SACRAMENTO METROPOLITAN AQMD INCENTIVE PROGRAMS

Mike NeuenburgProgram Coordinator, Mobile Sources

SMAQMD

GOOD MORNING

Here to present an overview of the Sacramento Metropolitan Air Quality Management District Heavy-Duty Vehicle Incentive Grant Programs

Incentive Funds Overview

District Goals and Regional Air Quality Issues Background Information Grant Programs Available Types of Funding Project Types (i.e. the 3 R’s) Project Administration How to Apply Examples

Who We Are

The Sacramento Metropolitan AQMD is a special district government agency covering the County of Sacramento

Our mission is to achieve clean air and protect public health and the environment.

The Mobile Source Section runs incentive programs to reduce emissions from self-propelled engines and equipment throughout the Sacramento Federal Nonattainment Area

The SMAQMD has provided over$207 million to reduce pollution from over 6,200 engines in Greater Sacramento Region.

Sacramento Region Non-Attainment Area Map

Sacramento Air Quality

6th Worst Air for Ozone in U.S.A.

Summer Ozone Severe-15 Nonattainment

for Federal 8-hr Ozone Winter Particulates Exposure to PM 2.5 and

Air Toxics including diesel soot

70% of Pollution from Mobile Sources

Background

Grant programs: provide funding to offset the incremental cost of

purchasing low or zero emission technologies promote early introduction of low or zero emission

technologies Sacramento Air District (SMAQMD) primary

administrator for the greater Sacramento region incentive programs

Incentive Programs Available

There are several incentive programs available to help reduce emissions from in-use diesel engines

GMERP (Goods Movement Emission Reduction Program): Grants for new trucks, locomotives, & marine (Truck applications accepted till 12-12-2013)

SECAT: Grants for new trucks (next round mid-2014)

Moyer: Grants primarily for new, rebuilt, repowered or retrofitted agricultural, construction, and locomotive equipment

Sacramento Metropolitan Air Quality Management District

Incentive Programs Available

Additional funding sources include West Coast Diesel Collaborative/Diesel Emission Reduction Act (DERA) from EPA which are funding agricultural diesel-to-electric pump conversions, and locomotives, along with AB118 funds from ARB. Some local District funds available for school bus projects.

Funding levels vary, but are commonly in the 50-65% range and can go up to 85% depending on project type.

Types of Funding

1. Goods Movement Emission Reduction Program (GMERP)Currently accepting truck applications till 12-12-2013

SMAQMD administers funds for replacement trucks, and locomotives for our region and outside Districts

Projects operate at least 90% in CA, and 50% in trade corridors Priority ranking given to zero emission vehicles and can be

partnered with HVIP Funding amount is up to $50,000 for class 8, up to $35,000 for class 7,

and up to $25,000 for class 6. Replacement trucks must meet 2010 EPA/CA Emission Standards Applications are submitted under a solicitation and ranked. Best

applications receive funding A few million still available

Sacramento Metropolitan Air Quality Management District

CA Trade Corridors

Types of Funding

2. Sacramento Emergency Clean Air Transportation (SECAT) Focus is on-road trucks and primarily replacement Funding is based on operations within Sacramento Region Funding amount is up to $60,000 for class 8 and up to

$40,000 for class 4-7 Application process is currently 1st come, 1st serve. Trucks must meet 2010 EPA/CA emission standards About $3M available annually

Types of Funding

3. Moyer – Local/State funding generated through mobile source fees Focus on local projects Minimum 75% operation in California Range of projects are available, but in our region, primarily

used for off-road equipment replacement, diesel agricultural pump to electric conversion, and locomotive gen-sets

Applications process is 1st come, 1st serve Most project types will require Tier 4 or better technology About $5M available annually

Replace, Retrofit, Repower

Replacement involves destroying the old unit and replacing it with a newer, cleaner version.

Repower involves replacing the old engine with a newer, cleaner engine.

Retrofitting vehicles and equipment involves the use of an emission-reducing device or fuel.

Project Administration Program objectives

Improve Air Quality and help meet federal/state requirements Funds supplement, do not replace regulations

Process Outreach (i.e. Workshops, Dealership Networks, Websites, Flyers,

etc.) Application review Inspections Contracting New equipment purchase and disposing of old equipment Invoicing and final payments Audit of projects

Summary of Project TypesCatergory # of Vehicles NOx Reduced

Tons/yrPM ReducedTons/yr

$ Provided

Off-Road 2,385 2,200 205 86,224,704

On-Road 3,869 1,300 130 $121,459,924

Infrastructure 20 - - $3,257,254

Grand Total 6,274 3,500 335 $210,941,982

Project Type Off-Road # On-Road #

ERP/Modernization 317 1492

New - 514

Diesel-to-Electric Ag Pump conversion 378 -

Repowers 1,630 (1,250 ag pumps) 351

Retrofits 60 803

Other (Chip Reflash) - 709

How do I apply and what is the process?

Applications are available on our website www.AirQuality.org (Incentives tab) under each of the funding sources. You may fill it in online, save and print.

Submit your completed application and required documentation (refer to checklists) to the SMAQMD. A project manager will be assigned to your project and will contact you.

Application and Process (cont.)

Regulations, standards, certifications, or rules affectproject eligibility. District project manager will help you with your specific project requirements.

The actual qualifying grant amount is determined by contract length and annual usage for each project.

District encourages you to work closely with a dealership or vendor of your choice, to help you with requiredequipment specifications and quotes. A list of vendors is on our website that have been trained by the District on the available funding programs.

Project Examples

On Road Truck ReplacementSECAT Funds

On road trucks Examples:

Agriculture, Construction, GoodsMovement. Etc.

NOx reduction is 0.87 tons/yrPM10 reduction is 0.02 tons/yrFunding amount $45,936~50% of invoice cost

Before

After

On Road Electric Truck ReplacementEPA & AB118 Funds

On road trucks Examples:

Agriculture, Construction, GoodsMovement. Etc.

NOx reduction is 0.32 tons/yrPM10 reduction is 0.01 tons/yrFunding amount $96,000

Before

After

Off Road Equipment Replacement

Off road equipment replacementExample: Tractors, harvesters, excavators, loaders, etc.

Average Reductions and Cost

Average age of old equipment 1980’s

NOx reduction is 0.86 tons per year

PM10 reduction is 0.027 tons per year

District paid $107,560 ~60% of invoice cost

After

Before

Diesel to Electric ConversionReplaced a 1995 325hp Deutz Diesel fueled stationary Ag Pump with a 2008 200hp U. S. Electrical MotorTier 0 to Zero emission conversion

District Contribution: $45,000Farmer Contribution: $9,000

NOx Reduced: 1.9 Tons/YrPM10 Reduced: .067 Tons/Yr

Before

After

Regulation Information

California Air Resources Board websitewww.arb.ca.gov

ARB’s Diesel Hotline1(866) – 6diesel

Program & Contact Information

Program Informationwww.airquality.org

Contract InformationMike Neuenburg(916) 874-1676

mneuenburg@airquality.org

Additional mobile source staff E-mail Addresses are available at our website www.airquality.org