Caltrain Picks New Operations Company Over Low-Bidder

SAN CARLOS (CBS/AP) — Caltrain has selected a Missouri-based company to operate the commuter rail line although it did not submit the lowest bid for the job.

Caltrain’s board unanimously agreed to a five-year deal with TransitAmerica on Thursday. The company will take over operation of the rail line from Amtrak at the start of 2012.

TransitAmerica has estimated it’s contract will cost Caltrain $399 million, which was the second-lowest that Caltrain received. Veolia, another company, submitted an offer that was $24 million lower.

But Caltrain spokesman Mark Simon said the contract with TransitAmerica is subject to negotiation and could eventually come in below the lowest bid. Simon also said Caltrain was looking at more than just cost; it wanted a company that could perform the best.

(Copyright 2011 by CBS San Francisco. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed.)

Comments

Leave a Reply

Fill in your details below or click an icon to log in:

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

More From CBS San Francisco

Get The New CBS SF Bay Area Local App
Got Our Weather App?

Listen Live