Meeting_Body
CONSTRUCTION COMMITTEE
JUNE 18, 2025
Subject
SUBJECT: PROGRAM CONTROL SUPPORT SERVICES
Action
ACTION: APPROVE RECOMMENDATIONS
Heading
RECOMMENDATION
Title
CONSIDER:
A. AUTHORIZING the Chief Executive Officer to increase authorized funding for Contract No. PS89856000 with Kal Krishnan Consulting Services/Triunity Engineering and Management Joint Venture (KTJV), for pending and future Contract Work Orders to continue to provide Program Control Support Services (PCSS) in an amount Not-To-Exceed (NTE) $35,000,000, increasing the current authorized funding limit for the base contract from $50,000,000 to $85,000,000 through FY28; and
B. EXECUTING individual Contract Work Orders and Contract Modifications within the Board approved contract funding amount.
Issue
ISSUE
In January 2023, the Board approved awarding a five-year Contract No. PS89856000, plus two, one-year options, to KTJV, a DBE Prime Joint Venture, for Program Control Support Services. The award consisted of a five-year base contract value of $85,000,000, plus $38,000,000 for two, one-year options, resulting in a total not-to-exceed amount of $123,000,000 through Fiscal Year 2030, with a not-to-exceed funding amount of $50,000,000 for the first three years of the contract. This created the largest small business led consultant services contract at Metro.
Staff have awarded Contract Work Orders (CWOs) and modifications which have encumbered $42,963,747.52, which leaves $7,036,252.48 of the authorized funding remaining available for upcoming work. Attachment B lists the PCSS contract CWO/modifications executed to date. Each of the CWOs and corresponding modifications are funded from the associated project’s budget within the limits of Board authorization. Use of the contract has met staff expectations and the additional $35,000,000 funding authorization, increasing the current authorized funding limit for the base contract from $50,000,000 to $85,000,000, is now recommended. With only 14% in current authorization remaining uncommitted, this additional funding authorization is advantageous to execute contract work orders through FY28.
Background
BACKGROUND
To date, KTJV is continuing staff augmentation assignments on major transit construction projects, miscellaneous capital projects, rail and bus facility improvements, soundwalls, Regional Rail, Highway, and environmental projects; specialty assignments such as constructability reviews, risk assessment support, procedure writing and training, Project Management Information System (PMIS), DBE/SBE/DVBE compliance monitoring support services, DBE/SBE/DVBE commercially useful functions, and other projects as necessary (see Attachments B and C).
KTJV has been responsive and works with Metro staff to provide the qualified resources necessary for Program Control to meet the aggressive implementation schedule for delivering Metro’s Capital Program.
Discussion
DISCUSSION
Metro is continuing to undertake the largest transportation construction program in the nation. This creates an unprecedented challenge to project delivery. Recognizing that staffing is a key factor in project delivery, Metro Program Control is committed to developing strengths in its capacity and capability to ensure the multi-billion-dollar capital program can be successfully managed. Attachment C lists the projects the PCSS contract currently supports and those staff anticipate it will support over the duration of the contract. This list includes necessary support for both program-wide and project specific needs, the scope of which is further described below.
Metro staff works with KTJV to scale staff up or down depending on Metro’s transit, highway, regional rail and other capital improvement program needs. With the volume of work that accompanies Metro’s fast-paced Capital program, the PCSS contract utilization to assist Program Control, Program Management, and Diversity and Economic Opportunity Departments in securing enough qualified, flexible resources across a broad spectrum of disciplines in a timely manner is essential to manage and support delivery of Board approved projects. The PCSS contract allows Metro to augment staff efficiently and effectively, as required, to ensure proper resources needed to manage the projects are available to Metro in terms of staff availability and technical expertise.
Scope
Close coordination and expertise across multiple disciplines are required to support the project implementation schedule for delivering Metro’s Capital Program in the following seven key functions: Program Control, Diversity and Economic Opportunity Department (DEOD) small business programs, Federal Transit Administration Full Funding Grant Agreement Compliance, Project Control, Cost Estimating, Configuration Management and Other Technical Training, and Project Management Information System (PMIS) Support. Combining the above functions together into one contract has allowed for improved coordination and more efficient allocation of resources for Metro than would otherwise be possible under a series of separate contracts. These centralized controls support a uniform and consistent approach for cost, schedule, risk, and estimating across projects. To date, the PCSS contract has succeeded in fulfilling the consultant staffing demand on a program-wide level on various multiple transit, regional rail, highway, and other capital improvement projects.
The PCSS contract approach is similar to the construction management support services (CMSS) contracts that are separately awarded to provide consultants who complement Metro staffing and technical expertise needed on each major transit project. However, while the CMSS contracts typically serve individual transit projects, the PCSS contract fulfills the Program Control consultant staffing demand on a program-wide level. This Contract supports consistency of reporting Metro capital project costs in line with project controls procedures and best practices.
Contract funds are authorized by issuing separate CWOs for the various projects using labor classifications and rates set forth in the contract, with funding solely supported through project budgets. This method of contracting results in more efficient cost and schedule management, since CWOs and Modifications to existing CWOs are negotiated and issued as additional work is identified. For each CWO or Modification, Metro prepares a scope of work and an estimate of hours, and KTJV subsequently provides a cost proposal. Metro and KTJV fact-finds and negotiates the level of effort hours if there is a discrepancy. After agreement the CWO is issued and the work proceeds.
Determination_Of_Safety_Impact
DETERMINATION OF SAFETY IMPACT
This Board action will not have an impact on established safety standards for Metro’s capital projects.
Financial_Impact
FINANCIAL IMPACT
The NTE award value is based on the anticipated level of services. Each individual CWOs will be funded from the associated projects’ budget, within the limits of the Board authorized LOP and annual budgets. The project managers, cost managers and Sr. Executive Officer, Program Control are accountable for budgeting the cost in future years.
Impact to Budget
There will be no additional impact beyond the approved annual budget or respective project’s authorized LOP amounts, where applicable. Most of the projects are funded with multiple sources of funds: federal and state grants, loans, bonds and local sales taxes. Local sales taxes eligible for bus and rail operations and capital improvements are programmed to state of-good repair projects which are eligible for this source of funds.
Equity_Platform
EQUITY PLATFORM
Projects utilizing the PCSS contract fall under Major Transit Construction, Capital Projects, Rail and Bus Facilities Improvement, and Environmental Compliance which are expanding multi-modal options for travelers and diversify modes and costs of travel choices. The projects are located across Los Angeles County, including within and serving Equity Focus Communities (EFCs). Projects that utilize this contract in EFCs include Lines A (Blue), B (Red), C (Green), D (Purple), G (Orange), K, and L (Gold) in addition to Highway projects and many more listed on Attachment C, Anticipated List of Projects.
Projects that fall under the Major Transit Construction category increase transit access and connectivity; improve access to key destinations, such as jobs, health care, school, and neighborhood amenities; improve air quality, and reduce household transportation costs for transit riders. Other capital projects expand multi-modal options for travelers through a variety of interventions, including light rail, active transportation infrastructure, and high-occupancy vehicle lane improvements. Infrastructure maintenance and improvements contribute to safe and accessible conditions for Metro riders and the general public, including soundwall protection, wayfinding, grade and modal separation, and transit station upgrades. Regional Rail capital program expand transit and other multi-modal choices for travelers in Los Angeles. Additional anticipated improvement projects include improved station access, increased rail capacity, and safer right-of-way improvements between different modes.
KTJV made an overall 65% DBE commitment on this Contract. The current level of DBE participation is 76.94%, exceeding the commitment by 11.94%.This Contract is the largest DBE prime contract awarded by Metro and underscores the commitment to fostering opportunities for small, minority-owned businesses.
Vehicle_Miles_Traveled _Outcome
VEHICLE MILES TRAVELED OUTCOME
VMT and VMT per capita in Los Angeles County are lower than national averages, the lowest in the SCAG region, and on the lower end of VMT per capita statewide. These declining VMT trends are due, in part, to Metro’s significant investment in rail and bus transit.* Metro’s Board-adopted VMT reduction targets align with California’s statewide climate goals, including achieving carbon neutrality by 2045. To ensure continued progress, all Board items are assessed for their potential impact on VMT.
The projects affected by the PCSS contract have mixed outcomes, but on the whole, most of the projects will likely decrease VMT in Los Angeles County. Within this suite of projects, Metro seeks to reduce single-occupancy vehicle trips, provide a safe transportation system, and increase accessibility to destinations via transit, cycling, walking, and carpooling. Some of the projects affected by the consultant services include items that will ease congestion for cars and trucks, or expand vehicle capacity, resulting in the possibility of increased VMT. However, these projects also provide for carpooling infrastructure and reinvestment of funding towards transit projects. In addition, the projects’ multi-modal benefits may contribute to offsetting the possible increase in VMT.
While the agency remains committed to reducing VMT through transit and multimodal investments, some projects may induce or increase personal vehicle travel. However, the individual projects utilizing this Contract aim to ensure the efficient and safe movement of people and goods. Although the Highway projects and Express lanes projects may not directly contribute to the achievement of the Board-adopted VMT Reduction Targets, the VMT Targets were developed to account for the cumulative effect of a suite of programs and projects within the Metro region, which individually may induce or increase VMT. Additionally, Metro has a voter-approved mandate to deliver multimodal projects that enhance mobility while ensuring the efficient and safe movement of people and goods.
*Based on population estimates from the United States Census and VMT estimates from Caltrans’ Highway Performance Monitoring System (HPMS) data between 2001-2019.
Implementation_of_Strategic_Plan_Goals
IMPLEMENTATION OF STRATEGIC PLAN GOALS
Recommendation supports Strategic Plan Goal #1 - Provide high-quality mobility options that enable people to spend less time traveling. This is accomplished by providing program-wide Program Control support services to assist in delivering multiple capital projects on time and on budget while increasing opportunities for small business development and innovation.
Alternatives_Considered
ALTERNATIVES CONSIDERED
The Board may elect to discontinue using KTJV for PCSS. Staff does not recommend this alternative as the Program Management capital projects are in various degrees of completion and the loss of Program Control consultant staff would cause these projects to be significantly impacted.
Another alternative would be to hire Metro staff to perform the required services. This alternative is also not recommended since the intent of the PCSS Contract is to augment Metro staff in terms of technical expertise and availability of personnel. PCSS consultants are typically required on a periodic or short-term basis to accommodate for peak workloads or specific tasks over the life of the projects. Further, for some projects, the specific technical expertise required may not be available within the ranks of Metro staff, whereas the KTJV consultant can provide the technical expertise on an as-needed basis.
Next_Steps
NEXT STEPS
Upon Board approval, staff will continue to issue Contract Work Orders, as needed.
Attachments
ATTACHMENTS
Attachment A - Procurement Summary
Attachment B - Contract Work Order/Modification Log
Attachment C - Current and Anticipated List of Projects
Attachment D - DEOD Summary
Prepared_by
Prepared by: Mayumi Lyon Ales, Deputy Executive Officer, (213) 922-4020
Daniel Estrada, Interim Senior Executive Officer, Program Management, (213) 418-3076
Carolina Coppolo, Deputy Chief Vendor/Contract Management Officer (213) 922-4471
Reviewed_By
Reviewed by: Sharon Gookin, Deputy Chief Executive Officer (213) 418-3101
