John L. Sullivan Chevrolet, Inc. Alternative and Renewable Fuel and Vehicle Technology Program (AB 118)

Transcription

1 Training Proposal for: John L. Sullivan Chevrolet, Inc. Alternative and Renewable Fuel and Vehicle Technology Program (AB 118) Agreement Number: ET Panel Meeting of: June 22, 2012 ETP Regional Office: Sacramento Analyst: J. Daunt PROJECT PROFILE Contract Attributes: Priority/Retrainee HUA Counties Served: Placer, Yuba Union(s): Yes No Industry Sector(s): Green Technology Retail Services FUNDING DETAIL All Funding will be under the Alternative and Renewable Fuel and Vehicle Technology Program created under AB 118. Program Costs Total ETP Funding In-Kind Contribution $138,708 $138,708 $179,800 ETP 130 AB 118 Single (05/12/10) 1 of 5

2 TRAINING PLAN TABLE Job No. Job Description (by Contract Type) 1 Priority/Retrainee HUA 2 Priority/Retrainee HUA Type of Training Estimated No. of Trainees Commercial Skills 38 Commercial Skills 121 Range of Hours Class / CBT Lab Weighted Avg: Weighted Avg: 26 Average Cost per Trainee Post- Retention Wage $2,160 $16.00 $468 $15.00 Minimum Wage by County (Benchmark): $14.39 per hour for Placer and Yuba counties. Health Benefits: Yes No This is employer share of cost for healthcare premiums medical, dental, vision. Used to meet the Post-Retention Wage?: Yes No Maybe Although employer provides health benefits, they are not being used to meet Post-Retention Wages. Occupation Title Service/Parts Technicians Sales Personnel Frontline Supervisors Managers Wage Range by Occupation Wage Range INTRODUCTION In this proposal, John L. Sullivan Chevrolet, Inc. (John L. Sullivan) including the co-owned John L. Sullivan Investments, Inc., dba Roseville Toyota (Roseville Toyota), seeks funding under the AB118 program as outlined below: John L. Sullivan is a new and used vehicle sales and service dealership, headquartered in Roseville and comprised of two co-owned entities, John L. Sullivan and Roseville Toyota, referred to collectively as the Sullivan Auto Group. According to company representatives, they sell the largest quantity of new Toyota and Chevrolet alternately powered, fuel efficient, and lowemission vehicles in the greater Sacramento region and throughout northern California. This training proposal has been submitted by John L. Sullivan and Roseville Toyota and will include these two entities which are located in Placer and Yuba counties. Thus, the contract will be structured as a Group of Employers. John L. Sullivan shall act as the lead employer holding the Agreement for itself and Roseville Toyota (co-owned), and is eligible under Title 22, California Code of Regulations (CCR), Section 4400(j)(1, 2), as lead employer within a group of employers. ETP 130 AB 118 Single (05/12/10) 2 of 5

3 Funded under the Alternative and Renewable Fuels Vehicle Technology Program (ARFVTP, AB118), this proposal is designed to allow John L. Sullivan auto-truck dealerships the ability to more effectively sell and service alternatively powered vehicles in support of the long-term reduction of carbon emissions throughout the region. John L. Sullivan and Roseville Toyota s facilities participating in this proposal are located in the cities of Roseville and Marysville. The company employs 413 individuals, all located in California. AB 118 This proposal will be funded under the Alternative and Renewable Fuel and Vehicle Technology Program (ARFVTP) created in 2007 pursuant to AB 118. The AB 118 Program is administered by ETP in partnership with the California Energy Commission (CEC). This proposal has been reviewed by the CEC. The overall goal of the AB 118 Program is to support a transition from petroleum-based transportation to alternative and renewable fuels and clean, low carbon vehicle technologies. Training is focused on job skills for a skilled workforce for the production, maintenance, and distribution/sale of vehicles powered by new alternative fuels, as well as the design, construction, and operation of the accompanying refueling infrastructure for such vehicles. Alternative Fuel is defined as any fuel other than the traditional selections, gasoline and diesel from petroleum sources, used to produce energy or power. Examples of alternative fuels are: bio-diesel, ethanol, methanol, electricity, propane, compressed or liquid natural gas, and hydrogen. The Need for AB 118 Training The company s clean-green products and services include (but are not limited to) the sales, parts and maintenance/repair service for the new plug-in hybrid electric vehicles (PHEV) such as the Chevrolet Volt and Toyota Plug-in Prius, as well as hybrid cars, hybrid sport utility vehicles (SUVs), hybrid trucks, and E85 flex fuel (ethanol) vehicles, including used vehicles in all these categories. John L. Sullivan needs to provide significantly better, more proficient, and more cost-effective service-maintenance of and initial sales of greener, cleaner motor vehicles in an area of California heavily impacted by air pollution. As such, John L. Sullivan s key need is to provide training on vehicles with alternate power systems, particularly the new PHEVs such as the Chevrolet Volt and the most recent models of the plug-in Toyota Prius, according to company representatives. They state that only two employees currently have sufficient training. The representatives explain that customers currently ask many questions about the new technologies. John L. Sullivan s staff is uncomfortable in these situations, according to the representatives, due to their current lack of knowledge. As a result, customers are buying more conventionally powered and fewer alternately powered vehicles than they otherwise would, contributing, on a long-term basis, to the negative air quality of the area, exacerbated by the fact that, during bad economic times, drivers keep their cars, SUVs and trucks longer, choosing repair over investment in a newer and potentially cleaner vehicle. In addition to providing training to service personnel who will thus keep existing alternately powered vehicles running, John L. Sullivan has determined that a significant need exists to train the sales staff, to increase sales of cleanly powered vehicles to customers who would otherwise ETP AB 118 Single (05/12/10) 3 of 5

4 continue to drive vehicles with the more polluting internal combustion engines, both four-stroke and diesel. The company represents that the public is going to dealerships to learn about these new technologies, and that research and inquiries recently conducted by John L. Sullivan show that providing this training to sales personnel at similar dealerships has led to statistically significant increases in the sales of vehicles powered by alternate fuels. PROJECT DETAILS John L. Sullivan is proposing to train 159 employees in a training curriculum in AB118 Commercial Skills spanning both maintenance and service skills and related informational instruction required for maximizing occupational skills and knowledge in order to provide optimal service to customers. In addition to direct environmental benefits, the company expects the proposed training to promote sustainable green jobs involving clean energy technologies. The training plan contains two Job Numbers, with Technical Staff in Job Number 1 and Sales Staff in Job Number 2. Training will be provided at the Sullivan Chevrolet and Roseville Toyota locations in Roseville. Commercial Skills The curriculum encompasses a program of training in maintenance-service for technical staff, as well as in technical commercial skills knowledge for sales staff, applicable to engines, power trains, and directly related systems in alternately fueled vehicles, including automobile sedans, SUVs, small and heavy-duty trucks, and related vehicles. Training topics include: theory, operation and service for all major types including (but not limited to) PHEVs, E85 flex fuel vehicles, Battery Electric Vehicles (BEVs) (i.e. all electric, no gasoline), etc.; fuel literacy and efficiency; performance on commutes, long trips, mixed use; charging basics; charging stations; systems diagnosis and repair; battery storage systems; computer interface; vehicle power electronics, transmission and support systems; high voltage procedures; and related skills. Commitment to Training John L. Sullivan represents that ETP funds will not displace the existing financial commitment to training. The company anticipates that the opportunity for enhanced training made possible by ETP funds will encourage an ongoing financial commitment in this area. John L. Sullivan represents that safety training is, and will continue to be, provided in accordance with all pertinent requirements under state and federal law. Company representatives state that periodic training is provided on an ad-hoc basis, and in new employee orientation. They add that ETP funding would be in addition to this training. The company s training budget is approximately $390,000 annually. John L. Sullivan represents that its commitment includes the company s overall goal of more and better sales of PHEVs and other alternately powered and low-emission vehicles, through improved and continuing sales and service training. High Unemployment Area Marysville (Yuba County) is located in a High Unemployment Area (HUA), with the most recent Labor Market Information Division (LMID) figures showing 18.3% in Yuba County and 11.5% statewide. Thus Yuba County exceeds the state average by significantly more than 15%, the threshold stipulated in Title 22, CCR, Section 4429(b). However, there is no request for a wage or retention modification. ETP AB 118 Single (05/12/10) 4 of 5

5 RECOMMENDATION For the reasons set forth above, staff recommends approval of this proposal. DEVELOPMENT SERVICES N/A ADMINISTRATIVE SERVICES N/A TRAINING VENDORS To Be Determined ETP AB 118 Single (05/12/10) 5 of 5

6 John L. Sullivan ET Exhibit B: Menu Curriculum Class/Lab Hours Trainees may receive any of the following: COMMERCIAL SKILLS I) Chevrolet Service/Parts Technician (Job Number 1) Hybrids: Theory, Operation and Service; Diagnosis and Repair (Sessions 1 and 2); Two-mode Hybrid 300V Battery System Theory and Operation; Two-mode Hybrid 2ML70 Transmission Theory and Operation; Two-mode Hybrid supporting Systems Theory and Operation; Two-mode Hybrid System Diagnosis; Two-mode Hybrid Diagnosis and Repair (Sessions 1 and 2); Two-mode Hybrid Safety and Battery System Service; Two-mode Hybrid Transmission and Supporting System Service eassist: Introduction; Safety; Battery Storage Systems; System Diagnosis and Service Volt: Introduction and Safety; High Voltage Disable Procedure Advanced Technology: Vehicle Power Electronics; Transmission; Support Systems Electric Vehicle: Systems Diagnosis and Service (Sessions 1 and 2); Transmission Diagnosis and Service; Systems and Battery Diagnosis and Service II) Toyota Toyota Hybrid General Service (071, P070 and E074) Hybrid Systems Diagnosis (P072, 072) Multiplex CAN Diagnosis Hi Tech Engine Service and Repair (H112a, 973a, 973c) Advanced Electronic/Computer Systems Advanced Emissions Diagnosis Toyota Hybrid Battery Service Master Technician High-Tech Update ETP 100 Exhibit B Menu Curriculum (02/13/12) 1 of 2

7 John L. Sullivan ET Class/Lab Hours Trainees will receive any of the following: COMMERCIAL SKILLS I) Lectures/presentations: Sales Staff (Job Number 2) Introduction to Hybrids, BEVs and PHEVs Major Types and Models of Hybrids (Parallel, Series) and Electric Vehicles How the above Meet Diverse Needs (Commutes, Long Trips, Mixed Use) Fuel Efficiency Literacy: Mainly Gas (mpg) and Electric (kwh), also MPGe Cost of Ownership (great EV/hybrid benefit) vs. Initial Cost Purchase/Lease Incentives (federal, state, charging, HOV lanes) Charging Basics (level 1-120V, level 2-240V, and J1772 standard) Charging Stations (home and public- major networks including ChargePoint and Clipper Creek, and major websites/apps) Driving and Charging: Recommended Techniques Programs and Rates of Major Utilities (esp. SMUD, PG&E) Renewable Energy Sources for Electric Vehicles (utility and home) New Technologies: Fuel Efficiency, Power Flow, Etc. New Technologies: Integration with Smartphones/Mobile Apps E85(ethanol) Flex Fuel Vehicles (and Propel, other stations) Note: Reimbursement for retraining is capped at 200 total training hours per Job Number 1 trainees, and 28 total training hours per Job Number 2, regardless of the method of delivery. ETP 100 Exhibit B Menu Curriculum (02/13/12) 2 of 2