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HomeMy WebLinkAboutAgenda - 12-05-2005-9bORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: December 5, 2005 Action Agenda Item No. ~- SUBJECT: Draft Vehicle Fuel Conservation Policy and Report on Fuel Use and Costs DEPARTMENT: Public. Works, Personnel, Energy Task Group ATTACHMENT(S): Draft Vehicle Fuel Conservation Policy Under separate cover: Orange County Fuel Use and Cost Report PUBLIC HEARING: (YIN) No INFORMATION CONTACT: Wayne Fenton, Assistant Public Works Director, Telephone 919-245-2628 Wilbert McAdoo, Public Works Director, Telephone 919-245-2625 Elaine Holmes, Personnel Director, Telephone 919-245-2552 PURPOSE: To consider adoption of a Vehicle Fuel Conservation Policy covering Orange County government vehicles and motorized equipment, in follow up to the Board's Environmental Responsibility goal and to receive a report on vehicle fuel use and possible fuel conservation performance measures. BACKGROUND: In keeping with the Orange County Environmental Responsibility goal and Board of County Commissioners' direction, the Public Works Department, in conjunction with the Personnel Director and the Energy Conservation Task Group has developed a draft Vehicle Fuel Conservation Policy for Board review. Staff also has compiled and analyzed data on vehicle fuel use/costs and developed possible fuel conservation performance measures for the Board's review, Draft Policy The attached draft establishes County policy to conserve fi~el and reduce fi~el consumption. It specifically covers vehicles and motorized equipment and use of gasoline, diesel and alternative fuels. Building energy conservation is addressed in a separate policy on this agenda and water conservation will be addressed in an upcoming policy, as outlined in next steps below. Policy highlights include: • Setting goals. • Designating responsibilities for fuel conservation as to the Energy Conservation Task Group, Public Works Department, department heads and employees, • Providing for an annual Vehicle Fuel Conservation Action Plan setting out specific actions to be accomplished during the coming year for review and approval by the Board, in conjunction with the annual budget process. • Providing for data collection, reporting and performance measures to assess fuel conservation performance, • Establishing a framework of supporting programs including employee awareness, incentives, acquisition of fuel-efficient vehicles and equipment and so forth. Fuel Use, Costs and Performance Measures Public Works maintains a database of vehicle fiiel consumption and cost information from the County's fuel station and off-site fuel transactions. This will serve as the basis for measuring the County's success in reducing fuel consumption, As the Board wishes, this information may be presented in a variety of formats and varying levels of detail. Under separate cover, Public Works has provided a report covering Orange County vehicle fuel use and cost, Public Works also will provide a brief presentation of this information at the Board meeting. At the Board meeting, the Board may wish to provide direction to staff on the types of fuel usage information that it wishes to receive and the desired format for this information. Based on the current data, staff recommends three measures be used to assess the County's success in reducing fuel consumption and use of alternative fuels, These are year-to-year comparisons of: • Average miles per gallon for each department's vehicle fleet and for the County as a whole • Total miles driven by each department and for the County as a whole. • Number and usage of alternative fuel vehicles, For the future, staff is assessing other possible measures to measure success in conservation, while taking into account service delivery needs and requirements for each department, Next Steps Planned next steps include: At the December 13 meeting, staff will present a draft water conservation policy for the Board's consideration to address the need to conserve water resources, • Also at the December 13 meeting, staff will present a report on water consumption, costs and possible performance measures for tracking progress. FINANCIAL IMPACT: There is no direct financial impact related to adopting the policy or receiving the report. Any additional budget recommended for vehicle and equipment replacements will be presented during the annual budget process. A primary projected outcome of implementation of the Vehicle Fuel Conservation Policy is to reduce fiael costs and/or mitigate energy cost increases. Costs associated with specific vehicle and equipment replacement will be addressed through the Capital Improvement Plan process. RECOMMENDATION(S): The Manager recommends that the Board; Adapt the attached Vehicle Fuel Conservation Policy effective January 1, 2006, subject to any further direction it may wish to provide. 2. Receive the report on County vehicle fuel use and measures and provide additional direction to staff as desired. Orange County Effective: (date) -DRAFT- Vehicle Fuel Conservation Policy A. General Attachment Orange County's "Environmental Responsibility in County Government" goal includes the objective: "Initiate policies and programs that conserve energy, reduce fuel/utility/resource consumption,,." In support of this goal, the County has adopted this Vehicle Fuel Conservation Policy, Costs for gasoline and diesel fuel for County vehicles and motorized equipment are significant. Beyond this, fuel consumption for vehicles and motorized equipment has significant environmental impacts. As a result, it is both necessary and beneficial for the County to adopt a policy of fuel conservation and efficiency. Water conservation and energy conservation for County buildings are addressed in separate policies. B. Purpose The purpose of this policy is to reduce the County government's vehicle fuel consumption, wherever possible; improve fuel efficiency; and maximize the use of alternative fuels for that fuel that must be used to operate Orange County vehicles and motorized equipment, consistent with the need for safe, and reliable County vehicles and motorized equipment. C. Policy Goals Establish the policy foundation of responsibilities, planning, programs, standards, performance measures and the like to manage the County government's vehicle fuel use and conserve fuel. 2, Manage vehicle and motorized equipment fuel consumption to minimize use to the greatest extent possible while maintaining safe and reliable vehicles and motorized equipment, 3. Provide for the use of alternative fuel (which may include compressed natural gas, bio-diesel, hybrid gas/electric, or the like) vehicles and motorized equipment, unless service needs cannot be met with an alternative fuel vehicle or motorized equipment - as determined by the County Manager. 4, Purchase vehicles and motorized equipment that meet service delivery needs with the greatest fuel efficiency possible whether alternative or traditional fuel. Orange County Effective: (date) Attachment 5. Achieve a reduction in average fuel consumption per mile annually for vehicles and per hour of operation for motorized equipment. 6. Support change to State agency policies that fasters monetary incentives to make fuel efficiency and alternative fuel efforts economically attractive and to streamline program justification requirements so that projects can be executed within a timely interval, and savings quickly realized. D. Scope This policy applies to all County awned and leased vehicles and motorized equipment and the operators of these vehicles and equipment. E. Responsibilities 1. Energy Conservation Task Group As provided in the County s Energy Conservation Policy, the Manager appoints an Energy Conservation Task Group. The Task Group provides direction, counsel and oversight as to implementation of the Vehicle Fuel Conservation Policy. As necessary, the Task Group addresses questions of policy interpretation and adherence. 2. Purchasing and Central Services Director The Purchasing and Central Services Director manages the vehicle acquisition or replacement process as provided in this policy. 3. County Manager The County Manager's advance approval is required for purchase of any new or replacement vehicle or motorized equipment. 4. Public Works Department The Public Works Department is responsible for: • Performing preventive and corrective maintenance for County vehicles and motorized equipment to ensure maximum fuel efficiency is achieved. • Preparing the annual vehicle replacement report. 5. Department Heads Department Heads are responsible for: Orange County Effective; (date) Attachment • Communicating the County's fuel conservation goals and policies to staff, providing gtaidance and promoting adherence. • The assignment of departmental vehicles to departmental staff, • For vehicles not assigned to a single individual, designating one operator and one backup operator to monitor use and schedule preventive maintenance service as needed. Communicating and justifying any request for new and replacement vehicles and motorized equipment as part of the annual budget process. • Monitoring employee conformance with requirements for vehicle and motorized equipment maintenance, including scheduling of preventive maintenance service. 6, Employees Employees who operate County vehicles and motorized equipment are responsible for ensuring that: • Tire and fluid inspections for vehicles are performed (by self, or by Motor Pool staff) according to published directions from the Public Works Department, • The assigned vehicle is scheduled and delivered to Public Works for preventive maintenance service within time and/or mileage intervals identified by Public Works, • Corrective maintenance is scheduled with Public Works as soon as possible when a problem with the vehicle is encountered or identified. • Vehicles are operated according to all applicable laws and rules of the road, This increases fuel conservation and safety. • Information about fuel transactions other than those through the automated fuel system are reported to Public Works as provided by Public Works procedures, F. Vehicle Operation Vehicles are to be operated in keeping with manufacturers recommendations and specifications, and applicable County policy. 2. To maximize fuel efficiency, vehicles are to be serviced at intervals identified by the Public Works Department. Orange County Effective: (date) Attachment 3. To meet department specific service levels while achieving the highest fuel economy, departments, where applicable, use geographic information systems (GIS) or other industry tools and standards to design and implement vehicular routes/schedules and deployment strategies/schedules. G. Fuel Conservation Action Plan Public Works, in consultation with the Energy Task Group and others involved, coordinates the development of an annual "Vehicle Fuel Conservation Action Plan." The annual action plan includes recommended charge back rates to departments for vehicle operation costs and recommendations for the annual "Vehicle Replacement Report." 2. The annual plan identifies specific actions to be implemented, proposed and estimated time lines and responsibilities for implementation. 3. The action plan is submitted to the Board of Commissioners for review and approval, in coordination with the annual budget process. 4. The action plan is reviewed and updated annually along with evaluation of the previous year's performance during the annual budget process. H. Charge Back Rates As part of the annual budget process, vehicle cost charge back rates to departments are set each year. Among other things, these take account of fuel and repair costs and are designed to promote the use of alternatively fueled and fuel efficient vehicles. I. Vehicle Acquisition The Purchasing and Central Services Director develops, communicates and maintains a written process for the systematic consideration of vehicle acquisition needs (whether new or replacement) and the decision-making as to the type of vehicle to be purchased, including whether it is an alternative fuel vehicle (which may include compressed natural gas, bio-diesel, hybrid gas/electric, etc.). Among other things, this process provides for the following: • Determination as to whether the vehicle needs to be acquired or replaced. • Determination as to whether an alternative fuel vehicle will meet the service needs. • Whether an alternative fuel vehicle that will meet the needs is available on State contract; or if not available on State contract otherwise available; or whether a retrofit of a standard fuel vehicle is an option.. Orange County Effective: (date) Attachment • Analysis of the costs of the alternative vehicle versus standard fuel vehicle • Report and recommendation to the County Manager on vehicle acquisition and replacement, • County Manager decision as to the specific vehicle to be acquired. 2, As part of the Item 11 process, Public Works prepares an annual "Vehicle Replacement Report" which includes recommended priorities for vehicle replacement, This report considers the following factors in prioritizing vehicle replacements: • Miles driven to date (odometer reading), • Mileage (miles per gallon) compared to baseline/industry standards for comparable vehicle. • Repair and maintenance cost per mile for most recent 12 months, compared to baseline/industry standards for comparable vehicles. • Vehicle use (front-line emergency response vehicle versus Motor Pool fleet vehicle), • Overall mechanical assessment by Public Works staff. 3, Vehicles identified for replacement are removed from service within one month of the replacement being placed in service, except with the written approval of the County Manager for the vehicle to continue in service.. J. Monitoring and Reporting 1. The Public Works automated fuel system provides records of most fuel transactions, Public Works obtains information regarding fuel received at other locations (UNC Chapel Hill, Town of Chapel Hill, etc.) and adjusts the transactions database accordingly. These data are used to create performance reports. 2, Information is used to benchmark performance: • From year-to-year for total miles driven and average miles per gallon. • Compare to results for similar vehicles/vehicle use in other local governments. In addition to actual vehicle fuel performance, the County reviews other benchmarks such as reducing reliance on fossil fuel vehicles,. Orange County Effective: (date) K. Programs 9 Attachment To support the vehicle fuel conservation, the County implements a variety of programs including: 1. Employee Awareness The County conducts communications programs to promote employee awareness of the need far fuel conservation. This includes activities such as distribution of the Vehicle Fuel Conservation Policy, reminders via pamphlets, e-mails, Orange Alive, coverage in new employee orientation, and opportunities at employee events to reinforce the conservation ethic. 2. Incentives Incentive programs will be developed to improve compliance and acceptance by employees who operate County vehicles. These may include department versus department contests, financial incentives, and the like. 3, Preventive Maintenance Preventive Maintenance procedures are used to obtain optimal fuel-efficient operation of all equipment. 4. Repairs Repairs/replacement of all vehicles and motorized equipment take into consideration the mast cast-effective solution over the life of the repair/equipment. This includes fixture maintainability, improved operation, improvements to fuel efficiency, requirement for additional or reduced preventive maintenance, and the like. Draft -November 29, 2Q05