Air Quality Division TERP (8377) Page 1 Texas Emissions Reduction Plan (TERP) Donna F. Huff Project Development Coordinator Air Quality Division

Air Quality Division TERP (8377) Page 2 TERP Program Description Implementation Monitoring Reporting

Air Quality Division TERP (8377) Page 3 TERP

Air Quality Division TERP (8377) Page 4 TERP

Air Quality Division TERP (8377) Page 5 Program to Date $406 million 1,513 grant projects 5,943 vehicles, engines, and pieces of equipment 100,582 tons of NO x reduced 45 tons per day of NO x reduced

Air Quality Division TERP (8377) Page 6 TERP Provides incentives for projects that reduce nitrogen oxides (NO x ) –Voluntary –Equivalent reductions that would have been achieved through mandatory SIP requirements  Construction Equipment Restriction  Accelerated Purchase of Tier 2/Tier 3 diesel equipment

Air Quality Division TERP (8377) Page 7 Funding Sources Portion of vehicle certificate of title fee 2% surcharge for sale, lease, rental, storage, use and consumption of heavy-duty diesel (HDD) non-road equipment $10 inspection fee surcharge for commercial motor vehicles

Air Quality Division TERP (8377) Page 8 Funding Sources 2.5% surcharge for sale, lease, or use of pre-1997 HDD vehicles over 14,000 lbs; 1% for 1997 and later HDDs 10% registration fee surcharge for truck tractors and commercial motor vehicles

Air Quality Division TERP (8377) Page 9 Implementation Administration: –Request for Applications/Notice of Rebate Grants –Application forms –Outreach  Workshops in eligible areas  Application assistance

Air Quality Division TERP (8377) Page 10 Implementation Release the Request for Applications/Notice of Rebate Grants: –Web site/listserv –Press release –Mail outs  Dealers  TxDOT database

Air Quality Division TERP (8377) Page 11 Implementation Emissions Reduction Incentive Grants –Open/close date –Review applications  Calculators  Engine family codes  Enforcement check

Air Quality Division TERP (8377) Page 12 Implementation Emissions Reduction Incentive Grants –Project Selection  Selection committee  Cost per ton –Notify applicants –Contracts

Air Quality Division TERP (8377) Page 13 Implementation Rebate Grants –Small businesses –First-come, first-served –Open/close date  Availability of funds –Pre-calculated numbers –Application becomes contract

Air Quality Division TERP (8377) Page 14 Reimbursement Grant funds are paid to reimburse expenses incurred by the grant recipient Reimbursements are made after the purchase Grant recipients may assign the grant payment to the dealer or financing entity Reimbursement forms are provided with the contract

Air Quality Division TERP (8377) Page 15 Disposition Salvage Only $1,000 default amount for on-road and non-road 90 days payment from TCEQ

Air Quality Division TERP (8377) Page 16 Usage Commitment Contractual commitment 75 percent of usage must be in eligible areas –Miles –Hours –Fuel Failure to meet the usage commitment may result in the recipient having to return a share or all of the grant funds

Air Quality Division TERP (8377) Page 17 Monitoring and Reporting Monitoring –Application verification –High risk Reporting –Semi-annually –Usage commitment (miles, hours, fuel) Failure to report may result in the recipient having to return a share or all of the grant funds

Air Quality Division TERP (8377) Page 18 Monitoring and Reporting Global Positioning Systems (GPS) –Eligible grant expense  Installation  Unit –Service  TCEQ vendor  Grantee responsibility

Air Quality Division TERP (8377) Page 19 Monitoring and Reporting Global Positioning Systems (GPS) –Self reporting  Voluntary  Reporting requirement waived –Enforcement tool  Noncompliance –High risk  Required to be eligible

Air Quality Division TERP (8377) Page 20 Contacts Web Site: Toll Free: TERP (8377)