BOARD MEETING DATE: November 6, 2009
AGENDA NO. 13
PROPOSAL:
Approve Contract Modifications under FYs 2005-06 & 2007-08 Work Programs; and Additional Local Government Match Program Awards and Funding to Exercise Contract Option for Programmatic Outreach Services as Part of FY 2009-10 AB 2766 Discretionary Fund Work Program
SYNOPSIS:
As part of its FY 2009-10 AB 2766 Discretionary Fund Work Program, the MSRC allocated an additional $4,852,341 to fund the remaining 12 projects on the Local Government Match Program backup list and allocated $98,845 to exercise the option clause to extend for another two years the contract with The Better World Group for programmatic outreach services. The MSRC also approved modifications to three existing contracts, one under the FY 2005-06 Work Program and two under the FY 2007-08 Work Program. At this time, the MSRC requests approval of the additional Local Government Match Program awards and the funding allocation to exercise the option to provide programmatic outreach services for two more years as part of the FY 2009-10 AB 2766 Discretionary Fund Work Program, as well as to approve the three contract modifications under previous work programs. Finally, the MSRC also requests authority to adjust contracts up to five percent and authority for the Board Chairman to execute agreements.
COMMITTEE:
Mobile Source Air Pollution Reduction Review, September 10 and October 15, 2009, Recommended for Approval
RECOMMENDED ACTIONS:
Approve modified contract with the City of Santa Monica, Contract #ML06025, substituting an electric service truck for a CNG water truck as part of the FY 2005-06 Work Program, as described in this letter;
Approve modified contract with Yosemite Waters, Contract #MS08015, substituting 11 liquefied petroleum gas delivery trucks for up to 6 CNG delivery trucks with no increase in the contract value as part of the FY 2007-08 Work Program, as described in this letter;
Approved modified award to issue a contract to the City of Azusa, substituting a CNG aerial truck for a liquefied petroleum gas street sweeper as part of the FY 2007-08 Work Program, as described in this letter;
Approve a Partial FY 2009-10 AB 2766 Discretionary Fund Work Program with the following elements:
Programmatic Outreach Services totaling $98,845; and
Local Government Match Program projects totaling $4,852,341.
Exercise the option clause to extend Contract #MS07058 with The Better World Group for programmatic outreach services until November 16, 2011, in an amount not to exceed $98,845, as part of the FY 2009-10 Work Program, as described in this letter;
Approve the award of 12 contracts totaling $4,852,341 for the Local Government Match Program as part of the FY 2009-10 Work Program, as described in this letter and as follows:
A contract with the City of Long Beach in an amount not to exceed $875,000 for the purchase of up to 35 heavy-duty natural gas vehicles;
A contract with the City of Fullerton in an amount not to exceed $110,125 for the upgrade of their existing CNG station and purchase of up to 2 heavy-duty natural gas vehicles;
A contract with the City of Redondo Beach in an amount not to exceed $50,000 for purchase of up to 2 heavy-duty natural gas vehicles;
A contract with the City of Chino in an amount not to exceed $250,000 for the upgrade of their existing CNG station;
A contract with the City of Inglewood in an amount not to exceed $310,000 for the purchase of up to 12 heavy-duty natural gas vehicles and remote vehicle diagnostic systems for up to 25 vehicles;
A contract with the City of Cathedral City in an amount not to exceed $83,125 for the purchase of up to 3 heavy-duty natural gas vehicles and remote vehicle diagnostic systems for up to 25 vehicles;
A contract with the City of Los Angeles in an amount not to exceed $875,000 for the purchase of up to 35 heavy-duty natural gas vehicles;
A contract with the Los Angeles Department of Water and Power in an amount not to exceed $1,400,000 for the purchase of up to 56 heavy-duty natural gas vehicles;
A contract with the City of Covina in an amount not to exceed $186,591 to upgrade their existing CNG station;
A contract with the City of San Dimas in an amount not to exceed $425,000 to install a CNG station and purchase 1 heavy-duty natural gas vehicle;
A contract with the City of Orange in an amount not to exceed $125,000 for the purchase of up to 5 CNG heavy-duty vehicles; and
A contract with the City of Newport Beach in an amount not to exceed $162,500 to upgrade their existing CNG station, modify their vehicle maintenance facility to accommodate the maintenance of gaseous-fueled vehicles, and purchase up to 4 heavy-duty natural gas vehicles.
Authorize MSRC the authority to adjust contract awards up to five percent, as necessary and previously granted in prior work programs; and
Authorize the Chairman of the Board to execute new and modified contracts under FYs 2005-06, 2007-08, and 2009-10 AB 2766 Discretionary Fund Work Programs, as described above and within this letter.
Ron Roberts
Chair, MSRC
Background
In September 1990, Assembly Bill 2766 was signed into law (Health & Safety Code Sections 44220-44247) authorizing the imposition of an annual $4 motor vehicle registration fee to fund the implementation of programs exclusively to reduce air pollution from motor vehicles. AB 2766 provides that 30 percent of the annual $4 vehicle registration fee subvened to the AQMD be placed into an account to be allocated pursuant to a work program developed and adopted by the MSRC and approved by the Board.
FY 2005-06 Work Program
As an element of the FY 2005-06 Work Program, the City of Santa Monica was awarded a contract under the MSRC’s Local Government Match Program for $325,000 towards the purchase of thirteen heavy-duty CNG vehicles. Subsequently, the City requested to eliminate one of the vehicle purchases, and to substitute an electric service truck for another of the CNG vehicles. At their September 10, 2009 meeting, the MSRC considered the City’s contract modification request. Further details are provided below in the Proposals section.
FY 2007-08 Work Program
Heavy-Duty Alternative Fuel Engines for On-Road Vehicles Program
As an element of the FY 2007-08 Work Program, Yosemite Waters was awarded a contract under the MSRC’s Heavy-Duty Alternative Fuel Engines for On-Road Vehicles Program for $180,000 towards the purchase of six heavy-duty CNG delivery trucks. Subsequently, Yosemite Waters requested to substitute liquefied petroleum gas (LPG) delivery trucks for the natural gas trucks specified, and to increase the number of trucks from six to eleven, with no change in the contract value. At their September 10, 2009 meeting, the MSRC considered Yosemite Waters’ contract modification request. Further details are provided below in the Proposals section.
Local Government Match Program
As an element of the FY 2007-08 Work Program, the City of Azusa was awarded a contract under the MSRC’s Local Government Match Program for $25,000 towards the purchase of an LPG street sweeper. Subsequently, the City requested substitution of a CNG aerial truck for the LPG street sweeper. The MSRC considered their request for a modified award at its October 15, 2009 meeting. Further details are provided below in the Proposals section.
FY 2009-10 Work Program
Programmatic Outreach Services
The MSRC retains a contractor to continue and enhance public awareness of the MSRC by highlighting its mission, achievements, and the funding opportunities the MSRC has available. Following an open RFP process in 2007, the MSRC awarded $98,845 to the Better World Group for programmatic outreach services for two years, including an option for another two-year term to be executed at the MSRC’s discretion, subject to funding approval by the AQMD Board. Contract #MS07058 was executed to effectuate the award. At their July 16, 2009 meeting, the MSRC awarded The Better World Group an additional $50,000 for a new task, to evaluate the effectiveness of the MSRC-supported outreach campaigns publicizing the availability of 511 motorist services. The MSRC authorized an eighteen-month term extension for purposes of conducting this evaluation. However, these actions did not add any funds to continue BWG’s original work of performing programmatic outreach for the MSRC. At its October 15, 2009 meeting, the MSRC undertook to review The Better World Group’s performance and considered exercising the one-time option as part of the FY 2009-10 Work Program; details are provided in the Proposals section.
Local Government Match Program
As part of the FY 2008-09 Work Program, the MSRC released a $3 million Local Government Match Program Announcement #PA2009-07. Eligible categories included heavy-duty alternative fuel vehicles, alternative fuel infrastructure, vehicle management systems which perform remote performance monitoring, repower or retrofit of existing diesel emergency response vehicles or off-road diesel vehicles, and traffic signal synchronization. In July 2009, the MSRC approved 29 Local Government Match Program awards totaling $5,774,840. These awards satisfied the county geographic minimum requirements as well as providing full funding for all applications received on the first day. A backup list of applicants was established in case additional monies were identified in the near future. The AQMD Board approved the original 29 awards on September 11, 2009. At its September 10, 2009 meeting, the MSRC allocated $3,575,000 from their FY 2009-10 Work Program towards the Local Government Match Program backup list and directed its staff to contact the applicants and determine the viability of the unfunded requests. Subsequently, the MSRC’s Technical Advisory Committee recommended that the MSRC forgo development of a FY 2009-10 Local Government Match Program solicitation document and instead award $1,277,341 to the five projects which would remain on the backup list after the additional $3,575,000 was awarded. On October 15, 2009, the MSRC considered the specific project awards and recommendations; further details are provided in the Proposals section.
Outreach
In accordance with AQMD’s Procurement Policy and Procedure, public notices advertising the Local Government Match Program and inviting bids were published in the Los Angeles Times, the Orange County Register, the San Bernardino Sun, and Riverside County Press Enterprise newspapers to leverage the most cost-effective method of outreach to the entire South Coast Basin.
Additionally, potential bidders may have been notified utilizing AQMD’s own electronic listing of certified minority vendors. Notice of the Program Announcement was mailed to the Black and Latino Legislative Caucuses and various minority chambers of commerce and business associations, the State of California Contracts Register website, and placed on the Internet at AQMD’s Web site (http://www.aqmd.gov where it could be viewed by making menu selections “Inside AQMD”/“Employment and Business Opportunities”/“Business Opportunities” or by going directly to http://www.aqmd.gov/rfp/index.html). Information was also available on AQMD’s bidder’s 24-hour telephone message line (909) 396-2724. Further, the solicitations were posted on the MSRC’s website at http://www.cleantransportationfunding.org and electronic notifications were sent to those subscribing to this website’s notification service.
Bidder’s Conference
A non-mandatory Bidders’ Conference was conducted at AQMD headquarters on March 4, 2009 for the Local Government Match Program.
Proposal Evaluation and Panel Composition
Applications received in response to the Local Government Match Program Announcement were evaluated by members of the MSRC’s Technical Advisory Committee (MSRC-TAC), a diverse group of individuals appointed by participating members as prescribed in the Health & Safety Code.
Proposals
At its September 10 and October 15, 2009 meetings, the MSRC considered recommendations from its MSRC-TAC and unanimously approved the following:
FY 2005-06 Work Program
As mentioned in the Background section, the City of Santa Monica has revised their vehicle purchase plans and requests substitution of an electric service truck for a CNG water truck which is specified in their contract. The FY 2005-06 Local Government Match Program offered funding for both electric and CNG vehicles, and the emissions of the electric vehicle would be lower. The MSRC considered and approved the City’s requested contract modification at its September 10, 2009 meeting.
FY 2007-08 Work Program
Heavy-Duty Alternative Fuel Engines for On-Road Vehicles Program
As mentioned in the Background section, Yosemite Waters has revised their vehicle purchase plans and requests substitution of 11 LPG delivery trucks for the 6 CNG delivery trucks specified in their contract, with no change to the contract value. Yosemite Waters states that the vehicle and infrastructure costs for LPG are much lower, thus enabling them to make a larger portion of their fleet alternative fuel and achieve greater emission reductions. As required by the FY 2007-08 Heavy-Duty Alternative Fuel Engines for On-Road Vehicles Program, the trucks would be equipped with engines meeting the 0.2 g/bhp-hr NOx emission standard, the same as the CNG trucks originally proposed. The MSRC considered and approved Yosemite Waters’ request at its September 10, 2009 meeting.
Local Government Match Program
As mentioned in the Background section, the City of Azusa has revised their vehicle purchase plans and requests substitution of a CNG aerial truck for the LPG street sweeper for which funding was originally awarded. The FY 2007-08 Local Government Match Program offered funding for both CNG and LPG vehicles, and the emissions of the CNG aerial truck would be comparable. The MSRC considered and approved the City’s request for a modified award at its October 15, 2009 meeting.
FY 2009-10 Work Program
Programmatic Outreach Services
As discussed in the Background section, the MSRC retains the Better World Group to provide programmatic outreach services. Their contract included an option to extend for a two-year period. At its October 15, 2009 meeting, the MSRC evaluated The Better World Group’s performance and unanimously approved exercising the option and adding $98,845 to fund services for an additional two years as part of the FY 2009-10 Work Program. Due to the earlier eighteen-month extension required by adding a new task and funding for evaluating the effectiveness of MSRC-funded 511 outreach campaigns, only a six-month contract term extension was authorized, resulting in a contract termination date of November 16, 2011.
Local Government Match Program
As mentioned in the Background section, as an element of their FY 2008-09 Work Program, the MSRC released a $3 million Local Government Match Program Announcement. At its July 16, 2009 meeting, the MSRC approved funding totaling $5,774,840 for 29 of the 41 applications, and placed the remaining applications on a backup list. At its October 15, 2009 meeting, the MSRC approved funding totaling $4,852,341 to fund the remaining 12 applications on the backup list ($3,575,000 allocated on September 10, 2009 and $1,277,341 in additional funding, all as part of the FY 2009-10 Work Program), as follows:
A contract with the City of Long Beach in an amount not to exceed $875,000 for the purchase of up to 35 heavy-duty natural gas vehicles;
A contract with the City of Fullerton in an amount not to exceed $110,125 for the upgrade of their existing CNG station and purchase of up to 2 heavy-duty natural gas vehicles;
A contract with the City of Redondo Beach in an amount not to exceed $50,000 for purchase of up to 2 heavy-duty natural gas vehicles;
A contract with the City of Chino in an amount not to exceed $250,000 for the upgrade of their existing CNG station;
A contract with the City of Inglewood in an amount not to exceed $310,000 for the purchase of up to 12 heavy-duty natural gas vehicles and remote vehicle diagnostic systems for up to 25 vehicles;
A contract with the City of Cathedral City in an amount not to exceed $83,125 for the purchase of up to 3 heavy-duty natural gas vehicles and remote vehicle diagnostic systems for up to 25 vehicles;
A contract with the City of Los Angeles in an amount not to exceed $875,000 for the purchase of up to 35 heavy-duty natural gas vehicles;
A contract with the Los Angeles Department of Water and Power in an amount not to exceed $1,400,000 for the purchase of up to 56 heavy-duty natural gas vehicles;
A contract with the City of Covina in an amount not to exceed $186,591 to upgrade their existing CNG station;
A contract with the City of San Dimas in an amount not to exceed $425,000 to install a CNG station and purchase 1 heavy-duty natural gas vehicle;
A contract with the City of Orange in an amount not to exceed $125,000 for the purchase of up to 5 CNG heavy-duty vehicles; and
A contract with the City of Newport Beach in an amount not to exceed $162,500 to upgrade their existing CNG station, modify their vehicle maintenance facility to accommodate the maintenance of gaseous-fueled vehicles, and purchase up to 4 heavy-duty natural gas vehicles.
At this time the MSRC requests the AQMD Board to approve the contract modifications and partial FY 2009-10 AB 2766 Discretionary Fund Work Program as outlined above. The MSRC also requests the Board to authorize the AQMD Chairman of the Board the authority to execute all agreements described in this letter under the FYs 2005-06, 2007-08 and 2009-10 Work Programs. The MSRC further requests authority to adjust the funds allocated to each project specified in this Board letter by up to five percent of the project’s recommended funding. The Board has granted this authority to the MSRC for all past Work Programs.
Resource Impacts
The AQMD acts as fiscal administrator for the AB 2766 Discretionary Fund Program (Health & Safety Code Section 44243). Money received for this program is recorded in a special revenue fund (Fund 23) and the contracts will be drawn from this fund. These contracts will have no fiscal impact on the AQMD’s operational budget.