MBTA warehouse Outsourcing decision to save Millions

January 11, 2017 6:25 pm | Updated 1 year ago.

The Massachusetts Bay Transportation Authority (MBTA) board on Monday voted unanimously to outsource the T’s warehousing and parts-delivery operations to Mancon Inc., which is based in Virginia under a five-year, $28.4 million deal. According to a presentation made at the Fiscal and Management Control Board meeting, the outsourcing decision to Mancon Inc. will help MBTA to save $25.4 million in operational costs and another $38.8 million in avoided capital costs.

Acting MBTA General Manager Brian Shortsleeve said that, “This action will yield more reliable service for our riders while reducing the T’s operating costs. It also highlights the value of the benefits of the flexibility granted to us by the Legislature through the Pacheco waiver.”

The contract between the organizations approved unanimously on Monday by the FMCB board members, is expected to decrease the T mechanics time over looking for parts they need and then delivered to the repair facilities which will also help T to organize their inventory better.

Source: http://www.metro.us/boston/mbta-warehouse-outsourcing-to-save-millions/zsJqai—gXxC83P5QZWyk/

Date of Publication: Jan 10, 2017