Submitted By: Tom Duncan
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Presentation By: Tom Duncan
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Department: Growth Management

STAFF RECOMMENDATION (Motion Ready):
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Approve the purchase of a Federal Transit Administration Category 3 diesel trolley bus from Hometown Manufacturing, Inc., using the State of Georgia contract for Public Mass Transit Vehicles and Related Options, Equipment, and Accessories, in the amount of $422,819
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OCALA’S RELEVANT STRATEGIC GOALS:
Operational Excellence, Quality of Place

PROOF OF PUBLICATION:
N/A

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BACKGROUND: The City of Ocala originally intended to purchase an electric trolley using funds from a Federal Transit Administration (FTA) 5307 Consolidated Grant, as approved in Budget Resolution 2024-131 on April 16, 2024. On November 5, 2024, the City Council authorized the purchase of an electric trolley from Hometown Manufacturing, Inc., contingent upon the vehicle successfully passing the FTA's Bus Testing Program (commonly known as Altoona Testing) within a reasonable period. However, prolonged delays in the testing process extended the expected delivery timeline well beyond what was initially anticipated, leading to the cancellation of the purchase order. In response, staff obtained FTA approval to shift the procurement to a diesel alternative to keep the project on schedule and preserve federal funding eligibility.
SunTran requests authorization to purchase a diesel trolley bus from Hometown Manufacturing to serve a new downtown circulator route, connecting Union Station with regional hospitals. This route is part of a broader initiative to improve mobility and access within the downtown core. Additionally, funding from the Florida Department of Transportation’s Public Transit Service Development Program will support marketing efforts and cover 50 percent of operational costs for the first three years, starting October 1, 2025.
FINDINGS AND CONCLUSIONS: A comparative price analysis was conducted in accordance with FTA regulations. Hometown Manufacturing’s bid of $422,819 was determined to offer significantly better value than Gillig LLC’s price of $845,487. The purchase would be made under the State of Georgia Contract No. 99999-SPD-SPD0000212-0002, a competitively procured agreement valid through June 30, 2025, with options for renewal.
The purchase of the trolley and the start of the service will significantly enhance the mobility of residents and visitors in the downtown core, providing a convenient and efficient mode of transportation. The trolley service will increase the exposure of downtown businesses to potential patrons and boost the local economy. It aims to improve connections between existing core routes, namely the Orange, Blue, Green, and Purple routes, and connections to the Amtrak shuttle service provided at the downtown transfer station.
FISCAL IMPACT: The trolley's funding does not require a local match. It will be paid from the grant account 494-060-454-544-66-64010.
PROCUREMENT REVIEW: Procurement has evaluated the contract and solicitation documents. The solicitation conducted by the state of Georgia was conducted in compliance with 2 CFR 200. In its quote, Hometown has agreed to extend the exact pricing to the City of Ocala offered to the State of Georgia under Contract No. 99999-SPD-SPD0000212-0002. Based on the price analysis, Procurement has deemed this pricing fair and reasonable.
LEGAL REVIEW: This Agreement has been reviewed and approved for form and legality by City Attorney, William E. Sexton.
ALTERNATIVE:
• Approve with changes.
• Table
• Deny