USEPA REGION IX

TECHNICAL SUPPORT DOCUMENT

for

SJVUAPCD Rule 9510

ATTACHMENT 5
2008 Annual Report on the District's Indirect Source Review Program 

can address one of the issues that have led to California Environmental Quality Act 

(CEQA) legal challenges to development projects within the SJVAB. 

Implementation of a DMC is complementary to ISR; project emissions are 

characterized, mitigation funds are paid to the District, the District administers the funds 

to secure the required emission reduction projects. A prerequisite for the District to 

enter into a DMC is that the DMC will exceed the air quality benefits achieved by 

compliance with Rule 9510. Therefore, developers who enter into a DMC are 

considered in compliance with District Rule 9510. This report therefore includes 

revenues and emission reductions resulting from DMCs. During this reporting period, 

the District received no new off-site mitigation fees from development mitigation 

contracts. However, DMC funds carried forward from the previous reporting period 

were used to fund off-site emission reduction projects. 

IV. 2007-2008 ANALYSIS 

Table -1: Summarv of ISR Program for 2007 to 2008 

I Total ISR Program I 

1 Beninnina Balance I$/ 5.090.869 I 

( . Total .Application ...... Fees Received .... - ...... .......... -- 

Total Administrative Fees Received .. -. .......................... 

Total Amount Off-Site Fees Received ... - . ... .... * .......... 

Total Fees Received 

I Total Amount Spent (Contracted) 151 3,125,191 1 

- - -- -- 

Grand Total of Available Off-Site Fees 

1 Grant Total Balance of Available Off-Site Fees I $ 1 7,358,131 I 

$ 

Total Balance of Available Off-Site Fees . . - . .............. 

Total Amount Refunded 

- - - 

10,483,322 

1 Total Off-Site Achieved Emission Reductions I Tons 1 251.56 1 9.09 1 260.65 1 

$ 

$ 

NOx I 

.................. . 7,358,131 

0 

I I I 1 

PMlO 

Emission Reductions Cost Effectiveness 

(average based on projects funded) 

Total 

Total ON-SITE Projected Emission Reductions - .............. .- ........ -- . .. 

Total OFF-SITE Projected Emission Reductions 

$/Ton 11,928 

, Total Projected Emission Reductions Tons 2,077.52 1,086.78 3,164.50 

Tons 

Tons 

1,009.61 1 305.20 .- ......... .... . ........... _ . 

1,067.91 : 781.78 

1,314.81 .......... 

1,849.69 
2005, the District's Board adopted Rule 3180 (Administrative Fees for Indirect Source 

Review). Provisions of Rule 3180 establish an application filing fee structure of $400 for 

residential and $600 for non-residential projects. Additionally, if a project is subject to 

off-site emission reduction fees, the developer is required to pay an adrninistrative fee 

equal to four percent (4%) of the required off-site fees. This fee is to cover the District's 

cost of administering the off-site emission reduction program. 

Development Mitisation Contracts 

A Development Mitigation Contract (DMC) is an air quality mitigation measure by which 

a developer voluntarily enters into a contractual agreement with the District to reduce a 

development project's impact on air quality beyond that achieved by compliance with 

District Rule 9510. By fully mitigating the project's impact on air quality, a developer 

can address one of the issues that have led to California Environmental Quality Act 

(CEQA) legal challenges to development projects within the SJVAB. 

Implementation of a DMC is comparable to ISR; project emissions are characterized, 

funds are paid to the District, the District administers the funds to secure the required 

emission reduction projects. A prerequisite for the District to enter into a DMC is that 

the DMC will exceed the air quality benefits achieved by compliance with Rule 9510. 

Therefore, developers who enter into a DMC are considered in compliance with District 

Rule 9510. This report therefore includes revenues and emission reductions resulting 

from DMCs. 

IV. 2006 - 2007 ANALYSIS 

Table-I: Summarv of ISR Program for 2006 to 2007 

I Total I 

Total Application Fees received 56,051 --- 

Administrative Fees received -- 515.295 

Total Amount Off-Site Fees received 

FFees received 13,489,322 

--ppppp -- -- 

Total Amount spent $I 9,549,668 

---- I I 

ptal Amount remaining (balance) -- 3,368,308 

------ 

Amount refunded ----- -- 

1 I I NOx PMlO Total I 

---- 

Cost Effectiveness $no,, 

Total Emissions Reduction realized 

-- 

11,133 

Tons 824.07 33.71 857.78