PILLAR: Sustainable
AGENDA DATE: May 13, 2026
COUNCIL DISTRICT(S): Citywide
DEPARTMENT: Department of Transportation and Public Works
PRIORITY: Infrastructure
______________________________________________________________________
SUBJECT
Title
Authorize Supplemental Agreement No. 2 to the professional services contract with Gresham Smith for the Dallas Streetcar Operations and Maintenance Study to support the City of Dallas for Phase I of establishing a Parking Benefit District (paid parking area) in support of the Dallas Streetcar Operations and Maintenance Study - Not to exceed $123,397.00, from $669,509.58 to $792,906.58 - Financing: DART Public Transportation System Projects Fund ($80,490.42) and General Fund ($42,906.58)
*In alignment with ForwardDallas.
Body
BACKGROUND
This professional services contract is being used to complete the Dallas Streetcar Operations and Maintenance Study for the Department of Transportation and Public Works. The Dallas Streetcar is a City-owned facility that links the downtown Central Business District to the Methodist Hospital in Oak Cliff and the Bishop Arts District. The system was constructed using State and Federal grant funds and began operating in 2015. Initially a 1.5-mile route through downtown, the Streetcar network has been expanded to include a total of six stops on 2.45 miles of track all within the City of Dallas’ street network. The Dallas Area Rapid Transit (DART) operates the Streetcar on behalf of the City of Dallas and contributes approximately $600,000.00 a year towards the $2.5M operations and maintenance (“O&M”) costs with an expiration date of 2040. The City of Dallas provides the majority of the Streetcar’s O&M in addition to periodic capital maintenance funds through its General Fund.
The City of Dallas has worked with DART and other stakeholders to examine the economic impact of the Streetcar including the necessity of expansion routes, such as the Central Link, and sustainable funding mechanisms to support ongoing O&M of the Streetcar. In 2020, LDR Advisory Partners completed an initial Streetcar O&M funding analysis overview which noted areas of additional evaluation needed to develop a sustainable funding model. In the same year, DART completed the 2020 Service Area Streetcar Feasibility Study which provided a high-level assessment of feasibility, costs, and benefits for different Streetcar expansion routes. Both studies identified the need to conduct a financial assessment of operation and maintenance funding options for the Streetcar.
On June 14, 2023, the City Council authorized an interlocal agreement with DART for distribution of up to $80,000,000.00 in funding from DART which consists of the City’s portion of (i) excess sales tax funds from DART of $72,000,000.00 and (ii) additional RTC funds of approximately $8,000,000.00, all to be used to complete projects eligible for this funding that will benefit DART’s Public Transportation System or provide Complementary Transportation Services located in Dallas by Resolution No. 23-0822.
On November 13, 2024, the City Council authorized a two-year professional services contract with Gresham Smith for the Dallas Streetcar Operations and Maintenance Study in an amount not to exceed $626,494.58, by Resolution No. 24-1656.
At this time it is necessary to amend the contract to support the City of Dallas for Phase I of establishing a Parking Benefit District (paid parking area) in support of the Dallas Streetcar Operations and Maintenance Study, in an amount not to exceed $123,397.00, from $669,509.58 to $792,906.58.
ESTIMATED SCHEDULE OF PROJECT
Began Study January 2025
Complete Study January 2029
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On August 17, 2020, the Transportation and Infrastructure Committee was briefed on the “Dallas Streetcar Operations and Maintenance.”
On February 23, 2021, the Transportation and Infrastructure Committee was briefed on the “Dallas Streetcar Funding.”
On March 23, 2021, the Transportation and Infrastructure Committee was briefed on the “Dallas Streetcar Funding Strategy.”
On June 14, 2023, the City Council authorized an interlocal agreement with DART for distribution of up to $80,000,000.00 in funding from DART which consists of the City’s portion of (i) excess sales tax funds from DART of $72,000,000.00 and (ii) additional RTC funds of approximately $8,000,000.00, all to be used to complete projects eligible for this funding that will benefit DART’s Public Transportation System or provide Complementary Transportation Services located in Dallas by Resolution No. 23-0822.
The Transportation and Infrastructure Committee was briefed by memorandum regarding this matter on September 19, 2023. <https://cityofdallas.legistar.com/View.ashx?M=F&ID=12301746&GUID=D81427D8-308A-4EB9-A2BC-FDDD0E9BCF5C>
On October 18, 2023, the City Council was briefed on the “Dallas Streetcar Update.”
The Transportation and Infrastructure Committee was briefed on the “Downtown Transportation Hub and High-Speed Rail Vision” on January 16, 2024.
The City Council was briefed on the “Discussion of Major Downtown Transportation Initiatives: Eddie Bernice Johnson Union Station, High-Speed Rail, and Streetcar Expansion” on March 6, 2024.
The Transportation and Infrastructure Committee was briefed by memorandum regarding this matter on March 26, 2024. <https://cityofdallas.legistar.com/View.ashx?M=F&ID=12780924&GUID=344482BF-4630-4B2D-B9CD-F8E38AFE71A5>
On May 8, 2024, the City Council approved an ordinance amending Ordinance No. 32554, previously approved on September 20, 2023, as amended by Ordinance No. 32663, previously approved on February 28, 2024, authorizing transfer funds, not to exceed $4,950,000, from the DART Public Transportation System Projects Fund TN20 to 0726 by Resolution 24-0654.
The City Council was briefed by memorandum regarding this matter On October 18,2024. <https://dallascityhall.com/government/citymanager/Documents/FY24-25%20Memos/Dallas%20Streetcar%20Operations%20and%20Maintenance%20Funding%20for%20FY24-25.pdf>
On November 13, 2024, the City Council authorized a two-year professional services contract with Gresham Smith for the Dallas Streetcar Operations and Maintenance Study in an amount not to exceed $626,494.58, by Resolution No. 24-1656.
FISCAL INFORMATION
|
Fund |
FY 2026 |
FY 2027 |
Future Years |
|
DART Public Transportation System Projects Fund |
$ 80,490.42 |
$0.00 |
$0.00 |
|
General Fund |
$ 42,906.58 |
$0.00 |
$0.00 |
|
Total |
$123,397.00 |
$0.00 |
$0.00 |
Professional Services Contract $626,494.58
Supplemental Agreement No. 1 $ 43,015.00
Supplemental Agreement No. 2 (this action) $123,397.00
Total $792,906.58
LOCAL PARTICIPATION
|
Prime |
Status |
Workforce % |
|
Gresham Smith |
Local |
38.46% |
PROCUREMENT INFORMATION
Method of Evaluation for Award Type:
|
Request for |
• Utilized for procurements involving professional services |
|
Qualifications |
• Recommended offeror whose response is most qualified, considering the relative evaluation factors stated in the specifications |
|
|
• Always involves a team evaluation |
|
|
• Allows for negotiation on contract terms, including price |
The Office of Procurement Services (OPS) received the following proposals from solicitation number BIZ24-00025247. OPS opened the proposals on August 9, 2024. OPS recommended the City Council award the professional services contract in its entirety to the most highly qualified.
*Denotes most highly qualified
Proposers Address Score
*Gresham Smith 500 North Akard St. 84.25
Suite 3210
Dallas, TX 75201
HR&A Advisors, Inc. 99 Hudson St. 82.00
New York, NY 10013
OWNER/EXECUTIVE
Gresham Smith
500 North Akard Street
Suite 3210
Dallas, Texas 75201
Rodney Chester, Chief Executive Officer
MAP
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