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Lancaster approves joint powers authority to aggregate hydrogen supply, appoints initial board nominees
Summary
The City of Lancaster approved formation of the First Public Hydrogen Authority, a joint powers authority with the City of Industry to pool hydrogen demand and procure fuel for transit, ports and fleets; council also approved initial board nominees and anticipates a first board meeting in mid‑January.
The Lancaster City Council approved formation of the First Public Hydrogen Authority, a joint powers authority (JPA) with the City of Industry designed to aggregate demand and procure hydrogen fuel for transit agencies, ports, municipal fleets and other public customers.
The council voted to approve the JPA and to appoint board nominees as presented; the motion passed with four yes votes and the mayor absent. Rex, a city staff member and the JPA proponent, told the council the authority will “aggregate demand from other agencies, transit agencies, port authorities, municipal fleets, and others to acquire hydrogen together.”
Why it matters: Council members said the JPA is intended to bridge a mismatch the city identified between hydrogen supply being developed in Lancaster and smaller, disaggregated local demand. The JPA aims to create a single purchasing entity that can contract for hydrogen at scale and deliver it to participating public agencies and large off‑takers.
What the JPA will do: According to the presentation, Lancaster and the City of Industry are the founding members; the authority will solicit vendors to supply hydrogen produced locally, aggregate purchases for members such as transit agencies and port authorities, and deliver fuel or provide fueling services. City staff said about 60,000 tons of hydrogen were then in various stages of permitting or development on Lancaster’s east side and that about 1,000 hydrogen buses were on order statewide, creating immediate demand for fuel.
Board membership and governance: The council heard a slate of nominees to serve on the authority’s seven‑member board, including Rex (chair, as nominated), a vice chair nominated by the City of Industry (to be appointed by that city at its upcoming meeting), Ara Vasquez, Joel Barton, Jack Brauer and Tanya Peacock. The presenter said the JPA’s board will include a member appointed by the full membership and that the agreement as drafted did not yet specify alternates; staff said that can be corrected.
Funding, partners and next steps: Staff highlighted a partnership with Arches, described as a statewide hydrogen hub that has received federal Department of Energy funding; the presenter said Arches had received approximately $1,200,000,000 in federal awards to support hydrogen market development. Staff recommended approving the JPA, appointing the nominees and holding the authority’s first board meeting in mid‑January to select vendors and begin accepting members.
Formal action: Council members moved and seconded a combined motion to approve the JPA and the related agenda item; the motion passed 4–0 with the mayor absent.
Context and limitations: Speakers emphasized that some members (for example, transit agencies or port authorities) do not want to operate fuel supply chains themselves and are seeking a public entity to procure and deliver hydrogen. Staff described the JPA as intended to supply fuel, provide fueling services and support behind‑the‑meter or off‑grid hydrogen applications for new developments.
The council did not adopt implementation contracts at the meeting; it approved formation of the authority, the initial board appointments and directed staff to proceed toward a first board meeting.
