Agenda Item No: K.15
AGENDA REPORT
DATE: December 16, 2025
TO: Mayor and Council
FROM: David Gassaway, City Manager
SUBJECT: Resolutions 202 5-257 Through 2025-259 PW Corp Yard Phase 1A and Solano Transportation Authority Funding Agreement
Resolution 2025 -257 Approving the Plans and Specifications and Awarding a Contract to Bockmon & Woody Electric Company Inc. for the Phase 1A – Corporation Yard Fleet Electrification Project CPW080104 and Authorizing an Update to the Fiscal Year 2025-2026 Budget; and
Resolution 2025-258 Authorizing the City Manager to Negotiate and Agree to the Terms of the Loan Agreement with the Solano Transportation Authority for Phase 1A – Corporation Yard Fleet Electrification Project; and
Resolution 2025-259 Authorizing the City Manager to Negotiate and Agree to the Terms of the Funding Agreement for Regional Transportation Impact Fee Funds for Phase 1A – Corporation Yard Fleet Electrification Project
Funding Source: $3,482,380; Various Funds
Contact: Phil Layoso, (707) 428-7505
RECOMMENDED ACTION
Adopt resolutions.
STATEMENT OF ISSUE
On December 14, 2018, the California Air Resource Board (CARB) adopted the Innovative Clean Transit Act (ICT) that requires all public transit agencies in California to gradually transition their bus fleets to zero -emission with a goal of achieving 100% of zero emission fleets by 2040.
Additionally, on April 28, 2023, the Advance Clean Fleet Act (ACF) rule was adopted by CARB requiring medium and heavy -duty vehicles, such as vehicles greater than 8,500 pounds to transition to zero-emission vehicles. Under the ACF, beginning January 1, 2024, all new vehicles are required to be at least 50% zero -emission, with this requirement progressing to 100% by
2027. Starting in 2026, in accordance with ICT regulations, 50% of all new vehicles must be zero- emission, increasing to 100% by 2029.
City staff have designed the initial infrastructure to ensure compliance with CARB regulations and to support the first electric vehicle procurements. This resolution approves the plans and specifications for the Phase 1A – Corporation Yard Fleet Electrification Project (Project; CPW080104) and awards a contract to Bockmon & Woody Electric Company Inc., of Stockton, California, in the amount of $3,165,800.
DISCUSSION
The Project will install ten level 3 charges and four level 2 chargers, each with two ports, supported by electrical infrastructure to operate all simultaneously. Level 3 chargers provide fast charging for standard vehicles (up to 90 % an hour) and can fully charge buses overnight, while Level 2 chargers charge standard vehicles overnight but cannot charge buses. Nine Level 3 chargers will primarily serve transit buses, though those Level 3 chargers may be used to charge standard vehicles when buses are in transit services if necessary.
City staff have contracted with Pacific Gas & Electric (PG&E) for PG&E to upgrade their electrical infrastructure to support the Project. To prevent delays, PG&E reviewed and approved a portion of the electrical design that had long lead times. This includes the transformer, switchboard, and bus duct which the City purchased through authorization by Resolution No. 2025-163.
Bids for the P roject were received from three contractors and opened on September 16, 2025.
Bids ranged in price from $3,165,800 and $5,582,267. The engineer’s estimate for the bid was $4,100,000. The apparent low bid was submitted by Bockmon & Woody Electrical Company Inc., CA (Bockmon & Woody). Staff reviewed the bid submitted by Bockmon & Woody and have deemed the bid to be responsive.
The City will fund Phase 1A using a combination of state, federal, regional, and local sources.
Funding includes a $750,000 EnergIIZE grant awarded by the California Energy Commission in February 2025 to support zero-emission infrastructure, along with the City’s annual Low Carbon Transit Operations Program (LCTOP) allocations of $609,000 in fiscal year (FY) 2025 and $300,000 in FY 2026 totaling $909,000. A $500,000 federal earmark awarded in March 2024 for electric - infrastructure upgrades will also contribute to the project. Remaining costs will be covered by $200,000 in Regional Transportation Impact Fee (RTIF) funds and a $1.2 million Regional Measure 3 (RM3) loan from the Solano Transportation Authority (STA). STA approved the loan at its December 10, 2025, board meeting. The loan will be repaid over seven years at $171,430 per year, using a combination of local transportation revenues and increased fuel-payment revenue to the Fleet Division.
The Project was originally to be fully funded by a $12.016 million Federal Transit Administration (FTA) grant (Project D2022 -BUSC-104) under the FY 2022 Bus and Bus Facilities Program, but a federal policy shift directing agencies to prioritize low emission rather than zero emission projects affected both new and previously awarded but unobligated grants, including Fairfield’s. To retain the funding, the City revised the scope by replacing five battery-electric buses with diesel-electric hybrids, removing EV chargers, eliminating electrical infrastructure upgrades, acquiring adjacent industrial property for maintenance and overflow parking during construct ion, and reducing workforce development activities. Although the City began the required National Environmental Policy Act (N EPA) process in 2023 .The progress was delayed by the Federal Transportation Authority (FTA) staffing reductions, leaving the grant stalled at the final concurrence stage despite all documentation being submitted ahead of the September 30, 2025, obligation.
FINANCIAL IMPACT
The construction authorization for this Project will be $3,482,380, whic h is the total bid amount plus 10% contingency ($3,165,800 + $316,580 contingency).
The STA loan will be repaid over seven years at $171,430 per year using increased fuel -payment revenue collected by the Fleet Division. The increased fuel -payment revenues are expected to come from the following funds:
The funding for this project has been updated due to the increased costs and changes to available funding. The project is now being funded with the following funding sources:
Total Amount Funding Source
$909,000 LCTOP
$750,000 EnergIIZE Grant
$500,000 Federal Earmark
$1,065,081 Regional Grant
$200,000 RTIF
$712,000 PG&E Reimbursements
$200,428 Construction License (Fund 164)
$1,200,000 RM3 from STA
$5,536,509 Total Funding
The additional construction costs were not included in the FY 2025 -2026 Capital Improvement Budget for the Corporation Yard Electrification project . A budget adjustment of $853,397 to include the above updates to funding and increase appropriations to the construction e xpenses is required.
Monthly A nnual
G eneral F und 3,189 38,262
T ransit 8,077 96,922
E nterprise 3,026 36,316
14,292 171,500
*Includes Diesel, G as and kW h
E xpected F uel Cost Increases for L oan
Repayment
PUBLIC CONTACT/ADVISORY BODY RECOMMENDATION
A notice inviting bids for this Project was advertised twice in the Daily Republic newspaper on July 23 and July 30, 2025. In addition, distributed a notice of the Project, o r a complete bid package or both to a total of twelve builder’s exchanges in the State of California covering the area from Redding to San Jose, and Stockton to Santa Rosa. One contractor purchased bid documents for this project.
ALTERNATIVE ACTION
The City Council may choose not to award the contract, reject all bids and restart the bid process, thus resulting in a significant delay in the construction Project schedule. The City has already requested Bockmon & Woody to honor the contract price past the 60 days of the bid opening, which they have agreed to. Not awarding the contract would delay the Project schedule and the City may incur additional costs due to unknown future bid and potential loss of grant funding.
COORDINATED WITH
Solano Transportation Authority
STAFF CONTACT
Phil Layoso, Assistant Engineer
(707) 428-7505
[email protected]
ATTACHMENTS
Attachment 2: Proposed Resolution – Agreement with Bockman & Woody Attachment 3: Proposed Resolution – Loan Agreement with STA Attachment 4: Proposed Resolution – RTIF Agreement with STA Attachment 5: Phase 1A Corporation Yard Fleet Electrification Project CPW 080104 Bid Results Attachment 6: STA Agenda Report December 10, 2025 Board Meeting (RM3 and RTIF)