Proposal:

Execute Contracts for AQIP for Fourth Quarter of 1996

Synopsis:

Rule 2202 - On-Road Motor Vehicle Mitigation Options was adopted on December 8, 1995. As one compliance strategy, Rule 2202 allows employers to invest in the AQIP. Monies received are placed in a restricted account to fund programs that result in equivalent emission reductions that would otherwise have been achieved by the participating employers. Staff evaluated the proposals received during the fourth quarter of 1996 and this action is to recommend two for funding. The adjusted amount available for this quarter is $483,557.

Committee:

Mobile Source, March 28, 1997, Recommended for Approval

Recommended Action:

Authorize the Chairman to execute contracts for a total amount not to exceed $483,000 from the AQIP Special Revenue Fund to obtain mobile source emission reductions with: the City of Santa Fe Springs for an amount not to exceed $150,000; and, Pick Your Part Auto Wrecking dba Pick Your Part Auto Recycling, for an amount not to exceed $333,000.

James M. Lents, Ph.D.
Executive Office

Background

The Rule 2202 AQIP allows all employers to participate by electing to invest in an AQMD-administered restricted fund. Investment can be either $60 annually per employee reporting to the worksite during the 6:00 a.m. to 10:00 a.m. peak window, or $125 per employee triennially. The restricted monies are to be used by the AQMD to fund proposals that achieve mobile source emission reductions that would otherwise have been achieved by implementing a rideshare program. This Board letter contains a discussion regarding the dispersal of funds from the AQIP compliance option for the fourth quarter of 1996.

Upon registering under this option and submitting the designated investment amount, an employer is considered to be in compliance with the rule and there is no need for the employer to take further action to reduce mobile source emissions. The collected monies are used to fund alternative mobile source emission reduction strategies that reduce mobile source emissions at a more cost-effective rate and could potentially result in greater overall emission reductions.

The fourth quarter of 1996 submittal period ended on December 31, 1996 with 61 employers participating in the AQIP program. The total AQIP funds received during this period was $483,557 (see Attachment 1, Table 1). This amount includes both annual and triennial participants. Staff recommends that $483,000 be used to purchase emission reductions to satisfy the one year and the three year requirements.

Proposal Evaluation

During the fourth quarter of 1996, thirteen proposals were received requesting funds ranging from $50,000 to $628,703. The project proposals received can be grouped in four categories: transportation demand management; alternative fuel vehicle deployment; old-vehicle scrapping; and vehicle repair. Attachment 2 gives a summary of the emission reduction targets and emission reduction credit balance. Attachment 3 gives a summary of each proposal received, and funds requested. Attachment 4 provides an overall summary of the proposals by type. It lists the proposals received, funds requested, total proposal costs, and emission reductions expected for each proposal.

All proposals submitted are reviewed and scored based on the information in the proposal as submitted to the AQMD, and according to the selection criteria described in the RFP. The evaluation panel was comprised of five members of the AQMD Transportation Programs Staff. Two panel members are Hispanic, two are Caucasian, and one is Asian-Indian. The RFP scoring process consists of two steps. The first step is the technical evaluation in which each proposal is assigned points based on: the potential of a proposed project to result in transportation technology and infrastructure improvements; the potential to achieve emissions reductions relative to the quarterly targets; and the overall expertise of the firm. In the second step the proposals are scored according to cost effectiveness; if the firm is a local business enterprise; and if it is a certified MBE/WBE/DVBE company or joint venture. Attachment 5 discusses the selection criteria and summarizes the overall ratings of each proposal.

In the evaluation process, one reviewer disqualified herself from scoring the proposal from SunLine Transit relating to a shuttle service between Indian Reservations and job sites in the Coachella Valley, due to a potential conflict of interest. The scores listed in Attachment 5 reflect the input from the other four evaluation panel members.

The following proposals are recommended for approval:

1. City of Santa Fe Springs $150,000

This project will generate mobile source emission reductions based on the elimination of vehicle miles traveled (VMT) from daily commuter trips. The the Metro Express Service currently provides connections to six commuter trains utilizing conventional gasoline-powered vehicles. The proposal is to expand service to provide connections to ten commuter trains and replace the gasoline-powered vehicle with an electric bus.used for the operation of their Metro Express Service A comprehensive survey of 3,500 businesses within the City was conducted to identify potential users. The emission reductions were determined using methodologies contained in the CEQA handbook and are comparable with the Rule 2202 rideshare program methodologies.with an electric bus.

2. Pick Your Part Auto Wrecking $333,000

This project will generate MSERCs through an old-vehicle scrapping program through the purchase of triennial credits. The MSERCs generated will meet the emission reduction targets established by the level of employer participation in the AQIP. Selection of this company will allow AQMD to further diversify AQIP work among available vendors at a time when the other proposers already have considerable work to complete under existing contracts. The proposal ranked second in overall cost-effectiveness.

For the fourth quarter of 1996, the total recommended funding amount is $ 483,000 (see Attachment 6, Table 2). Any remaining AQIP funds would be held for future proposal funding in subsequent quarters. Both annual and triennial AQIP emission reduction targets for each performance target zone and for all participants during the fourth quarter 1996 will be met by the recommended proposals.

Proposition 209 Compliance

It is AQMD policy to award additional points or cost benefits for minority-owned, woman-owned, and/or disabled veteran-owned business enterprises. On November 5, 1996 California voters approved Proposition 209 which prohibits discrimination or granting preferential treatment based upon race, ethnicity, color, sex or national origin in the operation of public employment, public education, or public contracting. (Proposition 209 does not address disabled veteran-owned business enterprises.) On December 16, 1996, the Federal District Court issued an order applicable to all government agencies in California prohibiting enforcement of Proposition 209. Therefore, the AQMD’s existing policy remains in effect. Should the status of the law change at any point during the process of issuing an RFP or RFQ or entering into a contract pursuant to a previously issued RFP or RFQ, the AQMD will abide by the law in effect at the time the action is taken and any RFP or RFQ will be deemed modified to comply with existing law and any provisions in conflict with existing law will not be enforced.

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: The Black Voice News, Chinese Daily News, Eastern Group Publications, El Chicano, The Excelsior, Inland Empire Hispanic News, Inland Valley Daily Bulletin, Korea Central Daily, La Opinion, La Voz, Los Angeles Sentinel, Los Angeles Times, M/W/DVBE Source, Orange County Register, Philippine News, Precinct Reporter, Rafu Shimpo, Riverside Press Enterprise, the San Bernardino Sun, and the State of California Contracts Register. Additionally, potential bidders were informed through Los Angeles County’s Directory of Certified Minority, Women, Disadvantaged and Disabled Veterans Business Enterprises; the Directory of Certified Firms published by the Los Angeles County Metropolitan Transportation Authority; the Inland Area Opportunity Pages Ethnic/Women Business & Professional Directory; the Caltrans electronic bulletin board listing of Disadvantaged and Women Business Enterprises; the AQMD’s own electronic listing of certified minority vendors; and AQMD Purchasing’s mailing list. Copies of the RFP were mailed to the Black and Latino Legislative Caucuses and various minority chambers of commerce and business associations. A copy of the RFP was placed on the Internet at AQMD’s Web site [http://www.aqmd.gov] and an announcement of the RFP was placed on the AQMD’s RFP/RFQ 24-hour information phone line. In addition, public service announcements were sent to local radio, TV and cable stations.

Resource Impact

Not Applicable

Attachments
1. AQIP Funding and Participation Summary
2. AQIP Emission Targets and ERC Balance
3. Summary of AQIP Proposals Received
4. Summary of Proposals By Type
5. Summary of Proposal Ratings
6. Recommendation for Funding