TITLE
Recommendation to authorize City Manager to execute a contract and any subsequent amendments with the Mobile Source Reduction and Pollution Prevention Committee (MSRC) for the Showcase II Program, to accept grant funds in an amount not to exceed $159,013, for the installation of emission control devices on off-road equipment. (Citywide)
DISCUSSION
City Council approval is requested to enter into a contract and accept grant funds from the MSRC, an affiliate of the South Coast Air Quality Management District (AQMD), to install emission control devices on seven diesel-powered off-road units. These units are managed by the Department of Financial Management, Fleet Services Bureau, and are subject to emission compliance requirements monitored by the California Air Resources Board (CARB) and its local branch, AQMD. The installation of the devices will allow the City to reduce diesel particulates and nitrous oxide emission and allow for mandated compliance prior to the date when such action is required.
The MSRC has partnered with device manufacturers and installers to field-test the equipment by inviting fleet owners to participate through a grant process. The MSRC will receive the early emission reduction credits after the devices have been installed, and the City will be able to retain the devices and use them for compliance with the State's diesel off-road vehicle regulations. These devices have been submitted to CARB for full verification. Part of the certification process is to field-test the units for 1,000 hours, estimated to take 12 to 15 months, during regular operations. Once the devices have been installed, the Fleet Services Bureau will closely monitor the performance of the equipment to ensure that there are no operational problems. The devices can be adjusted or removed by the manufacturer if they prove to be ineffective. Should the devices perform as expected, CARB, through AQMD, will certify the units for the reduction of diesel emissions, and the City will have obtained certified control devices at no cost. The MSRC has selected the devices and manufacturers based on the City's off-road equipment list submitted during the grant application process.
SUSTAINABILITY
· Environmental Benefits - Installation of these devices will reduce the amount of diesel particulates and nitrous oxides emitted by 85 percent. The exact amount of emissions reduced will depend on the equipment use during the 1,000-hour test period.
· Economic Benefits - The control devices and installation costs are valued at $159,013. The MSRC will pay for all costs, including possible removal should the devices fail to work properly.
This matter was reviewed by Deputy City Attorney Amy R. Webber on February 25, 2013 and Budget Management Officer Victoria Bell on March 7, 2013.
TIMING CONSIDERATIONS
City Council action on this matter is requested on April 2, 2013, to ensure that the contract is in place and to receive grant funds in a timely manner.
FISCAL IMPACT
The cost to install emission control devices on off-road equipment is estimated not to exceed $159,013, and will be provided through grant funding from AQMD. It is Financial Management's intent to have the manufacturers of the devices be directly reimbursed by AQMD, and thus no appropriation increase is requested at this time. The acceptance of these grant funds and the installation of these devices will provide continued support to our local economy by potentially assisting in the creation and preservation of jobs in Long Beach.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
JOHN GROSS
DIRECTOR OF FINANCIAL MANAGEMENT
APPROVED:
PATRICK H. WEST
CITY MANAGER