Metro - File #: 2023-0211

• File #: 2023-0211
• Type: Contract
• Status: Passed
• File created: 3/21/2023
• In control: Board of Directors - Regular Board Meeting
• On agenda: 5/25/2023
• Final action: 5/25/2023
• Title: AUTHORIZE the Chief Executive Officer to execute Modification No. 8 to Contract No. OP83932000-39383 with The Goodyear Tire & Rubber Company in the amount of $11,671,134 ($2,164,434 for FY23 and $9,506,700 for FY24) to continue to provide bus tire leasing and maintenance services, increasing the contract value from $41,908,927 to $53,580,061, as well as extending the period of performance through June 30, 2024.
• Sponsors: Board of Directors - Regular Board Meeting
• Indexes: Budgeting, Bus Acquisitions, Bus Maintenance Projects, Contracted Bus Service, Contracts, Division 10, Maintenance, Maintenance practices, Metro Divisions, Metro Rail A Line, Operations and Maintenance, Operations Maintenance (Project), Procurement, Purchasing, Revenue Service, Rolling stock, Safety, Strategic planning, Transit buses

Date	Action By	Action	Result
5/25/2023	Board of Directors - Regular Board Meeting
5/18/2023	Operations, Safety, and Customer Experience Committee

Meeting_Body
OPERATIONS, SAFETY, AND CUSTOMER EXPERIENCE COMMITTEE
MAY 18, 2023

Subject
SUBJECT: BUS TIRE LEASING & MAINTENANCE SERVICES

Action
ACTION: APPROVE CONTRACT MODIFICATION

Heading
RECOMMENDATION

Title
AUTHORIZE the Chief Executive Officer to execute Modification No. 8 to Contract No. OP83932000-39383 with The Goodyear Tire & Rubber Company in the amount of $11,671,134 ($2,164,434 for FY23 and $9,506,700 for FY24) to continue to provide bus tire leasing and maintenance services, increasing the contract value from $41,908,927 to $53,580,061, as well as extending the period of performance through June 30, 2024.

Issue
ISSUE

The Contract Modification will provide Metro bus divisions with uninterrupted bus tire and maintenance services for the transit bus fleet through June 30, 2024. This service contract aims to continue providing Metro with tire maintenance to ensure reliable service on its revenue bus fleet. In addition, the contract will continue to provide qualified and trained service personnel to perform tire inspections and maintain the Metro bus fleet in safe operating condition.

This action will allow staff sufficient time to re-procure these services through a competitive procurement process with opportunities for small business participation.

Background
BACKGROUND

Metro's directly operated revenue bus fleet consists of close to 1,900 buses utilizing approximately 12,480 leased tires, traveling over 67 million miles annually. These tires require maintenance and service daily. In addition, this leased tire contract supports the revenue bus fleet and tire maintenance services for the Metro non-revenue fleets. Although non-revenue tires are purchased under a separate procurement, they are mounted and balanced under the bus tire leasing and maintenance services contract.

Leased costs are based on actual bus (tire) mileage plus a fixed monthly service rate. This service contract includes waste remediation of all spent tire casti...