Integrated Rapid Transit Project Progress Report No. 24 January 2012
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CITY OF CAPE TOWN Integrated Rapid Transit Project Progress Report No. 24 January 2012 Page ii of 70 Project Status & Progress Report Project Name: Integrated Rapid Transport System: Phase 1A Directorate: Transport, Roads & Major Projects Focus Area: IRT Project Development and Implementation Product: Project Progress Report No. 24 – January 2012 Document Owner(s) Project / Organisational Role J. Martheze City IRT Project Manager J Grimbeek PMIRT Project Manager Contributing Authors: Managers of Respective Sections Project Report Version Control Version Date Author Change description V1 31 January 2012 J. Seemann First Draft Report V2 14 February 2012 Contributors Second Draft Version V3 16 February 2012 R. Kingma/G. Greenwood Sectional Update to Draft Version V4.1 17 February 2012 D. Bosch Sectional Amendments to Draft Version V4.2 20 February 2012 J. Groep Final Version PURPOSE The Progress Report is a document prepared by MyCiTi / IRT Project Team for the purpose of regular recording and presenting the project status to the various City of Cape Town political and administrative oversight committees, the Department of Transport, Department of Finance, PGWC as well as other key stakeholder groups and interested parties. DISCLAIMER While every effort has been made to present accurate and current information in this progress report, the City of Cape Town will not be held liable for the consequence of any decisions or actions taken by others who may utilise any information contained herein. Cover Photograph Construction Works at Civic Station (East Entrance) part of the Closed Feeder Station contract IRT Progress Report No 24 V4.2 January 2012 Page iii of 70 Table of Contents 1. Project Overview .......................................................................................................................... 5 1.1 1.2 1.3 1.4 2. Introduction Business Plan Phase 1A Implementation Planning for Phase 1B and Phase 2 5 5 5 6 Stakeholders ................................................................................................................................ 6 2.1 2.2 2.3 City Political Committees and Oversight Structures Provincial Government of the Western Cape / National Department of Transport Other Major Stakeholders 6 6 7 3. Procurement ................................................................................................................................ 7 4. Health and Safety ........................................................................................................................ 8 5. Risk Management....................................................................................................................... 11 6. Administration ........................................................................................................................... 18 7. Project Financials ....................................................................................................................... 19 7.1 7.2 7.3 7.4 7.5 7.6 7.7 7.8 7.9 Introduction to Phase 1A Financials Project Estimate and Salient IRT Project Information: Phase 1A Project Estimates Project Cost Report Budget: Funding and Expenditure Authority Budget: Capital and Operating Expenditure Project Estimate and Future Funding Applications (DORA) Key Financial Issues Budget: Capital and Operating Expenditure 19 19 20 21 23 23 24 24 25 8. Master Programme ..................................................................................................................... 30 9. Infrastructure ............................................................................................................................ 34 9.1 9.2 9.3 9.4 9.5 9.6 Design and Construction Summary Status Design and Planning Progress Construction Progress Land Acquisition Health & Safety Operational Handover of Infrastructure to City service departments 34 36 38 38 39 39 10. System Planning ........................................................................................................................ 39 10.1 10.2 10.3 10.4 System Plan Milestone “0” Interim Service MyCiTi Tariffs for 2012 / 13 Financial Year Phase 2A: Metro South East 39 40 40 43 11. Business Development ................................................................................................................ 44 11.1 11.2 11.3 11.4 11.5 11.6 11.7 11.8 11.9 Introduction Amendments to the Business Plan Vehicle Procurement Contracts (VPCs) Vehicle Operator Contracts (VOCs) Fare Collection Control Centre Contractor (CCC) Station Management Contractor (SM) Advertising on MyCiTi Infrastructure Further Focus Areas of Business Development Team 44 44 44 45 45 46 46 47 47 12. Industry Transition ..................................................................................................................... 47 12.1 12.2 12.3 12.4 Surveys to Establish Market Share of Taxis & Buses/Compensation to Taxi Operators 47 Notice in Media re Affected Operators 47 Steps towards Compensation 47 Surveys of Passengers on competing GABS routes 48 IRT Progress Report No 24 V4.2 January 2012 Page iv of 70 13. MyCiTi Operations ...................................................................................................................... 48 13.1 13.2 13.3 13.4 13.5 13.6 13.7 Summary of Passenger Numbers Airport Shuttle Bus Milestone “0” Interim Services: Inner City – Trunk - Table View Services Special Event Services Operations Management Operational Resources Public Feedback 48 48 49 50 50 51 51 14. Communications, Marketing & Branding ....................................................................................... 52 14.1 14.2 14.3 14.4 Introduction Press Releases and Media Engagement E-newsletter Internal Project Management 52 52 53 53 ANNEXURES: No. No. No. No. 1 2 3 4 - SCM BAC Summary Progress List of Reports to Council Extract of Reports to Portfolio Committee & Mayco on the roll-out of the Automated Fare System Contact List for Contributors IRT Progress Report No 24 V4.2 January 2012 Page 5 of 70 1. Project Overview 1.1 Introduction The City of Cape Town’s Integrated Rapid Transit (IRT) project, referred to as MyCiTi, is planned to transform the City’s current road-based public transport system. This is to be accomplished through, inter alia, the provision of Bus Rapid Transit services in dedicated right-of-way lanes, feeder bus services, automated fare systems, operating service contracts, institutional reform and the transformation of the existing public transport industry. The project is being undertaken under the auspices of the National Department of Transport’s policy of establishing Integrated Rapid Public Transport Networks (IRPTN) and is funded primarily through the Public Transport Infrastructure and System Grant (PTI&SG). The first public transport services started in May 2010, as part of the Soccer World Cup transport plan, with continued services after the event. These were an airport shuttle, and services linked with events at the Cape Town Stadium. An interim MyCiTi starter service running between the CBD and Table View commenced in May 2011. The Phase 1A services will expand through different milestones, and all the planned services should be in place by late 2013. This Progress Report is prepared to record and provide various oversight committees’ summaries of progress made to the end of the reporting period, and to highlight any major issues and concerns that may impact on the project going forward. This report deals with Phase 1A of the MyCiTi project only. Summary Progress Reports are prepared on a monthly basis and a comprehensive Project Reports are prepared on a quarterly basis. This Progress Report covers the reporting period for the month ending 31 January 2012. 1.2 Business Plan The MyCiTi Business Plan was adopted by Council in October 2010. A copy of the Business Plan is available on the City of Cape Town’s website: log on to http://www.capetown.gov.za/en/irt and click on Business Plan. Further amendments to accommodate changes in the operating environment were approved by Council in February and October 2011. The content of these amendments is also available from the above website, by clicking on Amendments to the Business Plan. 1.3 Phase 1A Implementation The implementation of Phase 1A is progressing well, with actual expenditure in the order of R1919 million recorded at the end of December 2012, and the total value of awards made through the City’s supply chain management processes amounting to R 350 million. There are currently no significant project delays that will affect the planned completion of works in September 2013 and the commission of the full phase 1A bus service operations before the end of 2013. Similarly, the planned interim services for Milestones 1 to 4 remain on track. An interim MyCiTi service running between the CBD and Table View commenced in May 2011 and is being well patronised. This report gives detail on the progress being made towards the implementation of Phase 1A and associated issues affecting the project roll-out as well as further details pertaining to the interim “MyCiTi” service. Page 6 of 70 1.4 Planning for Phase 1B and Phase 2 In October 2011, Council granted authority for the IRT Departments of Implementation and Operations to proceed with planning phases 1B and 2, conditional to budgetary provisions and funding being in place. It also granted authority to the Departments to proceed with all work necessary for the fast-tracked implementation of phases 1B and 2, conditional to works not being aborted should it be decided not to proceed with any sub-phase of the project, and subject to budgetary provisions and funding being in place. Consequently the IRT departments will now commence this work. In late November, a tender was published for professional services regarding the development of a business plan, preparing operational tenders and contracts, other business development activities, industry transition and operations, for a period of eight years starting mid-2012. Much of this work will relate to Phase 2 and Phase 1B of the IRT. The project brief and tender documentation for the ongoing IRT system planning (Phase 2) is in preparation. 2. Stakeholders 2.1 City Political Committees and Oversight Structures Progress Report No. 23 for the period ending December 2011 was submitted to the City’s Committee Secretariat in January 2012 for submission to the following Committees for their consideration during the February cycle of meetings: Portfolio Committees – Transport, Roads & Major Projects Sub Councils – Koeberg; Good Hope; Blaauwberg; Pinelands Mayoral Committee Council Unfortunately, the December Report was not completed in time for inclusion on the Finance Portfolio Committee agenda for February 2012. This Progress Report (No. 24) is scheduled to serve before the above-mentioned Committees during Council’s March 2012 cycle of meetings. 2.2 Provincial Government of the Western Cape / National Department of Transport The minutes of the project’s monthly Client/Management Meetings are distributed to both the Provincial Government of the Western Cape (Transport Department) and the National Department of Transport, both of whom have been advised of the next meeting. The latest Quarterly Report for December 2011 was issued to the Department of Transport and the National Treasury at the end of January 2102, as required. IRT Progress Report No 24 V4.2 January 2012 Page 7 of 70 2.3 Other Major Stakeholders Ongoing stakeholder meetings have been held or are planned with PRASA, PGWC, NDOT and relevant City Departments on the role of rail in the IRPTN for the City of Cape Town. No meetings were held during January 2012. Engagement with other stakeholders / interested and affected parties is discussed in later sections of this report. 3. Procurement The following statistics relate to the IRT procurement of goods and services, i.e. equipment, consultants and contractors, and have been drawn from a schedule of awards in terms of the IRT project: The total value of goods and services procured to date: R 4 350 million. o o Consultants (Professional Service Providers) Contractors / Suppliers = 11,5 % = 88,5 % It must be note that the value of procured goods and services does include contingencies and VAT, and as such, this value exceeds actual expenditure and outstanding commitments. The value of awards made to Historically Disadvantaged Individuals (HDI) expressed as a percentage of the total value of awards made, as measured in terms of the City’s Supply Chain Management Policy: = 45.4 % Increases in Contract Sum, Single Source appointments and Deviations 1 measured as a percentage of the total value of procured goods and services is 17.91 % and is split as follows: o Increase in contract sum – 10,21% o Deviations – 7.50% o Single Source Selection – 0.20% During January 2012 the following new appointments where made: o Contract 60S/2011/12 for Armed Banking Carrier Service for the City of Cape Town's IRT Cash Receiving Points Note: 1. The above statistics applies to the IRT project from its initiation in 2008 to present. 2. A schedule of all the appointments made in terms is appended as ANNEXURE 1 to this report. 1 Full details and the reasons for awards / extensions to awards, increases in contacts sums, single-source awards and deviations are provided in regular reports to the Council of the City of Cape Town. Refer to the quarterly reports submitted to the Finance Portfolio Committee, Mayco and Council re: “Report in terms of Supply Chain Management Regulations Section 36 and the Supply Chain Management Policy Section 299. IRT Progress Report No 24 V4.2 January 2012 Page 8 of 70 4. Health and Safety Building & Civil Contracts The activities on construction sites are subject to the requirements of the Occupational Health and Safety Act No. 85 of 1993. It is a condition of every contract that the contractor ensures that all work will be performed, and all equipment, machinery and/or plant used, in such a manner as to comply with the provisions of the Act and the regulations promulgated there under. Each contractor is required to appoint a competent person whose duty it is to enforce compliance. In January, a Martin & East construction vehicle on its way to work on Contract 437Q was involved in a traffic accident that resulted in injury of a member of the public. The Health and Safety practitioner appointed by the City of Cape Town considers, for approval, health & safety plans submitted by contractors; monitors compliance; issues instructions to bring about improvements where required, and prepares monthly reports, of which the table below is a summary: Table 4.1 Summary of Building & Civil Works: OH&S Compliance Report CONTRACT CONTRACTOR 112Q/2010/11: Atlantis IRT Corridor: R27 from Blaauwberg Road to Sandown Road (North). Martin & East 128Q/2010/11: Transport Corridor along Racecourse Road from R27 to Omuramba Road Exeo Khokela Civil Engineering Construction 154Q/2011/12: Atlantis IRT Corridor: Potsdam Road from Blaauwberg Road to Usasaza Road, Dunoon Not awarded yet PERCENTAGE GENERAL COMPLIANCE DECEMBER JANUARY 2011 2012 91,7 The accommodation of pedestrians must be improved. 72,5 63,4 The contractor was instructed to install shoring in excavations and to conduct safety audits on subcontractors. 0 0 72,8 262Q/2010/11: Atlantis IRT Infrastructure: Trunk Route Stations, Roadworks and Services in Melkbosstrand and Atlantis Martin & East 87,5 80,6 375Q/2010/11: IRT System Phase 1A: Construction of Bus Stop Infrastructure in Table View and Milnerton Civils 2000 75,4 77,5 Martin & East 92,7 82,7 Exeo Khokela Civil Engineering Construction 92,7 88,3 437Q/2010/11: Atlantis IRT Corridor: Blaauwberg Road from R27 to Potsdam Road 469Q/2010/11: IRT System Phase 1A: Construction of Bus Stop Infrastructure in Atlantis and Melkbos IRT Progress Report No 24 COMMENTS Tender in 21 day appeal/objection period. Contractor’s H&S plan approved. He was instructed to improve stacking and storage on site and to conduct safety audits on sub-contractors. The H&S plan was approved. Contractor has to improve stacking and storage on site and must conduct safety audits on subcontractors. The contractor must improve general compliance with the requirements of the H&S plan. The contractor must improve general compliance with the requirements of the H&S plan, particularly the stacking and storage of materials. V4.2 January 2012 Page 9 of 70 CONTRACT CONTRACTOR PERCENTAGE GENERAL COMPLIANCE DECEMBER JANUARY 2011 2012 390Q 08/09: IRT Major Station Superstructures Contract Group 5 93% 93.3% 391Q10/11: IRT Open Feeders Bus Stops Contract Group 5 90.6% 89.9% COMMENTS Good progress. Note: The “Percentage General Compliance” refers to a percentage score based on an independent “Safety Agent’s” assessment of compliance with OH&S requirements, which include, inter alia, on-site construction practice, provision of safety and protective equipment, on-site documentation etc. Operations Contracts The MyCiTi OHS assessment process includes the weekly inspection of all stations and the monthly inspection of the VOC depots, workshops and staging areas. The percentages in the graph below clearly show that some of the stations require urgent attention in order for them to reach an acceptable level of compliance. STATIONS: Some of the following non-compliances were identified for most of the stations: No guardrails along the emergency evacuation routes (ramps and roadside exits) and other evacuation facility issues – these are being taken up with the infrastructure team. No means for station staff to reach the manual override mechanism of the station automatic doors – this is being taken up with the VOCs. Poor first-aid box management - this is being taken up with the VOC’s. Fire panels reading faults or not working at all – the City’s internal infrastructure team is dealing with this. Backup power units (UPS) not switched on - the City’s internal infrastructure team is dealing with this. PA systems not working - this is being taken up internally. No evacuation drills conducted – this is actioned already with Disaster Risk Management. Station staff not provided with sheltered eating/rest facilities – this is an ongoing issue. Lights not working in and around the stations – electrical faults are being rectified DEPOTS, WORKSHOPS & STAGING AREAS: The two MyCiTi employees appointed by the City of Cape Town to perform the OHS assessments, are currently undergoing on-the-job OHS training. In January 2012, these OHS assessors were trained on how to conduct OHS assessments of the VOC depots, workshops and staging areas. The percentages for these areas of the MyCiTi operations will be included in the February 2012 report. INCIDENTS: 1. 2. There was an incident, involving a MyCiTi feeder bus, in which a pedestrian was injured on the January 24, 2012 in Table View. This is currently under investigation by the SAPS. During an OHS inspection of Granger Bay station on the January 23, 2012, the OHS assessor observed a blind passenger disembarking from the MyCiTi bus and being unsure of how to cross the road as there is no pedestrian light and audible alarm provided at this station crossing. They were, however, accompanied by their guide dog and did use the tactile paving. IRT Progress Report No 24 V4.2 January 2012 Page 10 of 70 The following table indicates the overall average compliance for January 2012: Vehicle Operator TransPeninsula Kidrogen November December January 89.5% 83% 78% 80% 81% 70.4% The drop in compliance has resulted from a more thorough audit process, and better assessment training being undertaken. A procedure for ensuring that the problem items are rectified has been produced, and this should see the compliance results improving. January Health & Safety Assessment Results of all VOC’s 100.0 95.0 90.0 85.0 80.0 75.0 70.0 65.0 60.0 55.0 50.0 45.0 40.0 35.0 30.0 25.0 20.0 15.0 10.0 5.0 0.0 Week 1 Week 2 Week 3 Week 4 Project Office As required in terms of the Occupational Health & Safety Act, the monthly inspection of the project office facilities and environment was undertaken in the second week of December 2011 - no non-compliance issues were noted. IRT Progress Report No 24 V4.2 January 2012 Page 11 of 70 5. Risk Management The risk report is currently updated on a monthly basis, adding new risks and updating the mitigation strategies for each item. With each analysis, the mitigating factors of the previous report are updated and compared in order to review the status of the risk profile with the City. The major risks at present are (in order of priority): 5.1 Financial Management of CAPEX Primary Risk The actual cost or updated costs of the Infrastructure projects are higher than the original estimates, resulting in deviation from projected spending targets. The overall contract could exceed the original estimated budget if the proposed savings identified are not realised. Not spending as planned, due to variations in the contract value or delays, could lead to underspending of funds allocated to a specific financial year. Underspending could cause the project to lose future funding. Mitigation measures The capital costs of the projects were updated, indicating that the committed contracts are predominantly within the revised spending targets, assuming that the proposed savings can be realised. The proposed savings are now in the process of being implemented. Although some of the savings are not feasible, new opportunities are being identified. The professional team assists in tracking the overall cashflow projection against the actual spent values, to highlight possible risk areas in advance. Secondary Risk NDOT clarification is required with regards to the funding of vehicle maintenance via CAPEX in future contracts. If the vehicle maintenance of future contracts is not funded via CAPEX, it could lead to substantial underspending of funds allocated to that specific financial year. Underspending could cause the project to lose future funding. The lack of a maintenance agreement will increase operating costs. Mitigation measures The City is in negotiation with NDOT to clarify the utilisation of funds with regards to the procurement of vehicles. The deviation from the original NDOT application of funds must be assessed and the impact of the changes on future capital expenditure needs to be determined and presented to all parties. 5.2 Delays to the negotiations of the long-term agreement with the Vehicle Operators. Primary Risk The compensation packages for the individual taxi operators were calculated, but not yet agreed upon. Delays to the process could result in the long-term agreement only being signed after the rollout of Milestone 1 (Aug 2012). The preparation of the prospectus required for the negotiation was delayed. This delay, in conjunction with the one above, is on the critical path of the negotiation process. Delays to the long-term contract have operational cost implications. Mitigation Measures The items listed above need to be attended to as a matter of urgency, to prevent further delays to the negotiation process. IRT Progress Report No 24 V4.2 January 2012 Page 12 of 70 Secondary Risk The interim contract with the Vehicle Operators can only be extended up to April 2012. Extension of the interim contract from April 2012 to ideally November 2012 is critical, to ensure that the continued operations of the MyCiTi service. This might be a new contract and involve further approval, which can lead to severe delays. Mitigation Measures The City to engage with the Vehicle Operators as a matter of urgency, to ensure that the extended interim contract is sufficient and secured in time for the services required beyond April 2012. 5.3 Staff Procurement & Office Accommodation Primary Risk Procurement of Operational and Implementation staff is running behind schedule and impacting on the delivery and roll-out of the project. The offers made to possible candidates were not all accepted and could require further negotiation or for the position to be advertised again. The lack in resources has already caused delays in various areas. To prevent further delays, professional services are being utilised. The current resources will not be able to cope with the increasing workload as the project is rolled out. The procurement process needs to be prioritised and expedited. Mitigation measures The contracts of existing resources were renewed, or these people were permanently employed. Interviews with key manager and service providers are in progress. Appointments of critical professional services were extended to ensure continuity. The process is still monitored very closely, to ensure minimal disruption. Secondary Risk The preparation of accommodation for the soon-to-be-appointed IRT workforce has not started. The projected completion date for renovating the 14th and 15th floors is the end of March 2012. The renovation of the offices of more senior City staff is currently delaying the process indefinitely. Accommodating the new staff in the available space will fragment the departments and cause severe inefficiencies. Mitigation measures The proposed interim solution is to accommodate new staff in close proximity and supplement the furniture with available stock. The Executive Director needs to ensure that the renovation team will not be removed from the renovation project once they begin. 5.4 Financial Management of OPEX: Primary Risk Interdepartmental Service Level Agreements are critical to the implementation and the operation of the IRT project. The IRT team requires support from various City departments to ensure that the challenges that arise during the implementation and operation of the project can be overcome. The departments must still commit to their respective responsibilities. Mitigation Measures The City is negotiating Service Level Agreements aimed to supply the specific services required from each department. The implementation of these SLAs is challenging, but is critical to ensure the success of the MyCiTi service. Secondary Risk The operational cost was assessed and, taking the SLAs into account, revised to be within the available budget. The implementation of the internal changes is challenging but feasible. There are still elements of the operational process that need to be clarified through the SLAs and Station Management Contract. IRT Progress Report No 24 V4.2 January 2012 Page 13 of 70 Mitigation measures The City is in negotiation with NDOT to clarify the utilisation of funds with regards to operational costs. Any deviation from the original NDOT application must be assessed, and the impact of the changes on future operational expenditure needs to be determined and presented to all parties. 5.5 Risks related to the extension of the IRT to the South East Metropolitan Area (planning and implementation of Phase 2) Primary Risk Extension of the IRT to the Metro South East as part of Phase 2, within an accelerated timeframe. Limited resources are available to manage the process. The process can only start when additional professional services are available and the funding for this phase has been secured. The Business Plan and Systems Planning Services are critical to start the design process. Mitigation Measures The City is in the process of appointing professional services to address the immediate resource shortages. A process programme tracking resource allocation is being put in place to assist with managing the process. The funding allocation will be defined within the Phase 2 Business Plan. Funds for the appointment of professional services were set aside. The City should prioritise Phase 2 implementation across all line departments, similar to its efforts for the 2010 World Cup, including full administrative and political support. Alternatively, the City should consider an extended timeframe for implementing the initial service to the Metro South East. Secondary Risk Industry Transition with all the affected parties of the Metro South East. Mitigation measures The City should start with Industry Transition negotiations as soon as possible. Although the initial engagement with the role-players in the Metro South East was positive, the transition process has proven to be volatile and unpredictable. 5.6 Fluctuation in forex prior to forward cover being taken out on imported equipment / vehicles. Primary Risk Forward cover only needs to be in place by the time the order is placed. The value of the Rand has been fluctuating substantially and the Contract Price Adjustment Provision is limited within the overall budget. The Rand could devaluate to such an extent that this increases the cost of imported goods and exceeds the Contract Price Adjustment Provision. The shortfall would require additional funds from the overall contingency to be allocated. Mitigation Measures The fluctuation of the Rand is closely monitored and the potential impact is to be reported in the monthly cost report. The procurement of equipment at ideal (lower than base value) exchange rates could be considered. The use of local suppliers must be encouraged. IRT Progress Report No 24 V4.2 January 2012 Page 14 of 70 5.7 National bitumen shortage and changes to specification could cause severe delays to civils projects. Primary Risk The shortage of bitumen due to regular maintenance and unforeseen downtime in the petroleum industry. The shortage of bitumen due to regular maintenance in the petroleum industry could delay civils projects as well as the construction of the open feeder stops. Mitigation measures Bitumen is a by-product of the petroleum industry and is therefore not regulated nationally. Negotiations on a national level are required. Procurement of bitumen from plants across South Africa is allowed to supplement the supply and minimise delays. 5.8 Inner City depot – Autopax not adhering to the eviction notice. Primary Risk Autopax not adhering to the eviction notice. The City would then be in dispute and the eviction process could take a considerable amount of time, resulting in a delay to the construction of the last section of the Inner City Depot. The depot is critical for the VOCs’ operations from the end of August 2011 onwards. Mitigation measures Talks with Autopax are still ongoing, but there is a commitment from the tenant to vacate by the end of March 2012. The City is to ensure that the sub-lease documents are signed and finalised as soon as possible. After the sublease is signed, the termination document must indicate that Autopax should vacate the premises by March 2012, with substantial penalties if it fails to do so. 5.9 AFC – Delayed ordering of the access gates. Primary Risk The design process of the gates was delayed and further delays are being experienced due to a lengthy approval process. The delays will result in the gates being order later than planned, severely delaying the installation of the units. The delayed installation of the gates will influence the resource requirement for fare collection and therefore have an effect on operational cost. Mitigation Measures The process is closely monitored and negotiations with the contractor are under way to assist in expediting the manufacture and installation processes. Secondary Risk The exclusion of cash boxes was indicated as a substantial saving that could be made. This item is now under review and, if reinstated, would have a severe impact on the available overall contingency. Mitigation Measures The City is to consider the need for cash boxes and inform the IRT Team. IRT Progress Report No 24 V4.2 January 2012 Page 15 of 70 5.10 Potsdam & Blaauwberg - Relocation of Du Noon dwellings and retail containers out of the road reserve. Primary Risk The dwellings in the road reserve at Du Noon needed to be relocated to complete the civils works for the Potsdam contract. The current inhabitants could have refused to leave. The alternate was to redesign the contract to accommodate most of the residents, until the dwellings were relocated. There are, however, a few critical areas that are unavoidable. Mitigation Measures The Potsdam contract has been redesigned to allow the project to proceed with minimal relocation of dwellings. A survey of the dwellings has started and is relocation is planned for the road reserve or a designated site (Working with ESKOM). Work in the occupied areas could be programmed to be completed later, allowing enough time to relocate the dwellings. 5.11 Bus CD bridge units – Compatibility with infrastructure Primary Risk The CD bridge that is specified to dock with the open feeder stops, works well if the feeder bus is in line with the docking area. It is not clear if the CD bridge will work if the bus is parked at a slight angle due to the camber of the road. If this is problematic, the cost and time implications to rectify the infrastructure could be substantial. Mitigation Measures The engineering consultant is looking at the various stops and will provide feedback. 5.12 Delays to the Implementation of infrastructure Primary Risk The heritage approval process required for the station at Adderley is lengthy and can be delayed in the process. Further delays to the process can cause this station to finish later than September 2012, thus increasing the overall project duration. Mitigation Measures The process is monitored very closely, but will need assistance from the city to expedite processes where possible. Secondary Risk Unforeseen services and civil works at Melkbos Station could delay the completion of this project beyond the targeted roll-out date for Milestone 3. Mitigation Measures The station could be utilised as an open feeder stop. An alternate boarding process will be required for this station. A similar boarding arrangement will be used for other stations and this one could be adapted to suit. 5.13 Bus Fleet Management – Support Services from City Departments (SLAs) Primary Risk With the planned outsourcing of the new bus fleet (including the current fleet) to Vehicle Operators companies, it is incumbent upon the City to ensure that its assets are being managed in a manner that complies in all respects with the relevant municipal legislation, particularly with the requirements relating to the pending AARTO legislation. IRT Progress Report No 24 V4.2 January 2012 Page 16 of 70 Mitigating Measures Agreement is being reached with the relevant City Department Technical Support Services under the terms of an SLA, staffed with adequate resources, to look after all aspects related to maintenance, Road Traffic Act legislation, insurance, vehicle abuse, quality inspections of mechanical work by accredited service providers, accident damage, driver licenses with Professional Driving Permits (PrDPs) etc. This support service will assist the IRT team and ensure that the fleet is able to operate in a safe and roadworthy condition. Notes: With reference to the Monthly Risk Profile below, please note the following: The Monthly Profile is an average risk rating, taking the initial and mitigated values into account. An increase in the profile could be due to an increase in the number of high-risk items, or it could indicate the need for more effective mitigation. The risk profile will improve with the confirmation of mitigation solutions that were or could be applied. IRT Progress Report No 24 V4.2 January 2012 Page 17 of 70 IRT Progress Report No 24 V4.2 January 2012 Page 18 of 70 6. Administration Human Resources The organisations structures of both IRT Implementation and IRT Operations were approved at the Council meeting held on 2011/09/28. Eighteen Clerk 1 Transport Monitors who were previously appointed on a temporary basis for a fixed-term contract period, now have permanent positions. They all went through a recruitment and selection process before appointment. A report has also been prepared for consideration by the City Manager for the placement of some of the 2010 World Cup technical staff in posts on the organisational structures of the IRT departments. Appointments have been made in the following posts after they were advertised: Senior Professional Officer x3 (IRT Implementation) Principle Professional Officer: IRT Systems Design (IRT Implementation) Principle Professional Officer: Transit Modelling and Systems Analysis (IRT Implementation) Technical Assistants x6 (IRT Operations) Senior Professional Officer (IRT Operations) Senior Professional Officer (IRT Business Systems). The placement of 2010 World Cup staff, as mentioned above, is still being considered for the following posts on the IRT organisational structures: Principle Professional Officer: Project Process Management (IRT Implementation) Senior Secretary (IRT Implementation) Principle Professional Officer (Planning and Design: Architectural and Urban Design) IRT Implementation Secretary (IRT Implementation) Head: Finance (IRT Operations) The following posts will have to be re-advertised: Technical Assistant x3 (IRT Operations) Principle Professional Officer: IRT Systems Planning ( IRT Implementation) Interviews have been scheduled for the following posts: Principle Professional Officer x2 (IRT Implementation) Senior Professional Officer x3 (IRT Operations) Senior Professional Officer: IRT Systems Planning (IRT Implementation) Offers of appointment have been made for two Senior Professional Officer (IRT Implementation) posts. The candidates for the post of Facilities Manager (IRT Operations) are in the process of undergoing psychometric assessment. An offer of appointment has been made to the successful candidate for the post of Principle Professional Officer: IRT Systems Structures (IRT Implementation), but he did not accept the remuneration offered. The relevant Head of Department is now submitting a report to the City Manager for reconsideration of the remuneration offered. It is confirmed that the assessments for the IRT posts advertised included interviews to assess competence, psychometric evaluations, technical written presentations and reference checks appropriate for the level of the relevant post. To further save time, candidates shortlisted for more than one post were interviewed once for a number of posts. IRT Progress Report No 24 V4.2 January 2012 Page 19 of 70 A Gant Chart for all required selection processes and timeframes was developed and updated in order to closely monitor progress on the filling of the posts. A delay incurred in the filling of the posts on the IRT organisational structures was due mainly to the availability of suitable candidates and, in limited instances, the availability of role players. The latter problem is being closely monitored at the moment. 7. Project Financials 7.1 Introduction to Phase 1A Financials This section addresses the IRT Project financials and covers the following: a. The project estimates and other salient information. b. The project cost report, including the value of work done, planned and projected cash flows and expected cost at completion. c. The City Budget Funding and expenditure authority Capital and operating expenditure d. Funding applications (DORA) e. Other key issues relating to the project financials A key aspect to note when reviewing this section is the difference between the information presented under the section addressing the Project Cost Report and that under the City Budget and Capital and Operating Expenditure reports. The former focus on actual value of work done and is used by the project team to manage cash flow and monitor and predict expenditure, to enable proactive interventions at a project level if necessary. The latter addresses that expenditure (payments) recorded in the City’s financial system and may lag behind the actual value of work done by up to two months or more. 7.2 Project Estimate and Salient IRT Project Information: Phase 1A Project Duration: Phase 1A First IRT construction contract awarded Projected completion of Phase 1A as currently programmed (subject to PTISG 6 Oct 2008 30 Sep 2013 funding being confirmed for 2012/13). Costs of implementing Phase 1A Estimated infrastructure and vehicle costs (incl. additional VAT) Estimated transitional, design and implementation operating costs (incl. VAT) Estimated total cost of implementing Phase 1A (excl additional VAT) R 3 894 million R 702 million R 4 287 million[1] Various changes were made in the course of the review of the Business Plan, many of which had cost implications. However, in most instances cost increases in one area were compensated for by decreases elsewhere. However, the apparent fall of R22 million in the total cost of implementation (compared to the total of R4 309 in implementation costs, excluding amount that is attributable to additional VAT) is mainly explained by the fact that the previous total included an amount of R30 million for one year of internal departmental costs. This is now shown separately under recurrent costs, which will be incurred annually. [1] ] IRT Progress Report No 24 V4.2 January 2012 Page 20 of 70 Additional VAT potentially due R 309 million Estimated total cost of implementing Phase 1A (incl. additional VAT) Estimated Annual Operating Deficit of running Phase 1A as currently modelled R 4 596 million R 116 million pa (not escalated, excluded above, and excludes planned reallocated bus subsidies) [2] Expenditure 2008/09 FY R 248 million Expenditure 2009/10 FY R 846 million Expenditure 2010/11 FY R 457 million Expenditure 2011/12 FY R 367 million Total expenditure to date 2008/09 FY to 2011/12 FY on SAP as at 6th January 2012 R 1 919 million Available assured funding from City and National received to date [3] Estimated future expenditure for implementing Phase 1A (for the remainder of R 3 391 million R 2 677 million the 2011/12, 2012/13 and 2013/14 FY’s but excluding annual running cost) Total indicative PTIS funding from National in the 2008/09 to 2013/14 financial years R 5 965million[4] Estimated Total Project System Cost of Implementing Phase 1A R 4 596 million Table 7.1: Salient Project Financial Information 7.3 Project Estimates The above table includes the results of a major review of the transport and operating cost modelling for Phase 1A of the project, and includes the estimated cost of running the system once commissioned. It takes into account the estimated operating income and operating expenditure. This review included an audit of the system demand and cost modelling, with inputs and assumptions closely scrutinised. The review of the transport and cost model will improve the confidence and accuracy of the estimated operating cost of Phase 1A. The estimated total project system cost of implementing Phase 1A (reflected above) has remained as previously reported. The estimated annual operating deficit is pegged at the mid-point of a possible deficit range. The Project Team is also reviewing other parts of the project, such as possible re-engineering of the infrastructure and value engineering to ensure that project costs are minimised without compromising project objectives. [2] This represents midway between the optimistic and pessimistic projections of operating costs as set out in par 9.5 of the updated Business Plan. [3] This excludes the R 368 million made available by the City to bridge the gap between the City and National financial years, which was recovered from the National PTI&S Grant after approval by Council in July 2010. [4] Based on the Division of Revenue Act (DoRA) gazetted on the 28 April 2011. This is an indication of all funding on this particular category of grant and does not imply that all funding is for the IRT project only. IRT Progress Report No 24 V4.2 January 2012 Page 21 of 70 7.4 Project Cost Report The PMIRT team (Cape Town IRT Project Managers Joint Venture), in consultation with the IRT Project Team, has developed a detailed monthly cost accounting and reporting process, whereby monthly project costing is tabled and discussed at the monthly Client Project Management Meetings. This reporting details and consolidates all project cost activities and this is being used to accurately monitor and manage the project expenditure and cash flow, ensuring alignment with Council’s approved budgets. Further, this information forms a basis for the ongoing program evaluation and progress monitoring of Phase 1A, ensuring that funds will only be committed when secured. In Figure 7.1 below, two aspects relating to the project expenditure profiles are graphically illustrated. The first aspect addresses the actual value of work done vs. our estimated value of work done. This is measured in terms of the value of invoices received vs. our planned project cost. Invoices received vs. our target spend line. As can be seen, we are slightly above our target in terms of spend, which indicates we are on track for our invoiced spend of just over R1 billion by June 2012. The second aspect represents an estimate of the operating and capital expenditure (payments) vs. the actual expenditure that is recorded on the City’s SAP financial system. The lag between the two profiles represents the lag in processing the invoices onto the SAP system – approximately 7 – 21 days. The targeted SAP line, which estimates expenditure, is indicated and the actual SAP expenditure is extracted from the City’s financial SAP system. Typically, the actual SAP expenditure (recorded at the end of September 2011) is above the targeted SAP profile, so we are currently on track to achieve our actual SAP recorded expenditure of approximately R950 million by June 2012. IRT Progress Report No 24 V4.2 January 2012 Page 22 of 70 Figure 7.1: Project Cashflow 2011 / 2012 (information based on Dec. 2011 data due to time constraints) IRT Progress Report No 24 V4.2 January 2012 Page 23 of 70 7.5 7.5.1 Budget: Funding and Expenditure Authority Operating The 2011/12 Operating Budget, approved by Council on the 8 June 2011, included an annual budgetary provision of R 30 million for the establishment and ongoing management of the IRT Project Office. The organisational structures of both IRT Departments have been approved by Council. The recruitment and selection process to fill the approved organisational structure is under way. Budgetary provision for Grant Funded Operating projects, associated with the various streams within the IRT project, has also been included in the 2011/12 Operating Budget submitted to Council for approval. With the introduction of the MyCiTi Starter Service commencing on 9th May 2011, this project had a significant increase in expenditure levels as a result of the system operating costs incurred by the three vehicle operating companies. 7.5.2 Capital As a result of the financial review of Phase 1A during 2009 and 2010, prior to the adoption of the Business Plan in October 2010 and based on our contractual commitments and future commitments, the capital programme for the implementation of Phase 1A was changed drastically. The City has received R 905 million from NDOT as part of the first tranche of DoRA allocation gazetted to the City for the 2011/12 municipal financial year. 7.6 7.6.1 Budget: Capital and Operating Expenditure Progressive Capital Expenditure Report for 2008/09, 2009/10, 2010/11 & 2011/12 Table 7.3 reflects capital expenditure from all sources (PTI&SG, CRR and EFF) relating to the IRT project. Individual projects are grouped according to their specific category or area. 7.6.2 Expenditure Report for Grant Funded Operating Projects Table 7.4 reflects all operating expenditure, funded from grant funding, relating to the IRT project. Individual projects are grouped according to their specific area and relate primarily to the procurement of external service providers, except where stated otherwise. 7.6.3 Expenditure and Revenue Report for the two IRT Departments Table 7.5 reflects all operating expenditure and revenue relating to the running of the two IRT Departments (Implementation & Operations). Expenditure and revenue is summarised according to subject categories. 7.6.4 MyCiTi Starter Service Table 7.6 reflects all operating costs (budgeted and actual) and all operating revenue (budgeted and actual) associated with the provision of the MyCiTi Starter Service, which commenced on 9th May 2011. The actual operating expenditure and revenue reflected in Table 3.5 is also represented in Table 3.4. IRT Progress Report No 24 V4.2 January 2012 Page 24 of 70 7.7 7.7.1 Project Estimate and Future Funding Applications (DORA) Future Funding Applications (DORA) As a result of the review of Phase 1A, and due to the fact that more information on infrastructure costs, systems planning, operations and business planning is becoming clearer as the project progresses, the capital programme for the implementation of Phase 1A was changed drastically in 2009 and 2010 (prior to the adoption of the Business Plan in October 2010). In addition, the 2010/11 to 2012/13 Operating Budget and Capital Budget Programme has been amended to reflect the latest position reflected in DORA, as well as the latest stance adopted on the treatment of VAT within the IRT system etc. The updated Business Plan includes a request for an additional R1 909 million of PTISG funding. This includes R 909 million over the 2011/12 and 2012/13 financial years to cover the additional VAT, as explained in the Business Plan, to be able to complete Phase 1A by the end of the second of these years and to start planning for Phase 2A and beyond. It also includes R1 billion for the 2013/14 financial year for further system expansion. The relevant reports required for consideration of future allocations in terms of DORA have been submitted by 15 August 2011, as required by the Act. Table 7.2 below reflects the actual DoRA allocations from the Department of Transport (DoT) towards public transport for the City as a whole. The information in the table below was gazetted in Parliament in April 2011, as part of the Division of Revenue Act (DoRA). DoRA - April 2010 DoRA - 28 April 2011 Increase Rm Rm Rm 2010/11 850 1 018 168 2011/12 1 600 1 800 200 2012/13 900 1580 680 1 600 1600 5 998 2 648 Financial Year 2013/14 Total 3 350 Table 7.2: Division of Revenue Act: City Allocations (2010/11 to 2012/13) 7.8 Key Financial Issues 7.8.1 VAT Recalculation The City is reviewing the VAT paid on the full contractual value as at end March 2010 due to the exempt nature of transport for fare-paying passengers. This process is being overseen by the City’s VAT unit in the Finance Directorate. Once full clarity on the way forward has been obtained from SARS, the current flagging of the WBS numbers involved in the IRT Capital contracts, to show the VAT exempt status, will be reviewed. IRT Progress Report No 24 V4.2 January 2012 Page 25 of 70 7.9 Budget: Capital and Operating Expenditure Table 7.3 (see page 26) reflects capital expenditure from all sources (PTISG, CRR and EFF) relating to the IRT project. Individual projects are grouped according to their specific category or area. Table 7.4 (see page 27) reflects all operating expenditure, funded from grant funding, relating to the IRT project. Individual projects are grouped according to their specific area and relate primarily to the procurement of external service providers except where stated otherwise. Table 7.5 (see page 28) reflects all operating expenditure and revenue relating to the running of the 2 IRT Departments (Implementation & Operations). Expenditure & Revenue is summarised per subjective categories. Table 7.6 (see page 29) reflects all the operating costs and revenue relating to the provision of the MyCiTi Service currently in operation. IRT Progress Report No 24 V4.2 January 2012 Page 26 of 70 Table 7.3: 2008/2009, 2009/2010 & 2010/11 (December 2011) Capital Projects (due to time constraints data is based on Dec. 2011 information) Cate gory WBS 2008/2009 Proje ct De s cription Curre nt Budge t Actual 2009/2010 % Spe nd Curre nt Budge t Actual 2010/2011 % Spe nd Curre nt Budge t 2011/2012 % Spe nd 49 220 873 22 154 173 % Spe nd IRT:Integr Rapid Transit Syst(Ph1A):PTIF - - - - IRT:Koeberg BRT Corridor:PTIF - - - - - - - - NG DOT PTI&SG C09.00419-F1 IRT:Granger Bay Blvd:PTIF 10 500 000 - - - - - - NG DOT PTI&SG C09.00487-F1 IRT:Klipf ontein Corridor:PTIF - - - - - - - NG DOT PTI&SG C09.00488-F1 IRT:Public Trsprt&Bus 20Upgr 000 on 000 Corr:PTIF 19 983 113 - - - - - - NG DOT PTI&SG C09.00489-F1 IRT:IntegratedFareManagement - System:PTIF - - - - - - - NG DOT PTI&SG C09.00497-F1 IRT:PropertyAcquisition:PTIF 57 800 000 - - - - - NG DOT PTI&SG C09.00498-F1 IRT:VehicleAcquisition:PTIF - NG DOT PTI&SG C09.00499-F1 IRT:WestCoastCorridor:PTIF 90 000 000 89 999 969 100.0% NG DOT PTI&SG C09.00500-F1 IRT:AirportService:PTIF 2 000 000 2 000 000 100.0% NG DOT PTI&SG C09.00501-F1 IRT:PropertyAcquisition:PTIF- NG DOT PTI&SG C10.00093-F1 IRT: Control Centre:PTIF NG DOT PTI&SG C10.00126-F1 100.0% 57 202 138 99.9% 99.0% - 76 500 000 63 888 232 83.5% 368 405 758 328 560 020 89.2% 15 920 000 86.1% Actual NG DOT PTI&SG C09.00352-F1 - 113 368 320 Curre nt Budge t NG DOT PTI&SG C09.00313-F1 10 500 000 131 640 721 Actual 4 635 868 11 167 423 45.0% 7 938 269 - - - - - - - - - - - - - - - - - - - - - - - - IRT: Depot Inf rastructure:Inner - City - - - NG DOT PTI&SG C10.10320-F1 IRT:PropertyAcquisition:PTIF- - 17 629 17 629 100.0% NG DOT PTI&SG C10.10327-F1 IRT:WestCoastCorridor:PTIF - - 51 941 535 50 633 467 97.5% 211 558 802 NG DOT PTI&SG C10.10350-F1 IRT:InnerCityService:PTIF - - 10 000 000 9 463 641 94.6% 7 907 362 NG DOT PTI&SG C10.10542-F1 IRT:AirportService:PTIF - - 6 000 000 6 000 000 100.0% 570 000 NG DOT PTI&SG C10.10581-F1 IRT:Public Trsprt&Bus Upgr on - Corr: - 2 000 000 1 677 149 83.9% 4 560 000 NG DOT PTI&SG C10.10582-F1 IRT:IntegratedFareManagement - System - 13 295 117 10 833 656 81.5% NG DOT PTI&SG C11.10123-F1 IRT: Control Centre - - - - 54 128 438 1 228 709 2.3% 123 332 771 63 244 538 51.3% NG DOT PTI&SG C11.10124-F1 IRT: Fare Collection - - - - 77 076 110 21 595 971 28.0% 64 489 292 28 500 697 44.2% NG DOT PTI&SG C11.10501-F1 IRT: FeederStations: InnerCity: - PTIF - - - 54 476 896 40 935 104 75.1% 61 488 143 14 164 144 23.0% NG DOT PTI&SG C11.10502-F1 IRT: Trunk Stations: PTIF - - - 57 474 780 1 099 673 1.9% 184 288 117 7 869 092 4.3% NG DOT PTI&SG C11.10504-F1 IRT: Depot Inf rastruc: Potsdam - Depot: PTIF - - - 10 000 000 6 403 724 64.0% 59 314 763 44 887 130 75.7% NG DOT PTI&SG C11.10505-F1 IRT: Depot Inf rastruc: Atlantis - Depot: PTIF - - - 67 036 - 0.0% 63 644 277 NG DOT PTI&SG C11.10507-F1 IRT: NMT: PTIF - - - - 5 504 804 - 0.0% 14 310 724 NG DOT PTI&SG C11.10558-F1 IRT: Property Acquisition - - - - 4 500 000 100.0% 5 130 000 NG DOT PTI&SG C11.10121-F1 IRT: Vehicle Acquisition - - - - Total NG DOT PTI&SG - - 180 300 000 179 685 220 99.7% 50 177 314 CRR BRT SystemC09.00498-F2 IRT:VehicleAcquisition:CRR - - 25 000 000 CRR BRT SystemC09.00499-F2 IRT:West Coast Corridor:CRR 30 000 000 CRR BRT SystemC10.00093-F2 IRT: Control Centre:CRR - - CRR BRT SystemC10.10337-F2 IRT:West Coast Corridor:CRR - - CRR BRT SystemC10.10579-F1 IRT: Traf f ic Management Centre: CRR - 45 001 399 41 035 764 CRR BRT SystemC10.10582-F2 IRT:IntegratedFareManagement - System - 7 704 883 331 149 684 247 529 100.0% Acquisition of Land EFF C07.00002-F2 R27: Addtl lanes and intersection impr EFF C09.00499-F3 EFF C10.10112-F1 Total EFF 0.0% - - 100.0% - - 4 560 000 - - 4 499 386 - #DIV/0! 102 342 655 - 951 275 - 0.2% 24.1% -36.5% 10 287 339 - - - - - 23 260 345 93.0% - - - - 111 583 679 111 583 679 100.0% - - - - 25 000 000 25 000 000 100.0% - - - - - - - - 91.2% - - - - 5 511 049 71.5% - - - - 321 021 343 96.9% -36.5% 10 287 339 - - - - - - - - - - - - - IRT:WestCoastCorridor:EFF - - - - - - - IRT: Project Of f ice - - -0 4 000 000 1 089 396 27.2% 228 213 -19 070 -8.4% - -8.4% - 247 529 247 529 100.0% 4 000 000 1 089 396 27.2% 228 213 -19 070 225 547 529 223 793 065 99.2% 863 309 723 793 184 532 91.9% 669 055 724 393 485 510 0.0% 292 486 646 - - 6.6% 60.3% 1 214 624 148 100.0% -3 693 819 0.0% 434 674 - 10 128 339 0.0% 275 148 934 - - 38.7% - - - 247 529 C05.00951-F1 - -3 693 819 50 177 314 EFF 31 714 000 10 128 339 - 97.5% 0.0% 96.7% IRT:PropertyAcquisition:CRR- 43 860 316 - 64 453 192 - - 264 263 172 66 682 409 - - 86.9% 397 198 399 CRR BRT SystemC09.00497-F2 45 000 000 183 861 872 658 699 172 IRT: Traf f ic Management 15 000 Centre: 000 CRR14 998 601 96.2% - 7 111 659 - 89.2% IRT:Integr Rapid Transit Syst(Ph1A) - 28 861 715 - 64.4% - 471 073 793 CRR BRT SystemC09.00486-F2 100.0% - 15 009 772 528 160 039 CRR BRT SystemC09.00313-F2 Total CRR BRT Sys te m - 23 314 223 58.8% 1 224 911 487 292 486 646 23.9% Page 27 of 70 Table 7.4: 2008/2009, 2009/2010 & 2010/11 (December 2011) Grant-Funded Operating Projects (due to time constraints data is based on Dec. 2011 information) 2008/2009 2009/2010 2010/2011 2011/2012 Category WBS Project Description NG DOT PTI&SG G09.00068-F1 Integrated Rapid Tra 1 875 472 10 743 484 NG DOT PTI&SG G09.00097-F1 IRT:Prov of Prof Ser 1 651 103 2 000 000 - - - - NG DOT PTI&SG G09.00099-F1 IRT:Prov of Prof Ser 10 403 662 4 999 121 - - - - NG DOT PTI&SG G09.00100-F1 IRT:Prov of Prof Ser 6 321 511 3 000 000 - - - - NG DOT PTI&SG G09.00101-F1 IRT:Prov of Prof Ser 1 616 594 1 491 694 - - - NG DOT PTI&SG G11.00005-F1 IRT: Project Management - - 16 500 000 NG DOT PTI&SG G11.00031-F1 IRT: Compensation & Scrapping Allow ance - - 10 176 575 NG DOT PTI&SG G11.00010-F1 IRT: Property Lease - - 6 378 894 6 378 893 100.0% 950 000 NG DOT PTI&SG G11.00032-F1 IRT: Operating Management Unit - - 51 546 095 2 831 051 5.5% 159 503 028 10 605 752 6.6% Total NG DOT PTI&SG IRT Progress Report No 24 Actual Actual Current Budget 19 136 180 Actual 18 191 590 981 640 - % Spend 95.1% Current Budget 12 979 111 5.9% 14 500 000 0.0% 10 176 575 Actual 12 322 227 % Spend 94.9% 110 726 0.8% - 0.0% - 0.0% 21 868 342 22 234 299 103 737 744 28 383 174 27.4% 198 108 714 23 038 706 11.6% 21 868 342 22 234 299 103 737 744 28 383 174 27.4% 198 108 714 23 038 706 11.6% V4.2 January 2012 Page 28 of 70 Table 7.5: 2008/2009, 2009/2010 & 2010/11 (December 2011) Project Office (due to time constraints data is based on Dec. 2011 information) 2008/2009 Cost Centre Subjective Category 2009/2010 2010/2011 Category Departm ent Expenditure IRT: Implementation 19070167 Salaries & Wages - - Expenditure IRT: Implementation 19070167 Social Contributions - - Expenditure IRT: Implementation 19070167 General Expenses Expenditure IRT: Implementation 19070167 Contracted Services Expenditure IRT: Implementation 19070167 R+M (Primary) Expenditure IRT: Implementation 19070167 Secondary Actual Current Budget Actual 2011/2012 Actual 8 975 000 - % Spend 5 225 837 398 093 58.2% Current Budget Actual % Spend 16 936 161 8 291 618 359 128 179 564 50.0% 48.3% 2 976 957 7 156 157 240.4% 2.6% 1 662 771 826 378 #DIV/0! 49.0% 22 618 052 39 709 150 49 108 237 23 736 885 2 305 700 13 589 116 11 003 909 288 215 5 904 18 685 19 996 487 481 420 748 592 902 611 427 797 916 72.2% 818 748 880 221 678 117 27.1% 44 926 143 534 737 698 661 989 757 457 453 613 69.1% 840 683 897 238 175 707 28.3% 6 875 000 3 295 173 47.9% 27 306 728 6 483 855 - 6 667 #DIV/0! - 43 873 49.7% #DIV/0! Expenditure IRT: Operations 11120010 Salaries & Wages - - Expenditure IRT: Operations 11120010 Social Contributions - - Expenditure IRT: Operations 11120010 General Expenses - - Expenditure IRT: Operations 11120010 Contracted Services - - - 2 865 757 #DIV/0! Expenditure IRT: Operations 11120010 R+M (Primary) - - - 33 655 #DIV/0! Expenditure IRT: Operations 11120010 Secondary - 86 951 205 525 154 26 959 054 13.1% 756 794 596 112 795 852 14.9% - 86 951 272 051 749 61 002 237 22.4% 953 353 773 171 112 595 17.9% 534 824 649 934 041 506 518 455 850 55.5% 1 794 037 670 409 288 302 22.8% Total Expenditure 44 926 143 - 59 651 595 27 813 668 46.6% 188 940 7 087 600 -3 384 250 162 164 849 55 028 198 - - 23.7% #DIV/0! -47.7% 33.9% #DIV/0! 19070167 User Charges - - #DIV/0! IRT: Implementation 19070167 Operating Grants 21 868 342 22 234 299 45 962 146 24 685 586 53.7% - - #DIV/0! Revenue IRT: Implementation 19070167 Capital Grants 19 983 113 471 073 793 527 494 624 373 541 843 70.8% - - #DIV/0! Revenue IRT: Implementation 19070167 Secondary 41 851 455 493 308 092 -1 #DIV/0! - IRT: Implementation - 2 415 569 #DIV/0! Revenue - - 34 931 Revenue - - - #DIV/0! 780 082 262 207 778 581 26.6% 26.6% 573 456 770 400 642 997 69.9% 780 082 262 207 778 581 105 600 000 14 744 485 Revenue IRT: Operations 11120010 User Charges - - 2 562 600 4 553 783 177.7% Revenue IRT: Operations 11120010 Operating Grants - - 73 214 093 1 390 608 1.9% Revenue IRT: Operations 11120010 Capital Grants - - 131 204 548 22 498 892 Revenue IRT: Operations 11120010 Secondary - - - - - 1 627 399 17.1% #DIV/0! - 14.0% - #DIV/0! - #DIV/0! 742 472 226 95 793 941 12.9% 206 981 241 30 070 682 14.5% 848 072 226 110 538 426 13.0% Total Revenue 41 851 455 493 308 092 780 438 011 430 713 679 55.2% 1 628 154 488 318 317 007 19.6% Net Cost to Rates -3 074 688 -41 516 557 -153 603 495 -87 742 171 57.1% -165 883 182 -90 971 295 54.8% IRT Progress Report No 24 V4.2 January 2012 Page 29 of 70 Table 7.6: 2008/2009, 2009/2010 & 2010/11 (December 2011) Operating & Estimated Revenue Costs (due to time constraints data is based on Dec. 2011 information) Category Detail 2010/11 Plan (R m ) gl's 2010/11 Actual (R m ) 2011/12 Plan (R m ) 2011/12 Actual (R m ) Operating Costs Milestone 0 401200, 401300, 401500, 411800, 414360, 455100 & 655100 33.3 14.0 141.7 - - Milestone 2 - - - - Start Up Cost 6.0 - - - IRT Operations Staff (ME) - - Total Operational Cost 39.3 46.1 59.1 Milestone 1 13.0 - - 14.0 200.8 59.1 14.8 Estim ated Revenue Milestone 0 5.6 4.6 28.4 Milestone 1 810850 & 810880 - - 26.2 Milestone 2 - - - - Events & Charters Income 0.4 - 6.0 - Advertising - - 3.0 Total Estim ated Revenue 6.0 4.6 63.6 14.8 9.5 67.6 44.3 - 69.5 Operating Deficit (Rates) 33.3 Operating Deficit (PTI&SG) IRT Progress Report No 24 - V4.2 January 2012 - - - Page 30 of 70 8. Master Programme The summary sheet indicated below is based on the MASTER PROGRAMME Rev K – September 2011. This indicates the revised completion dates (Target Dates) of infrastructure. These revised milestone dates are indicated in comparison with the dates contained in the October 2010 Business Plan. The revised programme takes the current status of the workstreams into account. The team is in the process of identifying mitigating solutions to ensure that Phase 1A is delivered by the original completion date of September 2013. A comparison with the approved baseline programme yields the following summary results: DESCRIPTION VEHICLE OPERATOR APPOINTMENTS STATUS Behind 4 weeks NOTES Long-term contract negotiations delayed STATION MANAGEMENT SERVICES Start of tender process delayed VEHICLE ACQUISITION Behind 4 weeks On track LAND PROCUREMENT On track In line with Master Programme TRANSPORT MANAGEMENT CENTRE CCC - DESIGN CCC – CONSTRUCTION & IMPLEMENTATION Complete On track Behind 3 weeks In line with Master Programme Potential delay to equipment Feeder vehicle appointment imminent AFC - DESIGN Behind 2 weeks Design decisions delayed AFC – CONSTRUCTION & IMPLEMENTATION Behind 4 weeks Potential delay to equipment EIA / PLANNING APPROVAL On track EIA process on track ATLANTIS CORRIDOR – DESIGN (HHO) ATLANTIS CORRIDOR – CONSTRUCTION On track Behind 3 weeks Behind 2 weeks Behind 4 weeks In line with Master Programme Minor delays to civil construction projects Delayed consultant appointments and budget approvals Delayed due to delayed consultant appointments and unforeseen services INNER CITY DESIGN (GIBB) INNER CITY – CONSTRUCTION STADIUM CIVIL WORKS (NS / AURECON) AIRPORT CIVIL WORKS (ASCH / ILISO) SUPERSTRUCTURES - TRUNK STATIONS & CLOSED FEEDERS Complete Complete On track NMT INTEGRATION On track Inner-city superstructures behind schedule, but will finish on time Milestone 1 In line with Master Programme Current variances for dates of Milestone 1-4 have been fully detailed in the Quarterly Progress Report No. 23. Page 31 of 70 IRT Progress Report No 24 V4.2 January 2012 Page 32 of 70 IRT Progress Report No 24 V4.2 January 2012 Page 33 of 70 IRT Progress Report No 24 V4.2 January 2012 IRT Progress Report No 24 40% 3 Overall Progress - Awarded Contracts HHO HHO HHO HHO > Racecourse Road - Montague Gardens (128 Q) > Atlantis & Melkbos (262 Q) > Potsdam Road > Blaauwberg Road V4.2 GIBB GIBB GIBB GIBB > Adderley Street > Gardens Centre > V&A Waterfront > Queens Beach January 2012 HHO > Inner City Feeders > Atlantis & Melkbos Feeders HHO HHO GIBB > IRT DEPOT - Stables > IRT DEPOT - Atlantis > IRT DEPOT - Inner City Final design IRT DEPOTS HHO GIBB > Tableview Feeders FEEDER STOPS GIBB > Thibault Square (Hans Strijdom & Heerengracht) (86 Q) INNER CITY CONTRACTS HHO > R27 North - Sandown & Sunningdale (112Q) BALANCE OF THE ATLANTIS CORRIDOR CONTRACTS DESIGN & TENDER DESCRIPTION PROGRESS ON AVERAGE 77% Planned 31-Jan-12 2 Overall Progress - Design of new contracts 1 Report date OVERALL PROGRESS 1 3 2 3 1 2 1 1 1 1 1 4 4 3 2 3 MILESTONE 43% 76% Actual ► ► ► ► ► ► ► ► ► ► ► ► ► ► ► ► TENDER TENDER CONSTRUCTION CONSTRUCTION CONSTRUCTION CONSTRUCTION PRE- TENDER PRE- TENDER(EIA?) COMPLETE PRE-TENDER(HIA) COMPLETE CONSTRUCTION TENDER CONSTRUCTION COMPLETE COMPLETE 85% 100% 100% 100% 100% 100% 0% 0% 100% 0% 100% 100% 54% 100% 100% 100% PROGRESS PLANNED STATUS 'Master Rev K, Septermber 2011 62% 100% 100% 100% 100% 100% 0% 0% 100% 0% 100% 100% 54% 100% 100% 100% PROGRESS CURRENT -44 0 0 0 0 0 0 0 0 AHEAD/ BEHIND WORK DAYS Progress Measured against Intergrated Rapid Transit System Phase 1A Programme NOTE 9.1 ATLANTIS CORRIDOR & INNER CITY - CONTRACT PROGRESS SUMMARY INTEGRATED RAPID TRANSIT SYSTEM - PHASE 1A Page 34 of 70 9. Infrastructure Design and Construction Summary Status The status of IRT Phase 1A Infrastructure within the Inner City and Atlantis Corridor is indicated below: IRT Progress Report No 24 40% 3 Overall Progress - Awarded Contracts 13 HHO HHO HHO HHO > Racecourse Road - Montague Gardens (128Q) > Atlantis & Melkbos (262Q) > Potsdam Road (420Q) > Blaauwberg Road GIB B GIB B GIB B > Gardens Centre > V&A Waterfront > Queens Beach V4.2 A LL A LL A LL > Trunks Stations( Omuramba, Ascot, Table View Feeder) > Trunks Stations (Sandown, Sunningdale, Melkbos, Atlantis) > Trunks Stations (Potsdam & Blaauwberg) HHO > Inner City Feeder > Atlantis & Melkbos Feeders January 2012 HHO HHO > IRT DEPOT - Stables > IRT DEPOT - Atlantis IRT DE P OTS HHO GIB B > Table View Feeder FE E DE R S TOP S A LL > Trunks Stations(Civic 2&3, Thibault,Adderley Gardens, V&A, Queens) TRUNK S TA TIONS GIB B > Adderley Street B US WA Y INNE R CITY CONTRA CTS HHO > R27 North - Sandown & Sunningdale(112Q) B US WA Y B A LA NCE OF THE A TLA NTIS CORRIDOR CONTRA CTS > IRT DEPOTS - Inner City - Next phase CIV IC TO TA B LE V IE W TRUNK CONSTRUCTION DESCRIPTION PROGRESS ON AVERAGE 77% Planned 31-Jan-12 2 Overall Progress - Design of new contracts 1 Report date OVERALL PROGRESS 3 2 3 1 2 4 3 2 1 1 1 1 1 4 4 3 2 3 0 M ILESTONE 43% 76% Actual ► ► ► ► ► ► ► ► ► ► ► ► ► ► ► ► ► ► ► CONSTRUCTION CONSTRUCTION CONSTRUCTION CONSTRUCTION CONSTRUCTION TENDER PART CONSTRUCTION CONSTRUCTION PART CONSTRUCTION PRE-TENDER PRE-TENDER CONSTRUCTION PRE-TENDER CONSTRUCTION TENDER CONSTRUCTION CONSTRUCTION CONSTRUCTION CONSTRUCTION 09-Jan-12 04-Mar-11 28-Sep-11 17-Aug-11 29-Jul-11 04-Jul-12 01-Sep-11 01-Sep-11 01-Nov-10 14-Sep-11 31-Aug-12 09-Jun-11 17-Sep-12 09-Sep-11 01-Mar-12 25-Oct-11 20-Feb-11 14-Jan-11 02-Mar-12 S TA RT 30-Nov-12 21-Mar-12 03-Aug-12 19-Jun-13 26-Oct-12 30-Apr-13 22-May-12 28-Feb-12 29-Aug-12 29-Jun-12 29-May-13 23-Mar-12 26-Jul-13 08-May-13 15-Jul-13 23-Jul-12 05-Sep-12 04-Jun-12 31-Oct-12 E ND CONTRA CT CONTRA CT 40 P E NDING E OT STATUS 0% 94% 0% 26% 44% 0% 0% 0% 33% 0% 0% 91% -81% 0% 0% 0% 64% 80% P ROGRE S S P LA NNE D 8% 90% 45% 9% 44% 0% 0% 0% 27% 0% 0% 69% 0% 0% 0% 0% 65% 80% P ROGRE S S CURRE NT 0 -11 -78 1 0 0 0 -16 0 0 -40 164 0 -42 0 1 A HE A D/ B E HIND WORK DA Y S Progress Measured against Intergrated Rapid Transit System Phase 1A Programme 'Master Rev K, Septermber 2011 NOTE ATLANTIS CORRIDOR & INNER CITY - CONTRACT PROGRESS SUMMARY INTEGRATED RAPID TRANSIT SYSTEM - PHASE 1A Page 35 of 70 Page 36 of 70 9.2 Design and Planning Progress Bus Lanes Potsdam Road: Although construction is scheduled to start in March 2012, the removal of illegal overhead electrical connections across the roadway is required first. The City will liaise with ESKOM, who is currently busy with an electrification programme for both Du Noon and Doornbach. The relocation of small number of dwellings, a row of toilets and a few spaza shop containers will be carried out at the same time as the overall construction programme. Trunk & Feeder Stations Adderley Street closed feeder station – The Heritage Impact Assessment for the proposed station and the relocation of the Cenotaph was discussed at the Heritage Western Cape (HWC) Impact Assessment Review Committee (IARCOM) on 15 June 2011. The HWC required that application be divided into three applications, as follows: o Application under National Heritage Resources Act (NHR Act) Section 34: Proposal to dismantle the Cenotaph. o Application under National Heritage Resources Act (NHR Act) Section 27: Proposal to reassemble the Cenotaph on a Provincial Heritage site, i.e. the Parade. o Application under NHR Act Section 38: (1)(c)(i) HIA necessary due to proposed change of character, as the site is over 5000 m²; assess the impacts of the proposed bus stations on the Adderley street site. In principle, HWC had no objection to the dismantling of the Cenotaph or its reconstruction on the Parade. Heritage consultant Bridget O’Donoghue has been appointed. As part of the HIA process, HWC requested a method statement for the relocation of the Cenotaph. Two quotations for compiling this detailed method statement have been received and a specialist subconsultant has been appointed. The original programme indicated that a photomontage and the detailed method statement for relocating the Cenotaph would be submitted as part of the application in November 2011, with the ROD expected during January 2012. However, various delays have prevented the consultant from completing the submission and the latest review indicates that a ROD can be expected by May 2012. Considering design and contractor procurement processes, construction is expected to start in July 2012 and completion is expected during September 2013. Queens Beach Station: The concept layout plan showing two low-floor platforms and closed feeder stations on the left-hand side of Beach Road, outside the Peninsula Hotel, has been approved by the City. The City town planners have waived the advertisement of the application, and the plans for the Queens Beach Closed Feeder Station were approved in terms of Section 15 of the Land Use and Planning Ordinance, as of 19 Oct 2011. Detail design is in progress and can commence on site as soon as information is available for construction the works. Gardens Station: The Town Planning application was advertised in May and two objections have been received, one from a neighbour and one from the Ratepayers Association. We have officially responded to the objectors and have submitted this response to the Council’s planning office. A subsequent application for the establishment of shops at the IRT station has been approved, subject to the following significant restrictions: o The commercial element is limited to a single shop (Max area 52sqm) o The shop can only be accessed from inside the IRT station. The reason for this decision is that, in their opinion, there is no need for a second shop and one shop is “more viable”. They were also concerned that shops in the median, which can be accessed from outside the station, will generate additional undesirable pedestrian traffic to the centre median. Our argument is that having two shops, accessible from the street and from within the station, will greatly improve the viability and will ultimately reduce the Council’s ‘rate bill’. Precedents exist for shops at other major public transport facilities, such as Cape Town rail station, and a counterargument could be built upon this basis. Our town planning consultant has been instructed to lodge an appeal with the City’s internal appeal committee, in terms of the MSA, by February 2012. IRT Progress Report No 24 V4.2 January 2012 Page 37 of 70 V&A Waterfront Station: A workshop must be arranged to agree on the design and apportionment of construction cost of the trunk stop between the City and V&A Management. Once this agreement is reached, construction can commence. Feeder Bus Stop Shelters: A bus stop design workshop is to be arranged to agree on the design of the V&A Waterfront stops. A number of objections to the introduction of feeder bus routes and the location of certain bus shelters have been received from Camps Bay and Clifton residents. Meetings have been held with objectors and their associated Ratepayers Associations. Although certain affected individuals remain strongly opposed to the proposals, the meeting with the Ratepayers Associations was well received, and they are by and large in favour of MyCiTi. In addition, a public meeting was held on 23 November 2011, at which the proposed MyCiTi bus routes in Camps Bay were presented. Following the presentation, those present were given an opportunity to ask questions and raise concerns. It was agreed that records of the questions-and-answers session would be posted on the Camps Bay Ratepayers Association website. Group 5, the contractor for the Inner City bus stop infrastructure, has formally notified the City of a 60-day contractual delay. An Extension of Time Claim was issued in accordance with the General Conditions of Contract. The following events form the basis for the Contractor’s claim: o Bus stop construction works were placed on hold to resolve objections received from residents o The relocation, omission and cancellation of a number of bus stop locations, due to residents objections o An additional topographical survey was required for new bus stop locations o New bus stop location designs resulted in a late delay in issuing of drawings to the contractor. We can record that GIBB has adjudicated the above EOT claim and has recommended the award of 16 days’ extension (with cost) to Group 5. A further award was not possible as the contractor was found to have been time-barred on their notification of delay. A public notification process has commenced, and information relating to the permanent feeder stops and routes is available at local libraries including Central (Darling Street), Sea Point, Woodstock and Hout Bay, as well as at http://www.capetown.gov.za/en/MyCiTi/Pages/Routes.aspx Depots Inner City Depot: The City has yet to obtain a signed lease agreement from Autopax for the extended lease period expiring on 31 March 2012. However, Autopax has paid some of the rental due. PRASA, acting on behalf of Autopax, has confirmed that a suitable depot site has been secured, occupation of which occurs on 1 March 2012. Autopax has requested a two-week extension to their lease. This proposal was rejected by the City unless Autopax agrees to pay the resultant delay costs to the City caused by the late relocation. The first 60 feeder buses are expected to arrive in April 2012 and remainder of the Inner City Fleet is expected to arrive by August 2012. The construction of Phase 2 depot facilities is unlikely to be completed before the delivery of all of the buses and the Milestone 1 operational date. Completion for the Inner City depot, Phase 2, in sections, has been specified in the relevant tender documentation. Compliance with Sustainable Urban Drainage regulations for local improvement of stormwater runoff quality with regards to the reduction of Total Phosphorous and Suspended Solids, will be implemented through the use of permeable paving. The concept plan has been approved by the City, with the SDP being finalised for signature by the City. The recent award of the Feeder Bus contract, as well as the possibility that buses could arrive as early as April 2012 and the Inner City Feeder Bus Service starting as early as October 2012, requires an operational depot by September 2012. Hence the tender was advertised on 18 November 2011 and closed on 19 January 2012. It is now being under adjudication. The contract is scheduled to commence in April 2012. Atlantis Depot: The allocation of vehicle fleet and future route kilometers will be based on the Vehicle Operators’ current market share and their performance. Hence, the number of buses to be accommodated at various depots may change in the future. The team is confident that there is currently enough allowance at this depot to cater for future staging needs. Staff access, parking and changes required to comply with IRT Progress Report No 24 V4.2 January 2012 Page 38 of 70 new fire regulations have been incorporated into the design post tender and included in the SDP, which has now been submitted. 9.3 Construction Progress Bus Lanes 112Q (R27 North Sandown & Sunningdale) - on programme. 128Q (Racecourse Road & Montague Gardens) - on programme. Due to eight Variation Orders, the contractor has submitted EOT’s and subsequent 54 days have been granted. 262Q (Atlantis and Melkbos Busway) – Contract commenced on 28 October 2011 and is currently on programme. 437Q (Blaauwberg Road) – has been awarded to Martin and East and is on programme. 154Q Potsdam Road – Re-tender BAC is scheduled for 23 January 2012, and construction should commence in March 2012. Inner City Civil works and tender processes for Adderley, V&A and Queens Beach are dependent on resolutions as mentioned above. IRT trunk stations Civic Closed Feeders and Zone 3 Entrance – The completion date has been revised due to the City’s introduction of a mezzanine slab for future operator accommodation. Work is now scheduled to be completed by June 2012 and is currently 20 days behind programme. Sandown, Sunningdale, Omuramba and Ascot stations works have now commenced. Open Feeder Stops: 391Q (Inner City Feeder Stops) – contract has been awarded to Group 5. One EOT has been submitted as noted above. 375Q (Table View and Millerton) – contract has been awarded to Civils 2000 and is currently on programme. 469Q (Atlantis) – contract has been awarded to Exeo and is currently on programme. Depots Stables Depot: Note that the City has decided not to impose penalties on the contractual sectional handover dates and has agreed on revised handover dates without penalties or cost on certain areas. The overall completion date of 21 March 2012 has not been effected. Notification to inspect the first sections of work is awaited from the contractor. Atlantis Depot: Works commenced on 9 January 2012, on programme. The expected completion date projected for these works is December 2012, as part of Milestone 3A. Inner City Depot: The Inner City Bus Depot Phase 2 Tender was advertised on 18 November 2011, and the tender closed on 19 January 2012. The project is projected to commence in April 2012. 9.4 Land Acquisition Atlantis Depot: Andre Human confirmed that Erf 6189, Atlantis, is owned by the City and can be reserved to construct a bus depot. Securing land for the future expansion of the IRT depot facilities onto the Sibanye site (Erf 6167) is required. It was agreed that Andre Human would lead the future negotiation process with the owners of Erf 6167 (Atlantis), in collaboration with Ron Haiden, Abdul Bassier, Dawie Bosch and Nico McLaghlan. Francois Meyer of GABS believes that proposals to build a new MyCiTi Depot directly adjacent to the existing Sibanye Depot is a ‘waste of tax payers money’, since MyCiTi operations will displace current bus services, making the existing depot redundant. These concerns have been communicated directly to Cllr Brett Herron. The City is of the opinion that a significant proportion of existing Sibanye bus services will not be replaced by the MyCiTi services and that the existing depot facilities are not suitable for their new fleet of some 90 buses. IRT Progress Report No 24 V4.2 January 2012 Page 39 of 70 Wood Drive Park & Ride: Andre Human agreed that the three properties at the intersection of Wood Drive and Blaauwberg Road may be reserved for IRT Park and Ride facilities. The widening of Wood Drive is to be reviewed as part of the design process for the Park and Ride facilities. The process of reserving City-owned land, Erf 6167, is being led by Pieter Strumpher. Culemborg: Transnet has signed the wayleave agreement allowing the BRT vehicles to pass over Transnet land, but this is limited to two years and is non-renewable. During this period it will be necessary to investigate options including building an alternative route and expropriating the required land. Transnet has submitted a draft development framework for the development of Culemborg, and vehicular access shall be addressed as part of this submission. Bayside Fuel Service Station: Acquisition of this service station site on the corner of Raatz and Blaauwberg Road is required in order to channel pedestrians to and from the taxi facility. This requirement is now supported by Maddie Mazaza, and Property Management is now facilitating negotiations. The gravel parking area in Hout Bay (Erf 33-315), just south of the Princess Road-Victoria Road traffic circle, has been proposed as a night-time staging area. The public toilets block and law enforcement office buildings are owned and managed by the City. A recent site inspection has shown that the available area for overnight staging has been reduced due to the encroachment of the sand dunes. 9.5 Health & Safety Road Safety Audit: In light of a number of pedestrian-bus accidents, a detailed Stage 6 Road Safety Audit has been commissioned to access the safety of NMT facilities, signals and intersections along the completed IRT corridor between Ganger Bay and Table Bay Boulevard. Three quotes were received and the work has been awarded to BMK Engineering. The final report is currently being reviewed by officials, after which a number of remedial measures will be considered for implementation. It should be noted that many of the issues raised in the audit report are similar to those raised during audits of BRT systems in Europe, particularly during the initial introduction of these facilities, when road users are still getting accustomed to the new road layout and operation. 9.6 Operational Handover of Infrastructure to City service departments Street Lighting: IRT lighting infrastructure has been handed over to the City’s public lighting department for operational maintenance. All street lighting between the Civic and Table View Stations, with the exception of the section between Otto du Plessis and Blaauwberg Road, has been handed over. 10. System Planning 10.1 System Plan A comprehensive systems plan has been developed for Phase 1A of the IRT project, and this continues to undergo review and refinement as revealed demand and behaviour comes to the fore. This iterative process, which is informed by work being done in parallel work streams, has led to a review of the MyCiTi fleet requirements and service operating regimes. with beneficial results thus improving the overall effectiveness and efficiency of the system. This report gives an executive status quo summary of the Phase 1A system plan as at January 31, 2012. IRT Progress Report No 24 V4.2 January 2012 Page 40 of 70 10.2 Milestone “0” Interim Service In summary, the Table View trunk service continues to grow steadily. A comprehensive survey (as mentioned in the previous progress reports) of Milestone 0 operation took place on the December 6, 8 and 9 last year to analyse, evaluate and report on the change in travel behaviour along the R27 since the introduction of this service. The findings of this evaluation are currently being discussed and finalised and will be documented in future progress reports. Further details of the current operations are reported in Chapter 12 of this document. Proposed improvements to Milestone 0 The following system routing amendments were made for Milestone 0 to improve system operational efficiency: 1. Gardens to Waterfront Interim feeder route a. For the Civic to Waterfront segment of this route, a more direct route using the Hans Strijdom and Western Boulevard Roads is proposed. This allows for the utilisation of the dedicated infrastructure along Heerengracht, around the fountain circle and along Hans Strijdom Road, including the Thibault trunk station. 2. Table View interim feeders a. Although there is no significant change to the roads being used by the interim feeders, there are proposals to amend service operations in an attempt to address the challenges passengers have experienced along Gie Road. The impacts of these changes are currently being investigated and will be reported upon in future progress reports. 10.3 MyCiTi Tariffs for 2012 / 13 Financial Year The plan for the finalisation of the 2012/13 tariffs are as follows: The broad overarching objectives for setting the tariffs are: The primary principle of this Fare Policy is that the fare structure and level should seek to minimise the need for an operational subsidy required for the Integrated Rapid Transit System, whilst concurrently supporting the social and economic developmental objectives of the City, such as providing an effective, affordable and accessible public transport service for all in the City, including low income passengers. IRT Progress Report No 24 V4.2 January 2012 Page 41 of 70 A secondary principle, one that applies to the initial establishment of a new fare structure and system, is that the new fares payable should be comparable with those experienced by users of the modes replaced by the IRT system. In addition, the National Department of Transport requires that the vehicle operator cost be covered by the fare box or subsidised by the City. IRT Progress Report No 24 V4.2 January 2012 Page 42 of 70 Milestone Description of services provided Programme Dates Updated Plan Milestone 1 plus The permanent Inner City feeders Interim feeders in Table View will continue in support of this milestone Dec 2011 Oct 2012 Plus: Permanent Table View feeders to serve the R27 trunk and provide a distribution service within the Table View area. Temporary Du Noon – Montague Gardens - Century City - Woodbridge feeders Trunk into Montague Gardens Feb 2012 Dec 2012 Plus: Trunks to Atlantis, with connection to Melkbosstrand Feeders within Atlantis serving trunk and local travel needs July 2012 Feb 2013 Appeal against the award of R27 north trunk contract Plus: Trunk from Table View to the CBD is extended from Table View to Du Noon. Sep 2013 Nov 2013 The Potsdam Road tender had to be retracted, due to a substantial scope change to this section of the project as a result of the implications to relocate informal dwellings from the affected road reserve. Milestone 1 Milestone 2 Reasons Business Plan Delay in award of AFC and CCC contracts (appeals) Expected delay in negotiating VOC long-term contracts Delays to closed feeder projects, due to stakeholder, heritage and EIA constraints Longer than anticipated construction period for Racecourse Road contract. Milestone 3 Milestone 4 IRT Progress Report No 24 V4.2 January 2012 Page 43 of 70 10.4 Phase 2A: Metro South East Phase 2 is defined as the Metro South East (MSE) area and is responsible for the majority of the total public transport activity in the metropolitan area. Years of planning, research and investigation have identified critical missing transport links in the public transport system serving the MSE, which could be served by BRT. These missing links and the impact thereof are clearly shown in the figure below. The thick black lines show the rail system (the city’s transport backbone) in terms of utilisation over capacity. The Khayelitsha-to-CBD rail service is running at over capacity (red shade) until it connects with the northern lines towards Bellville and the southern lines towards Claremont and Wynberg. This dynamic identifies the actual desire for movement towards the Bellville and Wynberg/Claremont area but, due to the lack of a direct transport links to these areas, commuters travel a roundabout way to their final destination. It is therefore planned that BRT would be implemented to address these critical public transport missing links, as schematically shown above. Over time, the road-based public transport demand between the MSE and the Cape Town CBD has grown significantly. This is due to passengers moving from rail to both bus and mini-bus taxi services, because of the lack of capacity and passengers’ perceived safety and security concerns on the rail system. Until these concerns have been addressed, there will always be a requirement to provide a road-based public transport alternative to the CBD. Accordingly, PRASA has responded in its recent Rail Plan by identifying the Chris Hani (Khayelitsha) to CBD rail service as a ”modernisation and demonstration” project. Until then, an interim express BRT service could be considered and, if found to be practical. Be fully operational within the 2013/2014 financial year. The feasibility of this express service will be evaluated in the context of the full phase IRT roll-out. Any infrastructure built and fleet procured for this express service will be common for future MSE trunk services and therefore will not result in abortive expenditure. The express services must be planned together with the development of transport corridors, which could include: MSE to Wynberg/Claremont N2 Corridor (Incl N2 express, Klipfontein and Main Road) Symphony Way MSE to West Coast via Nigeria Way and Jan Smuts Drive IRT Progress Report No 24 V4.2 January 2012 Page 44 of 70 Please note that the above proposals are conceptual only and subject to further detailed investigation. The brief for professional services for the system planning and design of Phase 2 and beyond has commenced and is currently being finalised, with the scheduled award planned towards the end of the first quarter of 2012. Initial engagement with existing MSE bus operators indicates that industry transition is a possible challenge regarding the rapid implementation of the MSE express service to the CBD. The technical engagement with the District Six development team resulted in the agreement on possible opportunities of extending one of the MSE future trunks through the CBD to the District Six area using Keizergracht. 11. Business Development 11.1 Introduction The business development work stream is primarily responsible for planning the process of operating MyCiTi, including the preparation of major operational tenders and the contracting of the MyCiTi service providers, as well as for the procurement of the technology systems. It is also responsible for integrating the operations and the infrastructure work of the IRT from an operations perspective, and for planning the MyCiTi system from a business point of view (for example, discussion with the IRT System Planning work stream). The contracted and to-be-contracted MyCiTi service providers include the Vehicle Operating Companies, the Station Management Contractor, the Control Centre and Automated Fare System Contractors. The technology systems being procured include: The MyCiTi buses and related technology; The control centre equipment i.e. tracking systems, information and communication systems and associated intelligent transport systems (ITS) and supporting information technology systems; The automated fare management systems, i.e. fare validation systems and gates, fare media electronic smartcards and supporting information technology systems. 11.2 Amendments to the Business Plan The Business Plan for Phase 1A was approved by Council in October 2010. Council approved two sets of amendments subsequently, and these are available from http://www.capetown.gov.za/en/irt, by clicking on Business Plan and then on Amendments to the Business Plan. There have been no amendments to the Business Plan within the reporting period. 11.3 Vehicle Procurement Contracts (VPCs) The MyCiTi vehicle fleet for Phase 1A is being procured through three procurement contacts: An order has been placed for the acquisition of 10 x 12-metre, high-floor trunk vehicles and delivery will take place over a two-week period commencing February 16, 2012. An in-production inspection of the vehicles under manufacture at Marco Polo’s factory in Germiston was undertaken by the IRT project and the City’s Technical Services staff in December 2011. A follow-up quality assurance inspection is planned for February 13, 2012. A contract for the supply of 190 x 9-meter, low-entry feeder buses has been awarded. The buses will be supplied in a CKD (complete knockdown) kit form and will be assembled in Elsies River, providing local employment opportunities. A further offshoot of this award is that the factory in Elsies River will commence the manufacture of bus body components for export. Delivery is anticipated to commence in May 2012 IRT Progress Report No 24 V4.2 January 2012 Page 45 of 70 (subject to shipping not being delayed), and delivery will continue over a period of 13 months. A representative from the IRT Project Office and from the City’s Technical Services Department inspected the production prototype at Optare’s factory in Leeds, UK. The inspection visit was extremely beneficial in that a number of production issues could be resolved, i.e. placement of ITS equipment A tender is being prepared to procure the balance of the Phase 1A fleet, comprising 24 high-floor trunk buses. The advertising of the tender has been rescheduled for the first quarter of 2012, with delivery intended in 2013. Two issues which could significantly affect the procurement of the buses are the volatility in foreign currency and changes in legislation pertaining to local content. With regard to the current contracts, forward forex cover has been secured for the imported components, as per standard operating procedures. With regard to local content, this could affect delivery lead times, given that manufacturers may have to retool/equip their manufacturing plant to comply with new requirements. In response longer lead times for manufacture are planned for future vehicle contracts. Although regulations pertaining to local content were to be promulgated on 7 December 2011, this has been delayed. 11.4 Vehicle Operator Contracts (VOCs) The current MyCiTi starter services are provided by three companies, which were contracted in early May 2011: Company A: Transpeninsula Investments – owned by companies formed by the Central Unity Taxi Association, Peninsula Taxi Association and Vredehoek Devil’s Peak Taxi Association. Company B: Kidrogen, owned by companies formed by the Blaauwberg Taxi Association, Du Noon Taxi Association, Maitland Taxi Association, United Taxi Association and Ysterplaat Taxi Association, and by Sibanye Bus Services Pty Ltd.; Company C: Golden Arrow Bus Services Pty Ltd (GABS). These interim services are currently being monitored, as they provide insight for developing the long-term contracts with the VOCs. For a report on operations of the vehicle operators, see Chapter 13. During the reporting period, the process of drafting documentation forming the basis for negotiating the longterm Vehicle Operator (VO) contracts continued. The process of drafting a Prospectus, which will give the Vehicle Operators a detailed overview of the IRT structure in which they will be operating, also continued. It is expected that the Prospectus will be issued during the course of February 2012, and will introduce the final phase of negotiations of the long-term VO contract. 11.5 Fare Collection 11.5.1 Interim Paper Ticket System The paper ticketing system was phased out during January. 11.5.2 Automated Fare System: status of roll-out Two detailed reports on the roll-out of the Automated Fare Collection (AFC) system, including the myconnect contactless card, were submitted to the Portfolio Committee on Transport Roads and Stormwater and to MAYCO. The core of these reports is contained in Annexure 3. IRT Progress Report No 24 V4.2 January 2012 Page 46 of 70 11.5.3 Postponement of the scheduled MyCiTi fare increase In January 2012, Council approved recommendations to postpone the annual fare increases, which were due on 1 January 2012, and the fuel price-linked increases, which was due on 1 March 2012. This was done to avoid potential hardship for lower-income MyCiTi customers and a potential reduction in passengers, which would result in lower levels of income for MyCiTi. This decision of Council was also aimed at addressing the concern that the fare planned increases, which happened to coincide with the introduction of the AFC system (including the new myconnect card), would undermine public acceptance of the smartcard and the MyCiTi public transport system. Additional adjustments to the tariff were also introduced, to deal with the impacts of the smartcards prescribed by the new regulations issued by the National Department of Transport. These include the following: MyCiTi transit products, which are introduced: To reduce financial impact on passengers with respect to bank charges. No bank charges will be charged when passengers purchase transit products; To increase system revenue and ensure immediate transfer to the City’s bank account when these products are purchased. This will be implemented as soon as the MyCiTi Automated Fare Collection (AFC) technology is able to handle such transactions, with sufficient time allowed for appropriate implementation and customer communication once the technology is ready. In addition, Council approved a number of technical amendments related to the above and other matters. 11.6 Control Centre Contractor (CCC) Interim System Electronic tracking of all 42 MyCiTi buses continued, as part of the City’s Vehicle Fleet Management System, using NetStar. With respect to close circuit television (CCTV) surveillance, a total of 100 fully operational IRT cameras, installed outside the trunk stations and along the routes, also continue to be monitored on a daily basis by the City’s Strategic Surveillance Unit (SSU). Electronic Control Centre During January, the installation of equipment on prototype buses and stations continued. The aim of this is to test the system and finalise the relevant specifications. One of the prototype buses is being fully tracked (see red arrow on strip map forming part of the control centre system) and has full voice communication with the TMC. Design review regarding the prototype buses and stations is planned for February, after which the design will be implemented in all other buses and stations. 11.7 Station Management Contractor (SM) The Station Management tender was advertised on 4 November 2011 and the tender process is under way. The closing date has been extended to 6 March 2012. From the large number of documents issued and the significant number of questions received from tenderers during the tender period, it is evident that the interest in the project by the market is very strong and several competitive tenders are expected. Notice 1 and 2 were issued during November and December 2011, dealing with corrections and amendments to the tender documents, responding to questions by tenderers, and imposing additional requirements on tenderers. Notice 3 issued in January 2012 comprised an invitation to tenderers to visit the TMC, further to a request from one of the tenderers. Notice 4 was issued in late January 2012, this dealing with a wide range of issues in response to questions by tenderers. It also contained clarification on the restrictions on the formation of the tendering entity, largely to deal with the control of ownership of the SM contractor, prohibiting a IRT Progress Report No 24 V4.2 January 2012 Page 47 of 70 controlling interest by the VOCs and the AFC and control centre contractors in the SM tenderer. It was on the basis of these provisions that the contract period was extended to 6 March 2012. It is hoped that the contract will be signed (after dealing with possible appeals and the MFMA section 33 processes are complete) in July 2012 and that operations of the Station Management contract will commence on 1 October 2012. This is a month later than previously planned and is necessitated by the extension of the tender period. 11.8 Advertising on MyCiTi Infrastructure A tender for the management of MyCiTi advertising opportunities (Tender NO: 231I/2011/12) was published on 2 December 2011. The purpose and content of the tender was discussed in the previous report. The tender closes on 7 February 2012. 11.9 Further Focus Areas of Business Development Team During the reporting period, the Business Development Division also addressed the following: The tender for the supply of professional and specialised services, including the development of a business plan for future phases, closed during January 2012. The assessment of this tender is due to start as soon as Supply Chain Management has completed the initial assessment of the tenders. 12. Industry Transition 12.1 Surveys to Establish Market Share of Taxis & Buses/Compensation to Taxi Operators Final adjusted survey results were issued to all directly affected minibus-taxi operators and the two bus companies in November 2011. All adjusted survey results and fare revenue were agreed upon by all affected operators, including the one the City had to clarify with the one taxi association. All survey results have now been accepted as a true reflection of the operators’ business. This allowed the City to determine market share based on fare revenue, which was shared with operators on 18 November 2011. 12.2 Notice in Media re Affected Operators On 16 September 2011, the City published a formal notice in the press addressed to individual taxi operators and taxi associations, inviting those who considered themselves to be directly or partially affected to indicate the reasons why they consider themselves affected; and inviting holders of operating licences on listed routes to determine whether they are on the lists of affected operators, and to advise the City if they are not. The notice and related documents are available at www.capetown.gov.za/en/irt. 12.3 Steps towards Compensation The City has requested all directly affected taxi associations to hold special general meetings to decide formally on an allocation formula for the distribution of the compensation pots, once these are determined by the City and offered to each association. The Registrar of Taxi Associations has overseen these meetings. The associations were also required to submit proof to the City that at least the holders of 80% of operating licences IRT Progress Report No 24 V4.2 January 2012 Page 48 of 70 in the association support the allocation formula. This process has now been concluded with most of the associations. Thereafter the City’s compensation offers will be finalised. In order to finalise the compensation offers, the City planned to conduct a series of additional surveys, using selected operators, to determine specific cost inputs into the compensation model. These surveys have now been concluded on most of the routes and the results incorporated into cost model. 12.4 Surveys of Passengers on competing GABS routes The agreement between Golden Arrow Bus Services (GABS), the Province and the City provides that on routes overlapping with the MyCiTi starter services, occupancy rates must be surveyed and GABS routes with low occupancy levels should be discontinued. A survey of GABS routes overlapping with MyCiTi services was conducted in August 2011 and the results were reported previously. As a result of this process, 22 of the 56 trips per day operated by GABS in the area will be discontinued with effect from December/January. Another survey will be conducted early in 2012 to determine the occupancy rate at the time, which could result in further decisions to reduce GABS bus trips. 13. MyCiTi Operations 13.1 Summary of Passenger Numbers From the launch of the first MyCiTi routes in May 2010 until January 2012, over 2.6 million passenger journeys2 were made on the MyCiTi rapid transit system, many of these using the rapid bus service on the dedicated bus lanes. The total number of trips includes transport services during the Soccer World Cup, passengers using the MyCiTi service for events at the Cape Town Stadium, and those using event services offered with chartered buses. In January 2012 there were about 286 101 passenger journeys on regular services (excluding the airport and event services), which is slightly lower than in December but roughly the same as November (287 953), with an average of 10 810 passenger journeys on any weekday. In January, 11 282 airport trips were made, slightly lower than December but slightly higher than November (11 050). Up to the end of this month, 17 281 myconnect cards have been sold up. This is significantly more than expected. The highest day for card sales was 23 January, when 1 773 cards were sold. From the 27 January 2012, no further paper tickets were accepted, with the contactless cards fully taking over. For detail regarding the roll-out of the myconnect contactless card, see Annexure 3. 13.2 Airport Shuttle Bus The Airport Shuttle Bus service has continued to operate with increasing popularity since its inception during the 2010 World Cup in June 2010. The detailed monthly data is shown below. The ridership and ticket sales data are received from the Revenue weekly reports, which are directly linked to the computerised ticketing system. The airport average daily figures have decreased slightly to 398 per day, compared to 416 in December (when high figures were attributed to the tourist season). 2 The term “passenger journey” is defined in par 13.3. IRT Progress Report No 24 V4.2 January 2012 Page 49 of 70 MyCiTi Airport Service: passengers per month 14000 12000 10000 8000 6000 4000 2000 Jan-12 Dec-11 Nov-11 Oct-11 Sep-11 Jul-11 Aug-11 Jun-11 May-11 Apr-11 Mar-11 Feb-11 Jan-11 Dec-10 Nov-10 Oct-10 Sep-10 Aug-10 Jul-10 Jun-10 May-10 0 Figure 1. Airport to CBD IRT service: Monthly Ticket Sales 13.3 Milestone “0” Interim Services: Inner City – Trunk - Table View Services The interim service, Milestone “0”, which includes the trunk service between the City and Table View as well as feeder services in the Blaauwberg/Table View and CBD/City Bowl areas, continues to operate successfully. The following graphs reflect the ticket-sales trends based on the figures from Revenue and the validations reported by the AFC team. The drop in ridership figures for the trunk services may be as a result of passengers using their emergency tickets supplied with EMV cards. Trunk Services Ticket Sales (R10 per ticket) 120000 20000 Date IRT Progress Report No 24 Dec-11 Oct-11 Aug-11 Jun-11 0 Total Passenger Taps/valid ations Total Ticket Sales 200000 100000 0 Dec-11 40000 300000 Sep-11 60000 Jun-11 80000 Totals 100000 Totals Feeder Service Ticket Sales (R5 per ticket) Total Ticket Sales Total Passenger Taps/validations Date V4.2 January 2012 Page 50 of 70 Passenger journeys based on ticket sales: MyCiTi (excluding airport and event services) (Assumption: 33% of passengers use only feeders. 66% use trunk + feeders or only trunks.) Total passenger journeys counted. Different trips taken by passengers not reported cummulatively. Passengers per week 100000 80000 60000 40000 20000 2012/01/30 2012/01/16 2012/01/02 2011/12/19 2011/12/05 2011/11/21 2011/11/07 2011/10/24 2011/10/10 2011/09/26 2011/09/12 2011/08/29 2011/08/15 2011/08/01 2011/07/18 2011/07/04 2011/06/20 2011/06/06 2011/05/23 2011/05/09 0 Figure 2. Assumed passenger journeys based on ticket sales: MyCiTi services (excl airport and events) A “passenger journey” is a journey a passenger makes on one or more MyCiTi services from origin to destination, irrespective of the number of transfers. For example, a journey on a feeder bus in Table View, with a transfer to a trunk bus to the Civic Centre Station and then another transfer to a feeder bus to the Waterfront, is counted as only one passenger journey. Trips made as part of event services and on the airport route are added to the other passenger journeys. Note: The numbers in the table above have been calculated using ticket sales, assuming that one-third of passengers use only feeders and that two-thirds use trunk and feeders or only trunks. This assumption is based on limited initial surveys and will be tested with further surveys. A reduction in passenger trips in the first two weeks of use of the contactless card is clear, although figures have picked up substantially in the last week for which figures are available. 13.4 Special Event Services No buses were provided for special events during January. 13.5 Operations Management The new timetables and routes for the Inner City, which took effect from the 31 October, have been working well, with continued improvements to the on-time arrivals. The new Table View feeder routes and timetables, which took effect on 7 November, are still having teething problems as a result of traffic congestion on Gie and Blaauwberg Roads as well as the extensive construction in the area. The following table indicates the level of compliance of our buses within the system against the present timetables. There has been a month-on-month improvement on all of the routes, despite the congestion and construction challenges. IRT Progress Report No 24 V4.2 January 2012 Page 51 of 70 % On-Time (2:59 min early to 5:59 min late vs. time table time) 1 -21 July 2011 T1 Averages Airport 85% F1 F14 F15 F16 87% 79% 73% 55% 50% 72% 48% 74% 77% 76% 64% 76% 75% 82% 77% 83% August 2011 Averages 86% 95% 89% 77% September 2011 Averages 89% 98% 89% 80% October 2011 Averages 87% 99% 91% 83% November 2011 Averages 85% 99% 92% 69% December 2011 Averages 91% 98% 93% 72% January 2012 Averages 91% 98% 94% 74% 13.6 Operational Resources Information gathered by the monitors is being integrated into comprehensive monitoring dashboards. This information is collated from the resources in SSU who monitor the cameras; the TMC staff who are monitoring the Netstar tracking system; the monitors and technical assistants who do data capturing and assessments, as well as Law Enforcement. Applicants for the advertised permanent City positions within the operations team are being assessed, with interviews for the position of Facilities Management taking place. The other positions are currently being submitted for interviews. 13.7 Public Feedback A key focus to enabling the system to improve relies on the feedback from the general public. Data is being compiled from calls being received from the public at the TIC. Each complaint received through either the TIC, the Media office (via Twitter or Facebook) or the Mayor’s offices, receives a response from the operational team. Rectifications such as customer care training were used to deal with items such as the rudeness complaints. A number of complaints are being received about the implementation of the EMV card (as reflected in “ticket irregularities”). These mostly relate to the bank charges applicable as well as queries on what to do when cards and validators are not working. IRT Progress Report No 24 V4.2 January 2012 Page 52 of 70 IRT Monthly Feedback 01 January 2012 - 31 January 2012 200 180 160 140 120 100 80 60 40 20 0 14. Communications, Marketing & Branding 14.1 Introduction The primary communication focus for January 2012 was the implementation of the myconnect card. Communication also focused on: Continued infrastructure construction on the West Coast and along the Atlantic Seaboard Ridership figures for the MyCiTi service The MyCiTi tariff policy The International Sustainable Transport award The month was complicated in terms of communication, given the need for broad, widespread communication about the change from paper tickets to the myconnect card, as most passengers were on leave until the middle of the month and many people were still in a holiday mind-set. Following an extensive advertising campaign in December, further advertisements were placed in both community and daily newspapers; editorials and radio advertisements were placed, and responses were given to media enquiries and letters to the City regarding the implementation of the card. At the end of January, a media briefing was also arranged at which Councillor Herron, as well as representatives from ICT-Works, Absa bank and the National Department of Transport, spoke about the implementation of myconnect and handled media questions. 14.2 Press Releases and Media Engagement Media releases issued from 1 – 31 January 2012: IRT Progress Report No 24 V4.2 January 2012 Page 53 of 70 January January January January 6th 11th 13th 17th January January January January 20th 25th 30th 31st Get a myconnect card by 15 January and stand a chance to win a free six-month bus pass MyCiTi bus ridership figures for December 2011 MyCiTi bus myconnect card figures released Construction begins on permanent MyCiTi feeder station in Table View Myconnect benefits MyCiTi passengers Mayco recommends council postpone MyCiTi tariff increases MyCiTi ticket sales end as myconnect kicks in Cape Town recognised for its sustainable transport efforts at international transport conference (media alert for press conference) City to brief media on roll out of MyCiTi’s myconnect card Myconnect: setting the trend for public transport (press conference press release) 14.3 E-newsletter The January edition of the MyCiTi e-newsletter focused on the production of the new Optare Solo 9m feeder buses, more information on the myconnect card – that paper tickets are no longer accepted as a form of fare payment for trips on MyCiTi – and construction information for projects in the Table View and central city and Atlantic Seaboard areas. 14.4 Internal Project Management The tender for Communication services to the MyCiTi service was finalised and awarded to the HWB Consortium with effect from 16 January 2012. Work has now begun on an intensive marketing and communication plan for the period of the Communication services’ appointment from 2012 – 2014. IRT Progress Report No 24 V4.2 January 2012 Page 54 of 70 ANNEXURE 1: SCM BAC Summary Progress (January 2012) TENDER NO. F/YEAR TYPE - 2007/2008 Single Source Appointment of Service Provider 204S/2007/08 2007/2008 Award of Tender 266C/2007/08 2007/2008 Award of Tender 27Q/2008/09 2008/2009 Award of Tender 80Q/2008/09 2008/2009 Award of Tender 77Q/2008/09 2008/2009 Award of Tender 131C/2008/09 2008/2009 123C/2008/09 2008/2009 133C/2008/09 2008/2009 128C/2008/09 2008/2009 127C/2008/09 2008/2009 139Q/2008/09 2008/2009 Award of Tender 144Q/2008/09 2008/2009 Award of Tender 163Q/2008/09 2008/2009 Award of Tender 135C/2008/09 2008/2009 - 2008/2009 319Q/2008/09 2008/2009 - 2008/2009 - 2008/2009 390Q/2008/09 2008/2009 - 2009/2010 563N/2008/09 2009/2010 - 2009/2010 556N/2008/09 2009/2010 17Q/2009/10 2009/2010 Appointment of Consultant / Service Provider Appointment of Consultant / Service Provider Appointment of Consultant Appointment of Consultant / Service Provider Appointment of Consultant / Service Provider Appointment of Consultant Request for Deviation (above R200 000.00 Award of Tender PROJECT DESCRIPTION Authority to Appoint Dr Lloyd Wright, International Transport Expert, as a Technical Specialist Advisor, to the City of Cape Town, to Guide and Advise on the Planning, Design, Programming and Implementation of the Bus Rapid Transport Components of the Public Transport Implementation Action Plan, Phase 1 (2007 - 2010) Provision of Professional Services : Integrated Rapid Transit System : Operational Plan Provision of Professional Services : Integrated Rapid Transit System : Business Plan (Project Report Stage) Construction of Public Transport Corridor through Culemborg from Church Street to the N1 Underpass : Roadworks, Relocation of Railways, Viaduct and Appurtenant Works Construction of Public Transport Corridor through Paarden Eiland from the N1 Underpass to Milner Road: New Bridge Structure over Salt River Canal (World Cup 2010 Project) Construction of Public Transport Corridor through the Paarden Eiland Railway Spur from the N1 Underpass to Milner Road : Roadworks, Services Accommodation and Appurtenant Works AGENDA ITEM RESOLUTION D Cupido 06/08/2007 Approved Ron Haiden 18/12/2007 Approved Ron Haiden 17/03/2008 Approved Cobus Hugo 06/10/2008 Approved Cobus Hugo 17/11/2008 Approved Cobus Hugo 17/11/2008 Approved Provision of Professional Services : Process Manager Jonathan Louw 17/11/2008 Approved Provision of Professional Services : Road Work Engineer John Martheze 17/11/2008 Approved Provision of Professional Services : Implementation of the Integrated Rapid Transit System : Non-Motorised Transport Specialist Jonathan Louw 17/11/2008 Approved Provision of Professional Services : IRT : Business Manager Jonathan Louw 17/11/2008 Approved Provision of Professional Services : Implementation of the Integrated Rapid Transit System : Industry Transition Specialist Jonathan Louw 17/11/2008 Approved Cobus Hugo 08/12/2008 Approved Cobus Hugo 15/12/2008 Approved Cobus Hugo 15/12/2008 Approved Jonathan Louw 15/12/2008 Approved Provision of Professional Services: Implementation of Integrated John Martheze 09/03/2009 Rapid Transport System - Communications Consultant Approved Construction of Public Transport Corridor along Route R27 from Racecourse Road to Blaauwberg Road: Roadworks, Services Accommodation and Appurtenant Works Construction of Public Transport Corridor through Culemborg from Old Marine Drive to Church Street: Roadworks, Relocation of Railways, Service Accommodation and Appurtenant Works Construction of Public Transport Corridor along Route R27 from Milner Street to Racecourse Road : Roadworks, Services Accommodation and Appurtenant Works Provision of Professional Services: Implementation of the Integrated Rapid Transit System: Design Specialist Construction of Atlantis Integrated Rapid Transport Corridor : Old Marine Drive to Heernegracht: Roadworks, Service Cobus Hugo Accommodation and Appurtenant Works Electronic Fare Collection (EFC) Project: Provision of Professional Francois Nell Services 2010 World Cup Project Request for Deviation Request for Increase In Integrated Rapid Transport / 2010 World Cup: N1 Corridor Contract Sum and Priority Projects - Culemborg / Koeberg / R27 Corridor : Increase or Period (above In Professional Fees R200 000.00) Cape Town Integrated Rapid Transport System (Phase 1A) Award of Tender Major Stations Superstructures Appointment of ACSA to Undertake Implementation of the Cape Town International Airport IRT Station Sub-Structure and Associated Road Works on Behalf of the City of Cape Town Supply and Delivery of Kassel Kerbs for Integrated Rapid Transport Stations Request for Inner City Link Infrastructure Projects (2010 World Cup & IRT : Deviation Increase in Fees for Professional Services Supply of Public Transport Vehicles for 2010 Trunk Services Award of Tender Appointment of Volvo South Africa (Pty) Ltd Construction of Access Road and Upgrading of the Inner City Bus Award of Tender Depot in Napier Street, Cape Town (IRT Project) IRT Progress Report No 24 AUTHOR / PROJECT MANAGER 23/03/2009 Approved 20/04/2009 Approved Dave Buerger 08/06/2009 Approved Dave Buerger 29/06/2009 Approved Dave Buerger 06/07/2009 Approved Dave Buerger 20/07/2009 Approved Dave Buerger 31/08/2009 Approved John Martheze 30/11/2009 Approved Dave Buerger Approved 14/12/2009 V4.2 January 2012 Page 55 of 70 TENDER NO. F/YEAR TYPE - 2009/2010 Request for Deviation and/or Condonation 139Q/2008/09 2009/2010 Request for Deviation 17Q/2009/10 2009/2010 Award of Tender - 2009/2010 - 2009/2010 - 2009/2010 - 2009/2010 319Q/2008/09 2010/2011 86Q/2009/10 2010/2011 - 2010/2011 123C/2008/09 2010/2011 133C/2008/09 2010/2011 127C/2008/09 2010/2011 CM 08/03/09 2010/2011 17Q/2009/10 2010/2011 77Q/2008/09 2010/2011 77Q/2008/09 2010/2011 - 2010/2011 17Q/2009/10 2010/2011 Request for Increase In Contract Sum (above R200 000.00) Request for Authority to Negotiate and for Consequential Deviation (above R200 000.00) Condonation Request for Single Source Selection (under R200 000) Request for Increase in Contract Sum and/or Period (above R200 000) Acceptance of Tender : Contractor (CIDB) Request for Single Source Selection (above R200 000) Request for Increase in Contract Sum and/or Period (above R200 000) Request for Increase in Contract Sum and/or Period (above R200 000) Request for Increase in Contract Sum and/or Period (above R200 000) Request for Increase in Contract Sum and/or Period (above R200 000) Request for Increase in Contract Sum and/or Period (above R200 000) Request for Increase in Contract Sum and/or Period (above R200 000) Request for Deviation and/or Condonation (above R200 000) Request for Deviation and/or Condonation (above R200 000) Request for Deviation and/or Condonation (above R200 000) IRT Progress Report No 24 PROJECT DESCRIPTION R031000379 - Due Diligence Exercise on the Integrated Rapid Transport System (IRT) AUTHOR / PROJECT MANAGER Louise Muller AGENDA ITEM RESOLUTION 14/12/2009 Approved 14/12/2009 Approved 08/02/2010 Approved Request for Increase in Contract Sum : Contract for the Cape Town International Airport IRT Station Sub-Structure and Dave Buerger Associated Road Works being Undertaken by Airports Company South Africa (ACSA) on behalf of the City of Cape Town 08/02/2010 Approved 2010 World Cup IRT-Related Transport Event Services: Operator Abdul Bassier Contract (Excluding Test Event 1 & 2) 22/02/2010 Approved Transport Management Support (Technical and Administrative) Louis Haultzhauzen 23/03/2010 Approved Integrated Rapid Transit: Appointment of Project Management Consultant Services John Martheze n/a Approved Construction of Atlantis Integrated Rapid Transport Corridor Old Marine Drive to Heerengracht - Roadworks, Service Accommodation and Appurtenant Works Dave Buerger 12.07.2010 Approved Construction of Inner City Integrated Rapid Transport System from Hertzog Boulevard along Heerengracht, Fountain Circle and Hans Strijdom Avenue up to Bree Street, Cape Town Dave Buerger 19.07.2010 Approved Integrated Rapid Transit: Appointment of Professional Services for Business and Operations Planning Support: D R Bosch John Martheze 26/07/2010 Approved Integrated Rapid Transit Project Phase 1A: Increase in Contract Sum for the Following Professional Services Contract - Road Work Engineer John Martheze 02/08/2010 Approved Integrated Rapid Transit Project Phase 1A: Increase in Contract Sum for the Following Professional Services Contract - Non Motorised Transport Specialist John Martheze 02/08/2010 Approved Integrated Rapid Transit Project Phase 1A: Increase in Contract Sum for the Following Professional Services Contract - Industry Transition Specialist John Martheze 02/08/2010 Approved Integrated Rapid Transit Project Phase 1A: Increase in Contract Sum for the Following Professional Services Contract Communications Consultant John Martheze 02/08/2010 Approved Construction of Public Transport Corridor along Route R27 from Racecourse Road to Blaauwberg Road: Roadworks, Services Cobus Hugo Accommodation and Appurtenant Works : Increase in Contract Sum Construction of Access Road and Upgrading of the Inner City Bus Dave Buerger Depot in Napier Street, Cape Town (IRT Project) Construction of Access Road and Upgrading of the Inner City Bus Bertie Byker Depot in Napier Street, Cape Town 16.08.2010 Approved Construction of Public Transport Corridor through Paarden Eiland from the N1 Underpass to Milner Road: Road Works, Services Accommodation and Appurtenant Works Buerger, Dave 13.09.2010 Approved Construction of Public Transport Corridor through Paarden Eiland from the N1 Underpass to Milner Road: Road Works, Services Accommodation and Appurtenant Works Buerger, Dave 13.09.2010 Approved Post 2010 World Cup IRT-Related Public Transport Services Bassier, Abdul 13.09.2010 Approved 11.10.2010 Approved Construction of Access Road and Upgrading of the Inner City Bus Byker, Bertie Depot in Napier Street, Cape Town V4.2 January 2012 Page 56 of 70 TENDER NO. F/YEAR 511C/2009/10 2010/2011 - 2010/2011 319Q/2008/09 2010/2011 24G/2009/10 2010/2011 25G/2009/10 2010/2011 163Q/2008/09 2010/2011 139Q/2008/09 2010/2011 113Q/2010/11 2010/2011 112Q/2010/11 2010/2011 123C/2008/09 2010/2011 127C/2008/09 2010/2011 133C/2008/09 2010/2011 AE-CM08/03/09 2010/2011 SCMB 16/01/09 2010/2011 DEVIATION / CONDONATION 2010/2011 128Q/2010/11 2010/2011 170Q/2010/11 2010/2011 390Q/2008/09 2010/2011 TYPE PROJECT DESCRIPTION Acceptance of Tender : Provision of Professional Project Management Services: Consultant/Profes Integrated Rapid Transit System (Phase 1A) sional Service Provider (CIDB) Appointment of Consultant for Supervision of Final Design, Request for Single Supply, Installation and Commissioning of Advanced Public Source Selection Transport, Information and Security Management Systems on (above R200 000) Busses, Stations and in the Transport Management Centre Request for Increase in Construction of Atlantis Integrated Rapid Transport Corridor Contract Sum Old Marine Drive to Heerengracht - Roadworks, Service and/or Period Accommodation and Appurtenant Works (above R200 000) Acceptance of Design, Supply, Delivery, Installation, Testing, and Tender : Goods Commissioning of the IRT Fare System, the Supply and and/or Stores Distribution of Fare Cards, and the Provision of Maintenance Items and other Related Services Acceptance of Design, Supply, Delivery, Installation, Testing, Commissioning Tender : Goods and Maintenance of the IRT Control Centre Hardware and and/or Stores Software Systems Items Request for Increase in Construction of Public Transport Corridor along Route R27 from Contract Sum Milner Road to Racecourse Road and/or Period (above R200 000) Request for Construction of Public Transport Corridor along Route R27 from Increase in Racecourse Road to Blaauwberg Road: Road Works, Services Contract Sum Accommodation and Appurtenant Works, Alternative 2 : Asphalt and/or Period Intersections (above R200 000) Acceptance of Construction of Non-Motorised Transport Infrastructure within Tender : 500m of the Atlantis Integrated Rapid Transit Bus Stations: Contractor (CIDB) Culemborg, Paarden Eiland to Racecourse Road, Sunset Beach Acceptance of Construction of Atlantis Integrated Rapid Transport Corridor Tender : R27 from Blaauwberg Road to Sandown Road (North) Contractor (CIDB) Request for Increase in Integrated Rapid Transit Project : Phase 1A : Professional Service Contract Sum Appointments - Road Work Engineer and/or Period (above R200 000) Request for Increase in Integrated Rapid Transit Project : Phase 1A: Professional Service Contract Sum Appointments - Industry Transition Specialist and/or Period (above R200 000) Request for Increase in Integrated Rapid Transit Project : Phase 1A: Professional Service Contract Sum Appointments - Non Motorised Transport Specialist and/or Period (above R200 000) Request for Increase in Integrated Rapid Transit Project : Phase 1A: Professional Service Contract Sum Appointments - Communications Consultant and/or Period (above R200 000) Request for Increase in Integrated Rapid Transit Project : Phase 1A: Professional Service Contract Sum Appointments - Business and Operations Planning Support and/or Period (above R200 000) Request for Integrated Rapid Transit System : Business Plan: Appointment of Deviation and/or Multi-Disciplinary Consultant Consortium to Undertake Condonation Additional Work (above R200 000) Acceptance of Construction of Transport Corridor along Racecourse Road from Tender : R27 to Omuramba Road: Roadworks, Services Accommodation Contractor (CIDB) and Appurtenant Works Acceptance of Tender : Construction of the Stables Bus Depot (Potsdam Road) Contractor (CIDB) Request for Increase in Cape Town Integrated Rapid Transport System (Phase 1A): Contract Sum Major Station Superstructures and/or Period (above R200 000) IRT Progress Report No 24 AUTHOR / PROJECT MANAGER AGENDA ITEM RESOLUTION Martheze, John 18.10.2010 Approved Greenwood, Chantal 18.10.2010 Approved Buerger, Dave 01.11.2010 Approved Greenwood, Chantal 08.11.2010 Approved Greenwood, Chantal 08.11.2010 Approved Buerger, Dave 08.11.2010 Approved Buerger, Dave 15.11.2010 Approved Hugo, Cobus 13.12.2010 Approved Hugo, Cobus 13.12.2010 Approved Hugo, Dave / 13.12.2010 Martheze, John Approved Hugo, Dave / 13.12.2010 Martheze, John Approved Hugo, Dave / 13.12.2010 Martheze, John Approved Hugo, Dave / 13.12.2010 Martheze, John Approved Hugo, Dave / 13.12.2010 Martheze, John Approved Bassier, Abdul 13.12.2010 Approved Hugo, Cobus 24.01.2011 Approved Hugo, Cobus 31.01.2011 Approved Buerger, Dave 31.01.2011 Approved V4.2 January 2012 Page 57 of 70 TENDER NO. - F/YEAR 2010/2011 24G/2009/10 2010/2011 563N/2008/09 2010/2011 CONSEQUENTIAL 2010/2011 DEVIATION 204S/2007/08 CONDONATION 2010/2011 DEVIATION and/or CONDONATION 2010/2011 DEVIATION and/or CONDONATION 2010/2011 DEVIATION and/or CONDONATION 2010/2011 DEVIATION and/or CONDONATION 2010/2011 262Q/2010/11 2010/2011 86Q/2009/10 2010/2011 - 2010/2011 556N/2008/09 DEVIATION and/or CONDONATION 2010/2011 375Q/2010/11 2010/2011 DEVIATION 2010/2011 DEVIATION 2010/2011 DEVIATION 2010/2011 TYPE Request for Increase in Contract Sum and/or Period (above R200 000) Acceptance of Tender : Goods and/or Stores Items Request for Increase in Contract Sum and/or Period (above R200 000) Request for Authority to Negotiate in Terms of National Land Transport Act and For Consequential Deviation (above R200 000) Request for Deviation and/or Condonation (above R200 000) Request for Deviation and/or Condonation (above R200 000) Request for Deviation and/or Condonation (above R200 000) Request for Deviation and/or Condonation (above R200 000) Request for Deviation and/or Condonation (above R200 000) Acceptance of Tender : Contractor (CIDB) Request for Increase in Contract Sum and/or Period (above R200 000) Request for Increase in Contract Sum and/or Period (above R200 000) Request for Deviation and/or Condonation (above R200 000) Acceptance of Tender : Contractor (CIDB) Request for Deviation and/or Condonation (above R200 000) Request for Deviation and/or Condonation (above R200 000) Request for Deviation and/or Condonation (above R200 000) IRT Progress Report No 24 PROJECT DESCRIPTION AUTHOR / PROJECT MANAGER AGENDA ITEM RESOLUTION Contract for the Cape Town International Airport IRT Station Sub-Structure and Associated Road Works being Undertaken by Buerger, Dave Airports Company South Africa (ACSA) on behalf of the City of Cape Town : Increase in Final Contract Sum 07.02.2011 Approved Design, Supply, Delivery, Installation, Testing and Commissioning of the IRT Fare System, the Supply and Distribution of Fare Cards, and the Provision of Maintenance and Other Related Services Greenwood, Chantal 28.02.2011 Approved Supply and Delivery of Kassel Kerbs for the Integrated Rapid Transport Stations Buerger, Dave 22/03/2011 Approved MyCiTi Phase 1A: Interim Vehicle Operator Contracts Starting from April/May 2011 Bassier, Abdul 22.03.2011 Approved Authority to Negotiate Provision of Professional Services: Integrated Rapid Transit System : Operational Plan - Request for Condonation for Increase in Contract Period Fortune, Gershwin 28.03.2011 Approved MyCiTi Phase 1A: Interim Vehicle Operator Contracts Bassier, Abdul 29.04.2011 Approved MyCiTi Phase 1A: Interim Vehicle Operator Contracts Bassier, Abdul 29.04.2011 Approved MyCiTi Phase 1A: Interim Vehicle Operator Contracts Bassier, Abdul 29.04.2011 Approved MyCiTi Phase 1A: Extension of Existing Vehicle Operator Contract Period Bassier, Abdul 29.04.2011 Approved Construction of Atlantis Integrated Rapid Transport Infrastructure: Trunk Route Stations, Roadworks and Services in Hugo, Cobus Melkbosstrand and Atlantis 03.05.2011 Approved Construction of Inner City Integrated Rapid Transport System from Hertzog Boulevard along Heerengracht, Fountain Circle and Hans Strijdom Avenue up to Bree Street, Cape Town Buerger, Dave 03.05.2011 Approved Printing of MyCiTi Bus Tickets Malan, Danie 30.05.2011 Approved Supply of Public Transport Vehicles for 2010 Trunk Services: Acquisition of Additional Vehicles and Ancillary Services Martheze, John 13.06.2011 Approved Integrated Rapid Transit System Phase 1A: Construction of Bus Stop Infrastructure in Table View and Milnerton Hugo, Cobus 20.06.2011 Approved Communication and Marketing Services Provided to the IRT Project Team Hatton, Kylie 20.06.2011 Approved Communication and Marketing Services Provided to the IRT Project Team Hatton, Kylie 20.06.2011 Approved Communication and Marketing Services Provided to the IRT Project Team Hatton, Kylie 20.06.2011 Approved V4.2 January 2012 Page 58 of 70 TENDER NO. F/YEAR - 2010/2011 123C/2008/09 DEVIATION 2010/2011 127C/2008/09 DEVIATION 2010/2011 133C/2008/09 DEVIATION 2010/2011 391Q/2010/11 2011/2012 DEVIATION 2011/2012 DEVIATION 2011/2012 437Q/2010/11 2011/2012 469Q/2010/11 2011/2012 DEVIATION : SOLE 2011/2012 PROVIDER 371G/2010/11 2011/2012 SINGLE SOURCE SELECTION 2011/2012 SINGLE SOURCE SELECTION 2011/2012 371G/2010/11 2011/2012 86Q/2009/10 2011/2012 DEVIATION and/or CONDONATION 2011/2012 43Q/2011/12 2011/2012 DEVIATION and/or CONDONATION 2011/2012 DEVIATION and/or CONDONATION 2011/2012 474S/2010/11 2011/2012 TYPE Request for Increase in Contract Sum and/or Period (above R200 000) Request for Deviation and/or Condonation (above R200 000) Request for Deviation and/or Condonation (above R200 000) Request for Deviation and/or Condonation (above R200 000) Acceptance of Tender : Contractor (CIDB) Request for Deviation and/or Condonation (above R200 000) Request for Deviation and/or Condonation (above R200 000) Acceptance of Tender : Contractor (CIDB) Acceptance of Tender : Contractor (CIDB) Request for Deviation : Sole Provider (above R200 000) Acceptance of Tender : Goods and/or Stores Items Request for Increase in Contract Sum and/or Period (above R200 000) Request for Increase in Contract Sum and/or Period (above R200 000) Acceptance of Tender : Goods and/or Stores Items Request for Increase in Contract Sum and/or Period (above R200 000) Request for Deviation and/or Condonation (above R200 000) Acceptance of Tender : Contractor (CIDB) Request for Deviation and/or Condonation (above R200 000) Request for Deviation and/or Condonation (above R200 000) Acceptance of Tender IRT Progress Report No 24 PROJECT DESCRIPTION AUTHOR / PROJECT MANAGER AGENDA ITEM RESOLUTION Integrated Rapid Transit System: Business Plan : Extension of Contract Period of Multi-Disciplinary Consultant Consortium Bassier, Abdul 20.06.2011 Approved Road Engineer and Non-Motorised Transport Specialist: Integrated Rapid Transit Project: Phase 1A Hugo, Dave 20.06.2011 Approved Road Engineer and Non-Motorised Transport Specialist: Integrated Rapid Transit Project : Phase 1A Hugo, Dave 20.06.2011 Approved Road Engineer and Non-Motorised Transport Specialist: Integrated Rapid Transit Project : Phase 1A Hugo, Dave 20.06.2011 Approved Construction of Inner City Integrated Rapid Transport System Open Feeder Bus Stops Hugo, Cobus 04.07.2011 Approved Management Support for Roll Out of Milestone Zero (0) of Integrated Rapid Transport (IRT) Project Kingma, Ronald 18.07.2011 Approved Maintenance and Non Warranty Repair of IRT Station Band Structure and Automatic Doors Hugo, Dave 25.07.11 Approved Construction of Atlantis Integrated Rapid Transport Corridor: Blaauwberg Road from R27 to Potsdam Road Hugo, Cobus 10.08.2011 Approved Integrated Rapid Transit System Phase 1A Construction of Bus Stop Infrastructure in Atlantis and Melkbos Hugo, Cobus 10.08.2011 Approved Maintenance and Non Warranty Repair of IRT Station Band Structure and Automatic Doors Hugo, Dave 22.08.2011 Approved Supply of Public Transport Vehicles and Ancillary Services for the Martheze, John 05.09.2011 IRT System Approved Authority to Negotiate Integrated Rapid Transit System: Automatic Fare Collection Professional Services Contract 26.09.2011 Awaiting Resolution 03.10.2011 Awaiting Resolution Greenwood, Chantal Inner City Link Infrastructure Projects (2010 World Cup and IRT) Buerger, Dave Supply of Public Transport Vehicles and Ancillary Services for the Martheze, John 31.10.2011 IRT System Approved Construction of Inner City Integrated Rapid Transport System from Hertzog Boulevard along Heerengracht, Fountain Circle and Hans Strijdom Avenue up to Bree Street, Cape Town Buerger, Dave 31.10.2011 Approved Phase 1A: Integrated Rapid Transport System: Culemborg / Koeberg / R27 Corridor : Request for Deviation in Terms of Buerger, Dave MFMA Section 33 Review Process and Increase in Contract Sum for Professional Fees 31.10.2011 Approved Construction of the Atlantis Bus Depot Leendertz, David 31.10.2011 Approved Shuttle Service for IRT Night Shift Staff Wyngaard, Christopher 31.10.2011 Approved Integrated Rapid Transit System: Business Plan: Extension of Contract of Multi-Disciplinary Consultant Consortium Bassier, Abdul 07.11.2011 Approved Provision of Communication Services to the Integrated Rapid Transit Initiative, MyCiTi K Hatton 12.12.2111 Approved V4.2 January 2012 Page 59 of 70 TENDER NO. F/YEAR - 2011/2012 - 2011/2012 60S/2011/12 2011/2012 154Q/2011/12 2011/2012 TYPE Request for Increase in Contract Sum and/or Period (above R200 000) Request for Increase in Contract Sum and/or Period (above R200 000) Acceptance of Tender : Service Contractor Acceptance of Tender : Contractor (CIDB) IRT Progress Report No 24 PROJECT DESCRIPTION AUTHOR / PROJECT MANAGER AGENDA ITEM RESOLUTION Integrated Rapid Transit Project: Phase 1A : Business and Operations Planning Support Hugo, Dave 12.12.2011 Approved Management Support for Roll Out of Milestone Zero (0) of Integrated Rapid Transport (IRT) Project Kingma, Ron 12.12.2011 Approved Armed Banking Carrier Service for the City of Cape Town's IRT Cash Receiving Points Kingma, Ron 16.01.2012 Approved 30.01.2012 Awaiting CM/SCMBAC Resolution Construction of Atlantis Integrated Rapid Transport Corridor: Potsdam Road from Blaauwberg Road to Usasaza Road, Du Noon V4.2 January 2012 Page 60 of 70 ANNEXURE 2: List of Reports to Council / Committees Item Number C 46/03/08 C 75/08/08 C 47/08/09 C 71/10/09 C 80/11/09 C 100/11/09 TRS 04/02/10 (Item 16) TRS 04/03/10 (Item 08) C 06/03/10 MC 16/03/10 (Item32) MC 16/3/10 (Item 59) C 31/03/10 (Item 53) MC 29/4/10 (Item 22) MC 18/5/10 (Item 14) MC 24/05/10 C 98/05/10 MC 79/05/10 C 25/05/10(Item 118) FIN 30/05/10 TRS 24/05/10 MC 38/07/10 C 28/07/10 (Item 64) TRS 03/06/10(Item 9) MC 08/07/10 MC 22/07/10 MC 39/07/10 C28/07/10 (Item 65) F2/08/10 (Item 13) TRS 05/08/10 (Item 16) FIN 02/08/10 (Item 14) TRS 05/08/10 (Item 15) MC17/08/10 (Item SMC07/08/10) C26/08/10 (Item 59) FIN 02/08/10 (Item 19) TRS 05/08/10 (Item 13) MC 17/08/10 (Item 15) M17/08/10(Item 16) M17/08/10(Item 60) C26/08/10 (Item 55) Subject Development of an IRT system for the City of Cape Town Implementation of the IRT system for the City of Cape Town Implementation of the IRT system for the City of Cape Town: Phase 1A: funding allocation and progress report IRT project (IRT): project status and a financial & strategic assessment. Transfer of Integrated Rapid Transport project from Transport Roads and Stormwater (TRS) to Service Delivery Integration (SDI) and the transferring of certain functions of Service Delivery Integration (SDI) to other directorates Funding and budgetary provisions for basic transport requirements for the 2010 World Cup in accordance with Council recommendation c71/10/09 of 28 October 2009 IRT Project Status and Progress Report No 1, December 2009 IRT Progress Report No 2, January 2010 Tariffs for IRT services rendered during the 2010/2011 financial year and public transport services for the 2010 FIFA World Cup and other events planned at the Cape Town Stadium during 2010/2011 financial year Update on negotiations and contracts related to Council decisions of 28 October 2009 Tariffs for services rendered by the Transport Department for the 2010-2011 financial year Recommendation - IRT project: Update on negotiations and contracts related to Council decisions of 28 October 2009 IRT Progress Report No 3, February 2010 IRT Progress Report No. 4, March 2010 To obtain approval to incur additional expenditure on the Rapid Transit System (IRT) projects as a result of the latest VAT implications in the current financial year To obtain approval to incur additional expenditure on the Rapid Transit System (IRT) Projects as a result of the latest VAT implications in the current financial year Provision of municipal public transport services: establishment of interim operational capacity for IRT Date 27-03-2008 27-08-2008 26-08-2009 28-10-2009 26-11-2009 26-11-2009 04-02-2010 04-03-2010 31-03-2010 16-03-2010 16-03-2010 31-03-2010 29-04-2010 18-05-2010 18-05-2010 25-05-2010 18-05-2010 25-05-2010 Report on the due diligence completed on the IRT System 03-05-2010 28-07-2010 IRT Report No. 5, April 2010 03-06-2010 Transfer of funds from EFF to State Funding – 2009/10 IRT repayment of bridging finance 07-07-2010 Business Plan for Phase 1A of Cape Town’s MyCiTi IRT System Authorisation for public participation process: Disposal of MyCiTi vehicles to a Financial Institution Provision of Municipal Public Transport Services: Expansion of existing Municipal Systems Act Section 78 (4) decision regarding MyCiTi Services IRT Progress Report 6 – May/June 2010 MyCiTi proposed re-introduction of interim inner city bus service Tariffs for MyCiTi services rendered during the 2010/2011 financial year – concessions and new services 15-07-2010 28-07-2010 02/08/2010 05/08/2010 02/08/2010 05/08/2010 17/08/2010 26/08/2010 02/08/2010 05/08/2010 17/08/2010 17/08/2010 17/08/2010 26/08/2010 Page 61 of 70 F04/10/10 (Item 07) MC06/10/10 (Item 06) TRS 07/10/10 (Item 15) MC 19/10/10 (Item 48) C27/10/10 (Item 79) MC 19/10/10 (Item 49) FIN01/11/10 (Item 27) TRS04/11/10 (Item 21) MC 01/12/10 (Item 24) C09/12/10 (Item 22) (Item 76) C09/12/10 (Item 77) FIN 17/01/11 (Item 6) TRS 17/01/11 (Item 17) MC02/02/11 (Item 05) TRS 17/01/11 (Item 8) TRS 17/01/11 (Item 10) MC 19/01/11 (Item 22) MC02/02/11 (Item 37) MC02/02/11 (Item 38) MC 02/02/11 (Item 80) FIN 04/04/11 (Item 11) TRS 07/04/11 (Item 18) MC 20/04/11 (Item 17) MC 04/05/11 (Item 4) TRS 05/05/11 (Item 15) FIN 06/05/11 (Item 07) C 11/05/11 (Item 88) FIN 01/08/11 TRS 04/08/11 MC 16/08/11 TRS 02/09/11 (Item 25) FIN 05/09/11 (Item 38) MC 07/09/11 (Item 11) FIN 03/10/11 (Item 18) MC 05/10/11 (Item 05) TRS 06/10/11 (Item 09) TRS 06/10/11 (Item 14) TRS 06/10/11 (Item 15) C 26/10/11 (Item 33) C 26/10/11 (Item 34) C 8/12/11 (Item 57) MC 17/01/12 (Item 29) C 25/01/12 (Item 36) TRS 9/02/12 (Item 20) TRS 9/02/12 (Item 23) IRT Progress Report No 24 04/10/2010 06/10/2010 07/10/2010 19/10/2010 27/10/2010 19/10/2010 01/11/2010 04/11/2010 IRT Progress Report 7 – July, August 2010 Business Plan for Phase 1A of Cape Town’s MyCiTi IRT System Establishment of an IRT Mayco Subcommittee MyCiTi vehicles title holding and use – authorisation sale and transfer to a financial institution, etc MFMA Section 33 MyCiTi IRT long term contracts (a) automatic fare collection system (tender 24G/2009/10); (b) control centre (tender 25G/2009/10) MyCiTi vehicles title holding and use – authorisation of sale and transfer to a financial institution, equivalent arrangement regarding vehicles still to be purchased, for on-leasing to MyCiTi vehicle operator IRT Progress Reports – October and November 2010 Tariffs for MyCiTi services for 2011/2012 Tariffs for services rendered by the Transport & IRT Departments for 2011-2012 Additional tariffs for MyCiTi services: 2010 – 2011 financial year Tariffs for MyCiTi Services for 2011/2012 Tariffs for services rendered by the Transport & IRT Departments for 2011-2012 MyCiTi IRT System: Milestone 0 Interim service and updating of Business Plan IRT Progress Reports – January 2011 and February 2011 IRT Progress Report – March 2011 IRT – Introduction of Starter Service IRT – Progress Report – June 2011 (Meeting Cancelled) IRT – Progress Report – July 2011 IRT Progress Report – August 2011 MyCiTi IRT System – Update on Phase 1A and commencement of Planning etc MyCiTi Integrated Rapid Transit System – Amendment to Business Plan for Phase IA MyCiTi Integrated Rapid Transit System – Update on Phase IA and commencement of planning for Phase IB etc Submission for Grant funding for Integrated Public Transport Network and Infrastructure for Khayelitsha: Cordaid Urban Futures and Dutch Government, Netherlands Tariff for MyCiTi Services for the 2011/2012 financial year amendments IRT Progress Report – December 2011 MyCiTi Automated Fare System and myconnect Smartcard Status Report 01/12/2010 09/12/2010 09/12/2010 17/01/2011 17/01/2011 02/02/2011 17/01/2011 17/01/2011 19/01/2011 02/02/2011 02/02/2011 02/02/2011 04/04/2011 07/04/2011 20/04/2011 04/05/2011 05/05/2011 06/05/2011 11/05/2011 01/08/11 04/08/11 16/08/11 02/09/11 05/09/11 07/09/11 03/10/11 05/10/11 06/10/11 06/10/11 06/10/11 26/10/11 26/10/11 8/12/11 17/01/12 25/01/12 9/02/12 9/02/12 V4.2 January 2012 Page 62 of 70 ANNEXURE 3: Extract of Reports to Portfolio Committee & Mayco on the rollout of the Automated Fare System Introduction Saturday 28 January 2012 was a major milestone for MyCiTi. It was the day on which contactless cards (initially specifically the myconnect smartcard) replaced the paper ticket system previously used on the MyCiTi service. As of 30 January, over 16 402 people have obtained a myconnect card, and the large majority of them are tapping onto the MyCiTi service daily. The City started selling myconnect cards on November 26 last year. By the end of November, the City had sold 174 cards. People were getting used to the system slowly, but since then, there has been enormous uptake. A small proportion of MyCiTi passengers have complained about myconnect, mostly about the cost of the card and the end of the paper-ticket system. While all complaints are taken seriously, the complaints received must be put in perspective. The paper ticket system was always a temporary measure to allow the City to launch the MyCiTi service. Rather than delay the launch of the MyCiTi services, the interim paper-ticket system was devised to allow people to travel on the buses while the myconnect card system was finalised and tested to ensure that it is implemented successfully in a phased manner. Myconnect has always been a key part of the design of a sustainable MyCiTi service, and the myconnect system is being introduced in phases. At the end of each phase the City tests and measures to ensure that lessons learnt in each phase are implemented and the system is refined to ensure that the customer benefits. When all the phases have been introduced in the not-too-distant future, the City will have catered for MyCiTi’s various users. As an introductory offer, when customers get a card, they also get two emergency tickets to use should they get stuck without money on their card. These tickets substantially reduce the R22 issuing fee. By the middle of February this year customers will also be able to hand in their myconnect card at any station and get back the issuing fee, provided the customer has kept his or her receipt. This facility is to accommodate the once-off user to the system, which is considered to be a very rare occurrence. This will benefit tourists and visitors to the City who may not want to purchase a card. For the irregular users of the MyCiTi service, another benefit of the card is that the funds loaded into the e-purse on the card do not expire. This will cater for Capetonians or out-oftowners who catch the bus infrequently. (Note that this refers to the money loaded at present onto the card. Certain transit products, discussed below, will have expiry dates.) The single-trip option and the concessions for regular users will be available later this year. When customers buy in bulk, each trip will be cheaper, and no load fee will be charged for “transit products” – which are electronic tickets / products developed for regular transport users. Another area of development is how the City can provide myconnect cards to the indigent living in the route’s geographic footprint. The objective is to make the use of the card as widespread as possible. Some commuters already use the card to help them budget for their monthly and weekly trips. By loading money on the card at the beginning of the month a household can plan its budget – knowing that the money is available on the card for MyCiTi transport needs. The City has encouraged commuters to load amounts of no less than R65 at a time. This is the amount that at which the 2.5% percentage loading fee, or the minimum fee of R1.50, breaks even – it also allows customers to load enough money for many trips at a time. Lower loads are permitted, but then the minimum load fee of R1.50 will apply. MyCiTi is being introduced in phases. There has always been great impatience for all the phases to be in place quickly, but this is clearly impossible. The service is a complex, expansive one to implement. As has already been seen, with the introduction of the Table View – Civic Centre route, the phased approach has been received well by the public – despite some of the elements of the service (such as the specially designed feeder buses) not having been available. It is expected that this will also be the case with the various payment options the City is planning to introduce in phases. IRT Progress Report No 24 V4.2 January 2012 Page 63 of 70 The MyCiTi business development and operations teams, together with all related services such as the City Revenue Services, are meeting regularly to ensure that myconnect is working well and to address complaints and issues that arise during implementation. The most significant feedback from the volunteers and the users of the system during the trial period was that validating, in particular, “initially took some getting used to.” A customer needs to “tap, hold and go” – holding the card in the correct location for about one second to allow the transaction to register. But the large majority of customers are now using the system without complaint. Every day, many thousands of people are tapping onto MyCiTi on the feeder buses and at the trunk stations. Myconnect is a big leap towards achieving our MyCiTi vision – an efficient, reliable public transport service that is as smart as any other in the world. Business Plan for MyCiTi and compliance with national legislation In October 2010, Council approved the MyCiTi IRT’s Business Plan for Phase 1A. The business plan provided that that an automated fare system (AFC) contractor be contracted by the City. The AFC contractor is responsible for the design, supply, implementation and operation of an effective and efficient AFC system. The Business Plan is informed by the National Department of Transport (NDOT) vision on AFC systems in public transport, which is supported by the City of Cape Town. This vision is as follows: All AFC systems should cooperate to achieve integrated ticketing to ensure that they are inter-operable with global payment systems, using open standards; Avoid proprietary closed-loop systems; Integrated ticketing on multi-modal travel can only be achieved if all participating transport operators are fully inter-operable; The technology with the highest probability of successful implementation: An EMV-compliant payment instrument based on contactless technology issued by the banking industry. EMV stands for international standard of these cards, namely the Europay-Mastercard-Visa standard. NDOT came to this conclusion after being advised by experts regarding AFC systems throughout the world. The biggest problems the EMV solution resolves are (a) that it provides a medium (i.e. card) that is inter-operable between all public transport operators using electronic AFC systems; and (b) the information is secure and is much less vulnerable to fraud than other AFC systems used throughout the world (such as was experienced regarding the original Oyster card used in London). At that time the City team considered this matter and concluded that there are good reasons to support this national vision. In June 2011, the NDOT issued regulations that require that no public transport operator may implement an automated fare system, unless in complies with the following rules: Bank-issued fare media (i.e. a bank-issued card) must be used; The AFC system must be interoperable through all issuing and acquiring banks; Clearing and settlement of payment transactions must take place through National Payment System, run by South African banks; The payment system must adhere to the banking regulatory framework; For single trips a different system may be used, but passengers may not be allowed to reload trips onto the single trip card. It is important to note that this vision of interoperability already finds practical application: in addition to the myconnect card, bank cards linked by to a local taxi association are also being used on our system. Public transport operators who have implemented AFC systems prior to June 2011, such as the Gautrain, have until June 2016 to switch over to a EMV-compliant system. They have to carry all costs required to make this switch, including the installation of new infrastructure. IRT Progress Report No 24 V4.2 January 2012 Page 64 of 70 Tender As envisaged by the Business Plan, the seven-year Automated Fare Collection (AFC) system contract was awarded in February 2011. The contract covers the implementation, operation and maintenance of an AFC system for the MyCiTi bus rapid transit system. It was awarded to ICT Works (Pty) Ltd, and has as one of its subcontractors, ABSA bank, which provides the myconnect card and the EMV compliant back-office system. This system takes about 18 months to roll out before it is fully functional. Where an interim electronic fare system is required (such as the case of the current roll-out of Milestone 0, using handheld validators and other tools) it may take as much as 24 months for the full system to become operational. Interim fare systems implemented in the meanwhile Rather than delay the launch of the MyCiTi services until the full fare system was in place, interim fare systems were devised to allow people to travel on the buses while the myconnect card system was finalised and tested to ensure that it is implemented successfully in a phased manner: Initially, an interim paper ticket was implemented, for the period before the Milestone 0 automated fare system was in place. This system was phased out over December 2011 and January 2012. The Milestone 0 automated fare system was implemented. This was built round the myconnect card, but with the limited functionality possible to build within the period between the award of the contract and the end of 2011. This system replaced the paper ticket system over the above twomonth period. The interim paper ticket system was expensive, heavily reliant on additional temporary staff, and not very effective at avoiding fare evasion. The direct additional cost of the paper ticket system for the remainder of the financial year would have been as follows (based on costs in the last month before the myconnect card went live, November 2011): Cost element Printing of paper tickets Savings due to not requiring temporary Revenue staff on buses to sell paper tickets Monthly cost Months to end of FY Subtotal 170 000 5 850 000 483 720 4 1 934 880 Total 2 784 880 This excludes a range of indirect costs such as the cost of distributing tickets, control mechanisms, collection of ticket stubs, and stub counting to obtain passenger information. Background to contactless prepaid EMV cards The fare system tender was tailored to capitalise on emerging developments in the industry. From April 2010, South African banks have started issuing contactless cards with an “e-purse” that can be loaded with up to R1 500 at any time, with a maximum monthly turnover of R3 000 in cash. These cards allow transactions of up to R200 without needing an online connection to the banking system or verification by signature or PIN, as was previously required with all debit and credit card transactions. Such transactions qualify for the exemption from the Financial Intelligence Centre Act, granted by the Minister of Finance. The restrictions on these cards do not apply to bank cards issued by banks to their clients, where there are no balance limits or loading limits. Additional anonymous debit cards with e-purses, which can be used by people who do not have a bank account, are expected to be widely available from public transport operators and outlets in the retail sector. These payment cards are intended for making low-value payments of up to R200 through the e-purse facility, subject to the same financial limits as set out above. IRT Progress Report No 24 V4.2 January 2012 Page 65 of 70 The use of such cards to replace cash is expected to become widespread, with a wide range of retailers set to introduce systems to accept the contactless payment cards issued by the banking industry. There is significant benefit to retailers, since this payment method reduces the notes and coins, which pose significant security risks, on their premises. The fare system has been specified to integrate with these systems. As users “tap on” and “tap off” the system, the fare will be calculated and debited from the e-purse on the card. For the system to function, a network of points for loading value onto the e-purse, as well as prepaid transit products, will be required. These will be located at various strategic locations, including kiosks at the MyCiTi stations and participating retail outlets. It is expected that, in time, automatic teller machines (ATMs) will become the favoured point for loading cards directly from bank accounts, usually involving no handling of cash. Any payment card issued by the banking industry that has a contactless smartcard interface (which will shortly become standard with all new cards issued in South Africa) will be usable on the MyCiTi system. All EMV-compliant contactless card issuers have agreed that, in addition to e-purse functionality, they will incorporate an electronic data structure, which is defined by the National Department of Transport as a national standard, on all contactless cards. Besides the capability of loading electronic money onto the card, all cards will also have the capability of holding certain “transit products” or electronic tickets, as defined and sold by public transport operators (such as MyCiTi). A “transit product” could, for example, be a set of tickets for the week consisting of a specified number of journeys of a particular distance, or a ticket allowing multiple journeys within a fixed period of time – per day, week or month. The card readers will only subtract electronic monetary value from the e-purse if there is not a valid transit product stored on the card for the journey to be undertaken by the commuter. If a valid transit product has been loaded on the card, the terminal will deduct the journey from the transit product memory chip on the card or, in the case of a multi-journey period pass, allow access if the pass has not yet expired. For the purposes of fare payments, if there is insufficient float in the e-purse when the user taps off, the card will have to be reloaded before it can be used again, and the amount owed is debited at that point. The fare payments will be delivered directly to the MyCiTi bank account (either an account of the City or, once in place, an account of the ME). Where payment for a fare is made out of the cash float carried in the e-purse, the value deducted will be paid to the MyCiTi account the day after the deduction was made. Where a transit product sold by the City is an electronic prepaid ticket, the payment will be made to the MyCiTi account within a day of this sale, in which case the City will receive the cash in advance of most of the journeys being made. Take-up of the myconnect card As reported earlier, by 30 January 2012, a total of 16 402 myconnect cards have been issued. Card issuing has been as follows: Date Cumulative total cards issued By end November 2012 174 By end December 2012 2 220 By 20 January 2012 5 315 By 30 January 2012 16 402 The month with the highest customer numbers to date was December 2011 – the month in which the myconnect card was introduced – with a total of about 310 000 passenger journeys being taken on MyCiTi. It does not appear at present as if there has been any marked reduction in the number of MyCiTi customers since the introduction of the myconnect card. In the seven-day period from 19 to 25 January, a total of R280 834 was spent on MyCiTi services using the myconnect card (excluding the use of paper tickets and the airport service). This is the equivalent of 56 000 x R5 tickets. IRT Progress Report No 24 V4.2 January 2012 Page 66 of 70 Updated figures will be released as soon as they are available, to compare the extent of validations using the myconnect card to paper ticket sales. Resolution of problems, addressing risk and support Some initial technical problems were experienced, most of which have been resolved: Faulty cradles on the bus – all been identified and replaced; Power issues related to the cradles – rewired to another power point on the bus; “Sleep” and “power suspend” mode disabled – which means the validator is always ready for use and doesn’t have to be brought out of these modes by the conductor, who may panic and press buttons at random, causing the validator to completely ‘hang’ and have to be restarted; Phone mode disabled – which means that the conductors can’t change the mode from payment to phone mode and thus not be able to validate GPRS time activation extended to two hrs – which means when the driver turns the ignition of the bus off and back on again, he doesn’t have to remember to re-log onto the system again so that validation can take place. The following is a summary of processes that have been put in place to mitigate risks: A passenger is able to sell the card back to the City and be refunded with their original issuing fee – to be implemented by mid-February 2012; Two emergency tickets, equivalent to one trunk trip, are presently issued with every myconnect card sold, to assist passengers who get stuck in the system due to forgetting to load value – in particular whilst passenger get used to the system. This will be terminated during February 2012, once it is considered that commuters have sufficiently become used to the way the card works; Initially, in case of a proven ‘double charge’ (where a customer is accidentally charged twice, such as by tapping twice in quick succession when learning to use the card), a refund in the form of emergency tickets equivalent to the value overcharged will be provided; A low balance indicator has been built in to the system to remind passengers that their balance is low and they must top up; It is presently being investigated whether, if the ABSA system fails and a passenger has to wait more than a reasonable period to buy a card or top up (because they have don’t have adequate funds to pay for their trip), an emergency ticket will be made available for sale; If the validator on a feeder bus is faulty, the passengers are validated as they exit the bus at the next closed station and the faulty validator is replaced; Although conductors on the stations and buses and kiosk staff have been fully trained both in the classroom and in the field, there are still some operational procedures that need to be refined. It must be understood that it takes some time for operations staff to get used to the technology. The current arrangements for additional support for initial implantation of the AFC system, are as follows: During the roll-out during December and January, the AFC Contractors had dedicated staff at both Civic Centre Station and Table View Station to assist kiosk staff and passengers with initialising the cards and any AFC-related questions from passengers. Another two AFC assistants are roaming between the intermediate stations and randomly checking for faulty equipment on the buses, and providing inservice training; Four ABSA assistants are assisting with sale of cards, as well as with the loading of value onto the card; The AFC Helpdesk logs all reported faults and dispatches technicians to resolve problems on site; Internal City support staff have been identified for the various operational areas, and are assisting with problems daily as they arise on the system; A weekly (initially, daily) debriefing session has been held, similar to that setup during the World Cup, whereby all the functional area representatives identify and resolve operations-related problems, the aim being to implement the solutions the following day. This is –to continue until all operational issues have resolved. IRT Progress Report No 24 V4.2 January 2012 Page 67 of 70 Communication and marketing of the myconnect card The MyCiTi project introduced the myconnect card in a phased manner from 26 November 2011. The City of Cape Town’s Communication Department and externally contracted service providers supported this introduction with a communication and marketing drive that marketed this card to users of the MyCiTi service. The campaign has been multi-faceted and utilised a variety of media platforms, as outlined below, to ensure widespread knowledge, acceptance and usage of the card. Communication efforts broadly focused on four levels: media interactions; advertising; direct interactions with the public, and social/new media. Each type of communication sought to support and complement the other. Each type also held its own unique benefit for the overall objective of communicating about the myconnect card to as many possible users as possible. Messaging was also consistent across these four platforms. Media interactions included regular media releases and media articles, with at least twelve media releases issued on just this topic, since 25 November 2011. The Media Office also generated several radio interviews and follow up articles, from these releases. The Media Office also received and responded to many queries from members of the public and many journalists, particularly community media titles in the geographic footprint of the services. All of these responses were coordinated with the Mayoral Committee member for Transport, Roads and Stormwater, Cllr Brett Herron. In December 2011, Cllr Herron attended an event at the Civic Centre station with Marvin the MyCiTi mascot, at which the new card system was demonstrated to the media. This was also an excellent photo-opportunity for use in future marketing and advertising collateral. On 31 January 2012, a media briefing was held at the City, hosted by Cllr Herron and representatives from the National Department of Transport, ABSA and ICT-Works. (All media releases were posted to the City’s website.) The communications team made use of tactical advertising in all local and national media to inform the public of the introduction of the myconnect system. This campaign was managed through a cost-effective advertising agreement negotiated upfront to give the City the best advantage. This was enhanced through running an integrated campaign that coordinated consistent messaging across multiple platforms. Newspaper supplements were also utilised. Text, with supporting photographs and graphics, was supplied by the City. These supplements were circulated in particular to community titles in areas where it was most crucial to educate the public about the system. Advertorials and inserts were also published in daily city-wide newspapers. In addition, competition was held to encourage members of the public to get their cards by 15 January 2012 to qualify for a prizes consisting of free trips on the MyCiTi service. Direct interaction has also proved to be useful. This took the form of MyCiTi staff members handing out informational leaflets on the buses and at stations. On at least two occasions, Marvin the MyCiTi mascot was used as part of the hand-out exercise, with positive responses from commuters. Information posters were also displayed at the stations. Lastly, social and new media was consistently monitored for all commentary about the myconnect card. Social media is a useful tool to measure and protect a brand’s reputation and to identify any potential risks that are developing. Messaging on this platform was, as above, consistent with the overall system’s aims and objectives. While the campaign ensured widespread customer knowledge of the card and the system, it is essential that public feedback is continuously monitored and assessed, as not all commuters have accepted the use of the myconnect system. Effective communication can always assist with understanding and knowledge, but communication is reliant on the service delivered and system implemented. IRT Progress Report No 24 V4.2 January 2012 Page 68 of 70 Specific communication and marketing activities (a) Media releases regarding the myconnect card issued in December and January: 1 Dec 2011: 29 Dec 2011: 6 Jan 2012: 13 Jan 2012: 17 Jan 2012: 20 Jan 2012: 30 Jan 2012: card 31 Jan 2012: Cllr Herron and Marvin demonstrate the new myconnect fare system Get a myconnect card by 15 January 2012 and stand to win a six month free bus pass Get a myconnect card by 15 January and stand a chance to win a six-month bus pass MyCiTi bus myconnect card figures released Myconnect benefits MyCiTi passengers MyCiTi ticket sales end as myconnect kicks in (media alert for press conference) City to brief media on roll \out of MyCiTi’s myconnect Myconnect: setting the trend for public transport (press conference press release). (b) Publications in which adverts have been placed Airline Magazines: Die Son Khuluma Die Burger Mango Juice Community Newspapers in our footprint area Aboutime Other Print Media and supplements: High-Flyers, Equinox Cape Town Kids Map Magazines: Media 24 - 20 000 X Supplements Mobility 021 Magazine Independent Newspapers – 4 X Supplement Inserts Family Holiday & Leisure Magazine Die Son four-page Tabloid Supplement Die Burger four-page Tabloid Supplement Tygerburger four-page Tabloid Supplement Jazz Festival 2012 West Cape Business Journal Newspaper advertisements: Independent Newspapers The Next 48 Hours In addition to the above mentioned print media, an opinion editorial in the name of Councillor Brett Herron, Mayoral Committee Member for Transport, Roads and Stormwater, was published in the Cape Argus on 16 January 2012. (c) Radio stations on which myconnect adverts were flighted Good Hope FM Heart 104.9 FM Newspod (Radio Zibonele, Radio Tygerburger, Voice of the Cape) Cape Talk KFM (d) Social media Social media channels and platforms (including Facebook, Twitter, emails, websites and other appropriate channels) are monitored on a round-the-clock basis, to pick up any messages or mentions about the MyCiTi system or any elements of the system, such as the myconnect card. Depending on the types of mention, the most appropriate action is taken. This ranges from answering a request for information, to reporting an incident of reckless driving, for follow up with the vehicle operators. IRT Progress Report No 24 V4.2 January 2012 Page 69 of 70 As mentioned earlier in this report, already approved project messages are adapted and posted on these channels. Where possible, these channels are also used to direct customers to the City’s website or to the Transport Information Centre. The volume of traffic on these platforms varies, but they are responded to in the shortest possible time. The key benefit of social media channels is that customers are able to freely express their opinions without these being filtered, and that these opinions appear instantly in a public domain. To manage a (potential) wave of growing negative sentiment on a particular matter, it is important to respond to negative or uninformed comments quickly, before they are assumed to be accurate. Regarding the myconnect card: initial commentary and coverage was mostly negative, as the public felt an aversion towards banks and the payment of bank fees. The volume of commentary has subsided substantially, with more positive comments being expressed gradually. The comments from the public now reflect a willingness to give the City a chance to implement the system and an acceptance that as this is a new system, there are likely to be teething problems. Moving ahead to full implementation of the AFC system The full functionality of the AFC system, to be implemented by the latter half of 2012 and early 2013, will include: Distance based fares; Transit products, which could include the buying of transit points at bulk, weeklies, monthlies, staff cards, personalised cards etc.; An electronic single trip solution – for the “once-off” user, at a higher price for one trip than the myconnect card solution, but where it is not necessary for the customer to buy the myconnect card; Gates; Permanently mounted bus validators – which are much bigger in size and clearly show all messages such as successful/unsuccessful transactions; Rigorous inspection, with penalties being charged to fare evaders. In addition, a policy will be developed, together the Department of Finance, on how the City can provide the myconnect card to the indigent living in the route’s geographic footprint. The objective is to make the use of the card as widespread as possible. IRT Progress Report No 24 V4.2 January 2012 Page 70 of 70 ANNEXURE 4: Contact Details of Contributors Name Department Phone No Email John Martheze IRT Project Office 021 400 9140 John.Martheze@capetown.gov.za Abdul Bassier Dir: IRT Operations 021 400 9369 Abdul.Bassier@capetown.gov.za Dave Hugo Dir: IRT Implementation 021 400 9343 VictorDave.Hugo@capetown.gov.za Andrew Swanepoel IRT Consultant 021 400 9368 Andrew.Swanepoel@capetown.gov.za Dawie Bosch IRT Business Devt 021 400 9135 Dawie.Bosch@gmail.com Gershwin Fortune IRT Systems Planning & Modelling 021 400 9130 Gershwin.Fortune@capetown.gov.za Hennie Viviers Strategic HR 021 400 2596 Hennie.Viviers@capetown.gov.za Ronald Kingma IRT Operations 021 400 9352 Ronald.Kingma@capetown.gov.za Wallied Taliep Transport, Roads & Major Projects 021 400 9880 Wallied.Taliep@capetown.gov.za Kylie Hatton Communication 021 400 4684 Kylie.Hatton@capetown.gov.za Jedd Grimbeek PMIRT (MDA) 021 419 7733 Jedd@mdaprojects.co.za Johan Slabber PMIRT (MDA) 021 419 7733 johan@mdaprojects.co.za Ernst Viljoen PMIRT (MDA) 021 419 7733 Ernst@mdaprojects.co.za Peter Wortmann PMIRT (MDA) 021 419 7733 peter@mdaprojects.co.za Jan Seemann PMIRT (Ariya) 021 462 6047 jan@ariyaprojects.com Allan Twine PMIRT (Ariya) 021 462 6047 allan@ariyaprojects.com Tim Smith PMIRT (Davis Langdon) 021 423 7840 Tim.Smith@davislangdon.co.za Graham Harding PMIRT (Davis Langdon) 021 423 7840 Graham.Harding@davislangdon.co.za Andre Frieslaar PMIRT (HHO Africa) 021 423 1380 andre@hho.co.za Graeme Greenwood Operations Team 021 950 7500 graemeg@bks.co.za
