BOARD MEETING STATE OF CALIFORNIA AIR RESOURCES BOARD

JOE SERNA, JR. BUILDING

CALIFORNIA ENVIRONMENTAL PROTECTION AGENCY CENTRAL VALLEY AUDITORIUM, SECOND FLOOR

1001 I STREET

SACRAMENTO, CALIFORNIA

THURSDAY, MARCH 27, 2003 9:00 A.M.

JAMES F. PETERS, CSR, RPR

CERTIFIED SHORTHAND REPORTER

LICENSE NUMBER 10063

PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345

ii APPEARANCES

BOARD MEMBERS

Dr. Alan Lloyd, Chairperson

Dr. William Burke

Mr. Joseph Calhoun

Ms. Dorene D'Adamo Supervisor Mark DeSaulnier Professor Hugh Friedman Dr. William Friedman

Mr. Matthew McKinnon

Mrs. Barbara Riordan Supervisor Ron Roberts

STAFF

Ms. Catherine Witherspoon, Executive Officer

Mr. Tom Cackette, Chief Deputy Executive Officer

Mr. Mike Scheible, Deputy Executive Officer

Ms. Lynn Terry, Deputy Executive Officer

Ms. Kathleen Walsh, General Counsel

Dr. Alberto Ayala, Manager, Alternative Strategies

Section, MSCD

Ms. Analisa Bevan, Manager, ZEV Implementation Section,

MSCD

Mr. Richard Bode, Chief, Health and Exposure Assessment

Branch, Research Division

PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345

iii APPEARANCES CONTINUED

STAFF

Mr. Craig Childers

Mr. Bart Croes, P.E., Chief, Research Division

Mr. Bob Cross, Chief, MSCD

Ms. Krista Fregoso, Air Pollution Specialist, Planning and

Regulatory Development Section, MSCD

Mr. Tom Jennings, Senior Staff Counsel

Ms. Diane Johnston, Senior Staff Counsel Dr. Norman Kado, Air Pollution Specialist

Ms. Renee Kemena, Manager, Planning and Regulatory Development Section, MSCD

Mr. Jack Kitowski, Chief, On-Road Controls Branch, MSCD

Mr. Bob Nguyen, Air Resources Engineer, Alternative Strategies Section, MSCD

Mr. Chuck Shulock, Vehicle Program Specialist, MSCD

Dr. Barbara Weller, Manager, Population Studies Section,

Research Division

ALSO PRESENT

Mr. Tom Addison, Bay Area Air Quality Management District

Dr. Menahem Anderman, Consultant

Ms. Marilyn Bardet

Ms. Clare Bell, E-Vet

Mr. John Boesel, Calstart/Westart

Mr. Thomas Bradley, Self

Mr. Scott Briasco, Los Angeles Department of Water and

Power

PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345

iv APPEARANCES CONTINUED

ALSO PRESENT

Mr. Kelly Brown, Ford Motor Company

Dr. Louis Browning, ICF Consulting

Dr. Nicholas Carter

Mr. Steve Casner, Self

Mr. Michael Coates, Green Car Group

Mr. Michael Conlon, Automotive Engine Rebuilders

Mr. Steven Dibner

Mr. Armando Flores, Latino PAC, Stansilaus County Hispanic

Chamber of Commerce

Mr. Tom Fulks, Green Car Marketing & Communications

Mr. Andrew Frank, U.C. Davis

Mr. S. David Freeman

Mr. Tom Gage, AC Propulsion

Mr. Marc Geller

Mr. Robert Gibney, Avestor

Mr. Tim Hastrup

Mr. Steve Heckeroth, 02

Mr. David Hermance, Toyota

Mr. Henry Hogo, SCAQMD

Mr. Steve HOEK, Automotive Engine Rebuilders Ms. Bonnie Homes-Gen, American Lung Association Mr. Steve Hurd, Caterpillar

Mr. Rolad Hwang, NRDC

PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345

v APPEARANCES CONTINUED

ALSO PRESENT

Mr. Carl Johnson, NYS Department of Environmental Conservcation

Mr. Mike Kane, Self

Dr. Douglas Kerr, Self

Ms. Christine Kirby, Massachusetts Department of Environmental Protection

Mr. Robert P. Kittell, Electricab Energy

Mr. Ed Kjaer, SCE

Mr. Ben Knight, American Honda

Ms. Gretchen Knudsen, International Truck and Engine

Corporation

Ms. Patricia Lakinsmith, Monterey Technologies

Ms. Elaine Lissner, EV Driver

Mr. Jason Mark, UCS

Mr. Daniel McCarthy, Evercel Inc.

Mr. Rick McCourt, Company Construction

Ms. Amanda Miller, EPRI

Mr. Clayton Miller, Construction Industry Air Quality

Coalition

Mr. Diego Miralles, EV Works

Mr. Bill Mirth, Federal-Mogul

Mr. David Modisette, California Electric Transportation

Coalition

Mr. Dana Muscato, Phoenix Motor Cars

Ms. Mary Nickerson, Toyota

Mr. Mark Nordheim, WSPA

PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345

vi APPEARANCES CONTINUED

ALSO PRESENT

Councilman Henery Perea, City of Fresno

Ms. Kimberly Rogers

Mr. Serge Roy, Capitech

Ms. Bev Sanders

Mr. Paul Scott, PEVDC

Ms. Zan Dubin Scott, Self

Mr. Bill Smith, Virtual Agile Manufacturing

Ms. Sandray Spelliscy, PCL

Mr. Dan Sturges, Mobility Lab

Mr. Dean Taylor, SoCal Edison

Mr. Mike Thompson, Self/Air Breather Mr. Edward Thorpe, PEVDC

Mr. Joe Tomita, Toyota

Mr. Jay Wagner, Dana Corporation

Mr. Bill Warf, SMUD

Mr. Reagan Wilson, Stanislaus County

PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345

vii

INDEX

PAGE

Pledge of Allegiance 1

Roll Call 1

Item 03-2-1 5

Chairperson Lloyd 5

Executive Officer Witherspoon 5

Staff Presentation 6

Q&A 10

Item 03-2-2 18

Item 03-2-3 18

Chairperson Lloyd 18

Executive Officer Witherspoon 20

Staff Presentation 21

Q&A 36

Mr. Michael Conlon 43

Mr. Steve HOEK 52

Mr. Bill Mirth 54

Mr. Jay Wagner 55

Mt. Steve Hurd 56

Mr. Clayton Miller 58

Mr. Rick McCourt 60

Ms. Gretchen Knudsen 62

Ms. Sandra Spelliscy 63

Ms. Bonnie Holmes-Gen 64

Mr. Mark Nordheim 65

Mr. Dean Taylor 70

Mr. Tom Addison 72

Mr. Henry Hogo 88

Motion 99

Vote 101

Item 03-2-4 101

Chairperson Lloyd 101

Executive Officer Witherspoon 108

Staff Presentation 110

Mr. S. David Freeman 161

Ombudsman Tschogl 168

Q&A 170

Dr. Menahem Anderman 195

Councilman Henry Perea 212

Dr. Andrew Frank 214

Dr. Louis Browning 220

Ms. Amanda Miller 224

PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345

viii

INDEX CONTINUED

PAGE

Mr. Joe Tomita 226

Ms. Mary Nickerson 229

Mr. David Hermance 235

Mr. Ben Knight 250

Mr. Kelly Brown 266

Mr. Reagan Wilson 294

Mr. Scott Briasco 301

Mr. Bill Warf 305

Mr. John Boesel 311

Mr. Ed Kjaer 314

Mr. David Modissette 317

Ms. Bonnie Holmes-Gen 331

Mr. Jason Mark 337

Mr. Roland Hwang 345

Mr. Tom Gage 352

Mr. Dana Muscato 358

Mr. Dan Sturges 363

Mr. Tom Fulks 373

Mr. Michael Coates 376

Mr. Diego Miralles 377

Mr. Robert P. Kittell 379

Mr. Tom Addison 384

Mr. Henry Hogo 387

Mr. Carl Johnson 391

Mr. Paul Scott 394

Ms. Zan Dubin Scott 395

Mr. Mike Kane 397

Ms. Christine Kirby 402

Mr. Armando Flores 404

Mr. Tim Hastrup 406

Mr. Robert Gibney 408

Mr. Daniel McCarthy 411

Mr. Serge Roy 413

Mr. Mike Thompson 415

Ms. Marilyn Bardet 420

Ms. Bev Sanders 425

Ms. Clare Bell 429

Ms. Elaine Lissner 431

Ms. Kimberly Rogers 435

Ms. Patricia Lakinsmith 438

Mr. Edward Thorpe 444

Mr. Steve Heckeroth 446

Mr. Thomas Bradley 450

Mr. Stephen Casner 453

Dr. Douglas Kerr 454

Dr. Nicholas Carter 459

Mr. Marc Geller 464

PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345

ix

INDEX CONTINUED

PAGE

Mr. Bill Smith 469

Recess 473

Reporter's Certificate 474

PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345

1

1 PROCEEDINGS

2 CHAIRPERSON LLOYD: Good morning. The March

3 27th, 2003 public meeting of the Air Resources Board will

4 now come to order.

5 Mr. Calhoun, would please lead the Board in the

6 Pledge of Allegiance.

7 (Thereupon the Pledge of Allegiance was

8 Recited in unison.)

9 CHAIRPERSON LLOYD: Thank you.

10 Will the clerk of the Board please call the roll.

11 BOARD CLERK DORAIS: Dr. Burke?

12 BOARD MEMBER BURKE: Present.

13 BOARD CLERK DORAIS: Mr. Calhoun?

14 BOARD MEMBER CALHOUN: Here.

15 BOARD CLERK DORAIS: Ms. D'Adamo?

16 BOARD MEMBER D'ADAMO: Here.

17 BOARD CLERK DORAIS: Supervisor DeSaulnier?

18 BOARD MEMBER DeSAULNIER: Here.

19 BOARD CLERK DORAIS: Professor Friedman?

20 BOARD MEMBER HUGH FRIEDMAN: Here.

21 BOARD CLERK DORAIS: Dr. Friedman?

22 BOARD MEMBER WILLIAM FRIEDMAN: Here.

23 BOARD CLERK DORAIS: Mr. McKinnon?

24 BOARD MEMBER McKINNON: Here.

25 BOARD CLERK DORAIS: Supervisor Patrick?

PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345

2

1 Mrs. Riordan?

2 BOARD MEMBER RIORDAN: Here.

3 BOARD CLERK DORAIS: Supervisor Roberts?

4 BOARD MEMBER ROBERTS: Here.

5 BOARD CLERK DORAIS: Chairman Lloyd?

6 CHAIRPERSON LLOYD: Here.

7 Thank you.

8 Good morning again.

9 First of all I would like to welcome our new

10 Executive Officer, Catherine Witherspoon. It's her first 11 Board meeting.

12 So we're delighted to have you here, Catherine,

13 and we're delighted to be working with you. It's a tough 14 start to a career in this job, but I know you can handle 15 it.

16 EXECUTIVE OFFICER WITHERSPOON: Thank you.

17 CHAIRPERSON LLOYD: Before we get started, just

18 note about today's proceedings.

19 We are postponing Agenda Item 03-2-2 until next

20 month regarding appointments to the Research Screening

21 Committee, to give staff a little more time to talk to 22 potential candidates.

23 So after our regular health update we'll go

24 directly to Agenda Item Number 3, the Carl Moyer, school 25 bus Item. We're expecting that discussion to take about

PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345

3

1 an hour, as we're hoping. So if you're here for the Zero

2 Emission Vehicle Regulation, which obviously is the

3 highlight of the day for many of us, you have a bit of

4 time to get some coffee, work on testimony, talk to staff,

5 et cetera.

6 Then once we get started with ZEV, we proceed

7 straight through the rest of the day, only taking short

8 breaks for the court reporter every two hours.

9 That's to accommodate the large list of witnesses

10 we're expecting today. We don't have an idea of the

11 number of witnesses at this time, but obviously in the

12 next few hours we'll have a pretty good idea.

13 If need be we'll extend the hearing to tomorrow. 14 But my colleagues now will have to gauge that to see how 15 long and how fast we can get along. And clearly, in that 16 context, I'm already under significant pressure by my

17 colleagues here to limit the testimony, given that we may 18 have a large number of people. And so, as you can see the 19 pincer movement here, it's likely that I will have to

20 exert three minutes or so if we have a large number of 21 witnesses. But we won't know that, and I've give the

22 witnesses plenty of time. Clearly, the testimony up front 23 from the major stakeholders, that will not be impacted by 24 the three minutes because these are some critical issues, 25 and we'll need adequate response to the staff presentation

PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345

4

1 as well.

2 I'd also like to ask anyone in the audience who

3 wishes to testify today, as I indicated, keep comments as

4 brief as possible. The other part of it I think, and

5 consistent with this, you know, we've had hundreds of

6 letters, many of which repeat the same message. So people

7 who are testifying who all have the same message, it would

8 be helpful, in fact, if you just highlight any

9 differences. Believe me, as I've indicated when I was

10 flooded the last time with E-mails, it's like a dessert. 11 You know, the first few teaspoons or tablespoons are

12 excellent. But after, you know, a truckload of that, it 13 doesn't have the same impact.

14 So I think it's important that we focus some of

15 those so we add on. And the Board again has read a lot of 16 the material here, and I think we're smart enough to be

17 able to digest the key parts.

18 But as I indicated, until we know the number of

19 people signed, we will not have a good idea of where we

20 are.

21 So with that I guess we will proceed to the first

22 agenda item today. Reminding anybody who wishes to sign 23 up, please see the attendant outside. And if you have

24 copies of the written statements, provide 30 copies if you 25 can.

PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345

5

1 The item here is the recent health research

2 conducted in the Netherlands regarding the association

3 between traffic-related air pollution and mortality in an

4 elderly population.

5 At this point I'd like to turn it Ms. Witherspoon

6 to introduce the item and begin staff's presentation.

7 EXECUTIVE OFFICER WITHERSPOON: You're going to

8 have to get used to saying that. It's a longer name.

9 Good morning, Dr. Lloyd and members of the Board.

10 This a particularly interesting health study

11 because it adds to our understanding of particulate matter 12 and its effect on the elderly. Over the past few years we 13 have talked to you many times about children's unique

14 vulnerability to air pollution. This study reminds us 15 that there are other sensitive populations at risk.

16 This study also has an environmental justice

17 angle because it involves near-roadway and near-highway 18 exposures, something that many California communities are 19 concerned about.

20 We talked about some of these issues at the

21 January meeting, and we will be addressing the subject of 22 environmental justice research and data needs again in

23 April.

24 Dr. Norman Kado will make the staff presentation

25 this morning.

PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345

6

1 Dr. Kado?

2 DR. KADO: Thank you very much, Ms. Witherspoon.

3 Good morning, Chairman Lloyd and members of the

4 Board.

5 (Thereupon an overhead presentation was

6 Presented as follows.)

7 DR. KADO: Investigators have previously reported

8 associations between long-term exposure to particulate

9 matter, air pollution and mortality. The Air Resources

10 Board has recently adopted new annual PM10 and PM2.5

11 standards and continues to review the latest information 12 to protect the most sensitive members of the public from 13 chronic and cute health effects related to particulate air 14 pollution.

15 The presentation this morning is a discussion of

16 a study evaluating the association between long-term

17 exposure to traffic-related pollutants and cardiopulmonary 18 mortality in a cohort of individuals, age 55 to 69.

19 --o0o--

20 DR. KADO: Results of three previous studies

21 presented in an earlier health update have suggested that 22 long-term exposure to particulate matter air pollution is 23 associated with increased mortality from respiratory and 24 cardiovascular disease and from lung cancer.

25 For estimating exposure to air pollutants in

PETERS SHORTHAND REPORTING CORPORATION (916) 362-2345

7

1 these studies, investigators compared several large,

2 usually metropolitan regions with different ambient air

3 pollution concentrations, with the assumption that

4 exposure is uniform within each region. This assumption,

5 however, may not accurately reflect exposure, especially