Meeting_Body
CONSTRUCTION COMMITTEE
NOVEMBER 19, 2025
Subject
SUBJECT: QUALITY MANAGEMENT CONSULTANT
Action
ACTION: APPROVE RECOMMENDATION
Heading
RECOMMENDATION
Title
CONSIDER:
A. APPROVING an increase in authorized funding and executing Modification No. 9 to Contract No. PS54007 with Enterris Associates, Inc. (formerly PQM, Inc.), for pending and future Task Orders to provide quality management consulting and support services for Metro Transit and Transportation projects in an amount Not-To-Exceed (NTE) $28,500,000; increasing the total contract authorized funding from an NTE amount of $25,325,804 to a NTE amount of $53,825,804 and exercising the three, one-year option years through March 2029; and
B. AUTHORIZING the Chief Executive Officer (CEO) or designee to execute individual Task Orders (TOs) and Contract Modifications within the Board approved contract funding amount.
Issue
ISSUE
In March 2019, the Board approved a seven-year Cost-Plus-Fixed-Fee Contract No. PS54007 with Enterris Associates, Inc. (formerly PQM, Inc.), a Disadvantaged Business Enterprise (DBE), for Quality Management Consultant (QMC) services.
The QMC is instrumental in supporting Metro's Quality Management Oversight (QMO) Program and the overarching Quality Management System (QMS). These services are critical to ensuring that all capital projects, including those funded by voter-approved Measures R and M, are delivered to the required quality standards, thereby protecting the investment and long-term viability of Metro's infrastructure.
The current funding authorization for this QMC contract totals $25,325,804.00, which is anticipated to cover all scheduled activities through December 2025.
To cover the remainder of the initial contract term and the subsequent three one-year option periods through March 2029, staff is requesting an additional NTE funding authorization of $28,500,000.00. This NTE authorization is necessary to maintain continuity of quality oversight, and will allow staff the flexibility to issue and/or modify Task Orders on an as-needed basis to ensure the QMC can:
1. Complete essential, schedule quality-related activities on the projects listed in Table 1.
2. Continue critical support for ongoing QMS improvements.
3. Ensure the successful QMS implementation and quality oversight for future projects listed in Table 2.
Background
BACKGROUND
The initial funding authorization for QMC Contract PS54007 was a Not-To-Exceed amount of $5,378,518 to develop, implement and manage a pilot QMO Program as part of a Metro QMS.
To establish the necessary QMS improvements, the Quality Management Department completed a gap analysis, which identified gaps in two areas:
1. Metro’s QMS as compared to the International Organization for Standardization (ISO) 9001 which is the global standard for Quality Management Systems Requirements
2. Gaps in internal policies and procedures against application across projects
The Quality Management Department facilitated Committee Meetings to discuss the results and determined that the most effective way for Metro to improve its QMS was to develop and implement a systemized management oversight approach as a key part of the system. This oversight approach would be implemented on all major capital improvement projects, excluding small, low risk projects and is known today as Metro’s QMO Program.
The QMC has supported Metro in designing and implementing a comprehensive, cost-effective, and scalable QMS tailored Metro’s needs. The QMO Program evaluates project performance by assessing the product and procedures of Contractors and enables Metro to know the status of Contractor’s performance, creating confidence that Projects are satisfying their intended goals. This oversight program assists Metro in ensuring that all contractual requirements (e.g., safety, environmental, quality, traffic, design, construction, etc.) are met in accordance with Metro quality management requirements, Federal Transit Administration (FTA), and Federal Highway Administration (FHWA) Quality requirements.
Metro’s current QMS is the ISO 9001:2015-compliant framework that ensures all capital projects meet their contractual requirements. It is based on quality policies approved by the Metro Program Management Department, which define the resources, tools, and methods for developing and implementing effective quality plans. The QMS mandates inspections, testing, auditing, error and omission control, nonconformance management, and preventive actions on every project, assigns the Quality Department responsibility for consistent implementation, and establishes procedures and specifications for designer and contractor project-specific quality plans.
Metro’s QMS provides objective, requirements-based oversight while enabling continuous improvement through trend analysis and lessons learned. The QMC has updated contractor specifications and structured the QMS into three distinct approaches aligned with Metro’s diverse project types and delivery methods:
1. High-risk, alternative delivery, and/or complex projects implement the QMO Program which integrates database technology with workflow capabilities for all project oversight participants to complete their tasks of the oversight processes, collect and analyze data to identify and action contractor performance trends and generate systemized reports for the project teams; Quarterly reviews are conducted on each project to discuss action issues; the QMO Program also integrates Metro’s Oversight Verification and Testing Program.
2. Lower-risk, smaller projects utilize a more traditional quality verification procedure.
3. Highway projects utilize a combined Metro and Caltrans approach which supports the needs of both stakeholders.
Westside Purple Line Extension Sections 2 & 3 began implementing the QMO Program in January 2020 and the results of the program have been favorable for Metro and well received by the contractors, therefore justifying implementation on additional projects.
In May 2021, the Board authorized an additional NTE amount of $19,947,286 to continue QMC support for PLE2 and PLE3 and expand services to the additional capital projects listed in Table 1.
Table 1 - Current Projects
Revised project schedules, phased implementation, and more efficient use of QMC and staff resources extended those approved funds beyond the intended timeframe of FY22 and FY23, funding two and a half additional fiscal years. Current funding is expected to cover activities through December 2025.
As outlined in the initial approval and the May 2021 Board Report, with major projects underway and more advancing toward the 2028 Games as a fixed delivery milestone, the continuation of QMC services is essential. Sustaining QMC support will ensure oversight consistency, prevent disruptions, and maintain progress toward Metro’s project delivery.
To date, staff have executed TOs and TO Modifications totaling $23,787,294.76, leaving $1,538,509.24 in authorized funding remaining. Attachment A provides the procurement summary, and Attachment B lists all Task Orders and Modifications executed since contract inception.
Discussion
DISCUSSION
Metro’s QMS has delivered measurable results by promoting transparency through regular data-driven performance reports, improving contractor accountability with evidence-based assessments, and reducing costly rework by identifying issues early. Its use of standardized, database-supported workflows has also enhanced cost efficiency and consistency across projects. By applying risk-based oversight and the ISO 9001-compliant documentation, the QMS model enables more efficient resource allocation, helps Metro manage risks early, and reduces potential claims or delays.
Active and consistent application of Lessons Learned and Improvement Action modules has enabled QMC to integrate insight from quarterly project reviews, surveys, internal audit findings, and feedback from Metro project teams. To date, targeted QMS process enhancements have been implemented in response to feedback from project team members.
Since the inception of the QMO program, the following are examples of QMS enhancements that have been implemented to date. Those enhancements shown in bold italics were implemented due to recommendations made in a recent Inspector General report that reviewed the quality program.
1. Using Lessons Learned on current projects, standardized templates to streamline traceability and transparency.
2. Formalized the Helpdesk module to more efficiently document, track and close requests to improve process for handling and resolving feedback from project team members.
3. Tightened controls for improved accountability, performance metrics, key performance indicators, and item closure.
4. Improved effectiveness of Management System Audits by reducing Cyle time and tracking Cycle time metrics.
5. Streamlined key QMO procedures: Priority planning and frequency of construction assessments; scope criteria for process assessments; requirements management checklists; requirement management workflow; training plan and materials, both in person and interactive.
6. Implemented a systemized Lessons Learned process, current count in the system is sixty, areas include: Design & Documentation Quality, Specification Management, Construction & Field Coordination, Field implementation checks (engineer visits, testing, and hold points), QMO deployment and inter-discipline design review improvements, Safety and Compliance.
7. Implemented a systemized QMS Improvement Action process, to date fifty have been initiated, 80% have been closed, these include: a more user friendly option for uploading of requirements with minimized assistance from staff, increased process assessment skillset training for more individuals within project teams, automated QMO tools (database, email notifications, rollback feature), improving data analytics, charting, and graphical presentation for oversight results, clarifying requirements and enhancing consistency of assessment documentation, strengthening coordination between Metro and contractors across all projects.
8. Established version-controlled access to contract requirements to reduce the administrative work on project-level staff verifying the most current requirements.
9. Updated and enhanced user interface and added user-suggested features to improve database interface.
10. Created a central document repository for quality records where administrative staff can monitor quality records with minimum effort from highly technical leads
11. Included color coding and sorting system to prioritize risk of non-conformance over conformances.
12. Facilitated project and program workshop on integration of other software solutions utilized by Metro including Bluebeam, Unifier and BIM.
These enhancements included streamlining key oversight procedures, refining requirement management workflows, providing easier access to the contract requirements, and integrating user-suggested features to increase user interface efficiency. As a result, the current QMO Plan is more responsive, technically robust, and better aligned with Metro’s project delivery needs than at any point since its inception. Additionally, based on the recommendation of the Inspector General, the Quality Department has developed a phased strategy to reduce reliance on consultant resources.
Staff will continue applying the QMS on the current projects listed in Table 1, applying the QMS to future projects listed in Table 2, and continue to support QMS improvements. A staffing resource baseline has been established using current projects, and the estimated cost of continuing QMC support for both current and future projects is $28,500,000 through March of 2029.
Table 2 - Future Projects
Determination_Of_Safety_Impact
DETERMINATION OF SAFETY IMPACT
The Board action will not have any adverse safety impacts on Metro’s Construction projects, Operations, our employees, and/or patrons.
Financial_Impact
FINANCIAL IMPACT
The NTE funding amount is based on the anticipated level of services. Each TO is funded from the associated projects’ budget, within the limits of the Board authorized LOP, and/or annual budgets. Metro project managers and quality department representatives are accountable for budgeting and cost controls in the future years.
A portion of the contract scope of services requires an annual budget allotment for program-wide quality management consulting and support services, which is funded through an annual overhead fund. The scope of services for each fiscal year is developed, and a TO modification is executed.
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 for state-of-good repair projects which are eligible for this source of funds.
Equity_Platform
EQUITY PLATFORM
Approval of the contract modifications for Metro’s QMC will support ongoing activities for completing the projects listed in the Table 1 and Table 2. Timely completion of these projects ensures delivery of mobility and transportation benefits for Metro’s existing and future customers, such as expanding multi-modal options for travelers, maintaining, and improving infrastructure.
Enterris Associates, Inc.(formerly PQM, Inc.) made an overall 32% DBE commitment on this contract. However, the U.S. Department of Transportation (USDOT) has issued an Interim Final Rule (IFR) that makes changes to the DBE Program, including suspension of goals and enforcement, effective October 3, 2025. Metro is currently reviewing the Interim Final Rule (IFR) to identify necessary program and procedural changes to ensure full compliance.
Although the DBE commitment is not a factor in the staff recommendation, there are three certified small businesses participating in this contract. This is noteworthy since small businesses are vital for the economy as they drive job creation, foster innovation, and strengthen local communities.
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, with these declining VMT trends 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.
While this item does not directly encourage taking transit, sharing a ride, or using active transportation, it is a vital part of Metro operations, as it extends QMC services to multiple projects that, on balance, will likely decrease VMT in Los Angeles County. Because the Metro Board has adopted an agency-wide VMT Reduction Target, and this item supports the overall function of the agency, this item is consistent with the goals of reducing VMT.
*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
The QMC Contract supports Strategic Plan Goal 1) Provide high-quality mobility options that enable people to spend less time traveling and Goal 5) Provide responsive, accountable, and trustworthy governance within the Metro organization. Specifically, 5.4 which states “Metro will apply prudent commercial business practices to create a more effective agency; and is also a Metro Best Practice Initiative”.
This contract supports the implementation of a consistent, ISO 9001: 2015 compliant approach to quality management across projects, which creates transparency of oversight efforts, accountability of the contractor’s responsibilities, efficiencies, and increased effectiveness of project teams in the delivery of Measures R & M projects.
Alternatives_Considered
ALTERNATIVES CONSIDERED
The Board may choose to reject the recommendation and direct staff to re-procure these services through an RFP; staff does not recommend this. Engaging a qualified Quality Management consultant enables Metro to access highly specialized expertise without incurring long-term labor costs. In addition, an extended-term contract ensures continuity of resources, supporting an integrated and consistent approach that best serves Metro’s interests.
Another option would be to hire Metro staff to perform the required services. However, this is not recommended, as the purpose of the QMC Contract is to supplement Metro staff with specialized technical expertise. QMC consultants are assigned specific tasks throughout the life of projects, providing skills that may not be available within Metro’s workforce.
Next_Steps
NEXT STEPS
In addition to supporting delivery and continuous improvement of Metro’s QMS, QMC consultants actively transfer knowledge through a robust training program and collaborative approach -helping build internal capacity and ultimately supporting Metro’s long-term self-sufficiency
Upon Board approval, staff will execute Modification No. 9 to Contract No. PS54007 and continue to issue Task Orders, Task Order Modifications, and Contract Modifications, as needed.
Attachments
ATTACHMENTS
Attachment A - Procurement Summary
Attachment B - Contract Modification/Change Order Log
Attachment C - DEOD Summary
Prepared_by
Prepared by:
Herman Gallardo, Deputy Executive Officer Quality Management, (213) 922-1385
Camelia Davis, Executive Officer Quality Management, (213) 922-7342
Carolina Coppolo, Deputy Chief Vendor/Contract Management Officer, (213) 922-4471
Reviewed_By
Reviewed by:
Tim Lindholm, Chief Program Management Officer, (213) 922-7297
