Cal. Code Regs. tit. 13, § 2449.1 – Performance Requirements.

(a) Fleet Average Requirements
1. (1) Fleet Average Targets for Large and Medium Fleets -- Table 3 shows the targets used to calculate the fleet average target rate for each compliance date for large and medium fleets.
  Table 3 -- Large and Medium Fleet Targets for Each Max Hp Group For Use in Calculating Fleet Average Target Rates [g/bhp-hr]
  Compliance Date: January 1 of Year
  25-49 hp
  50-74 hp
  75-99 hp
  100-174 hp
  175-299 hp
  300-599 hp
  600-750 hp
  >750 hp
  2014 (Large Fleets Only)
  5.8
  6.5
  7.1
  6.4
  6.2
  5.9
  6.1
  7.2
  2015 (Large Fleets Only)
  5.6
  6.2
  6.7
  6
  5.8
  5.5
  5.6
  6.8
  2016 (Large Fleets Only)
  5.3
  5.8
  6.2
  5.5
  5.3
  5.1
  5.2
  6.5
  2017
  5.0
  5.4
  5.5
  4.9
  4.7
  4.5
  4.6
  6.0
  2018
  4.7
  5.0
  4.8
  4.3
  4.1
  4.0
  4.0
  5.5
  2019
  4.4
  4.6
  4.1
  3.7
  3.5
  3.4
  3.4
  5.0
  2020
  4.1
  4.2
  3.4
  3.1
  2.9
  2.8
  2.9
  4.5
  2021
  3.8
  3.8
  2.7
  2.5
  2.3
  2.2
  2.3
  4.0
  2022
  3.5
  3.4
  2.0
  1.9
  1.7
  1.7
  1.7
  3.5
  2023
  3.3
  3.0
  1.4
  1.3
  1.5
  1.5
  1.5
  3.4
2. (2) Fleet Average Targets for Small Fleets -- Table 4 shows the targets used to calculate the fleet average target rate for each compliance date for small fleets.
  Table 4 -- Small Fleet Targets for Each Max Hp Group For Use in Calculating Fleet Average Target Rates [g/bhp-hr]
  Compliance Date: January 1 of Year
  25-49 hp
  50-74 hp
  75-99 hp
  100-174 hp
  175-299 hp
  300-599 hp
  600-750 hp
  >750 hp
  2019
  5.8
  6.5
  7.1
  6.4
  6.2
  5.9
  6.1
  7.2
  2020
  5.6
  6.2
  6.7
  6.0
  5.8
  5.5
  5.6
  6.8
  2021
  5.3
  5.8
  6.2
  5.5
  5.3
  5.1
  5.2
  6.5
  2022
  5.0
  5.4
  5.5
  4.9
  4.7
  4.5
  4.6
  6.0
  2023
  4.7
  5.0
  4.8
  4.3
  4.1
  4.0
  4.0
  5.5
  2024
  4.4
  4.6
  4.1
  3.7
  3.5
  3.4
  3.4
  5.0
  2025
  4.1
  4.2
  3.4
  3.1
  2.9
  2.8
  2.9
  4.5
  2026
  3.8
  3.8
  2.7
  2.5
  2.3
  2.2
  2.3
  4.0
  2027
  3.5
  3.4
  2.0
  1.9
  1.7
  1.7
  1.7
  3.5
  2028
  3.3
  3.0
  1.4
  1.3
  1.5
  1.5
  1.5
  3.5
For each compliance date, a fleet must demonstrate that its fleet average index was less than or equal to the calculated fleet average target rate.
The equation for calculating fleet average target rate is below:
Fleet average target rate = [SUM of (max hp for each engine in fleet multiplied by the target for each engine in fleet) for all engines in fleet] divided by [SUM of (max hp) for all engines in fleet] where the target in g/bhp-hr is shown in Tables 3 and 4 below. To find the target for each engine, read the value for the appropriate row based on the compliance year and the appropriate column based on the engine's max hp from Table 3 for medium and large fleets, and Table 4 for small fleets.
The equation for calculating fleet average index is below:
Fleet average index = [SUM of (max hp for each engine in fleet multiplied by emission factor multiplied by the VDECS Factor for each engine in fleet) for all engines in fleet] divided by [SUM of (max hp) for all engines in fleet] where emission factor in g/bhp-hr is shown in Appendix A, and the VDECS factor is shown in Table 2 below.
Table 2 -- VDECS Factor
VDECS
VDECS Factor
No VDECS Installed or Level 1 VDECS
1
Level 2 PM VDECS, not highest level
0.82
Level 2 PM VDECS, not highest level, with NOx Reduction
1 Minus (0.18 + (Verified Percent NOx Reduction Divided by 170))
Highest Level PM VDECS
0.7
Highest Level PM VDECS with NOx Reduction
1 Minus (0.3 + (Verified Percent NOx Reduction Divided by 170))
NOx Reduction only
1 Minus (Verified Percent NOx Reduction Divided by 170)
(b) BACT Requirements
1. (1) BACT Rate -- If a fleet does not meet the fleet average target rate in section 2449.1(a), it must demonstrate that during the calendar year prior to the compliance date, it has earned the amount of BACT credit (in hp) necessary to meet or exceed the minimum BACT requirements specified for that compliance date. The minimum BACT requirements (in hp) for each compliance date equal:
  1. (A) Large fleets --
    1: 2014: 4.8 percent
    2: 2015 to 2017: 8 percent
    3: 2018 to 2023: 10 percent
  2. (B) Medium fleets --
    1: 2017: 8 percent
    2: 2018 to 2023: 10 percent
  3. (C) Small fleets --
    1: 2019 to 2028: 10 percent
  (The BACT rate (percent shown below in (A) through (C) for the compliance date), multiplied by the total max hp of the fleet as reported on the previous reporting date)
  For example, if a large fleet does not meet the January 1, 2014, fleet average target rate, the fleet must demonstrate that it had accumulated enough BACT credit between January 1, 2013 and December 31, 2013, to satisfy the BACT requirements for January 1, 2014. The BACT requirements for January 1, 2014, for a large fleet equals the BACT rate for that compliance date (4.8 percent for 2014, as shown below in subsection (A)) multiplied by the fleet's max hp as reported by the previous reporting date, March 1, 2013.
  Any carryover BACT credit previously accrued may be applied towards the BACT requirements in a later year as specified in the sections below. The required BACT rate for each compliance date is described below in (A) through (C).
2. (2) Exemptions from BACT for Medium and Large Fleets -- For medium and large fleets, a vehicle is exempt from the BACT requirements of section 2449.1(b)(1) if it qualifies for one or more of the exemptions set forth in section 2449(e) or meets one of the conditions listed in section (A) through (E) below. A fleet that does not meet the fleet average target in section 2449.1(a)(1) must meet the BACT requirements with the vehicles that do not qualify for an exemption under either section 2449(e) or this section, provided that nothing shall require a fleet to apply a VDECS to any vehicle. Where all of the vehicles in a fleet qualify for an exemption under either this section or section 2449(e), the fleet is exempt from the BACT and fleet average requirements in that year. The exemptions set forth in this section do not lower the total max hp on which the BACT requirements are calculated.
  1. (A) On the compliance date, the vehicle is less than 10 years old from the date of manufacture.
  2. (B) The vehicle meets all of the following specialty vehicle criteria:
    1. 1. The fleet has turned over all other vehicles first,
    2. 2. No repower is available for the specialty vehicle, as demonstrated to the Executive Officer,
    3. 3. A used vehicle with a cleaner engine is not available to serve a function and perform the work equivalent to that of the specialty vehicle, as demonstrated to the Executive Officer, and
    4. 4. The specialty vehicle has the highest level PM VDECS installed.
  3. (C) The vehicle had a Level 2 or 3 PM VDECS installed within the last six years and such VDECS was highest level PM VDECS at the time of the installation.
  4. (D) The vehicle's engine is equipped with an original equipment manufacturer diesel particulate filter that came new with the vehicle, or the vehicle has a Tier 4 interim or Tier 4 final engine.
  5. (E) The vehicle has the highest level PM VDECS installed prior to January 1, 2013, except that this exemption may be applied to no more than 15 percent of a fleet's total hp as of December 31, 2012.
    1. 1. If before January 1, 2013, the fleet has installed the highest level PM VDECS on more than 15 percent of the fleet's December 31, 2012, total hp, the fleet may apply this exemption to any vehicles with the highest level PM VDECS installed, as long as the total hp of those vehicles does not exceed the 15 percent exemption threshold established in section (E) above.
    2. 2. The highest level PM VDECS must remain on the vehicle in order to maintain this exemption. If a VDECS fails, the fleet must replace the VDECS in accordance with section 2449(e)(1) to maintain this exemption for the vehicle.
3. (3) Exemptions from BACT for Small Fleets -- For small fleets, a vehicle is exempt from the BACT requirements of section 2449.1(b)(1) if it qualifies for one or more of the exemptions set forth in section 2449(e) or meets one of the conditions listed in section (A) through (D) below. A fleet that does not meet the fleet average target in section 2449.1(a)(2) must meet the BACT requirements with the vehicles that do not qualify for an exemption under either section 2449(e) or this section, provided that nothing shall require a fleet to apply a VDECS to any vehicle. Where all of the vehicles in a fleet qualify for an exemption under either this section or section 2449(e), the fleet is exempt from the BACT and fleet average requirements in that year. The exemptions set forth in this section do not lower the total max hp on which the BACT requirements are calculated.
  1. (A) On the compliance date, the vehicle is less than ten years old from the date of manufacture.
  2. (B) The vehicle meets all of the specialty vehicle criteria described above in section 2449.1(b)(2)(B).
  3. (C) The vehicle's engine is equipped with an original equipment manufacturer diesel particulate filter that came new with the vehicle, or the vehicle has a Tier 4 interim or Tier 4 final engine.
  4. (D) The vehicle's engine has already been retrofitted with a Level 2 or 3 VDECS that was the highest level PM VDECS available at the time of installation. An engine with a Level 2 VDECS that was not the highest level VDECS at the time of installation does not qualify for this exemption.
4. (4) Order of BACT Requirements -- All Tier 0 and Tier 1 engines in a fleet, except those in vehicles that qualify for an exemption from the BACT requirements, must be turned over before the turnover of any other higher tier engines may be counted toward the BACT requirements in section 2449.1(b)(1) or toward accumulating carryover BACT credit. A fleet may, however, receive carryover BACT credit per section 2449.1(b)(10) and 2449.1(b)(15) for a VDECS installed on an engine, regardless of the engine's tier.
5. (5) Rounding -- If the hp to meet BACT requirements under section 2449.1(b)(1) is less than half of the max hp of the lowest hp engine in the fleet that is subject to the BACT requirements, the next engine is not required to be turned over or have a VDECS applied to it. However, on the next year's compliance date, any hp not accounted for due to this rounding provision must be added to the BACT requirements under section 2449.1(b)(1). Once the required hp equals or exceeds half of the max hp of the next engine in the fleet that is subject to the BACT requirements, the next engine must be turned over or have a VDECS applied to it.
6. (6) Delay Tier 2 Turnover -- All vehicles with a Tier 2 or higher engine are exempt from the BACT requirements through January 1, 2015 (i.e., the first turnover of or VDECS installations on Tier 2 or higher engines would be required between January 1, 2015 and December 31, 2015), provided that all Tier 0 and Tier 1 vehicles in the fleet owner's fleet that do not qualify for an exemption under section 2449.1(b)(2) have been turned over.
7. (7) Delayed Requirements for Early Compliance -- Large fleets are exempt from the January 1, 2014 performance requirements if the sum of the fleet's BACT credits on March 1, 2010 exceeded eight percent of the fleet's March 1, 2009 hp. To determine eligibility, CARB will take the sum of: “Credit for Early Repowers and Rebuilds to More Stringent Emissions Standards” gained under 2449.1(b)(13) plus “Credit for Early Replacement” gained under 2449.1(b)(14) plus “Double Credit for Early VDECS Installations” gained under 2449.1(b)(15) plus “Credit for Early Reduced Fleet HP” gained under 2449.1(b)(16) plus BACT credit gained for turnover from March 1, 2009, through February 28, 2010, that was not accounted for under sections 2449.1(b)(16). If the sum of these credits exceeds (Total max hp of the fleet on March 1, 2009, multiplied by 0.08), then the fleet will not be required to meet either the January 1, 2014, fleet average or the January 1, 2014, BACT requirements. This provision shall not have the effect of reducing any credit that any fleet would otherwise have the right to receive in 2014 or in any subsequent year, even if such credit provided all or part of the basis for a finding that such fleet had BACT credits on March 1, 2010, in excess of eight percent of such fleet's hp on March 1, 2009.
8. (8) Accumulating Carryover BACT Credit -- Beginning on January 1, 2013 for large fleets, on January 1, 2016 for medium fleets, and on January 1, 2018 for small fleets, a fleet will accumulate carryover BACT credit each year it exceeds the BACT requirements specified in section 2449.1(b)(1). The amount of carryover BACT credit (in hp) accumulated is equal to:
  (The amount of BACT credit earned in the calendar year prior to January 1 of the year for which the carryover BACT credit is being calculated) minus (the amount of BACT credit needed to fulfill the BACT requirements on January 1 of the year for which the carryover BACT credit is being calculated).
9. (9) Using Carryover BACT Credit -- Except as provided in section 2449.1(b)(16), accumulated carryover BACT credit may be applied to meeting the BACT requirements of section 2449.1(b)(1) in a later year. The amount of carryover BACT credit used to meet the BACT requirements in any one year is subtracted from the accumulated carryover BACT credit total, with the remainder being available for use in subsequent years. The amount of BACT credit earned in a calendar year plus the amount of carryover BACT credit used must equal or exceed the minimum BACT requirements described in section 2449.1(b)(1).
10. (10) BACT Credit Earned for Turnover, PM VDECS, and NOx VDECS --
  1. (A) For turnover, as specified in section 2449(c)(65), BACT credit (in hp) equals:
    (Max hp of the vehicle that was turned over).
  2. (B) For a highest level PM VDECS, BACT credit (in hp) equals:
    (Max hp of the vehicle to which the highest level PM VDECS was applied). PM VDECS that are not the highest level PM VDECS receive no BACT credit.
  3. (C) For a VDECS verified to reduce NOx but that is not highest level PM VDECS, BACT credit (in hp) equals:
    (Verified Percent NOx Reduction divided by 60 percent) multiplied by (Max hp of the vehicle to which the NOx VDECS was applied).
  4. (D) For a VDECS verified to reduce NOx and that is also the highest level PM VDECS, or for a VDECS verified to reduce NOx installed on an engine that also has a highest level PM VDECS that is verified separately, BACT credit (in hp) equals:
    (Verified Percent NOx Reduction divided by 120 percent) multiplied by (Max hp of the vehicle to which the NOx VDECS was applied).
    This credit is applied in addition to credit for installing the highest level PM VDECS per section 2449.1(b)(10)(B) above.
  Beginning on January 1, 2013 for large fleets, on January 1, 2016 for medium fleets, and on January 1, 2018 for small fleets, BACT credit is earned as follows:
11. (11) Excess PM VDECS Credits Used for Compliance with Off-Road and Truck and Bus Regulations -- For the same fleet owner, excess PM VDECS credits granted in the regulation for In-Use Off-Road Diesel-Fueled Fleets (Off-Road regulation) may be used in the Truck and Bus regulation (title 13, CCR section 2025) and excess PM VDECS credits granted in the Truck and Bus regulation may be used in the Off-Road regulation before January 1, 2017. Starting January 1, 2017, no credits may be transferred between the regulations.
  1. (A) Off-Road generated credits used to comply with the Truck and Bus regulation -- Except for low-use vehicles (as defined in sections 2449(c)(43) and (73)) and vehicles that are exempt under section 2449(e), vehicles subject to the Off-Road regulation that have Level 3 PM VDECS installed on one or more engines may generate excess PM VDECS credits to comply with the Truck and Bus regulation (title 13, CCR, section 2025), as follows:
    1. 1. Excess compliance credits under the Off-Road regulation -- Beginning January 1, 2013, for large fleets, and on January 1, 2016, for medium fleets, if a fleet earns BACT credit in a calendar year that exceeds the BACT requirements for that year, the excess BACT credit earned (i.e., the amount of BACT credit earned above the BACT requirements for that year, in hp) from the installation of Level 3 PM VDECS may be applied towards compliance with the Truck and Bus regulation per section 2025 as follows:
      (Excess PM VDECS credits to apply towards the Truck and Bus regulation = [(Total max hp of excess engines with the Level 3 PM VDECS installed) divided by 300] truncated to a whole number).
      If, in an applicable compliance year, no BACT credit is earned through the installation of Level 3 PM VDECS (for example, if no vehicles are retrofitted with Level 3 devices that calendar year), no excess PM VDECS credit will be earned.
      The Excess PM VDECS credit earned above may be applied towards the Truck and Bus regulation each year until the vehicle that generated the excess PM VDECS credit is 1) needed for compliance with sections 2449.1(a) or (b), or 2) is retired, sold, scrapped, or otherwise removed from the California fleet.
      If the equation above, before truncation, does not result in a whole number, any remaining hp with Level 3 PM VDECS not used to generate excess PM VDECS credit (i.e., the truncated amount) may be used as carryover BACT credit towards compliance with the Off-Road regulation, or may be accumulated to generate excess PM VDECS credits in future years.
    2. 2. Early PM VDECS installations -- If any small, medium, or large fleet installs Level 3 PM VDECS by the deadlines shown in section 2449.1(b)(15), the fleet has the option to either (1) accumulate double carryover credit to be used towards the BACT requirements of the Off-Road regulation (per section 2449.1(b)(1)), or (2) to apply single PM VDECS credit towards compliance with the Truck and Bus regulation.
    3. 3. Compliance with the Off-Road regulation -- Fleet owners that use excess PM VDECS credits towards compliance with the Truck and Bus regulation (as specified in section (11)(A)1. and 2. above) shall not count their Level 3 PM VDECS in the fleet average index calculations in section 2449.1(a) (i.e., the VDECS Factor is 1 for these vehicles or engines with the excess Level 3 PM VDECS), and no BACT credit can be accrued that can be used towards compliance with the Off-Road regulation for those VDECS. Once the excess PM VDECS credit can no longer be applied to the Truck and Bus regulation, the Level 3 PM VDECS that were used to generate the expired excess PM VDECS credit can be returned to the fleet average index calculations in section 2449.1(a).
  2. (B) Excess Truck and Bus regulation credits used to comply with the Off-Road regulation -- For each vehicle that generates an excess PM VDECS credit per Truck and Bus regulation, a one-time PM VDECS credit may be applied towards compliance with the Off-Road regulation, as follows: (Excess PM VDECS credit that can be applied towards the Off-Road regulation (i.e., BACT credit, in hp, to apply towards the Off-Road regulation) = (Excess PM VDECS credits from the Truck and Bus regulation) multiplied by 300).
    For each additional vehicle that generates a new excess PM VDECS credit, another one-time excess PM VDECS credit can be applied towards the Off-Road regulation. Once it is determined, under the Truck and Bus regulation, that a vehicle can no longer generate excess PM VDECS credits, the BACT credit earned through this provision, if not previously used, will expire and can no longer be used by the fleet towards compliance with the Off-Road regulation.
12. (12) Beginning BACT Credit --
  All fleets may earn and accumulate BACT credits for taking early actions in accordance with subparagraphs (13) through (18) below, but with the exception of such credits for taking early action, all fleets begin with zero carryover BACT credit on January 1, 2013. To claim credit, fleets must submit to CARB and retain records as described in sections 2449(g) and (h).
13. (13) Credit for Early Repowers and Rebuilds to More Stringent Emissions Standards -- Credit for early repowers can only be claimed for engines that remain in the fleet on the compliance date that the credit is taken. Fleets that have repowered their vehicles with Tier 1 or higher engines or rebuilt the engine from a lower Tier to a Tier 1 or more stringent emissions standard before March 1, 2009, will accumulate a carryover BACT credit (in hp) equal to: (the max hp of the vehicles repowered and the engines rebuilt in accordance with the preceding).
  1. (A) Large fleets: January 1, 2013
  2. (B) Medium fleets: January 1, 2016
  3. (C) Small fleets: January 1, 2018
  Fleets that repower their Tier 0 or Tier 1 vehicles with Tier 2 or higher engines, or rebuild the engines in their Tier 0 or Tier 1 vehicles to a Tier 2 or more stringent emissions standard, prior to the following deadlines, will accumulate a carryover BACT credit (in hp) equal to the max hp of the vehicles repowered and the engines rebuilt in accordance with the preceding:
14. (14) Credit for Early Replacement -- Fleets that have replaced their Tier 0 vehicles with Tier 1 or higher vehicles at an average rate greater than eight percent of total max hp per year between March 1, 2006 and March 1, 2009 will accumulate carryover BACT credit (in hp) equal to: [(Total max hp of Tier 0 vehicles retired between March 1, 2006 and March 1, 2009) minus (Total max hp of Tier 0 vehicles added between March 1, 2006 and March 1, 2009) minus (2 times the total “Credit for Early Reduced Hp” claimed under section 2449.1(b)(16) below)] minus [(Total max hp of fleet on March 1, 2007 multiplied by 0.08) plus (Total max hp of fleet on March 1, 2008 multiplied by 0.08) plus (Total max hp of fleet on March 1, 2009 multiplied by 0.08)]. Tier 0 vehicles repowered with newer engines are counted under 2449.1(b)(13) above and shall not be counted under this section.
15. (15) Double Credit for Early VDECS Installations -- If fleets install a highest level PM VDECS or a VDECS verified to reduce NOx, prior to January 1, 2013 for large fleets, January 1, 2016 for medium fleets, and January 1, 2018 for small fleets, fleets will accumulate carryover BACT credit as follows:
  1. (A) For a highest level PM VDECS, BACT credit (in hp) equals:
    2 multiplied by the (Max hp of the vehicle to which the highest level PM VDECS was applied).
    PM VDECS that are not the highest level PM VDECS receive no BACT credit.
  2. (B) For a VDECS verified to reduce NOx but that is not highest level PM VDECS, BACT credit (in hp) equals:
    2 multiplied by (Verified Percent NOx Reduction divided by 60 percent) multiplied by the (Max hp of the vehicle to which the NOx VDECS was applied).
  3. (C) For a VDECS verified to reduce NOx and that is also the highest level PM VDECS, or for a VDECS verified to reduce NOx installed on an engine that also has a highest level PM VDECS that is verified separately, BACT credit (in hp) equals:
    2 multiplied by the (Verified Percent NOx Reduction divided by 120 percent) multiplied by (Max hp of the vehicle to which the NOx VDECS was applied).
    This credit is applied in addition to credit for installing the highest level PM VDECS per section 2449.1(b)(15)(A) above.
16. (16) Credit for Early Reduced Fleet Hp -- Fleets that reduce overall hp from March 1, 2006, to March 1, 2010, accumulate carryover BACT credit (in hp) equal to 0.5 multiplied by the following: [(Total max hp of the fleet on March 1, 2006, including low-use vehicles) minus (Total max hp of the fleet on March 1, 2010, including low-use vehicles)].
  In accordance with section 2449.1(b)(9), large fleets may use any such credit to meet the BACT requirements in section 2449.1(b)(1) beginning with the January 1, 2015 BACT requirements, or in any subsequent year. Notwithstanding section 2449.1(b)(9), large fleets may not use credit from this provision to meet the BACT requirements in section 2449.1(b)(1) for the initial compliance year for large fleets, which is the January 1, 2014, compliance deadline. For example, if a fleet accumulated BACT credit by reducing hp from March 1, 2006, to March 1, 2010, and also accumulated BACT credit from repowers during the same period, the fleet could apply the repower credit toward their January 1, 2014, BACT requirements, but could not apply the credit from reduced hp under this provision to their January 1, 2014, BACT requirements. The fleet could apply the credit from reduced hp under this provision to their January 1, 2015, BACT requirements, as well as any future year until such credits are expended.
17. (17) Credit for 2010 to 2011 Reduced Fleet Hp -- Fleets that reduce their overall hp from March 1, 2010, through February 28, 2011, will accumulate carryover BACT credit (in hp) equal to:
  (Total max hp of the fleet on March 1, 2010, including low-use vehicles) minus (Total max hp of the fleet on February 28, 2011, including low-use vehicles).
18. (18) Credit for Interim Replacement and Retirement -- Fleets that replace or retire over eight percent of the fleet's total max hp in Tier 0 and Tier 1 vehicles in any one year during the specified periods below will accumulate carryover BACT credit (in hp) equal to:
  1. (A) Large fleets: March 1, 2011 through December 31, 2012
  2. (B) Medium fleets: March 1, 2011 through December 31, 2015
  3. (C) Small fleets: March 1, 2011 through December 31, 2017
  (Combined total of max hp of Tier 0 and Tier 1 vehicles retired over the year) minus (Combined total of max hp of Tier 0 or Tier 1 vehicles added over the year) minus [(Total max hp of fleet at the end of the year) multiplied by 0.08].
  In each year, the replacement or retirement of vehicles will be summed from January 1 through December 31 of that year, excepting 2011, during which the replacement or retirement will be summed from March 1 through December 31. Fleets shall exclude vehicles repowered or rebuilt to a more stringent emissions standard in each year (that earned BACT credit per section 2449.1(b)(13)), from all such calculations. For the purposes of this provision, Tier 0 and Tier 1 vehicles that are replaced must be replaced with Tier 2 or higher vehicles in order to accumulate BACT credit.
Each year, a fleet must determine if it will be able to meet the fleet average requirements in section 2449.1(a) for the next January 1 compliance date, and if not, it must meet the BACT requirements in section 2449.1(b)(1) below prior to the January 1 compliance date.
A fleet may meet the BACT requirements by performing turnover or installing VDECS as described in section 2449.1(b)(10) below. Vehicles exempt from the performance requirements under section 2449(e) cannot be used to generate BACT credits.
(c) Tier Phase-Out Requirements
1. (1) Tier Phase-Out for Large Fleets
  1. (A) Beginning January 1, 2024, a large fleet shall not operate any vehicle with a Tier 0 engine or a model year 1994 or earlier on-road engine in California.
  2. (B) Beginning January 1, 2026, a large fleet shall not operate any vehicle with a Tier 1 engine or a model year 1999 or earlier on-road engine in California.
  3. (C) Beginning January 1, 2028, a large fleet shall not operate any vehicle with a Tier 2 engine or a model year 2003 or earlier on-road engine in California.
2. (2) Tier Phase-Out for Medium Fleets
  1. (A) Beginning January 1, 2026, a medium fleet shall not operate any vehicle with a Tier 0 engine or a model year 1994 or earlier on-road engine in California.
  2. (B) Beginning January 1, 2028, a medium fleet shall not operate any vehicle with a Tier 1 engine or a model year 1999 or earlier on-road engine in California.
  3. (C) Beginning on January 1, 2030, a medium fleet shall not operate a vehicle with a Tier 2 engine or a model year 2003 or earlier on-road engine in California.
3. (3) Tier Phase-Out for Small Fleets
  1. (A) Beginning on January 1, 2028, a small fleet shall not operate a vehicle with a Tier 0 engine or a model year 1994 or earlier on-road engine in California.
  2. (B) Beginning on January 1, 2030, a small fleet shall not operate a vehicle with a Tier 1 engine or a model year 1999 or earlier on-road engine in California.
  3. (C) Beginning January 1, 2032, a small fleet shall not operate any vehicle with a Tier 2 engine or a model year 2003 or earlier on-road engine in California.
4. (4) Tier Phase-Out for Permanent Low-Use Vehicles and Job Corps Vehicles
  Beginning on January 1, 2036, a fleet shall not operate a vehicle designated as permanent low-use or as a Job Corps vehicle with a Tier 0 engine or a model year 1994 or earlier on-road engine in California.
5. (5) Optional Tier 2-Phase Out for Fleets with 500 HP or Less
  Fleets that choose to comply with the requirements of 2449(e)(16) are not subject to the small fleet Tier 2 engine phase-out requirements in section 2449.1(c)(3)(C) above. Instead, beginning January 1, 2036, these fleets shall not operate a vehicle with a Tier 2 engine or a model year 2003 or earlier on-road engine in California.
All fleets must comply with the Tier phase-out requirements described in sections 2449.1(c)(1) through (3) below.
Any special provision vehicle, as described in section 2449(e), with an engine that is subject to these Tier phase-outs must be designated as a special provision vehicle by December 31 of the year prior to the Tier phase-out's effective date for that vehicle and fleet.
(d) Delay of Tier Phase-Outs for Addition of Zero-Emission Vehicles
1. (1) Requirements for zero-emission vehicle:
  1. (A) The zero-emission vehicle added to the fleet must be operated by the fleet, perform a function and work equivalent to that of a diesel vehicle, and be used for a purpose for which diesel vehicles are predominantly used in the fleet;
  2. (B) The zero-emission vehicle added to the fleet is used predominately outdoors;
  3. (C) The zero-emission vehicle added to the fleet has a maximum power rating of 25 hp or greater;
  4. (D) The zero-emission vehicle added to the fleet is purchased and placed in service prior to the year in which the Tier phase-out for the vehicle with a Tier 1 or Tier 2 engine takes effect, and remains in the fleet for the two years that the Tier 1 or Tier 2 engine is receiving the delay of the Tier phase-out;
  5. (E) The zero-emission vehicle is labeled in accordance with section 2449(f); and
  6. (F) The zero-emission vehicle is of similar max power rating to the vehicle with a Tier 1 or Tier 2 engine to which the delay in Tier phase-out will apply, and is within the following categories: 25-174 hp, 175-599 hp, 600 hp and above.
2. (2) For each zero-emission vehicle, fleets must report the following information to CARB by December 31 of the year prior to the year in which the Tier phase-out for the fleet's vehicle with a Tier 1 or Tier 2 engine will take effect:
  1. (A) Vehicle type;
  2. (B) Vehicle manufacturer;
  3. (C) Vehicle model;
  4. (D) Vehicle model year;
  5. (E) Vehicle serial number;
  6. (F) Motor manufacturer;
  7. (G) Motor model;
  8. (H) Motor model year;
  9. (I) Motor serial number;
  10. (J) Max power rating;
  11. (K) Purchase date; and
  12. (L) Vehicle in-service date.
3. (3) Fleets must annually verify that the information in section 2449.1(d)(2) above remains accurate and report any changes to the operation of the zero-emission vehicle, including the date the vehicle leaves the fleet, if applicable, in accordance with the annual reporting requirements in section 2449(g)(2).
4. (4) By December 31 of the year prior to the year in which the Tier phase-out for the fleet's vehicle with a Tier 1 or Tier 2 engine will take effect, the fleet must report to CARB the fleet's vehicle with a Tier 1 or Tier 2 engine to which the two-year delay to the Tier phase-out will apply. The vehicle with a Tier 1 or Tier 2 engine must have been reported to CARB as being in the fleet prior to January 1, 2023, to be eligible for the delay of the Tier phase-out.
For each zero-emission vehicle a fleet adds to its fleet on or after January 1, 2024, the fleet may delay the Tier phase-out in section 2449.1(c) for one existing vehicle with a Tier 1 or Tier 2 engine in its fleet for two years, if all of the following conditions are met during those two years:
(e) Alternate Compliance Pathway through Zero-Emission Technology
1. (1) Requirements for Participation
  1. (A) Be in compliance with sections 2449 and 2449.1(a), (b), (c), and (f) of this regulation at the time of requesting the use of this alternate compliance pathway; and
  2. (B) Continue to maintain compliance with section 2449 and section 2449.1(f) of this regulation; and
  3. (C) Commit to completing the Zero-Emission Technology Application (ZETA) project as described in section 2449.1(e)(2).
  To utilize the alternate compliance pathway, a fleet must:
2. (2) Zero-Emission Technology Application
  1. (A) Fleet name, DOORS fleet ID number, and contact information, including name; email; and telephone number, for correspondence regarding the ZETA.
  2. (B) A description of what actions the fleet will take in order to achieve zero-emission operations and in what timeframe. At a minimum, the fleet must:
    1. 1. Remove from the fleet at least 15 percent of the fleet's total horsepower or the total horsepower of the vehicles operating at a single facility per section 2449.1(e)(4) and replace it with zero-emission vehicles or technology that creates zero-combustion emissions at the job site by January 1, 2030; and
    2. 2. Remove from the fleet at least 50 percent of the fleet's total horsepower or the total horsepower of the vehicles operating at a single facility per section 2449.1(e)(4) and replace it with either zero-emission vehicles or technology that creates zero combustion emissions at the job site by January 1, 2035.
  3. (C) A list of all vehicles, including their EINs, that will be removed from operation;
  4. (D) A list of zero-emission vehicles that the fleet proposes to add to its fleet, including each vehicle's manufacturer and model, if known, or a detailed description of the technology that the fleet proposes to replace the diesel vehicles;
  5. (E) Attest that it meets and agrees to all eligibility requirements outlined in section 2449.1(e)(1);
  6. (F) A list of all known entities that the fleet plans to partner with to complete its ZETA project, as well as a description of the role that the entity will have in the fleet's ZETA project;
  7. (G) A description of the total power need or other fueling needs of the zero-emission vehicles or technology, as necessary, to complete the ZETA project;
  8. (H) A detailed list of milestones and expected completion dates for implementing the actions the fleet will take in order to achieve zero-emission operations. The list of milestones must include:
    1. 1. Identification of all permits necessary to achieve completion of the ZETA, if applicable;
    2. 2. Submission of permit applications identified above, if applicable;
    3. 3. Approval of permit applications identified above, if applicable;
    4. 4. Utility or other fueling infrastructure engagement, including a report on power quality from the utility if the project includes the need for electric vehicle supply equipment;
    5. 5. Entering contracts or other agreements with technology providers or other partners;
    6. 6. Making vehicle purchase orders;
    7. 7. Vehicle deployments;
    8. 8. Start of infrastructure installation;
    9. 9. Completion of infrastructure installation; and
    10. 10. Removal of diesel vehicles from fleet operations; and
  9. (I) A commitment to do the following:
    1. 1. Replace all Tier 0, 1, and 2 vehicles by the end of completion of the ZETA project, or by January 1, 2035, whichever occurs first;
    2. 2. Submit annual updates to CARB (utilizing the same process described in section 2449.1(e)(3) below) that describe the actions taken to meet each milestone outlined in the ZETA, including which milestones have been completed and a description of any outstanding issues or challenges the fleet may be facing in completing a particular milestone. These updates must be submitted by January 31 of each year for the previous calendar year's information. The updates must include evidence of the actions taken to meet each milestone outlined in the ZETA, which includes, if applicable, written descriptions of actions taken along with dates of those actions, purchase orders, invoices, permitting documents, lease agreements, communications with project partners, cover pages of executed contracts, photographs of deployed vehicles and infrastructure, and sale or disposal receipts of the removed diesel vehicles. CARB shall review these annual updates by April 30 of each year to determine which of the following potential outcomes applies to the fleet:
      1. a. If all milestones for that calendar year have been completed, the ZETA project will continue without adjustments;
      2. b. If all milestones for that calendar year have not been completed but actions have been taken towards completion of each milestone and are described in the annual update, or at least one milestone from that calendar year has been completed, then CARB will notify the fleet by April 30 of that year if revisions to the ZETA are needed to ensure the ZETA project is successful, after which the fleet must submit a revised ZETA within 30 days of CARB's notification. CARB will then follow the review and approval process outlined in section 2449.1(e)(3), excluding section 2449.1(e)(3)(B), for the revised ZETA; or
      3. c. If there is any milestone within that calendar year for which the fleet has taken no actions towards completion, and no milestones for that calendar year have been completed, CARB shall revoke ZETA approval. If the fleet's ZETA approval is revoked, the fleet must come into compliance with the requirements in section 2449.1(a), (b), and (c) by January 1 of the subsequent calendar year.
  A fleet that requests to comply using this alternate compliance pathway must submit a complete ZETA to CARB. The ZETA must include all of the following:
3. (3) ZETA Process for Submittal, Review, and Approval
  1. (A) The ZETA must include all the elements outlined in section 2449.1(e)(2). Only a ZETA including all these elements will be accepted by CARB.
  2. (B) A fleet must submit its ZETA at least four months prior to the next compliance date for which the fleet is looking to receive compliance flexibility for section 2449.1(a), (b), or (c).
  3. (C) The fleet shall submit its ZETA to CARB using the following methods:
    1. 1. By mail to CARB at the address listed immediately below:
      CALIFORNIA AIR RESOURCES BOARD
      MOBILE SOURCE CONTROL DIVISION (IN-USE OFF-ROAD DIESEL)
      P.O. BOX 2815
      SACRAMENTO, CA 95812, OR
    2. 2. Electronically submitted to the [email protected] email address.
  4. (D) CARB shall review the ZETA within 60 days of submittal by the fleet.
  5. (E) If the fleet meets the requirements outlined in section 2449.1(e)(1) and 2449.1(e)(2), then CARB's Executive Officer will issue a letter approving the ZETA that includes the following:
    1. 1. A statement that if the fleet continuously adheres to section 2449.1(e), then the fleet will not be subject to the requirements outlined in sections 2449.1(a), (b), and (c) of this regulation. If the fleet submits an application for vehicles operating at a single facility per section 2449.1(e)(4), then this statement will only include an exemption for those vehicles operating at that facility;
    2. 2. A schedule for annual updates consistent with section 2449.1(e)(2)(I)2.;
    3. 3. A statement that if the approved ZETA's milestones are not met, CARB will follow the process outlined in section 2449.1(e)(2)(I)2.; and
    4. 4. A statement that if the approved ZETA's milestones are not met and CARB revokes the ZETA approval, then the fleet must come into compliance with the requirements in sections 2449.1(a), (b), and (c) of this regulation by January 1 of the subsequent calendar year.
4. (4) Participation for Vehicles Operating at a Single Facility
  1. (A) Additional Reporting
    1. 1. Location of the facility, including physical and mailing address, as part of the ZETA;
    2. 2. A list of all vehicles, including EINs, operating at the facility at the time of ZETA submittal, as part of the ZETA; and
    3. 3. An updated list of all vehicles, including EIN's, operating at the facility at the time of the annual updates submitted to comply with 2449.1(e)(2)(I).
    For a fleet that requests to use 2449.1(e) for vehicles operating at a single facility, the fleet must also provide the following information:
  A fleet may also request to follow the requirements of section 2449.1(e) for all of the fleet's vehicles that operate at a single facility. The vehicles operating at the single facility will be subject to the requirements of section 2449.1(e) instead of the requirements in sections 2449.1(a), (b), and (c). All vehicles that are not operating at the single facility will be subject to the requirements in sections 2449.1(a), (b), and (c). The vehicles operating at the single facility are not included when calculating fleet average indices or target rates in 2449.1(a), or when calculating the required hp for the BACT requirements in section 2449.1(b).
A fleet may request to follow the requirements set forth in this section 2449.1(e) instead of the requirements in sections 2449.1(a), (b), and (c). If a fleet requests to follow this section 2449.1(e) but does not meet any requirement in this section 2449.1(e) at any time, then the fleet must come into compliance with the requirements in sections 2449.1(a), (b), and (c) by January 1 of the subsequent calendar year.
(f) Renewable Diesel Requirements
1. (1) Beginning January 1, 2024, all fleets subject to this regulation are required to procure R99 or R100 renewable diesel and use this fuel in all vehicles subject to this regulation, including rental equipment, when operating them in California, subject to the exemptions provided in section 2449.1(f)(2) below.
2. (2) The following are exempt from the renewable diesel requirements in section 2449.1(f)(1):
  1. (A) Any fleet or fleet portion that is designated as a captive attainment area fleet, as described in section 2449(c)(6); or any vehicle while it is operating in one of the counties listed under the definition of a captive attainment area fleet in section 2449(c)(6);
  2. (B) Any fleet or fleet portion that is comprised entirely of vehicles with Tier 4 final engines, model year 2010 or newer on-road engines, or zero-emission vehicles;
  3. (C) Any fleet, fleet portion, or vehicle that is located or operated in a location where the 10th percentile minimum ambient air low temperature in January drops below 20 degrees Fahrenheit (20° F) is exempt from the renewable diesel requirements in section 2449.1(f)(1) solely for the months of November, December, January, and February. These fleets or vehicles may use a low temperature-specific diesel fuel while that fleet or vehicle is located or operating in that location. Fleets utilizing this exemption may procure low-temperature-specific diesel fuel from October 15 through the end of February and may continue to use excess low-temperature-specific diesel procured during this time period. Fleets may not continue to procure low temperature-specific diesel fuel after the end of February through October 14. All fleets utilizing this exemption must report to CARB in accordance with section 2449(g)(5)(A); and
  4. (D) Any fleet, fleet portion, or vehicle that is located or operated in a location where the temperature drops below 20° F or a commercial or government-provided local weather forecast predicts temperatures to drop below 20° F may use and procure low temperature-specific diesel fuel for the period of days in which the low-temperature condition(s) occurs. The temperature forecast must occur within 14 days from the first day in which the low-temperature condition(s) occurs. After the low-temperature condition(s) end, the fleet may use the remaining excess low temperature-specific diesel in the vehicle until the next refueling of the vehicle. All fleets utilizing this exemption must report to CARB in accordance with section 2449(g)(5)(B).
3. (3) If a portion of a fleet is unable to procure R99 or R100 renewable diesel through its normal refueling methods, where a fleet's preference for a specific distributor or a specific brand is not considered a necessary component of its normal refueling method, those vehicles for which R99 or R100 renewable diesel could not be procured are not required to comply with Section 2449.1(f)(1) if the fleet maintains documentation, in accordance with the record keeping requirements described in section 2449(h), that includes:
  1. (A) A description of the fleet's normal refueling methods, taking into account factors such as the location of the job site, storage site, and retail station refueling;
  2. (B) A description of the fleet's attempts to obtain R99 or R100 renewable diesel and continued attempts to obtain R99 or R100 renewable diesel, at a minimum, on a quarterly basis or when vehicles move to a new job site; and
  3. (C) Documentation showing the inability to procure R99 or R100 renewable diesel, such as communications from fuel providers, contract bids, or maps of refueling stations near a job site.
4. (4) Fleets that provide for rent vehicles subject to this regulation to other entities must include language in their rental contract that the recipient of the rented vehicle (renter) must comply with the renewable diesel requirements in section 2449.1(f). Rental fleets that include such language in their rental contracts will not be held liable if a rented vehicle under their ownership is not compliant with section 2449.1(f). If CARB requests information from a rental fleet to verify compliance with the renewable diesel requirements in section 2449.1(f), then the rental fleet must disclose the relevant renter's company name and business contact information to CARB within 5 days of CARB's request.

Each fleet must meet the fleet average requirements in this section before January 1 of each year or demonstrate that it met the BACT requirements as described in section 2449.1(b).

Each fleet must meet all applicable tier phase-out requirements described in section 2449.1(c) beginning January 1, 2024, and must meet the renewable diesel requirements described in section 2449.1(f) beginning January 1, 2024.

Captive attainment area fleets, and fleets owned by non-profit training centers or low-population county local municipalities are subject to the small fleet requirements, even if their total max hp exceeds 2,500 hp. Section 2449(d)(3) describes requirements for fleets that change size.

Note: Authority cited: Sections 39002, 39003, 39515, 39516, 39600, 39601, 39602, 39602.5, 39730.8(c), 40000, 41511, 43000, 43000.5, 43013, 43016, 43018, 43018.2 and 43600, Health and Safety Code. Reference: Sections 39000, 39002, 39003, 39515, 39516, 39600, 39601, 39602, 39602.5, 39650, 39656, 39657, 39658, 39659, 39665, 39667, 39730.8(c), 43000, 43000.5, 43013, 43016, 43018, 43018.2, 43600, 43865 and 43866, Health and Safety Code.

History

1. New section filed 5-16-2008; operative 6-15-2008 (Register 2008, No. 20).

2. Amendment of section and Note filed 12-31-2009; operative 12-3-2009 pursuant to Government Code section 11343.8 and Health and Safety Code section 43018.2 (AB2x 8). In accordance with Health and Safety Code section 43018.2(b), this regulatory action is exempt from the APA and OAL review. Submitted to OAL for printing only (Register 2010, No. 1).

3. Amendment of subsection (a)(2)(A)5. filed 12-31-2009; operative 1-1-2010 pursuant to Government Code section 11343.4 (Register 2010, No. 1).

4. Amendment of section and Note filed 7-16-2010; operative 8-15-2010 (Register 2010, No. 29).

5. Amendment filed 12-14-2011; operative 12-14-2011 pursuant to Government Code section 11343.4 (Register 2011, No. 50).

6. Amendment of section and Note filed 8-18-2023; operative 10-1-2023 (Register 2023, No. 33).