air quality fund; control
measures
DPA |
Committee on Environment |
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Committee on Appropriations |
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Caucus and COW |
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Third Read |
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As Passed the House |
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HB 2560 continues the in lieu fee (that was scheduled to repeal pursuant to Laws 2001, chapter 371, effective 6/30/03), places the money in the air quality fund in DEQ and authorizes the money to be spent on a variety of air quality related measures, including voluntary vehicle repair, voluntary lawn equipment reduction, diesel vehicle low emissions grants and other programs.
HB 2560 was amended in the Environment Committee.
Current ARS section 49-543 as amended by Laws 2001, chapter 324, requires owners of vehicles that are five years old or less to either have their vehicle emission tested or pay an in lieu fee. The in lieu fee is $25 in area A (biennial) or $9 in area B. The cost of emission testing in area A ranges from $18.50 annually to $27.50 biennially (all 1981 and newer under 8501 pounds GVW are $27). The cost of testing in area B is $11.75 annually for all vehicles.
The in lieu fee in the Department of Commerce Energy Office currently covers two programs: conversion of diesel vehicles grants and delivery system grants. HB 2014 in the December 2001 special session modified the funding for those programs as follows:
Diesel vehicles: removed $6.5 million in FY 03 (left $5.5 million in FY 02)
Delivery systems: removed $1.125 million in FY 02 and $1.8 million in FY 03
· Monies in the fund are exempt from the provision relating to the lapsing of appropriations, and designates interest earned on the monies are credited towards the fund.
· The use of the $1.50 monies is broadened to include oxides of nitrogen (rather than just nitrogen dioxide) and hazardous air pollutants throughout the state; these monies can also be used to monitor visible air pollution and develop and implement programs to reduce emissions of pollutants that contribute to the problem; outdated language is removed.
· The in-lieu fee distribution is changed to:
- 3% to DEQ for costs of administration and evaluating measures.
- 5% to the Voluntary lawn and garden equipment emission reduction program.
- 15% to the V2R2 program.
- 30% to the Diesel vehicle low emissions incentive grant program
- 25% for the voluntary accelerated purchase of Tier 2 and Tier 3 equipment.
- 25% for grants to counties for air pollution control as follows:
- 45% to Maricopa.
- 36% to Pima.
- 9% to Pinal.
- 10% will be disbursed by DEQ to any of the three counties.
- If monies allocated to the voluntary lawn and garden equipment, V2R2, diesel vehicle low emissions, and voluntary accelerated purchase programs have not been used in any year:
- 75% can be used for any of the programs.
- 25% must be applied to county activities.
· Vehicles receiving diesel vehicle low emissions incentive grants must meet one of the following:
- EPA voluntary diesel retrofit program.
- EPA verification protocol.
- California Air Resources Board diesel emission control strategy verification procedure.
- Sections 43100 and 43102 of the heath and safety code of the state of California (alternative fuel conversions).
- Actual emissions testing performed on the vehicle.
· The diesel program is repealed the later of June 30, 2005 or one year before the beginning production date for the standard for diesel fuel with a maximum sulfur limit of 15 parts per million (currently June 1, 2006).