LIFE-CYCLE COST PROCUREMENT PROCEDURES FOR ADVANCED DESIGN-BUSES: DEVELOPMENT AND TEST APPLICATION

This report reflects UMTA's efforts to assist the grantees to comply with the DOT FY 1980 Appropriations Act requirement that contracts for the acquisition of rolling stock, including urban buses, and that be awarded only after consideration of performance, standardization, life-cycle costs, etc., in addition to initial capital costs. A key to this assistance is presented in this report, namely a set of acceptable, workable life-cycle costing procedures and guidelines to be used by the bus manufacturers and the grantees in life-cycle procurements. The authors foresee added benefits to be derived from applying the approaches developed in this study to "live" procurements. This study aims to develop the life-cycle cost tools, guidelines, and procedures applicable to the bus industry and to apply the principles of life-cycle costing to the real-life environment of Advanced Design Bus (ADB) purchases. Tests were conducted by two transit properties--Phoenix Transit Authority (Phoenix, Arizona), and the Regional Transportation Authority (Chicago, Illinois). The parallel, nonbinding life-cycle costing, when used as a procurement tool, is a viable alternative to the current low-bid acquisition of urban buses. The tests further showed that life-cycle cost procurement provides the grantees with the data necessary to make a more cost-effective purchase; it also provides the manufacturers an incentive to modify their bus designs to achieve better quality at a lower total cost of ownership. (UMTA)

  • Corporate Authors:

    Advanced Management Systems, Incorporated

    1526 Connecticut Avenue, NW
    Washington, DC  United States  20036

    Urban Mass Transportation Administration

    400 7th Street, SW
    Washington, DC  United States  20590
  • Authors:
    • Kain, H R
    • Marks, G J
    • Hall, F M
  • Publication Date: 1980-5

Media Info

  • Pagination: 70 p.

Subject/Index Terms

Filing Info

  • Accession Number: 00322291
  • Record Type: Publication
  • Report/Paper Numbers: UMTA-VA-06-0045-80-1Final Rpt.
  • Files: TRIS, USDOT
  • Created Date: Feb 6 1981 12:00AM