 2202 On-Road

Motor Vehicle Mitigation Options Implementation Guidelines

(amended October 9, 1998).

(8) Registration forms submitted by employers shall be subject to the fee

schedule set forth in Rule 308 — On-Road Motor Vehicle Mitigation Options

Fees and Rule 311 —. Air Quality Investment Program (AQIP) Fees.

Employers choosing to implement the Employee Commute Reduction

Program under paragraph (l)(3) shall be subject to the fee schedule set forth

inRule 308.

(9) Any employer subject to Rule 2202 or to the exemptions of paragraph (1)(3)

of this rule shall comply with the requirements of Rule 701 — Air Pollution

Emergency Contingency Actions.

(j) Previously Delegated Programs

Any employer that is in compliance with an ordinance adopted by a local.

government that has a trip reduction ordinance that was approved by the District

prior to the effective date of this rule, and that has an existing memorandum of

agreement with the District, shall be deemed in compliance with this rule.

(k) Delegation to Local Governments

The District may delegate authority to implement all or part of Rule 2202, except for

the provisions of paragraph (f)(3), to any local government that satisfies the

following criteria:

(1) The local government adopts an ordinance that is at least as stringent as Rule

2202 in the following areas:

(A) Applicability;

(B) Emission reductions target;

(C) Vehicle trip emission credit calculations;

(D) Annual registration; and

(E) Recordkeeping.

(2) The local government demonstrates to the satisfaction of the Executive

Officer that:

(A) It has an implementation plan providing adequate resources to adopt

and enforce the ordinance; and

2202 - 10
• (B) Multiple site employers with more than one regulated worksite in the

District have the option of complying with the District rule instead of

the local ordinance.

(3) The local government has executed a Memorandum of Understanding with

the Executive Officer specifying the procedures to monitor and review

performance of the local government in implementing the program, and

procedures for revocation of delegation if the Executive Officer determines

that performance ofthe local government is inadequate.

(1) Exemptions

(1) Employee Threshold

Any employer whose employee population at the worksite decreases to fewer

than 250 employees for the prior consecutive, six month period, calculated as

a monthly average; or fewer than 33 employees are scheduled to report to

work Monday through Friday between 6-10 AM for the prior consecutive 90

days, may submit a written request to the Executive Officer or designee to be

exempted from this rule. Employers must submit a registration form not later

than 90 days after they know or should have known that they no longer

qualify for this exemption.

(2) Declared Bankruptcy

An employer who has declared bankruptcy, for the official business or

governmental operations of its organization or company, through a judicial

court filing and confirmation process, may request the Executive Officer to

grant a temporary waiver from complying with the requirements of this rule.

Upon demonstration of the filing and confirmation of bankruptcy, the

Executive Officer will grant an exemption for the duration of bankruptcy, not

to exceed two (2) years, from the date ofthe waiver.

(3) Employee Commute Reduction Program

Rather than comply with the provisions of subdivision (e) of this rule,

employers may elect to implement an employee commute reduction program

that demonstrates conformance with the Employee Commute Reduction

Program Guidelines (amended October 9, 1998).

(A) Performance Goal

Employers must provide a program that will be reasonably likely to

result in achieving their average vehicle ridership goal within three

years. The goals shall be as follows: 1.75 for Performance Target

2202 - 11
Zone 1; 1.5 for Performance Target Zone 2; and 1.3 for Performance

Target Zone 3.

(B) Supplemental Strategies

Notwithstanding the above, an employer may elect to supplement its

Employee Commute Reduction Program with any strategy listed in

subdivisions (f) or (g) in order to achieve their goal.

(4) Renewal Date

(A) The currently approved Rule 2202 Employee Commute Reduction

Program shall remain in effect until the triennial renewal date.

(B) The currently approved Rule 2202 Registration shall remain in effect

until the annual renewal date.

(5) Primary and Secondary School Districts and Schools

A.ny public or private primary or secondary school district or school that

buses two (2) students for every one (1) peak window employee at worksites

subject to the rule is exempt from Rule 2202, according to the following

criteria:

(A) School districts and schools shall keep records demonstrating the

maintenance ofthis fatio on-site and make them available upon

request by the Executive Officer or designee; and

(B) On a case by case basis, the Executive Officer or designee may

approve a request by a school district or school to modify the default

student-to-employee ratio to reflect location, trip length and other

school district or school specific busing program characteristics in

order to maintain equivalency with emission reductions which would

occur ifthe district or school met its emission reduction goals under

Rule 2202; and

(C). The Executive Officer may periodically update and publish the

default student-to-employee ratio to reflect changes to revised

emission factors published by the California Air Resources Board.

School districts and schools may opt not to be exempt but to implement a

Rule 2202 program and claim credit for surplus emission reduction credits

earned through a student busing program and other Rule 2202 compliance

options.

(6) Primary and Secondary School District Financial Hardship

2202 - 12
Due to their financial hardship, notwithstanding the criteria ofparagraph

(l)(5), school districts that have received a Negative or Qualified Certification

status from their County Board ofEducation pursuant to Chapter 6, Part 24 of

Division 3 ofthe Education Code, deeming that based upon current

projections the school district or county office of education will not or may

not meet its financial obligations, may request the Executive Officer to grant

a temporary exemption from the requirements ofthe rule. The Executive

Officer shall grant a temporary exemption for the period during which the

Negative or Qualified Certification status applies.

(m) Emission Factors

The following emission factors, which shall be used in calculations pursuant

to this rule, are based on California Air Resources Board’s EMFAC 7F

emission factor model and BURDEN iF vehicle activity model. These

emission factors shall be revised upon publication by the California Air

Resources Board of final revised emission factors.

(1) Employee Emission Reduction Factors

The following employee emission reduction factors (pounds per year

per employee) shall be used in determining the Emission Reduction

Target with respect to the worksite Performance Target Zone. The

Performance Target Zone is determined by the worksite location

within the geographic boundaries as described in Attachment I and

the Rule 2202 - On-Road Motor Vehicle Mitigation Options

Implementation Guidelines (amended October 9, 1998).

Employee Emission Reduction Factors

for Performance Target Zone 2

Employee Emission Reduction Factors

for Performance Ta et 1

64.23

58.07

51.51

45.35

42.27

39.19

2202 - 13
6.45

5.84

5.12

4.40

4.10

3.79

4.51

3.99

3.58

3.07

2.87

2.56

4.83

4.42

4.11

3.80

3.39

3.08

3.29

3.08

2.88

2.57

2.36

2.16

49.86

45.14

40.01

35.19

32.83

30.37

34.58

31.29

27.70

24.42

22.78

21.03

17 13 132

15 12 117

13 11 103

12 10 96

11

(3) The emission factors in paragraphs (m)(1) and (m)(2) may be modified to site

specific emission factors reflecting vehicle age and trip length characteristics

of the employee vehicle fleet, in accordance with the calculation procedures

included in Rule 2202 - On-Road Vehicle Emissions Mitigation Options

Implementation Guidelines.

Employee Emission Reduction Factors

for Performance Ta et Zone 3

(2) The following default emission factors (pounds per year per daily commute

vehicle) may be used in determining vehicle trip emission credits.

Emission Factors

‘~“~ ~t(VTFC)

9 19 14 145

9 89

2202-14
ATTACBMENT I

PERFORMANCE TARGET ZONES

13~

LOB

B

Zone2

H

~Pacific Ocean /

c~I~

6

• A worksite’s Performance Target

Zone depends on its location.

• Zone 1 is the Central City Area

of Downtown Los Angeles

within the District’s

Source/Receptor Area 1.

• Zone 2 corresponds to the

District’s Source/Receptor Areas

2 through 12, 16 through 23, and

32 through 35, excluding the

Central City Area.

• Zone 3 corresponds to the

District’s Source/Receptor Areas

13 through 15, 24 through 31,

and36through38.

2202-15