The Air Pollution Control District's proposed budget of $6,085,709 for Fiscal Year (FY) 2025-2026 is available and represents a 17% decrease from FY 2024-2025. As previously approved in June 2022, the following changes apply in District Rule 302 beginning July 1, 2025:
The District’s permit renewal factor “x”, which is applicable to all permit renewal fee categories detailed in Rule 302, Section E, increases from $99 to $104. Individual permit renewal fees increase accordingly based on each stipulated fee formula.
The District’s hourly billing rate “r” for reimbursable permit services is adjusted 3.1%, increasing from $198.10 to $204.24 based on the Consumer Price Index (CPI).
In addition, the following changes to Rule 302, Schedule of Fees, are proposed:
On July 1, 2026 and July 1, 2027, the permit renewal factor “x” would increase annually by 6.0% or CPI, whichever is greater. Beginning July 1, 2028, the permit renewal factor “x” would increase annually based upon CPI.
The following fees would be rounded down to the nearest whole dollar: Permit Application Filing fee (Section B), Transfer of Ownership Fee (Section I), Modified Permit Conditions Fee (Section J), Asbestos NESHAP Fees (Section N), Naturally Occurring Asbestos Project Review Fee (Section S), Wine Operations Registration Fee (U), and Conditional Permit Exemption fee (X).
Other changes are proposed to Section E that will not affect any facility’s fees or District revenue but instead are intended to simplify or clarify the rule. These are:
Dry Cleaning Operations: As perchloroethylene based dry cleaning has been phased out, PFC 15a (“Dry Cleaning Operations – Perchloroethylene based”) will be deleted, and 15b “(Dry Cleaning Operations – Other Solvent based”) will be renumbered as 15 and renamed “Dry Cleaning Operations”.
Coffee Roasters: Clarify that the production rate used for PFCs 8a-d is in terms of the amount of green coffee processed.
Sandblasting Equipment: Rename this category (PFC 50) “Abrasive Blasting Equipment.”
Motor vehicle and mobile equipment coating, Printing operations, and Surface coating or adhesive application operations: The affected PFCs are 33a-c, 46a-c, and 53a-c. Instead of categorizing facilities by the volume of VOCs used (in gallons), all facilities would be charged a base fee, and facilities emitting high quantities of VOCs would be subject to an additional fee. Specifically, those using 15 to 100 lbs VOCs/year would be subject to one additional fee, and those using more than 100 lbs VOCs/year would be subject to a different, higher, additional fee. The proposed thresholds of 15 and 100 lbs/year correspond to the current volume-based thresholds of 100 and 700 gal/year, so this change will not affect any facility’s fees, but it will simplify fee calculations and provide greater transparency.
Minor fixes to capitalization and punctuation.
Click here to view a summary of the FY 2025-2026 Proposed Budget and supporting documents, including a current schedule of fees (in PDF format). This summary is also available (starting April 16) for public review at the District office during business hours (Mondays - Thursdays 8:00 a.m. to 12:00 noon, and 1:00 p.m. to 5:00 p.m., Fridays by appointment) and at the public libraries in Arroyo Grande, Atascadero, Morro Bay, Nipomo, Paso Robles, and San Luis Obispo during their normal business hours.
Most of the District’s funding comes from fees paid by businesses and industries that cause air pollution and from an air quality fee for vehicles registered in San Luis Obispo County. Other minor funding sources include state and federal grants and some property taxes. The APCD does not ordinarily receive funding from city or county general funds.
The District operates on the governmental fiscal cycle that begins on July 1 of each year and ends on June 30. The budget allocation for FY 2025-2026 is scheduled for hearing presentation at the May 21 and June 18, 2025 APCD Board meetings, with final approval scheduled for the June 18 meeting.
Fiscal Plan
The Fiscal Plan evaluates historical and projected future APCD expenditures and revenue in the context of the adopted Strategic Action Plan (SAP) and current fiscal constraints. It also identifies the fiscal strategies needed to ensure the District has sufficient resources to accomplish our mission and mandates into the foreseeable future.
