INTRODUCTION
The purpose of this program is to reduce emissions by the replacement of old, heavy-duty diesel trucks engaged in goods movement, including drayage and non-drayage trucks. The diesel pollution from current goods movement operations greatly impacts the health of community residents near ports, rail yards, distribution centers, and roads with high truck traffic. In the Los Angeles/Inland Empire region, which includes California’s largest concentration of goods movement facilities (e.g., ports and rail yards); the result has been major health risks associated with very high regional levels of ozone and fine particulate (PM2.5) pollution.
This program will provide a financial incentive to truck owners/operators as a strategy to reduce diesel-related emissions from freight movement activities within the Los Angeles/Inland Empire trade corridor. The program is intended to accelerate the turnover of older heavy-duty diesel trucks by providing incentive funding to replace these trucks with newer, lower-emitting heavy-duty diesel or natural gas trucks. The old diesel trucks approved under this program will be required to be scrapped by an AQMD-approved dismantler to ensure the emission benefits of this truck replacement program are achieved.
GENERAL PROGRAM INFORMATION
This Program Announcement is seeking project proposals for the replacement of pre-2004 heavy-duty diesel trucks engaged in goods movement with MY 2007 and newer heavy-duty diesel or natural gas trucks that are equipped with engines certified by the California Air Resources Board (CARB) under the heavy-duty test cycle to show that the engines comply with both FEL and CERT values equal to or lower than 1.20 g/bhp hr for NOx and 0.01 g/bhp hr for PM.

The main eligibility criteria for the old diesel truck include:
- MY 2003 or older,
- Involved in goods movement activities,
- Class 8 truck classification, must have a Gross Vehicle Weight Rating (GVWR) of 33,001 lbs. or greater,
- Must be currently registered in California, and
- At least 50 percent operation within trade corridor(s) for the past 2 years.
This Program will be funded through a combination of funding sources, which may include, but are not limited to: Proposition 1B Goods Movement Emission Reduction Program, California Energy Commission AB118 funds, U.S. EPA funds, U.S. DOE Clean Cities funds, and U.S. DOT funds.
Projects should be designed to ensure that the emission reductions expected through the deployment of the low-emission and natural gas trucks under this program are real, quantifiable, and in excess of any requirements under federal, state and/or local regulations.
All proposals will be evaluated and competitively ranked based on criteria set forth in the latest version of the Proposition 1B Program Guidelines and as amended by CARB Board Resolution 09-40 on May 28, 2009 located at http://www.arb.ca.gov/bonds/gmbond/gmbond.htm. If approved by CARB, AQMD will apply the new streamlining criteria established by CARB to evaluate proposals received under this announcement. AQMD will evaluate and/or verify information submitted by the applicant. At AQMD's discretion, consultants to the AQMD may conduct all or part of such evaluation and/or verification. Data verification during the evaluation and contracting process may cause initial cost-effectiveness rankings, and associated awards, to change. Furthermore, the AQMD reserves the right to make adjustments to awards based on the subsequent verification of information as well as changes in cost-effectiveness.
In addition, the evaluation criteria and process shall be in compliance with applicable conditions and requirements set forth by the funding sources as identified above, if they are applied. It is each applicant’s responsibility to read the Proposition 1B guidelines in addition to this PA to ensure that submitted applications for funding are compliant with all stated requirements.
It is expected that multiple awards will be granted under this PA, subject to the approval of the AQMD’s Governing Board.
PROGRAM HIGHLIGHTS
- This Program will provide incentive funding up to $50,000 for a diesel truck or up to $100,000 for a natural gas truck for the replacement of eligible vehicles equipped with engines certified by CARB under the heavy-duty test cycle to show that the engines comply with both FEL and CERT values equal to or lower than 1.20 g/bhp hr for NOx and 0.01 g/bhp hr for PM.
- Eligible vehicles include Class 8 diesel trucks with MY 2003 or older engines that are involved in goods movement activities. The vehicle’s Gross Vehicle Weight Rating (GVWR) must be greater than 33,001 lbs.

- All eligible vehicles will be evaluated and competitively ranked based on criteria set forth in this PA and the Proposition 1B Program Guidelines. The trucks will be ranked based on, but may not be limited to, engine model year, vehicle miles traveled per year (VMT), and requested funding amount. In addition, applicants electing to purchase natural gas trucks with engines certified to lower emission levels than the 2007 emission standard may enhance their chance for funding. Applicants may also request a lower funding amount to increase the cost-effectiveness of their trucks and to place higher in the ranking order for funding.
- Applicants must provide a copy of title to show proof of ownership at the time of application.
- Applicants must provide a copy of the current California DMV vehicle registration.
- Applicant must provide documentation of annual miles traveled over past 2 years (e.g., odometer readings, maintenance records, shipment logs, fuel receipts, etc)
- Applicant must also provide proof of DMV registration for the past 2 years. Monthly or seasonal registrations are acceptable. If proof of 2-year registration history is not available, then the applicant must provide alternative documentation (e.g., DMV printout with registration history, proof of insurance, shipment records, fuel consumption records) that establishes a pattern of California operation over the last 2 years.
- Applicants must provide a CARB Executive Order for the newer, lower-emitting diesel or natural gas truck engine documenting that the engine complies with both FEL and CERT values equal to or lower than 1.20 g/bhp hr for NOx and 0.01 g/bhp hr for PM.
- Applicants must provide a price quote for the new replacement truck.
- Applicants must provide the old truck VIN as part of the application. As VIN compliance check will be performed by CARB to verify there are no outstanding violations prior to funding approval.
- All projects receiving Program funds must be operational within 6 months after contracts are executed between AQMD and the grantee but no later than by December 31, 2010.
No third party contracts will be executed.
- A pre-inspection of the old truck and post-inspection of the new replacement truck will be required to verify eligibility of the vehicles prior to disbursement of any incentive funding under this program.
- Destruction of the vehicles and engines being replaced is required.
- Any tax obligation associated with the award is the responsibility of the grantee. Individuals or companies receiving grant funding will be issued a 1099-G form by AQMD for the full award amount.
- A number of CARB fleet rules and air quality regulations currently being implemented reduce or eliminate eligibility for Program funding. Compliance with existing air quality regulations is a prerequisite for Program funding. Applicants are responsible for ensuring that they are in full compliance with all applicable regulations that include, but may not be limited to, the following:
On-Road Private @ http://www.arb.ca.gov/msprog/onrdiesel/onrdiesel.htm
Drayage Trucks @ http://www.arb.ca.gov/msprog/onroad/porttruck/porttruck.htm
Public/Utility Fleets @ http://www.arb.ca.gov/msprog/publicfleets/publicfleets.htm
Transport Refrigeration Units @ http://www.arb.ca.gov/diesel/tru.htm
Idle Reduction @ http://www.arb.ca.gov/msprog/truck-idling/truck-idling.htm
Solid Waste Collection Vehicle @ http://www.arb.ca.gov/msprog/SWCV/SWCV.htm
All the regulations and funding opportunities for diesel trucks and buses operating in California can be also accessed through a CARB website located @ http://www.arb.ca.gov/msprog/truckstop/truckstop.htm.
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