Agenda Item No: K.7
AGENDA REPORT
DATE: September 15, 2026
TO: Mayor and Council
FROM: David Gassaway, City Manager
SUBJECT: Resolution 202 6-191 PW Low or No Emission Grant Program and Bus and Bus Facilities Competitive Program Grant Application
Authorizing the Submission of Grant Applications to the Federal Transit Administration 5339(c) Low or No Emission Grant Program and the 5339(b) Grants for Bus and Bus Facilities Competitive Grant Program
Funding Source: N/A
Contact: Shaun Vigil, (707) 434-3807
RECOMMENDED ACTION
Adopt resolution.
STATEMENT OF ISSUE
The City of Fairfield is nearing completion of Phase 1 A of the initial construction for the Corporation Yard Transit Electrification Project (Project, CPW080105). This resolution authorizes the city manager or designee to execute and submit a grant application to the Federal Transit Administration (FTA) 5339(c) Low- or No-Emission Grant Program and 5339(b) Grants for Bus and Bus Facilities Program for the procurement of up to five (5) zero -emission medium -duty bus paratransit vehicles.
DISCUSSION
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, incre asing to 100% by 2029. On December 16, 2025, the City Council adopted Resolution No. 2025-257 authorizing a contract with Bockmon & Woody Electrical Company for the Project.
On July 27, 2026, the FTA released a joint Notice of Funding Opportunity (NOFO) f or the availability of up to $589 million in competitive grants for the Fiscal Year (FY) 2026 Low or No Emission Grant Program (Low-No Program) and approximately $21 million in competitive grants for the FY 2026 Bus Program. Under the Low -No Program, funds will be awarded competitively for the purchase or lease of buses that use low- or no-emission propulsion technologies, including equipment or facilities that support such technologies. Funds for the Bus Program will be awarded competitively to projects that replace, rehabilitate, purchase, or lease buses and related equipment or bus -related facilities. FTA will accept applications under both programs and determine which one to fund the project with.
On March 15, 2016, the council adopted FAST’s Alternative Fuels and Fleet Replacement Policy through Resolution No. 2016-61. The Policy outlines the City’s commitment to meeting the CARB Innovative Clean Transit regulation, which requires public transit agencies to transition to a zero- emission fleet by 2040.
In April 2020, the City contracted Willdan Energy Solutions (Willdan) to model FAST’s fleet transition and develop a comprehensive infrastructure and fleet replacement buildout plan. This effort resulted in the Zero-Emission Bus (ZEB) Rollout Plan, which was adopted by the council in July 2023 through Resolution No. 2023-135. The ZEB Rollout Plan establishes a phased approach for transitioning FAST to a zero-emission fleet by 2040.
The city previously received a FY22 Bus and Bus Facilities grant originally intended to procure five battery electric buses. However, due to a policy change by the current administration, the City modified the project during the obligation phase and replaced the electric buses with diesel vehicles. This shift in propulsion technology creates additional challenges for the city in achieving CARB’s zero-emission fleet deadlines.
Transit staff now seek s funding to purchase up to five battery -electric medium-duty buses to replace aging gas -powered cutaway vehicles. These vehicles, manufactured in 2007 and 2011, significantly exceed the FTA’s typical seven-year useful life benchmark.
The City is requesting up to $1,400,000 in federal funding and anticipates provid ing approximately $350,000 in matching funds from local transportation sources
FINANCIAL IMPACT
If awarded this grant, the City anticipates that the FTA could provide up to 80% of the total Project costs to renovate and expand the existing vehicle mainten ance facility. The City would provide the required 20% local match using State and Local Transportation funding. As the Low-No Program and Bus Program are competitive grant programs, funding is subject to FTA review and approval of the application.
All operating and capital expenses associated with FAST are funded through state and federal grant funds. No City General Fund resources are used to support FAST’s operating or capital expenses.
PUBLIC CONTACT/ADVISORY BODY RECOMMENDATION
N/A
ALTERNATIVE ACTION
The council may choose not to approve the submission for these grant applications.
COORDINATED WITH
N/A
STAFF CONTACT
Shaun Vigil, Operations Manager – Transit (707) 434-3807 [email protected]
ATTACHMENTS
Attachment 2: Proposed Resolution