Meeting_Body
OPERATIONS, SAFETY, AND CUSTOMER EXPERIENCE COMMITTEE
JULY 17, 2025
Subject
SUBJECT: METRO NON-REVENUE VEHICLE PROCUREMENT POLICY
Action
ACTION: APPROVE RECOMMENDATION
Heading
RECOMMENDATION
Title
ADOPT the Metro Non-Revenue Vehicle Procurement Policy (Attachment A).
Issue
ISSUE
This report is in response to a Board approved amendment by Director Yaroslavsky requesting the development of a non-revenue vehicle purchasing policy that prioritizes zero-emission vehicles (ZEVs). The Metro Non-Revenue Vehicle Procurement Policy establishes a framework for transitioning Metro’s Non-Revenue Fleet to ZEV. This policy supports Metro’s climate and sustainability goals, including a 79% reduction in operational emissions by 2030 compared to 2017 levels. For specialty vehicles not yet available in zero-emission configurations, the policy requires the use of the cleanest fuel options currently available.
Background
BACKGROUND
With the purchase of 147 electric vehicles (EVs) through the State Contract, Metro will increase its electric vehicles to 13% of the total non-revenue fleet. The proportion of zero-emission vehicles will continue to grow in alignment with the fleet replacement schedule.
At its January 2025 meeting, the Board approved amendments related to the replacement of non-revenue vehicles through the California statewide contract. Specifically, the Director Yaroslavsky amendment directed the development of a non-revenue vehicle purchasing policy that prioritizes ZEVs and mirrors, to the extent feasible, existing zero-emission fleet purchasing policies at the City of Los Angeles and County of Los Angeles. The Director Butts amendment directed that the new policy incorporate, where needed, exceptions for sedans and other light weight vehicles used for safety and security and operational requirements.
Discussion
DISCUSSION
The Metro Non-Revenue Vehicle Procurement Policy provides guidelines for the acquisition of non-revenue vehicles and supports Metro’s commitment to transition to a zero-emission fleet. The policy prioritizes the adoption of zero emission vehicles (ZEVs) during the procurement process.
The primary goals of this policy are to transition Metro’s Non-Revenue fleet to 100% zero emission vehicles where operationally viable, in accordance with the fleet replacement schedule, ensure fiscal responsibility through strategic procurements, the use of grants/incentives, when feasible, and procure vehicles with appropriate range capabilities to meet all operational scenarios.
This policy establishes clear criteria to determine when the procurement of zero-emission vehicles (ZEVs)are appropriate. It also ensures alignment with Metro’s established fleet replacement guidelines, including planning requirement for supporting charging infrastructure, and defines specific exemptions when ZEV adoption is not currently viable.
• The Transit Operational and Safety Performance (TOSP) Exception of the policy provides operational flexibility by allowing Metro departments to procure non-zero-emission vehicles when ZEV options are not yet viable for specific, or mission-critical applications. Such as vehicles that are essential to protecting public safety,
This policy supports Metro’s long-term goal of transitioning to a zero-emission vehicle fleet wherever feasible and operational practical.
Determination_Of_Safety_Impact
DETERMINATION OF SAFETY IMPACT
The Metro Non-Revenue Vehicle Procurement Policy prioritizes safety and does not compromise the safety of the vehicles or the employees who operate them.
Financial_Impact
FINANCIAL IMPACT
Adoption of the Non-Revenue Vehicle Purchasing Policy will initially result in a financial increase to the agency due to the higher up-front costs of purchasing zero-emission vehicles and infrastructure. However, this financial impact is expected to decrease over time due to the lower maintenance costs projected for battery electric vehicles and the lower cost of electricity over fossil fuels. The budget for purchasing Non-Revenue vehicles is allocated within Cost Center 3790, Maintenance Administration, Non-Revenue Vehicles and 3196, Central Oversight & Analysis, under Account 53106, Acquisition of Service Vehicles. Additional funding may also come from other departments for their specific projects. As this this policy pertains to future vehicle purchases, the project manager, cost center manager, and Deputy Chief Operations Officer of Maintenance and Engineering will be responsible for budgeting the costs for future fiscal years.
Impact to Budget
The initial impact on the budget is substantial due to the higher purchase price for zero-emission vehicles and the costs associated with installing zero-emission charging and/or fueling infrastructure. However, several programs are available to help offset these additional expenses. Metro is currently leveraging the Southern California Edison Charge Ready program, where applicable to cover most of the costs related to Battery Electric Vehicle charging infrastructure. The agency will continue to pursue funding opportunities to minimize the financial burden of replacing Internal Combustion Engine powered vehicles with Zero Emission Vehicles. The current sources of funds for this action are the State Transportation Development Act (TDA) and Local Measure R 35%. TDA funding is eligible for Capital and Operating Projects, and Measure R 35% is not eligible for Bus and Rail Operations.
Equity_Platform
EQUITY PLATFORM
This action advances Metro’s sustainability and environmental justice principles by addressing pollution disparities in communities disproportionately impacted by high-emission vehicles. The Metro Non-Revenue Vehicle Procurement Policy sets a goal of achieving a 100% ZEV Non-Revenue Fleet. The vehicles will be deployed throughout Los Angeles County, with a focus on supporting service delivery in Equity Focus Communities (EFCs). This policy also promotes safer, quieter, and cleaner working conditions for Metro staff, particularly those who regularly interact with the non-revenue fleet. By eliminating the harmful tailpipe emissions, the adoption of ZEVs contributes to a healthier workplace environment.
Vehicle_Miles_Traveled_Outcome
VEHICLE MILES TRAVELED OUTCOME
VMT and VMT per capita in Los Angeles County are lower than national averages, the lowest in the SCAG region, and on the lower end of VMT per capita statewide, with these declining VMT trends due in part to Metro’s significant investment in rail and bus transit.* Metro’s Board-adopted VMT reduction targets align with California’s statewide climate goals, including achieving carbon neutrality by 2045. To ensure continued progress, all Board items are assessed for their potential impact on VMT.
*Based on population estimates from the United States Census and VMT estimates from the highway performance monitoring system data between 2001-2019.
Implementation_of_Strategic_Plan_Goals
IMPLEMENTATION OF STRATEGIC PLAN GOALS
The policy supports Strategic Goal 2.3: Metro supports a customer-centric culture where exceptional experiences are created at every opportunity for internal and external customers. It will require the use of zero-emission vehicles to support various Metro functions, including bus, rail, administration, engineering, and risk management. Additionally, ZEVs will provide clean, safe, and reliable transportation services for Metro staff.
Next_Steps
NEXT STEPS
Metro will use the Non-Revenue Vehicle Procurement Policy to guide future vehicle procurements and support the agency’s sustainability and environmental goals.
Attachments
ATTACHMENTS
Attachment A - Metro Non-Revenue Vehicle Procurement Policy
Prepared_by
Prepared by: Alan Tang, Sr. Director, Non-Revenue Fleet Maintenance, (562) 658-0231
Gary Jolly, Sr. Executive Officer, Bus Maintenance, (213) 922-5802
Matthew Dake, Deputy Chief Operations Officer, (213) 922-4061
Debra Avila, Deputy Chief Vendor/Contract Management, (213) 418-3051
Reviewed_By
Reviewed by: Conan Cheung, Chief Operations Officer, (213) 418-3034
Nalini Ahuja, Chief Financial Officer, (213) 922-3088
