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File #: 2020-350    Version: 1 Name:
Type: Consent Status: Agenda Ready
File created: 5/27/2020 In control: City Council
On agenda: 6/16/2020 Final action:
Title: CONSIDER APPROVING PURCHASES OF COMPRESSED NATURAL GAS (CNG) FUEL FROM CLEAN ENERGY FUELS CORP (CITY COUNCIL)
Attachments: 1. Exhibit No. 1 - Clean Energy fuel discount (pages 3-4)., 2. Exhibit No. 2 - CMC Section 2611 (pages 5-10)., 3. Exhibit No. 3 - CMC Section 2605 waiver (page 11).
Date Ver.Action ByActionResultAction DetailsMeeting DetailsVideo
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Report to Mayor and City Council
Tuesday, June 16, 2020
Consent


SUBJECT:
Title
CONSIDER APPROVING PURCHASES OF COMPRESSED NATURAL GAS (CNG) FUEL FROM CLEAN ENERGY FUELS CORP (CITY COUNCIL)

Body
I. SUMMARY

The City of Carson's Public Works and Community Services departments operate several vehicles that run on Compressed Natural Gas (CNG) fuel. Since 2009, the City has obtained CNG fuel from Clean Energy Fuel Corp (Clean Energy) for their competitive pricing and closer proximity to the City than other competitors. Clean Energy is typically priced 10-20 cents lower per unit than its closest competitors in Downey, Cerritos, and Buena Park. Torrance, Long Beach, and Santa Monica also utilize Clean Energy for their vehicles and buses. Bidding is not required for purchases of CNG as fuel purchases fall under the category of Other Purchases as defined by Section 2611 (i)(11) of the Carson Municipal Code. Tonight, the City Council is asked to approve purchases of CNG fuel from Clean Energy for two years through the end of Fiscal Year 2021-2022.


II. RECOMMENDATION
Recommendation

APPROVE purchases of CNG fuel from Clean Energy through the end of Fiscal Year 2021-2022 in the total amount of $281,000 per year.

Body
III. ALTERNATIVES

TAKE another action the City Council deems appropriate.

IV. BACKGROUND

The City of Carson operates several vehicles that run on CNG fuel. The Department of Public Works utilizes CNG fuel for vehicles used for dumping debris and patching road surfaces. The Department of Community services utilizes CNG for the City's buses.

Based in Newport, California, Clean Energy is a nationwide provider of CNG fuel. The City has utilized Clean Energy since 2009 for their close proximity to the Corporate Yard. Staff is able to fuel at stations in Carson, Wilmington, and in Long Beach. The only other CNG providers in the region are located in Downey, Huntington Beach, and Buena Park. As the City typically consumes upwards of 8,000 Gasoline Gall...

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