South Coast Air Quality Management District

Appropriate Funds from Clean Fuels Fund and Execute Lease and Purchase Agreements for Four New Advanced Technology Vehicles for Alternative Fuel Vehicle Loan Program

SYNOPSIS:

AQMD tests and demonstrates new advanced technology vehicles with a variety of low-emission and clean-fuel technologies from major auto manufacturers. As part of the Technology Advancement Alternative Fuel Vehicle Loan Program, vehicles are procured as new technologies become available. It is proposed that the AQMD lease one Ford Th!nk 2003 City electric vehicle for three years and purchase three Honda 2003 Civic Hybrid gasoline-electric vehicles. Total cost to the AQMD for these four vehicles will not exceed $ 85,030.

COMMITTEE:

Technology, June 28, 2002, Recommended for Approval

RECOMMENDED ACTION:

1. Appropriate $22,000 from the Clean Fuels Fund to the Services and Supplies Major Object, Rent and Leases of Equipment Account of the Technology Advancement Office;
   
   
2. Appropriate $63,030 from the Clean Fuels Fund to the Capital Outlays Major Object, of the Technology Advancement Office;
   
   
3. Authorize the Procurement Manager to execute a 3-year lease agreement with Ford Th!nk for one 2003 City electric vehicle with optional fast charging capability, for a total amount not to exceed $22,000 from the Technology Advancement Office Services and Supplies Major Object, Rents and Leases of Equipment Account; and
   
   
4. Authorize purchase of three Honda 2003 Civic Hybrid gasoline-electric vehicles with optional continuously variable transmissions for a total amount not to exceed $63,030 from the Technology Advancement Office Capital Outlays Major Object.

Barry R. Wallerstein, D.Env.
Executive Officer

Background

The AQMD operates a number of advanced technology, alternative fuel vehicles (AFVs). AFVs are assigned to AQMD inspectors and utilized in the AQMD motor pool. Some AFVs are also used in the AQMD’s carpool program.

The AQMD also utilizes a number of AFVs in the AFV Loan program, which demonstrates new clean-fuel vehicles to public organizations so that potential purchasers may familiarize themselves with commercially available AFVs. These program are especially important for EVs, in order to educate AQMD fleet operators and others about EV operating characteristics and charging requirements. These vehicles are also used by AQMD staff for demonstration and display at meetings, conferences and workshops.

Recently, Honda introduced hybrid technology to their high-volume Civic model. This vehicle is propelled by the combination of a permanent magnet motor and a 1.3-liter, lean-burn 4-cylinder gasoline engine with cylinder idling. Electrical energy from an alternator and the motor braking system (regenerative braking) is stored in a 144-volt NiMH battery pack. The optional continuously variable transmission (CVT) automatically allows the engine and motor to operate at their highest efficiencies for any driving situation. With the combination of electric and gasoline-engine propulsion refueled by gasoline, the Civic Hybrid CVT achieves 48 mpg (city) and 47 mpg (hwy) and Ultra Low Emission Vehicle (ULEV) emission certification.

This fall, the Ford Th!nk 2003 City electric vehicle will be released. Designed for the U.S. retail market, the vehicle has an estimated top speed of 62 mph and travels an estimated 50 miles per charge. It will not be restricted from freeway use by Ford and is expected to qualify for Clean Air Vehicle registration with DMV to access carpool lanes with only the driver, and therefore free parking at meters in the cities of Los Angeles and Santa Monica. The vehicle can be charged overnight on regular household current (Level 1 – 120V), but optional fast charging (Level 2 conductive 208-240V) provides greater flexibility for fleet use. AQMD has fast chargers compatible with the Ford Th!nk City EV, which are also compatible with future model year 2006 electric vehicles that qualify for ZEV credit under CARB’s zero emission vehicle regulation.

Proposal

Staff recommends that the Board authorize the lease of one Ford Th!nk City electric vehicle with optional fast charging, and purchase three Honda Civic Hybrid gasoline-electric vehicles with CVT. These vehicles will join a Honda EV Plus, two Toyota RAV4 EVs, three GM EV1s, two manual Honda Insight hybrids, and two Toyota Prius hybrids as well as several CNG fueled vehicles in the AQMD AFV Loan fleet. Several electric vehicles are at or near the end of their lease and additional electric vehicles may be requested to be added to the AFV loan fleet in the near future.

Benefits to AQMD

The proposed project is included in the March 2002 update of the Technology Advancement plan under Project 2002CFT-1, Assessment and Technical support of Advanced Technologies and Information Dissemination. The purpose of including AFVs, EVs and hybrid-electric vehicles in the AQMD fleet is to illustrate the AQMD’s own commitment to these advanced technologies, and to showcase available OEM AFVs in order to encourage purchase of these vehicles by public and private organizations. The AQMD supports CARB’s zero-emission-vehicle requirement and strives to educate public and private organizations regarding the benefits and characteristics of AFVs. The primary objective of adding these vehicles to the AQMD’s fleet is not the emissions benefits from four AFVs, but to demonstrate the viability of these vehicles to Basin fleets and to encourage the purchase of these low-emission vehicles.

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 provision d.; "other circumstances exist which are in the best interests of the AQMD." The AQMD endeavors to include as many available technologies as possible in its fleet, representing a cross-section of manufacturers. The AQMD operates AFVs from Ford, General Motors, Toyota, Chrysler and Honda. As new, low emission technologies become available, other manufacturers will be included.

Resource Impact

The purchase price for three Honda 2003 Civic Hybrids with CVT will not exceed $21,010 each, but is expected to be $20,510 with the $500 Efficient Vehicle incentive included. The three-year lease for one Ford Th!nk 2003 City EV with fast charge capability will not exceed $22,000, but is expected to be reduced by a $9,000 ZEV incentive. The total amount for the four vehicles will not exceed $85,030.
 

Vehicle	Cost/Each	Total Cost
Honda Civic Hybrid w/CVT	$21,010	$63,030
Ford Th!nk City EV w/ fast charge capability	$22,000	$22,000
Total		$85,030

Sufficient funds are available for appropriation to the FY 2002-03 Budget 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.

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