Title
Resolution Authorizing Contract Amendment in the Amount of $277,022.84 with Keolis Greensboro, LLC. (Keolis) for Maintenance Repairs to GTA Fleet
Body
Council Priority: Maintain Infrastructure and Provide Sustainable Growth Opportunities
Department: Transportation
Council District: All
Public Hearing: N/A
Advertising Date/By: N/A
Contact 1 and Phone: Adam Fischer, 373-2861
Contact 2 and Phone: Bruce Adams, 412-6237
PURPOSE:
A resolution needs to be approved to authorize a contract amendment to allow Keolis to provide fleet maintenance services for items highlighted on the Vehicle Turnover Inspection Audit.
BACKGROUND:
The City/GTA hired Vehicle Technical Consultants (VTC) to conduct a Vehicle Turnover Inspection audit and provide a written report relating to the condition of the GTA fleet of buses and vans that were to be maintained by Transdev. The report findings indicated that a total of 1,832 labor hours would be needed to address mechanical repair issues across the fleet.
Transdev indicated to the City/GTA that it will not be able to complete the repairs outlined from the VTC audit report in addition to other vehicles that were not listed on the VTC Consultant Report prior to the expiration date of their contract which was December 31, 2018. As a result, the City withheld Transdev’s December 2018 final payment until this issue along with other issues were resolved.
Due to Transdev’s inability to complete the required repairs, the City executed a $50,000 contract with Keolis beginning December 29, 2018 to perform some of the repairs identified within the VTC Consultant Report and any other routine maintenance items that were to be completed prior to the expiration of Transdev’s contract. This provided the best opportunity to have the City/GTA’s fleet meet Keolis’s service standards prior to January 1, 2019.
The City contends it withheld these funds because Transdev did not fulfill all of its contractual obligations prior to its last day of service on the contract. The City needed time to determine the amount of damages caused by the breach to ensure that it had sufficient funds to pay for them. Based on these facts, Transdev requested a formal meeting to resolve the dispute. The meeting took place on Friday June 28, 2019, and included the City Manager and other City staff. The result is that Transdev has agreed to allow the City to deduct the sum of $327,022.84 from its December 2018 final invoice to pay for the maintenance repairs. These funds will be used to offset the initial 50,000 maintenance contract with Keolis along with the additional $277,022.84 included in this amendment.
BUDGET IMPACT:
Funding for the additional $277,022.84 to be added to the Keolis contract will come from GTA Operating Fund account 564-4531-02.5242. A budget adjustment is needed to move funds to the correct account.
RECOMMENDATION / ACTION REQUESTED:
The Department of Transportation recommends and requests that the City Council authorize the City Manager to execute a Contract Amendment with Keolis for fleet maintenance repairs in the amount of $277,022.84.