REPORT TO COUNCIL
SUBJECT
Title
Action on the Agreement with National Car Charging LLC for EV Charging Installations and Approve Related Budget Amendment [Council Pillars: Deliver and Enhance High Quality Efficient Services and Infrastructure and Sustainability]
Report
BACKGROUND
Over the last several years, the City of Santa Clara and State of California have developed significant goals related to expanding the availability of Electric Vehicle (EV) chargers to encourage the electrification of the transportation sector to help the City meet greenhouse gas emission reduction targets of 55% below the 2008 baseline levels by 2035. For the Silicon Valley Power (SVP) service area, the California Energy Commission (CEC) EV model shows a projected increase from 2,200 in 2018 to more than 24,000 EV by 2030.
With the projected rise of EV adoption and the incoming development of multi-unit housing in the City, the City is looking to plan and act accordingly to make the most out of the opportunity with state and local funding availability. In alignment with SVP’s 2018 Strategic Plan and the 2018 Integrated Resource Plan, an EV Ready Community blueprint was developed by SVP to ensure the City is positioning itself to best serve its community’s needs and to support sustainability.
On June 25, 2019, the City Council approved the EV Ready Communities Blueprint for submittal to the California Energy Commission. The blueprint was a significant effort that included contributions from residents, businesses, Community Development Department, Public Works Traffic and Fleet Management Divisions, electric vehicle service providers, financial institutions, and incorporated data from the Santa Clara Valley Transportation Agency and Bay Area Air Quality Management District. The EV blueprint identified EV adoption scenarios, established priorities and created action plans to set Santa Clara’s EV future in motion.
Among the priorities identified in the City’s EV Ready Community Blueprint is City fleet electrification, City funded/owned charging, new curbside charging standards which requires extensive infrastructure buildout and logistical planning. On July 2, 2019, the City adopted City Managers Directive 135 “Green Fleet Policy” to optimize the fleet, and to make every effort to purchase and use the lowest emission vehicles such as alternative-fuel, electric vehicles and plug-in electric vehicles. Per policy the electric vehicles were to be procured only when fueling infrastructure was in place at City operated or local commercial fueling stations to support the operation of these vehicles. Currently, SVP has approximately 70 City-installed public charging ports in Santa Clara. SVP is moving forward with these initiatives to rehabilitate its existing EV infrastructure and increase placement of new EV chargers in key public places such as parks, libraries, and community centers. These initiatives enable SVP to keep up with City of Santa Clara’s demand for public access to charging throughout the City and facilitate the City Fleet electrification to be consistent with the City’s Green Fleet Policy.
DISCUSSION
On October 18, 2019, staff issued a Request for Proposal (RFP) to solicit proposals from qualified firms to expand the City’s electric vehicle charging infrastructure to accommodate the growth of plug-in electric vehicle usage by the public, fleet and workplace charging to support the City’s plan to transition its fleet to electric vehicles. The RFP was published on BidSync, the City’s e-procurement system. A total of 33 companies viewed the RFP, and seven proposals were received by the following firms:
- Greenlots (Oakland, CA)
- EVCharge4U (Berkeley, CA)
- EV Charging Solutions (Los Angeles, CA)
- National Car Charging LLC (Denver, CO)
- EVGateway (Irvine, CA)
- Amply (Mt. View, CA)
- PowerFlex Systems (Los Altos, CA)
-
Evaluation Process: Proposals were evaluated and scored independently by a three-member evaluation team against the criteria and weights published in the RFP.
Evaluation scores for each Proposer’s solution are summarized in Attachment 1.
Award Recommendation: Staff recommends award of the contract to National Car Charging, LLC (NCC) as the most advantageous and best value proposal per the evaluation criteria set forth in the RFP. Their proposal met or exceeded all the RFP specifications, and their solution was rated superior in the following key areas:
• Number of EV charger installations
• Proposed deployment plan and EV charging solutions
• Net benefit to the City of Santa Clara
Notice of Intended Award: A Notice of Intended Award (NOIA) announcing the City’s recommended vendor was issued on December 13, 2019.
Term of Agreement: The term of the proposed agreement will be five (5) years to provide installation of public, fleet and workplace EV charging stations.
Summary of Agreement: The proposed agreement with NCC will include the installation of public, fleet and workplace chargers at City facilities and in the public right-of-way for curbside charging. The Agreement will incorporate the use of ChargePoint EV chargers, which require the execution of 1) ChargePoint Master Services and Subscription Agreement outlining the provisioning and activation of EV charging stations and billing terms of EV charging services, and 2) ChargePoint Assure Terms and Condition of Services that covers the maintenance of EV Chargers.
Cost Summary: The proposed agreement will include a detailed scope of services, a general project plan, and compensation schedule to complete this project. Staff is requesting that the Council approve a five-year agreement with NCC for a total not to exceed amount of $2,000,000 which will allow for further EV charger expansion subject to future capital improvement project appropriations.
SVP anticipates revenues from electric vehicle charging will expand over time as EV adoption increases, covering power expenses, EV charger maintenance and networking charges. In addition, the new EV fleet chargers will allow the Fleet Manager to quantify savings on reduced gas purchases and other reduced maintenance costs to help guide decisions to further City fleet electrification.
The Agreement with National Car Charging will allow for standardization and centralization of all City owned EV chargers used for public, fleet and workplace charging throughout the City. SVP will continue to coordinate this with public-private partnerships on privately funded EV chargers at City facilities. The following table highlights the 77 EV chargers that are planned to be installed in calendar year 2020 (Attachment 2 shows a location map with the existing and planned EV chargers).
PLANNED INSTALLATION OF ELECTRIC VEHICLE CHARGING STATIONS IN 2020
|
Location |
Type |
Number of Charging Ports |
|
Santa Clara City Hall |
Public |
6 |
|
Triton Museum of Art |
Public |
6 |
|
Santa Clara Community Recreation Center |
Public |
6 |
|
Mission Branch Library |
Public |
4 |
|
Santa Clara Senior Center |
Public |
6 |
|
Larry J Marsalli Park and Dog Park |
Public |
4 |
|
Santa Clara Utilities Center |
Public |
2 |
|
Henry Schmidt Park |
Public |
6 |
|
Machado Park |
Public |
6 |
|
Santa Clara City Hall |
Fleet |
7 (replacement) |
|
Santa Clara Police Department |
Fleet |
6 |
|
Santa Clara Corporation Yard |
Fleet |
6 |
|
Santa Clara Park Services Center |
Fleet |
6 |
|
Santa Clara Utilities Center |
Fleet |
6 |
|
TOTAL |
77 |
New Fleet Vehicles
To coincide with the deployment of the electric vehicle fleet charging stations in the City, the City Fleet will begin transitioning older higher emission light duty vehicles to Electric Vehicles. Four vehicles have been targeted for replacement this year at City Hall, two will be specifically designated as pool vehicles and will be available for use by all City Departments. Staff is planning to have special branding on the City EVs to publicize the City’s commitment to sustainability. SVP and the Fleet Manager will be working with the Center of Sustainable Energy to deploy a long term Fleet strategy to align with the Green Fleet Policy.
ENVIRONMENTAL REVIEW
The action being considered is categorically exempt from the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines section 15301(a) as the activity consists of the operation, repair, maintenance, or minor alteration of existing public structures or facilities, involving negligible or no expansion of existing or former use, including interior or exterior alterations involving electrical conveyances
FISCAL IMPACT
The projected cost for EV charger installation in the next two years is $1,500,000, with $100,000 in design and $1,400,000 in construction related costs. Funds are currently available in the Electric Operating Grant Trust Fund and staff is proposing total appropriations of $1,500,000 to be allocated to the Electric Vehicle Charging project, $250,000 of which is to be allocated from Greenhouse Gas mandated program costs and $1,250,000 from Low Carbon Fuel reserve.
Starting in FY 2020/21, annual charger maintenance costs of $30,000, increasing to $150,000 by FY 2024/25, will be included in the operating budget and financial plan. As EV adoption increases, SVP anticipates revenues from electric vehicle charging will be available to partially or fully offset power expenses, EV charger maintenance and networking charges. This revenue will be programmed based on actual experience, starting in FY 2021/22.
Budget Amendment
FY 2019/20
|
|
Current |
Increase/ (Decrease) |
Revised |
|
Electric Operating Grant Trust Fund |
|
|
|
|
Expenditures |
|
|
|
|
Greenhouse Gas Mandated Program Costs |
$766,549 |
($250,000) |
$516,549 |
|
Transfers to Electric Capital Fund |
$0 |
$1,500,000 |
$1,500,000 |
|
Low Carbon Fuel Reserve |
$2,038,141 |
($1,250,000) |
$788,141 |
|
Electric Capital Fund |
|
|
|
|
Revenues |
|
|
|
|
Transfers From Electric Operating Grant Trust Fund |
$0 |
$1,500,000 |
$1,500,000 |
|
Expenditures |
|
|
|
|
New Electric Vehicle Infrastructure project |
$0 |
$1,500,000 |
$1,500,000 |
COORDINATION
This report has been coordinated with the Finance Department and City Attorney’s office.
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City’s official-notice bulletin board outside City Hall Council Chambers. A complete agenda packet is available on the City’s website and in the City Clerk’s Office at least 72 hours prior to a Regular Meeting and 24 hours prior to a Special Meeting. A hard copy of any agenda report may be requested by contacting the City Clerk’s Office at (408) 615-2220, email clerk@santaclaraca.gov <mailto:clerk@santaclaraca.gov>.
RECOMMENDATION
Recommendation
1. Approve the addition of the new Capital Improvement Program (CIP) Project - Electric Vehicle Charging Project - to the FY 2019/20 CIP Budget;
2. Approve the related budget amendment in the Electric Operating Grant Trust Fund to reduce the Greenhouse Gas Mandated Program Costs by $250,000, reduce the Low Carbon Fuel Reserve by $1,250,000 and transfer $1,500,000 to the Electric Capital Fund; in the Electric Capital Fund, recognize a transfer from the Electric Operating Grant Trust Fund in the amount of $1,500,000 and establish an Electric Vehicle Charging Project in the amount of $1,500,000;
3. Authorize the City Manager, or their designee, to execute the Agreement for Services with National Car Charging LLC for EV Charging Installations for a five-year term in an amount not to exceed $2,000,000, subject to the appropriation of funds;
4. Authorize the City Manager or their designee, to execute the ChargePoint Master Services and Subscription Agreement and the ChargePoint Assure Terms and Conditions of Service;
5. Authorize the City Manager, or their designee, to set retail EV charging rates, approve time extensions and make minor modifications to the agreements, if necessary; and
6. Authorize the City Manager to execute any and all future associated master service and subscription agreements, and maintenance agreements and amendments for EV charger suppliers.
Staff
Reviewed by: Manuel Pineda, Assistant City Manager/Chief Electric Utility Officer
Approved by: Deanna J. Santana, City Manager
ATTACHMENTS
1. RFP Evaluation Scores
2. Location Map of EV Charging Stations
3. EV Charging Installation Agreement
4. ChargePoint Master Services and Subscription Agreement
5. ChargePoint Assure - Terms and Conditions of Service