DEPARTMENT: Office of Sustainability
DEPARTMENT HEAD: Douglas Melnick, Chief Sustainability Officer, AICP, CNU-A
COUNCIL DISTRICTS IMPACTED: All
SUBJECT:
VW Settlement Beneficiary Mitigation Plan
SUMMARY:
Briefing on implications and next steps regarding the VW Settlement Beneficiary Mitigation Plan
BACKGROUND INFORMATION:
Texas Commission on Environmental Quality (TCEQ) is the lead agency responsible for the administration of funds received from the settlement agreement in the litigation between the U.S. Environmental Protection Agency (EPA), the State of California, and Volkswagen (VW) and its related entities for violation of the Federal Clean Air Act regarding nitrogen oxides emission controls on 2.0 liter and 3.0 liter diesel vehicles. A minimum of $209 million is available to Texas for projects to reduce nitrogen oxides in the environment. The San Antonio area, which includes Bexar, Wilson, Comal and Guadalupe counties, has a proposed allocation amount of $73.5 million, or 35% of the total allocation for Texas.
ISSUE:
This funding opportunity is for the purpose reducing NOx emissions from combustion-engine vehicles that contribute to air pollution and lead to the formation of ground-level ozone.
Texas Commission on Environmental Quality (TCEQ) is the lead agency responsible for the administration of funds received from the settlement agreement for Volkswagen (VW) and its related entities for violation of the Federal Clean Air Act regarding nitrogen oxides emission controls on 2.0 liter and 3.0 liter diesel vehicles.
A minimum of $209 million is available to Texas for projects to reduce nitrogen oxides in the environment. The San Antonio area, which includes Bexar, Wilson, Comal and Guadalupe counties, has a proposed allocation amount of $73.5 million, or 35% of the total allocation for Texas.
San Antonio and Bexar County are in exceedance of federally mandated ground-level ozone standards and have until the end of 2020 to attain the standard or face stricter regulations.
Due to the aggressive timeline to meet this standard, the full proposed amount of VW Settlement funds is urgently needed for the San Antonio area. Any public agency or private business that operates emissions-producing equipment and/or vehicles may apply for funding. Eligible Mitigation Actions include:
Statewide ($31M):
• Light duty electric charging infrastructure and hydrogen for fueling hydrogen fuel cell vehicles.
San Antonio Area ($73.5M):
• Class 8 Local Freight Trucks and Port Drayage Trucks (repower or replacement)
• Class 4-8 School Bus, Shuttle Bus, or Transit Bus (repower or replacement)
• Freight Switchers (repower or replacement)
• Class 4-7 Local Freight Trucks (repower or replacement)
• Airport Ground Support Equipment (repower or replacement with all-electric)
• Forklifts and Port Cargo Handling Equipment (repower or replacement with all electric)
Public comments on the Draft Mitigation Plan are being taken now through October 8, 2018. TCEQ hopes to begin the grant application process by the end of 2018.
ALTERNATIVES:
This briefing is for informational purposes only.
FISCAL IMPACT:
There is no fiscal impact associated with this presentation.
RECOMMENDATION:
This briefing is for information purposes only.