SR-07082008-1FCity Council Meeting: July 8, 2008
Agenda Item:
To: Mayor and City Council
From: Stephanie Negriff, Director of Transit Services
Subject: Refurbishment of Liquefied Natural Gas Tanks on Transit Coaches
Recommended Action
Staff recommends that City Council award Bid #2911 to AFV Fleet Services to provide
complete refurbishment of the Liquefied Natural Gas (LNG) tank systems and related
components on LNG transit coaches as required by the Big Blue Bus. The award shall
be for aone-year period with two additional one-year renewal options.
Executive. Summary
LNG tank refurbishment service is necessary as a normal part of wear and tear
throughout the useful life of a LNG powered transit coach. AFV Fleet Services was
selected following a formal bid process. The bid award is for aone-year period
beginning July 1, 2008 with two additional one-year renewal options. The total
estimated expenditure for the three-year term is $755,000.
Discussion
Over the useful life of an LNG powered transit coach (12 years), LNG components are
subjected to severe temperature cycling in normal use. This cycling over time will
weaken the tank's ability to maintain vacuum. The loss of vacuum reduces the time the
LNG will remain cold causing the temperature and pressure to rise. This rise in pressure
will cause the tank to vent methane into the atmosphere.
The refurbishment and maintenance of the LNG tanks and fuel system will ensure that
the tanks do not vent methane into the atmosphere and enhance the operational and.
fuel efficiency of the LNG system.
1
Vendor Selection
The City published Notices Inviting Bids to provide complete refurbishment of the two-
tank and three-tank LNG systems and related components on LNG transit coaches as
required by Big Blue Bus in accordance with City specifications. Bid forms were
distributed to 24 vendors and notices were advertised in accordance with City Charter
and Municipal Code provisions. One bid was received and publicly opened on May 2,
2008, per Attachment A. The bid was evaluated based on pricing, bid response time,
vendor experience and references. Based upon these criteria AFV Fleet Services is
recommended as the best bidder.
AFV was the only responsive bidder to the solicitation. AFV has been one of Southern
California's leading providers of routine and contract maintenance service to municipal
and commercial fleet operators since 2002. AFV designs, builds, installs and services
alternative fuel storage systems for heavy duty vehicles. Their work includes complete
CNG/LNG vehicle conversions, engine re-powers for both public and private refuse
sectors, and CNG/LNG fuel system inspections, certification and repair.
AFV Fleet Services has been repairing and servicing the LNG fuel systems on BBB
since 2005. AFV was awarded a purchase order in 2005 and has demonstrated quality
service and support through out the terms of the purchase order. Due to the increase in
the .number LNG buses requiring service and repairs, the current purchase order
requires City Council approval
Financial Impacts & Budget Actions
The estimated expenditure for Fiscal Year 2008/2009 budget authority in the amount of
$225,000 is available in account 0410106.589000, "Bus Component Replacement
Program." Budget authority for subsequent years will be included in each annual
proposed City budget.
The following schedule is proposed for the next three fiscal years:
2
Fiscal Year
2008/2009
2009/2010
2010/2011
Prepared by:
Number of Buses
31
33
35
Ralph Merced, Transit Maintenance Manager
Approved:
Estimated Expenditure
$225,000
$245, 000
$285,000
Forwarded to Council:
~~~
eph ie Negriff P. ont Ewell
Director of Transit Services City Manager
Attachments: Attachment A -Pricing
ATTACHMENT A
BID #2911
BID OPENING DATE: 05/02/08
TITLE: PROVIDE COMPLETE REFURBISHMENT OF THE TWO-TANK & THREE-TANK LNG SYSTEMS
AND RELATED COMPONENTS ON LNG BUSES AS REQUIRED BY THE BIG BLUE BUS.
AFV FLEET SERVICE
BID ITEM PERIOD 1
(07/01/08 - 08/30/09) PERIOD 2
(07/01/09 - 06/30/10) PERIOD 3
(07/01/10 - 06/30/11)
TWO TANK LNG SYSTEM-NABI BUSES
REFURBISHMENT OF ONE .BUS (LABOR) $ 1,700.00 $ 1,900.00 $ 2,100.00
REFURBISHMENT OF ONE BUS (PARTS) $ 2,550.00 $ 2,550.00 $ 2,805.00
SALES TAX (8.25%) $ 210.38 $ 210.38 $ 231.41
TRANSPORTATION FEES (ONE ROUND TRIP) $ 700.00 $ 700.00 $ 700.00
TOTAL COST FOR REFURBISHMENT OF ONE BUS $ 5,160.38 $ 5,360.38 $ 5,838.41
COST FOR ONE REPLACEMENT LNG TANK
(NEXGEN, CHART, HLNG115)
$
8,105.00
$
8,105.00
$
8,915.50
SALES TAX (8.25%) $ 668.66 $ 668.66 $ 735.53
TOTAL COST FOR ONE REPLACEMENT LNG TANK
(NEXGEN/CHART, HLNG115)
$
8,773.66
$
8,773.66
$
9,651.03
WARRANTY PER VEHICLE $ 425.00 $ 425.00 $ 425.00
HOURLY LABOR RATE
FOR REPAIRS OUTSIDE SCOPE OF WORK
$
85.00
$
95.00
$
105.00
EMERGENCY (AFTER HOURS) RATE
FOR REPAIRS OUTSIDE THE SCOPE OF WORK
$
105.00
$
125.00
$
135.00
THREE TANK LNG SYSTEM-NEW FLYER BUSES
REFURBISHMENT OF ONE BUS (LABOR) $ 2,720.00 $ 3,040.00 $ 3,360.00
REFURBISHMENT OF ONE BUS (PARTS) $ 2,890.00 $ 2,890.00 $ 3,179.00
SALES TAX (8.25%) $ 238.43 $ 238.43 $ 262.27
TRANSPORTATION FEES (ONE ROUND TRIP) $ 700.00 $ 700.00 $ 700.00
TOTAL COST FOR REFURBISHMENT OF ONE BUS $ 6,548.43 $ 6,868.43 $ 7,501.27
COST FOR ONE REPLACEMENT LNG TANK (TAYLOR-
WHARTON 21X81, NG-89GV, PART#: V088-0003)
$
9,100.00
$
9,100.00
$
10,010.00
SALES TAX (8.25%) $ 750.75 $ 750.75 $ 825.83
TOTAL COST FOR ONE REPLACEMENT LNG TANK
(TAYLOR-WHARTON 21X81, NG-89GV, PART#: V088-0003)
$
9,850.75
$
9,850.75
$
10,835.83
WARRANTY PER VEHICLE $ 561.00 $ 561.00 $ 561.00
R LAB R RA
FOR REPAIRS OUTSIDE SCOPE OF WORK
$
85.00
$
95.00
$
105.00
EMERGENCY (AFTER HOURS) RATE
FOR REPAIRS OUTSIDE THE SCOPE OF WORK
$
105.00
$
125.00
$
135.00
PAYMENT TERMS: Net 30
PERCENTAGE MARK UP ON MANUFACTURER'S PRICE LIST FOR MATERIALS: COST + 20%