Title
CATS Streetcar Onboard Energy Storage Systems
Action
Action:
A. Approve the purchase of onboard energy storage systems by the sole source exemption,
B. Approve a contract with Siemens Mobility Inc. for the purchase of onboard energy storage systems for a term of three years, and
C. Authorize the City Manager to renew the contract for up to two, one-year terms with possible price adjustments and to amend the contract consistent with the purpose for which the contract was approved.
Body
Staff Resource(s):
Brent Cagle, CATS
Gary Lee, CATS
Sole Source Exemption
§ NC General Statute Section 143-129(e)(6) provides that formal bidding requirements do not apply when:
- Performance or price competition are not available;
- A needed product is available from only one source or supply; or
- Standardization or compatibility is the overriding consideration.
§ Sole sourcing is necessary for this contract because standardization and compatibility are the overriding consideration.
§ City Council approval is required for any purchases made under the sole source exception.
Explanation
§ The Onboard Energy Storage System (OESS) is a roof-mounted battery system that stores electrical energy, enables operation in designated off-wire segments, and improves energy efficiency by capturing regenerative braking energy.
§ The OESS captures and stores energy generated during vehicle braking and supplements traction power during operation, reducing electrical demand on the transit power distribution system and improving overall energy efficiency.
§ Replacement of existing original equipment manufacturer equipment helps maintain the reliability, safety, and operational performance of the streetcars.
§ At renewal, potential price adjustments may be considered based on legitimate and justified increases in the cost of doing business. The ability to consider price adjustments also allows the city to accept decreases, if warranted.
§ Annual expenditures are estimated to be $1,369,515.
§ Consistent with Section 1.01(c)(ii)(A) of the Primary Interlocal Agreement between the Metropolitan Public Transportation Authority (MPTA) and the city dated June 22, 2026, the MPTA Executive Committee reviewed this Material Contract Action and did not request further review.
Charlotte Business INClusion
Sole source contracts are exempt from CBI Program goals, as these contracts do not involve a competitive bidding process and do not present opportunities for subcontracting. Sole sourcing was required for this contract because standardization and compatibility are the overriding consideration. This aligns with what is required by North Carolina State Statute § 143-129(e)(3).
Fiscal Note
Funding: CATS Capital Investment Plan