Item 22 - Natural Gas Fueling Station

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Approve Agreements with TruStar Energy LLC August 17, 2021 Page 2 with provisions for three, one-year extensions, subject to non -substantive changes as approved by the City Manager and City Attorney. 5. Approve the Design and Build Project Cost Analysis for a total estimated delivery cost of $2,378,379 which includes $104,340 for Design (Phase 1), $812,102 for Equipment Procurement (Phase II), a 15% contingency $333,638 for Phase II, $1,412,152 for the Build Agreement, $139,717 for Contract Administration and $116,430 for Inspection. DISCUSSION The Fleet Services Division is responsible for providing fuel for City vehicles, which includes unleaded, diesel, propane, liquefied natural gas, and compressed natural gas (CNG) at the Corporate Yard, and unleaded and diesel fuel at the Police Administration Facility. SCAQMD Rule 1196 mandates that the City transition all its diesel vehicles to a more environmental friendly fuel over the next few years. The Division has determined CNG is the most reliable fuel for its fleet and has begun converting its diesel fleet to CNG. Within the next few years, the CNG fleet is expected to grow to over 60 vehicles. Although the Corporate Yard houses a CNG fueling station, it is beyond its useful life and only contains 14 fueling points, which accommodates 15 City vehicles. Due to the age of the station and the increased fueling points needed to service the new CNG fleet, staff recommends the construction of a new CNG station. On July 30, 2020, the Public Works Agency issued Request for Proposals (RFP) 20-095 seeking a consultant to design, build, operate, and maintain the new CNG station. The RFP was advertised on the City's online bid management and publication system, with bids due on September 24, 2020. Fifty-three vendors downloaded the project documents. Four proposals were received and evaluated by a selection committee based on criteria as outlined in the RFP. The evaluation committee conducted interviews with the four proposers. The evaluation results are as follows: FIRM CITY AVERAGE SCORE TruStar Energy Rancho Cucamonga 93 EFS West Valencia 85 Clean Energy Newport Beach 80 Arnez Engineering Contractors Anaheim 79 TruStar Energy's proposal demonstrated a high technical competency and experience performing the requested services. The proposal contained a clear path toward achieving City goals and objectives as required by the RFP. The RFP presented a five -phase approach to completing the project and TruStar's proposal offered close to $250,000 in savings during the first phase, in addition to reducing the total project cost by $540,000, to $1,684,233 (not including contingency) by leveraging RNG fuel credits. Staff recommends approving three agreements with TruStar Energy to provide services to