Agenda Item: 11
CITY OF SANTA CLARITA
AGENDA REPORT
CONSENT CALENDAR
CITY MANAGER APPROVAL:
DATE: July 14, 2026
SUBJECT: MANUFACTURING AND DELIVERY OF TWO CNG BUSES
CONTRACT
DEPARTMENT: Economic Development
PRESENTER: Adrian Aguilar
RECOMMENDED ACTION
City Council:
1. Approve the “piggyback” purchase of two 29-foot Compressed Natural Gas buses using California Association of Coordinated Transportation contract number 23-01, and award a contract to Gillig Corporation for a total contract amount not to exceed $1,882,000.
2. Authorize the City Manager or designee to execute all contracts and associated documents, and modify the awardees in the event of project withdrawal or abandonment, subject to City Attorney review.
BACKGROUND
Santa Clarita Transit has a fleet replacement program that meets the Federal Transit Administration’s (FTA) 12-year life cycle for commuter and transit vehicles and seven-year life cycle for Dial-A-Ride vehicles. Two of the City of Santa Clarita's (City) local buses have reached the end of their useful life and are scheduled to be replaced.
The City's local transit fleet is composed of Compressed Natural Gas (CNG) and hydrogen fuel cell buses. This purchase will allow the City to continue to improve fleet reliability, reduce emissions within the region, and improve the overall fuel economy of the City’s bus fleet. The buses proposed for purchase will also have new technology, such as improved suspension and ultraviolet air purifiers, that will improve the customer experience. The recommended action also aligns with the City’s capital replacement strategy, which calls for the replacement of approximately one-twelfth of the transit fleet each fiscal year.
After conducting extensive research to find the most competitive pricing and the highest quality
vehicles, staff recommends using the City’s “piggyback” purchasing option for this procurement.
The use of “piggyback” purchasing allows the City to place orders against a competitively awarded public agency contract. The City intends to purchase these vehicles through the California Association of Coordinated Transportation (CalACT) vehicle purchasing cooperative, of which the City is a member. This contract, which was awarded on July 25, 2024, was solicited through a competitive bid process and is valid through July 24, 2029.
As an added measure, City staff conducted a price analysis to ensure the proposed pricing is within industry standards and is the most advantageous to the City. The use of purchasing cooperatives is common within the transit industry and is a practice accepted by the FTA.
Upon approval by the City Council, the City will be able to replace two aging buses that have reached the end of their useful life and take advantage of recent developments in engine technology by replacing older, less-efficient vehicles. This purchase is also consistent with the City’s Zero Emissions Transition Plan, which calls for the purchase of CNG buses through 2028.
Based on current production timelines, delivery of these buses is anticipated in late 2028.
ALTERNATIVE ACTION
Other action as determined by the City Council.
FISCAL IMPACT
Adequate funds to implement the recommended action are contained within the City of Santa Clarita's adopted Fiscal Year 2026-27 budget, expenditure account 7003702-520103 (Transit Capital/Automotive Equipment). The City has programmed Federal Transit Authority Section 5307 grant funds to cover 80 percent of the total and Municipal Operator Service Improvement Programs funding for the remaining 20 percent.
ATTACHMENTS
CalACT RFP (available in the City Clerk's Reading File) CalACT Price Quote for the City of Santa Clarita (available in the City Clerk's Reading File)