BOARD MEETING DATE: July 9, 2010
AGENDA NO. 12

PROPOSAL:

Award Funding from MSRC for CNG School Buses to Private School Bus Transportation Provider

SYNOPSIS:

On July 16, 2009 the MSRC approved an additional allocation of $2 million for CNG school bus incentives to private school bus transportation services providers. This allocation was approved by the Board on September 11, 2009. The AQMD administers this program to facilitate the implementation of District Rule 1195. This action is to approve an award to Durham School Services, LP in an amount not to exceed $1,997,500 to purchase 47 Type D natural gas school buses (approximately $42,500 per school bus).

COMMITTEE:

Mobile Source Air Pollution Reduction Review, June 17, 2010, Recommended for Approval

RECOMMENDED ACTIONS:

Authorize the Chairman to execute an agreement with Durham School Services, LP in an amount not to exceed $1,997,500 from MSRC Fund 23 for the cost differential to purchase forty-seven (47) Type D natural gas school buses to be used for routes in the San Bernardino City Unified School District. 

Barry R. Wallerstein, D.Env.
Executive Officer

Background

At its August 17, 2006 meeting, the MSRC approved funding under the FY 2006-07 Work Program for CNG or other alternative-fuel school bus incentives to private school bus transportation service providers. Specifically, the MSRC approved an allocation of $2 million for alternative-fuel school bus incentives for private school bus transportation service providers. Subsequently, the Board approved this action at its September 8, 2006 meeting. In addition, the MSRC requested that the program be administered by AQMD staff in its efforts to achieve compliance with Rule 1195. On January 18, 2007, the MSRC approved an additional allocation of $2 million for this work program category which was approved by the Board on February 2, 2007. An allocation of $2 million was again approved by the MSRC on July 16, 2009 and approved by the Board on September 11, 2009. Subsequent to these funding allocations, funding has been approved and distributed to private school bus transportation providers for the purchase of 104 alternative-fuel school buses. Currently, a remaining balance of $2 million is available on a first-come first-served basis.

Proposal

This action is to approve an award to Durham School Services, LP in an amount not to exceed $1,997,500 to cover the cost differential to purchase 47 natural gas school buses (approximately $42,500 per school bus) from the MSRC FY 2009-10 Work Program to be used in the South Coast Basin. This award was approved by the MSRC at its
June 17, 2010 meeting, with the remaining $2,500 allocated in this category reverting to the discretionary fund. 

Benefits to AQMD

This project will reduce exhaust emissions from higher emitting diesel school buses and will reduce the exposure of toxic diesel particulate matter to school children and others who work in or near diesel-powered school buses. In addition, this project will further facilitate the implementation of Rule 1195.

Resource Impacts

The total amount of MSRC funding for Durham School Services, LP shall not exceed $1,997,500.