BOARD MEETING DATE: September 10, 1999 AGENDA NO. 7


PROPOSAL:

Execute Contracts for On- and Off-Road Projects Awarded Under Carl Moyer Memorial Air Quality Standards Attainment Program

SYNOPSIS:

On April 9, 1999, the Board approved the release of an RFP to implement the Carl Moyer Memorial Air Quality Standards Attainment Program for low-emission on- and off-road vehicles and equipment, including marine, construction and agricultural equipment. On August 13, 1999 the Board approved the award of $4,996,034 for on-road clean fuel trucks. Staff proposes to award contracts to fund the differential cost of alternative fuel transit and school buses, off-road equipment, and marine vessels for a total funding of $7,349,702 with $6,276,986 from the Carl Moyer Program Fund and $1,072,716 from the Clean Fuels Program Fund.

COMMITTEE:

Technology, August 27, 1999. Less than a quorum was present; those Committee Members who were present communicated their concurrence.

RECOMMENDED ACTION:

Authorize the Chairman to execute the following contracts as part of the Carl Moyer Program:

  1. A contract with SunLine Transit District to fund the purchase of six natural gas transit buses and the repower of three transit buses with new natural gas engines in an amount not to exceed $60,075 from the Carl Moyer Program Fund.
  2. A contract with Omnitrans for the purchase of 38 natural gas transit buses in an amount not to exceed $390,982 from the Carl Moyer Program Fund.
  3. A contract with Los Angeles County Metropolitan Transportation Authority for the purchase of 73 natural gas transit buses in an amount not to exceed $2,044,000 from the Carl Moyer Program Fund.
  4. A contract with Department of Water and Power for funding of 25 electric buses in an amount not to exceed $450,000 from the Clean Fuels Program Fund.
  5. A contract with the City of Anaheim for the funding of 10 hybrid electric buses in an amount not to exceed $115,500 from the Clean Fuels Program Fund.
  6. A contract with Alta Loma School District for the purchase of two natural gas school buses and installation of natural gas fueling infrastructure in an amount not to exceed $119,608 from the Clean Fuels Program Fund.
  7. A contract with Desert Sands Unified School District for the purchase of two natural gas school buses and installation of natural gas fueling infrastructure in an amount not to exceed $118,000 from the Clean Fuels Program Fund.
  8. A contract with Montebello Unified School District for the purchase of two natural gas school buses and installation of natural gas fueling infrastructure in an amount not to exceed $119,608 from the Clean Fuels Program Fund.
  9. A contract with Lucky Stores, Inc, for the purchase of two propane yard hostlers and the repowering of five additional hostlers to propane in an amount not to exceed $119,260 from the Carl Moyer Program Fund.
  10. A contract with Marine Terminals Corporation for the purchase of five yard hostlers in an amount not to exceed $55,485 from the Carl Moyer Program Fund.
  11. A contract with HomeBase, Inc. for 20 electric forklifts, in an amount not to exceed $372,000 from the Carl Moyer Program Fund and electric charging infrastructure in an amount not to exceed $40,000 from the Clean Fuels Program Fund.
  12. A contract with Lowe’s Home Improvement Warehouse, Inc. for 40 electric forklifts from the Carl Moyer Program Fund in an amount not to exceed $480,000 and electric charging infrastructure in an amount not to exceed $80,000 from the Clean Fuels Program Fund.
  13. A contract with Avery Dennison for the purchase of nine electric forklifts in an amount not to exceed $108,000, from the Carl Moyer Program Fund, and electric charging infrastructure in an amount not to exceed $10,000 from the Clean Fuels Program Fund.
  14. A contract with Toyota Auto Body California Inc. (TABC) for the purchase of one electric forklift in an amount not to exceed $18,600 from the Carl Moyer Program Fund.
  15. A contract with Honeyville Grain, Inc. for the purchase of three electric forklifts in an amount not to exceed $55,800 from the Carl Moyer Program Fund.
  16. A contract with Harbor Distributing, LLC for the purchase of 32 electric forklifts in an amount not to exceed $410,400 from the Carl Moyer Program Fund and electric charging infrastructure in an amount not to exceed $20,000 from the Clean Fuels Program Fund.
  17. A contract with Monterey Carpets, Inc. for the purchase of two electric forklifts in an amount not to exceed $37,200 from the Carl Moyer Program Fund.
  18. A contract with the County Sanitation Districts of Los Angeles County for the rebuild of nine diesel-fuel tractors with cleaner diesel engines in an amount not to exceed $190,000 from the Carl Moyer Program Fund.
  19. A contract with Seaboard Marine for the purchase of two new ARB certified diesel-fuel engines for marine application in an amount not to exceed $93,994 from the Carl Moyer Program Fund.
  20. A contract with OceanAir Environmental for the purchase of six new ARB certified diesel-fuel engines for marine application in an amount not to exceed $1,841,190 from the Carl Moyer Program Fund.
  21. A memorandum of understanding with Southern California Edison to collect and analyze data on the operation of forklifts at Harbor Distributing, Lowes Home Improvement Warehouses, Avery-Dennison, and Honeyville Grain, Inc.

Barry R. Wallerstein, D.Env.
Executive Officer


Background

The federal Clean Air Act Amendments of 1990 classified the South Coast Air Basin as "extreme" nonattainment for ozone, and "serious" nonattainment for fine particulate matter (PM10) and carbon monoxide. In September 1998, the California Air Resources Board (ARB) approved its Scientific Review Panel's recommendation and listed diesel particulate as a toxic air contaminant based on its potential human cancer risk. With an increasing number of trucks and other heavy-duty vehicles and a multiplying of vehicle miles traveled (VMT), the need for reducing emissions from these sources is critically important to meet clean air goals.

The majority of heavy-duty vehicles in the Basin are powered by diesel engines, which contribute significantly to the Basin’s emissions of NOx and particulates. The AQMD has long recognized the adverse air quality and health impacts of diesel exhaust. The AQMD’s Environmental Justice Initiative No. 7 targets the reduction of diesel exhaust in the Basin. The Governing Board reaffirmed its position supporting the purchase and use of alternative fuel vehicles in transit and other fleets at its October 1998 meeting. At the January 1999 Board meeting, the Governing Board adopted a "Children’s Air Quality Agenda" to pursue additional measures to protect children from the disproportionate impacts of diesel exhaust.

In FY 1998-99 the ARB was allocated $25 million in its budget for incentives for the purchase of low emission heavy-duty engines. ARB established the Carl Moyer Memorial Air Quality Standards Attainment Program (Carl Moyer Program) to provide funding for low emission heavy-duty vehicles, off-road vehicles and equipment, marine, and locomotive engines. The program is named after the late Dr. Carl Moyer, in recognition of his work in the air quality field, and his efforts in bringing about this incentive program. ARB developed overall program requirements and criteria, and allocated funds to the local air districts for program administration. The AQMD was allocated $11,275,020 in Carl Moyer funds.

At its April 1999 meeting, the Governing Board approved the release of RFP 9899-28 to solicit projects for low-emission, on- and off-road vehicles and equipment, including refuse trucks, over-the-road trucks, transit and school buses, construction equipment, marine and port applications, and other vehicles and equipment. New engines, repowers and retrofits are allowed within the program. ARB required that all projects meet a $12,000/ton cost effectiveness for NOx reductions, that engines and retrofit kits must be certified to ARB low NOx standards, and that emission reductions be a minimum of 25% for retrofits and 30% for new engines. In addition, AQMD determined that clean, alternative fuels would be given funding priority.

Recognizing the contribution to the emissions inventory, projects were divided into two categories with proportionate funding goals. The categories and respective funding goals include:

  • On-Road Heavy-Duty Vehicles  

$7,517,347

  

Clean Fuel First-come, First-served  

$5,000,000

  

All other On-Road Proposals submitted on or before July 1, 1999   

$2,517,347
  • Off-Road Heavy-Duty Vehicles & Equipment  

$3,757,673

Before the closing date of July 1, 1999 the AQMD received proposals totaling approximately $50 million, far exceeding the $11.3 million available. All proposals were reviewed by AQMD and ARB staff for completeness and accuracy, to determine compliance with ARB criteria and calculate cost effectiveness. At its August 13, 1999 meeting, the Governing Board approved contract awards for proposals within the On-Road Clean Fuel Truck portion of RFP 9899-28. These proposals totaled $4,996,034.

Proposal

AQMD and ARB staff have completed review of the remaining on-road vehicle and off-road vehicles and equipment applications. This Board Letter requests approval for awards for transit, shuttle and school buses, off-road equipment, and marine vessels. For both the on-road and off-road categories proposals were ranked first with clean fuel preference and then by cost-effectiveness. Table 1 summarizes staff recommendation of awards for 15 projects for a total funding of $6,276,986 under the Carl Moyer Program. These recommended awards, and the $4,996,034 approved by the Board on August 13, 1999 for on-road clean fuel trucks, total $11,273,020 and constitute the entire first year awards under the Carol Moyer Program. The first-year Carl Moyer Project is expected to achieve 6,741 tons of NOx reduction, and purchase/replace 360 vehicles/engines, at an overall cost-effectiveness of $2,191 per ton of NOx removed.

In addition, staff has examined the balance of the proposals and recommends that a total of $1,072,716 be funded out of the Clean Fuels Program Fund for five additional projects for school buses and infrastructure, electric buses and hybrid electric buses, as well as electric charging systems for four forklift projects proposed for funding under the Carl Moyer Program. Table 2 summarizes the categories of vehicles/engines/equipment and the proposed funding under the Clean Fuels Program Fund in support of the Carl Moyer Program.

The staff has reviewed these proposed awards with the Carl Moyer Program Advisory Group.

Transit Buses

The RFP set aside $5,000,000 for on-road trucks, with the remainder, $2,517,347, for other on-road vehicles, including transit and school buses. RFP 9899-28 allowed funding only for alternative fuel buses. These bus proposals were ranked according to cost-effectiveness. The AQMD received proposals from three transit agencies, Los Angeles County Metropolitan Transportation Authority (LAC-MTA), SunLine Transit District (SunLine), and Omnitrans, for 150 alternative fuel transit buses, totaling $3,463,937. This amount exceeds the remaining available on-road Carl Moyer Program funding of $2,521,313. In addition, two other proposals were received requesting funds for electric and electric hybrid buses. Staff recommends the use of Clean Fuels Program Fund for these two proposals. All proposals were ranked on a cost-effectiveness basis. Based on the cost-effectiveness ranking, staff proposes that awards be made to:

  1. Sunline Transit proposes the purchase of six new natural gas buses and repower of three existing diesel buses to natural gas, totaling $60,075. Sunline has had a long term commitment to the use of natural gas; all 40 of their existing transit buses are CNG. The six new proposed buses will be additions to the fleet. In addition to the proposed new bus purchases, Sunline has purchased three buses from another transit agency and proposes to repower those buses to natural gas. The repowered buses will be used for long-haul service from the Coachella Valley to the Metrolink Station in Riverside.

  1. Omnitrans proposes to purchase 38 new natural gas buses, totaling $390,982. Omnitrans owns 146 transit buses that are used for local fixed route service in San Bernardino Valley. Omnitrans operates a fleet of 153 fixed route coaches, and has committed itself to transitioning this fleet from diesel to alternative fuel. Omnitrans has already purchased 71 CNG buses and has an additional 71 on order.

  1. Los Angeles Metropolitan Transportation Authority (MTA) proposes the purchase of 100 CNG buses. MTA has been a leader in the nation in the development and implementation of alternative fuel buses in its fleet. MTA’s fleet size of 2,250 buses makes it the largest transit agency in the Basin. MTA is currently operating 596 CNG buses, and with currently procurement plans, will soon have more than 1300 clean fuel vehicles in its fleet. The MTA proposed cost-effectiveness is higher than those proposed by Sunline and Omnitrans. Staff recommends that MTA receive $2,044,000 (the balance of the fund allocated for buses), which will fund the purchase of 73 CNG buses.

  1. The Los Angeles Department of Water and Power submitted a proposal for electric shuttle buses. Recognizing the early commercialization nature of this proposal and the high cost effectiveness associated with the project as proposed, staff recommends funding this project from Clean Fuels Program Fund, based on the average cost effectiveness of $4,240 calculated for the three transit buses projects proposed for Carl Moyer Program funding. The proposal is for 25 electric shuttle buses; staff recommendation for funding is $450,000 from the Clean Fuels Program Fund.

  1. The City of Anaheim proposes to purchase 10 new hybrid electric buses. The City of Anaheim is joining with a consortium of public transit providers from around the country and the Electric Power Research Institute (EPRI) to jointly purchase heavy duty electric and hybrid electric buses. The buses will replace existing shuttle vehicles operated by local hotels/motels and by private transportation providers. Recognizing the early commercialization nature of this technology and the high cost effectiveness associated with the project as proposed, staff recommends funding this project from Clean Fuels Program Fund based on an average cost effectiveness of $4,240 calculated for bus projects receiving Carl Moyer Program funding. Total Clean Fuels Program Funding recommended for this project is $115,500.

Total funding proposed for alternative fuel transit buses is $3,060,557; $2,495,057 from the Carl Moyer Program, and $565,500 from the Clean Fuels Program Fund.

School Buses

Alternative fuel school buses present a unique opportunity to reduce emissions and protect the health of children. There are approximately 12,000 publicly and privately owned school buses in Southern California. Many of these buses are 20 years old or more, utilizing old, high emitting diesel engines. Three proposals were received for natural gas school buses. RFP 9899-28 set aside $500,000 from the Clean Fuels Program Fund to cost share the establishment of alternative fuel infrastructure associated with vehicles funded by the Carl Moyer Program. Of all the proposals selected for project funding, only the three school bus proposals and the forklift proposals included requests for infrastructure funding. These requests for infrastructure funding total $300,000 ($150,000 for chargers for the forklift projects and $150,000 for natural gas fueling stations school bus projects). Staff recommends that the school bus proposals be wholly funded by the funds in the fueling infrastructure set aside ($500,000). Total funding from the Clean Fuels Program Fund for school buses and associated infrastructure is $357,216.

  1. Alta Loma School District proposes to purchase two new Bluebird buses with John Deere CNG engines. These buses, with a total differential cost of $69,608, will replace two 1977 Crown diesel school buses. These buses will be retired from further use as pupil transportation. Alta Loma also requests $50,000 to support construction of a new CNG time-fill station at the school district. The school district currently has three CNG buses, out of a total fleet of 19 buses.

  1. Desert Sands Unified School District, located in La Quinta, proposes the purchase of two CNG school buses, with a total differential cost of $68,000, plus $50,000 to support establishment of natural gas fueling infrastructure. The District currently utilizes 75 school buses, 13 of which are natural gas.

  1. Montebello Unified School District proposes the purchase of two CNG buses, with a total differential cost of $69,608, and $50,000 towards establishment of natural gas fueling infrastructure. The District currently has 13 natural gas school buses on order.

Off-Road Equipment

NOx emissions from off-road vehicles and equipment represent 28 percent of the Basin's total NOx inventory. The ARB’s Carl Moyer Program allowed retrofitting existing equipment or the purchase of new, low-emission, diesel or alternative fuel equipment. However, in keeping with the AQMD’s alternative fuel priority, proposals for alternative fuel off-road vehicles and equipment were evaluated and ranked before diesel projects were considered. The total funding allocated for off-road equipment in RFP 9899-28 was $3,757,673. After funding the proposed on-road projects, $26,256 remains in the on-road vehicle category. Staff recommends that these funds be reallocated to the off-road category, making $3,783,929 available for off-road projects.

Yard Hostlers

Use of alternative fuels in off-road applications is not widespread. Appropriate engines have not been available for new applications, and installing a new engine in an older piece of equipment is often not feasible. Two proposals were received for propane yard hostlers (i.e. tractors). Yard hostlers are used to move goods within a facility. Both applications propose to utilize the Cummins propane B-Series engine. The following proposals, meet the ARB criteria and are recommended for funding:

  1. Lucky Stores, Inc. proposes to purchase two new Ottawa yard spotting tractors, and to repower five existing tractors. These vehicles will be utilized at Lucky’s Buena Park distributing center, and will be a compliment to Lucky’s previous commitment to the purchase of alternative fuel trucks. Total Carl Moyer funding proposed for these vehicles is $119,260.
  1. Marine Terminals Corporation proposes the purchase of five new yard tractors for use at their facility at the Port of Los Angeles. Total Carl Moyer funding proposed for these vehicles is $55,485.

Total proposed funding for yard hostlers and tractors will not exceed $174,745.

Forklifts

Most forklifts in use in the Basin use an internal combustion engine (ICE), with emissions averaging 10 g/bhp-hr. According to the ARB off-road emissions inventory, there were more than 39,000 internal combustion engine (ICE) forklifts with engines greater than 50 horsepower used in industrial applications in California in 1995.

An attractive alternative to an ICE engine is an electric forklift. Replacement of ICE forklifts with zero emission equipment can reduce emissions dramatically at a very reasonable cost. Off-road projects were allowed to apply for infrastructure funding, to be funded by the AQMD’s Clean Fuels Program. Projects with a minimum of five vehicles / equipment could apply for up to $10,000 in infrastructure costs.

The following proposals meet the ARB criteria and are recommended for funding. Four of the above proposals – Homebase, Avery-Dennison, Harbor Distributing and Lowe’s qualify for infrastructure support.

  1. Homebase Inc. (HBI), headquarter in Irvine, California, is one of the largest home improvement stores in the Western U.S. HBI proposes to acquire 20 electric forklifts with up to 8,000 pound lift capacity (Yale, Caterpillar, Hyster or equivalent units). Included in this acquisition will be two battery packs and a charger. HBI plans to operate each of these forklifts for approximately 1,200 hours per year. The total cost of this project to the District will not exceed $412,000, which includes $372,000 to cover the entire cost differential between electric and propane units, two battery packs and charger, and up to $40,000 in differential infrastructure costs related to the provision of battery change out stations, upgraded electric circuits and wiring and related infrastructure items at up to four site locations. This latter infrastructure funding is predicated on each site containing at least 5 electric forklifts in order to qualify for up to $10,000 per site in incremental infrastructure funding.

  1. Lowe’s Home Improvement Warehouse (Lowe’s HIW) is a major retailer of home improvement products and plans to open up to 30 retail home improvement stores in the Basin over the next 18 months. Each facility will be from 110,000 to 130,000 square feet with up to six class one forklifts per site. Lowe’s HIW proposes to acquire 40 electric forklifts with 4,000 –5,000 pound lift capacity (Crown model 5FBCU30 or equivalent). Included in this acquisition will be two battery packs and a charger. Lowe’s HIW plans to operate each of these forklifts for approximately 2,000 hours per year. The total cost of this project to the District will not exceed $560,000, which includes $480,000 to cover the entire cost differential between electric and propane units, two battery packs and charger, and up to $80,000 in differential infrastructure costs related to the provision of battery change out stations, upgraded electric circuits and wiring and related infrastructure items at up to eight site locations. This latter infrastructure funding is predicated on each site containing at least five electric forklifts in order to qualify for up to $10,000 per site in incremental infrastructure funding.

  1. Avery Dennison is a major national supplier and distributor of office products in Fontana. They will acquire 9 electric forklifts with 4,000 –5,000 pound lift capacity (Crown model 5FBCU30 or equivalent). Included in this acquisition will be two battery packs and a charger. Avery Dennison plans to operate each of these forklifts for approximately 2,000 hours per year. The total cost of this project to the District will not exceed $118,000, which includes $108,000 to cover the entire cost differential between propane and electric units, two battery packs and charger, and up to $10,000 in differential infrastructure costs related to the provision of battery change out stations, upgraded electric circuits and wiring and related infrastructure items.

  1. Toyota Auto Body California Inc. (TABC), located in Long Beach, is a major truck bed and small car component manufacturer. TABC will purchase an electric forklift with 6,000 pound lift capacity (Toyota model SFBCU30, 36 V or equivalent) together with two battery packs and a charger. They plan to operate the forklift for approximately 3,920 hours per year. The cost of this project to the District is not to exceed $18,600, based on the cost differential between electric and propane units (including two battery packs and a charger). This project will reduce NOx emissions by 2.3 tons per year at a cost-effectiveness of approximately $1,050 per ton.

  1. Honeyville Grain Inc., is a family owned company in Rancho Cucamonga. Honeyville Grain will purchase three electric forklifts with 4,000 to 5,000 pound lift capacity (Nissan model 50 or equivalent) together with two battery packs and a charger. They plan to operate each of these forklifts for approximately 4,500 hours per year. The cost of this project to the District will not exceed $55,800, based on the cost differential between propane and electric units (including two battery packs and a charger).

  2. Harbor Distributing (HD) operates out of two 150,000 square foot warehouses in Los Angeles and Orange County. HD plans to replace its propane forklift fleet with electric units. They plan to acquire a total of 32 electric lifts, 16 for their Los Angeles facility and 16 for their Orange County warehouse. They will purchase four electric forklifts with 6,000 pound lift capacity (Toyota model 5FBCU-30 or equivalent) and 28 electric lifts with capacity of 4,000 pounds (Toyota model 5FBCU-20 or equivalent). Included in this lease-to-buy acquisition will be two battery packs and a charger. At the time of the lease to-buy acquisition, funding of up to $410,400 is proposed to cover the differential costs of this project, based on the capital value of the lease as determined through generally accepted accounting principles (GAAP). Harbor Distributing plans to operate each of these forklifts for approximately 2,500 hours per year. The total cost of this project to the District will not exceed $430,400, which includes $410,400 to cover the entire cost differential between electric and propane units, two battery packs and charger, and up to $20,000 in differential infrastructure costs related to the provision of battery change out stations, upgraded electric circuits and wiring and related infrastructure items.

  3. Monterey Carpets is a major manufacturer of high-end commercial carpets in Santa Ana. Monterey Carpets will add two electric forklifts (Toyota model 5FBCU – 30 class 1, code 6 or equivalent) in lieu of propane forklifts currently utilized. Each unit will have a 6,000-pound lift capacity and be utilized approximately 5,600 hours per year. The total cost to the District for this project will not exceed $37,200, which includes the base forklift, two battery packs, and a charger.

In addition to the above projects a demonstration program will be conducted in cooperation with Southern California Edison and the ARB to conduct an associated data collection effort to determine actual emissions benefits from the use of electric forklifts in various applications. Staff proposes to enter into a Memorandum of Understanding (MOU) with Southern California Edison to formalize the data collection methodology and reporting. ARB will evaluate the information gained to assess the benefits of these projects, to resolve the outstanding concerns regarding funding electric forklifts in various capacity ranges, and determine the conditions for funding future forklifts projects in the Carl Moyer Program. There is no cost to the AQMD associated with the proposed MOU.

Total funding requested for the forklift projects is $1,632,000; with $1,482,000 from the Carl Moyer funding for the forklifts and $150,000 from the Clean Fuels Program Fund for electric chargers.

Crawler Tractors

The majority of landfill emissions are generated from the off-road construction equipment used at the site. However, clean fuel engine technology has not yet matured for this type of off-road equipment category. Emission reductions can be achieved by replacing older, non-certified engines with cleaner certified diesel engines in off-road equipment scheduled to be rebuilt.

  1. The Sanitation Districts of Los Angeles County (Sanitation Districts) have a long history of focusing on reducing emissions from their off-road equipment, using natural gas in some operations already. This project proposed by the Sanitation Districts is to repower nine crawler tractors with new ARB certified diesel engines. This equipment currently utilizes non-certified engines. Total cost to the District will not exceed $190,000.

Marine Applications

NOx emissions from marine vessels are estimated by the ARB to be approximately 32 tons per day in the South Coast Air Basin. While marine vessel engines are similar to heavy-duty truck-type engines there are no regulations requiring vessel owners to reduce their emissions. The Carl Moyer Program presents a timely opportunity to realize significant emission reductions from marine vessels by offering vessel owners with incentive funds for voluntarily reducing NOx emissions from their engines. The Carl Moyer Program allows retrofitting existing equipment or the purchase of new, low-emission, diesel or alternative fuel equipment. As clean fuel engine technology has not yet matured for this type of off-road equipment category, AQMD received 8 proposals in this category, at a total requested funding level of $25,000,000. These projects can achieve significant emission reductions by replacing older, non-certified engines with cleaner certified diesel engines in equipment scheduled to be rebuilt. Salvage values for replaced engines and cost of engine rebuild were taken into consideration in the evaluation of these marine proposals to maximize the number of engines to be replaced and the potential emission reductions. The AQMD has retained the expert consulting services from Mari-Flite Ferries, Inc. and Seaworthy Systems, Inc. in verifying the proposed engine cost, fuel consumption and other information. The proposed awards are contingent on the final evaluation of the proposals by the consultants and verification of the information presented. Should there be any significant change in emissions reduced or cost-effectiveness, staff will return to the Board for approval.

With the remaining off-road funding, the staff proposes to award funding for the following two marine projects:

  1. Seaboard Marine proposes to repower 1 vessel. Seaboard operates sport fishing and day charter boats, whale watching boats and oceanography research boats. The proposed vessel is used for sport fishing. These repowers will replace approximately 20-year old 2-stroke engines with new 4-stroke diesel engines manufactured by Cummins, Onan or Isuzu. The proposed repower will provide over 6 tons of NOx reductions annually over the 20-year life of the project. Total cost to the District will not exceed $93,994.

  1. OceanAir Environmental proposes to repower one crew boat and two tugs, operating out of Long Beach and Los Angeles harbors. OceanAir proposes to replace 1980-81 2-stroke engine with more efficient 4-stroke engines manufactured by Detroit Diesel Corporation. The proposed repowers will provide over 135 tons of NOx reductions annually over the 20-year life of the project. Total cost to the District will not exceed $1,841,190.

If any of these recommended projects should be unable to be implemented, the staff recommends disqualifying the project(s) and redistributing the funds to another category, subject to Board approval. The total Carl Moyer funding recommended for these on- and off-road projects total $6,276,986.

Outreach

In accordance with the AQMD’s consulting and contracting policies, a public notice advertising the RFP and inviting bids was published in the following publications:

1. Antelope Valley Press 10. La Opinion 19. Precinct Reporter
2. Black Voice News 11. La Voz 20. Rafu Shimpo
3. Chinese Daily News 12. Los Angeles Daily News 21. Riverside Press Enterprise
4. Eastern Group Publications 13. Los Angeles Sentinel 22. San Bernardino Sun
5. El Chicano 14. Los Angeles Times 23. Santa Clarita Signal
6. Excelsior, The 15. M/W/DVBE Source 24. State of California Contracts
7. Inland Empire Hispanic News 16. Orange County Register
Register
8. Inland Valley Daily Bulletin 17. Palm Springs Desert Sun

9. Korea Central Daily 18. Philippine News

Additionally, potential bidders were notified from the Los Angeles County MTA and Cal Trans Directories of Certified Minority, Women, Disadvantaged and Disabled Veterans Business Enterprises; the Inland Area Opportunity Pages Ethnic/Women Business & Professional Directory; AQMD’s own electronic listing of certified minority vendors; and AQMD Purchasing’s mailing list. Notice of the RFP was mailed to the Black and Latino Legislative Caucuses and various minority chambers of commerce and business associations; and placed on the Internet at AQMD’s Web site [http://www.aqmd.gov, "Business and Job Opportunities" icon] and AQMD’s bidder’s 24-hour telephone message line (909) 396-2724.

In addition to the regular AQMD RFP outreach efforts, a letter and informational brochure was sent to several mailing lists representing trucking, bus, marine and off-road equipment entities. A series of seven bid conferences/informational workshops were held at venues throughout the Basin including City of Riverside, San Bernardino, Coachella Valley, Santa Ana, Port of Los Angeles, and Downtown Los Angeles to provide information on the program and how to apply. Staff also made presentations at conferences and workshops.

Benefits to AQMD

AQMD’s Clean Fuels Program has been active in funding the development and demonstration of low emission, alternative fuel technologies within its Technology Advancement Office. The AQMD has also supported a number of activities directed to commercialization of low-emission alternative fuel technologies. The proposed projects will have significant emission benefits for many years. Total NOx Reductions from the proposed projects is approximately 420 tons per year. The vehicles and equipment proposed will operate many years, providing long-term emissions reductions.

Resource Impacts

For the proposed transit (excluding electric shuttles), off-road equipment and marine projects, sufficient funds are available from the Carl Moyer Program Fund, established as a special revenue fund resulting from the statewide Carl Moyer Memorial Air Quality Standards Attainment Program administered by the ARB. The objective of the Carl Moyer Program is to accelerate the introduction of low-emission heavy-duty engines. Funds are distributed by the ARB through local air districts. Funds from this program are restricted to be used as incentives to private companies or public agencies operating heavy-duty engines in California to cover an incremental portion of the cost of cleaner on-road, off-road, marine, and locomotive engines.

Staff proposes to fund proposals for school buses, electric and hybrid shuttle buses, and refueling or recharging infrastructure from the Clean Fuels Program Fund. These proposals are included in the November 1998 Technology Advancement Plan under 98M1-2, Demonstration of Alternative Fueled, Heavy-Duty Trucks for Over-the-Road Applications; 98M1-3, Development and Demonstration of Low Emission, Alternative Fuel Engine Technologies for On-Road Applications; 98M2-1, Development and Demonstration of Hybrid-Electric Heavy-Duty Vehicles and supporting Technology; 98M2-7, Development and Demonstration of Zero-Emission Off-Road Equipment; and 98M5-3, Development and Demonstration of Low Emission, Alternative Fuel Technologies for Off-Road Applications. Sufficient funds are available from the Clean Fuels Program Fund, established as a special revenue fund resulting from the state-mandated Clean Fuels Program. The Clean Fuels Program, under Health and Safety Code 40448.5 and 40512 and Vehicle Code 9250.11, establishes mechanisms to collect revenues from mobile sources to support projects to increase the utilization of clean fuels, including the development of the necessary advanced enabling technologies. Funds collected from motor vehicles are restricted, by statute, to be used for projects and program activities related to mobile sources that support the objectives of the Clean Fuels Program.

Attachments

  1. Table 1 - Proposed Awards for Transit Buses and Off-Road Projects - Carl Moyer Program Funds
  2. Table 2 - Proposed Award for School Buses, Electric Buses and Infrastructure - Clean Fuel Program Fund
  3. Table 3 - Summary of Proposed 1998-99 Project Awards - Carl Moyer Program Funds

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