HomeMy WebLinkAboutAGENDA REPORT 2005 0615 CC REG ITEM 10ETO:
FROM:
DATE:
MOORPARK CITY COUNCIL
AGENDA REPORT
The Honorable City Council
John Brand, Senior Management
ITEM 10• E.
CITY OF MOORPARK, CALIFORNIA
City Council Meeting
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ACTION: ZAA ✓Ar iv
Analyst
June 9, 2005 (CC meeting of June 15, 2005)
SUBJECT: Consider a One -Year Extension to the Current
Agreement with CUSA, LLC Dba Antelope Valley Bus to
Provide Operations and Maintenance Services for
Moorpark City Transit and Approve Modifications to
Separate Operations and Preventative Maintenance
Contracts
BACKGROUND
In 2002, the City solicited proposals to maintain and operate the
Moorpark City Transit fleet and fixed route bus service. CUSA, LLC,
doing business as Antelope Valley Bus (CUSA) was the successful
proposer. In accordance with Federal Transit Administration (FTA)
regulations, the Agreement between the City and CUSA was for a
three -year term with options for two one -year extensions. The
current three -year initial term of the Agreement expires July 31,
2005. If approved, the City would extend the Agreement with CUSA for
one year. Sufficient funds were included in the FY 2005 -2006 Transit
budget request to pay for the extension of the Agreement.
DISCUSSION
The current Agreement covers all services provided by CUSA. Staff
recommends in addition to the one -year extension that two separate
Agreements: one for operating costs, and the second for preventative
maintenance be approved. This would facilitate using the separate
funding mechanisms that are available to support Moorpark City
Transit. State Transportation Development Act (TDA) funding has
traditionally been used by the City to pay for Moorpark City
Transit. However, federal FTA Urbanized Area (UZA) funding is
available for preventative maintenance expenses. To facilitate the
use of UZA funding for preventative maintenance staff proposes two
agreements, one using state TDA funding for operations, and a second
a
CUSA Bus Contract Renewal
CC Meeting of June 15, 2005
Page 2
using federal funding for maintenance.
Under the City contract, CUSA is paid by the service hour. The
City's system consists of two routes. Each route operates eleven
hours per day, five days per week. Service hours only include the
time the buses are actually operating on a bus route and available
for passengers. Travel time to and from the CUSA yard in Oxnard and
employee break time is not paid. The current cost of services is
$41.61 per service hour, or approximately $238,000 for the current
year.
CUSA and staff negotiated a modest increase for the next year. It is
proposed that the total cost include a 6.5% increase to $44.37 per
service hour. The Los Angeles CPI (less energy) from April 2004 -
April 2005 was 4.20. The national Producer Price Index for #2 diesel
fuel increased by 46% in the same annual period. When the Agreement
began in 2002, #2 diesel fuel cost about $0.65 per gallon. Now it is
about $2.50 per gallon on the open market. The $44.37 hourly rate
would cost the City approximately $254,000 for FY 2005 -2006. As
indicated, this is within the proposed budget for the year. The
total increase would be amended to split the existing Agreement into
the two separate Agreements (operations and preventative
maintenance) as discussed previously.
STAFF RECOMMENDATION
Approve a one -year extension with CUSA, and approve separate
Agreements for operations and for preventative maintenance, subject
to final language approval by the City Manager and the City
Attorney, and authorize the Mayor to sign the Agreements.
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