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Council Provided Information - 10/4/2022CITY COUNCIL OF SALT LAKE CITY 451 SOUTH STATE STREET, ROOM 304 P.O. BOX 145476, SALT LAKE CITY, UTAH 84114-5476 SLCCOUNCIL.COM TEL 801-535-7600 FAX 801-535-7651 COUNCIL STAFF REPORT CITY COUNCIL of SALT LAKE CITY TO:City Council Members FROM:Sam Owen, Policy Analyst DATE:October 4, 2022 RE:FY23 Sustainability Holding Account Funds – Electrified Transportation ISSUE AT A GLANCE There are 3 Electric Vehicle (EV) holding account items before the Council for review and a decision on funding release: •Installing Publicly Accessible EV Chargers on City Property and Right-of-Way ($214,000) o Funds for installation of new public access EV charging stations in the City •Evaluating Opportunities to Incentivize Public Adoption of Electric Vehicles ($150,000) o A study and assessment of optimal city strategies for meeting carbon emission reduction goals •City Fleet and Assessment of Projected Internal EV Charging Needs ($150,000) o A study and assessment of infrastructure, logistical and other requirements related to the electrification of the City corporation’s internal fleet These funds were appropriated but held during the Council’s fiscal year 2023 budget process. The items are now before the Council for potential decision on release. ADDITIONAL BACKGROUND 1.Beginning in February 2018, the department reports the City first began providing public charging at EV stations for free. The Council at that time approved the expense. The department reports that utilization of the stations increased measurably with the onset of free charging. Item Schedule: Briefing: October 4, 2022 Public Hearing: Potential Action: Page | 2 2. The department’s request for an internal charging study will clarify coordination about internal city charging stations and those provided for ongoing public use. My 3. The department’s requested internal EV charging study (City Fleet and Assessment of Projected Internal EV Charging Needs) might clarify this coordination (between internal city charging stations, and those provided for ongoing public use). a. (See appendix B) 4. Specific to the $214,000 requested for new EV charging stations, the department indicates the money will fund up to six new chargers with up to 2 ports each. 5. The department indicates locations for these public-facing charging facilities are coordinated via the City’s Electrified Transportation Committee. The plans requested herein for funding would elaborate the process for selection of charging sites, especially Evaluating Opportunities to Incentivize Public Adoption of Electric Vehicles. 6.The department indicates the expectation that some or all of that $214,000 could be reimbursed through grants from government and private sources (e.g. federal funding or Rocky Mountain Power). See policy question #5. Resolution 45 of 2020 This document is included here as attachment 2. The resolution is tied into the department funding requests discussed in this report. In particular, the resolution relates to transportation goals related to electrifying the city’s fleet, incentivizing public EV adoption, and providing infrastructure for those processes. The resolution was adopted jointly by the Council and Mayor in 2020. See section below for questions and discussion on the policy statements referenced above. It includes a number of policy statements, such as: Electrified Municipal Fleet Goals: The City will strive to purchase electric vehicles for its internal fleet, while also considering total cost of ownership, to ensure progress towards its goal of reducing greenhouse gas emissions 80% by 2040. The City sets the following goals for purchases within its fleet, including target dates that may be adjusted to account for market availability and total cost of ownership considerations: a. All new sedans purchased will be plug-in vehicles by 2023; b. All new sports utility vehicles ( SUVs) purchased will be plug-in vehicles by 2025; c. All new pickup trucks purchased will be plug-in vehicles by 2027; d. All new medium- and heavy-duty vehicles and off-road equipment purchases will be evaluated for electric options prior to purchase; Page | 3 e. The City will financially support the charging infrastructure necessary to own and operate plug-in vehicles within its fleet. … Electrified Personal Vehicle Goals: The City will support the development of electric vehicle charging infrastructure, plus other programs, policies and projects that encourage the purchase and use of electric vehicles by local residents and non- governmental fleets. The City will strive to accelerate uptake and use of electric vehicles at rates higher than national averages and in line with achieving local air quality and community carbon reduction goals. See section below for questions and discussion on the policy statements referenced above. POLICY QUESTIONS 1. Which City department is the decisive authority on each component topic of electric vehicles and infrastructure? For example, how are decisions made for the various city departments who may have a preference for EV purchases. For EV charger placement? (See appendix B) 2. Council May wish to clarify whether the evaluation being conducted will consider pros and cons of providing free EV charging versus returning to the practice of charging for electricity at public charging stations, and whether proposed studies would also evaluate the practice that entities have nationally of charging for both electricity and some portion of the maintenance, operation and installation cost of the charging stations, so the programs can be self-sustaining. 3. One Council Member has asked whether the current level of City funding for EV incentives, or funding a study of potential additional EV incentives, has a disproportionate benefit for people in society who already have the financial capability to acquire electric vehicles. On one hand, current users of the charging stations might have access to some privilege. a.What funding or policy interventions might be available to reduce greenhouse gas emitting vehicles where owners are not in a position to purchase an EV? Will proposed or other studies consider that? b. Staff attempted to capture two aspects of the equity conversation but definitely does not intend for the two sub questions above to be exhaustive. 4. Does the Council want to review RESOLUTION 45 noted above in a future dedicated work session briefing and consider: a. Does the Council wish to review any part of the resolution? Page | 4 b. Do these measures support effective reduction in the City’s most polluting vehicles? 5. If the funds for placing new EV charging stations are reimbursed from public and private grantors as discussed above, the Council might wish to discuss with the department the process for appropriating those reimbursement funds. 6. Furthermore, it is unusual for government to front the money for a project or study and plan, and have that be reimbursed by a grant. In many cases, reimbursing expenses for which funds are already appropriated is considered ‘supplanting’ and is expressly prohibited, particularly by the federal government. The Council might want to clarify the process on this grant and reimbursement process. 7. The Council might wish to inquire whether a methodology exists or could be developed to assess the number of unique public charging station users, especially in relation to the City’s free-charging policy. a. If the council wishes, staff can gather national or regional information on what fees others are assessing (cities and privately owned), how it impacts use, and when cities have transitioned from no fees to fees, to provide the Council information on how or if they want to charge fees 8. Is the City the best entity to be paying for this? The US government recently made available significant funding related to EV charging. The Council might evaluate the funding landscape and evaluate the best City role in this context. APPENDIX A One example of the department attempting to leverage available grant funding relates to Rocky Mountain Power funding availability for installation of charging stations. In the context of this availability, the department suggests that major upcoming City construction projects such as the redesign at 200 South and 300 West could rely on the RMP funding for the project to include charging stations. If the funding for new stations were released, the department would continue with an existing application for grant reimbursement on new installations as part of this 200 South 300 West project. The City’s Transportation Division has prepared site plans that include charging stations for this project. Page | 5 APPENDIX B From the transmittal The Sustainability Department, in collaboration with Public Services Department, have been working to develop the scope of work attached herein for the competitive solicitation of a consultant to assess the City’s fleet, which will include: 1) evaluating the long-term fleet replacement strategy, including electrification; 2) analyzing current and planned fleet usage patterns and 3) identifying future electric infrastructure needs at City facilities to support a more electrified fleet. From the Administration-Council staff email Q & A: Q: Do you think all City departments and divisions are on the same track with these proposals— in other words, there are not other efforts in the City that duplicate or go against the proposals in the EV transmittal (question for all three line items) A: In short, yes, we have worked with departments and divisions to ensure these efforts are not duplicative or counter to other priorities: a. General Cross-Departmental Collaboration: Sustainability launched an Internal Electrified Transportation committee in 2021 which includes members from different Departments and Divisions, including: Fleet, Airport, Facilities, Engineering, Planning, Transportation, Economic Development, and RDA. City Council members and staff are welcome to attend these meetings. The Committee reviews all Electrified Transportation initiatives proposed by Sustainability to ensure there is alignment and to avoid duplication. Sustainability also participates on an internal Funding committee, convened by Transportation on a monthly basis, where projects and grant funding ideas are discussed. All departments are invited to send representatives to this meeting. b. Internal Fleet Electrification Study: We have been working closely with Public Services (Fleet and Facilities) to develop the scope of work for the Internal Fleet Electrification Study, and both Departments will collaborate in this effort. Members of the Internal Fleet Committee, which is convened by the Public Services Fleet Division, have had the opportunity to review and provide input on the scope of the study. c. EV Infrastructure Study: There is a subcommittee of the Internal Electrified Transportation Committee working on the scope of work for this study, which will assess opportunities to support and incentivize public adoption of EVs. Subcommittee members include staff from Planning, Engineering, RDA, and Transportation. The scope of work for this study is being prepared by staff from Transportation and Sustainability. All subcommittee members will have an opportunity to review and provide input on this scope of work. Page | 6 d. Installation of EV stations: Sustainability is collaborating with other Departments and Divisions to evaluate sites. Attachments 1. Transmittal 2. Resolution 45 of 2020 RESOLUTION NO. 45 OF 2020 A joint resolution of the Salt Lake City Council and Mayor establishing electrified transportation goals for Salt Lake City WHEREAS, Salt Lake City municipal government is committed to protecting the public health and safety of its residents, combating climate change, and ensuring access to clean air, clean water and a livable environment; and WHEREAS, Salt Lake City is dedicated to being a leader in the use of clean energy, establishing policies and programs that conserve energy, promote sustainability, and improve our air quality; and WHEREAS, Salt Lake City’s Mayor and City Council adopted a joint resolution in 2016 calling for an 80 percent reduction in community-wide greenhouse gas emissions by 2040; and WHEREAS, Salt Lake City created an Electrified Transportation Roadmap in 2018 with strategies and best practices for local governments in Utah to support electrified transportation; and WHEREAS, Salt Lake City is committed to fiscal responsibility by reducing fuel consumption and associated costs for City operations; and WHEREAS, residents are concerned about air quality and support strong action by government leaders to reduce pollution; and WHEREAS, cities along the Wasatch Front, including Salt Lake City, are not in compliance with federal health-based standards for fine particulate matter and ozone, and vehicle emissions are the primary source of air pollution; and WHEREAS, the petroleum-fueled on-road transportation sector accounts for nearly 20% of energy-related greenhouse gas emissions in Salt Lake City and is a contributing factor to air pollution and climate change, threatening the health of our citizens and long-term stability and success of our community; and WHEREAS, air pollution from vehicle emissions harm public health in the form of increased cardiovascular disease, asthma, lung cancer, and diabetes, with children and the elderly at special risk; and WHEREAS, disadvantaged populations face the biggest impacts from poor air quality, with higher rates of respiratory illnesses, hospitalizations, and premature death; and WHEREAS, the transition of the transportation sector to clean energy technologies, including electric vehicles (EVs), will provide a range of benefits including improved air quality, enhanced public health, and reduced reliance on finite imported resources; and R 20-1R 20-16 WHEREAS, electrification of cars, trucks and buses is needed in order to achieve deep reductions in greenhouse gas emissions and the benefits grow over time as electricity generation in Utah gets cleaner and Salt Lake City achieves its net-100% renewable electricity community goal by 2030; and WHEREAS, Salt Lake City is responsible for providing infrastructure for safe and reliable travel options for residents and visitors that support a robust economy and minimize negative impacts of transportation; NOW, THEREFORE BE IT RESOLVED by the Salt Lake City Council and Mayor as follows: 1. Electrified Municipal Fleet Goals: Salt Lake City Corporation will strive to purchase electric vehicles for its internal fleet, while also considering total cost of ownership, to ensure progress towards its goal of reducing greenhouse gas emissions 80% by 2040. The City sets the following targets for purchases within its fleet, including target dates that may be adjusted to account for market availability and total cost of ownership considerations: a. All new sedans purchased will be plug-in vehicles by 2023; b. All new sports utility vehicles (SUVs) purchased will be plug-in vehicles by 2025; c. All new pickup trucks purchased will be plug-in vehicles by 2027; d. All new medium- and heavy-duty vehicles and off-road equipment purchases will be evaluated for electric options prior to purchase; e. The City will financially support the charging infrastructure necessary to own and operate plug-in vehicles within its fleet. 2. Electrified Transit Goals: Salt Lake City Corporation will encourage Utah Transit Authority (UTA) to implement a sustained transition to electric buses and will collaborate with UTA on related efforts. 3. Electrified Smart Mobility Goals: Salt Lake City Corporation will collaborate with providers of smart mobility services such as rideshare, car share and other transportation options to encourage electrification of their fleets and operations that help achieve local air quality and community carbon reduction goals. The City will also prioritize equitable access to smart mobility services to ensure an inclusive development of clean and affordable transportation options for community members. 4. Electrified Personal Vehicle Goals: Salt Lake City Corporation will support the development of electric vehicle charging infrastructure, plus other programs, policies and projects that encourage the purchase and use of electric vehicles by local residents and non-governmental fleets. The City will strive to accelerate uptake and use of electric vehicles at rates higher than national averages and in line with achieving local air quality and community carbon reduction goals. Passed and adopted by the City Council of Salt Lake City, Utah this 8th day of December, 2020. ____________________________ ____________________________ Erin J. Mendenhall Chris Warton, Chair Salt Lake City Mayor Salt Lake City Council Member, District Six ATTEST AND COUNTERSIGN: Approved As To Form Salt Lake City Attorney’s Office ________________________ ____________________________ CITY RECORDER Megan DePaulis, Senior City Attorney Megan DePaulis (Dec 17, 2020 16:52 MST) Megan DePaulis Chris Wharton (Dec 29, 2020 18:55 MST)Erin Mendenhall (Dec 30, 2020 10:21 MST) Cindy Trishman (Jan 4, 2021 23:24 MST) Resolution 45 of 2020 (establishing electrified transportation goals), adopted 12-8-20. Final Audit Report 2021-01-05 Created:2020-12-17 By:Kory Solorio (kory.solorio@slcgov.com) Status:Signed Transaction ID:CBJCHBCAABAA8ig_Mbez_PtRPuXEMDzjozp6rqv1P0Zv "Resolution 45 of 2020 (establishing electrified transportation go als), adopted 12-8-20." History Document created by Kory Solorio (kory.solorio@slcgov.com) 2020-12-17 - 11:32:06 PM GMT- IP address: 204.124.13.151 Document emailed to Megan DePaulis (megan.depaulis@slcgov.com) for signature 2020-12-17 - 11:34:17 PM GMT Email viewed by Megan DePaulis (megan.depaulis@slcgov.com) 2020-12-17 - 11:52:34 PM GMT- IP address: 204.124.13.222 Document e-signed by Megan DePaulis (megan.depaulis@slcgov.com) Signature Date: 2020-12-17 - 11:52:48 PM GMT - Time Source: server- IP address: 204.124.13.222 Document emailed to Chris Wharton (chris.wharton@slcgov.com) for signature 2020-12-17 - 11:52:50 PM GMT Email viewed by Chris Wharton (chris.wharton@slcgov.com) 2020-12-30 - 1:54:54 AM GMT- IP address: 73.63.28.254 Document e-signed by Chris Wharton (chris.wharton@slcgov.com) Signature Date: 2020-12-30 - 1:55:03 AM GMT - Time Source: server- IP address: 73.63.28.254 Document emailed to Erin Mendenhall (erin.mendenhall@slcgov.com) for signature 2020-12-30 - 1:55:05 AM GMT Email viewed by Erin Mendenhall (erin.mendenhall@slcgov.com) 2020-12-30 - 5:20:52 PM GMT- IP address: 97.117.115.8 Document e-signed by Erin Mendenhall (erin.mendenhall@slcgov.com) Signature Date: 2020-12-30 - 5:21:06 PM GMT - Time Source: server- IP address: 97.117.115.8 Document emailed to Cindy Trishman (cindy.trishman@slcgov.com) for signature 2020-12-30 - 5:21:07 PM GMT Document e-signed by Cindy Trishman (cindy.trishman@slcgov.com) Signature Date: 2021-01-05 - 6:24:12 AM GMT - Time Source: server- IP address: 204.124.13.222 Agreement completed. 2021-01-05 - 6:24:12 AM GMT