HomeMy WebLinkAboutSubmittal-Henry FloodStatement on Behalf of Pilar Albo, Executive Director
Action Community Center, Inc.
In Support of Its Bid Protest Appeal
Introduction
Good morning. My name is Henry Flood. I am procurement and grants consultant representing Action
Community Center, Inc., a 501 (c) (3) community based nonprofit organization that is appealing to the
Miami City Commission to sustain its protest of a recommended award for On Demand Transportation
Services to Transportation America, Inc. pursuant to RFP # 274276.
Mr. Chairman, I have a parliamentary inquiry about the agenda that needs clarification. What happens if
the vote today on RE.5 is less than that required to sustain or deny the protest? Secondly, with
respect to RE.6, what happens if the vote is insufficient to award the contract to Transportation
America, Inc.?
Mr. Chairman, I ask that the full statement accompanying this summary be entered on the record of
these proceedings as if it had been fully read for public viewing and reference.
Negotiated procurements can be complex undertakings even when done fairly and correctly. My duty is
to raise every claim that may arise under a protest situation. This is what the full statement is intended
to do.
11 Summary of Technical and Legal Assertions of Action Community Center
The technical and legal essence of our case amounts to the following points;
1. Transportation America, Inc. is a broker and not a bidder. Public policy and simple prudence
counsels that the City of Miami should not award contracts to brokers.
2. Transportation America is a Sub -Chapter S Corporation whose sole purpose is to transfer
income to investors, who are partners in ATS, a separate stand-alone firm whose assets are
obligated elsewhere.
3. Transportation America is not an operating company and has little assets of its own.
4. Although Transportation America, Inc. certified in its bid sheet that it was not sub -contracting
its work, the truth is that it cannot do otherwise and this contravenes its representations in its
RFP response. A bidder must keep its word and not be allowed to say one thing in its bid while
intending to do something else.
5. Transportation America, Inc. does not own and control the assets of ATS. It merely has an
investment position in another independent company (ATS) whose assets are pledged
elsewhere —namely to the Miami Dade County Para -transit contract.
6. The proposed award is not in the public interest because the award merely funnels money to
the investors in a Sub -Chapter S corporation owned by Mr. Gonzales and others unnamed.
Action Community Center, Inc. believes that passive investment firms and their owners bend
their knee at the altar of money not customers or service.
1
//- 0834 S -ilfa/_Hegiry Rood
N Action Community Center's Assertions Concerning Fairness and Equity
Long before the RFP and the tendering of the Purchasing Department's recommended decision, some
unusual things happened:
1. Suddenly, the City began having trouble funding and allocating money for an essential
service that i1had funded for some 3Oyears.
2. Then the City told Action Community Center that it would not receive a CDBG allocation in
2010 and that the City would seek County Surtax funds to fund essential transportation
services tothe elderly.
I For 6-9 months in 2010-2011, Action Community Center was without City funding.
4. Action Community Center, Inc. continued its services and the staff and drivers continued
m/urWnQ.
S. Meanwhile, the City, claiming to be without funds moved ahead with its ordinance to
require a bidding process. We can only surmise that CIP and purchasing departments figured
that Action Community Center would just fade away if it were squeezed out by the City's
now you see the funds now you don't. But Pilar and her staff didn't just fade away so that
the preferred contractor desired bythe City would just walk into the work.
G. You would think that the City Purchasing Department would at least provide a courtesy copy
of the procurement to Action Community Center and other potential minority bidders but
such is not the case and they are proud of it. Such courtesies are actually encouraged by
City Code Section 18-86 (u) (2)'When asked about such courtesies tmminority contractors,
the response of Mr. Robertson was simple: "We did away with minority contracting in
2009." This is an amazing accomplishment considering the political and social demographics
here.
7. 1 found it difficult to locate the procurement although it may have been hiding in plain sight,
who knows?
Q. And what about the bids? At least Action Community Center can add up its numbers but
Transportation America could not do that. | believe that |fyou cannot add upyour
numbers, you cannot domuch else either.
9. Financial capacity? Stable for 38 years with clean audits. Each year Action finished with a
$10,000 to $40,000 positive balance. So understandably, until the City made good on its last
two agreements, Action Community Center had negative income earnings in the $9,000 to
$12,000 range for 2010 and part of 2011. But Action still performed. Action's gift in the
evaluation process: a declaration of less solvent. Meanwhile a brokering firm whose sole
reason for being is to transfer investment assets to the tax returns of its investors is credited
asmore solvent.
If you are in the shoes of Action Community Center, Inc. you cannot be a happy camper. For them, it's
an odious process? |tdoesn't smell good. |tcan't taste good. |nfact the situation is downright rotten.
But the CIP and Procurement Departments are oblivious to all of this. They'll likely tell you that they
stand by their protest recommendation by pointing happily to the 96 page, paper hanging fluff tendered
intheTransportadonAnmericaproposaiAstheysaidtonneinourphqrmeednK,^VVejustwant '
somebody different."
2
Submitted into the public
� record lnconnection with
ibmnnsns.smn 82-09-12
' Priscilla A.Thompson
UV What Should Justice Look Like |othis Situation?
But Commissioners, you don't have to buy into this. You can take a second look. Like the Old Testament
Prophet Amos, you can deliver justice. Assovereigns youcanwashmmaytheu0|yynne||of this whole
By your vote, you can do more than sustain this legitimate bid protest. You have some choices:
2. You can award the contract to a bidder where the overall price difference is less than 1% in
the base year and lower in the out years —someone with a proven track record. Remember,
itioanegotiated contract.
2. You can throw out this tainted process wherein Action Community Center, Inc. was
unfairly treated and say "start over and this time, dmltcorrectly and falr|y."harelevant
pmmcunmnmemV provisions are 18'86 (o) (7) (b) (3).
3. VVedon't relish giving abroker asecond bite at the apple but Action Community Center )o
more than capable ofbidding again inaprocess that isclean and fair. The right thing to do
based omall the facts issustain the protest or"reject all proposals and instruct the City
Manager tore-issue amm|icitat|mn."But why? See the kicker initem 4
4. Commissioners, here's the kicker. Bymaking this service procurement instead mf keeping
itaaagrant, (or even acompetitive grant) you actually lose out mnother opportunities tm
get more funding Ymsupport this program. Ustand ready to help the City and Pi|mrdmeven
better Yfthis project remains grant -funded as it should.
S. You can also ignore all of this and select a transportation Barron who'll be grateful for the
Sub -Chapter S income but what about the needy clients and their right to dedicated service?
On behalf of Action Community Center, Inc., I thank you for your time.
/-- _ -
Submitted into the public
'
record inconnection with
items RE.5mw 02-09-12
Priscilla A.Thompson
City Clerk
Statement of Pilar Albo, Executive Director
Action Community Center, Inc.
In Support of Its Bid Protest Appeal
Introduction
Good morning. My name is Henry Flood. I am a procurement and grants consultant representing Action
Community Center, Inc. , a 501 (c) (3) community based nonprofit organization that is appealing to the
Miami City Commission to sustain its protest of a recommended award for On Demand Transportation
Services to Transportation America, Inc. pursuant to RFP # 274276.
Mr. Chairman, I have a parliamentary inquiry about the agenda that needs clarification. I see from the
Agenda that there is also a proposed temporary extension of the present contract as well as items to
deny the protest and another item to award the contract to Transportation America. For clarification
purposes, I surmise that the agenda item to extent the current contract is vitiated if the protest is
denied but what happens if the vote is less than that required to sustain the protest?
Mr. Chairman, we realize that time limitations may not permit a full oral reading of the statement of
Action Community Center, Inc. into the record so we ask that the full statement be entered on the
record of these proceedings as if it had been fully read for public viewing and reference.
Negotiated procurements can be complex undertakings even when done fairly and correctly. Action
Community Center made many protest claims in its filed protest. Some were more important than
others but it is my duty to raise every claim that may arise under a protest situation. Instead of re-
stating each of these claims, a better approach would be to summarize the technical claims here in
section II of our statement and state the equity claims in Section III of our statement below followed by
our call to action in Section IV below.
The essence of our case amounts to the following points:
1. Transportation America, Inc. is a broker and not a bidder. As a matter of sound public policy
and simple prudence, The City of Miami should not award contracts to brokers.
2. Transportation America is a Sub -Chapter S Corporation whose sole purpose is to transfer
income to investors who are partners in ATS, a separate stand-alone firm whose assets are
obligated elsewhere.
3. Transportation America is not an operating company and has little assets of its own.
4. Although Transportation America, Inc. certified in its bid sheet that it was not sub -contracting
its work, the truth is that it cannot do otherwise and this contravenes its representations in its
RFP response even though sub -contracting is a possible outcome. A bidder must keep its word
and not be allowed to say one thing in its bid while intending to do something else.
S. Transportation America, Inc. does not own and control the assets of ATS. It merely has an
investment position in another independent company (ATS) whose assets are pledged
elsewhere —namely to the Miami Dade County Para -transit contract.
6. The proposed award is not in the public interest because the award will simply reward
investors within a Sub -Chapter S firm whose sole mission is to pass funds to the tax returns of
the Investors Mr. Gonzales and others unnamed. Action Community Center, Inc. believes that
Submitted into the public
record in connection with
items RE.5 on 02-09-12
Priscilla A. Thompson
City Clerk
passive investment firms and their owners bend their knee at the altar of money not
customers or service.
7. In my pre -protest meeting with Mr. Sosa and Mr. Robertson, Action Community Center, Inc.
was offered a chance to gets its protest money ($ 5,000) back. That offer was declined. Each
of these gentlemen though was sure about one thing regardless of the evidence before them:
"We want someone else" according to Mr. Sousa and Mr. Robertson concurred.
8. The ardor of the City to replace a loyal contractor of 38 years was so great that many months
prior to the bid, one or more persons in the City through manipulation of funding caused
Action Community Center to be without funding for 6-9 months. But Action Community
,Center didn't fade away. The employees worked without salary for several months until the
City finally came up with the money. Such money shifting was a deliberate attempt to force
Action Community Center out of business. It did not work.
In view of the foregoing and considering the details in sections II, III and IV below, Action Community
Center, Inc. believes that the correct course of action is for the Commission to sustain the protest or
reject all proposals pursuant to Miami Code Section 18-86 (c) (7) (b)(3).
11 Technical Arguments for Sustaining the Protest
A Transportation America, Inc. is a broker and not a bidder
The position of Action Community Center, Inc. is that Transportation America, Inc. is a broker and not a
bidder. Brokers do little if any of the work in an awarded procurement. Their sole interest is money
rather than quality or service. Purchasing professionals and procurement law strongly discourage
"brokerism" in the purchasing process for two important reasons.
First, the practice rewards money grubbers at the expense of quality and service.
Second, brokering raises serious questions about who you are actually contracting with and who will be
accountable for the service you and your intended beneficiaries are getting.
How do you distinguish a bidder from a broker? You look at the company's reason for being and what it
really does. Transportation America, Inc. is not an operating company whose operations and business
rating are known via rating agencies such as Dunn & Bradstreet. It has no D & B rating score because D &
B could not locate sufficient information directly or indirectly to calculate ratios for its business
activities. I Neither is Transportation America a holding company and we dispute the claim that AST is a
division of Transportation America when clearly, such is not the case.
Why? The answer lies in the audit report of Transportation America, Inc. Paragraphs 1 and 5 (Income
taxes) under note 1 to the audited financial statement of Transportation America, Inc. provides an
enlightening answer:
"Transportation America, Inc. ("the Company") was incorporated under the laws of the State of Florida
in June 2001. The Company's sole purpose is to own and manage the majority of member's interest in
Advanced Transportation Solutions, LLC ("ATS")," For the record, ATS is the firm that provides pare -
transit services to residents of Miami Dade County.
See Attachment A to this statement.
2
Submitted into the public
record in connection with
items RE.5 on 02-___5_93
Priscilla A. Thompson
City Clerk
"Income Taxes Transportation America, Inc. is an S corporation and does not pay income taxes. The
shareholders of the company recognize the income on their personal income tax return."2
Why is this information significant? It is significant because Transportation America, Inc. is simply a
corporate shell to distribute investment earnings, (6 million plus at the end of 2009) to Raymond
Gonzales and or others. The mission of Transportation America Is to transfer money earnings from a
single source—ATS—not the operation of a transportation service.
The inescapable conclusion is that Transportation America, Inc. is a non -operating investment
management company and a broker and certainly not a bidder. Such entities bend their knee at the altar
of money rather than serving elderly handicapped customers. The opposite is true of Action Community
Center —an operating nonprofit firm whose sole mission for 40 years is serving the transportation needs
of elderly and handicapped residents of the City of Miami with distinction.
B Transportation America, Inc. will perform little to none of the actual work
The position of Action Community Center, Inc. is that Transportation America, Inc. will perform little to
none of the actual work on which it is claiming to be a bidder —a claim we continue to contest.3
Assuming for the moment that Transportation America, Inc. is a prime contract bidder —a claim we
contest —what's the issue or problem here?
There are two problems, one of which stems from Transportation America's own proposal. Take a
look at their bid qualification certification sheet. It asks if the prime is sub -contracting. Transportation
America answered "NO"
But the opposite is really true. Transportation America is a passive investment sub -chapter S firm to
funnel money to investors. It is going to sub -contract after all and do lots of it. No reasonable person
would dispute the right of a prime contractor to use sub -contractors to help it perform the prime
award that it holds, or in this case seeks. But remember, Transportation America said in its bid that it
was the prime doing 100% of the work.
ATS is a separate, stand-alone company and not a division of Transportation America. In its beauty
bid, all dressed up for the show, Transportation America claims a prime status but the reality says
otherwise. It is a shell firm to pass assets to its hungry investors —not an operating company with real
assets to in fact act and behave as the prime bidder It claims to be.
Nevertheless, let's have that sub -contracting discussion. How much should a contract seeker be
permitted to sub -contract and still be considered a responsible, responsive and accountable contractor
who is then eligible for award?
Is it 10%? Is it30%? How about 50% or more? What does common sense tell you? Most procurement
professionals will tell you that when a prime contractor begins to contract out more than 35% of its
work to others, it raises issues about capacity to perform and accountability.
Z See Attachment B to this statement
3 Refer to Section II A above.
Submitted into the public
record in connection with
items RE.5 on 02-09-12
Priscilla A. Thompson
City Clerk
The reality is that Transportation America, Inc. will contract out far more than 50% of this work to other
firms. Transportation America, Inc will use the assets of others since it owns little assets of its own
beyond its investment in the resources of ATS which are pledged to a para-transit contract with Miami -
Dade County. Remember, Transportation America, Inc. is not an operating company as such.
The City of Miami procurement Director and the City of Miami Capital Improvements Department find
no issue with allowing an alleged bidder to propose contracting out 50% or more of its work under a
proposed procurement such as the one now before you. But you on the Commission should.
Excessive sub -contracting (40% or more) runs contrary to what most procurement professionals would
advise. The reasons are simple:
1. Most procurement professionals and selection committees would reject a bid where 50% or
more of the work will actually be performed by others as non -responsive and the bidder would
be deemed not responsible. This is the practical essence of what it means to be a broker instead
of a prime bidder with sub -contractors performing a non -dominate amount of the work.
2. Action Community Center, Inc. again asserts that Transportation America, Inc. does not own the
assets that it proposes to use to fulfill its obligations under RFP # 274276. Transportation
America, Inc. may have an Invested interest in the assets of ATS but such invested interest is not
the same as custody and control of the assets for use in this procurement. Instead, the assets
pledged by Transportation America, Inc. are in reality, the assets of ATS and the assets of ATS
are pledged and dedicated to its prime contract with Miami -Dade County to provide para-transit
services to residents of Miami -Dade County.
3. RFP 274276 at Section 2.14 contains a "first priority" clause in which the bidder and successful
awardees pledges to the City of Miami that "the City of Miami shall be its primary client and
shall be serviced first during a schedule conflict arising between this contract and any other
contract successful bidder(s)/proposer(s) may have with Any other cities and/or counties to
perform sirnilar services as a result of any catastrophic events such as tornadoes, hurricanes,
severe storms or any other public emergency impacting various areas during or approximately
the same time."
Now, Action Community Center, Inc. can meet this obligation because its exclusive mission is to serve
the transportation needs of the elderly and handicapped with transportation services because the City
of Miami has been its primary client for nearly 40 years.
As an acknowledged condition of its bid, can or will Transportation America do likewise? Practicalities
alone will tell you that the answer is "NO." Are the investors in Transportation America going to place
its interests in a $40,000,000 county -wide contract above those of a contract worth 10 times less? Do
you really think that Miami Dade County will permit this to happen?
4. Finally, how many of you Commissioners really believe that Miami Dade County would be happy
to see a transportation broker re -pledge assets from another relationship with which it has a
fiduciary obligation for use on the contracted business of another jurisdiction? Mayor Gimenez
should be outraged at the prospect.
4
Submitted into the public
record in connection with
items RE.5 on (11:09:1Z
Priscilla A. Thompson
City Clerk
III Issues of Equity and Fairness
There are several issues of equity and fairness that you should consider regarding this procurement.
These issues ofequity and fairness argue strongly for sustaining ratherdmanmejectmQtheprotestnmw
before you.
First of all, Action Community Center wants to dispel the notion that it is entitled tothe award merely
because of its 40 year grant and contract relationship with the City of Miami. Neither do we dispute the
right of the City to switch from a grant process to a procurement process.
But how you Qmabout the process and how you treat organizations matters. If this were msmooth, even-
handed gradual switch from grant funding an essential service to a procurement, we would probably not
hehere before you today. The record and the facts strongly argue for the proposition that the City
treatment nfAction Community Center was anything but fair.
For nearly 4Dyears through aseries mfgrants from revenue sharing, Community Development8b»ck
Grant funding and other federal, state orlocal allocations, the City nfMiami funded the transportation
needs of elderly and handicapped residents of the City of Miami to visit doctors, hospitals, clinics,
feeding places and selected recreational activities.
At some point, CIP, procurement personnel and at least one Commissioner began the process of moving
towards aprocurement rather than agrant twrenew the service nnago-forward basis. Had this process
proceeded imanormal mrroutine manner, Action Community Center would not bechallenging this
am/ann.
Long before the RFP and the tendering of the Purchasing Department's recommended decision, some
unusual things happened:
1. Suddenly, the City began having trouble funding and allocating money for anessential
service that ithad funded for some 38yaan.
3. Then the City told Action Community Center that it would not receive a CDBG allocation in
2010 and that the City would seek County Surtax funds to fund essential transportation
services tmthe elderly.
*But such aswitch from agrant instrument toaprocurement instrument may not necessarily relieve the City of
Miami from some outreach duties to community -based nonprofit organizations serving the elderly, disabled and
low-income populations. After all, City and surtax funds can and frequently have been used tnmatch federal
sources of funding— particularly federal DOT money. There are good reasons to wonder why the City switched
from a grant to a contract instrument. It is an interesting issue that needs further exploration. Action Community
Center, Inc. would assert that merely switching toaprocurement instrument using surtax money may not be
sufficient to relieve the City of its duty to reach out to potential minority bidders because when public funds are
used as federal match to get handicapped busses, we would submitthat the minority outreach and bidding
requirements might apply either because n;Federal or State laws. One thing isclear about the use ofCounty and
State surtax money. Miami Dade County Ordinance #0Z'117,Codified as02'1421 (g) (2) and J3)contains an
affirmative compliance duty to assure "compliance with any limitations imposed In the levy on the expenditures of'
surtax proceeds, including but not limited to* * *(3)Tpassure compliance with and federal and state
requirements thereto." So the question remains: Merely because the City seeks to use Surtax money with the
intention of using a purported private bidder, is the City of Miami relieved of its minority contracting requirements
that might pertain because of State orfederal involvement? See note 5 below.
5
-
S. For 6'9months in2O2Q'2O11,Action Community Center was without City funding.
4' Action Community Center, Inc. continued its services and the staff and drivers worked for
free'
S. Meanwhile, the City, claiming to be without funds moved ahead with its ordinance to
require a bidding process. We can only surmise that a CIP and purchasing department
figured that Action Community Center would just fade away if it were squeezed out by the
City's now you see the funds now you don't. But Pilar and her staff didn't just fade away so
that the preferred contractor desired by the City would just mm|h into the work.
6. You would think that the City Purchasing Department would at least provide a courtesy copy
mfthe procurement toAction Community Center and other potential minority bidders but
such innot the case and they are proud mfit.,
J' hfound it difficult to locate the procurement although it may have been hiding in plain sight,
who knows?
8. And what about the bids? At least Action Community Center can add up its numbers but
Transportation America could not do that. As one who has reviewed hundreds of bids and
grant proposals, Ufind, modmmost others, that If you cannot add up your numbers, you
cannot domuch else either.
9' Financial capacity? For 38 plus years, Action Community Center dedicated its time and
resources to one mission —provision of reliable and consistent transportation services and
they usually completed each year with a $10,000 to $40,000 retained earnings balance. It's a
remarkably stable and consistent record until the City of Miami CIP And Purchasing
Departments, or others higher up nearly forced Action Community Center out of business
through money manipulation. So understandably, until the City made good on its last two
agreements, Action Community Center had negative income earnings in the $9,000 to
$22,80Orange for 201Oand part mf2O11.Action's gift inthe evaluation process isthat
something entirely not of Action Community Center's making was counted against them.
Meanwhile a brokering firm whose no|w reason for being iutotransfer investment assets to
the tax returns of its investors is credited as more solvent.
Action Community Center could say and provide much more about this sordid process but the picture
should be pretty clear unless one cares nothing about facts, truth or fairness. Let's turn to what justice
should look like.
What Should Justice Look Like?
if you are inthe shoes of Action Community Center, Inc. you cannot beahappy camper. How could you
expect them to beinthe face ofsuch anodious process? bdoesn't smell good. hcan't taste good. In
fact the situation \sdownright rotten.
But the []Pand Procurement Departments are oblivious tnall ufthis. It simply does not matter. They'll
likely tell you that they stand bVtheir protest recommendation bwpointing happily tothe 96page paper
hanging fluff tendered inthe Transportation America proposal and similarly, their bid protest
N response". As they said to me as recently as a week or so ago, "We just want somebody different."
` Such courtesies are actually encouraged by City Code Section 18-86(d(2). When asked about such courtesies to
minority contractors, the response of Mr. Robertson was simple: 'We did away with minority contracting in2009.^
.
6 | Submitted into the public
record lnconnection with
� itmmnmRE.s on 02'09'12
| Priscilla A,Thompson
But Commissioners, you don't have to buy into this. You can take a second look. Like the Old Testament
Prophet Amos, you can deliver justice. As sovereigns you can wash away the ugly smell of this whole
process.
By your vote, you can do more than sustain this legitimate bid protest. You have some choices:
1. You can award the contract to a bidder where the overall price difference is less than 1%
with a proven track record.
2. You can throw out this tainted process wherein Action Community Center, Inc. was
unfairly treated and say "start over and this time, do it correctly and fairly." This is
authorized by the Procurement Code. The relevant provisions are 18-86 (c) (7) (b) (3).
3. We don't relish giving a broker a second bite at the apple but Action Community Center is
more than capable of,bidding again in a process that is clean and fair. The right thing to do
is sustain the protest or "reject all proposals and instruct the City Manager to re -issue a
solicitation."
4. You can also ignore all of this and select a transportation Barron who'll be grateful for the
Sub -Chapter 5 income but what about the needy clients and their right to dedicated service?
On behalf of Action Community Center, Inc. , I thank you for your time,
7
Submitted into the public
record in connection with
items RES on 02-09-12
Priscilla A. Thompson
City Clerk
Attachment A
Dunn & Bradstreet Repon
Submitted into the public
record in connection with
items RE.5 on 02-09-12
Priscilla A. Thompson
City Clerk
ZikVe
ATM:Marta Abe
Report Printed:August 26, 2071
Live Report : TRANSPORTATION AMERICA, INC.
0-1J4l4a Number: 96-500-8577
Tiede Noma; No trade names tor this company.
Address 2756 NVd 62vis st
miarni,FL - 33147
Pitons 305 $08-etio
Fax
comPanY§Ymin._
History & Operatkets
This Is a single location
Chief Exectdive RAYMOND GONZALEZ. CEO
. _ _ .
Eitiployees 10
SIC 4212
. . .
Une ol business Local trucidng operator
Submitted into the public
record in connection with
items RE.5 on 02-09-12
Priscilla A. Thompson
City Clerk
Location Type Single Li:Galion
Web
Predictive Indicators -Suppler Evaluation Risk
This bushings supplier evaluation rating of 0
means it is In open bankruptcy, has
discontinued operating at this location or
cannot be scored.
ICS
Predictive 'Indicators - Credit Capacity
NA484110
........ _ _
Public Finn
Their:dewing dela includes both open and dosed
filings found in D&B'e database on this company.
Bankruptcies 0
. _
Judg
eats 0
Us 0
- -
Sults 0
UCCs
The public record items contained herein may have
been paid, temenated, vacated or released prior to
todays data.
Predictive Indicators
D&B RATING : DS
The DS rating indicates that the information
availatie does not per* D&B to classify the
company within our rating key.
This assessment is based on DUG DAB Rating.
Currency: Shown in USD unless otherwise incicated
Credit Capacity Summary
This credit rating vnu assigned because of DliEls assessment of the oompanys creditworthiness. For more Information, sae the
GSB Fitting Key
'bee Rating :- DS
The DS retina intlicales that the InforMation available does not permit D&8 to classify the company within our rating key.
Predictive Indicators • Supplier Evaluation Risk
Rating
Supplier Evaluation Risk Rating: 0
Trade P ments
Detailed payment history for dile company
Number of
Employees 10
Total:
Currency: Shown in USD unless otherwise Indicated ea
DO Is not received a sufficient Gamete of payment experiences to establish a PAYDEX sosreD&B receives nearly 400 million payment
experiences each year. We enter these new and updated experiences Into DEB Reports es this information is moeived Al this Ilme, none of
those experiences relate to this company.
Public Slim
Summary
Currency: Shown in USD unless otherwise indicated ES
A check of1360s public records database Incficates that no lifings were found for TRANSPORTAT ION AMERICA. INC. at 2768 Nw 62nd SI
, Miami FL.
Duna cadandee database of public record Information Is updated daily W ensure timely reporting of changes and additices. It includes
businesa-related suits, liens. Judgments, bankruptcies', UDC finandng statements and business registrations from eery stele and the
Distrld of Cdurnbla, as well as seled filing types from Puerto Rioo and the U.S. Virgin islands.
D&B collects public 173COrda through a combination of cowl reporters, third parties and direct electronic links with federal and local
authorities. Its database of U.S. business -related flings is now the largest of Ns kind.
Special Events
Special Event;
Currency; Shaven in USD unless otherwise indicated M
.-„
12/0611610
SELF REQUEST. This record was originally created on December 6, 2010, at the retitled of Bob Beers, Manager.
Histo Operations
Submitted into the public
record in connection with
items RE.5 on 02-09-12
Priscilla A. Thompson
City Clerk
Currency: Shown in USD unless otherwise Indicated
Company Deemlarer
Company Name: TRANSPORTATION AMERICA, INC.
Street Address: 2785 Nw 82nd St
Miami, FL 33147
305 308-8110
SIC & PIA/CS
stc
Based on irdormallon In our file. D&B has assigned this company an extended B-digit SIC. D&B's use of 8-cigi1 Me enables us to be more
specific about a companys operations than if we use the standard 4-dIgn code,
The 4-digit SIC numbers link lo the description on the Occupational Safety & Health Administration (OS -IA) Web site. Lirdos open in a new
browser window.
4212 0000 Local trudging, *Rhein storage
HAICS:
434110 General Freight Trucking, Local
Financials
Currertcy: Shown in USD unless otherwise Indicated
Key Business Ratios
D & 8 has been unable to obtain sufficient financial information from this company to calculate business ratios. Our chedg of adcltional
outside sources also found no information available on its finandal performance.
To help you In this instance, ratios for other firms In the same industry are provided below to support your analysis of this business.
Based on this Number of Establishments
, .
Profitabalty
Return on Solos
Return on Net Worth
Sheri -Term Solvency
Current Ratio
Quick RaUo
Efficiency
Assets/Sales (%)
Safes/ Net Working Capital
iitlikatkm
Total L10btIeaI Net Worth (%)
UN ea Unavailable
Industry Norms Based On 19 Establishments
" *Isis •
UN
UN
UN
UN
UN
UN
2.2
12.3
2.7
1.9
32.9
8,4
cog
UN
UN
UN
UN
UN
UN
UN 60.0 UN
This Information may not be reproduced In gvhue or in part by any means of re
13
Submitted into the public
record in connection with
items RE.5 on 02-09-12
Priscilla A. Thompson
City Clerk
3
Attachment B
Audit Report of Transportation America, Inc.
Submitted into the public
record in connection with
items RE.5 on 02-09-12
Priscilla A. Thompson
City Clerk
TRANSPORTATION AMERICA, INC.
AUDITED FINANCIAL STATEMENTS
DECEMBER 31, 2009
TABLE OF CONTENTS
PAGE NO,
REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANT• • •.• • ...... • • ••• •••••••
FINANCIAL STATEMENTS..., .. ,...... ..... ..................... •• • •• • •••• .......
Balance Sheet
• •, • •",•• i&•••••• ••.•.” ....... .•.4•E • .....
Statement of Operations and Retained Earnings
3
Statement of Cash Flows ........ ........ ...... . ....... ......
Nouts to Financial Statements
.•.., ......... ••••.••••••••, ....... ••• .......... „••••• 5 — 6
•
..... ......... .....
Submitted into the public
record in connection with
items RE.5 on 02-09-12
Priscilla A. Thompson
City Clerk
greda & Co., C.P.A.
6RTLFIEDPUBLIC ACCO['ti'TANTSta CMSL;LTAN
69i5 Red Rd. Suite 20R • Coral Gables. FL 33143
Tc1., (3051661-1441 • Fay. 1305) 661,9994
E.-mail; aagredacpa@aoLcnrn
Report of independent Certified Publlc Accountant
To the Board of Directors
Transportation America, Inc.
We have audited the accompanying balance sheet of Transportation America, Inc. as of
December 31, 2009, and the related statements of operations and retained earnings, and cash
flows for the year then ended. These financial statements are the responsibility of the Company's
management. Our responsibility is to express an opinion on these financial statements based on
the audit,
We conducted the audit in accordance with generally accepted auditing standards. Those
standards require that we plan and perform the audit to obtain reasonable assurance about whether
the financial -statements are free -of -material misstatement: -An audit includes examining; on a -test
basis, evidence supporting the amounts and disclosures in the financial statements. An audit also
includes assessing the accounting principles used and significant estimates made by management,
as well as evaluating the overall financial statement presentation. We believe that the audit
provides a reasonable basis for our opinion.
1n our opinion, the financial statements referred to above present fairly, in all material respects, -
the financial position of Transportation America, Inc. as of December 31, 2009 and the results of
their operations 'and their cash flows for the year then- elidedin t oriformity With generally •
accepted accounting principles.
Miami, Florida
August 26, 2010
Submitted into the public
record in connection with
items RE.s on Z_ 0
Priscilla A. Thompson
City Clerk
Transportation America, Inc..
Balance Sheet
December 31, 2009
Assets
Current assets
Cash
Total current assets
6,945
6,946
Other assets
Investment in Advanced Transportation Solution373,299
Loans to Shareholders
37,750
Total other assets
4l1,049
Liabilities and Stockholder's Ecuity
Stockholder's equity
• Common stock -$I.O0parvalue, I,OOOsharshares
Authorized. 1.000 issued and outstanding
Retained earnings
• Total stockholder's equity
Read notes to financial statements
2
417,995
1,000
Submitted into the public
record in connection with
items RE.5 on 02-09-12
Priscilla A. Thompson
City Clerk
Transportation America, Inc.
Statement of Operations and Retained Earnings
Year Ended December 31, 2009
Investment Income
Total Income
920,301
920,301
Operating Expenses
Licenses and permits
150
Taxes
356
Total Operating Expenses
506
Operating Income
919,795
Other Income (Expense)
Investment Interest income
14,652
Meals and entertainment expense from Investment activity (95)
Contributions from Investment activity (2,102)
• •Depreciation expense -from Investment activity • ... ...... (15,292)
Total Other Income (Expense)
(2,837)
Net Income
916,958
Retained Earnings, Beginning of Year 5,558,261
Distributions
(6,058.224)
Retained Earnings, End of Year
Read notes to financial statements
3
4161995
Submitted into the public
record in connection with
items RE.5 on 02-09-12
Priscilla A. Thompson
City Clerk
Transportation America, Inc..
Statement of Cash Flows
Year Ended December 31, 2009
Cash flows from operating activities
Net income
916,958
Adjustments to reconcile net income to net cash
PTovided by operating activities:
Net decrease in investment in iers • 122,284
Net cash provided by operating activities 1039,242
Cash flows from financing activities:
Distributions
(1,039,748)
Net cash (used) by financing activities (1,039,748)
Net (decrease) in cash
(506). . . .
Cash, beginning of year
7,452
rn‘h, end of year
6,9416
Read notes to financial statements
4
Submitted into the public
record in connection with
items RE.5 on 2-109:12_
Priscilla A. Thompson
City Clerk
Transportation America, Inc.
Notes to Financial Statements
December 31, 2009
Note 1 - Summary of Significant Accounting Policies
Ttansportation America, Inc. ("the Company") was incorporated under the iaws.of the State of
Florida in June 2001. The Company's sole purpose is to own and manage the majority of the
members.' intcrest in Advanced Transportation Solutions, LLC ("ATS").
ATS was organized under the laws of the State of Florida in June 2001. ATS has a contract with
the Miami Dade County Transit Agency. Per this contract, ATS must provide paratransit service
required by the A.D.A. transportation guidelines.
Accounting megioil
The Company prepares its financial statements using the accrual basis of accounting in
accordance with generally accepted accounting principles; consequently, revenues are recognized
when earned and expenses are recognized when the obligation is incuinal,
Cash
The Company maintains its checking accounts in a major financial institution. The balances are
insured by 'the Federal •DeOoSit Inst.; ranee" Corporation up to 3500,000 Pei institution. At
December 31,2009 the Company had no uninsured cash balances.
Income Taxes
Transportation America, Inc. is an S corporation and does not pay income taxes. The shareholders
of the company recognize the income on their personal income tax return.
Use of estimates
........ .
The preparation of financial statements in coriforMity with generally 'Accepted accounting ..
principles requires management to make estimates and assumptions that afftct the amounts
reported in the financial statements and accompanying notes, Actual results could differ from
those estimates.
Note 2—Investment In Advanced Transportation Solutions, I.LC
The Company owns 58.38% of the outstanding member's interest in ATS. _ The investment
balance agrees to the member's equity interest in ATS.
Note 3 — Going Concern
The Company derives all of its investment income from ATS. Any negative effects of the
operations °CATS will materially affect this company.
5
Submitted into the public
record in connection with
items RES on 02-09-12
Priscilla A. Thompson
City Clerk