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general and industry- specific protocols for assessing and reporting GHG emissions have been <br />developed. GHG sources are categorized into direct sources (i.e. company owned) and indirect <br />sources (i.e. not company owned). Direct sources include combustion emissions from on -and <br />off -road mobile sources, and fugitive emissions. Indirect sources include off -site electricity <br />generation and non - company owned mobile sources. <br />Greenhouse Gas Emissions Significance Thresholds <br />In response to the requirements of S1397, the State Resources Agency developed guidelines for <br />the treatment of GHG emissions under CEQA. These new guidelines became state laws as part <br />of Title 14 of the California Code of Regulations in March, 2010. The CEQA Appendix G <br />guidelines were modified to include GHG as a required analysis element. A project would have <br />a potentially significant impact if it: <br />• Generates GHG emissions, directly or indirectly, that may have a significant impact on <br />the environment, or, <br />• Conflicts with an applicable plan, policy or regulation adopted to reduce GHG emissions. <br />Section 15064.4 of the Code specifies how significance of GHG emissions is to be evaluated. <br />The process is broken down into quantification of project - related GHG emissions, making a <br />determination of significance, and specification of any appropriate mitigation if impacts are <br />found to be potentially significant. At each of these steps, the new GHG guidelines afford the <br />lead agency with substantial flexibility. <br />Emissions identification may be quantitative, qualitative or based on performance standards. <br />CEQA guidelines allow the lead agency to "select the model or methodology it considers most <br />appropriate." The most common practice for transportation/combustion GHG emissions <br />quantification is to use a computer model such as CalEEMod, as was used in the ensuing <br />analysis. <br />The significance of those emissions then must be evaluated; the selection of a threshold of <br />significance must take into consideration what level of GHG emissions would be cumulatively <br />considerable. The guidelines are clear that they do not support a zero net emissions threshold. If <br />the lead agency does not have sufficient expertise in evaluating GHG impacts, it may rely on <br />thresholds adopted by an agency with greater expertise. <br />On December 5, 2008 the SCAQMD Governing Board adopted an Interim quantitative GHG <br />Significance Threshold for industrial projects where the SCAQMD is the lead agency (e.g., <br />stationary source permit projects, rules, plans, etc.) of 10,000 Metric Tons (MT) COZ <br />equivalentlyear. In September 2010, the Working Group released revisions which recommended <br />a threshold of 3,500 MT COze for residential projects. This 3,500 MT /year recommendation has <br />been used as a guideline for this analysis. Some jurisdictions have adopted a numerical annual <br />GHG emissions level as a CEQA threshold of significance. Others have taken the numerical <br />threshold to be an indicator level that signals a requirement for incorporating reasonable and <br />feasible enhanced "greed' building practices without formal adoption of an absolute significance <br />standard. <br />Ium a rs, AQ .H- <br />