Title
Transdev Rental Car Center Shuttle Bus Contract
Description
Request to authorize the City Manager, or his designee, to authorize the Aviation Department to negotiate an amendment of Contract 125318 with Transdev Services, Inc., (Transdev) to extend the term of the Contract and amend the business terms for the Rental Car Center (RCC) shuttle bus services. Annual expenditures for the Contract are approximately $14 million.
Report
Summary
Phoenix Sky Harbor International Airport currently has the Contract with Transdev to provide shuttle bus service for RCC passengers. In 2016, over 6.5 million passengers were transported between the terminals at Phoenix Sky Harbor International Airport and the RCC. Transdev currently provides the day-to-day operations and management of the RCC shuttle bus services. Transdev stores, fuels, cleans, operates, and maintains 108 City-owned buses that provide the shuttle bus services.
Authorization is requested to negotiate an extension of the term of the Contract with Transdev in order to provide RCC shuttle bus services through the end of the Stage 2 construction and testing of the PHX Sky Train. The PHX Sky Train Stage 2 extension is expected to be operational for passengers in early 2022. Extending the term of the Contract will maintain continuity of shuttle bus services until the extension is complete and minimize risks and costs associated with transitioning to another shuttle bus operator. When the negotiations with Transdev are complete, the Aviation Department will submit a contract amendment recommendation for consideration by the City Council.
Contract Term
The original term of the Contract was four years, which began on Jan. 3, 2009 and expired on Dec. 31, 2013. The Contract contains five one-year renewal options that are exercised by the Aviation Director. The last renewal option will expire on Dec. 31, 2018.
Financial Impact
Annual expenditures for the Contract are approximately $14 million.
Concurrence/Previous Council Action
This item was recommended for approval by the Downtown, Aviation, Economy and Innovation Subcommittee on Jan. 17, 2018 by a vote of 4-0.
Location
Phoenix Sky Harbor International Airport, 3400 E. Sky Harbor Blvd.
Council District: 8
Department
Responsible Department
This item is submitted by Deputy City Manager Deanna Jonovich and the Aviation Department.