The Houston-Galveston Emission Reduction Credit Corporation an Area Emission Reduction Credit Organization (AERCO) was created to promote regional air quality improvement and economic development.  It is operated according to its bylaws and applicable Texas laws as a nonprofit corporation.  The H-GAC Board appoints members of the AERCO board and H-GAC serves as the fiscal agent for AERCO.

Historically, AERCO has received and disbursed grant funds from state and federal supplemental environmental projects, donations, and court ordered consent decrees resulting from air quality environmental settlements. These funds are typically made to school districts and local governments located in impacted areas that were the genesis for the fines or court ordered settlements.

A Consent Decree has been finalized by Pasadena Refining System, Inc. (PRSI) with Environment Texas and Sierra Club under which PRSI will fund AERCO's Vehicle Emission Reduction program in the amount of $3,175,000. These funds will be used to support zero and near zero emission clean vehicles and equipment used by school districts and local governments in the geographic area of Galena Park, Pasadena, and southeast Harris County.

Private sector funding in the amount of $3,175,000.

No

Request authorization to enter into Consent Decree Agreement to accept $3,175,000 into the AERCO account. (Staff Contact: Alan Clark)