Template revised January 10, 2019.
COMMISSION
AGENDA MEMORANDUM
Item No.
6d
ACTION ITEM
Date of Meeting
March 26, 2019
DATE: March 18, 2019
TO: Stephen P. Metruck, Executive Director
FROM: Krista Sadler, Director Technology Delivery
SUBJECT: Airport Subway Train Display System Project Completion (#C800782)
Amount of this request:
$285,000
Total estimated project cost:
$3,287,000
ACTION REQUESTED
Request Commission authorization for the Executive Director to amend the current approved
authorization for the Airport Subway Information Display Enhancement project by $285,000 for
a total project cost not to exceed $3,287,000.
EXECUTIVE SUMMARY
On August 9, 2016, the Commission approved the Airport Subway Information Display
Enhancement project to procure and install a fully integrated digital signage system for inside
subway cars and outside in stations, capable of displaying variable messages in multiple
languages, video, and graphics for way-finding. A product was selected through a competitive
procurement and the new system has been installed and is in-use in most train cars and train
stations. Only the North Satellite and Concourse B train station display installations remain to
complete the project.
The new system is currently configured for English plus seven languages that rotate on a
continuous basis, providing critical visual and voice communications to our diverse customer
population. Current display technology enables bright, vibrant signage improving way-finding
and flexibility to incorporate service messages and changing routes.
Additional connectivity requirements, unique display fabrications, and limited work intervals
have increased costs requiring an additional $285,000 to complete the project. The budget was
transferred from the Aeronautical Allowance C800753 resulting in no net change to the
Aviation Division Capital budget.
COMMISSION AGENDA – Action Item No. 6d Page 2 of 4
Meeting Date: March 26, 2019
Template revised September 22, 2016; format updates October 19, 2016.
JUSTIFICATION
Good customer service is an important Airport strategy and clear way-finding, safety
information, and subway status have a big impact on our traveling public. With record increases
in passengers expected over the next several years, the efficient movement of passengers
through the airport becomes critical.
DETAILS
Scope of Work
This authorization will allow for the completion of connectivity and display installation in the
North Satellite and Concours B Train Stations as well as provide for additional translation
services.
Schedule
Activity
Commission Authorization for Amendment
2019 Q1
Installation Completion
2019 Q2
In-use date
2019 Q2
This Request
Total Project
Hardware/Software/Vendor Services
$20,000
$2,102,000
ICT and Aviation Maintenance Labor
$40,000
$158,000
Design
$20,000
$170,000
Construction
$205,000
$672,000
State & Local Taxes (estimated)
$0
$185,000
Total
$285,000
$3,287,000
ALTERNATIVES AND IMPLICATIONS CONSIDERED
Alternative 1 – Do not complete signage installation
Cost Implications: $150,000 Annually
Pros:
(1) Capital costs are available for other efforts.
Cons:
(1) Inconsistent wayfinding will result in negative impact to passenger experience. Less
flexibility to display customer service messaging and additional way-finding.
(2) Maintenance will need to support two systems, continuing to support an aging system
in some areas, as well as the new system in other areas.
(3) Operations will need to update multiple systems when updating key customer service
and safety messages. This will delay information and increase the risk of error.
COMMISSION AGENDA – Action Item No. 6d Page 3 of 4
Meeting Date: March 26, 2019
Template revised September 22, 2016; format updates October 19, 2016.
This is not the recommended alternative.
Alternative 2 – Authorize additional funding to complete the project.
Cost Implications: $285,000
Pros:
(1) The customer service and safety benefits of an enhanced display system with audio
integration is available in the North Satellite and Concourse B train stations.
(2) An aging display system is decommissioned reducing maintenance and operations
costs and risk of service interruption.
Cons:
(1) Additional capital funds are not available for other efforts.
This is the recommended alternative.
FINANCIAL IMPLICATIONS
Cost Estimate/Authorization Summary
Capital
Expense
Total
COST ESTIMATE
Original estimate
$2,570,000
$0
$2,570,000
Previous changes – net
$350,000
$82,000
$432,000
Current change
$285,000
0
$285,000
Revised estimate
$3,205,000
$82,000
$3,287,000
AUTHORIZATION
Previous authorizations
$2,920,000
$82,000
$3,002,000
Current request for authorization
$285,000
0
$285,000
Total authorizations, including this request
$3,205,000
$82,000
$3,287,000
Remaining amount to be authorized
$0
$0
$0
Annual Budget Status and Source of Funds
This project, CIP C800782, was included in the 2019-2023 capital budget and plan of finance as
a business plan prospective project with a total capital budget of $2,920,000. The budget
increase of $285,000 was transferred from the Aeronautical Allowance C800753 resulting in no
net change to the Aviation Division capital budget.
Financial Analysis and Summary
Project cost for analysis
$3,287,000
Business Unit (BU)
Terminal Building
Effect on business performance
(NOI after depreciation)
NOI after depreciation will increase
COMMISSION AGENDA – Action Item No. 6d Page 4 of 4
Meeting Date: March 26, 2019
Template revised September 22, 2016; format updates October 19, 2016.
IRR/NPV (if relevant)
N/A
CPE Impact
Less than $0.01 in 2019
Future Revenues and Expenses (Total cost of ownership)
Annual support costs are not expected to change as a result of the project amendment.
ATTACHMENTS TO THIS REQUEST
None
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS
July 11, 2017 – The Commission authorized a project and contract amendment in the
amount of $482,000 to support additional product features.
August 9, 2016 – The Commission authorized project funds and contract execution in the
amount of $2,570,000.