BOARD MEETING DATE: October 1, 2010
AGENDA NO. 8

PROPOSAL:

Execute Contract to Demonstrate Natural Gas-Powered Refuse Truck 

SYNOPSIS:

AQMD Rule 1193 requires public and private solid waste collection fleets having exclusive contracts with public entities and with greater than 15 trucks to purchase or replace with alternative-fuel vehicles.  Waste Management Collection & Recycling, Inc. is proposing a project to repower a diesel-fueled refuse truck with a natural gas engine.  This proposed project could be a cost-effective alternative to purchasing new alternative-fuel vehicles and would help with the implementation of Rule 1193 and the accelerated turnover of diesel-fueled refuse trucks.  This action is to execute a contract with Waste Management to repower a diesel-fueled refuse truck with a natural gas engine and demonstrate its performance in an amount not to exceed $75,000 from the Clean Fuels Fund.  Total project cost is estimated to be $300,876. 

COMMITTEE:

Technology, September 24, 2010, Recommended for Approval

RECOMMENDED ACTION:

Authorize the Chairman to execute a contract with Waste Management Collection & Recycling, Inc. to repower a diesel-fueled refuse truck with a natural gas engine and demonstrate its performance in an amount not to exceed $75,000 from the Clean Fuels Fund.
 

Barry R. Wallerstein, D.Env.
Executive Officer

Background

Recent amendments to AQMD Rule 1193 require public and private solid waste collection fleets having exclusive contracts with public entities and greater than 15 trucks to purchase or replace existing vehicles with alternative-fuel vehicles to reduce air toxic and criteria pollutant emissions. Rule 1193 affects approximately 5,600 refuse vehicles, consisting of 3,800 diesel vehicles and 1,800 alternative fuel vehicles. The primary emissions impacted by recent amendments to Rule 1193 are NOx and greenhouse gases (GHG), which are expected to be reduced as a result of these vehicle acquisitions requirements. Based on Carl Moyer Guidance and EMFAC 2007, the implementation of recent amendments to Rule 1193 will achieve estimated emission reductions of 576 tpy of NOx and 31,500 tpy of GHG in 2020.

In 2005, AQMD funded a demonstration project with Cummins Westport, Inc. to develop a low-emission natural gas engine. This project resulted in the development of the ISL-G engine that met 2010 NOx and PM emissions standards by 2007. As with other demonstration projects, this engine was developed so that diesel emissions from mobile sources can be significantly reduced. AQMD has funded truck projects that involve the use of this engine, and in particular approximately 600 LNG port trucks have been funded under AQMD’s Goods Movement Proposition 1B program. This proposed Waste Management project involves the use of this natural gas engine to repower a diesel-fueled refuse truck.

Proposal

Waste Management Collection & Recycling, Inc. is proposing to repower a Cummins diesel engine refuse truck with a 2010 compliant Cummins ISL-G natural gas engine. This proposed project will result in a cost-effective low-emission CNG vehicle that can currently be funded under the Carl Moyer program on a case-by-case basis. This proposed project would help with the implementation of Rule 1193 and the accelerated turnover of older diesel-fueled refuse trucks.

Waste Management is working with Cummins Cal Pacific and AFV Fleet Service to engineer the diesel to CNG conversion of an existing 2005/2006 Freightliner Condor refuse truck. Spark-ignited natural gas engines require more cooling system capacity than required by diesel engines. A new cooling system will be developed for this engine repowering project, and Waste Management will perform an Installation Quality Audit on the cooling system. This will be a one-time procedure that will validate the cooling system and will allow this system to be used with future ISL-G repower projects. Waste Management currently has a diesel vehicle available for this repower process.

This proposed action is to execute a contract with Waste Management Collection & Recycling, Inc. to repower a diesel-fueled refuse truck with a natural gas engine and demonstrate its performance in an amount not to exceed $75,000 from the Clean Fuels Fund.

Benefits to AQMD

AQMD’s Clean Fuels Program has been active in funding the development and demonstration of low-emission Cummins Westport HPDI and ISL-G natural gas engines that meet 2010 NOx and PM emission standards. This proposed project would help with the implementation of Rule 1193 and accelerate the turnover of older diesel-fueled refuse trucks in the South Coast Air Basin thereby reducing toxic and criteria pollutant emissions. Specifically, the proposed project is included in the Technology Advancement Office 2010 Plan Update under “Engine Technologies.”

Sole Source Justification

Section VIII.B.2 of the Procurement Policy and Procedure identifies four major provisions under which a sole source award may be justified. For this proposed demonstration project, the request for a sole source award is made under provision B.2.d.: Other circumstances exist which in the determination of the Executive Officer require such waiver in the best interest of the AQMD. Specifically, these circumstances are: B.2.d. (1) Project involving cost sharing by multiple sponsors. Waste Management will contribute about 75% of the total funds required for this project, which will include the diesel refuse truck that will be repowered with the natural gas engine.

Resource Impacts

The total cost for this project is estimated to be $300,876. AQMD’s cost share shall not exceed $75,000 and the remaining $225,876 will be provided by Waste Management. The funding partners and the proposed funding amounts are as follows:

Sufficient funds for these projects are available from the Clean Fuels Fund, established as a special revenue fund resulting from the state-mandated Clean Fuels Program. The Clean Fuels Program, under Health and Safety Code Sections 40448.5 and 40512 and Vehicle Code Section 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.