BOARD MEETING DATE: May 2, 2008
AGENDA NO. 36

RECOMMENDED ACTIONS:

Authorize the Executive Officer to amend the contract with Neuton Lawn Mower Company to purchase up to 600 additional cordless electric lawn mowers for an amount not to exceed $109,500 from the AQIP Special Revenue Fund.
 

Barry R. Wallerstein, D.Env.
Executive Officer

Background

The Rule 2202 Air Quality Investment Program (AQIP) allows subject employers to participate by electing to invest in an AQMD-administered restricted fund. Investment can be either $60 annually per employee reporting to the worksite during the 6:00 a.m. to 10:00 a.m. peak window, or $125 triennially per employee. The restricted monies are to be used by the AQMD to fund proposals that achieve mobile source emission reductions that would otherwise have been achieved by implementing a rideshare program.

Upon registering under this option and submitting the designated investment amount, an employer is considered to be in compliance with the Rule and there is no need for the employer to take further action to reduce mobile source emissions. The collected monies are used to fund alternative mobile source emission reduction strategies that reduce mobile source emissions at a more cost-effective rate which could potentially result in greater overall emission reductions.

At its November 2007 meeting, the Board approved the amendment to the competitively bid contract with Neuton Lawn Mower Company to purchase 4,000 cordless electric lawn mowers and conduct the 2008 Lawn Mower Exchange Program. Seven sites were selected for this exchange. Individuals can register both online and by phone. Over the last three years, the customer “no-show” rate at the lawn mower exchange events has been over 25%, and based on this prior year results, staff has registered 6,360 customers for this year’s exchange. At the first two events this year, however, the no-show rate has been only 19%; if this no-show rate continues, there could be a short-fall of mowers at the final events. The manufacturer has guaranteed the production and supply of up to 600 additional mowers in a timely manner to complete the 2008 Lawn Mower Exchange Program.
 

Proposal

Registration to the 2008 Lawn Mower Exchange Program started on Mach 18, 2008. The initial program sold out within ten days. The second batch of 750 mowers sold out over one weekend. The following table lists the sites, the number of mowers booked and the mowers sold to-date.

Manufacturer has guaranteed the production and supply of the 600 additional mowers in a timely manner. They will be distributed as needed among all the event sites.
 

Sole-Source Justification

Section VII.C.2 of the Policy for Clean Air Incentive Contracts identifies provisions under which a sole source award may be justified. This request for a sole source award is made under provision C.2.d.: Other circumstances exist which in the determination of the Executive Officer require such waiver in the best interest of the AQMD. This request for sole source award is made under provision C.2.c(3): the contractor has ownership of key assets required for project performance.
 

Benefits to AQMD

The purchase of up to 600 additional electric mowers will result in the following annual emission reductions, for a period of four years, which will be applied towards the AQIP emission reduction target for the second half of CY 2007.

Resource Impacts

Sufficient funds from the second semi-annual period of CY 2007 AQIP of $109,500 would be used to cover the costs to make this purchase and to conduct the 2008 Lawn Mower Exchange Program. In addition, the resulting emission reductions would be applied towards meeting the AQIP emission reduction target for the second semi-annual period of CY 2007.