Agenda Item No: U.6
AGENDA REPORT
DATE: December 17, 2024
TO: Mayor and Council
FROM: David Gassaway, City Manager
SUBJECT: Resolution 2024-287
Authorizing the City Manager to Submit Invoices to the U.S. Department of Energy (DOE) Energy Efficiency and Conservation Block Grant Program (EECBG) and Receive Rebate Vouchers and Authorizing an Update to the Fiscal Year 2024-2025 Budget
Funding Source: N/A
Contact: David Renschler, (707) 428-7414
RECOMMENDED ACTION
Adopt resolution.
STATEMENT OF ISSUE
The proposed resolution would authorize the city manager to change the original application for electrical infrastructure to electric vehicle purchases and submit equipment rebate vouchers for up to $164,990 with the U.S. Department of E nergy (DOE) to fund up to three electric vehicles for the municipal non-safety vehicle fleet.
DISCUSSION
The U.S. DOE Energy Efficiency and Conservation Block Grant (EECBG) Equipment Rebate Voucher Program is designed to assist states, local governments, and Tribes in implementing strategies to reduce fossil fuel emissions and to improve energy efficiency.
The City is in the process of transitioning its transit and municipal fleet at various locations in the City to battery -electric vehicles (EVs). The City has started a pilot program with four different brands of electric chargers and several EV types to determine the best value moving forward.
Staff applied for the EECBG Equipment Rebate Voucher Program, and the City has been approved for up to $152 ,032 in reimbursements for EV charging infrastructure. On August 20, 2024, City Council approved the program ’s use for EV charging infrastructure. Staff have recently found a
way to utilize the full $164,990 amount by utilizing the voucher program for vehicle purchases in lieu of the lesser amount for the infrastructure. Changing the application and scope of this project to vehicles from infrastructure will increase the rebate funding received by the City.
The EECBG rebate vouchers will provide much-needed financial assistance to the municipal fleet and help the City in compliance with California Air Resources Board (CARB) zero-emission vehicle regulations. The voucher funds will be used to reimburse the City for the full cost of two Ford Lightning extended-range EVs and the partial cost of a third Ford Lightning extended-range EV.
FINANCIAL IMPACT
The City will receive up to $164,990 from the U.S. DOE EECBG program for electrification. This program requires no local match, although the City will need to purchase upfront and turn in invoices for reimbursement. Council has previously approved the purchase of three Ford Lightning out of Fund 512 for a not to exceed amount of $288,000. Staff is proposing to make the purchases from Fund 155 and transfer funds from Fund 512 to Fund 155 for any unreimbursed expenditures not to exceed 123,010. The previously planned charging infrastructure will utilize funds in Fund 512.
PUBLIC CONTACT/ADVISORY BODY RECOMMENDATION
N/A
ALTERNATIVE ACTION
The council may reject t hese acquisitions; however, this is not recommended because of the need to provide safe, serviceable, and cost -effective fleet vehicles that will meet CARB regulations.
COORDINATED WITH
N/A
STAFF CONTACT
David Renschler, Fleet Division Manager
(707) 428-7414
[email protected]
ATTACHMENTS
Attachment 2: Proposed Resolution