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CAWP News Issue 6-09



AGC Opposes Emission Standards for Existing Fleets of Off-Road Diesel Equipment

Last summer, the California Air Resources Board (CARB) finalized and sought federal approval of new standards that will require California’s contractors to retrofit, repower or replace up to 90 percent of their off-road diesel equipment over a period of ten years, at a cost that could exceed $13 billion. The only thing that currently stands in the way of the state’s enforcement of these standards is the federal Clean Air Act, which requires the U.S. Environmental Protection Agency (EPA) to review and approve the state’s standards before the state begins to enforce them – a process called “granting a waiver of federal preemption.”

The AGC and its two California Chapters are attempting to reopen the rulemaking process or to prevent the federal government from approving the new standards. The goal is to persuade the California Air Resources Board to make an objective assessment of how far the economic downturn has independently reduced off-road diesel emissions. If they fail in their efforts, it may have a negative impact on other states, including Pennsylvania.

The federal Clean Air Act (CAA) generally forbids the states to set emission standards for off-road diesel equipment. However, the statute makes an exception for the state of California, and if California’s new standards meet with federal approval, Pennsylvania and other states that have failed to meet any one or more of the federal standards for ambient air quality, will be permitted to adopt California’s standard. Pennsylvania is already taking a hard look at California’s new rule on off-road diesel emissions. According to the AGC, “If California unlocks the door to strict state standards for such emissions, Pennsylvania will be one of the many states likely to pursue the option of adopting an identical rule.”

The AGC of America is asking chapters to consider making contributions to this effort via the Political Action and Awareness Fund (PAAF). An additional $150,000 is needed for this effort through the remainder of 2009. CAWP has responded by making a $5,000 contribution. If your company is interested in contributing to this effort, please make checks payable to the AGC Public Awareness and Advocacy Fund - with a note indicated it is for blocking California’s off-road diesel emission standards - and send the check to Mike Kennedy, General Counsel, Associated General Contractors of America, 2300 Wilson Boulevard, Suite 400, Arlington, VA 22201.