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Item 4BCITY OF SOUTHLAKE MEMORANDUM May 15, 2012 To: Shana Yelverton, City Manager From: Sharen Jackson, Director of Finance Timothy Slifka, Purchasing Manager Subject: Item 4B Authorize Purchase of Replacement Fuel Storage Tanks and Related Fueling Equipment Utilizing a Department of Energy American Recovery and Reinvestment Act (ARRA) Grant Facilitated through the North Central Texas Council of Governments ( NCTCOG) in the amount of $142,000 from Stovall Electric. Action Requested: Authorize the purchase of replacement fuel storage tanks and related fueling equipment utilizing a Department of Energy (DOE) ARRA grant facilitated through the North Central Texas Council of Governments ( NCTCOG) in the amount of $142,000 from Stovall Electric. Background Information: In May 2009 the City applied for a NCTCOG Alternate Fuel and Advanced Technology Investment Grant provided through the Department of Energy ARRA grant program. The grant request consisted of replacement of current fuel storage tanks and equipment at Public Works and West DPS facility„ the addition of Bio- Diesel and E85 alternate fuels and partial funding for the purchase of a Hybrid replacement vehicle. In April 2010 the City was informed they were selected for award of a $64,500 grant for all items requested. The Hybrid vehicle, purchased in December 2009 to replace a current vehicle, was eligible for $2,000 retroactively and the City has received reimbursement for that amount. The remaining i $62,500 approved grant funds are to offset the cost of replacement fuel storage tanks and related equipment. Fuel storage tanks located at Public Works Operations facility are approximately 16 years old and DPS West fuel storage tanks are estimated at 12 years old. The lifespan of these fuel storage tanks is estimated at 15 -20 years. This partial reimbursement grant funding will help to offset the cost of required replacement and upgrade of current equipment at both locations. Financial Considerations: Funding of $79,500 is provided through department budgets and the remaining grant funds of $62,500 are eligible for reimbursement through NCTCOG once project is completed. Bid and grant purchasing requirements have been met by utilizing an interlocal purchasing agreement with the City of Fort Worth. Strategic Link: C5 — Promote opportunities for partnership and volunteer involvement B2 — Collaborate with select partners to implement service solutions F2 — Invest to provide and maintain high quality public assets Citizen Input/ Board Review: None Legal Review: Attorney Review of original grant documentation Alternatives: Deny purchase, forfeit grant funds and replace tanks at a later date at full City cost. Supporting Documents: Grant award and contract documents Staff Recommendation: Approve purchase of replacement fuel storage tanks and related equipment utilizing City funds and grant funding provided by DOE and NCTCOG from Stovall Electric. North Central Texas Council Of Governments February 27, 2012 Ms. Shana Yelverton City Manager City of Southlake 1400 Main Street, Suite 460 Southlake, Texas 76092 Reference: Time Extension Project No. ARRA- DOE -08 Dear Ms. Yelverton: In June 2010, the North Central Texas Council of Governments ( NCTCOG) executed an Agreement with the City of Southlake for implementation of the American Recovery and Reinvestment Act: North Central Texas Alternative Fuel and Advanced Technology Investments Program. Since this time, the City of.Southlake has requested a time extension for implementation of the awarded project. NCTCOG concurs with the request for an extension and authorizes the City of Southlake to continue scope implementation through September 30, 2012. All eligible project expenses must be expended and submitted to NCTCOG for reimbursement by September 30, 2012. If you have any project related questions, please contact Lori Clark, Senior Transportation Planner, at (817) 695 -9232 or IclarkQnctcoq.org If you have any Agreement related questions, please contact Anne -Marie Stowe, Grants and Contracts Coordinator I, at (817) 695 -9145 or astowe ,nctcoq.orc] Sincerely, Ken Kirkpatrick Senior Program Manager Transportation Department AS:Ip cc: Tim Slifka, City of Southlake (Electronic Copy) Lori Clark, NCTCOG Anne -Marie Stowe, NCTCOG Contract File: City of Southlake — ARRA DOE (AFAT) 616 Six Flags Drive, Centerpoint Two R O. Box 5888, Arlington, Texas 76005 -5888 (817) 640 -3300 FAX: 617- 640 -7806 ® recycled paper www.nctcog.org Ms. Shane Yelvertorti City: Manager *, City of Southlake 1400 Main 8treet," Suite 460 Southlake, Texas 76092;' Dear Ms; Yelverton: . r yourrev Enclosed fo is the Agreement for implementation of the North Central Texas Altemative Fuel and Advanced Technology Investments'Program. As the North Central Texas . Council of.Goverr�m.ents ( NCTCOG) continues to coordinate with the City of Southlake for._ execution of this Agr"eernent'. NCTCOG requests the City of Southlake to begin implementation.of Scope Activities outlined ; in. the. enclosed Agreement. The City of Southlake may. seek. reirnburserrientfram NCTCOG for the following.activities consistent with the project•guideiines, and turns• of the pending Agreement:- " • the purchase".of one light -duty gasoline -plectric hybrid vehicle," • " the. upgrade one (1) existing private access refueling facility to provide"biodiesel (1320); and " the upgrade.of one private access refueling. facility to provide ethanol (E85) and biodiesel (B20) Reimbursement for these "activities shall not exceed $61,500. NCTCOG will not provide reimbursement until the Agreement" is fully executed. Three copies of the signature pages are. included. Please:sign all marked pages and return the entire document to the attention of Therese Bergeon for further processing_ A fully executed Agreement will be returned :for your files. if you have - any:project"related questions please contact Lori Pampell- Clark, Senior Transportatio . Planner, at (817) 696 -9232 or iclark hetco .o . If you. have any Agreement. related questions please contact Trina Stokes,. Grants and Contracts. Coordinator 11, at (817) 695 -9285 or tstokesO Sincerely, Dan Kessler Assistant Director- of Transportation TS:tmb Enclosure cc: Lori Pampe$- Clark, NCTCOG Project "File 616 Six Flags wive; centerpoint Two P. O. Box 5888, Arlington, T6xas. 78005.5888 (817} 640.3300 FAX: 817 -640 -7806 O recycled paper www.nctcog•org NORTH CENTRAL TEXAS COUNCIL OF GOVERNMENTS AMERICAN RECOVERY AND REINVESTMENT ACT; North Central Texas Altemative Fuel and Advanced Technology Investments Program Implementation AGREEMENT COVER SHEET TYPE OF AGREEMENT: Reimbursable Activities for American Recovery and Reinvestment Act: North Central Texas Alternative Fuel and Advanced Technology Investments CFDA # : 81.086 FEDERAL PROGRAM NAME: ARRA Conservation Research and Development AGREEMENT PERIOD Execution Date through January 29, 2012 MAXIMUM REIMBURSEMENT: $64,500 FUNDING SOURCE: United States Department of Energy (DOE) NCTCOG North Central Texas Council of Governments 616 Six Flags Drive, Suite 200, Centerpoint Two P.O. Box 5888 Arlington, Texas 76011 Staff Contact: Lori Pampell Clark Sr. Transportation Planner 817-605-9232 lciark nctcoc.o Performing Party City of Southlake Contacts Projoct Manager: Carrie Reese Program Manager 817 -808 -2353 creese - .nctcogorg Agreement Administrator: Trina Stokes Grants and Contracts Coordinator 11 817- 695 -9285 tstokesftatcog-o Agreement Coordinator Shana Yelverton City Manager 1400 Main Street, Suite 460 Southlake, TX 76092