In This Issue

In this issue, you’ll find articles about the Air District’s adoption of a freshly designed logo and streamlined name and the attendance of the Air District’s executive officer and staff at the COP29 Climate Conference in Azerbaijan. Other articles cover a joint penalty assessed against Valero Refining Co. in conjunction with the California Air Resources Board that amounted to the largest penalty in the Air District’s history, and CARB’s official approval of a clean air plan for the Richmond-North Richmond-San Pablo area. Current grant opportunities are also summarized.

On January 21, the Bay Area Air District announced its updated name and logo. The new look symbolizes the Air District’s new direction through recent leadership changes, reflecting a modernized brand that helps the agency stay connected and effective in its mission. 

This new identity honors the Bay Area’s diversity, environmental justice initiatives and commitment to clean air for all. The Air District’s new logo represents both continuity and progress, embodying the core values of the agency while embracing a cleaner, more modern design.

To better connect with the public, the agency name has also been streamlined from “Bay Area Air Quality Management District” to “Bay Area Air District.”

These changes reflect the Air District’s commitment to accessible and engaging air quality information and prioritizing clean air for all. The Air District’s rebrand is not just a visual refresh — it’s a reflection of the agency’s enduring dedication to clean air and environmental justice for every community in the Bay Area.

For more information, logo files and brand style guide, visit the new Air District Logos web page.

The Air District sent representatives to attend the United Nations Climate Change Conference, or COP29, in Baku, Azerbaijan from November 11 through November 22. 

COP29 brought together the world’s leaders to accelerate the global implementation of climate protection strategies. Participation in the climate conference enabled the Air District to learn about innovative technologies and policies being deployed around the world that could be replicated in the Bay Area. The Air District also shared agency knowledge, successes and strategies that have helped mitigate climate change at the local level.

During their time at the conference, Air District Board of Directors Chair Davina Hurt and Executive Officer Dr. Philip Fine held a virtual press conference inviting Bay Area residents to join the discussion, ask questions and share their concerns by connecting with the Air District on Facebook during the livestream.

The COP29 conference built on the outcomes of COP28 by spotlighting the urgent need to cut greenhouse gas emissions and to build resilience and adaptation to the climate impacts already faced by the global community. 

In October, the Air District and the California Air Resources Board announced a nearly $82 million penalty in a joint case that addressed significant air pollution violations by Valero Refining Co. at its Benicia refinery. This penalty was the largest ever assessed in the Air District’s history.

Over $64 million of these funds will be returned to the local community to finance projects aimed at reducing air pollution exposure, mitigating air pollution impacts and improving public health in areas surrounding the refinery. These projects will be selected through a public process with input from residents, community organizations, elected officials and advocates representing the impacted areas.

The remainder of the penalty will be used to fund beneficial clean air projects in overburdened communities throughout the Bay Area, as well as to offset the costs of investigating and prosecuting the case. In total, nearly $80 million of this historic penalty will be returned to Bay Area communities.

The penalty stems from a 2019 inspection that found unreported emissions from the facility’s hydrogen system containing harmful organic compounds in violation of Air District regulations. These organic compounds contributed to the Bay Area’s regional smog and particulate pollution problems, and they contained benzene, toluene, ethylbenzene, and xylene, or BTEX, compounds, which cause cancer, reproductive harm and other toxic health effects.

Air District inspectors discovered that refinery management had known since at least 2003 that emissions from the hydrogen system contained these harmful and toxic air contaminants but did not report them or take any steps to prevent them. The refinery emitted an estimated 8,400 tons of these organic compounds in total over this period – an average of more than 2.7 tons for each day on which a violation occurred, over 360 times the legal limit.

Subsequent investigations uncovered a host of other problems involving the hydrogen system, including emissions in violation of applicable limits, failure to install required emissions abatement equipment, failure to inspect equipment for leaks and failure to report required information, among other violations. The Air District sought abatement orders from its independent Hearing Board to require Valero to abate ongoing violations. In conjunction with CARB, the Air District assessed this monetary penalty to resolve all the violations.

In addition to the penalty, Valero will be required to undertake several measures to prevent future violations. The facility will be required to reconfigure its main hydrogen vent and vents in its hydrogen production plants to prevent emissions from being released directly into the atmosphere. Valero will also be required to implement a training program to ensure that its staff are fully aware of all relevant Air District regulations.

In May 2024, the Air District Board of Directors adopted a groundbreaking policy that directs a significant portion of penalty funds to the communities most impacted by air quality violations. Under this policy, most of these penalty funds will be reinvested in local projects specifically designed to reduce pollution and enhance public health.

To help improve regional air quality and advance the Air District’s environmental justice and equity goals, penalty funds will be allocated in accordance with this new policy. The policy will ensure that significant amounts of large penalties benefit the community where the violation occurred, while also setting aside funds to address the needs of communities overburdened with air pollution that may not have industrial sources that could be subject to large penalties.

This penalty is the third major fine the Air District has assessed against Bay Area refineries this year. In February, the Air District announced a $20 million penalty against the Chevron refinery in Richmond, and earlier in October the Air District announced a $5 million penalty against the Marathon refinery in Martinez.

This joint prosecution with CARB also represents a new level of cooperation among enforcement agencies for air quality violations. The Air District will look to partner with other agencies where appropriate to ensure that maximum enforcement resources are brought to bear for significant violations. 

On November 7, the Executive Officer of the California Air Resources Board officially approved the AB 617 Path to Clean Air Plan for Richmond-North-Richmond-San Pablo, making the plan final.

Additionally, at the October 28 PTCA Community Steering Committee meeting, the CSC adopted a Year One Implementation Plan. This Plan is a roadmap that identifies and prioritizes actions to be implemented by the Air District, CSC and partner agencies between October 2024 and September 2025.

Further information about the PTCA Plan, as well as future updates on Year 1 implementation, can be accessed via the Air District’s PTCA web page.

The Air District administers a number of grant funding programs that offer incentives for clean air projects.

Grant Funding for Clean Air Projects

Grant programs for Bay Area businesses and public agencies:

• Heavy-Duty Vehicle and Equipment Replacement Program - Funding is available to help fleet and equipment owners upgrade and replace eligible heavy-duty vehicles and equipment with cleaner and zero-emissions technology and for the installation of supporting zero-emission infrastructure. Over $75 million is available for projects where emission reductions benefit the Air District communities most impacted by air pollution, including the AB 617-identified communities of West Oakland, East Oakland, Richmond-San Pablo, and Bayview Hunters Point/Southeast San Francisco, and other disadvantaged and low-income areas in the Bay Area. Up to $10 million is available for upgrading agricultural equipment operated within the Air District’s jurisdiction and up to $8 million is available for locomotive projects sponsored by public agencies that are operated within the Air District’s jurisdiction.
  
  Applications are being accepted on a first-come, first-served basis until 5 PM PST on February 6, 2025. Once the application period closes, there will not be an opportunity to provide one-on-one support for incomplete applications. Apply early and contact the Air District as soon as possible with any questions you might have. More information about eligible project categories, program requirements, and how to apply is available at https://www.baaqmd.gov/funding-and-incentives/apply-for-funding.

• Climate Tech Finance Loan Guarantee Program is available to support the development and purchase of climate technologies for small businesses in California. Climate entrepreneurs can apply for loan guarantees up to 80 percent of the loan principal or $5 million, whichever is less, to accelerate the growth and impact of their businesses. This program is open and accepting applications now. https://ctf.baaqmd.gov/

• OPENING SOON - Charge! Program for electric vehicle (EV) charging projects will be opening and accepting new applications in Quarter 1, 2025. Charge! is a grant program that helps offset the cost of purchasing and installing new publicly available chargers at qualifying facilities and private chargers to serve multi-family housing and case-by-case workplace locations within the Air District’s jurisdiction. The solicitation will be competitive, which means that all complete applications will be scored and ranked. A total of at least $18 million in funding is expected to be available to qualified applicants.  www.baaqmd.gov/charge

• Coming later this year! The Air District is working to develop several programs that will launch later this year targeting: 
  • owners of diesel-powered transport refrigeration units, which are highly polluting in communities near warehouses and the ports, to replace those with zero-emission units
  • small fleet owners of diesel trucks to help them replace older trucks with zero-emission trucks
  • owners of commercial landscaping equipment to help them replace combustion-powered lawn and garden equipment with electric units

  To learn more about our programs and to sign up to receive updates, visit our website: Apply for Funding

Grant programs available to Bay Area residents:

• Passenger Car and Light-Duty Truck Retirement – On July 1, 2024, the incentive amount that is paid by the Vehicle Buy Back Program to participating Bay Area residents increased to $1,500 per vehicle. The program accepts operable, registered, model year 1998 and older passenger cars or light-duty trucks for scrapping, removing the highest-polluting passenger vehicles from the road. www.baaqmd.gov/vbb

• Clean Cars for All Program, Passenger Car and Light-Duty Vehicle Replacement – The Clean Cars for All Program provides grants to income-qualified Bay Area residents to retire older (model year 2007 or older), high-polluting vehicles and replace them with a new or used plug-in hybrid, fuel-cell, or electric vehicle. The program is open to all Bay Area zip codes and provides grant amounts up to $12,000, which includes an additional $2,000 for participants who live in disadvantaged community census tracts that purchase a plug-in electric or fuel cell electric vehicle. Residents that don’t want to purchase a replacement vehicle can receive $7,500 towards alternative mobility options (e.g. public transit or electric bicycles).
  www.baaqmd.gov/cleancarsforall

• Clean Heating Efficiently with Electric Technology (Clean HEET) – The program reduces wintertime wood smoke pollution and improves air quality by helping to lower the costs for Bay Area homeowners to replace their existing, operational, freestanding wood stoves or wood-burning fireplace inserts with electric heat pumps. Approximately $2 million in grant funding is available and individual grant awards range from $3,000 - $6,500 for one stove/insert and $6,000 – $9,500 for two stoves/inserts. Residents who participate in qualifying low-income assistance programs are also eligible for higher incentive funding levels ranging from $7,000 for one stove to $13,500 for two stove changeouts. The program is currently accepting applications on a first-come, first-served basis and all Bay Area homeowners are eligible to apply. Projects located in areas most impacted by air pollution will be prioritized first due to limited funding. Homeowners in West Oakland, East Oakland, Richmond-San Pablo, and Bayview Hunters Point/Southeast San Francisco are especially encouraged to apply. More information about eligible project categories and program requirements is available at https://www.baaqmd.gov/woodsmokegrant.

Other state-wide grant programs funded by Volkswagen NOx Mitigation Trust:

• VW Combustion Freight and Marine Projects – This program offers grant funding to equipment owners to accelerate the replacement of older, higher polluting diesel engines with the cleanest available technologies. Equipment eligible for replacement includes Class 7 and 8 freight trucks (including waste haulers, dump trucks, and concrete mixers) or their engines (2012 model year and older) that are compliant with current regulations; freight switcher locomotives or their engines; and ferry, tugboat, and towboat engines (pre-Tier 3). This solicitation is open and accepting applications on a first-come, first-served basis until all funds are fully allocated. This program is administered by the South Coast Air Quality Management District.
  https://xappprod.aqmd.gov/vw/combustion.html

• VW Zero-Emission Class 8 Freight and Port Drayage Trucks - This program offers grant funding to equipment owners to support the expansion of zero-emission truck availability in the heaviest weight class. Vehicles eligible for replacement include Class 8 freight trucks (including drayage trucks, waste haulers, dump trucks, and concrete mixers) or their engines (2012 model year and older). This solicitation is open and accepting applications on a first-come, first-served basis until all funds are fully allocated. This program is administered by the South Coast Air Quality Management District.
  https://xappprod.aqmd.gov/vw/zero-emission.html  

• VW Zero-Emission Transit and Shuttle Buses – This program offers grant funding to owners of bus fleets that operate in California to support early adoption of zero-emission bus technologies to reduce harmful exposure for the state’s most sensitive populations. This solicitation is open and accepting applications for transit and shuttle buses on a first-come, first-served basis until all funds are fully allocated. This program is administered by the San Joaquin Valley Air Pollution Control District.
  http://vwbusmoney.valleyair.org/

• VW Zero-Emission Freight and Marine – This program offers funding for projects in California that repower ferries, tugboats, and towboats, or replace heavy-lift forklifts or cargo handling equipment with zero-emission alternatives. This solicitation is accepting applications on a first-come, first-served basis until all funds are fully allocated. This program is administered by the Bay Area Air Quality Management District. Sign up to receive program email alerts at https://www.surveymonkey.com/r/CaliforniaVW. 

This spring, the Air District and Spare the Air will be participating in the following outreach events.

March

Holi (Festival of Colors) – Fremont (Pending confirmation)
March 15

April

City of Santa Clara Earth Arbor Day – Santa Clara
April 10 

Earth Day Napa – Napa (Pending confirmation)
April 12

Berkeley Bay Festival – Berkeley
April 26

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