HomeMy WebLinkAboutSummary of Manager's FindingsManager's Finding: Fuel Miami, LLC — Citywide Bus Bench Contract Amendment
February 16, 2007
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SUMMARY OF MANAGER'S FINDINGS
FUEL MIAMI, LLC — Citywide Bus Bench Contract Amendment to include Bus Shelters
February 16, 2007
Alternative #1
New Contract with FUEL to for
Bus Benches and Shelters
Alternative #2
Piggyback on existing County
Contract for Bus Shelters
Alternative #3
Issue a Competitive Bid for
Bus Shelters
Allows placement of shelters at 600
bus stops (500 to be determined by
City based on greatest transit need
and 100 to be determined by Fuel)
Allows placement of shelters at ,
200 bus stops (all locations
already determined and not
necessarily based on greatest
transit needs)
Allows placement of shelters at
200 bus stops (all locations
already determined and not
necessarily based on greatest
transit needs)
Placement of 600, City approved,
trash receptacles, one at each bus
shelter at no additional cost
N/A
N/A
'
Placement can begin as early as
Spring 2007
Placement can begin as early as
Spring 2007
Placement will begin no sooner
than 12-15 months
Total number of advertisements
citywide will be a maximum of 750
(650 on benches and 100 on
shelters)
Total number of advertisements
citywide will be a maximum of
1,100 (900 on benches and 200
on shelters)
Total number of advertisements
citywide will be a maximum of
1,100 (900 on benches and 200
on shelters)
Management team with high level
of experience
Management team with high level
of experience
Management team with high
level of experience
One vendor for benches and
shelters with a 20 year contract
Two vendors- for benches and
shelters
One bench contractor with 10
contract years remaining
—and-
One shelter contractor with 5
years remaining and one 5 year
option to renew
Two vendors- for benches and
shelters
One bench contractor with 10
contract years remaining
—and-
One shelter contractor with a 20
year contract
Full maintenance of all bus
benches, 600 shelters and
surrounding area by vendor at no
cost to the City
Maintenance of 200 shelters and
surrounding area by vendor at no
cost to the City
Additional shelters purchased by
City would be maintained at
additional expense of
approximately $1,000 per shelter
per year.
Maintenance of 200 shelters
and surrounding area by vendor
at no cost to the City
Additional shelters purchased
by City would be maintained at
additional expense of
approximately $1,000 per
shelter per year.
Revenue of $202,500 (on ad
panels numbered 601 through 750
at a rate of $1,350 per shelter per
year with a 2% escalation)
Revenue of $263,600 to $336,200
per year for 200 shelters to be
used to purchase up to 16 bus
shelters per year.
Revenue estimated at $263,600
to $336,200 per year for 200
shelters to be used to purchase
up to16 bus shelters per year.
Financial Value Analysis of Alternatives
FUEL 1
FUEL 2
CEMUSA
RFP
Sus Shelters
600
600
200
200
Ad Panel Locations
250
100
180
200
Revenue per Location/Year*
$6,750
$6,750
$6,750
$6,750
Revenue per Year
$1,687,500
$675,000
$1,215,000
$1,350,000
Total Contract Revenue
$33,750,000
$13,500,000
$24,300,000
$27,000,000
Total Value to City"
$29,325,217
. $24,405,000
$13,082,960
$13,647,733
Revenue Sharing to City"
84,920,217
$0
$5,082,960
$5,647,733
Subtotal Profit to Vendor
$4,424,783
(810,905,00D
$11,217,040
$13,352,287
Based on $750/montMocation with 9 months/year of advertising
"" Capital value of shelters & trash receptacles plus O&M plus revenue to City for 20 year contract terra
Included in Total Value to City amount above
RFP (Unable)
600,
100
$8,750
$675,000
$13,800,000
$24,405,000
($10,905,000)