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HomeMy WebLinkAboutItem 09 - Grant Application Electric Vehicle Chargers Department Name: Administration Cost Center: 1005 For Agenda of: January 14, 2020 Placement: Consent Estimated Time: N/A FROM: Greg Hermann, Deputy City Manager Prepared By: Chris Read, Sustainability Manger SUBJECT: AUTHORIZE AIR POLLUTION CONTROL DISTRICT GRANT APPLICATION TO SUPPORT ELECTRIC VEHICLE CHARGERS AT CITY HALL RECOMMENDATION 1. Authorize the City Manager, or his designee, to execute and file grant applications with the Air Pollution Control District (APCD) for electric vehicle charging and to execute any related grant applications, certifications, assurances, forms, agreements, and associated documents on behalf of the City; and 2. Authorize the City Manager to approve a Budget Amendment Request to increase the budget reflecting these grant funds, if awarded. DISCUSSION Background In June of 2019, the City Council adopted the 2019-2021 Financial Plan, which included Climate Action as a Major City Goal. Work Task #27 of the Climate Action Major City Goal is to install electric vehicle chargers at City Hall. Staff has been aware of an APCD grant that would be available in late 2020 to supplement City funding to cover 65 percent of project costs. Staff recently learned of availability of carryover funding from a previous grant cycle and the City has been invited to submit an application to the APCD now. The 2019-21 Financial Plan includes $50,000 for the project. Due to unforeseen onsite electrical limitations at City Hall identified by Public Works Engineering staff, the standard approach to an electric vehicle charger that is connected to the electrical grid is likely not feasible without substantial additional electrical upgrades and costs. Staff is considering a stand-alone (grid independent) solar and battery powered electric vehicle charger as an alternative. An initial quote for the stand-alone electric vehicle charger is $82,000. The recommended action in this Council Agenda Report is to submit the grant application for $53,300, which would offset 65 percent of the project costs and leave additional budget funds available for contingencies. Should the grant application not be successful, staff would work to identify lower-cost alternatives. Previous Council Direction City Council approved the electric vehicle charger project when it approved the 2019-21 Financial Plan in June of 2019. Packet Page 91 Item #9 Policy Context The electric vehicle charger grant application implements the 2019-21 Climate Action Major City Goal. Public Engagement The City’s adopted 2019-21 Major City Goal for Climate Action reflects the substantial public engagement process that was undertaken as part of the 2019-21 Financial Plan including online surveys, public meetings, and the Goal Setting workshop. CONCURRENCE Public Works staff concurs with submitting the electric vehicle charger grant application in support of the City’s Climate Action Major City Goal. ENVIRONMENTAL REVIEW The California Environmental Quality Act (CEQA) does not apply to the recommended action in this report, because the action of submitting grant applications and proposals does not constitute a “Project” under CEQA Guidelines Sec. 15378. If successful, any City projects using grant funding would undergo all applicable reviews under CEQA and would be conducted in a manner consistent with adopted City plans. FISCAL IMPACT Budgeted: Yes* Budget Year: 2019-20 and 2020-21 Funding Identified: Yes *Budget was identified in the FY 2019-21 Financial Plan; however, it now appears that this funding may be insufficient to complete the project as currently scoped. Fiscal Analysis: Funding Sources 2019-21 FY Cost Annualized On-going Cost Total Project Cost General Fund (19-20) $5,000 $5,000 General Fund (20-21) $23,700 $21,300 $45,000 Federal $0 $0 $0 Fees $0 $0 $0 Other: APCD Grant $53,300 $0 $53,300 Total $82,000 $21,300 $103,300 The 2019-21 Financial Plan includes $5,000 in FY 19-20 and $45,000 in FY 20-21 for the installation of electric vehicle chargers at City Hall. An initial cost estimate for capital costs of the project is $82,000 (subject to change pending the procurement process). Assuming the City would be awarded the full 65 percent cost offset from APCD, this would lead to a $53,300 grant Packet Page 92 Item #9 award, $28,700 in General Fund funding for the charger, and $21,300 of City appropriated funding for contingencies. If the APCD grant is not successful, staff will need to identify another grant or alternative funding mechanism as the existing budget does not appear sufficient to implement the project as currently scoped ALTERNATIVES 1. The City Council could request additional information or analysis from staff. 2. The City Council could deny the request to submit a grant application. Packet Page 93 Item #9 Page intentionally left blank. Packet Page 94 Item #9