| | | | | | | | |  City Council Agenda Request July 16, 2024
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AGENDA REQUEST NO: III.F.
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| AGENDA OF: City Council Meeting |
| INITIATED BY: Ken Durbin, Assistant Director of Aviation |
| PRESENTED BY:
Ken Durbin, Assistant Director of Aviation |
| RESPONSIBLE DEPARTMENT: Aviation |
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| | | | | | | | AGENDA CAPTION: | Consideration of and action on authorization of a Framework Agreement with OnPoint EV Solutions, Inc., for the installation, maintenance, and operation of EV Charging Stations and Services. |
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| | | | | | | | RECOMMENDED ACTION: | Consideration and action on approval of the Framework Agreement for co-operation in respect of the provisions of Electric Vehicle Charging Stations, entered into by and between the City of Sugar Land and OnPoint EV Solutions. The Framework Agreement provides the baseline expectations in support of a cooperative agreement between the City of Sugar Land as the host and OnPoint EV Solutions, INC as the service provider for installed, commissioned, operation and maintenance of Electric Vehicle charging stations on select City of Sugar Land public properties. |
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| | | | | | | | EXECUTIVE SUMMARY: | During the fall of 2021, staff teamed to investigate the feasibility of placing Electric Vehicle chargers (EVcs) on public city property as part of a pilot program. The city’s EVc team, published a Request for Statement of Interest (RSI) in July of 2022. The RSI included six potential EVc sites; Airport, Imperial Park Recreation Center, the Gillingham Public Works Annex, City Hall, Brazos Park, and Memorial Park. Seven vendors responded by the September 29, 2022, deadline with Statements of Interest. From the outset, the COSL EVc team emphasized the need to understand and reduce or eliminate risk. To that end, the COSL EVc team sought to leverage access to public property against a zero capital (zero cap) investment strategy.
Argent Associates Inc. was selected and assigned the Airport and IPRC sites. CBRE/Shell was chosen for the Gillingham, Brazos, and Memorial Park sites. The City Hall site was removed from consideration due to infrastructure and property ownership challenges. Argent and CBRE/Shell were notified of the selection in November 2022. Argent and CBRE/Shell were allowed to pursue independent project tracks and timelines. During negotiations, CBRE/Shell revised its internal business model and declined further participation. The COSL EVc Team met with Center Point Energy’s EVc Project Manager, who quickly provided – free of charge - additional transformers at the Airport and IPRC sites to support EVc installation. Center Point completed the transformer installations in May 2023.
Argent initiated negotiations for draft agreements with the city in 2023. During this process, Argent assisted COSL with a grant application to the FY23 Charging and Fueling Infrastructure (CFI) Discretionary Grant Program. City Council passed a resolution approving the CFI Discretionary Grant application in July 2023. On February 5, 2024, the City was notified of non-selection for the U.S. DOT CFI Discretionary Grant. Despite negative CFI grant award status and given that Center Point has completed installation of necessary electrical infrastructure at both sites, Argent and Associates Inc, now teamed OnPoint EV Solutions- Argent Associates SPV, wishes to pursue a (zero cap) investment and revenue share installation strategy with the city for both the Airport and IPRC sites. OnPoint EV-Argent will invest approximately $1.6M for the two sites.
The Framework Agreement provides the baseline expectations in support of a cooperative agreement between the City of Sugar Land as the host and OnPoint EV Solutions, INC as the service provider for installed, commissioned, operation and maintenance of Electric Vehicle charging stations on City of Sugar Land public properties. The Framework Agreement does not include specifics with regard to EV site locations and services but instead provides the legal definition and terms of a city and service provider cooperative agreement. For example, the Framework Agreement stipulates that the cooperative agreement will include consideration paid to the City of Sugar Land, but does not stipulate the specifics of that consideration.
The staff EV team met with the Finance and Audit Committee on June 14th to provide agreement as outlined above. |
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BUDGET |
| EXPENDITURE REQUIRED: 0 |
| CURRENT BUDGET: 0 |
| ADDITIONAL FUNDING: N/A |
| FUNDING SOURCE:N/A |
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