Amendment to Blanket Contract Number 47023372 with Ford Motor Company of Canada Limited and Amendment to Purchase Order Number 6047621 with FCA Canada Inc. for Category 1A -General Vehicle Acquisitions and up-fitting

This report will outline the ways in which Fleet Services is focused on greenhouse gas emission (GHG) reduction by proactively procuring zero emission vehicles (ZEVs) where possible, as well as the procurement of lower emission vehicle options when a ZEV replacement vehicle is not yet available on the market. Through this report, the General Manager, Fleet Services Division is also seeking authority to exercise optional term two (2) of Blanket Contract Numbers 47023372 issued to Ford Motor Company of Canada Limited (Ford), and of Purchase Order Number 6047621 issued to FCA Canada Inc. (Fiat Chrysler Automobiles). The City of Toronto has established itself as a Canadian leader in adopting ZEV technologies, alternative fuels, and efficient fleet management practices. By the end of 2022, City Fleets eliminated approximately 180 metric kilotons of GHG emi ssions, a 40% reduction from 1990 levels. A Sustainable City Fleets Plan goal is to transition the City's fleet to sustainable, resilient, net zero operations by 2040, including 45% GHG emissions reduction by 2025, and 65% by 2030. As part of the interim steps in transitioning City's medium and heavy-duty vehicles to ZEVs, the City Fleets will continue to focus on the use of renewable and sustainable fuels when a ZEV is not yet available on the market. For example, Fleet Services is actively replacing all Internal Combustion Engine (ICE) powered waste collection trucks, ice resurfacing machines and forklifts with Compressed Natural Gas and Liquified Propane Gas powered units. Fleet Services has also implemented seasonal use of biodiesel blends B5, B10, and B20, which are sustainable fuel options in lieu of a ZEV alternative. Since 2008, Fleet Services has been equipping light-duty vehicles with start-stop anti-Idling technology. In 2021, Fleet Services replaced eleven (11) ICE powered units with battery electric units and ninety-seven (97) battery electric units were introduced in 2022. To date, nine hundred and eighty one (981) vehicles representing 19% of the City's fleet are utilizing hybrid and electric vehicles technology, alternative fuels, and other emissions reducing technologies. From 2023 to 2025, Fleet Services is planning to replace two hundred and eighty five (285) ICE powered units with battery electric units. Based on the replacement and expected available supply from the market, by the end of 2025, Fleet Services projects to have replaced three hundred and ninety three (393) ICE powered units with battery electric units. This will account for 11.1% of the total fleet. For more details, refer to Table 3.

(Previously approved at the Bid Award Panel meeting held on August 1, 2018, item BA90.9) 2. General Government Committee to grant authority to the General Manager, Fleet Services Division to exercise the optional renewal term under report number 2023.GG1.4 for Blanket Contract Number 47023372 with Ford Motor Company of Canada Limited in the amount of $5,480,913 net of all taxes and charges ($5,577,377 net of HST recoveries) from July 1, 2023 to June 30, 2024. (Previously approved at the Bid Award Panel Meeting, held on July 22, 2020, item BA91.6 )