RD664 - Report of the Public Body Procurement Workgroup on the Appropriateness of Requiring State Agencies to Use a Total Cost of Ownership (TCO) Calculator Prior to Purchasing or Leasing Medium-Duty or Heavy-Duty Vehicles – November 2022
The third enactment of Chapter 789 of the Acts of Assembly of 2022 (SB 575), patroned by Senator T. Montgomery “Monty" Mason, directed the Department of General Services' (DGS') Public Body Procurement Workgroup (Workgroup) to evaluate the appropriateness of requiring all agencies of the Commonwealth to use a total cost of ownership (TCO) calculator prior to purchasing or leasing any medium-duty or heavy-duty vehicles to assess and compare the total cost to purchase, own, lease, and operate medium-duty or heavy-duty internal combustion-engine vehicles (ICEVs) versus comparable electric vehicles (EVs). The legislation directed the Workgroup, in conducting its evaluation, to consult with relevant stakeholders, including at least one medium-duty or heavy-duty vehicle technology provider with experience in real-world deployments, and consider:
(a) the current commercial market for medium-duty and heavy-duty EVs;
(b) the unique characteristics of medium-duty and heavy-duty vehicles, including charging infrastructure and operational duty cycles;
(c) the potential volume of medium-duty and heavy-duty vehicles purchased by DGS and agencies of the Commonwealth;
(d) the availability of public TCO calculators for medium-duty and heavy-duty vehicles and their suitability for use by DGS and agencies of the Commonwealth; and
(e) any other information it determines relevant to its evaluation.
The legislation set a deadline of December 1, 2022 for the Workgroup to submit a report with its findings and any recommendations to the Chairmen of the House Committee on General Laws and the Senate Committee on General Laws and Technology.
In response to this legislation, stakeholders were identified, and four Workgroup meetings were held at which SB 575 was discussed. This report summarizes the information presented to the Workgroup by stakeholders and subject matter experts, the Workgroup’s findings on each of the items that it was asked to consider, and the Workgroup’s final recommendation regarding the appropriateness of requiring all agencies of the Commonwealth to use a TCO calculator prior to purchasing or leasing any medium-duty or heavy-duty vehicles to assess and compare the total cost to purchase, own, lease, and operate medium-duty or heavy-duty ICEVs versus comparable EVs.