Chapel Hill Transit may soon have some new buses to deploy across our community.

The Town of Chapel Hill has started the process requesting proposals for an installment purchase contract to allow for the purchase of new transit vehicles.

Chapel Hill Transit director Brian Litchfield said at an April 2016 Town Council meeting that nearly half of the organization’s bus fleet was beyond their fixed-route useful life.

At that meeting last April, the council authorized town manager Roger Stancil to enter an agreement with Gillig LLC, which enables the purchase of up to 53 new buses. But that agreement did not require the purchase of any buses.

The RFP issued by the town last week, through its financial advisor Davenport & Company, is asking for proposals for contracts not to exceed $6 million for a 10-year term.

The request says the funding will be used to purchase 12 Gillig 40-foot clean diesel transit buses. These 12 are part of a 16-bus order placed by the town. An email to the Town Council from Stancil said the additional four buses would be paid for with existing funds.

The request lays out what guidelines the town is asking for in proposals – including a fixed interest rate and a proposal that offers the town “maximum flexibility.” The request says, “Although the selection will be based substantially on lowest total financing cost (including both interest cost and upfront fees and expenses), the Town reserves the right to select the bidder that best meets the needs of the Town.”

RFP’s are due back to the town on Wednesday, January 25.

The Town Council could approve the winning proposal at its meeting on February 13. The agreement would then be scheduled to close on February 28.

The 16 buses that have been ordered are scheduled to be delivered within the next six months.

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