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Home My WebLink AboutC24081 Sunline Transit AgencyCITY OF PALM DESERT STAFF REPORT REQUEST: APPROVAL OF ACTIONS RELATED TO CONTRACT NO. C24080 WITH SUNLINE TRANSIT AUTHORITY FOR ROUTES 51 A & B, THE SHOPPER HOPPER ROUTES, AND RELATED MARKETING OF THE PROGRAM SUBMITTED BY: RUTH ANN MOORE, ECONOMIC DEVELOPMENT MANAGER CONTRACTOR: SUNLINE TRANSIT AUTHORITY 32-505 HARRY OLIVER TRAIL THOUSAND PALMS, CA 92276-3501 DATE: JULY 13, 2006 CONTENTS: CONTRACT NO. C24080 Recommendation: By Minute Motion: 1) Approve and authorize the Mayor to extend Contract No. C24080 on a month -to -month basis for six months in an amount not -to -exceed $158,000 for vehicle operation, preventative maintenance, fuel, and incidental repairs to the vehicles; 2) Authorize the Finance Director to set aside the amount of $15,800 as 10% contingency (use of contingency requires additional action) for this work; and 3) Approve the expenditure of $25,000 for the yearly brochure and tourist magazine advertising of the Shopper Hopper. Funds for the Shopper Hopper program are available from the General Fund Account No. 110-4416-414-3681. Executive Summary: With approval by the City Council, the vehicles will run the east -west route (Blue Route) including the four largest hotels in Indian Wells, and the north -south route (Red Route), which includes the Marriott hotels, COD Street Fair, and The Living Desert. The program will continue to run five days per week through October 31, 2006, and run seven days per week from November 1, 2006, through January 31, 2007. G:tRDA%Seth LongmanlStatt Reports\RAMoore\Shopper Hopper Cntrct 05.06 ext 071306.wpd Staff Report Shopper Hopper Contract July 13, 2006 Page 3 SunLine staff is currently working on adjustments to the routes, but was unable to complete the changes prior to the expiration of the current contract. Discussion: This will be the third year that includes ridership to the hotels in both Palm Desert and Indian Wells. The service has been well received by both the concierge personnel and their customers, and ridership numbers have increased over the previous seven months by 31 %. Last year's program included installation of additional fuel tanks to both vehicles and expansion of the Red Route to include Marriott Shadow Ridge Timeshares. This year's programing of the routes is under review in order to attempt to keep the routes on time while accommodating passengers' needs to get to various locations. For example, during season the entrance to the COD Street Fair is extremely congested which delays the Red Route and takes the program off its timeline. SunLine staff, COD staff, and Public Works are currently looking at alternative stops and several locations on the Blue Route to improve the program. This work will be done by the end of summer in order to make any changes to the times of the routes prior to printing of any marketing materials that staff will introduce when the routes increase from five to seven days per week on November 1, 2006. Staff will then bring a new contract back to City Council during the mid -year adjustments of the budget. A breakdown for the operation expenses are as follows: Vehicle Operation $121,322.88 $40.32/hour x 8.5 hours x 2 vehicles x 177 days Preventative Maintenance and Custodial Blue - .36 x 123.5 miles/day x 177 days 7,869.42 Red - .36 x 141.6 miles/day x 177 days 9,022.76 Fuel 46, 922.7 miles / 7mpg x $1.49 per gallon 9,987.84 Additional Maintenance for Vehicles 10,0000.00 Additional maintenance for both vehicles is estimated at $10,000 and is included in the contract extension amount. Due to the high use of the vehicles and the fact that they are no longer under warranty, additional funding is required for tires, brakes, air-conditioning, and other repairs as needed to keep the vehicles operating safely. SunLine staff must review all work with City staff prior to repairs being performed. Funding for the marketing includes advertising in magazines used by hotel guests and tourists, the redesign of the hotel rack cards depicting the new routes, and an increase in the number of rack cards produced in order to supply the concierge desks at the hotels. The amount of $25,000 is for the entire fiscal year. G:\RDA18eth Longman\,Statl ReporWRAMoore�Shopper Hopper Cntrot 05.06 ext 071306 wpd Staff Report Shopper Hopper Contract July 13, 2006 Page 3 Funds for the Shopper Hopper program are available in the General Fund Account No. 110-4416- 414.3681. Staff requests approval of the above recommendations. ,?by: n Mo6ie is Devpment Manager Approval: • l VcCarthy, AC velopment Paul GigsoA, Finance Director ;arlos L. Ort a, City Manager CITY COUNCIL TION: APPROVED DENIED RECEIVED OTHER M13ETI G DATE AYES: }� NOES : r ABSENT: ABSTAIN: fr'Sy�Q VERIFIED BY: j�� Original on File w City Clerk's Office G:iRDAtBeth LongmanZtaff ReportsWAMoor"hopper Hopper Cntret 05-06 ext 071306.wpd AGREEMENT FOR SERVICES TO OPERATE July 1, 2005 through June 30, 2006 This agreement is entered into between The City of Palm Desert (City) and SunLine Transit Agency (SunLine), for the operation of the Palm Desert Shopper Hopper, in fixed route public transit service within the City of Palm Desert. This agreement shall cover the period beginning on July 1, 2005 and ending on June 30, 2006. 1. BACKGROUND: City desires that SunLine operate the Palm Desert Shopper Hopper along fixed routes as designated by the City of Palm Desert during this time period. Vehicles are owned by the City. Vehicles shall be in revenue service according to schedules agreed to between the City and SunLine as reflected on Exhibit A. Changes to this schedule may be made by mutual agreement. (See Exhibit A attached.) The City retains the right to increase, decrease, or, with 30 days notice, to suspend or cancel the service for any period at any time. SunLine shall provide a uniformed motor coach operator to operate each vehicle for all hours of vehicle operation within the scope of this agreement. SunLine shall also provide dispatching and street supervision for all fixed route vehicle operation of the Palm Desert Shopper Hopper service. 3. MAINTENANCE: SunLine shall perform all routine preventative maintenance (PM's) on the vehicles per manufacturer's recommendations. This will be done on a regular basis and contained within Sunt_ine's regular fleet maintenance program. The regular PMI's will include labor, fluids, and filters as required. SunLine will also perform routine safety inspections every 14 days during the term of this agreement. The fees for this routine maintenance are listed in Exhibit A. All routine maintenance costs are included in this Agreement. If other than routine repairs become necessary, SunLine will meet with the City for approval of such expenses. 4. FEES AND PAYMENT a) Operation of the Shopper Hopper Service: $40.32 per vehicle hour for the cost of operating the Shopper Hopper service. Vehicle hours include revenue service, "dead head" hours, and any layover time requiring a vehicle to be in operation. (Exhibit A lists the current schedule of hours.) b) Maintenance of the vehicles: $.36 per mile, per vehicle. SunLine will perform all required Safety Inspections of the vehicles and all "PM's" (preventive maintenance servicing requirements) as required by the vehicle manufacturer. These vehicles will also be washed and have their interiors cleaned on a daily basis. All of these services will be billed on a monthly basis as a single Maintenance cost, per vehicle. (Exhibit A lists the current schedule of hours.) Fuel cost will be billed to the City. Current CNG costs are $1.49 per gasoline gallon equivalent (GGE). Any increase or decrease will be passed along to the City. c) Insurance/Indemnity: SunLine will provide Workman's Compensation coverage for its employees in the performance of this agreement. The City owns the vehicles and will provide customary property damage insurance coverage as it sees fit. SunLine shall not be liable for damage to vehicles arising out of the performance of this agreement. SunLine shall indemnify and hold harmless the City from all third -party claims arising out of its performance of this agreement. Accordingly, a Certificate of Liability Coverage naming the City shall be issued with liability limits of $1,000,000 and a $0 (zero) limit for Self -Insured Retention. d) Payments: SunLine shall invoice City by the 15th of each month for the preceding month's fees. Terms of the invoices shall be net 30. 5. OTHER SunLine shall publish and distribute the route schedules and route maps in rider materials furnished to the public. SunLine staff is available to assist the City in efforts to promote ridership. 11 C. Mikel Oglesby, Date: Manager `Attest: i Dennis Gilman, Clerk of the Board h:u\s\contracts\PdshU e10.doc Buford Crites, Mayor 'X Date: : y/ r Attest: Rachelle D. Klassen, City Clerk Approved a form: Dav,91E- City Attorney Blue Route Vehicle Jul. 1st through Oct. 31st Wed. — Sun., plus July 0, Labor Day Nov. 1st through May 31 st — Daily, excluding Thanksgiving and Christmas Jun. 1st through Jun. 30thWed.-Sun. $40.32 x 8.5 hours x 321 days $110,013.12 Red Route Vehicle Oct. 9 through Oct. 31st on Wed. — Sun. Nov. 1st through May 31st— Daily, excluding Thanksgiving and Christmas Jun. 1st through Jun. 30thWed.-Sun. $40.32 x 8.5 hours x 249 days Blue Route Vehicle .36 x 123.5 miles per day x 321 days Red Route Vehicle .36 x 141.6 miles per day x 175 weekdays .36 x 118.6 miles per day x 74 weekend days Fuel costs 73,200 miles / 7 mpg x 1.49 per gallon $ 85,337.28 t t � $ 14,271.66 $ 12,080.31 $ 15,581.15 *Fuel cost of $1.49 per GGE is current cost, but could change. If fuel cost changes, SunLine will bill actual cost (either increases or decreased) as they occur. cauva%m am--ipunngw Qgmotwfl-m®aummy State of California Il ul County of WAA)011V6 Ir On 1�1 Z3-0(n before me, %f Date ` personally appeared a ELVIA SANDOVAL Commission it 1374828 ..d Notary Public - California San Diego County ff My Comm. ExpiresSep 15, WI NESS my hand and official se Place Notary Seal Above Signature of Notary Public Namo and l �Oa of Officer (e.d.,'Jane Doe, Notary Public") irsbl� Na a(s)aF Signer(s) ❑ personally known to me -2'proved to me on the basis of satisfactory evidence to be the person�s�whase name� is#are subscribed to the within instrument and acknowledged to me that he/siaekheq executed the same in his/tirer/3kieir authorized capacity( and that by his/her4Wr- signature(� on the instrument the personA, or the entity upon behalf of which the person(s`j acted, executed the instrument. OPTIONAL Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document. Description of Attached Document ( {{� g� __ pp Title or Type of Document: �t ril p VUS� 4,y . ,,V1) w 4v oarak YJ ai'b2neft Document Date: .1 "-� 3' �P Number of Pages: `7 Signer(s) Other Than Named Above: ;r,l Capacity(ies) Claimed by Signer ti! Signer's Name: ❑ Individual Top of thumb here ❑ Corporate Officer —Title(s): ;a ❑ Partner —❑ Limited ❑ General li; ❑ Attorney in Fact .n '1 ❑ Trustee ❑ Guardian or Conservator Other: n ,rl❑ illI: Signer Is Representing: d i -` 01997 National Notary AvoaatJon • 9350 De Solo Ave., P.O. Box 2402 • Chatsworth, CA 91313-2402 Prod. No. 5907 Reorder. Call Toll -Free 1-8o0-876-6827