Chicago Transit Authority Selects Capital Improvement Program Manager

March 9, 2011

The Chicago Transit Authority selected Chicago Transit Partners (CTP) to oversee the agency’s ongoing capital improvement plan.  After a competitive procurement process, CTP will once again oversee various construction projects for the agency.

 “This renewed partnership with CTP allows for CTA to meet capital improvement goals in the most cost efficient way possible,” said CTA President Richard L. Rodriguez. “External resources are an invaluable tool for CTA. Existing staff can tap into the knowledge base of additional engineers and project managers without incurring the full cost of the position.”
“The use of an outside program manager is an effective and cost efficient industry strategy for saving time and money and ensuring quality,” said Chicago Transit Board Chairman Terry Peterson. “With multiple projects at different stages of development, the CTA is able to maximize the resources of the CIPM and adjust the size of the workforce or the nature of the expertise as needed.”   
CTA has pursued a number of strategies with private companies that have saved money. Outsourcing major construction work such as slow zone elimination on the O’Hare branch Blue Line, expanding capacity on the Brown Line and upgrading signals on the Loop elevated provides a good option for infrastructure improvements. Contracting with an outside company allows CTA to tackle these large projects without taking on the ongoing cost of maintaining an internal labor force.
As the Capital Improvement Program Manager, CTP will work on projects that include track rehabilitation, replacement of viaducts and projects to upgrade traction power. CTP will also help develop project plans in preparation for future funding.  Under the previous agreement, CTP assisted with the Brown Line capacity expansion project, renovation of the Howard station on the Red Line and power upgrades to the Dan Ryan branch of the Red Line.
The CTA reached a successful contract negotiation with CTP to provide management services for up to three years and services provided are not to exceed the contracted amount of $29.7 million and is contingent upon the availability of capital funding. CTP’s previous contract was approved in 2005 for $60.5 million for up to five years and was also contingent on the availability of capital funding. 
Chicago Transit Partners is a joint venture of three separate companies specializing in construction, engineering and design management. They are DMJM+Harris, Inc. and Consoer, Townsend Envirodyne Engineers, Inc., both of Chicago, and Kenny Construction Company of Wheeling, Illinois. 
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