16 Hawk Ridge Circle | Lake St. Louis, MO 63367 | phone 636.561.5686 | fax 636.561.2962 | www.mtmtransit.com March 20, 2023
Juan Portillo, Transit Manager
City of Manteca City Clerk
1001 W. Center Street
Manteca, CA 95337
RE: Best and Final Offer; City of Manteca RFP for Transit Operations Contract Services Dear Mr. Portillo,
MTM Transit appreciates the opportunity to provide a Best and Final Offer (BAFO) and clarifications regarding our proposal for managing Manteca Transit operations. Below, please find the responses to each of the City’s questions. We have also attached our revised pricing proposal which reflects the modifications outlined below.
1. TECHNOLOGY TIMELINE
Confirm all technology in proposal will be installed, implemented and fully operational on all City-owned revenue vehicles by 7/01/2023.
MTM Transit can confirm that all technology in the proposal will be installed, implemented, and fully operational on all City-owned revenue vehicles by July 1, 2023. This includes the Reveal system, idrive cameras, and AssetWorks Fleet Focus maintenance software. We are also excited to deploy the new mobile application for passengers; the app is in the final stages of development now, and following testing and quality reviews, will be launched in early 2024.
2. MAINTENANCE VENDOR OVERSIGHT
Please explain and provide plans on how maintenance manager, Adam Perrieria will be overseeing, supporting and educating Sunshine Care Auto, Inc on the maintenance of future City-owned zero emission vehicles.
Maintenance Manager Adam Perrieria will provide oversight of all maintenance activities, including those performed by our vendor Sunshine Auto Care, Inc., and any other maintenance vendor that is used during the term of the contract.
ATTACHMENT 4
16 Hawk Ridge Circle | Lake St. Louis, MO 63367 | phone 636.561.5686 | fax 636.561.2962 | www.mtmtransit.com Adam will receive vehicle specific training from the manufacturer to perform inspections, basic repairs, and maintenance sufficient to educate our vendor on vehicle specifics and to provide support and quality control oversight of our maintenance vendor. Adam will work closely with our vendor, providing oversight and expertise to ensure all repairs align with manufacturer guidelines and standards.
When troubleshooting problems, Adam will coordinate communication between the manufacturer and our vendor to ensure all repairs are performed properly. Adam will monitor technical service bulletins and routinely provide updates to our vendor. All activities will be well documented within the AssetWorks maintenance software, reviewed for trending issues, and shared with our vendor for educational purposes and improvements. Adam will also regularly audit the performance of Sunshine Auto Care and perform scheduled and unscheduled inperson facility inspections.
MTM Transit has also been preparing for California’s Zero Emission Bus (ZEB) requirements.
Regional Director of Maintenance Joe Sullivan attended an in-depth training course at the New Flyer Vehicle Innovation Center to learn about the latest EV bus technology and how to best support our customers on their path to zero emissions. Joe will help Adam navigate the new requirements and send him for additional training as appropriate. Whether evaluating new vehicles or developing plans for charging infrastructure, we aim to be a resource for the City in the process of meeting California’s ZEB requirements.
Specifically relating to our proposed vendor Sunshine Auto Care, we have discussed their capabilities and plans for accommodating heavy duty electric vehicle maintenance. Sunshine Auto Care is working on the installation of two electric charging stations at their facility and have plans in place to provide full heavy-duty electric vehicle service soon. If they are unable to perform maintenance on electric vehicles by the time they are introduced in the Manteca Transit program, we will identify an alternate vendor or explore options to take the service in house. Currently, there are no heavy-duty electric vehicle capable maintenance vendors within the ten-mile radius required by this contract, but we anticipate that Sunshine Auto Care and other local vendors will introduce the service as demand increases.
MTM Transit will ensure Sunshine Auto Care, or any other future vendor, has obtained the proper qualifications and equipment to perform maintenance on ZEB vehicles prior to allowing them to service the future Manteca ZEB fleet. MTM and our vendor will seek ongoing training to stay current with ZEB vehicles and new technology.
ATTACHMENT 4
16 Hawk Ridge Circle | Lake St. Louis, MO 63367 | phone 636.561.5686 | fax 636.561.2962 | www.mtmtransit.com
3. MISCELLANEOUS COSTS
Miscellaneous Costs proposed are considerably higher than in other proposals. Please explain, justify and/or modify.
Within the Miscellaneous Cost category on the pricing page, we included a variety of items and costs that did not align with other line items on the pricing page. This line item served as a “catchall” for costs such as:
• Travel expenses for local management staff
• IT operating costs (equipment maintenance, push to talk data, phones, internet, etc.) • Reveal software
• Idrive camera system
• AssetWorks Fleet Focus maintenance software
• Secret Rider program costs
• Labor relations costs and support
Other bidders may have placed some of these costs in other areas of the pricing pages, making our Miscellaneous Costs appear higher in comparison. Although we believe these expenses to be in line with the solutions we are offering for the program, within our attached BAFO pricing, we carefully reviewed each of these cost categories and made reductions where we could to demonstrate our desire to partner with the City of Manteca.
4. PRICE ADJUSTMENTS
Is there anything you can do to make your price more competitive? We believe we put our best pricing forward on our initial bid, as we spent significant time to ensure it was competitively priced. For example, although the Questions and Answers for this procurement indicated 8% deadhead for the fixed route, we proactively lowered that based on our understanding that vehicles will be parked and stored at the City’s Corporate Yard which is in close proximity to the Transit Center and our maintenance vendor’s facility. Additionally, we worked very closely with the Union to agree on operator wages that are above the current CBA and the RFP minimum, but that will be required to maintain labor harmony and prevent unexpected increases or work stoppages in the future.
The modifications outlined in this document and within our BAFO pricing pages offer cost savings to the program without sacrificing the value or quality of service we originally proposed, ATTACHMENT 4
16 Hawk Ridge Circle | Lake St. Louis, MO 63367 | phone 636.561.5686 | fax 636.561.2962 | www.mtmtransit.com and without lowering any wages in our staffing plan. After carefully reviewing each line item in our pricing, we made modifications to several items within our miscellaneous cost categories.
We hope that these modifications demonstrate our desire to partner with the City and our efforts to lower costs wherever possible in a responsible manner.
5. MAINTENANCE AGREEMENT
Confirm acceptance of following: Sunshine Auto Inc. services will be on a six-month trial period while MTM and City assesses their performance and suitability. City reserves right to request the removal and replacement of a new outsourced maintenance facility or to bring the services in house to MTM.
Yes, MTM agrees to use Sunshine Auto Care on a six-month trial basis and, if necessary, to work with the City on an alternate plan at the City’s request. Depending on the nature any new arrangement that should be made, we ask the City to allow us to make a price adjustment if appropriate. For example, if an alternative maintenance vendor’s costs are higher and outside our budget, or if we need to establish a new facility and procure equipment and hire staff, we would need to agree on a revised budget based on those changes.
SUMMARY
MTM Transit carefully reviewed and addressed each of the City’s BAFO concerns, provided detailed responses, and made thoughtful adjustments in our BAFO pricing. The result is a responsible and sustainable budget that provides cost savings to the City without sacrificing the level of quality promised in our original proposal. As a collaborative partner, MTM Transit is always willing to meet, discuss, and make further changes as needed.
The City may continue to communicate with Vice President of Proposals Amy Ritchie regarding the proposal and contract negotiations. Amy can be reached at [email protected] or 636- 695-5634; please feel free to contact her with any questions. On behalf of MTM Transit, I look forward to working with the City.
Sincerely,
Alaina Macia, President and CEO
Phone: 314-495-4953 | Email: [email protected]
ATTACHMENT 4
Base Year 1
July 1, 2023 - June
30, 2024
Base Year 2
July 1, 2024 - June
30, 2025
Base Year 3
July 1, 2025 - June
30, 2026
July 1, 2026 - June
30, 2027
(Extension)
July 1, 2027 - June
30, 2028
(Extension)
Fixed Monthly Cost 93,713.41 95,500.79 97,898.33 111,173.73 114,364.97 Rate Per Revenue Hour** 58.07 59.61 61.41 54.32 55.70
TOTAL PRICE 2,251,073.84 2,302,458.02 2,366,098.61 3,167,332.07 3,252,402.30 **City provides 100% of transit fleet
PROJECTED VEHICLE REVENUE HOURS*
July 1, 2023 - June
30, 2024
July 1, 2024 - June
30, 2025
July 1, 2025 - June
30, 2026
July 1, 2023 - June
30, 2024
July 1, 2024 - June
30, 2025
Fixed Route Vehicle Hours 15,000 +/- 15% 15,000 +/- 15% 15,000 +/- 15% 25,000 +/- 15% 25,000 +/- 15% Paratransit Vehicle Hours 4,400 +/- 15% 4,400 +/- 15% 4,400 +/- 15% 8,750 +/- 15% 8,750 +/- 15% *Actual hours may vary based on implementation of Short Range Transit Plan ATTACHMENT 4
Costs Fixed Variable Fixed Variable Fixed Variable Fixed Variable Fixed Variable A. Salaries and Wages
1. Management 300,000.00 309,000.00 318,270.00 327,818.10 337,652.64
2. Supervisors/Dispatchers 175,240.00 180,497.20 185,912.12 298,314.47 307,263.91
3. Support Staff 0.00 0.00 0.00 0.00 0.00
4. Maintenance Staff 46,800.00 48,204.00 49,650.12 51,139.62 52,673.81
5. Drivers 647,176.19 664,729.09 680,804.36 1,066,878.47 1,101,986.96
6. Drivers: Training and Non-Revenue 75,332.79 76,280.50 80,326.03 133,935.65 139,558.71 B. Payroll Taxes and Fringe Benefits
1. Management 56,666.00 59,566.10 62,651.78 65,936.50 69,434.75
2. Supervisors/Dispatchers 39,405.19 41,572.01 43,886.03 75,351.08 79,704.61
3. Support Staff 0.00 0.00 0.00 0.00 0.00
4. Maintenance Staff 13,459.20 14,234.77 15,064.20 15,951.56 16,901.24
5. Workers Compensation: Staff 14,984.00 15,208.76 15,440.26 19,424.71 19,670.31
6. Workers Compensation: Drivers 55,734.77 56,073.17 56,473.04 79,778.41 81,576.55
7. Drivers 120,712.47 124,073.53 127,395.78 194,707.14 203,030.03
8. Drivers: Training and Non-Revenue 9,667.16 9,969.98 10,692.73 19,516.58 20,683.44 C. Facility Expense
1. Rent 0.00 0.00 0.00 0.00 0.00
2. Utilities 0.00 0.00 0.00 0.00 0.00
3. Phone 0.00 0.00 0.00 0.00 0.00
4. Facility Maintenance 0.00 0.00 0.00 0.00 0.00
D. Office Expenses
1. Office equipment lease/amortization 0.00 0.00 0.00 0.00 0.00
2. Office Supplies 3,840.00 3,897.60 3,956.06 4,015.40 4,075.64
3. Printing/copying 0.00 0.00 0.00 0.00 0.00
E. Insurance Expense
1. General Liability 2,500.00 2,537.50 2,575.56 2,614.20 2,653.41
2. Vehicle Liability 66,000.00 66,990.00 67,994.85 69,014.77 70,049.99
3. Performance Bond 0.00 0.00 0.00 0.00 0.00
4. Licenses 0.00 0.00 0.00 0.00 0.00
F. Maintenance Expense
1. Parts 24,070.98 25,933.48 27,839.19 33,648.42 31,054.24
2. Tires 17,193.56 18,523.91 19,885.14 24,034.58 22,181.60
3. Supplies and Materials 84,773.60 88,128.82 91,581.72 118,135.61 113,573.22 G. Vehicle Cleaning Expense
1. Vehicle cleaning expense 24,000.00 24,360.00 24,725.40 43,385.43 44,036.21 H. Equipment Purchase/Depreciation
1. Vehicles 15,000.00 15,000.00 15,000.00 15,000.00 15,000.00
2. Maintenance Equipment 0.00 0.00 0.00 0.00 0.00
3. Office Equipment 4,419.00 4,459.79 4,500.57 4,541.36 4,582.14 I. Miscellaneous Expense
1. Employee miscellaneous 0.00 4,870.28 0.00 8,365.92 0.00 8,491.41 0.00 14,899.79 0.00 15,123.29
2. Maintenance miscellaneous 0.00 0.00 0.00 0.00 0.00
3. Other miscellaneous 145,581.20 432.00 147,314.92 438.48 149,074.64 445.06 171,776.08 780.94 173,902.72 792.65 J. Startup Expense
1. (include detail in proposal write-up) 66,852.69 0.00 66,852.69 0.00 66,852.69 0.00 0.00 0.00 0.00 0.00 Year 1
July 1, 2023 - June 30, 2024
Year 2
July 1, 2024 - June 30, 2025
Year 3
July 1, 2025 - June 30, 2026
Year 4 (Extension)
July 1, 2026 - June 30, 2027
Year 5 (Extension)
July 1, 2027 - June 30, 2028
ATTACHMENT 4
K. Profit and Overhead
1. Overhead 73,096.46 73,223.34 68,760.57 69,386.91 70,486.80 71,479.12 80,045.08 109,994.84 82,342.78 112,801.36
2. Profit 44,982.44 45,060.52 45,840.38 46,257.94 46,991.20 47,652.75 53,363.39 73,329.89 54,895.19 75,200.90 Total Fixed Cost 1,124,560.95 1,146,009.46 1,174,779.92 1,334,084.73 1,372,379.69 Total Variable Cost 58.07 59.61 61.41 54.32 55.70
TOTAL PROJECT COST 2,251,073.84 2,302,458.02 2,366,098.61 3,167,332.07 3,252,402.30 ATTACHMENT 4
Item # Item Description Proposed Start-up Cost
1 Office Supplies $2,500.00
2 Operator Uniforms $3,937.50
3 Relocation Costs $10,000.00
4 Training Costs $2,810.00
5 Wage/benefit Costs $83,084.78
6 Insurance $2,322.37
7 Inventory set-up costs $50,327.00
8 Leasehold improvements $0.00
9 Corporate support/profit $30,000.00
10 Recruitment Expenses $6,200.42
11 Recruitment Bonuses $0.00
12 Outside trainer lodging/travel $4,576.00
13 Storm Water Pollution Prevention Plan and Spill Preven $4,800.00 14 15 Other Miscellaneous Expenses (describe below)
16 17
18 19
20 21
22 23
24 25
TOTAL: $200,558.07
ATTACHMENT 4
Job Classifications FTE Scale FTE Scale FTE Scale FTE Scale FTE Scale Drivers 2.00 $22.00 2.63 $22.66 2.77 $23.34 12.25 $24.04 7.35 $24.76 Drivers 0.68 $22.40 1.00 $23.07 1.31 $23.76 1.39 $24.48 6.12 $25.21 Drivers 1.32 $23.01 0.51 $23.70 0.75 $24.41 0.99 $25.14 1.04 $25.90 Drivers 0.96 $23.86 1.06 $24.58 0.41 $25.31 0.60 $26.07 0.79 $26.85 Drivers 1.77 $24.95 0.77 $25.70 0.84 $26.47 0.33 $27.26 0.48 $28.08 Drivers 6.27 $26.34 7.04 $27.13 6.91 $27.94 7.07 $28.78 3.86 $29.65 Dispatchers/Supervisors 3.00 $24.17 3.00 $24.89 3.00 $25.64 5.00 $26.41 5.00 $27.20 General Manager 1.00 $120,000.00 1.00 $123,600.00 1.00 $127,308.00 1.00 $131,127.24 1.00 $135,061.06 Office/Clerical Staff 2.00 $90,000.00 2.00 $92,700.00 2.00 $95,481.00 2.00 $98,345.43 2.00 $101,295.79 Trainers
Utility Staff 1.00 $22.50 1.00 $23.18 1.00 $23.87 1.00 $24.59 1.00 $25.32 Off-Site Personnel*
Total FTEs 20.00 20.00 20.00 31.62 28.63
Please list all benefits a fulltime employee will be
eligible to receive based on
the terms of your price
proposal. Include the time
frame at which an
employee is eligible to
receive such benefits.
*Please explain and justify any off-site personnel included in the price proposal.
Please see Section 8. Employee Work Rules and Benefits Package in the technical response.
Year 1
7/1/2023 - 6/30/2024
Year 2
7/1/2024 - 6/30/2025
Year 3
7/1/2025 - 6/30/2026
Year 4
7/1/2026 - 6/30/2027
Year 5
7/1/2027 - 6/30/2028
ATTACHMENT 4
Job Classifications FTE Scale FTE Scale FTE Scale FTE Scale FTE Scale Drivers
Drivers
Drivers
Drivers
Drivers
Dispatchers/Supervisors 1.00 $23.50 1.00 $24.21 1.00 $24.93 1.00 $25.68 1.00 $26.45 General Manager
Office/Clerical Staff
Trainers
Utility Staff
Off-Site Personnel*
Total FTEs 1.00 1.00 1.00 1.00 1.00
Please list all benefits a fulltime employee will be
eligible to receive based on
the terms of your price
proposal. Include the time
frame at which an
employee is eligible to
receive such benefits.
*Please explain and justify any off-site personnel included in the price proposal.
Please see Section 8. Employee Work Rules and Benefits Package in the technical response.
Year 1
7/1/2023 - 6/30/2024
Year 2
7/1/2024 - 6/30/2025
Year 3
7/1/2025 - 6/30/2026
Year 4
7/1/2026 - 6/30/2027
Year 5
7/1/2027 - 6/30/2028
ATTACHMENT 4