Meeting_Body
FINANCE, BUDGET, AND AUDIT COMMITTEE
APRIL 16, 2026
Subject
SUBJECT: REAL ESTATE & TRANSIT ORIENTED COMMUNITIES ENVIRONMENTAL SERVICES BENCH
Action
ACTION: APPROVE RECOMMENDATION
Heading
RECOMMENDATION
Title
AUTHORIZE the Chief Executive Officer (CEO) to:
A. AWARD three, seven-year task order-based bench Contracts for Real Estate & Transit Oriented Communities Environmental Services for a total Not-To-Exceed (NTE) amount of $17,390,400 to the following firms, subject to resolution of any properly submitted protest(s), if any:
1. Kimley-Horn and Associates, Inc. (Contract No. AE135067001)
2. Polytechnique Environmental, Inc. (Contract No. AE135067002)
3. TRC Solutions, Inc. (Contract No. AE135067003)
B. AWARD individual task orders in an amount not to exceed $1,800,000.
Issue
ISSUE
As part of its due diligence process, Metro conducts environmental assessments on properties being considered for acquisition or development to evaluate the potential presence of hazardous materials and petroleum products. A Real Estate/Transit Oriented Communities (RE/TOC) Environmental Services Bench is needed to provide timely access to qualified environmental consulting firms to perform Phase I Environmental Site Assessments (ESAs), Hazardous Building Materials Surveys (HBMSs), and Phase II ESAs.
Background
BACKGROUND
Metro is planning and delivering multiple projects that require environmental site assessments of real estate parcels to be acquired, including (but not limited to): East San Fernando Valley Light Rail, Eastside Transit Corridor Phase 2, K Line Extension to Torrance, Southeast Gateway Line, and other highway and ancillary projects. In addition, in April 2023, the Board adopted a strategy of Investing in Making Sites Development-Ready as part of the Metro Joint Development’s 10K Initiative. This included identifying environmental conditions upfront.
To meet these ongoing needs, Metro solicited a bench of qualified environmental consulting firms capable of performing Phase I ESAs, HBMSs (asbestos, lead-based paint, and other hazardous materials), and Phase II ESAs in compliance with applicable regulations and Metro requirements. Previously, this work was performed by engineering subconsultants, joint development partners, or through the Environmental Services Department’s single-firm IDIQ contract, however, the proposed contract mechanism provides a more efficient strategy for necessary environmental assessments.
Discussion
DISCUSSION
Having a dedicated RE/TOC Environmental Services Bench will enable Metro Real Estate to directly manage and obtain environmental documents for due diligence specific to acquisitions and development more quickly and efficiently. Firms will be pre-qualified to perform the required services and provide the required deliverables, certifications, and QA/QC processes. The contracts will have a seven-year term, and Metro reserves the right to reopen the Bench in year five to add new pre-qualified firms if deemed in Metro’s best interest.
The RE/TOC Environmental Services Bench scope includes, as applicable per task order:
• Phase I ESAs performed consistent with ASTM E1527-21 (or future revisions during the contract term), including site reconnaissance, records review, historical review, and reporting under the supervision of an Environmental Professional.
• HBMS deliverables including asbestos (AHERA and SCAQMD Rule 1403), lead-based paint surveys with defined criteria (XRF and/or laboratory thresholds), and other hazardous materials inventories, with reporting requirements and qualified personnel (CAC, CSST, lead certifications).
• Phase II ESAs including a Metro-reviewed work plan and Health and Safety Plan (HASP), field investigation activities, laboratory analyses, and a signed report by a California Professional Geologist or Professional Engineer, with remedial alternatives and ROM costs where applicable.
• QA/QC requirements throughout fieldwork, data evaluation, laboratory coordination, and reporting.
Consistent with the solicitation evaluation criteria, proposals were assessed based on firms’ relevant experience, qualifications and experience of the project team (including required certifications), and understanding of the project purpose and approach.
To control cost and ensure best value, Metro will establish final task order pricing and level of effort per assignment based on a defined scope, authorized hours, and approved pass-through costs (other direct costs and travel), consistent with the bench pricing framework.
The recommended not-to-exceed cumulative funding value of $17,390,400 is based on projected environmental due diligence needs over the seven-year term across RE/TOC acquisitions, capital projects, and Joint Development activities. Task orders will be issued on an as-needed basis, and the specific level of effort will vary based on the property type, site conditions, schedule, access constraints, and regulatory requirements.
Determination_Of_Safety_Impact
DETERMINATION OF SAFETY IMPACT
This item does not have an impact on Metro safety standards.
Financial_Impact
FINANCIAL IMPACT
Approval of the Environmental Services Bench will not, by itself, increase the adopted FY26 budget. Task orders will be funded from the specific project or program budgets requiring environmental services, and each task order will identify the applicable funding source at the time of award.
Impact to Budget
Each task order awarded for environmental services will be funded with the source of funds identified for that specific project. Since this is a multiyear contract, the project manager will be responsible for budgeting costs in future years, including any options exercised.
Equity_Platform
EQUITY PLATFORM
This item supports Metro’s Equity Platform by strengthening Metro’s ability to deliver equitable project outcomes through timely, consistent, and compliant environmental due diligence for property acquisition, capital improvements, and Joint Development activities countywide. This bench supports Metro’s Equity Platform objectives by providing a consistent framework for environmental assessment services that can be deployed as project needs arise.
Environmental due diligence, including Phase I Environmental Site Assessments (ESAs), Hazardous Building Materials Surveys (HBMSs), and Phase II ESAs, is a critical early step in project planning, particularly in communities that have historically experienced disproportionate environmental burdens and underinvestment. By establishing a pre-qualified bench with standardized scopes, certifications, and QA/QC requirements, Metro can more quickly identify environmental conditions, support appropriate risk management, and reduce avoidable delays that can impede delivery of transit and community-serving improvements. This helps Metro advance projects more consistently across the county while maintaining public health protections, regulatory compliance, and responsible stewardship of Metro-owned and to-be-acquired properties.
The Diversity & Economic Opportunity Department (DEOD) established an overall 17% Small Business Enterprise (SBE) goal and 3% Disabled Veteran Business Enterprise (DVBE) goal on all state, local, and/or Measure M funded task orders on this bench contract. Each bench participant committed to meet the overall SBE and DVBE goal.
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 supports required environmental due diligence for property acquisition and project delivery activities that enable Metro transit and multimodal investments to advance. 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
Recommendation supports Strategic Plan Goal #3, Enhance communities and lives through mobility and access to opportunity and Goal #5, Provide responsive, accountable, and trustworthy governance within Metro’s organization.
Alternatives_Considered
ALTERNATIVES CONSIDERED
The Board could choose not to approve the recommendations. This is not recommended because it would require staff to procure Phase I ESA, HBMS, and Phase II ESA services through separate procurements for each property or project need, increasing schedule risk and administrative burden, and potentially delaying acquisitions, design, and construction schedules.
Next_Steps
NEXT STEPS
Upon Board approval, staff will execute the bench Contract Nos. AE135067001 through AE135067003 for Real Estate and Transit Oriented Communities environmental services. As needs arise, staff will issue task order solicitations among bench firms for Phase I ESAs, HBMSs, and Phase II ESAs, consistent with the scope of services and task order requirements.
Attachments
ATTACHMENTS
Attachment A - Procurement Summary
Attachment B - DEOD Summary
Prepared_by
Prepared by: Michael Luna, Senior Manager, Real Estate, (213) 922-2332
Craig Justesen, Executive Officer, Real Estate, (213) 922-7051
Nick Saponara, Executive Officer, Transit Oriented Communities, (213) 922-4313
Holly Rockwell, Senior Executive Officer, Transit Oriented Communities and Real Estate (213) 547-4325
Nicole Ferrara, Deputy Chief Planning Officer, (213) 547-4322
Carolina Coppolo, Deputy Chief Vendor/Contract Management Officer, (213) 922-4471
Reviewed_By
Reviewed by: Ray Sosa, Chief Planning Officer, (213) 547-4274
