Executive Summary The FY2008 Annual Report (July 2007 – June 2008) for the Maricopa County Voluntary Vehicle Repair and Retrofit (VVR&R) Program will summarize the current and historical success of the program. The VVR&R program continues to achieve its goal of reducing vehicle emissions in a cost-effective manner. The program offers the citizens of Maricopa County the opportunity to voluntarily repair and, when possible, retrofit their high-emitting older vehicles with newer technology. Summary of Results FY2008 1st Qtr FY2008 2nd Qtr FY2008 3rd Qtr FY2008 4th Qtr FY2008 Total FY2007 Total Average Amount Spent by Customers & Maricopa County Per Vehicle Repaired $772 $776 $735 $757 $761 $754 Average Amount Spent by Maricopa County Per Vehicle Repaired $514 $513 $494 $507 $507 $511 322 239 261 260 1,082 1,030 Number of Diesel Vehicles Repaired - GVW 8,500+ lbs. 0 0 1 0 1 0 Number of Vehicles Repaired - Retrofit Kits 4 0 4 0 8 15 Amount Spent by Customers & Maricopa County for Vehicles Repaired $247,021 $185,459 $193,022 $194,550 $820,052 $773,352 Amount Spent by Maricopa County for Vehicles Repaired $164,868 $121,963 $129,169 $129,755 $545,754 $522,260 Amount Spent by Maricopa County for Diesel Vehicles Repaired - GVW 8,500+ lbs. $0 $0 $229 $0 $229 $0 $51,898 $17,068 $30,569 $26,426 $126,426 $104,287 Number of Vehicles Repaired Administrative Costs Emissions Reductions Basic Idle & Loaded Testing Emissions reduction calculations vary depending on the type of test used. Older vehicles (1967 – 1980) and some newer trucks use the basic idle and loaded methods for emissions testing. Because of how the hydrocarbons and carbon monoxide are measured, there is no formula available to determine cost effectiveness with these vehicles. The following grid will illustrate the average percent reduction for each pollutant: Annual Report - FY2008.doc 1 Idle Test 1st Quarter FY2008 2nd Quarter FY2008 3rd Quarter FY2008 4th Quarter FY2008 FY2008 Total FY2007 Total HC 50% 65% 68% 68% 63% 73% Loaded Test HC CO 54% 98% 55% 69% 66% 85% 74% 53% 63% 95% 64% 80% CO 64% 66% 80% 52% 64% 71% Emissions Reductions I/M Testing More modern vehicles (1981-1995) calculate emissions using the I/M Test. The grid below shows the average percent reduction in pollutants: HC 75% 76% 73% 70% 74% 73% 1st Quarter FY2008 2nd Quarter FY2008 3rd Quarter FY2008 4th Quarter FY2008 FY2008– Total FY2007– Total CO 82% 84% 83% 81% 82% 83% NOx 52% 54% 56% 52% 53% 51% Because the I/M Test measures each pollutant in grams per mile, a cost effectiveness formula can be applied, accounting for tons reduced and the average miles driven: FY2008 1st Qtr FY2008 2nd Qtr FY2008 3rd Qtr FY2008 4th Qtr FY2008 Total FY2007 Total Metric Tons Reduced 90.16 66.83 55.25 57.35 269.58 276.05 Regular Tons Reduced 99.38 73.67 60.90 63.22 297.16 304.29 Maricopa County Cost Per Metric Ton $857 $871 $1,010 $960 $914 $873 Maricopa County Cost Per Regular Ton $778 $790 $916 $871 $829 $792 Customer & Maricopa County Cost Per Metric Ton $1,289 $1,319 $1,503 $1,431 $1,371 $1,288 Customer & Maricopa County Cost Per Regular Ton $1,170 $1,196 $1,364 $1,299 $1,243 $1,169 Costs are annualized over two years and assume that the VVR&R Program’s emission savings benefits will be realized over at least that length of time. By comparison, emission reduction efforts of similar pollutants at stationary sources within Maricopa County can cost far more. Using current cost effectiveness values for reasonably available control technology (RACT), emission reduction costs range from $5,000 to $8,000 per ton for like-type pollutants. This demonstrates that the VVR&R Program is an especially cost effective way of reducing emissions from the largest source of emissions in Maricopa County. Annual Report - FY2008.doc 2 Emissions Reductions OBD-II Testing All newer vehicles (1996+) are I/M tested using an OBD-II (On-Board Diagnostic, Generation II) testing method. OBD and traditional tailpipe testing offer different approaches in identifying vehicles in need of emission related repairs. OBD-II testing does not measure pollutants such as hydrocarbons, carbon monoxide and oxides of nitrogen. Instead, a failing emissions test will be comprised of varying Diagnostic Trouble Codes (DTC’s). With OBD-II testing, data is efficiently collected by connecting a generic scan tool to a Data Link Connector (DLC) located under the instrument panel. OBD-II systems use an Engine Control Module (ECM) to continuously monitor the emissions control system in addition to other major engine components for proper operation. This technology makes it possible to diagnose failing or malfunctioning emission control devices for repair or replacement before high emissions occur. Effectively, an I/M testing station is programmed into each OBD-II vehicle. All related OBD-II technology standards including the data, the scan tool, the diagnostic test modes and the DTC’s are established by the Society of Automobile Engineers. Emissions Reductions Diesel Program In 2001, the County established a diesel repair program as mandated ARS §49474.03. Qualifying diesel powered motor vehicles registered in Area A or B with a gross vehicle weight of more that 8,500 pounds that fail any random roadside vehicle test conducted by the state or that fail a required emissions test are eligible for up for up to $1,000 in repair or retrofit costs from the program. Qualified vehicle owners will be responsible for one-half of the costs of the qualified repair and the other half of the costs may be funded by the program up to $1,000. Customer Satisfaction Customers are provided a self-addressed stamped survey postcard after their vehicle is repaired. Using the following scale, customers are asked to rank how well the program requirements were explained to them, as well as, to rank their satisfaction with the repair process and the service received by their participating garage. 1. 2. 3. 4. 5. Extremely Disagree Disagree No Opinion/Okay Agree Extremely Agree Of the 1,082 vehicles repaired during FY08, 369 customers returned their surveys resulting in a 34% response rate. The following chart reflects the collective, average response rates from all surveys received during this period: Question When I called, the program was thoroughly explained. My experience with the repair facility was satisfactory. I am satisfied with the repairs made to my vehicle. Annual Report - FY2008.doc FY08 Average Scores 4.59 4.67 4.62 3 Vehicle Repair Summary The number of vehicles repaired, the number of retrofit kits installed and the number of diesel vehicles repaired are detailed in the grid below for FY2008 (July 2007 – June 2008) and for the current, cumulative Program (July 2000 – June 2008). Model Year 1967 1968 1969 1970 1971 1972 1973 1974 1975 1976 1977 1978 1979 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 Total Number of Vehicles Repaired Cumulative FY2008 Program 0 27 1 25 3 34 2 20 4 27 4 47 4 39 2 34 3 32 2 56 4 59 3 84 4 98 3 68 6 151 9 171 9 247 25 348 39 526 42 766 55 781 56 730 71 715 71 676 87 533 105 449 132 425 168 329 122 181 46 46 1,082 7,724 Annual Report - FY2008.doc Number of Retrofit Kits Installed Cumulative FY2008 Program 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 2 18 1 22 1 28 0 49 2 67 2 39 0 2 0 0 0 1 0 2 0 0 0 0 0 1 0 1 0 2 0 0 0 0 0 0 0 0 0 0 0 0 0 0 8 232 Number of Diesel Vehicles Repaired (gvw 8,500+ lbs) Cumulative FY2008 Program 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 0 0 0 0 0 0 0 0 0 0 0 0 1 2 4 Repeat Customers In February 2004, the VVR&R Program Advisory Committee determined that since the intent of the program is to reduce tailpipe emissions on as many vehicles as possible, eligibility was extended to include the same owner, entering the same vehicle, through the program more than once. Below, the number of Repeat Customers is broken down by quarter for FY2008. 1st QTR 25 Number of Repeat Customers 2nd QTR 11 3rd QTR 13 4th QTR 20 Program Summary Dates Pilot Current Program 1/99 – 6/00 7/00 –06/08 Number of Vehicles Repaired 1,662 7,724 Number of Retrofit Kits Installed Metric Tons/Year Reduced Cost Per Metric Ton Cost Per Regular Ton 37 232 425 1,982 $591 $505 $536 $796 Funding History Year Amount Source Pilot $640,000 SB1427 FY01 $1,920,000 SB1504 FY01 $92,800 FY02 $320,000 FY03 -0- FY04 $399,534 ADEQ Contract 99-0089, Amendment No. 7 FY05 FY06 FY07 FY08 $725,000 $725,000 $725,000 $725,000 ADEQ Contract EV05-0013 ADEQ Contract EV06-0008 ADEQ Contract EV06-0008, Amendment No. 1 ADEQ Contract EV06-0008, Amendment No. 2 ADEQ’s Catalytic Converter Replacement Program HB2538 HB2538 Allocation removed during Special Legislative Session Program Parameters In order to qualify for the program, vehicles must meet the following criteria established by ARS § 49-474.03 and the VVR&R Program’s Advisory Committee: ⇒ The owner must be willing to participate and the vehicle must be functionally operational ⇒ The vehicle must be titled in Arizona ⇒ The vehicle must have been registered during the immediately preceding 12 months. It cannot have been unregistered for more than 60 days ⇒ The vehicle must have failed a required emissions test in the “Emissions Inspection Results” within the past 60 days; failures in the “Equipment” or “Pressure & Purge Inspection Results” are not eligible ⇒ The emissions control system has not been tampered with, removed, or disabled ⇒ Work must be done at a participating garage ⇒ One vehicle per owner ⇒ Motor homes, motorcycles, salvage vehicles and fleet vehicles are not eligible ⇒ If the vehicle is eligible for a retrofit kit (most 1975-1980 vehicles and some newer model year trucks), one must be installed ⇒ There are no reimbursements available for work already done ⇒ Some vehicles may not be eligible for assistance if they are in extremely poor condition Annual Report - FY2008.doc 5 Process The primary method of communication regarding this program is located on various pamphlets people receive as they proceed through the registration and emissions testing process. Information on the program is included on the pamphlet entitled "Car Care – Important Emissions Testing Information" which is sent to all owners due to re-register their vehicles. If they fail the emissions test, customers receive a pamphlet from the emissions station entitled “Car Care – Failed Vehicle Information.” In addition, banners have been installed at each of Maricopa County's thirteen testing stations. Customers may call the VVR&R helpline or go directly to the Maricopa County Air Quality Department website to locate an authorized repair facility. When customers take their vehicle to the repair facility, they bring their title, current proof of registration, and the emissions failure notice. Customers sign an agreement sheet and a vehicle diagnostic is performed. The customers are informed about necessary repairs and associated costs. If customers continue in the program, they pay the first $150 to the repair facility. Maricopa County Air Quality Department pays, up to, an additional $550 for repairs to address the specific emission failure or, up to, an additional $650 for repair and retrofit kit installation. If the cost to bring the vehicle to emission standards exceeds these amounts, owners may opt to pay the additional expense or withdraw their vehicle from the program. If they choose to withdraw from the program, they are charged a $50 diagnostic fee. Repairs generally take a day, after which the mechanic takes the vehicle to an emission station to obtain a pass notice. The facility forwards all paperwork (customer agreement, invoices with balances noted, and copies of title, registration, failure and pass notices) to Kachina Automotive. Kachina Automotive then submits copies of this information, along with a final invoice, to Maricopa County. Maricopa County pays Kachina Automotive who then distributes payment to each repair facility. Checks & Balances A system of checks and balances has been established, with the help of the State of Arizona Waiver Facilities, to ensure repairs are properly completed as indicated on the invoices and money is spent appropriately. Each customer is given a selfaddressed stamped postcard with survey questions on the process and the service. This allows the program to gather immediate feedback. If customers call with complaints, they may be referred to a waiver station. There, technicians compare the invoiced repairs with what was actually done to the vehicles and test the vehicles to be sure they are passing the emissions test. Most vehicles receive positive reports from the waiver stations, but those that do not are referred back to the garages for further evaluation and repair. From the program inception to date, all vehicles have been repaired to everyone’s satisfaction. Annual Report - FY2008.doc 6 Retrofit Kits The retrofit kits utilized in this program are supplied by Neutronics Enterprises, Inc. The kit converts vehicles originally built with open loop carburetor or fuel injection systems and oxidation catalysts into closed-loop (feedback) systems with three-way catalysts. The exclusive Neutronics representative in Maricopa County is Kachina Automotive Equipment, Inc. Kachina, as an authorized vendor for Maricopa County, is responsible for maintaining an inventory of the retrofit kits. In addition, Maricopa County subcontracts with Kachina to oversee all aspects of selecting and training of the repair facilities. The VVR&R Program currently has seven authorized repair facilities in the Valley. Currently, facilities are located in Avondale, Mesa, Higley, Tempe, North Phoenix, North-East Phoenix, and Central-West Phoenix. Advisory Committee The Advisory Committee, established under ARS § 49-588.34, meets as needed to advise and make recommendations on the development and implementation of the VVR&R Program. Members include representatives from the Arizona Department of Transportation, the Arizona Department of Environmental Quality, automobile hobbyists, and the automotive aftermarket products industry. Annual Report - FY2008.doc 7