BACKGROUND:
The bipartisan Infrastructure and Investment Jobs Act (IIJA) provided $550 million to the Department of Energy (DOE) for the Energy Efficiency and Conservation Block Grant (EECBG) program. These funds are granted to states, local governments, and tribes to help reduce energy and fossil fuel use and to improve the energy efficiency of buildings and infrastructure. Based on a city’s population, Cathedral City was allocated $112,920 towards this energy efficiency program grant.
DISCUSSION:
The Public Works Fleet division is requesting City Council approve the submittal of a grant application to the DOE accepting the $112,920 in grant funds and approve allocating the awarded EECBG grant funds towards the replacement of the 2000 Komatsu Forklift that Public Works currently utilizes daily. The existing forklift is over 20 years old and has exceeded its originally projected service of life. Maintenance costs are now outweighing the value of keeping the unit in daily operation. The 2000 Komatsu is also propane powered, thus producing carbon emissions.
To utilize the grant funds, Staff is recommending the purchase of one (1) Electric Pneumatic Lithium Powered Forklift for the Public Works Division in the amount of $104,965.50 which includes tax and delivery. The Electric Forklift is energy efficient and is powered by a nontoxic lithium-ion battery with an expected life of over 10 years.
The Electric Forklift has a base capacity of 6,000 lbs. and will include LED headlights and amber strobes for safety and is equipped to be driven on City streets.
If approved, the funding for this purchase will be provided by the EECBG grant. Per the grant requirements, the purchase of energy efficient equipment for city use to serve the public is an approved expenditure.
The City’s Fleet Coordinator contacted multiple vendors both locally and in the surrounding area.
•Southwest Toyota submitted a quote for $78,900, however the Electric Forklift they offer is not street legal which would require the Public Works Division to provide another employee and truck to shadow the proposed Forklift when being driven on City streets. Also, Southwest Toyota could not provide an electric charger.
•United Rentals was unable to submit a quote meeting the City’s needs for this purchase as they do not have agreements in place to be able to offer this size and type of equipment at this time.
•Elms Equipment Rental of Coachella Valley provided a reasonable quote for the Electric Forklift, $104,965.50, which includes a forklift that is street legal and includes the required electric charger and safety lights.
Name of Company Location Price per Unit Details
Elms Equipment Rentals Indio, CA $104,965.50 Includes tax and delivery Staff is requesting the remaining balance of $7,954.50 be allocated towards upgrading the existing electrical system at the Public Works facility. The Electric Forklift requires an electrical charging outlet to be 480V 3 Phase compliant. This proposed work will be completed by the Cathedral City Facilities Department.
FISCAL IMPACT:
City Council approval to allocate EECBG Grant funds towards the purchase of alternative fueled equipment for the Public Works Department. •Purchase of one (1) Electric Pneumatic Lithium Powered Forklift in the amount of $104,965.50 from Elms Equipment Rentals.
•Installation of an electrical system to support the electric forklift at the Public Works Facility in an amount not to exceed $7,954.50.
Elms Equipment Rentals $104,965.50 EECBG Grant Funds
Install Electrical System at Public Works
Facility
$7,954.50 EECBG Grant Funds