Bill 170514

..Title Authorizing the Procurement Department and the Department of Commerce, on behalf of the City, to enter into a contract for the provision of shuttle bus services at the Philadelphia International Airport, under certain terms and conditions. ..Body THE COUNCIL OF THE CITY OF PHILADELPHIA HEREBY ORDAINS: SECTION 1. The Procurement Department and the Department of Commerce, on behalf of the City, are hereby authorized to enter into a contract (the "Agreement"), for an initial term of four (4) years, and for certain additional renewal periods, pursuant to which the awarded vendor shall provide shuttle bus services at the Philadelphia International Airport. The Agreement will be subject to the terms and conditions substantially as set forth in Exhibit "A". SECTION 2. The Procurement Department, the Department of Commerce, and the City Solicitor shall include in said Agreement such terms and conditions as they may deem necessary to protect the interests of the City. Exhibit A Philadelphia International Airport Shuttle Bus Contract Term Sheet Purpose and General Scope of Contract * Awarded vendor(s) will provide and maintain a fleet of buses for the Philadelphia International Airport ("PHL"). Operation of buses will take place on two route schedules as outlined below. Duration and Amount * Initial four (4)-year term with three (3), one (1)-year optional renewal terms; start date of June 1, 2018 o Longer term agreement necessary to align with useful life of vehicles and large capital investment required of vendor * New annual contract amount approximately $16,000,000 Terms The scope of work will be separated into two (2) schedules and the contract(s) shall be awarded by schedule; and the contract will give the Division of Aviation cost-efficient options to select between new vehicles and used vehicles that meet PHL's criteria: * Schedule A: Economy Lot o Eighteen (18) medium duty buses required by Year 2 of the contract o Medium duty buses have a seven (7)-year lifecycle and are approximately $125,000/vehicle o The Philadelphia Parking Authority is currently redesigning the Airport's Economy Lot to better serve passengers o The new contractor will operate two (2) routes instead of a single route and will utilize medium duty buses instead of heavy duty buses * Schedule B: Employee Lot and Cargo City o Employee Lot * Eleven (11) heavy duty buses required, * Heavy duty buses have a twelve (12)-year lifecycle * Two (2) options for heavy duty buses: 1) Clean Diesel Option: approximately $450,000/clean diesel vehicle 2) Greener Option: choice of utilizing an alternative fuel or proposing a hybrid or zero emission bus (hybrids/zero emission buses are approximately $650,000/vehicle or more) o Cargo City * Three (3) medium duty buses * Medium duty buses have a seven (7)-year lifecycle and are approximately $125,000/vehicle * The new contractor will utilize medium duty buses instead of heavy duty buses ..End