sr-030910-1b~®
~;tYof City Council Report
Santa Monica
City Council Meeting: March 9, 2010
Agenda Item: 1~S
To: Mayor and City Council
From: Stephanie Negriff, Director of Transit Services
Subject: Exercise Option to Purchase Five Articulated CNG Transit Coaches and
Spare Parts
Recommended Action
Staff recommends that the City Council
1) Authorize City Manager to negotiate and execute a modification to Contract No.
2969 with North American Bus Industries Inc. (NABI) in the amount of
$4,898,946 to purchase five low-floor articulated compressed natural gas (CNG)
transit coaches and miscellaneous spare parts.
2) Authorize City Manager to issue a Notice to Proceed.
Executive Summary
Staff recommends that the City exercise an option to procure five alternative fuel transit
coaches for $4,453,588 including tax, plus a 10% contingency of $445,359. The total
option order of five coaches is $4,898,946. The five vehicles recommended for
purchase will replace five 1995 diesel powered 40-foot buses which have exceeded
their 12-year useful life cycle. In addition to the efficiency enhancements that this new
sub fleet will provide, these buses will reduce peak period overcrowding, improving
passenger comfort and service quality.
The total option order cost of $4,898,946 will be funded using Federal, State and
County transit sales tax funds.
Background
In June 2005, Big Blue Bus implemented its first. Bus Rapid Transit (BRT) route on
Lincoln Boulevard and began a second BRT line on Pico Boulevard in September 2008.
Upon inception, these corridors were determined to be ideal for using 60-foot articulated
buses, due to the routes' straight-line configuration and high ridership demand.
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Big Blue Bus staff analyzed the cost of operating articulated buses on the local Line 7
service instead of on the Rapid 7 as initially proposed. The articulated vehicles will
provide the extra seat capacity to allow the Big Blue Bus to operate three fewer PM
peak 40' overload buses for an annual estimated savings of 4,528 hours, which
translates into a cost savings of approximately $200,000 annually.
Federal Transit Administration procurement guidelines have established a twelve year
useful life for full-sized transit vehicles. Experience indicates that buses exceeding this
age are more costly to maintain and operate. These buses will replace transit vehicles
that are 15 years old. The new buses will be less costly to maintain, enhance customer
comfort and reduce service interruptions.
The City's bus replacements are programmed annually in the Regional Transportation
Improvement Program submitted to Metro through the Big Blue Bus' Short .Range
Transit Plan which is subject to City Council approval. The project is programmed based
on funding availability from formula capital allocations issued by Metro. The expenditure
of these allocations is budgeted through the City's Capital Improvement Program.
Discussion
Vendor Selection
In February 2009, the City published Notices Inviting Bids to furnish and deliver up to 21
60-foot advanced design, low-floor, alternative fuel transit coaches in accordance with
City specifications. Bid forms were posted on Planet Bids and notices were advertised
in accordance with City Charter and Municipal Code provisions. One bid was received
and publicly opened on April 22, 2009.
Previous Council Actions
On June 9. 2009, City Council authorized the purchase of eleven articulated low floor
CNG transit coaches and miscellaneous spare parts from NABI for a total not to exceed
$11,628,563. The executed contract allows the City an option to purchase up to twelve
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additional vehicles on the initial order and up to 60 vehicles for a period of four years
measured from July 1, 2010 to June 30, 2014:
Staff recommends that the City exercise its option to purchase five additional alternative
vehicles from the initial order. Seven additional vehicles would remain available from the
initial order of 21 coaches.
Financial Impacts & Budget Actions
The total project cost is $4,898,946 including:
Five coaches including tax and spare parts $4,453,588
Contingency (10%) $ 445,359
Funds for this purchase are available in account 0410519.589000.
Prepared by:
Ralph Merced, Transit Maintenance Manager
Approved:
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tip nie Negriff (~
Di~ec r of Transit Services
Forwarded to Council:
Rod Gould
City Manager
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Reference Amended
Contract No. 2969 (CCS).