SR 09-23-2014 3Bt
City Council Meeting: September 23, 2014
Agenda Item: 3- g
To: Mayor and City Council
From: Edward F. King, Director of Transit Services
Subject: Purchase and Delivery of Seven 60' Low -Floor Articulated Compressed
Natural Gas Powered Buses
Recommended Action
Staff recommends that the City Council authorize the City Manager to:
1. Execute an assignment agreement with San Diego Metropolitan Transit
System (SDMTS) and New Flyer of America, Inc., a Canadian -based
company, to release seven 60' low -floor articulated Compressed Natural Gas
(CNG) powered transit buses from SDMTS contract B0570.02 -12 and assign
them to the City.
2. Negotiate and execute a contract agreement with New Flyer of America, Inc.
to furnish and deliver seven 60' low -floor articulated CNG - powered transit
buses in an amount not to exceed $6,825,464, including base bus, delivery,
tax, spare parts and contingency.
3. Issue a Notice to Proceed (NTP) to New Flyer of America, Inc. to furnish and
deliver seven 60' low -floor articulated, CNG - powered transit buses.
Executive Summary
Federal purchasing regulations allow transit properties to procure vehicles and
equipment by "piggybacking" on another agency's purchase. Piggybacking is the
post -award use of a contractual process that allows an agency that was not involved in
the original competitive procurement to purchase the same supplies /equipment through
that original process. Santa Monica's Big Blue Bus (BBB) would piggyback on SDMTS'
contract agreement B0570.02 -12 with New Flyer of America, Inc. to expedite the
purchasing process and enable BBB to replace seven vehicles that have reached the
end of their useful life. The total amount, not to exceed $6,825,464, would be funded
using Federal /State grants and County transit sales tax funds.
BBB developed a capital improvement program to replace aging buses as they
approach the end of their useful service. The Federal Transit Administration (FTA)
guidelines set the useful life of a transit vehicle at 12 years.
The purchase of the seven 60' low -floor articulated CNG- powered transit buses would
replace seven 40' buses that have reached their useful life cycle. The new articulated
buses are more reliable and efficient. Seating capacity would increase from 40 seats
1
per bus to 58 seats per bus. These buses would assist in reducing overcrowding on
high volume routes.
Discussion
BBB currently operates 24 NABI buses purchased in 2002. FTA guidelines set the
useful life of a transit vehicle at 12 years. BBB has a capital improvement program to
replace aging buses as they approach the end of their useful service life. Seven of
these 24 buses have been identified for replacement. The replacement of these buses
with 60' articulated buses would increase seating capacity by 126 seats, or 18 seats per
bus. This would reduce overcrowding and increase rider comfort.
The breakout of the purchase for seven transit vehicles is
7 CNG 60' Buses including Delivery, Warranties and
$
5,722,021
ADA equipment
Spare Parts
$
250,000
Contingency (5 %)
$
286,101
Tax
$ 567,342
TOTAL
$
6,825,464
Vendor Selection
In an effort to fast track the procurement process at a minimum of eight months, staff
recommends piggybacking as opposed to issuing a Request for Proposal (RFP).
Piggybacking is the post -award use of a contractual process that allows an agency that
was not involved in an original competitive procurement to purchase the same
supplies /equipment through that original process. Under this procedure, the original
purchaser may assign the option for additional units to another agency. Comparing this
process to developing and issuing an RFP, BBB sought to obtain the most competitive
price as a result of volume discounts afforded by vendors of large orders. Staff also
contacted transit agencies that had recently purchased buses through these programs
and vendors. SDMTS recently purchased 60' CNG powered buses and had provisions
in their contract to release option buses to other agencies.
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Staff reviewed SDMTS' 60' CNG bus procurement to ensure proper requirements and
documentation were followed per federal guidelines. Two responses were received:
one from New Flyer of America, Inc. and one from NABI, Inc. declining to submit a
proposal. SDMTS reviewed the proposal that was submitted by New Flyer, Inc. and a
responsive and responsible determination was made. It should be noted that NABI and
New Flyer have since merged under the name New Flyer of America, Inc. New Flyer of
America, Inc. is the only manufacturer of CNG articulated buses.
SDMTS' RFP evaluation criteria included, but were not limited to, the following:
1. Minimum Vehicle Performance Requirements
2. Projected Operating Cost and Reliability
3. Technical Support
4. Warranty and After - Market Parts Support
5. Proposed Technical Deviations
6. Maintainability
7. Manufacturing Process
8. Project Management
9. Deviations from Contract Terms and Conditions
10. Advanced Design Provisions
11. Emissions
12. Vehicle Structure
13, System Safety Provisions
14. Past Performance, Customer References, and Current Commitments
15. Qualifications and Financial Stability of the Proposer
BBB staff confirmed that SDMTS' competitive bid process met the City's Municipal
Code Section 2.24.080, Competitive Bid Requirements. All required federal
certifications have been received by the manufacturer from SDMTS through the
competitive bid process. In addition, BBB staff conducted an independent cost estimate
using to County's regional bus pricing average for.60' articulated CNG buses and
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deemed New Flyer's price to be fair and reasonable. The price per bus is $817,432,
including ADA equipment, delivery, and warranties.
New Flyer of America, Inc. is a Canadian -based bus manufacturer with several United
States locations including assembly plants in St. Cloud, Minnesota and Crookston,
North Dakota and a service center in Ontario, California. New Flyer of America, Inc. has
been manufacturing buses for more than 85 years and is the largest producer of transit
buses in North America. They are recognized as providing a high quality transit bus to
their customers and providing a high level of service after the sale. The base bus would
include all major components plus, but not limited to, heating /air conditioning, Advanced
Fleet Management System components, the G.E. Mobileview Penta 16 digital security
camera system, two ADA wheelchair accessible seating with securement systems, and
Recaro seats for operator comfort.
On July 28, 2014, BBB received confirmation that SDMTS would assign seven buses
from SDMTS' contract agreement B0570.02 -12 with New Flyer of America, Inc. to the
City of Santa Monica at the agreed upon cost and pricing structure of their current
contract. Under Municipal Code Section 2.24.080, the SDMTS contract with New Flyer
of America, Inc. meets the Code requirements for piggyback purchases. SDMTS'
contract pricing is available to BBB for procurement of 60' articulated CNG buses
specified in the contract document between New Flyer of America, Inc. and SDMTS.
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Financial Impacts & Budget Actions
The contract agreement to be awarded to New Flyer of America Inc. is for an amount
not to exceed $6,825,464 (including a 5% Contingency). Funds are available in the
FY 2014 -15 Capital Improvement Program budget in account 0410519.589000.
Prepared by: Getty Modica, Transit Maintenance Officer
Approved:
Edward F. King `
Director of Transit
Forwarded to Council:
Rod Gould
City Manager
Attachment: A - BOS Price Cost Analysis
5
ATTACHMENT A
Ilm
]duns Operations ns Suubcommittee
Date: March 5, 2014
To: BOS Members
From: Jane Leonard, BOS Secretary Ad
RE: FY 2015 Appropriations of ETA Section 5307 - 15% Discretionary Capital and
1% Associated Transit Improvement (AT[) Funds
SECTION 5307 - 15% DISCRETIONARY CAPITAL FUNDS
FY2015 Average Bus Prices
As directed by BOS at its January 21, 2014 meeting, a bus price survey was conducted and a
draft was presented at the February 18, 2014 meeting for review and further discussion and
direction from members. BOS member agencies were requested to submit information on their
recent transit vehicle purchases. The following list of average prices by vehicle type has been
drawn from the survey results, the CalACT RFP, and /or were adjusted by the Average CPI of
1.5% in the past year, 2013. Proposals for transit vehicle purchase(s) should use these prices:
Vehicle Type
2015 Average Price
(standard inclusions ofADA
equipment, delivery and non -
ADA taxes
Comments
Paratransit Minivan
$45,506
Paratransit Cutaway Van Gasoline
$87,102
Paratransit Cutaway Van CNG
$118,868
30' Hybrid Gasoline Bus
$718,602
32' Gasoline Bus
$223,464
32' CNG Bus _.._. -.. -_
__. -...
_._ .....- $4_51,124
---
$463,801
40' CNG Bus
$547,163
---._ - --
40' LNG Bus s ____..- _..._. .- .- ..
-us
- - - - -
-._. -_ $490,974
--- - --.-.. _..._.... _.._.. - -..
40' Electric Transit--B
....... - -
$818 000
- - - —
vehicle type not surveyed in prior years
42' Gas Hybrid Bus
- ..
-- _.- _... -
MEEM
/
EEMM /W
AQMD
Does not qualify Rule
/l /1/
/1 //
1192..per
Fleet Rule 1192
42' CNG Bus
$556,277
_
45' CNG Bus _..�_.�. -_-
---- $587,085
/���
_ ! / /l / / /J /l //
j��� �% / /�.
Does not q Fleet Rule 1192 Per AQMD —..
60' LNG Bus
$866,036
0 - i late -. _... _.- .. -. -._ -..-.
60' CNG Articulated Bus
- - -- - --
$852,424
--
- -.- --- -
60' Gas Hybrid Articulated Bus
$961,116
-- -._...
Reference:
Agreement No. 9469
(CCS)
E'?1
Agreement No. 9970
(CCS)