NEW LEASE TO SAN DIEGO REFRIGERATED SERVICES AT TENTH AVENUE MARINE TERMINAL SAN DIEGO, CA

Transcription

1 NEW LEASE TO SAN DIEGO REFRIGERATED SERVICES AT TENTH AVENUE MARINE TERMINAL SAN DIEGO, CA DRAFT MITIGATED NEGATIVE DECLARATION (UPD #MND ) San Diego Unified Port District P.O. Box San Diego, California November 2014

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3 DRAFT MITIGATED NEGATIVE DECLARATION NEW LEASE TO SAN DIEGO REFRIGERATED SERVICES AT TENTH AVENUE MARINE TERMINAL SAN DIEGO, CA Lead Agency: San Diego Unified Port District P.O. Box San Diego, CA (619) CEQA Consultant: URS Corporation 4225 Executive Square, Suite 1600 San Diego, CA November 2014

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5 Draft Mitigated Negative Declaration DRAFT MITIGATED NEGATIVE DECLARATION for NEW LEASE TO SAN DIEGO REFRIGERATED SERVICES AT TENTH AVENUE MARINE TERMINAL SAN DIEGO, CA TABLE OF CONTENTS Page EXECUTIVE SUMMARY... 1 A. Project Description... 1 B. Proposed Finding... 2 I. INTRODUCTION... 3 A. Purpose of a Negative Declaration... 3 B. Project Proponent/Applicant... 3 C. Project Purpose and Need... 3 D. Project Location... 4 II. PROJECT DESCRIPTION... 5 III. ENVIRONMENTAL SETTING... 9 IV. ENVIRONMENTAL ANALYSIS A. Environmental Factors Potentially Effected Air Quality Greenhouse Gas Emissions B. Effects Found Not to be Significant V. MITIGATION MONITORING AND REPORTING PROGRAM VI. FINDINGS VII. DOCUMENTATION VIII. PUBLIC REVIEW OF DRAFT MITIGATED NEGATIVE DECLARATION IX. RESULTS OF PUBLIC REVIEW OF DRAFT MITIGATED NEGATIVE DECLARATION X. CERTIFICATION XI. DOCUMENTS CONSULTED Tables Table 1. Air Quality Screening-Level Thresholds Table 2. Operational Unmitigated Maximum Daily and Annual Air Pollutant Emissions Table 3. Operational Mitigated Maximum Daily and Annual Air Pollutant Emissions Table 4. Projected Maximum Annual Greenhouse Gas Emissions Unmitigated Table 5. Projected Maximum Annual Greenhouse Gas Emissions Mitigated Table 6. at Tenth Avenue Marine Terminal Mitigated Negative Declaration Draft Mitigation Monitoring and Reporting Program at Tenth Avenue Marine Terminal MND-i November 2014

6 Draft Mitigated Negative Declaration Attachments A. Initial Study B. Figures C. San Diego Unified Port District Lease to San Diego Refrigerated Services, Inc. Appendices A. Air Quality and Greenhouse Gas Emissions B. Traffic Analysis Memorandum at Tenth Avenue Marine Terminal MND-ii November 2014

7 Draft Mitigated Negative Declaration San Diego Unified Port District P.O. Box San Diego, CA (UPD #MND ) DRAFT MITIGATED NEGATIVE DECLARATION for NEW LEASE TO SAN DIEGO REFRIGERATED SERVICES AT TENTH AVENUE MARINE TERMINAL SAN DIEGO, CA EXECUTIVE SUMMARY This Draft Mitigated Negative Declaration has been prepared for the New Lease to San Diego Refrigerated Services (SDRS) at Tenth Avenue Marine Terminal (TAMT), San Diego, CA (Project). The Project site is located on TAMT at 802 Terminal Street, which is bounded by Terminal Street on the southwest, Water Street / San Diego Bay on the north, Water Street on the northeast, and Switzer Street on the southwest. The Project site is also located within the Marine Terminal and Crosby Street Corridor subareas of Planning District 4, Tenth Avenue Marine Terminal, of the San Diego Unified Port District s (District) certified Port Master Plan (PMP). This document has been prepared pursuant to the requirements of the California Environmental Quality Act (CEQA) (Public Resources Code Section 21000, et seq.) and the implementing regulations, the "CEQA Guidelines" (California Code of Regulations, Title 14, Division 6, Chapter 3, Section 15000, et seq.), as well as the District s CEQA Guidelines. Specifically, this document meets the requirements of CEQA Guidelines Sections and and District CEQA Guidelines Section V., and the attached Initial Study (see Attachment A) meets the requirements of CEQA Guidelines Section and District CEQA Guidelines Section IV. Together the Initial Study and Mitigated Negative Declaration meet CEQA s content requirements by including a project description; a description of the environmental setting, potential environmental impacts and mitigation measures for any significant effects; discussion of consistency with plans and policies; and names of the document preparers. A. Project Description The Project proposes a new lease between the District and SDRS that would extend the current lease expiration from 2025 to December 31, (11 years), allow for an increase in the throughput through their refrigerated storage operation at the TAMT, and potentially allow for preferential berthing. SDRS is a full-service refrigerated warehousing company offering approximately 318,000 square feet of refrigerated chill rooms, freezer rooms, and dry storage areas within Warehouse B on the TAMT. According to data obtained from District tenants and confirmed by the District, it is estimated that SDRS has a total throughput of approximately 140,000 metric tons (MT) of cargo annually. The new lease allows SDRS to obtain preferential non-exclusive use of Berth 10-4 on TAMT if it enters into a services provider agreement with a cargo importer or exporter for 16,000 MT of cargo per month, or a total of approximately 192,000 MT annually. The service provider may be a cargo company that does not currently use SDRS s facilities, a cargo company that currently uses the existing facilities, or a combination of both. The increased throughput would be shipped from the TAMT via rail and trucks. The Project does not include any construction activities or other improvements. at Tenth Avenue Marine Terminal MND-1 November 2014

8 Draft Mitigated Negative Declaration If SDRS enters into a services provider agreement with a cargo importer or exporter, the cargo importer or exporter would be required to either enter into a new lease with the District to operate at the TAMT or would operate at the TAMT in compliance with Tariff No. 1-G, which provides the current rates, charges, rules and regulations applicable to all maritime-related commercial activity within the District's jurisdiction. The agreement(s) that may result in the increased throughput are unknown at this time. However, any future agreements would be reviewed for conformance with the analysis and findings of this Mitigated Negative Declaration and if required, supplemental or subsequent California Environmental Quality Act (CEQA) analysis would be conducted. Subsequent or supplemental CEQA review would be required if any future agreements, combined with the existing cargo throughput, resulted in greater than 192,000 annual MT of throughput. B. Proposed Finding The Initial Study prepared for the Project found that the Project would not result in significant adverse impacts in the following areas: Aesthetics, Agricultural and Forest Resources, Biological Resources, Cultural Resources, Geology and Soils, Hazards and Hazardous Materials, Hydrology and Water Quality, Land Use and Planning, Mineral and Energy Resources, Noise, Population and Housing, Public Services, Recreation, Transportation/Traffic, and Utilities and Service Systems. Impacts that were shown to have a less-than-significant impact with mitigation were Air Quality and Greenhouse Gas Emissions as a result of operational activities. Measures to avoid or mitigate the effects would be incorporated into the Project to reduce the impacts to below a level of significance. These measures are identified in Table 6 and discussed below in Section IV, Environmental Analysis. at Tenth Avenue Marine Terminal MND-2 November 2014

9 Draft Mitigated Negative Declaration I. INTRODUCTION A. Purpose of a Negative Declaration CEQA Section defines a "Negative Declaration" as a well written statement briefly describing the reasons that a proposed project will not have a significant effect on the environment and does not require the preparation of an environmental impact report. Section defines a "Mitigated Negative Declaration" as a negative declaration prepared for a project when the initial study has identified potentially significant effects on the environment, but (1) revision in the project plans or proposals made by, or agreed to by, the applicant before the proposed negative declaration is released for public review would avoid the effects or mitigate the effects to a point where clearly no significant effect on the environment would occur; and (2) there is no substantial evidence in light of the whole record before the lead agency that the project, as revised, may have a significant effect on the environment. CEQA Section defines a significant effect on the environment as a substantial or potentially substantial adverse change in the environment. CEQA Section (a) requires the lead agency to determine whether a project may have a significant effect on the environment based on substantial evidence in light of the whole record. The District has prepared an Initial Study to address the potential environmental effects associated with the Project pursuant to the requirements of CEQA, the CEQA Guidelines and the District s CEQA Guidelines. Specifically, the Initial Study meets the requirements of CEQA Guidelines Section and the District s CEQA Guidelines Section IV. The Initial Study includes a discussion of the Proposed Project s effects on the existing environment. Issue areas identified as having potential impacts are discussed further and include mitigation measures that would reduce potential impacts to Less Than Significant With Mitigation Incorporated. Project-specific information is discussed below. See Attachment A for the Initial Study. B. Project Proponent/Applicant The Project proponent/applicant is San Diego Refrigerated Services, Inc., which is a current tenant of the District located on the TAMT (Figure 1, Regional Map). C. Project Purpose and Need SDRS is proposing a new lease with the District for the potential increase of cargo throughput in the refrigerated storage facility at the TAMT. The term of the proposed new lease would expire on December 31, The proposed new lease would allow for SDRS to obtain preferential non-exclusive use of Berth 10-4 if they enter into a services provider agreement with a cargo importer or exporter for 16,000 MT of cargo per month, or a total of approximately 192,000 MT annually. The service provider may be a cargo company that does not currently use SDRS s facilities, a cargo company that currently uses the existing facilities, or a combination of both. This is an approximate 52,000 MT or a 37% increase in cargo throughput and would allow SDRS to maximize existing infrastructure and facilities. at Tenth Avenue Marine Terminal MND-3 November 2014

10 Draft Mitigated Negative Declaration D. Project Location The Project site is located at 802 Terminal Street, within the TAMT, which lies on the east side of the San Diego Bay (Figure 2, Vicinity Map). The project site encompasses approximately 10 acres and includes Warehouse B and a paved area to the northwest of the warehouse between the warehouse and the bay (Figure 3, San Diego Refrigerated Services Lease Area). See Attachment B for the figures. at Tenth Avenue Marine Terminal MND-4 November 2014

11 Draft Mitigated Negative Declaration II. PROJECT DESCRIPTION The Project proposes a new lease between the District and SDRS that would extend the current lease expiration from 2025 to December 31, 2036 (11 years) and allow for an increase of throughput through their refrigerated storage operation at the TAMT, as discussed below, and potentially allow for preferential berthing. SDRS is a full-service refrigerated warehousing company offering approximately 318,000 square feet of refrigerated chill rooms, freezer rooms, and dry storage areas within Warehouse B on the TAMT. According to data obtained from District tenants and confirmed by the District, it is estimated that SDRS has a total throughput of approximately 140,000 MT of cargo annually. The new lease allows SDRS to obtain preferential non-exclusive use of Berth 10-4 if it enters into a services provider agreement with a cargo importer or exporter for 16,000 MT of cargo per month, or a total of approximately 192,000 MT annually. The increased throughput would be shipped from the TAMT via rail and trucks. The Project does not include any construction activities or other improvements. The new lease with SDRS identifies that, in order to obtain the full lease term extension through December 31, 2036, SDRS must invest a minimum of $5,000,000 in qualifying capital improvements to the leasehold. Currently, no redevelopment or improvement projects are being contemplated by SDRS, and any future projects are unknown. Since these potential future projects are unknown, their potential future impacts are too speculative for evaluation at this time. Thus, pursuant to CEQA Guidelines Section 15145, these potential future unknown projects and impacts are not analyzed. The analysis below contemplates only the increase in cargo throughput, the extension of the lease term, and the potential for preferential berthing. All future redevelopment or improvement projects brought forth by SDRS will require additional review pursuant to CEQA and the California Coastal Act. If SDRS enters into a services provider agreement with a cargo importer or exporter, the cargo importer or exporter would be required to either enter into a new lease with the District to operate at the TAMT or would operate at the TAMT in compliance with Tariff No. 1-G, which provides the current rates, charges, rules and regulations applicable to all maritime-related commercial activity within the District's jurisdiction. The agreement(s) that may result in the increased throughput are unknown at this time. However, any future agreements would be reviewed for conformance with the analysis and findings of this Mitigated Negative Declaration and if required, supplemental or subsequent CEQA analysis would be conducted. Specific components of the Project are described below: Cargo Throughput The new lease between the District and SDRS would allow for an increase of cargo throughput from a current use of approximately 140,000 MT annually to approximately 192,000 MT annually, an increase of approximately 37%. The new lease would allow SDRS to obtain preferential non-exclusive use of Berth 10-4, when the expansion in cargo throughput requirement is met. It is anticipated that cargo would largely consist of refrigerated produce such as strawberries, avocados, and/or bananas. However, other non-refrigerated, non-containerized cargo, such as steel, may also be imported or exported through the at Tenth Avenue Marine Terminal MND-5 November 2014

12 Draft Mitigated Negative Declaration TAMT pursuant to the terms of the proposed new lease. 1 It is anticipated that this increase in cargo would enter TAMT via cargo ships with the capability to provide refrigerated storage. If a contract is secured to increase the throughput, and based on the increased quantity of cargo and the capacity of existing similar refrigerated cargo ships, an average of one additional ship is expected to berth at TAMT per month (12 additional ships per year). The anticipated vessel would be containerized and very similar in size to Dole Fresh Fruit Company s vessels currently serving TAMT. Ships will be berthed for up to two days at Berth 10-4 for each call, with a total increase of 24 berth-days per year. Based on the standard schedule for refrigerated cargo shippers, the additional 24 berth-days would not overlap with the days when the Dole Fresh Fruit Company s vessels are docked at the TAMT. As identified above, other ships may also be used to import or export non-refrigerated cargo through the TAMT pursuant to the terms of the proposed new lease. Cargo would be unloaded from ships using electrically powered equipment and stored within existing SDRS facilities. It is anticipated that when containers are offloaded from the ship, products within the containers would be unloaded and stored within SDRS s warehouse for refrigeration. No increase in capacity of the SDRS facility would be required or is proposed to accommodate additional cargo. Based on the quantity of cargo and existing operations at SDRS, it is anticipated that an increase of up to eight employees would be required to support the increase in cargo throughput. The increased cargo would be shipped from the SDRS facility using a combination of rail and trucks. Based on existing operations, it is anticipated that approximately three percent of the cargo is anticipated to be shipped via rail, with the remainder, approximately 97 percent, anticipated to be transported by typical haul trucks. All equipment used to transfer cargo from the ships to the SDRS facility and load cargo into rail cars and trucks would be electric. On-shore electricity will be used by truck refrigeration units while being loaded or unloaded. Trucks leaving and returning to the SDRS facility would conform to the designated truck route for TAMT (Figure 4, Truck Route To/From Interstate 5). Trucks and rail will deliver the cargo throughput within the San Diego County region. Extension of the Lease Term The Project proposes a new lease between the District and SDRS that would extend the current lease expiration from 2025 to December 31, 2036 (11 years). The new lease with SDRS identifies that, in order to obtain the full lease term extension through December 31, 2036, SDRS must invest a minimum of $5,000,000 in qualifying capital improvements to the leasehold. See Attachment C for the proposed new lease. Currently, no redevelopment or improvement projects are being contemplated by SDRS, and any future projects are unknown. Since these potential future projects are unknown, their potential future 1 The analysis in this MND is based on a worst-case scenario assumption that the increase in cargo throughput would largely consist of refrigerated produce and would be imported or exported via refrigerated cargo ships because SDRS is a refrigerated services provider. Refrigerated cargo ships are the most impactful type of ship in terms of air quality and greenhouse gas emissions because the ships engines continue idling while cargo is loaded and unloaded. This MND also assumes a conservative berthing time for the refrigerated vessels to offload 16,000 MT of throughput. Although there is a potential for non-refrigerated cargo to comprise all or a portion of the increase in cargo throughput, non-refrigerated ships are typically less impactful because they are smaller, require less berthing and maneuvering time, and do not require their engines to continue idling while at berth. Since it is not currently known what type or combination of cargo the increase in throughput would consist of, the potential future impacts of cargo throughput combinations are too speculative for evaluation at this time. Thus, pursuant to CEQA Guidelines Section 15145, these potential future unknown cargo throughput combinations and their impacts are not analyzed. at Tenth Avenue Marine Terminal MND-6 November 2014

13 Draft Mitigated Negative Declaration impacts are too speculative for evaluation at this time. Thus, pursuant to CEQA Guidelines Section 15145, these potential future unknown projects and impacts are not analyzed. Potential for Preferential Berthing The proposed new lease would allow for SDRS to obtain preferential non-exclusive use of Berth 10-4 if they enter into a services provider agreement with a cargo importer or exporter for 16,000 MT of cargo per month, or a total of approximately 192,000 MT annually. at Tenth Avenue Marine Terminal MND-7 November 2014

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15 Draft Mitigated Negative Declaration III. ENVIRONMENTAL SETTING The Project site is located on the 96-acre TAMT, which is surrounded on three sides by the San Diego Bay. The terminal area was constructed on fill material and reclaimed tidelands between 1930 and The TAMT has an average surface elevation of approximately 10 feet mean lower low water and includes four large warehouses comprising 1 million square feet (Warehouse B [Project], Warehouse C, Transit Shed 1, and Transit Shed 2), office buildings, 10 above-ground storage tanks, 12 silos, and several small District maintenance buildings. There is approximately 300,000 square feet of refrigerated on-dock space and 4,600 feet of berthing space with eight berths. The TAMT has state-of-the-art bulk loading and unloading capabilities, a heavy-lift mobile crane, and a fueling dock. The TAMT has boom lighting and mast lighting for nighttime security lighting and operational lighting for loading operations during evening and nighttime hours. The TAMT handles containerized and break bulk fruit, dry bulk cargo, liquid bulk products, petroleum products, and various other break bulk cargo and large cargo items. Principal inbound cargoes are perishables and refrigerated commodities, fertilizer, cement, and break bulk commodities. Primary export cargoes include refrigerated cargo, break bulk, and bulk commodities. Dole Fresh Fruit Company, a current tenant of TAMT, imports approximately 185 million bananas every month. The Project site is within the jurisdiction of the District, and is located within the Marine Terminal and Crosby Street Corridor subareas of Planning District 4, TAMT, of the District s certified PMP. The Project site also is within the Coastal Zone. Direct access to the project site is via Crosby Street / Cesar E. Chavez Parkway / East Harbor Drive and 28 th Street to Interstate 5, which are the primary vehicular transportation arteries in the area. Railroad tracks provide access to Berths 3 through 8, all transit sheds, and the warehouses. Land uses in the area include commercial and recreation to the northwest. These include the Hilton Hotel, the Hilton Park/Plaza, San Diego Convention Center, Convention Center Park/Plaza, Embarcadero Promenade, Embarcadero Marina Park South and the Embarcadero Marina Park North. The Barrio Logan community lies to the east and southeast and includes a mix of commercial, industrial, and residential land uses. Finally, several maritime-related industrial land uses are situated to the southeast, including Continental Maritime of San Diego, CP Kelco, BAE Systems San Diego Ship Repair, Inc., and the National Steel and Shipbuilding Company. at Tenth Avenue Marine Terminal MND-9 November 2014

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17 Draft Mitigated Negative Declaration IV. ENVIRONMENTAL ANALYSIS As previously discussed, the Project consists of a lease that may result in an increase in cargo throughput from approximately 140,000 MT to approximately 192,000 MT per year, an increase in the term of the lease, and the potential for preferential berthing. The Initial Study (Attachment A) evaluated the potential environmental impacts of the Project, and determined that the Project would result in impacts that are mitigated to below a level of significance with regard to Air Quality and Greenhouse Gas Emissions. These impacts and associated mitigation measures are discussed below. A. Environmental Factors Potentially Effected The Project for which this Mitigated Negative Declaration has been prepared consists of an increase in cargo throughput within the Planning District 4, TAMT, of the PMP, an increase in the term of the lease, and the potential for preferential berthing. Air Quality Existing Conditions In San Diego County, the San Diego Air Pollution Control District (SDAPCD) is the agency responsible for protecting the public health and welfare through the administration of federal and state air quality laws and policies. The SDAPCD is responsible for the reduction of emissions from stationary sources in the San Diego Air Basin (SDAB), while the California Air Resources Board (CARB) is responsible for regulating mobile source (e.g. vehicles) in the basin. SDAPCD s tasks also include the monitoring of air pollution, the preparation and implementation of the San Diego County portion of the State Implementation Plan (SIP), and the promulgation of Rules and Regulations. The SDAB is currently designated a marginal non-attainment area for the hour ozone (O 3 ) National Ambient Air Quality Standards (NAAQS), and was recently redesignated as a maintenance area for the 1997 O 3 NAAQS, as approved by the United States Environmental Protection Agency (US EPA) on June 4, 2013 (78 Federal Register Page 33230; available at: SDAB is also considered a federal carbon monoxide (CO) maintenance area (moderate). The basin is designated as a federal attainment or unclassified area for all other pollutants. Finally, the SDAB is designated a non-attainment area for O 3, particulate matter less than 10 microns (PM 10 ) and particulate matter less than 2.5 microns (PM 2.5 ) based on the California Ambient Air Quality Standards (CAAQS), and is in attainment or unclassified for all other air pollutants. Thresholds for Determining Significance The screening-level thresholds for air quality impact analysis from the County of San Diego Guidelines for Determining Significance, Air Quality (County of San Diego, 2007) were used for all pollutants to determine the significance of incremental emissions increase due to the Project. These screening-level thresholds are shown in Table 1 below. at Tenth Avenue Marine Terminal MND-11 November 2014

18 Draft Mitigated Negative Declaration Table 1. Air Quality Screening-Level Thresholds Screening Level Thresholds Pollutant Daily (lb/day) Annual (ton/year) NOx VOC PM PM Sox CO Lead TAC and Odor Thresholds Toxic Air Contaminants (TACs) Odor Maximum Incremental Cancer Risk > 10 in 1 million Hazard Index > 1.0 (project increment) Project creates a minimal odor nuisance pursuant to SDAPCD Rule 51 Notes: lb/day = pounds per day; NO X = nitrogen oxides; VOC = volatile organic compounds; SO X = sulfur oxides Potential Impacts Based on the results of the air quality analysis, the Project would generate 1, lb/day of NO x during operations, thereby exceeding the screening level threshold of 250 lb/day for daily nitrogen oxides (NOx) criteria air pollutant emissions. The operational activity contributing to air pollution emissions would involve additional refrigerated cargo ships (12 vessel calls per year) that would carry the increased quantities of good processed by SDRS, eight new workers that would generate additional worker/passenger vehicle trips (approximately 320 additional vehicle miles traveled [VMT] for workers, per operating day), haul truck trips and transportation refrigeration units (TRUs) (approximately 640 additional VMT for haul trucks, per operating day), and crane operations. These operational emissions are shown in Table 2 below. at Tenth Avenue Marine Terminal MND-12 November 2014

19 Draft Mitigated Negative Declaration Table 2. Operational Unmitigated Maximum Daily and Annual Air Pollutant Emissions Operations Emissions and Significant Impact Thresholds Maximum Emissions CO VOC NO x SO x PM 10 PM 2.5 Maximum Daily Emissions (pounds per day) Heavy Heavy Duty Trucks Worker Vehicles Shipping (no Shore Power) Diesel Port Crane Transportation Refrigerated Unit (TRU) Total Emissions , Significance Threshold Significant Impact? No No Yes No No No Maximum Annual Emissions (tons per year) Heavy Heavy Duty Trucks Worker Vehicles Shipping (no Shore Power) Diesel Port Crane TRU Total Emissions Significance Threshold Significant Impact? No No No No No No Therefore, without mitigation, the Project would result in a significant impact related to air pollutant emissions during operations. Mitigation Measures MM-AQ1: If and when an importer or exporter is identified that would increase the throughput, to reduce the Project s operational NO X emissions to below a level of significance from 1, lb/day to lb/day, the District shall require that the refrigerated container ships associated with SDRS s new lease be equipped for and use shore power while the refrigerated container ships are berthed at the TAMT. Furthermore, because the shore power system at the TAMT can only accommodate one ship at a time, the refrigerated container ships associated with SDRS s new lease shall not be at berth at the same time as another ship that is utilizing the shore power system, unless additional electrical capacity to power more than one ship at a time is available. If the identified importer or exporter proposes the operation of nonrefrigerated, non-containerized ships, the District shall analyze the proposed importer or exporter s operations, in particular, the ships specifications (e.g., engine size, vessel speed, and duration of operation), associated haul truck trips, associated worker/passenger vehicle trips, and equipment required to load and unload cargo, to ensure that operational emissions associated with the importer or exporter, in combination with any other new operations such as refrigerated vessels, do not exceed air pollutant emission thresholds for the San Diego Air Basin (see Table Air-2. Air Quality Screening-Level Thresholds). If air pollutant emissions associated with the operation of non-refrigerated, non- at Tenth Avenue Marine Terminal MND-13 November 2014

20 Draft Mitigated Negative Declaration containerized ships (in combination with any other new operations, such as refrigerated vessels) are found to exceed the San Diego Air Basin thresholds (see Table 1. Air Quality Screening-Level Thresholds), additional measures, such as mandatory compliance with the District s vessel speed reduction program and requiring ships engines to be shut off while at berth, will be required by the District until a level of insignificance is reached, as verified through technical data by the District s Director of the Environmental and Land Use Management Department. As shown in Table 3, daily NO x emissions would be reduced to lb/day with the implementation of mitigation measure MM-AQ1, which requires refrigerated cargo ships to use shore power, whereby the ship is plugged into the electrical grid while at berth and its engines are shut off. Mitigation measure MM- AQ1 also requires that for non-refrigerated, non-containerized ships, the total air emissions (in combination with any new refrigerated vessels) shall not exceed air pollutant emission thresholds for the San Diego Air Basin through the use of alternative measures such as mandatory compliance with the District s vessel speed reduction program and requiring ships engines to be shut off while at berth, if required. Thus, with the implementation of mitigation measure MM-AQ1, the Project s operational daily NO x impact would be reduced to a less-than-significant level. Table 3. Operational Mitigated Maximum Daily and Annual Air Pollutant Emissions Operations Emissions and Significant Maximum Emissions Impact Thresholds CO VOC NO x SO x PM 10 PM 2.5 Maximum Daily Emissions (pounds per day) Heavy Heavy Duty Trucks Worker Vehicles Shipping (with Shore Power) Diesel Port Crane Transportation Refrigerated Unit (TRU) Total Emissions Significance Threshold Significant Impact? No No No No No No Maximum Annual Emissions (tons per year) Heavy Heavy Duty Trucks Worker Vehicles Shipping (no Shore Power) Diesel Port Crane TRU Total Emissions Significance Threshold Significant Impact? No No No No No No at Tenth Avenue Marine Terminal MND-14 November 2014

21 Draft Mitigated Negative Declaration Greenhouse Gas Emissions Existing Conditions Greenhouse Gas Emissions (GHGs), as defined under California s Global Warming Solutions Act of 2006 (AB 32), include carbon dioxide (CO 2 ), methane (CH 4 ), nitrous oxide (N 2 O), hydrofluorocarbons, perfluorocarbons, and sulfur hexafluoride. The most common GHG that results from human activity is CO 2, followed by CH 4 and N 2 O. Statewide GHG inventories performed by the California Air Resources Board (CARB) over the past two decades report that statewide GHG emissions totaled 433 million metric tons CO 2 e (MMTCO 2 e) in 1990, 466 MMTCO 2 e in 2000, 493 MMTCO 2 e in 2004, 487 MMTCO 2 e in 2008, and 459 MMTCO 2 e in Transportation-related emissions consistently contribute the most GHG emissions, followed by electricity generation and industrial emissions. As reported by the California Energy Commission (CEC), California contributes 1.4 percent of the global and 6.2 percent of the national manmade GHG emissions. Approximately 80 percent of manmade GHGs in California are from fossil fuel combustion and over 70 percent of GHG emissions are composed of CO 2 emissions. Thresholds for Determining Significance Neither the State of California nor the San Diego County Air Pollution Control District (SDAPCD) has adopted emission-based thresholds for GHG emissions under CEQA. Thus, this analysis relies on the California Air Pollution Control Officers Association (CAPCOA) white paper on addressing GHG emissions under CEQA (CAPCOA, 2008). As indicated in the CAPCOA white paper, one approach to addressing GHG emissions is to identify a single quantitative threshold that would capture 90% or more of likely future discretionary developments. Conservatively, the CAPCOA white paper identified that a threshold of 900 metric tons (MT) of carbon dioxide equivalent (MTCO 2 E) per year would capture 90% or more of all residential, office, commercial, and industrial developments. The CAPCOA white paper identified 900 MTCO 2 E as a conservative threshold for requiring further analysis and mitigation. The CAPCOA white paper also identified that an alternative approach to addressing GHG emissions would require a project to demonstrate that it would not impede the implementation of AB 32. The CAPCOA white paper states that to demonstrate that a project would not impede the implementation of AB 32, the project should demonstrate how its overall GHG emissions would be reduced to 33% below projected 2020 Business As Usual (BAU). The CAPCOA white paper defines BAU as the projected 2020 emissions that would have been generated in the absence of the mandated reductions. Potential Impacts Based on the results of the air quality and greenhouse gas emissions analysis, the maximum annual GHG emissions generated by the Project would be 1,349 MTCO 2 E, which exceeds the CAPCOA threshold of 900 MTCO 2 E. The operational activity contributing to GHG emissions would involve additional refrigerated cargo ships (12 vessel calls per year) that would carry the increased quantities of good processed by SDRS, eight new workers that would generate additional worker/passenger vehicle trips (approximately 320 additional VMT for workers, per operating day), haul truck trips and TRUs (approximately 640 additional VMT for haul trucks, per operating day), and crane operations. The majority of operational emissions are from ships and trucks. Other operational GHG emissions result from indirect emissions associated with electricity consumption during berthing. These operational emissions are shown in Table 4. at Tenth Avenue Marine Terminal MND-15 November 2014

22 Draft Mitigated Negative Declaration Table 4. Projected Maximum Annual Greenhouse Gas Emissions Unmitigated Operations GHG Emissions CO 2 CH4 N2O CO 2 e Maximum Annual Emissions (metric tons per year) Heavy Heavy Duty Trucks Worker Vehicles Shipping (no Shore Power) Diesel Port Crane Transportation Refrigerated Unit (TRU) Total Emissions 1, ,349 Threshold Exceeds Threshold? Yes Notes: Sources: Appendix A, Air Quality and Greenhouse Gas Emissions -- = Not Applicable Therefore, the Project would result in a significant impact related to greenhouse gas emissions during operations. Mitigation Measures MM-GHG1: If and when an importer or exporter is identified that would increase the throughput, to reduce the Project s operational GHG emissions to below a level of significance from 1,349 MTCO 2 E to less than 900 MTCO 2 E, the District shall require that the refrigerated container ships associated with SDRS s new lease be equipped for and use shore power while the refrigerated container ships are berthed at the TAMT. Furthermore, because the shore power system at the TAMT can only accommodate one ship at a time, the refrigerated container ships associated with SDRS s new lease shall not be at berth at the same time as another ship that is utilizing the shore power system, unless additional electrical capacity to power more than one ship at a time is available. If the identified importer or exporter proposes the operation of non-refrigerated non-containerized ships, the District shall analyze the proposed importer or exporter s operations, in particular, the ships specifications (e.g., engine size, vessel speed, and duration of operation), associated haul truck trips, associated worker/passenger vehicle trips, and equipment required to load and unload cargo, to ensure that operational GHG emissions associated with the importer or exporter, in combination with any other new operations such, as refrigerated vessels, do not exceed the 900 MTCO 2 E CAPCOA threshold. If GHG emissions associated with the operation of non-refrigerated non-containerized ships (in combination with any other new operations, such as refrigerated vessels) are found to exceed the 900 MTCO 2 E CAPCOA threshold, additional measures, such as mandatory compliance with the District s vessel speed reduction program and requiring ships engines to be shut off while at berth, will be required by the District until the total GHG emissions of the new vessels is less than 900 MTCO 2 E, as verified through technical data by the District s Director of the Environmental and Land Use Management Department. As shown in Table 5, implementation of MM-GHG1, the use of shore power, would reduce Project GHG emissions to 844 MTCO 2 E for refrigerated vessels. Mitigation measure MM-GHG1 also requires that for non-refrigerated, non-containerized ships, the total GHG emissions (in combination with any new refrigerated vessels) shall not exceed 900 MTCO 2 E through the use of alternative measures such as mandatory compliance with the District s vessel speed reduction program and requiring ships engines to be shut off while at berth, if required. Therefore, the total operational GHG emissions would be less than at Tenth Avenue Marine Terminal MND-16 November 2014

23 Draft Mitigated Negative Declaration the 900 MTCO 2 E threshold. As shown in Tables 4 and 5, with the implementation of mitigation measure MM-GHG1, there would be a greater than 33% reduction from 2020 BAU in Project GHG emissions. The use of shore power would reduce GHG emissions to 844 MTCO 2 E for refrigerated vessels and result in a 38% reduction in projected 2020 BAU emissions. Moreover, for non-refrigerated, non-containerized ships, MM-GHG1 ensures that the total GHG emissions (non-refrigerated non-containerized ships alone or in combination with refrigerated ships, if both are calling on SDRS) would be below the 900 MTCO 2 E CAPCOA threshold and likewise would result in a 33% or greater reduction from 2020 BAU emissions identified in the CAPCOA white paper because under either scenario the total GHG emissions would be less than 900 MTCO 2 E. The 33% to 38% reduction in Project GHG emissions as a result of MM-GHG1 meets or exceeds the 33% reduction in projected 2020 BAU emissions identified in the CAPCOA white paper. Implementation of MM-GHG1 would result in less than 900 MTCO 2 E of GHG emissions, which is consistent with the CAPCOA white paper. Furthermore, a greater than 33% reduction in Project GHG emissions as a result of MM-GHG1 is also consistent with the District s Climate Action Plan (CAP). While the CAP does not assign percent reductions to individual businesses or operations, the Project would be consistent with the goals of the CAP because it would reduce Project GHG emissions greater than 33% from 2020 BAU upon implementation of MM-GHG1. 2 Therefore, with the implementation of mitigation measure MM-GHG1, the Project s GHG impact would be reduced to a less-than-significant level. Table 5. Projected Maximum Annual Greenhouse Gas Emissions Mitigated Operations GHG Emissions CO 2 CH4 N2O CO 2 e Maximum Annual Emissions (metric tons per year) Heavy Heavy Duty Trucks Worker Vehicles Shipping (with Shore Power) Diesel Port Crane Transportation Refrigerated Unit (TRU) Total Emissions Threshold Exceeds Threshold? No Notes: Sources: Appendix A, Air Quality and Greenhouse Gas Emissions -- = Not Applicable B. Effects Found Not to be Significant Based on the Initial Study conducted for the proposed Project (see Attachment A), the following effects were found not to be significant: Aesthetics, Agricultural and Forest Resources, Biological Resources, Cultural Resources, Geology and Soils, Hazards and Hazardous Materials, Hydrology and Water Quality, Land Use and Planning, Mineral Resources and Energy, Noise, Population and Housing, Public Services, Recreation, Transportation/Traffic, and Utilities/Service Systems. A full analysis/discussion of these issue areas is provided in the attached Initial Study. 2 The Project s compliance with AB 32 ensures its consistency with the reduction goals in the CAP because the reduction goals in the CAP are based on and consistent with the goals established in AB 32. at Tenth Avenue Marine Terminal MND-17 November 2014

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25 Draft Mitigated Negative Declaration V. MITIGATION MONITORING AND REPORTING PROGRAM Potential impacts associated with Air Quality and Greenhouse Gas Emissions were identified in the Mitigated Negative Declaration, but were found to be reduced to less than significant levels through the application of those mitigation measures described above and in Table 6 below. Table 6. at Tenth Avenue Marine Terminal Mitigated Negative Declaration Draft Mitigation Monitoring and Reporting Program Mitigation Measure(s) Responsible Party Mitigation Timing Monitoring and Reporting Procedures Air Quality MM-AQ1: If and when an importer or exporter is identified that would increase the throughput, to reduce the Project s operational NO X emissions to below a level of significance from 1, lb/day to lb/day, the District shall require that the refrigerated container ships associated with SDRS s new lease be equipped for and use shore power while the refrigerated container ships are berthed at the TAMT. Furthermore, because the shore power system at the TAMT can only accommodate one ship at a time, the refrigerated container ships associated with SDRS s new lease shall not be at berth at the same time as another ship that is utilizing the shore power system, unless additional electrical capacity to power more than one ship at a time is available. If the identified importer or exporter proposes the operation of non-refrigerated, non-containerized ships, the District shall analyze the proposed importer or exporter s operations, in particular, the ships specifications (e.g., engine size, vessel speed, and duration of operation), associated haul truck trips, associated worker/passenger vehicle trips, and equipment required to load and unload cargo, to ensure that operational emissions associated with the importer or exporter, in combination with any other new operations such as refrigerated vessels, do not exceed air pollutant emission thresholds for the San Diego Air Basin (see Table Air-2. Air Quality Screening- Level Thresholds). If air pollutant Applicant and District Prior to Project operation Applicant to provide documentation to demonstrate that shore power is used while their refrigerated container ships are berthed. District to analyze the proposed importer or exporter s operations, in particular, the ships specifications (e.g., engine size, vessel speed, and duration of operation), associated haul truck trips, associated worker/passenger vehicle trips, and equipment required to load and unload cargo, to ensure that operational emissions associated with the importer or exporter do not exceed air pollutant emission thresholds for the San Diego Air Basin. at Tenth Avenue Marine Terminal MND-19 November 2014

26 Draft Mitigated Negative Declaration Mitigation Measure(s) Responsible Party Mitigation Timing Monitoring and Reporting Procedures emissions associated with the operation of non-refrigerated, non-containerized ships (in combination with any other new operations, such as refrigerated vessels) are found to exceed the San Diego Air Basin thresholds (see Table 1. Air Quality Screening-Level Thresholds), additional measures, such as mandatory compliance with the District s vessel speed reduction program and requiring ships engines to be shut off while at berth, will be required by the District until a level of insignificance is reached, as verified through technical data by the District s Director of the Environmental and Land Use Management Department. Greenhouse Gas Emissions MM-GHG1: If and when an importer or exporter is identified that would increase the throughput, to reduce the Project s operational GHG emissions to below a level of significance from 1,349 MTCO 2 E to less than 900 MTCO 2 E, the District shall require that the refrigerated container ships associated with SDRS s new lease be equipped for and use shore power while the refrigerated container ships are berthed at the TAMT. Furthermore, because the shore power system at the TAMT can only accommodate one ship at a time, the refrigerated container ships associated with SDRS s new lease shall not be at berth at the same time as another ship that is utilizing the shore power system, unless additional electrical capacity to power more than one ship at a time is available. If the identified importer or exporter proposes the operation of non-refrigerated non-containerized ships, the District shall analyze the proposed importer or exporter s operations, in particular, the ships specifications (e.g., engine size, vessel speed, and duration of operation), associated haul truck trips, associated worker/passenger vehicle trips, and equipment required to load and unload cargo, to ensure that operational GHG emissions associated with the importer or exporter, in combination with any other new operations such, as refrigerated Applicant and District Prior to Project operation Applicant to provide documentation to demonstrate that shore power is used while their refrigerated container ships are berthed. District to analyze the proposed importer or exporter s operations, in particular, the ships specifications (e.g., engine size, vessel speed, and duration of operation), associated haul truck trips, associated worker/passenger vehicle trips, and equipment required to load and unload cargo, to ensure that operational emissions associated with the importer or exporter do not exceed GHG emission thresholds. at Tenth Avenue Marine Terminal MND-20 November 2014

27 Draft Mitigated Negative Declaration Mitigation Measure(s) Responsible Party Mitigation Timing Monitoring and Reporting Procedures vessels, do not exceed the 900 MTCO 2 E CAPCOA threshold. If GHG emissions associated with the operation of nonrefrigerated non-containerized ships (in combination with any other new operations, such as refrigerated vessels) are found to exceed the 900 MTCO 2 E CAPCOA threshold, additional measures, such as mandatory compliance with the District s vessel speed reduction program and requiring ships engines to be shut off while at berth, will be required by the District until the total GHG emissions of the new vessels is less than 900 MTCO 2 E, as verified through technical data by the District s Director of the Environmental and Land Use Management Department. Reporting and documentation of implementation of the above mitigation measures shall be performed in accordance with District Administrative Policy No The Project mitigation measures will be made a specific condition of the applicant's Coastal Development Permit for the Project issued pursuant to District Administrative Procedure No at Tenth Avenue Marine Terminal MND-21 November 2014

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29 Draft Mitigated Negative Declaration VI. FINDINGS The Project, with the incorporation of mitigation measures and monitoring program, will have no significant impact on the environment with respect to air quality or greenhouse gas emissions, nor would the Project otherwise have potentially significant adverse impacts to aesthetics, agricultural and forest resources, biological resources, cultural resources, geology and soils, hazards and hazardous materials, hydrology and water quality, land use and planning, mineral resources and energy, noise, population and housing, public services, recreation, transportation/traffic, and utilities and service systems. at Tenth Avenue Marine Terminal MND-23 November 2014