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HomeMy WebLinkAbout1991-06-25 - AGENDA REPORTS - TRANSIT OPERATIONS CONTRACT (2)i UNFINISHED BUSINESS DATE: June 25, 1991 AGENDA REPORT City Manager Approval Item to be presented y: SUBJECT: Transit Operations Contract DEPARTMENT: Public Works Background John E. Medina The City Council in its meeting of April 9, 1991 authorized request for proposals for local, commuter, and dial -a -ride transit. The City received four proposals by the May 29, 1991 due date. Staff was challenged to bring to the City Council a recommendation which was fiscally prudent, meets the needs of a growing population and does not jeopardize the trust the elderly and handicapped users have in the current dial -a -ride system. From the analysis.of the proposals and interviews of which the interview panel composed of two-councilmembers, Director of Public Works, representatives from the Los Angeles County Department of Public Works, LACTC and two transit professionals almost unanimously concurred that ATE Rider represents the firm with the best proposal and ability to provide outstanding service. It was, however, recognized that the Senior Citizens Center's concerns required special attention. Staff recommends that the City Council the lowest bidder ($7,992,533 over the operations and maintenance for the services. enter into a contract with ATE Ryder, three year contract) to provide transit local, commuter and all dial -a -ride This recommendation was derived by completing the following process: 1. Staff's.evaluation of the all submitted proposals. 2. Interviews of candidate operators. 3. Evaluation of the cost in each proposal. 4. Background checks. ATE Ryder had.the highest ranking in all categories. Attachments I -A, I -B and I -C provides more detail on the candidates scores in the evaluation process. Every effort was made to assure the Santa Clarita Valley Committee on Aging (SCVCOA) was not summmarily. precluded from submitting a competitive proposal for dial -a -ride services as Council directed. Staff met several times with the SCVCOA staff to ensure their concerns on level of service and empathy to the seniors. Also discussed was the RFP to assure they were excluded from complying with the requirements. Meetings have also been held with the-SCVCOA board members to discuss their concerns of being adversely impacted financially from the. loss of administrative revenue associated with providing the dial -a -ride services. Ag enda Item. APPROVED June 25, 1991 Transit Operations Contract Page 2 City staff reviewed the SCVCOA financial concerns to see if a mutually agreeable solution could be attained. Council member Heidt.and Darcy as well and City staff met with SCVCOA Board members and staff. The meetings outcome was mutually successful providing several considerations staff feels should be incorporated in Council's decision. First - To ensure that care and empathy to users of dial -a -ride services would continue with a new operator, it was agreed that a Board of Service Quality would be established. Its members would consist of representitives from the City, the transit operator and the SCVCOA. Second - To ensure that vital communications between the SCVCOA Center facility and the operator, a radio communication system should be provided to coordinate operations. Third - To ensure that special excursion trips for seniors would continue, the City will provide transit vehicles. Fourth - To ensure that SCVCOA administrative revenues would not be lost from the City staff's recommendation of awarding the operations contract to ATE -Ryder, the City will subsidize the SCVCOA 15% of their 1990-1991 transit revenues to proved transit coordination activities. with the recommended operator. This is $35,000 in FY 1991-1992 and $50,000 each year after. Fifth - The SCVCOA will continue to provide dial -a -ride service until November 2, 1991. Sixth - The City has approved funding the Senior Center .with $70,000 of CDBG funds. Of this amount, $22,709. will.go towards funding of a modular building and the remaining $47,291. will be used to fund senior services programs. Other -Staff Comments The RFP had 26 amendments. These amendments appear deceptively high. Each change to the RFP, whether significant or minor received a single amendment. There were only two significant amendments to the RFP. First, the City would provide a transit facility for the storage and maintenance of transit vehicles. Second, the bid combinations were changed from giving a separate proposal on all dial -a -ride to only elderly and handicapped dial -a -ride. Changing the RFP's structure resulted in Valencia.Airport Shuttle and Antelope Valley Bus not submitting proposals, but rather letters of protests stating insufficient time to respond as the major objection. Staff -requested the City Attorney review these letters to determine if any of the RFP amendments listed in these letters violated the City's procurement policies or Purchasing Ordinance. The City Attorney's office concurs that based on facts presented by staff that all State laws and City ordinances have been followed for the procurement of these services. June 25, 1991 Transit Operations Contract Page 3 After reviewing ATE Ryder's proposal and conducting the interview, staff still had three concerns which ATE Ryder needed to address before staff could recommend their proposal to the City Council. These concerns were: 1. Adequate staffing of -mechanics for the maintenance of the entire fleet. Response: Staffing will be provided to City satisfaction. 2. Starting pay for drivers. Response: Salaries will be raised to attract qualified operators. 3. Commuter hourly rate savings if parking can be found in or near downtown Los Angeles to eliminate bringing empty buses back to Santa Clarita between peek commuter hours. Response: Savings will be credited to City by agreement. Additionally, ATE Ryder stated that they would actively seek the recruitment of current transit drivers displaced by the change of operators. Drivers who passed ATE Ryder's applicant evaluation will be hired. Attachment II is their written confirmation of the discussion. Based upon relevant factors, it is staff's recommendation that the three year contract for local, commuter, paratransit and Dial -a -Ride be awarded ATE Ryder. Compensation to the Santa.Clarita Valley Committee on Aging for its Center operation as discussed should be considered. Recommendations 1. Direct staff to prepare a three year contract with ATE Ryder for the operation and maintenance of local, commuter, dial -a -ride general public, and dial -a -ride elderly and handicapped at a cost of $7,992,533 and direct the Mayor to execute the contract. 2. Grant CDBG funds in the amount of $70,000 to the SCVCOA. 3. Contribute $35,000 in General Funds for FY 1991-1992 to the SCVCOA. /del -170 ATTACHMENT I—A Evaluation of Proposals The RFP required each proposer to submit responses to 24 tasks. City staff assembled a team to review and evaluate the responses from each contractor and then rank the contractor's responseson a Proposal Scoring -Sheet which is divided into eight categories. A weighted scoring system was used. Attached is a copy of the complete Proposal Scoring Sheet. The ranking of the evaluations are listed below. After the evaluations by staff, the four contractors were invited to a June 11, 1991 interview. At this point Dave Transportation withdrew from the process and the remaining three candidates were interview. Rank Name Score/Pts Percent Score Possible 1. ATE Ryder 102/110 92 2. Santa Barbara Transit 83/110 83 2. Dave Transportation 83/110 83 3. SCVCOA 631 92 68 After the evaluations by staff, the four contractors were invited to a June 11, 1991 interview. At this point Dave Transportation withdrew from the process and the remaining three candidates were interview. Criteria A. Financial Viability B. Experience and Technical Competence C. Key Personnel D. 1) Personnel Management Program 2) Drug Testing E. Maintenance Program F. Cost G. References TOTAL ATTACHMENT I -,A(1) PROPOSAL SCORING SHEET Maximum Points ATE Ryder Dave Systems Santa Barbara Transit Santa Clarit Committee on Aging 10 9 5 8 7 15 14 13 12 12 15 15 12 9 8 15 5 15 0 12 3 8 3 8 4 20 20 16 18 12 20 19 (all options) 15 (Opt. 2 18 (all options) 12 (E&H - only) 10 10 7 7 8 110 102 83 83 71 ATTACHMENT I—B Interview of Candidate Operators A seven member interview pannel consisting of transit professionals, City Staff and Counicl were assembled to interview the three proposers. Attahced are the questions asked of the proposers in the interview. The questions were written and weighted to solicit resposnes and scores in the areas of vehicle maintenance, passenger care and complaint tracking, previous experience and their views on how their organizations will contribute to our community and improve local transit. Additionally questions were asked specific to each organizations' proposal. However, these questions were not weighted. Rank Name Score/Pts Percent Score Possible 1. ATE Ryder 627/840 74 2. Santa Barbara Transit 550/840 65 3. SCVCOA 405/770 52 ATTACHMENT I—C FINANCIAL ANALYSIS A significant portion of the over all evaluation is financial portion of .the proposal. Based on the City's RPF and the proposals received, the three year contractual costs for all modes of transit (local, commuter, DAR/ Elderly & Handicapped and DAR General Public) would be nearly $8,000,000. Listed below are the costs submitted by the proposers based on the RFP. 3 yr Cost Rank Contractor Local/Commuter & GPPV Elderly/Handicapped Only 1. ATE Ryder $6,609,870 $ 1,382,663 2. Santa Barbara Transit $6,770,070 $ 1,322,345 3. SCVCOA 0 $ 1,583,980 The structure of the RFP allows for several combinations from which the City may chose a single contractor of the system or multiple contractors. Complicating the financial analysis, the SCVOA did not respond to the stated proposal criteria and arbitrarily increased the number of hours of service for the second and third year of the contract by 18 percent in each year. To allow the SCVCOA to continue in the evaluation process the chart below had to be constructed. This chart was prepared by staff to conduct a fair comparison between ATE Ryder's proposal for the entire transit system and the costs of combining the proposals of ATE Ryder and SCVCOA. 1. ATE Ryder all 4 transit systems $7,993,533 ATE Ryder 3 transit systems/SCVCOA elderly and handicapped DAR $8,264,137 Additional Cost to City if elderly and handicapped DAR portions awarded to SCVCOA $ 271,604 2. ATE Ryder all 4 transit systems (increasing vehicle service hours to match the SCVCOA proposal) $8,184,887 ATE Ryder 3 transit systems/SCVCOA elderly and handicapped DAR $8,264137 Additional Cost to City if elderly and handicapped DAR portion awarded to SCVCOA with matching vehicle service hours $ 192,345 J U N -_1 O- 9 1 T U E 11:55 A TE Tran s i L C o n'c L A RYDER Public Transportation Services June 18, 1991 Mr. Dennis Luppens 23920 Valencia Blvd., Suite 300 City of Santa Ciarita, CA 91355 Dear Dennis: P . 02. ATE Managemert & Service Company, Inc. 5150 E. P.cific Coast 1Mry„ Suite 102 Long Beach. California 90804 f213) 698-3267 (2131597-2346 FAX Please find summarized below our response to the issues raised during the June 17th interview. Commuter Parkin If commuter parking can be secured at the destination end of the commuter routes ATE will negotiate a rate reduction with the City to reflect the actual savings due to the reduced hours and miles of service. Wade Rates ATE will increase the starting drivers pay rate up to $7.50 per hour if necessary to attract a satisfactory number of capable operators. Reduced Maintenance Cost In Year Two The ,reduced cost shown is due to the change from our washing of buses either manually or by a service to the use of an automatic bus washer to be installed by the City. Number of Mechanics The number of mechanics at the beginning of the project will be one full time and two part-time. This will be increased with the addition of service and work Ioad increase. ATE/Ryder is prepared to supply three full time mechanics under our bid proposal when the service level requires this staffing level. It is expected that this level will not be reached until all services are fully implemented. Garage Locations A map is attached for your reference. If necessary more detailed information can be supplied. Thank you for the opportunity to supply this clarification. SAK: sed Sincerely, Stephen A. Keiper Senior Vice President A RYDER SYSTEM Co.oalr