BOARD MEETING DATE: May 2, 2003
AGENDA NO. 13
Approve Contract Awards as Part of MSRC's FY 2002-03 AB 2766 Discretionary Fund Work Program; Grant MSRC Authority to Adjust Project Costs Up to Five Percent; and Authorize Board Chairman to Execute Agreements
SYNOPSIS:
On October 4, 2002, the Board approved the FY 2002-03 AB 2766 Discretionary Fund Work Program in Concept totaling $14.95 million. Subsequently, on March 31 and April 24, 2003, the MSRC approved several contract awards. Therefore, as part of its Final FY 2002-03 work Program, the MSRC requests approval of: 1) Applications under the Coachella Valley PM10 Reduction Program; 2) Applications under the Local Government Match Program; 3) Award for Programmatic Outreach Services; 4) Award for “Ridesharing Thursday” Outreach Campaign; and 5) Augment Award to A-Z Bus Sales under CNG School Bus Program. The MSRC also requests authority to adjust project costs up five percent and modify projects where emissions reductions and cost-effectiveness are not compromised. Last, the MSRC requests authority for the Board Chairman to execute agreements. As part of the FY 2001-02 Work Program, the MSRC seeks approval to modify a project scope for a refueling station with the City of Santa Clarita.
COMMITTEE:
Mobile Source Air Pollution Reduction Review Committee,
March 31 and April 24, 2003, Unanimously Approved
RECOMMENDED ACTION:
- Approve an award totaling $27,000 for one application from the Coachella
Valley Association of Governments in partnership with the College of the
Desert and re-approve two applications with corrected project scopes totaling
$143,552 from the City of Cathedral City under the Coachella Valley PM10
Reduction Program, as part of the FY 2002-03 AB 2766 Discretionary Fund Work
Program, as described in this letter and the attached spreadsheet;
- Approve an award totaling $207,925 for five applications from the Cities
of Beaumont, Loma Linda, Corona, Grand Terrace and Indio and one contract
totaling $10,000 to City of Costa Mesa under the Local Government Match
Program, as part of the FY 2002-03 AB 2766 Discretionary Fund Work Program, as
described in this letter and the attached spreadsheet;
- Approve an award of $45,000 to The Better World Group to provide
programmatic outreach services for a one-year period with three additional
one-year options to be exercised at the discretion of the MSRC, additional
future funding subject to AQMD Board approval, as part of the FY 2002-03 AB
2766 Discretionary Fund Work Program, as described in this letter;
- Approve an award of $800,000 to Johnson/Ukropina Creative Marketing to
develop and implement a “Rideshare Thursday” public awareness campaign as part
of the FY 2002-03 AB 2766 Discretionary Fund Work Program, as described in
this letter;
- Authorize MSRC the authority to adjust project costs up to 5%, as
necessary;
- Authorize the Chairman of the Board to execute 11 contracts as part of the
FY 2002-03 AB 2766 Discretionary Fund Work Program;
- Approve an amendment to add $400,000 to A-Z Bus Sales, Inc. Contract
#03001, increasing the contract value from $300,000 to $700,000, under the CNG
School Bus Incentive Program, as part of the FY 2002-03 AB 2766 Discretionary
Fund Work Program; and
- Approve modified project scope for City of Santa Clarita Contract #S0127, which was funded under the Local Government Match Program as part of the FY 2001-02 AB 2766 Discretionary Fund Work Program.
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. Available monies for the FY 2002-03 Work Program are approximately $16 million, including revenue, interest and turn-back funds from projects that realized cost savings or awards that were rescinded in part or whole.
On October 4, 2002, the Board approved the FY 2002-03 AB 2766 Discretionary Fund Work Program in Concept totaling $14.95 million, which included several elements as follows:
1. Coachella Valley PM10 Reduction Program
The Coachella Valley PM10 Reduction Program offered co-funding to qualifying
particulate matter reduction projects, focusing on the early implementation of
Most Stringent Measures (MSMs) as defined by the South Coast AQMD in the new
Coachella Valley State Implementation Plan. The four eligible categories in the
Program Announcement were: 1) PM10 efficient street sweepers and dust control
vehicles; 2) installation and maintenance of wind fencing; 3) stabilization of
roadways, shoulders and turnouts; and 4) paving of roadway shoulders and
turnouts. The goal is to assist Coachella Valley jurisdictions in expeditiously
implementing MSMs prior to the imposition of mandatory PM10 Reduction Rules by
the AQMD. The MSRC Program offered a match against CMAQ, AB 2766 Subvention
Funds, or other local funds. The MSRC Program provided qualifying CMAQ projects
an 11.47% match against federal CMAQ (TEA-21) funds, a 75% Match against AB 2766
Subvention Funds, and a 50% match when other sources of funds were applied. The
total amount of Discretionary Funds allocated to this category was $1 million.
The solicitation mechanism was a Program Announcement and Application, with a
proposal receipt period beginning on November 5, 2002 and ending April 8, 2003.
Funding was available on a first-come, first-serve basis. In February and March,
the Board approved the MSRC's recommendation to award funding totaling
$974,190.69 for 12 applications. Additional applications are being recommended
for funding based on the MSRC’s April 24, 2003 meeting; details are described
below under the Proposals section (see Attachment 2).
2. Local Government Match Program
The Local Government Match Program Announcement offered co-funding to
qualifying alternative fuel vehicle and infrastructure projects. The total
amount of Discretionary Funds allocated to this category was $2.45 million. The
solicitation mechanism was a Program Announcement and Application, with a
proposal receipt period beginning on December 1, 2002 and ending April 8, 2003.
Funding was available on a first-come, first-serve basis. In February and March,
the Board approved the MSRC's recommendation to award funding totaling
$1,076,885 for 12 applications. Additional applications are being recommended
for funding based on the MSRC’s April 24, 2003 meeting; details are described
below under the Proposals section (see Attachment 2).
3. Programmatic Outreach Services
Since 1999 the MSRC has contracted with Claudia Keith & Associates, who was
retained through an RFP process, to provide programmatic outreach services. The
three one-year options included in Ms. Keith’s contract have been exercised and
her contract will expire this summer. As part of the FY 2002-03 Work Program,
the MSRC released an RFP on February 7, 2003, to re-test the market for these
services, which will include outreach and promotion of work program
achievements, development and dissemination of marketing/promotional materials,
outreach assistance to contractors and public, and attendance at various
meetings and public events. The MSRC allocated $45,000 for the first year of
services. Seven proposals were received in response to the RFP, which closed on
March 7, 2003. Interviews were conducted with the top two ranked proposers. An
award recommendation based on the MSRC’s April 24, 2003 meeting is described
below under the Proposals section.
4. Rideshare Thursday
The MSRC allocated $800,000 to retain a public relations, advertising or
marketing firm to develop and implement a regional public awareness campaign
promoting the benefits of ridesharing. The campaign’s theme was “Rideshare
Thursday” and was intended to encourage Southland commuters to use an
alternative commute mode at least one day each week. The original “Rideshare
Thursday” campaign used a combination of mixed media, including radio spots and
print and outdoor advertising, to promote the message, and the MSRC wanted to
duplicate the success of the 1993-94 campaign using similar mixed media. An RFP
was released October 4, 2002. In response to the RFP, which closed January 10,
2003, 16 proposals were received and the top five finalists were interviewed by
an MSRC-TAC Subcommittee. On February 27, 2003, the MSRC considered its
MSRC-TAC’s recommendation to award the contract to Johnson/Ukropina, the top
ranked firm. However, the MSRC unanimously referred the item back to the
MSRC-TAC to request that the top two ranked firms, Johnson/Ukropina and Pathways
Strategic Communications, provide detailed and specific program plans, including
radio stations, airing times and hits, focusing on maximum air time. Subsequent
to the MSRC meeting, the MSRC-TAC requested additional information and
abstracted further data from the top two proposals. A cost-effectiveness
calculation based on cost per second was also performed. Based on the resulting
information and considering the broader outreach proposed by Johnson/Ukropina
which included outreach to ethnic radio markets, the MSRC-TAC again recommended
the award to the top ranked firm. Detail on final award recommendation based on
the MSRC’s April 24, 2003 meeting is described below under the Proposals
section.
5. CNG School Bus Program
The CNG School Bus
Program offers buy-down tiered incentives for three types of CNG school buses:
1) $60,000 for heavy-duty full-size Type D buses; 2) $50,000 for heavy-duty
mid-size Type D buses; and $25,000 for heavy-duty Type A buses. An RFQ to seek
qualified vendors to participate in the program resulted in the retention of
three vendors: A-Z Bus Sales, California Bus Sales and Southern California
Thomas Bus Sales. On February 7, 2003, the Board approved initial contract
awards to each of these vendors in the amount of $300,000. The remaining $1.1
million of the $2 million program was to augment the qualified vendor contracts
based on sales performance, subject to review and approval of the MSRC and AQMD
Board. A-Z Bus Sales has nearly expended its original $300,000 allocation and
has requested an additional $400,000 to provide CNG school bus incentives. The
final recommendation based on the MSRC’s April 24, 2003 meeting is described
below under the Proposals section.
Outreach
In accordance with the AQMD's consulting and contracting policies, a public notice advertising all of the above was published on two different days in 25 newspapers and publications, including several targeting minorities.
The Program Announcements (PA) and RFPs were placed on the MSRC's Web site at "http://www.msrc-cleanair.org" as well as the AQMD's Web site at "http://www.aqmd.gov" under the "Business and Job Opportunities" icon, and information was included about them on the AQMD's 24-hour telephone message line for bidders at (909) 396-2724. Several PAs and RFPs were downloaded from the MSRC's Web site.
In addition to the AQMD's standard practices, a brochure announcing all of the MSRC's funding opportunities was mailed to over 1,600 interested parties on the MSRC's mailing list, as well as to the Black and Latino Legislative Caucuses, City Managers, Chambers of Commerce, the AQMD's Ethnic Communities Advisory Group, and business associations.
The complete Local Government Match Program Announcement and Application was mailed directly to all city mayors and city managers within the South Coast Air Basin as well as to the Subvention Fund technical contacts identified by the AQMD's Transportation Division. The Coachella Valley PM10 Reduction Program Announcement and Application was provided to the Coachella Valley Association of Governments and disseminated to other appropriate local governments in that jurisdiction. In addition, the Programmatic Outreach Services RFP was mailed directly to a special mailing list of public relations, marketing and advertising contractors. Additional outreach was performed by the AQMD's intergovernmental affairs staff and members of the Science & Technology Advancement office.
Bidders' Conference
Bidders' conferences were conducted throughout October 2002 at AQMD headquarters and technical assistance provided when possible. A general question-and-answer session was conducted.
Proposals Received and Evaluation Process
The MSRC's Technical Advisory Committee (MSRC-TAC) formed evaluation subcommittees to review the proposals and applications determined to be eligible, using the criteria within each solicitation. The MSRC-TAC is a diverse group of individuals appointed by the participating members as prescribed in the Health & Safety Code.
Proposals
On March 31 and/or April 24, 2003, the MSRC considered recommendations from its MSRC-TAC and unanimously approved contract awards as part of the FY 2002-03 AB 2766 Discretionary Fund Work Program, as follows:
- One new application and two amended applications under the Coachella
Valley PM10 Reduction Program, funded on a first-come, first-serve basis, as
follows:
a) Coachella Valley Association of Governments in partnership with the College of the Desert in the amount of $27,000 to stabilize six unpaved parking lots and adjacent unpaid areas;
b) City of Cathedral City (Application #2003-02-5) in the amount of $79,037 to mitigate blow sand migration onto roadways and the resultant PM10 by implementing the Ventura Road-Morongo Creek Levee Soil Stabilization and Windbreak project; and
c) City of Cathedral City (Application #2003-20-6) in the amount of $64,516 to mitigate blow sand migration onto roadways by implementing shoulder stabilization and infill paving and installing wind fencing.
- Five applications and one contract under the Local Government Match
Program, funded on a first-come, first-serve basis, as follows:
a) City of Beaumont in the amount of $40,000 for two heavy-duty CNG vehicles;
b) City of Loma Linda in the amount of $10,000 for one medium-duty CNG vehicles;
c) City of Corona in the amount of $50,000 for five medium-duty CNG vehicles;
d) City of Grand Terrace in the amount of $57,925 for CNG time-fill refueling station and four medium-duty CNG vehicles;
e) City of Indio in the amount of $50,000 for five medium-duty CNG vehicles; and
f) City of Costa Mesa in the amount of $10,000 for one CNG-fueled dump truck.
- One $45,000 contract to Better World Group, the top ranked firm, to
provide programmatic outreach services for a one-year period with three
additional one-year options to be exercised at the discretion of the MSRC
subject to funding approval by the AQMD Board;
- One $800,000 contract to Johnson/Ukropina, the top ranked firm, to develop
and implement a “Rideshare Thursday” public awareness campaign; and
- Increase A-Z Bus Sales Contract #03001 by $400,000 bringing the total contract value to $700,000 for their participation as a qualified vendor under the CNG School Bus Incentive Program.
Further details on the awards approved to date and final recommendations under the Coachella Valley PM10 Reduction Program are described in the attached agenda item prepared for the MSRC (Attachment 3).
The City of Costa Mesa contract award, as listed above under the Local Government Match Program, is to continue a project originally awarded under the FY 2000-01 Work Program. The City was originally awarded $30,000 for two propane vehicles. The contractor received the first vehicle, but CARB had not yet certified the second proposed engine. On December 5, 2002, the MSRC-TAC denied a request to extend the contract by up to one year unless additional information was provided on the proposed propane vehicle. Subsequently, the contractor proposed changing the vehicle from propane to CNG, but the contract lapsed because the MSRC canceled its December 2002 meeting. In January 2003 the MSRC approved an amendment to change the vehicle type and extend the contract. However, AQMD staff expressed concerns regarding amending the contract when the MSRC’s action took place after the contract had already lapsed. Consequently, this contract award is to continue the project using the unspent monies, allowing the purchase of the CNG vehicle in the amount of $10,000, to fulfill the MSRC’s intention by their actions in January 2003. The new contract is being included as part of the actions on the FY 2002-03 Work Program. In addition, of the $2.45 million allocated to the Local Government Match Program, a balance of $1.37 million remains available for additional applications received near or on the closing date of April 8, 2003. These applications will be considered by the MSRC at its next meeting.
At this time the MSRC requests Board approval to fund eleven contracts totaling $1,233,478 and augment one contract by $400,000 as part of the FY 2002-03 AB 2766 Discretionary Fund Work Program.
In some cases the full amount requested in a proposal is not recommended for funding or the proposed scope of work has been modified. This is consistent with the MSRC's administrative policies, which allow the MSRC to approve a portion of a proposer’s scope of work and/or funding request. In those cases where the proposed funding level or scope of work has been modified by the MSRC, and the proposer cannot perform the project as approved, the MSRC may rescind the funding commitment and retain the funds in the Discretionary Fund for future work programs.
The MSRC requests authority to adjust the funds allocated to each project specified in this Board letter by up to 5% of the project's recommended funding. The Board has granted this authority to the MSRC for all past work programs. The MSRC also requests that the Board authorize the AQMD Board Chairman the authority to execute all agreements described in this letter and in the attachments as part of the FY 2002-03 Work Program.
In the FY 2001-02 Work Program, the MSRC awarded a $164,225 contract to the City of Santa Clarita under the Local Government Match Program. The project was to construct two CNG refueling stations and purchase seven CNG vehicles. On March 31, 2003, the MSRC approved a modification to this contract to eliminate two of the seven vehicles, reducing the contract value by $40,000, because they were unable to procure two heavy-duty CNG water and stencil trucks. In addition, the City of Santa Clarita proposed to construct one instead of two CNG refueling stations because a refueling station had already been constructed near one of the locations they had proposed. The remaining station at Avenue Standford would be expanded to include a 75 cfm CNG compressor, 30,000 cf of high-pressure CNG storage, one fast-fill dispensing station and two timed fill dispensing stations. The expansion would allow for the capability to open the station to other users, and the funds allocated to the second station which is being eliminated would be transferred to the larger expanded station. The MSRC unanimously approved this contract modification amending the project scope and reducing the contract value to $124,225. AQMD legal counsel determined that the modified scope of work could be considered essentially a new project and therefore determined that the modification needed AQMD Board approval. Therefore, the MSRC requests the AQMD’s approval to modify this contract as described above as part of the FY 2001-02 Work Program and to authorize the Chairman of the Board to execute the amendment.
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.
1) Coachella Valley PM10 Reduction Program Funding Spreadsheet
2) Local Government Match Program Funding Spreadsheet
3) Coachella Valley PM10 Reduction Program 4/24/03 Report to MSRC on
New/Amended Applications
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