By MONICA UNHOLD, The Daily Transcript
Monday, January 11, 2010
The Associated General Contractors of America filed an emergency petition with the California Air Resources Board Monday seeking a two-year delay in implementing the off-road diesel rule. Aimed at reducing diesel emissions in California, the rule would force contractors to make expensive retrofits to thousands of pieces of construction equipment by March 1.
The petition follows the release of a study by the trade group last month, which states the recession has significantly reduced emissions. The report concludes emissions regulations are not necessary in order to meet federal standards, until after 2012.
“Contractors don’t need to retrofit, repower of replace a single piece of equipment to meet the state’s emissions targets for the next two years, and possibly even longer,” said Mike Kennedy, AGC general counsel. “Construction workers shouldn’t have to lose their jobs because state officials want more time to review their own data.”
Delaying implementation of the rule will give the state’s hard hit construction industry more time to make costly upgrades and avoid unnecessary job losses, the AGC says. Since June 2006, more than 300,000 construction jobs have been lost statewide.
The regulations will have the greatest impact on heavy earthmoving contractors. Eighty of the 100 pieces of construction equipment owned by Vista-based grading contractor, Sierra Pacific West Inc. must be retrofitted. The contractor must take measures to comply with the regulation by March 1, said Tom Brown, president of Sierra Pacific West and director of transportation research group, TRIP. Such measures include retrofitting and retiring older vehicles or proving they will spend fewer hours in operation.
“We’re not asking to repeal this,” Brown said. “We’re just asking for more time.”
There is not a retrofit available for every vehicle and contractors must either replace the vehicles or retire them, Brown said.
The cost of making the retrofits and replacing older equipment is expected to total millions statewide. Sierra Pacific West is in a better financial position than many companies because the majority of its equipment is paid off, Brown said. Still, Brown and others in his position must decide whether to make the retrofits or shutter their businesses.
“I have to decide whether it’s a worthwhile investment,” Brown said.
AGC’s emergency petition follows CARB’s December decision to revisit the study the regulations are based upon, after it was discovered lead scientist Hien Tran falsified his credentials. Staff will give an update on the report during the board’s April meeting, however the off-road rule becomes effective March 1.
The petition is a last ditch effort to have the regulations postponed before they become law, Kennedy said.
“We are very comfortable with further discussion of this data,” Kennedy said. “However, a year has gone by since we started this process and we cannot wait any longer.”
CARB has 30 days to respond to the petition. AGC has requested CARB discuss the matter during its February meeting, Kennedy said.
Hanna Equipment 