Memorandum

City of Lawrence

Public Transit

TO:	David L. Corliss, City Manager
FROM:	Robert A. Nugent, Public Transit Administrator
CC:	Diane Stoddard, Assistant City Manager Cynthia Boecker, Assistant City Manager
Date:	April 29, 2010
RE:	Agenda Item: Public Transit Radio System Replacement

Please place the following item on the agenda for the May 4, 2010 City Commission meeting:

Approve the purchase and installation of twenty-nine (29) 400 Mhz radio units and accompanying antennas from TFMComm Inc.

Background:

The Transit Department must replace their existing radio system by the end of May 2010.

Up until recently the department, and our contractor, has been operating a 220 Mhz trunked radio system for communication and oversight in the provision of public transit service. All of the radios used for this purpose were owned by the City with access to the tower being provided under a rent agreement with TFMComm Inc.

On March 1, 2010 the FCC shut down the 220 Mhz system on which we were operating. This shut down was completely unexpected and was beyond the control of the department or the City of Lawrence. Also affected by this shutdown were both the City of Lawrence Solid Waste and Street divisions. In the interim TFMComm Inc. has provided loaner radios until we were able to evaluate the situation and determine a future course of action.

Cost:

TFMComm Inc. has provided a cost estimate for new equipment to replace the 220 Mhz system which is based on a cooperative bid on the State of Kansas contract in the amount of $32,891. However, they have provided a second quote which consists of replacing the 220 MHz system with lightly used equipment which is considerably lower than new. This quote was for $8,919. All maintenance and installation rates included in this quote are lower than those stated under the State of Kansas contract.  We were not able to locate any other opportunities for the purchase of used equipment.

The trunking fee associated with the 220 Mhz system was $8,646 a year. Under this new arrangement the annual cost will be $5,760. This constitutes a 33% savings in operating cost a year.

Recommendation:

The Transit Department recommends replacing the current radio system with a 400 Mhz system with used equipment. Access to the service would be provided through the use of a KU Parking and Transit band. The operational advantages of using the 400 Mhz system are as follows:

· Would allow for direct communication between all public transit vehicles currently provided by the City and KU.

· Using a common system is consistent with our ongoing efforts to coordinate services in public transit.

· Would result in a $2,886 reduction in operating cost per year associated with radio communication.

· Acquiring used equipment instead of new equipment will save $23,972.

Funding:

Funding for the purchase and installation of these radios will come from Transit Sales Tax (.05) funds.

Action Request:

Approve the purchase and installation of twenty-nine (29) 400 Mhz radio units and accompanying antennas from TFMComm Inc. in the amount of $8,919.