HomeMy WebLinkAboutCC AG PKT 2011-11-14 #KAGENDA STAFF REPORT
DATE: November 14, 2011
TO: Honorable Mayor and City Council
THRU: Jill R. Ingram, City Manager
FROM: Sean P. Crumby, Assistant City Manager /Public Works
SUBJECT: ELECTRIC VEHICLE CHARGING STATION FEE
UPDATE
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SUMMARY OF REQUEST:
It is requested that the City Council adopt Resolution No. 6204:
1. Approving the updated fee resolution for the electric vehicle charging
station.
2. Rescinding Resolution No. 6128 establishing a fee and regulations for
electric vehicle charging stations - revising Resolution No. 5898 (City's
Master Fee Schedule)
BACKGROUND AND ANALYSIS:
In January 2011, the City received a grant from the State of California for three
electric vehicle charging stations. The grant included the materials (charging
stations) but no installation cost. The City budgeted $15,000 toward installation
of the three charging stations. Those three units have been installed for a total
cost of approximately $8,000.
On April 25, 2011 the City Council adopted Resolution No. 6128 to establish a
fee to charge electric vehicles for charging. The fee was set at $1.21 per hour
which recovered the cost of maintenance, replacement of the charging stations,
and monthly subscriber fees (point of service charge). At that time cities were
not able to recover the cost of electricity from electric vehicles. Since then the
Public Utilities Commission has ruled that due to the number of charging stations
expected, cities can now recover this cost. During the April 25, 2011 City Council
meeting, the City Council directed staff to report back in six months (October) to
provide an update on recovery of electricity costs and present an updated
electrical vehicle charging fee if applicable.
Staff has worked with both Southern California Edison and the City Attorney's
office and concluded that the City may pass along to the end user the energy
cost of $0.30 per kWhr.
Agenda Item K
The current fee is $1.21 per hour. With the proposed addition of the energy and
metering cost, the new rate will be $1.51 per hour. Please see attached City
Engineer's report establishing said rate.
The City has a set charging period of 2 hours ($3.02). This time has aided the
City with enforcement of the charging stations and ensures that a charging
station is available at all times. This set period of 2 hours will not be changed.
ENVIRONMENTAL IMPACT:
There is no Environmental Impact related to this item.
LEGAL ANALYSIS:
The City Attorney has reviewed and approved as to form.
FINANCIAL IMPACT:
At the April 25, 2011 City Council meeting, Council adopted Resolution No. 6128
to establish a fee to charge electric vehicles $1.21 per hour.
This proposed resolution will increase the hourly rate by $0.30 to $1.51. These
funds are designed to recover the cost to the City for operation and maintenance
of the electric vehicle charging stations and will be deposited into the General
Fund.
RECOMMENDATION:
It is recommended that the City Council adopt Resolution No. 6204:
1. Approving the updated fee resolution for the electric vehicle charging
station.
2. Rescinding Resolution No. 6128 establishing a fee and regulations for
electric vehicle charging stations - revising Resolution No. 5898 (City's
Master Fee Schedule).
SUBMITTED BY:
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FiA- Sean P. Crumby
Assistant City Manager /Public Works
NOTED AND APPROVED:
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Prepared by: Michael Ho, City Engineer
Page 2
RESOLUTION NUMBER 6204
A RESOLUTION OF THE SEAL BEACH CITY COUNCIL
UPDATING A FEE AND REGULATIONS FOR ELECTRIC
VEHICLE CHARGING STATIONS — RESCINDING RESOLUTION
NO. 6128 - REVISING RESOLUTION NO. 5898 (CITY'S MASTER
FEE SCHEDULE)
THE SEAL BEACH CITY COUNCIL DOES HEREBY RESOLVE:
Section 1. On January 10, 2011, the City Council approved grant agreements
with the State of California for the purchase of electric vehicle charging stations
and authorized a budget expenditure of $15,000 for their installation.
Section 2. Pursuant to police powers granted by its Charter and the California
Constitution, Seal Beach is authorized to establish regulations for the use of
public property and to adopt fees for municipal services, provided that such fees
do not exceed the cost to the City for providing the services.
Section 3. A. Use of City Property The City Council hereby authorizes users
of electric vehicles to charge and recharge their vehicles at City operated
charging stations for a maximum of two hours per charging session. After the
expiration of the two hour period, the user is subject to parking violation fines.
B. Recouping Cost to City The City Engineer has prepared a
written report analyzing the cost to the City of operating and maintaining an
electric vehicle charging station. The costs to the City include: maintenance, and
replacement costs, the value of the parking spaces to be occupied by vehicles
using electric vehicle charging stations, cost of energy, and the cost of
administering the point of sale cost collection system for the electric vehicle
charging stations. According to the City Engineer's report, it will cost the City
$3.02 per two -hour charging session to operate and maintain electric vehicle
charging stations.
Section 4. The City Council reviewed the City Engineer's report and
determined based on its independent judgment that imposition of a fee of $3.02
per two -hour charging session will enable the City to reasonably recover the cost
of providing an electric vehicle charging station without exceeding the cost of
providing such service.
Section 5. The City Council hereby adopts an electric vehicle charging station
fee of $3.02 for a two -hour charging session. The Council hereby directs the
City Clerk to revise the City's Master Fee Schedule accordingly.
Section 6. The adoption of this Resolution approves a charge for the purpose
of meeting the cost of operating and maintaining electrical vehicle charging
stations for public use and is therefore exempt from the California Environmental
Quality Act ( "CEQA "), Public Resources Code § 21080 et seq., pursuant to
Public Resources Code § 21080(b)(8)(A) and Section 15273(a)(1) of the CEQA
Guidelines.
Section 7. The City Clerk shall certify to the passage and adoption of this
resolution. This Resolution shall be effective upon adoption.
Resolution Number 6204
PASSED, APPROVED and ADOPTED by the Seal Beach City Council at a
regular meeting held on the 14th day of November , 2011 by the following vote:
AYES: Council Members
NOES: Council Members
ABSENT: Council Members
ABSTAIN: Council Members
Mayor
ATTEST:
City Clerk
STATE OF CALIFORNIA }
COUNTY OF ORANGE } SS
CITY OF SEAL BEACH }
I, Linda Devine, City Clerk of the City of Seal Beach, do hereby certify that the
foregoing resolution is the original copy of Resolution Number 6204 on file in
the office of the City Clerk, passed, approved, and adopted by the City Council at
a regular meeting held on the 14th day of November , 2011.
City Clerk
CITY OF SEAL BEACH
DEPARTMENT OF PUBLIC WORKS
FEE SCHEDULE FOR
ELECTRIC VEHICLE CHARGING STATION PARKING SPACE
The purpose of this document is to establish a fee for charging of electric vehicles in
Seal Beach. For City operated electric vehicle charging stations a set charging period
of two (2) hours will apply to all vehicles. This two hour block will balance the
opportunity to provide a charge with the ability for numerous vehicles to access and use
the facility. The amount of the fee is being set to offset the cost of operating the system
and provide an asset for the community on a revenue /cost neutral basis. To recover all
of the cost associated with operation of the system.
This document will detail the fee to be charged and covers cost in the following four
areas:
1. Lost revenue for a parking space,
2. Maintenance of each charging station,
3. Replacement of the charging station,
4. Subscriber and Authorization fee per Master Agreement with the City of
Seal Beach and Charge Point America (CPA),
5. Direct energy cost established by Southern California Edison (SCE)
1. Lost Revenue for a Parking Space
All of the Charging Stations reside within pay parking lots. The City currently
charges in the three beach parking lots $6.00 per day per space. The beach lots
are open between 5:00 am and 10:00 pm. If a vehicle parks from open to close
the cost equals $0.35 per hour. The coin operated public parking lot on Main
Street north of Ocean Avenue charges $1.00 per hour, two (2) hour maximum.
These lots do not however have all of the parking spaces full for the entire day.
This cost has therefore been calculated based upon the revenue received for the
entire year divided by the total number of parking spaces.
The City receives approximately $368,000 per year for the three, 10 Street, 8th
Street and 1 Street, paid parking lots. There are a total of 535 parking spaces:
$368,000 divided by 535 equals $687.85 per year per space. It further breaks
down to $0.11 per hour per space.
2. Maintenance of Each Charging Station
With the purchase of the Charging Stations, the City has a warrantee (with
Charge Point America) to cover all parts and labor through December 1, 2013.
After that period the City will retain a third party vendor to perform maintenance.
The City estimates a cost $200 per month per unit to maintain, clean, and
perform routine system checks. An annual cost to maintain one unit is $2,400.
Each charging station has the ability to charge one (1) vehicle at level 1 and
another vehicle at level 2 charging. For calculation of maintenance and
replacement costs the demand is not known for Level 1 charging. This
calculation assumes that one vehicle will be charging at the station at any given
time.
That cost equates to $0.39 per hour per space.
3. Replacement of the Charging Station
Each unit is rated by Underwrites Laboratories (UL) Listed to have a life
expectance of 10 years.
CPA's replacement cost of each unit at $5,000. It is the recommendation of staff
that these charging stations be planned for replacement every 5 years. It has
been experienced that equipment of this nature has a significantly shorter life
span within the beach /marine environment and will deteriorate more rapidly than
in normal conditions. The fee has been calculated to include replacement every 5
years. $5,000 divided by every five years equates an annual cost for $1,000.
This further breaks down to $0.16 per hour per space.
4. Subscriber and Authorization Fee by CPA
The City will be contracting with CPA to operate a point of sale system on each
unit. This point of sale system will allow a user to swipe a credit card and pay the
fee for the charging station. CPA collects $0.50 per session and 7.5% of the total
charge by the City's fee. Each unit operates wirelessly to collect the funds. The
$0.50 per session funds CPA's cost for the wireless system, and their cost. The
7.5% is the fee for the company to provide the service. Based upon the city's fee
of $0.66 per hour, CPA's Authorization Fee is $0.05. Adding both the Subscriber
($0.50) and Authorization Fee ($0.05) equals $0.55 per hour per space.
5. Direct Energy Cost Established Southern California Edison (SCE)
The SCE meter supplying the energy for the charging station is designed as the
GS -1 rate for the City. The direct energy cost for this rate structure is $0.29676
per kilo watt hour or $0.30kWh. The pass through cost to the end user is $0.30
per hour.
Below is a summary of the above five fees to total the hourly fee schedule:
1.
Loss of Revenue per space
$0.11 /hour
2.
Maintenance Cost per unit
$0.39 /hour
3.
Replacement Cost per unit
$0.16 /hour
4.
Subscriber and Authorization Fee
$0.55 /hour
5.
SCE Direct Enerqv Cost
$0.30 /hour
Total $1.51 /hour