INFO ALERT: Regulators OK $34 billion air quality management plan

We have an important update for you about a plan for achieving aggressive air quality standards that BizFed leaders pushed back against. The latest regulatory developments are dense – here's our distillation of key takeaways and what it all means for you.

• WHAT HAPPENED: The South Coast Air Quality Management District (AQMD) board voted 9-2 on Friday in support of the 2022 Air Quality Management Plan (AQMP).
  
  
• BROAD IMPACTS: The nearly 5,000-page AQMP sets proposed air emissions reduction goals from now until 2037, which can impact every type of business across all sectors. This plan is expected to kill 29,000 jobs per year if it's adopted.
  
  
• HOW IT'S HISTORIC: This is the first zero-emission plan and the most expensive AQMP in the district's history. It's estimated to cost $34 billion, double the cost of the 2016 plan. This price tag does NOT include the cost of updating our grid infrastructure.
  
  
• WHAT'S IN THE PLAN: Rules to phase out natural gas water heaters, space heaters, cooking equipment, and boilers, as well as other measures impacting all industries across the South Coast Basin.
  
  
• NEXT STEPS: The timing and specifics of these measures will be worked in during the rulemaking process, which starts after the plan is accepted by the California Air Resources Board (CARB) and the U.S. Environmental Protection Agency (EPA).

YOUR VOICES WERE HEARD

A diverse cadre of BizFed leaders testified at hearings, met with AQMD board members and staff, and crafted a letter detailing the business community's concerns with the plan. Although the vote didn't go our way, your voices made an impact. AQMD staff and several board members acknowledged the concerns we raised about the plan's costs, impact on grid reliability, and shift away from remaining technology neutral. Moving forward, we've helped to ensure the public process includes feasibility and infrastructure analysis before rules are finalized.

THANK YOU, BIZFED LEADERS

We're grateful for the collective efforts of the BizFed leaders below who stepped up and spoke up to protect jobs. Our work isn't done. We'll continue fighting to make sure rules imposed on businesses are thoughtfully crafted, evenly enforced, and will ultimately improve the lives of residents.

Bill LaMarr - CA Small Business Alliance
Debbie Corlin - LA South Chamber
Elias Garcia - Los Angeles Area Chamber
Nayiri Baghdassarian - San Gabriel Valley Economic Partnership
Wanda Love - Gardena Chamber
Victor Reyes - Valley Industry & Commerce Association
John Heintz - Latham & Watkins
Mike Carroll - Latham & Watkins
Ben Lopez - Inland Empire Economic Partnership
Erin Gardner - FuturePorts
Peter Whittingham - Whittingham Public Affairs Advisors
Scott Weaver - Ramboll

ABOUT THE SOUTH COAST AQMD

The South Coast AQMD has jurisdiction over stationary sources that produce air pollution such as large power plants, refineries, corner gas stations as well as house paint, furniture varnish, and thousands of products containing solvents that evaporate into the air. About 25% of this area's ozone-forming air pollution comes from stationary sources, both businesses and residences. The other 80% comes from mobile sources – mainly cars, trucks and buses, but also construction equipment, ships, trains, and airplanes and is regulated by CARB and the EPA. The South Coast AQMD covers Los Angeles County, Orange County, Riverside County, and San Bernardino County.

Onward!

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Tracy Hernandez
BizFed Founding CEO