Section C 7-28-08.doc

RFP Number DTFT60-08-R-00010

SECTION C

STATEMENT OF WORK

C.1

BACKGROUND

The United States Department of Transportation (DOT), Federal Transit Administration (FTA), is responsible for the administration of grants and loans to assist State and local public bodies (Grantees) in financing acquisition, construction, reconstruction, and improvements of transit facilities under 49 U.S.C. Chapter 53.

FTA can not approve a grant unless the applicant grantee has, or will have the legal, financial and technical capacity to carry out the project, including safety and security aspects of the project. The provisions of 49 U.S.C. also requires FTA to only approve grants for projects where FTA has determined that (1) the proposed project will not degrade the Grantee’s ability to maintain and operate the entire public transportation system without requiring a reduction in existing public transportation services or level of service to operate the proposed project; (2) the Grantee has or will have satisfactory continuing control over the use of the equipment or facilities; and (3) the Grantee has the capability and willingness to maintain the equipment or facilities and that (4) there is a reasonable likelihood that the project will continue to meet such requirements (49 U.S.C. 5309 (c)).

FTA monitors grants to confirm that Grantees establish and follow procedures that are reasonable and comply with FTA requirements in FTA Circular 5010.1C, Grant Management Guideline.

To receive United States Government financial assistance for a major capital project a Grantee must prepare and carry out a Project Management Plan (PMP) approved by FTA. Further, the Grantee is required to develop and implement such Project Management Plans (PMP) for all project activities. The PMP shall recommend a phased project management approach where each phase (1) starts with inputs or a baseline, (2) has a process(es) that refines the project definition and generates outputs that (3) become the inputs or baseline for the subsequent phase, 49 U.S.C. 5327(a). By defining the requirements for each phase and sound approaches to their accomplishment, a PMP allows Grantees to define project requirements, allocate resources, perform project activities, monitor progress, and make adjustments, as required, to obtain the proper information and assure decisions are made at the appropriate time.

Therefore, FTA must ensure that Grantees execute authorized projects professionally, efficiently and in accordance with applicable laws and regulations. To assist FTA in fulfilling this responsibility, the Contractor will provide Project Management Oversight (PMO) services for selected Grantee projects in accordance with Task Order assignments and Work Order instructions made pursuant to the terms of this contract.

C.2

OBJECTIVE

The objectives of the Project Management Oversight contract(s) as awarded are to provide FTA with contract support capable of rendering critical programmatic inputs for a variety of FTA program decisions for its grants programs. Such support includes Contractors performing services, delivering products and producing outcomes that are derived from, based upon, or contain: (1) sufficient quantities of reliable, relevant and useful Contractor or third party data and information (2) properly structured and clearly identified Contractors’ professional opinion, and analysis (3) personnel performing services only in areas of their demonstrated competence and (4) quantitative techniques that meet or exceed FTA’s requirements.

Products and services delivered under this contract will assist FTA in accomplishing its legislatively mandated mission to assess and evaluate the effectiveness and efficiency of the Grantee’s development and implementation of federally assisted transit projects to ensure that the Grantee organization:

· Provides continuous administrative and management direction of project operations.

· Provides, directly or by contract, adequate technical inspection and supervision of all work in progress for conformance with approved plans and specifications, using qualified professionals.

· Assures conformity to grant agreements, applicable statutes, codes, ordinances, regulations, sound engineering and program/project management practices and safety standards.

· Maintains the project work schedule agreed to by FTA and the Grantee and constantly monitors grant activities to assure that schedules are met and other performance goals are achieved.

· Keeps project expenditures within plus 5 percent of the latest approved project budget.

FTA’s intent is also that Contractor services or products do not convey any real or apparent perception to the Grantee organization or its management that the Grantee has been relieved of any component of its responsibilities and liabilities as the responsible party for carrying out the Federal grant.

The Contractor may be directed to provide similar services to other federal agencies as may be required by the Economy Act, 31 U.S.C. § 1535. The geographic scope of this requirement includes the United States and its territories.

C.3

DEFINITIONS

A glossary and definitions of basic terms used throughout this section follows:

a. Contracting Officer (CO): Contracting officers have authority to enter into, administer, or terminate contracts and make related determinations and findings. Contracting officers may bind the Government only to the extent of the authority delegated to them.

b. Contracting Officer’s Technical Representative (COTR): Contracting Officer’s Technical Representative (COTR) acts as a liaison with the Contractor during the performance of the contract. COTR is authorized to direct the technical effort being performed under the designated contract under the purview of the FTA and monitor the progress and quality of the Contractor’s performance in accomplishing tasks required by the contract.

c. Full Funding Grant Agreement (FFGA): An agreement which establishes the terms and conditions for Federal financial participation in a New Starts project; defines the project; sets the maximum amount of Federal funding for the project; covers the period of time for completion of the project; and facilitates efficient management of the project in accordance with applicable Federal statutes, regulations, and policy. Within the limits of law, an FFGA provides assurance and predictability of Federal financial support for a New Starts project while strictly limiting the amount of that Federal financial support.

d. Monitoring Activities: Monitoring activities include, but are not limited to, interviews, review of documents, observations, examination of records, analysis of data and information, and forming professional opinions.

e. Oversight Procedures (OPs): Instructions, guidance, or procedures issued by FTA for use by the selected Contractors and FTA staff in performing oversight of major capital projects during planning, design, construction and operation. Reference Section J.

f. Project Management Oversight (PMO): Project Management Oversight includes but is not limited to the monitoring of a project in order to determine if the project is on schedule, within budget, proceeding in conformance with the Grantee’s approved plans, specifications and grant agreements, and is being implemented efficiently, effectively, and safely and the Grantee organization continues to demonstrate the required technical capacity.

g. Project Management Plan (PMP): Project Management Plan is a document that explicitly describes, as a minimum, each of the following for each phase of the project: the applicant’s staffing and organization, budget, schedule, document control, change orders, construction staffing, quality control and quality assurance, materials testing, internal reporting, property acquisition, operational systems testing, and safety and security. The Project Management Plan is central to FTA’s determination of whether an applicant has the technical capacity and capability to build, operate, and maintain a New Starts project throughout the life of the project.

h. Task Order: Supplementary contractual and obligating document that usually includes a broad description of tasks to be performed, a budget, and a period of performance, subject to approval by the COTR and/or CO.

i. FTA Task Order Manager (TOM): An FTA employee who has been authorized by the CO to manage the progress and quality of the Contractor’s performance in accomplishing tasks required by the Task Order. The TOM is not authorized to take any action, either directly or indirectly, that could result in a change in the pricing, quantity, quality, period of performance, or any other terms and conditions of the contract or to direct the accomplishment of effort which would exceed the scope of the contract.

j. Technical Assistance: Assistance and guidance provided to a Grantee, after a finding of deficiency, in the development of technical plans, schedules, analyses, etc.

k. Technical Capacity: A set of processes inclusive of resources and authority, defined, implemented, and maintained by the Grantee project organization that demonstrates the ability to meet Grantee responsibilities for grant administration and management.

l. Work Order: A supplementary contracting document issued under an approved task order with a refined scope of work, budget for the work to be performed, and milestone schedule subject to approval by the COTR.

m. Work Order Manager (WOM): An FTA employee appointed by the COTR or TOM for each work order issued under a specific task order, which is authorized to manage the progress and quality of the Contractor’s performance in accomplishing tasks required by the work order. The WOM is not authorized to take any action, either directly or indirectly, that could result in a change in the pricing, quantity, quality, period of performance, or any other terms and conditions of the contract or to direct the accomplishment of effort which would exceed the scope of the work order.

C.4

DELINEATION OF TASKS

The Project Management Oversight Contractor (PMOC) shall only perform tasks, produce deliverables and deliver services in accordance with approved task orders. Task orders may include all or some of the tasks, deliverables or services described in this Statement of Work, or FTA’s Project Management Oversight Procedures (OPs) provided in Section J. As provided for in Section G, the COTR or TOM will require the PMOC to deliver products and perform services subject to the issuance of individual work orders. Unless otherwise stated in the task order or work order, the PMOC shall produce deliverables and perform services in conformance with the current version of FTA’s OPs which are incorporated into this contract and as incorporated by reference in individual task orders or work orders. Hereinafter, for purposes of Section C only, all references to task orders are meant to include work orders unless noted otherwise.

In support of all tasks, the PMOC shall review project documents and perform interviews in sufficient detail to become familiar with the aspects of the project pertaining to the specific task order, or OP requirements. Typical documents to be reviewed may include, but are not limited to, design criteria, plans, specifications, environmental reports, cost estimates, third party agreements, contract packages, organizational charts, project management plans, rolling stock fleet management plans, real estate acquisition plans, operations plans, maintenance plans, start up plans, safety and security plans, project performance and forecasting analysis. Personnel to be interviewed shall typically include, but are not limited to, project personnel, project design and construction staff and consultants, suppliers and FTA regional office and headquarter personnel.

C.5

TASKS / REQUIREMENTS

The following are tasks that FTA may assign to the PMOC under the respective contract line item number (CLIN):

CLIN 0001- Contract and Program Support A. Administrative Tasks (Reference OP-2)

1. Implementation Plans and PMOC Transitions The PMOC shall develop and submit for review, comment and approval Implementation Plans at the contract, task order, and work order levels that include, but are not limited to the following items:

· Integrated budget

· Labor distribution chart (by hours)

· Deliverables description and integrated implementation schedule

· Technical approach for providing deliverables and services

· Staffing resources (Contractor and subcontractor) that include areas of expertise and all contact information, order of succession, etc. and key personnel contact information

· Integrated FTA/PMOC organization chart

· Project communication procedure and order of contact

· Project status debriefing and deliverables progress reports

· Financial administration and cost controls

· Correspondence and document control procedures

The PMOC shall articulate measurable goals consistent with FTA’s strategic plan for program oversight. Reference the Oversight Procedures in Section J. If the PMOC is transitioning into an on-going project, the implementation plan should address the transition efforts as directed by FTA staff.

2. Project Status Reporting The PMOC shall use management procedures in the performance of this contract or task orders that provide for:

· Planning and control of costs;

· Measurement of performance (value for completed tasks and major subtasks); and

· Generation of timely and reliable information to be reported at the contract level or at the specific task order level such as the monthly progress report.

3.

DOT and FTA Sponsored Meetings and Teleconferences

FTA may require the PMOC to produce deliverables for, make personnel available to attend, or present materials at FTA sponsored meetings and teleconferences. Examples of such FTA sponsored meetings are the FTA Annual Engineers’ Meeting, FTA Annual Oversight Conference, Annual PMO Conference and quarterly PMO teleconferences, and Transit Construction Roundtables.

B. Special Tasks (Reference OP-3) Utilizing the PMOCs’ professional expertise in both program-wide and project-specific ways FTA require the following types of support:

1.

Technical Studies and Papers FTA may require the PMOC to conduct technical studies, prepare professional papers, provide special technical assistance, and present such papers or studies. Specifically this may include:

· research of industry trends, etc.

· development of concepts, issue papers

· analysis of project cost, schedule and other data

· examination of agency histories, practices, etc.

2. Legislative Support FTA may require the PMOC to produce deliverables for, make personnel available to attend, or present materials in support of:

· Legislative efforts such as agency appropriations or authorizations for Grantee projects

· Agency efforts to evaluate Grantee projects for funding purposes such as the Section 5309 New Starts program

· Agency efforts to determine either technical capacity or grant compliance with respect to federally funded Grantee activities such as acquisition of real estate or vehicles, Buy America or environmental elements of the Grantee project.

3. Meetings with Other External Stakeholders

FTA may also require the PMOC to produce deliverables for, make personnel available to attend, or present materials jointly with FTA or on behalf of FTA at public meetings by organizations that FTA sponsors such as the Transit Research Board and National Transit Institute, or other organizations such as the American Public Transportation Association.

C. Ancillary Support

The PMOC may be required to perform ancillary services or produce deliverables in support of, but not limited to, unforeseen emergency activities or other tasks as directed by the FTA Administrator. Such tasks will be issued through the normal task and work order process.

CLIN 0002 – Project Management Services

A.

Grantee Capacity and Capability Reviews (Reference OP-11, -20, -22 and -23)

1. Technical Capacity and Capability (TCC)

The PMOC shall review and evaluate the Grantee’s management, organization, and project definition data to assist the FTA in determining the technical capacity and capability of the Grantee to efficiently and effectively implement proposed and current Federal projects. The objective of these reviews is to ensure grant recipients have adequate staff, project management procedures and policies developed and documented to effectively manage and implement a major capital project, or other projects assigned. PMOC reviews shall include but are not limited to the review of the Grantee’s Project Management Plan, Quality Assurance/Quality Control Plan, Safety Security Management Plan, Real Estate Acquisition Management Plan and other documents as needed.

The review shall be performed in accordance with the following elements:

· Compliance with applicable statutes, regulations and FTA guidance documents

· Full Funding Grant Agreement terms including scope, budget and schedule adherence

· Sound engineering and project management practices, and

· FTA’s Project and Construction Management Guidelines.

The assessment shall include, but not be limited to key Grantee and Grantee consultant personnel interviews, review of the Grantee’s organization, policies, procedures and line of authority (including succession planning), as well as a review of Grantee’s consultants and Contractors and how these consultants are being integrated into the Grantee’s organization without conflict of interest. These assessments may be done at the Grantee organization level, or more limited reviews such as the Grantee’s project management office including integrated staff.

2. Project Management Plan (PMP)

The PMOC shall evaluate the Grantee’s Project Management Plan (PMP) to assure it complies with FTA’s guidelines. The plan shall include: project overview; organization and staffing; project management and controls; planning/conceptual design phase management; final design phase management; construction phase management; close out phase management; quality management; risk management; procurement; contract administration; and communications.

The PMOC shall provide FTA with a written, factually-based analysis, and an assessment of project management, inclusive of identifying Grantee risk areas, to support an initial determination of whether the Grantee possesses the technical capacity and capability to carry out the proposed project in conformance with the Grantee’s requirements for grant administration and management and there is a reasonable likelihood that the Grantee organization will continue to meet such requirements.

3. Quality Control/Quality Assurance (QC/QA) Program

In reviewing a Grantee's PMP, the PMOC shall verify that the Grantee’s QA/QC program plan complies with FTA’s Quality Assurance and Quality Control Guidelines (http://www.fta.dot.gov/publications/reports/other_reports/publications_3876.html) including but not limited to the following fifteen areas:

· Management Responsibility

· Documented Quality Management System

· Design Control

· Document Control

· Purchasing

· Product Identification and Traceability

· Process Control

· Inspection and Testing

· Inspection, Measuring and Test Equipment

· Inspection and Test Status

· Nonconformance

· Corrective Action

· Quality Records

· Quality Audits

· Training Once a Grantee's QA/QC program and staffing levels have been determined to be appropriate, the PMOC shall focus on independently verifying that the Grantee is adequately implementing its QA/QC program.

As part of the PMOC’s verification process the Contractor should routinely monitor the Grantee’s QA/QC activities. Monitoring should include reviews of Grantee’s implementation of its overall quality program including process, documentation and results. The PMOC should hold periodic interviews with individuals, such as the project's quality manager, resident engineers, project control engineer and design engineers, and review, on a random basis, the various documents maintained by these individuals related to the overall quality of the project. The review should establish that the appropriate reports do in fact exist and that the data contained in the documents are indicative of an adequately implemented QA/QC program. Typical documents that may be reviewed on a random basis include: design completion/coordination check list, quality audits, inspection reports, non‑conformance logs and compliance measures taken to correct deficiencies. Through observation of design and construction activities, discussions with the key individuals such as the quality manager and random reviews of key documents, the PMOC will be able to establish, with a high degree of confidence, whether or not the Grantee is adequately implementing its QA/QC program.

Due to the importance of having Grantees implement a proper QA/QC program, the PMOC shall include a specific section (paragraph) on the status of the Grantee's QA/QC program in each monthly report. The report shall indicate whether the Grantee is properly implementing the QA/QC program and if not what specific actions should be taken to ensure its proper implementation.

4. Safety & Security Management Plan (SSMP)

The SSMP Review is conducted by the PMOC to determine if the Grantee is adequately performing required safety and security management activities for its capital project, and it provides major input to FTA regarding the review and approval of the SSMP. As part of the PMP, the SSMP must be approved by FTA for the recipient to remain eligible to receive Federal funds for further project development.

For recipients with major capital projects affected by FTA Circular 5800.1, Safety and Security Management Guidance for Major Capital Projects, the PMOC’s SSMP review must:

· Determine which safety and security activities the Grantee must perform, as specified in Chapter II, Paragraph 2 of Circular 5800.1 and following the process outlined in Chapter III of Circular 5800.1.

· Verify that the Grantee has documented its approach to performing the required safety and security management activities in an SSMP, which is included as a separate chapter or plan referenced within the PMP.

· Verify that the Grantee’s SSMP includes the applicable sections specified in Chapter IV of Circular 5800.1 and meets all identified requirements.

· Verify that the Grantee has the technical capacity to implement its SSMP, including adequate personnel, organization, budget and schedule.

· Determine whether the approach documented by the Grantee’s SSMP is being implemented, as appropriate, for the project’s current stage: preliminary engineering (PE), final design (FD), at application for a FFGA, construction, and start-up.

To conduct this review, the PMOC must apply the criteria specified in Chapter II, Paragraph 3 of Circular 5800.1.

For Grantees with major capital projects affected by FTA Circular 5200.1A, Chapter II, Section 6, Safety and Security Management Plan, the PMOC’s SSMP review must:

· Verify that the Grantee has documented its approach to performing the required safety and security management activities in an SSMP, which is included as a separate chapter or plan referenced within the PMP.

· Required activities are identified in Chapter II, Section 6 of FTA’s FFGA Circular 5200.1A, and in the DRAFT Guidance for the Development of Safety and Security Management Plans (January 2002).

· Verify that the Grantee has the technical capacity to implement its SSMP, including adequate personnel, organization, budget and schedule.

· Determine whether the approach documented by the Grantee’s SSMP is being implemented, as appropriate, for the project’s current phase.

5. Real Estate Acquisition and Management Plan (RAMP)

The PMOC’s real estate consultant shall review the project real estate schedule and cost estimates at specific points in project development as directed by FTA or on an ongoing basis and tailor the review to the information and materials available at the time. During preliminary engineering, it is critical that potential real estate problems are identified and probable solutions determined. More elaborate schedules will be generated by the Grantee as time goes on and the schedule review should reflect the increase in information provided.

The PMOC’s real estate consultant shall obtain from the Grantee the RAMP, latest schedules produced and supporting scope and cost information. The RAMP should be reviewed at various stages in the development of the project and should contain the following information at these stages of the NEPA Process:

· Prior to selection of Locally Preferred Alternative during or before the Draft Environmental Impact Statement (DEIS) process, the RAMP should be in an early stage of development and should contain information demonstrating an adequate staff organization complete with well defined reporting relationships, responsibilities, job descriptions and job qualifications.

· Prior to FTA’s approval to enter Preliminary Engineering, the RAMP should also contain: a map highlighting the parcels proposed to be acquired; a list of and written description of proposed total and partial acquisitions; a list of and written description of the anticipated number of residential and non-residential displacements/relocations; a list of and written description of the impacts due to the acquisitions and displacements/relocations; a schedule and cost estimate for the acquisitions and displacements/relocations.

· Prior to FTA approval to enter into Final Design, the information in the RAMP should be refined. The schedule should portray the critical path. The RAMP shall demonstrate that adequate relocation planning has been accomplished per 49 CFR Section 24.205, including recognition of problems associated with displacement and an evaluation of program resources available to carry out timely and orderly relocations.

· Prior to FTA award of the FFGA, the information in the RAMP should be further refined and third-party agreements should be made. The schedule should portray the critical path.

The PMOC’s real estate consultant will provide oversight to the extent needed to ensure compliance with statutory, regulatory and FTA circular requirements. With consideration of the laws, regulations, policies, circulars, guidance documents, and practices that apply to the Grantee’s work, the real estate consultant should at a minimum:

· Review and analyze all pertinent information available for reasonableness within the scope and cost parameters; for completeness, adequacy, consistency, appropriateness of level of detail given the phase

· Identify real estate acquisition program risks

· Be a full service company having experience in early right-of-way (R/W) planning and having a working knowledge in the four major areas of Uniform Act compliance (Appraisal, Acquisition, Relocation and Property Management)

· Have a working knowledge of 49 CFR Part 24 and FTA Circular 5010.1C and FTA Project Management Oversight Program Guidance

· State findings in descending order of importance (most likely, largest consequences, least likely, moderate consequences) and make recommendations for modifications.

B.

On-site Monitoring and Reporting (Reference OP-12 and OP-14)

1. Grantee Project Development and Execution Monitoring

During the design, construction, start-up and operational phases of a project, the PMOC shall monitor and report on the project’s development and execution for conformance with the Grantee’s approved Project Management Plan, including project development and execution, and accepted engineering and project management practices.

The monitoring activities and written recommendations shall be sufficient to provide FTA with the factual basis, engineering analysis, and an assessment of project management to support FTA’s on-going determinations that the Grantee possesses the technical capacity and capability to carry out the project, elements of which include:

· Continuing acceptability of the Grantee’s Project Management Plan.

· Grantee’s ongoing compliance with Full Funding Grant Agreement (FFGA) and/or other applicable Grant Agreement terms and conditions.

· Adequacy of Grantee’s project quality, schedule, and budget, including contingency, for the current phase of the project.

· Monitoring of a project’s “Estimated Cost to Complete” vs. “Remaining Budget”.

As part of its monitoring activities, the PMOC shall routinely assess and evaluate supporting documentation from the Grantee including, but not limited to:

· Timely management decisions

· Delegations of authority

· Management of project scope

· Internal controls

· Schedule analysis

· Cost estimates and trends, including forecasting

· Delivery of a quality product

· Project security/safety

· Continuing technical capacity

· Risk assessment and contingency management.

Periodic monitoring to be conducted by the PMOC includes, but is not limited to:

· Schedule, cost, and reporting

· Quality assurance

· System safety

· Risk management

· Fleet management planning and major fleet procurement

· System start-up

· Change orders/cost recovery

The PMOC shall perform routine project management oversight monitoring through on-site reviews and document reviews off-site. Periodic reports shall be submitted to FTA documenting project status, activities, and open issues. Other project elements such as project management, quality control and assurance, system operations, and staffing shall also be addressed. The PMOC shall provide technical consultation to the FTA Task Order Manager (TOM) prior to and during monthly and quarterly review meetings, in addition to preparing documentation for all Quarterly Progress Meetings, trips, reviews, and project status meetings. This documentation shall be distributed to FTA, the PMOC team, and the Grantee when applicable. The primary documentation medium shall be electronic via an internet website to be specified by FTA.

2.

Final Monitoring Report

The PMOC shall provide services or deliver products upon completion of the effective period of performance for either the task order or contract in the form of a final monitoring report. In producing the final monitoring report, the PMOC shall review the Grantee’s grant requirements such as contained in the FFGA other terms and conditions and Project Management Plan, and measure the plan against the project completed by the Grantee and report any variances. This report shall include a summary of significant project events and accomplishments; any unresolved project issues, PMOC recommendations and a full assessment of the effectiveness of the Grantee’s project management. The final monitoring report shall provide FTA with a factually-based, evaluation of the project as-built analysis, and an assessment of project management to support FTA’s final determination of whether the project has been completed in compliance with the FFGA or other grant agreement terms and conditions. Also, if the PMOC is transitioning out of a task order, the PMOC shall report on the transitioning efforts, including any unresolved issues and/or key issues that the new PMOC will need to immediately address.

3.

Lessons Learned Report The PMOC shall also provide services and deliver products for FTA’s Lessons Learned Program. The purpose of such lessons learned is to increase the effectiveness of transit capital expenditures through a sharing of experiences and associated lessons learned by FTA’s Grantees on major capital projects. Lessons learned shall be documented during the course of preparing periodic monitoring reports and in a final lessons learned report.

C.

PMO Information Management Support and Products

The PMOC may be required to develop or purchase software code, integrate data and products from other FTA Contractors, FTA Grantees, or third parties for the purpose of URL or FTP based web hosting, CD-ROM, wireless, or other similar technology for the delivery of services and products.

FTA may also require the PMOC to develop or purchase software code that allows the delivery and integration of such third party Contractor or FTA Grantee data to designated software applications such as Microsoft Office (including Microsoft Project) or Internet Explorer, or FTA’s in-house programs such as TEAM, Fastrack, etc. The PMOC may be required to develop applications, produce output data, products or services in the form of either a single, integrated, secure, reliable website, commercial off the shelf (COTS) data file, or a single, integrated, relational data source.

The PMOC shall allow authorized FTA users and authorized third parties to navigate the application or site, to upload data, submit forms, query, or extract data from such a source on a daily or continuous basis using PMOC furnished software applications.

CLIN 0003 – Technical Review Services A. Scope, Cost, and Schedule Characterization Reviews (Reference OP-32, -33, and -34)

1.

Project Scope/Capacity Review The PMOC shall perform scope reviews to assist FTA in assessing and evaluating the Grantee’s project using TCRP’s industry guidelines, Transit Capacity and Quality of Service, Report 100, 2nd edition (2003), Rail Capacity Manual and its procedures, or a modified procedure, with respect to the capacity of its individual rail transit system features or functions. The PMOC shall also assess and evaluate the proposed level of service using the same TCRP manual, or modified procedure. The capacity sections of the manual provide both planning and more detailed operations analysis procedures for assessing capacity for rail transit modes, and transit stops, stations, and terminals. A building-block approach to capacity analysis is presented, initially addressing the capacity characteristics of individual transit stops and station components, and then expand the concepts to address the capacity of broader transit services, facilities, and systems. Such reviews and analyses may include:

a. “Line capacity” or theoretical capacity of the project as defined by TRB MP100 as the maximum number of trains that can be operated over a section of track in a given period of time, typically peak hour boardings. The factor providing the lowest capacity—the weakest link—will constrain the capacity of a given section of a line. As TRB notes, normally, the combination of the train signaling system being used and the station with the longest dwell time will control the line capacity. However, under less-than-ideal conditions, the PMOC shall analyze other factors that may control line capacity.

b. Capacity of the LRT project as required to meet the passenger load requirements forecasted for the revenue operations date (peak hour passenger boardings) and TCRP’s recommended “mature capacity”.

c. Address the engineering economy issues associated with determining what project elements were to be constructed at what time.

d. “Step the project forward” through the ridership forecasted at a series of future milestones such as those envisioned in the rail fleet management plan.

2. Capital Cost Estimate Review

The PMOC shall perform cost reviews to assist FTA in assessing the consistency of such data provided by the Grantee, understand its characteristics and descriptions as well as the correlation between the quantity data in the estimates and the data established in the design deliverables and review whether the Grantee cost data is truly reflective of the scope indicated on the design drawings, i.e. correct estimate quantities.

To accomplish this, the PMOC shall perform cost characterization of the Grantee cost data inclusive of the project estimate. The PMOC shall also assess the integration and traceability of that estimate into the defined scope of the project for purposes of “baselining” the project estimate as the costs, scope issues, and project become more fully defined and developed through progression of project definition.

Subject to the issuance of individual work orders, FTA may require the PMOC to perform the following subtasks as part of the products or services delivered under the Work Order.

· Parametric project cost estimate review

· Definitive project cost estimate review

· Assessment and evaluation of grantee project cost forecasts

· Structural analysis of grantee project cost data using FTA data

· Comparison of Geotechnical data to cost estimate elements

· Market conditions adjustment and competitiveness of grantee estimates

· Identify embedded and exposed cost contingencies and assess as adequate relative to project scope and duration

· Identify and separately list risks discovered in the cost review and evaluate the potential likelihood and impact of these risks on the cost, scope, and schedule.

3.

Project Schedule Review The PMOC shall perform schedule reviews and analyses to assist FTA in determining whether the Grantee’s project schedule is sufficiently developed to establish the validity of the longest path of the project (leading to the Revenue Operations Date) and that critical areas such as right-of-way acquisition, utility relocation, wetland mitigation and construction are sufficient detailed to confirm if the schedule is reasonable and to estimate a probability of schedule slippage.

The PMOC shall validate the usefulness of the schedule as a project management tool, identify problems, provide technical assistance, and actively solve schedule problems with the Grantee. In a report to FTA and the Grantee, the PMOC shall document its findings, professional opinions and recommendations and reconcile these with the Grantee.

The list of items below indicates minimum requirements, to be supplemented by the PMOC’s experience and as appropriate for project and phase. The PMOC shall assess and evaluate Grantee’s scheduling procedures and information in accordance with the following.

Technical review

Project Activities and Constraints

External Activities and Constraints

Risk Identification

B. Rolling Stock Reviews (Reference OP-25, -26A and -26B)

1. Fleet Management Plan Review The role of the PMOC in this process shall evaluate, based on the experience and knowledge of the qualified evaluator(s), the extent to which the Grantee has met the requirement to have a Fleet Management Plan, as well as the Grantee’s ability to carry out the Plan. The evaluator should first examine whether all of the required factors have been included in the Plan, and then provide opinions on whether the Plan is: (1) feasible, based on the resources immediately available to the Grantee, (2) sustainable, based on the long term infrastructure and resources anticipated to be available to the Grantee, and (3) comprehensive, based on its consideration of the required factors to properly maintain and operate the new or refurbished vehicles contemplated.

The PMOC may be asked to:

· Share its knowledge of fleet management practices with the Grantee;

· Assist in identifying materials that are crucial to the successful development of a Fleet Management Plan;

· Provide plans that have been found complete and reasonable as models of "best practices" among Grantees;

· Provide further outlines of the elements in a Fleet Management Plan that makes it comprehensive and acceptable to the Grantee’s operation;

· Participate in the review of the Fleet Management Plan to ensure the plan is comprehensive and complete in its analysis of the rail operations;

· Serve as a resource by lending its experience and knowledge of other plans that are completed or viewed as exhibiting "best practices" in the industry.

FTA may require the PMOC to conduct on-site inspections of equipment, related facilities, data, documentation, or records to evaluate the Grantee's effectiveness in implementing the Fleet Management Plan in conformance with the grant agreement, sound operating or engineering practices, or other statutory and administrative requirements. Inspection visits may be made, for example, to follow up on information received from the Grantee about an event with significant impact on the project, or to determine whether the Grantee has adequately implemented the Fleet Management Plan.

The PMOC as directed in the specific work order shall review Grantee documentation, perform its own technical review and physical inspections, characterize the Grantee’s Fleet Management Plan and validate the Grantee’s plan and operating assumptions in conformance with these procedures. The PMOC shall evaluate and assess the accuracy, adequacy and reasonableness of the Grantee’s Fleet Management Plan and its supporting plans and documentation..

The PMOC will report its findings in a written statement, which summarizes the overall findings, and characterizes, for the FTA, the acceptability of the Fleet Management Plan. The statement will include the PMOC opinion as to the completeness of the Plan.

2. Rail and Bus Vehicle Technical Reviews The PMOC shall assist FTA in overseeing Grantees’ procurement of road and rail vehicles to help achieve FTA’s goals of economy in vehicle procurements.

The PMOC shall:

a. Report on the completeness and accuracy of Grantee’s deliverables, including but not limited to the following:

(1) Contract Data Requirements List (CDRL): The PMOC shall review the list of contractual deliverable documents to determine whether the documents will address all of the characteristics to be demonstrated throughout analysis and testing phases.

(2) Design Documentation: In reviewing design documents the PMOC shall assure the following:

· There is a properly sequenced plan of design that will assure compliance at the earliest possible moment, mitigating the costs of rework and dangers to the overall program schedule;

· Each document addresses the intended issues;

· Assumptions made in each document are valid and proven;

· Analytical methods used meet current professional standards;

· The grantee’s review is by person’s competent in the field who capable of detecting and commenting on analytical errors;

· Drawing and Configuration Control is designed to assure consistency throughout the fleet, including option orders;

· The supplier’s QA program and the Grantee’s oversight will assure delivery of the vehicle “as designed”

(3) Quality Control/Quality Assurance Plans: The PMOC shall review the Grantees QA plan to assure the supplier’s QA will be performed under adequate surveillance. Additionally, the proposers are directed to OP-26B for further details on what this type of review will require.

(4) Test Program Plan: The PMOC shall review the Test Program Plan to assure the plan is integrated with the CDRL. The PMOC must assure that, between test and analysis, the supplier will demonstrate full compliance with the Grantee’s design specification. Additionally, the proposers are directed to OP-26B for further details on what this type of review will require.

b. Identify when the Grantee’s actual and stated needs are in conflict. In addition to the reviews of submittals indicated above, as part of its monthly report, the PMOC shall, as necessary, include recommendations for action by the FTA to take corrective action with the Grantee.

(1) Before making such a report, the PMOC shall discuss any noted or observed issues and possible corrective action with the Grantee, and report the issues and intended corrective action concurrently to the FTA.

(2) The PMOC shall pay special attention to the following key issues. This section might include a list of specific conditions that would require recommendation for corrective actions to the FTA. Additionally, the proposers are directed to OP-26B for further details on what this type of review will require.

c. Assure timely intervention when there are indications that the vehicle will not satisfy the Grantee’s actual needs.

C. Risk Assessments and Contingency Review (Reference OP-40 and OP-35)

The PMOC shall assist FTA in implementing and maintaining a continuous risk planning and monitoring process. These products support FTA in making programmatic decisions under uncertainty. The risk assessments are used by the Grantee for developing a risk management framework, contained in Project Development Plans and Project Execution Plans.

Risk assessment for a capital project shall include a base condition for scope, cost, and time for known elements (e.g. design quantities, unit costs, duration); a risk condition for scope, cost, and time for unknown or uncertain elements; and a combined base and risk condition.

Uncertain project elements shall be identified, and project targets—such as performance, cost, and schedule estimates—shall be expressed as a range that varies in value, reflecting the potentially large impacts of uncertain elements and unidentified risk. These uncertain elements and unidentified risk adjust the base cost to give an approximation of the total project cost that ranges in value, expressed as a probability distribution.

Risk assessment may be ordered during any phase of the project but most likely will be applied in late preliminary engineering and early final design. Depending on the project, it may be useful at some point to focus the risk assessment and mitigation work only on cost or schedule or only on a particular component of the project. Through collaborative interactive workshops and intensive study of the project the risk work feeds back information to support subsequent project decisions. The process can be applied to projects using traditional design-bid-build procurement as well as alternative project delivery methods.

In FTA’s current practice, risk assessment has two components:

· Risk Register: A listing of risk elements is established through assembly of risk elements identified in technical scope, cost, and schedule reviews and is supplemented by interactive workshops. This listing shall include a description of each risk element, characterization of how likely the project item is to occur, and the magnitude of the impact on performance, cost or schedule if the project element did occur. Risk Registers shall be established to inform the FTA of project uncertainties and to evaluate the Grantee’s PMP, including suggestion for PMP improvement. The Risk Register is intended to identify key risk elements for action, but is generally insufficient to establish an assessment of total project cost or schedule risk.

· Range (Beta Factor) Model: The Range Model shall be used to establish the cumulative effect of the listed risk elements and unidentified risk on the project as a whole. It establishes a range of likely cost and schedule outcomes to inform the selection of budget and schedule targets for Grantee agreements such as the FFGA. Using this method, the PMO shall develop ranges of cost for entire categories of costs, e.g. guideway, rather than one or more separately identified risk elements within a category. Category ranges of cost shall be accumulated to a project-level cost range, using methods prescribed by the FTA (further briefly outlined below).

1. Risk Register

The PMOC shall develop a comprehensive listing of risks (Risk Register) through a collaborative process involving the Grantee as described in OP-40 Considering each project component, major activity and contract unit, the PMOC shall develop a comprehensive list of possible risk elements, including those elements which may improve, rather than deteriorate, performance, cost, or schedule goals.

The PMOC shall qualitatively review the Risk register and provide its professional opinion as to the reliability of the scope, cost, and schedule of the project, including recommendations of amendment to the Grantee’s Project Management Plan.

2. Range Model

The PMOC, upon FTA’s direction, shall develop a cost Range Model. .

The Range Model establishes categorical- and project-level cost estimate ranges. Informed by the issues and risks identified in the foundational scope, schedule and cost reviews and Risk Register, the Range Model applies multipliers (or “beta factors”) to a conditioned base estimate to arrive at a probabilistic range of cost or schedule estimate. As the project passes through phases, milestones are met, design is complete, real estate is purchased, etc., related risk is reduced and the beta factors are reduced accordingly.

The Range Model utilizes the FTA Standard Cost Categories (SCC). Specific project conditions may indicate other types of breakdowns such as contract packages—depending on the level of complexity of the project and upon direction of the FTA.

The PMOC shall evaluate the risk assessment findings and provide the FTA and the Grantee with well-grounded professional opinions as to the reliability of the project scope, cost, and schedule of the project, describe uncertainties, and make a statement of the potential cost range as follows:

· lower or optimistic cost at 10% likelihood;

· mid-level cost at 50% likelihood; and

· upper or pessimistic cost at 90% likelihood.

The project cost range assessment shall be developed for certain future project milestones, as directed by the FTA, for the purpose of establishing mitigation and contingency strategies and for developing informed cost and schedule targets.

3. Schedule Risk Review

The PMO shall evaluate the Grantee’s project schedule to assess risk elements contained within and to recommend adjustments to account for potential risk. Such a review shall discover and document schedule contingency elements and durations that are included in the base schedule.

4. Risk Management Recommendations

The PMOC shall provide recommendations to the Grantee for amendment to its risk mitigation plan and shall monitor its implementation. For areas of significant uncertainty, the risk mitigation review shall include recommendations for additional work by the Grantee or other party along with a stipulated time frame for accomplishing the work. It also includes recommended contingency amounts to cover project uncertainties.

D. Readiness Reviews (Reference OP-46.1, -46.2, -46.3, -46.4 and -46.5)

Some of the following reviews, required at different project development phases, should not be interpreted as duplicative efforts for the same products but instead a complete listing of the requirements for the…