PROPOSAL:
Approve Multiple Contract Awards as Part of MSRC's FY 2005-06 AB 2766
Discretionary Fund Work Program; Grant MSRC Authority to Adjust Project
Costs Up to Five Percent; and Authorize Board Chairman to Execute
Agreements
SYNOPSIS:
The MSRC developed a two-phase Conceptual FY 2005-06 Work Program,
which was approved by the AQMD Board on September 9, 2005. The first phase
includes $12.875 million in solicitations and projects, including $1.25
million allocated for the Diesel Exhaust Aftertreatment Retrofit Program.
On October 27, 2005, the MSRC met to consider several applications
received to date under this program solicitation. At this time, the MSRC
requests approval of multiple contract awards under this Program as part
of the FY 2005-06 Work Program. Additional awards are anticipated in
future. The MSRC also requests authority to adjust contracts up to five
percent and authority for the Board Chairman to execute agreements.
COMMITTEE:
Mobile Source Air Pollution Reduction Review, October 27, 2005,
Approved
RECOMMENDED ACTION:
- Approve the award of four contracts totaling $584,000 under the Diesel
Exhaust Aftertreatment Retrofit Program, as part of FY 2005-06 AB 2766
Discretionary Fund Work Program, as described in this letter and as
follows:
- A contract with County of Los Angeles, Department of Public Works,
in an amount not to exceed $193,500 for up to 43 retrofit devices;
- A contract with County of Los Angeles, Sheriff’s Department, in an
amount not to exceed $98,000 for up to 50 retrofit devices;
- A contract with County Sanitation District of Los Angeles in an
amount not to exceed $108,000 for up 24 retrofit devices; and
- A contract with City of Los Angeles in an amount not to exceed
$184,500 for up to 41 retrofit devices.
- Authorize MSRC the authority to adjust contract awards up to five
percent, as necessary; and
- Authorize the Chairman of the Board to execute multiple contracts as
part of FY 2005-06 AB 2766 Discretionary Fund Work Program, as described
above and within this letter.
Gwenn Norton-Perry
Chair, MSRC
Background
In September 1990 Assembly Bill 2766 was signed into law (Health & Safety
Code Sections 44220-44247) authorizing the imposition of an annual $4 motor
vehicle registration fee to fund the implementation of programs exclusively
to reduce air pollution from motor vehicles. AB 2766 provides that 30
percent of the annual $4 vehicle registration fee subvened to the AQMD be
placed into an account to be allocated pursuant to a work program developed
and adopted by the MSRC and approved by the AQMD Governing Board.
The MSRC developed a two-phase Conceptual FY 2005-06 Work Program, the
first phase of which was approved by the AQMD Board on September 9, 2005.
The first phase includes $12.875 million in solicitations and projects,
including $1.25 million for a Diesel Exhaust Aftertreatment Retrofit
Program. This Program Announcement (PA), #2006-05, provides $1.25 million
towards the purchase of CARB-certified exhaust aftertreatment devices to
retrofit existing diesel vehicles. The PA provides a 50 percent match toward
the cost of purchasing and installing CARB-verified particulate filters up
to $4,500 per unit for devices reducing PM only and up to $10,000 per unit
for devices reducing both NOx and PM. No additional funding is provided to
offset low sulfur fuel costs for this funding cycle. Funding is to be
awarded on a first-come, first-serve basis with all proposals received the
first day to be considered received concurrently. If more applications are
received the first day than available funding, eligible applications would
be funded on a prorated basis. The application period commenced October 4,
2005 and ends January 31, 2006. A cap of $200,000 per entity was established
to ensure broad distribution throughout the South Coast Air District. Four
applications were considered at the MSRC’s October 27, 2005 meeting; details
are provided in the Proposals section.
Outreach
The funding solicitation described above, in accordance with the AQMD's
consulting and contracting policies, was advertised in a public notice on
two different days in 27 newspapers and publications, including several
targeting minorities.
The funding solicitation was placed on the MSRC's website at
http://www.msrc-cleanair.org and
placed on the AQMD’s website at
http://www.aqmd.gov. Information was also available on the AQMD’s
bidder’s 24-hour telephone message line (909) 396-2724. A press release on
funding opportunities available in the FY 2005-06 Work Program was issued
and placed on the MSRC’s website.
In addition to the AQMD's standard practices, a postcard announcing the
FY 2005-06 funding opportunities was mailed to nearly 1,800 interested
parties on the MSRC's mailing list, as well as to the Black and Latino
Legislative Caucuses, Ethnic Community Advisory Group, City Managers,
Chambers of Commerce, and business associations. The postcard was also
mailed to local legislators, mayors, city council members and city managers
in the four counties, and AB 2766 Subvention Fund city administrators.
Bidders’ Conference
No bidders’ conference was conducted because the program was similar to
last year’s program within the FY 2004-05 Work Program.
Proposal Evaluation and Panel Composition
Proposals received were evaluated by members of the MSRC-TAC, a diverse
group of individuals appointed by participating members as prescribed in the
Health & Safety Code.
Proposals
On October 27, 2005, in a 6-0 vote, the MSRC considered recommendations
from its MSRC-TAC and unanimously approved four contract awards under the
Diesel Exhaust Aftertreatment Retrofit Program. Awards are as follows:
- A contract with County of Los Angeles, Department of Public Works, in
an amount not to exceed $193,500 for up to 43 retrofit devices;
- A contract with County of Los Angeles, Sheriff’s Department, in an
amount not to exceed $98,000 for up to 50 retrofit devices;
- A contract with County Sanitation District of Los Angeles in an amount
not to exceed $108,000 for up 24 retrofit devices; and
- A contract with City of Los Angeles in an amount not to exceed
$184,500 for up to 41 retrofit devices.
All qualifying proposals received to date are recommended for funding.
This Program Announcement remains open until January 31, 2006, or until such
time that all funds have been expended. Of the $1.25 million allocated to
this Program, $666,000 remains unallocated if the above awards are approved.
Thus, future awards are anticipated, and will be subject to MSRC and AQMD
Board approval as part of the FY 2005-06 Work Program.
In some cases the full amount requested in an application or proposal is
not recommended for funding or the proposed scope of work has been modified.
This is consistent with the MSRC's administrative policies, which allow the
MSRC to approve a portion of a proposer’s scope of work and/or funding
request. In those cases where the proposed funding level or scope of work
has been modified by the MSRC, and the proposer cannot perform the project
as approved, the MSRC may rescind the funding commitment and retain the
funds in the Discretionary Fund for future work programs.
The MSRC respectfully requests the AQMD Board’s approval of the above
contract awards as part of the FY 2005-06 AB 2766 Discretionary Fund Work
Program. The MSRC also requests authority to adjust the funds allocated to
each project specified in this Board letter by up to five percent of the
project's recommended funding. The Board has granted this authority to the
MSRC for all past work programs. Finally, the MSRC requests the Board
authorize the AQMD Chairman of the Board the authority to execute all
agreements described in this letter as part of FY 2005-06 Work Program.
Resource Impacts
The AQMD acts as fiscal administrator for the AB 2766 Discretionary Fund
Program (Health & Safety Code Section 44243). Money received for this
program is recorded in a special revenue fund (Fund 23) and the contracts
will be drawn from this fund. These contracts will have no fiscal impact on
the AQMD’s operational budget.
Attachment(s)
None
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