Fiscal Note
Up to 80% of the total project cost is funded by USDOT/FTA. The local share is included in the Transit Utility 2006 Adopted Capital Budget, project #1, Account #815006.
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SUBSTITUTE - Authorizing the Mayor and City Clerk to enter into agreement with Gillig Corporation for the purchase of five (5) hybrid diesel-electric coaches at an estimated cost of $2,500,000, and authorizing the Transit General Manager to accept the assignment of coaches from CityBus of Greater Lafayette.
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PREAMBLE
Metro Transit would like to begin the process of transitioning away from buses powered with traditional diesel engines. Staff has been collecting information on alternatives to regular diesel-fueled buses for a number of years, developing an understanding of the fuels and technologies available in the transit industry. Hybrid diesel-electric drive systems on transit buses offer a means of improving fuel economy, reducing emissions, and lowering operating expenses. After a number of years of development and testing, hybrid diesel-electrics have become a preferred technology in the transit industry.
A joint subcommittee of the Board of Estimates and the Transit and Parking Commission worked with Metro staff in 2002 to develop a strategy to acquire hybrid diesel-electric buses. At that point, a decision was made to allow the technology to mature for three more years. In the 2006 capital budget process, the City approved Metro's 2006 Capital Budget request to fund the local share for five (5) hybrid diesel-electric buses. Metro has programmed the federal share (80%) for purchase of the vehicles in its formula and discretionary capital grants.
Staff has been working with bus and power-system manufacturers to identify "piggy-backing" opportunities through assignable options, and determined that a contract between CityBus of Greater Lafayette Indiana and Gillig Corporation offers the most attractive offer from the standpoint of equipment and cost. CityBus made provision in their request for purchase for hybrid buses to include buses available to other transit systems through "assignable options". Metro has used opportunities such as this in the past when making small bus purchases to take advantage of cost savings associated with economies of scale in large fleet purchases. In this case, purchase by assignment after the bid award also offers Metro an opportunity to acquire the vehicles in a much shorter timeframe than would otherwise be the case. This is an acceptable methodology for fleet acquisition under federal regulations, and Metro will meet all of its federal regulatory obligations.
WHEREAS, CityBus of Greater Lafayette awarded a contract to Gillig Corporation for the purchase of low floor hybrid diesel- electric buses, with assignment capability to other purchasers;
WHEREAS Metro Transit, a division of the City of Madison, having made provision in its 2006 budget for acquisition of five (5) hybrid buses, wishes to take advantage of this opportunity to acquire low floor hybrid buses and at the same time obtain an advantage in cost savings made possible by "piggybacking" on a larger fleet purchase;
NOW, THEREFORE, BE IT RESOLVED that the Transit General Manager is authorized to accept the assignment of coaches from CityBus of Greater Lafayette, and that the Mayor and Clerk are authorized to enter into an agreement with Gillig Corporation for the manufacture of five (5) Low-floor Hybrid Diesel Electric Coaches at an estimated cost of $2,500,000, including diagnostic equipment.
LET IT ALSO BE RESOLVED that Madison Metro staff shall track fuel usage, miles, and maintenance costs (including batteries) for the hybrid buses and for five comparably aged standard diesel buses.