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BOARD MEETING DATE: June 7, 2002 AGENDA NO. 3




PROPOSAL:

Execute Contracts and Reissue RFP for On-Road and Off-Road Categories Under FY 2001-02 Carl Moyer Memorial Air Quality Standards Attainment Program

SYNOPSIS:

On March 29, 2002, proposals were received in response to an RFP for the Carl Moyer Memorial Air Quality Standards Attainment Program. Staff recommends award of contracts to the On-Road (transit, trucks and on-road other) and Off-Road (forklifts, other, marine and construction) project categories. Total cost to the Carl Moyer Program Special Revenue Fund, including unspent funds from FY 2000-01 and all returned funds will not exceed $8,792,798. The RFP will be reissued to solicit projects for the remaining $6.6 million.

COMMITTEE:

Technology, May 24, 2002. Less than a quorum was present during the discussion of this item; the Chair communicated his concurrence and recommendation that this item be forwarded for Board consideration with no approval or disapproval recommendation from the Committee.

RECOMMENDED ACTION:

Authorize the Chairman to execute the following contracts from the FY 2001-02 Carl Moyer Program Fund:

  1. A contract with Waste Management of San Gabriel/Pomona Valley to purchase 25 new LNG refuse haulers, in an amount not to exceed $605,000.

  2. A contract with R.F. Dickson to purchase 11 new CNG street sweepers and repower 4 CNG street sweepers, in an amount not to exceed $436,862.

  3. A contract with Nationwide Environmental Services to purchase 6 new LPG street sweepers, in an amount not to exceed $226,134.

  4. A contract with USA Waste, Sun Valley to purchase 10 new LNG refuse vehicles, in an amount not to exceed $242,000.

  5. A contract with USA Waste, L.A. Metro to purchase 25 new LNG refuse haulers, in an amount not to exceed $605,000.

  6. A contract with G&B Rubbish to purchase 3 new LNG refuses vehicles, in an amount not to exceed $124,708.

  7. A contract with Ralphs to repower 6 delivery trucks to LNG, and retrofit 6 LNG/diesel delivery trucks, in an amount not to exceed $154,579.

  8. A contract with the CR&R to purchase 3 new LNG transfer trucks in an amount not to exceed $68,714.

  9. A contract with Viking Freight/Federal Express to purchase 20 new CNG local delivery trucks in an amount not to exceed $100,505.

  10. A contract with LACMTA to purchase 130 new CNG buses, in an amount not to exceed $1,040,000.

  11. A contract with Omnitrans to purchase 16 new CNG buses, in an amount not to exceed $160,000.

  12. A contract with Long Beach Transit to purchase 20 new LNG buses, in an amount not to exceed $160,000.

  13. A contract with the City of Ontario to purchase 9 new CNG refuse haulers, in an amount not to exceed $383,000.

  14. A contract with the City of Los Angeles Department of Transportation to purchase 38 LPG shuttle buses and 3 CNG express buses, in an amount not to exceed $478,731.

  15. A contract with the City of Redlands to purchase 3 new CNG refuse haulers, in an amount not to exceed $31,764.

  16. A contract with the City of Placentia to purchase 2 new CNG dump trucks, in an amount not to exceed $2,174.

  17. A contract with the City of Burbank to purchase, 9 new CNG refuse haulers, 1 new CNG arial truck, 1 new CNG dump truck, and 1 new CNG transit mix truck, in an amount not to exceed $193,158.

  18. A contract with the City of Huntington Beach to purchase 3 new LPG street sweepers and 2 new CNG dump trucks in an amount not to exceed $28,433.

  19. A contract with Capistrano Unified School District to purchase 10 new CNG school buses in an amount not to exceed $238,612.

  20. A contract with Post Brothers Construction to repower 2 dozers, in an amount not to exceed $88,952.

  21. A contract with Shepherd Machinery to repower 1 scraper, in an amount not to exceed $121,040.

  22. A contract with Altfillisch Contractors to repower 2 scrapers, in an amount not to exceed $77,132.

  23. A contract with Sukut Construction to repower 2 dual engine scrapers, in an amount not to exceed $231,850.

  24. A contract with Coburn Equipment to repower 6 dozers and 8 scrapers, in an amount not to exceed $1,173,172.

  25. A contract with Hayward Pool Products to purchase 4 new electric forklifts, in an amount not to exceed $17,462.

  26. A contract with Tommo, Inc. to purchase 2 new electric forklifts, in an amount not to exceed $8,572.

  27. A contract with Monterey Carpets to purchase 1 new electric forklift, in an amount not to exceed $21,336.

  28. A contract with Mattel, Inc to purchase 1 new LPG yard tractor, in an amount not to exceed $19,499.

  29. A contract with OceanAir Environmental to repower 11 marine vessels, in an amount not to exceed $1,022,235.

  30. A contract with Seaboard Marine to repower 9 marine vessels, in an amount not to exceed $707,304.

  31. A contract with John Hensley to repower 1 marine vessel, in an amount not to exceed $24,870.

Approve issuance of RFP #P2002-22R in an amount not to exceed $6.6 million, to solicit projects for the Carl Moyer Memorial Air Quality Standards Attainment Program.

Barry R. Wallerstein, D.Env.
Executive Officer


Background

This is the fourth year of the Carl Moyer Memorial Air Quality Standards Attainment Program in the South Coast Region. This year, Governor Davis and the Legislature have placed $16 million in CARB's FY 2001-02 budget to continue the Moyer program for low-emission heavy-duty vehicles. A new requirement has been added to the distribution of funds pursuant to AB 1390 (Firebaugh). Each air district must spend at least 50% of their allotted funds to directly benefit communities that are disproportionately impacted by air pollution. This year AQMD has received $7,055,564 from CARB. In addition, $4,878,562 million in unspent funds will be carried forward to this year’s program. Finally, $3,492,958 has been returned or declined from previous awards, bringing the total funding available for the FY 2001-02 Moyer program to $15,427,084 million (Table 1). Fifty percent or more of the total available funds will be expended in areas in compliance with the provisions of AB 1390.

Table 1
Carl Moyer Program
Available Funds
FY 2001-02
 

SOURCE

YEAR

AMOUNT

CARB

FY 01-02

$7,055,564            

Rollover Funds

FY 99-00

$13,000            

 

FY 00-01

$4,865,562            

Turnback Funds

FY 98-99

$412,000            

 

FY 99-00

$197,893            

 

FY 00-01

$2,883,065            

TOTAL

 

$15,427,084            

Turnback Funds

Since the last round of Carl Moyer awards in September 2001, several applicants have returned funds for various reasons. Table 2 shows the funds that have been declined.

Table 2
Declined Funding
 

AWARD RECIPIENT

AMOUNT DECLINED

FY 98-99

 

House2Home

   $412,000

FY 99-00

 
 

     $197,893*

FY 00-01

 

Waste Mgmt - Corona

   $396,560

Waste Mgmt – Moreno Valley

   $280,000

Ventura Transfer

   $338,286

City of Anaheim

     $32,325

City of Culver City

     $35,000

D.O.N. Investments

     $84,000

LAMTA

   $680,000

City of Huntington Beach

     $33,868

City of Los Angeles Dept. of Airports

   $216,500

United Parcel

     $65,000

Dalton Trucking

   $721,526

Total Funds Declined

$3,492,958

*Remaining portion after reallocation in FY 2000-01

 Proposal

At its December 2001 meeting, the Governing Board approved the release of RFP #P2002-22 to solicit projects for vehicles and equipment, including refuse haulers, over-the-road trucks, transit buses, marine and port applications, construction and other vehicles and equipment. New engines and retrofits are allowed within the program. Diesel to diesel repowers will only be funded in the off-road sector, provided no feasible alternative fuel engine is available. Proposal submissions have been reviewed and ranked in all categories. Proposals meeting the cost effectiveness requirements and in areas recommended by AB 1390 (Firebaugh) were awarded first, totaling 60% of the recommend awards for this round. The remaining proposals were awarded based on their cost effectiveness only. Table 3 summarizes staff’s recommendation for awards under the AB 1390 category for a total of $5,247,935, which will result in approximately 192.3 tons/year of NOx reductions. Table 4 summarizes award recommendations for the remaining funds based on their cost effectiveness ranking totaling $3,544,863, which will result in approximately 121.6 tons/year of NOx reductions. The awards total $8,792,798 and fully expend the total returned funds and rollover funds from previous years. RFP# P2002-22R will be released soliciting proposals for the remaining $6.6 million available under the FY 2001-02 Carl Moyer Program. If additional funds are returned, projects funded herein will utilize the earliest year Carl Moyer Program funds available until such funds are exhausted and then will rely on the most recent subsequent year’s funding which is available.

Funding Distribution

Pursuant to AB 1390, at least 50% of the program funds for this year must be spent in disproportionately impacted areas by air pollution, including areas of low income. CARB’s allocation to the AQMD for this year was $7.055 million, therefore to meet the requirements of AB 1390, approximately $3.5 million, must be allocated in designated AB 1390 areas. AQMD has decided to further its support for AB 1390 by allocating at least 50% of all funding available in the Moyer program this year which includes roll-over funding from previous years and turnback funds. As a result AQMD is intending to commit approximately $7.7 million in areas satisfying the requirements of AB 1390.

AB1390 (Firebaugh), Point Ranking

The requirements of AB 1390 will be implemented according to the following criteria.
 

1)   

All projects must qualify for the Carl Moyer program by meeting the cost effectiveness limits established in the RFP.
 

2)   

All projects were evaluated according to the following criteria to qualify for funding under AB 1390:

a)      Poverty Level: All projects in areas where at least 10% of the population falls below the
         Federal poverty level based on the year 2000 census data, are eligible to be included in this
         category, and

b)      PM Exposure: All projects in areas with the highest 15% of PM concentration will be eligible
         to be ranked in this category. The highest 15% of PM concentration is 46 micrograms per
         cubic meter and above, on an annual average, or

c)      Air Toxics Exposure: All projects in areas with a cancer risk of 1,000 in a million and above
         (based on Mates II estimates) will be eligible to be ranked in this category.

Special circumstances existed in some areas, such as the Ports of Long Beach and Los Angeles. Since there are no residents within the ports, poverty ranking could not be established. In this case, the poverty ranking from the adjacent on-shore areas were extended to the port since these populated areas are directly impacted by port activities.

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:
 

1.

Angeles Mesa Wave, The

11.

Inland Valley Daily Bulletin

21.

Palm Springs Desert Sun

2.

Antelope Valley Press

12.

Korea Central Daily

22.

Philippine News

3.

Black Voice News

13.

La Opinion

23.

Precinct Reporter

4.

Central News Wave

14

La Prensa Hispana

24.

Rafu Shimpo

5.

Chinese Daily News

15.

La Voz

25.

Press Enterprise

6.

Eastern Group Publications

16.

Los Angeles Daily News

26.

San Bernardino Sun

7.

El Chicano

17.

Los Angeles Sentinel

27.

Santa Clarita Signal

8

El Informador

18.

Los Angeles Times

28.

The Wave

9.

Excelsior, The

19.

M/W/DVBE Source

29.

State of California Contracts

10.

Inland Empire Hispanic News

20.

Orange County Register

 

Register

Additionally, potential bidders were notified utilizing the Los Angeles County MTA and Cal Trans Directories of Certified Minority, Women, Disadvantaged and Disabled Veterans Business Enterprises; the Inland Area Opportunity Pages Ethnic/Women Business & Professional Directory; AQMD’s own electronic listing of certified minority vendors; and AQMD Purchasing’s mailing list. Notice of the RFP was mailed to the Black and Latino Legislative Caucuses and various minority chambers of commerce and business associations; and placed on the Internet at AQMD’s Web site [http://www.aqmd.gov, "Business and Job Opportunities" icon] and AQMD’s bidder’s 24-hour telephone message line (909) 396-2724.

Benefits to AQMD

AQMD’s Clean Fuels Program has been active in funding the development and demonstration of low emission, alternative fuel technologies within its Technology Advancement Office. The AQMD has also supported a number of activities directed to commercialization of low-emission alternative fuel technologies. The successful implementation of the Carl Moyer Program is a direct result of these Technology Advancement activities. The proposed projects will have significant emission benefits for many years. Total NOx reductions from the proposed project are approximately 313.9 tons per year. The vehicles and equipment proposed will operate many years, providing long-term emissions reductions.

Resource Impacts

Total cost for the proposed projects is $ 8,792,798. All funding for these projects is from the Carl Moyer Program Fund, established as a special revenue fund resulting from the statewide Carl Moyer Memorial Air Quality Standards Attainment Program administered by ARB. The objective of the Carl Moyer Program is to accelerate the introduction of low-emission heavy-duty engines. Funds are distributed by the ARB through local air districts. Funds from this program are restricted to be used as incentives to private companies or public agencies operating heavy-duty engines in California to cover an incremental portion of the cost of cleaner on-road, off-road, marine engines, and APUs.

The AQMD cost share for the FY 2001-02 Carl Moyer Program is included in the March 2002 update of the Technology Advancement Plan as 2001CFM-1 "Clean Fuels Program Match for Carl Moyer Memorial Air Quality Standards Attainment Program."

The Carl Moyer Guidelines allow Moyer Program qualified projects funded by local monies to be uses as the required local match contribution. This year the required local match funding for FY 2001-02 is $3.5 million, and is provided from qualified local match projects funded in 2001. Attachment 1 lists the qualified match projects approved by the governing board last year. These funds meet the local match criteria for the Moyer Program.

Attachment

  1. Local Match Requirement
  2. RFP#P2002-22R

 

TABLE 3
PROJECT AWARDS BASED ON
AB 1390 SCORES
 

Applicant

AB 1390
Score

Number of
Vehicles

Total Project
NOx
Reductions
(tons/year)

Total
Re
commended Award

LACMTA

40.71

130

71.02

$1,040,000

Omnitrans

36.04

  16

12.24

   $160,000

City of Ontario

35.94

    9

7.02

   $383,000

City of Los Angeles / LADOT

34.61

  38

12.13

   $456,000

Mattel, Inc., DC West

32.28

    1

0.63

     $19,499

Long Beach Transit

29.48

  20

11.71

   $160,000

Hayward Pool Products, Inc.

29.48

    4

1.34

     $17,462

City of Redlands

29.14

    3

1.35

     $31,764

Ocean Air Environmental

27.92

    7

15.48

   $658,275

Seaboard Marine

27.93

    7

13.6

   $543,600

John Hensley

27.93

    1

0.5

     $24,870

Tommo, Inc.

26.89

    2

0.66

       $8,572

Waste Mgmt of San Gabriel/Pomona Valley

26.32

  25

16.88

   $605,000

City of Placentia

26.10

    2

0.02

       $2,174

Post Brothers Construction

24.44

    2

3.82

     $88,952

R.F. Dickson Co., Inc.

24.20

  15

8.65

   $436,862

Nationwide Environmental

24.08

    6

3.63

   $226,134

Shepherd Machinery

23.52

    1

3.49

   $121,040

City of Los Angeles / LADOT

19.63

    3

1.37

     $22,731

Sun Valley Hauling

19.00

  10

6.75

   $242,000

TOTAL

 

302

192.3

$5,247,935

 

TABLE 4
AWARDS BASED ON
COST EFFECTIVENESS
 

Applicant

Cost-Effectiveness
($/ton)

Number of
Vehicles

Total Project
NOx Reductions
(tons/year)

Total Recommended
Award

Altfillisch Contractors, Inc.

  $2,204

   1

3.02           

$38,566           

Altfillisch Contractors, Inc.

  $2,211

   1

3.02           

$38,566           

Sukut Construction, Inc.

  $2,700

   1

7.42           

$115,925           

Sukut Construction, Inc.

  $2,700

   1

7.42           

$115,925           

OceanAir – Moonstone

  $3,105

   1

1.03           

$51,529           

Seaboard Marine – Hi-Count

  $3,587

   1

2.68           

$120,000           

Coburn Equipment

  $3,621

   1

5.53           

$115,925           

Coburn Equipment

  $3,691

   1

5.43           

$115,925           

Coburn Equipment

  $3,691

   1

5.43           

$115,925           

Coburn Equipment

  $3,720

   1

5.38           

$115,925           

Coburn Equipment

  $3,766

   1

5.32           

$115,925           

Coburn Equipment

  $3,808

   1

5.26           

$115,925           

OceanAir – Outer Limits

  $4,000

   1

2.74           

$136,793           

OceanAir – Ultra

  $4,000

   1

2.24           

$111,672           

OceanAir – Blance W.

  $4,000

   1

1.28           

$63,966           

Seaboard Marine – Doctor’s Orders

  $4,000

   1

0.88           

$43,704           

USA Waste LA Metro Hauling District

  $4,043

 15

10.13           

$363,000           

USA Waste LA Metro Hauling District

  $4,043

 10

6.75           

$242,000           

Coburn Equipment

  $4,208

   1

4.76           

$115,925           

Coburn Equipment

  $4,214

   1

4.75           

$115,925           

Coburn Equipment

  $4,684

   1

2.38           

$64,405           

Coburn Equipment

  $4,994

   2

4.46           

$64,405           

Coburn Equipment

  $5,161

   2

4.31           

$64,405           

Coburn Equipment

  $5,343

   1

1.70           

$52,557           

City of Burbank

  $5,516

   9

4.39           

$186,993           

G&B Rubbish and Roll-off Services

  $5,606

   1

0.94           

$46,708           

G&B Rubbish and Roll-off Services

  $5,967

   2

1.47           

$78,000           

Ralphs Grocery Company

  $6,000

   6

3.10           

$107,737           

Ralphs Grocery Company

  $6,000

   6

1.35           

$46,842           

CR&R, Inc.

  $6,000

   3

1.48           

$68,714           

Viking Freight/Federal Express

  $6,000

 20

2.17           

$100,505           

City of Burbank

  $6,283

   1

0.05           

$2,600           

Monterey Carpets

  $6,695

   1

0.736         

$21,336           

City of Burbank

  $9,971

   1

0.02           

$1,750           

City of Huntington Beach

$10,000

   3

0.54           

$23,581           

City of Burbank

$10,000

   1

0.02           

$1,815           

Capistrano Unified School District

$10,000

 10

1.91           

$238,612           

City of Huntington Beach

$10,000

   2

0.06           

$4,852           

TOTAL

 

115

121.6

$3,544,863           

 

ATTACHMENT 1

LOCAL MATCH REQUIREMENT
FUNDED PROJECTS
As of October 24, 2001
 

Required Match Amount
 

2000-01 Moyer Program:
 

$ 5.3 million
 

2000-01 Moyer Program:
 

$ 3.5 million (estimated)
 

Qualified Projects
 

Amount
 

Approval Date
 

Construction Management
AQMD Headquarters NG
Fueling Station
 

 $       26,415

 February 16, 2001

Jurupa School District
34 CNG Buses, CNG Infrastructure
 

 $  2,550,000

 May 11, 2001

Multiple NG Refueling Stations
 

 $  4,600,000

 July 20, 2001

CNG Station Construction
AQMD Headquarters
 

 $     656,200

 September 21, 2001

Hydrogen Refueling Station
Demonstration Project
 

 $     389,882

 October 19, 2001

LNG Fueling Infrastructure
 

 $     165,000

 October 19, 2001

CG Fueling Station
Jurupa School District
Reallocation and Supplemental Funds
 

 $     265,246

 October 19, 2001

RFP for LNG Refueling Stations

 $  2,000,000

 October 19, 2001

 
Total Expenditures

 
 $10,652,743

 

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