DEPARTMENT: Center City Development & Operations Department
DEPARTMENT HEAD: John Jacks
COUNCIL DISTRICTS IMPACTED: District 1
SUBJECT: Professional Services Agreement with METALAB for River Barge Design, and amendment to Rio San Antonio Cruises River Barge Concession Contract
SUMMARY:
These ordinances approve the following:
A. A professional services agreement with METALAB to complete construction documents for watercraft design of a new river barge fleet and construct a prototype barge. The new fleet is anticipated to be constructed and fully operational for the City’s Tricentennial celebration.
B. The execution of an amendment to the Rio San Antonio Cruises (RSAC) River Barge Concession Contract, extending the contract expiration date from September 5, 2016 to September 30, 2017, and authorizing RSAC to increase prices for barge tours, taxis, and charters and to pay the City 52% of its adjusted gross sales beginning May 1, 2016.
BACKGROUND INFORMATION:
In fall of 2015, the City decided to separate the river barge design from the River Barge Concession Request for Proposals (RFP) solicitation process and initiate two separate processes: a design competition for the new river barge fleet and a solicitation process for the operation of the fleet. This separation enables the operation experts to compete without the distraction of designing a barge and it also eliminates the financial hardship of financing the fleet and, therefore, increases participation in the process.
On October 30, 2015, the City and The American Institute of Architects, San Antonio Chapter (AIA San Antonio) launched an international design competition for a new river barge design. A panel of 11 jurors reviewed 12 anonymous submittals for the first phase of the competition and selected three finalist teams to move into the second phase of the competition based on design innovation, functionality, operational considerations, constructability, and sensitivity to San Antonio’s culture. The three finalists submitted their developed design concepts March 18, 2016.
AIA San Antonio held a public open house on March 28 for community members to view renderings and 3-D models of the three finalists’ barge designs and provide feedback on the designs. Community feedback was provided to the jury for consideration in their final decision. In the second phase, the jury took additional technical and maintenance considerations into account in making their final decision. The jury selected METALAB’s design as the competition winner.
The design provides for an all-electric fleet with modularity for boats to accommodate a wide range of uses, including tours, dining, events, and new opportunities for the river barge experience. The single-level deck design allows for greater wheelchair accessibility with adjacent companion seating. The durability of materials will require minimal ongoing maintenance and the decorative railings provide enhanced passenger comfort with increased capacity.
In order to complete the design and initiate the procurement of the new fleet, staff must enter into a professional services agreement with METALAB. The professional services agreement will also include construction of a prototype barge to allow staff to test and further refine the design. Upon completion of the design, the City will issue a Request for Competitive Sealed Proposals (RFCSP) for the fabrication of the new fleet, which is anticipated to be 44 barges.
City staff will also issue an RFP in late May for the operation of the barge fleet and its programming. Proposals will be evaluated based on the vendor’s qualifications, experience, financial capability, economic terms, and overall quality of the proposal. The RFP will be advertised for at least 60 days and staff will make a recommendation to City Council in October. The Audit Committee reviewed the RFP process for the River Barge Concession at their April 19th meeting.
The decision to bifurcate the barge design and river barge operations processes had implications on the existing river barge concession contract with Rio San Antonio Cruises (RSAC) and it is now necessary to extend RSAC’s contract to September 30, 2017. The extension will allow for award, construction, and delivery of new barges without disrupting river barge service. Furthermore, extending the term of the contract allows the selected operator training opportunities on the river with the new fleet prior to the October 1, 2017 start date.
With this extension, staff is recommending an increase in ticket prices. RSAC has not increased barge prices since June 2009; however, to cover increased operating costs, primarily associated with health insurance and payroll, the following ticket prices are proposed to take effect May 1, 2016.
|
Ticket Categories |
Current Prices |
Proposed Prices |
|
Adult |
$8.25 |
$10.00 |
|
Local Resident |
$6.00 |
$8.00 |
|
Child |
$2.00 |
$4.00 |
|
Military |
$6.00 |
$7.00 |
|
Senior |
$6.00 |
$7.00 |
|
One-Way Taxi Downtown |
$5.00 |
$10.00 |
|
One-Day Pass Taxi Downtown |
$10.00 |
$12.00 |
|
Three-Day Pass Taxi Downtown |
$25.00 |
$25.00 |
|
One-Day Pass Taxi Museum Reach |
$10.00 |
$12.00 |
|
Three-Day Pass Taxi Museum Reach |
$25.00 |
$25.00 |
|
One-Day Pass Combination Downtown & Museum Reach |
$15.00 |
$16.00 |
|
Charter: Peak Hours ˗ General Public |
$125.00 per Hour |
$175.00 per Hour |
|
Charter: Non-Peak Hours ˗ General Public |
$100.00 per Hour |
$150.00 per Hour |
These price increases are in line with other amusement attractions in the San Antonio area. Additionally, the City will continue to receive 52% of the revenue from the ticket sales. The incremental revenue associated with the increase in the ticket prices will finance the new fleet and some improvements to the marinas that may be necessary.
ISSUE:
City staff is requesting approval of a professional services contract with METALAB for the completion of the river barge design and the development of the construction documents as well as the construction of a prototype barge. Upon completion of the design and construction documents, City staff will release a RFCSP for the fabrication of up to 44 barges. The RFCSP will be advertised for at least 60 days. Staff will return to City Council in October 2016 with a recommended vendor for the barge fabrication. The new fleet will be in operation in September 2017.
Staff will also issue an RFP for the operations and programming of the new fleet. Staff will return to City Council in late 2016 with a recommended vendor for the barge concession contract.
In order to provide enough time for the fabrication of the new barge fleet and the selection of the new vendor, City staff is also requesting an extension to the River Barge Concession Contract with Rio San Antonio Cruises. The contract will be extended to September 30, 2017 and also provides for a ticket price increase for tours and charter services.
ALTERNATIVES:
City Council may elect not to award the professional services contract to METALAB. The City would then need to seek alternative designs for a new river barge fleet. City Council may also elect not to extend the RSAC contract nor adjust ticket prices. Such actions may lead to an interruption in service and negatively affect the barge operation concession.
FISCAL IMPACT:
The anticipated revenue from this fee in FY 2016 is estimated at $570,000, of which $399,212 will be used for the design and prototype contract. This action increases the appropriation of the Center City Development and Operations General Fund budget by $399,212. This action also amends the FY 2016-2021 Adopted Capital Improvement Program budget by appropriating up to $399,212 from the General Fund for this capital project.
It is anticipated that this rate increase will generate approximately $1.2 million annually that will be used to cover the costs associated with the purchase of a new fleet and improvements to the new marina.
RECOMMENDATION:
Staff recommends City Council approval to do the following:
• Enter into a professional services contract with METALAB to complete construction documents for watercraft design, fabricate a prototype barge, and oversee the barge fabrication process.
• Issue a solicitation to proceed with the procurement process for fabricating the barge fleet.
• Issue a RFP for operation and programming of the barge fleet.
• Extend the RSAC contract through September 30, 2017 and adjust barge ticket prices and percentage payment to the City.