HomeMy WebLinkAbout2003-08-26 - AGENDA REPORTS - PURCHASE BUSES AGMT (2)Agenda Item: / b
CITY OF SANTA CLARITA
AGENDA REPORT
CONSENT CALENDAR City Manager Approval:
Item to be presented by: Bob Murphy
DATE: August 26, 2003
SUBJECT: ASSIGNMENT AGREEMENT WITH NEW JERSEY TRANSIT
AND CONTRACT WITH MOTOR COACH INDUSTRIES FOR
THE FUTURE PURCHASE OF EXPANSION AND
REPLACEMENT BUSES
DEPARTMENT: Field Services
RECOMMENDED ACTION
City Council waive City purchasing policy and approve the Assignment Agreement with New
Jersey Transit in lieu of issuing a Request for Proposal. Authorize the City Manager or designee
to execute the Assignment Agreement, and negotiate and execute the contract with Motor Coach
Industries, subject to City Attorney approval.
BACKGROUND
The Transit program operates two distinct large bus fleets. The "local service" fleet consists of
transit' buses, which are recognizable for having front and rear passenger doors, and operate
within the confines of the Santa Clarita Valley. The "commuter service" fleet consists of larger,
heavy-duty 'over -the -road coaches," with a single passenger door and luggage compartments
beneath the passenger cabin. This fleet operates over significant freeway grades to downtown
Los Angeles, Century City, the San Fernando Valley, and the Antelope Valley.
Pursuant to prior Council action, staff is replacing old diesel buses and expanding the local
service fleet with compressed natural gas (CNG) powered vehicles. However, following a
comprehensive study of available CNG technology, the South Coast Air Quality Management
District (AQMD) has agreed that a commercially available engine of sufficient horsepower for
the commuter fleet does not exist at this time. Therefore, staff is pursuing this procurement of
diesel -powered buses.
Staff proposes that in lieu of issuing a Request for Proposal (RFP), City Council approve the
Assignment Agreement with New Jersey Transit. This agreement assigns to the City the rights
under the option provision of New Jersey's existing contract to enter into an agreement for the
future purchase of fifteen commuter buses. Eleven buses would replace existing 1991 vehicles,
and four buses would provide expansion capability. Subsequent to this approval, staff
recommends approval of a contract with Motor Coach Industries for the manufacture of these
buses. Nine to twelve months production lead time is required to receive these buses in a timely
manner, and to replace thirteen year-old vehicles.
By assuming the option of an existing contract, the City averts an RFP process that could delay
delivery of the buses, and realizes considerable administrative cost savings. The option approach
to acquisition is prevalent within the transit industry, and endorsed by the Federal Transit
Administration. In addition, the price paid by the City for these future buses will be based upon
the price negotiated by New Jersey Transit as part of a much larger procurement. Staff has also
conducted a price analysis to ensure that this is the most advantageous purchase option for the
City.
Subject to this approval, staff will return to the City Council for the necessary budget
appropriation in Fiscal Year 2004/2005.
ALTERNATIVE ACTIONS
Direct staff to pursue the Request for Proposal (RFP) procedure.
2. Other action as determined by the City Council.
FISCAL IMPACT
The City currently has federal funds programmed in the Transportation Improvement Plan (TIP)
to cover 75 percent of the cost of these buses. This programming provides the City with the legal
authority to obligate against these federal funds. In addition, the Transit Division fiscal planning
documents provide funds for new bus acquisition sufficient to cover the 25 percent local match
portion of the cost of these buses. At this time, staff is not requesting approval for the
appropriation of any funds. The appropriation of funds to purchase future expansion and
replacement buses will be requested as part of the Fiscal Year 2004/2005 Budget Process.
ATTACHMENTS
Assignment Agreement with New Jersey Transit
SCAQMD Letter Approving Rule 1192 Exemption Request
South Coast
�-?Air Quality Management District
21865 E. Copley Drive, Diamond Bar, CA 91765-4182
a (909) 396-2000 • www.agmd.gov
Office of the Executive Officer
Barry R. Wallerstein, D.Env.
909.396.2100, far.. 909.396.3340
July 30, 2003
Mr. Ken Pulskamp
City Manager
City of Santa Clarita
23920 Valencia Blvd., Suite #300
Santa Clarita, CA 91355-2196
Dear Mr. Pulskamp:
We have received and reviewed your Rule 1192 exemption request, dated July 11, 2003, which
was submitted pursuant to Rule 1192 Paragraph (e)(2). This provision of Rule 1192 allows for
an exemption approval if the fleet operator demonstrates that no alternative -fuel engine and
chassis configuration is available commercially or could be used for the express purpose of
transporting passengers in a specific application.
Your Rule 1192 Exemption is conditionally approved for the purchase of diesel -powered buses
used in commuter express service, provided that: (1) the buses are equipped with approved
control devices that are maintained per the manufacturer's specifications, (2) the vehicle
identification numbers (VINs) are submitted to the AQMD upon delivery of the vehicles, (3) the
buses are used on transit bus routes according to the attachment listing the specific routes and
climbing grades for these buses, and (4) the City of Santa Clarita executes the purchase
agreement to acquire the diesel -powered vehicles no later than 90 days subsequent to the date of
this approval letter. This exemption aproval letter is valid for the six months subsequent to the
date of this letter.
The AQMD will continue to assist your agency with the implementation of Rule 1192 — Clean
On -Road Transit Buses. If you have any questions concerning this matter, or questions about
Rule 1192, please contact Mr. Dean Saito, Manager Fleet Rules Implementation Unit, at (909)
396-2647.
CSL:HI3:DKS:DRC:LJI
cc: Bob Murphy, Transportatiop Manager
E:Fleet Rules\Rules 1192\StaClanta Commuter Buses 1192zmt 03-7-30
4mcerely,
Barry R. Wa erstein, D.Env.
Executive Officer
RECEIVED
AUG - 4 2003
CITY OF SANTA CLARITA
TRANSIT
Santa Clarita Transit
Commuter Express Fleet and Route Information
as of July 1, 2003
See Santa Clarita Transit route maps and schedules at. www,santaclaritatransit.com