BOARD MEETING DATE: September 5, 2008
AGENDA NO. 8

PROPOSAL:

Execute Contracts under Carl Moyer Truck Fleet Modernization Program

SYNOPSIS:

On April 4, 2008, the Board approved the release of Program Announcement to solicit projects at a cost not to exceed $6 million under the Carl Moyer Fleet Modernization Program. These projects are evaluated on a first-come first-served basis and are submitted on a monthly basis for Board approval. This action is to execute fleet modernization contracts from the Carl Moyer Program Fund
SB 1107 Account.

COMMITTEE:

Not Applicable

RECOMMENDED ACTIONS:

1. Authorize the Chairman to execute contracts under the Carl Moyer Fleet Modernization Program from the Carl Moyer Program Fund, SB 1107 Account, “Year 9” program revenue, with the following entities:
1. Oscar Venegas 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 $95,933;
2. Tzeng Long U.S.A. Inc. to replace two Class 8, 1989 model year diesel trucks (1988 engines) and one Class 8, 1988 model year diesel truck (1988 engine) with three Class 8 diesel trucks (2007 engines or newer) in an amount not to exceed $130,693;
3. TST Inc. 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 $67,320;
4. Mail Transportation Inc. to replace one Class 8, 1988 model year diesel truck (1988 engine) with one Class 8 diesel truck (2007 engine or newer) in an amount not to exceed $80,983;
5. Valley Sod Farms Inc. to replace two Class 8, 1984 model year diesel trucks (1984 engines) with two Class 8 diesel trucks (2007 engines or newer) in an amount not to exceed $100,550;
6. North Hills Recycling Corp. to replace one Class 8, 1987 model year diesel truck (1986 engine) with one Class 8 diesel truck (2007 engine or newer) in an amount not to exceed $95,353;
7. Francisco Cunado to replace one Class 8, 1981 model year diesel truck (1980 engine) with one Class 8 diesel truck (2007 engine or newer) in an amount not to exceed $98,253;
8. Able Crane Services to replace one Class 8, 1988 model year diesel truck (1988 engine), one Class 8, 1970 model year diesel truck (1979 engine), and one Class 8, 1985 model year diesel truck (1985 engine) with three Class 8 diesel trucks (2007 engines or newer) in an amount not to exceed $265,945;
9. Jose Lizardo 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 $121,373;
10. HRC Express Inc. 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 $120,104;
11. Ward Trucking to replace one Class 8, 1987 model year diesel truck (1987 engine) with one Class 8 diesel truck (2007 engine or newer) in an amount not to exceed $76,962; and
12. Trugreen Landcare LLC 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 $53,084.

 

Barry R. Wallerstein, D.Env.
Executive Officer

Background

In 2005, a heavy-duty on-road fleet modernization 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. 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 SB1107 Account.

Proposal

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 $1,306,553 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 on a first-come first-served basis and NOx and PM cost-effectiveness. GPS units will also be installed on these trucks under a separate contract to ensure 75% operation within the South Coast Air Basin.

Total NOx and PM reductions from the recommended projects are 12.4 tons/year and 1.07 tons/year, respectively. All the recommended award recipients have agreed to complete the recommended projects by June 30, 2009.

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 where it can be viewed by making menu selections “Inside AQMD”/“Employment and Business Opportunities”/“Business Opportunities” or by going directly to http://www.aqmd.gov/rfp/index.html).  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 $1,306,553 for the proposed heavy-duty truck fleet modernization projects will be funded from the Carl Moyer Program Fund, SB 1107 Account, “Year 9” program revenue.

Attachment

Table 1: Proposed Heavy-Duty Truck Fleet Modernization Projects

Table 1: Proposed Heavy-Duty Truck Fleet Modernization Projects