HomeMy WebLinkAboutAGENDA REPORT 2022 0202 CCSA REG ITEM 10CCITY OF MOORPARK, CALIFORNIA
City Council Meeting
of February 2, 2022
ACTION Approved Staff Recommendation.
BY B. Garza.
C.Consider Approval of Amendment No. 1 to Intergovernmental Agreements with the
City of Thousand Oaks for Fixed Route Transit Operations and Local Dial-A-Ride
Services, Increasing Transit Rates Due to Extenuating Circumstances. Staff
Recommendation: 1) Approve Amendment No. 1 to Intergovernmental Agreement
with the City of Thousand Oaks for Fixed Route Transit Operations, recognizing
exceptional rate increases, subject to final language approval of the City Manager
and authorize the City Manager to sign the Amendment; and 2) Approve
Amendment No. 1 to Intergovernmental Agreement with the City of Thousand
Oaks for Moorpark Dial-A-Ride Services, recognizing exceptional rate increases,
subject to final language approval of the City Manager and authorize the City
Manager to sign the Amendment. (Staff: Shaun Kroes, Public Works Manager)
Item: 10.C.
MOORPARK CITY COUNCIL
AGENDA REPORT
TO: Honorable City Council
FROM: Shaun Kroes, Public Works Manager
DATE: 02/02/2022 Regular Meeting
SUBJECT: Consider Approval of Amendment No. 1 to Intergovernmental
Agreements with the City of Thousand Oaks for Fixed Route Transit
Operations and Local Dial-A-Ride Services, Increasing Transit Rates
Due to Extenuating Circumstances
BACKGROUND
The City of Moorpark (Moorpark) began contracting with the City of Thousand Oaks
(Thousand Oaks) for fixed route transit operations, fixed route preventive maintenance,
and Dial-A-Ride (DAR) paratransit services on June 30, 2012. Moorpark has participated
in a Request for Proposals (RFP) with Thousand Oaks for transit services twice; once in
2015 and most recently in 2019. In 2019, Thousand Oaks selected MV Transportation,
Inc. (MV Transit), which has served Thousand Oaks for several years prior to 2019.
The most recent fixed route operations and local DAR paratransit services agreements
(both executed June 25, 2019) included provisions for annual rate increases for MV
Transit based on the Consumer Price Index (CPI) with a maximum annual percentage
increase of 3.00%. Both Agreements also include a Management Fee that can be
increased each year, with no pre-determined percentage increase maximum. MV
Transit’s hourly rate has increased roughly 1.25% and 3.00% respectively since 2019;
however, in March 2020, the COVID-19 pandemic significantly reduced the total amount
of billable hours that MV Transit was able to provide to Thousand Oaks and its respective
partners (including Moorpark). Additionally, the significant decrease in driver availability
has necessitated MV Transit increasing its minimum hourly rates in order to attract
drivers.
DISCUSSION
Thousand Oaks has been negotiating revised rate increases with MV Transit for the past
several months and is establishing a two-pronged rate increase. Roughly, Thousand
Oaks has agreed to a 9.9% revenue hour rate increase retroactive to transit services
provided October 1, 2021 forward. The revised revenue hour rate is to increase driver
Item: 10.C.
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02/02/2022 Regular Meeting
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wages. Additionally, Thousand Oaks has agreed to a temporary rate increase with a
range of 7.5% to 10.5% for revenue hour services from January 1, 2022, through June 30,
2022, to help MV Transit cover costs not recovered through billing due to the reduced
billing hours. The temporary increase is subject to adjustment based on MV Transit’s
ability to fill two vacant management positions. MV Transit also has the ability to continue
to temporarily rate increase into fiscal year (FY) 2022/23 if billing hours remain below
contract minimum thresholds. The revenue hour rates for Moorpark are detailed in Table
1 below:
Table 1: MV Transit Revenue Hour Rates:
Service 7/1/2021 Rate 10/1/2021 Rate 1/1/2022 Rate
Moorpark Bus $65.33 $72.02 $79.58
Local DAR* $68.34 $75.11 $83.00
ECTA** $81.69 $89.78 $99.21
*Rate is charged to Thousand Oaks, which in turn distributes each participating agencies’ per-trip cost based on total revenue hour
rates charged to Thousand Oaks.
**East County Transit Alliance (ECTA) Cooperative Agreement is based on shared costs distributed among member agencies. The
Agreement does not need to be formally amended in order for the rates to become effective.
As previously mentioned, Moorpark’s Agreement for Fixed Route Operations and Local
DAR Services include language that limits the revenue hour rate of service increase to
no more than 3.00% per year. Staff is proposing amending both Agreements
(Attachments 1 and 2 respectively) that revises the Agreements to permit the proposed
rate increases due to Thousand Oaks’ negotiation with MV Transit.
FISCAL IMPACT
The FY 2021/22 Budget included an estimate of $405,000 in expenditures for fixed route
bus services (expense line 2414-430-P0011-51000). Staff estimates an increase of
$110,000 in expenditures based on the proposed rate increases. There are sufficient
funds in expense line 2414-430-P0011-51000 to encumber the expense increase.
The FY 2021/22 Budget included an estimate of $87,500 in expenditures for local DAR
services (expense line 2414-430-P0010-51000). Based on the initial FY 2021/22 revenue
hour rate and ridership trends, staff anticipated a FY 2021/22 expenditure of $35,170.
With the new proposed rates, staff estimates a revised expenditure of $75,000. There
are sufficient funds in expense line 2414-430-P0011-51000 to encumber the expense
increase.
COUNCIL GOAL COMPLIANCE
This action does not support a current strategic directive.
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STAFF RECOMMENDATION
1. Approve Amendment No. 1 to Intergovernmental Agreement with the City of
Thousand Oaks for Fixed Route Transit Operations, recognizing exceptional rate
increases, subject to final language approval of the City Manager and authorize
the City Manager to sign the Amendment; and
2. Approve Amendment No. 1 to Intergovernmental Agreement with the City of
Thousand Oaks for Moorpark Dial-A-Ride Services, recognizing exceptional rate
increases, subject to final language approval of the City Manager and authorize
the City Manager to sign the Amendment.
Attachment 1: Fixed Route Transit Operations Amendment No. 1
Attachment 2: Moorpark Dial-A-Ride Amendment No. 1
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ATTACHMENT 1
Project Name: Moorpark Fixed Route Operations
FIRST AMENDMENT TO
AGREEMENT FOR TRANSIT SERVICES
BETWEEN THE CITY OF THOUSAND OAKS
AND
CITY OF MOORPARK
Contract No. 12084-2019
THIS FIRST AMENDMENT to the Agreement for Transit Services entered into
between the CITY OF THOUSAND OAKS, a municipal corporation, (hereafter “City”) and
City of Moorpark (hereinafter referred to as “Moorpark”) entitled Moorpark Fixed Route
Operations and dated June 25, 2019, (herein “Contract”), is made this day of February
2022.
RECITALS
A. On June 25, 2019, Moorpark and City entered into Contract to have
the City provide fixed route operations for Moorpark through City’s
public transportation program.
B. City has negotiated revised service rates with the contracted transit
provider, MV Transportation, Inc. (MV Transit) and City and
Moorpark now desire to amend Contract to reflect the rate increases.
AGREEMENT TO AMEND
NOW, THEREFORE, the undersigned parties to Contract agree to amend Contract
as described below:
Part 1. Exhibit “B”, SCHEDULE OF FEES, is hereby amended to add the following
paragraph as follows:
“Notwithstanding the previous maximum CPI increase limitation of three percent
(3.00%) per year, the City shall be permitted to increase the revenue hour rate to $72.02
retroactive to October 1, 2021, based upon rate increases with MV Transit in response to
increased driver revenue hour rates. The City shall also be permitted to establish a
temporary revenue hour rate within the range of $77.42 to $79.58 retroactive to January
1, 2022, based upon rate increases with MV Transit in response to MV Transit’s request
to recover lost revenue due to reduced billing hours due to COVID-19. The temporary
revenue hour increase is intended to last through June 30, 2022; however, Thousand
Oaks may extend the rate increase into fiscal year (FY) 2022/23 if billing is still below
contract minimums. The billing rate will be adjusted downward to reflect any overall
improvements in total billing hours.”
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Part 2. All terms used in Part 1 above shall have the meanings ascribed thereto
in Contract. Except as amended in Part 1 above, all other sections, terms, obligations,
duties, clauses, and provisions of Contract as written and previously amended, shall
remain the same.
IN WITNESS WHEREOF, the parties execute this First Amendment to Contract as
of the date set forth above.
CITY OF MOORPARK
Troy Brown, City Manager
ATTEST:
Ky Spangler, City Clerk
CITY OF THOUSAND OAKS
Andrew P. Powers, City Manager
ATTEST:
Cynthia M. Rodriguez, City Clerk
APPROVED BY DEPARTMENT HEAD:
Clifford G. Finley, Public Works Director
APPROVED AS TO FORM:
Office of the City Attorney
Tracy Friedl, Assistant City Attorney
334
ATTACHMENT 2
Project Name: Moorpark Dial-a-Ride
FIRST AMENDMENT TO
AGREEMENT FOR TRANSIT SERVICES
BETWEEN THE CITY OF THOUSAND OAKS
AND
CITY OF MOORPARK
Contract No. 12082-2019
THIS FIRST AMENDMENT to the Agreement for Transit Services entered into
between the CITY OF THOUSAND OAKS, a municipal corporation, (hereafter “City”) and
City of Moorpark (hereinafter referred to as “Moorpark”) entitled Moorpark Dial-a-Ride
and dated June 25, 2019, (herein “Contract”), is made this day of February 2022.
RECITALS
A.On June 25, 2019, Moorpark and City entered into Contract to have
the City provide local dial-a-ride services to Moorpark through City’s
public transportation program.
B.The City has negotiated revised service rates with the contracted
transit provider, MV Transportation, Inc. (MV Transit) and the City
and Moorpark now desire to amend Contract to reflect the rate
increases.
AGREEMENT TO AMEND
NOW, THEREFORE, the undersigned parties to Contract agree to amend Contract
as described below:
Part 1. Exhibit “B”, SCHEDULE OF FEES, is hereby amended to add the following
paragraph as follows:
“Notwithstanding the previous maximum CPI increase limitation of three percent
(3.00%) per year, the City shall be permitted to increase the revenue hour rate to $75.11
retroactive to October 1, 2021, based upon rate increases with MV Transit in response to
increased driver revenue hour rates. The City shall also be permitted to establish a
temporary revenue hour rate within the range of $80.74 to $83.00 retroactive to January
1, 2022, based upon rate increases with MV Transit in response to MV Transit’s request
to recover lost revenue due to reduced billing hours due to COVID-19. The temporary
revenue hour increase of $83.00 is intended to last through June 30, 2022; however,
Thousand Oaks may extend the rate increase into fiscal year (FY) 2022/23 if billing is still
below contract minimums. The billing rate will be adjusted downward to reflect any overall
improvements in total billing hours.”
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Part 2. All terms used in Part 1 above shall have the meanings ascribed thereto
in Contract. Except as amended in Part 1 above, all other sections, terms, obligations,
duties, clauses and provisions of Contract as written and previously amended, shall
remain the same.
IN WITNESS WHEREOF, the parties execute this First Amendment to Contract as
of the date set forth above.
CITY OF MOORPARK
Troy Brown, City Manager
ATTEST:
Ky Spangler, City Clerk
CITY OF THOUSAND OAKS
Andrew P. Powers, City Manager
ATTEST:
Cynthia M. Rodriguez, City Clerk
APPROVED BY DEPARTMENT HEAD:
Clifford G. Finley, Public Works Director
APPROVED AS TO FORM:
Office of the City Attorney
Tracy Friedl, Assistant City Attorney
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