Metro - File #: 2022-0786

• File #: 2022-0786
• Type: Contract
• Status: Agenda Ready
• File created: 11/10/2022
• In control: Construction Committee
• On agenda: 2/16/2023
• Title: CONSIDER: A. AUTHORIZING the Chief Executive Officer to approve a no cost Memorandum of Understanding (MOU) with the City of Los Angeles (City) for participation in the City's Contractor Development and Bonding Assistance Program; B. AUTHORIZING the Chief Executive Officer to award a Contract to Merriwether & Williams Insurance Services (MWIS) for a not to exceed amount of $2,650,780 for a three-year Bonding Assistance Program, effective March 1, 2023 to February 28, 2026, which piggy-backs on the City of Los Angeles' contract; and (REQUIRES SIMPLE, SEPARATE MAJORITY VOTE OF THE FULL BOARD) C. ADOPTING a resolution, Attachment A, authorizing the Chief Executive Officer and other Authorized Officers to continue the $4,000,000 line of credit with Bank of America at a cost of $18,000 per year, for three years and to execute as needed, individual standby letters of credit at a cost of $2,000 each or 2% of the value of each letter of credit executed, whichever is greater.
• Sponsors: Board of Directors - Regular Board Meeting
• Indexes: Budget, Budgeting, Central Los Angeles subregion, City of Los Angeles, Construction, Contractors, Contracts, Disadvantaged business enterprises, Insurance, Key Performance Indicator, Memorandum Of Understanding, Metro Rail A Line, Metro Rail C Line, Metro Rail D Line, Payment, Port of Los Angeles, Prime Contractor, Procurement, Program, Public works, Resolution, San Fernando Valley subregion, Small Business Enterprise, South Bay Cities subregion, Westside Cities subregion, Westside Subway Extension/Purple Line Extension Phase 1, Willowbrook/Rosa Parks Station

Meeting_Body
CONSTRUCTION COMMITTEE
FEBRUARY 16, 2023

Subject
SUBJECT: SMALL BUSINESS BONDING ASSISTANCE PROGRAM

Action
ACTION: APPROVE RECOMMENDATIONS

Heading
RECOMMENDATION

Title
CONSIDER:

A. AUTHORIZING the Chief Executive Officer to approve a no cost Memorandum of Understanding (MOU) with the City of Los Angeles (City) for participation in the City's Contractor Development and Bonding Assistance Program;

B. AUTHORIZING the Chief Executive Officer to award a Contract to Merriwether & Williams Insurance Services (MWIS) for a not to exceed amount of $2,650,780 for a three-year Bonding Assistance Program, effective March 1, 2023 to February 28, 2026, which piggy-backs on the City of Los Angeles' contract; and

(REQUIRES SIMPLE, SEPARATE MAJORITY VOTE OF THE FULL BOARD)

C. ADOPTING a resolution, Attachment A, authorizing the Chief Executive Officer and other Authorized Officers to continue the $4,000,000 line of credit with Bank of America at a cost of $18,000 per year, for three years and to execute as needed, individual standby letters of credit at a cost of $2,000 each or 2% of the value of each letter of credit executed, whichever is greater.

Issue
ISSUE

Metro is seeking to award a new three-year contract with Merriwether & Williams Insurance services, Inc. (MWIS) to administer its Contractor Development and Bonding Assistance Program (CDBAP). The current contract was awarded in June 2019 for three years and extended in April 2022 by the Metro Board for an additional 12 months. The contract is scheduled to expire on May 31, 2023. Metro is piggy-backing on the City of Los Angeles' CDBAP contract, and the City has awarded a new three year contract with MWIS which will expire on August 30, 2025, to administer their CDBAP program. Metro is also partnering with the City to share resources and reduce certain costs for consultant services. With the exception of the Contractor Finance Assistance Program (CFAP) budget approved by the Metro Board in...