Last Mile Freight Program

Overview

Delivery Trucks

SCAG has partnered with the Mobile Source Air Pollution Reduction Review Committee (MSRC) to establish the Last Mile Freight Program (LFMP). The LMFP is a component of a larger effort established by MSRC to reduce emissions from goods movement. Last-mile freight activity is a critical component of supply chains for both consumers and intermediary businesses dealing with physical goods. E-commerce has had a profound impact on last-mile delivery growth, and in 2020, the COVID-19 pandemic increased the frequency of deliveries, adding further stress to global supply chains, while air quality challenges continue to impact the public health of the region. The LMFP serves as an initial step toward implementing freight-related clean vehicles and equipment and infrastructure to support cleaner air goals. 

SCAG has developed a two-phased approach for the LMFP:

  • Phase 1: Focusing on the commercial deployment of zero-emission or near-zero emission (ZE/NZE) heavy and/or medium duty on road trucks (including ZE/NZE equipment and supporting infrastructure).
  • Phase 2: Will expand on Phase 1 projects to deploy operational strategies being demonstrated by last mile delivery companies.

A total of $16,751,000 is available for Phase 1 of the LMFP through the Call for Projects and selection process.

CONTACT

For more information about the LMFP, please email LMFP@scag.ca.gov.

Program Goals

The LMFP aims to:

  • Achieve immediate greenhouse gas emission and criteria air pollutant (for NOx and PM2.5) reductions from commercially deployed vehicles/equipment and facilitate supporting infrastructure;
  • Inform both industry and the public regarding ZE/NZE vehicle/equipment and supporting infrastructure performance, and how this information can be used to scale emission reductions to contribute to regional air quality goals;
  • Provide private operators and the public with information on return on investment (ROI) and cost-effectiveness insights into ZE/NZE vehicle/equipment and infrastructure operations, maintenance, and reliability;
  • Create greater transparency regarding the need for public versus private ZE/NZE supporting infrastructure;
  • Inform the needs and/or help address the challenges to significantly scale ZE/NZE vehicles/ equipment and infrastructure in the region; and
  • Achieve geographic funding diversity and ensure that the LFMP provides economic and environmental benefits across the entire region.

Additionally, the LMFP is guided by a set of core principles as follows:

  • Creating transparency as to critical barriers impeding the transformation of the last mile freight market;
  • Measuring success for both public and private entities;
  • Optimizing where investments can generate the strongest benefits for further growth; and
  • Achieving air quality reduction targets.

Program Updates

Resources

2022
2021

Phase 1 Call For Projects

The Phase 1 call for Projects focused on commercial deployment of ZE/NZE heavy- and/or medium-duty on-road trucks (including ZE/NZE equipment and supporting infrastructure). Please find more information on the program background and goals in the Last Mile Freight Program Guidelines.

Applications submitted for this project type should support the LMFP goals that are aligned with SCAG’s Accelerated Electrification strategy, which is a Key Connection outlined in Connect SoCal. All planning applications must meet the eligibility requirements as described in the LMFP Guidelines. The final deliverable for all projects must include the significant components mentioned in the application, including project summary, readiness and implementation, and cost effectiveness, among others.

Examples of eligible projects include but are not limited to the following:

  • ZE/NZE Heavy/Medium Duty Vehicles: 1) Last mile delivery vehicles supporting e-commerce industries such as package/parcel deliveries to residents and businesses; 2) Last mile delivery vehicles supporting retail/wholesale trade, manufacturing, construction, and other transportation and logistics services from business to business; 3) Last mile delivery vehicles supporting major freight facilities.
  • ZE/NZE Heavy/Medium Duty Equipment: 1) Trailer equipment supporting e-commerce industries, retail/wholesale trade, manufacturing, construction, and other transportation logistics services from business to business; 2) Last mile operating equipment for local delivery station, sortation, and other local facilities serving residents and businesses.
  • ZE/NZE Heavy/Medium Duty Supporting Infrastructure: 1) On- or off-site fueling charging hubs or depots.

Application Resources

  1. Phase 1 Guidelines Addendum
  2. Program Guidelines
  3. Eligible Projects
  4. Scope of Work Sample
  5. Budget and Schedule Sample
  6. MOU Template

Workshop Presentation

The Application Workshop was held on Tuesday, May 18 from 10 a.m. to noon. This workshop was designed to assist interested organizations in preparing applications, provide a forum to answer questions and provide additional information. 

The Last Mile Freight Program Presentation and webinar video are included here for your reference. 

Watch Here 

LMFP Phase 1 Schedule

Milestone Date
Call For Projects Opens May 10, 2021
Application Workshops May 18, 2021
Deadline for Questions May 28, 2021
Questions Responses Posted June 4, 2021
Call For Projects Initial Submittal Deadline July 14, 2021
Call For Projects Re-Opening Aug. 12, 2021
Call For Projects Submittal Deadline Sept. 22, 2021
SCAG/MSRC Approval of Selected & Contingency Projects/
Selected & Contingency Projects Posting
October 2021 – February 2022
Project Implementation

2022 – 2024

LMFP Projects

SCAG LMFP, is awarding $16.8 million through its Last Mile Freight Program to fund investments in zero and near-zero commercial vehicle technologies that reduce emissions during last-mile freight operations and support the region’s clean-air goals included in the Connect SoCal Regional Transportation Plan/Sustainable Communities Strategy.

SCAG’s Regional Council and the Mobile Source Air Pollution Reduction Review Committee unanimously approved awarding of the funds in November 2021 and January 2022.

Business Size Project Title & Business Name Project Score Award Funds Cumulative Award Funds
Small WattEV HD Battery Electric Truck Deployment: Enabling Equitable Electrication / Watt EV 86 $2,958,990 $2,958,990
Big Good to the Last Dropoff – Sysco’s Zero Emission Last Mile Freight Initiative / Sysco Corporation 85 $2,378,019 $5,337,009
Big Accelerating Zero Emissions Last Mile Freight in the South Coast Air Basin /Quality Custom Distribution 84 $4,184,000 $9,521,009
Big Penske Accelerated Electrification of Last Mile Freight Operations / Penske Logistics, LLC 83 $790,786 $10,311,795
Small GLI Electrification / Gonzalez Logistics, Inc. 80 $1,192,043 $11,503,838
Small Expanding Access and Scaling Electrification (EASE) for Small Fleets / Zeem Solutions 79 $2,378,019 $13,881,857
Big New Bern Buena Park Electrification Project / Pepsico 79 $1,192,043 $15,073,900
Small Independent Owner-Operator 68 $70,000 $15,143,900
Small Independent Owner-Operator 67 $77,500 $15,221,400
Small Independent Owner-Operator 66 $77,500 $15,298,900
Small Independent Owner-Operator 66 $387,500 $15,686,400
Small Independent Owner-Operator 65 $77,500 $15,763,900
Small Independent Owner-Operator 65 $77,500 $15,841,400
Small Independent Owner-Operator 64 $70,000 $15,911,400
Small Independent Owner-Operator 64 $77,500 $15,988,900
Small Independent Owner-Operator 64 $70,000 $16,058,900
Small Independent Owner-Operator 64 $70,000 $16,128,900
Small Independent Owner-Operator 63 $62,100 $16,191,000
Small Independent Owner-Operator 62 $70,000 $16,261,000
Small Independent Owner-Operator 62 $70,000 $16,331,000
Small Independent Owner-Operator 62 $70,000 $16,401,000
Small Independent Owner-Operator 62 $70,000 $16,471,000
Small Independent Owner-Operator 61 $70,000 $16,541,000
Small Independent Owner-Operator 61 $70,000 $16,611,000
Small Independent Owner-Operator 60 $70,000 $16,681,000
Small Independent Owner-Operator 60 $70,000 $16,751,000