Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Fleet Maintenance topic
No spam. Unsubscribe anytime.
SFMTA board approves $95 million midlife overhaul contract after questioning about single‑bid market
Summary
The SFMTA board authorized a contract with Complete Coachworks to overhaul 221 New Flyer buses for up to $95 million after staff said only one qualified bidder responded; directors pressed staff on market competition and whether more work can be done in‑house.
The San Francisco Municipal Transportation Agency board approved a contract allowing the agency to enter into an agreement with Complete Coachworks to perform midlife overhauls on up to 221 buses for an amount not to exceed approximately $95,000,000 and a term of up to five years.
What the board approved: The contract covers midlife overhaul services for 152 standard 40‑foot hybrid New Flyer coaches and 69 articulated 60‑foot hybrid New Flyer coaches. The work is phase 2 of a broader overhaul program that the agency began to spread vehicle age and increase reliability; staff told the board the earlier phase is about 85% complete.
Why the contract drew scrutiny: Staff said the agency issued a competitive RFP in August 2024 but received a single qualified bid in November 2024 from Complete Coachworks, which already holds the agency’s phase‑1 overhaul work. Director Steve Hemminger pressed staff on how the agency “knows you’re getting a good price when you’re only getting one bid,” asking whether the market lacks capacity or competitiveness.
Program manager Gary Chang told the board the solicitation attracted outreach to multiple vendors, including out‑of‑state shops, and that many shops could not meet the project schedule and throughput needs. Chang said the agency compared the contractor price to in‑house labor cost estimates and deemed the pricing acceptable. He also said the SFMTA will continue some propulsion work in‑house and act as a parts supplier to the contractor in order to increase throughput.
Board discussion and next steps: Several directors urged expanding in‑house capacity where feasible and taking lessons from other procurements to increase competition for future contracts. Director Hemminger and others recommended a systematic review of large, long‑running contracts to improve oversight and readiness ahead of expiration dates. Director Kirschbaum said the agency expects to use short extensions on multiple large contracts to give staff more runway to restructure procurement and capture efficiency savings.
Vote: The board voted to approve the contract. Roll call recorded ayes from Directors Chen, Felder, Hemminger, Henderson, Hinsley and Chair Tarloff (transcript roll call recorded all in the affirmative); no nays were recorded.
Why it matters: Overhaul work is intended to sustain bus availability and maintainability as vehicles approach their federally recommended useful life (12 years for hybrids). The contract and how it was procured drew attention because single‑bid awards complicate price benchmarking and oversight for a program that exceeds tens of millions of dollars.
Ending: Staff said they expect to mobilize the contractor in late 2025 if the Board of Supervisors approves, and anticipate completing the full phase by early 2028 as part of the agency’s midlife fleet sustainment plan.
