South Coast Air Quality Management District

Approve in Concept FY 2001-02 AB 2766 Discretionary Fund Work Program, Approve Issuance of Funding Solicitations for TCM and Clean Fuels Programs, Award Sole-Source Contract to California Energy Commission, Award Contract for Technical Advisor Services, and Allocate Funds for Outreach

SYNOPSIS: 

For FY 2001-02 the MSRC has proposed a nearly $14 million Work Program consisting of several TCM and clean fuels programs, Technical Advisor services, and continued outreach and website maintenance. The MSRC requests Board approval of the Work Program in concept for FY 2001-02, issuance of multiple funding solicitations, sole-source contract award to California Energy Commission, contract award for Technical Advisor services, and funding to execute option clause in an existing outreach and website maintenance contract. The MSRC also requests authority to adjust contracts up to 5%.

COMMITTEE: 

Mobile Source Air Pollution Reduction Review Committee, 
June 26, 2001, Approved Unanimously

RECOMMENDED ACTION:

1. Approve FY 2001-02 AB 2766 Discretionary Fund Work Program in concept
   totaling a projected $13,946,506;
   
   
2. Approve issuance of seven RFPs, one RFQ, and two Program Announcements providing funding up to $12,265,000, as attached;
   
   
3. Award sole-source contract to the California Energy Commission in the amount of $1,500,000 for participation in its CNG/Gasoline Hybrid Incentives Program, specifically providing 50% of a $3,000 buydown incentive for ULEV- and SULEV-certified light-duty vehicles and 50% of a $500 buydown incentive for SULEV-certified gasoline/electric hybrid vehicles;
   
   
4. Award contract to Raymond J. Gorski for FY 2001-02 technical advisor services in the amount of $135,341, with 75% (or an amount not to exceed $101,506) allocated as part of the FY 2001-02 Work Program, and 25% (or an amount not to exceed $33,835) allocated as part of the FY 2001-02 Administrative Budget, including three one-year options incorporating a 4% annual inflation adjustment, with discretion for the MSRC to exercise said options;
   
   
5. Execute option clause in the amount of $80,000 in Keith Communications Contract #00003 to continue outreach and website maintenance as part of the FY 2001-02 Work Program;
   
   
6. Authorize MSRC the authority to adjust contracts up to 5%, as necessary; and
   
   
7. Authorize the Chairman of the Board to execute specified contracts.

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. It is estimated that at least $12.4 million will be available in the Discretionary Fund in FY 2001-02. Additional monies may also be realized from interest and turn-back funds. In addition, it is anticipated that the CARB may purchase projects from the MSRC in an amount up to $2.4 million as part of a statewide call for projects to offset peaker plant emissions.

In FY 1996-97 the MSRC released a Request for Proposals to provide technical services for FY 1997-98, with options for three one-year extensions. Following evaluation of two proposals, Raymond Gorski was selected to serve as the MSRC's Technical Advisor from July 1, 1997 through June 30, 1998. Subsequently, three one-year extensions were exercised by the MSRC, and the last option expired June 30, 2001. In February 2001 the MSRC released RFP #P2001-31 for technical advisor services for FY 2001-02. When the RFP closed on March 20, 2001, only one proposal from the current technical advisor was received.

In May 1999 the MSRC released an RFP for Programmatic Outreach and Website Development for the MSRC as part of the FY 1999-00 Work Program. The $144,525 contract was awarded to Keith Communications and a contract executed in September 1999. It included an option to renew the contract for a second and subsequent year(s) for up to $80,000 per year. The contract was extended twice through September 30, 2001, and an additional 5% totaling $7,226 was added, as authorized by the Board under the Work Program.

Proposals

To utilize FY 2001-02 funds and achieve the maximum emissions reduction benefits, the MSRC developed a $13,946,506 FY 2001-02 AB 2766 Discretionary Fund Work Program. The Work Program consists of the following elements.

TCM Programs ($1.765 million)

• RFP #P2002-02: Regional Bicycle Storage Locker Planning & Implementation Program ($215,000);
• RFP #P2002-03: Design, Development, Host & Maintenance of an Internet-Based Bicycle Routing & Mapping System ($400,000);
• RFP #P2002-04: Development, Implementation & Administration of a Regional Guaranteed Ride Home Program ($200,000);
• RFP #P2002-05: Corridor Commuter Vanpool Demonstration Program ($650,000);
• RFP #P2002-06: Rideshare to Rails Commuter Rail Station Rideshare Incentive Program ($300,000);

Clean Fuels Programs ($12 million)

• Program Announcement #PA2002-01: Local Government Match Program ($2,000,000);
• RFQ #Q2002-01: Compressed Natural Gas School Bus Buydown Program ($2,000,000);
• RFP #P2002-07: On-Road & Off-Road Heavy-Duty Vehicle Diesel Pollution Reduction Program ($2,500,000);
• RFP #P2002-08: Alternative Fuel Transit Bus Program ($3,000,000);
• Program Announcement #PA2002-02: Diesel Particulate Trap Retrofit Program ($1,000,000);
• Sole-source contract award totaling $1,500,000 to the California Energy Commission for participation in its CNG/Gasoline Hybrid Incentives Program, providing 50% of a $3,000 buydown incentive for ULEVs and SULEVs and 50% of a $500 buydown incentive for SULEV-certified electric hybrid vehicles;¹

  ---

  ¹ While the $1.5 million earmark to participate in the CEC program is part of the Work Program’s funding allocations, it does not necessitate an MSRC solicitation, since the program will be administered by the CEC.

Other Programs ($181,506)

• Contract award to Raymond J. Gorski for FY 2001-02 technical advisor services, with 75%, or an amount not to exceed $101,506, allocated as part of the Work Program; and
• An allocation of $80,000 to execute the option clause in Keith Communications Contract #00003 to continue outreach and website maintenance as part of the Work Program.

The MSRC approved the framework for this Work Program at its April 26, 2001 meeting. On June 27, 2001, the MSRC unanimously approved the above solicitations, contract awards, and funding allocations.

The individual target funding allocations for the ten solicitations may be reassigned by the MSRC based on its review of proposals received in each respective category and to allow for mid-year adjustments. Also, additional dollars may be allocated to each solicitation if the MSRC receives monies from the CARB as a result of its peaker plant call for projects.

First, the MSRC is requesting the Board’s approval to issue seven RFPs, one RFQ, and two Program Announcements providing funding up to $12,265,000. Proposals in response to the RFPs and RFQ will be due by 5:00 p.m. on August 31, 2001. The two Program Applications are open for extended periods, and funds will be distributed on a first-come, first-serve basis. Specifically, applications for the Match Program will be accepted November 1, 2001 through February 28, 2002. Applications for the Diesel Particulate Program will be accepted October 1, 2001 through September 30, 2002.

Second, the MSRC is requesting the Board's approval to issue a sole-source contract to the California Energy Commission in the amount of $1,500,000 for participation in its CNG/Gasoline Hybrid Incentives Program, specifically providing 50% of a $3,000 buydown incentive for alternative fuel ULEVs and SULEVs and 50% of a $500 buy-down incentive for gasoline hybrid vehicles.

Third, the MSRC is requesting the Board's approval to award a contract for technical advisor services to Raymond J. Gorski in the amount of $135,341, with 75% (or an amount not to exceed $101,506) allocated as part of the FY 2001-02 Work Program, and 25% (or an amount not to exceed $33,835) allocated as part of the FY 2001-02 Administrative Budget. The contract would include three one-year options incorporating a 4% annual inflation adjustment, with discretion for the MSRC to exercise said options.

Fourth, the MSRC is requesting the Board's approval to allocate up to $80,000 in funding to exercise the one-year option clause in Keith Communications Contract #00003 to continue outreach and website maintenance as part of the FY 2001-02 Work Program. The current contract expires September 30, 2001, and it is anticipated that most monies will have been expended. Therefore, the $80,000 allocation is necessary to continue website maintenance and hosting and continue outreach efforts.

Fifth, the MSRC requests authority to adjust the funds allocated to contracts specified in this Board letter by up to 5%. The Board has granted this authority to the MSRC in the past.

Finally, the MSRC requests that the Board authorize the AQMD Board Chairman the authority to execute agreements specified in this Board letter as part of the FY 2001-02 Work Program.

Outreach

In late-February RFP #P2001-31 for Technical Advisor Services was sent to a targeted mailing list of more than 150 consultants. In addition, all efforts were made to comply with the AQMD's consultant and contracting policies.

As for the ten funding solicitations mentioned above, in accordance with the AQMD's consulting and contracting policies, a public notice advertising each one will be published on two different days in 25 newspapers and publications, including several targeting minorities.

The funding solicitations will be placed on the MSRC's website at "http://www.msrc-cleanair.org". They will also be included on the AQMD's website under the "Business and Job Opportunities" icon, and information will be included about the RFP/Qs on the AQMD's bidder's 24-hour telephone message line (909) 396-2724.

In addition to the AQMD's standard practices, a brochure announcing these funding opportunities is being mailed to over 1,800 interested parties on the MSRC's mailing list, as well as to the Black and Latino Legislative Caucuses, Ethnic Community Advisory Group, City Managers, Chambers of Commerce, and business associations. The perforated portion of the brochure may be returned to request copies of the solicitations. A targeted mailing list of transportation management agencies and bicyclist organizations throughout California will be assembled for a specialized mailing of the two bicycle-related RFPs. Staff will also obtain a list from AQMD’s Transportation Programs division containing interested parties and rideshare groups for a specialized mailing of the three ridesharing-related RFPs. Finally, the Program Application & Announcement for the Local Government Match Program will be directly mailed to all local jurisdictions receiving AB 2766 Subvention Funds.

To assist potential bidders in submitting qualified proposals, bidders’ conferences will be conducted at AQMD Headquarters in Room CC6 as follows:
 

Proposal Evaluation and Panel Composition

When RFP #P2001-31 for Technical Advisor Services closed March 20, 2001, only one proposal was received, which was from the current contractor. The MSRC-TAC's Administrative Subcommittee evaluated the proposal and performed a cost comparative analysis, including a survey of other air agencies administering AB 2766 programs, consultant rates bid on comparable AQMD projects, comparisons to AQMD salaried positions, and considerations for consultant overhead factors. The bid was deemed reasonable and the proposal responsive to the RFP. The Administrative Subcommittee consists of a diverse group of MSRC-TAC members representing SANBAG, RCTC, CEC, Southern California Rideshare, LACMTA, the Cities of Orange County, and AQMD.

Proposals received for the Work Program’s funding solicitations (outlined under the proposals section) will be evaluated by members of the MSRC-TAC, a diverse group of individuals appointed by participating members as prescribed in the Health & Safety Code. Several evaluation teams will be formed to evaluate proposals in the various program solicitations, the membership of which will be identified in the Board letter recommending specific contract awards.

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. This request for a sole-source award is made under provisions d.1: Projects involving cost sharing by multiple sponsors.

The California Energy Commission is developing a statewide CNG/Gasoline Hybrid Incentives Program, and has proposed that the MSRC partner in this program. The program will provide a $3,000 buydown incentive for qualifying alternative fuel ULEVs and SULEVs. The CEC is proposing that the MSRC provide 50% of the buydown, or an amount not to exceed $1,500, so that more incentives can be funded within the Basin. Further, the CEC is proposing to share the cost of offering $500 buydown incentives for SULEV-certified hybrid vehicles.

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.

Attachments

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