Audit report concerning the Admin. of the Carl Moyer Memorial Air Quality Standards Attainment Program by the Cal. State Air Resources Board & the 4 local air dist. Policies & practices they used resulted in the Moyer Program achieving less cost-effective emission reductions than it otherwise could have achieved. Calif. law impedes emission reductions by allowing the state board to set aside only 10% of Moyer Program funds for projects that operate in more than one dist. A higher cap could lead to projects having intended emission reductions with lower costs per ton. Also, the methodology the state board uses to select projects for the multi-district component undervalues the cost-effectiveness of emission reductions. Illustrations.