File #: 14-650    Name: Nissan Leaf
Type: General Agenda Item Status: Passed
File created: 6/9/2014 In control: Board of Supervisors
On agenda: 6/17/2014 Final action: 6/17/2014
Title: a. Ratify the County's acceptance of the Monterey Bay Unified Air Pollution Control District's Offer of up to $25,000 for the purchase of a Nissan Leaf Electric Vehicle, Model S with QC for the Resource Management Agency (RMA); b. Authorize the Resource Management Agency to pay the balance of $6,414.18 remaining towards the purchase for RMA of a Nissan Leaf Electric Vehicle, Model S with QC from Auto Center Imported Cars Incorporated dba My Nissan in Salinas out of the Vehicle Replacement Fund 001-3000-8190-RMA008; and c. Authorize the Resource Management Agency to pay the balance of $6,414.18 remaining towards the purchase for the Agricultural Commissioner of a Nissan Leaf Electric Vehicle, Model S with QC from Auto Center Imported Cars Incorporated dba My Nissan in Salinas out of Vehicle Replacement Fund 001-3000-8190-RMA008.
Attachments: 1. Attachment 1 - MBUAPCD Offer Letter, 2. Attachment 2 - RMA Acceptance Letter, 3. Completed Board Order
Title
a. Ratify the County's acceptance of the Monterey Bay Unified Air Pollution Control District's Offer of up to $25,000 for the purchase of a Nissan Leaf Electric Vehicle, Model S with QC for the Resource Management Agency (RMA);  
b. Authorize the Resource Management Agency to pay the balance of $6,414.18 remaining towards the purchase for RMA of a Nissan Leaf Electric Vehicle, Model S with QC from Auto Center Imported Cars Incorporated dba My Nissan in Salinas out of the Vehicle Replacement Fund 001-3000-8190-RMA008; and
c. Authorize the Resource Management Agency to pay the balance of $6,414.18 remaining towards the purchase for the Agricultural Commissioner of a Nissan Leaf Electric Vehicle, Model S with QC from Auto Center Imported Cars Incorporated dba My Nissan in Salinas out of Vehicle Replacement Fund 001-3000-8190-RMA008.
 
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors:
a.   Ratify the County's acceptance of the Monterey Bay Unified Air Pollution Control District's Offer of up to $25,000 for the purchase of a Nissan Leaf Electric Vehicle, Model S with QC for the Resource Management Agency (RMA);  
b.   Authorize the Resource Management Agency to pay the balance of $6,414.18 remaining towards the purchase for RMA of a Nissan Leaf Electric Vehicle, Model S with QC from Auto Center Imported Cars Incorporated dba My Nissan in Salinas out of the Vehicle Replacement Fund 001-3000-8190-RMA008; and
c.   Authorize the Resource Management Agency to pay the balance of $6,414.18 remaining towards the purchase for the Agricultural Commissioner of a Nissan Leaf Electric Vehicle, Model S with QC from Auto Center Imported Cars Incorporated dba My Nissan in Salinas out of Vehicle Replacement Fund 001-3000-8190-RMA008.
 
SUMMARY:
The Monterey Bay Unified Air Pollution Control District (MBUAPCD) has offered grants to both the County Agricultural Commissioner's Office and the Resource Management Agency for the purchase of a Nissan Leaf Electric Vehicle, Model S with QC.  Each offer is for up to $25,000, which leaves a balance of $6,414.18 per vehicle to be funded by the County.  Of the $6,414.18 paid for each vehicle, the County will be eligible to receive a Clean Vehicle Rebate from the State in the amount of $2,500 towards each vehicle.  
 
DISCUSSION:
In June 2013, the County Agricultural Commissioner's Office, in conjunction with the Resource Management Agency (RMA) submitted a grant proposal (application) to the Monterey Bay Unified Air Pollution Control District (MBUAPCD) to acquire six (6) electric vehicles through the AB2766 Motor Vehicle Emission Reduction Grant Program.  However, due to the limited amount of funding and competitive natures of the AB2766 Grant Program, the County's application was not awarded in 2013.
 
In light of Executive Order B-16-2012 issued by Governor Jerry Brown which established a target of 1.5 million Electric Vehicles (EV) in the State of California by 2025, MBUAPCD implemented an EV Strategic Initiative.  The object of this initiative is to place a limited number of EVs among public agencies within Santa Cruz, San Benito and Monterey Counties.
 
According to the MBUAPCD's Letter Offer dated May 12, 2014 (Attachment 1), the RMA has the opportunity to receive up to $25,000 for the purchase of one (1) Nissan Leaf, Model S with QC from an authorized Nissan Leaf dealer to use in the County RMA Fleet.  Per the MBUAPCD's Letter Offer dated May 12, 2014, "All that would be required is the removal from the fleet of one gas or diesel powered vehicle (to be) replaced by the EV and to adequately brand the Nissan Leaf as a zero emission vehicle funded by the Air District." The Count must also pay the $6,414.18 outstanding balance remaining for the purchase of the Nissan Leaf.  
 
This offer is a direct result of the June 2013 grant application effort to enhance the County's fleet with electric vehicles and charging stations in order to reduce air emissions.  This is a new opportunity for the County and a new award program for MBUAPCD.  
 
On May 20, 2014, the Board of Supervisors authorized to execute an Acceptance Letter to accept the MBAPCD offer of up to $25,000 for the purchase of the Nissan Leaf for the Agricultural Commissioner's Office; however at that time, it was not known that there would be a $6,414.18 balance, additional to the $25,000, that would need to be paid to cover the full cost of the vehicle.  
 
The RMA through its Fleet Manager also accepted the MBUAPCD offer of up to $25,000 for the purchase of a Nissan Leaf (Attachment 2).  This action was taken to meet the offer deadline and was consistent with the Board's authorization of the Agricultural Commissioner to accept the offer; however, because the Board of Supervisor's did not specifically authorize RMA to accept this separate offer, RMA is requesting the Board of Supervisor's to ratify this action.
 
The two newly acquired Nissan Leaf vehicles will be placed in the County's Vehicle Replacement Program (VRP).  The VRP will be reimbursed the $12,828.36 ($6,414.18 x 2) by the Agricultural Commissioner's Office and RMA.  RMA's Nissan Leaf will be assigned to RMA's Courier operations.
 
OTHER AGENCY INVOLVEMENT:
The Agricultural Commissioner's Office, Resource Management Agency, Monterey Bay Unified Air Pollution Control District, County Administrative Office, and County Counsel have worked in a collaborative manner to receive these vehicles.
 
FINANCING:
There is no impact to the General Fund as a result of this action.  There are sufficient appropriations in the FY 2013-14 Vehicle Replacement Program to pay for the remaining balance for both Nissan Leaf vehicles of $12,828.36.  The VRP will be reimbursed by the Agricultural Commissioner and RMA through its normal billing process.  
 
 
Prepared by: Shawne Ellerbee, RMA - Finance Manager (x4794)
Approved by: Benny J. Young, Resource Management Agency Director
 
Attachments:
1.      MBUAPCD May 12, 2014 Letter Offer to the RMA
2.      RMA Acceptance Letter