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HomeMy WebLinkAbout24-Public ServicesMAYOR & COMMON COUNCIL MEETING BACKUP MEETING DATE: March 18, 2002 Mayor & Common Council / GROUP MEETING: Community Development Commission DEPUTY: Linda Hartzel *** No backup materials are included for the following items. *** ITEM # STATUS 13 Continued to April 1, 2002 28 Continued to April 1, 2002 31 Continued to April 1, 2002 CITY OF SAN BERNARDINO -REQUEST FOR COUNCIL ACTION From: Lynn Merrill, Director Subject: Authorization to submit grant application for the Carl Moyer Memorial Dept: Public Services Air Quality Standards Attainment ~ .'o i ~ Program. Date: February 28, 2002 Meeting Date: March 18, 2002 Synopsis of~Previous Council Action Recommended Motion: Authorize submission of grant application for the Carl Moyer Memorial Air Quality Standards Attainment Program in an estimated amount of $560,000. ,~? /l~~ Signature Contact person: Lynn Merrill, Director Phone: 5140 F~'a.si ,Md Supporting data attached: Ward: Third Ward FUNDING REQUIREMENTS: Amount: No Cost to City Source: To be determined Grant Funds Finance: Council Notes: 3/~~~vY Agenda Item No. CITY OF SAN BERNARDINO - REQUEST fOR COUNCIL ACTION STAFF REPORT SUBJECT Authorization to submit grant application for the Carl Moyer Memorial Air Quality Standards Attainment Program. BACKGROUND The Carl Moyer Memorial Air Quality Standards Attainment Program provides financial incentives to assist in the purchase of low-emission heavy-duty engine technologies to achieve near-term Oxides of Nitrogen (Nox) emission reductions from these sources. The program was authorized in 1998 and has allocated more than $80 million to air districts, such as the South Coast Air Quality Management District (SCAQMD), to implement this program. The SCAQMD implemented rules requiring that all refuse collection vehicles purchased after July 1, 2001 and all other heavy duty vehicles purchased after July 1, 2002 be powered by fuels other than diesel or gasoline. Consideration of the proposed construction of a Liquified Natural Gas/Liquified to Compressed Natural Gas (LNG/LCNG) Fueling Station, potentially located within the City Yard of San Bernardino, is underway. The City has been applying for grant funding to offset the incremental cost of the project. This grant, if successful, would be used to offset the incremental cost of purchasing and implementing LNG technology on City refuse collection vehicles, as well as other heavy- duty vehicles proposed for replacement. These funds will be used to pay for some or all of the cost difference between a new, heavy-duty diesel engine and a clean fuel. It is currently estimated that the cost of an LNG-fueled refuse collection truck is approximately $40,000 higher than the identical, diesel-fueled truck. It is anticipated that seven automated side-loading refuse trucks equipped with LNG fueling systems would be purchased in September 2003 (FY03-04), for delivery in January 2004. This delivery schedule is in coordination with the expected operational date of the alternative fuel station, slated to commence operation in December 2003. An additional three front-loading refuse trucks and two additional roll-off trucks are slated for replacement in FY04-05 and would be considered for inclusion under this grant, for a total of twelve refuse collection trucks. Staff is also recommending the replacement of two of the city's street sweepers in FY03-04. It is anticipated that this grant may fund up to $560,000 of the cost difference between diesel trucks and alternative fueled refuse trucks. The criteria to award this grant is based on several cost factors, including NOx reduction on a vehicle/equipment-by-vehicle/equipment basis, as well as a project's Environmental Justice evaluation. Project applications may be offered only partial funding, and not all proposals that meet minimum cost-effectiveness criteria may be funded. At the time of submission of the agenda item on February 26, 2002, staff was beginning preliminary work on the actual application. The date for submission of this grant is 5:00 ~ p.m., on Friday, March 29, 2002 to the South Coast Air Quality Management District. No resolution is required. A copy of the grant Request for Proposal is included. Staff anticipates providing a draft of the grant application prior to the Mayor and Common Council Meeting of March 18, 2002. FINANCIAL IMPACT If successful, this grant may fund up to $560,000 of the LNG system cost for the twelve proposed refuse trucks and two street sweepers. RECOMMENDATION Authorize submission of grant application for the Carl Moyer Memorial Air Quality Standards Attainment Program in an estimated amount of $560,000; actual amount to be determined. f Alternative Fuels/Carl Mover Proeram Issues Summary: ? New AQMD rules require that all refuse vehicle purchases be alternatively fueled vehicles. After July 1, 2002, this same rule will apply for all heavy-duty vehicle purchases. As a result of these new ', rules, the City's costs for refuse and other heavy-duty vehicles will be increasing substantially in the coming years. ? In order to meet the new rule requirements, the City has been planning for the installation of an LNG/LCNG fueling station at the City yards. LNG appears to be the favored alternative fuel for heavy-duty use; it is now being used by Stater Brothers, Bumec, and others in the area. ? The Carl Moyer program provides an opportunity to offset some of the increased costs for the LNG-fueled, heavy-duty vehicles. The program funds a portion of the cost difference between a diesel fueled and alternatively fueled heavy-duty truck. ? Under new state law, at least 50% of the Moyer funding must be spent in areas disproportionately impacted by poverty, particulate matter (PM) exposure, and cancer risk. The City meets all 3 established criteria, which strengthens the project application. ? For the class of trucks the City would apply for, projects cannot receive more than $6,000 per ton of NOx reduced. Based on the emissions calculations provided by Gladstein and Associates, Moyer funds will be able to cover approximately 25% of the incremental cost. The City will be responsible for approximately 75% of the incremental cost. ? The first LNG-fueled trucks would not be purchased until FY 2003-04 in order to coincide with the opening of the LNG fueling facility. FY 2001-2002 CARL MOYER MEMORIAL AIR QUALITY STANDARDS ATTAINMENT PROGRAM REQUEST FOR PROPOSALS AQMD RFP #P2002-22 The South Coast Air Quality Management District (AQMD) requests proposals for the following purpose according to terms and conditions attached. In the prepazation of this Request for Proposals (RFP) the words "Proposer," "Applicant," "Contractor," and "Consultant" are used interchangeably. SECTION I -OVERVIEW PURPOSE The AQMD is seeking proposals for the FY 2001-2002 Cazl Moyer Memorial Air Quality Standazds Attainment Program (Carl Moyer Program). The purpose of this program is to provide financial incentives to assist in the purchase oflow-emission heavy-duty engine technologies to achieve neaz-term NOx (Oxides of Nitrogen) emission reductions from these sources. In addition, the California Air Resources Boazd (GARB) requires the AQMD to show a 25 percent reduction of pazticulate matter (PM) emissions for its overall program. As such, AQMD will estimate PM emission reductions for individual projects using the same methodology as is used for a project's NOx reduction calculation. INTRODUCTION In 1998, then Governor Wilson and the California State Legislature, through the budget process, authorized incentive funding for low-emission heavy-duty engines. The program is administered by GARB and called the Cazl Moyer Memorial Air Quality Standards Attainment Program (Cazl Moyer Program). The program is named after the late Dr. Carl Moyer, in recognition of his work in the air quality field, and his efforts in bringing about this incentive program. To date, more than $80 million has been allocated by GARB to air districts throughout the state to implement this program. This RFP provides an additional $11.5 million for low-emission vehicle and equipment projects in the South Coast Air Basin. All proposals must meet minimum requirements as stated in CARB's "The Cazl Moyer Program Guidelines," as revised on November 16, 2000, and any additional AQMD criteria as stated in this RFP and its Appendices. Potential applicants should cazefully read the RFP and its associated Appendices for each applicable category. In the case of any conflict between GARB guidelines and AQMD criteria, the more stringent criteria will prevail. ~ The GARB guidelines aze available at htto://www.GARB.casov/msproe/mover/anuroved.htm. 1 GENERAL PROGRAM INFORMATION The primary focus of the Carl Moyer Program is to achieve emission reductions from heavy-duty vehicles and equipment operating in California as early and ascost-effectively as possible. Projects should be designed to ensure that the emission reductions expected through the deployment of low-emission engines or retrofit technologies under this program aze real, surplus, and quantifiable. All emission reductions resulting from funded projects will be retired by the AQMD as part of meeting State Implementation Plan air quality attainment goals. '~biJ -~ a~gid-,d~u~rt~eo~Rit~ of emission reductiots"p~of+~thi~l~"andlor equipmeszt:may rmt receive, fundir?g,from any other government grant program that is designed to reduce mobile source . emissions. Specifically, these programs include: • All Mobile Source Air Pollution Reduction Review Committee (MSRC) Programs • All CARB Emission Reduction Credit Programs • State of California School Bus Programs • AQMD Rule 2202 Air Quality Investment Program • AQMD RECLAIM Air Quality Investment Program for NOx • Emission credit programs encompassed in the AQMD Rule 1600-series and 1309.1 • State Emission Mitigation Program It is noteworthy that CARB has established, as a matter of policy, that Moyer Program funds may be used by public and private entities seeking assistance in meeting AQMD Fleet Rules (referred to as the "1190-series"). However, NOx reductions obtained through this program must not be required by any other existing regulations (including state or federal), agreements, etc. In no case will funding exceed $13,000 per ton of NOx reduced, though many categories have stricter cost-effectiveness requirements. No administrative or vehicle operational costs will be funded. To be eligible to participate in this program, new alternative fuel vehicles/engines must be certified by the California Air Resources Board to one of CARB's optional NOx emission credit standazds. Alternative fuel engines not certified to CARB's NOx emission credit standards aze not eligible to participate, even if the engines were certified at similar levels previously, or exhibit low NOx emissions, but aze not certified at the credit levels. Furthermore, only alternative fuel vehicle projects will be considered, with the exception of the off-road category, where diesel-to-diesel projects may also be considered. It is expected that multiple awazds will be granted under this RFP, subject to the approval of the AQMD's Governing Boazd. Total funding for this RFP is a maacimum of $11.5 million. All proposals will be evaluated based on criteria set forth in this RFP and the attached Appendices. The AQMD will evaluate and/or verify information submitted by the applicant. At AQMD's discretion, consultants to the AQMD may conduct all or part of such evaluation and/or verification. Data verification during the evaluation and contracting process may cause initial cost-effectiveness rankings to change. Furthermore, the AQMD reserves the right to make adjustments to awazds based on the subsequent verification of information as well as changes in cost-effectiveness. 2 Definitions Alternative Fuel Alternative fuels include compressed natural gas (CNG), liquefied natural gas (LNG), methanol, ethanol, propane (LPG), and electric technologies. Dual-fuel technologies such as CNG/diesel, LNG/diesel and electric hybrids are also eligible, as long as they aze CARB-certified to the optional standazds. Experimental technologies and fuels will be referred to the CARB for evaluation. Repower Vehicle repower refers to replacing an older engine with a newer engine certified to lower emission standazds. The replacement engine must be certified for sale in California to a NOx emission standard that is at least 15 percent lower than the original NOx certification level for the engine being replaced. Diesel-to-diesel repowers will only be considered in the off-road categories. For vehicle repower projects, the portion of the cost for a vehicle repower project to be funded through the Cazl Moyer program is the difference between the total cost of purchasing and installing the new emission-certified engine and the total cost of rebuilding the existing engine. Retrofit Retrofit means making modification to the engine and/or fuel system such that the retrofitted engine does not have the same specifications as the original engine. The engine retrofit kit must be certified to reduce NOx emissions by at least 15 percent compared to the original engine certification level. PROGRAM CHANGES FOR 2002 Important changes. to the AQMD's 2001-2002 Moyer Program aze listed below: • Newly adopted legislation (AB 1390 - Firebaugh) revises the Carl Moyer Program to consider Environmental Justice as a factor in award of Program funds. Specifically, each air district must spend at least 50 percent of their allotted funds to directly benefit communities that are disproportionately impacted by air pollution including low income communities and communities of color or both. The AQMD is allocating 50% of the total $11.5 million for Environmental Justice azeas. See Section IV: Proposal Evaluation/Contraction Selection Criteria for environmental justice evaluation criteria. • For this program cycle, only alternative fuel projects will be cousidered for fuuding, with the exception of the off-road categories. On-road diesel-to-diesel repowers or retrofits do not qualify for this program. Projects will be ranked by cost-effectiveness and environmental justice considerations in Section IV within each funding category, on a vehicle/equipment-by-vehicle/equipment basis. Alternative fuels include compressed natural gas (CNG), liquefied natural gas (LNG), methanol, ethanol, propane (LPG), and electric 3 technologies. Dual-fuel technologies such asCNG/diesel, LNG/diesel and electric hybrids aze also eligible, as long as they aze CARB-certified to the optional standards. Experimental technologies and fuels will be referred to the CARB for evaluation. • Applicants must provide vendor quotes with their application to document the incremental cost of implementing the proposed technology. This will require documentation of both the baseline and low-emission project costs. Applicants can request funding up to the full differential cost between a low-emission vehicle/engine/equipment option and its new non- low emission equivalent; however, less may actually be awazded, depending on the results of the cost-effectiveness calculation. • Emission reduction calculations are based on mileage accumulation, activity factor, of a vehicle during its operational life. Except for stop and go refuse vehicles, where the use of fuel consumption as the key activity factor is required. It is important to note that CARB has provided recent clarification of its required calculation methodology when using the fuel consumption method: In order to more accurately estimate the emission reductions of a proposed project, emissions must be calculated for the old engine and the new engine sepazately, then the new engine emissions aze subtracted from the old engine emissions to obtain the net improvement. This not only accounts for activity level changes, but also the reduced energy conversion efficiency of alternative fuel engines. Essentially, it takes more gaseous alternative fuel to get the same power as diesel fuel. In the case where an applicant does not have any experience operating the proposed alternative fuel (and therefore is relying on existing diesel vehicle fleet data for fuel consumption projections for the new project vehicle), a factor must be applied to the baseline fuel consumption to get the alternative fuel engine consumption. The factors aze as follows: LNG: Diesel equivalent LNG gallons =Diesel gallons * 1.68 CNG: Diesel equivalent CNG gallons =Diesel gallons * 1.1 LPG: Diesel equivalent LPG gallons =Diesel gallons * 1.55 PROGRAM ADMINISTRATION The Cazl Moyer Program will be administered locally by the AQMD through the Science and Technology Advancement office. FUNDING CATEGORIES Specific categories of projects have been identified for funding under the AQMD's 2001-2002 Cazl Moyer Program solicitation. These categories are: -S • On-Road Heavy Duty Engines, including but not limited to, on-road trucks, pickup and delivery trucks, refuse haulers, street sweepers and transit buses. • Off-Road Heavy Duty Engines, including but not limited to, construction equipment, marine engines, forklifts, and auxiliary power units. 4 The funding category allocations are provided below in Figure 1. The AQMD reserves the right to reallocate the funds to another category or subcategory. Additionally, the AQMD reserves the right to partially fund a project. All qualified applications submitted for each category/subcategory will be evaluated for environmental justice and ranked by emission reduction cost-effectiveness. FIGURE 1- FY 2001-02 PROPOSED FUNDING AND COST-EFFECTIVENESS Maximum Amount Cost-Effectiveness Cate¢orv ($ millions) $/ton ON-ROAD Total Available $7 Million (A) Trucks - Class 7-8 3.0 6,000 - Class 5-6 1.0 8,000 - Other2 2.0 10,000 5.0 (B) Buses - Transit 2.0 13,000 OFF-ROAD Total Available $4.5 Million (A) Marine 1.0 4,000 (B) Construction 2.0 6,000 (C) Forklifr no minimum 3,0003 (D) Other4 no minimum 13,000 PROGRAM TOTAL: $11.5 million It is noteworthy that proposals for fuel and engine technologies not certified by CA12B, or falling outside the categories specifically discussed in this 12FP, will be referred to CARB for assistance in evaluation and determination in meeting the requirements of the Carl Moyer Program. 2 Small fleets (20 vehicles or less, with GV W above 14,000 lbs.), public sector, auxiliary power units (APUs) and inter-district altemative fuel vehicles. No diesel-to-diesel projects are eligible. 3 For 6,000 pounds or greater lift capacity the maximum cost effectiveness is $13,000/Ton ° Yard Hostlers and other alternative fueled off-road engines, APUs, etc. 5 SCHEDULE OF EVENTS To provide information on the Cazl Moyer Program, and answer proposer questions, bidder's conferences has been scheduled, as follows: January 22, 2002 9:30 am AQMD Auditorium South Coast Air Quality Management District 21865 East Copley Drive Diamond Baz, CA 91765 January 29, 2002 8:30 am Los Angeles Department of Water and Power 111 N. Hope St Los Angeles, CA Los Angeles Room The bidders conference is not mandatory. Proposers aze requested, but not required, to submit questions in writing via fax prior to the conference to (909) 396-3252. For more information about the bidders conference, please call (909) 396-2231. Additional bidders conferences may be scheduled, please call for additional dates and locations. Important milestones for this RFP are: DATE EVENT December 21, 2001 Release of RFP January 22, 2002 Bidders Conference January 29, 2002 Bidders Conference Mazch 29, 2002 All Applications Due by 5:00 pm ALL PROPOSALS MUST BE RECEIVED AT THE AQMD HEADQUARTERS NO LATER THAN 5:00 P.M. ON FRIDAY, MARCH 29, 2002 Postmarks will not be accepted. Faxed ore-mail proposals will not be accepted. Proposers may hand-deliver proposals to the AQMD by submitting the proposal to the AQMD reception desk. The proposal will be date and time-stamped and the person delivering the proposal will be given a receipt. AQMD may issue subsequent solicitations if insufficient applications are received in the initial solicitation. 6 STATEMENT OF COMPLIANCE Government Code Section 12990 and California Administrative Code, Title II, Division 4, Chapter 5, require employers to agree not to unlawfully discriminate against any employee or applicant because of race, religion, color, national origin, ancestry, physical handicap, medical condition, marital status, sex, or age. A statement of compliance with this clause is included in all AQMD contracts. CONTACT FOR ADDITIONAL INFORMATION Questions regazding the content or intent of this 12FP, procedural matters, or locations of bidder's conferences should be addressed to: Lani Montojo Science and Technology Advancement South Coast Air Quality Management District 21865 East Copley Drive, Diamond Baz, CA 91765 (909) 396-2231/3252 FAX SECTION II: WORK STATEMENT/SCHEDULE OF DELIVERABLES All applicants that are selected for funding awards must complete the Work Statement and Schedule of Deliverables described below as part of the contracting process. Development of these materials for the initial application is NOT required, however, applicants must sign the application form indicating their understanding of the requirements for submittal of additional project information to finalize a contract. This form MUST be included in the application, or the application will be deemed ineligible and will NOT be considered for funding. WORK STATEMENT The scope of work involves a series of tasks and deliverables that demonstrate compliance with the requirements of the Cazl Moyer Program as administered by CARB and the AQMD. The responsibility for developing detailed project plans that address the program criteria falls to the project proponents. In addition, alternative fixel project applicants must discuss their plan for refueling the proposed vehicles/equipment, and if appropriate, should provide a letter of agreement from their fuel provider (see Application forms). At a minimum, any contract for funding must demonstrate that the proposed project will meet the following criteria: • Provide emission reductions that aze real, quantifiable, enforceable and surplus in accordance with CARB and AQMD guidelines. • Meet the cost-effectiveness limits, as described in Figure 1 of this ItFP. • Provide at least 30 percent NOx emission reduction for new engine/vehicle purchases and 15 percent for repowers and retrofits, compared to baseline NOx emissions. 7 • Commit that project engines operate in-service for a minimum of 5 yeazs and at least 75 percent of annual operation must occur within the AQMD. • Include a program schedule, with project milestones and dates clearly identified. • Provide for appropriate record-keeping during the life of the funded project. • Ensure that the project is in accordance with other local, state, and federal programs, and resulting emission reductions from a specific project aze not required as a mitigation measure to reduce adverse environmental impacts that aze identified in an environmental document prepazed in accordance with the California Environmental Quality Act or the National Environmental Policy Act. • If requested, be prepared to provide a financial statement and bank reference, or other evidence of financial ability to fulfill contract requirements. • For third parties submitting applications in response to this RFP on behalf of a client, or partner, please be awaze that the third party must have a signed contract with the vehicle owner. DELIVERABLES Selected applicants must also be prepared to describe how the project will be monitored and what type of information will be included in project progress reports. At a minimum, the AQMD expects to receive the following reports: 1. Quarterly status reports until the vehicle or equipment purchase, repower or retrofit, or fueling infrastructure has been accomplished. These reports shall include a discussion of any problems encountered and how they were resolved, any changes in the schedule, and recommendations for completion of the project. These progress reports are required before payment for the purchase, repower or retrofit, or infrastructure will be made. 2. An annual report, for a minimum of 5 yeazs and throughout the project life, which provides the annual miles or hours of operation, where the vehicle or equipment was operated (75 percent required in-Basin), fuel consumed, and operational and maintenance issues encountered and how they were resolved. AQMD reserves the right to verify the information provided. SECTION III: PROPOSAL SUBMITTAL REQUIREMENTS Proposers must complete the appropriate application forms, which are included in the Appendices, along with the "Contracting Statements" Form, committing that the information requested in Section II, Work Statement/Schedule of Deliverables will be submitted if the Proposer's project is selected for funding. In addition, Conflict of Interest and Project Cost information, as described below, must also be submitted with the application. It is the responsibility of the proposer to insure that all information submitted is accurate and complete. Use the checklist provided in the Appendices to ensure all application elements are submitted. CONFLICT OF INTEREST Applicant must address any potential conflicts of interest with other clients affected by actions performed by the firm on behalf of the AQMD. Although the proposer will not be 8 automatically disqualified by reason of work performed for such firms, the AQMD reserves the right to consider the nature and extent of such work in evaluating the proposal. Conflicts of interest will be screened on a case-by-case basis by the AQMD District Counsel's Office. Conflict of interest provisions of the state law, including the Political Reform Act, may apply to work performed pursuant to this contract. Please discuss potential conflicts of interest on the application form entitled "Contracting Statements". PROJECT COST Applicants must provide cost information that specifies the amount of funding requested and the basis for that request by attaching vendor quotes to the application. The Cazl Moyer Program is intended to fund only the differential cost between existing technology and low- emission technology. The proposed low-emission technology must be CARB-certifieds. Proposals will be ranked by cost-effectiveness on a vehicle/equipment-by-vehicle/equipment basis. In no case will funding exceed $13,000/ton of NOx reduced, though most requirements are more stringent. No administrative or vehicle /equipment operational costs will be funded. All costs must be clearly indicated in the application. In addition, applicants should be sure to include any sources of co-funding and the amount of each co-funding source in their application. Proposers are cautioned that the project life period used in calculating emissions reductions will be used to determine the length of their data reporting obligation. In other words, a project using a ten year life for the emissions reduction calculations will be required to operate the project vehicle for the full ten yeazs. Reporting is automatically required during the first five yeazs of vehicle/equipment operation, and will also be required upon request for the remaining life of the equipment (i.e., the total ten yeaz project life). While proposers aze not required to calculate a project's cost-effectiveness, AQMD strongly recommends this calculation be made by the proposer in order to ensure the project meets cost-effectiveness ($/ton) limits, and to provide the ability to strategically determine how much funding to request from this programb. Methodologies for calculating cost- effectiveness are provided in the Appendices. PROPOSAL SUBMISSION All proposals must be submitted according to specifications set forth above. Failure to adhere to these specifications may be cause for rejection of the proposal. Aoolication Forms -Program application forms are provided in the Appendices. These must be completed and submitted with other required documents discussed in the application and below. Certifications and Reuresentations - Attachment A to this RFP must be completed and submitted with the application. Attachment A consists of three forms: 1) State of Incorporation and Tax Standing, 2) Federal Tax Identification, and 3) EPA Certification. s Note that an experimental permit from CARB may be considered, but the project will require special CARB approval. 6 For example, based on a request for the full incremental cost of a project, an applicant calculates a project's cost- effectiveness (CE) to be $13,000 per ton. If the applicant requests the full incremental cost, then that applicant will be ranked at $13,000 per ton. If the applicant were to request less funding than the incremental cost, the resulting cost-effectiveness would improve (for example, $12,500/ton), providing a better CE ranking for the project. 9 Due Date -The proposer shall submit six (6) complete copies of the proposal in a sealed envelope, plainly mazked in the upper left-hand corner with the name and address of the proposer and the words "Request for Proposals #P2002-22." All proposals/applications shall be submitted in an environrnentally friendly format: stapled, not bound, black and white print; no three-ring, spiral, or plastic binders, and no cazd stock or colored paper. All proposals aze due no later than 5:00 p.m., on Friday, Mazch 29, 2002. Postmazks aze not accepted. Faxed or e-mailed proposals will not be accepted. Proposals must be directed to: Leticia De La O, Purchasing Supervisor South Coast Air Quality Management District 21865 East Copley Drive Diamond Baz, CA 91765 Any correction or resubmission done by the proposer will not extend the submittal due date. Grounds for Refection - A proposal may be immediately rejected if: • It is not prepazed in the format described • It is not signed by an individual authorized to represent the firm Disposition of Proposals -The AQMD reserves the right to reject any or all proposals. All responses become the property of the AQMD. One copy of the proposal shall be retained for AQMD files. Additional copies and materials will be returned only if requested and at the proposer's expense. Modification or Withdrawal -Once submitted, proposals cannot be altered without the prior written consent of AQMD. All proposals shall constitute firm offers and may not be withdrawn for a period of ninety (90) days following the last day to accept proposals. SECTION IV: PROPOSAL EVALUATION/CONTRACTOR SELECTION CRITERIA AQMD staff will evaluate all submitted proposals and make recommendations to the Governing Boazd for final selection of project(s) to be funded. Proposals will be evaluated on the cost- effectiveness of NOx reduced on a vehicle/equipment-by-vehicle/equipment basis, as well as a project's Environmental Justice evaluation (discussed below). Be awaze that there is a possibility that due to program priorities and/or funding limitations, project applicants may be offered only partial funding, and not all proposals that meet minimum cost-effectiveness criteria may be funded. In compliance with AB 1390, Firebaugh, a new requirement for the FY 2001-02 Moyer Program requires that at least 50 percent of the funds be spent in azeas that are most significantly impacted by air pollution and aze low income or communities of color, or both. CARB has issued broad goals and left the details of how to implement this requirement to each air agency. AQMD will use the following method to meet the new requirements. 10 1. All projects must qualify for the Cazl Moyer program by meeting the cost-effectiveness limits established in the RFP. 2. All projects will be evaluated according to the following criteria to qualify for disproportionate impact funding: a. Poverty Level: All projects in azeas where at least 10 percent of the population falls below the Federal poverty level based on the yeaz 2000 census data, will be eligible to be included in this category, and b. PM Exposure: All projects in azeas with the highest 15 percent of PM concentration will be eligible to be ranked in this category. The highest 15 percent of PM concentration is 46 micrograms per cubic meter and above, on an annual average, or c. Toxic Exposure: All projects in azeas with a cancer risk of 1,000 in a million and above (based on Mates II estimates) will be eligible to be ranked in this category. Data for the poverty level and PM and toxic exposures were obtained from the U.S. Census, the 1998 AQMD monitoring data and Mates II study respectively. 3. Fifty percent of the $11.5 million for this RFP will be allocated among proposals located in disproportional impacted azeas. If available funding is not exhausted with the outlined methodology, then staff will return to the Governing Board for direction. If on the other hand, funding requests exceed the available funding levels, then all qualified projects will be ranked for poverty level, PM and toxic exposures. The maximum score will be comprised of 40 percent for poverty level, and 30 percent each for PM and toxic exposures. All the proposals not awarded under the fifty percent disproportional impact funding will then be ranked according to cost-effectiveness, with the most cost-effective project funded first and then in descending order for each funding category until the remainder of the Moyer Funds are exhausted. SECTION V: PAYMENT TERMS For all projects, except marine vessels, full payment will be made upon installation and commencement of operation of the funded equipment. For marine vessel projects, 20% of the funds will be withheld to be remitted annually on a sliding scale as described below. Upon receipt of the annual report, the twenty percent withhold will be decreased according to the following: Yeaz 1 15% withhold Year 2 10% withhold Year 3 7% withhold Year 4 0% withhold 11 SECTION VI: DRAFT CONTRACT (Provided as example only) Contract No. SOUTH COAST AIR QUALITY MANAGEMENT DISTRICT CONTRACT This Contract consists of pages. 1. PARTIES -The parties to this Contract aze the South Coast Air Quality Management District (referred to here as "AQMD") whose address is 21865 E. Copley Drive, Diamond Bar, CA 91765, and (referred to here as "CONTRACTOR") whose address is 2. RECITALS A. AQMD is the local agency with primary responsibility for regulating stationary source air pollution in the AQMD in the State of California. AQMD is authorized to enter into this Contract under Califonua Health and Safety Code Section 40489. AQMD desires to contract with CONTRACTOR for services described in Attachment 1 -Work Statement, attached here and made a pazt here by this reference. CONTRACTOR wazrants that it is well-qualified and has the experience to provide such services on the terms set forth here. B. CONTRACTOR is authorized to do business in the State of California and attests that it is in good tax standing with the Califonua Franchise Tax Boazd. C. All parties to this Contract have had the opportunity to have this contract reviewed by their attorney. D. CONTRACTOR agrees to obtain the required licenses, permits, and all other appropriate legal authorizations from all applicable federal, state and local jurisdictions and pay all applicable fees. NOW THEREFORE, the Pazties agree as follows: TERMS AND CONDITIONS OF PERFORMANCE 1. AUDIT -CONTRACTOR shall, at least once every two years, or within two yeazs of the termination of the contract if the term is less than two years, be subject to an audit by AQMD or its authorized representative to determine if the revenues received by CONTRACTOR were spent for the reduction of pollution from Motor Vehicles pursuant to the Clean Air Act of 1988. AQMD shall coordinate such audit through CONTRACTOR'S audit staff. If an amount is found to be inappropriately expended, AQMD may withhold revenue from CONTRACTOR in the amount equal to the amount that was inappropriately expended. Such withholding shall not be construed as AQMD's sole remedy and shall not relieve CONTRACTOR of its obligation to perform under the terms of this Contract. 12 2. TERM -The term of this Contract is from date of contract execution by both parties through completion of the project or June 30, 2001, whichever occurs first unless terminated earlier as provided for in Pazagraph 4 below entitled Termination. All requests for payment and associated deliverables must be received by June 30, 2001. Failure to meet this deadline will result in forfeiture of Cazl Moyer and/or AQMD Funds. Extensions to this deadline will not be granted. No work shall commence prior to the Contract start date, except at CONTRACTOR'S cost and risk, and no charges are authorized until this Contract is folly executed. 3. TERMINATION - In the event any party fails to comply with any term or condition of this Contract, this shall constitute a material breach of the Contract. The non-breaching party shall have the sole and exclusive option either to notify the breaching party that it must cure this breach within fifteen (15) days or provide written notification of its intention to terminate this Contract with thirty (30) day's written notice. Notification shall be provided in the manner set forth in Pazagraph 21 below, entitled - "Notices." Termination shall not be the exclusive remedy of the non-breaching party. The non-breaching parry reserves the right to seek any and all remedies provided by law. AQMD reserves the right to terminate this Contract for non-breach and will reimburse CONTRACTOR for actual costs incurred in performance of this Contract through the effective date of termination for non-breach. 4. INSURANCE -Prior to the start of this Contract, CONTRACTOR shall furnish evidence of workers' compensation insurance in accordance with California statutory requirements and liability insurance with a combined single limit (general and automotive) of One Million Dollazs (1,000,000). CONTRACTOR shall maintain such coverage during the term of this Contract and any extensions thereof. AQMD shall be named as an additional insured on such liability policy and thirty (30) days written notice of modification of aqy such insurance shall be given by CONTRACTOR to AQMD. Such modification is subject to pre-approval by AQMD. If CONTRACTOR fails to maintain the required insurance coverage, AQMD reserves the right to terminate the Contract or purchase such additional insurance and bill CONTRACTOR or deduct the cost thereof from any payments owed to CONTRACTOR. 5. INDEMNIFICATION -CONTRACTOR agrees to hold harmless, defend, and indemnify AQMD, its officers, employees, agents, representatives, and successors-in-interest against any and all loss, damage, cost, or expenses which AQMD, its officers, employees, agents, representatives, and successors-in-interest may incur or be required to pay by reason of any injury or property damage caused or incurred by CONTRACTOR, its employees, subcontractors, or agents in the performance of this Contract. 6. PAYMENT A. AQMD shall pay CONTRACTOR a Ceiling Amount of upon completion of the project on a reimbursement basis. Any fends not expended upon eazly contract termination or contract completion shall revert to the Carl Moyer Fund or to the AQMD. Payment of charges shall be made by AQMD to CONTRACTOR within thirty (30) days after approval by AQMD of an itemized invoice prepared and furnished by CONTRACTOR. B. An invoice submitted to AQMD for payment must be prepazed in duplicate, on company letterhead, and list AQMD's contract number, period covered by invoice, and CONTRACTOR'S social security number or Employer Identification Number and submitted to: South Coast Air Quality Management AQMD, 21865 East Copley Drive, Diamond Baz, CA 91765. Attn: Leilani Montojo. 13 C. No funds shall be paid out to CONTRACTOR pursuant to this contract, until the project described in Exhibit "A" is completed and proof of completion is provided to AQMD. If the project described in Exhibit "A" is not completed and satisfactory proof of completion is not provided to AQMD, no monies shall be due and payable to CONTRACTOR. Proof of completion shall include emissions reduction input data needed for calculation of emissions reductions. 7. COMPLIANCE WITH APPLICABLE LAWS -CONTRACTOR agrees to comply with all federal, state, and local laws, ordinances, codes and regulations and orders of public authorities in the performance of this Contract and to ensure that the provisions of this clause aze included in all subcontracts. 8. EMPLOYEES OF CONTRACTOR A. CONTRACTOR shall be responsible for the cost of regulaz pay to its employees, as well as cost of vacation, vacation replacements, sick leave, severance pay and pay for legal holidays. B. CONTRACTOR shall also pay all federal and state payroll taxes for its employees and shall maintain workers' compensation and liability insurance for each of its employees. C. CONTRACTOR, its officers, employees, agents, or representatives shall in no sense be considered employees or agents of AQMD, nor shall CONTRACTOR, its officers, employees, agents, or representatives be entitled to or eligible to participate in any benefits, privileges, or plans, given or extended by AQMD to its employees. D. CONTRACTOR warrants that it has no interest and shall not acquire any interest, direct or indirect, which would conflict in any manner or degree with the performance of services required to be performed under this Contract. CONTRACTOR further represents that in performance of this Contract, no person having any such interest shall be employed by CONTRACTOR or any subcontractor. 9. OWNERSHIP -Title and full ownership rights to any products purchased or developed under this Contract shall at all times remain with CONTRACTOR. 10. NON-DISCRIMINATION - In the performance of this Contract, CONTRACTOR shall not discriminate in recruiting, hiring, promotion, demotion, or termination practices on the basis of race, religious creed, color, national origin, ancestry, sex, age, or physical handicap and shall comply with the provisions of the California Fair Employment & Housing Act (Government Code Section 12900, et sea.), the Federal Civil Rights Act of 1964 (P.L. 88-352) and all amendments thereto, Executive Order No. 11246 (30 Federal Register 12319), and all administrative rules and regulations issued pursuant to said Acts and Order. CONTRACTOR shall likewise require each subcontractor to comply with this paragraph and shall include in each such subcontract language similaz to this pazagraph. 11. ASSIGNMENT -The rights granted hereby may not be assigned, sold, licensed, or otherwise transferred by either party without the written consent of the other, and any attempt by either party to do so shall be void upon inception. 12. NON-EFFECT OF WAIVER -CONTRACTOR'S or AQMD's failure to insist upon the performance of any or all of the terms, covenants, or conditions of this Contract, or failure to exercise any rights or remedies hereunder, shall not be construed as a waiver or relinquishment of the future performance of any such terms, covenants, or conditions, or of the future exercise of such rights or remedies, unless otherwise provided for herein. 14 13. ATTORNEYS' FEES - In the event any action (including azbitration) is filed in connection with the enforcement or interpretation of this Contract, each party in said action shall pay its own attorneys' fees and costs. 14. FORCE MAJEURE -Neither AQMD nor CONTRACTOR shall be liable or deemed to be in default for any delay or failure in performance under this Contract or interruption of services resulting, directly or indirectly, from acts of God, civil or military authority, acts of public enemy, war, strikes, labor disputes, shortages of suitable parts, materials, labor or transportation, or any similaz cause beyond the reasonable control of AQMD or CONTRACTOR. 15. SEVERABILITY - In the event that any one or more of the provisions contained in this Contract shall for any reason be held to be unenforceable in any respect by a court of competent jurisdiction, such holding shall not affect any other provisions of this Contract, and the Contract shall then be construed as if such unenforceable provisions aze not a pazt hereof. 16. HEADINGS -Headings on the pazagraphs of this Contract are for convenience and reference only, and the words contained therein shall in no way be held to explain, modify, amplify, or aid in the interpretation, construction, or meaning of the provisions of this Contract. 17. DUPLICATE EXECUTION -This Contract is executed in duplicate. Each signed copy shall have the force and effect of an original. 18. GOVERNING LAW -This Contract shall be construed and interpreted and the legal relations created thereby shall be determined in accordance with the laws of the State of California. Venue for resolution of any dispute shall be Los Angeles County, California. 19. NOTICES -Any notices from either party to the other shall be given in writing to the attention of the persons listed below, or to other such addresses or addressees as may hereafter be designated in writing for notices by either pazty to the other. A notice shall be deemed received when delivered or three days after deposit in the U. S. Mail, postage prepaid, whichever is eazlier. AQMD: South Coast Air Quality Management District 21865 Copley Drive Diamond Baz, CA 91765 Attn: Cazl Moyer Contracts Administrator CONTRACTOR: **r **r 15 20. MOBILE SOURCE EMISSION REDUCTION CREDITS (MSERCsI The CARB and AQMD have adopted a policy that no MSERCs resulting from the Carl Moyer Program may be generated and/or sold. 21. REPORTING REQUIREMENTS -Emission reductions shall be quantified on an annual basis. CONTRACTOR shall report required data to the AQMD for a minimum period of five (5) yeazs. From the data provided, emission reductions will be calculated by the AQMD staff utilizing the most current GARB quantification methodologies. Reported and validated emission reductions shall be applied towazd air quality attainment goals. All emission reductions resulting from the expenditure of these funds shall be owned wholly by the AQMD, shall not be converted into tradable credits and shall be used for the sole purpose of meeting the attainment schedule contained in the most recently adopted State Implementation Plan. AQMD reserves the right to verify the information provided. The Contractor shall report the following data annually: • Annual mileage or engine hours accumulated, using the contracted-for equipment within the geographical boundazies of the AQMD. The reporting requirements under this clause shall survive the expiration of this Contract and continue in full force and effect until a minimum of five (5) consecutive yeazs of emission data has been reported to the AQMD. 22. ENTIRE CONTRACT -This Contract represents the entire agreement between the parties hereto related to CONTRACTOR providing services to AQMD and there aze no understandings, representations, or warranties of any kind except as expressly set forth herein. No waiver, alteration, or modification of any of the provisions herein shall be binding on any party unless in writing and signed by the party against whom enforcement of such waiver, alteration, or modification is sought. DISTRICT: South Coast Air Quality Management DISTRICT 21865 East Copley Drive Diamond Baz, CA 91765 Attn: Cazl Moyer Contracts Administrator CONTRACTOR: IN WITNESS WHEREOF, the parties to this Contract have caused this Contract to be duly executed on their behalf by their authorized representatives. SOUTH COAST AIR QUALITY MANAGEMENT DISTRICT 16 By: By: Barry R. Wallerstein, D.Env. William A. Burke, Ed.D., Executive Officer Chairman of the Boazd Date: Date: ATTEST: Jackie Dix, Clerk of the Boazd By: APPROVED AS TO FORM: Bazbaza Baird, District Counsel By: 17 ATTACHMENT A CERTIFICATIONS AND REPRESENTATIONS 18 State of Incorporation and Tax Standing 1. If the Contractor is a corporation please list your state of incorporation 2. The Contractor hereby attests that it is in good tax standing with the State of California as of the date set forth below. Company Name and Address: Name of Authorized Representative Title Date 19 To Whom It May Concern: Federal Income Tax Law requires our District to file information returns for "services rendered" by certain individuals and others. The code provides that the Taxpayer Identification Number of the "payment recipient" (you) must be furnished upon request to the "service recipient" (us). According to the regulations, effective January 1, 1984, if the payee fails to provide the Correct ID Number, payments may be subject to 20percent Backup Federal Income Tax Withholding by our District, and the payee is further subject to a penalty of $50.00 by the IRS. In order to help us comply with our reporting responsibilities and to protect yourself from withholding or penalty, please provide the following information and complete the attached W-9 form, and return both documents. 1. NINE DIGIT Federal Identification No. or Social Security No. 2. ENTITY (check one) Individual Corporation Partnership Sole Proprietorship Other (specify) Signature Date Title 20 Form W-a iRw. aAq Pap. Z Nola: WiMrp ilppred Far' an are farm r you are exempt bnrrt badmp TIN wtletlter a not you am requlretl m MOa morns tlpt you h~eetww eYaeCy appNed Rx a wltlardtllrp. you should sal campkm ihm a tax realm. Payers must generally TIN OR fhafyau NrrerM m apply /a one form m avoitl posslCle erroneous backup wkhhdtl 31% of mxede (merest tllNtlend soon. wlWrddktg. Enter you caret[ nN h Part and certebt other payments m a payee As soon as yyoouu recalVe your nN, I. wdm'Exempt' in Part II, end sign end who tloea trot giw a TIN m a payer. compleb enodar Form W-8. Irldude your dam tlla form. tt you are a ronresidant Cerbm penalties may also apply. nN, slpn and date iM fbnlt. antl gNe h m Allen a a roreign angry not aubJea m ~ roquasmr backup wlmhda me requester a What NeMe and Numtlet' To campetad Form phi-~certlrimm or Give the Requester Penaldas Faelgn smwi Faaaa To Fumlab TVL-If you ml m Part AF-ONUflaeDen Foe eel qPa N.emem taw,r.ra ssrt at NrtYsh yore mrrea TIN m a requa9br, yw Far a Jdrlt account ody the person whose i Inanoael th. r,aruel are SubJect m e perelly d S50 br eeeh TIN 15 Sllorrtr In Part 19hW W sign. i Twv or mwe Thv acme aver atle such k8ure unless yGa aauro is tlue m t. Inbrut DMaana, and earaar « (ere mua«• a reasorobk carne and not m waNl tact coaq ~ tti nor imMeue rw9 Fsc • Axoumf b t8efom 78M aB 16q"1 • h~ OPan a Camaen r:aam a the ma«• CIaB Partway far Fake Mblllladall 1NIU1 erld Rlolur Aecaaaa ConaMarad Aetlw a mNOr Nra«m Gn Raapaet b MIIWddbg.-M you make a Durtag 1e87. Yau mrnt glw yar rvrtect m MIm. xp false statement wqh rro reasonable balls nN, but yw do not haw m sign the a. nor wr me pema-vusme , that fasults h no 6adarp wNthd6rg, you certlbutlm. tiw ~ I~ ere subJea m a 5500 penelry. t. Itrmnst, OkkknM, areker, antl exo'n°e°> CrlmkW PanattF is FakNykg antler Eaehanpa Aeeaunb Opatrd Mar o. soceaW rnm TM.arr aaar WamaUOnt WIIfJ fat 1888 and Brakar Aaeararb ComMand ~ a ro Certlbatlans a aartnryatlans may subJact Ytaalaa Dumrg T8Q Vcu must slgr me ae~er eats I r~ you m almknl penaltles IrKludrtp floes artlllCelbn « Dackup Wlihhdtlktg wa i sat pmpbmrNlp me arer • anNa knprlsorrnent appry. r you Ara sttrJect m backup Mkuw m TlNsrlf ttte requasbr wmhddkq antl yeu ere merely pladtling Far ape ryp. er eeerrre raw rrea..a Ea.a tlisdoses a uses nNS N vkkWn of Your correct nN m the requester, yw must a eoa popbmnrrp tre oawr • Federel kw, dte regrkstef may bB SIIDJBCt aou aerrr t In lhB cemflratlon before t. A wM wr, crew. « te71 reay • m dpp antl atmkal peneeks. sgnklg Vie form. a mean trot m. m eoa l RAM Esbb Tretaadbm. Yal must ~' n~ sign the certlflcatlGn. You may aoss out e. ~ayei,,, warwrodr. TM Spec InstrUCtions Imm: of un cemflmtlon. .err~aet «anrr Namattl you are an krdMdual, yar must e. Otlrar Peyrnrtb. Vcu must pw you apera~Oi n gxtarelry emar tlw name sltawo m Y~ cared TIN. but you do not haw m sl9n 10. wmeir+P m. pmeMlp sotlal sacalty cartl. tiawevet r you haw me cembratlan uraessyou haw been +r. a~e or mplraw rn. eiaiar or ima.a dlangetl your kn rtNne, f« Irlamnce, due notllled d en ktcartect TIN. Otlnr m wtlhwt Inmrming the Sodal paymens IrxSUtle payments matle k the ri e~epe~mrer ae1e T^e pout: •"°°Y SeM[y Admmisbretlon of tlr nertw calla a tM requesteYS trade a business aaeancaa. In ma n.re change. Please emar yar alt name, the for rents, rbyakkR goods (otlar than dtls ate pudtarary h«h lest rnnte shown on your aodel seculry for ntarrhendlse). matlkxtl and lmlm rare r • wu «ioai card. antl your new met rome. saMCea payments m e nonampkryee for um Sot Pmprkta:-You must enter your eerviras grtlutlhq almrtley antl accourtUtq P^e~~ ~ NrdleldeY name. (Enter Mmer your SSN a teas), end payments m vermin fishing boat EIN h Part IJ You may ako emer you crew members. ~ tm tM ra arse ne nen. arm prrn wnae buslrwss name a'tldng btWness as' 8. Mottgags Imersat PaM by You, reabryou mmah rrema on 1M Ouskiass name Rte. Eraer ~l8on a AWMOnmam of Saaaad 'err ue aaere nrw rte exam ar iwv's ssx. yar rome v shoran on your sadal property, Cartcallatlert of Debt, a IRA 'vou mar elxn seaalry erg antl buskreas name ea k was Comrartlpni You must glw yea carted rmrra« wr~w ~aor w: w ryn~rd used m apply fa your EIN on Fam 55-e. TIN, but yW tlo not haw m sign tlta ores w wnsr rata ssx a x. cBltlbCatlal. 'lhtlM ntl act tle raw ame our. Ara. pee s•-Tapayar MamBkadar Nunber «prmw oar. ma nor mmhn rn. n`r~aua i RM PrNary Act Notk» ~~~rw~'°c°~~h0° y~°A1ry Vcu must enter yar TIN In tM apgoptam Sectlon 8108 requires you m giw your afar: rronrrr b; erased amen man dwr awe box. 8 you are a sole propriata, ya, may correct nN m Parsms who must Ilk rrrr.. m amd, the narxrar eel m canaded m enter yea SSN a EIN. Also see 81e chart Iracrrrtetlan reams wim the IRS m repot ore dMr d me err name crud. on Ws to batMr clarlbcatlan of Irtterpt dhtdentls, and carmin otlwr name mtl TIN cambnetlom. 8 ycu do not Incortw ptld m you. nartgege Interest you hew a TIN, fdkrw the mstnitrons abler geld, Uw acgdsitlon a abantlorment of Hat To Gat a TN an page 1. secaetl property, rarrcellatlan or deb4 or Part Y-Fa Payer Exempt form corltrlbutlana mega m en IRA. The IRS Raekup ~ uses me numbers fa WentMcetbn Prrrposea antl m heb moray ~ ~ac1r IndMdinls prrolutlkp ode pmpMtare) ere of you tax return. You moat proNde your not axampt ban backup wtlprdtlkrg. capaatlons ere amnpl ban backup wNaMdrg for Armin peymenb, such as kaeas[ antl dVIABtMS. Fa a axnpkb Its[ of exampl payees, see Uk sepereb InstrlaSims fa Vw Raqurrer d Fam W-e. 21 ~=EPA W~~,~,..~. ~a Cardfication Regarding Debarment, Suspension, and Other Responsibility. Matters n,aprosp>ctlw partidpnt osnaes to ar aec d as wwNisdpa and beast ttat R and a prYrJpals: (U Ar. nd +romow«~wr'.dran ~ +o`a.aieaw«a °prwyt~'"•a°~ble. «vaurWr (b) tfaw r>x wUhln • tlrss year PMT Pra Wa proPaad bean oo,nidad d «Md a drt iudp>nwa rond>rad tlrm for con>ris4oo d «a c,YasW aesms b coerwaNoa vdth abhY+6q. alMmptlnp io dH#K or PNf«mGq a pudic (FWartl. Sb4. «lao~ trupapbn «oontrad WWar a ppu~dbib aawadiarK d Fad>rd «f3hts antMnm tlahfw «cammWbn d embaalr,wnt. U+dt. ~tiMY. ~Y. hl>Mcetlou « dam d records. mof~p hiss statemxas, « ~kq >tal>n prapNty: M nd pnMrsty Ydlctod tar «aMrwiw ~Y «~Y dwra.d br • 0 avmDrC W wtih c»tr>M>tlon d apuaypd~tphe allerws adann>pd In WnOraW~ (1) tds . (d) tr~in~~oro(WdntI.Sl+ta.«1o~tsinirtadlorpiw ~ hd ans «mora t7u60c t und>r>hM tlrt a fake sutarn>ra an tlYs aartMlcWarr mry 6s atanda t« re)adbrt d tlds propdsl « ~ttn«<M~M~ad~Nohn6~1~~8so.tOllt.aita~aaaatat>nwartryraWtlnatYrdup ' tyP.a wm. ans. aw~ar.e rrrpw.+r~. aq~aw.r>rr~rrsar>n.r+rsr. tr. ? IaaiurrdatearlrytotMaba~asldwasras. Myerplan>tlanYamrdrd. a>tirw.araau r++n 22 INSTRUCTIONS Under Executive Order 12549, an individual or organization debazred or excluded from participation in federal assistance or benefit programs may not receive any assistance awazd under a federal program, or a subagreement thereunder for $25,000 or more. Accordingly, each prospective recipient of an EPA grant, loan, or cooperative agreement and any contract or subagreement Participant thereunder must complete the attached certification or provide an explanation why they cannot. For further details, see 40 CFR 32.510, Participants' responsibilities, in the attached regulation. Where To Submit: The prospective EPA grant, loan, or cooperative agreement recipient must return the signed certification or explanation with its application to the appropriate EPA headquarters or regional office, as required in the application instructions. A prospective prime contractor must submit a completed certification or explanation to the individual or organization awazding the contract. Each prospective subcontractor must submit a completed certification or explanation to the prime contractor for the project. How To Obtain Forms: EPA includes the certification form, instructions, and a copy of its implementing regulation (40 CFR Part 32) in each application kit. Applicants may reproduce these materials as needed and provide them to their prospective prime contractors, who, in turn, may reproduce and provide them to prospective subcontractors. Additional copies/assistance may be requested from: Compliance Branch Grants Administrative Division (PM-216F) U.S. Environmental Protection Agency 40I M Street, S W Washington, DC 20460 Telephone: 202/475-8025 23 f FY 2001-2002 THE CARL MOYER MEMORIAL AIR QUALITY STANDARDS ATTAINMENT PROGRAM AQMD RFP #P2002-22 APPENDICES The attached Appendices contain the Project Applications, as well as Background Information, Selection Criteria and Example Calculations for each of the project categories. The AQMD staff contact for all project categories is Connie Day at (909) 396-3055 or cday@agmd.gov. LIST OF APPENDICES PAGE NO. Appendix 1 - On-Road Vehicles 25 Appendix 2 - Off-Road Vehicles & Equipment 56 Appendix 3 - Mazine Vessels 81 Appendix 4 - Forklifts 102 Appendix 5 - Auxiliary Power Units 120 24 APPENDIX 1- ON-ROAD HEAVY-DUTY VEHICLES Below is additional information pertaining to the On-Road Heavy-Duty Vehicle Category for AQMD's FY2001-2002 Moyer Program. All information in RFP #P2002-22 and this appendix apply. INTRODUCTION Vehicles greater than 14,000 pounds gross vehicle weight rating (GV WR) are considered heavy- duty vehicles. Heavy-duty vehicles can be categorized as medium heavy-duty (MHD) and heavy heavy-duty (HHD) vehicles. Specific vehicle weight classes are delineated below: Vehicle Class Weieht Cateeorv Class 4 14,001 -16,000 MHD Class 5 16,001 - 19,500 MHD Class 6 19,501 - 26,000 MHD Class 7 26,001 - 33,000 MHD Class 8 33,001+ HHD Commercial shuttle buses, i.e. those not operated by a transit or government agency, should apply within the Class 5-8 categories, as appropriate to vehicle weight. These vehicles are not eligible under the transit category. PROGRAM GUIDELINES/CRITERIA In general, on-road heavy-duty vehicle projects qualifying for evaluation must meet the following criteria: • Eligible project types include new vehicle purchases, vehicle repowers, and engine retrofits, with the exception that no repower or retrofit projects in the transit category are eligible. • Only alternative fuel projects are eligible. No diesel-to-diesel projects are eligible. • New vehicle projects must provide at least 30 percent NOx emission reductions. • Repower or retrofit projects must provide at least 15 percent NOx emission reductions. • Funded projects must operate for a minimum of five (5) years and at least 75 percent of vehicle annual miles traveled must occur within AQMD boundaries, except for inter-district alternative fuel vehicles and APUs, which will be evaluated on a case-by-case basis. 25 • The maximum acceptable project lifer for calculating on-road project benefits is as follows: Default without Default with Documentation Documentation I Transit Buses 33,000 GV WR -New 12 yeazs N/A Other On-road -New 10 yeazs 15 years Other On-road - Repower/Retrofit 7 years 15 years • Low-emission engines or retrofit kits must be certified for sale in California and must comply with durability and warranty requirements. Qualified engines could include new CARB- certified engines; GARB-certified after-market part engine/control devices; or engines with GARB-approved experimental permits. • Projects will be evaluated for their ability to contribute towazd AQMD's overall Moyer Program goal of 25 percent PM emission reduction. • Cost-effectiveness for Class 7/8 trucks must not exceed $6,000 per ton of NOx reduced. • Cost-effectiveness for Class 5/6 trucks must not exceed $8,000 per ton of NOx reduced. • Cost-effectiveness for transit buses must not exceed $13,000 per ton of NOx reduced. • Cost-effectiveness for all other on-road vehicle project'z must not exceed $10,000 per ton of NOx reduced. • Most transit agencies are only eligible for the non-FTA funded portion of the incremental cost (i.e., approximately 20 percent) of a project's incremental cost. • NOx reductions obtained through this program must not be required by any existing regulations, memoranda of agreementlunderstanding, or other legally binding documents (with the exception of projects that would meet AQMD's 1190-series Rules). • Proposed project vehicles may not receive co-funding from any other government vehicle funding grant program3 (i.e., past Moyer, MSRC, AQIP, etc.). Evaluation Methodology AQMD staff will evaluate all submitted proposals and make recommendations to the Governing Boazd for final selection of project(s) to be funded. Proposals will be evaluated on the cost- effectiveness of NOx reduced on a vehicle/equipment-by-vehicle/equipment basis, as well as a project's Environmental Justice evaluation (discussed below). Be aware that there is a possibility that due to program priorities and/or funding limitations, project applicants may be ~ Project life beyond the "default without documentation" may be selected for approval by CARB staff. However sufficient documentation must be provided to AQMD that supports the selected project life based on the actual remaining useful life. 2 Including small fleets with 20 vehicles or less, public sector, inter-district, and on-road APUs. ' Please see RFP for more detailed discussion on thi~tppic. offered only partial funding, and not all proposals that meet minimum cost-effectiveness criteria may be funded. In compliance with AB 1390, Firebaugh, a new requirement for the FY 2001-02 Moyer Program requires that at least 50 percent of the fends be spent in areas that are disproportionally impacted by air pollution and aze low income or communities of color, or both. CARB has issued broad goals and left the details of how to implement this requirement to each air agency. AQMD will use the following method to meet the new requirements. 1. All projects must qualify for the Cazl Moyer program by meeting the cost-effectiveness limits established in the RFP. 2. All projects will be evaluated according to the following criteria to qualify for disproportionate impact funding: a. Poverty Level: All projects in areas where at least 10 percent of the population falls below the Federal poverty level based on the yeaz 2000 census data, will be eligible to be included in this category, and b. PM Exposure: All projects in areas with the highest 15 percent of PM concentration will be eligible to be ranked in this category. The highest 15 percent of PM concentration is 46 micrograms per cubic meter and above, on an annual average, or c. Toxic Exposure: All projects in areas with a cancer risk of 1,000 in a million and above (based on Mates II estimates) will be eligible to be ranked in this category. Data for the poverty level and PM and toxic exposures were obtained from the U.S. Census, the 1998 AQMD monitoring data and Mates II study respectively. 3. Fifty percent of the $11.5 million for this RFP will be allocated among proposals located in disproportional impacted areas. If available funding is not exhausted with the outlined methodology, then staff will return to the Governing boazd for direction. If on the other hand, funding requests exceed the available funding levels, then all qualified projects will be ranked for poverty level, PM and toxic exposures. The maximum score will be comprised of 40 percent for poverty level, and 30 percent each for PM and toxic exposures. All the proposals not awarded under the fifty percent disproportional impact funding will then be ranked according to cost-effectiveness, with the most cost-effective project funded first and then in descending order for each funding category until the remainder of the Moyer Funds are exhausted. 27 Eligible Costs Eligible project costs (i.e., costs for which Moyer funding is requested) aze limited to the incremental cost of a project to implement the alternative fuel technology, instead of diesel technology. Please refer to the Project Types section below for additional detail. Reporting and Monitoring All participants in the Cazl Moyer program are required to keep appropriate records during the full life of the funded project (minimum of 5 years). Records must include for each engine/vehicle, at a minimum: • total miles traveled, • miles traveled in the AQMD, • amount of fuel used, and • maintenance and repair information. Records must be retained and updated throughout the project life and made available for AQMD inspection. The AQMD may conduct periodic reviews of each heavy-duty vehicle project's operating records to ensure that the vehicle is operated as stated in the program application. PROJECT TYPES New Vehicles In order to be eligible to participate in this program, the new engine must be certified by CARB to one of its current optional NOx emission credit standazds, regardless of fuel type or engine design. The CARB NOx emission credit standazds start at 2.5 g/bhp-hr and decrease in 0.5 g/bhp-hr increments. Engines not certified to the CARB's NOx emission credit standards are not eligible to participate in the Cazl Moyer program even if the engines were certified at a similaz level in the past or could have been certified at the credit levels. Table L 1 lists the current heavy-duty engines that have been certified to the CARB's optional NOx emission credit standazds for the 2000 and 2001 model yeazs. Since new engines aze certified throughout the yeaz, proposers aze encouraged to contact District staff for the most current list of eligible engines, or visit CARB's website at http://www.azb.ca.cov/msproe/mover/certs.htm for a current list. Note that engines other than those listed on this website may be in the process of being certified. The Moyer Program will fund, at a maximum, the differential cost to purchase a new alternative fuel engine-equipped vehicle instead of a new diesel vehicle. Repowers Vehicle repower refers to replacing a vehicle's older engine with a newer engine certified to lower emission standards. Repowering is allowed only for projects that replace the existing diesel engine with an alternative fuel engine. The replacement engine must be certified for sale in California to a NOx emission standard that is at least 15 percent lower than the original engine 28 NOx certification level for the engine being replaced. The Moyer Program will fund, at a maximum, the differential cost to repower the vehicle with a new alternative fuel engine instead of a new diesel engine. Retrofits Retrofit means making modifications to an existing engine and/or fuel system such that the retrofitted engine does not have the same specifications as the original engine. To qualify for funding, the engine retrofit kit must be CARB-certified to reduce NOx emissions by at least 15 percent compazed to the original engine certification level. The Moyer Program will fund, at a maximum, the cost to retrofit an existing diesel engine with a CARB-certified retrofit kit that would convert the exiting diesel engine to operate on alternative fuels. Note that at the time of this writing, CARB indicated that there are currently no retrofit kits certified to the optional standazds. Please be sure to check with CARB if you are proposing a diesel-to-alternative fuel retrofit project. Table 1.1 - 2000 and 2001 Model Year Heavy-Duty Engines Certified to ARB's Optional NOx Emission Credit Standards (Emission Levels for NOx, PM, and NMHC are in g/bhp-hr) MY Manuf. Service Fuel Type Displ NnOx PnM NMHC Cert. Std. i HP TYPe' ~ (Itr)._. L~..~_.1L_..__._.1L..~J NOx/PM._~ 2001 Capstone BUS IL Diesel ~J~~ 0.7 .O1 0.03 -1_0/OAS _i ..~~40_~ 2001 Cummins BUS C/I.NG 8.3 1.7 .Ol 0.2 2.5/005 ~ 275 2001 Cummins MHD C/LNG 8.3 2.2 Ol 0.2 2.5/00-10 ~ 280 2001 DDC BUS ^CNG 12.7 2.0 .02 0.8 i -2.0/0.05 ~ 275 2001 DDC BUS C/LNG 12.7 2.0 .02 0.8 2.5/0.0 330 2001 Deere MHD CNG 6.8 2.4 .04 0.3 2.5/0.10 i 225 2001 Deere MHD CNG 8.1 2.2 .02 0.4 2.5/0.]0 ~ 250 2001 Deere BUS CNG 8.1 1.8 .O1 0.2 2.0/0.05 ~ 280 2001 Ford HDG CNG 5.4 0.1 ~ 0.~ 0.5/NA ', 225 2001 IMPCO HDG LPG 8.1 0.9 LS/NA ~ - 276 2001 MACK HHD LNG 11.9 1.8 _ 03 0.3 ( 2.0/0.10 ~ - 325 29 Table L1 cont. - 2000 and 2001 Model Year Heavy-Duty Engines Certified to ARB's Optional NOx Emission Credit Standards (Emission Levels for NOx, PM, and NMHC are in g/bhp-hr) MY Manuf. Service Fuel T e Dis I NOx PM NMHC Cert. Std. HP YP P Type° (Itr) i NOx/PM 2001 PSA MHD Dual° 7.2 2.4 .08 0.6 2.5/0.10 190/250 2001 PSA HHD ~ Dual° 10.3 2.4 .06 1.1 2.5/0.10 305 2001 PSA HHD Dual° 10.3 2.3 OS 1.0 2.5/0.10 305 2001 PSA HHD Dual° 12.0 2.4 0.10 0.5 2.5/0.10 410 2001 Westport HHD Bi-Fuel° 14.9 2.4 0.05 0.4 j 2.5/0.10 400 2000 Baytech MHD Duald 5.7 1.3 ~ 0.00 ~ 1.5/NA 211/245 2000 Baytech MHD CNG 5.7 1.3 ~ 0.00 i 1.5/NA 211 2000 Baytech HDG CNG 5.7 1.3 ~ 0.00 ~ 1.5/NA 211 2000 Baytech HDG Duald 5.7 1.3 ~ 0.00 i 1.5/NA 211/245 2000 Cummins MHD LPG 5.9 2.3 0.01 2.5/0.10 195 2000 Cummins MHD CNG/I,NG 5.9 1.8 0.02 0.10 2.5/0.10 150/195/230 2000 Cummins HHD CNG 8.3 1.7 0.02 0.60 2.5/0.10 250/275 2000 DDC UB CNG/LNG 12.7 2.0 0.02 0.80 2.5/0.05 330 2000 DDC UB CNG/LNG 8.5 LS 0.01 0.80 2.0/0.05 275 2000 Deere MHD CNG 8.1 2.2 0.02 0.40 2.5/0.10 225/250 2000 Deere MHD CNG 6.8 2.4 0.04 0.30 ~ 2.5/0.10 225 2000 IMPCO MHD LPG 7.4 0.8 ~ 0.66 '~ 1.5/NA 229 2000 Mack UB~/HHD~'t Y L/CNG ~ 11.9_ -2.3 0.03 0.3 2.5/0.05 325/350 2000 PSA ~MI-ID j _ Dual` 7 2 2 2 0.08 1.2 ~ 5/0_10 -200/240/250 2000 PSA HHD Dual` i _10.3 2.4 `0.06 L1 i 2.5/0.10 305/350 2000 PSA HHD - Dual` _ i 12_0 2 4~ 0.10 0.5 ~ 2.5/0.10 370/410 ° Service Type: MHD (Medium Heavy-Duty); HHD (Heavy Heavy-Duty); UB (Urban Bus) "Dual Fuel (CNG or LNG + Diesel multi-fuel, or Diesel-only (default operation)) `Bi-Fuel (CNG + Diesel; or LNG + Diesel) "Dual Fuel (CNG or gasoline) `Dual Fuel (CNG + Diesel; or LNG + Diesel) 30 An important note about using Table 1.1: For NOx emission factors, use the value provided in the "Certified Standard NOx / PM" column. The first value is the optional NOx standard to which that engine is certified. NOx emission factors to be used in cost-effectiveness calculations will be 2.5, 2.0, 1.5, 1.0 or 0.5 only. A NOx value of 2.2 or 2.4 (column 6) represents the emission test value for that engine during certification, and may not be used for emission reduction calculations. On the other hand, since there are no existing optional standazds for PM emissions, the actual PM value may be used from column 7 to calculate PM emission reductions. For the most recent summary of certified engines, visit the CARB-maintained list on their website at http://www.arb.ca. og v/msprog/mover/certs.htm. Note that engines other than those listed here may be in the process of being certified. EMISSION REDUCTION AND COST-EFFECTIVENESS Emission Reduction Calculation Discussion For on-road heavy-duty vehicles (HDVs), emission reductions aze estimated using calculation methodologies based on annual mileage per vehicle for all vehicle applications. An approved exception is for stop-and-go/door-to-door refuse applications where annual fuel consumption is used instead. It is noteworthy that other applications such as street sweeping, may be approved to use the fuel-based calculation methodology on a case-by-case basis. Emission reduction estimates based on hours of engine operation are limited to off-road vehicles only. In general, the emission reduction benefit of a project represents the difference in the emission level of a baseline vehicle/engine and reduced-emission vehicle/engine. For new vehicle projects, "baseline" refers to the new diesel fueled vehicle that would have been purchased instead of the proposed alternative fuel vehicle. For repower and retrofit projects, the "baseline" vehicle is defined as the vehicle in which the engine is being repowered or retrofitted with an alternative fuel engine. In situations where the model year of the vehicle chassis and the model year of the existing engine are different, the model year of the engine will be used to determine the baseline emission factor for emission reduction calculations. The reduced-emission vehicle/engine is referred to as the low-emission vehicle case, or LEV. The emission level of a vehicle is calculated by multiplying an emission factor, an activity level and conversion factor(s), if necessary. Because the conversion factor(s) and/or activity level could be different for the baseline and low-emission vehicle (LEV)/engine, the emission levels should be calculated first and then the difference taken to determine the emission reduction for the project. As indicated in the main RFP, the AQMD is required to track the overall PM emission reduction benefits of its Moyer Program. As such, AQMD will estimate PM emission reductions for individual projects using the same methodology as is used for the project's NOx reduction calculation. In some cases, it may be necessary to use Table 1.1 for a NOx or PM emission factor. As noted earlier, for NOx emission factors, use the value provided in the "Certified Standazd" column for NOx and PM (coltunn 9). The first value is the optional NOx standazd to which that engine is certified, the second value in that same column is the PM standard to which the engine is 31 certified. NOx emission factors to be used in cost-effectiveness calculations include 2.5, 2.0, 1.5, 1.0 or 0.5 only. A NOx value of 2.2 or 2.4 (column 6) represents the emission test value for that engine during certification, and shall not be used for emission reduction calculations. On the other hand, since there are no optional standazd for PM emissions, the actual PM value may be used from column 7 to calculate PM emission reductions. To reiterate, applicants may use test numbers for PM, but not for NOx. NOx emission reduction calculations must be based on certification standards. Mileage-Based Calculation For most on-road vehicles the activity level is defined by the annual miles traveled as indicated by the vehicle odometer. Refuse vehicles operating in predominantly stop-and go-applications and street sweepers are the exception. In this case, the activity level may be based on fuel consumed as specified by actual annual fuel receipts or other documentation. See discussion below for additional detail on fuel-based calculations. In either case, emission reduction calculations shall be consistent with the type of records maintained over the life of the project. The NOx emission factors listed in Tables 1.2, 1.3 and 1.4 should be used for mileage-based emission reduction calculations. All vehicles should use factors in Tables 1.2 and 1.3, with the exception of Urban Transit Buses, which should use factors in Table 1.4. A conversion factor may be needed to convert g/bhp-hr certification data to g/mile units. The conversion factors listed in Table 1.5 should be used for this unit conversion. While the applicant is not required to calculate PM emission reductions, you are requested to use Tables 1.6 through 1.8 to answer questions regarding PM on the application. EMISSION FACTOR TABLES FOR BASELINE DIESEL VEHICLES TABLE 1.2 NOx Emission Factors for Medium Heaw-Duty Diesel Vehicles 14,001- 33,000 lbs GVWR Model Year Grams per Mile (g/mi) Pre - 1983 18.5 1984 - 1986 17.9 1987 - 1990 15.7 1991 - 1993 13.1 1994 - 1997 11.5 1998 - 2002 10.5 2003 + 5.5 32 TABLE 1.3 NOx Emission Factors for Heavy Heavy Duty Diesel Vehicles 33,000 + lbs GVWR Model Year Grams per Mile (g/mi) Pre - 1975 28.5 1975 - 1983 27.2 1984 - 1986 20.2 1987 - 1990 16.8 1991 - 1993 16.0 1994 - 1997 19.1 1998 23.0 1999 - 2002 13.4 2003 + 6.7 TABLE 1.4 NOx Emission Factors for Urban Diesel Buses Model Year Grams per Mile Pre - 1987 46.2 1987 -1990 40.2 1991 - 1993 25.5 1994 - 1995 29.8 1996 - 1998 39.2 1999 - 2002 20.4 2003 10.2 2004 - 2006 2.5 2007 1.0 TABLE 1.5 Unit Conversion (between g/mi and g/bhp-hr) Factors for Heavy-Duty Vehicle Projects (bhp-hr/mile) Medium Heavy-Duty Heavy Heavy-Duty Diesel Diesel Urban Transit Bus e Model Year 14001-33,000 lbs. 330001bs. + 330001bs. + Pre-1978 2.3 2.9 4.3 1978 - 1981 2.3 2.8 4.3 1982 - 1983 2.3 2.8 4.3 1984 - 1990 2.3 2.7 4.3 1991 - 1995 2.3 2.7 4.3 1996+ 2.3 2.6 4.3 a. Urban transit buses over 33,000 gross vehicle weight rating (GV WR) or school buses over 33,000 GV WR in an urban area. b. 2.6 bhp-hr/mile is for all heavy-duty line haul tracks (Class 8). 33 Table 1.6 PM Emission Factors for Medium Heavy-Duty Diesel Vehicles 14,001- 33,000 Ibs GVWR Model Year g/mile Pre - 1984 1.1 1984 - 1986 1.0 1987 - 1990 0.7 1991 - 1993 0.4 1994 - 1997 0.3 1998 - 2002 0.2 2003 + 0.3 Table 1.7 PM Emission Factors for Heaw Heaw-Duty Diesel Vehicles 33,000 + lbs GVWR Model Year g/mile Pre - 1975 2.0 1975 - 1983 1.8 1984 - 1986 1.2 1987 - 1990 0.8 1991 - 1993 0.5 1994 - 1998 03 1999 - 2002 0.2 2003 + 0.3 Table 1.8 PM Emission Factors for Urban Diesel Buses Model Year g/mile Pre - 1987 1.3 1987 - 1990 1.2 1991 - 1993 1.1 1994 - 1995 1.4 1996 - 1998 1.7 1999 - 2002 0.6 2003 - 2005 0.1 Fuel-Based Calculation (for stop-and-go refuse vehicles and street sweepers) Street sweepers and refuse vehicles operating predominantly in stop-and-go applications accrue low mileage yet intermittently operate at high load during certain modes. Therefore, a fuel based emission calculation is more appropriate than a mileage based emission calculation for these operating conditions. Furthermore, based on discussion with engine manufacturers, neighborhood refuse collection trucks are subject to limited off-cycle emissions. A1tB staff 34 estimates that a typical heavy-duty diesel truck performing neighborhood waste collection activities would have off-cycle emissions 20 percent of the time. The model year NOx emission factors (g/bhp-hr) for refuse vehicles operating predominantly in stop-and-go applications are listed in Table 1.9. An applicant may choose to use the gram per mile emission factors for neighborhood waste collection trucks on a case-by-case basis, provided sufficient documentation is provided to ARB showing that the vehicle/fleet does not operate under these stop-and-go conditions. Table 1.9 NOx Emission Factors for Refuse Vehicles (Predominantly Stop-and-Go Applications) Model Year g/bhp-hr Pre -1987 10.0 1987 -1990 6.0 1991 - 1998 5.2 1999 - 2002 4.4 2003 + 2.5 As indicated previously, in order to more accurately estimate the emission reductions of a proposed project, emission levels must be calculated for the old engine and the new engine separately, then the new engine emissions are subtracted from the old engine emissions. This not only accounts for activity level changes, but also the reduced energy conversion efficiency of alternative fuel engines. Essentially, it takes more gaseous alternative fuel to get the same power as diesel fuel. In the case where an applicant does not have any experience operating the proposed alternative fuel (and therefore is relying on existing diesel vehicle fleet data for fuel consumption projections for the new project vehicle), the baseline diesel fuel consumption must be multiplied by a factor to get the alternative fuel engine consumption. The fuel efficiency factors are as follows4: LNG: Diesel equivalent LNG gallons =Diesel gallons * 1.68 CNG: Diesel equivalent CNG gallons =Diesel gallons * 1.1 LPG: Diesel equivalent LPG gallons =Diesel gallons * 1.55 An energy consumption factor (ECF) is also needed to convert g/bhp-hr to g/gallon of fuel used. ECF = (MD * ED) /BSFC where, ECF =Energy Consumption Factor (hp-hr/gal) MD =Mass Density (Ib/gal) ED =Energy Density (BTU/lb) BSFC =Brake Specific Fuel Consumption (BTU/hp-hr) 18.5 bhp-hr/gal should be used as the default for refuse vehicles operating predominantly in stop- and-go applications, and is also used as the default for all other HDV projects, unless aproject- specific ECF is provided. It is noteworthy that the ECF will change if the activity level of a project changes. ° Applicants may submit project specific fuel efficie~c~ factors for review and approval by AQMD and CARB. If an applicant provides datas to calculate aproject-specific ECF, then the fuel efficiency factors above would not be applied. Project-specific ECFs require ARB review and approval. Cost-Effectiveness Calculation Discussion For new heavy-duty vehicle purchase projects, only the incremental cost of purchasing a new vehicle that meets the optional NOx emission credit standard compared to a conventional vehicle that meets the existing NOx emission standazd, will be funded through the Carl Moyer Program. For vehicle repower projects, the portion of the cost for a vehicle repower project to be funded through the Cazl Moyer Program is the difference between the total cost of purchasing and installing the new, emission-certified engine and the total cost of rebuilding the existing engine. For engine retrofit projects, the full cost of the retrofit kit will be funded subject to cost- effectiveness limits summarized below. Costs that are not considered eligible for Carl Moyer funds include operating costs such as maintenance or other "life-cycle" costs. An important exception is for Urban Transit Buses, where the portion of the capital cost to be funded through the Carl Moyer Program is limited to the non-FTA portion of the incremental costs (20 percent) and is subject to the $13,000 per ton cost-effectiveness criterion. Full incremental cost for an urban transit bus could be granted, however, on a case-by-case basis. The transit district must demonstrate a true need. The transit district would need to provide AQMD with its Transportation Implementation Plan (TIP) and associated annual updates. If data included in the TIP are not sufficient for AQMD to determine the need for the applicant to receive full incremental cost, AQMD would ask for additional documentation. Cost-effectiveness limits specific to the AQMD 2001-02 Moyer Program aze: Class 7/8 Trucks: $6,000 per ton Class 5/6 Trucks: $8,000 per ton Other:b $10,000 per ton Transit Buses: $13,000 per ton Only the amount of money provided by the program is to be used in cost-effectiveness calculations. The one-time funding amount is to be amortized over the expected project life and with a discount rate of five percent that results in a capital recovery factor (CRF). For convenience, CRFs have been pre-calculated and are listed in Figure 2 below. The CRF, when multiplied by the initial capital cost, yields the annual cost of a project over its expected lifetime. Annualized Cost (minimum 5 years) _ (CRF) (Initial Capital Cost) The overall cost-effectiveness of a project is determined by dividing the annualized cost by the annual NOx emission reductions. Cost-effectiveness cannot exceed the limits listed above. Applicants can reduce the funding request to meet the cost-effectiveness limit. The AQMD may also reduce funding requests to the amount allowed by the cost-effectiveness equation. s Applicants should work with vehicle and engine manufacturers to obtain the data needed for developing this factor. 6Sma11 fleets (20 vehicles or less, with GV W 14,000 lbs. and above), public sector, APU and inter-district. 36 Cost Effectiveness = Annualized Cost ' Annual NOx Emissions Reductions Fi ure 2 rovides ca ital recove factors fora ro~ect life of between 5 and 20 ears. g P P rY P J Y FIGURE 2 -CAPITAL RECOVERY FACTORS Project Life Capital Recovery Factors 5 0.23 6 0.197 7 0.17 8 0.1547 9 0.14 10 0.13 11 0.12 12 0.113 13 0.106 14 0.1 15 0.096 16 0.09 17 0.088 18 0.085 19 0.083 20 0.08 The discount rate of five percent reflects the opportunity cost of public funds for the Carl Moyer progam. This is the level of earning that could be reasonably expected by investing state funds in various financial instruments, such as U.S. Treasury securities. Cost-effectiveness is determined by dividing the annualized cost by the annual NOx emission reductions. ON-ROAD HEAVY-DUTY VEHICLES CALCULATION EXAMPLES Following are several examples to aid in understanding emission reduction and cost- effectiveness calculations for a variety of project types. Example 1-New LNG Truck Purchase (Mileage-based calculation): A fleet operator proposes to purchase a new 2002 truck with a Mack LNG engine instead of a diesel engine. The costs of an LNG truck and a diesel truck aze $110,000 and $80,000, respectively. The new truck will operate 100 percent of the time within the AQMD for a period of 10 years in line-haul service. Both the Baseline and LEV vehicle configurations will travel 80,000 miles per yeaz (though they do not necessazily have to be the same). Emission Reduction Calculation 37 Annual Emission Reductions (tons/year) _ [(Baseline NOx in g/mile)*(Baseline miles/year) - (LEV NOx in g/bhp-hr)*(Conversion Factor)*(LEV miles/year)] * (percent operation in AQMD) * (ton / 907,200 grams) Baseline NOx Emissions: 13.4 g/mile for new heavy-duty diesel truck from Table 1.3 LEV NOx Emissions: 2.0 g/bhp-hr (Certified NOx emission level for new LNG engine from Table 1.1 or Manufacturer data Conversion Factor: 2.6 bhp-hr/mile from Table 1.5 Baseline Miles per Year: 80,000 miles LEV Miles per Year: 80,000 miles Operated in AQMD: 1.0 (i.e., 100%) Convert grams to tons: ton/907,200 g The estimated annual NOx reductions are: {[(13.4 g/mile)* (80,000 miles/year)]- [(2.0 g/bhp-hr)* 2.6 bhp-hr/mile)*(80,000 miles)]}*(1)* (ton/907,200g) = 0.72 tons/year Cost-Effectiveness Calculations The annualized cost is based on the portion of incremental project costs funded by the Carl Moyer program, the expected life of the project, given as 10 years, and the interest rate (5 percent) used to amortize the project cost over the project life. The incremental capital cost to the fleet operator for this purchase and the maximum amount that could be funded can be calculated as follows: Incremental capital cost to fleet operator: $110,000 - $80,000 = $ 30,000 Maximum amount funded: $30,000 Capital Recovery Factor: 0.13 from Figure 2 Annualized Cost: (0.13) * ($30,000) _ $3,900 per year Cost-Effectiveness: ($3,900/year) / (0.72 tons/year) $5,393/ton NOx reduced The maximum cost-effectiveness for this project category is $6,000 per ton of NOx reduced. Since the cost-effectiveness of this project is below the maximum, the full incremental cost of $30,000 is qualified for Moyer Program funding. Example 2 -New CNG Refuse Truck Purchase (Fuel-based calculation). A refuse collection company proposes to purchase a new CNG vehicle versus a diesel one with a GV WR 58,000 lbs. The proposed CNG engine is a Cummins 8.3. The costs of a CNG truck and a diesel truck are $135,000 and $90,000, respectively. This vehicle is used for door-to-door (i.e., stop-n-go) refuse pick-up and uses 12,400 diesel gallons per year. The vehicle operates 100 percent of the time in California for a period of 10 years. The fuel efficiency factor for CNG is given by ARB as 1.1 CNG gallons per diesel gallon. 38 Emission Reduction Calculation Annual Emission Reductions (tons/year) _ [(Baseline NOx in g/bhp-hr)* (Baseline Conversion Factor bhp-hr/gal) * (Baseline Annual Fuel in gal/year)] -[(LEV NOx in g/bhp-hr) * (LEV Conversion Factor in bhp-hr/gal) (LEV annual fuel in gal/year)] * (percent operation in AQMD) * (ton / 907,200 grams) Baseline NOx Emission factor: 4.4 g/bhp-hr from Table 1.9 LEV NOx Emission factor: 2.5 g/bhp-hr from Table 1.1 or Manufacturer data Conversion Factor: 18.5 bhp-hr/gal -using ARB default Baseline Annual Fuel Consumption: 12,400 diesel gal/yeaz LEV Annual Fuel Consumption8: L 1 * 12,400 = 13,640 CNG gallons (calculated from the Baseline Annual Fuel Consumption) Operated in CA: 100 percent Convert grams to tons: ton/907,200 g The estimated azmual NOx reductions are: [(4.4 g/bhp-hr)*(18.5 bhp-hr/gal)*(12,400 gaUyeaz)]-[( 2.5 g/bhp-hr)*(18.5 bhp- hr/gal)*(13,640 gaUyeaz)] * 100% * ton/907,200 g = 0.42 tons/yeaz Cost-Effectiveness Calculations The annualized cost is based on the portion of incremental project costs funded by the Carl Moyer program, the expected life of the project, given as 10 yeazs, and the interest rate (5 percent) used to amortize the project cost over the project life. The incremental capital cost to the fleet operator for this purchase and the maximum amount that could be funded are calculated below: Incremental Capital Cost: $135,000 - $90,000 = $45,000 Maximum Amount Funded: $45,000 Capital Recovery Factor: 0.13 from Figure 2 Annualized Cost: (0.13) * ($45,000) _ $5,850/year Cost-Effectiveness: ($5,850/year) / (0.42 tons/year) _ $13,928/ton IMPORTANT: The cost-effectiveness for the example is greater than the $6,000 per ton cost- effectiveness maximum for Class 7/8 trucks, and this project does not qualify For the funding amount requested. In order to meet the $6,000 per ton cost-effectiveness requirement, the funding request should be reduced. To determine the maximum funding request amount allowed by the cost-effectiveness limit, multiply the cost-effectiveness limit ($6,000) by the tons/year and divide by the Capital Recovery Factor. For this example, the maximum amount of funding that would still allow the project to meet the cost-effectiveness limit = ($6,000 * .42) / .13 = $19,385. Thus, this project would only qualify for a portion of the full incremental cost - a maximum amount of $19,385 per vehicle. Note that if the applicant for this example were a ' Remember that engine/vehicle specific conversion factors may be used, and may improve your cost-effectiveness. a Important Note: This fuel efficiency factor need only be applied when the applicant does not have fuel consumption data for similaz vehicles operating on CNG. If CNG fuel consumption data are available, then those CNG gallons maybe used for the calculation. 39 small fleet, or a public agency, then the maximum cost-effectiveness is $10,000 and an award of $32,308 per vehicle could be approved. Example 3 -Urban Bus Purchase (Mileage-based calculation). A transit agency proposes to purchase a new CNG bus instead of a new diesel bus. The CNG engine will be a DDC 8.5 liter engine. The costs of a CNG bus and a diesel bus are $350,000 and $310,000, respectively. The new bus will operate 100 percent of the time in California for a period of 12 years. The transit agency averages 50,000 miles per bus, annually. Emission Reduction Calculation Annual Emission Reductions (tons/year) _ [(Baseline NOx in g/mile)*(Baseline miles/year) - (LEV NOx in g/bhp-hr)*(Conversion Factor)*(LEV miles/year)] * (percent operation in AQMD) * (ton / 907,200 grams) Baseline NOx Emission factor: 20.4 g/mile from Table 1.4 LEV NOx Emission factor: 2.0 g/bhp-hr from Table 1.1 or manufacturer data Conversion Factor: 4.3 bhp-hr/mile from Table 1.5 Baseline Annual Miles: 50,000 miles LEV Annual Miles: 50,000 miles Operated in CA: 100 percent Convert grams to tons: ton/907,200 g The estimated annual NOx reductions are: {[(20.4 g/mile)* (50,000 miles/yeaz)] - [(2.0 g/bhp-hr)* (4.3 bhp-hr/mile)*(50,000 miles)]}*(1)* (ton/907,200g) = 0.65 tons/year Cost-Effectiveness Calculations The annualized cost is based on the portion of incremental project costs funded by the Carl Moyer program, the expected life of the project, given as 12 years, and the interest rate (5 percent) used to amortize the project cost over the project life. Since the Federal Transit Administration (FTA) pays approximately 80 percent of the cost of a new transit bus, the Moyer Program will fund a maximum of 20 percent of the full incremental cost. The incremental capital cost to the transit agency for this purchase and the maximum amount that could be funded through the Carl Moyer Program fund are therefore determined as follows: FTA Grant for purchase of new diesel bus: (0.8)($ 310,000) _ $248,000 Transit agency's cost for new diesel bus: $310,000 - $248,000 = $62,000 FTA Grant for purchase of new CNG bus: (0.8)($ 350,000) _ $280,000 Transit agency's cost for new CNG bus: $350,000 - $280,000 = $70,000 Incremental Capital Cost: $70,000 - $62,000 = $8,000 Max. Amount Funded: $8,000 Capital Recovery Factor: 0.11 from Figure 2 Annualized Cost: (0.11)($ 8,000) _ $880/year Cost-effectiveness: ($880/yeaz) / (0.65 tons/year) _ $ 1,354/ton 40 The cost-effectiveness for the example is less than $13,000 per ton of NOx reduced. This project would qualify for the maximum amount of grant funds requested -the incremental cost of what was not funded by FTA. Once again, full incremental cost for an urban transit bus would be granted, on a case-by-case basis. Example 4 -New LNG Street Sweeper (Fuel-based calculation). A city municipality proposes to buy a LNG street sweeper instead of a diesel street sweeper. The main engine for the proposed street sweeper will be a LNG engine (Cummins 5.9LNG) that is certified to the optional NOx standard of 2.5 g/bhp-hr, while the auxiliazy engine will be an off- road diesel engine certified to a NOx standard of 6.9 g/bhp-hr. This vehicle is operated entirely within the AQMD azea in California for a period of 10 years. Based on historical fuel usage, the main engine of the street sweeper uses approximately two-thirds of the total fuel consumed with the remaining one-third attributable to the auxiliazy engine. The cost of a new CNG street sweeper is $162,000 compared to $122,000 for a new diesel powered street sweeper. The fuel efficiency factor for LNG is given by ARB as 1.68 LNG gallons per diesel gallon. Emission Reduction Calculation: (Note that CARB approval to use the fuel based methodology is required). Baseline NOx Emission factor: 4.4 g/bhp-hr from Table 1.9 LEV NOx Emission factor: 2.5 g/bhp-hr from Table 1.1 or manufacturer data Conversion Factor9: 18.5 bhp-hr/gal -using ARB default Baseline Annual Fuel Consumption: 6,300 diesel gal/year LEV Fuel Consumption10: 1.68 * 6,300 = 10,584 LNG gal/yeaz (calculated from the Baseline Annual Fuel Consumption). Operated in CA: 100 percent Convert grams to tons: ton/907,200 g Annual Emission Reductions (tons/year) _ [(Baseline NOx in g/bhp-hr) * (Baseline Conversion Factor bhp-hr/gal) * (Baseline Annual Fuel in gal/yeaz)] -[(LEV NOx in g/bhp-hr) * (LEV Conversion Factor in bhp- hr/gal) * (LEV annual fuel in gal/year)] * (% operation in AQMD) * (ton/907,200 g) Main Engine: {[(4.4 g/bhp-hr) * (18.5 bhp-hr/gal) * (6,300 gal/year)] - [2.5 g/bhp-hr) * (18.5 bhp-hr /gal)* 10,584 gal/yeaz)]} * (2/3) * 100% * ton/907,200 g = 0.02 tons/year Auxiliary Enginet': {[(6.9 g/bhp-hr) * (18.5 bhp-hr/gal) * (6,300 gal/yeaz)] - [6.9 g/bhp-hr) * (18.5 bhp-hr /gal) * 10,584 gal/yeaz)]] * (1/3) * 100% * tort/907,200 g = 0.0 tons/year Remember that engine/vehicle specific conversion factors may be used, and may improve your cost-effectiveness. 10 Important Note: This fuel efficiency factor need only be applied when the applicant does not have fuel consumption data for similaz vehicles operating on LNG. If actual LNG fuel consumption data are available, then those LNG gallons may be used for the calculation. "Applicants are strongly encouraged to require in their vehicle specifications that vehicle manufacturers equip new sweeper trucks with auxiliary engines that aze CARB-certified to the optional low-emission standards for off-road engines. This will GREATLY enhance the cost-effe~t~veness of their project. Total Emission Reductions: 0.02 + 0 = 0.02 tons/year Cost-Effectiveness Calculations Incremental Capital Cost: $162,000 - $122,000 = $40,000 Maximum Amount Funded: $40,000 Capital Recovery Factor : 0.13 from Figure 2. Annualized Cost: (0.13)($ 40,000) _ $ 5,200/yeaz Cost-Effectiveness: ($ 5,200/year)/(0.02 tons/year) _ $260,000/ton IMPORTANT: The cost-effectiveness for the example is greater than the $6,000 per ton cost- effectiveness maximum for public sector trucks, and this project does not qualify for the funding amount requested. In order to meet the $10,000 per ton cost-effectiveness requirement, the funding.request should be reduced. To determine the maximum funding request amount allowed by the cost-effectiveness limit, multiply the cost-effectiveness limit ($10,000) by the tons/year and divide by the Capital Recovery Factor. For this example, the maximum amount of funding that would still allow the project to meet the cost-effectiveness limit = ($10,000 * .02) / .13 = $1,538. Thus, this project would only qualify for a portion of the full incremental cost - a maximum amount of $1,538 per vehicle. Another approach would be to enhance the cost- effectiveness of this street sweeper project would be to require in vehicle bid specifications that manufacturers equip new sweeper trucks with auxiliary engines that aze certified to CARB's optional low-emission standards for off-road engines. Note: if this vehicle traveled 25,000 miles per year, the resultig emission reductions would be 0.19 tons/year. Example 5 -Diesel to LPG On-Road Repower (Fuel-based calculation). A refuse collection company proposes to repower existing diesel-fueled vehicles with new LPG engines (Cummins 5.9LPG). The GV WR of the vehicle is 58,000 pounds and the model yeaz of the engine/vehicle is 1989. The cost of an LPG engine is $50,000, compared to a diesel engine rebuild cost of $10,000. This vehicle is used for door-to-door (i.e., stop-n-go) refuse pick-up and operates 100 percent of the time in California for a period of 7 yeazs (the default maximum project life for repowers). The fuel efficiency factor for LPG is given by ARB as 1.55 LPG gallons per diesel gallon. Emission Reduction Calculation Annual Emission Reductions (tons/yeaz) _ [(Baseline NOx in g/bhp-hr) * (Baseline Conversion Factor bhp-hr/gal) * (Baseline Annual Fuel in gal/year)] -[(LEV NOx in g/bhp-hr) * (LEV Conversion Factor in bhp-hr/gal) (LEV annual fuel in gaUyeaz)] * (percent operation in AQMD) * (ton / 907,200 grams) Baseline NOx Emission factor: 6.0 g/bhp-hr from Table 1.9 LEV NOx Emission factor: 2.5 g/bhp-hr from Manufacturer data Conversion Factor12: 18.5 bhp-hr/gal -using ARB default Baseline Annual Fuel Consumption: 13,500 diesel gaUyeaz "Remember that engine/vehicle specific conversion f~lctors may be used, and may improve your cost-effectiveness. LEV Annual Fuel Consumption13: 1.55 * 13,500 = 20,925 LPG gallons (calculated from Baseline Annual Fuel Consumption). Operated in CA: 100 percent Convert grams to tons: ton/907,200 g The estimated annual NOx reductions aze: [(6.0 g/bhp-hr) * (18.5 bhp-hr/gal) * (13,500 gal/year)] - 2.5 g/bhp-hr) * (18.5 bhp-hr/gal) * (20,925 gal/year)] * 100% * ton/907,200 g = 0.59 tons/year Cost-Effectiveness Calculations The annualized cost is based on the portion of incremental project costs funded by the Carl Moyer program, the expected life of the project, given as 10 years, and the interest rate (5 percent) used to amortize the project cost over the project life. The incremental capital cost to the fleet operator for this purchase and the maximum amount that could be funded aze calculated below: Incremental Capital Cost: $50,000 - $10,000 = $40,000 Maximum Amount Funded: $40,000 Capital Recovery Factor: 0.17 from Figure 2 Annualized Cost: (0.17)($ 45,000) _ $6,800/year Cost-Effectiveness: ($6,800/yeaz) / (0.42 tons/yeaz) _ $11,525/ton IMPORTANT: The cost-effectiveness for the example is greater than the $6,000 per ton cost- effectiveness maximum for Class 7/8 trucks, and this project does not qualify for the funding amount requested. In order to meet the $6,000 per ton cost-effectiveness requirement, the funding request should be reduced. To determine the maximum funding request amount allowed by the cost-effectiveness limit, multiply the cost-effectiveness limit ($6,000) by the tons/year and divide by the Capital Recovery Factor. For this example, the maximum amount of funding that would still allow the project to meet the cost-effectiveness limit = ($6,000 * .42) / .17 = $!4,824. Thus, this project would only qualify for a portion of the full incremental cost - a maximum amount of $!4,824 per vehicle. Note that if the applicant for this example were a small fleet, or a public agency, then the maximum cost-effectiveness is $10,000 and an awazd of $24,706 per vehicle could be approved. "Important Note: This fuel efficiency factor need only be applied when the applicant does not have fuel consumption data for similaz vehicles operating on CNG. If CNG fuel consumption data aze available, then those CNG gallons may be used for the calculation. 43 ~~' Me~uorial Air Standards At~ittment Program ` ~~-A~1? AVY~3}~ITY' Ht+~~~ i~"U~CT APPLICATION Please provide all information requested regarding your proposed purchase and application. Additional information may be requested during the review process. Applicant acknowledges that awazd of cash incentive is subject to AQMD approval and must meet the minimum eligibility criteria within the project category. A. APPLICANT INFORMATION: Please Print or Type All Information. Organization: Contact name: Person with contract signing authority: Street/mailing address: City: State: Zip code: Phone: ( ) Fax: ( ) E-mail: Geographic azea served by organization (i.e., project location): Geographic area to be served by vehicle (if different than above): Number of heavy-duty vehicles in fleet: Please fill out the table below for all vehicle for which funding is requested. A. Vehicle Type B. Number of Vehicles C. Funding Request D. Total Funding Reque*t per Vehicle per Vehicle Type (D = B C) I hereby certify that all information provided in this application/attachments aze true and correct. Total Number of Vehicles Requested for Funding: Total Funding Request: Printed Name of Responsible Party: Title: Signature of Responsible Party: Date: 44 I CHECK LIST FOR APPLICATION ITEMS Be sure the following items are included with your application submittal. Check each apnlicable box below to indicate inclusion of material. ? Completed Application (All applicants include Sections A, F and G. New vehicle projects include Sections B and C. Repower and Retrofit projects include Sections D and E.) ? Checklist for Application Items and Eligibility Criteria ? Project cost information (as described in the RFP) which shall include vendor quotes or other documentation substantiating cost data provided in Application. ? Contracting Statements ? Statement of Understanding for Work Statement and Deliverables ? Conflict of Interest Statement (as described in the RFP) ? Third-Party Application Submittal Authorization (Only required if application . is submitted by someone other than the vehicle/equipment owner.) ? Letter of Agreement from Fuel Provider to provide your proposed fleet with alternative fuel (unless you have an existing station). ? Co-funding information attachments to Section G (if applicable) ? Certifications and Representations ? Other (attach explanation) If you have any questions regarding the application process for On-Road Heavy-Duty Vehicles, please contact Connie Day, Science & Technology Advancement at (909) 396- 3055 by phone, or (909) 396-3252 by fax. REMINDER Due Date -The proposer shall submit six (6) complete copies of the proposal in a sealed envelope, plainly marked in the upper left-hand corner with the name and address of the proposer and the words "Request for Proposals #P2002-22." All proposals are due no later than 5:00 p.m., on Friday, March 29 2002. Postmazks aze not accepted. Faxed or e-mailed proposals will not be accepted. Proposals must be directed to: Procurement Unit South Coast Air Quality Management District 21865 East Copley Drive Diamond Baz, CA 91765 45 CONTRACTING STATEMENTS (ALL ARE REOUIRED~ 1. Statement of Understanding for Work Statement and Deliverables In order to minimize the effort required to complete a Moyer Program Application, AQMD does not require submittal of a Work Statement or Deliverables Summary with the Application. However, the undersigned confirms full understanding that, if awazded funding under the Carl Moyer Program, development and submittal of the detailed work statement, with deliverables and schedule, is a requirement of the contracting process. Recommended projects will not receive funding without these documents. Full details of the Work Statement and Deliverables requirements are detailed in RFP #P2002-22. In addition, Baseline and LEV vehicle Serial/VIN information must be provided at contract start. By signing below, the applicant acknowledges these requirements. 2. Conflict of Interest Statement Please address any potential conflicts of interest with other clients affected by actions performed by the firm on behalf of the AQMD in the form of a Conflict of Interest Statement. Although the proposer will not be automatically disqualified by reason of work performed for such firms, the AQMD reserves the right to consider the nature and extent of such work in evaluating the proposal. Conflicts of interest will be screened on a case-by-case basis by the AQMD District Counsel's Office. Conflict of interest provisions of the state law, including the Political Reform Act, may apply to work performed pursuant to this contract. Please provide a Conflict of Interest Statement below. If additional room is necessary, please attach extra pages to this sheet. 3. Third-Party Application (Circle One: Applicable Not Applicable) Applicants who aze submitting on behalf of avehicle/equipment owner must provide authorization from the vehicle/equipment owner to act on their behalf for this application process. This authorization shall be provided in the form of a "Letter of Exclusive Authorization", to be attached to this sheet. In addition, the vehicle/equipment owner shall enter into a contract with its authorized applicant, who will sign a contract with AQMD for fulfilling all contract obligations. Organization: Printed Name of Responsible Party: Title: Signature of Responsible Party: Date: 46 r CHECK LIST FOR ELIGIBILITY CRITERIA Please check each applicable box below to indicate eligibility of proposed heavy-duty vehicle/engine techuology project. ? The purchase and/or amount of emission reduction is not required by any local, state, or federal rule or regulation, MOU or MOA, or used to comply with any such rule, regulation, or agreement. There is one exception: Projects that comply with AQMD's Rule 1190-series Fleet Rules are eligible to apply to the Moyer Program. ? Seventy-five percent or more of the vehicle annual miles traveled or fuel consumption will be within the boundaries of the AQMD for at least five (5) yeazs from the date the vehicle is placed into service with the new technology. ? This engine has a GARB certified computer chip. The low-emission engine/technology: ? is certified for sale in California, or ? is under experimental permit for operation in California, and... For new vehicle purchase projects: ? For all new vehicle projects -new, alternative fuel engine is certified to GARB NOx emission credit standazd that is at least 30 percent lower than the baseline NOx emission level of the engine being replaced;. For vehicle repower projects: ? For all repower projects -the replacement engine is an alternative fuel engine and is certified to a NOx emission level that is at least 15 percent lower than the baseline NOx emission level of the engine being replaced. For retrofit kit or add-on equipment projects: ? Converts the engine to operate on alternative fuels and shows at least a 15 percent reduction of NOx emissions, and no significant increase in particulate emissions, compared to the applicable standards for that engine yeaz and type of application through: ? California Air Resources Boazd (GARB) certification testing, ? U.S. EPA certification testing, or ? Emission testing at a laboratory approved by U.S. EPA or GARB. ? The retrofit technology is warranted by retrofit manufacturer and/or authorized dealer. 47 NEW HEAVY-DUTY VEHICLE PURCHASE APPLICATION SECTION For the questions below the following terms are defined: "Baseline" refers to the vehicle or engine that is being replaced or retrofitted by the proposed project. In the case of a "new vehicle project", the baseline also relates to information about the new diesel or gasoline vehicle you would have purchased if this incentive program were not available. "LEV" refers to the low- emission vehicle or engine being proposed by this application. Complete one page for each type of vehicle or engine. B. INFORMATION ABOUT EACH NEW HEAVY-DUTY VEHICLE 1. Primary function of vehicle (e.g., line haul, local delivery, stop and go refuse, etc.): 2. Gross Vehicle Weight Rating (GV WR): 3. Cost of each new heavy-duty vehicle (i.e., Baseline) that meets current emission NOx standard (4.0 g/bhp-hr): 4. Cost of each new heavy-duty vehicle (i.e., LEV) that meets CARB NOx emission credit standazds 2.5 g/bhp-hr): 5. Differential cost of project (per vehicle): 6. Number oflow-emission vehicles to be purchased: 7. Total Grant Request (Line 5 x Line 6): 8. Annual fuel consumption (in diesel gallons) per vehicle for Baseline, as defined above: 9. Annual fuel consumption (in diesel gallons) per vehicle for the LEV, as defined above: 10. Estimated total annual mileage per vehicle for Baseline: 11. Estimated total annual mileage per vehicle for LEV: 12. Percent operation within AQMD boundazies: 13. Is there any seasonality to the use of the vehicle? If Yes, please explain: 14. Baseline Fuel type: 15. LEV Fuel type: 16. LEV Vehicle Manufacturer: 17. LEV Vehicle Model: 18. Baseline Engine Manufacturer/Model: 19. LEV Engine Manufacturer/Model: 48 20. Baseline Engine Model yeaz: 21. LEV Engine Model year: 22. Baseline Engine Horsepower: 23. LEV Engine Horsepower: 24. Baseline NOx emission level 25. Baseline PM emission level 26. Certified NOx emission level (g/bhp-hr) for LEV 27. Certified PM emission level (g/bhp-hr) for LEV 28. Estimated vehicle life: 29. Estimated replacement schedule: 30. Proposed Project Life for Cost-Effectiveness Calculations. See Program Guidelines for more information. 31. Cost-Effectiveness Calculation Methodology (Note that Fuel Mileage Don't Know all projects must use mileage-based method except stop- and-go refuse hauler and street sweeper projects). (Circle one) C. GENERAL INFORMATION FOR NEW VEHICLE MANUFACTURER/DEALER Complete the appropriate information, then skip to Section F, unless you aze also applying for Repower or Retrofit projects. NEW HEAVY-DUTY VEHICLE WITH A NEW LOW-EMISSION ENGINE Manufacture/Dealer: Street address: City: State: Phone: ( ) Fax: ( ) Contact name: 14 Refer to appropriate Table for this value. 15 Refer to appropriate Table for this value. is Provided by engine manufacturer for new engines or see Table 1.1 " Provided by engine manufacturer for new engines ~~see Table 1.1 HEAVY-DUTY VEHICLE REPOWER/RETROFIT APPLICATION SECTION Please Circle Otte: REPOWER RETROFIT D. INFORMATION ABOUT EACH ENGINE FOR REPOWER OR RETROFIT 1. Primary function of vehicle (e.g., line haul, local delivery, stop and go refuse, etc.): 2. Gross Vehicle Weight Rating (GV WR): 3. Cost of replacing or rebuilding engine with Baseline technology and fuel (i.e., diesel): 4. Cost of replacing or rebuilding engine with LEV technology: 5. Differential cost of project (per engine): 6. Number of engines to be purchased/retrofitted: 7. Total Grant Request: 8. Annual fuel consumption (in diesel gallons) per vehicle for Baseline, as defined above: 9. Annual fuel consumption (in diesel gallons) per vehicle for the LEV, as defined above: 10. Estimated total annual mileage per vehicle for Baseline: 11. Estimated total annual mileage per vehicle for LEV: 12. Percent operation within AQMD boundazies: 13. Is there any seasonality to the use of the vehicle? If Yes, please explain: 14. Baseline Fuel type: 15. LEV Fuel type: 16. Proposed Project Life for Cost-Effectiveness Calculations. 17. Cost-Effectiveness Calculation Methodology (Note that Fuel or Mileage all projects must use mileage-based method except stop- and-go refuse hauler and street sweeper projects). (Circle one) EXISTING VEHICLE/ENGINE NEW LOW-EMISSION ENGINE/RETROFIT 18. Vehicle make/model: Vehicle make/model: Same as current 19. Vehicle Model yeaz: Vehicle Model year: Same as current 20. Baseline Engine make: LEV Engine make: 21. Baseline Engine model number: LEV Engine model number: 50 22. Serial number of Baseline engine: Serial number of LEV engine: 23. Baseline Horsepower: LEV Horsepower: 24. Average vehicle life: Estimated remaining vehicle life: 25. Typical rebuild/replacement schedule: Estimated rebuild/replacement schedule of new LEV engine: 26. NOx emission level (g/bhp-hr) for Baseline Certified NOx emission level (g/bhp-hr) for LEV 27. PM emission level (g/bhp-hr) for Baseline Certified PM emission level (g/bhp-hr) for LEV E. GENERAL INFORMATION ABOUT THE INSTALLER LOW-EMISSION HEAVY-DUTY ENGINE FOR REPOWER (replacement) Engine installer: Street address: City: State: Phone: ( ) Fax: ( ) Contact name: OR ENGINE RETROFIT TECHNOLOGY Retrofit Kit manufacturer: Retrofit Installer: Installer street address: City: State: Phone: ( ) Fax: ( ) Contact name: Retrofit kit number: ARB Executive Order Number: Description of retrofit technology: 1e Please refer to Tables for this value. 19 This value provided by engine manufacturer or is in Table 1.1. 20 Please refer to Tables for this value. Z' This value provided by engine manufacturer or is i~lTable l.l. F. OTHER INFORMATION 1. MAINTENANCE Describe your maintenance facility and practices, including any training regarding the low- emission technology. If the training has not been completed, provide a time line for completion. 2. REFUELING Describe how, and where the vehicle(s) will be refueled (e.g. on-site, existing facility, mobile/skid mounted equipment, etc.) Attach written verification of access to refueling facility from the fuel provider if public fueling is not the primary alternative fuel source. G. CO-FUNDING INFORMATION Describe your funding sources for this project. At a minimum, this will include your company or agency's own budget for this project. For example, you could show the amount of funding you budgeted for the non-LEV portion of the vehicle/equipment. 52 ON-ROAD VEHICLE CALCULATION WORKSHEET (OPTIONAL) Note that this worksheet is intended for the applicant's use in determining a project's cost-effectiveness. It is not required to be used or submitted with the final application. 1) Mileage-Based Calculation (should be used for all vehicle types, except stop-and- go refuse unless approved by CARB): Emission Reduction Calculation Annual Emission Reductions (tons/yeaz) _ [(Baseline NOx in g/mile)*(Baseline miles/yeaz}- (LEV NOx in g/bhp- hr)*(Conversion Factor)*(LEV miles/yeaz)] * (percent operation in AQMD) * (ton / 907,200 grams) a) Baseline NOx Emissions: (g/mile EF22 from Tableszs) b) LEV NOx Emissions: (gm/bhp-hr EF from Table 1.1 or manufacturer certification data) c) Unit Conversion Factor: bhp-hr/mile (from Table 1.5) d) Baseline Miles per Yeaz: (mile/yeaz) e) LEV Miles per Year: (mile/yeaz) f) % Operated in AQMD: (use decimal, i.e., 75 percent = 0.75) g) Convert grams to tons: ton/907,200 grams h) Baseline Emissions: grams/yeaz [(a) * (d)] i) LEV Emissions: grams/year [(b) * (c) * (e)] j) Emission reductions: grams/yeaz [(h) - (i)] k) Annual Emission Reductions in AQMD region: tons/year [(j) * (f) / 907,200] Cost-Effectiveness Calculations I) Funding Request per vehicle2a: m) Project Life: n) Capital Recovery Factor: (use project life, Figure 2) o) Annualized Cost: ($/year) [(n) * (1)] p) Cost-Effectiveness: ($/ton) [(o) / (k)] Be sure to compare the project cost-effectiveness in (p) to the maximum cost- effectiveness for the project category. If the maximum is exceeded, then consider reducing your funding request. zz EF =Emission Factor Z' Tables 1.2, 1.3 and 1.4 for g/mile baseline diesel vehicles -choose table by weight class. 20 Maximum request is the incremental cost to implement alternative fuel technology. 53 ON-ROAD VEHICLE CALCULATION WORKSHEET (OPTIONAL) Note that this worksheet is intended for the applicant's use in determining a project's cost-effectiveness. It is not required to be used or submitted with the final application. 2) Fuel-Based Calculation (for Stop-and-go refuse): Emission Reduction Calculation (tons/yeaz) _ [(Baseline NOx in g/bhp-hr)*(Baseline Conversion Factor bhp-hr/gal)*(Baseline Annual Fuel in gal/yeaz)] -[(LEV NOx in g/bhp-hr)*(LEV Conversion Factor in bhp- hr/gal)*(LEV annual fuel in gal/year)] * (percent operation in AQMD) * (ton /907,200 g) a) Baseline NOx Emissions: g/bhp-hr EF25 (from Table 1.9) b) LEV NOx Emissions: gm/bhp-hr EF (from Table 1.1 or manufacturer certification data) c) Baseline Energy Conversion Factor26: bhp-hr/gal (GARB Default is 18.5) d) LEV Energy Conversion Factor: bhp-hr/gal (GARB Default is 18.5) e) Baseline Fuel per Year: diesel gal/yeaz f) Fuel Efficiency Factor: (1.68 for LNG, 1.1 for CNG and 1.55 for LPG) g) LEV Fuel27 per Year: diesel equivalent gaVyeaz, [(e) * (1)] h) % Operated in AQMD: (use decimal, i.e., 75 percent = 0.75) i) Convert grams to tons: ton/907,200 grams j) Baseline Emissions: grams/year [(a) * (c) * (e)] k) LEV Emissions: grams/year [(b) * (d) * (g)] 1) Emission reductions: grams/year [(j) - (k)] m) Emission Reductions in AQMD region: tons/year [(1) * (h) / 907,200] Cost-Effectiveness Calculations n) Funding Request per vehicle28: o) Project Life: p) Capital Recovery Factor: (use project life, Figure 2) q) Annualized Cost: ($/yeaz) [(n) * (p)] r) Cost-Effectiveness: ($/ton) [(q) / (m)] Be sure to compare the project cost-effectiveness in (r) to the maximum cost- effectivenessfor the project category. If the maximum is exceeded, then consider reducing your funding request. zs EF =Emission Factor zb Vehicle/engine system-specific Energy Conversion Factors maybe used, with submittal of supporting documentation. 27 If actual altemative fuel throughput is known, enter in line (g). No multiplication necessary. is Maximum request is the incremental cos[ to implement alternative fuel technology. 54 ON-ROAD VEHICLE CALCULATION WORKSHEET (OPTIONAL) Note that this worksheet is intended for the applicant's use in determining a project's cost-effectiveness. It is not required to be used or submitted with the final application. 3) Urban Bus Purchase, Mileage-Based Calculation Emission Reduction Calculation Annual Emission Reductions (tons/year) _ {[(Baseline NOx in g/mile) * (Baseline miles/year)] -[(LEV NOx in g/bhp-hr) (Conversion Factor) * (LEV miles/yeaz)]} * (percent operation in AQMD) * (ton / 907,200 grams) a) Baseline NOx Emissions: (g/mile EF29 from Table 1.4) b) LEV NOx Emissions: (gm/bhp-hr EF from Table 1.1 or manufacturer certification data) c) Unit Conversion Factor: bhp-hr/mile (from Table 1.5) d) Baseline Miles per Yeaz: (mile/year) e) LEV Miles per Year: (mile/year) f) % Operated in AQMD: (use decimal, i.e., 75 percent = 0.75) g) Convert grams to tons: ton/907,200 grams h) Baseline Emissions: grams/year [(a) * (d)] i) LEV Emissions: grams/year [(b) * (c) * (e)] j) Emission reductions: grams/yeaz [(h) - (i)] k) Annual Emission Reductions in AQMD region: tons/yeaz [(j) * (f) / 907,200] Cost-Effectiveness Calculations 1) Funding Request (non-FTA) per vehicleso: m) Project Life: n) Capital Recovery Factor: (use project life in Figure 2) o) Annualized Cost: ($/year) [(n) * (1)] p) Cost-Effectiveness: ($/ton) [(o) / (k)] Be sure to compare the project cost-effectiveness in (p) to the maximum cost- effectiveness for the project category. If the maximum is exceeded, then consider reducing your funding request. xv EF =Emission Factor 30 Maximum request is the non-FTA funded portion of the incremental cost to implement alternative fuel technology. See example 3 for additional detail. 55