RLNG_Bid_Specs_-_2025.docx

BID SPECIFICATIONS/SCOPE OF WORK

BID#

Bidders shall review any plans/specifications prior to submitting a bid AND report any errors and omissions to Procurement at least three (3) business days prior to the bid opening date.

GENERAL SCOPE OF WORK AND SPECIFICATIONS

The City of Santa Monica’s Department of Transportation (SMDOT) is seeking bid responses to supply and deliver Renewable Liquid Natural Gas (RLNG) that is made entirely from organic waste for commercial vehicles on an as-needed basis per the specifications set forth below.

The successful bidder(s) shall furnish all trucks, trailers, off-loading hose(s), tools, equipment, resources, apparatus, facilities, transportation, labor, and materials necessary to furnish the services herein described. The successful bidder(s) shall notify BBB and obtain prior written approval if these items are to be subcontracted.

SMDOT is committed to maintaining a municipal bus line with the lowest emissions and highest sustainability possible. The intent of these specifications is to find a vendor who can provide reasonably-priced RNLG to the City using the lowest carbon footprint possible.

1.0 CITY FACILITIES AND VEHICLES

The City’s RLNG/RCNG fueling station is located at 1620 6th Street, Santa Monica, CA 90401. The station is used to dispense both RLNG and RCNG to transit coaches as well as medium and light duty vehicles. The operation of the station is 24/7, and also has a RCNG 2-hose dispenser located at the corner of Olympic and 5th Avenue. The City’s station is comprised of the following major components: two horizontal 30,000 gallon storage vessels; two single function RLNG pumps; two RLNG conditioning heat exchangers; one dedicated RLNG offloading pump module; two RLNG dispensers; two dispenser control units; two RL/CNG pumps; six RCNG storage tubes (12,000 scf capacity each @ 5,000 psi); two RL/CNG pump control panels; one natural gas odorizer; two RL/CNG ambient air heat exchangers; two single hose transit type dispensers, two dual hose RCNG dispensers; one flame & combustible gas detection system; and an EAM Fuel Focus fuel management card reading system.

Currently, SMDOT operates 76 RLNG powered transit coaches, and 124 RCNG powered transit coaches for a total of 200 transit coaches powered by RNG. In addition, the RLNG supplies the RCNG fueling station for the City’s service vehicles.

2.0 DELIVERY REQUIREMENTS AND PRODUCT SPECIFICATIONS

A. DELIVERY REQUIREMENTS

All RLNG fuel deliveries shall meet minimum product specifications set forth in Section B, below.

Bidder shall provide a steady and consistent supply of RLNG to the SMDOT. The quantity is approximately 310,000 gallons per month. The City currently anticipates 6 deliveries per week, with 24 hours’ notice from order to delivery. The City reserves the right to increase or decrease deliveries based on operational needs.

All deliveries shall be made to the City’s fueling station located at 1620 6th Street, Santa Monica, CA 90401. The Bidder shall schedule and receive deliveries as frequently as needed and in sufficient quantities such that fuel is available seven (7) days per week, 365 days a year (including all holidays). All deliveries shall be made between the hours of 6am and 10am. Any deviation from this time window must be approved in advance by the Transit Facilities Maintenance Supervisor or designee. All orders must be pre-approved by the City.

The successful bidder(s) may be required to install a remote monitoring system to track RLNG tank levels at the property and is responsible for scheduling and making deliveries based on the new monitoring system. SMDOT has two 30,000 gallon tanks and a minimum 40,000 gallons of RLNG fuel must be maintained at all times. If bidder is unable to meet this requirement, notification shall be given immediately and shall include the reasons for any possible delays and the steps being taken to remedy any such problems.

Bidder, its agents or employees, must notify the Transit Facilities Maintenance Supervisor or designee upon delivery of RLNG fuel, as all fuel deliveries to the SMDOT bulk storage tanks must be approved and signed for by the Transit Facilities Maintenance Supervisor or designee.

Bidder shall weigh RLNG deliveries at the nearest approved weighing location to the property and use the weigh ticket as a means to calculate the amount of RLNG delivered.

Upon delivery of the RLNG fuel to the City of Santa Monica, Bidder shall submit to SMDOT, along with the bill of lading (which must include weights) or other accompanying documentations, before/after pressure and fuel gauge reading taken from the delivery truck and SMDOT storage tanks.

RLNG delivered to the property shall have a head pressure no greater than 15 psi saturated. If head pressure exceeds 15 psi saturated, the fuel delivery shall be rejected and not be allowed to offload. Trailer tanks may not be vented down prior to, during, or after offloading RLNG fuel into the onsite vessels. In the event trailer tanks have to be vented prior to offloading, the venting may not take place within Santa Monica city limits.

All RLNG tanker trucks making deliveries shall be properly certified by the State of California including but not limited to Vehicle Tank Measurement Certificates, and in accordance with Federal Department of Transportation regulations, policies, and procedures. The City reserves the right to request copies of such certificates. If requested, Bidder shall provide copies of requested certificates within three (3) days after notification is received.

All drivers making deliveries of RLNG fuel to the City of Santa Monica shall have Hazardous Materials Endorsements on their Commercial Driver’s license, and such other Endorsements as may be required by relevant laws and/or regulations.

Bidder shall provide vapor return to the tanker from the RLNG storage tanks. Minimum amount of vapor shall be released after vessel loading is completed. This amount shall not be more than the full liquid amount within the transfer hose.

B. PRODUCT SPECIFICATIONS

The RLNG sold and delivered to the City shall contain no less than ninety-seven percent (97%) methane, no more than one percent (1%) ethane, and one-half percent (1/2%) other hydrocarbons, with the balance to be inert gases.

The City of Santa Monica reserves the right to periodically request a written laboratory report (within five days of request), at Bidder’s expense, containing the specifications of the RLNG contained in the Bidder’s bulk storage tank from which SMDOT’s supply is drawn.

3.0 BIDDER QUALIFICATIONS

A. Minimum Requirements

1) Bidders shall provide written proof of ability to furnish and deliver RLNG produced from biogas generated from landfills, municipal wastewater treatment facility digesters, agricultural digesters, or separated municipal solid waste digesters. Bidders shall identify the location and type of biogas generation or capture facility or facilities, the amount of RLNG produced per day at each facility, and the location of each liquefaction facility, including miles from liquefaction plant to drop point at BBB. In order to maintain the lowest carbon footprint possible, vendors with liquefaction plants in closest proximity to the City will receive preference. Bidders shall provide a current RLNG fuel supply and delivery contract with another public agency.

2) Bidders shall provide a carbon intensity value for the proposed RLNG pathway(s) using a methodology approved by the California Air Resources Board (“CARB”) under the Low Carbon Fuel Standard program. Bidders shall submit with bids unredacted versions of any pending or approved application(s) to generate LCFS or RIN credits under the pathway or pathways proposed to supply the City of Santa Monica. In addition, Bidders shall estimate the operational greenhouse gas emissions from a typical delivery vehicle traveling a round-trip from the liquefaction facility to the delivery point. The lowest possible greenhouse gas intensity is preferred.

3) Bidders shall provide a minimum guaranteed biomass or biogenic content for the supplied RLNG (biogas mass as a percentage of total mass) AND/OR a supplier-specific emission rate for the biogas calculated in accordance with The Climate Registry's General Reporting Protocol or The World Resources Institute's GHG Protocol.

4) Bidders shall provide full documentation for any and all credits or certificates generated as a result of this contract under the California Air Resources Board's Low-Carbon Fuel Standard (LCFS) program, the US EPA's Renewable Fuel Program, or applicable credits from any successor program designed to reduce the carbon intensity of transportation fuels. Bidders shall propose a revenue share of applicable credits sold through arms-length transactions. Bidders who offer the greatest share of applicable credits will receive preference.

5) Bidders shall provide the emission factors (kg CO2 per gallon or gallon-equivalent or standard cubic foot; grams CH4 and grams NO2 per mile driven) of proposed RLNG. The emission factor data of point of liquefaction to point of delivery in Santa Monica, will be used in the evaluation of the bid with lower emission factors receiving preference. Bidders shall provide an analysis of the potential greenhouse gas emissions reduction compared to use of virgin natural gas; the estimated quantity of 250,000 gallons/month may be used. Bidders may provide any additional documentation that will support reporting of greenhouse gas emissions per the Climate Registry’s Local Government Protocol.

6) Bidders shall provide the City any, and all Low-Carbon Fuel Standard (LCFS) emission credits and must share a percentage of the monetary fuel credits. Bidders shall include with bid the Bidder’s ability to pass LCFS emission credits and percentage of monetary fuel credits. Bidders with greatest ability to pass LCFS emission credits and percentage of monetary fuel credits will receive preference.

7) Bidders must be able to provide RLNG that has a saturation pressure of no greater than 15 PSI. Bidders shall include in bid response Bidder’s experience with delivering RLNG with less than 15 PSI of head pressure to transit agencies in California. Bidders shall provide a current client list of transit clients that they provide RLNG that has less than 15 PSI of head pressure. Failure to provide a transit client list with reference names and contact information shall disqualify bid.

8) Bidders shall include a description of the Bidder’s background and experience in supplying RLNG fuel to other transit customers. Bidder must a minimum of three years in providing RLNG to California municipal or transit agencies.

9) Bidders shall provide the City with proof of compliance, upon request, of relevant local, state, and federal laws/regulations. The successful Bidder shall also notify the City of any changes, amendments, and modifications in relevant regulations, laws, statues and policies. In addition, the successful Bidder shall meet all required codes and regulations, as exampled by federal, state, city, and fire codes as they pertain to the transport, delivery and dispensing of RLNG fuel throughout the term of any contract awarded pursuant to this Notice Inviting Bids.

10) Bidders shall submit with bid a full analysis of their responsibilities under AB32 as a result of their RLNG delivery to BBB. Bidders shall also submit a description of who bears the AB32 compliance obligations, and any associated costs (if any), under AB32 based on delivery of RLNG. The City prefers the highest amount of LCFS credits with the lowest price and the closest proximity to the City. Failure to supply detailed analysis and description of who bears the AB32 compliance obligations shall result in disqualification of bid.

11) Bidder shall include in their bid written detail how they shall provide RLNG fuel should their primary source of RLNG fuel become unavailable. Within this detail, provide the names of primary and secondary sources of RLNG fuel as designated City of Santa Monica fuel sources. It is understood that a force majeure shall only occur if both of these sources of supply cannot provide RLNG fuel.

B. Restrictions

1) No subcontracting, farming-out, or trading services will be allowed on this contract unless specifically approved in writing and in advance by SMDOT.

4.0 COST

The Bidder shall be responsible to provide as part of this Notice Inviting Bids:

· The price of RLNG fuel per RLNG gallon delivered to the station.

· Percentage of LCFS credits shared with the City of Santa Monica.

· The City of Santa Monica is requesting pricing for both fixed and variable LCFS sharing where a variable model would be based on the LCFS credit price for each month and a fixed model would be fixed to a contracted amount.

· A cost breakdown of the RLNG price including freight and weighing charges, and any charges for delivery delay. Bidders shall use the monthly adjusted Natural Gas Price Index based upon the So. Cal Border price.

· Bidders may also bid the fuel supply commodity as a fixed price for two years.

· Pricing shall be based on an estimated annual usage of 250,000 LNG Gallons/Year.

5.0 TERM

The term of this contract will be for a period of five (5) years.

6.0 REPORTING

Bidder shall provide monthly and annual reports of LCFS emission credits provided to the City. The credits must be certified by the governing agency overseeing LCFS credits.

Bidder to provide monthly reports of RLNG chemical makeup. RLNG delivered to the City shall be no less than 97% pure methane.

7.0 LIQUIDATED DAMAGES

Bidder shall provide a steady and consistent supply of RLNG to SMDOT with typically 6 deliveries per week, with twenty-four (24) hours’ notice from order to delivery. Failure to deliver RLNG to the City within twenty-four (24) hours of a delivery request that causes SMDOT to miss the day’s pull-out requirement shall result in liquidated damages being assessed in the amount of $300 per bus per day. Estimated associated costs include, but are not limited to, loss in revenue, loss of goodwill, required community outreach, loss and or repairs to fuel system(s) attributed to not providing fuel, damages to the fuel system caused by delivery of fuel, costs associated in seeking a secondary fuel source including staff time and additional fuel costs. These damages shall be deducted from any monies due, or which may thereafter become due, to Bidder under this Contract on a per day, per bus basis.

FORCE MAJEURE (ACTS OF GOD)

In the event performance under a contract awarded pursuant to this Notice Inviting Bids is delayed or suspended, and if such failure arises out of causes beyond the control of and without fault or negligence of the successful bidder, the successful bidder shall notify the City, in writing, within twenty-four (24) hours, after the commencement of the delay. Such causes may include, but are not limited to, Acts of God, war, or acts of public enemy, acts of any governmental entity in its sovereign or contractual capacity, fires, floods, epidemics, strikes and unusually severe weather.

Bidders may be asked to make an oral presentation and demonstrate their product and services during the bid evaluation process.

Such presentations and/or demonstrations will be conducted at the SMDOT Maintenance Facility at 1620 6th Street, Santa Monica, CA, 90401.

Bidders are responsible for all travel expenses incurred. SMDOT reserves the right to award a contract without bidder presentation.

9.0 Historical Purchase Quantities

Historical Fuel Volume

10.0 PRICING/CRITERIA

The Bidder shall furnish all necessary labor, materials, tools, equipment and supervision in accordance with the requirements of this Solicitation. Bidder’s pricing shall include all costs and the fixed fee portions shall remain firm for the term of any contract awarded pursuant to this Notice Inviting Bids.

AUTHORIZED DISTRIBUTOR

Any successful bidder must be an Authorized Distributor for the product he, she or it offers, or with must submit documentation from an authorized distributor that he, she or it has purchased the specified product/equipment from that distributor and that the distributor will honor all of the manufacturer’s warranties.

COMPLIANCE OR DEVIATION TO SPECIFICATIONS

It is understood that the material, equipment or service offered by the bidder will meet all requirements of the specifications in this Notice Inviting Bids, unless deviations therefrom are clearly indicated in the pages of this Notice Inviting Bids, or in an attachment entitled “Exceptions to Specifications” submitted and signed by bidder or bidder’s authorized representative. In order for the bid to be considered, bidder shall include an explanation for each item to which an exception is taken, giving in detail the extent of the exception and the reason for such exception. Although submittal of a brochure or other manufacturer literature is desirable as additional information, submittal of a brochure or other manufacturer literature as substitution for the compliance/deviation information described above shall not be deemed to be in compliance with this requirement, and may be grounds for rejection of a bid. Bidder shall submit with his, her or its bid full descriptive data, including make and model specifications, general drawings (if applicable), brochures and any other information on the material specified herein.

DETERMINATION OF SUBSTITUTIONS

The City reserves the right to determine as to whether any substitutions or deviations are within the intent of the bid specifications and will reasonably meet the service requirements of the City. Furnishing catalog sheets with technical data will not be accepted as proper notice of a substitution or a deviation from the specifications.

If the specification allows for “approved equal”, bidder must provide all information with their bid in order for the City to determine if the product offered is an equal to the brand specified and/or meets the technical specifications. The City reserves the right to determine whether the substitution is equal to the brand specified or the stated technical specifications. The decision of the City regarding equality shall be final.

DELIVERY TIME

Delivery time will be a factor in award of bid, where a maximum time for delivery is stipulated herein. Delivery time must be shown on the Bid Proposal.

ESCALATION & DE-ESCALATION OF BID PRICE

During the life of a contract awarded pursuant to this Notice Inviting Bids, including any extensions thereof, there may be a general published manufacturer’s price change OR a general market change, as evidenced by prices paid by other governmental entities or private organizations, in either the cost of materials or labor of the product or service specified herein. Within thirty (30) calendar days of a DECREASE in price, a successful bidder shall have an AFFIRMATIVE DUTY to (1) notify the City of market, manufacturer or laborer decreases in prices; and (2) to extend the full decrease to the City. Failure of a successful bidder to notify the City and/or extend such decrease(s) may be considered a breach of contract.

In event of an INCREASE in price, the City may allow, upon presentation of suitable proof and thirty (30) calendar days’ advanced written notice, an increase over bid price. Increases will apply only to products or services affected by an increase in raw material, labor, or other like cost factors. No increase will be allowed earlier than sixty (60) calendar days from date of contract award, including thirty (30) calendar days’ advanced written notice.

MANUFACTURER’S WARRANTY

Bids shall be accompanied by a copy or description of the manufacturer’s warranty for the item(s) proposed. The description shall include the length and scope of the warranty, and will be evaluated as a factor in award of bid.

NEW AND UNUSED

Unless specifically provided to the contrary, all items and material specified are new and unused and have the current production year. Bids which are received for other than the current production year, or for items and materials which have been previously used, will be rejected.

SANTA MONICA NAME

Successful bidder is specifically denied the right of using in any form or medium the name of the City of Santa Monica for public advertising unless express permission is granted by the City.

VENDOR WARRANTY

Any successful bidder shall fully warrant all materials, equipment, including, without limitation, any optional equipment purchased by the City under the terms of this Notice Inviting Bids, against poor and inferior quality equipment and materials, for a period of not less than one (1) year from date of the final acceptance by the City.

While under warranty, any successful bidder shall repair or replace inoperable equipment or material in a timely manner so as to minimize the possible disruption of City operations resulting from said inoperable equipment or material.