Title
Request to Issue a Request for Proposals for North and South Fixed-Route Transit (Bus) Service Operations - Citywide
Description
This report requests the Transportation, Infrastructure, and Planning Subcommittee recommend City Council authorize the Public Transit Department to issue a Request for Proposals (RFP) for fixed-route transit (bus) services operated from the City-owned North and South transit facilities.
THIS ITEM IS FOR CONSENT ACTION.
Report
Summary
Approximately 70 percent of Phoenix’s fixed-route bus services operates out of two primary facilities: the North Transit Facility located at 19th Avenue and Desert Cove, and the South Transit Facility located at 22nd Avenue and Lower Buckeye Road. Together, these facilities currently support a combined fleet of 347 buses, including 131 buses operating out of the North facility and 216 buses operating out of the South facility. Transit services at these facilities include 27 local routes, six RAPID routes, and three Neighborhood Circulators.
The North Transit Facility houses transit fleet vehicles, as well as facilities for the contractor to use for administration and operations, including vehicle maintenance, facility maintenance, bus fueling, and bus washing. The South Transit Facility also houses vehicles and provides operations and vehicle maintenance facilities, as well as serving as the contractor’s administrative offices, safety and training rooms, and bus and road supervisor dispatching.
The joint fleet from these yards provides service on 36 routes throughout the region, comprising approximately 15 million service miles per year and serving an average of two million passengers per month. The routes operated under the current contract include some of the region’s busiest, including Route 19 (19th Avenue), Route 35 (35th Avenue), Route 50 (Camelback Road), and Route 70 (24th Street/Glendale Avenue). The current contractor employs approximately 985 local staff to operate, maintain, and administer this contract on behalf of the City.
The current contract for fixed-route transit service for the North and South yards expires on June 30, 2027. This request is to issue an RFP for a new contract.
Procurement Information
The Public Transit Department will issue an RFP for a fixed-price contract conducted in compliance with City Code as well as Federal Transit Administration requirements. Respondents deemed responsive and responsible will be evaluated based on the following proposed evaluation criteria, with a maximum of 1,000 possible points:
- Qualifications, expertise, and experience (250 points)
- Proposed management and personnel (200 points)
- Understanding of work scope and transition plan (250 points)
- Price (300 points)
The Public Transit Department intends to issue the RFP in early summer of 2026, with an award recommendation slated for early 2027. The City's Transparency Policy will be in effect upon release of the RFP and throughout the solicitation process.
Contract Term
The term of the new North and South Fixed-route Transit contract will be for five years beginning on or about July 1, 2027, with one additional two-year option to extend at the City’s discretion. The total seven-year contract term provides known costs as Phoenix continues implementing the T2050 plan, and allows the contractor to spread fixed and capital costs over a longer period, which results in lower cost proposals to the City. The two-year extension option will be exercised only if it is in the City’s best interest to do so and the contractor has performed satisfactorily during the five-year base period.
Financial Impact
The resultant contract will be funded with T2050, federal, and regional funds.
Concurrence/Previous Council Action
On March 26, 2026, the Citizens Transportation Commission recommended approval of this item by a vote of 8-0.
Department
Responsible Department
This item is submitted by Deputy City Manager Amber Williamson and the Public Transit Department