BOARD MEETING DATE: December 3, 2004
AGENDA NO. 10

Modify Allocation to Upgrade and Expand Existing Liquefied Natural Gas Fueling Infrastructure with Orange County Transportation Authority

SYNOPSIS:

At the October 2002 meeting, the Board approved $1 million of funding to cost-share with OCTA an expansion of its existing LNG fueling station at Anaheim or Garden Grove. This additional fueling capacity is needed to address current and future needs of OCTA’s fleet of LNG transit buses. OCTA has proposed a modification to the original scope of work to include cost sharing of LNG tank upgrades and a new alternative fueling station. This action is to re-allocate previous award of $1 million for the purpose of a new L/CNG infrastructure site in Santa Ana and the inclusion of cost sharing for tank upgrades of its LNG bus fleet.

COMMITTEE:

Technology, November 19, 2004, Recommended for Approval

RECOMMENDED ACTION:

Re-allocate previous award of $1 million to Orange County Transportation Authority and authorize the Chairman to enter into a contract for purpose of cost sharing of equipment necessary to upgrade the transit LNG tanks and expansion of the new alternative-fueling infrastructure at Santa Ana. The award funding is from the AES Settlement Fund, the 1309.1 Priority Reserve and Clean Fuels Fund.

Barry R. Wallerstein, D.Env.
Executive Officer

Background

In recognition that the existing LNG fueling infrastructure at its two LNG fueling sites was inadequate to meet current as well as future LNG bus fueling demands, the Orange County Transportation Authority (OCTA) developed a proposal for retrofitting and/or expanding the stations at their Garden Grove and Anaheim facilities with equipment utilizing more proven design approaches for fuel storage, pumping, conditioning, and controls. At the October 2002 meeting, the Board approved funding in the amount of $1 million to cost-share with OCTA an additional LNG fueling station at its Anaheim or Garden Grove locations. Funding for that $1,000,000 award came from the de-obligation of five projects and was comprised of $314,000 from the Clean Fuels Fund, $506,000 from the AES Settlement Fund, and $180,000 from the Rule 1309.1 Priority Reserve Fund.

Proposal

Since the time of the award, OCTA has improved upon the fueling station design to achieve the utmost in fueling flexibility regardless of the type of alternative fuel bus purchases in the future. The OCTA Board of Director’s Transit Planning and Operations Committee met on October 28, 2004 to discuss and approve their staff’s recommendation to proceed with designing an L/CNG fueling facility at the Santa Ana Bus Base. The station expansion design now includes the capability of providing compressed natural gas (CNG) from the liquefied natural gas (LNG) instead of just LNG. Such a system is in use by other transit properties as well as other operators of natural gas vehicles. This approach takes advantage of the positive attributes of both CNG and LNG technologies and that a liquefied compressed natural gas (L/CNG) station would provide fuel dispensing capability for either LNG or CNG buses as the CNG is derived from vaporizing LNG. The station would eventually fuel up to 250 CNG and LNG buses. OCTA has requested that the original award be re-allocated to include the new alternative fuel infrastructure design.

OCTA has also requested that a portion of the $1 million award be used to cost share in the upgrade of the on-board LNG tanks. These upgrades would consist of improving the tank venting alarm, tank pressure, and LNG liquid level indication instrumentation as well as pressurization and catastrophic tank rupture of the on-board LNG tanks. Proper pressure management of the fuel tanks is essential for smooth and safe operation of the buses.

Benefits to AQMD

The AQMP relies on the expedited implementation of advanced technologies and clean–burning fuels in Southern California to achieve air quality standards. By constructing more natural gas fueling facilities, benefits from this project will accrue to all cities and area residents.

Resource Impacts

As in the original allocation, the total amount of AQMD funding for this project shall not exceed $1,000,000, comprised of monies from the Clean Fuels Fund, the AES Settlement Fund and the Rule 1309.1 Priority Reserve Fund as originally allocated by the Board.

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