REQUEST FOR DISCUSSION AND COMMISSION ACTION. PREPARED BY: Paul Zielinski Chief Financial Officer August 5, 2016

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1 CONSENT AGENDA ITEM E-5 REQUEST FOR DISCUSSION AND COMMISSION ACTION PREPARED BY: Paul Zielinski Chief Financial Officer August 5, 2016 SUBJECT: CONTRACT RENEWALS The following contracts are being presented for consideration of extension: a) Southern Motive Power LLC Locomotive Maintenance BACKGROUND INFORMATION: a) Southern Motive Power LLC performs the FRA required locomotive 92 Day inspections, preventative maintenance service and repairing the Port s locomotive. The current cost is $2, per Inspection (Every three months) and labor rates for repairs as needed: Mechanic $80.00 p/hr, Mechanic s Helper $30.00 p/hr. FISCAL IMPACT: These services are funded out of the FY2016 Operating Budget. ADDITIONAL INFORMATION ATTACHED: No Yes X RECOMMENDATIONS: The Board of Commissioners is respectfully requested to approve the following: a) Port staff is recommending the Board approve the renewal for one year with no increase for the inspections or its schedule of fees. Respectfully Submitted By: Manuel Almira, Executive Director DATE ACTION TAKEN: Approved: Motion By: Disapproved: Seconded By: Deferred To: Unanimous: Yes No Incorporated into Minutes: By: 75

2 Maintenance Plan Port of Palm Beach GP Locomotive 92 Day Service Throughout Executive Sponsors: Mr. Al Fawcett Preparers: Jesse Leon Eunice Leon 76

3 Executive Summary This maintenance plan is used to maintain the locomotives located at the Port of Palm Beach ( PPB ) location. A standard preventative maintenance program is to be established and conducted on certain intervals as discussed by the management team of PPB and Southern Motive Power ( SMP ). Additional maintenance outside of the engine compartment will consist of front to back visual and corrective inspections on all moving and structural parts including locomotive s car body, brake system, air system, and mechanical assemblies. Maintenance Plan includes: FRA inspection pertaining to yard locomotive Exchange of filtration system on the engine per service maintenance requirements Testing of brake equipment and safety devices Inspection of all mechanical moving and structural support Identify any problems that would prevent the unit to operate properly and safely Lubrication where needed and minor repairs within time allotted Maintain records and reports 1.1 Background Jesse Leon of has been maintaining and repairing locomotive and rail equipment in Florida since March of 2007 and is currently contracted by such companies as Titan America, Vulcan Materials, Cemex USA, Interrail Transport & Conrad Yelvington Dis. 1.2 Objectives The objective and goal of is to maintain the Port of Palm Beach locomotive to provide a high degree of operating availability by reducing the amount of unscheduled downtime due to equipment failure Points of Contact SW 69 Terraces Miami, FL Jesse Leon (786) Eunice Leon (305) southernmotive@gmail.com 77

4 2 Environment 2.1 Equipment Environment The locomotive is located at the Port of Palm Beach yard in Riviera Beach, Florida. The engine is parked generally outside on solid ground or asphalt. The locomotive is operating around the bay and ocean and is subjected to the salinity in the air Facilities Port of Palm Beach handles intermodal & tanker railcars at their facilities. locomotive to switch these railcars throughout the property. They use a 2.2 Support will be available to the PPB staff when called upon for support or mechanical/ technical assistance as necessary if readily available at time of call. Our commitment to the customer goes beyond the locomotive maintenance as we offer all of our services. Which include but are not limited to the following? Equipment maintenance Electrical repairs Mechanical repairs Welding and structural repairs Steel fabrication Paint and restoration 78

5 3 Management Approach The maintenance schedule will be maintained by SMP and the records will be provided to the Port of Palm Beach team. Service schedules will be based on the needs of the equipment and/or the decision of PPB. Documentation will be provided in a report form with a detailed explanation of the work performed. Quarterly maintenance reports will be provided at the request of the manager showing a summary of the work performed and the costs incurred. 3.1 Priorities The level of work performed will be prioritized in the following manner: 1. Minor- Likelihood of downtime is small. Problem will not pose any immediate danger to equipment and personnel. Usually an equipment improvement project or an enhancement adjustment for better equipment performance. 2. Major- Likelihood of downtime is high. May cause damage to equipment if not addressed in a timely manner. Should be discussed and scheduled as soon as possible. 3. Severe- Likelihood of damage or personal injury is inevitable. Equipment should be shut down for immediate repairs. Usually this type of problem is safely related or an equipment malfunction. 3.2 PM Schedules According to the FRA- Blue Card Standards Description Work Performed Monthly Quarterly Annually Brakes Running Gear Cab Mechanical Electrical Safety 368 Day Load Meter & Brake Ser. Test brake components, Adjust, Inspect,etc. Gauge wheels, Trucks, Under Carriage, etc. Proper operation of cab equipments, conditions, etc. Fluids/ Lube/ Filters/ Inspection of all mechanical parts and lubrication points/ Check all pins, couplers and rods for wear or deficiencies Inspect/ Test electrical components/ etc Inspection and testing of safety components, etc. Certify load meter, clean, repair, test, replace filters on brake system & insp-lube handbrake 368 day 79

6 Technical Approach 3.3 Types of Maintenance Activities Typical maintenance activities include: Problem resolution Modification and expansion Performance Improvement Examples of maintenance items include: Mechanical Electrical Physical 3.4 Maintenance Reports Historical documentation Reports on customer problems/ satisfaction 3.5 Quality Assurance Activities guarantees all work performed by SMP to be completed and ready for safe operations to meet or exceed customer s satisfaction. If for any reason, the customer is not satisfied with the work performed by SMP, the problem will be identified and reworked to meet the customer s satisfaction. 3.6 Pricing For Our Services Preventative Maintenance Service.. $ Any additional services or call outs will be billed as follows: Mechanic Labor $80.00 an hour 7am-7pm Mechanic Labor Over Time $ an hour 8pm-6am and holidays Mechanic s Helper $30.00 an hour 7am-7pm Mechanic s Helper Over Time $45.00 an hour 8pm-6am and holidays 80

7 Equipment. $ per day per vehicle Mobile Crane.... $30.00 per day Air Compressor.... $20.00 per day Welding Machine. $25.00 per day Parts & Materials.. As needed Lodging.. At cost Mechanic Rate starts upon departure of office compound to job site and back. Mechanic s Helper starts upon departure of office compound to job site and back. Equipment covers usage for each truck on job site with tools. Mobile Crane covers fuel used and usage of mobile crane, as needed. Air Compressor covers fuel used and usage of air compressor, as needed. Welding Machine covers fuel used and usage of welding machine, as needed. Parts and Materials cover parts needed to perform the job as well as consumables. Lodging is as needed, and is at cost of hotel rate plus tax. 81

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