Who is SCAQMD and Why Industrial Facilities Should Care

Every industrial facility in the Greater Los Angeles Area is touched by South Coast Air Quality Management District (SCAQMD or District) rules, and with dozens of regulations and permitting requirements, it can be difficult to see the full picture of what the District actually does. SCAQMD has jurisdiction over stationary sources of air pollutants in Orange County and the urban areas of Los Angeles, Riverside, and San Bernadino Counties, commonly referred to as the South Coast Air Basin. The South Coast Air Basin is home to more than 17¹ million people, representing more than 40% of California’s populations and more total residents than every U.S. State² except for Texas, Florida, and New York. Facilities located in SCAQMD’s jurisdiction are subject to some of the most stringent air quality regulations in the United States.

This article is the first in a series designed to demystify SCAQMD rules, policies, and programs. Our goal is to explain what the District does, why it matters for industrial facilities, and how companies can navigate their requirements without unnecessary surprises or delays.

Authority and Origins

In the late 1940s, the California State Legislature passed legislation that allowed counties to create unified air pollution control districts. Los Angeles County established the nation’s first air quality district and required major industry to obtain permits for emissions of air pollutants. Orange, Riverside, and San Bernadino Counties established their own districts in the 1950s, and by the late 1970s, the four county agencies were consolidated to form SCAQMD by the Lewis Presley Air Quality Management Act (Lewis Presley Act). The Lewis Presley Act granted SCAQMD the authority to:

• Regulate stationary sources of air pollution in the South Coast Air Basin.
• Adopt and enforce rules stricter than federal standards if needed.
• Prepare air quality management plans to demonstrate compliance with both state and federal clean air requirements.
• Issue permits and enforce conditions on industrial facilities.

While the Lewis Presley Act grants SCAQMD its local authority, the work of the District is driven by state and federal legislation. The federal Clean Air Act requires the U.S. Environmental Protection Agency (U.S. EPA) to set National Ambient Air Quality Standards (NAAQS) that every region must meet. The California Clean Air Act requires that each air district adopt the most stringent feasible controls to achieve the California Ambient Air Quality Standards (CAAQS). The California Air Resources Board (CARB) supports this process by compiling and submitting the State Implementation Plan (SIP), setting mobile source standards, and reviewing district plans. This framework requires SCAQMD to adopt strict rules for stationary sources so that the South Coast Air Basin can make progress toward meeting state and federal air quality goals.

Agency Structure and Governance

To understand how SCAQMD makes and enforces its rules, it helps to first look at how the District is structured and governed.

Governing Board

SCAQMD is directed by a 13-member Governing Board who meet monthly to establish policies, and approve, reject, or amend rules. The Governing Board is comprised of 10 elected officials from communities located in the South Coast Air Basin and three political appointees.

Hearing Board

The SCAQMD Hearing Board is a quasi-judicial body authorized under the California Health and Safety Code to provide relief from SCAQMD regulations under certain circumstances.

District Operations

SCAQMD is organized into functional teams responsible for day-to-day operations of the District.

Executive Office

The Executive Office is appointed by the Governing Board and is responsible for management and the development and implementation of strategies to attain the NAAQS.

Legal

The Legal Department advises the Governing Board and District Staff on all aspects of operations, enforcement, and litigation. The Legal Department represents the District in proceeding before the Hearing Board.

Monitoring and Analysis

The Monitoring and Analysis Division (MAD) is responsible for maintaining SCAQMD’s air quality monitoring network and managing the District’s source testing program.

Technology Advancement

The Technology Advancement Office (TAO) partners with private industry and local, state, and federal agencies to co-sponsor projects that develop and demonstrate low- and zero-emissions technologies. TAO also manages incentive programs that help local fleets adopt cleaner equipment.

Engineering and Permitting

The Engineering and Permitting (E&P) group is responsible for administering SCAQMD’s permitting program, including the REgional CLean Air Incentives Market (RECLAIM) permits, Permits to Construct and Permits to Operate equipment for non-RECLAIM facilities, and the Federal Title V Operating Permit Program.

Compliance and Enforcement

The Compliance & Enforcement (C&E) group is responsible for verifying compliance with permit conditions and air quality regulations through inspections and record reviews. The C&E group has the authority to issue Notices to Comply (NTC) and Notices of Violation (NOV) which are then adjudicated by the Legal Department. The C&E group is also responsible for responding to public complaints.

Planning, Rule Development, and Implementation

The Office of Planning, Rule Development, and Implementation manages SCAQMD’s air quality planning and develops new rules or amendments to existing ones. Key programs include emissions reporting, air quality modeling, health risk assessments, California Environmental Quality Act (CEQA) review, socioeconomic analysis, and air quality management plans.

Legislative, Public Affairs and Media

The Office of Legislative, Public Affairs and  Media handles community outreach, small business assistance, government relations, and media communications. Its mission is to promote public participation and understanding of SCQMD’s rules, plans, and policies.

Finance

The Finance Office administers all financial functions of the District, including managing permit fees, annual emissions fees, and other payments required from regulated facilities.

Information Management

The Information Management Office handles SCAQMD’s technology systems, including public records requests, records management, and online tools such as the FIND system that provide access to permits, compliance, and emissions data.

So What Does All This Mean?

You may be thinking, this all sounds important, but why should I care?

Compliance is not optional

SCAQMD issues hundreds of permits each year and conducts countless inspections. The District has the legal authority to penalize any industrial facility for violations of their rules. Noncompliance can trigger civil penalties of up to $75,000 per day³. In certain cases, SCAQMD may also refer violations to the local District Attorney for criminal prosecution.

Compliance and permitting records are public

Permits and compliance records are available to your neighborhood, your business partners, and the general public through online databases and public records requests. Staying ahead of compliance issues not only limits operational and financial risk but also protects your reputation and brand.

Looking at the long term

SCAQMD consistently reviews and updates its rules to meet state and federal air quality standards. Identifying these changes early and participating in the rule development and comment process can help companies avoid being caught off guard, incorporate compliance into capital planning, and position sites to take advantage of incentive programs where available.

Closing Thoughts

The South Coast Air Basin faces some of the United States’ most significant air quality challenges. SCAQMD has been tasked with meeting those challenges through one of the most complex regulatory and administrative frameworks in the country. Navigating this regulatory regime not only requires an understanding of the District’s rules, but its planning, enforcement, and incentive frameworks. For industrial facilities in the South Coast Air Basin, compliance is not just about meeting today’s requirements, it is about anticipating tomorrow’s changes, protecting your reputation, and positioning for long-term success.

Stay tuned for future 4 the Record articles where we will dive deeper into specific SCAQMD rules and programs. If you are interested in learning how to navigate SCAQMD’s rules and structure, please reach out to Michael McHale at 610.422.1131 or mmchale@all4inc.com.

¹ https://www.aqmd.gov/nav/about

² Population data as of the 2020 U.S. Federal Census (https://www.census.gov/data/tables/time-series/demo/popest/2020s-state-total.html)

³Penalty ranges established by the California Health & Safety Code §42402.3. Penalties range from $5,000 per day for general violations up to $75,000 per day for knowing and willful violations, adjusted annually for inflation. Willful and intentional release of air pollutants that causes injury to any person can result in greater penalties.