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Draft Report

Procuring, Managing, and Evaluating the Performance of Contracted TMC Services

Support services - Administration of key TIM activities such as meetings and all related items, updates to critical documentation, and annual reporting requirements; the performance criteria are related to defined days/days.

Each criterion has associated requirements and financial penalties for non-performance.  More information can be found in FDOT’s procurement document, RFP-DOT-07/09-6089DS (July 27, 2007).  For each outsourced component, a specified, pre-determined, and mutually agreed upon set of operational standards is in place as part of the contract documents.  Their intent is to guarantee a level of reliability and service quality.  The performance requirement, evaluation criterion, and penalty are clearly stated in the contract so that at the time of contractor invoicing there is no ambiguity about the service terms.

The Federal Highway Administration’s (FHWA’s) TMC Performance Monitoring, Evaluation, and Reporting handbook (x) describes how performance measurement concepts can be applied to TMCs in light of their functions and responsibilities.  For example, a TMC is typically responsible for freeway operations.  Functions associated with the TMC will include traffic surveillance, traffic control, incident management, special events management, information sharing/dissemination, and implementation of response plans.  Support for these various functions may be outsourced and therefore need to be measured with specific time and performance criteria as described in the FDOT RFP document.

At times a contractor may work side-by-side with public sector staff within a TMC.  The contractor then needs to be aware of civil service requirements in force at that location.  They will not apply to contracted staff; however, because contracted personnel work alongside public employees, the contractor will need to be cognizant of these different requirements.

Agency standard agreements usually define liability insurance requirements for their vendors.  The contractor is required to carry and keep in force a general liability insurance policy during the term of the agreement for specified amounts for bodily injury and property damage occurrences.

Political and Institutional Influences

The structure and organization of a TMC may be influenced by the institutional, political, and economic considerations of the region needing TMC services.  Areas that are often considered include cost, quality of service, administrative/institutional arrangements, and contractor quality/history of success.  Costs may not necessarily go down when contracted services are procured; however, the monies for the services in question may come from different budget sources (capital versus operating), which can reflect a reduction on one side of the overall agency budget and an increase on the other.

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