City Council Memorandum
TO: HONORABLE MAYOR AND CITY COUNCIL DATE: AUGUST 19, 2025 FROM: GENERAL SERVICES DEPARTMENT WARDS: ALL SUBJECT: SINGLE SOURCE PURCHASE OF 20 VOLTU3 ELECTRIC TRUCKS FROM VOLTU MOTOR INC., OF RIVERSIDE, CALIFORNIA, IN THE AMOUNT OF $2,392,500 AND UPLIFTING COSTS OF $753,000 FOR A TOTAL PURCHASE OF $3,145,500; PLUS $843,434 TOWARDS THE DESIGN, CONSTRUCTION, AND INSTALLATION OF LEVEL 2 CHARGERS TO SUPPORT THE GREEN FLEET FOR A REVISED PROGRAM TOTAL OF $3,988,934 – SUPPLEMENTAL APPROPRIATION ISSUE:
Approve a Single Source purchase of 20 Voltu3 Electric Trucks from Voltu Motor Inc., of Riverside, California, in the amount of $3,145,500; plus $843,434 towards the design, construction, and installation of Charging Stations to support the green fleet for a revised program total of $3,988,934.
RECOMMENDATIONS:
That the City Council:
Approve a Single Source purchase of 20 Voltu3 Electric Trucks plus estimated uplifting costs from Voltu Motor Inc., of Riverside, California, in the total amount of $3,145,500; Authorize $843,434 for the design, construction, and installation of charging stations to support the green fleet; With at least five affirmative votes, authorize the Chief Financial Officer, or designee, to record a supplemental appropriation of $150,000 from Air Quality Management District fund reserves to the Air Quality Management District Fund Professional Services account; With at least five affirmative votes, authorize the Chief Financial Officer, or designee, to record a supplemental appropriation of $1,544,224 from the Central Garage Fund balance to the Central Garage Fund, General Services Central Garage, Professional Services Account; and Authorize the City Manager, or designee, to execute all documents necessary to effectuate the purchase, including making minor and non-substantive changes.
BOARD RECOMMENDATION:
On June 23, 2025, the Board of Public Utilities:
Approved a Single Source purchase of ten Voltu 3 Electric Trucks from Voltu Motor Inc., of Riverside, California, in the amount of $1,744,250, less replacement funding of $837,852, for a total amount of $906,398; and Authorized the City Manager, or designee, to execute all documents necessary to effectuate this purchase, including making minor and non-substantive changes.
BACKGROUND:
The City of Riverside is committed to sustainability by replacing aging vehicles with electric alternatives. This transition reduces emissions, lowers fuel costs, improves reliability, supports public health, ensures regulatory compliance, and promotes green technology.
City of Riverside Fleet
Since 2020, the General Services Department, Fleet Division (Fleet) has been recognized among the 100 Best Fleets in the Americas (North, Central and South), highlighting the City’s commitment to innovation and sustainability. As part of this effort, the City is prioritizing the replacement of diesel and aging vehicles with clean, electric alternatives that offer multiple benefits including:
Environmental Impact: Electric vehicles produce zero tailpipe emissions, reducing air pollution and greenhouse gases. This supports cleaner air, a healthier environment, and helps the City achieve its greenhouse gas reduction goals.
Cost Savings: Electric vehicles have lower operating costs, with reduced maintenance and fuel expenses. Cheaper electric power, supported by Riverside Public Utilities (RPU), enables long-term savings for the City.
Reliability and Performance: Modern electric vehicles offer superior performance with quicker acceleration, lower noise levels, and reduced maintenance needs, enhancing reliability for field staff working long hours.
Regulatory Compliance: California’s Advanced Clean Fleets (ACF) regulation requires municipalities to phase in zero-emission medium- and heavy-duty vehicles through 2042. Transitioning to electric vehicles ensures the City remains compliant and avoids potential fines.
Public Health: Reducing vehicle emissions improves public health, especially for vulnerable populations in urban areas, by decreasing air pollutants that contribute to respiratory and related illnesses.
Technological and Economic Development Advancements: Investing in electric vehicles supports technological innovation and positions Riverside as a leader in the green economy. As home to CARB, the City aims to attract sustainable companies and become a global hub for clean technology.
Voltu Motor Inc.
Founded in the United States with an international headquarters in Argentina, Voltu Motor Inc. (Voltu) is a technology and innovation company specializing in electric power. On October 22, 2024, Voltu selected the City of Riverside as the site for its U.S. headquarters and manufacturing facility for electric vehicles and lithium cell batteries. The decision was influenced by California's status as the largest electric vehicle market, the Inland Empire's logistical advantages, and Riverside’s supportive green technology ecosystem.
Prior Council Action
On November 19, 2024, the City Council authorized the preorder and purchase of 20 Voltu3 Electrified Dual Motor 4WD Crew Cab Trucks at a cost of $2,392,500, locking in a discounted base price of $119,625 (including taxes) per unit and giving the City priority access to vehicles while providing time for City staff to consider departmental needs including upfitting, customizations and safety modifications and infrastructure (i.e. charging equipment, electrical capacity, etc.). The vehicle purchase was to take place after Voltu secured their Riverside location and U.S. Headquarters, manufacturing facility, and point of sale in Riverside. The Air Quality Management District Fund was identified to contribute $150,000 toward the purchase. The remaining $2,217,500 was to be initially funded by General Fund Infrastructure Reserves, with repayment to be identified based on the departments and funds purchasing the vehicles for City operations.
DISCUSSION:
Single Source Purchase
The Voltu3 Electrified Dual Motor 4WD Crew Cab Truck is the first Class 3 all-electric pickup truck in the U.S. It integrates Voltu’s proprietary electric powertrain components into a Ford F-350 chassis to deliver a 350-mile range, 17,000-pound towing capacity, and 4WD capabilities, addressing challenges that have limited EV adoption in this category.
The Voltu3 is the only Class 3 all-electric vehicle/truck on the market that is not a cabover truck and the only vehicle in its class with a high tow rating and payload capacity compared to other four-door mass-produced electric trucks including the Chevrolet Silverado EV, Edison Future EF1-T, Ford Lightening F150e, GMC Sierra EV, Hummer EV, Ram 1500 REV, Rivian R1T, and the Tesla Cyber Truck. Although those vehicles have similar horsepower, they do not have sufficient torque or tow-rating and are not adequate for municipal fleet use.
City staff are actively working with Voltu to arrange full demonstrations of the truck capabilities along with test drives and the opportunity to inspect the trucks. Final delivery will be contingent upon staff satisfaction with agreed upon deliverables.
Identification of Vehicles Eligible for Replacement
The General Services Department and City Manager’s Office collaborated with staff from multiple departments to identify existing vehicles eligible for replacement that could be upgraded to the Voltu3 electric truck. The list of 20 vehicles recommended for replacement is attached to this report. Upfitting, customizations, and safety modifications (e.g. light packages) were determined by department staff, in the estimated amount of $753,000 as detailed in Attachment 2.
The recommended vehicles meet the City’s fleet replacement criteria to ensure effective and efficient fleet management including, but not limited to, 10 to 15 years of service, mileage exceeding 100,000 miles, poor vehicle condition, or cumulative maintenance and repair costs that exceed the cost of a new vehicle. When considering replacement with a Voltu3, staff considered appropriateness of use and current operational needs. The vehicles recommended for replacement are current as of the date of this report but may change based on operational needs. For example, an accident or major repair may necessitate an alternate replacement option. The aforementioned criteria will be applied to any required changes.
Pre-Authorization of Funding
When City Council provided preapproval authority in November 2024, $2,217,500 in funding was identified as initially coming from the General Fund Infrastructure Reserves plus an annual funding allocation of $150,000 for 5 years from the Air Quality Management District Fund. Per an email from Voltu dated July 30, 2025, they confirmed that the pricing from Quote No. 500030, dated October 31, 2024, will still be honored.
The total contribution from the General Fund Infrastructure Reserves has since been reduced to $642,500. In addition to the purchase of the trucks, the program total includes the preauthorization of $843,434 funding to be used towards the creation of a strategic master plan for charging infrastructure across the city in addition to design, construction and installation of charging stations. Staff is preparing a Request for Bids and will bring an award recommendation back to City Council for approval.
Purchasing Resolution No. 24101 Section 602(d) states, “Competitive Procurement through the Informal Procurement and Formal Procurement process shall not be required in any of the following circumstances: …(d) When the Procurement can only be obtained timely from a Single Source and the Manager is satisfied that the best price, terms and conditions for the Procurement thereof have been negotiated.” There are no other class 3 vehicles available with the same capabilities.
The Purchasing Manager concurs that the recommended actions are in compliance with Purchasing Resolution No. 24101, Sections 602(d).
The Public Utilities General Manager concurs with this report.
The Public Works Director concurs with this report.
FISCAL IMPACT:
The total fiscal impact of this action is $3,988,934. If approved by City Council, a total supplemental appropriation of $1,544,224 will be made to the Central Garage Account 2215200-462100. The table below provides a full accounting of available funding sources.
The $750,000 contribution from the Air Quality Management District Fund represents contributions of $150,000 annually over five years, beginning in FY 2024/25. Council approved the FY 2024/25 appropriation of $150,000 on November 19, 2024. With Council approval, a supplemental appropriation of $150,000 will be recorded for FY 2025/26. The remaining $300,000 will be pre-funded by the General Fund Infrastructure Reserves, with repayment from the Air Quality Management District Fund occurring annually. Future appropriations for the annual repayment will be included in the budget submissions for those periods.
Fund
Program
Account
Amount
650, Central Garage
Motor Pool, Automotive Equipment
2215200-462100*
$1,544,224
510, Electric
Electric Operations, Automotive Equipment
6100000-462100
$55,968
510, Electric
Public Utilities, Electric Field Operations, Automotive Equipment 6105000-462100
$224,199
510, Electric
Clearwater Generating Plant, Automotive Equipment
6120140-462100
$3,718
520, Water
Water Production and Operations, Automotive Equipment
6200000-462100
$298,155
520, Water
Public Utilities, Water Field Operations, Automotive Equipment 6205000-462100
$324,358
550, Sewer
Public Works, Sewer Systems, Plant Maintenance
4125400-462050
$145,812
240, AQMD
Air Quality Management District Fund, Professional Services 4140100-421000**
$750,000
101, General Fund
General Services, Professional Services
2200000-421000
$642,500
TOTAL
$3,988,934
*Requires City Council approval of a supplemental appropriation from Fund 650, includes replacement funds and portion of General Services vehicles. **Pre-funding of $300,000 from the General Fund Infrastructure Reserves, with annual repayment of $150,000 through FY 2028/29.
Prepared by: Jessica Gordon, Deputy General Services Director Approved by: Lee Withers, General Services Director
Certified as to
availability of funds: Kristie Thomas, Finance Director/Assistant Chief Financial Officer Approved by: Edward Enriquez, Assistant City Manager/Chief Financial Officer/ City Treasurer
Approved as to form: Rebecca McKee-Reimbold, Interim City Attorney Attachments:
Quote
Recommended Vehicles for Replacement
Presentation
Single Source Form
Voltu3 Electric Trucks Page 2