January 28, 2020 Mr. Russell L. Crane Volkswagen Environmental Mitigation Trust c/o Wilmington Trust, N.A. as Trustee 1100 North Market Street Attn: Capital Markets & Agency Services Wilmington, DE 19890 Dear Mr. Crane, The Missouri Department of Natural Resources has enclosed the information necessary to complete the semi-annual reporting requirement found in paragraph 5.3 of the Volkswagen Environmental Mitigation Trust Agreement for State Beneficiaries. The department has collected the data relevant to reporting requirements for the six-month period of July 1, 2019, to December 31, 2019. Thank you for attention to this matter. If you have any questions regarding this submission, please contact Emily Wilbur, with the department’s Air Pollution Control Program at P.O. Box 176, Jefferson City, MO 65102 or by phone at (573) 751-7840 or email at [email protected]. Sincerely, AIR POLLUTION CONTROL PROGRAM Darcy A. Bybee Director DAB:lbc Enclosure (.} Recycled paper Environmental Mitigation Trust Agreement for State Beneficiaries: Semi-Annual Report Reporting Period: July 1, 2019 through December 31, 2019 Submitted on January 30, 2020 Missouri Department of Natural Resources Category 2: Government Owned Medium and Large Trucks: EMA 6, EMA 1 The Department selected Category 2 projects for funding using a ranking system based on NO x reduction, cost effectiveness, and area of operation. In two application periods, one in April 2019 and one in August 2019, the Department selected the highest scoring projects for funding from three fund pools: St. Louis, Kansas City, and Rest of State. The first of these projects were completed and paid between August and November of 2019, and the rest are expected to be completed in spring of 2020. A project is complete when the new truck has been delivered, the old truck has been disabled, and proof of payment is verified. Category 3: Transit and Shuttle Buses: EMA 2 The Department selected Category 3 projects for funding using a ranking system based on NO x reduction, cost effectiveness, and area of operation. In two application periods, one in April 2019 and one in August 2019, the Department selected the highest scoring projects for funding from three fund pools: St. Louis, Kansas City, and Rest of State. The first of these projects submitted a purchase order in July of 2019 with expected vehicle delivery in spring of 2020; the rest of the awarded projects have not yet submitted purchase orders. None of the awarded projects from these application periods have been completed or paid. A project is complete when the new bus has been delivered, the old bus has been disabled, and proof of payment is verified. Category 4: Nongovernment Owned Medium and Large Trucks: EMA 6, EMA 1 The Department selected Category 4 projects for funding using a ranking system based on NO x reduction, cost effectiveness, and area of operation. The Department opened an application period in October 2019, and selected the highest scoring projects for funding from three fund pools: St. Louis, Kansas City, Rest of State. Projects not selected as part of one of the three fund pools were ranked and selected from a Statewide pool. The awarded projects have not yet submitted purchase orders and none have been paid or completed. Purchase orders and project completion are expected in spring of 2020. Completion of a project implies that the new vehicle has been delivered, the old vehicle has been disabled, and proof of payment is verified Category 5: Locomotive and Marine: EMA 3, EMA 4 The Department selected Category 5 projects for funding using a ranking system based on NO x reduction, cost effectiveness, and area of operation. This category includes both EMA 3 for switch locomotives and EMA 4 for marine engine repowers; however the air program did not receive any applications for projects falling under EMA 3. The Department opened an application period in October 2019, and selected the highest scoring projects for funding from three fund pools: St. Louis, Kansas City, and Rest of State. The awarded projects have not yet submitted purchase orders and none have been paid or completed. Purchase orders and project completion are expected in spring of 2020. Completion of a project implies that the new vehicle has been delivered, the old vehicle has been disabled, and proof of payment is verified Category 6: Airport and Cargo Handling Equipment: EMA 7, EMA 8 The Department selected Category 6 projects for funding using a ranking system based on NO x reduction, cost effectiveness, and area of operation. This category includes both EMA 7 for airport ground support equipment and EMA 8 for forklifts and port cargo handling equipment; however the air program did not receive any applications for projects falling under EMA 7. The Department opened an application period in October 2019, and selected the highest scoring projects for funding from three fund pools: St. Louis, Kansas City, and Rest of State. The awarded projects have not yet submitted purchase orders and none have been paid or completed. Purchase orders and project completion are expected in spring of 2020. Completion of a project implies that the new vehicle has been delivered, the old vehicle has been disabled, and proof of payment is verified Category 7: DERA Option: EMA 10 The Department opened an application period in October 2019, and selected Category 7 projects by lottery, with preference for projects which qualify for DERA grants, but which do not qualify for other Volkswagen Trust Categories. The selected projects include both nonroad equipment replacements and repowers and school bus replacements. The air program is in the process of submitting a D-4 for this category. The awarded projects have not yet submitted purchase orders and none have been paid or completed. Completion of a project implies that the new vehicle has been delivered, the old vehicle has been disabled, and proof of payment is verified. Est. Lifetime New Category 2: Government Owned Allocation Awarded Fuel Awarded NOx Funding Funding Total Project Trucks (Class 4-8) From Trust Applications Vehicles Reduction Awarded Disbursed Cost Type (tons) Total: $1,220,630.00 13 diesel 34 39.863 $1,445,594.60 $404,900.00 $4,315,877.90 Medium (Class 50% Cost Share $75,000.00 6 diesel 14 15.685 $541,439.10 $50,000.00 $1,339,972.00 4-7) Replacement 50% Cost Share Large (Class 8) $1,145,630.00 7 diesel 20 24.178 $904,155.50 $354,900.00 $2,975,905.90 Replacement Est. Lifetime New Category 3: Transit Buses, Shuttle Allocation Awarded Fuel Awarded NOx Funding Funding Total Project Buses From Trust Applications Vehicles Reduction Awarded Disbursed Cost Type (tons) CNG, Total: $0.00 4 All- 5 33.073 $1,001,819.00 $0.00 $147,638.00 Electric CNG, 50% Cost Share Transit Buses 4 All- 5 33.073 $1,001,819.00 $0.00 $147,638.00 Replacement Electric Est. Lifetime New Category 4: Nongovernment Owned Allocation Awarded Fuel Awarded NOx Funding Funding Total Project Trucks (Class 4-8) From Trust Applications Vehicles Reduction Awarded Disbursed Cost* Type (tons) CNG, Total: $0.00 21 187 632.9265 $5,367,090.17 $0.00 $21,468,360.68 Diesel Medium (Class 25% Cost Share 3 Diesel 25 35.015 $454,136.63 $0.00 $1,816,546.52 4-7) Replacement 25% Cost Share CNG, Large (Class 8) 18 162 597.9115 $4,912,953.54 $0.00 $19,651,814.16 Replacement Diesel Est. Lifetime New Category 5: Locomotive and Allocation Awarded Fuel Awarded NOx Funding Funding Total Project Marine From Trust Applications Vehicles Reduction Awarded Disbursed Cost* Type (tons) Total: $0.00 2 Diesel 2 193.89 $576,306.00 $0.00 $1,440,765.00 Marine I 40% Cost Share 2 Diesel 2 193.89 $576,306.00 $0.00 $1,440,765.00 Repowers Repower Est. Lifetime New Category 6: Airport and Cargo Allocation Awarded Fuel Awarded NOx Funding Funding Disbursed Total Project Equipment From Trust Applications Vehicles Reduction Awarded Cost* Type (tons) Total: $0.00 2 Electric 3 85.364 $437,212.00 $0.00 $874,424.00 I 50% Cost Share Cargo Equipment 2 Electric 3 85.364 $437,212.00 $0.00 $874,424.00 Replacement Est. Lifetime New Category 7: DERA Option Allocation Awarded Fuel Awarded NOx Funding Funding Disbursed Total Project From Trust Applications Projects Reduction Awarded Cost* Type (tons) Diesel, Total: $0.00 14 18 40.4205 $806,401.50 $0.00 $3,225,606.00 Gasoline Nonroad Equipment 5 Diesel 9 38.093 $596,464.00 $0.00 $2,385,856.00 Diesel, School Buses 9 9 2.3275 $209,937.50 $0.00 $839,750.00 Gasoline Est. Lifetime New Department of Corrections Allocation Awarded Fuel Awarded NOx Funding Funding Disbursed Total Project (Categories 2 and 3) From Trust Applications Vehicles Reduction Awarded Cost Type (tons) Total: $342,300.00 1 Diesel 9 3.394 $972,021.28 $0.00 $1,064,684.95 Medium (Class - Diesel 1 0.02 $100,590.00 $0.00 $88,279.25 4-7) Category 2 Large (Class 8) - Diesel 5 2.388 $529,131.28 $0.00 $634,105.70 Transit and Category 3 $342,300.00 - Diesel 3 0.986 $342,300.00 $0.00 $342,300.00 Shuttle Bus Est. Lifetime Allocation Awarded New Fuel Awarded Funding Funding Total Project Eligible Mitigation Actions From Trust Applications Type Vehicles NOx Awarded Disbursed Cost* Reduction (tons) Diesel, CNG, Total: $1,220,630.00 52 Gasoline, 253 749.677 $9,979,453.05 $404,900.00 $32,537,356.53 All- Electric Diesel, EMA 1 $1,145,630.00 25 187 624.4775 $6,346,240.32 $354,900.00 $23,261,825.76 CNG Diesel, EMA 2 $342,300.00 4 CNG, All- 8 34.059 $1,344,119.00 $0.00 $489,938.00 Electric EMA 4 $0.00 2 Diesel 2 193.89 $576,306.00 $0.00 $1,440,765.00 EMA 6 $75,000.00 9 Diesel 40 50.72 $1,096,165.73 $50,000.00 $3,244,797.77 EMA 8 $0.00 2 Diesel 3 85.364 $437,212.00 $0.00 $874,424.00 Diesel, EMA 10 $0.00 14 18 40.4205 $1,192,928.00 $0.00 $3,225,606.00 Gasoline *Some Total Project Cost values are estimates based on the awarded funding and the category funding percentage. Allocation from Eligible Mitigation Administrative Trust from July to Action Costs December 2019 EMA 1: $33,835.55 $8,418.23 EMA 2: $35,757.57 EMA 6: $2,625.00 $417.41 EMA 10: $0.00 Total: $44,593.21 This information is true and correct and the submission is made under penalty of perjury. Darcy A. Bybee, Air Pollution Control Program Director