SR-071310-1ICity Council Meeting: July 13, 2010
Agenda Item: ~ "-° Z
To: Mayor and City Council
From: Stephanie Negriff, Director of transit Services
Subject: Detroit Diesel Engine Overhaul Services on Transit Buses
Recommended Action
Staff recommends that City Council:
1. Authorize the City Manager to amend Bid No. 2977 for Detroit Diesel 50
Series engine overhaul services from Ironman Renewal LLC in the amount of
$150,000 for a new total of $391,000.
Executive Summary
Engine overhaul services are performed as a normal part of maintenance throughout
the useful life of a transit coach and are necessary to keep the vehicle from emitting
harmful pollutants. Since 2001, Big Blue Bus (BBB) has replaced 99 diesel powered
transit coaches with liquefied natural gas (LNG) coaches.. Currently, BBB .has an
additional 25 natural gas buses on order. In 2011 our diesel fleet will. be reduced to 62
transit coaches. The addition of particulate trap filters on the remaining 47 BBB diesel
buses increased the number of engine overhauls performed over previous years. The
additional overhaul services total $150,000.
Background
On September 8, 2009, City Council awarded Bid No. 2977 to Ironman Renewal and
Harbor Diesel and Equipment at an annual estimated amount of $400,000 to provide
engine overhaul services on transit coaches powered by Detroit Diesel Series 50
engines. The total estimated expenditure for the four-year term is $1,600,000.. The
award was split with 60% of the anticipated work to Ironman Renewal LLC to overhaul
bio diesel engines and 40% of the anticipated work to Harbor Diesel and Equipment to
overhaul natural gas powered engines.
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Discussion
In FY 2007-08, the Big Blue Bus equipped 47 of its remaining diesel transit coaches
with Level III Diesel Particulate Filters. These filters reduce particulate matter (soot)
emissions by 85% and nitrogen oxide (NOX) emissions by 25%. When Bid No. 2977
was awarded in September 2009; the impact of the increased amount of soot that would
be captured by the particulate trap filters was not anticipated. In FY 2009-10, more
engines were rebuilt than in previous years in order to maximize the performance of
these filters. As a result, in Fiscal Year 2009-10, the quantity of engines needing
overhaul services exceeded the projected number and anticipated cost. An increase in
Ironman Renewal LLC's purchase order by $150,000, for a new total of $391,000, is
recommended.
Financial Impacts & .Budget Actions
Purchase Order Number 16771 for Ironman Renewal LLC requires an additional
amount of $150,000 to pay for increased engine overhaul services during FY 2009-10.
Funds in the amount of $150,000 are available in account 0410106.589000.
Prepared by: Ralph Merced, Transit Maintenance Manager
Approved:
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Step h nie Negriff
Dire r of Transit Services
Forwarded to Council:
Rod Gould
City Manager
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