City of Culver City, California
Agenda Item Report
Meeting Date: September 23, 2013 Item Number: C-7
CITY COUNCIL AGENDA ITEM: Approval of a Contract with New Flyer of America
Inc., for the Purchase of Six (6) Advanced Design, Heavy-Duty, Low Floor
Compressed Natural Gas (CNG) Powered Forty-Foot Transit Buses and Optional
Equipment in an Amount Not-to-Exceed $3,630,000.
Contact Person/Dept.:
Paul Condran / Transportation
Phone Number:
(310) 253-6520
Fiscal Impact: Yes [X] No [] General Fund: Yes [] No [X]
Public Hearing: [] Action Item: [] Attachments: []
Commission Action Required: Yes [] No [X] Date: _______________
Public Notification: Agendas and Meetings – City Council (09/17/2013)
Department Approval:
Art Ida (09/09/2013)
City Attorney Approval:
Carol Schwab (by H. Baker) (09/16/13)
Chief Financial Officer Approval:
Jeff Muir (by M. Noller) (09/17/13)
City Manager Approval:
John M. Nachbar (09/17/13)
RECOMMENDATION:
Staff recommends the City Council approve a contract for the purchase of six (6) CNG
powered low floor, advanced design buses and optional equipment from New Flyer of
America, Inc. in an amount not to exceed $3,630,000. This amount includes California
state sales tax of $274,200 (which the City will submit directly to the State Board of
Equalization) and a ten-percent (10%) contingency to cover any unforeseen expenses
that might arise during production and delivery.
BACKGROUND:
In 2004, Culver CityBus was the first public transit provider in Los Angeles County to
become 100% alternative fuel compliant. Culver City is required to comply with the
South Coast Air Quality Management District’s (SCAQMD) clean air rules for transit
buses that dictate the use of an alternative fuel over traditional fossil fuel. The
Transportation Department’s bus fleet is comprised of twenty (20) 2012 CNG
powered buses, twelve (12) 2001 CNG powered buses, six (6) 2003 CNG powered
buses, eight (8) 2004 and six (6) 2009 CNG powered buses, all of which were
manufactured by New Flyer of America Inc.
Of the six buses proposed to be purchased, four (4) will replace the 2003 buses
(with two remaining in service), thereby adding two additional buses to the fleet.
These buses have reached the end of their federal useful life cycle of 10 years
required of a heavy duty transit vehicle of this size. Because these buses are thirty-
feet in length, they are limited in passenger capacity and are used in a reduced
service schedule by the Transit Operations Division.
City of Culver City, California
Agenda Item Report
The new buses will be the second generation of a new, advanced technology,
operationally efficient CNG powered vehicle produced by this manufacturer. In
2012, the City took delivery of the first generation of these highly advanced transit
buses.
The “Xcelsior Bus” is equipped with numerous features which provide easier
maintenance and operational characteristics. It will have many integrated technical
and operational systems built into the vehicle platform which will create greater
efficiencies, provide additional passenger comforts, and achieve improved fuel
economy because of its lighter weight. The use of electronics (instead of
mechanics) to operate engine cooling, heating, and A/C systems will also help to
reduce vehicle noise.
DISCUSSION:
The Transportation Department has an opportunity to purchase these buses using
another transit agency’s contract procurement and execute an authorized “piggy-
back” acquisition. In planning for the purchase of the six (6) buses, staff contacted
the Omnitrans Transportation Authority (based in the Inland Empire) and submitted a
request to be included in their open and competitive procurement of 90 CNG
powered, heavy-duty transit buses which they awarded to New Flyer of America Inc.,
under a five-year contract.
Exercising a “piggy-back” acquisition for transit vehicles is permissible within the
procurement rules of the Federal Transportation Administration (FTA) providing that
the original contract language stipulates an Assignability of Options, and the
requesting agency enters into a separate contract with the awarding manufacturer.
This process is also consistent with Culver City Municipal Code Section 3.07.045.G,
which provides that the formal competitive bidding process is not required for the
purchase of equipment where competitive bid procedures have already been utilized
by another public agency.
New Flyer of America Inc., has fully complied with the requirements, technical
specifications and supportive documentation of the Omnitrans Request for Proposal,
and all federal language and procurement documents have been reviewed by
Transportation Department staff. Since the Transportation Department already
operates a fleet of New Flyer CNG powered buses, this purchase from the same
manufacturer continues to support the City’s fleet standardization efforts. Further, it
will assist in reducing operational cost of these vehicles as no new parts and
materials would need to be obtained.
FISCAL ANALYSIS:
Sufficient grant funds to pay for the entire purchase have been attained from the
following sources:
City of Culver City, California
Agenda Item Report
FTA 5307 Grant Funds: $1,760,000
Local Transit Capital Funds: $1,100,000
Proposition 1B, PTMISEA Grant Fund: $ 160,000
South Coast Air Quality Management District (SCAQMD): $ 300,000
State Transit Assistance (STA) Funds: $ 310,000
Total $3,630,000
Funding is appropriated in Transit Account - 20370300.732100 for the acquisition of
the buses. No general fund monies will be used for this acquisition.
ATTACHMENTS:
None
MOTION:
That the City Council:
1. Approve a contract with New Flyer of America Incorporated, for the acquisition
of six (6) new and unused CNG powered forty-foot (40’) low floor heavy duty
advanced design transit buses and optional equipment in an amount not-to-
exceed $3,630,000; and,
2. Authorize the City Attorney to review/prepare the necessary documents; and,
3. Authorize the City Manager to execute such documents on behalf of the City.