Trolley purchase - Optima BusMEMORANDUM
August20,2003
TO:
FROM:
SUBJECT:
The Honorable Mayor and City Council Members
Michael C. Van Milligen, City Manager
Approval to Purchase Trolley Replicas from Optima Bus
Transit Manager Mark Munson recommends City Council approval of an agreement
with Optima Bus Corp. to purchase two American Heritage Streetcars at a total cost of
$540,716. These vehicles are funded with 83% federal funds and 17% of previously
budgeted local funds.
As part of the KeyLine fleet and fixed route service, these vehicles will be used for the
looped shuttle sed,~ce programmed for the Port of Dubuque and downtown.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
Michael C. Van Milligen '"'-
MCVM/jh
Attachment
cc: Barry Lindahl, Corporation Counsel
Cindy Steinhauser, Assistant City Manager
Mark Munson, Transit Manager
Bill Baum, Economic Development Director
KeyLine Transit
2401 Central Avenue
Dubuque. Iowa 52001-3302
(563] 589-4196 office
{563~ 589-4340 fax
(563' 690-6678 TDD
Memorandum
August 18, 2003
TO:
PR:
Michael C. Van Milligen, City Manager
Mark Munson, Transit Manager ~,
Subject: Approval to purchase trolley replicas from Optima Bus
Purpose
The purpose of this memo is to recommend entering into an agreement with
Optima Bus to purchase (2) American Heritage Streetcars at a cost of $270,358
each. These vehicles are programmed and funded with 17% local match in the
FY 2002 and 2003 CIP 050-716 and with 83% federal assistance under Iowa
DOT Agreement 03-0098-210-03.
Background
The American Heritage Streetcar was displayed by Optima Bus at the City Expo
held April 15, 2003 The vehicle was road tested in Dubuque and examined by
Operations and Maintenance mechanics prior to Expo. Driver, maintenance staff
and public comment on the vehicle was extremely positive.
Staff from Optima Bus provided the city an open procurement option to purchase
up to (2) trolley replicas off a Federal Transit Administration (FTA) approved
procurement between Optima Bus and Hampton Roads Transit, Hampton, VA.
This procurement considered proposals from Dupont Trolley and Optima Bus. In
addition to superior appearance, build quality and features, the Optima Bus was
rated heavy duty with a 12 year useful life whereas the Dupont Trolley was rated
medium duty and 10 year useful life. Optima Bus has provided staff all the
necessary federal documentation for a "piggy-back" purchase and Iowa
Department of Transportation has concurred with this procurement.
As part of the KeyLine fleet and fixed mute service these vehicles will be used for
the looped shuttle service programmed for the Port of Dubuque and downtown.
The Transit Alternatives Analysis has identified this service and these vehicles
under the no-build option developed'by URS Corp. All of the alternatives
developed by the consultants require the purchase of two rubber tired trolley
replicas.
Serwce People Integrll~ Responsibi~ty Ii mo~anon Teamwork
Action Requested
Approval to enter into an Agreement with Optima Bus Corp to pumhase (2)
Trolley Replica buses off a Federal Transit Administration approved procurement
contract between Optima Bus and Hampton Roads Transit, Hampton, VA at a
total cost of $540,716.
Cc: William Baum, Economic Development Director
Agreement Referring to
Purchase Order # 104990
KeyLine Transit
This agreement is made and executed the 15t~ day of August 2003 by and between
Keyline Transit of Dubuque, Iowa, hereinafter referred as the (Owners) and
Optima Bus Corp.. hereinafter referred to as the (Contractor).
Owner and Contractor for the consideration hereinafter stated, agrees to the
following:
1. The Contractor shall provide the equipment as specified in the attached
definition sheet, and shall execute all things required by this document.
2. Bond: Not required
3. Price: This is a firm price contract wherein the Owner agrees to pay the
Contractor the amount of $270,358.00 each for a total of (2) Trolleys totaling
$540,716.00 as full and complete payment for labor, materials and service
pursuant to this agreement.
4. Payment to the Contractor by the Owner shall be made no later than 30 days
after delivery and acceptance of the vehicle. Acceptance of the vehicle should
not exceed (~ working days.
5. Contract Document: This Contract Document consist of RFP # 01-98PTDC
1999 the technical proposal of Chance Coach Inc., known as (Optima Bus
Corp.) Contractor in this Agreement, and Hampton Roads Transit, 3400
Victoria Blvd., Hampton, Virginia. These Contract Documents are hereby
incorporated with this Agreement and are as much apart of this Agreement
as if fully set forth in the original document.
6. Completion: The Contractor shall deliver (2) said vehicles equipped as
s~tated in the attached Sales Definition Sheet within 180 days from the date
this agreement was signed.
KeyLine Transit
. Mark Munson
Transit Manager
Date
Optima Bus C~rp.
Bob Ward
Regional Sales Manager
Date