BOARD MEETING DATE: May 6, 2005
AGENDA NO. 3

Execute Sole Source Contract with Los Angeles County Agricultural Commission Department of Weights and Measures for Gasoline Vapor Recovery Inspections and Testing

SYNOPSIS:

This action would award the sum of $70,000 for FY 2005-06 to the Los Angeles County Agricultural Commission Department of Weights and Measures to conduct vapor recovery inspections and perform tests at retail gasoline dispensing facilities within the Los Angeles County portion of AQMD. This represents the continuation of a longstanding arrangement between AQMD and Los Angeles County Agricultural Commission Department of Weights and Measures. The existing one-year contract is scheduled to terminate on June 30, 2005.

COMMITTEE:

Stationary Source, March 25, 2005, Discussed, and
Administrative, April 8, 2005, Recommended for Approval

RECOMMENDED ACTION:

Authorize the Chairman to execute the contract with Los Angeles County Agricultural Commission Department of Weights and Measures for Gasoline Vapor Recovery Inspections and Testing at a cost not to exceed $70,000 for FY 2005-06, provided funding is authorized in AQMD's Annual Budget and the Executive Officer approves the work for that year.

Barry R. Wallerstein, D.Env.
Executive Officer

Background

Los Angeles County Weights and Measures Department (W&M) inspectors periodically inspect retail gasoline dispensing facilities to ensure compliance with their regulatory requirements. Since 1994, AQMD has contracted with this agency to conduct screening inspections of gasoline vapor recovery equipment concurrently with their routine inspections. The results of the screening inspections are reported to AQMD for follow-up enforcement action where appropriate.

This inspection process has been mutually beneficial to AQMD, Los Angeles County, and the facility operators; providing AQMD with a cost-effective means of identifying noncompliant sources, while providing additional funding support to the Weights and Measures program.

A new testing component was added to the contract in July 1, 2003. Under this new provision, W&M inspectors began conducting liquid retention tests on hoses for balance systems in addition to a liquid interlock test. The process of draining, collecting and measuring residual gasoline from the nozzle and hose assembly is more consistent with routine activities conducted by the County. In practice this year, it has proven more appropriate for W&M inspectors to conduct these types of activities.

For the 2004 calendar year, the County conducted inspections on behalf of AQMD at 773 stations and identified 306 major and 700 minor defects. This increased AQMD presence at stations has significantly improved the level of compliance in Los Angeles County.

The existing contract with Weights and Measures is scheduled to terminate on June 30, 2005. AQMD and the County have mutually agreed that a continuation of this longstanding relationship is in their mutual best interest.

Proposal

Los Angeles County Weights and Measures Department inspectors will conduct tests and inspect Phase I and II gasoline vapor recovery equipment visually for obvious defects while conducting their routine inspections. AQMD will designate the elements of the tests and inspections, as well as provide a list of the retail gasoline dispensing facilities to be included in this contract. A copy of the report will be provided to the station operator at the time of the inspection and AQMD. W&M inspectors will not issue Notices to Comply or Notices of Violation, but will refer matters of observed noncompliance to AQMD for follow-up enforcement action.

Los Angeles County Agricultural Commission will receive $38 for each service station inspection conducted and up to $52 per station for testing.

Sole Source Justification

Section VIII (B)(2)(d)(5) of the AQMD’s Procurement Policy and Procedure authorizes a sole-source contract to be awarded where the AQMD work to be conducted is done "…concurrent with local government official duties."

In this instance, AQMD will contract with the County to conduct screening inspections of gasoline vapor recovery equipment concurrently with their routine inspections. In addition, W&M inspectors are trained enforcement officers and have been trained by AQMD staff. Consequently, W&M inspectors would be acceptable as expert witnesses if necessary, and are unlikely to be challenged on their authority to inspect. These benefits would be forgone with a private contractor. This sole-source contract is unique in that the contractor is another government agency and the manner in which the work is performed could not be duplicated by another contractor.

Resource Impacts

A total amount not to exceed $70,000 will be proposed for Weights and Measures Department vapor recovery testing and inspections in the FY 2005-06 Budget request.

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