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Deadline looms for Astorino's decision on Bee-Line bus bid, could loose $13 million aid?


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Posted by Gold_12th on Subchat.

 

 

Westchester County Executive Rob Astorino says the cost to taxpayers is an important factor when considering whether to extend a $100 million no-bid contract with Liberty Lines to run the county bus system.

But with less than six months remaining on Liberty Lines’ latest five-year contract, Astorino still hasn’t agreed to put the contract out to bid to see if another operator could do it cheaper. Not bidding the contract would result in the loss of $13 million in federal transit aid, according to the administration. That would punch a major hole in Westchester’s transit budget, which includes $34 million in taxpayer support.

“Any new contract, regardless of how it is awarded, needs to focus on multiple issues, which include cost to taxpayers and riders, quality and reliability of service and the managerial, operational and financial experience and strength of the operating company,” said Astorino spokeswoman Donna Greene.

Those requirements sound like the criteria the county might use in a request for proposals. Astorino must tell Liberty Lines by July 19 whether the county will seek bids through an RFP.

“There is no decision at this time either way,” Greene said.

Westchester County was put on notice in 2009 under the Democratic administration of Astorino's predecessor, Andy Spano, that Federal Transit Administration regulations required the county to bid the bus contract to ensure taxpayers get the best deal.

Westchester has argued it needn’t seek bids because Liberty Lines, which has prospered under no-bid contracts since the 1970s, was the only vendor that could provide the service. But FTA Regional Counsel Michael Culotta, in a June 6 letter obtained by “Tax Watch,” found that Liberty has a nonexclusive right to operate these routes.

Astorino has so far refused to yield to the federal demands. Both he and County Attorney Robert Meehan hail from Mount Pleasant, the central Westchester town known for its conservative streak, which has long shunned federal Community Development Block Grant money because officials didn’t want to deal with the strings tied to accepting funds from Uncle Sam.

New Rochelle Mayor Noam Bramson, Astorino’s Democratic opponent in November, maintains the administration’s foot-dragging on the bus pact reflects a broader problem.

“The Astorino administration has exhibited a pattern of delay and neglect on one critical issue after another,” said Bramson spokesman Barry Caro.

Among Astorino’s allies in the effort to extend the no-bid contract is Board of Legislators Chairman Ken Jenkins, D-Yonkers. Liberty Lines has maintained bipartisan ties over its long run in Westchester, which has spanned the terms of Democratic county executives Al Del Bello and Andrew Spano and Republicans Andrew O’Rourke and Astorino. Campaign donations reflect those relationships: Records show Jenkins’ committee in 2012 received $2,500 from Liberty Services Inc., a Liberty affiliate. Astorino’s campaign has received $4,000 from Liberty Services. Calls to Liberty Lines were not returned.

Both Jenkins and the Transport Workers Union, which represents Liberty Lines drivers, have asked the county’s Democratic Congressional delegation to persuade the FTA to drop its bid demand. The agency so far is unmoved, said FTA spokesman Amy Bernstein.

In his letter to federal legislators, Jenkins maintains that bidding the contract would be costly because it would require the “county’s acquisition of tangible and intangible assets held by Liberty Lines, believed to be valued at prohibitively high levels” — in particular, the bus company’s interest in the routes it has operated for decades.

When New York City bought Liberty Lines Express in 2004, it paid $15.2 million for the company’s bus depot, equipment and vehicles, according to city documents. Liberty Lines, however, owns neither the Bee-Line buses nor its depots. Those are owned by Westchester taxpayers. And state DOT spokesman Beau Duffy said that it’s common for municipalities to switch private bus operators following a bidding process without compensating a private company that lost its contract to an operator giving taxpayers a better deal.

http://www.lohud.com/article/20130711/NEWS02/307110062/Tax-Watch-Deadline-looms-Astorino-s-decision-Bee-Line-bid 

I got a feeling if a bid goes out a conglomerate such as Veolia or First will win just like they did in Nassau. Continuing the County's contract with Liberty Lines will keep a locally-owned, locally-based company in operation and serving the County's citizens even though it costs a bit more than a conglomerate would, whereas a contract with a company of the likes of Veolia will see Westchester tax dollars go straight to Europe and put yet another local company out of business. I sincerely hope Astorino doesn't make the mistake Mangano did in hiring a foreign conglomerate.

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i actually agree with you with this cause if vieola were to take over lots of jobs would be lost.. and doesn't vieola do like a whole lot of "service cuts" it feels that there needs to be

Veolia is cheap, same with First and the other big guys so they'll get it done but they're gonna do a much worse job at it. Liberty has top class maintenance, great staff for the most part, and they usually run right on time.

 

When First took over the Rutgers shuttle contract from Academy a few years ago, they went all out cheap with everything, replacing a fleet of Nova LFS and RTS with Eldorado Axxess and Ford cutaways. Academy, Liberty and the other small time local guys do a much better job than the big guys, even for a bit more money and hiring them supports the local economy. Why are our taxes going to France and the UK to conglomerates that will definitely be in business for a long time when they could be going right around the corner to a struggling local company that does a better job with what they do? Pay a little more, keep a local small business in operation, and get better service, it's a win-win.

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Veolia is cheap, same with First and the other big guys so they'll get it done but they're gonna do a much worse job at it. Liberty has top class maintenance, great staff for the most part, and they usually run right on time.

 

When First took over the Rutgers shuttle contract from Academy a few years ago, they went all out cheap with everything, replacing a fleet of Nova LFS and RTS with Eldorado Axxess and Ford cutaways. Academy, Liberty and the other small time local guys do a much better job than the big guys, even for a bit more money and hiring them supports the local economy. Why are our taxes going to France and the UK to conglomerates that will definitely be in business for a long time when they could be going right around the corner to a struggling local company that does a better job with what they do? Pay a little more, keep a local small business in operation, and get better service, it's a win-win.

 

Actually, it's Veolia USA who is cheap. Here in The Netherlands, Veolia is actually... well, I would not say expensive but definately more expensive than Veolia USA.

 

Also, your taxes aren't only going to France; Transdev also operates in, like I said, The Netherlands and Germany. And aside from that: the biggest Dutch bus company, Connexxion, is now also in Transdev their hands. So your taxes are going to more countries than you think.

 

I do agree with you that Westchester should support local companies instead of giving it away to Veolia. Not because Veolia would do worse but because I do believe in supporting local companies when possible as it stimulates the local economy.

 

Is (MTA) going to try for it too? There was some talk of that a few years ago.

 

(MTA) would be downright expensive. Look in the NICE subforum what they wanted for LIB operations. NICE could a few things in the beginning which made the subforum sad but they're now quite loved by the subforum because they seem to do a whole lot better for way less money. So no, (MTA) wouldn't ever win in Westchester.

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Is (MTA) going to try for it too? There was some talk of that a few years ago.

MTA and Beeline have been pretty damn cooperative the past few years, with MetroCard acceptance and an identical fare structure. It's not likely but possible MTA could respond to the RFP.

 

@Vistausss (on iPhone can't quote), Bee-Line and NICE are two very similar yet very different operations. But I do know that what the County pays Liberty now is similar to what the MTA wanted from Nassau.

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Actually, it's Veolia USA who is cheap. Here in The Netherlands, Veolia is actually... well, I would not say expensive but definately more expensive than Veolia USA.

 

Also, your taxes aren't only going to France; Transdev also operates in, like I said, The Netherlands and Germany. And aside from that: the biggest Dutch bus company, Connexxion, is now also in Transdev their hands. So your taxes are going to more countries than you think.

 

 

 

 

 

Its all Transdev now since Veolia sold its share in the joint venture in Veolia-Transdev last year

 

http://www.transdev.net/en/

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if i had to pick who should win the bid if there is a bid i would pick MTA to win over Transdev/Veolia because i don't like how Transdev/Veolia

is running Nice.

I think they're doing an OK job with NICE, but there's plenty of operations of theirs that just suck (such as their NJT contract operation).

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Westchester County and Liberty Lines have agreed to a two-week extension to a notification deadline so they can continue discussions on the future of Liberty’s contract to run the Bee-Line bus system.

The contract discussions have been complicated by a rule that the county must choose an operator through competitive bidding to receive federal aid totaling $13 million this year. But if the county awards the contract to another company, it may have to pay a large sum to Liberty, which claims an ownership interest in the bus routes, though the total possible cost has not been disclosed.

Talks are continuing between the county and Liberty “in consultation with the appropriate federal and state agencies,” said Donna Greene, a spokeswoman for County Executive Rob Astorino. The county has requested a waiver of the bidding rule.

The Federal Transit Administration notified the county of the rule in 2009, but only now has the issue come to a head with the deadline to notify Liberty if the county will extend its five-year contract. The county first reached out to the FTA in January to discuss the funding requirements, James Robertson, assistant chief deputy county attorney, told a legislative committee this week.

In a letter in February, the county argued that its interpretation was that the competitive contracting was required only with the expiration of the contract extension in 2018. In a June letter, the FTA said it applies to new contracts and to contract extensions.

Robertson told the legislators there are many litigation risks for the county.

The current contract, costing $101 million this year, runs through the end of 2013 and includes an option for a five-year extension. The original deadline for a decision on extending the pact was July 1, and it already was extended once to Friday.

Liberty Lines’ contract to run the majority of the county bus system has been renewed for decades without competition on price and service from other companies. County tax dollars fund $33.8 million of the contract, and $48.6 million comes from state aid.

http://www.lohud.com/article/20130719/NEWS02/307190048/Westchester-Liberty-Lines-extend-Bee-Line-bus-talks?odyssey=mod%7Cnewswell%7Ctext%7C%7Cs

 

Hope the contract stays with the great people of Liberty Lines.

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  • 4 weeks later...

On my phone, can't copy/paste this but according to Gold_12th on Subchat the County has given into the demands of the Veolia/European ass-kissing Obama administration and will bid the contract, effectively ending Liberty Lines, one of the last and greatest remaining local transit bus companies in the US, as we know it. Next year we are pretty much guaranteed to see Veolia or First win the bid, and the quality service and maintenance Liberty Lines has provided the County and its citizens will be gone forever. Another local Westchester company closes up shop in favor of a European conglomerate, the quality of service goes down, a huge loss for Westchester County and all who use Bee-Line at the hands of the Obama administration, and a sad day in NYC area transit history...

 

Bee-Line is going to go downhill bigtime, that's all I gotta say.

 

Let's all hope Liberty Lines lowballs the bid as low as they can to keep their company in profitable operation, or another small locally-based company such as Academy wins instead. Of course, the sad reality is like in Nassau Veolia and First will be the ones lowballing and one of those two will ultimately win.

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http://www.lohud.com/article/20130813/NEWS02/308130046/With-federal-funds-secured-Westchester-will-seek-bids-run-Bee-Line?odyssey=mod
 

With federal funds secured, Westchester will seek bids to run Bee-Line
Federal funds to continue as Bee-Line transitions

Written by
Elizabeth Ganga
 
Westchester County will request proposals to run the Bee-Line Bus system now that the Federal Transit Administration has agreed to continue funding it for up to a year to allow for a transition to a new operator.
The federal agency had threatened to take away millions in funding for maintenance if Westchester didn’t use a competitive process for the next contract, which is due to start at the end of the year. Liberty Lines Transit, based in Yonkers, has had the contract since the 1970s and has been granted renewals without competition.
The federal funding, which Westchester began receiving in 2009, totaled $13 million this year. The competitive contracting rule is tied to the funding, and the federal government notified the county of the requirement in 2009, 2010 and again earlier this year. But the county and federal governments have been in a minor standoff while Westchester officials figured out their next move.
“Price and service are the core of any Bee-Line bus contract, and we now have a foundation for both,” County Executive Rob Astorino said in a statement. “The request for proposals process will keep costs down and federal aid in place. The bridge contract provides insurance against the interruption in the quality of service. The goal we are working toward is to protect both riders and taxpayers.”
The Bee-Line system serves about 100,000 riders a day. Liberty runs all but three of more than 60 routes.
The county was reluctant to bid out the contract, totaling $101 million this year, because Liberty Lines claims a right to the bus routes and could be entitled to compensation. The county asked the FTA for a waiver of the bidding rule but the agency refused. The compensation issue is still not resolved, a spokeswoman for the county said.
Lou DeFrancesco of Eastchester, who used to work for a carting company, has pressed the county to bid the project for the past year and has put together a team to prepare a proposal.
“That’s great news for the county,” he said. “I think the taxpayers are going to save money. The county has been doing the same thing for more than 30 years with no competition. I think the prices are going to go down.”
In a letter dated Aug. 9, the FTA gave the approval for a six-month bridge contract, with extensions up to six more months, to allow a transition to a new operator.
The county plans to seek proposals in September and award a contract in December.

 

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