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New York State Department of Transportation FTA Pre-Award Audit Report

For NYSOGS Adult Bus Contract Award 22945 NYSOGS Contract #: 22945

Bidder (Offeror): Matthews Bus Alliance Inc.

Manufacturer : Champion Bus

Description of Vehicle (LOT): Lot J– 24 Passenger

Annual Estimated Quantity: 20

Submitted by: Edward Sawicki

Date: April 4, 2018

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Executive Summary

The Federal Transit Administration (FTA) Pre-Award Audit Report is a review and a determination of compliance, based on information supplied to the New York State Office of General Services (NYSOGS) Invitation for Bid (IFB) Number 22945 for acquiring new FTA Adult Passenger Transit Buses and associated optional equipment. Each vehicle category or “LOT” is bid separately, with a unique set of specifications. Before a low apparent bidder can be recommended for award, each bid offer must demonstrate compliance with the bid specifications, and include copies of FTA required Pre-Award documents, including; Buy America certification, applicable Federal Motor Vehicle Safety Standards (FMVSS) certification, and Purchasers Requirements Certification. This report verifies that the bidder (offeror) Matthews Bus Alliance Inc. meets the rolling stock vehicle manufacturer requirements for Pre-Award Buy America certification for LOT J. This document further outlines how the audit is conducted for the Pre-Award requirements for FTA funded transit vehicles by NYSDOT. The NYSOGS Adult Bus bid 22945 is the procurement instrument used by the Public Transportation Bureau (PTB) of the New York State Department of Transportation (NYSDOT) for FTA 5310 funded vehicles. The Pre-Award documentation should also be used by other eligible FTA funded procurements through the Extension of Use program administered by PTB.

Audit Procedures When bids are submitted, NYSOGS forwards PTB copies of each bid package. PTB assists NYSOGS in the review for specification and FTA compliance. In-house staff at PTB review the documentation, then report back to NYSOGS with findings, if any. Appendix C of the IFB contains all Federal Government Required Clauses (FTA), Attachment 1 contains the bidders proposed specifications and pricing, Attachment 2 the Bid Submittal Checklist, and Attachment 3 the FTA certification for Rolling Stock. After IFB 22945 was awarded, an independent review of the IFB resulted in recommendations to update the FTA certification forms found in Attachment 3. Those updates have been incorporated into this report, with forms B-1; B-2, B-3; B-4, B-5, and B7;B-8 added. These forms will be used on all FTA rolling stock procurements going forward. For Pre-Award Certification, PTB staff catalogues all documents forwarded from NYSOGS, then review the bid submissions of the lowest 3 bidders. Each review verifies if the specifications are met and if all documentation has been provided by each

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bidder. NYSOGS policy allows for bidders to supply missing or additional supporting documentation when requested in writing. During this phase, PTB staff relays questions and note deficiencies to NYSOGS for follow up. Bidders are requested to reply within 5 business days of written notification. This cycle continues until; a) the discrepancy is satisfactorily resolved, or, b) a recommendation of non-compliance is relayed to NYSOGS by PTB. To qualify for contract award on the NYSOGS Adult Bus Contract, bidders must supply sufficient pre-award documentation that satisfy FTA requirements. Pre-Award Certification and supporting documents are attached to this audit report, certifying compliance with Buy America and Federal Motor Vehicle Safety Standards (FMVSS). In addition, certification that the manufacturer is responsible and capable of producing the specified vehicles is also included. To validate these certifications, the following criteria has been established:

Bidder (Offeror) Certification Form (B-1;B-2) As part of the bid process, each bidder(offeror) must certify that their offer complies with the requirements of 49 U.S.C. 5323(j) and the applicable regulations in 49 CFR 661.11. Forms B-1; B-2 have been added to the supporting documents, and NYSOGS updated their FTA certification forms for Attachment 3.

Pre-Award Buy America Certification Form (B-3; B-4) Part A (B-3) Submitted with Attachment A of the IFB, the bidder (offeror) certifies the proposed vehicles will comply with Buy America in accordance with 49 CFR Part 663-Subpart B and 49 U.S.C. 5323(j). When the bidder is not the manufacturer, the bidder must include manufacturer’s certification. Supporting documents must include sufficient detail that demonstrates at least 60% US material content (for awarded vehicles bid prior to October 16, 2015) or 65% for re-bid vehicles for award 22945. The manufacturer certification must also include a separate final assembly cost in terms of dollars, the activities associated with final assembly, and the location it occurred. As a method to verify that percentages of components and sub-components presented are consistent and reasonable, the manufacturers self-certification is compared to other bidder’s proposals. By certifying Part A, the recipient, or its auditor affirms compliance with this statute.

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Part B (B-4) If Part B is endorsed, a copy of a letter from the FTA which grants a waiver to the rolling stock to be purchased from the Buy America Requirements shall be included in this report.

Pre-Award Purchasers Requirement Certification Form (B5) Unlike a request for proposal, this IFB requires full compliance with the bid specifications for award. The review team seeks out any deviation that may be listed by the bidder or suggested in the supporting documentation. When discovered and requested, written clarification must be provided by the bidder that satisfies the specifications, or the bid is disqualified. Section C of Attachment 3 of the IFB includes a Manufacturers certificate, requiring the manufacturer to verify that the bidder is an authorized dealer of their product, and that they have the capacity and capability of producing the vehicle. The reviewer also verifies that Attachment 3 of the IFB also includes the completed the Standard Vendor Responsibly Questionnaire and filed it with the New York State Office of the Comptroller (NYSOSC). In addition, the reviewer has verified that the bidder is listed under the Systems for Awards Management (SAMS), and that the manufacturer is a current and Eligible Transit Vehicle Manufacturer (TVM) with the United States Department of Transportation.

Federal Motor Vehicle Safety Standards FMVSS Forms (B7; B-8) Part A (B-7) When endorsed, the reviewer verified that Section D of Attachment 3 was completed by the bidder, certifying that the vehicle will comply with all applicable FMVSS requirements. Attached with this report is the manufacturers FMVSS certification for the specified vehicle. Part B If Part B is endorsed, a statement from the manufacturer would be included, indicating that the specified vehicle will not be subject to FMVSS issued by the National Highway Traffic Safety Administration (NHTSA) in 49 CFR Part 571.

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Pre-Award Audit Conclusions After review of the documentation, the reviewer has concluded that the bidder (offeror) meets the rolling stock vehicle manufacturer requirements for Pre-Award Buy America certification for the following; Attachments Form B-1; B-2 Form B-3; B-4 and supporting documents Form B-5 and supporting documents Form B-7; B-8 and supporting documents