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ICAAP Grant Submission by DJMP Engine Solutions on Behalf of Newt MarineCity of Dubuque ITEM TITLE: SUMMARY: Copyrighted October 2, 2017 Consent Items # 14. ICAAP Grant Submission by DJMP Engine Solutions on behalf of Newt Marine Services City Manager approval of the submission of Iowa Clean Air Attainment Grant by DJMP Engine Solutions on behalf of Newt Marine Services. RESOLUTION Authorizing the filing of an Iowa Clean Air Attainment Program Application with the Iowa Department of Transportation (IADOT) with sponsorship provided by the City of Dubuque to assist with funding of EPA Certified Towboat Engines that will reduce carbon emissions and improve regional air quality SUGGESTED DISPOSITION: Suggested Disposition: Receive and File; Adopt Resolution(s) ATTACHMENTS: Description Newt Marine ICAAP Grant Application -MVM Memo Staff Memo Newt ICAAP CMAQ Grant Application Agreement with Newt Marine and DJMP Engine Solutions Resolution Type City Manager Memo City Manager Memo Supporting Documentation Supporting Documentation Resolutions THE CITY OF Dui Masterpiece on the Mississippi Dubuque bell All -America City '1Il1' 2007 • 2012 • 2013 • 2017 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Iowa Clean Air Attainment Grant Submission by DJMP Engine Solutions on behalf of Newt Marine Services DATE: September 29, 2017 City Manager Mike Van Milligen recommends City Council approval of the submission of Iowa Clean Air Attainment Grant by DJMP Engine Solutions on behalf of Newt Marine Services. I concur with the recommendation and respectfully request Mayor and City Council approval. [7M/ha krtn, Michael C. Van Milligen MCVM:jh Attachment cc: Crenna Brumwell, City Attorney Teri Goodmann, Assistant City Manager Cori Burbach, Assistant City Manager Masterpiece on the Mississippi TO: Michael C. Van Milligen, City Manager FROM: Teri Goodmann, Assistant City Manager Dubuque kard All -America City '1111' 2007 • 2012 • 2013 • 2017 SUBJECT: Iowa Clean Air Attainment (ICAAP) grant submission by DJMP Engine Solutions on behalf of Newt Marine Services DATE: September 29, 2017 INTRODUCTION This memorandum provides information regarding a request from Newt Marine Services to submit an Iowa Clean Air Attainment Application Program (ICAAP) application to the Iowa Department of Transportation (IDOT) with sponsorship by the City of Dubuque. Private entities are eligible to apply to the ICAAP grant program with the support of a public sponsor. BACKGROUND A major focus of the City of Dubuque and its Sustainable Dubuque vision has been to assure that the principles of Healthy Air and Strong Regional Economy can be achieved. In the recent past, there have been instances where particulate matter (PM 2.5) emissions have been higher than anticipated. As a result, the City of Dubuque in partnership with private sector leaders, has worked collaboratively and proactively to avoid becoming a "non -attainment community, or a community with air pollutants persistently exceeding EPA standards. This collaborative work between the City and private sector partners focuses on reducing emissions to protect public health and to minimize these health risks without threatening economic growth and opportunity. To this end, the City and its private sector partners have been vigilant in identifying and supporting funding opportunities and programs that assist in maintaining EPA regulated standards for attainment in our community and region. In August, the City was contacted by Mike Bima, Operations Manager of DJMP Engines Solutions of Peoria, IL on behalf of Newt Marine Services, requesting that the City act as the public -sector sponsor, required in the Iowa Department of Transportation's Iowa Clean Air Attainment Program grant application. The funds secured through the Iowa Clean Air Attainment Program grant would help to cover the cost of replacing Newt Marine Towboats with new EPA certified engines that would reduce high particulate emissions. DISCUSSION The Iowa Department of Transportation's Iowa Clean Air Attainment Program (ICAAP) is well suited to support the efforts of City of Dubuque and its private sector partners in maintaining EPA standards for favorable attainment status thereby protecting public health without negatively impacting the local economy. The City has been successful in receiving these grants in the past and continues to pursue this funding source for its transportation projects. The grant submitted by DJMP Engine Solutions would be matched by Newt Marine Services and the City would not have any financial obligation to either DJMP Engine Solutions or Newt Marine Services as spelled out in the attached contracts. RECOMMENDATION Authorize the Mayor, to cosign the attached resolution and the City Manager to sign the contract providing sponsorship of the Iowa Clean Air Attainment Program grant submission by DJMP Engine Solutions on behalf of Newt Marine Services. Attachment cc: Cori Burbach, Assistant City Manager 2 RESOLUTION NO. 331-17 AUTHORIZING THE FILING OF AN IOWA CLEAN AIR ATTAINMENT PROGRAM APPLICATION WITH THE IOWA DEPARTMENT OF TRANSPORTATION (IADOT) WITH SPONSORSHIP PROVIDED BY THE CITY OF DUBUQUE TO ASSIST WITH FUNDING OF EPA CERTIFIED TOWBOAT ENGINES THAT WILL REDUCE CARBON EMISSIONS AND IMPROVE REGIONAL AIR QUALITY WHEREAS, Newt Marine Service (Newt) wants to apply for a grant from the Iowa Clean Air Attainment Program (ICAAP) for Congestion Mitigation/Air Quality (CMAQ) to assist with Repowering Newt Marine Towboats with new EPA Certified Engines (the "Project"); and WHEREAS, the ICAAP CMAQ grant is managed by the Iowa Department of Transportation (IDOT) and requires sponsorship of the Project; and WHEREAS, as sponsor the City is agreeing to many requirements which are a condition of receiving the funding; and WHEREAS, City is willing to sponsor the project upon the terms and conditions agreed upon by the parties; and WHEREAS, the Newt project would positively impact air quality in the community. NOW, THEREFORE, IN CONSIDERATION OF THE MUTUAL COVENANTS AND AGREEMENTS OF THE CITY AND NEWT, EACH TO THE OTHER, IT IS AGREED AS FOLLOWS: Section 1. Sponsorship of the Newt Project by the City is hereby approved subject to the terms and conditions of the Agreement between the City and Newt. Section 2. The Agreement between the City and Newt is hereby approved and the City Manager is authorized to sign necessary paperwork to facilitate the Newt application. Passed, approved and adopted this 2nd day of Scptcmber, 2017; October Attest: Kevi r,S. Firnstahl( CMC, City Clerk Roy D. Buol, Mayor Foam 230017wd 06-17 IOWA DOT APPLICATION FORM FOR IOWA CLEAN AIR ATTAINMENT PROGRAM (ICAAP) FUNDS General Information Applicant Agency Newt Marine Services (Government Entity, Non -Profit Organization, or Individual) Contact Person (Name & Jared Gevock Title) Complete Mailing 5 Jones Street Address. Dubuque City Iowa State e -Mail igevock(iilnewtmarme com Street Address and/or Box No 52001 Zip 563-557-1855 Daytime Phone If more than one agency or organization is involved in this project, please state the name, contact person, mailing address, and telephone number of the second agency (Attach an additional page if more than two agencies are involved.) Applicant Agency of of llubuque e -Mail tgoodman(ii)cityo fdubuque org Contact Person (Name & Teri Goodman Title} Complete Mailing 50 W 13th St (Second Floor) Address Dubuque City Iowa State Street Address and/or Box No 52001 Zip 563-589-4110 Daytime Phone Project Information Project Title' Repower Newt Marine Towboat with new EPA Certified Engines Project Description (including length, Replace unregulated diesel engines with new EPA Tier 3 engines on a 1300 hp applicable) Marine vessel operating in the Dubuque Metro Area Emissions will be reduced by 684,308 Kg/yr Additional benefits include Reduce congestion on nation's interstates future growth opportunity (Container on Barge; COB)), increased safety in the transportation industry and help secure the viability of small businesses operating in the Marine Sector. *Project priority (1 = highest priority) 2 (a sponsor submitting multiple applications in this funding cycle must assign a numerical rank or priority to each application )3 *Assign the proposed project to one or more of the following categories (check one or more) ❑ Transportation -Related Project in the State Implementation Plan (SIP) 0 0 Transportation Control Measure (TCM) Traffic Flow Improvement (Intersection, Signalization, Other) Planning and Project Development Travel Demand Management(TDM) Transit -Related Improvement 0 Shared -Ride ❑ Bicycle or Pedestrian Facility or Program (circle one) • Intermodal Freight or Passenger (circle one) ❑ Alternative Fuels O Vehicle Inspection and Maintenance Program ❑ Outreach Activity {Education, Advertising, or Technical Assistance Yes No Not Applicable 1s the project consistent with the State Implementation Plan for air quality for non -attainment areas/ ® ❑ ❑ Page 1 of 6 * Is the project consistent with the MPO's local Congestion Management Plan'P ® 0 0 * Is the project consistent with the ® MPO ❑ RPA ❑ statewide Long -Range Transportation Plan'P 0 ❑ ❑ Notes 1 Requires public agency as co-sponsor of application 2 The term "project" means any !GAAP infrastructure or program proposal 3 The Iowa Department of Transportation will use the pnority ratings to reflect the sponsor Project Costs (An itemized breakdown must be included on an attached sheet). Total Cost Iowa Clean Air Attainment Program Fund Request Applicant Match (20% Minimum) $ 807.651 $ 495,978 $ 311,673 List All Applicant Match Sources Amount 1 Newt Marine 2 3 Are any state funds involved in this project9 If yes, please explain the source and conditions Assured or Anticipated (Cate Anticipated) $311,673 00 10/1/18 ❑ Yes ® No Are any other federal funds involved in this project9 Yes X No If yes, please explain the source and conditions Estimated Project Development Schedule: Design (Repower) Start Date Land Acquisition Start Date Construction Start Date Has any part of this project been started9 If yes, explain October 1, 2018 Completion Date Completion Date Completion Date ❑Yes ®No March 31, 2019 Coast Guard conducts a Sea Trial after the new engines are How do you plan to measure the success of this project9 installed. Certifications of Installation, Certifications that old engines are destroyed and EIAPP Certificates arc filed with the State Certificate of inspection is assigned by the USCG Page 2 of 6 Required Documentation and Narrative Infor tion The following documents and narratives must be attached to this application. In the upper right-hand corner of each document or narrative write the corresponding letter s n bel fZl A. A NARRATIVE assessing existing congestion/air quality conditions, outlining the concept of the proposed project, and providing adequate project justification. How will this project reduce congestion, reduce travel or single occupant vehicle usage, and/or improve air quality? Which transportation -related pollutant(s) are being addressed: carbon monoxide, ozone, or PM? NI B. A DETAILED MAP identifying the location of the project and clearly differentiating the subject project from any past or future project phases. C. M )TEM)ZED BREAKDOWN of the total t costs. This documentation does not need to be a detailed, line -item type of estimate. However, it must accomplish two objectives: first, it must show the method by which the cost estimate was prepared; and second, it must enable a reviewer to determine if the cost estimate is reasonable. The manner in which these objectives are achieved may vary widely depending on the type, t and, t t --xtty of the pcoiject. Absent a km% kteemized tkst of costs, some generat guidelines for possible methods of estimating each type of project cost are provided on Attachment A. Ne.1 D. A TIME SCHEDULE for the total project development. Ul E. An OFFICIAL CERTIFICATION. from the applicant's governing body (authority) that it shaft (1) commit the necessary local matching funding for project implementation and (2) upon project completion, be responsible for adequately maintaining and operating the project for public use during the project's useful life. F. AN ADOPTED FORMAL RESOLUTION from the appropriate MPO or RPA declaring the sponsors proposed project or program conforms to the MPOs or RPA's regional transportation planning process, (For MPOs, the project or program must be identified in the fiscally -constrained transportation plan and, if applicable, the c' -51 man. * rent in TMAs.) [54 G. CALCULATIONS for vehicle emission reductions and total project cost effectiveness for the targeted pollutants. Project applicant must show through a quantitative analysis how many kilograms of pollutant will be reduced (CO, VOC, NOx, and, if applicable, PM). Project sponsor must calculate the cost effectiveness of the project by: Dividing the total annualized project cost by the number of ki • ms per year of pollutant reduced ($ per kg). Applicant must also show all assumptions and source of data used to calculate the estimates. The applicant must use the rnost current vehicle emission factors developed by the Iowa DNR and consistent with EPA's MOBILE 6.2 air quality model. These emission factors are periodically updated and may be obtained from the Iowa DOT's ICAAP website at: htt ://www,i wadotgovis stems lannimuicaan.ht H. Completed MINORITY IMPACT STATEMENT attached to application. The award of Iowa Clean Air Attainment funds; any subsequent funding or letting of contracts for design, construction, reconstruction, improvement, or maintenance; and the furnishing of materials shall not involve direct or indirect interest of any state, county, or city official, elective or appointive. All of the above are prohibited by Iowa Code Sections 314.2, 362.5, or 33t342. Any award of funding or any letting of a contract in violation of the foregoing provisions shall invalidate the award of Iowa Clean Air Attainment Program funding and authorize a complete recovery of any funds previously disbursed. Certification To the best of my knowledge and belief, all information included in this application is true and accurate, including the commitment of all physical and financial resources. This application has been duly authorized by the participating local authority. I understand the attached OFFICIAL ENDORSEMENT(S) binds the participating local governments to assume responsibility for adequate maintenance of any new or improved facilities. If ICAAP funding assistance is approved for the project described in this application, 1 understand that an executed contract between the applicant and the Iowa Department of Transportation is required before such funding assistance can be authorized for use in implementing the project. Representing the Newt Marine ServieesSDubuque Bare and Fleetin Jared Gevoek (Fleet Mana Typed Name and Title (Governing Authority Official) (Name of Appli fs Governing Authority) Page 3 of 6 - 7 Elate p_ternber 18, 2017 Typed Date C,owADor Form 105101 (03-09) MINORITY IMPACT STATEMENT Pursuant to 2008 Iowa Acts, HF 2393, Iowa Code Section 8.11, all grant applications submitted to the state of Iowa that are due beginning January 1, 2009 shall include a Minority Impact Statement. This is the state's mechanism for requiring grant applicants to consider the potential impact of the grant project's proposed programs or policies on minority groups Please choose the statement(s) that pertains to this grant application. Complete all the information requested for the chosen statement(s). Submit additional pages as necessary. ❑ The proposed grant project programs or policies could have a disproportionate or unique positive impact on minority persons Describe the positive impact expected from this project Indicate which group is impacted ❑ Women ❑ Persons with a disability ❑ Blacks ❑ Latinos ❑ Asians ❑ Pacific Islanders ❑ American Indians ❑ Alaskan Native Americans ❑ Other ❑ The proposed grant project programs or policies could have a disproportionate or unique negative impact on minority persons Describe the negative impact expected from this project_ Present the rationale for the existence of the proposed program or policy Page 4 of 6 Provide evidence of consultation with representatives of the minority groups impacted Indicate which group is impacted: ❑ Women ❑ Persons with a disability ❑ Blacks ❑ Latinos ❑ Asians 0 Pacific islanders ❑ American Indians ❑ Alaskan Native Americans ❑ Other ® The proposed grant project programs or policies are not expected to have a disproportionate or unique impact on minority persons Present the rationale for determining no impact The repower of a Marine towboat will significantly reduce emissions and prolong the life of the asset There will be no visible diffence to the untrained observer in the operation of the boat I hereby certify that the information on this form is complete and accurate, to the best of my knowledge Name Teri Goodman Title Dubuque Assistant City Manager Definitions "Minority Persons," as defined in Iowa Code Section 8 11, means individuals who are women, persons with a disability, Blacks, Latinos, Asians or Pacific Islanders, American Indians, and Alaskan Native Americans "Disability," as defined in Iowa Code Section 15 102, subsection 7, paragraph "b," subparagraph (1) b As used in this subsection (1) "Disability"means, with respect to an individual, a physical or mental impairment that substantially limits one or more of the major life activities of the individual, a record of physical Or mental impairment that substantially limits one or more of the major life activities of the individual, or being regarded as an individual with a physical or mental impairment that substantially limits one or more of the major life activities of the individual "Disability" does not include any of the following (a) Homosexuality or bisexuality (b) Transvestism, transsexualism, pedophilia, exhibitionism, voyeurism, gender identity disorders not resulting from physical impairments or other sexual behavior disorders (c) Compulsive gambling, kleptomania, or pyromania (d) Psychoactive substance abuse disorders resulting from current illegal use of drugs "State Agency,' as defined in Iowa Code Section 8 11, means a department, board, bureau, commission, or other agency or authority of the state of Iowa Page 5 of 6 ATTACHMENT A Itemized breakdown of total protect costs guidelines Construction Costs— these may be based on historical averages for entire projects of similar size and scope Examples include • Typical cost / mile of trail (r e $200,000 per mile for moderate terrain and limited number of structures) • Typical cost l square foot of bridge deck • Typical cost / installed mile of fiber optic traffic signal interconnect cable ( e $178,000/mile) • Typical cost l traffic signal upgrade {i e $163,000 per lump sum signal bid item) Cesian / Ins�,ection Costs — these may be estimated based on the following typical percentages of construction costs • 8-1 % for preliminary up through final design and letting activities • 12-15% for construction inspection activities Richt-of-way Ac uisition Costs — these may be estimated based on the following • Impact and description of impact • Typical cost l square foot for permanent right-of-way • Typical cost l square foot for temporary easements Utility and Railroad Costs — these may be estimated based on the following • Impact and description of impact • Typical cost l linear foot of relocated or reconstructed facility (track, pipe, electrical lines, etc ) • Typical cost l installation (RR switches, utility poles, transformers, control boxes, etc ) Indirect Cost/if Outreach Activity) — if indirect costs are involved, e.g wages • Estimated hours • Estimated hourly rate, salary • Estimated fringe, direct • Other direct cost estimate • Other indirect cost estimate Page 6 of 6 1 Iowa Clean Diesel Grant Program Grant Application ICAAP CMAQ Program Indicates items of special interest A—example of ICAAP required Documentation Indicates reference to attachments 9/18/2017 Newt Marine MV Captain Newt Item 1 Ta ble of Contents Description (Narrative Item 1 — 14) - A Cover Page Page 3 2 Blank 3 Regional Significance, Grant Justification and Benefits 4 4 Container on Barge Study demonstrates future of Marine Highway 5 5 Blank 6 ICAAP Grant Application 7 Dubuque Area Map 8 Itemized Breakdown of Project Cost 9 Project Milestones, MARAD Safety comment, Project Management Expertise 10 Financial Certification from Newt 11 MPO Statement from City of Dubuque 12 Emission Reduction Calculation using EPA DEQ Standard Engine format 13 Completed Minority Impact Statement is attached to application item 6 14 Newt W-9 Form 15 Attachments 7-12 13-B 14-C 15-D 16 - E 17 - F 18-G H 19 20 2 Quote from Secretary LaHood... "For too long, we've overlooked the economic and environmental benefits that our waterways and domestic seaports offer as a means of moving freight in this country", said Secretary LaHood, speaking to transportation professionals at the 7th Annual North Amencan Marine Highways and Logistics Conference in Baltimore, MD "Moving goods on the water has many advantages It reduces air pollution It can help reduce gridlock by getting trucks off our busy surface corridors " Quote (2014) regarding the new Waterways Bill under consideration in the House Bill Shuster, R -Pa., chairman of the House Transportation and Infrastructure Committee, said in a statement. "This hill also recognizes how essential a healthy maritime transportation sector is to our economy, our competitiveness and our national security." Letter of Support from EPA (2014) See attachment Item 12 from EPA Region 5 Program Manager outlining the situation with Marine Highway Assets and the need to repower the old / unregulated Diesel engines. Focus on PM2.5 MAP -21 puts greater focus on projects and programs that address fine particulate matter (PM2.5). The law requires that a portion of CMAQ funds provided to PM2.5 nonattainment areas be used for projects that reduce this pollutant. While Iowa does not have a nonattainment area, this EPA comment focuses our attention toward PM 2.5. Eligibility Requirements... notes from Federal Highway The primary eligibility criteria for CMAQ funding remain the same under MAP -21. To be eligible, a project must come from a conforming transportation plan and transportation improvement program (in metropolitan areas). All CMAQ projects must meet these three eligibility requirements: • Have a transportation focus. • Reduce air emissions. •Be located in or benefit a nonattainment or maintenance area. CMAQ-Eligible Activities Under MAP -21, CMAQ funds continue to be available for a wide range of transportation projects, but new language in the act emphasizes select project types, including electric and natural gas vehicle infrastructure and diesel retrofits. Eligible activities include (but are not confined to) the following: •Advanced Truck Stop Electrification Systems •Alternative Fuel Projects •Bicycle and Pedestrian Improvements • Diesel Retrofits 3 Cover Page Project Title: Repower Newt Marine Towboat with new EPA Certified Engines Applicant Information: Newt Marine Services Contact Person: Jared Gevock Phone Number: 563-588-4371 Email Address: jgevock@newtmarine.com F.E.I.N. Number: 42-0930672 Eligible Entity: Newt Marine Services. Marine vessel owner/operator. Funding Requested: $495,978 Total Project Cost: $807,651 (see item 8 for budget details) Selected Vessel: This project will Provide significant environmental benefits. (see attachment 1 for DEQ details): ✓ Upgrade 1 harbor tug vessel operating 4000 hrs / yr, powered by: o 2 — 600 hp propulsion engines and o 2 — 40 kw Auxiliary gen-sets. ✓ The repower Results in the reduction of particulate matter PM 25 ✓ Results in the reduction of Green House Gas (GHG) by ✓ Results in the reduction of NOx ✓ Results in the reduction of NMHC ✓ Results in the reduction of CO ✓ Reduce fuel consumption by 23% for an annual fuel savings of (based on engine manufacture data). Empirical data can be higher. ✓ Provide Health benefit based on PM reduction of $222,803 / year. ✓ Cost to Benefit Ratio results is the best $/ton of emission removed for all transportation modes, (see attachment 1 for cost data and 4 for Waterways Study details). This is largely due to: o Long life of a marine engine (30 years) with overhauls. o Number of hours operated annually... some as high as 8000 hours. They never stop. o High load factors. 808 Kg/year. 683,125 Kg/year 23,407 Kg /year. 374 Kg/year 2,916 Kg/year 65,186 gallons Project Description: This grant's primary purpose is to reduce diesel exhaust emissions on marine vessels through the repower / upgrade of unregulated marine engines operating in Dubuque Metro area. Secondary benefits include: Reduce congestion on nation's interstates, future growth opportunity (Container on Barge {COB}), increased safety in the transportation industry and help secure the viability of small businesses operating in the Marine Sector. See EPA Fleet Descriptions spread sheet for details (see attachment 7 for details) Answers to Grant application questions: 1. Vessel Utilization: Fleeting and switching barges for transfer of grain, coal, construction products and other dry products. 2. Operating Area: Dubuque Metro area. See item 7 for Dubuque waterway ma p 3. Usage: This vessel is used in fleeting operations daily, 18-24 hours per -day, and year -around. Average annual hours are 4000. 4. Grant benefits to residents of Iowa: Carbon Footprint reduction, Health Benefits, reduced VOC and NOx combination to form surface ozone. Payout in health benefits alone is less than 2 year! 4 Regional Significance Support Clean Diesel Coalitions: The goals of this grant are in concert with the National EPA Clean Diesel Programs and MARAD Marine Highway program. Environmental Results -Outputs and Outcomes The awarded grant dollars will be used to upgrade one fleeting tug with propulsion and auxiliary engines that meet EPA Marine Tier 3 emissions levels. This includes the cost of the new engines & gears, removal of existing engines, and required installation material, controls, cooling system modification and labor. The new engines will be Marine Tier 3 compliant with EPA issued Engine (see Attachment Item 9) and serial number specific emission information after engines are delivered for installation. Engine Testing, vessel sea trial and sea trial report is required on all new engines in a vessel and these costs will be included in the execution of work. Reduce Emissions, improve transportation efficiency: Statistics show the following comparisons in the miles that one gallon of diesel fuel will transport one ton of freight: • On -highway truck 155 miles • Rail 413 miles • Barge 576 miles (Details from National Waterways Council Report: See attachment 4) Maximize Public Health Benefits: The public health benefit is typically considered as PM emissions. There is additional greenhouse gas (GHG) emission of CO2 + CO + NOx from diesel engines that may also be considered due to atmospheric ozone depletion. Using the DEQ's data for PM only, the Health Benefits amount to $6.6 million dollars over a 30 year life of the Tier 3 engines. The GHG reduction amounts to 683,125 Kg /year to reduce the overall carbon footprint of the company's operation. High Population Density: Iowa based inland waterway vessels for this grant operates within high population Dubuque Metro Area. This area is not indicated by the EPA to be a non -attainment area for PM2.5. (See item 7 for Inland Waterway Map) Disproportionate Quantity of Air Pollution from Diesel Fleets: The agricultural, petroleum and construction material ports in the Dubuque area create one portion of the PM emission problem for the area. Barge movement of material is the most economical, and leads to a large number of vessels involved in this business within the area. Certified Engine Configuration: The existing engines being targeted for this grant are at or near their useful life before overhaul. The propulsion engines will be repowered with Verified Tier 3 engines. The Auxiliary gen-set will be removed and replaced with Tier 3 Certified Gen -sets in production by the OEM since January, 2014. The life of the marine propulsion engines has been stated at over 30 years, so the annual fuel savings, emissions reductions, and health benefits have sustainability from the upgrade for a significant time beyond the grant period. 5 Conserve Fuel, Sustain Jobs and promote emission technology: • Decreased fuel consumption benefits national priorities of: o Decreasing dependence on foreign oil with a reduction of 65,186 gallons diesel fuel per year o Increasing cost effectiveness of transportation of goods on the inland river waterway system (already more efficient than rail or on -highway), o Reducing PM & GHG produced in the engine and emitted out the diesel exhaust • Utilization of the grant opportunity in job sustainability. Awarding of this grant enables a small business to be in a more secure job position for all employees. Small businesses benefit from the grant funds and are more likely to stay in business afterwards by being more competitive. See attachment 6 for testimonials concerning the benefits of upgrade the marine fleets. • Accelerates implementation of improved emission technology to improve air quality o Marine companies receiving grants would not have made these emissions upgrades without the government stimulus. Engines can be over hauled back to original condition without the upgrade. o Marine companies would continue to be a player in adding to the emission problem in the non - attainment area. Mitigates Congestion: Barge movement is most efficient and cleanest environmental impact of freight movement Statistics show the following comparisons in the miles that one gallon of diesel fuel will transport one ton of freight: (see attachment 4 Waterways details): • On -highway truck • Rail • Barge 155 miles 413 miles 576 miles Enhance Container on Barge (COB) Opportunity: With the widening of the Panama Canal to allow larger ships access to the Marine Highway connected to the Mississippi River, Iowa and Illinois becomes a major player in increased Economic Activity. The COB story is a mandate to upgrade the Marine Highway infrastructure and operation in the State. The following summary is from the Illinois Soybean Association that conducted the study on behalf of Illinois Farmers. Study: COB Could Benefit Illinois Soy Farmers (Read Iowa Also) A recently completed study funded by the Illinois Soybean Association says that a river container -on -barge (COB) shuttle program is not only feasible, but it also offers Illinois soybean growers biodiesel opportunities and more access to international markets. "With the completion of upgrades to the Panama Canal in 2016, the canal will be able to handle 10,000-TEU (twenty -foot equivalent unit) vessels," said Chuck Dillerud, river transportation consultant and author of the COB transportation operating and business plan study, in an April 9 press release about the study. "Suddenly, the Gulf Coast—where barges go—becomes far more attractive for containers that would come down the Illinois/Mississippi River system by COB." COB programs are currently operating successfully in France, as well as in the Pacific Northwest along the Columbia River, the association noted. The study had a number of objectives, including: To determine whether it is feasible to use river equipment—towboats and barges—to move empty containers from the Joliet area hub to Illinois River ports within the state's prime soybean growing areas and move loaded containers back again. 6 • To determine the feasibility of using river equipment to move loaded containers from the prime soybean growing areas adjacent to the Illinois River to Gulf Coast container ports for direct loading on ocean container vessels. Dillerud said significant volumes of grain are trucked to the Joliet area to be loaded onto containers, which are then sent by rail to the East and West Coasts. Essentially, the grain is moving to the containers. Meanwhile, during 2011, only about 100 containers were transported by river from the entire length of the Illinois River and the Upper Mississippi River above St. Louis. A COB program would change all that, he said. The study suggests that a COB shuttle program can be feasibly operated between the Joliet area and central Illinois River ports using dedicated towboats and barges. The minimum scale begins at 200 TEUs per week; he notes that could be doubled without a corresponding increase in capital equipment, and is scalable to almost any maximum volume. "The resulting cost to reposition containers from the intermodal hubs to and from central Illinois growing areas by barge could be significantly less than repositioning them by truck," says Dillerud. Additionally: • A COB shuttle program operating from Peoria to and from New Orleans and/or Houston using dedicated towboats and standard jumbo hopper barges can be feasible with a minimum volume of slightly more than 350 TEU (or 350 twenty -foot containers) per month at rates that are less than either shuttle rail or bulk plus container loading at Gulf of Mexico locations—and competitive with container rail to the West Coast. • The feasibility of a Gulf COB program like this one also benefits from non -time -sensitive bulk commodity backhauls, like dry fertilizer or road salt. • Finally, an organization structure is needed to operate either (or both) of these COB programs. The study suggests developing a shippers association similar to the Midwest Shippers Association, but extending to actually operating the COB venture. The Midwest Shippers Association, according to its Web site, is a regional trade association cooperative that serves to promote marketing, and facilitate shipping of specialty grains from the states of Minnesota, North Dakota, South Dakota, Iowa and Wisconsin. Biodiesel A third objective of the Illinois Soybean Association study was to determine the efficacy of fueling river towboats in the COB program with high -ratio (B80+) biodiesel. Results show that COB program towboats can, when properly equipped or with modification, operate on high -ratio biodiesel. Dillerud said he actually expects very few modifications to be needed. In addition, depending on the status of the blender's credit and renewable fuels credit, towboat biodiesel may be more competitively priced than No. 2 diesel. The study notes that this fact was not reflected in the feasibility findings in the previously listed operating models, and could further add to financial benefits of the COB program as well as for Illinois soybean growers. "This, as well as the COB program in general, opens the door to connect Illinois growers to foreign buyer direct sales—as is the case with the Midwest Shippers Association," Dillerud concludes. "It will not replace bulk barge commodity hauling; that will continue. But, the COB program is a feasible approach to get Illinois soybeans to the international market and closer to their international customers—and maybe even offer identity -preserved branding opportunities." The Illinois Soybean Association (ISA) is the statewide organization for Illinois soybean growers. The farmers on its board administer soybean check off funds to support research, promotions, and educational programs designed to increase demand for Illinois soybeans, and administer legislation and membership programs. Foam 230017wd 06-17 IOWA DOT APPLICATION FORM FOR IOWA CLEAN AIR ATTAINMENT PROGRAM (ICAAP) FUNDS General Information Applicant Agency Newt Marine Services (Government Entity, Non -Profit Organization, or Individual) Contact Person (Name & Jared Gevock Title) Complete Mailing 5 Jones Street Address. Dubuque City Iowa State e -Mail igevock(iilnewtmarme com Street Address and/or Box No 52001 Zip 563-557-1855 Daytime Phone If more than one agency or organization is involved in this project, please state the name, contact person, mailing address, and telephone number of the second agency (Attach an additional page if more than two agencies are involved.) Applicant Agency of of llubuque e -Mail tgoodman(ii)cityo fdubuque org Contact Person (Name & Teri Goodmann Title} Complete Mailing 50 W 13th St (Second Floor) Address Dubuque City Iowa State Street Address and/or Box No 52001 Zip 563-589-4110 Daytime Phone Project Information Project Tit'e2-Repower Newt Marine Towboat with new EPA Certified Engines Project Description (including length, Replace unregulated diesel engines with new EPA Tier 3 engines on a 1300 hp applicable) Marine vessel operating in the Dubuque Metro Area Emissions will be reduced by 684,308 Kg/yr Additional benefits include Reduce congestion on nation's interstates future growth opportunity (Container on Barge;COB)), increased safety in the transportation industry and help secure the viability of small businesses operating in the Marine Sector. *Project priority (1 = highest priority) 2 (a sponsor submitting multiple applications in this funding cycle must assign a numerical rank or priority to each application )3 *Assign the proposed project to one or more of the following categories (check one or more) ❑ Transportation -Related Project in the State Implementation Plan (SIP) 0 0 Transportation Control Measure (TCM) Traffic Flow Improvement (Intersection, Signalization, Other) Planning and Project Development Travel Demand Management(TDM) Transit -Related Improvement 0 Shared -Ride ❑ Bicycle or Pedestrian Facility or Program (circle one) • Intermodal Freight or Passenger (circle one) ❑ Alternative Fuels O Vehicle Inspection and Maintenance Program ❑ Outreach Activity {Education, Advertising, or Technical Assistance Yes No Not Applicable 1s the project consistent min the State Implementation Plan for air quality for non -attainment areas/ ® ❑ ❑ Page 1 of 6 * Is the project consistent with the MPO's local Congestion Management Plan'P ® 0 0 * Is the project consistent with the ® MPO ❑ RPA ❑ statewide Long -Range Transportation Plan'P 0 ❑ ❑ Notes 1 Requires public agency as co-sponsor of application 2 The term "project" means any !GAAP infrastructure or program proposal 3 The Iowa Department of Transportation will use the pnority ratings to reflect the sponsor Project Costs (An itemized breakdown must be included on an attached sheet). Total Cost Iowa Clean Air Attainment Program Fund Request Applicant Match (20% Minimum) $ 807.651 $ 495,978 $ 311,673 List All Applicant Match Sources Amount 1 Newt Marine 2 3 Are any state funds involved in this project9 If yes, please explain the source and conditions Assured or Anticipated (Cate Anticipated) $311,673 00 10/1/18 ❑ Yes ® No Are any other federal funds involved in this project9 Yes X No If yes, please explain the source and conditions Estimated Project Development Schedule: Design (Repower) Start Date Land Acquisition Start Date Construction Start Date Has any part of this project been started9 If yes, explain October 1, 2018 Completion Date Completion Date Completion Date ❑Yes ®No March 31, 2019 Coast Guard conducts a Sea Trial after the new engines are How do you plan to measure the success of this project9 installed. Certifications of Installation, Certifications that old engines are destroyed and EIAPP Certificates arc filed with the State Certificate of inspection is assigned by the USCG Page 2 of 6 Required Documentation and Narrative Infor tion The following documents and narratives must be attached to this application. In the upper right-hand corner of each document or narrative write the corresponding letter s n bel fZl A. A NARRATIVE assessing existing congestion/air quality conditions, outlining the concept of the proposed project, and providing adequate project justification. How will this project reduce congestion, reduce travel or single occupant vehicle usage, and/or improve air quality? Which transportation -related pollutant(s) are being addressed: carbon monoxide, ozone, or PM? NI B. A DETAILED MAP identifying the location of the project and clearly differentiating the subject project from any past or future project phases. C. M )TEM)ZED BREAKDOWN of the total t costs. This documentation does not need to be a detailed, line -item type of estimate. However, it must accomplish two objectives: first, it must show the method by which the cost estimate was prepared; and second, it must enable a reviewer to determine if the cost estimate is reasonable. The manner in which these objectives are achieved may vary widely depending on the type, t and, t t --xtty of the pcoiject. Absent a km% kteemized tkst of costs, some generat guidelines for possible methods of estimating each type of project cost are provided on Attachment A. Ne.1 D. A TIME SCHEDULE for the total project development. Ul E. An OFFICIAL CERTIFICATION. from the applicant's governing body (authority) that it shaft (1) commit the necessary local matching funding for project implementation and (2) upon project completion, be responsible for adequately maintaining and operating the project for public use during the project's useful life. F. AN ADOPTED FORMAL RESOLUTION from the appropriate MPO or RPA declaring the sponsors proposed project or program conforms to the MPOs or RPA's regional transportation planning process, (For MPOs, the project or program must be identified in the fiscally -constrained transportation plan and, if applicable, the c' -51 man. * rent in TMAs.) [54 G. CALCULATIONS for vehicle emission reductions and total project cost effectiveness for the targeted pollutants. Project applicant must show through a quantitative analysis how many kilograms of pollutant will be reduced (CO, VOC, NOx, and, if applicable, PM). Project sponsor must calculate the cost effectiveness of the project by: Dividing the total annualized project cost by the number of ki • ms per year of pollutant reduced ($ per kg). Applicant must also show all assumptions and source of data used to calculate the estimates. The applicant must use the rnost current vehicle emission factors developed by the Iowa DNR and consistent with EPA's MOBILE 6.2 air quality model. These emission factors are periodically updated and may be obtained from the Iowa DOT's ICAAP website at: htt ://www,i wadotgovis stems lannimuicaan.ht H. Completed MINORITY IMPACT STATEMENT attached to application. The award of Iowa Clean Air Attainment funds; any subsequent funding or letting of contracts for design, construction, reconstruction, improvement, or maintenance; and the furnishing of materials shall not involve direct or indirect interest of any state, county, or city official, elective or appointive. All of the above are prohibited by Iowa Code Sections 314.2, 362.5, or 33t342. Any award of funding or any letting of a contract in violation of the foregoing provisions shall invalidate the award of Iowa Clean Air Attainment Program funding and authorize a complete recovery of any funds previously disbursed. Certification To the best of my knowledge and belief, all information included in this application is true and accurate, including the commitment of all physical and financial resources. This application has been duly authorized by the participating local authority. I understand the attached OFFICIAL ENDORSEMENT(S) binds the participating local governments to assume responsibility for adequate maintenance of any new or improved facilities. If ICAAP funding assistance is approved for the project described in this application, 1 understand that an executed contract between the applicant and the Iowa Department of Transportation is required before such funding assistance can be authorized for use in implementing the project. Representing the Newt Marine ServieesSDubuque Bare and Fleetin Jared Gevoek (Fleet Mana Typed Name and Title (Governing Authority Official) (Name of Appli fs Governing Authority) Page 3 of 6 - 7 Elate p_ternber 18, 2017 Typed Date C,owADor Form 105101 (03-09) MINORITY IMPACT STATEMENT Pursuant to 2008 Iowa Acts, HF 2393, Iowa Code Section 8.11, all grant applications submitted to the state of Iowa that are due beginning January 1, 2009 shall include a Minority Impact Statement. This is the state's mechanism for requiring grant applicants to consider the potential impact of the grant project's proposed programs or policies on minority groups Please choose the statement(s) that pertains to this grant application. Complete all the information requested for the chosen statement(s). Submit additional pages as necessary. ❑ The proposed grant project programs or policies could have a disproportionate or unique positive impact on minority persons Describe the positive impact expected from this project Indicate which group is impacted ❑ Women ❑ Persons with a disability ❑ Blacks ❑ Latinos ❑ Asians ❑ Pacific Islanders ❑ American Indians ❑ Alaskan Native Americans ❑ Other ❑ The proposed grant project programs or policies could have a disproportionate or unique negative impact on minority persons Describe the negative impact expected from this project_ Present the rationale for the existence of the proposed program or policy Page 4 of 6 Provide evidence of consultation with representatives of the minority groups impacted Indicate which group is impacted: ❑ Women ❑ Persons with a disability ❑ Blacks ❑ Latinos ❑ Asians 0 Pacific islanders ❑ American Indians ❑ Alaskan Native Americans ❑ Other ® The proposed grant project programs or policies are not expected to have a disproportionate or unique impact on minority persons Present the rationale for determining no impact The repower of a Marine towboat will significantly reduce emissions and prolong the life of the asset There will be no visible diffence to the untrained observer in the operation of the boat I hereby certify that the information on this form is complete and accurate, to the best of my knowledge Name Teri Goodman Title Dubuque Assistant City Manager Definitions "Minority Persons," as defined in Iowa Code Section 8 11, means individuals who are women, persons with a disability, Blacks, Latinos, Asians or Pacific Islanders, American Indians, and Alaskan Native Americans "Disability," as defined in Iowa Code Section 15 102, subsection 7, paragraph "b," subparagraph (1) b As used in this subsection (1) "Disability"means, with respect to an individual, a physical or mental impairment that substantially limits one or more of the major life activities of the individual, a record of physical Or mental impairment that substantially limits one or more of the major life activities of the individual, or being regarded as an individual with a physical or mental impairment that substantially limits one or more of the major life activities of the individual "Disability" does not include any of the following (a) Homosexuality or bisexuality (b) Transvestism, transsexualism, pedophilia, exhibitionism, voyeurism, gender identity disorders not resulting from physical impairments or other sexual behavior disorders (c) Compulsive gambling, kleptomania, or pyromania (d) Psychoactive substance abuse disorders resulting from current illegal use of drugs "State Agency,' as defined in Iowa Code Section 8 11, means a department, board, bureau, commission, or other agency or authority of the state of Iowa Page 5 of 6 ATTACHMENT A Itemized breakdown of total protect costs guidelines Construction Costs— these may be based on historical averages for entire projects of similar size and scope Examples include • Typical cost / mile of trail (r e $200,000 per mile for moderate terrain and limited number of structures) • Typical cost l square foot of bridge deck • Typical cost / installed mile of fiber optic traffic signal interconnect cable ( e $178,000/mile) • Typical cost l traffic signal upgrade {i e $163,000 per lump sum signal bid item) Cesian / Ins�,ection Costs — these may be estimated based on the following typical percentages of construction costs • 8-1 % for preliminary up through final design and letting activities • 12-15% for construction inspection activities Richt-of-way Ac uisition Costs — these may be estimated based on the following • Impact and description of impact • Typical cost l square foot for permanent right-of-way • Typical cost l square foot for temporary easements Utility and Railroad Costs — these may be estimated based on the following • Impact and description of impact • Typical cost l linear foot of relocated or reconstructed facility (track, pipe, electrical lines, etc ) • Typical cost l installation (RR switches, utility poles, transformers, control boxes, etc ) Indirect Cost/if Outreach Activity) — if indirect costs are involved, e.g wages • Estimated hours • Estimated hourly rate, salary • Estimated fringe, direct • Other direct cost estimate • Other indirect cost estimate Page 6 of 6 Newt Marine Inland River Map ' Jewt Marine i•- it -g Region Des Moines Kansas City 365 MO L❑0 - 67O LDA 648 - t LD1a - 615 r. Madison �k IOWA LD12-55, La13-523 Clinton* W15-483 Muscatine LD16.-457 13-B Milwaukee • uaue Chicago - 325 IL/ Seneca Int Ottawa Starved! Rock Quad Cities 31 et a rum, Hennepin LD17 - 437 LD18-411 Burlington Fat Ma ison LD1g-364 LD20 - 343 325 Hannibal LD22 - 3Ii1 Louisienw uincy .JI Brandt Dresden 1st Marseilles LD - 245 Peoria LD - 158 Pekin + Havana + Beardstown La Grange LD - BC, Naples Springfield ILLINOIS LD24 -273 Mefvin P'rioe LD - 201 'legend' caY St Louis - 175 UM Selma MISSOURI Afton Wood Rfier Granite City East St Louis St Louis 'Mt. Vern of kaskia LD - G_S Ste. Genevieve a Chester' Co COI* Coal Tarrnirererl 14 -C Newt Marine - Capatain Newt Repower Cost Estimate Itemized Breakdown of Project Cost Cost is obtained from verbal quotes from suppliers and past projects. - Detailed quotes will be provided for Procurement Listed Item Estimated Cost Quantity Total Project Cost Comments Main Components: 1 QSM19 Cummins WPA Tier 3 600 Hp @1800 RPM $89,600 2 $ 179,200.00 2 EC 300 Controllers $5,000 2 $ 10,000.00 3 MG 518 Twin Disc Tansmissions $45,000 2 $ 90,000.00 John Deere 40kw Tier 3 Diesel Generators @ 1800 4 RPM $35,000 2 $ 70,000.00 5 Fernstrum coolers (set) $50,000 1 $ 50,000.00 6 Cooler boxes & day tanks NMC $20,000 1 $ 20,000.00 Shafts Kahlenberg stainless steel 7 4 1/2" $5,000 2 $ 10,000.00 Wheels Kahlenberg 2 sets 8 56" diameter X 42" pitch $20,000 2 $ 40,000.00 9 Shaft seals with spare rubber $3,000 2 $ 6,000.00 10 Exhaust and coolant piping $4,000 1 $ 4,000.00 11 Insulation $4,200 1 $ 4,200.00 12 Chemist certificate $1,000 1 $ 1,000.00 13 Palmer Johnson tech $3,000 1 $ 3,000.00 14 Cummins Tech $3,000 1 $ 3,000.00 15 16 Labor (Newt Shipyard) $130,000 1 $ 130,000.00 Drydock, crane service, chem 17 certificate $64,050 1 $ 64,050.00 18 19 20 21 Sub Total Listed items $684,450 22 Unlisted, Contingency, tax @ 18% $123,201 23 Total Project Cost $807,651 Grant funds $ 495,978 Newt Funds $311,673 15 Detailed Timeline and Milestones for this Work are as Follows: (Where multiple boats are involved in one... D fleet, the work will be scheduled over a 2 year period to maintain operations at the fleets). MILESTONE: DATE: Submit Application Oct 2017 Award Announced Apr 2018 Engine rating established; orders placed Oct 2018 Material procurement complete Jan, 2019 Installation complete Mar, 2019 Sea trials, certification & emissions compliance documents complete Mar, 2019 Grant reporting quarterly completed Jun, 2019 PUBLIC SAFETY AND SECURITY — Excerpt from MARAD report to Congress, 2011 Use of America's Marine Highway can improve public safety and security via several important Mechanisms. By shifting freight from trucks on congested highways, the Marine Highway could lower the exposure of the public to the adverse effects of truck crashes. It is well-suited to the safe transportation of hazardous materials and reduces the need to transport these materials through population centers, thereby minimizing the risk to the public from releases of toxic cargoes. It also provides potential capacity in times of emergency for the provision of passenger transportation and freight service even after other surface movements are disrupted, facilitating response and recovery to both natural and manmade disasters. Staff Expertise and Project Management Capability: IMT and DJMP have worked successfully with the IEPA and the EPA on related projects. • DJMP Engine Solutions, LLC has proven experience with successful executions of 65 marine vessels projects and demonstrated capability to work with all organizations in the process. The Principals listed below: See website for resumes and specific details... http://djmpenginesolutions.com/ Mike Bima — Project / Program Management 40 yr bima_mike_r@comcast.net 309-264-4785 • Ability to track results and obtain resources: The close communication between IEPA, DJMP Engine Solutions, the local OEM Dealer and the Vessel Owners will allow all performance & emission improvements to be documented during the reporting period. DJMP Engine Solutions will provide all information in compliance with reporting criteria. DJMP has extensive experience in working with all parties involved in this grant application. • Reporting after Grant Awarded: DJMP Engines Solutions, LLC along with Newt Marine will track and measure progress through quarterly and final progress reports will also be provided for Output summarizing process progress, procurement of material, major activities, expenditures, and activity planned for the next quarter. Final reporting will include technical, administrative, and process successes and lessons learned for use towards replicating this project elsewhere in the future. Documented emissions reduction calculations will also be available based on operating hours and fuel consumption data collected until January 2020. • See attached Letter of Interest example from the Fleet in support of this grant program, (see attachment 10 for letter of interest details). 16 DJMP Engine Solutions, LLC Financial Certification of Matching Funds 9/16/17 E By our signature we certify that sufficient funds are available to pay the non-federal share of project expenditures for the following projects to be funded under the provisions of MAP -21 for the Congestion Mitigation and Air Quality (CMAQ) program. Only one certification per sub -grantee Company is necessary. Project title Non-federal Amount Sponsoring agency: Iowa Clean Air Attainment Program Newt Marine Service: Name (Print): Jared Gevock Signature:�-4e- Date: 9/16/17 East Central Intergovernmental Association a regional response to local needs September 25, 2017 Zach Bitting Grant Programs Administration, ICAAP Office of Systems Planning Iowa Department of Transportation 800 Lincoln Way Ames, IA 50010 Dear Mr. Bitting, E( The Dubuque Metropolitan Area Transportation Study (DMATS) would like to take this opportunity to support the Iowa Clean Air Attainment Program (ICAAP) application by the City of Dubuque to seek funding to repower Newt Marine Towboats. This project is consistent with the DMATS 2045 Long Range Transportation Plan. Part of the overall goal is to protect and enhance the natural environment and support energy conservation and management. The above project will play a vital role in addressing enhance the natural environment by reduce emission in the region. Sincerely, 1% Chandra Ravada Director of Transportation • 1 Dubuque Metropolitan Area Transp - wa Development Corporation I 1 Eastern Iowa Regional Utility Services System I Eastern Iowa Regional Housing Authority I ECIA Business Growth, Inc. Region 1 Employment and Training I ECIA Regional Planning Affiliation I Region 8 Regional Transit Authority I 17600 Commerce Park, Dubuque, IA 52002 I www.ecia.org I ecia@ecia.org I 1563.556.4166 I Iowa only: 800.942.4648 I Relay Iowa 800.735.2943 1 f. 563.556.0348 I Reduction TO to T2 Baseline per Engine T0 -T2 600 6000 14 43 0 48 0 23 2 02 11 89 Reduction TO to T3 Baseline per TO -T3 Engine 600 6000 18 32 0 63 0 29 2 28 12 43 Repower Newt Marine Towboat with new EPA Certified Engines Emissions factored to EPA BASELINE reduction 18 G EPA baseline Tier hp hours/yr NOx t/yr PM t/yr NMHC t/yr CO t/yr 02 t/yr Multiplier for HP Multipiler for HR Carbon Footprint NOX+CO+CO2 Greenhouse Gas 28 34 33 03 TO -T3 includes Captain Newt both Mains engines 1200 4000 24 43 0 84 0 39 3 04 685 0 2 00 0 67 712 47 TO -T3 includes Captain Newt both aux engines 108 2500 1 37 0 05 0 02 0 17 39 0 0 18 0 42 40 55 Total Reduction for all engines Tons/yr 32 2580 0 89 041 321 724 00 Grant Cost/ton emission reduced 30 Yr $495,978 $641 $18,551 $40,049 $5,144 $23 Conversion to Kilograms 907 185 Kg/Ton Total Reduction for all engines Kg/yr Total Project Cost/Kg/yr $807,651 Nox Kg/yr PM 25 Kg/yr NMHC Kg/yr CO Kg/yr CO2 Kg/yr 753 02 Carbon Footprint NOX+CO+CO2 Greenhouse Gas Kg/yr 23,407 808 374 2,916 656,802 683,125 $34 50 $998 96 $2,156 67 $276 99 $1 23 $1 18 > > The above table utilizes DEQ Standard Diesel emission reduction for Tier 0 to Tier 3 engine repowers. > > This Project repowers one tow boat with 2 - 600 hp Propulsion engines and 2 - 54 hp auxiliary engines. > > Emission reductions are calculated in Tons and Kilograms. > > CO2 reduction is calculated from EPA Specific fuel Consumption Tables based on 22.2 lbs of CO2 per Ib of fuel burned. Form W-9 (Rev. December 2014) Department of the Treasury Internal Revenue Service Request for Taxpayer Identification Number and Certification 1 Name (as shown on your income tax return). Name is required on this line; do not leave this line blank. Dubuque Barge & Fleeting . 1 2 Business name/disregarded entity name, if different from above N rn CCS a c 0 CO Qo• U O 2 c N 3 Check appropriate box for federal tax classification; check only one of the following seven boxes• ❑ IndividuaVsole proprietor or ® C Corporation 0 S Corporation 0 Partnership ❑ Trust/estate single -member LLC ❑ Limited liability company. Enter the tax classification (C=C corporation, S=S corporation, P=partnership) ► Note. For a single -member LLC that is disregarded, do not check LLC; check the appropriate box in the line above for the tax classification of the single -member owner. •C O. ❑ Other (see instructions) ► :E 5 Address (number, street, and apt. or suite no.) a5 Jones Street 6 City, state, and ZIP code w Dubuque, IA 52001 7 List account number(s) here (optional) 19 Give Form to the requester. Do not send to the IRS. 4 Exemptions (codes apply only to certain entities, not individuals; see instructions on page 3): Exempt payee code (if any) Exemption from FATCA reporting code (if any) (Applies to accounts maintained outside the U.S.) Requester's name and address (optional) Taxpayer Identification Number (TIN) Enter your TIN in the appropriate box. The TIN provided must match the name given on line 1 to avoid backup withholding. For individuals, this is generally your social security number (SSN). However, for a resident alien, sole proprietor, or disregarded entity, see the Part I instructions on page 3. For other entities, it is your employer identification number (EIN). If you do not have a number, see How to get a TIN on page 3. Note. If the account is in more than one name, see the instructions for line 1 and the chart on page 4 for guidelines on whose number to enter. Part II Certification 1 Social security number or 1 Employer identification number 4 2 9 3 0 6 7 2 Under penalties of perjury, I certify that: 1. The number shown on this form is my correct taxpayer identification number (or I am waiting for a number to be issued to me); and 2. I am not subject to backup withholding because: (a) I am exempt from backup withholding, or (b) I have not been notified by the Internal Revenue Service (IRS) that I am subject to backup withholding as a result of a failure to report all interest or dividends, or (c) the IRS has notified me that I am no longer subject to backup withholding; and 3. I am a U.S. citizen or other U.S. person (defined below); and 4. The FATCA code(s) entered on this form (if any) indicating that 1 am exempt from FATCA reporting is correct. Certification instructions. You must cross out item 2 above if you have been notified by the IRS that you are currently subject to backup withholding because you have failed to report all interest and dividends on your tax return. For real estate transactions, item 2 does not apply. For mortgage interest paid, acquisition or abandonment of secured property, cancellation of debt, contributions to an individual retirement arrangement (IRA), and generally, payments other than interest and dividends, you are not required to sign the certification, but you must provide your correct TIN. See the instructions on page 3. Sign Signature of Here U.S. person ► General Instructions Section references are to the Internal Revenue Code unless otherwise noted. Future developments. Information about developments affecting Form W-9 (such as legislation enacted after we release it) is at www.irs.gov/fw9. Purpose of Form An individual or entity (Form W-9 requester) who is required to file an information return with the IRS must obtain your correct taxpayer identification number (TIN) which may be your social security number (SSN), Individual taxpayer identification number (ITIN), adoption taxpayer identification number (ATIN), or employer identification number (EIN), to report on an information return the amount paid to you, or other amount reportable on an information return. Examples of information returns include, but are not limited to, the following. • Form 1099 -INT (Interest earned or paid) • Form 1099 -DIV (dividends, including those from stocks or mutual funds) • Form 1099-MISC (various types of income, prizes, awards, or gross proceeds) • Form 1099-B (stock or mutual fund sales and certain other transactions by brokers) • Form 1099-S (proceeds from real estate transactions) • Form 1099-K (merchant card and third party network transactions) Date ► 9//67//7 • Form 1098 (home mortgage interest), 1098-E (student loan Interest), 1098-T (tuition) • Form 1099-C (canceled debt) • Form 1099-A (acquisition or abandonment of secured property) Use Form W-9 only if you are a U.S. person (including a resident alien), to provide your correct TIN. If you do not return Form W-9 to the requester with a TIN, you might be subject to backup withholding. See What is backup withholding? on page 2. By signing the filled -out form, you: 1. Certify that the TIN you are giving is correct (or you are waiting for a number to be issued), 2. Certify that you are not subject to backup withholding, or 3. Claim exemption from backup withholding If you are a U.S. exempt payee. If applicable, you are also certifying that as a U.S. person, your allocable share of any partnership income from a U.S. trade or business is not subject to the withholding tax on foreign partners' share of effectively connected income, and 4. Certify that FATCA code(s) entered on this form (if any) indicating that you are exempt from the FATCA reporting, is correct. See What is FATCA reporting? on page 2 for further information. Cat. No. 10231X Form W-9 (Rev. 12-2014) ildli 1"1' dl1d1h •111 20 :111111-llii �: i� il;'. � � Ill il �'��i`i1141 Item Description Page 1 2 3 4 5 6 7 8 DEQ Outputs Technology and Sustainability Details EPA Marine Regulations Table 21 22 13 National waterway material (A Modal Com pa rison of Freight Transportation 24-29 Effects on the General Public 2007) Company Background for Fleet included in Grant 30 Peoria Journal Star Article promoting the importance of DERA Grants for Marine Sector Fleet Description example with explanation of items included in SS 31 32 Budget Detail 33 9 Examples of Certificate of Conformity... will be provided for all engines. 34-36 All engines proposed in the grant are in EPA Compliance. 10 Letter of Interest 37 11 12 Supplier Quote Detail Detailed quote package is available EPA Region 5 Letter of Support to Repower Marine Highway Assets 38 39 13 EPA Fleet Description in PDF format. Exel SS version is available upon 40-41 request. 14 Inland River Map see item 7 in Narrative 21 1 DEQ Outputs Quantifying Environmental Outcomes — (Diesel Emission Reduction): Assumptions in Table I below use the EPA's Diesel Emissions Quantifier (DEQ) and Benefits Module for Diesel Emissions Quantifier calculators found at http://cfpub.epa.gov/quantifier/view/index.cfm. This table is intended to show the DEQ calculations Outcomes for specific Tier 3 parameters determined by the number of engines in the Output. Calculations are based on using emission reduction from TO to T3 for a standard diesel engine. Table I Customer Newt Marine Services ANTICIPATED OUTPUTS and OUTCOMES from the DEQ Data Activity Output Operate Towboats 1 vessel > Repower with 2 - 600 hp propulsion engines from Tier 0 to Tier 3 and . > Repower with 2 - 54 hp aux gensets from Tier 0 to Tier 3 Outcomes: ANNUAL Reductions Emissions (Kilograms): NOx- 23,407 PM 2.5 — 808 NMHC - 374 CO — 2916 CO2 — 656,802 Health Benefits: $222,803/yr Fuel Savings: 65,186 gal/yr COST EFFECTIVENESS: Table III reflects the DEQ generated data. 30 year Cost Effectiveness is based on the EPA Guideline for typical life of marine engines and the total project cost for each fleet. The numbers below reflect cost effectiveness for 1 year... based on ICAAP Guidance Table III ANTICIPATED OUTPUTS and 30 Year OUTCOMES DEQ Cost Effectiveness CUSTOMER ACTIVITY Newt Marine Services Operate Towboats OUTPUT 1 vessel > Repower with 2 - 600 hp propulsion engines from Tier 0 to Tier 3 and, > Repower with 2 - 54 hp aux gen-sets from Tier 0 to Tier 3 OUTCOMES DEO: ONE YEARS COST EFFECTIVENESS PROJECT g/ Kilograms of EMISSION REDUCED Emission Reduction ($/Kilogram): NOx- $ 34.50 PM2.5-... $ 998.96 H C- $ 2,156.67 CO-$ 276.99 CO2 —......... $ 1.23 22 2 Technology and Sustainability Details All Technologies are Verified or Certified: None of these upgrades / repowers represent new invention, but are proven technologies built into current production engines by the OEM's and the configurations are available as current production meeting EPA Marine Tier 3 certification requirements. These technologies are much further advanced than the 15 — 30 year old engines they are replacing and result in both reduced emissions simultaneously with reduced fuel consumption. Sustainability of the Proiect: The current owners intend to maintain ownership of these vessels. One of the high impacts on air quality in large marine industry is the Tong life of these vessels, as compared to buses or on -highway trucks. The sustainability of the emissions reduction for large engines in these applications with major overhauls is well over 30 years by EPA Guidelines. Marine vessels are a very large investment which compared to buses or on -highway trucks. The amount of emission reduction from unregulated to Tier 2 is significant. The critical parameters spelled out in the EPA Tier 2 regulation have not been required in the past (prior to January 2007). All of these parameters are affected by this project. The current IMO MARPOL Annex VI adopted by the EPA addresses NOx, PM and SOx requirements that are essentially the same as Tier 2. A new Annex VI is now enforced since January, 2010 that closely aligns with the EPA Tier 2 parameters. Strategically. the grant targets engines that are not under any Mandated Emission Regulation : This project excludes engines under any existing legal mandate from inclusion in the grant. For example, no vessels with the keel laid after January 01, 2007 will be allowed to receive any grant funds. They are already mandated to be Tier 3 so there is no reason to pursue these vessels. The vessels considered for this grant funds are not in areas of the inland waterways where air quality other than EPA regulations exist. The current EPA non -attainment areas have not addressed inland waterway vessels' contribution to the non -attainment status. The major thrust of the efforts to clean up the non -attainment areas until recently has been trucks, buses and construction equipment. The table below indicates the most recent emission regulations mandated by the EPA. This does not include future regulations that cannot be enforced at this time by the U.S. Coast Guard. All of these regulations have been reviewed and understood by the applicants so as to properly apply grant money outside of current regulations. 23 3 EPA Marine Regulations Table Date vessel keel laid Pre 1/2000 EPA Regulation Unregulated engines; March, 2008 Remanufactured Engine Regulation. Certified Overhaul Consists must be ordered from the OEM that reduces PM by 25%and with no increase in NOx. If the certified consist does not exist, a standard overhaul can be done. This regulation is retro -active back as far as 1984. 1/2000-12/2006 January, 2000 EPA Tier 1 new engines produced by OEM's. 1/2007 EPA Tier 2 compliance 1/2009 IMO / MARPOL Annex VI became effective by EPA and enforced by U.S. Coast Guard. 1/2010 IMO MARPOL Annex VI revision to Tier 2 became effective and enforced by US Coast Guard 112012 EPA Tier 3 Compliance for Category 1 engines 1/28/13 Modification of Implementation of Marine EPA Tier 3 Standards 1/2013 Implementation of EPA Emission Control Area 200 miles out from US Coast Line includin. inter -coastal waterways 1/2014 EPA Implementation of the MARPOL 11 73/78 Annex VI 1/2015 Comments This population of engines is the primary target for the grant funds. These engines are the major source of pollution on the inland waterways All new engines manufactured must meet this regulation. Mandatory for all new vessels and new engines in these vessels. All of these engines also require the IMO Technical File and EIAPP Certificate for each engine above 175 Hp on vessels over 400 GWT. This documentation is also required on older vessels if these Tier 2 engines are used to repower those vessels. IMO MARPOLAnnexVI requires special documentation for each engine above 175 Hp on vessels over 400 GWT. All EPA Tier 1 engines previously only required a sticker on the valve cover. All of these engines require IMO Technical File and EIAPP Certificate Same as above but values must be Tier 2 in the IMO Technical File. Same Documentation Required to be provided by the OEM Manufacturer Tier level delays based on engine Hp and displacement Control of NOx and SOx emission output for category 1,2 and 3 engines Latest available emission Tier levels required for all repowers and upgrades for existing vessels Extend Tier 4 regulations thru 2017 for engines related to this application Extension due to delays in certifying Tier 4 at suppliers 4 National wateiway material (A Modd Comparison of FreightTransportation Effects on the General Public 2007) 24 Waterways transportation keeps our nation's commerce on the move in the safest, most fuel-efficient, environmentally sound way. E tImts of "A Modal Cornpernon of Domestic Freight Transportation Effects on the General Public. 20012009" pio,ca Was /n tlpn February 2012 P. KKWy by Ne Tear Tnngput•T Inruru[e. Cenrer ear harts ate Wmo r n 25 Amefico's Waterways: Easing Rail and Highway Congestion in Our Communities Our waterways provide great capacity to ease congestion by carrying cargo that would otherwise navel by truck or nil. The annual traffic on America's inland nervation system. including the Gulf Intracoastal Waterway and the Ohio. Mississippi and Columbia -Snake River systems. carries the equivalent o151 millwn truck trips each year. 1 Carrying the Notion's Commodities: Effects of a Major Waterway Closure Cargoes moved on the inland waterways are typically bulk cervnodiues such as coal. crude materials. petroleum. chemicals. and food and farm produce. But in the event that a waterway closure requires diversion of cargo to highway or rad. transportation costs would Increase thing with highway bottlenecks and rad transport delays. Increased Roadway Congestion Transporting cargo over malar waterways helps to avoid burdening our highway system with the equivalent of 51 million truck yips annually. based on a cargo weight of 25 tons per load. Example:The Shift to Long-distance Trucking The transport of waterborne cargo typically Involves long-distance movornene.and the corresponding transport by truck occurs unmanly on rural irtenutes between urban areas. Current stausocs Indicate that in 2009.887 combination trucks capable of carrying waterborne freight represented 18% of Average Daily Vehicles per lane on these rural altenutes. If current waterway freight traffic were to be dverted. another 742 trucks would be required per day. per lane. In other words. without barges. there would be an 83% increase In trucks on Nese highways So.v.,i i; i , ...:. rsoesm tied Co,r5%t,ta,n Cmn.ene of toe 5 dssas1009 •, 1 f•: 3 or fir. • Added Railroad Burdens Diverting river traffic would add nearly 25% mare tonnage to the national rail system.This would increase demand for railroad equipment: cause higher freight rates and slower. less reliable delivery times. Example: Diverting Ohio River Cool Traffic In 2009. the coal traffic on the Ohio River (which represents 57% of total commodity tonnage) was 118.06 million tons. If shifted to rad transport. most of this traffic would be handled by CSX railroad whose lines essentially parallel the ever CSX would have to manage' an additional 1, 054, 160 car loadings of coal annually on additional 260 7 train movements per day on additional 8' 650 new cool cars Sone -A Mohd Comaween Of Domestic freer! rmnwcrr000n trsa on the &onY NW 2001.2009^16nevy 1012116 26 An `Inland Marine Highway" for Freight America's inland river barge sptem mows freight more safely and more efficiently than rail or truck. 1t is a key component of the transportation network and essential to our country's economic strength. Connecting our communities The inland waterways system ncludes about 12.000 mules of commercially navigable channels and 192 lock sites that serve navigation. America's "inland marine highway's move commerce to and from 38 stases throughout the nations heartland and Pacific Northwest. serve industrial and agricultural centers and facilitate imports and exports at gateway ports on the Gulf Coast Moving the nation's commodities Waterways transport more than 60% of the nations grain exports. about 22% of domestic petroleum and petroleum products and 20% of the coal used m electricity genenucn Barges are ideal for hauling buff commodities and moving oversized or overweight equipment • Coal • Iron & Steal • Chemicals • Petroleum • Grain • Aggregates • Project Cargoes • Intermodal Containers Strengthening our economy In 2010. our inland waterways system handled over 566 million tons of freight valued at more than 5 180 billion (2009) Tho average cost savings of 5 11/ton compared with other tnnsporotion modes (truck and rail) moans the waterways saved the nation 56.2 bllion in transportation costs just in 2010. Advantages o InlandWoterwa s Transport: Maintaining Safety Inland walerwcys transport hos o loiv injury and (aoply record compared to rail or truck Safety related statistics for all modes of freight transportation between 2001 and 2009 show 1 injury in the inland marine sector for every 95.3 in the tad sector and 14094 in the highway sector The same 9.ycar period shows 1 fatality in the inland marine sector for every 18.1 in the rail sector and 132 in the highway sector b. Rale of Spills In Gallons per Million Ten•mlles Spah at mc.* thin i I. a+au-. • !nitwits In Freight Transportation t` 95.3 Protecting Communities Inland waerwcys :rompers mars hazardous motenols safety All transport modes work hard to prevent accidents. human errors and other causes of SpIls. Overall. spill rates are very low. Stacsucs for 2001-2009 show trucks losing 10.41 gallons per n Ikon ton -miles. tad cars 4.89 gallons and barges only 2.59 gallons. Ensuring Cleaner Air Inland waterways !romper( tenemtes (ewer emissions than roil or truck The emission comparison between inland towng. rail and truck transportation shows that fewer air pollutants are generated by moving products on Amenas inland navigation system. These pollutants include: • Particulate matter (PM) • Hydrocarbons (HC) Emissions (Grams/Ton-mile) • Carbon monoxide (CO) • Nitrogen oxides (NOx) Pad sr atoms NC aar•0014113 CO OAa)(1 • 1]05 PM - ParoN•r• matter • MC • Myderarban • CO • Carton monoxide • rax • !torn oxides 27 Fatalities In Freight Transportation Environmentally Advantageous Mages haw the Praia carbon begin antra competent wmpottovon modes. To move an identical amount of argo by rail generates 30% more carbon dioxide than by barge. and trucks generate in mess of 1,000% mom emissions. d Ise et Olt p•t•Ilr twig 1 Advantages of Inland Waterways Transport 28 Moving Freight Efficiently Throughout America Increasing Cargo Capacity .i typt-ol cargo barge rooves much more cargo than n sink truck or roil car Modal Freight Use Standard Capacity One Common Barge Tow Carries the Load of Hundreds of Rail Cars or Trucks t: a Orr loaded covered hopoer barge euros 58.333 twines d wheat. emigh w mase almns; 2.5 miocru ;NWn of bend 70 tuck, A loaded unk barge carnet 27500 barrels c4 gasoline, enough to keep about 2.500 automobiles running kr an MUR year. Units to Garry 27,500 Barrels of Liquid cargo 1,050 La Moving Forward, Saving Energy Transporting (night by water rs the most energye((oent crw<e The most energy-etfitier: way to move cornmodlues such as Coal. grain. Iron. steel. aggregates. petroleum and thermal products n to use the nation's nasigabie rivers. Barges can move one ton of cargo 616 miles per gallon or fuel. A nil car would move the same ter -r I cargo 478 miles JRY truck only 150 T.,,,: tater s Ton -miles Traveled per Gallon of Fool aaaaaaaaas a—aaaaaaa _ SWAMIS a 4®,a4aaaaasa . saaaaaaassa Emit a as a IMF SWIMS � asaaaasaaa a.Mao aaaaaaaa s flUMILWaflii gr Semi Tractor -Trailers : :0= 7.= = = re America's Waterways Are Ready to Meet Growing Demands Except for a few congested locks scheduled for replacement our navigable inland waterways system has an abundance of unused capacity. Waterways can transport the bulk commodities needed today and tomorrow whsle also moving an increasing share of intermodal cargo in the years to come. By rehewng gro"ng transportation congestion with the least impact of any surface mode on air Quality. public safety and the environment. waterways really are our transportation solution for the future. The information prowled in thn brochure was extracted from a February 2012 study tided' A Modal Companson d Domesuc Freight Tramportauon Effects on the General Nebo 001-2009" prepared by theTexasTransporation Mstrace Center for Ports and Waterways For the full report. vmt our website: www. natlona Iwa terwaysfounda tion .0 rg A NATIONAL WATERWAYS FOUNDATION The mission of the National Waterways Foundation IS to develop the intellectual and factual arguments for an efficient. wel -funded and secure inland waterways system The Foundation needs your support. To find out how to get involved. learn how your organization can benefit from the foundation i research. or to make a tax-deductible donation, please all or visit our website 29 National Waterways Foundation I 801 North Quincy Street.Suite 200,Arlmgton.Vrrginia 22203 703.37122611 NWF@vesselallunce.tom 1 www.nationalwatorwaysfoundation.org . sp> uino.0 vraunT re.a..., 30 5 Company Background for Fleet included in Grant Newt Ma ri ne https://www.newtmarine.com/ Dubuque Barge and Fleeting Services d/b/a Newt Marine has been operating in the tri state area of Iowa, Illinois, and Wisconsin for over 50 years on the Upper Mississippi River. During the early years, Newt Marine was strictly a Fleeting and Lock and bridge assisting service in the Dubuque, IA and East Dubuque, IL area. Since 2001 Carter Newt current president of Newt Marine has expanded the boundaries from Fleeting/Assists Services to larger operations along the Upper Mississippi. Main source of revenue for Newt Marine comes from the Habitat Rehabilitation and dredging operations along the Mississippi River in multiple pools. The area of operations currently has vessels and construction equipment from Lynx, Wisconsin to as far South as East St. Louis, Illinois. We currently operate two vessels on the Missouri River establishing wing dams to provide safer traveling, commercial and recreational, for boat operators. Newt Marine currently has one dedicated run of sand and rock in the Rock Island, IL area and still continues to assist larger towing operations through locks and bridges between locks 11 down to lock 16. Newt Marine main headquarters is located in Dubuque, IA and currently operates out of two established harbors both being in East Dubuque, IL. The company employs approximately 90 individuals that is comprised of residents of Illinois, Iowa, Wisconsin, Nebraska, and Minnesota. The company currently operates twenty-six tug/tow boats. All of the vessels are twin screw with a variety of different models and styles of engines. The vessel that is being submitted in this application is a 1970 twin screw tug boat and has been owned by Newt Marine since 1993 previous owner was Winona Marine. This vessel is being utilized as a traditional tug/tow boat loading and unloading barges for transfer of grain, coal, construction products and other dry products such as rolled steel and fertilizers. The vessel is designed for a multitude of work to include trip work along the river. Due to the age of the vessel it is in need of the upgrade in equipment and due to the location and the environment that it primarily works in it should make a great candidate for this type of grant. Receiving the upgrade will continue to allow Newt Mamie to be competitive in the marine market as it will lower maintenance and repair costs, lower overhead expenses and continue to keep the same number of employees gainfully employed which supports the local economy of Dubuque, IA) NEWT MARINE CONSTRUCTION HARBOR SERVICE & FLEETING SPECIALIZED TOWING DRY DOCK & SHIP REPAIR BARGE RENTALS DUBUQUE RIVER TERMINALS, INC. DREDGING MARINAS HABITAT RESTORATION CONTACT US ince 1965, Newt Marine Service has been a reliable fixture in the Upper Mississippi marine service industry. Whether you are looking for fleeting, marine construction, dredging. dry docking, barge rentals, specialized towing, or a terminal facility, we have the experience to get your job done the right way, the first time. 31 6 Peoria Journal Star Article promoting the importance of DERA Grants for Marine Sector PEORIA -BASED FIRM HELPS RIVER SHIPPERS MEET NEW EMISSIONS STANDARDS By TERRY BIBO of the Journal Star Posted May 06, 2012 @ 11:59 PM BEARDSTOWN — Kim Logsdon cites several good reasons to replace the old diesel -powered engines at Logsdon Tug Service with cleaner and more fuel-efficient models. "I think it's good for the rural area. I think it's good for the Peoria area," the owner of the Beardstown business said. "I think it's good for the whole river system." With more than three decades in the river business, Logsdon said he's a believer in the marine highway. Often overlooked in the transportation debates, he said, shipping by river is already the most efficient and environmentally sound way to transport goods. Replacing old boat engines to meet new federal emission standards by 2015 will make it even more so. Still, he wouldn't be "re -powering" a second boat next week without help. With Just five boats and a peak employment of 22 people, spending $550,000 to upgrade a single boat is a stretch. "Even for the bigger companies, it has to be a tremendous financial burden to come up to these emission standards we're all going to have to meet," Logsdon said. Enter DJMP Engine Solutions LLC. From Chicago to New Orleans, the Peoria -based consultants bring multi -faceted expertise - engineering, marketing, project management, knowledge of environmental regulations - to the problems/opportunities offered by marine engines. They're working on a comprehensive plan to upgrade river -wide infrastructure - and create individual plans for companies like Logsdon Tug. They back efforts to create a dredger to address siltation problems throughout the marine highway - and seek grants to make individual projects happen. It's complex, especially since so much of the effort 'stied to multi-year federal funding bills that may or may not come through. "We're only just scratching the surface here," said Mike Bima, the "M" in DJMP. Steve Jaeger, executive director of the Heart of Illinois Regional Port Authority (TransPORT), is a fan. He worked with DJMP on what eventually became a $400,000 federal grant for Logsdon and others. "It's not a freebie," Jaeger said. "It's a 40 percent match. It makes it possible for these vessels to come into compliance." While it's expensive to switch to cleaner marine engines, compliance is expected to save money - and lives as well. Brian Urbaszewski, director of Chicago's Respiratory Health Association, pointed to several studies, particularlya long-term effort by the National Cancer Institute and the National Institute for Occupational Safety and Health published in March. It showed that exposure to diesel exhaust at roughly the level found in big cities can increase the risk of lung cancer by 50 percent. "It's a big deal to replace these engines," Urbaszewski said, noting that they are not only cleaner, but produce fewer CO2 emissions by using less fuel. "I think, ultimately, the economics are there ... the health benefits are a great side benefit to that. It Bima considers the cost/benefit ratio one of DJMP's biggest selling points in hunting grants for its clients. "If it comes to investing my money - and I consider that government money is my money - I would rather invest it in something that gives me a better return," he said. And there seems to be a market. "There is potential for the federal largesse to be shared with a lot more companies than are presently receiving them," said Jaeger. "Most of these towboat owners dont know where to turn. They just know there's new regulation coming." Logsdon agrees, and he's glad he turned to DJMP. "If it wasn't for these people, I might add, I would not be doing this second re -powering," he said. "It's a big step for a small company." Terry Mo con be reached at terry bho freelonce@gmod corn or 686-3114 7 Fleet Description example EPA 2013 Fleet Description Form Below is an example of the details that are included. This file format is provided on the EPA website. Fleet Description Spreadsheet with Vessel Owner, Vessel information of engines before and after repower (this sheet is provided separately because of its size). The spreadsheet was developed by the EPA to document the below information: To view PDF version of the complete spreadsheet see Attachment Item 13. An exel version is available if required. This file includes: o Vessel/crane engine serial numbers when available o Vessel/crane current hours and fuel consumption o Vessel/crane current engine emission status and size o Vessel/crane new engine description of power, emission level , fuel consumption o Vessel/crane new engine EPA Engine Emission OEM Family Number for reference o Vessel/crane new engine unit price and installation Costs Organization/ Applicant Name FirstName LastName JobTitle Address City State EmailAddress ZipC Newt Marine Jared Gevock Fleet Manager 5 Jones St Dubuque IA ioevockCo)newtmanne com $4 Project 1 Information ProjectName Organization Performing Project TargetFleet Number of Vehicles City County State Region Gr Fun Ami Captain Newt Newt Marine Marine 1 Dubuque Dubuque IA 7 $4 Fleet 1 Information for MARINE VESSELS ONLY Current Vesse Sector Application Boat Name or Other Identifier Total Number of Engines per Vessel Engine Type Serial # of Engine Engine Make Engine Model Enc Family unreg engin( N, N. Marine Tug Boat/ MN Captain Tow Boat Newt 4 propulsion 10598 Cummnins KTA1150 propulsion 80475 Cummnins N. KTA1150 auxilliary 3A2328 Detroit N. 3-71 _ auxilliary 3A8981 Detroit N. 3-71 33 8 Details of Budget Cost ✓ Cost share will be provided by fleet. ✓ There are no administration fees charged... the fleet will accommodate project management within the scope of their management structure. ✓ Benefit to cost analysis for typical Upgrades / Repowers of existing fleet boats range above 17:1. Factors that contribute to this excellent ratio include (detailed analysis is available) o Increased fleet profit from small business operation of upgraded vessel... helps to maintain an endangered business. o Decreased fuel cost... up to 44% has been measured. o Reduced maintenance with new engines. o Savings to society with potential for reduced traffic congestion. o Public health benefits... including the crew of the vessel (testimonials are available). o Jobs created and maintained with the upgrade to the vessel. o Project impact on increased commerce, i.e. COB activity. ✓ Complete Procurement comparison details are available and will be provided with Final Agreement Signatures. ✓ As always, Engine Quotes are time sensitive and may require adjustment for the final agreement: 34 9 Examples of Certificate of Conformity... will be provided for all engines. All engines proposed in the grant are in EPA Compliance. Below are Certificates for Cummins QSM 19 and John Deere 4045 UNITED STATES ENVIRONMENTAL PROTECTION AGENCY 2016 MODEL YEAR CERTIFICATE OF CONFORMITY WITH THE CLEAN AIR ACT Certificate Issued To: Cummins Inc. (U.S. Manufacturer or Importer) Certificate Number: GCEXN08.9AAA-008 Model Year: 2016 Manufacturer Type: Original Engine Manufacturer Engine Family: GCEXN08.9AAA Effective Date: 08/07/2015 Expiration Date: 12/31/2016 35 OFFICE OF TRANSPORTATION AND AIR QUALITY ANN ARBOR, MICHIGAN 48105 Byron J/Bunker, Division Director ompliance Division Mobile/Stationary Indicator: Mobile Limited Application: Engines Used with Controllable Pitch Propellers Intended Service: Propulsion Aftertreatment Device Indicator: No Intended Service Fuel: Diesel FELs: PM: 0.1g/kW-hr • Issue Date: 08/07/2015 Revision Date: N/A Pursuant to Section 213 of the Clean Air Act (42 U.S.C. section 7547) and 40 CFR Part 1042, and subject to the terms and conditions prescribed in those provisions, this certificate of conformity is hereby issued with respect to the test engines which have been found to conform to applicable requirements and which represent the following marine engines, by engine family, more fully described in the documentation required by 40 CFR Part 1042 and produced in the stated model year. This certificate of conformity covers only those new marine compression -ignition engines which conform in all material respects to the design specifications that applied to those engines described in the documentation required by 40 CFR Part 1042 and which are produced during the model year stated on this certificate of the said manufacturer, as defined in 40 CFR Part 1042. It is a term of this certificate that the manufacturer shall consent to all inspections described in 40 CFR Part 1068 and authorized in a warrant or court order. Failure to comply with the requirements of such a warrant or court order may lead to revocation or suspension of this certificate for reasons specified in 40 CFR Part 1042. It is also a term of this certificate that this certificate may be revoked or suspended or rendered void ab inilio for other reasons specified in 40 CFR Part 1042. This certificate does not cover marine engines sold, offered for sale, introduced, or delivered for introduction into commerce in the U.S. prior to the effective date of the certificate. This certificate of conformity is conditional upon compliance of said manufacturer with the averaging, banking and trading provisions of 40 CFR Part 1042, Subpart H. Failure to comply with these provisions may render this certificate void ab inilio. Certificate for John Deere 4045 UNTIED STATES ENVIRONMENTAL PROTECIION AGENCY 2016 MODEL YEAR CERTIFICATE OF CONFORMITY WITH THE CLEAN Ant ACT Certificate I: need To- Dee e @ Company (U.S. Mamiecraw cc Importer) Certificate Number WD]T.0J.S315-016 Model Year :016 Manufacturer Type: Oriev1 alto Mam'.ar_rer Eu.i.e Family. Gil:W.04.5315 Effective Date: 1L17R015 Eaniraaoartare: 120V1016 OFFICE OF TRANSPORTATION .AND ASR QUALM' .ANN ARBOR, MICHIGAN 38105 DTnJ MYdker. Denaea Nrecter emplince Diri:ioa Issue Date: 1L17M15 Renew Date: NU 36 klobde$atieaary Winder Both Eases»m Power Cateleq 75.,MWc130 Feel Type. Diesel After Treatment Deices: Diesel Oaidamn Catalyst. Amooia Sly Caalyx Sawa. Caaher Reductor; Noe -after Treament Device:: Elacvoox Comet Eleceoaotleceic EGA- Cooled. Nn.uandard Non-Afx Tram.m Deice bataled Pu. -rant :o Seceoa 111 and Sac non 113 of the Clean Au Act (42 V.S.C. whom 7411 ad 7547) and 40 CFR Pun 60 wad 1039 and srhjett to tie terms andcoadmom pre:c bed m thus FFmiukm. thn mcacate of try is herby tuned Wthaspect to the ten miles which hon ben:omd to confers to applicable agu:-emuon and which np:owntf following mg r. hymen frmi'v mote faydesaibod in t e doc .antka required by 40 CPA Pam 60 and 1039 and produced in the sa:d medal year This card5caw ofcm.4my coven only thou new covpmsim-ipaiaonmeinej whack cocoas in all =tenth opera to the dmlm spuci5caams that appld :o thus negates descend a the doameeatce rgaaed by 40 CFR Pan 60 and 1039 and whkh arepmdxd dmap the mobil yaw stated mein cer65cam of We said mam'.actmv. at defined in 40 CPA Para 60 and 1039. Itis a teas of ibis cea&cate that the eaannbctrar ahali cmant to all maperimadvcbed in 40 CFR 1065 and minimized ha awanan: or ode Failure to comply with the rgsamenn of such nanam or coat order may Ind to nxcaeon or mgmuoa of this certificate for reasons apeoled"m 40 CFR Pan 60 and 1039. It as 31003 teas of dui «MScan that than caa5cate may be revoked o mapmded a named void a6 mum for other remora apea6d in 40CFR Pats 60 and 1039. This mei-car dm not mum engines WA. ofeedfo sake. o iced or Unwed kr auoduaea. into meaeccem the U.S. no: to the effect,...) baa of thecacxate. The actual oncro pony may 1» *amide the limns of the attafian Pawn Category Mona above. See the cetifx» applies= kr details. Item 1d 37 A Letter of Interest from the Fleet is included that details the cost sharing and commits to whatever timeline the ICAAP will require. : DJMP Engine Solutions, LLC 9/16/17 Subject: Letter of Interest Re iowa CMAQGrant Application 2017 Title: Diesel Emission Reduction Iowa CMAQ Newt Marine We have discussed the terms of the possible grant with a representative of the DJMP Engine Solutions, LLC (a qualified entity to submit a grant application). It is our understanding that DJMP intends to submit a grant application representing Newt Marine to provide funding for Upgrades and Repowers of diesel engines powering Newt Marine regional tugs We would like to participate in the grant application and have provided DJMP Engine Solutions, LLC necessary information regarding our vessels and operations that qualify for this application. We understand the timing of the funding is contingent upon submitting a winning grant We also understand the timing of the grant and subsequent timeline for completion of upgrades and repowers Cost sharing will be required for the acceptance of the grant application and should our company receive funding there will be follow-up reporting required. By our signature we agree that this is a non-binding agreement on all parties. At such time that a notice of a grant award is received by our company, we will enter into an agreement with Iowa Clean Air Attainment Program (ICAAP) and their representatives for future activity regarding the grant funds and reporting requirements. This is a voluntary repower/upgrade to our river boats Information provided will remain confidential and be used only as required by the grant process. Company Name: Newt Marine, Inc Company Representative „burl 6.. Lfir"".'- Date 916/7 DJMP Representative: Mike Bima Operations Manager Date _9/16/17_ frec,r24;•._. 38 11 Supplier Quote Detail Final details will be available at time of grant agreement and final procurement. 39 12 EPA Region 5 Letter of Support to Repower Marine Highway Assets... this letter applies directly to St. Louis nonattainment and also encompasses all other nonattainment areas UNITED STATES ENVIRONMENTAL PROTECTION AGENCY REGION 5 77 WEST JACKSON BOIJLEVARI CHICAGO, IL 60604-3590 March 2, 2016 East West Gateway Council of Governments ATTN. Transportation Planning Dept STP -S One Memorial Drive, Suite 1600 St Louis, MO 63102 Dear East West Gateway CMAQ Transportation Committee. AR -18J REPLY TO THE ATTENTION OF: On behalf of U S Environmental Protection Agency's (EPA) Region 5 Midwest Clean Diesel Initiative, I would like to express our support for the Illinois EPA's Port/Marine Diesel Engine Repower Project (Project Number 723466) currently being considered for Congestion Mitigation and Air Quality Improvement Program (CMAQ) funding in the Metro -East St Louis area as part of the proposed FY 2017-2020 Transportation Improvement Program (TIP) The Illinois EPA's sponsored project is a perfect example of the type of CMAQ public/private partnerships that are allowed and encouraged by both the EPA and Federal Highway Administration and which have been successfully undertaken in several parts of the country, including in the Chicago area The current federal transportation funding bill (MAP -21) requires that 25% of CMAQ funds be used for fine particle (PM2.5) emission reduction projects if the area is designated as nonattainment for PM25 The EPA has designated the St Louis region as a marginal non -attainment area under the eight-hour ozone standard and as a non -attainment area with respect to the PM2 5 standard; thus, we encourage East-West Gateway to prioritize PM2.5 emissions reductions CMAQ projects as required by MAP -21 in future TIPs Direct emissions from diesel engines, especially PM2 5, oxides of nitrogen (NO.), and sulfur oxides (SO.), contribute to health problems In addition, NO. contributes to the formation of ozone and PM through chemical reactions PM 25 has been associated with an increased risk of premature mortality, increased hospital admissions for heart and lung disease, and increased respiratory symptoms Long-term exposure to components of diesel exhaust, including diesel PM and diesel exhaust organic gases, are likely to pose a lung cancer hazard Clean diesel projects targeting direct emissions reductions from diesel engines are generally cost-effective, according to EPA's calculations of health benefits Each federal dollar invested in clean diesel projects has generated between $7 and $18 in public health benefits In addition, Rail and port/marine projects are especially beneficial because they tend to take place in environmental justice communities, which are disproportion- ately impacted by higher levels of diesel emissions Targeting PM2.5 emissions reductions from diesel engines in the St Louis area is a cost effective approach to addressing air quality issues in this area We know that CMAQfunds are limited and as a region you need to maximize the effectiveness of the federal dollars you get in the region It should not matter whether filthy diesel engines being cleaned up or replaced are in privately -owned or publicly -owned vehicles Whethera garbage truck, tug boat, or locomotive is owned by a municipal government or a corporation does not matter to the members of the public being forced to breathe the emissions coming from such equipment I will also highlight that this project deserves special consideration for exceeding the minimum 20 percent match required for CMAQ projects, making it an especially wise use of limited federal funds This project will help reduce air pollution across a broad part of the St Louis area, an area already facing a higher than average risk of asthma prevalence as well as greater negative outcomes from asthma episodes To conclude, I would like to reiterate our support not only for the Illinois EPA's Port/Marine Diesel Engine Repower Project (Project Number 723466), but to also encourage East-West Gateway to prioritize PM25 emissions reductions for CMAQ projects as required by MAP -21 in future TIPs Thank you for your strong consideration of this project proposal Sincerely, Francisco) Acevedo Mobile Source Program Manager U S EPA - Region 5 40 13 EPA Fleet Description in PDF format. Exel SS version is available upon request. PDF Version can be enlarged to read. alkogitt Applicant Information p A licant LastN JobTit Address City EmaJlAdd one Newt�Mann Mme I�retl Name IGewck ante Fleet Managera 5,bnes 5l Dubuque IA Sate Ie dvmk611ne fro ZipCade001563588-0h371 IOffcePhane EM yl Fleet ipeYCCk@neu7marin Prosect 1 Information ProlectName r3anlzctlo lon Perbr � I Ine I 1 Numrof ProRct TargetFleet Vehicles City Captain Newt Newt Monne ar D County Reg on Grant Funding Amount ubuque °toque IA 1 7 Additional Aththanal Private Funding Funding Source Amount � Pubic (Benefit $405,9/8 palate 8311,670 Fleet 1 Informatan for MARINE VESSELS ONLY Applcant Fleet Descnpllon CMAQ Iowa2017 Clean Diesel Program National Clean Diesel Cam pagn AprlI 2013 Revision Current Vessel Information Marine Total Number of9 Boat Name or Engines per Application Other Identifier Vessel Engine g Type propulsion propulsion auallary Milliary Tug goat, TOW MN Capain Poet Neat 4 1 Newt Fleet Description 4113 Madel MV Caplan Newt Marine Vessels Serial pal Engine 10598 Engine Make Cummins 80475 Gummnins 34;2321 pewit d1,H801 Uetron Model Engine En Eng ine Famile engiName If unregulated g then , 9 NA) N/A KTA1150 KTA1150 3 71 3 71 68 Engine Model Year 2001 Horsepowe 550 Drsprement per Cylinder (Liters) 250=sire d0 555 2001 550 259= sae 6 Unregulated NA N/A 144/ 54 1 2 <= sae 0 001042ted NA N/A 100/ 59 12<=size <G Iunregulated NA Current Tier Level nregunted Current Standard Lew! for PM and NOxar NMHCaNOx NA New Vesvetlfecnnology Informatnan Annual Usage NeW Engine Rate (Hours per Annual Idling Venfied Family Ne Amount of Fuel engine) Hours (per Year of Retrofit Technobgy Technology Tech no 0001 (Repacementsl Fuel Type Used )ga4year) Full Load engine) Action Type Make Model Repowers) Diesel (LSO), 135,712 4000 500 2016 Engine Cummins 20M19 3C 3C NE.( 500 ppm Reprover Diesel (LSV 135,712 4000 500 2018 Engine Cummins OSM19 500 ppm Repover Diesel (LS /,h,a99 2544 21.110 ,eneraar Set Jahn Deere 4445 500 ppm Diesel (LS /, 5,099 2544 .10 000010001 Set Jahn Deere 4445 500 ppm NeW Engine NeW Engine g e g e Mode lr00 002NeW Engine Displacement per NeW Oap200r arlol New! far ard PM (Repacemenw Harsepovrer O/lintler (Liters) (Repacemen5l Lew! far PM Re5vlers0 (Replaar0enls/ (Repacementsl 005000rs0 and NOxar NeW Fuel Upgrotles) 5e0Wers) Repowers) Upgrades) NMHCoNOx Type 2017 600 250=size d0 8015 NMHG &11400 Diesel 0 35 glkW-Hr (ULSD), 15 & PM 0 15 ppm 3CEXN000AAR 2017 600 250=sae60 Tier NMHG & lClxDiesel 035kW-5 I ,15 & PMM0 ppm .,rUXW4 h32h LD1/ 54 12<=sae C25 Irer3 NMHL, Diesel 035 g1kW-Hr (ULSD), 15 & PM 0 15 ppm a.UXLU45325 241/ 54 12<=sae05 1210 NMHI. laDiesel 0 35 g1kW-Hr (ULSD), 15 & PM 0 15 ppm Annual Idling Eburs Reduced (par engine) 500 500 Technology Unit Technology Unit Cast Instalnton Cosi 8159,600 8151,625 1129,000 2151,025 }15,444 0016,444 2105,444 0016,444 Total $349,200 $335,250 108 7018 P10591 $664,450 Unlisted $123,201 $807,651 Page 1011 AGREEMENT BETWEEN THE CITY OF DUBUQUE, IOWA AND DUBUQUE BARGE AND FLEETING SERVICE COMPANY D/B/A NEWT MARINE SERVICE This Agreement, dated for reference purposes the Z' day of 5�,'rcAt06-e , 2017, is made and executed between the City of Dubuque, Iowa, (City), a municipal corporation, and Dubuque Barge and Fleeting Service Company d/b/a/ Newt Marine Service, (Newt), an Iowa corporation with its principle office in Dubuque, Iowa. WHEREAS, Newt wants to apply for a grant from the Iowa Clean Air Attainment Program (ICAAP) for Congestion Mitigation/Air Quality (CMAQ) to assist with Repowering Newt Marine Towboat with new EPA Certified Engines (the "Project"); and WHEREAS, the ICAAP CMAQ grant is managed by the Iowa Department of Transportation (IDOT) and requires sponsorship of private projects; and WHEREAS, as sponsor the City is agreeing to many requirements which are a condition of receiving the funding; and WHEREAS, City is willing to sponsor the project, upon the terms and conditions contained in this Agreement; and WHEREAS, the Newt project would positively impact air quality in the community. NOW, THEREFORE, in consideration of the mutual covenants and agreements of the City and Newt, each to the other, it is agreed as follows: SECTION 1. SPONSOR. City agrees to sponsor the application of Newt for ICAAP CMAQ funding for the Project. SECTION 2. PROJECT MANAGMENT. Newt and its consultant, DJMP Engines Solutions (DJMP), are aware of the significant amount of project management required to complete State and Federal Government grants. Newt and DJMP will minimize the time and resources required from the City of Dubuque. SECTION 3. SPONSORSHIP CONDITIONS. A. All sponsorship requirements will be fulfilled by DJMP and Newt. B. Newt and DJMP will provide any document requiring Sponsor signature to the City for the necessary signature. 092917cmb C. Newt and DJMP will process all invoices from Newt for submittal to the Iowa Department of Transportation including, but not limited to, cover letters, the paid invoice, proof of purchase, and a simple invoice log that shows status of submitted invoices. D. Newt and DJMP understand ICAAP DMAQ funding is a rebate program and acknowledge that if funds are awarded Newt must pay invoices for the Project and then submit said invoices to the State for payment to the City. Upon receipt of the rebate City will pass through said rebate to Newt. E. Newt and DJMP understand and acknowledge the requirements of the Buy America and Procurement process required by the Federal Government. Newt and DJMP will be responsible for all Buy America and procurement compliance and documentation. F. Newt will provide a financial statement to the State of Iowa stipulating that Newt will provide the appropriate cost match required by the ICAAP CMAQ funding program. G. Newt and DJMP understand and acknowledge the City will not be responsible for any disputes, issues, or compliance matters related to the Newt ICAAP CMAQ funding request arising between IDOT and Newt Marine. H. Newt will maintain the project for the life of the project stated in the ICAAP CMAQ application. Newt and DJMP will be responsible to provide periodic project management updates to IDOT and the City of Dubuque recording the progress of the project and future project activity, including a monthly written status report with financial information to the City Manager. J. Newt and DJMP will provide City with any necessary information required by City and IDOT within three (3) days of a request from either the City or IDOT. SECTION 4. INSURANCE. Newt shall provide insurance as required by the attached Insurance Schedule A. SECTION 5. INDEMNITY. Newt agrees to save, defend, indemnify and hold harmless City, its officers, agents and employees, against any and all loss, damage, claims, causes of action, judgments, costs and expenses that City may hereafter suffer, incur, be put to, pay or lay out, including attorneys' fees, by reason of the performance or lack of performance by Newt and/or its agents and employees of the conditions of this Agreement. SECTION 6. ASSIGNABILITY. Newt shall not assign or transfer any interest in this Agreement. 2 SECTION 7. TERMINATION. In the event Newt fails to keep, perform and observe in a timely and proper manner, as determined in the sole discretion of the City, any of its covenants or obligations under this Agreement, City may, at its option, terminate this Agreement by giving ten (10) days written notice to Newt, in which event Newt shall be responsible to turn over all sponsorship documentation in the possession of Newt and DJMP to the City. In the event Newt fails to complete all of the ICAAP CMAQ program requirements, Newt will be responsible to return any funds as required by IDOT. Upon termination, the City has no further responsibility under this Agreement. CITY OF DUBUQUE, IOWA By: Michael C. Van Milligen City Manager DJMP ENGINES SOLUTIONS B y: Its: Operations Manager 3 DUBUQUE BARGE AND FLEETING SERVICE COMPANY D/B/A NEWT MARINE SERVICE By: _�=fid/ •$�/�i�ca Its: cge:Avt, tic�N,4f,6' 1. City of Dubuque Insurance Requirements for Lessees of City Property and Right of Way Licensees or Permittees INSURANCE SCHEDULE A shall furnish a signed certificate of insurance to the City of Dubuque, Iowa for the coverage required in Exhibit I prior to the lease, license, or permit commencement. All lessees of City property and right of way licensees or permittees shall submit an updated certificate annually. Each certificate shall be prepared on the most current ACORD form approved by the Iowa Insurance Division or an equivalent. Each certificate shall include a statement under Description of Operations as to why the certificate was issued. Eg: Project # or lease of premises at or construction of or right of way permitted location and description 2. All policies of insurance required hereunder shall be with an insurer authorized to do business in Iowa and all insurers shall have a rating of A or better in the current A.M. Best's Rating Guide. 3. Each certificate shall be fumished to the Department of the City of Dubuque. 4. The lessee, licensee, or permittee shall be required to carry the minimum coverage/limits, or greater if required by law or other legal agreement, in Exhibit I. Failure to provide the required minimum coverage shall not be deemed a waiver of such requirements by the City of Dubuque. 5. Failure to obtain or maintain the required insurance shall be considered a material breach of the lease, license, or permit. 6. All required endorsements shall be attached to certificate. 7. Whenever a specific ISO form is referenced the current edition of the form must be used unless an equivalent form is approved by the Finance Director. The lessee, licensee, or permittee must identify and list in writing all deviations and exclusions from the ISO form. 8. If lessee's, licensee's, or permittee's limits of liability are higher than the required minimum limits then the lessee's, licensee's, or permittee's limits shall be this agreement's required limits. 9. Lessee, licensee, or permittee shall require all subcontractors and sub -subcontractors to obtain and maintain during the performance of work insurance for the coverages described in this Insurance Schedule and shall obtain certificates of insurance from all such subcontractors and sub -subcontractors. Lessee, licensee, or permittee agrees that it shall be liable for the failure of a subcontractor and sub -subcontractor to obtain and maintain such coverage. The City may request a copy of such certificates from the lessee, licensee, or permittee. Page 1 of 4 Schedule A Lessees Of City Property; Right Of Way Licensees or Permittees July 2017 4 City of Dubuque Insurance Requirements for Lessees of City Property and Right of Way Licensees or Permittees INSURANCE SCHEDULE A (Continued) EXHIBIT I A) COMMERCIAL GENERAL LIABILITY General Aggregate Limit $2,000,000 Products -Completed Operations Aggregate Limit $1,000,000 Personal and Advertising Injury Limit $1,000,000 Each Occurrence $1,000,000 Fire Damage Limit (any one occurrence) $50,000 Medical Payments $5,000 1) Coverage shall be written on an occurrence, not claims made, form. The general liability coverage shall be written in accord with ISO form CG0001 or business owners form BP0002. All deviations from the standard ISO commercial general liability form CG 0001, or Business owners form BP 0002, shall be clearly identified. 2) Include ISO endorsement form CG 25 04 "Designated Location(s) General Aggregate Limit." 3) Include endorsement indicating that coverage is primary and non-contributory. 4) Include Preservation of Govemmental Immunities Endorsement (Sample attached). 5) Include an endorsement that deletes any fellow employee exclusion. 6) Include additional insured endorsement for: The City of Dubuque, including all its elected and appointed officials, all its employees and volunteers, all its boards, commissions and/or authorities and their board members, employees and volunteers. Use ISO form CG 20 10 (Ongoing operations) or its equivalent. 7) If lessee, licensee, or permittee utilizes Trikkes or Segways in the conduct of business, include an endorsement reflecting that these vehicles are not excluded from Commercial General Liability coverage. B) WORKERS' COMPENSATION & EMPLOYERS LIABILITY Statutory benefits covering all employees injured on the job by accident or disease as prescribed by Iowa Code Chapter 85 as amended. Coverage A Coverage B Statutory—State of Iowa Employers Liability Each Accident $100,000 Each Employee -Disease $100,000 Policy Limit -Disease $500,000 Policy shall include Waiver of Right to Recover from Others endorsement. Nonelection of Workers' Compensation or Employers' Liability Coverage under Iowa Code sec. 87.22 _ yes _ form attached Page 2 of 4 Schedule A Lessees Of City Property; Right Of Way Licensees or Permittees July 2017 5 City of Dubuque Insurance Requirements for Lessees of City Property and Right of Way Licensees or Permittees INSURANCE SCHEDULE A (Continued) C) ENVIRONMENTAL IMPAIRMENT LIABILITY OR POLLUTION LIABILITY Coverage required: yes _ no Pollution liability coverage shall be required if the lessee, contracting party, or pemiittee has any pollution exposure for abatement of hazardous or contaminated materials including, but not limited to, petroleum products, the removal of lead, asbestos, or PCBs. Pollution product and completed operations coverage shall also be covered. Each occurrence Policy Aggregate $2,000,000 $4,000,000 1) Policy to include premises and transportation coverage. 2) Include additional insured for. The City of Dubuque, including all its elected and appointed officials, all its employees and volunteers, all its boards, commissions and/or authorities and their board members, employees and volunteers. Use ISO form CG 20 10. (Ongoing operations) as stated in A(6) above. 3) Include Preservation of Govemmental Immunities Endorsement. 4) Provide evidence of coverage for 5 years after completion of project. D) PROPERTY INSURANCE REQUIRED BY LEASE, LICENSE, OR PERMIT yes no Evidence of property coverage provided: _ yes Included the City of Dubuque as Lender Loss Payable. E) RIGHT-OF-WAY WORK ONLY: UMBRELLA/EXCESS $1,000,000 yes no Umbrella/excess liability coverage must be at least following form with the underlying policies included herein. Page 3 of 4 Schedule A Lessees Of City Property; Right Of Way Licensees or Permittees July 2017 6 City of Dubuque Insurance Requirements for Lessees of City Property and Right of Way Licensees or Permittees PRESERVATION OF GOVERNMENTAL IMMUNITIES ENDORSEMENT 1. Nonwaiver of Governmental Immunity. The insurer expressly agrees and states that the purchase of this policy and the including of the City of Dubuque, Iowa as an Additional Insured does not waive any of the defenses of governmental immunity available to the City of Dubuque, Iowa under Code of Iowa Section 670.4 as it is now exists and as it may be amended from time to time. 2. Claims Coverage. The insurer further agrees that this policy of insurance shall cover only those claims not subject to the defense of governmental immunity under the Code of Iowa Section 670.4 as it now exists and as it may be amended from time to time. Those claims not subject to Code of Iowa Section 670.4 shall be covered by the terms and conditions of this insurance policy. 3. Assertion of Government Immunity. The City of Dubuque, Iowa shall be responsible for asserting any defense of governmental immunity, and may do so at any time and shall do so upon the timely written request of the insurer. 4. Non -Denial of Coverage. The insurer shall not deny coverage under this policy and the insurer shall not deny any of the rights and benefits accruing to the City of Dubuque, Iowa under this policy for reasons of governmental immunity unless and until a court of competent jurisdiction has ruled in favor of the defense(s) of governmental immunity asserted by the City of Dubuque, Iowa. No Other Change in Policy. The above preservation of govemmental immunities shall not otherwise change or alter the coverage available under the policy. SPECIMEN (DEPARTMENT MANAGER: FILL IN ALL BLANKS AND CHECK BOXES) Page 4 of 4 Schedule A Lessees Of City Property; Right Of Way Licensees or Permittees July 2017 7