Zero-Emission Freight “Shore-to-Store” Project ATTACHMENT 2: PROJECT NARRATIVE AND WORK PLAN PROJECT NARRATIVE In support of the California Air Resources Board’s (CARB’s) vision of transformative emissions reduction, the City of Los Angeles Harbor Department (Harbor Department) proposes to partner with a team of very important industry leaders to establish a new forward-looking framework for future movement of goods throughout Southern California and other parts of the State. The team is dedicated to developing this concept in several phases, and to ultimately encompass activity in Southern California, the California Central Coast Area, and Merced County in the California Central Valley. The City of Los Angeles Harbor Department (Port, Harbor Department, POLA) requests $41,122,260 from the CARB’s Zero- and Near-Zero Emission Freight Facilities (ZANZEFF) Project funding, to conduct the Zero Emission Freight “Shore-to-Store” Project (S2S), which is summarized in the table and graphic below. Industry and End User partners are all contributing to the success of this project either financially or by providing in-kind assistance. Project Title: Zero-Emission Freight "Shore-to-Store" Project Total Project Budget: $82,568,872 Funding Amount Requested: $ 41,122,260 Match Funding Total: $ 41,446,612 (50.2 %) Match Funding Breakout: Cash: $ 14,317,281 In-Kind: $27,129,331 Applicant: Port of Los Angeles, Public Entity OEM and Infrastructure Industry Equilon Enterprises LLC (d/b/a Shell Oil Products US) (Shell) Partners (Technology Development Toyota Motor North America (Toyota) Team): Kenworth Truck Company (Kenworth) Toyota Logistics Services, United Parcel Service, Total End Users (Demonstration Partners): Transportation Services, Inc., Southern Counties Express, Port of Hueneme, Air Liquide Independent Third-Party Data National Renewable Energy Laboratory Collection and Analysis Provider Technical Advisor and Agency Funding South Coast Air Quality Management District (SCAQMD) Partner Community Advisor Coalition For A Safe Environment Disadvantaged Community Zip Codes 90220, 90247, 90248, 90731, 90744, 90802, 91761 Equipment funded with a public The hydrogen refueling station at the Port of Long beach has incentive program and state its been awarded $8 million from CEC’s Alternative and Renewable incentive program status (Shell/POLB Fuel and Vehicle Technology Program (ARFVTP) and $1.2 H2 Station) million from SCAQMD’s Clean Fuels Program.2 Equipment funded with a public CEC Agreement ARV- 15-069 for 25 ZE and NZE yard incentive program and state its tractors, and CEC Agreement ARV-16-025 for ZE yard tractors incentive program status and top handlers and advanced smart charging, in the amount of (POLA/Everport ZE and NZE $7,237,000 and $6,762,331, respectively. demonstrations) 2 Appendix B provides evidence of funding approval for these projects. 1 TRANSMITTAL 1 Zero-Emission Freight “Shore-to-Store” Project 1. Applicant Qualifications The Port of Los Angeles is the nation’s number one container port and a global model for sustainability and social responsibility. The Port brings extensive experience developing, implementing, and administering both large-scale air quality incentive projects and programs and technology demonstrations through its landmark Clean Air Action Plan (CAAP) and through other initiatives that support CAAP objectives. The CAAP, a joint effort with the Port of Long Beach, is a comprehensive program to reduce port-related emissions to make the region a cleaner, healthier place to live and work. In 2016, the California Air Resources Board (CARB) awarded the Port $15 million from its Air Quality Improvement Program (AQIP) for the Port’s Green Omni Terminal Demonstration project. This AQIP experience ensures that the Port is fully aware of the detailed and active project management that is required for successful implementation of large demonstration projects and already has the tools in place to implement the proposed S2S Project, if grant funding is awarded. The proposed project has the full commitment of the Port’s Executive Director and the Director of Environmental Management, ensuring that resources will be available throughout implementation of the project at the levels necessary for success. Through the project team’s existing relationships and extensive coordination with OEM technology providers and vehicle/equipment manufacturers, freight fleet operators, as well as other project stakeholders, the project team has met the match funding requirements for this project. In addition, a number of projects are summarized below that further support the Port’s robust grant implementation experience. Experience with Large-Scale Air Quality Incentive/Technology Demonstration Projects Green OMNI Terminal Demonstration Project – In 2016, Pasha and the Port of Los Angeles began the Green Omni Terminal Demonstration Project. The project involves testing clean cargo handling equipment and infrastructure at the Pasha terminal to create a working laboratory for advancing zero and near-zero emission technologies at the Port. Additionally, Pasha is working to install a solar-powered microgrid with a 1.03 megawatt photovoltaic rooftop array, a 2.6 megawatt-hour battery storage system, charging equipment that can both receive and supply power and an energy management control system. This project received a $14,510,400 grant from the California Air Resources Board. To date, 66% of the funds have been received. Advanced Yard Tractor Deployment/Eco-FRATIS Drayage Project – This project includes testing of a new fleet of 25 zero and near-zero emission yard tractors at the Everport marine container terminal in the Port of Los Angeles. Additionally, a companion project will equip 100 more drayage trucks with smart technology aimed at reducing emissions by streamlining their time on the road and improving the flow of containers to and from the port complex. This project received a $5,833,000 grant from the California Energy Commission’s (CEC) Alternative and Renewable Fuel and Vehicle Technology Program (ARFVTP). Subrecipient agreements are fully executed and the electric and renewable LNG yard tractors are under development. This project initiated POLA’s zero-emission pathway vision. Advanced Cargo Handling Demonstration Project, Everport – This project expands on existing demonstrations of zero- emission goods movement technologies by taking another step toward implementation of a zero emissions pathway for loading and unloading cargo throughout an entire marine container terminal with the demonstration of two zero- emission top handlers and three next generation yard tractors. The top handlers will be charged with standard infrastructure and the yard tractors will be “fueled” by a state of the art Automated SmartCharger System (ASCS), the first of its kind at the Port of Los Angeles. This project was awarded a $4,600,000 grant from the California Energy Commission’s ARFVTP, and all subagreements are fully executed. This project is underway, and POLA is close to issuing bids for the infrastructure construction. 2. Project Team Capabilities and Degree of Industry Collaboration The Harbor Department has carefully assembled an industry-leading team of technology manufacturers (OEMs) and industry partners/end users to provide scalable zero-emission hydrogen fuel cell trucking solutions and enhanced market acceptance for heavy-duty hydrogen fuel cell technology. The Harbor Department’s project partners and subcontractors include: 2 Zero-Emission Freight “Shore-to-Store” Project Responsibilities and *Relationship to Harbor Key Participant Role Department Grant Administration and Reporting, Project Leadership, Harbor Department Applicant/Grantee Oversight of Technology Demonstration, Oversight of Data Collection and Reporting Subcontractor Design, Build and Operate the high-capacity H2 station for Shell H2 Station Lead freight in Ontario, CA, in Wilmington, CA and in the Port of Long Beach, CA Design and integrate Fuel Cell Electric Drive systems for Toyota Motor North Technology Class 8 trucks, site location for hydrogen stations in POLB America Manufacturer and Gardena, and warehouse location of ZE forklifts. Design and build ten Class 8 FCEV trucks, integration of the Kenworth Truck Technology Toyota drive system, support interface with Data Collection Company Manufacturer Team Demonstration Port of Hueneme Electric Yard Tractors for POH Partners TTSI, SCE, UPS, Toyota End Users Equipment Operations for Demonstration Logistics Services, Port of Demonstration (14 zero-emission units total, including both fuel cell and Hueneme Partners3 battery electric) Operations and maintenance support for medium-capacity Air Liquide H2 Station Support stations at Toyota Logistics Services in POLB and Toyota Technical Center in Gardena National Renewable Data Collection and Data Collection, Analysis and Reporting – Lead, proposed Energy Laboratory Analysis Provider scope will be covered under direct contract with POLA South Coast Air Quality Zero-Emission Technology Demonstration and Technical Advisor Management District Commercialization Advisor, direct co-funding support Coalition For A Safe Community Advisor– Provide comments and advice from Community Advisor Environment community perspective and assist w/ outreach Technical Qualifications, Capabilities and Industry Collaboration Below is a summary of the technical qualifications and capabilities of the project partners as well as the key personnel serving as project leads. Key personnel were