Marty Bernard Wrote:
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> Hey, they are new technology. It will take time
> to work out the bugs.

Unfortunately, the problems with the units that SP5103 described have existed since the units were first conceived, and because of their design are not fixable. The big draw for the railroads is their EPA emissions status, and that often government agencies will fund their purchase either in full or in part.

For example, here's a copy of the Incentive Agreement between UP and the Sacramento AQMD regarding the purchase of the six-axle GenSets being used on the Roseville hump. (I'm copying-and-pasting it from a .pdf document, so it may be a little hard to read.)

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Incentive Agreement with UPRR

May 22, 2008

SACRAMENTO METROPOLITAN AIR QUALITY MANAGEMENT DISTRICT

For the Agenda of: May 22, 2008

To: Board of Directors
Sacramento Metropolitan Air Quality Management District

From: Larry Greene
Air Pollution Control Officer

Subject: Adopt a Resolution Authorizing the Chairman of the Board to Execute an
Agreement with Union Pacific Rail Road

Purpose
The purpose of this resolution is to:
1. Authorize the Chairman of the Board execute agreement VET-08-0059 for $1,650,000
with Union Pacific Rail Road.
2. Direct the Clerk of the Board to forward the fully executed Resolution and agreement to
the interested parties.

Authority
Health and Safety Code Section 40961 identifies the District as the local agency within the
boundaries of the Sacramento district with the primary responsibility for the development,
implementation, monitoring, and enforcement of air pollution control strategies, clean fuel
programs, and motor vehicle use reduction measures.
Health and Safety Code Section 41062(a) directs the District to develop air quality improvement
strategies that include demonstration programs and incentives to encourage the use of control
measures providing equivalent emission reductions within the District.
Under Health and Safety Code Section 41082, the District may undertake programs which may
include financial assistance to fleet operators for the purchase, conversion, or operation of lowemission
motor vehicles, financial assistance or other incentives to encourage the sale and
distribution of clean burning fuels.

Previous Actions
On February 5, 1998, your Board approved Resolution No. 98-0007, which authorized the
creation of the Heavy-Duty Low Emission Vehicle Incentive Program (HDLEVIP) for the purpose
of reducing emissions from heavy-duty mobile sources within the Sacramento Federal
Nonattainment Area.
On April 28, 2005, your Board approved Resolution No. 2005-031, which requires proposed
HDLEVIP projects exceeding $250,000 to be approved by the Board.
On January 26, 2006, your Board approved Resolution No. 2006-006, which authorized the
APCO to negotiate and enter into an Agreement with Union Pacific for the purchase and
installation of Tier 3 engines on a switcher locomotive operating at the Union Pacific
Maintenance Yard at the Roseville Rail Yard. The technology for this proposed project will
provide funds to help install the same equipment in two additional switch engine locomotives.
Background
In October 2004, the Placer County Air Pollution Control District (PCAPCD) released findings of
a study conducted by the California Air Resources Board regarding airborne particulate matter
(PM) emissions from diesel-fueled locomotives at the Union Pacific J. R. Davis Yard, located in
Roseville, California. The study results indicate there are elevated concentrations of diesel PM
(a toxic air contaminant) and associated cancer risks impacting a large area surrounding the rail
yard, including a portion of Sacramento County.
On April 18, 2005, the District responded to a California Air Resources Board (CARB) Request
for Proposals for Multi-District Funds (Year 7) in partnership with Placer County Air Pollution
Control District (APCD) and Union Pacific Rail Road (co-applicants) with the District as the lead
agency.
In June 2005, CARB awarded a $500,000 grant to the District. The District entered into a
contract with the Union Pacific Rail Road to partially fund the repower of one (1) switch engine
locomotive operating at the J. R. Davis Yard. This project is currently in progress.
On April 13, 2006, the District, in cooperation with the Placer County Air Pollution Control
District and the Union Pacific Rail Road with the SMAQMD as lead agency, responded to a
CARB Request for Proposals for Multi-District Funds (Year 8) for the Alternative Technology
Switch Locomotive Purchase Project category and requested $2,655,000.
On June 15, 2006, CARB awarded a $2,475,000 Grant Award to the District.

Description
The District proposes to enter into a contract with the Union Pacific for the purchase of two (2)
switch engine locomotives, each equipped with three (3) Tier 3 off-road diesel engines. These
switch engine locomotives will operate at the J. R. Davis Yard at the Roseville Rail Yard. The
engine emissions will meet Tier 3 standards, the most stringent California Air Resources Board
off-road engine certification standard currently available.
Switch engine locomotives are the oldest and dirtiest locomotives in the Rail Yard inventory.
These locomotives typically stay within the Rail Yard. The primary operation of the switch
engine locomotives will be in the hump and trim area of the Rail Yard, which operates 24 hours
a day and 365 days a year. Implementation of the previously approved and currently proposed
projects will result in the lowest emission technology available for all six of the switch engines
operating in the hump and trim area. The hump and trim area is bisected by the southern
Placer County/northern Sacramento County boundary. The switch engine locomotives will be
split equally between Sacramento and Placer counties.
The District has funded the first four switch engine locomotives under previous agreements.
This proposed agreement will fund the last two remaining uncontrolled switch engine
locomotives operating in the hump and trip operation providing significant air quality benefits to
the region.

Fiscal Impact
The District's will use $1,650,000 in existing Carl Moyer Year 9 Memorial funds in the 2007-08
budget to support the project.
Attachments
Attachment A – Sample contract between Union Pacific Rail Road and the Sacramento
Metropolitan Air Quality Management District
Respectfully submitted,
Larry Greene
Air Pollution Control Officer
Reviewed by:
Kathrine Pittard
District Counsel