Monday, February 11
12:00pm - Governmental Affairs Committee, Room 280. AGENDA: Discuss NLC Trip; Discus preparation for 2008 Short Session; Meeting Schedule
3:30pm - Transportation Committee, CANCELLED
5:00pm - Council Photo Shoot, Room 267
5:15pm - Council Dinner Briefing, Room 267
7:00pm - Council Business Meeting, Council Chamber
Agenda Notes:
Four contracts will appear on the February 11, 2008 Council Agenda related to Landscaping Maintenance. For each of these, the SBO rationale is stated as:
"The SBO Office exempted landscaping contracts from SBE subcontracting goals for FY2008 (Part A, Section 4.2 and Appendix Section 23.10 of the SBO Policy). Instead, staff seeks to enhance SBE utilization by issuing smaller contracts so SBEs can participate as primes. Past experience has shown this approach to be more effective with landscape contracts."
In past years, staff has attempted to identify subcontracting opportunities within landscaping. These opportunities include the spreading of mulch, the installation of soil, or the distribution of trees and shrubs. Because of the inability to identify SBEs who were wholesalers or plant nurseries that could supply the variety and/or quantity of plants in one of the City's typical landscape installation contracts and the inability to split segments of landscaping services, subcontracting goals were not established.
Instead of setting subcontracting goals on these projects, staff believes that breaking these proposals into smaller landscaping contracts enhances SBE utilization by creating opportunities for SBEs to participate as primes.
Noting the examples appearing on the February 11th Council agenda, $2.345 million dollars is being awarded over 16 separate contracts. For one of these, an SBE submitted the lowest bid with an amount of $282,914. The pursuit of landscaping contracts in this manner has resulted in a 12.06% SBE participation rate, which is based on the combination of these 16 contracts. If subcontracting goals were established, it is estimated that 5% of the overall contract value would have been set for subcontracting participation.
Last year the City sued Chican Hospitality, LTD (Star Choice Hotel) as a public nuisance and was successful in obtaining a preliminary injunction closing the hotel. The City has entered into negotiations with the Defendant who has agreed not to re-open the property until it can be sold. The Defendant has recently advised the City that it has a buyer who is ready and willing to purchase the property under a national franchise. City staff is recommending that it be permitted to finalize the settlement agreement with Chican Hospitality, LTD so that the hotel can be sold. Attached is the Request for Council Action.
Information Items:
The following information is additional information about establishing subcontracting goals on the purchase of Goods & Equipment.
The Small Business Opportunity (SBO) Program was developed to provide increased opportunities and awareness of procurement contracts to the Small Business Enterprise (SBE) community. The application of how this is administered is defined in two distinct manners.
1) Formal contracts (i.e. over $100,000 and requiring Council approval) incorporate the SBO Program as a subcontracting participation program. Essentially, this means that the City sets SBE participation goals for subcontracting opportunities available on these contracts.
2) Informal procurements (contracts under $100,000 and do not come to Council for approval) are driven by annual SBE utilization targets designated for each City KBU. Therefore, for informal procurement efforts, KBUs have incentives to ensure SBEs are being considered as primes and not just subcontractors.
Thus, when contracts appear on Council agendas, the reference to whether SBE goals are being established is directly related to the subcontracting opportunities available. While the SBO Program has been in place since 2003, a series of revisions were made in 2007 to the SBO Policy to streamline the process and make the program more effective.
One of the administrative changes incorporated into the revised SBO Policy (approved in March 2007 by the City Manager), was to remove the requirement of establishing SBE (subcontracting) goals for Goods & Equipment contracts. The rationale to proceed with this particular revision was based on the rarity of Goods & Equipment contracts to have subcontracting opportunities. Since formal contracts are subject to the public bid statute (meaning the City must accept the lowest responsible bidder), it is unusual for a vendor to voluntarily involve a subcontractor. As a result, the SBO office routinely granted goal setting waivers to KBUs for formal contracts as it related to the purchase of Goods & Equipment.
The SBO Program encourages SBE utilization in Goods & Equipment contracts by encouraging KBUs to purchase these items directly from SBEs on informal contracts. Over the past 18 months, City data reflects over $829,000 has been spent directly with SBEs on informal Goods & Equipment contracts.
On Monday, February 11, 2008 residents from the Strawn Apartments at 1225 South Caldwell Street (near the corner of South Boulevard and Bland Street) have requested to speak to Council regarding the changes to the bus service on South Boulevard since the opening of the Lynx Blue Line. The customers are dissatisfied with changes to the Route 12 bus route.
Prior to the opening of the Lynx Blue Line, Route 12 provided bus service between Uptown Charlotte and Carolina Place Mall along South Boulevard. In 2007, in anticipation of the opening of the Lynx Blue Line, CATS held a series of public meetings designed to garner citizen input into plans to adjust bus service to connect into rail stations. Notices were handed out to customers on buses and at the Charlotte Transportation Center to inform customers of the public meetings. A press release was issued, meeting notices were mailed to residents in the corridor and both television and print media helped to further advertise the meeting dates. Nine initial public meetings were held and two follow up meetings were held.
Plans to adjust Route 12 South Boulevard were received favorably at the public meetings, and on November 26, 2007 Route 12 was adjusted to connect into the Woodlawn and I-485 light rail stations. Route 12 customers currently transfer to the Lynx Blue Line to continue to Uptown, and the adjustment has improved travel time for the majority of patrons. Unlike Route 12, the Lynx Blue Line does not have to contend with major traffic congestion points along South Boulevard. The Lynx Blue Line also operates more frequently than did Route 12.
CATS also made an adjustment to Route 10 West Boulevard on November 26, 2007. Route 10 was adjusted to operate into Uptown via South Boulevard in order to provide a connection to the East/West light rail station, and in order to preserve service along South Boulevard to Strawn Apartments. Since making the changes to the Route 10 and the Route 12, the number of customers boarding at the Strawn Apartments' bus stop has actually increased by about 50 percent.
Currently, the residents of the Strawn Apartments have the following service options:
- Use Route 10 on South Boulevard to connect to the Lynx Blue Line at the East/West Station. To get to Carolina Place Mall customers make an additional transfer to Route 58 at the I-485 Station.
- Use Route 10 on South Boulevard to travel to Uptown and make connections to other CATS services at the Charlotte Transportation Center.
- Use Route 19 which provides service to the back side of Strawn Apartments on Euclid Avenue and services several shopping destinations including South Park.
- Walk to the Bland Street Station for Lynx Blue Line service (approximately 1200 feet from the current CATS bus stop on South Boulevard) and use the rail system to make connections.
CATS staff has agreed to meet with the residents at Strawn Apartment on February 13, 6:00 pm. The residents did not want to meet with staff prior to speaking at the February 11, 2008 City Council meeting.
The Urban Land Institute (ULI) has named Martin Cramton, former Planning Director, as the recipient of their second ULI Legacy Award (attachment). The award is presented to an individual or company in recognition of positive stewardship in the Charlotte community, both in land use and in the built environment. The award luncheon is on Wednesday, March 12 at Bank of America Stadium. The City has purchased a sponsorship table for City elected leaders and staff to be able to attend. Please contact Susan Elkins at (704) 336-2403 or
selkins@ci.charlotte.nc.us if you would like a seat. We do recognize that this event conflicts with the National League of Cities meeting in Washington, DC, but this schedule conflict was unavoidable.