BOARD MEETING DATE: June 6, 2008
AGENDA NO. 7

RECOMMENDED ACTIONS:

A.  Authorize the Chairman to execute contracts under the Carl Moyer Fleet Modernization Program from the “Year 9” Carl Moyer Program Fund SB 1107 Account with the following entities:

1. Avery Transport Group to replace one Class 8, 1989 model year diesel truck (1988 engine) with one Class 8 diesel truck (2007 engine or newer) in an amount not to exceed $32,656;
2. Carlos Sanchez to replace one Class 8, 1985 model year diesel truck (1985 engine) with one Class 8 diesel truck (2007 engine or newer) in an amount not to exceed $88,055;
3. Oscar J. Rico III to replace one Class 8, 1986 model year diesel truck (1986 engine) with one Class 8 diesel truck (2007 engine or newer) in an amount not to exceed $66,027;
4. F & H Trucking to replace one Class 8, 1985 model year diesel truck (1984 engine) with one Class 8 diesel truck (2007 engine or newer) in an amount not to exceed $100,050;
5. American Wrecking Inc. to replace one Class 8, 1988 model year diesel truck (1989 engine) with one Class 8 year diesel truck (2007 engine or newer) in an amount not to exceed $98,700;
6. Kenny Combs Trucking to replace one Class 8, 1989 model year diesel truck (1988 engine) and one Class 8, 1988 model year diesel truck (1988 engine) with two Class 8 diesel trucks (2007 engines or newer) in an amount not to exceed $129,506;
7. Driftwood Dairy Corp. to replace five Class 8, 1986 model year diesel trucks (1986 engines) with five Class 8 diesel trucks (2007 engines or newer) in an amount not to exceed $185,163;
8. Dave Zirkle Trucking to replace one Class 8, 1979 model year diesel truck (1984 engine) with one Class 8 diesel truck (2007 engine or newer) in an amount not to exceed $64,792;
9. Orange County Asphalt Inc. to replace one Class 8, 1990 model year diesel truck (1989 engine) with one Class 8 diesel truck (2007 engine or newer) in an amount not to exceed $31,012;
10. Jeffrey Kirkpatrick to replace one Class 8, 1989 model year diesel truck (1989 engine) with one Class 8 diesel truck (2007 engine or newer) in an amount not to exceed $56,662; and
11. Produce Trucking to replace one Class 8, 1990 model year diesel truck (1989 engine) with one Class 8 diesel truck (2007 engine or newer) in an amount not to exceed $15,786.

B. Transfer $2,339,749 in returned projects (as listed in Table 2) from the Carl Moyer Program Fund 32 to the Clean Fuels Fund 31 to reimburse previously executed projects (as listed in Table 3) that were approved by the Governing Board as Carl Moyer back-up projects.

C. In the event that any of the back-up projects listed in Table 3 are returned, authorize the substitution to other Governing Board approved Carl Moyer back-up projects in the Clean Fuels Fund 31. Any unspent funds remaining from the transfer will return to the Carl Moyer Fund 32.
 

Barry R. Wallerstein, D.Env.
Executive Officer

Background

Fleet Modernization Projects

In 2005, a heavy-duty on-road fleet modernization program category was added to the Carl Moyer Program. The Fleet Modernization Program provides financial incentives to replace older high-polluting diesel trucks with newer lower emissions diesel and natural gas trucks. In July 2006, AQMD released the Program Announcement, PA #2007-01, to solicit projects for the “Year 8” funds for the Fleet Modernization Program. Having obligated all the funds under the “Year 8” Program, the Board, at its April 4, 2008 meeting, approved the issuance of the “Year 9” Fleet Modernization Program Announcement PA #2008-08, to solicit projects for up to $6 million from the Carl Moyer Program Fund SB 1107 Account.
 

Carl Moyer Turn-Back Funds

CARB’s Carl Moyer Program guidelines have strict requirements for expenditure of funds for each year before allocation of new funds for each subsequent year. During the past year, the Board approved funding of Carl Moyer Program eligible projects using Clean Fuels Funds on the basis that these funds would be returned to the Clean Fuels Program by future Carl Moyer turn-back funds.
 

Proposal

Fleet Modernization Projects

This action is to execute heavy-duty truck fleet modernization contracts to replace pre-1990 trucks with model year 2007 and newer diesel trucks in an amount not to exceed $868,409 from the “Year 9” Carl Moyer Program Fund, SB 1107 Account.

Table 1, provides a detailed list of the proposed projects. These projects were chosen based on the first-come first-served criterion and the cost-effectiveness of NOx and PM reductions. GPS units will be installed on these trucks under an AQMD contract with a GPS vendor, and the cost will be reimbursed by the Carl Moyer Program.

Total NOx and PM reductions from the recommended projects are approximately 9.1 tons/year and 0.68 tons/year, respectively. All the recommended award recipients have agreed to complete the recommended projects by June 30, 2009.
 

Carl Moyer Turn-Back Funds

This action is to transfer $2,339,749 available in returned projects from the Carl Moyer Program Fund 32 as outlined in Table 2, to the Clean Fuels Fund to reimburse the projects listed in Table 3, originally funded with Clean Fuels Fund as backup.
 

Outreach

In accordance with AQMD’s Procurement Policy and Procedure, a public notice advertising the RFP/RFQ and inviting bids was published in the Los Angeles Times, the Orange County Register, the San Bernardino Sun, and Riverside County Press Enterprise newspapers to leverage the most cost-effective method of outreach to the entire South Coast Air Basin. Also, staff has held several public workshops in the South Coast Air Basin, advertised in a trade journal, and has used consultants for outreach purposes.

Additionally, potential bidders may have been notified utilizing AQMD’s own electronic listing of certified minority vendors.  Notice of the RFP/RFQ have been mailed to the Black and Latino Legislative Caucuses and various minority chambers of commerce and business associations, the State of California Contracts Register website, and placed on the Internet at AQMD’s Web site (http://www.aqmd.gov.  Information is also available on AQMD’s bidder’s 24-hour telephone message line (909) 396-2724.
 

Benefits to AQMD

The successful implementation of the proposed projects will help the AQMD significantly reduce NOx and PM10 emissions in a cost effective and expeditious manner. The vehicles funded under this program will operate many years and will provide long-term emissions reductions.
 

Resource Impacts

The total project cost of $868,409 for the proposed truck fleet modernization projects will be funded from the “Year 9” Carl Moyer Program Fund SB 1107 Account
 

Attachments (doc 66kb)

Table 1: Proposed Heavy-Duty Truck Fleet Modernization Projects

Table 2: Carl Moyer Projects Returned Funds to Be Transferred to Clean Fuels Fund

Table 3: Clean Fuels Projects to Be Reimbursed with Carl Moyer Funds Transferred to the Clean Fuels Fund