Title
Resolution Authorizing City Manager to Extend for Up to Six Months the Term of the Transdev Services, Inc. Contract for the Management and Operations of GTA Transit Services.
Body
Department: Transportation
Council District: Citywide
Public Hearing: NA
Advertising Date/By: NA
Contact 1 and Phone: Adam Fischer 373-2861
Contact 2 and Phone: Bruce Adams 412-6237
PURPOSE:
To extend the City of Greensboro’s/Greensboro Transit Authority’s (“COG/GTA”) contract with Transdev Services, Inc. to manage and operate the City’s transit services for an additional six months, beginning July 1, 2017, to allow sufficient time to complete a new procurement process for a new transit services management and operations contract. The extended term could be less than six months as the contract will include the City’s unilateral ability to terminate the contract for convenience.
BACKGROUND:
On June 3, 2014, the COG/GTA awarded a three-year contract to Transdev Services Inc. with a two year option to renew to provide on-going management and operations of the City’s transit services (“Contract”). The third year of the Contract expires on June 30, 2017, and the GTA Board decided not to exercise any of its two year options due to service issues and price concerns. Therefore, on October 27, 2016, the COG/GTA initiated a Request for Proposal for a new transit services contract. At its March 15, 2017 meeting, the GTA Board approved a Resolution to Recommend to City Council to award a three year contract to the highest ranked proposer, Transdev Services, Inc., effective July 1, 2017.
The next highest ranked Proposer, First Transit, Inc., filed a formal protest with the GTA Board on March 21, 2017, challenging the GTA Board’s decision to recommend that the contract be awarded to Transdev Services, Inc. On May 23, 2017, the GTA Board voted to rescind its prior recommendation of award, to reject all proposals and to issue a new RFP by June 30, 2017. As a consequence of its decision to issue a new RFP, the GTA Board also voted to extend Transdev Services, Inc.’s current contract for up to six months at a cost not to exceed $ 9 million with a Termination for Convenience Clause to be used at the sole discretion of the City. This extension is required, because it will take approximately six months to conduct another procurement for transit services.
BUDGET IMPACT:
The funds to support the proposed six-month extension will be budgeted in the FY 2017-2018 Transit Operations appropriation.
RECOMMENDATION / ACTION REQUESTED:
The Department of Transportation recommends and requests that the City Council authorize the City Manager to extend for up to six months the term of the Transdev Services, Inc. Contract for the Management and Operations of GTA Transit Services beginning July 1, 2017 with the Contract amount not to exceed $9,000,000.00.