STAFF REPORT ACTION ITEM

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1 Report No: Meeting Date: September 2, 2015 Alameda-Contra Costa Transit District STAFF REPORT TO: FROM: SUBJECT: Operations Committee AC Transit Board of Directors Kathleen Kelly, Interim General Manager Non-Revenue Vehicle Procurement ACTION ITEM RECOMMENDED ACTION(S): Consider authorizing the Interim General Manager to execute documents through the California State Consortium Contract for the procurement of eighteen non-revenue vehicles. EXECUTIVE SUMMARY: The District's current fleet of 134 non-revenue vehicles includes many vehicles that have reached the end of their service life and are due for replacement. The District's fleet of cars, trucks, and vans has very high mileage and the average vehicle age far exceeds the seven year replacement cycle for non-revenue vehicles. Staff considered both standard and alternative powertrain options for this procurement, including gasoline, electric, hybrid electric, and fuel cell powered vehicles, and took into consideration vehicle cost, duty cycle, fleet conformity, current infrastructure, and the impact of procuring higher cost vehicles on fleet age. Based upon this analysis, staff is recommending the purchase of five hybrid electric sedans, five sport utility vehicles (SUV's), two vans, and six trucks powered by gasoline and available through the California State Consortium Contract under the State's fleet vehicle specifications and standards. Purchasing additional lower cost gasoline vehicles accelerates the reduction of the fleet average age and will not require any additional infrastructure development or modification. The delivery of these vehicles will occur within the FY timeframe. The eighteen non-revenue vehicles that will be retired are some of the oldest and highest mileage equipment in the current fleet. The retired vehicles will be included in a staff report recommending disposal of revenue and non-revenue vehicles and equipment. BUDGETARY/FISCALIMPACT: Projected cost of the eighteen non-revenue vehicles procurement is $448,722 using District capital funds approved in the current fiscal year budget. 139

2 Report No Page 2 of 3 BACKGROUND/RATIONALE: The District operates a fleet of non-revenue vehicles to support the entire operation, including on-street supervision, parts delivery, emergency response, facilities maintenance, equipment maintenance, bus stop maintenance, operator relief, mail delivery, meeting attendance, and other various administrative functions. The District established a capital procurement program to govern the acquisition and disposal of non-revenue replacement vehicles. To reduce maintenance costs, the District is moving toward the industry standard of operating non-revenue vehicles for seven years or 100,000 miles. The sedans, sport utility vehicles (SUV's), and trucks that will be replaced with this procurement surpass both the seven year and 100,000 mile replacement schedule for nonrevenue vehicles. Ten of the new vehicles will be assigned to the Road Supervisors, since their current vehicles have the highest mileage for District non-revenue vehicles. Non-revenue fleet vehicle composition ~ guantitll Average Age Average Miles Cars so ,735 SUVs ,332 Trucks ,287 Vans ,916 The California State Consortium Contract is the most cost effective option for the procurement of non-revenue vehicles. District staff researched gasoline and various alternative fueled vehicles available utilizing the California State Vehicle Consortium Contract, including electric, hybrid electric, and fuel cell powered vehicles. In determining the type of vehicle to procure, staff took into consideration the current District infrastructure to support the new vehicles, along with the price of the vehicles and related impact on the non-revenue fleet replacement plan. The state consortium contract has options for purchase of gasoline, electric, and hybrid electric vehicles. Fuel cell vehicles were considered as an option for non-revenue vehicle replacement; however, fuel cell vehicles are not currently available as part of the California State Consortium Contract and major automobile manufacturers are not currently providing fuel cell vehicles for purchase in Northern California. In Southern California, Hyundai is currently leasing their Tucson fuel cell vehicle for a 36 month lease at $499 per month with a $2,999 down payment. Toyota has advised it will be offering the "Marai" fuel cell (SUV) for lease in Northern California beginning the first quarter of Staff will continue to analyze the purchase or lease of these alternative propulsion system non-revenue vehicles for future non-revenue vehicle procurements. 140

3 Report No Page 3 of 3 ADVANTAGES/DISADVANTAGES: The advantage of replacing the high mileage non-revenue vehicles is the reduction of maintenance costs, vehicle emissions, and improved reliability of the newer vehicles. There are no disadvantages to replacing the older, high mileage non-revenue fleet vehicles. ALTERNATIVES ANALYSIS: The alternative analysis associated with this report included the review of electric, hybrid electric, plug-in hybrid electric, and fuel cell non-revenue vehicles for this procurement. PRIOR RELEVANT BOARD ACTIONS/POLICIES: Staff Report: Non-Revenue Vehicle Procurement. ATTACHMENTS: 1: Non-Revenue Vehicle Replacement Plan Executive Staff Approval: Reviewed by: Prepared by: James Pachan, Chief Operating Officer Denise C. Standridge, General Counsel James Pachan, Interim Chief Financial Officer Stuart Hoffman, Manager, Technical Services 141

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5 SR Attachment 1 Non Revenue Vehicle Replacement Plan Next list of vehicles for non-revenue replacement. Veh # Make Vehicle Model Year Miles Replacement Ford Car Crown Victoria K Ford Escape Ford Car Crown Victoria K Ford Escape Ford Car Crown Victoria K Ford Escape Ford Car Crown Victoria K Ford Escape Ford Car Crown Victoria K Ford Escap_e Ford Car Crown Victoria K Ford C Max Hybrid Ford Car Crown Victoria K Ford C Max Hybrid Ford Car Crown Victoria K Ford C Max Hybrid Ford Car Crown Victoria K Ford C Max Hybrid Ford Car Crown Victoria K Ford C Max Hybrid Ford Truck Ford Ranger K Ford F Ford Truck Ford Ranger K Ford F Ford Truck Ford Ranger K Ford F GMC Truck GMC 3/ K Ford F GMC Truck GMC 3/ K Ford F GMC Truck GMC Safari K Ford F GMC Truck GMC Sonoma K Transit Connect Chevy Van GMC Sonoma K Transit Connect Cost $ $ $ $ $ Note: Cost does not mclude taxes, delivery, and destmat1on charges. Total Ji411,

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