ITEM 6: CONSIDERATION OF AUTHORIZATION TO EXECUTE AND AMEND STANDARD AGREEMENTS WITH THE REGENTS OF THE UNIVERSITY OF CALIFORNIA, U. S. DEPARTMENT OF ENERGY OR ANOTHER PUBLIC AGENCY TO CONDUCT AN ENVIRONMENTAL FATE AND TRANSPORT ANALYSIS OF ETHANOL IN SURFACE WATER AND GROUND WATER

DISCUSSION: Since the early 1990s, Methyl Tertiary Butyl Ether (MTBE) has been added to gasoline in relatively high concentrations to improve air quality. MTBE is highly water soluble and resistant to natural degradation and has a low taste and odor threshold. Once released into the environment, MTBE can quickly degrade a drinking water source.

Executive Order D-5-99 orders the removal of MTBE from the state’s gasoline by December 31, 2002. The Order further directs the State Water Resources Control Board, with the California Air Resources Board, to conduct an environmental fate and transport analysis of ethanol in surface water and ground water, prepare report of findings, and respond to peer review comments on findings. The reports are due to the Environmental Policy Council by December 31, 1999.

POLICY ISSUE: Should the State Water Resources Control Board authorize the Executive Director or his designee to execute and amend as necessary standard agreements with the Regents of the University of California, U. S. Department of Energy or another public agency to conduct an environmental fate and transport analysis of ethanol in surface water and ground water?

FISCAL IMPACT Expenditure authority in the amount of $650,000 is proposed for inclusion in the Governor’s Budget in the May Revision.

RWQCB IMPACT: None

STAFF RECOMMENDATION: That the State Water Resources Control Board authorize the Executive Director or his designee to execute and amend as necessary standard agreements, not to exceed $650,000 in total, to the Regents of the University of California, U. S. Department of Energy or another public agency to conduct an environmental fate and transport analysis of ethanol in surface water and ground water.

WHEREAS:

1. Since the early 1990s, Methyl Tertiary Butyl Ether (MTBE) has been added to gasoline in relatively high concentrations to improve air quality. MTBE is highly water soluble and resistant to natural degradation and has a low taste and odor threshold. Once released into the environment, MTBE can quickly degrade a drinking water source.

2. Executive Order D-5-99 directs the State Water Resources Control Board, with the California Air Resource Board, to conduct an environmental fate and transport analysis of ethanol in surface water and ground water, prepare report of findings, and respond to peer review comments on findings. The reports are due to the Environmental Policy Council by December 31, 1999.

3. Expenditure authority for this agreement is included in the Governor’s Budget, as revised.

THEREFORE BE IT RESOLVED THAT:

The State Water Resources Control Board authorize the Executive Director or his designee to enter into agreements, not to exceed $650,000 in total, and any amendments thereto, with the Regents of the University of California, U. S. Department of Energy or another public agency to conduct an environmental fate and transport analysis of ethanol in surface water and ground water.

The undersigned, Administrative Assistant to the Board, does hereby certify that the foregoing is a full, true, and correct copy of a resolution duly and regularly adopted at a meeting of the State Water Resources Control Board held on June 17, 1999.

______________________________
Maureen Marche
Administrative Assistant to the Board