HomeMy WebLinkAbout09. Amend an existing Professional Engineering Services agreement with Optony, Inc. in an amount not to exceed $250,000, increasing he total cost ceiling to $447,000 for Fleet Electrification Support Services through December 31, 2026Item 9.
BOARD OF DI RECTORS
POSIT ION PA PER
M E E T ING D AT E:MA R C H 7, 2024
S UB J E C T: A UT HO R I Z E T HE G E NE R A L MA NA G E R TO A ME ND A N E X I S T I NG
P R O F E S S I O NA L E NG I NE E R I NG S E RV I C E S A G R E E ME NT W I T H O P TO NY,
I NC . I N A N A MO UNT NO T TO E X C E E D $250,000, I NC R E A S I NG T HE TO TA L
C O S T C E I L I NG TO $447,000 F O R F L E E T E L E C T R I F I C AT I O N S UP P O RT
S E RV I C E S T HR O UG H D E C E MB E R 31, 2026
S UB M I T T E D B Y:
R I TA C HE NG, R E G UL ATO RY C O MP L I A NC E
S E NI O R E NG I NE E R
I NI T I AT I NG D E PART M E NT:
E NG I NE E R I NG A ND T E C HNI C A L S E RV I C E S-
E R C -R E G UL ATO RY C O MP L I A NC E
RE V IE WE D B Y:L O R I S C HE C T E L , E NV I R O NME NTA L A ND R E G UL ATO RY C O MP L I A NC E
D I V I S I O N MA NA G E R
G R E G NO R B Y, D E P UT Y G E NE R A L MA NA G E R - O P E R AT I O NS
Roger S. Bailey
General Manager
L eah C astella
District Counsel
IS S UE
Authorization from the B oard of D irectors (B oard) is required to execute an amendment to a prof essional
engineering services agreement for amounts greater than $200,000.
B AC K G RO UND
T he Advanced Clean F leets (A C F ) R egulation, approved by the C alif ornia Air Resources Board (C A R B )
in April 2023, aims to accelerate the adoption of medium- and heavy-duty zero-emission vehicles in public
and private f leets across the state. T his regulation requires state and local government agencies, including
special districts, to ensure that 50% of their medium- and heavy-duty vehicle purchases are zero-emission
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vehicles (Z E V s) starting on J anuary 1, 2024, and 100% of medium- and heavy-duty vehicle purchases are
Z E V s beginning on J anuary 1, 2027. I n addition to the A C F R egulation, the purchase of light-duty vehicles
will be impacted by the C A R B Advanced Clean C ars (A C C) I I R egulation that requires vehicle
manufacturers to increase the share of Z E V s sold each year, ultimately reaching 100% Z E Vs by 2035.
R ecognizing the short timelines set by the A C F R egulation, staff retained the services of a fleet
electrif ication consultant, Optony I nc (Optony), through competitive procurement and developed a D istrict-
wide F leet E lectrif ication Strategic P lan. T he F leet E lectrif ication Strategic P lan outlines a multi-year
approach to electrify C entral San's f leet and includes preliminary site designs f or constructing electric
vehicle charging stations (E V C S) in three phases.
F ollowing the completion of Central S an's F leet E lectrif ication Strategic P lan, Capital P rojects plans to
execute the design and construction of the f irst phase of the E V C S installation in 2024 at the Martinez and
C ollection Systems Operations campuses. Capital P rojects will be following a design-build approach to
expedite the installation of the first phase of the E V C S . Design-build is a common project delivery
approach for E V C S installation projects. Optony has experience with design-build projects and can
provide guidance with the procurement of E V C S .
To ensure the continuation of fleet electrif ication support services, staf f is recommending an amendment
to the existing prof essional consulting services agreement with Optony to support the f irst phase of E V C S
design, evaluate and apply for external f unding opportunities, and support compliance assurance activities
related to the A C F Regulation. T he proposed amendment may cover the following support services:
- P rovide procurement support, which may include assistance with Requests f or P roposals (R F P ) for
E V C S design and construction, vendor selection, and contract negotiations.
- Develop 30% E V C E site designs with electrical load calculations and single-line electrical diagrams
to support the R F P.
- P repare applications for the P G&E E lectric Vehicle F leets P rogram to receive upgraded electrical
service to accommodate E V charging inf rastructure and coordinate with P G&E on C entral San's behalf to
obtain charging inf rastructure f unding.
- E valuate potential E V charging inf rastructure f unding sources and support application processes to
obtain external f unding.
- S upport A C F R egulation compliance activities, which may include compliance reporting, working with
C A R B to apply for exemptions f or specialty vehicles, and researching the latest options f or E V
replacements.
C E Q A:
Not applicable
ALT E RNAT I V E S /C O NS I D E RAT IO NS
T he B oard could reject staff's recommendation to authorize the amendment. However, this is not
recommended by staf f as Optony has specialized knowledge and experience on fleet electrif ication that
does not yet exist among C entral San staff. Due to a lack of staf f ing resources, it is in C entral San's best
interest to have Optony provide as-needed support throughout the upcoming R F P for design-build and
evaluation of f unding opportunities. Conducting another f ormal R F P process and selecting a new
consultant to provide f leet electrification support services will impact Central S an's ability to comply with
the A C F Regulation, given its short compliance timeline.
F I NANC IAL I M PAC T S
T his amendment would add $250,000 to the existing agreement, increasing the cost ceiling f rom
$197,000 to $447,000. Work related to capital improvements executed under the amendment will be
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capitalized under the P O B E V C harging Station Project, District P roject 8252.
T he cost breakdown f or the proposed amendment is listed below:
- E V C S R F P and procurement support ($55,000)
- 30% E V C S site designs to support the R F P ($55,000)
- Coordinate with P G&E on the E V F leets Program applications ($15,000)
- I dentif y external funding opportunities and prepare applications ($50,000)
- Compliance assurance support f or the A C F R egulation ($25,000)
- A ny additional services related to fleet electrif ication ($50,000)
C O M M I T T E E RE C O M M E ND AT IO N
T he Real Estate, E nvironmental and Planning C ommittee reviewed this subject at its F ebruary 20, 2024,
meeting and recommended Board approval.
RE C O M M E ND E D B O ARD AC T I O N
Authorize the General Manager to amend an existing professional engineering services agreement with
Optony, I nc., in an amount not to exceed $ 250,000, increasing the agreement cost ceiling f rom $197,000
to $447,000 for fleet electrif ication support services.
Strategic Plan Tie-I n
G O A L TW O: Environmental Stewardship
Strategy 1 - Achieve compliance in all regulations, Strategy 4 - I dentify and advance sustainability initiatives, including
reducing energy usage and emissions
AT TAC HM E NT S :
D escription
1. P resentation
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1
AMEND PROFESSINAL
ENGINEERING SERVICES
AGREEMENT WITH
OPTONY, INC.
Board of Directors Meeting
Rita Cheng, P.E.
Senior Engineer
March 7, 2024
1
Amendment to Support Continuation of
Fleet Electrification Support Services
•Optony, Inc. was selected through competitive procurement to provide
fleet electrification planning services and to develop a District-wide Fleet
Electrification Strategic Plan.
•Capital Projects is planning to execute design and construction of the first
phase of the electric vehicle charging station (EVCS) installation in 2024 at
the Martinez and Collection Systems Operations campuses.
•To ensure the continuation of fleet electrification support services, staff is
recommending an amendment to the existing professional consulting
services agreement with Optony.
•The amendment will allow as-needed assistance for:
•Procurement and technical support during the first phase of EVCS design;
•Evaluation of external funding opportunities; and
•Support compliance assurance activities related to the Advanced Clean
Fleets (ACF) Regulation.
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Financial Impacts
•This amendment would add $250,000 to the
existing agreement, increasing the cost
ceiling from $197,000 to $447,000.
•Work related to capital improvements
executed under the amendment will be
capitalized under the POB E.V. Charging
Station Project, District Project 8252.
3
Position Paper’s Request
•Authorize the General Manager to amend an existingProfessional Engineering Services Agreement with Optony,Inc. in an amount not to exceed $250,000, increasing thetotal cost ceiling to $447,000 for fleet electrification supportservices through December 31, 2026.
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