MEMORANDUM

TO:	Roger L. Stancil, Town Manager
FROM:	K. Stephen Spade, Transit Director Kenneth C. Pennoyer, Director of Business Management
SUBJECT:	Resolution Authorizing the  Purchase of Up to 7 Light Duty Transit Vehicles
DATE:	December 8, 2008

PURPOSE

The purpose of this report is to request Council approval for the purchase of up to 7 light duty transit vehicles.

BACKGROUND

Vehicles to be Purchased

Chapel Hill Transit currently operates fifteen lift equipped vans for the provision of services to its mobility impaired patrons.  Nine of these vehicles have reached the end of their useful life and are eligible for replacement.  The decision was made to purchase five vehicles at this time. A combination of two 25-foot and three 20-foot gasoline powered vehicles will be purchased.  The decision was made to purchase this combination of vehicles after consideration of the number of patrons that we carry that often need to get to the same location at the same time, and the need to provide door to door service, sometimes in very tight areas.

Chapel Hill Transit considered several different vehicles and sought public input before selecting a light duty van from National Bus Sales.

DISCUSSION

On June 25, 2008 the Council enacted a project ordinance appropriating $400,000 in federal funds for the purchase of miscellaneous capital items, including lift-equipped vehicles.

Funding Sources

Chapel Hill Transit has been allocated funds totaling $500,000 for this purchase.  The Federal Transit Administration will provide $400,000 and the State will provide $50,000 (10%) in matching funds.  Local matching funds totaling $50,000 (10%) are available in the Transit Capital Reserve

FISCAL NOTE

The vehicles to be replaced at this time are five 2000 and 2003 Dodge vans with an average mileage of 212,000 miles each.  Chapel Hill Transit currently owns 15 EZ Rider vehicles and sixty percent of the existing fleet is eligible for replacement.  It is critical to maintain a functional fleet and repair costs are rising because of their age and mileage.  Local matching funds are available through contributions for capital purchases from all funding partners, i.e. the Town of Chapel Hill, the University of North Carolina and the Town of Carrboro.  The Federal Transit Administration will provide $400,000 (80%), the State of North Carolina $50,000 (10%) and local matching funds of $50,000 (10%) are available in the Transit Capital Reserve Fund.

RECOMMENDATION

That the Council adopt the following resolution approving the purchase of up to 7 light duty transit vehicles from National Bus Sales and Leasing acknowledging that the purchase will be made as a sole source purchase through State Contract in lieu of a request for formal bids.