Marshall Cromer, The Forklift Boss
| May 29, 2019
If I had a proven way to save you 50-90% of the purchase price on a new electric forklift...wouldn't you want to know how?
I mentioned the Carl Moyer Grant Program in November. Today I'd like to share a case study in how it works.
We've used this program several times to reduce up-front costs on new electric forklifts. This instance still stands out as the most memorable.
The Problem: Justifying the Cost of a New Electric Forklift
R&A Trucking had an older forklift that needed replacing. No big deal, just buy a new one, right?
Not quite. This was a large-scale Hyster forklift. A replacement would have to haul 10,000# or more. That meant a "big" forklift, like Kalmar. They didn't have the budget for such a large purchase.
They called us for help. At first, they wanted to replace the Hyster with a used Kalmar LPG. However, we didn't have one available in the size needed. It seemed too much like a "kick the can down the road" solution as well.
Instead, we recommended buying a new electric forklift, and R&A Trucking sounded like a perfect fit for the Carl Moyer program.
The Solution: A CARB Grant to Subsidize the Purchase
Some quick background on the Carl Moyer program: It's a state program run by the Air Resources Board. Its goal? Reduce emissions of harmful pollutants across California. The program targets every level of high-emission equipment, from locomotives to old cars.
Forklifts fall under their "Off-Road Equipment" category, alongside excavators and dozers. Think about those older, high-emission forklifts running on diesel or LPG. Belching out tons of gases into the air every year…harming workers' lungs, polluting the groundwater, and costing thousands in extra maintenance.
Exactly the situation in which R&A Trucking found itself.
When we recommended a new electric, they agreed that they're great forklifts. "But we can't afford the up-front cost," they argued. So we told them about Carl Moyer. If they met its requirements, they'd receive a grant (not a loan) covering the majority of the purchase price.
That got their attention.
The Process: Navigating the State's Grant Program Requirements
To start the application process, I checked with Kevin, our consultant. The program does have requirements for eligibility, which is why we work with Kevin to facilitate the grant process. He helps us protect as much privacy as possible, and smooths out the paperwork.
To qualify for the grant, each business must apply with its regional air quality district and meet the program requirements. We detailed these in the November issue, but in brief, you must:
- Operate within the BAAQMD's jurisdiction (if you're in the Bay Area, or parts of Solano and Sonoma counties, you qualify).
- Priority given to those businesses in: Concord, Richmond/San Pablo, Western Alameda County, San Jose, Livermore, East San Francisco, Vallejo, San Rafael, Antioch, and Pittsburg.
- Have at least 3 years until (air quality) regulation compliance, or you're exempt from regulation.
- Use the new equipment for the same role as the old equipment.
- Agree to site inspections before & after the grant award.
- Work with a BAAQMD-approved dealer (which Cromer Material Handling is).
Turned out they would qualify for the grant, if they bought the new Kalmar electric forklift. They agreed.
The paperwork only took a few weeks. Because they operate in the Bay Area, the funding came from the Bay Area Air Quality Management District (BAAQMD). Other California regions have different funding sources within the state's Air Resource Board.
The Result: A $90,000 Check Contributing to the Electric Forklift Purchase
Then the grant came in. Here's a photo of the grant check:
You read that right. A $90,340 grant toward purchase of a Kalmar electric…more than half of its purchase price. You can imagine how happy R&A Trucking was!
This wasn't just a case of the state helping a business buy a new forklift. It serves CARB's goal as well—improving air quality by taking one more high-emissions polluter out of use.
The State wants their dollars tied to the cleanest technology for emission reduction. Best bang for the buck (the most emission reduction per dollar) comes in replacing equipment.
You Too Can Save Thousands by Going Electric
New zero-emission electric forklifts aren't the only option available under the Carl Moyer grant program. You can also use the funds to repower/retrofit engines, install clean diesel engines, or install alternative fueling/charging infrastructure on-site.
However, you cannot repair existing equipment "into compliance." If a forklift is out of emissions compliance, it's time to replace.
When it's time to replace old high-emissions forklifts at your business, call the Cromer team. You have the option to save thousands and "go green" at the same time. Take it!
CARB Carl Moyer Memorial Air Quality Standards Attainment Program
Until next month!
Marshall Cromer, The Forklift Boss
Cromer Material Handling
Deal of the Month
2018 BYD 8000# ELECTRIC – ONLY $49,000
Since we're talking electric replacements, the May Deal of the Month should be an electric forklift!
This is a 2018 BYD ECB35C. It has an 8000# capacity, three-stage mast, with only 577 hours on it. Takes 1 hour to charge the battery, and you'll get 2-3 shifts per charge. Zero emissions, no off-gassing.
We have this BYD at our Oakland location, but we will ship it to your nearest Cromer facility.
The price? Only $49,000. Will this qualify for a Carl Moyer grant? You'll have to call us & find out!
To pick up this electric forklift, call Cromer at 800.974.5438 and ask for the May Deal of the Month. Or order it directly at Eliftruck.com.