CITY OF HALLANDALE BEACH

MEMORANDUM

DATE:                        June 1, 2009

TO:                 D. Mike Good, City Manager

FROM:            William Brant, P.E., Director, Utilities and Engineering                     

SUBJECT: Pursuant to Chapter 23, Section 108, Cooperative Purchasing, Authorization to Purchase, a 2009 Eldorado Aerotech Minibus, Utilizing the Broward County Bid #: V-Z-07-364-B-1, for an Amount-not-to-Exceed $67,000, for the Operation of the Fourth Minibus Route CAD #026/06

PURPOSE

Pursuant to Chapter 23, Section 23-108, Cooperative Purchasing, Hallandale Code of Ordinances, request authorization to purchase, utilizing the Broward County Bid #: V-Z-07-364-B-1, in an amount-not-to-exceed $67,000, a 2009 Eldorado Aerotech Minibus for the operation of the fourth route. 

BACKGROUND

The City started offering the community transportation service over fifteen years ago.  At that time, there were two routes that only serviced areas in the City east of Federal Highway. 

Over the years, the City has consistently sought out public opinion in order to improve this service.  This has resulted in the City expanding and adding routes.  These changes resulted in an increase in ridership and citywide service.  The ridership increased from 91,700 to 109,163 between fiscal years 2006 and 2007, an increase of 19%.  When the third route was added, the ridership increased by another 43% in fiscal year 2007-2008 to 156,160.

In June 2008 the City Commission authorized staff to apply for the Public Transit Service Development Grant under FDOT’s Discretionary Grant Program, to fund a fourth route.  This route will allow for the headway reduction of at least one route and will also allow more areas to be serviced. 

DISCUSSION

Staff recommends that this new bus be purchased rather than leased.  Our life cycle analysis shows that the savings resulting from the purchase will pay off the new bus in three (3) years.  Since the life expectancy of a bus is five (5) to seven (7) years, the City will save an estimated $50,000 over the life of the bus by purchasing rather than leasing.  Funds are available from the FY 08-09 budget.  The minibus will be purchase from Atlantic Bus Sales, the awarded vendor through Broward County Bid #: V-Z-07-364-B-1.

RECOMMENDATION

City Commission to:

· Authorize the purchase of a 2009 Eldorado Aerotech Minibus for an amount not to exceed $67,000 utilizing Broward County Bid #V-Z-07-364-B-1;

· Authorize the City Manager to execute all documents necessary to purchase the minibus, and to implement the fourth minibus route; and

· Authorize the City Manager to establish accounts and make expenditures to implement the purchase of the minibus. 

Prepared By:  ________________________

                        Mary Francis Jeannot

                        Administrative Analyst II

 Reviewed:

_______________________________                                                          __________

D. Mike Good, City Manager                                                                           Date

_____Approved                _____Disapproved                _____Hold for Discussion