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Rules & Legislation Committee
January 19, 2023

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January 19, 2023
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Rules & Legislation Committee
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APPROVED AS TO FORM AND LEGALITY
CITY ATTORNEY’S OFFICE

OAKLAND CITY COUNCIL
RESOLUTION NO. _______________ C.M.S.

INTRODUCED BY VICE MAYO

R REBECCA KAPLAN
RESOLUTION:
1) SUPPORTING THE ALLIANC E FOR RENEWABLE CLEAN

HYDROGEN ENERGY SYSTEMS (ARCHES) AND ITS MISSION TO
ACCELERATE HYDROGEN’S CONTRIBUTION TO
DECARBONIZING THE ECONOMY IN CALIFORNIA;
2) HIGHLIGHTING OAKLAND’S LEADERSHIP IN HYDROGEN

ADOPTION AND REQUESTING THAT OAKLAND BE CONSIDERED

AS A LOCATION FOR A POTENTIAL STATEWIDE CLEAN
HYDROGEN HUB TO ACCE LERATE HYDROGEN’S
CONTRIBUTION TO DECARBONIZING THE ECONOMY;
3) DECLARING THE CITY’S INTENT TO ENTER INTO A

MEMORANDUM OF COMMITMENT (MOC) (ATTACHED HERETO
AS EXHIBIT A) TO JOIN ARCHES; AND
4) AUTHORIZING THE CITY ADMINIS TRATOR TO EXECUTE THE

MOC AND TO NEGOTIATE AND EXECUTE A MORE FORMAL
AGREEMENT WITH ARCHES H2 LLC ON THE CITY’S BEHALF
WHEREAS, on October 6, 2022, the Governor’s Of fice of Business and Economic Development (GO-Biz) announced the formation of the Alliance for Renewable Clean Hydrogen Energy Systems (ARCHES), a shared not-for-prof it LLC public-private pa rtnership designed to accelerate hydrogen’s contribution to decarbonizing the economy in California; and WHEREAS, ARCHES H2 LLC is the legal name of ARCHES; and WHEREAS, through collaboration with govern ment, industry, non-governmental organizations, research institutions, and communiti es, ARCHES aims to establish a federally co-

2 funded renewable hydrogen hub in California, a nd create an economica lly sustainable and expanding, renewable hydrogen market; and

WHEREAS, ARCHES will submit California’s st ate-wide application for federal hydrogen hub funding from the U.S. Department of Energy (DOE) through the Bipartisan Infrastructure Bill (BIL), which made available $8 billion for six to ten hubs nationally; and

WHEREAS, California is poised for a hydrogen hub, as the State invested a historic $53.9 billion in climate solutions in the 2022 budget, and specifically $100 million to scale up hydrogen projects that produce, process, deliver, stor e and use hydrogen from renewable energy sources; and
WHEREAS, Oakland wishes to be considered as a potential location for the statewide hydrogen hub to accelerate hydrogen’s contribution to decarbonizing the economy; and

WHEREAS, just as California has led the natio n in promoting hydrogen technologies, Oakland has led the State in hydr ogen adoption, formi ng strong public-private partnerships to leverage state and local fundi ng for hydrogen delivery, storage, and end-uses, developing and implementing policies that scale up early-marke ts in hydrogen, and ce ntering the voices from communities directly impacted by the harmful effects of mobile source emissions; and

WHEREAS, in 2021, the Center for Transportation a nd the Environment, in partnership with the City of Oakland and 15 other public and private organizations secured $54 million to build and deploy 30 fuel cell electric trucks and a supporting hydrogen fueling station at the East Bay Municipal Utility treatment plant, adjacent to the Port of Oakland; and

WHEREAS, the NorCal ZERO project is the largest commercial deployment of Class 8 Fuel Cell Electric Trucks in North America, hi ghlighting Oakland’s leading efforts to embrace hydrogen technology; and

WHEREAS, in alignment with the hydrogen hub’s focus on efforts to improve public health for communities with the largest pollution burden, the Norcal ZERO project will eliminate 100% of greenhouse gas emissions (GHG) and cr iteria pollutants associated with vehicle operations in West Oakland communities that are directly affected by heavy-duty trucks moving to and from the Port; and

WHEREAS, in addition, for more than 20 years, Alameda-Contra Costa Transit District (AC Transit) has been a leader in the adoption and advancemen t of zero-emissi on technology, mandating its entire bus fleet’s transition to zero-emission by 2040; and

WHEREAS, AC transit has expanded their hydrogen fueling capacity to serve up to 78 buses between its Oakland and Emeryville divi sions, and has also secured funding to expand hydrogen fueling capacity to 130 buses at the Oakland division alone; and

WHEREAS, as one of California’s earliest adopters of ze ro emission technology, AC Transit has propelled ahead of other agencies across the state, reducing greenhouse gasses, logging 3 more than 5 million zero emis sion miles, and elimin ating nearly 13,000 metric tons of carbon dioxide; and
WHEREAS, Oakland clearly exemplifies the prio rities guiding ARCHES, leading the State in hydrogen adoption, coll aborating across sectors and industries for hydrogen delivery, storage, and end-uses, developi ng and implementing policies that scale up early-markets, and centering the voices from communities directly impacted by the harmful effects of mobile source emissions; and
WHEREAS, the City of Oakland wishes to enter into a Memorandum of Commitment (MOC) (attached hereto as Exhibit A) to join the ARCHES network to create a sustainable statewide clean hydrogen hub, utilizing local renewable resources to produce hydrogen with the objective of fully decarbonizing the regional econom y, while prioritizing e nvironmental justice, equity, economic leadership and workforce development; and WHEREAS, ARCHES asks its network participants to enter into a more formal agreement in addition to the MOC that includes protections for proprietary information; and WHEREAS, the City is amenable to entering into a more formal agreement subject to the City’s obligations under the California Public Records Act a nd the City’s Sunshine Ordinance; and
WHEREAS, as a term of the MOC and in the more formal agreement, ARCHES asks its network participants to refrain from working on any other California Hydrogen Hub proposal or with any other entity developing an alternative Hydrogen Hub proposal in the State of California, including preparing alternative concept papers, websites, or other Hydrogen Hub proposal-related materials; and
WHEREAS, ARCHES asks its network participants to commit to a term of two years and the MOC is for a term of two years; and
WHEREAS, entering into a MOC with ARCHES greatly enhances Oakland’s opportunity to receive federal funding from the Bipartis an Infrastructure Law which will generate local jobs, as well as investments in local hydrogen projects that produce, de liver, process, store, and use hydrogen; and
WHEREAS, to be eligible for Bipartisan Infrastructure Law: Additional Clean Hydrogen Programs: Regional Clean Hydrogen Hubs Funding, th e City must first become a partner in the ARCHES network, which provides the City the opportunity to be a collaborator and potential hub should ARCHES secure the funding; now, therefore, be it RESOLVED: That the Oakland City Council extends its support to ARCHES and its mission to accelerate hydrogen’s contribution to decarbonizing the economy in California; and be it
4 FURTHER RESOLVED: That the City of Oakland welc omes the opportunity to be a location for California’s hydrogen hub and hereby reque sts to serve as a statewide location; and be it
FURTHER RESOLVED: That the City Council authoriz es the City Administrator to enter into a Memorandum of Commitment (MOC) (A ttached hereto as Exhibit A) and a more formal agreement to join the ARCHES network to create a sust ainable statewide clean hydrogen hub, utilizing local renewable resources to produce hydrogen with the objective of fully decarbonizing the regional economy, while priori tizing environmental just ice, equity, economic leadership and workforce development; and be it
FURTHER RESOLVED: That the City Council hereby authorizes the City Administrator to execute the MOC, to negotiate and execute a more formal agreement to join the ARCHES network with ARCHES H2 LLC, and to submit all documents and take all actions on behalf of the City consistent with the authorization set forth in this Resolution so that the City may join the ARCHES network; and be it
FURTHER RESOLVED: That prior to execution, the ag reements authorized by this Resolution shall be reviewed and approved as to form and legality by the City Attorney and executed copies shall be filed with the City Clerk.

IN COUNCIL, OAKLAND, CALIFORNIA,
PASSED BY THE FOLLOWING VOTE:

AYES – FIF

E, GALLO, KALB, KAPLAN, REID, TAYLOR, THAO,

PRESIDENT FORTUNATO BAS
NOES –
ABSENT –
ABSTENTION –
ATTEST:

ASHA REED
City Clerk and Clerk of the Council of the
City of Oakland, California
3228764 v1 / SW

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