(Adopted January8, 1993)(AmendedJanuary 14, 1994) (Amended February 11, 1994) (Amended October 13, 1995) (Amended March 8, 1996) (AmendedApril 11, 1997)

RULE 1610. OLD-VEHICLE SCRAPPING

(a) Purpose The purpose of this rule is to reduce motor vehicle volatile organic compounds (VOC), nitrogen oxides (NO~j, carbon monoxide (CO), and particulate matter (PM) exhaust emissions by issuing mobile source emission reduction credits in exchange for the scrapping of old, high emitting vehicles. Procurement of old vehicles could be accomplished by persons voluntarily giving up theirvehicle for scrapping upon receiving an incentive payment. This rule provides a mechanism through which stationary source emissions can be brought into compliance with District regulations through mobile source emission reductions. Mobile source emission reduction credits (MSERCs) generatedwould may onlybe applied towards compliance with designated rules with future compliance dates within District Regulation XI, Source Specific Standards; Regulation XV, Trip Reduction/Indirect Source; Regulation XIII, New Source Review; Regulation XX, Regional Clean Air Incentives Market (RECLAIM); orany other District regulations that allow the use ofcredits. MSERCs may not be applied towards compliance with federal requirements that do not authorize compliance through emissions trading including those promulgated by U.S. EPA as authorized underTitle 42. U.S. Code Sections 7411, 7412(d), and those subsections of7511b ofthe U.S. Codethat do not authorize compliance through emissions trading. The value ofthese credits is based on old vehicles having at least three years useful remaining life priorto scrapping.

(b) Definitions Forpurposes ofthis rule, the following definitions shall apply: (1) MOBILE SOURCE EMISSION REDUCTION CREDIT (MSERC)

means credit for real, quantified emission reductions, approved by the Executive Officer or designee, as authorized by this rule,, and

1610-1Rule 1610 (Cont.) (Amended April 11, 1997)

surplus to emission reductions required by ARB. District, and U.S. EPA regulations and the most recent District or U.S. EPA approved AirQuality Management Plan, whicheveris more stringent. (2) NITROGEN OXIDES (NO~j means the sum of nitric oxides and nitrogen dioxides emitted, collectively expressed as nitrogen dioxide emissions. (3) OLD-VEHICLE means 1981 and earlier model-year passenger cars and light-dutytrucks. (4) OLD-VEHICLE SCRAPPING PROGRAM means a program in which oldvehicles are scrapped in exchangeforMSERCs. (5) SCAQMD LICENSED SCRAPPER means an entity certified by the Executive Officer or designee to generate MSERCs by scrapping vehicles, as authorized bythis rule. (6) SCRAPPING means the process by which a motor vehicle is permanentlyremoved from service. (7) VOLATILE ORGANIC COMPOUND (VOC) means any volatile compound ofcarbon, excluding: methane, carbon monoxide, carbon dioxide, carbonic acid, metallic carbides or carbonates, ammonium 

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carbonate, and exemptcompounds as defmed in District Rule 102.

(c) SCAQMD Licensed ScrapperCertification Requirements (1) Certification as an SCAQMD licensed scrapper shall be limited to: VOC, NOx, CO, or PM stationary emission sources subject to District Regulation XI, Source Specific Standards, rules with future compliance dates; Regulation XIII, New Source Review; Regulation XV, Trip Reduction/IndirectSource; or RegulationXX, RECLAIM. (2) SCAQMD licensed scrappers shall have vehicles scrapped only by auto dismantlers that are licensed by the California Department of MotorVehicles. (3) All scrapping plans approved pursuant to paragraph (c)(5) shall require the scrapping of a minimum of 50 old vehicles within six months ofthe date ofapproval ofthe scrapping plan. MSERCs may not be issued for any old vehicles scrapped pursuant to a plan approved after the effective date ofthis amendment if at least fifty old vehicles have not been scrapped pursuant to the plan within six months of plan approval. Notwithstanding the foregoing, the

1610-2Rule 1610 (Cont.) (Amended April 11, 1997)

minimum shall be 10 for the motion picture industry and in cases where the Executive Officer or designee determines that the minimum of 50 should be lowered because hardship has been demonstrated, e.g., ifthe amount ofMSERCs that afacility needs is less than the number of MSERCs generated when 50 vehicles are scrapped. (4) Entities intending to seek certification as an SCAQMD licensed scrapper shall submit a scrapping plan to the Executive Officer or designee at least one month prior to planned initiation of vehicle scrapping. The scrapping plan shall be submitted on forms specified by the Executive Officer or designee, and contain specific information including, butnot limited to: (A) information demonstrating the ability to comply with all provisions ofthis rule relating to vehicle selection, visual and functional inspection, disposal, and recordkeeping. (B) the name and address,ofthe California Department ofMotor Vehicles licensed auto dismantler used to comply with paragraph (c)(2) (hereafter referred to as the DMV licensed auto dismantler), and a written statement from the auto dismantler certifying compliance with: local water conservation regulations; state, county, and city energy and hazardous materials response regulations; and local water agency soil, surface, and ground water contamination regulations. (C) anticipated initiation date for scrapping program, and the anticipated use,ofthe MSERCs. (D) adescription,ofthe procedureto renderthe engine inoperable, if subparagraph (e)(2)(C) is employed by the SCAQMD Licensed Scrapper in. lieu of subparagraph (e)(2)(A) or (e)(2)(B). (i) The SCAQMD licensed scrapper shall demonstrate the proceduretothe Executive Officerordesignee. (ii) Scrapping plans approved priorto March 8, 1996 shall be amendedwithin 30 days priorto the start ofthe next vehicle scrapping program if the procedure will be utilized.

1610-3Rule 1610 (Cont.) (AmendedApril 11, 1997)

(5) Certification as an SCAQMD licensed scrapper shall occur 

### with written approval ofthe scrapping plan by the Executive Officer or designee. Approval of the scrapping plan shall be based on information denoted in paragraph (c)(3) and subparagraphs (c)(4)(A) and (c)(4)(B). The Executive Officer or designee shall have one month to approve or disapprove the scrapping plan and shall disapprove the scrapping plan unless it complies with paragraph (c)(3) and subparagraphs (c)(4)(A) and (c)(4)(B). The Executive Officer or designee shall also disapprove the scrapping plan ifthe additional air pollutant emissions, caused by scrapping vehicles in connectionwiththis rule, exceed District significancethresholds.

(d) Notice RequirementsforVehicle Scrapping SCAQMD licensed scrappers shall submit written notice to the Executive Officerordesignee atleasttwoweeks priorto vehicle scrapping, indicating date, location, and estimated numberofvehicles to be scrapped.

(e) Vehicle Disposal Requirements 

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(1) At a minimum, scrapping shall entail the permanent destruction of thefollowingvehicle components: (A) Vehicle Identification Number (B) License Plates (C) Body/Frame (2) The SCAQMD licensed scrapper or DMV licensed auto dismantler shall render the engine inoperable within ten days subsequent to possession ofthe old vehicle using anyofthe following procedures: (A) permanentdestruction ofthe cylinderblock; or (B) introduction of sand into the combustion chamber (the sand shall be introduced by removing spark plugs from two adjacent cylinders, pouring the sand into these cylinders, reinstalling the sparkplugs, and attemptingto startthe engine. This procedure shall be deemed complete when the engine has seized); or (C) an alternative procedure which renders the engine inoperable and which has been proposed by the scrapper or dismantler

1610-4Rule 1610 (Cont.) (Amended April 11, 1997)

and is included in a plan submitted pursuantto subparagraph (c)(4)(D) approved bythe Executive Officerordesignee. (3) Except for components listed in subparagraplis (e)(l)(A) through (e)(1)(C), removal of reusable components, e.g., doors, fenders, bumpers, subframes and disassembled engine components is allowed during the 90-day period subsequentto possession ofthe oldvehicle by the SCAQMD licensed scrapper or DMV licensed auto dismantler. (4) Vehicle components listed in subparagraphs (e)(l)(A) through (e)(1)(C) shall be permanently destroyed no later than 100 days subsequent to possession of the old vehicle by the SCAQMD licensed scrapperor DMVlicensed auto dismantler. (5) All activities associated with scrapping vehicles, including but not limited to the disposal of vehicle fluids and vehicle components, shall comply with applicable federal, state, and local laws, regulations, codes, and permitting requirements.

(f) Vehicle Selection Requirements (1) Only 1981 and earlier model-year passenger cars and light-duty trucks (“oldvehicles”) shall be eligible for MSERCsthroughthe oldvehicle scrapping program. (2) To be eligible for MSERCs, old vehicles to be scrapped shall meet all ofthe following requirements. (A) For at least two continuous years prior to scrapping, registration withthe California DepartmentofMotorVehicles to one ormore addresses located inthe District. (B) For at least two continuous years prior to scrapping, registration with Department of Motor Vehicles as an operable vehicle, except that registration as a nonoperable vehicle for up to two months cumulatively, occurring at least three months priorto scrapping, shall be acceptable underthis subparagraph. Smog checks must be performed as required by Department of Motor Vehicles in order for the vehicle to be considered registered. (C) Any person submitting a second or successive vehicle to any
one Licensed Scrapper shall provide proof of continuous

1610-5Rule 1610 (Cont.) (Amended April 11, 1997)

vehicle ownership and continuous registration as an operable vehicle in the District since January 1, 1992 as provided in subparagraph (f)(4)(A) and shall meet all functional and regis~ratiOn requirements ofthe Rule. (D) Thevehicle ownershall provide California Certificate ofTitle
or DMV applicationforduplicate titlë (3) The requirements contained in subparagraph (f)(2)(B) shall be established through an inspection of DepartnEient of Motor Vehicles registration records bythe SCAQMD Licensed Scrapper. (4) The requirements contained in subparagraph (f)(2)(A) shall be established through a SCAQMD Licensed Scrapper inspection of documentation supplied by •the vehicle owner(s). This documentation shall includethe following. (A) For vehicles that have been owned by one person for two continuous years piior, to scrapping, the current vehicle registration card plus one additional document dated at least twoyears priorto scrapping shall be required. This additional documentmaybç apreviousvehicle registration card, autility statement, a credit card statement, insurance invoice, a California Certificate of Title, California Drivers License, California Identification Card, canceled checks, or equivalent
as determined by the Executive Officer or designee and shall

V contain certain information that has been preprinted by the original issuerofthe document, including: V (i) atleastone registered owner’s name

V(ii) registered owner’s address thatis located inthe District (iii) date prepared (B) For vehicles with more than one owner during the two year period prior to scrapping, vehicle registration cards, California Certificate ofTitles forthe current ownerand each previous owner, or equivalent documentation as determined by the Executive Officer or designee shall be required, verifying that the vehicle has been continuously registered to address(es) located in the• District for the two year period, priorto scrapping.

1610-6Rule 1610 (Cont.) (Amended April 11, 1997)

(g) Vehicle Visual and Functional Inspection In orderto be eligible forMSERCs, eachvehicleto be scrapped shall pass a visual and functional inspection upon delivery to the DMV licensed auto dismantler. Inspections shall be conducted by the SCAQMD licensed scrapper. The following elements shall be included inthe inspection. (1) Vehicle must have been driven under its own power to scrapping site. Ifa SCAQMD Licensed Scrapper and/or Districtpersonnel has knowledge priortothe scrapping ofavehicle that(1) thevehiclewas towed or pushed for any portion ofthe trip to the scrapping site, or (2) one or more items described in subparagraphs (g)(2)(A) through (gX2)(C) occurred while the vehicle was being driven to the scrapping site, thenthevehicle shall notbe acceptedforscrapping. (2) The vehicle owner, or a person authorized by the vehicle owner, shall switch offthe engine, restart the engine, and drive the vehicle in forward and reverse as directed by the SCAQMD Licensed Scrapper and/or District personnel, and perform any other tests indicating operability if the preceding test procedure has not established operability, as directed by SCAQMD Licensed Scrapper and/or District personnel. The vehicle shall not be accepted by the SCAQMD Licensed Scrapperifthe following occur: (A) non-operation ofthe startermotor.. (B) non-operation ofthe ignition switch (C) non-operation ofthevehicletransmission (3) Vehicle identification numbers from the California Certificate of Title (if available), current vehicle registration card, and vehicle mustbe matched. (4) Person(s) delivering vehicle to scrapping site must be verified as the vehicle owner(s). Additionally, thevehicle mustnothave anyliens. (5) The presence ofthevehicle components originally suppliedwhenthe• vehicle was new orfunctionally equivalent replacement components must be visually verified. The component inspection shall include, butnotbe limitedto, the following: (A) Exhaust system (B) Bumpers (C) Doors (D) Fenders

1610-7Rule 1610 (Cont.) (Amended April 11, 1997)

(E) Side and quarterpanels 

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(F) Hood andtrunklid (0) Windshields andwindows (H) Seats (I) Instrumentation and gauges
(h) Mobile Source Emission Reduction Credits Per Scrapped Vehicle (1) Mobile source emission reduction credits shall be issued upon approval of the application pursuant to subdivision (k). The MSERCs shall be calculated according tothe followingformula:

MSERC

= 3 x [((SCRAP

- REPLACE) x MILESC)/454j1DF

Where: MSERC

= Mobile Source Emission Reduction Credit (total

pounds ofpollutant) SCRAP

= Emission rate of scrapped vehicle in grams per

mile, according to paragraph (h)(2), based on the model-yearofthe scrappedvehicle. MILESC

= Average annual mileage corresponding to modelyear of scrapped vehicle, according to paragraph (h)(3). REPLACE

= Average in-use vehicle emission rate in grams per

mile for year in which vehicle is scrapped, accordingto paragraph (h)(4) DF

= Discount Factor, for the purpose of generating

credits, equal to 1.0 (2) Emission Rates of Scrapped Vehicle for VOC, NOx, CO and PM (grams/mile): Model-yearGroup VOC NOx CO PM Pre-1972 12.4 4.0 69.5 0.04 1972-1974 9.7 3.8 46.4 0.04 1975-1981 3.9 3.0 36.1 0.01

1610-8Rule 1610 (Cont.) (Amended April 11, 1997)

(3) AverageAnnual Mileage ofScrapped Vehicles (miles)

Year Annual Mileage Pre-1972 4,900 1972-1974 5,300 1975-1981 6,400
(4) Average In-use MotorVehicle Emission Rate (grains/mile) for 1993 calendaryear, forVOC, NOx, CO and PM: VOC NOx CO PM Usage 1.8 1.2 13.6 0.01 AverageVehicle ReplacesPre-1972Vehicle 1.8 1.2 13.6 0.01 AverageVehicleReplaces 1972-1974Vehicle 1.6 1.2 13.6 0.01 AverageVehicleReplaces 1975-1981 Vehicle (5) Emission rates and annual mileage rates as shown in paragraphs (h)(2), (h)(3), (h)(4), and (h)(6) are based on ARB’s EMFAC 7F emission factor model and BURDEN 7F vehicle activity model. These rates may be updated and published upon concurrence by ARB and District staffs, based on a revision to ARB’s emission factor model. The Executive Officer shall submit any District Governing Board approved revisions to the emission rates provided in this subdivision to U.S. EPA for inclusion into the State Implementation Plan.

(6) MSERCs per scrapped vehicle, as ofOctober 13, 1995, shall be the following:

(A) Using a 1.2 Discount Factor, VOC, NON, CO and PM, Mobile Source Emission Reduction Credits Per Scrapped Vehicle (total pounds) Vehicle Model-Year VOC NOx CO PM Pre-1972 285 75 1500 0.8 1972-1974 233 75 950 0.9 1975-1981 80 63 800 0

(B) Using a 1.0 Discount Factor, VOC, NON, CO, and PM, Mobile Source Emission Reduction Credits Per Scrapped Vehicle (total pounds)

1610-9Rule 1610 (Cont.) (Amended April 11, 1997)

Vehicle Model-Year 

## VOC NOx 

## Co PM Pre-1972 342 90 1800 1.0 1972-1974 279 90 1140 1.1 1975-1981 96 75 960 0

(7) MSERCs generated from vehicle scrapping activities shall be valid for five years from the date of application approval pursuant to subdivision (k), withthe limitationthatno more than one-third ofthe MSERCs may be consumed within one year from the date of approval and not more than two-thirds of the MSERCs may be consumed within two years from the date of approval. This paragraph shall also apply to credits that have been issued for vehicle scrapping activities prior to October 13, 1995 provided that these credits have notexpired orhave notbeen consumed.

ofMSERCs MSERCs maybe usedforanyofthe following applications: (A) As RECLAIM Trading Credits in accordance with Rule 2008. (B) As an alternative method of compliance with District Regulation XI rules that have future compliance dates. MSERCs shall not be used to offset emission increases caused by the removal of emission control equipment or replacementofcompliantwith noncompliantmaterials subject to RegulationXI. (C) As an alternative method Regulation XV rules that MSERCs generated from occurring before October 13, pursuanttothis subparagraph. (D) As New Source Review (NSR) offsets for emission increases at new or modified facilities that are subject to Rule 1303 (b)(2) pursuantto provisions in Regulation XIII. Pursuant to Rule 504, no variance or series of variances, including emergencyand interimvariances, shall be grantedforaperiod in excess of 90 days from the initial granting of a variance, from a permit condition implementing a Regulation XIII (i) Use (1)

of compliance with District allow the use of MSERCs. vehicle scrapping activities 1995, maybe used by any entity

1610-10Rule 1610 (Cont.) (Amended April 11, 1997)

offset requirement ifsuch permit condition is based upon the

use ofMSERCs. (E) ForvoluntaiyretirementofMSERCs forairqualitybenefits. (F) As an alternative method of compliance with any other Districtregulations which allowthe use ofcredits. (2) For the purpose of using MSERCs pursuant to subparagraphs (i)(l)(A) and (i)(1)(B), a discount factor equal to 1.2 shall be applied. For the purpose of using MSERCs pursuant to subparagraphs (i)(l)(C) and (i)(1)(D), a discount factor equal to 1.0 shall be applied. For all other uses pursuant to subparagraph (i)(1)(F), a discount factor equal to 1.0 shall be applied unless specified otherwise in Districtregulations. (3) Scrapping plans currently being implemented as of October 13, 1995, forthe purpose ofdelaying compliance ofRegulation XI rules shall be permittedto completetheirimplementation. (4) MSERCs may only be transferred as permitted by Rule 1501.1 or Regulation XX, except that SCAQMD Licensed Scrappers that are not subject to either District Regulation XI or Rule 130l(b)(2) may alsotransfer MSERCsto otherentities thatwere SCAQMD Licensed Scrappers as ofthe datethe MSERCswere generated. (5) MSERCs shall only be consumed in the air basin corresponding to the registered address ofthe old vehicle, priorto the DMV licensed auto dismantleror SCAQMD Licensed Scrappertaking possession of thevehicle.

(j) Recordkeeping Requirements (1) SCAQMD licensed scrappers shall maintain a copy ofthe scrapping plan described in subdivision (c) and the notices given pursuant to subdivision (d) for ~ç year following termination of vehicle scrapping. (2) The following infonnation shall also be collected and maintained in written records by the SCAQMD licensed scrapper for one year following termination ofvehicle scrapping: (A) Starting and ending dates of the old-vehicle scrapping program.

1610-11Rule 1610 (Cont.) (Amended April 11, 1997)

(B) Numberofvehicles scrapped. (C) Datesvehicles were scrapped. (D) Complete name, address, and telephone numberofthe person conductingthe old-vehicle scrappingprogram. (E) Complete name, address, and telephone number ofthe auto dismantlerand anyprogram subcontractors. (F) A detailed description ofproject organizational structure and logistical arrangements, including location(s)

‘~of collection and disposal ‘faàilities, and scrapping proëedure including disposal procedures forall vehicle components andfluids. (3) SCAQMD licensed scrappërs shall be responsible for storing and maintaining computeraccessible data recOrds dfscrappedvehicles. (4) The computerhardware,~software, and communications protocol, to be used for ~storing and maintaining computer accessible data records, shall be specified by the Executive Officer or designee for compatibilitywith existing District computerrelatçd equipment. (5) Datarecordsforeach scrappcdvehicle shall includethe following: (A)

. Vehicle make V (B) Vehicle model V (C) Vehicle model-year (D) Vehicle license plate number V (E) Vehicle identification number (F) Vehicle,mileage V.

. V (G) Scrapped vehicle owner’s name, address, telephone number, and driverlicense number (H) Date ofscrapping. (I) VOC, NOx,. 

### CO, and PM mobile source emission reduction credit

. V (J)

. Name, of person(s) conducting vehicle visual and functional inspection as required by’ subdivision (g), with employer’s name,. address, andtelephone number. (6) Data records shall be made accessible to the Executive Officer or designee for a minimum ofone vear9 subsequent to the issuance of MSERCs for each scrapped vehicle during and ~ub~equent to the

-~1pping program foratleastoneyear.

1610-12Rule 1610 (Cont.) (Amended April 11, 1997)

In addition to data records pursuant to (j)(5), for each vehicle scrapped, the SCAQMD licensed scrapper shall maintain and make accessible to the Executive Officer or designee upon request the following for a minimum ofone year subsequent to the issuance of MSERCs for each scrapped a period of one year subsequent to the nid v~hi~1~ wrnnnino’ oroaram: (A) A duplicate copy of Report ofVehicle to be Dismantled and Notice of Acquisition (California Department of Motor Vehicles Registration 42 Form) validated by line date stamping onthefrontofthe form. (B) Copy of documentation, pursuant to paragraphs (f)(3) and (f)(4), and subparagraph (f)(2)(D). (C) Copy of California Certificate of Title or DMV application forduplicate title foreach scrappedvehicle.

(k) Issuance ofMSERCs (1) SCAQMD licensed scrappers shall submit an application to the Executive Officer or designee every six months following certification as an SCAQMD licensed scrapper. The purpose ofthe application is to document the number of vehicles scrapped and MSERCs earned during the six month period, and demonstrate compliancewith rule requirements. (2) The application shall contain the following infonnation for each six month period: (A) Datarecords forvehicles scrapped; (B) Total MSERCs claimedforscrap program period; (3) MSERCs shall be issued afterthe Executive Officer or designee has approved the application pursuant to paragraph (k)(1). The application shall be disapproved unless it demonstrates the SCAQMD licensed scrapper has complied with all applicable provisions in this regulation, as determined bythe Executive Officer
ordesignee. (4) Forthe purposes ofassessing fees, the application shall be deemed a plan, and the fees shall be assessed in accordance withthe provisions ofRule 306. (7)

1610-13Rule 1610 (Cont.) (Amended April 11, 1997)

(5) The application, including data records, shall be stored by the Executive Officerordesigneeforaminimum offiveyears.
(1) Compliance Plan (1) In orderto use MSERCs for the application listed in subparagraphs (i)(1)(B), (i)(l)(D), and (i)(l)(F), the user shall submit a Rule 1610 compliance plan to the Executive Officer or designee. The purpose of the compliance plan is to demonstrate compliance with rule requirements, and specifythe use ofthe MSERCs. (2) The compliance plan shall containthefollowing information: (A) Total MSERCs (attach certificates) (B) Identification of the specific rule for which the alternative method ofcOmpliance is sought; (C) The period oftimeforthe alternative method ofcompliance; (D) Number of MSERCs used to substantiate the alternative method ofcompliance; (E). A quantification of emissions that would result from noncompliance with the rule identified in subparagraph (l)(2)(B), and documentation supporting the emissions

V quantification. 

## ü) This quantification shall be performed using District Governing Board approved quantification methodologies. (ii) The Executive Officer shall submit this rule and associated quantification methodologies to U.S. EPA forinclusion into the State Implementation Plan. (3) Supporting documentation (applicable for MSERC usage for Regulation XI rules) shall include, but is not limited to: (A) a listing ofequipment and/or materials that are the source of noncompliant VOC, NOx, CO, or PM emissions associated withthe rule identified in subparagraph (l)(2)(B). (B) a description and operating conditions ofequipment listed in subparagraph (l)(3)(A) and/or composition and rate ofuse of materials listed in subparagraph (l)(3)(A). (C) emission rates associated with the use of equipment and/or materials listed in subparagraph (l)(3)(A).

1610-14Rule 1610 (Cont.) (Amended April 11, 1997)

(D) a listing of equipment and/or materials that would result in compliance withthe rule identified m subparagraph (l)(2)(B). (E) a description and operating conditions ofequipment listed in subparagraph (l)(3)(D) and/or composition and rate ofuse of materials listed in subparagraph (l)(3)(D).. (F) emission rates associated with the use of equipment and/or materials listed in subparagraph (l)(3)(D). (4) The compliance plan shall be written on a form to be specified by the Executive Officerordesignee. (5) The Executive Officer or designee shall approve or disapprove the compliance plan. The plan shall be disapproved unless it demonstrates that an equivalent amount ofemissions reductions are obtainedthroughthe alternative method ofcompliance. (6) MSERCs may not be used as an alternative method of compliance with Regulation XI rules until the Executive Officer or designee has approvedthe compliancepfan. (7) The user must renew the compliance plan prior to the expiration of the MSERCs upon which the plan is based.. (8) The compliance plan. including supporting documentation, shall be stored by the Executive Officer or designee for a minimum offive years.

1610-15Rule 1610 (Cont.) (Amended April 11, 1997)

(m) ComplianceAuditing and Enforcement (1) The Executive Officerordesignee mayauditanyfiles and/orrecords createdto complywith recordkeeping requirements. (2) The Executive Officer or designee shall reserve the right to inspect facilities, including auto dismantlers, for compliance with the requirements specified in this rule. District inspectors shall be afforded immediate access to scrapping/dismantling facilities on request. (3) Violation of any provision of this rule, including falsification of information in the scrapping plan, application, or compliance plan, shall be grounds forthe Executive Officeror designee to disallow or void any MSERCs resultingfrom orassociatedwith the violation, by disapproving or seeking revocation of the compliance plan (as appropriate), and shall be subject to the penalties specified in the Health and SafetyCodeforviolation ofDistrictrules.

(n) Requirements for PublicNotice Following acompleteness determination ofthe scrapping planforthe use of MSERCs as NSR offsets only, as provided in subparagraph (i)(1)(D), the Executive Officerordesignee shall: (1) perform the evaluations required to determine compliance with this regulation and make a preliminary written decision, as appropriate,

as to whether or not MSERCs, to be used as emission reduction credits (ERCs), should be approved or disapproved. The decision shall be supported bya succinctwritten analysis; and (2) publish a notice by prominent advertisement in at least one newspaper of general circulation in the District stating the preliminary decision ofthe Executive Officeror designee and where the public may inspectthe information. The notice shall provide 30 days from the date of publication for the public to submit written comments onthe preliminarydecision; and (3) at the time notice of the preliminary decision is published, make available for public inspection at the District office the information submitted by the applicant, the supporting analysis for the preliminary decision, and the preliminary decision to grant or deny MSERCs and the reasons therefore. The confidentiality of trade

1610-16Rule 1610 (Cont.) (AmendedApril 11, 1997)

secrets shall be maintained in accordance with Section 6254.7 ofthe GovernmentCode.

(o) Appeal ofDisapproval ofMSERC Issuance An applicant may, within 30 days of receipt of notice of disapproval, request the Hearing Board to hold a hearing on whether the scrapping application was properlyrefused.

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