City of Sacramento
City Council - 5PM Report
915 I Street Sacramento, CA 95814
www.cityofsacramento.org
File ID: 2022-02157 1/10/2023 Consent Item 16.
Budgetary Adjustments for the Sacramento Electric Vehicle (EV) Blueprint Phase II Project (C15210000)
File ID: 2022-02157
Location: Citywide
Recommendation: Adopt a Resolution authorizing the City Manager or the City Manager’s designee to transfer $220,014 (Measure U, Fund 2401) from the expenditure budget of the FY2022/23 Public Works Sustainability Program (I15220300) to the expenditure budget of the Sacramento Electric Vehicle (EV) Blueprint Phase II Project (C15210000).
Contact: Fedolia “Sparky” Harris, Principal Planner, (916) 808-2996, [email protected]; David Edrosolan, City Traffic Engineer, (916) 808-5974, [email protected], Department of Public Works
Presenter: None.
Attachments:
1-Description/Analysis
2-Resolution
Additional Description/Analysis
Issue Detail: In March 2021, the California Energy Commission approved the City’s grant application to implement Electric Vehicle (EV) programs, outreach, and program evaluation. The grant is a partnership with the City of Sacramento, Sacramento Metropolitan Air Quality Management District (SMAQMD), Sacramento Municipal Utilities District (SMUD), UC Davis Institute of Traffic Studies (ITS) and focuses on increasing EV accessibility and zero emission options in disadvantaged communities, including installation of at least 34 EV chargers at community centers and libraries, primarily in disadvantaged neighborhoods, as well as a pilot program for e-bikes for loan at public libraries, EV job training for California Conservation Corps (CCC) members, and analysis of effective methods for EV adoption in disadvantaged neighborhoods.
Additional funding is required to cover ineligible costs under the grant agreement.
File ID: 2022-02157 1/10/2023 Consent Item 16.
Policy Considerations: The City Council approved the EV Strategy on December 12, 2017, by Motion No. 2017-0374. Goals and policies in the EV Strategy are consistent with this grant, calling for the City to increase and accelerate EV use and adoption levels, increase the visibility and awareness of EVs, and achieve equitable access to ZEV technologies.
Economic Impacts: None.
Environmental Considerations: California Environmental Quality Act (CEQA): Under the California Environmental Quality Act (CEQA) guidelines, administrative activities are exempt from review.
Applicable environmental review project tasks will occur prior to any construction activities.
Sustainability: The transportation sector accounted for 57% of community-wide greenhouse gas emissions in 2016, the largest single sector in the community. Electrification of the transportation sector leads to reductions in petroleum use, both reducing greenhouse gas emissions and improving local air quality.
Commission/Committee Action: None.
Rationale for Recommendation: The local funding commitment was to be completed from the Public Works Sustainability Program over a three-year period. This request is the last local fund contribution to complete the commitment made on June 15, 2021 (Resolution 2021-0187).
Financial Considerations: The grant application requested $1,825,418 (Other Capital Funds, Fund 3704) in state grant funds and committed a total of $1,082,957 in funding from several local sources (see below) over an approximate three-year project period. The grant was secured in partnership with the Sacramento Metropolitan Air Quality Management District (SMAQMD), Sacramento Municipal Utilities District (SMUD) charger rebates, and funding for City staff.
Sacramento EV Blueprint Phase II Funding
CEC Grant (Fund 3704) $ 1,825,418
City Measure U (Fund 2401)$ 272,956
SMAQMD* $ 810,000
SMUD Rebates (Fund 3702)*$ 99,000
Total Project Cost $ 3,007,374
*Budget to be added at a future date when agreements are executed The City’s total funding commitment consists of $272,956 (Measure U, Fund 2401) from the Department of Public Works (PW) Sustainability Program to cover City labor expenses over a three- year period. Sustainability Program staff are funded through the PW Sustainability Program, which is funded annually as part of the budget process.
To initiate the grant, $60,000 was transferred from the FY2020/21 Public Works Measure U Program
File ID: 2022-02157 1/10/2023 Consent Item 16.
(I80150900) which has been replaced with the Public Works Sustainability Program (I15220300). An additional $106,000 was transferred from the Public Works Measure U Program (I80150900) as part of the FY2022 midyear budget. Staff originally planned to transfer the remaining $106,956 in FY23 from the Public Works Measure U Program Sustainability allocation but an additional $113,058 is needed to cover additional costs that are ineligible for grant reimbursement. This brings the City’s total match commitment to $386,014.
Although the $220,014 transfer request exceeds the planned transfer of $106,956, sufficient funding is available in the FY2022/23 Public Works Sustainability Program (I15220300) to support the recommended transfer due to savings from staff vacancies.
Local Business Enterprise (LBE): Not applicable.
Background: In 2018, the CEC awarded the City $198,218 for a Phase 1 EV Blueprint planning grant that staff successfully completed in 2019. As a grant recipient for Phase 1, the City was eligible to compete in Phase 2 as one of three Central California applicants for implementation funds. In partnership with SMAQMD and SMUD, City staff submitted a proposal in October 2020 and was notified in January 2021 that CEC staff had recommended the City to receive the full funding request of $1,825,418 in state grant funds. The recommendation was approved at the CEC’s March Business Meeting. Per Resolution 2020- 0314, the City Manager or City Manager’s designee accepted and executed the grant agreement with the CEC (Attachment 3).
The goal of Phase 2 is to implement high-impact EV programs, outreach, and evaluation, including to increase public charging infrastructure at community facing facilities; build relationships and implement highly localized outreach, education, and engagement activities around zero-emissions transportation access; increase equity and address frontline community needs with zero emission technologies; and identify and test technologies, partnership models, programs, and processes that can serve as templates for other entities to approach similar mobility issues.
The grant funds will include the following:
· Installation of at least 34 EV chargers (66 EV connectors) across 13 public libraries and community centers, with at least two thirds of connectors located in disadvantaged communities.
· Procurement of 30 e-bikes for a pilot lending program operated by the Library Expansion of the SMAQMD’s ‘Our Community CarShare’ program in project neighborhoods for a minimum of 18 months.
· The California Conservation Corp (CCC) will engage members consisting of local youth for job training and installation support.
· An equity-based evaluation will yield further metrics to evaluate the project’s impact on equity,
File ID: 2022-02157 1/10/2023 Consent Item 16.
EV adoption, and other community indicators to be developed throughout tasks. UC Davis Institute of Transportation Studies (ITS) will evaluate performance and present findings on the impact of the project strategies on EV adoption and equity.
The grant tasks will also focus on building meaningful relationships with community members and groups to increase education, awareness, and community input. New information will be available regarding the success of E-mobility hub and EV ecosystem elements such as e-bike lending, car share, connection to transit and active transportation, and workforce training.
The City will serve as the lead grant manager, but work in close collaboration with local stakeholders and agencies. Outreach will build on existing work underway, including General Plan outreach and the launch of the Environmental Justice Collaborative Governance Committee. Other key partners include those in the Sacramento Plug-in EV Collaborative, such as SMUD, SMAQMD, the UC Davis ITS, and other agencies and organizations that promote EV adoption and expansion.
On June 15, 2021, City Council adopted a resolution that included the authorization to establish a Capital Improvement Project for the Sacramento Electric Vehicle (EV) Blueprint Phase II Project (C15210000) and transferred local match funding from the the Public Works Sustainability Program (Resolution 2021-0187) over a three year period.
In 2022, staff changes occurred that increased the labor costs for the project and modified the indirect cost calculations.
RESOLUTION NO.
Adopted by the Sacramento City Council
Budgetary Adjustments for the EV Blueprint Phase II Project (C15210000)
BACKGROUND
A. Assembly Bill (AB) 118 (Nùñez, Chapter 750, Statutes of 2007), created the Clean Transportation Program, formerly known as the Alternative and Renewable Fuel and Vehicle Technology Program (ARFVTP). The statute authorizes the California Energy Commission (CEC) to develop and deploy alternative and renewable fuels and advanced transportation technologies to help attain the state’s climate change, clean air, and alternative energy policies. AB 8 (Perea, Chapter 401, Statutes of 2013) re-authorized the Clean Transportation Program through January 1, 2024.
B. On September 22, 2020, the City Council adopted Resolution No. 2020-0314 which authorized staff to apply for the grant and authorized the City Manager or City Manager's designee to accept and execute the grant agreement with the CEC.
C. The City submitted a grant application to the CEC on October 22, 2020, and on March 17, 2021, the CEC selected the City’s grant for award.
D. The grant will provide funding for the City to implement the City’s transformative electric vehicle (EV) mobility goals. A key focus of the grant proposal is increasing access in underserved areas, and to learn the best methods to address transportation needs.
E. The grant requires $1,825,418 in CEC funding and $1,082,957 in local funding from several agencies. Local funding commitments were made by the Sacramento Metropolitan Air Quality Management District (SMAQMD) Sacramento Municipal Utilities District and the City of Sacramento. Agreements with SMAQMD and SMUD are being established through agreement. City staff support will be needed to be funded through FY2023/24.
F. The Sacramento EV Blueprint Phase II Capital Improvement Project (C15210000) was established by Resolution 2021-0187 on June 15, 2021.
G. $60,000 was transferred from (Measure U, Fund 2401) from the expenditure budget of the FY2020/21 Public Works Measure U Program (I80150900) to the expenditure budget of the Sacramento EV Blueprint Phase II Project (C15210000) by Resolution 2021-0187 on June 15, 2021.
H. The expenditure budget for the Sacramento EV Blueprint Phase II Project (C15210000) was increased by $106,000 to cover local match costs from Measure U, Fund 2401 by Resolution 2022-0062 for a total of $166,000.
I. Public Works Measure U Program (I80150900) was replaced with the Public Works Sustainability Program (I15220300)
J. The original estimated budget for the Sacramento EV Blueprint Phase II Project required $272,952 in local funding as CEC match share. Subsequently, staff changes, permitting costs, and ineligible expenses have increased the amount of local funding needed to $386,014.
K. An adequate balance remains in the FY22/23 Public Works Sustainability Program (I15220300) due to savings in staffing costs to cover the requested $220,014 transfer.
BASED ON THE FACTS SET FORTH IN THE BACKGROUND, THE CITY COUNCIL RESOLVES AS FOLLOWS:
Section 1. The City Manager or the City Manager’s designee is authorized to transfer $220,014 (Measure U, Fund 2401) from the expenditure budget of the FY2022/23 Public Works Sustainability Program (I15220300) to the expenditure budget of the Sacramento EV Blueprint Phase II Project (C15210000).