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PROPOSAL: 

Approve EVCharge Applications within MSRC's FY 1997-99 AB 2766 Discretionary Fund Work Program; Approve Travel Allocation in FY 1999-00 Work Program; and Recognize a Portion of FY 1999-00 Work Program Monies to Technical Advisor's Contract.

SYNOPSIS: 

Within the FY 1997-99 Work Program, the MSRC created the EVCharge Program to provide co-funding of EV charging stations. At this time the MSRC requests approval of applications submitted prior to the deadline, and authority to adjust EVCharge project costs up to an additional 10%. In addition, the MSRC approved a Travel Policy and requests approval to allocate $15,000 in the FY 1999-00 Work Program to cover travel costs associated with work program development and implementation. Finally, the MSRC requests that the programmatic portions of its Technical Advisor's contract, estimated to be up to 50% of the contract value (or $61,360), be recognized in the FY 1999-00 Work Program.

COMMITTEE: 

Mobile Source Air Pollution Reduction Review Committee, Approved October 28, 1999

RECOMMENDED ACTION:

1. Approve EVCharge Applications submitted for the EVCharge Program as part of the FY 1997-99 AB 2766 Discretionary Fund Work Program as listed in Attachment 1.

2. Authorize the MSRC the ability to adjust up to an additional 10%, as necessary, the funding of individual projects included in Attachment 1.

3. Authorize the MSRC to withdraw approval of individual projects in cases where bidders are not able to successfully negotiate a contract, in which case the deobligated funds will return to the Discretionary Fund account.

4. Approve a $15,000 allocation in FY 1999-00 AB 2766 Discretionary Fund Work Program monies to cover travel costs associated with the Work Program.

5. Approve recognition of up to $61,360 in FY 1999-00 AB 2766 Discretionary Fund Work Program for the MSRC’s Technical Advisor’s contract for performance of programmatic tasks.

William G. Kleindienst
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 AQMD Governing Board.

EVCharge Applications

Background

The second year of the MSRC’s two-year FY 1997-99 AB 2766 Discretionary Fund Work Program includes the $2 million EVCharge Program. EVCharge is the second phase of EV charging infrastructure planning and implementation intended to reduce mobile source emissions by providing public charging infrastructure to support EV usage in the Basin. Through a simplified application process this program provides matching funds to construct electric vehicle charging stations in under served areas within four eligible categories. Eligible categories are as follows:

• Major Destinations – This category was created to encourage the types of sites ranked high in importance by EV Drivers, potential drivers and stakeholders, based on survey results. MSRC is seeking locations where the duration of a visit is likely to exceed one hour, and the driver can attend to other business while vehicle charges. Some examples of major destinations include airports, shopping malls, major retailers, and entertainment centers. The incentive level is 70% of cost of charger and installation.

• Workplaces/fleets – Workplaces are defined as employers with 250 or more employees at a work site and who have an identified an employee who has or plans to acquire an EV. Fleets are those that commit to acquire a minimum of three EVs. The incentive level is 40% of cost of charger and installation.

• Charging Site Expansion – Category expands existing publicly accessible sites. The incentive level is 70% of cost of charger and installation.

• Municipal Sites – Eligible sites include local governments that did not participate in Quick Charge, the first phase of charging station installation. To qualify jurisdictions must also adopt an EV ready resolution. The incentive level is 70% of cost of charger and installation.

Bonus incentives are possible under certain categories if, for example, a site fills in an identified freeway corridor gap, offers public access, has multiple sites, or if the site is part of a new building development.

The six-month application process began February 12, 1999 and ended on August 31, 1999. All projects, excluding new development projects and those with signage installation issues, must be completed within six months of contract execution. New development projects and signage must be completed within 12 months of contract execution.

Outreach

A brochure detailing the EVCharge Program was prepared by the MSRC’s EVCharge Consultant, The Planning Center, and mailed to over 3,500 interested individuals and entities. Recipients included the MSRC’s mailing database, cities and counties participating in the AB 2766 Subvention Program, the AQMD database of all businesses with over 250 employees, and existing Quick Charge contractors. The brochure was also mailed to the AQMD’s minority vendor lists. In addition, the application package was placed on the Planning Center’s Web Page. The Planning Center will continue to provide outreach and assistance to entities interested in applying for EVCharge funds throughout the application period.

Applications Received

A total of 97 applications totaling $3,245,462.80 were received during the six-month application period that ended August 31, 1999. To date the AQMD Board has approved 26 applications totaling $778,833.56.

Proposal

At its October 28, 1999 meeting, the MSRC considered the remaining applications and unanimously approved 61 applications totaling $1,244,017.40 (see Attachment 1). This action included funding 8 applications totaling $120,366.25 from a back-up list, amounting to a $105,851 deficit in the EVCharge budget.

In February 1999, the MSRC redirected $3 million to a ZEV Purpose Built Vehicle Buydown Program from its $5,000 EV Buydown Incentive Program. Only $2 million was expended in the ZEV Purpose Built Vehicle Buydown Program. At its October 28, 1999 meeting, the MSRC allocated $105,851 of the remaining $1 million from the ZEV Purpose Built Program to the EVCharge Program to fund the backup list and the remainder ($894,149) was returned to the $5,000 EV Buydown Incentive Program.

Including those 26 applications already approved by the AQMD Board, the MSRC has approved a total of 87 applications equaling $2,022,850.90 in funding within the EVCharge Program. The remaining 10 applications did not meet the requirements for funding under EVCharge.

At this time the MSRC requests: 1) approval to fund the remaining 61 applications totaling $$1,244,017.40; 2) the authority to adjust contract costs up to an additional 10%; and 3) authorization to withdraw project approval of individual projects in case where bidders are not able to successfully negotiate a contract.

When the Board approved the EVCharge application process on February 13, 1999, authority was granted to the AQMD's Contracts Manager to execute agreements, subject to the Board's approval of the projects as part of the MSRC's FY 1997-99 Work Program.

Travel Policy

Background

As the significant benefits and opportunities available under the MSRC’s programs have become more well known, the MSRC has received a notable increase in the number of requests for its members participation in conferences, meeting, and workshops. The MSRC recognizes that its participation in events relating to technologies that reduce motor vehicle emissions could be beneficial to its work program and yield direct emissions reductions. However, it has been general practice in the past that MSRC member agencies incur full costs for such travel, thereby limiting the participation of MSRC member in events of this kind.

On September 23, 1999, the MSRC approved a Travel Policy, proposed by its Technical Advisory Committee, that sets aside $15,000 of FY 1999-00 Work Program funds for travel relating to the work program. Travel under this policy applies primarily to out-of-state activities. The Travel Policy applies to MSRC members and when considered appropriate to MSRC-TAC members and MSRC staff. The MSRC shall authorize all travel requests and approval is based on a majority vote of the MSRC. Eligible travel activities must show a direct link to motor vehicle emission reductions. Activities surrounding the travel should have a direct impact to the overall MSRC work program resulting in improved and more cost-effective work programs. Funding levels for travel will be allocated on a yearly basis by the MSRC.

Proposal

At this time the MSRC requests AQMD Board approval to allocate $15,000 of FY 1999-00 Work Program funds to cover approved travel costs associated with work program development and implementation. The MSRC’s Travel Policy is provided in Attachment 2.

Recognize a Portion of FY 1999-00 Work Program Monies to Technical Advisor Contract

Background

The MSRC has utilized the services of a Technical Advisor, under contract, to assist the MSRC with technical information, evaluations, guidance, and general assistance on technical issues. These contract costs have heretofore been ascribed to the annual administrative budget. However, in some other air districts which utilize a technical advisor to assist with distribution of vehicle registration fees to meet Clean Air Act requirements, costs for the technical advisor are funded from the work program, rather than the administrative budget. Also, a 1993 opinion by the State Attorney General concluded that there is no impediment to having a technical advisor funded through the work program.

Currently, the Technical Advisor’s contract costs are accounted for under the administrative budget. However, a substantial amount of the Technical Advisor's work is directly related to program delivery. Consequently, the MSRC has approved a staff recommendation that an estimated 50% of the MSRC Technical Advisor’s contract be considered a part of the current work program.

Proposal

At this time the MSRC requests that the Board approve its action to recognize an estimated 50% or $61,680 of its Technical Advisor’s FY 1999-00 contract as part of the FY 1999-00 Work Program.

Resource Impacts

The AQMD acts as fiscal administrator to 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 contract will be drawn from this fund. These contracts will have no fiscal impact on the AQMD’s operational budget.

Attachments

Attachment 1 - EVCharge Application Spreadsheet
Attachment 2 - Travel Policy and Request Form

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