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lo<... Co""" Metro Met~pont.. T~"''""'"'' Aothority One Gateway Plaza Los Angeles, CA 90012-2 952 213.922.2ooo Tel metro. net 19 PLANNING & PROGRAMMING COMMITTEE JANUARY 16,2014 SUBJECT: ACTION: METRO FREEWAY SERVICE PATROL APPROVE CONTRACT AWARD AND MODIFICATIONS RECOMMENDATIONS A. Award a five-year fixed unit rate requirements contract under RFP No. FSP13-R1, Regional FSP Light Duty Towing Services, Region 1 (South), to Kenny's Auto Service for Freeway Service Patrol (FSP) services in an amount not-to-exceed $19,285,841, inclusive of a one-year option. B. Authorize the expenditure of an amount not-to-exceed $7,543,449 to execute contract modifications to existing FSP contracts (see Attachment B). Contracts to be modified and the amounts for each modification will be determined by staff based on the needs of the FSP program and in the best interest of Metro. ISSUE The first multi-route region (South Region) is comprised of six patrol routes (previously referred to as Beats) in the southern area of the Metro FSP service area. The current Beat structure requires a contract and contractor for each of the 39 FSP Beats. The consolidation of patrol routes into a regional service will enable a single contractor to deliver the service. The authorization of modifications to existing FSP contracts will ensure seamless efficient operation of the FSP program. Each existing FSP contract was awarded with a 7% operational contingency as part of the original contract. However, during the course of the contract, FSP services were used to support a number of unanticipated items which negatively impacted the contingency and the overall flexibility of the FSP program. In order to continue service, selective contract modifications will be required. DISCUSSION The Metro FSP program currently manages 39 light-duty tow service contracts covering over 475 center line miles on all major freeways in Los Angeles County. The service is provided by 25 independent tow service operators deploying over 150 vehicles throughout Los Angeles County that provide assistance to stranded or disabled motorists. Regional FSP Light Duty Towing Services Page 1

First Regional FSP Contract In October 2010, the Metro Board authorized the operational restructuring of the FSP program into multi-route regional contracts. The award of this contract represents the first of the multiroute regional contracts to be awarded utilizing a combination of service trucks, light duty tow trucks and flatbed tow trucks. The goals for this operational restructuring are to improve the overall effectiveness and efficiency of the FSP program. More specifically, implementation of a regional operation is anticipated to produce the following benefits: Improved management of FSP operations; Required and improved Small Business participation; Controlled program costs; Improved ability to actively manage and adjust to traffic situations. As this is the first regional FSP contract to be awarded, staff will monitor and conduct an evaluation of the operational effectiveness, evaluate any changes to operating methods needed to be made, and determine whether to proceed with remaining regional area contracts. Items to evaluate include overall contractor performance such as: adherence to contracted schedule, service impacted by Bad Order (BO) equipment or administrative/personnel issues, deployment to support construction projects, or other contracts, response time, customer satisfaction and other related factors. The service requirements for Region 1 (South Region) are as follows: Patrol Freeway Post Mile Patrol Route Limits Distance Route No. (mi) 14 605 ROOO.OOO-R01 0.245 Orange County Line to Telegraph Road 10.2 16 5 000.000-0110.876 Orange County Line/Artesia Blvd. to Garfield Avenue 13.6 19 405 000.266-013.826 Normandie Avenue to Oranae Countv Line 13.6 30 710 007.887-018.439 Willow Street to Firestone Boulevard 10.6 40 105 008.900-018.900 Central Avenue- Studebaker Road 10.0 51 91 006.012-R020.741 Vermont Avenue to Orange County Line 14.7 Total: 70.0 Patrol Freeway Week Day Peaks Weekday Midday Weekend Days Route No. AM PM No. Midday No. Weekend No. Trucks Trucks Trucks 14 605 5:30 to 9:30 3:00 to 7:00 3 9:30 to 3:00 1 10:00 to 6:30 1 16 5 5:30 to 9:30 3:00 to 7:00 3 9:30 to 3:00 1 10:00 to 6:30 1 19 405 5:30 to 9:30 3:00 to 7:00 4 9:30 to 3:00 1 10:00 to 6:30 1 30 710 6:00 to 10:00 3:00 to 7:00 3 10:00 to 3:00 1 10:00 to 6:30 1 40 105 6:00 to 10:00 3:00 to 7:00 3 10:00 to 3:00 1 10:00 to 6:30 1 51 91 6:00 to 10:00 3:00 to 7:00 4 10:00 to 3:00 2 10:00 to 6:30 2 Contract Modifications Additional contract modification authority will enable Metro to issue and fund modifications with current contractors to either complete the term of the contract and/or to support additional/unanticipated operational activities. These unanticipated activities include, but are not limited to the following: Regional FSP Light Duty Towing Services Page 2

Freeway construction support- FSP is used to support/mitigate construction impacts on freeway traffic. FSP construction support on the Metro 1-405 Widening Project and various Caltrans construction projects is in addition to the normal FSP services provided during operating hours and generally includes the deployment of vehicles during non-service hours. Special event support- FSP has been used to support special conditions/events that may cause a negative traffic impact. Examples include Carmageddon, Rose Bowl Game/Parade, and other events. General redeployment support- On occasion, FSP contractors are directed to provide services on other FSP Beats due to a variety of operational and/or administrative issues. Redeployment support is used to ensure that FSP continues to be provided to the public while the operational or administrative issues are handled. Issues can include vehicle breakdown, service suspension, operator/driver unavailability, contractor termination, and other related items. Other service issues- On occasion FSP contractors are required to continue providing support to an incident beyond the normal work hours, for example SigAierts. Service gap coverage - Depending upon the ability of the new contractors to secure their vehicles, equipment, and staff, there may be a need to extend expiring contracts for some limited time to provide sufficient transition time. This gap coverage is primarily driven by circumstances beyond the new contractors' direct control. To ensure there are sufficient funds to complete the term of the contracts, to meet future unanticipated operational activities and to continue supporting freeway construction work when requested, these contracts require modifications to their contract authority. The modifications will be executed at the discretion of Metro for continuity of FSP services. DETERMINATION OF SAFETY IMPACT The FSP Program provides a vital service to assist motorists with disabled vehicles on the freeways of Los Angeles County. During FSP operating hours, drivers provide specific services to motorists with disabled vehicles to get them safely back on the road or tow them to a designated safe location off the freeway. FSP drivers patrolling their Beat locate and assist motorists in freeway lanes or along the shoulder significantly faster than it would take to call a private tow service. The FSP Program assists approximately 300,000 vehicles annually. FINANCIAL IMPACT A portion of the funding of $30,981,832 for this program is included in the FY14 budget in cost center 3352, Metro Freeway Service Patrol, under project number 300070. Since this is a multi-year contract/project, the cost center manager and Executive Officer, Congestion Reduction Initiative will be accountable for budgeting the cost in future years. Regional FSP Light Duty Towing Services Page 3

Impact to Budget The FSP program is funded through a combination of Proposition C 25% sales tax, State and SAFE funds. There is no impact to bus and rail operating or capital, Proposition A, C and TDA administration or Measure R administration budgets. ALTERNATIVES CONSIDERED The Board may decide not to authorize the execution of the regional multi-route contract. This alternative is not recommended as this prevents staff from managing the FSP program in the most cost-effective and efficient manner possible. The Board may decide not to authorize the negotiation and execution of contract modifications. This alternative is not recommended as it will adversely impact the existing contracts and the FSP services provided. NEXT STEPS Upon Board approval, the Contracting Officer will execute the new contracts and execute modifications. ATTACHMENTS A. Procurement Summary B. Contract Modifications Summary C. Metro FSP Beat Map Prepared by: John Takahashi, Motorist Services Program Administrator, (213) 922-6346 Kathleen McCune, Director Countywide Planning and Development, (213) 922-7241 Regional FSP Light Duty Towing Services Page 4

Executive Officer Congestion Reduction Initiative }LrlvWrA~~ Michelle Lopes Cald ell Chief Administrative Services Officer Arthur T. Leahy Chief Executive Officer Regional FSP Light Duty Towing Services Page 5

ATTACHMENT A 1. 2. PROCUREMENT SUMMARY REGIONAL FSP LIGHT DUTY TOWING SERVICES Contract Number: FSP13-R 1 Recommended Vendor: Kenny's Auto Service 3. Type of Procurement (check one): 0 IFB IZJ RFP 0 RFP-A&E 0 Non-Competitive 0 Modification 0 Task Order 4. Procurement Dates: A. Issued: 07.15.2013 B. Advertised/Publicized: 07.16.2013 C. Pre-proposal/Pre-Bid Conference: 07.22.2013 D. Proposals/Bids Due: 09.04.2013 E. Pre-Qualification Completed: 11.21.2013 F. Conflict of Interest Form Submitted to Ethics: 12.16.2013 G. Protest Period End Date: 01.14.2014 5. Solicitations Picked Proposals Received: up/downloaded: 58 5 6. Contract Administrator: Telephone Number: W. T. (Ted) Sparkuhl (213) 922-7399 7. Project Manager: Telephone Number: John Takahashi (213) 922-6346 A. Procurement Background This Board action is to award a five year fixed unit rate requirements contract under RFP No. FSP13-R 1, Regional FSP Light Duty Towing Services. The RFP was issued in accordance with Metro's Acquisition Policy & Procedure and the contract type is a firm fixed unit rate. Six amendments were issued during the solicitation phase: Amendment No. 1, issued on July 17, 2013 changed the pre-proposal date. Amendment No. 2, issued July 24, 2013 clarified the blackout period and provided responses to proposer questions. Amendment No. 3, issued July 25, 2013, clarified the SBE requirements. Amendment No.4, issued July 30, 2013, responded to plan holder's questions 5-12, and revised Statement of Work (SOW) requirements. Amendment No. 5, issued August 15, 2013 provided replacement pages to the solicitation document, responded to plan holder's questions 13-24, provided preproposal conference minutes, and a plan holders list as of August 9, 2013. Amendment No. 6, issued August 23, 2013, extended the proposal due date to Wednesday September 4, 2013, and responded to questions 25 and 26. Regional FSP Light Duty Towing Services Page 6

A pre-proposal meeting was held July 22, 2013 to review the requirements of the new Regional FSP Light Duty Towing Services procurement. Twenty-Six questions were asked and responses were provided prior to the proposal due date. Five proposals were received by the due date, September 4, 2013. B. Evaluation of Proposals Five proposers responded to this solicitation. A Source Selection Committee (SSC) consisting of staff from Metro Freeway Service Patrol (FSP), Central Maintenance Shops (CMS) and Orange County Transportation Authority (OCTA) was convened and conducted a comprehensive technical evaluation of the proposals received. The proposals were evaluated based on the following evaluation criteria and weights: Capability and Relevant Experience 20% Business Plan 20% Company Integrity and Employee Retention Plan 10% Cost Proposal 40% Partnering with Small Business 10% The evaluation criteria are appropriate and consistent with criteria developed for other, similar FSP procurements. Several factors were considered when developing these weights, giving the greatest importance to qualifications and price. Of the five proposals received, all were determined to be within the competitive range. The firms are listed below in alphabetical order: 1. All City Tow 2. Hadley Tow 3. Kenny's Auto Service 4. Mighty Transport, Inc., dba Frank Scotto Towing 5. Safeway Towing, Inc., dba Bob's Towing During the week of October 7, 2013, the SSC chairperson and California Highway Patrol (CHP) made unannounced visits to each proposer to perform vehicle inspections. On November 18, 2013, the SSC met and interviewed the firms. The firms' management team had an opportunity to present the team's qualifications and respond to the evaluation committee's questions. In general, each team's presentation addressed the regional towing requirements of the RFP, experience with all aspects of towing requirements, and stressed each firm's commitment to the success of the project. The SSC evaluated the proposals in accordance with the pre-established evaluation criteria, the information from the site visit and the information from the oral interviews. Below is a summary of qualifications of the firms that were evaluated: Regional FSP Light Duty Towing Services Page 7

Qualifications Summary of Firms Within the Competitive Range: All City Tow (ACT): ACT possesses 21 years of towing experience in the Los Angeles area. Their senior staff has been with the firm for 21, 19 and 1 0 years respectively. ACT has performed light duty towing and large vehicle or big rig towing services. However, ACT does not possess any prior FSP towing experience. Hadley Tow (Hadley): Hadley has a minimum of 15 years of FSP experience and is currently the incumbent contractor on four (4) FSP contracts, two light duty towing service contracts and two big rig (heavy duty) towing service contracts. Hadley's towing facility has the capability of operating numerous towing vehicles and is able to provide in-house maintenance capabilities for all towing vehicles including dedicated FSP towing vehicles. Hadley's staff demonstrated that it possesses adequate experience to perform FSP contracts. Kenny's Auto (Kenny's): Kenny's is a long established -three (3) generations -family owned and operated corporation for towing services, storage and auto body repair. The corporation is a registered Small Business Enterprise (SBE) with Metro. Kenny's has provided towing services for law enforcement and has been an active FSP contractor since 1994, and had performed three (3) FSP contracts at one time. Kenny's has operated a high volume of towing vehicles for many years. Mighty Transport, Inc. dba Frank Scotto Towing (Scotto): Scotto is one of the original Metro FSP contractors and has had concurrent contracts for the past 23 years. Frank Scotto, President of Scotto, served on the FSP Technical Committee for over 15 years. Scotto has operated as many as 65 tow vehicles of various sizes. Scotto currently operates a 31 tow vehicle fleet. Scotto not only provides service to the Metro FSP program but provides services to over 10 other motor clubs through out the L.A. County area. Scotto maintains a very low employee turn-over rate; there are several long term employees with more than ten years longevity. Scotto is not a registered SBE firm but proposed an SBE subcontracting commitment. Scotto's FSP Regional Towing work plan and staffing plan is solid in their approach to prosecuting the work. Safeway Towing Service, Inc. (Bob's): Bob's is a 12-year old company dating back to 2001 when it began with 4 trucks and 5 employees - it has grown into a fleet of 44 trucks and 52 employees. Bob's has a Regional FSP Light Duty Towing Services Page 8

brief history with FSP having performed two FSP contracts during the 2005 FSP procurement cycle. The final scoring, after the oral presentations, is as follows: 1 All City Tow Weighted Average Factor Average FIRM Score Weight Score Rank 2 Capability & Relevant Experience 78.33 20.00% 15.67 3 Business Plan 55.00 20.00% 11.00 4 Company Integrity & Employee Retention 68.33 10.00% 6.83 5 Cost Proposal 82.00 40.00% 32.82 6 Partnering with Small Business 0 10.00% 0 7 Total 100.00% 66.30 4 8 Hadley Tow 9 Capability & Relevant Experience 33.33 20.00% 6.67 10 Business Plan 61.67 20.00% 12.33 11 Company Integrity & Employee Retention 46.67 10.00% 4.67 12 Cost Proposal 86.00 40.00% 34.40 13 Partnering with Small Business 50.00 10.00% 5.00 14 Total 100.00% 63.07 5 15 Kenny's Auto Service 16 Capability & Relevant Experience 100.00 20.00% 20.00 17 Business Plan 91.29 20.00% 18.26 18 Company Integrity & Employee Retention 100.00 10.00% 10.00 19 Cost Proposal 88.00 40.00% 35.20 20 Partnering with Small Business 50.00 10.00% 5.00 21 Total 100.00% 88.46 1 22 Mighty Transport, Inc. 23 Capability & Relevant Experience 98.33 20.00% 19.67 24 Business Plan 83.33 20.00% 16.67 25 Company Integrity & Employee Retention 45.00 10.00% 4.50 26 Cost Proposal 84.00 40.00% 33.60 27 Partnering with Small Business 0 10.00% 0 28 Total 100.00% 74.44 2 Regional FSP Light Duty Towing Services Page 9

29 Safeway Towing Services, Inc. Weighted Average Factor Average FIRM Score Weight Score Rank 30 Capability & Relevant Experience 57.50 20.00% 11.50 31 Business Plan 65.00 20.00% 13.00 32 Company Integrity & EmQiqy_ee Retention 40.00 10.00% 4.00 33 Cost Proposal 100.00 40.00% 40.00 34 Partnering with Small Business 50.00 10.00% 5.00 35 Total 100.00% 73.50 3 C. Cost/Price Analysis The recommended price has been determined to be fair and reasonable based upon adequate price competition, an independent cost estimate, price analysis, and technical evaluation. Proposer Name Proposal Amount 1. Kenny's Auto Service $19,285,841 2. Mighty Transport, dba Frank Scotto Towing $19,240,013 3. Safeway Towing, Inc., dba Bob's Towing $16,956,919 4. All City Tow $19,529,132 5 Hadley Tow $19,817,572 D. Background on Recommended Contractor The recommended firm, Kenny's Auto Service, located at 17406 Woodruff Avenue, Bellflower, CA has been in business for more than 20 years. Kenny's is the incumbent contractor on two existing FSP contracts and has been a FSP contractor since 1994. Kenny's is currently performing contracts for the Los Angeles County Sheriff's Department, Lakewood Division, CHP and the City of Paramount. Kenny's proposal demonstrates a solid and proactive approach for managing the new Regional FSP program. Kenny's demonstrates a solid management style and their facility reflects a professional character and has more than adequate room to accommodate the twenty plus towing vehicles required to perform the regional program. Kenny's has excellent employee retention with several long term employees in key leadership positions. Regional FSP Light Duty Towing Services Page 10

E. Small Business Participation The Diversity and Economic Opportunity Department (DEOD) established a 10% Small Business Enterprise (SBE) goal for this solicitation. Kenny's Auto Service, an SBE Prime, made a 1 00% SBE commitment. SMALL SBE SMALL SBE BUSINESS 10% BUSINESS 100% GOAL COMMITMENT SBE Prime %Committed 1. Kenny's Auto Service 100% Total Commitment 100% Regional FSP Light Duty Towing Services Page 11

FSP Contract Summary ATTACHMENT B Beat Contractor Contract No. Current Contract No. of Amendment Justification Expiration Date Months to Extend South Coast Towing FSP10-1 1/31/2014 6 Procurement Schedule, General 2 Neighborhood Towing FSP10-2 1/31/2014 6 Procurement Schedule, General 4U 4 L.A. Car Carrier FSP11-4 2/28/2014 5 Procurement Schedule, General 5 Neighborhood Towing FSP12-5 5/10/2015 0 Procurement Schedule, General 4U 8 Freeway Towing, Inc. FSP11-8 1/31/2014 6 Procurement Schedule, General 12 Bob & Dave's Towing, FSP11-12 1/31/2014 6 Procurement Schedule, General Inc. 13 Tow Masters FSP10-13 1/31/2014 0 Procurement Schedule, General 14 Kenny's Auto Service FSP11-14 1/31/2014 6 Procurement Schedule, General 16 Frank Scotto FSP11-16 1/31/2014 6 Procurement Schedule, General 19 Kenny's Auto Service FSP10-19 1/31/2014 6 Procurement Schedule, General 20 Bob & Dave's Towing, FSP11-20 1/31/2014 6 Procurement Schedule, General Inc. 21 California Coach Auto FSP10-21 1/31/2014 6 Procurement Schedule, General Body 24 T.G. Towing, Inc. FSP11-24 1/31/2014 7 Procurement Schedule, General Regional FSP Light Duty Towing Services Page 12

28 Hadley Towing FSP10-28 1/31/2014 6 Procurement Schedule, General 30 Citywide Towing FSP10-30 1/31/2014 6 Procurement Schedule, General 33 Platinum Tow & FSP10-33 1/31/2014 6 Procurement Schedule, General Transport 34 Sebo Towing FSP10-34 1/31/2014 6 Procurement Schedule, General 36 Lara's Towing FSP10-36 1/31/2014 6 Procurement Schedule, General 37 Hadley Towing FSP10-37 1/31/2014 6 Procurement Schedule, General 38 California Coach Auto FSP10-38 1/31/2014 6 Procurement Schedule, General Body 40 Reliable Delivery FSP11-40 1/31/2014 6 Procurement Schedule, General 42 EZ Towing FSP10-42 1/31/2014 6 Procurement Schedule, General Staff has identified the above mentioned contracts for modifications however staff will evaluate the needs of the FSP Program and allocate funds as needed and in the best interest of MTA. Regional FSP Light Duty Towing Services Page 13

ATTACHMENT C 0 8.. N ga FSP Beat Number and SE'I'vtce area Freeway without FSP Interstate U.S. Highway State Highway \ Los Angeles County January 1, 2oos Metro Freeway Service Patrol Beat Map Monday- Friday 6am- 7pm' Saturday/Sunday loam - 6pm SAN BERNARDINO COUNTY Regional FSP Light Duty Towing Services Page 14