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HomeMy WebLinkAbout2020-07-14 - AGENDA REPORTS - ADOPT SC TRANSIT ZERO EMISSIONS BUS FLEET TRANSITI (2)Agenda Item: 10 P CITY OF SANTA CLARITA AGENDA REPORT CONSENT CALENDAR CITY MANAGER APPROVAL:1 DATE: July 14, 2020 SUBJECT: ADOPT SANTA CLARITA TRANSIT ZERO EMISSION BUS FLEET TRANSITION PLAN DEPARTMENT: Neighborhood Services PRESENTER: Adrian Aguilar RECOMMENDED ACTION City Council: 1. Adopt a resolution adopting the Santa Clarita Transit Zero Emission Bus Fleet Transition Plan and authorize the City Manager or designee to submit the plan to the California Air Resources Board, as required by the Innovative Clean Transit Regulation. 2. Authorize staff to amend the plan based on the needs of the City of Santa Clarita, available funding, and/or changes in technology. BACKGROUND In December 2018, the California Air Resources Board adopted the Innovative Clean Transit (ICT) regulation. The ICT regulation requires all public transit agencies, including the City of Santa Clarita (City), to fully transition to a 100 percent zero -emission bus (ZEB) fleet by 2040. In pursuit of this goal, starting 2029, all new bus purchases by transit agencies must be zero - emission. The ICT regulation applies to all transit agencies that own, operate, or lease buses with a gross vehicle weight rating greater than 14,000 pounds. It includes standard, articulated, over - the -road, double-decker, and cutaway buses. The ICT regulation requires the City to identify a path and prepare a transition plan outlining the steps to be taken to comply with the introduction of zero emission vehicles. This plan is intended to be a living document that will be amended over time to reflect current operating conditions. For purposes of the required transition plan, staff analyzed various options and determined that hydrogen fuel cell buses are the best option currently available to meet the City's needs. Page 1 Packet Pg. 109 On average, a Santa Clarita Transit bus travels 350 miles per day. Unlike battery electric buses, hydrogen powered fuel cell buses have the same range as the compressed natural gas buses currently in operation. This allows for a one -for -one replacement of buses and eliminates the need to install costly charging infrastructure at multiple locations throughout the Santa Clarita Valley. Another advantage of hydrogen is that there is an inverse relationship between the cost of fuel and the fleet size. Once the reformer is running and producing hydrogen, the incremental cost for each additional kilogram of hydrogen is comparatively small, making the unit cost of hydrogen less costly as the City expands the number of hydrogen powered buses in service. This means that following the initial capital outlay for the construction and installation of a hydrogen reformer, the long-term cost of operating a fuel cell bus is lower than that of an electric bus being charged from the grid. ALTERNATIVE ACTION Other action as determined by City Council. FISCAL IMPACT This action has no immediate fiscal impact. Over time, the State's adoption of the Innovative Clean Transit regulation, which requires the City to develop and adopt this Transition Plan, will require the City to purchase buses that are approximately 40 percent more expensive, as compared to compressed natural gas vehicles currently in use. On average a CNG powered bus costs $725,000 compared to a hydrogen powered bus which costs approximately $1,015,000 each. This transition will also require the City to install supporting infrastructure at the City's Transit Maintenance Facility within the next 18 to 24 months. All expenditures outlined in the Transition Plan will be presented to the City Council at a future date for consideration and approval. Staff will continue to identify and leverage regional, state, and federal funding sources to offset the cost of transitioning to a zero -emission fleet. ATTACHMENTS Resolution City of Santa Clarita ZEB Rollout Plan 2020 (available in the City Clerk's Reading File) Page 2 Packet Pg. 110 10.a RESOLUTION NO. 20- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA CLARITA, CALIFORNIA, ADOPTING THE SANTA CLARITA TRANSIT ZERO - EMISSION BUS ROLLOUT PLAN WHEREAS, in 2018, the California Air Resources Board (GARB) adopted the Innovative Clean Transit (ICT) Regulation, which requires public transit agencies to transition to a 100 percent zero -emission bus (ZEB) fleet, such as battery -electric or fuel cell electric, by 2040; and WHEREAS, the ICT includes the following requirements for bus purchases for large transit agencies such as the City of Santa Clarita Transit: • 25 percent of all new bus purchases must be zero emission by January 1, 2023 • 50 percent of all new bus purchases must be zero emission by January 1, 2026 • 100 percent of all new bus purchases must be zero emission by January 1, 2029 • 100 percent of fleet must be zero emission by January 1, 2040 • Annual compliance reports must be submitted to CARB by March of every year from 2021 to 2050; and WHEREAS, the ICT regulation requires each agency to submit a ZEB Rollout Plan (Rollout Plan) to CARB by July 2020. The Rollout Plan is a living document intended to guide the agency's conversion to a ZEB fleet; and WHEREAS, the Rollout Plan must be approved by the transit agency's governing body through the adoption of a resolution; and WHEREAS, per the requirements of the ICT, the Rollout Plan includes the following components: • Introduction, including Santa Clarita Transit's operations, service area, and environmental factors • Fleet and Acquisitions, including Santa Clarita Transit's proposed fleet procurement plan through 2040 • Facilities and Infrastructure Modifications, including a description of each operating and maintenance facility and potential facility modifications needed to support a ZEB fleet • Disadvantaged Communities, which describes the disadvantaged communities (DACs) if any, that will be impacted by the ZEB transition • Workforce Training, which provides background on personnel training requirements for ZEB implementation • Funding Opportunities, which outlines potential funding sources for ZEB implementation • Start -Up and Scale -Up Challenges, which describes challenges the agency will have to mitigate during ZEB implementation. Packet Pg. 111 10.a NOW, THEREFORE, the City Council of the City of Santa Clarita, California, does hereby resolve as follows: SECTION 1. Adopt the City of Santa Clarita Transit's Zero -Emission Bus Rollout Plan and approve it for submission to GARB. SECTION 2. The City Clerk shall certify to the adoption of this resolution. PASSED, APPROVED, AND ADOPTED this th day of 2020. MAYOR ATTEST: CITY CLERK DATE: c, 4- STATE OF CALIFORNIA ) U COUNTY OF LOS ANGELES ) ss. CITY OF SANTA CLARITA ) I, Mary Cusick, City Clerk of the City of Santa Clarita, do hereby certify that the foregoing Resolution 20- was duly adopted by the City Council of the City of Santa Clarita at a regular meeting thereof, held on the th day of 2020, by the following vote: AYES: COUNCIL,MEMBERS: E NOES: COUNCIL,MEMBERS: ABSENT: COUNCIL,MEMBERS: 2 CITY CLERK Packet Pg. 112 Section A: Transit Agency Information............................................................................ 1 Section B: Rollout Plan General Information................................................................... 2 Section C: Technology Portfolio...................................................................................... 3 Section D: Current Bus Fleet Composition and Future Bus Purchases ...........................4 Section E: Facilities and Infrastructure Modifications.................................................... 10 Section F: Providing Service in Disadvantaged Communities ....................................... 12 Section G: Workforce Training...................................................................................... 13 Section K Potential Funding Sources........................................................................... 14 LocalFunding............................................................................................................ 14 RegionalFunding....................................................................................................... 14 StateFunding............................................................................................................ 15 FederalFunding......................................................................................................... 16 Section L Start-up and Scale -up Challenges................................................................. 18 Section Trrainslit Agency III Iinforrirvia°tli in City of Santa Clarita 28250 Constellation road Santa Clarita, CA 91355 Air District: South Coast Air Quality Management District Contact Information: Adrian Aguilar Transit Manager 661-295-6305 . iillairsaita cllairlita.colrrn .. u............................ The City of Santa Clarita is not part of a Joint Group. City of Santa Clarita ZEB Rollout Plan 2020 1 June 2020 Section Its Rollout II' Main General IIIInfor°irna°tlion The City of Santa Clarita's Zero Emission Rollout Plan ensures that the City will make a complete transition to zero emission vehicles by 2040. Additionally, this plan accounts for delivery timelines ranging from six (6) to twenty-four months (24) and ensures that vehicles will not have to be retired before reaching the end of their useful life. The City's replacement schedule does not allow for delivery of conventional buses after 2028. This plan, which was prepared by City staff, was adopted by City Council on July 14, 2020. A copy of the resolution is attached in Appendix A City of Santa Clarita ZEB Rollout Plan 2020 1 June 2020 t Section C °1'ecltin logy IPortfolio The City's bus fleet consists of over the road coaches, low floor transit vehicles, and traditional cutaway buses used for seniors and ADA service. The City of Santa Clarita will be integrating fuel cell electric buses into the City's transit fleet. Fuel cell buses will be purchased and introduced to the fleet as CNG transit buses reach the end of their useful life. The City's fleet replacement plan calls for replacing one twelfth (1/12) of the bus fleet every year. This effort will focus exclusively on the replacement of the City's local transit fleet between 2020 and 2026. Currently there is no commercially available commuter or cutaway vehicle that has successfully completed Altoona testing that also meets the range requirements of the City's commuter and demand response operations. This plan assumes that by 2026, battery electric (BEB) commuter and cutaway buses will be commercially available and have the range needed to meet the needs of the City. As technology evolves this plan will be updated to reflect any changes made by the City. City of Santa Clarita ZEB Rollout Plan 2020 1 June 2020 M Section Its Current IBus IIFleet C irnposli°tli yin and IIFuture IBus IPurcltiases The City's Transit fleet consists of transit, articulated, over -the -road, and cutaway vehicles. While we currently have a small number of diesel -powered over -the -road coaches, the majority of the City's fleet is powered by renewable compressed natural gas (CNG). The table below includes the bus number, engine model year, bus model year, fuel type, and bus type. "ziblle I Indivlidual IBus IIIIn° orinwr i in of Current IBus IIFleet 100 u1111 2017 2017 Hit It III tit CNG Iii ti Hometown Trolley 101 2001 2001 DSL Chance AH28 103 2013 2013 CNG Gillig Low Floor CNG 104 2013 2013 CNG Gillig Low Floor CNG 106 2013 2013 CNG Gillig Low Floor CNG 107 2013 2013 CNG Gillig Low Floor CNG 108 2013 2013 CNG Gillig Low Floor CNG 109 2013 2013 CNG Gillig Low Floor CNG 110 2013 2013 CNG Gillig Low Floor CNG 111 2013 2013 CNG Gillig Low Floor CNG 112 2013 2013 CNG Gillig Low Floor CNG 113 2014 2014 CNG Gillig Low Floor CNG 114 2014 2014 CNG Gillig Low Floor CNG 115 2014 2014 CNG Gillig Low Floor CNG 116 2014 2014 CNG Gillig Low Floor CNG 117 2014 2014 CNG Gillig Low Floor CNG 118 2014 2014 CNG Gillig Low Floor CNG 119 2014 2014 CNG Gillig Low Floor CNG 120 2014 2014 CNG Gillig Low Floor CNG 121 2014 2014 CNG Gillig Low Floor CNG 122 2014 2014 CNG Gillig Low Floor CNG 123 2014 2014 CNG Gillig Low Floor CNG 124 2018 2018 CNG Gillig Low Floor CNG 125 2018 2018 CNG Gillig Low Floor CNG 126 2018 2018 CNG Gillig Low Floor CNG 127 2018 2018 CNG Gillig Low Floor CNG 128 2019 2019 CNG Gillig Low Floor CNG 129 2019 2019 CNG Gillig Low Floor CNG 130 2019 2019 CNG Gillig Low Floor CNG 131 2019 2019 CNG Gillig Low Floor CNG 132 2019 2019 CNG Gillig Low Floor CNG G31 D 133 j 2019 j 2019 CNG I Gillig Low Floor CNG G31 D City of Santa Clarita ZEB Rollout Plan 2020 1 June 2020 134 uu 2019 2019 CNG Gillig Low Floor CNG G31 D 165 2005 2005 CNG Newflyer C40LF 166 2005 2005 CNG Newflyer C40LF 167 2005 2005 CNG Newflyer C40LF 168 2005 2005 CNG Newflyer C40LF 169 2005 2005 CNG Newflyer C40LF 170 2005 2005 CNG Newflyer C40LF 171 2005 2005 CNG Newflyer C40LF 172 2005 2005 CNG Newflyer C40LF 173 2005 2005 CNG Newflyer C40LF 174 2005 2005 CNG Newflyer C40LF 175 2005 2005 CNG Newflyer C40LF 177 2007 2007 CNG Nabi 60 BRT-Articulated 178 2007 2007 CNG Nabi 60 BRT-Articulated 179 2008 2008 CNG NABI LFW-41 180 2008 2008 CNG NABI LFW-41 181 2008 2008 CNG NABI LFW-41 182 2008 2008 CNG NABI LFW-41 183 2008 2008 CNG NABI LFW-41 184 2008 2008 CNG NABI LFW-41 185 2008 2008 CNG NABI LFW-41 186 2008 2008 CNG NABI LFW-41 188 2010 2010 CNG NewFlyer C40LFR 189 2010 2010 CNG NewFlyer C40LFR 190 2010 2010 CNG NewFlyer C40LFR 191 2010 2010 CNG NewFlyer C40LFR 192 2010 2010 CNG NewFlyer C40LFR 193 2010 2010 CNG NewFlyer C40LFR 194 2010 2010 CNG NewFlyer C40LFR 255 2010 2010 DSL MCI D4500-Over the Road 256 2010 2010 DSL MCI D4500-Over the Road 257 2010 2010 DSL MCI D4500-Over the Road 258 2010 2010 DSL MCI D4500-Over the Road 259 2013 2013 DSL MCI D4500-Over the Road 260 2013 2013 DSL MCI D4500-Over the Road 261 2013 2013 DSL MCI D4500-Over the Road 262 2013 2013 DSL MCI D4500-Over the Road 263 2013 2013 DSL MCI D4500-Over the Road 264 2013 2013 DSL MCI D4500-Over the Road 265 2016 2016 CNG MCI D4500-Over the Road 266 2016 2016 CNG MCI D4500-Over the Road 267 2016 2016 CNG MCI D4500-Over the Road City of Santa Clarita ZEB Rollout Plan 2020 1 June 2020 268 uu 2016 2016 CNG MCI D4500-Over the Road 269 2016 2016 CNG MCI D4500-Over the Road 270 2017 2017 CNG MCI D4500-Over the Road 271 2017 2017 CNG MCI D4500-Over the Road 272 2017 2017 CNG MCI D4500-Over the Road 273 2017 2017 CNG MCI D4500-Over the Road 274 2017 2017 CNG MCI D4500-Over the Road 275 2017 2017 CNG MCI D4500-Over the Road 276 2017 2017 CNG MCI D4500-Over the Road 277 2017 2017 CNG MCI D4500-Over the Road 278 2017 2017 CNG MCI D4500-Over the Road 279 2017 2017 CNG MCI D4500-Over the Road 280 2019 2019 CNG MCI D4500-Over the Road 281 2019 2019 CNG MCI D4500-Over the Road 282 2019 2019 CNG MCI D4500-Over the Road 283 2020 2020 CNG MCI D4500-Over the Road 284 2020 2020 CNG MCI D4500-Over the Road 368 2010 2010 UNL Ford E-450 Elkhart Cutaway 369 2010 2010 UNL Ford E-450 Elkhart Cutaway 370 2010 2010 UNL Ford E-450 Elkhart Cutaway 371 2010 2010 UNL Ford E-450 Elkhart Cutaway 372 2016 2016 CNG Glaval Universal -Cutaway 373 2016 2016 CNG Glaval Universal -Cutaway 374 2017 2017 CNG Glaval Universal -Cutaway 375 2017 2017 CNG Glaval Universal -Cutaway 376 2017 2017 CNG Glaval Universal -Cutaway 377 2017 2017 CNG Glaval Universal -Cutaway 378 2017 2017 CNG Glaval Universal -Cutaway 379 2017 2017 CNG Glaval Universal -Cutaway 380 2017 2017 CNG Glaval Universal -Cutaway 381 2017 2017 CNG Glaval Universal -Cutaway 382 2017 2017 CNG Glaval Universal -Cutaway 383 2017 2017 CNG Glaval Universal -Cutaway 384 2017 2017 CNG Glaval Universal -Cutaway 385 2017 2017 CNG Glaval Universal -Cutaway 386 2017 2017 CNG Glaval Universal -Cutaway 387 2017 2017 CNG Glaval Universal -Cutaway 388 2017 2017 CNG Glaval Universal -Cutaway 389 2017 2017 CNG Glaval Universal -Cutaway City of Santa Clarita ZEB Rollout Plan 2020 1 June 2020 7 The Table below includes the total number of buses to be purchased though 2029 and the percentage of those expected to be zero emission vehicles. The table also identifies the vehicle type and zero emission bus (ZEB) technology type. After 2029, all qualifying bus purchases must be zero -emission. .�,iblle 2 IIFutur°e IBus IPur°cltv,ises Local Transit Fleet City of Santa Clarita ZEB Rollout Plan 2020 1 June 2020 Commuter (Over the Road) Fleet u I. I� ° I� �i � ' �i � .. � � I:I. . . an .. II .• Vii .. an .. I .. .. III �. , ��I Over the 2020 0 0 0% 0 0 0 0 0 CNG Road 2021 0 0 0% 0 0 0 0 0 Over the CNG Road Over the 2022 3 0 0% 0 0 0 0 0 Road CNG Over the 2023 1 0 0% 0 0 0 0 0 CNG Road 2024 3 0 0% 0 0 0 0 0 Over the CNG Road Over the 2025 3 0 0% 0 0 0 0 0 Road CNG Over the 2026 0 0 0% 0 0 0 0 0 Road CNG 2027 2 1 50% BEB Electric 1 50 100 Over the CNG Road Over the 2028 3 2 75% BEB Electric 1 25% 100 Road CNG Over the 2029 4 4 100% BEB Electric 0 0 0 Road CNG City of Santa Clarita ZEB Rollout Plan 2020 1 June 2020 9 Table 1Il �,iinge and Es"Hirnated Cis Transit Fleet �w w 2020 3 Standard Hydrogen >300 miles $3.75 Million 2021 0 N/A N/A 2022 2 Standard Hydrogen >300 miles $2.5 Million 2023 1 Standard Hydrogen >300 miles $1.25 Million 2024 2 Standard Hydrogen >300 miles $2.5 Million 2025 2 Standard Hydrogen >300 miles $2.5 Million 2026 2 Standard Hydrogen >300 miles $2.5 Million 2027 2 Standard Hydrogen >300 miles $2.5 Million 2028 3 Standard Hydrogen >300 miles $3.75 Million 2029 1 Standard Hydrogen >300 miles $1.25 Million Commuter Fleet �w w 2020 0 N/A N/A N/A N/A 2021 0 N/A N/A N/A N/A 2022 0 N/A N/A N/A N/A 2023 0 N/A N/A N/A N/A 2024 0 N/A N/A N/A N/A 2025 0 N/A N/A N/A N/A 2026 0 N/A N/A N/A N/A 2027 1 BEB Electric >250 miles $1.2 Million 2028 2 BEB Electric >250 miles $2.4 Million 2029 4 BEB Electric >250 miles $4.8 Million Cutaway Fleet �w w 2020 0 N/A N/A N/A N/A 2021 0 N/A N/A N/A N/A 2022 0 N/A N/A N/A N/A 2023 0 N/A N/A N/A N/A 2024 0 N/A N/A N/A N/A 2025 0 N/A N/A N/A N/A 2026 2 BEB Electric >150 miles $650,000 2027 2 BEB Electric >150 miles $650,000 2028 2 BEB Electric >150 miles $650,000 2029 0 N/A N/A N/A N/A The City does not intend to convert any of its conventional fleet to zero -emission buses. City of Santa Clarita ZEB Rollout Plan 2020 1 June 2020 10 Section IEFacilities and Illlinfrastruc ur°e lViodifications The City of Santa Clarita's Transit Maintenance Facility (TMF) is a state-of-the-art LEED Gold certified building. Some of the unique characteristics include an expansive Photo Voltaic (PV) solar array, drought tolerant landscape and a public accessible Compressed Natural Gas station. This location serves as both the operational and administrative headquarters for the City's transit operation, operating as Santa Clarita Transit The TMF would be used to store, maintain, fuel, and clean the City's ZEB fleet. ",iblle 4 Facilities IIIInfor°iaiati in and Construction ° '1uniellliine In order to support the introduction of zero emission fuel cell buses, the TMF must be modified to include the necessary supporting Infrastructure. This process would be completed in phases to manage the capital outlay schedule improvements with the vehicle procurement and delivery schedule, and to ensure that the City is leveraging and implementing the latest technology available at the time. During Phase 1, the City will design, procure, and commission a steam methane reforming system which will allow the City to produce up to 150 kg of hydrogen per day on site. This infrastructure will produce enough hydrogen to support up to six fuel cell buses. The system is also scalable, allowing the City to increase capacity as the City's fleet of fuel cell buses grows. Based on the proposed bus replacement schedule, the City's hydrogen fueling infrastructure would have to be expanded in late 2024. Phase 2 of the hydrogen fueling infrastructure would include three additional compressors, 300 Kg of additional storage capacity, and a second hydrogen dispenser. The expanded capacity would support up to 15 fuel cell buses. City of Santa Clarita ZEB Rollout Plan 2020 1 June 2020 11 Phase 3 would take a slightly different approach and would require the installation of 30, two station, 150kw charging units to support the introduction of battery electric commuter and cutaways into the transit fleet. In addition to the charging infrastructure, charging management software would be procured to manage vehicle charging cycles and costs. This work would be commissioned in 2026. Phase 4 of the infrastructure expansion would begin in 2029. During this phase, the production capacity of the methane reformer would be doubled to 600 Kg per day and support up to 30 buses. Phase 5 would be undertaken in 2034 and would more than double production capacity. When fully completed, the steam methane reformer would be capable of producing 1,500 Kg of hydrogen per day, enough to support a fleet of 60 fuel cell buses. Given that fuel cell technology allows the City to maintain a one for one replacement, we do not anticipate a need to change the current vehicle parking configuration. The entire City bus operation is located, and dispatched from the facility identified in Table 4. This facility is not located in the Nox exempt area and is served by Southern California Edison and the Southern California Gas Company. City of Santa Clarita ZEB Rollout Plan 2020 1 June 2020 12 Section IIFli' rovlidiing Service in Disadvantaged C irnirnuinli°tli ^s According to the California Office of Environmental Health Hazard Assessment, disadvantaged communities are defined as the top 25 percent scoring areas from CalEnviroScreen along with other areas with high amounts of pollution and low populations. CalEnviroScreen is a tool that was developed to identify communities disproportionally impacted by multiple sources of pollution. Based on CalEnviroScreen 3.0, there are no disadvantaged communities located within the Santa Clarita Valley. However, Santa Clarita Transit does provide commuter service to the North Hollywood Redline Station which is located in Census Tract. 6037125310. Additionally, Santa Clarita Transit commuter Route 796 travels through Census Tracts 6037134305, 6037134522, 6037134521, 6037134001, 6037134520 in the west San Fernando Valley. These locations are considered to be disadvantaged communities by CalEnviroScreen. Currently, there are no commercially available zero emission commuter buses available. Given the current pace of development, we anticipate that options will be available after 2026 when the Innovative Clean Transit (ICT) regulation requirement to purchase zero emission commuter and cutaway vehicles goes into effect. As is our regular practice, all zero emission buses would be assigned on a rotating basis to all commuter services. This practice was implemented over ten years ago to ensure that new buses are equitably distributed though out the entire service area. This practice will continue with the introduction of zero emission vehicles. City of Santa Clarita ZEB Rollout Plan 2020 1 June 2020 13 Section G� Wor°Ikfor°ce Training The Southern California Regional Transit Training Consortium (SCRTTC) is a leading provider of training for the public transit industry. As a member of the SCRTTC, the City of Santa Clarita would use training courses developed by this organization to provide staff with an overview and introduction to the safe operation and maintenance of fuel cell buses. No less than three months prior to the delivery of the first fuel cell bus, all operation and maintenance staff would be required to complete the EV Transit Bus Safety Awareness and Familiarization course. This course will provide a general understanding of safety do's and don'ts when working around electric high voltage transit vehicles. Additionally, maintenance staff would be required to complete the Introduction and Troubleshooting Zero Emission Propulsion course offered through SCRTTC. This 16-hour course will orient participants to bus electrical systems and their safe operation. Staff will learn essential aspects of the high -voltage drive system and low - voltage accessories system, including safety protection, and safe operation. It also includes information about the high -voltage and chassis grounds. This hands-on course is designed to teach safe working conditions and practices, when servicing buses equipped with the zero emission propulsion system. This training would be supplemented by vehicle and equipment specific training developed and conducted by the bus and equipment manufactures. To ensure staff has the training and tools necessary to safely repair and maintain the ZEB fleet, the City plans to allocate a percentage of the contract value to training and the purchase of specialized tools. For first time purchases, the allocation for tools and training would be approximately one percent of the purchase price. In subsequent contracts, the amount would be adjusted to meet the current needs of the staff. City of Santa Clarita ZEB Rollout Plan 2020 1 June 2020 14 Section IOW II'lo°tein'tial IIFunding Sources The City has identified multiple federal, state and local funding sources to implement this project. In addition, discretionary and program specific funding sources have been identified. The list below reflects the funding available as of 2020 and is not all inclusive. New funding opportunities will be evaluated and pursued as they arise. Local Ftinffing The City intends to use multiple local sources as a match for this project. Foremost, The City would be using revenue generated though each of the following four sales tax measures passed by Los Angeles County voters. The City receives an allocation of revenue from each source based on population. Proposition A, approved by voters in 1980, is a one-half of one percent tax on most retail sales in the County. Proposition C, approved by voters in 1990, is an additional one-half of one percent tax on retail sales in the County. Measure R, approved by voters in 2008, is an ordinance authorizing an additional one- half of one percent sales tax to fund traffic relief and rail expansion according to an expenditure plan contained in the ordinance. Measure R took effect July 1, 2009 and will remain in effect for 30 years. Measure M, approved by voters in 2016, is one-half of one percent sales tax to fund the expansion of bus and rail services, bicycle networks and programs that reduce congestion throughout the County. Regional Ftinffi g Carl Moyer The Carl Moyer Program is a voluntary, incentive grant program administered by the South Coast Air Quality Management District (AQMD) that reduces air pollution from vehicles and equipment by providing incentive funds to private companies and public agencies to purchase cleaner -than -required engines, equipment, and emission reduction technologies. Volkswagen Mitigation The VW Mitigation Trust has $130 million in funds to replace older, high -polluting transit, school, and shuttle buses with new battery -electric or fuel -cell buses. Replacing an older bus with a zero -emission bus eliminates particulate matter and other pollutants that impact children and residents riding the buses, as well as residents throughout California City of Santa Clarita ZEB Rollout Plan 2020 1 June 2020 15 communities. During the project's 10-year period, approximately 425 vehicles will be replaced with an incentive amount of up to $400,000 per vehicle. State Ftinffing Hybrid and Zero -Emission Truck and Bus Voucher Incentive Project (HVIP) HVIP offers point -of -sale incentives for clean trucks and buses in California. HVIP dealers offer reduced -price vehicles directly to purchasers. Purchasers do not need to submit proposals, complicated paper work or wait to be reimbursed. Incentives are locked in at the time of the purchase order. Dealers process the required documentation. Transit and Intercity Rail Capital Program (TIRCP) TIRCP was created by Senate Bill (SB)862 (Chapter 36, Statutes of 2014) and modified by SB 9 (Chapter 710, Statutes of 2015) to provide grants from the Greenhouse Gas Reduction Fund to fund transformative capital improvements that will modernize California's intercity, commuter, and urban rail systems, and bus and ferry transit systems to reduce emissions of greenhouse gases by reducing congestion and vehicle miles traveled throughout California. Low Carbon Transit Operations Program (LCTOP) LCTOP provides operating and capital assistance for transit agencies to reduce greenhouse gas emissions and improve mobility, with a priority on serving disadvantaged communities. Approved projects in the program will support new or expanded bus or rail services, expand intermodal transit facilities, and may include equipment acquisition, fueling, maintenance and other costs to operate those services or facilities, with each project reducing greenhouse gas emissions. Transportation Development Act (TDA) The Mills-Alquist-Deddeh Act (SB 325) was enacted by the California Legislature to improve existing public transportation services and encourage regional transportation coordination. Known as the TDA, this law provides funding to be allocated to transit and non -transit related purposes that comply with regional transportation plans. TDA established two funding sources; the Local Transportation Fund (LTF), and the State Transit Assistance (STA) fund. The LTF is derived from a one quarter cent of the general sales tax collected statewide. The California Department of Tax and Fee Administration, based on sales tax collected in each county, returns the general sales tax revenues to each county's LTF. Each county then apportions the LTF funds within the county based on population. City of Santa Clarita ZEB Rollout Plan 2020 1 June 2020 16 The STA funds are appropriated by the legislature to the State Controller's Office (SCO). The SCO then allocates the tax revenue, by formula, to planning agencies and other selected agencies. Statue requires that 50% of STA funds be allocated according to population and 50% be allocated according to transit operator revenues from the prior fiscal year. Federal Ftinding Bus and Bus Facility Program The Grants for Buses and Bus Facilities Program (49 U.S.C. 5339) makes federal resources available to states and direct recipients to replace, rehabilitate and purchase buses and related equipment and to construct bus -related facilities including technological changes or innovations to modify low or no emission vehicles or facilities. Funding is provided through formula allocations and competitive grants. Low or No Emission Program (LowNo) The LowNo competitive program provides funding to state and local governmental authorities for the purchase or lease of zero -emission and low -emission transit buses as well as acquisition, construction, and leasing of required supporting facilities. Urbanized Area Formula Funding Program (49 U.S.C. 5307) The 5307 program makes federal resources available to urbanized areas and to governors for transit capital and operating assistance in urbanized areas and for transportation -related planning. An urbanized area is an incorporated area with a population of 50,000 or more that is designated as such by the U.S. Department of Commerce, Bureau of the Census. As a large urbanized area, 5307 funding is apportioned and flows directly to the City of Santa Clarita. Eligible activities include: planning, engineering, design and evaluation of transit projects and other technical transportation -related studies; capital investments in bus and bus -related activities such as replacement, overhaul and rebuilding of buses, crime prevention and security equipment and construction of maintenance and passenger facilities; and capital investments in new and existing fixed guideway systems including rolling stock, overhaul and rebuilding of vehicles, track, signals, communications, and computer hardware and software. In addition, associated transit improvements and certain expenses associated with mobility management programs are eligible under the program. All preventative maintenance and some Americans with Disabilities Act complementary para-transit service costs are considered capital costs. City of Santa Clarita ZEB Rollout Plan 2020 1 June 2020 17 .abl IFui dling Source and Project Use Timeline Name of Funding How Each Fund is Number of ZEB to Purchase or (Year) Sources Planned to be Used Types of Infrastructure to Install 2020 NoLow Grant, VW Purchase Fuel Cell 3 mitigation, Local Sales Tax Buses 2020 Bus and Bus Facilities, Carl Install Infrastructure Install hydrogen reformer with Moyer, Local Sales Tax capacity of 150 Kg/day 2022 5307, TIRCP, Local Sales Purchase Fuel Cell 2 Tax Buses 2023 5307, Local Sales Tax Purchase Fuel Cell 1 Buses 2024 5307, TIRCP, Local Sales Purchase Fuel Cell 2 Tax Buses 2024 Bus and Bus Facilities, Install Infrastructure Phase 2: Increase reformer Local Sales Tax ity to 300 Kg/day 2025 3507, Local Sales Tax Purchase Fuel Cell 2 Buses 2026 5307, Local Sales Tax Purchase Fuel Cell 2 Buses 2026 NoLow Grant, TIRCP, Install Infrastructure Phase 3: Install 30, 150 Kw Local Sales Tax chargers for commuter fleet 2027 5307, Local Sales Tax Purchase Fuel Cell 2 Buses 2028 5307, Local Sales Tax Purchase Fuel Cell 3 Buses 2029 5307, Local Sales Tax Purchase Fuel Cell 1 Buses 2029 Bus and Bus Facilities, Install Infrastructure Phase 4: Increase reformer Local Sales Tax capacity to 600 Kg/day 2030 5307, Local Sales Tax Purchase Fuel Cell and 4 Fuel Cell and 4 Electric Electric Commuter Buses Commuter 2031 5307, Local Sales Tax Purchase Fuel Cell 4 Fuel Cell, 3 Electric Commuter, Buses and 3 electric Cutaways 2032 5307, Local Sales Tax Purchase Fuel Cell 3 Fuel Cell, 4 Electric Commuter, Buses and 4 Electric Cutaways 2033 5307, Local Sales Tax Purchase Fuel Cell 4 Fuel Cell and 4 Electric Cutaways Buses 2034 Bus and Bus Facilities, Install Infrastructure Phase 5: Increase reformer Local Sales Tax capacity to 1500 Kg/day 2034 5307, Local Sales Tax Purchase Fuel Cell 4 Fuel Cell, 3 Electric Commuter, Buses and 4 Electric Cutaways 2035 5307, Local Sales Tax Purchase Fuel Cell 3 Fuel Cell, 1 Electric Commuter, Buses and 3 Electric Cutaways 2036 5307, Local Sales Tax Purchase Fuel Cell 3 Fuel Cell and 3 Electric Buses Commuter 2037 5307, Local Sales Tax Purchase Fuel Cell 4 Fuel Cell and 3 Electric Buses Commuter 2038 5307, Local Sales Tax Purchase Fuel Cell 4 Fuel Cell and 3 Electric Cutaways Buses 2039 5307, Local Sales Tax Purchase Fuel Cell 4 Fuel Cell, 2 Electric Commuter, Buses and 4 Electric Cutaways 2040 5307, Local Sales Tax Purchase Fuel Cell 6 Fuel Cell, 3 Electric Commuter, Buses and 4 Electric Cutaways City of Santa Clarita ZEB Rollout Plan 2020 1 June 2020 in Section IIII Start-up and Scale up CIhallieinges There are two major challenges the City of Santa Clarita is facing in the small scale zero - emission bus deployment. They are technology advancements and on -going operating costs. There are currently only two zero emission technology options commercially available within the US, battery electric and hydrogen fuel cell. Complicating matters, there are only three manufactures of battery electric buses and one manufacture of fuel cell buses. While the technology has improved significantly over the past few years, it is still far behind existing alternative fuel technology in terms of range, operating costs, reliability, and capital outlay. The major disadvantage of battery electric technology is range. Based on current "real life" conditions within the Santa Clarita Valley, the City would need to purchase 1.3 BEB for every one CNG bus being replaced in order to maintain the current service levels. While fuel cell buses have operating ranges comparable to CNG, the cost of a fuel cell bus is approximately 35 percent higher than a CNG powered vehicle, and 15 percent higher than a battery electric bus. Based on an analysis completed in 2018, the cost of operating a battery electric bus within the Santa Clarita service area is double that of a bus powered by renewable natural gas. When comparing the cost of hydrogen, the cost is nearly triple. While studies show that the maintenance costs for battery electric and hydrogen powered buses are lower than a bus equipped with a combustion engine, it should be noted that these studies are based on a relatively small sample of ZEB fleets and over a limited period of time. These increased operating costs will strain the City's limited resources and could lead to reductions in service. On a long-term basis, the biggest challenge faced by the City is securing the funding necessary to construct and maintain the infrastructure necessary to support a ZEB fleet. While this plan has identified potential funding sources and adopts a phased approach, the investment in required infrastructure will be significant. The greatest assist California Air Resource Board can provide is sources of long-term funding that provides operators the flexibility of using the funding for both capital and the incremental increase in operating costs. This assistance will greatly assist in the City of Santa Clarita ZEB Rollout Plan 2020 1 June 2020 19 implementation of a ZEB program and ensure it does not come at the expense of the user in the form of fewer travel options. City of Santa Clarita ZEB Rollout Plan 2020 1 June 2020