HomeMy WebLinkAboutAGENDA REPORT 2014 0205 CCSA REG ITEM 10PITEM 10.P.
CITY OF MOORPARK, CALIFORNIA
City Council Meeting
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TO:
FROM:
BY:
DATE:
SUBJECT:
SUMMARY
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Honorable City Council
Jeremy Laurentowski, Parks and Rec~-tion Director-SL-
Jessica Sandifer, Management Analy
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January 30, 2014 (CC Meeting of Febru ry 5, 2014)
Consider Report on Electric Vehicle Supply Equipment Usage and
Continuing Availability for Use by the Public; and Resolution
Amending the Fiscal Year 2013/14 Budget by Appropriating $1,180
from the Traffic System Management Fund
Although estimates vary, most analysts agree that electric vehicles (EVs) will account
for approximately 2% to 5% of all vehicles on the road in the United States by the
year 2020. 5% of vehicle sales in the U.S. will account for an estimated 1,000,000
electric vehicles by 2020. It is difficult to predict the overall impact that the electric
vehicle will have on California, but according to the California Center for Sustainable
Energy (GCSE), there are currently more than 12,000 EVs driven in California today,
which is equivalent to approximately 35% of all the EVs sold across the United
States. As the proportion of the total EV car sales spread throughout the U.S.,
California car owners will most likely continue to dominate the majority of the market
and may account for approximately 4.5% to 8% of the ownership of EVs by 2020.
On December 19, 2012, the City Council approved the installation of two Blink Level
2 Commercial Pedestal Chargers and two ChargePoint Dual Level Charging
Stations, collectively known as Electric Vehicle Supply Equipment (EVSE). On
January 31, 2013, the two Blink charging stations were installed at the Metrolink
Station on High Street, one ChargePoint charging station was installed at the Civic
Center parking lot and one was installed at the public parking lot adjacent to the Post
Office on High Street. As discussed in the December 19, 2012 staff report, the City
funds the electrical costs and service fees in order to provide this equipment for
public use. ECOtality North America, the manufacturer of the Blink EVSE, has
established fees, predetermined by the manufacturer, for use of the equipment by the
individual subscriber or user. However, Coulomb Technologies, Inc. (CTI), the
manufacturer of ChargePoint EVSE, charges fees predetermined by the City, and
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Honorable City Council
February 5, 2014
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both manufacturers reimburse the City a percentage of the revenue generated by the
use of the EVSE. The revenue that the City receives is based on a percentage of
use, predetermined by the manufacturer, and has been established to compensate
for electrical and annual subscription fees.
DISCUSSION
It has been one year since the four EVSE's were put in service and it is time to
consider renewing the network service agreements. One major change with the
EVSE network is that EcoTotality, the parent company of Blink, filed for bankruptcy in
2013. The Blink chargers are those that are installed at the Metrolink station. The
Blink charging network has subsequently been purchased by CarCharging, Inc.
One Blink Network charger installed at the Metrolink station and one ChargePoint
charger installed at the Post Office are the most heavily used of the four chargers
and comprise the bulk of the charge time and kwh usage of all four chargers. Even
still, as expected, the usage at the charging stations the first year was low. Over the
last year, all four chargers were used for a total of 59 sessions for the ChargePoint
chargers and 61 sessions for the Blink Chargers or on average, 2.3 sessions per
week at all locations. A summary of the actual usage and costs for all locations can
be found below.
FISCAL IMPACT
·<ACTUAL
2013;~:Janua
Sessions KWH Gross
Charger (both Usage Revenue Cost**
stations * a rox.
Charge Point 59 371.596 $107.49 $63.17
Blink 61 518.55 $0 $88.15
* revenue for the Blink chargers is retained by Blink for the first year.
** estimated $0.17 per kwh
'-<.'·,
Fees*** Net
Revenue/
Cost
$10.75 $33.57
$0 $-88.15
For the first year, the costs of providing the ChargePoint stations for public use were
covered by the revenue received. For the Blink stations, the first year of operation
cost the City $88.15 in electrical costs. Since the chargers were provided to the City
free by Ecototality and no service fees were charged, the company retained all
revenues for the first year. During the second year, the company will share revenues
at an estimated 50% with the City. The revenue sharing was to be determined by the
company, likely based on the usage and costs of operating the Blink Network after
the first year. To-date staff has not received any information from the new owner's,
Car Charging Inc., regarding what the revenue sharing will be. If the revenue sharing
is below the estimated 50%, staff will return to the City Council to determine if we
want to continue the service with a lower revenue share.
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Honorable City Council
February 5, 2014
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As mentioned the service fees associated with these units were covered by the
manufacturers for the first year. Starting in the second year, in order to keep the
chargers available for public use, the City will need to pay an annual service fee for
each charger. The cost for the ChargePoint chargers is $230/charger/year for a total
of $460. Since Car Charging, Inc. has not supplied the actual service fee rate, the
service fee for the Blink chargers is estimated to be $360/charger/year for a total of
$720. As with the estimated revenue sharing, if the actual service fee is higher, staff
would return to City Council to determine if we want to continue service at the Blink
chargers.
PROPOSED***
KWH Gross KWH Fees** Service Net
Charger Usage Revenue Cost* Fees** Revenue/
(approx.) Cost
ChargePoint 371.596 $107.49 $63.17 $10.75 $460.00 $426.43
Blink 518.55 $160.00 $88.15 $80.00 $720.00 $-728.15
* estimated $0.17 per kwh
** estimated fees are 10% of gross revenue for Chargepoint and 50% of gross revenue for Blink
*** assumes same amount of usage as the current period
At the proposed usage rate, the costs of providing the ChargePoint chargers would
exceed expected revenue by $426.43 and for the Blink charger (using the 50%
estimation) it would exceed expected revenue by $728.15. It is expected that this
deficit will continue until electric vehicles become more mainstream and usage at the
chargers increases to approximately 10 hours or more per week at the current fee for
the ChargePoint charger and 15 hours or more per week at the Blink chargers.
Currently users are averaging 2 hours of use per week at the ChargePoint chargers
and 3 hours of use per week at the Blink chargers. As mentioned in the December
19, 2012 staff report, revenue generated by the charging stations is not expected to
cover the service plan fees for the first several years of use.
Staff is recommending continuing the public charging service for an additional year at
a total cost of $460/year with no adjustments to the usage fee rates for the
ChargePoint chargers and $720/year for the Blink chargers. Funds for these services
for the one year period (February 2014 to February 2015) have not been included in
the FY 2013/14 budget. A budget amendment is being requested from the Traffic
System Management Fund (2001) for the total amount of $1, 180 to fund the service
fees for the next 12 months.
Prior to the end of the next one-year period, staff will provide the City Council with an
analysis of the programs and future projection of overall costs and revenue, based on
the data collected after one additional year of use and recommendations for
continuing or discontinuing the service. Since the City sets the usage fees for the
ChargePoint chargers, it may be prudent to review the usage fees again to determine
if a change is warranted based on revenue and usage at the stations.
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Honorable City Council
February 5, 2014
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STAFF RECOMMENDATION (ROLL CALL VOTE)
1 . Approve renewal of service fees for public charging at the ChargePoint
Electric Vehicle Charging Stations located at City Hall and the Post Office and
the Blink Electric Vehicle Charging Stations located at the Metrolink station,
and authorize the City Manager to sign all documents relevant to the renewal.
2. Adopt Resolution No. 2014-__
Attachment -Resolution
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ATTACHMENT 1
RESOLUTION NO. 2014---
A RESOLUTION OF CITY COUNCIL OF THE CITY OF
MOORPARK, CALIFORNIA, AMENDING THE FISCAL YEAR
2013/2014 BUDGET BY APPROPRIATING $1,180.00 FROM
THE TRAFFIC SYSTEM MANAGEMENT FUND (TSM) (2001) TO
FUND THE SERVICE FEES FOR THE ELECTRIC VEHICLE
CHARGING STATIONS AT CITY HALL, THE POST OFFICE,
AND THE METROLINK STATIONS
WHEREAS, on June 19, 2013, the City of Moorpark adopted the Operating and
Capital Improvement budget for Fiscal Year 2013/14; and
WHEREAS, on December 19, 2012, the City Council approved the installation of
ChargePoint Electric Vehicle Charging Stations at City Hall and the Post Office, and
Blink Network Electric Vehicle Charging Stations at the Metrolink Station; and
WHEREAS, for the first year of use, the service fees were waived by the
manufacturers; and
WHEREAS, in order to continue providing the electric vehicle charging stations,
both manufacturers require an annual service fee be paid; and
WHEREAS, a budget adjustment for additional appropriation of $1, 180.00 from
the Traffic System Management Fund (2001) is requested to fund the service fees; and
WHEREAS, Exhibit "A", attached hereto and made a part hereof, describes said
budget amendment and the resultant impact to the budget line items.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF MOORPARK
DOES HEREBY RESOLVE AS FOLLOWS:
SECTION 1. A budget amendment in the amount of $1,180.00 from the Traffic
System Management Fund (2001) as more particularly described in Exhibit "A",
attached hereto, is hereby approved.
SECTION 2. The City Clerk shall certify to the adoption of this resolution and
shall cause a certified resolution to be filed in the book of original resolutions.
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Resolution No. 2014 ---
Page 2
PASSED AND ADOPTED this 5th day of February, 2014
Janice S. Parvin, Mayor
ATTEST:
Maureen Benson, City Clerk
Exhibit A -Budget Amendment
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EXHIBIT A
BUDGET AMENDMENT FOR
Traffic System Management Fund (2001) for Service Fees for Electric Vehicle Charging Stations at City Hall, the
Post Office, and the Metrolink Station
2013/14
FUND ALLOCATION FROM:
Fund Account Number Amount
Traffic System Management Fund 2001-5500 $ 1, 180.00
Total $ 1,180.00
DISTRIBUTION OF APPROPRIATION TO EXPENSE ACCOUNTS:
Account Number Current Budget Revision Amended Budget
2001.7620.0000.9102 $ -$ 230.00 $ 230.00
2001.7620.5052.9102 $ -$ 230.00 $ 230.00
2001.8510.0000.9102 $ -$ 720.00 $ 720.00
Total $ -$ 1,180.00 $ 1,180.00
Approved as to Form: ~
388