Proposed Amended Rule (PAR) 1111 – Reduction of NOx Emissions from Natural Gas-Fired Furnaces, (continued)

South Coast Air Quality Management District, in coordination with the Ports of Long Beach and Los Angeles, has established a Cooperative Agreement aimed at reducing nitrogen oxide emissions by advancing zero-emission charging and fueling infrastructure at marine port facilities, in alignment with the 2016 and 2022 Air Quality Management Plans and their associated Final Program Environmental Impact Reports. The agreement mandates the development and implementation of detailed infrastructure plans to meet federal air quality standards, with performance measured against adopted control measures MOB-01 and MOB-15. Annual reporting is required to track progress, and enforcement mechanisms are in place to ensure accountability, including provisions for flexibility when external factors beyond the Ports’ control impact timelines. To promote compliance, the agreement includes a cost recovery mechanism allowing South Coast AQMD to recoup reasonable staff expenses related to oversight and implementation, which is statutorily exempt from CEQA review. If the Ports fail to complete required actions within their control, a Clean Air Mitigation Fund is triggered to compensate for unmet emission reduction goals, though this fund itself is not considered a CEQA project. The agreement does not involve competitive solicitation, formal contract clauses, specified pricing, or procurement-type evaluation criteria, and operates instead as a compliance-driven regulatory instrument under state environmental law. The Ports are the primary implementers, with South Coast AQMD serving as lead oversight entity, and all activities are centered at the port facilities in Los Angeles County under the district’s jurisdiction. No payment structures, invoicing protocols, accounting codes, or contractor certifications are detailed beyond the core environmental and operational obligations.