Agenda Item 8-A Action Item To: Chairman Cook and the VRE Operations Board From: Doug Allen Date: April 17, 2015 Re: Authorization to Modify VRE’s Tariff Recommendation: The VRE Operations Board is asked to authorize the Chief Executive Officer to amend VRE’s tariff to increase fares by 4 percent and increase the cost of Amtrak Step-Up tickets from $3 to $5 beginning July 1, 2015, without any change to the current ticket discount structure. Amendments are contingent on all jurisdictions adopting their FY 2016 Budget and including funding for the recommended VRE budget. Background: During the FY 2016 budget process, VRE staff recommended a fare increase of up to 4 percent. The Operations Board referred the FY 2016 Budget to the Commissions on December 19, 2014 for subsequent referral to the jurisdictions for their formal review and adoption, along with directing the CEO to get public comment on the proposed fare increase. VRE proposed an across the board increase of up to 4 percent, without any change to the current ticket discount structure, and an increase in cost of the Step-Up ticket from $3 to $5 per ticket. Public hearings were held in Washington, D.C., Crystal City, Burke, Woodbridge, Manassas, Stafford and Fredericksburg. The fare increase was recommended primarily due to increased operating costs associated with Positive Train Control (PTC), increased costs for train operations, and scheduled increased costs for track access, along with reductions in State Operating Assistance and no jurisdictional subsidy increase. In addition, plans are in place to open the Spotsylvania station and add an additional Fredericksburg Line train in summer 2015. The cost of Step-Up tickets is proposed to be increased due to the loss of the Commonwealth’s $2 subsidy per ticket, which expired December 31, 2014 concurrent with the opening of the I-95 HOT lanes. The public comment period began on February 18, 2015 and ran through March 12, 2015. Comments were received via e-mail and through public hearings. The hearings were attended by 35 people (7 Fredericksburg, 6 L’Enfant, 4 PRTC, 9 Manassas, 6 Crystal City, 2 Burke and 1 Stafford). During the public hearings, there was general acceptance of the need for the proposed fare increase as riders understood the need to balance the budget through a fare increase. However, some participants stated their opposition to the fare increase as it is a direct out-of-pocket expense increase for them. In addition to comments received at the public hearings, 61 emails were received. Public comments received via email were varied, but were predominantly in opposition to the proposed fare increase. A summary of the comments received is shown below: Summary of Comments Commented that the need to increase fares was understandable Negative comments on proposed increased fare Expressed concerns that fare increase should be used to improve on-time performance, services or capacity needs Concerned about the decrease/limited federal commuter tax benefit and how it impacts affordability of VRE and/or likelihood to explore alternative commuting mode(s) due to fare increase Number of Comments 11 35 13 29 Note: Summary of comments here do not equate to the total number of people who attended the hearings and/or submitted e-mails. Not all citizens who attended hearings made comments and some who made comments by email touched upon more than one topic. Per VRE’s Major Service Change/Fare Change Policy, staff analyzed the proposed fare increase and found no disparate impact based on race, color or national origin; or disproportionate burden on low-income populations. After reviewing the comments, VRE staff is recommending fares be increased 4 percent and the cost of Amtrak Step-Up tickets be increased from $3 to $5. Reduced fares for seniors and persons with disabilities have also been recalculated per federal requirements. A change is not being recommended to the existing ticket discount structure. Attached are revised fare tables, summary comments from the public hearings, email correspondence, and a memorandum on the Major Service Change/Fare Change Policy analysis. 2 Fiscal Impact: It is anticipated that the fare increase will generate $1.1 million in additional fare revenue in FY 2016. 3 Virginia Railway Express Operations Board Resolution 8A-04-2015 Authorization to Modify VRE’s Tariff WHEREAS, during the FY 2016 budget process, the VRE Operations Board authorized a proposed fare increase of up to 4 percent and an increase in the cost of Amtrak Step-Up tickets from $3 to $5; and, WHEREAS, as part of the FY 2016 VRE budget, VRE must increase revenue to cover increasing costs; and, WHEREAS, fares were last raised July 1, 2013; and, WHEREAS, VRE staff conducted an analysis of the proposed fare increase and found no disparate impact based on race, color, or national origin; or disproportionate burden on low-income populations; and, WHEREAS, VRE staff recommends this increase be accomplished through an across the board increase in fares with no change or modification to the current ticket discount structure; and, WHEREAS, VRE staff conducted public hearings in Washington, DC, Crystal City, Burke, Woodbridge, Manassas, Stafford and Fredericksburg on the proposed fare increase and has reported the comments received from the public via the hearings and through emails to the Operations Board with a summary of comments; and, WHEREAS, if adopted by all jurisdictions as part of their FY 2016 budgets, the fare increase will become effective July 1, 2015; NOW, THEREFORE, BE IT RESOLVED THAT, the VRE Operations Board does hereby authorize the Chief Executive Officer to amend the VRE Fare Tariff by increasing fares by 4 percent with no changes in the discount fare structure, and increasing the cost of Amtrak Step-Up tickets by $2. Approved this 17th day of April, 2015 ______________________________ John C. Cook Chairman ____________________________ Paul Smedberg Secretary 4 Attachment 8A.1 - Revised Fare Schedules Attachment 8A.1 - Revised Fare Schedules Attachment 8A.1 - Revised Fare Schedules Attachment 8A.1 - Revised Fare Schedules Attachment 8A.2 MEMORANDUM To: File From: Joseph M. Swartz, CoS Date: April 3, 2015 Re: FY 2016 Modification of VRE’s Fares Title VI Analysis The VRE Operations Board will be asked to recommend the Commissions increase fares by up to 4 percent beginning July 1, 2015, to coincide with the start of the FY 2016 budget year. VRE solicited public comment via e-mail, public hearings, letters and faxes. The comment period began on February 18 and concluded on March 12, 2015. VRE received 61 emails during the process and 35 people attended the public hearings. Location Date Fredericksburg, VA L’Enfant (Washington DC) Woodbridge, VA Manassas, VA Arlington, VA (Crystal City) Burke, VA Stafford, VA March 12 ,2015 February 19, 2015 March 3, 2015 February 26, 2015 February 25, 2015 February 24, 2015 February 18, 2015 Number of Attendees 7 6 4 9 6 2 1 In addition to comments regarding the change in fares, passengers also took the opportunity to relay opinions regarding their satisfaction with VRE service and ontime performance, ask questions about mid-day trains and turn-back trains, and advocate additional service/capacity. A summary of the comments received is shown below: Summary of Comments Commented that the need to increase fares was understandable Negative comments on proposed increased fare Expressed concerns that fare increase should be used to improve On-time performance, Services or Capacity needs Concerned about the decrease/limited federal commuter tax benefit and how it impacts affordability of VRE and/or likelihood to explore alternative commuting mode(s) due to fare increase Number of Comments 11 35 13 29 Note: Summary of comments here do not equate to the total number of people who attended the hearings and/or submitted e-mails. Not all citizens who attended hearings made comments and some who made comments by e-mail touched upon more than one topic. As required by VRE’s Major Service Change and Fare/Service Equity Policy, staff reviewed demographic data to determine if this fare increase would have disparate impact based on race, color, or national origin; or disproportionate burden on lowincome populations. This fare increase applies to all passengers at all stations using all ticket types. VRE staff reviewed the demographic results of the 2014 customer survey. The survey results found that no protected groups were unfairly targeted as shown below. In fact, the overwhelming majority of the passengers affected by this proposed change are from non-protected groups. Non-protected groups: 2014 Demographics Measure Percentage of VRE Passengers Male 62.08 Under 65 93.93 Household Income $75,000/year or 87.97 more Caucasian 67.42 Protected groups: 2014 Demographics Measure Minorities Low income (under $25,000) Moderate income ($49,000 or less) Percentage of VRE Passengers 32.58 0.77 3.91 Based on this information, VRE staff concluded this fare increase will not have a disparate impact based on race, color, or national origin; or disproportionate burden on low-income populations. Updated fare tables are attached. 2 Attachment 8A.3 Summary Comments from Public Hearings Attachment 8A.3 Summary Comments from Public Hearings Attachment 8A.3 Summary Comments from Public Hearings Attachment 8A.3 Summary Comments from Public Hearings Attachment 8A.3 Summary Comments from Public Hearings Attachment 8A.3 Summary Comments from Public Hearings Attachment 8A.3 Summary Comments from Public Hearings Attachment 8A.3 Summary Comments from Public Hearings Attachment 8A.3 Summary Comments from Public Hearings Attachment 8A.3 Summary Comments from Public Hearings Attachment 8A.3 Summary Comments from Public Hearings Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Attachment 8A.4 Email Comments Agenda Item 8-B Action Item To: Chairman Cook and the VRE Operations Board From: Doug Allen Date: April 17, 2015 Re: Authorization to Execute the Second Option Year for Custodial and Seasonal Services Contract ________________________________________________________________ Recommendation: The VRE Operations Board is asked to authorize the Chief Executive Officer to execute the second option year for the custodial and seasonal services contract with Fresh Air Duct Cleaning, LLC of Capitol Heights, MD in the amount of $1,900,000 for a total contract amount not to exceed $5,360,000. Background: On April 19, 2013, the Operations Board approved a new five-year contract with one base year and four one-year options for the custodial and seasonal services contract with Fresh Air Duct Cleaning, LLC. On April 18, 2014, the Operations Board approved execution of the first option year of the contract, which is set to expire on May 19, 2015. The contract includes base work along with task order work on an as-needed basis to address custodial, landscaping, snow removal, station and platform cleaning as well as trash removal services. VRE staff will return to the Operations Board to seek authorization for individual task order work above the Chief Executive Officer’s authority limit. Fiscal Impact: Funding for this contract is accounted for in the FY 2015 and FY 2016 operating budget for facilities custodial and winter weather services. 2 Virginia Railway Express Operations Board Resolution 8B-04-2015 Authorization to Execute the Second Option Year for Custodial and Seasonal Services Contract WHEREAS, VRE facilities require daily custodial and seasonal services including landscaping and snow removal; and, WHEREAS, a procurement was completed in April 2013 to provide facilities custodial and seasonal services over a period of five years, to include a base year, plus four one-year renewal options; and, WHEREAS, the VRE Operations Board approved execution of the first option year in April 2014; and, WHEREAS, the current first option year is set to expire on May 19, 2015; NOW, THEREFORE, BE IT RESOLVED THAT, The VRE Operations Board does hereby authorize the Chief Executive Officer to execute the second option year for the custodial and seasonal services contract with Fresh Air Duct Cleaning, LLC of Capitol Heights, MD in the amount of $1,900,000 for a total contract amount not to exceed $5,360,000. Approved this 17th day of April 2015 ______________________________ John C. Cook Chairman ____________________________ Paul Smedberg Secretary 3 Agenda Item 8-C Action Item To: Chairman Cook and the VRE Operations Board From: Doug Allen Date: April 17, 2015 Re: Authorization to Execute the Second Option Year for Facilities Maintenance Contract ________________________________________________________________ Recommendation: The VRE Operations Board is asked to authorize the Chief Executive Officer to execute the second option year for the facilities maintenance contract with NV Enterprises of Herndon, VA in the amount of $1,100,000 for a total contract amount not to exceed $3,300,000. Background: On April 19, 2013, the Operations Board approved a new five-year contract with one base year and four one-year options for the facilities maintenance services contract with NV Enterprises. On April 18, 2014, the Operations Board approved execution of the first option year of the contract, which is set to expire on May 19, 2015. The contract includes base work along with task order work on an as-needed basis to address electrical, plumbing, HVAC, generator and elevator repairs as well as other routine and preventive maintenance-related projects. VRE staff will return to the Operations Board to seek authorization for individual task order work above the Chief Executive Officer’s authority limit. Fiscal Impact: Funding for this contract is accounted for in the FY 2015 and FY 2016 operating budget for facilities routine and non-routine maintenance and repairs. 2 Virginia Railway Express Operations Board Resolution 8C-04-2015 Authorization to Execute the Second Option Year for Facilities Maintenance Contract WHEREAS, VRE facilities require routine and preventive maintenance; and, WHEREAS, a procurement was completed in April 2013 to provide facilities maintenance services over a period of five years, to include a base year, plus four one-year renewal options; and, WHEREAS, the VRE Operations Board approved execution of the first option year in April 2014; and, WHEREAS, the current first option year is set to expire on May 19, 2015; NOW, THEREFORE, BE IT RESOLVED THAT, the VRE Operations Board does hereby authorize the Chief Executive Officer to execute the second option year for the facilities maintenance contract with NV Enterprises of Herndon, VA in the amount of $1,100,000 for a total contract amount not to exceed $3,300,000. Approved this 17th day of April 2015 ______________________________ John C. Cook Chairman ____________________________ Paul Smedberg Secretary 3 Agenda Item 8-D Action Item To: Chairman Cook and the VRE Operations Board From: Doug Allen Date: April 17, 2015 Re: Authorization to Amend the Contract for Fare Collections Equipment and Software Maintenance Recommendation: The Operations Board is asked to authorize the Chief Executive Officer to execute a contract amendment with Scheidt & Bachmann for maintenance of the Fare Collections system equipment and software. The term of the amendment is an additional year with two option years to be executed at the discretion of the Chief Executive Officer. The cost is $660,480 per year plus a $20,000 contingency per year for inventory replacement. An estimated escalation of 3.1% per year based on the Producer Price Index (PPI) will be added for the option-years. The total amount of this amendment is $2,103,499, bringing the total contract authorization amount from $9,827,417 (October 2002 through June 2015) to $11,930,916. Background: In June of 2000, the VRE Operations Board authorized a contract with Scheidt & Bachmann (S&B) for the design and delivery of a new fare collection system. The initial contract included four years of preventive maintenance and repair support. In October of 2002, the system was accepted and the four year term for maintenance services began. The contract has been amended and modified over the past nine years as the technology and requirements by the Payment Card Industry (PCI) have changed. Because of the proprietary nature of the fare collection system and warranty considerations, S&B is the only vendor option to perform the ongoing system maintenance work and extension of their contract is required. The scope of the agreement will continue to provide two, full-time technicians to service the system. This allows VRE to have on-site technical support from 5 am until 7 pm on each service day, resulting in same day turnaround on down equipment, 98%+ system reliability, and same day resolution of passenger issues. More than 90% of their time is spent in the field. Pricing: Fare Collection Maintenance Pricing Scheidt & Bachmann Fare Collections Equipment and Software Maintenance Period Base Option 1 Option 2 Duration Contract Amount Estimated Escalation (3.1%) Discretionary Inventory Total by Period 7/1/2015 6/30/2016 1 year 660,480 - 20,000 680,480 7/1/2016 6/30/2017 1 year 660,480 20,475 20,000 700,955 7/1/2017 6/30/2018 1 Year 680,955 21,110 20,000 722,064 2,001,915 41,584 60,000 2,103,499 Start End The base annual maintenance fee for preventative and remedial maintenance effective July 1, 2015, is $578,900. That amount is derived from the 2012 amendment pricing of $530,000 with an annual escalation of 3.1% based on the Producer Price Index (PPI). This agreement will also include a fee for software maintenance and security which covers general updates and patches to the VRE fare collection application as well as updates that are necessary to maintain PCI compliance. The software maintenance fee also includes any fare changes that become necessary. The annual software maintenance fee is $81,580. The total annual price for the maintenance and software services provided by S&B is $660,480 ($578,900 maintenance + $81,580 software). The agreement will be for one additional year and two option years. Option year pricing includes an escalation of the cost on July 1 of each year, beginning in July 2016, based on the change in the PPI. For the purposes of the Operations Board authorization, a 3.1% escalation rate is assumed for the annual PPI based adjustment. The actual rate will be determined each year based on PPI fluctuation. In addition to S&B maintenance services, a discretionary allowance of $20,000 per year for spare parts inventory restocking and contingency is required. Under the 2 maintenance agreement, VRE is required to maintain a spare parts inventory at a pre-defined, minimum level. This allowance provides for restocking parts as the inventory is depleted throughout the year. While it is not anticipated that the full allowance will be used, it is included to address unforeseen events. Fiscal Impact: The FY 2016 Operating budget includes $850,000 for Fare Collection Maintenance, which will cover the $680,480 authorized under this amendment. Funding for Fare Collection Maintenance will be included in subsequent years’ budgets. 3 Virginia Railway Express Operations Board Resolution 8D-04-2015 Authorization to Amend the Contract for Fare Collections Equipment and Software Maintenance WHEREAS, on June 16, 2000, the VRE Operations Board authorized a contract with Scheidt & Bachmann for the delivery of a new fare collection system; and, WHEREAS, on October 31, 2002, the system was accepted and maintenance support began; and, WHEREAS, the current maintenance agreement is set to expire on June 30, 2015; and, WHEREAS, this proposed extension continues the support of two full-time technicians, while also including a software support module which has become necessary due to increasingly stringent requirements for data security and compliance with the Payment Card Industry (PCI) standards; NOW, THEREFORE, BE IT RESOLVED THAT, the VRE Operations Board does hereby authorize the Chief Executive Officer to execute a contract amendment with Scheidt & Bachmann for the maintenance of the Fare Collections system equipment and software in the amount of $660,480 per year with a $20,000 contingency per year for inventory replacement and estimated escalation of 3.1% per year based on the Produce Price Index (PPI). The term of the agreement is for an additional year with two option years to be executed at the discretion of the Chief Executive Officer. The total amount of the agreement is $2,103,499, bringing the total contract authorization amount from $9,827,417 to $11,930,916. Approved this 17th day of April 2015 ______________________________ John C. Cook Chairman ____________________________ Paul Smedberg Secretary 4 Agenda Item 8-E Action Item To: Chairman Cook and the VRE Operations Board From: Doug Allen Date: April 17, 2015 Re: Authorization to Execute a Contract for Mechanical Engineering Consulting Services Recommendation: The VRE Operations Board is asked to authorize the Chief Executive Officer to execute a contract with STV, Inc. of Fairfax, VA for the provision of Mechanical Engineering Consulting Services (MEC VI) for a period of no more than five years and not to exceed $5,000,000. Background: VRE’s requirements for mechanical engineering services include engineering support for passenger car and locomotive upgrades, repair and overhaul work as well as system-wide improvements such as new passenger car and locomotive procurement and PTC implementation. VRE has found the use of a mechanical engineering consultant to be time and cost efficient compared to completing numerous, separate procurements. The contract will be a task order agreement. VRE staff will return to the Operations Board for approval of task orders that exceed the Chief Executive Officers authority limit. The current mechanical engineering consultant service contract (MEC V) has reached the maximum authorized contract amount of $5,000,000. On July 18, 2014, the VRE Operations Board approved a request to issue a Request for Proposals (RFP) for Mechanical Engineering Consultant Services. In accordance with Virginia Public Procurement Act, professional, architectural and engineering services must be procured through a competitive negotiation process. Only after first evaluating the technical merit and qualifications of the prospective Offerors can negotiations be initiated with the top-ranked Offeror to determine price. A mailing list of ninety-four (94) prospective Offerors was established for the solicitation to ensure access to adequate sources of services. On February 20, 2015, an RFP was issued and proposals were due on March 23, 2014. Only one (1) response was received. The staff conducted a survey to determine why only a single proposal was received and is satisfied with the result. Evaluation of the Proposals received was performed by the Technical Evaluation Team (TET), which consisted of four VRE staff members. The TET met to discuss and evaluate the Proposals using the following criteria: Evaluation Criteria A. Demonstrated project approach and management plan, including an understanding of the project scope and technical requirements, as well as methods and procedures for quality assurance/control of the services provided and project deliverables. B. Demonstrated relevant experience of the firm and key personnel with passenger rail and rolling stock projects. C. Demonstrated experience of the firm and key personnel with Federally funded passenger rail projects involving the Federal Transit Administration (FTA), Federal Railroad Administration (FRA), American Public Transportation Association (APTA) and Americans with Disability Act (ADA). D. Ability of the firm to perform field modifications, repairs and regular maintenance to VRE’s fleet of rolling stock. E. Demonstrated knowledge and qualifications of the proposed Project Manager including demonstrated experience with timely delivery of similar projects employing applicable technical skills. F. Demonstrated relevant experience of proposed personnel assigned to VRE projects and task orders. G. Location of proposed personnel assigned to VRE projects and task orders. H. Professional credentials of proposed personnel assigned to VRE projects and task orders. 2 It was determined that the proposal from STV, Inc. was technically compliant. Below is the final ranking of firms who submitted a proposal: Offerors STV, Inc. of Fairfax, VA STV, Inc. has previously performed work under MEC III, MEC IV and MEC V contracts for VRE. VRE staff has certified that the highest ranked Offeror’s price is fair and reasonable based on the cost estimate for this project. Fiscal Impact: Funds for the MEC VI contract are budgeted through specific projects in VRE’s adopted CIP or annual operating expenses. Each task order recommended for authorization by the Operations Board will include project specific funding information. 3 Virginia Railway Express Operations Board Resolution 8E-04-2015 Authorization to Execute a Contract for Mechanical Engineering Consultant Services WHEREAS, VRE requirements for mechanical engineering consulting services include both specific project work and system-wide improvements; and, WHEREAS, use of a mechanical engineering consulting services has proven to be more efficient than executing numerous, separate procurements; and, WHEREAS, MEC VI will include tasks to develop standards and maintain existing equipment in a state of good repair and support projects that expand capacity; and, WHEREAS, funding to support the MEC services are budgeted in VRE’s operating and capital budgets; NOW, THEREFORE, BE IT RESOLVED THAT, the VRE Operations Board does hereby authorize the Chief Executive Officer to execute a contract with STV, Inc. of Fairfax, VA for the provision of Mechanical Engineering Consulting Services (MEC VI) for a period of no more than five years in the amount not to exceed $5,000,000. Approved this 17th day of April 2015 ______________________________ John C. Cook Chairman ____________________________ Paul Smedberg Secretary 4 Agenda Item 8-F Action Item To: Chairman Cook and the VRE Operations Board From: Doug Allen Date: April 17, 2015 Re: Authorization to Execute a Sole Source Agreement for Electric Service at L’Enfant Siding Recommendation: The VRE Operations Board is asked to authorize the Chief Executive Officer to execute a sole source agreement with Potomac Electric Power Company (Pepco) to extend electric service to L’Enfant Siding for an estimated amount of $108,890, plus a ten percent contingency of $10,889, for a total not to exceed $119,779. Background: VRE and CSX Transportation (CSXT) are collaborating to repurpose the existing L’Enfant Siding on the CSXT RF&P Subdivision in the District of Columbia to serve as a midday storage track for VRE trains. Later this year, a VRE contractor will install wayside power appliances alongside the track to provide layover power to VRE trainsets stored on the siding. Concurrently, CSXT forces will install new powered turnouts and provide signal modifications necessary for remote operation of the siding. Pepco must extend electric service to L’Enfant Siding prior to the start of other installations. Pepco will supply the labor and materials to install the conduit and cabling needed to extend electric power. As the sole provider of commercial electric power in the subject area, Pepco requires its work forces construct the extension of electric power. Pepco provided VRE a cost estimate for this work on February 26, 2015, (see accompanying letter from Pepco). Fiscal Impact: This project is included in the approved Capital Improvement Program and is funded through several federal formula grants (VA-05-0038, VA-05-0041 & 0042, VA-90-X307 and VA-90-X401) with accompanying state and local match. 2 Virginia Railway Express Operations Board Resolution 8F-04-2015 Authorization to Execute a Sole Source Agreement for Electric Service at L’Enfant Siding WHEREAS, VRE and CSX Transportation are collaborating to repurpose L’Enfant Siding in the District of Columbia to serve as a midday storage track for VRE trainsets; and, WHEREAS, it is necessary to extend electric service to L’Enfant Siding in order to provide wayside power to VRE trains laying over on L’Enfant Siding; and, WHEREAS, the Potomac Electric Power Company (Pepco) is the sole provider of commercial electric power in the subject area and requires that its work force install conduit and cabling necessary to extend electric service L’Enfant Siding; and, WHEREAS, this agreement will provide the requisite electric service that will result in the track activation; and, WHEREAS, the cost of Pepco extending service are not expected to exceed the amount requested in their cost estimate of February 6, 2015; NOW, THEREFORE, BE IT RESOLVED THAT, the VRE Operations Board does hereby authorize the Chief Executive Officer to execute a sole source agreement with Pepco for the extension electric service to L’Enfant Siding for an estimated amount of $108,890, plus a ten percent contingency of $10,889, for a total not to exceed $119,779. Approved this 17th day of April 2015 ______________________________ John C. Cook Chairman _____________________________ Paul Smedberg Secretary 3 Agenda Item 8-G Action Item To: Chairman Cook and the VRE Operations Board From: Doug Allen Date: April 17, 2015 Re: Authorization to Execute a Contract for Engineering, Environmental and Construction Services for the Lifecycle Overhaul and Upgrade Facility Recommendation: The VRE Operations Board is asked to authorize the Chief Executive Officer to execute a contract to (name of firm to be provided at the board meeting via bluesheet) for engineering, environmental and construction services for the Lifecycle Overhaul and Upgrade Facility project in the amount not to exceed (amount to be provided at the board meeting via bluesheet.) Background: In accordance with Virginia Public Procurement Act (VPPA) and the Federal Brooks Act, professional architecture and engineering services must be procured by a competitive negotiation process. Only after first evaluating the technical merit and qualifications of the prospective Offerors can negotiations be initiated with the topranked Offeror to determine price. Therefore, an evaluation must be made of both technical merit and price to achieve a best value determination. Price alone may not be the basis of an award for this Contract. In January 2014, the VRE Operations Board adopted a life cycle maintenance strategy for VRE rolling stock. The basis of this strategy is to maintain VRE locomotives and passenger cars at the highest level of reliability throughout the life cycle of the equipment. VRE needs to add a new building designed and fitted to specifically perform this work and fully dedicated to these activities at Crossroads Yard. On September 19, 2014, the Operations Board authorized issuance of a Request for Proposals (RFP) for consultant Engineering, Environmental and Construction Services for the Lifecycle Overhaul and Upgrade (LOU) facility to be built at VRE’s Crossroads Yard in Fredericksburg, Spotsylvania County. The consultant will identify the equipment and facility requirements to undertake heavy maintenance of the VRE locomotives and railcars. The design will include steel framed aluminum building with access at either end. Design and construction of tracks leading to and from the new LOU facility will enable the maintenance operations to occur independent of the Train Wash, and the Service & Inspection Building which are both near the proposed location of the new LOU facility. A mailing list of eighty-four (84) prospective Offerors was established for the solicitation to ensure access to adequate sources of services. Additionally, the RFP was advertise on eVA, the Commonwealth of Virginia’s online procurement website. On February 6, 2015 an RFP was issued with proposals due on March 24, 2015. Seven (7) responses were received. Evaluation of the Proposals received were performed by a Technical Evaluation Team (TET), which consisted of three VRE staff members and one Potomac and Rappahannock Transportation Commission (PRTC) staff member. The TET met to discuss and evaluate the Proposals using the following criteria: Evaluation Criteria Proposals may earn up to 1000 points for responses to the requirements of the RFP. Demonstrated knowledge and qualifications of the proposed Project Manager including demonstrated A. experience with timely delivery of similar projects employing applicable technical skills. B. Demonstrated knowledge and qualifications of the personnel proposed for the project team including depth of experience in complex railroad and facility design projects. 2 Possible Points Weight (Multiplier) Maximum Possible Score 0 - 10 25 250 0 - 10 25 250 Demonstrated project approach and management plan including an understanding of the project scope and technical requirements as well as methods and procedures for quality assurance/control of the services provided and project deliverables. 0 - 10 25 250 Demonstrated capability and expertise of the proposed firm(s) to include conceptual, preliminary, and final D. design of track/guideway, signal and communication, and maintenance facilities as well as experience working with CSXT. 0 - 10 10 100 Availability of the proposed firm(s) and personnel assigned to the project relative to their competing workloads and geographic proximity. 0 - 10 15 150 C. E. Interviews were conducted with the three (3) highest ranked Offerors. Formal negotiations with the top ranked firm were subsequently conducted. It is determined the proposal from (name of firm to be provided at the board meeting via bluesheet) is technically compliant and the best value for the project. Offerors Listed in Alphabetical Order 1. Gannet Fleming, Inc. of Fairfax, VA 2. HDR Engineering, Inc. of Norfolk, VA 3. Michael Baker Jr., Inc. of Alexandria, VA 4. Parsons Brinckerhoff, Inc. of Herndon, VA 5. Rummel, Klepper & Kahl, LLP of Fairfax, VA 6. STV Inc. dba STV Group Inc. of Fairfax, VA 7. SYSTRA Consulting, Inc. of Vienna, VA Once the Contract is executed, VRE staff will meet with (name of firm to be provided at the board meeting via bluesheet) to develop a detailed project schedule and work plan. It is expected the completion of the project will occur within eighteen (18) months. Due to a requirement to have the LOU facility 3 operating in January 2017, the schedule for the design and construction are compressed. The environmental services and engineering design is expected to take five (5) months and may overlap with the construction procurement services in order to get the package out to contractors to bid. It is expected that the construction will take place within twelve (12) months to meet the January 2017 occupancy requirement. Fiscal Impact: Funding $22,500,000 for the project is included in the FY 2015 Capital Budget, through Federal Formula Funds (5337) and funding from State Mass Transit funds with a VRE Subsidy match. 4 Virginia Railway Express Operations Board Resolution 8G-04-2015 Authorization to Execute a Contract for Engineering, Environmental and Construction Services for the Lifecycle Overhaul and Upgrade Facility WHEREAS, in January 2014, the VRE Operations Board adopted a life cycle maintenance strategy for VRE rolling stock; and, WHEREAS, the basis of this strategy is to maintain VRE locomotives and passenger cars at the highest level of reliability throughout the life cycle of the equipment; and, WHEREAS, VRE needs to add a new building designed and fitted to specifically perform this work and fully dedicated to these activities at the Crossroads Yard; and, WHEREAS, the VRE Operations Board authorized a Request for Proposals (RFP) on September 19, 2014 for consultant services to assist in undertaking the Engineering, Environmental and Construction Services for the Lifecycle Overhaul and Maintenance Facility; and, WHEREAS, on February 6, 2015 an RFP was issued and seven (7) responses were received on March 24, 2015; and, WHEREAS, subsequent to a review by the Technical Evaluation Committee (TET), the TET unanimously recommends that the Operations Board award a contract to (name of firm to be provided at the board meeting via bluesheet;) NOW, THEREFORE, BE IT RESOLVED THAT, the VRE Operations Board does hereby authorize the Chief Executive Officer to execute a contract with (name of firm to be provided at the board meeting via bluesheet) for Engineering, Environmental and Construction services for the Lifecycle Overhaul and Maintenance project in the amount not to exceed (amount to be provided at the board meeting via bluesheet.) Approved this 17th day of April 2015 ______________________________ John C. Cook Chairman ____________________________ Paul Smedberg Secretary 5 Agenda Item 8-H Action Item To: Chairman Cook and the VRE Operations Board From: Doug Allen Date: April 17, 2015 Re: Authorization to Issue a Supplemental Task Order to AECOM Task Order #2 of GEC VI for Field Work for the Alexandria Station Pedestrian Tunnel Project Recommendation: The VRE Operations Board is asked to authorize the Chief Executive Officer to issue a Supplemental Task Order to GEC VI AECOM Task Order #2. This Supplemental Task Order is for geotechnical field work for soils borings in support of the Alexandria Station Pedestrian Tunnel project, in an amount of $45,405 plus a 10% contingency of $4,540, for a total of $49,909. The Supplemental Task Order amount of $49,909 is in addition to the previously authorized amount of $173,645, bringing the total amount authorized for AECOM Task Order #2 to $223,554. Background: VRE is engaged in the design and construction of a new pedestrian tunnel at Alexandria Station on the CSX Transportation (CXST) RF&P Subdivision in the City of Alexandria. In May 2013, VRE executed GEC VI Task Order #2 for $49,941 with AECOM to manage mobilization activity, geotechnical investigations, and secure appropriate Railroad Protective Liability Insurance for the project team during field investigations. During the course of the project, the Washington Metropolitan Area Transit Authority (WMATA) identified additional permitting and insurance requirements and CSXT required additional coordination to comply with its insurance requirements. A supplementary task order for $29,380 was approved by the VRE Operations Board in October 2013 for this additional work. Additional coordination efforts were required by AECOM as the project progressed from CSXT to obtain a Right-of-Entry and from WMATA regarding services provided to be by its work force. Additional soils borings were also identified by the tunnel project prime contractor (Gannett Fleming). A second supplemental task order was approved by the VRE Operations Board for $94,324 in April 2014 for this additional work. Field work was subsequently delayed by a lack of CSXT flaggers, requiring AECOM to reapply for WMATA permits and provide additional coordination with agencies and subconsultants. Further, the CSXT flaggers were only made available on weekends, changing the nature of the field work from the original scope of services. This extended the duration of field work over a longer period and triggered cost differentials for weekend work. AECOM’s geotechnical subconsultant indicated that additional fees are due to the additional complexity driven by the specific locations of the soils borings requiring two types of soils boring drilling apparatus and more complex testing to further understand the soils conditions, as a result of conceptual studies conducted by Gannett Fleming. With this justification, AECOM has requested $45,405, and with a 10% contingency of $4,504, the total approval requested is $49,909. This supplement brings GEC VI AECOM Task Order #2 to $223,554. AECOM has confirmed this requested supplement is for work yet to be performed and in addition to work addressed in previous supplements. Project Budget: The current VRE project budget for the Alexandria Pedestrian Tunnel is estimated at $11,099,860. As the design efforts progress, specifically the tunneling method and coordination of all construction activity required, VRE will work with Gannett Fleming to refine the estimated costs. Once AECOM and their subconsultants complete the fieldwork, their work will be complete and this task order will be closed out. Fiscal Impact: Funds for the project are included in VRE’s Capital Improvement Program. Grant funds are provided by VDOT through the Federal Highway Administration’s Rail Crossing and Rail Safety program ($8,721,865). Funding is also provided by NVTA ($1,300,000). No local match is required. Additional funds will be secured, if required, prior to commencement of project construction. No VRE funds are being allocated for this project at this time. 2 Virginia Railway Express Operations Board Resolution 8H-04-2015 Authorization to Issue a Supplemental Task Order to AECOM Task Order #2 of GEC VI for Field Work for the Alexandria Station Pedestrian Tunnel Project WHEREAS, in May of 2013 the CEO executed Task Order #2 to AECOM for $49,941 under the GEC VI contract for mobilization management and to secure insurance for the project team; and, WHEREAS, in October of 2013, VRE received Board approval to issue a supplemental task order to AECOM for $29,380 under the GEC VI contract for additional WMATA permitting and insurance requirements; and, WHEREAS, in April of 2014 VRE received Board approval to issue a second supplemental task order to AECOM for $94,324 under the GEC VI contract for renewing WMATA permits, additional coordination, and performance of additional geotechnical testing; and, WHEREAS, additional work and hours are required due to flagger availability, shifting fieldwork to weekends, and increased complexity driven by the specific locations of the soils borings (stipulated by Gannett Fleming) requiring two types of soils boring drilling apparatus and more complex testing to further understand the soils conditions, as a result of conceptual studies conducted by Gannett Fleming; and, WHEREAS, this supplemental task order will allow the current field work to be completed without delaying the Alexandria Station Tunnel Project; NOW, THEREFORE, BE IT RESOLVED THAT, the VRE Operations Board does hereby authorize the Chief Executive Officer to issue a Supplemental Task Order to GEC VI AECOM Task Order #2 for field work associated with the Alexandria King Street Station Pedestrian Tunnel project in an amount of $45,405, plus a 10% contingency of $4,540, which is in addition to the previously authorized amount of $173,645, bringing the total amount authorized for Task Order #2 to $223,554. Approved this 17th day of April 2015 __________________________________ John C. Cook Chairman ____________________________ Paul Smedberg Secretary 3 Agenda Item 9-B Information Item To: Chairman Cook and the VRE Operations Board From: Doug Allen Date: April 17, 2015 Re: Management Audit Recommendations Update Background At the January 16, 2015 meeting, the Operations Board accepted the Management Audit. Included in the Management Audit Report were recommended improvements to VRE’s organizational structure and practices, VRE’s functions and processes, and VRE Operations Board oversight. Attached are the short-term (less than 12 months) actions recommended in the report and their current disposition. VRE MANAGEMENT AUDIT RECOMMENDATIONS Short Term (less than 12 months) Recommendation Description VRE Lead Progress Update Target Date/ Complete Organizational Alignment with Strategic Develop a strategic business plan and financial plan to implement the Plan 2040 System Plan and enhance other business processes, including performance measures and a multiyear financial plan. J. Swartz Work on the financial plan has begun (Board update at March meeting). A consultant Task Order Request to support staff in development of the business plan has been forwarded to the Management Audit consultant team. Business Plan: July Financial Plan: July Capacity/Staffing to Support Strategic Goals D. Boxer Awaiting jurisdictional approval of VRE's FY16 Budget July D. Allen First meeting scheduled COMPLETE Under development June Procurement staff analyzing advantages/disadvantages; writing position paper. July New templates are under development July VRE Structure and Practices Relationship Between Executive Directors and CEO Oversight of VRE by Commisions VRE Functions and Processes Purchasing Cards Procurement Protocals Implement VRE staff changes as proposed in VRE management’s FY 2016 budget (including transfer of three employees from the rail maintenance contractor to VRE) and implement a review of staffing needs as part of the annual budgeting process. Develop a schedule for regular roundtable discussions between the Executive Directors, the VRE CEO, and chairs of each Commission and the VRE Operations Board (or designee) to coordinate issues jointly concerning VRE and the two Commissions. Develop and deliver an informational presentation to each Commission on members’ roles and responsibilities with respect to VRE in their capacity as Commissioners. Evaluate advantages and disadvantages of replacing its current credit cards with purchasing cards. S. MacIsaac D. Boxer Job Descriptions Update procurement templates to reflect new technologies and expand use of blanket purchase orders. Develop Job Descriptions/Classifications for New Staff Positions A. Gotthardt Under development July Training Develop an annual schedule and guidelines for routine staff training. A. Gotthardt Under development December CEO Evaluation Legal Councel Review Periods Document the process for CEO evaluation. Document timeframes required for items commonly reviewed by legal counsel to establish reasonable expectations for all parties of how long reviews should take. Identify assistant attorneys able to directly field inquiries from VRE staff. A. Gotthardt Under development J. Swartz Reviewing information TBD September S. MacIsaac On-going On-going Examine staffing levels and opportunities to quarter legal staff at VRE. S. MacIsaac Reviewing information September Legal Councel Review by Assistant Attorneys Legal Staffing Levels G. Hill Establish Legal/VRE staff progress meetings Establish quarterly progress meetings between legal counsel and the VRE management team. J. Swartz Agreed on one monthly in-person meeting in addition COMPLETE to weekly conference calls. Grant Reimbursement Support PRTC in exploring options to streamline federal grant reimbursements by better utilizing IT systems such as additional features of the Microsoft SharePoint program to post a draw calendar (including staff absences) so timing can be better coordinated between VRE and PRTC. As PRTC completes the implementation of a new financial management system and addresses the noted deficiencies, provide support to PRTC as needed. Provide a copy of PRTC’s periodic progress reports to VRE Operations Board members as an information item, so that they are kept abreast of progress towards resolution of this issue. D. Boxer On-going On-going D. Boxer On-going On-going Audits Work with external reviewers (to the extent that VRE is able) to optimize the efficiency of file sharing and other protocols of the review. Continue to examine additional steps to productively support external reviews, including use of technology and additional staffing. D. Boxer On-going On-going Technology Management Hire a senior IT manager-level position, as recommended in VRE management’s FY 2016 budget, and consider the appropriate reporting relationship for this hire. Perform a detailed assessment of VRE technology needs to understand where technology gaps exist. C. Henry Position was posted with a closing date of February 20 May J. Duque This analysis has been started, but is awaiting new IT Director to complete. TBD S. MacIsaac Being developed April S. MacIsaac Discussion with Ops. Board at April 20th meeting May D. Boxer/S. MacIsaac Under development May A CY2015 Major Board Actions calendar and a Recuring Annual Board Actions calendar have been developed and presented to the Operations Board at the February meeting. COMPLETE PRTC Financial System Progress Technology Assessment Operations Board Oversight Board Involvement in Procrement Provide annual briefing on procurement process. Process Procurement Authorization Thresholds Review and adopt recommended procurement authorization and approval thresholds Board Packets Develop revised template for board agenda items regarding procurements to provide more detail on the fiscal impacts of purchases and the rationale for the selected procurement approach. Board Calendar Add an information item to each month’s Operations Board agenda that summarizes major issues anticipated for the next month’s meeting, as well as any known major items planned for discussion at subsequent meetings over the next 12 months. CEO Report Augment the existing CEO Report by including a dashboard performance summary, executive letter from the CEO, and additional performance measures for each department tied to the organization’s strategic business goals. L. Lamb B. Jungwirth Under development July Board Orientation andTraining Implement a full-day orientation program for new Operations Board members. Develop comprehensive board orientation and training materials. Develop a mailing list to electronically disseminate notice of agendas and meeting packets and other documents to local agency staff, other interested stakeholders, and members of the public. J. Swartz Board Meeting Public Access Public Access to VRE Operations Board Meetings: Investigate video or audio recording meetings and posting video/audio online for access by the public. J. Duque VRE IT staff are working with Commission staff to July investigate new technologies that would give VRE this capability. CAO Task Force/VCC Meetings Develop annual meeting schedule, with meetings in both Woodbridge and Alexandria to facilitate access by all member jurisdictions. L. Lamb Under development Dissemination of Board Information to Stakeholders Orientation and training materials are being developed L. Lamb June COMPLETE July Agenda Item 9-C Information Item To: Chairman Cook and the VRE Operations Board From: Doug Allen Date: April 17, 2015 Re: 2015 Meet the Management Events Schedule VRE’s “Meet the Management” program is our opportunity to meet with our riders in person to hear any questions, comments or suggestions for improvement they may have. This year’s Meet the Management events will start on April 29th and run through June 3rd. Operations Board members are welcome to attend and should contact the Board Secretary, Lezlie Lamb, for details. Date Station Times April 29, 2015 Union Station All Evening Trains May 13, 2015 L'Enfant All Evening Trains May 20, 2015 Crystal City All Evening Trains May 27, 2015 Alexandria All Evening Trains June 3, 2015 Franconia/Springfield All Evening Trains Major Board Actions for 2015 As of April 7, 2015 January Award Contract for Maintenance of Equipment and Facilities* Task Order for Capacity Simulation Support Task Order for Industrial Stormwater General Permit Compliance Public Hearings for Proposed Fare Increase Revisions to Amended FY 2015 and Recommended FY 2016 Operating and Capital Budgets* Amend the Financial Advisor Contract and Award a Task Order for Development of a VRE Financial Plan Acceptance and Forward Management Audit Report to the Commissions* February March Award Contract for Financial Auditing Services Award Contract for G-H Planning Financial Plan Status Update Recommend Authorization to Execute Agreement with Amtrak for Access and Passenger Equipment Storage at Washington Union Station and Terminal Approve Purchase Order for the Purchase of Locomotive Wheels April Authorization of Fare Increase** Approve Option Year for Custodial and Seasonal Services Contract (Stations)* Approve Option Year for Facilities Maintenance Services Contract (Stations)* Approve Award of Mechanical Engineering Consulting (MEC VI) Contract Major Board Actions for 2015 As of April 7, 2015 Authorization to Amend the Contract with Sheidt & Bachmann for Fare Collection Equipment Maintenance and Software Support Discussion of Procurement Authorization and Approval Thresholds May Approve Option Year for Keolis Operating Contract* Approve Award of Disaster Management Services Contract Approve Updated Procurement Authorization and Approval Thresholds Financial Plan Status Update and Discussion June Capital Committee Updated Board Orientation/Annual Board Refresher Training Business Plan Work Session July Audit Committee Key Budget Issues (formerly called “Budget Guidelines)* Financial Plan Work Session August - No Meeting September Referral of Preliminary FY 2017 Operating and Capital Budget to the Commissions* October Board Recognition Program Discuss 2016 Legislative Agenda November Forward FY 2015 Audited Financial Statements and Auditor’s Report to the Commissions* Approve 2016 Legislative Agenda* Major Board Actions for 2015 As of April 7, 2015 December Referral of the Revised FY 2016 and Recommended FY 2017 VRE Operating and Capital Budgets to the Commissions and Localities* Approve Option Year for Diesel Fuel Delivery Services Contract * Annually recurring Actions ** Recurring as necessary