HomeMy WebLinkAboutContract 26888 AMENDMENT NO. 1
STATE OF TEXAS § CITY SECRETARY CONTRACT NO. �U 0
COUNTY OF TARRANT §
WHEREAS, the City of Fort Worth ("City") and Transportation Consultants, Inc.
("Consultant")made and entered into City Secretary Contract No. 26579 (the "Contract")
on or about February 6, 2001; and
WHEREAS, the Contract involves consultant services for the following project:
An evaluation of the Equipment Services Division of the City Services
Department, Phase I, as more specifically described in the City's Request
for Proposal 00-0313 dated October 19, 2000 and Consultant's response
thereto dated November 16, 2000.
WHEREAS, City and Consultant desire to amend the Contract to include Phase II
services.
NOW THEREFORE, City and Consultant, acting herein by and through their
duly authorized representatives, enter into the following agreement that amends the
Contract:
1.
Article 1, Section 1.1 of the City Secretary Contract 26579 is hereby amended to
include the additional consulting services specified in a proposal letter dated March 28,
2001, a copy of which is attached hereto and incorporated herein. The additional scope
of services specifically excludes Priority II of the Prioritized Implementation
Steps/Strategic Plan. The maximum cost to City for the additional services to be
performed by Consultant is $225,600. The maximum amount of reimbursables as defined
in the Contract for Phase R services is $39,400.
2.
Article 2, Section 2.1 of the City Secretary Contract No. 26579 is hereby amended
to be and read as follows:
2.1 The maximum fee to be paid to Consultant for all Phase I and
Phase II services performed hereunder shall be Two hundred forty-seven
thousand One Hundred Dollars ($247,100.00), hereinafter "Consultant's
Fee". In addition, City shall reimburse Consultant for the following
expenses at invoice cost: air fare, lodging, auto rental, meals, office
supplies directly related to the scope of services,parking and long distance
telephone calls. Reimbursable expenses shall not exceed Forty-two
Thousand Four Hundred Dollars ($42,400.00).
U @
Ho
3.
All other provisions of the contract,which are not expressly amended herein, shall
remain in full force and effect.
EXECUTED on this then day of , 2001, in Fort Worth, Tarrant County,
Texas.
ATTEST: APPROVED:
City of Fort
Worth
U 1r� By:
Glo a Pearson Charles Boswell
City Secretary Assistant City Manager
APPROVED AS TO FORM Transportation Consultants,Inc.
AND LEGALITY:
Gary Stein erger Stephen W. Burnett
Assistant City Attorney Senior Vice President
contract Authorization
Date
a
�i i'
E C E I V E
e
MAR 2 0 2001
%MC111TV C, --
TranSportation Consultants, Inc. -,1404/250-0100
8302 Dunwoody Place 404/250-0253 FAX
Suite 352 tci@transpconsult.com
March 28, 2001 Atlanta, GA 30350
Mr. Toni Davis
Director of City Services
City of Fort Worth
1000 Throckmorton
Fort Worth, TX 76102
Dear Mr. Davis:
Transportation Consultants, Inc. is pleased to submit this proposal to continue to assist
Fort Worth and ESD address and resolve difficult issues within the City's fleet function.
Our proposal is based on the language set forth in section 4.3 (page III —4) of RFP 00-0313
and the resultant consultant response.
It is our intention to work professionally and expeditiously to pinpoint and refine Priority
One Recommendations from our Phase I effort and, where appropriate, work with
Management to implement recommendations as we proceed.
The balance of this proposal will address engagement objectives, approach, prioritized and
detailed tasks, expected timelines and benefits as well as necessary administrative arrangements.
The objective of our assignment will be to assist Fort Worth City Services and ESD work
through the seven (7) prioritized implementation steps delineated on page 47 of our
March 2001 Fleet Management Analysis Report. It is our understanding that the City
will prioritize and/or choose among the seven steps and, perhaps, incorporate or defer
those steps outlined in the Priority II category to a later time.
It is also our understanding that the City will provide two OAU staff members to TCI for
the duration of the engagement. We have relied on these Analyst hours as we built our
work plan and hourly estimates. In fact, eve have planned for 720 hours of their time on
the engagement with a significant commitment of time in particular on the utilization
segments of our study.
We are planning on a mid-May to early June start for our on site work in our internal
planning and scheduling assumptions. This should allow sufficient time for City Services
and Assistant City Manager review of our proposal, M & C review and modification
and/or approval and TCI internal scheduling. We would appreciate aq early,indication
from you so we can schedule and commit staff.
r r IU�Y
tir
Mr. Toni Davis
Page 2
March 28, 2001
t
Our overall plan is to work through the priority steps delineated on page 47 of our Phase I
report on a descending basis.
In the following section we have indicated the step, the key tasks attendant to that step, the
hourly estimates, elapsed time to completion, and the expected benefit accruing to the City from
implementation. At the end of this Exhibit we have added necessary out of pocket expenses, fee
estimates for our MBE partner and an overall allocation of our TCI project direction fee.
The Exhibit follows:
Hourly Estimate
Elapsed
Priority Step Key Tasks External Internal Total Time Anticipated Benefits
(Weeks)
I. Develop Financial Recovery 1 — Continue financial
Plan 1 review/analysis !
240 1 80 320 4-6 I. Financial recovery
i — Focus on margins,w.arkup, ! i 2. Cost savings--S500 K
! billable hours.productivity ! (e.g.reduce loss by
i !
I for 01/02 budoet is
—
Review sial l'number and tnix i ! ! goal)
! — Develop plan for ! ! !
! implementation
!
t Wort.«;th Budget cC Finance I
61"U
�
,.• � _ s .' .� n� ,z;:�( '� ,qz+ L+ y�s�-r< o, �`t .z �a'Sx:A,c. �.i
G .. X4 `,^k' :,'.*.i.N' J:x' Z: ....ir; `''" .t_...'•+.s `.'•.'°._'Lxz.'§ 'r„uw' rrs:.;...�'�it 4�a,::%a,",cYY..zt.!,.}*i.`k�:�r�.;,r,r�z�.._ �.aL 1z',�2YxsP..d+rt "' '�X°,.aPusa �. 4UX�
2. Maintenance Management I — Develop/implement new ! i j
i i 600 i 40 ( 640 12— 1 S } 1. PM compliance up 50,ro.
Improvement Implementation i procedures ; !
— Resurrect PINI program i t s 2. Improved uptime
i i !
— Training at each service centeri 3. Improved metrics
I — Develop metric goals i i ` 4. Tacit agreements with
i I users
z !
— Starf reconfiguration at i ! i. Reduced downtime
service centers(and parts) (Focus on Brennan)
! — Scheduling changes 6. More scheduled work
i — Develop appearance standards i !
! !
— Success measures s
— Safety improvement programs
!
I — Tire management ! I ! !
plan/decentralize
i — Forge agreement with users as
to expectations ! !
MBE hours(200)are included in this table ua UaSLU�D
;
All 5?
Mr. Tom Davis
Page 3
March 28, 2001
Hourly Estimate
Elapsed
Priority Step Key Tasks ExternalInternal Total Time Anticipated Benefits
(Weeks)
3. Information Requirements — Develop requirements ! 120 12040 10- 12 j I. Solution for information
! requirements
— Determine gaps j 2. Intangible dollars
— Formulate RFP for outside
i firms and IT
`t• :£5�+yak �,z�4 x "x � ':.:�,a.Y,��r�fi�fs'.`...:��3��`.��
— Re-run mileage/hour i j � j
4. Plea Utilization/Assn Control 240 320 560 10— 12 i I. Fleet caps freeze
analysis ;
— Conduct"top down" ! I ! 2. I'Iret reduction(strive
!
analysis for 5— 10%)
' I f
— Conduct"bottom up" !
analysis in the field iI i 3. Asset control procedures
i
— Design and implement j i 4. Central ownership
ossa control procedures i concept for City review
i
i — Close gap on missing asset 5. $3-$5 Million in cost
! — numbers
voidance
Develop central ownership i !
concept
"'L 5,z�li"T, ^rYa" ,�y (n +C1 ��:•sif 'S" %5�2+.k,Ttk�j�,y *c .,j.• ' 'j _y�,,'."y1h�w,F:Ki -
yxfi ..iv7..� t: "z? "s}7--v. .'^x='^ s3 ,r^.Y .��xy,ws. n `'�a' y. +,xc.'f>.a`�?�'`` .:.-M ��'.+.$;i��' ",•• 5ei „ r~ la s:� ,.,3,f1
:k,t .i,r;:A.fi..i-.�.`#s'a:.xa...:.:.:�?t...r',.1::a..:r.�r..Wrw.ft..,...:.x,...s..,.',.ac...:xtab::..x+k•'u4:siw.sw...nr...Sx.+xu:.'ae.kt. .ksv:e;.wvay�'fa.:�.�.�.a.i+u'.�.::i.F •w�� �v.e
5. Privatization initiative — Re-review situation 320 i 80 ` 400 12—I S I. Increased outsourcing
i — Develop two RFP's(Pili 1 I i i 2. Improved PNI
and one City function) ! j j compliance
't
— Gain reviews 1 i 3. Facility puzzle partially
resolved
— Work with Purchasing
I i ! 4. Possible cost savings
j i j ! for Fire(if chosen)
j
— Issue,evaluate,and j
recommend. City j
implement turnkey option
:S
t # h� �.,�,,:..?s4.s.:•i7`Tx�.Y�Z:.t:7P.1:�!"«hf'�s���-. -.S �*�a�4�.��x�s. R '"��',.A�"....�..�� +�::..yd..X:s:�{.s.. 4.... .....
6. Fuel Plan — Develop interim plan j 240 1 40 i 280 1 6-8 1 I. Improved control
j — Analyze fuel usage i i j i j 2. I-landle on usa`_c
i — Upgrade plan ! j ! 3. L/R plan
L/R plan developed
.t pro:.ar+•.�.w- Mgw"E_ �:-"1 "'" :".' .,fr , .3 3 ,may „'s Y^' 3 >e. .r?,.•y:,.z..�
1ASF ��•
f+a*'.r a3,�x.....aae° '''••• '.tzcs.,...ts:�ss:x :u•. :v.x4..:.Sa xpumew.'xos-..v..aa.,,�x!'.Az_.:.�_. .i.:-
7. Facilities Plan i — Develop S/R and L/R plan 120 1 40 I 160 ! 4-6 I. Plan in place
2. Buy4n from users
3. More economies of scale
i Totals: 11880 i 720 2,600
t
�l
MBE hours(200)are included in this table
Mr. Tom Davis
Page 4
March 28, 2001
M--miahs—trative-Arrangements
lig
This engagement will be directed by Stephen W. Burnett, Senior Vice President of TCI
and Project Director for Phase I of the ESD Assignment. He will be assisted by Marvin
Psalmond, David layer, Bill Martin, Mike Joyner, two OAU staff members, and two
(part-time) professionals referred to its by Fort Worth MBE. This will essentially be the
same staff that worked on your behalf in Phase I.
As indicated above it is anticipated that this engagement is to be conducted from mid-May
or early June to late September or early October 2001. The seven priority areas will be
staggered for scheduling, absorption, and project management reasons.
Our fees are based on the hourly estimates provided above plus project direction time and
reimbursement of actual expenses. Total billings, therefore, should not exceed:
TCI Fees (average of$95 per hour) 1,680 hours @ $95 per hour = $159,600
MBE Firm (estimate) 200 hours @ $80 1 per hour = $ 16,000
Project Director 400 hours @ $125 per hour = $ 50,000
Subtotal 2,280 hours $22 ,600
Expenses (17.5% at cost) $ 39,400
Total $265,000
Thank you again for this opportunity to serve Fort Worth. We look forward to continuing
our services with the City. If you have any questions about this submission or wish to
shift priorities, do not hesitate to contact me at (404) 250-010.
Sincerely,
Stephen W. Burnett
Senior Vice President
h'. rp
Enclosure (pages 47—48 from Phase I) =° l' !�'�V�^' G-���UU�D
At Ell
Assumed at this point
City of Fort Worth, Teras
PRIORITIZED IMPLEMENTATION STEPS/STRATEGIC PLAN
Priority I
1. Stem the Financial Losses. Develop Financial Recovery Plan. Review:
— Margins — Staffing Levels
— Markups — Parts and Other Expenditures
— Billable targets
2. Revamp Maintenance Management:
— PM's — Assigning/Scheduling/Quality Control
— Training — Safety
3. Review Information Processes:
— Develop Requirements — Formulate RFP
— Determine Gaps
4. Fleet Utilization Asset Control:
— Central Ownership — Asset Enumeration
— Fleet Utilization
S. Institute Privatization Initiative:
— RFP for Pilot — Develop in concert with Facility Plans
"A" Level PM's
'n,
r-7 6. Develop Shorter and Longer Term Fuel Plan
C� 7. Develop Facilities Plan (Short and Long Term)
� o
Transportation Consultants, Inc. Page 46
City of Fort Worth, Teras
PRIORITIZED IMPLEMENTATION STEPS/STRATEGIC PLAN (continued)
Priority II
1. Revisit Other Support Systems:
— Training — Warranty Tracking and Recovery
— Motor Pool
2. Review Parts/Inventory Process:
— Levels — Turns
— Bid
3. Conduct Feasibility Study of Vehicle Replacement Plan
� c
-22
. C»
Transportation Consultants, Lic. Page 47
City of Fort Worth, Texas
"agor and Council Communication
DATE REFERENCE NUMBER LOG NAME PAGE
6/5/01 **C-18609 1 21 PHASE-II 1 of 2
SUBJECT AMENDMENT OF CONTRACT WITH TRANSPORTATION CONSULTANTS, INC. FOR
ANALYSIS OF THE EQUIPMENT SERVICES DIVISION PHASE II
RECOMMENDATION:
It is recommended that the City Council authorize the City Manager to execute a contract amendment
with Transportation Consultants, Inc. (TCI) for services necessary to conduct Phase II of an analysis of
the Equipment Services Division at a cost not to exceed $265,000.
DISCUSSION:
The City Services Department, Equipment Services Division (ESD) is responsible for the repair and
maintenance of a mixed fleet of 3,800'vehicles. ESD operates five service centers, a tire shop, and a
satellite facility. It is organized into five sections that include Administration, Maintenance, Technical
Services, and Equipment Materials. Staffing is comprised of 148 positions. The current year's
operating budget is $12.4 million, with funding derived from charging user departments for parts, fuel,
and services.
On February 6, 2001 (M&C C-18448), the City Council authorized a contract with TCI to conduct Phase
I of a planned two-phased analysis of the ESD. Phase I was conducted during a two-week period in
March 2001, at which time TCI observed the ESD's operations, conducted interviews, and gathered
data regarding workflow, quality control, preventive maintenance, staffing, information systems, vehicle
replacement, outsourcing, parts inventories, and facilities.
In April 2001, TCI provided the City with a report detailing its findings and prioritized recommendations
to address issues raised. Those findings and recommendations were presented to the City Council
during its Pre-Council Meeting on May 1, 2001.
TCI has provided the City with a formal proposal for Phase II that will further refine the Priority I
recommendations contained in the Phase I report and assist the City in implementing them. Those
recommendations include:
• Developing a financial recovery plan to eliminate operating deficits; and
• Revamping maintenance management procedures; and
• Determining information requirements and developing specifications for a new equipment
management information system; and
• Developing a plan to control fleet growth and eliminate underutilized vehicles; and
• Increasing outsourcing/privatization; and
• Improving fuel management and developing a long range plan; and
• Developing a short range and long range facilities plan.
City of Fort Worth, Texas
4varor and council Communication
DATE REFERENCE NUMBER LOG NAME PAGE
6/5/01 **C-18609 21 PHASE-II 2 of 2
SUBJECT AMENDMENT OF CONTRACT WITH TRANSPORTATION CONSULTANTS, INC. FOR
ANALYSIS OF THE EQUIPMENT SERVICES DIVISION PHASE II
In addition to the TCI staff, two staff members from the City's Organizational Analysis Unit will work on
the project. Also, an estimated forty hours of Internal Audit Department staff time will be dedicated to
the part of the project related to the financial plan. The timeframe to conduct Phase II of the project is
from mid-July to December 2001.
ISCAL INFORMATION/CERTIFICATION:
The Finance Director certifies that funds are available in the current operating budgets, as appropriated,
of the General Fund, the Water and Sewer Fund, the Solid Waste Fund, and the Municipal Golf Fund.
CB:k
"Transportation Consultants, Inc, is in compliance with the City's M/WBE
Ordinance by committing to 10% M/WBE-participation. The City's goal on this
project is 25% but the utilization of City staff to perform part of the work scope
greatly reduced the subcontracting opportunities."
Submitted for City Manager's FUND ACCOUNT CENTER I AMOUNT CITY SECRETARY
Office by: (to)
Charles Boswell 8511 V�T' O GD
Originating Department Head: CITY COUNCIL
Tom Davis 6300 (from) AS �
GG01 539120 0905500 $147,075.00 JUN 5 2MI
Additional Information Contact: PE45 531200 0601000 $ 37,100.00 }C�
PE45 531200 0701000 $ 37,100.00
PE64 531200 0211004 $ 26,500.00 City secretary of the
Tom Davis 6300 PE39 539120 0804005 $ 17,225.00 City of Fat Ronk Texas