HomeMy WebLinkAboutAGENDA REPORT 2023 0607 CCSA REG ITEM 10CCITY OF MOORPARK, CALIFORNIA
City Council Meeting
of June 7, 2023
ACTION APPROVED STAFF
RECOMMENDATIONS.
BY A. Hurtado.
C. Consider Amendment No. 2 to Agreement with the City of Thousand Oaks for
Moorpark Fixed Route Transit Operations; Consider Amendment No. 1 to Fixed
Route Transit Preventive Maintenance Agreement; and Consider Amendment No.
2 to Moorpark Local Dial-A-Ride Services Agreement. Staff Recommendation: 1)
Authorize the Mayor to sign Amendment No. 2 to Fixed Route Transit Operations
Agreement with the City of Thousand Oaks subject to final language approval of
the City Manager; and 2) Authorize the Mayor to sign Amendment No. 1 to the
Fixed Route Transit Preventative Maintenance Agreement subject to final
language approval by the City Manager; and 3) Authorize the Mayor to sign
Amendment No. 2 to the Moorpark Local Dial-A-Ride Agreement subject to final
language approval by the City Manager. (Staff: Michelle Woomer, Management
Analyst)
Item: 10.C.
MOORPARK CITY COUNCIL
AGENDA REPORT
TO: Honorable City Council
FROM: Michelle Woomer, Management Analyst
DATE: 06/07/2023 Regular Meeting
SUBJECT: Consider Amendment No. 2 to Agreement with the City of Thousand
Oaks for Moorpark Fixed Route Transit Operations; Consider
Amendment No. 1 to Fixed Route Transit Preventive Maintenance
Agreement; and Consider Amendment No. 2 to Moorpark Local Dial-
A-Ride Services Agreement
BACKGROUND
For more than 10 years, the City of Thousand Oaks (Thousand Oaks) has been providing
transit services to the City of Moorpark (Moorpark). Moorpark began contracting with
Thousand Oaks for fixed route (bus) transit operations, fixed route transit preventative
maintenance, and Moorpark local Dial-A-Ride (DAR) paratransit services on June 30,
2012. Thousand Oaks staff performs maintenance and fueling services for Moorpark’s
bus fleet and contracts with a third-party vendor, MV Transportation, Inc. (MV Transit) for
bus operations and Local DAR services.
Moorpark participated in a Request for Proposal (RFP) with Thousand Oaks for transit
service twice, once in 2015 and most recently in 2019. In 2019, Thousand Oaks selected
MV Transit, which has served Thousand Oaks for several years prior to 2019. On
June 25, 2019, Moorpark entered into a new agreement with Thousand Oaks to continue
providing fixed route operations, fixed route preventative maintenance and local DAR
services. The agreements provide the option to exercise two, two-year agreement
extensions with Thousand Oaks. The current agreements are set to expire June 30,
2023.
DISCUSSION
The proposed amendments to the transit agreements with Thousand Oaks would extend
their contract an additional two-years through June 30, 2025. Additionally, new hourly
MV Transit billing rates are proposed. In order to remain competitive with other local
operators and attract qualified drivers, it was necessary for MV Transit to increase wages,
Item: 10.C.
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resulting in higher hourly rates for both fixed route transit operations and local DAR
paratransit services.
Amendment No. 2 to the Fixed Route Transit Operations Agreement proposed a new MV
Transit hourly billing rate of $86.90 for year one of the contract extension (July 2, 2023 –
June 30, 2024). This proposed rate is 8.5% higher than the current hourly rate of $79.58.
Contract extension year two (July 1, 2024 – June 30, 2025) will be the year one rate plus
Consumer Price Index (CPI) adjustment of not less than three and not more than five
percent. If the CPI formula is negative, then the existing hourly rate will remain the same
for year two extension of the agreement. The Fixed Route Transit Operations Agreement
also incorporates fueling expenditures. Fueling occurs at the Thousand Oaks Municipal
Service Center and the City will continue to pay the same fueling costs as today, which
is billed at cost plus $0.20 per gallon equivalent. This amendment also includes estimated
annual management fees charged by Thousand Oaks of $56,183.36 for Fiscal Year (FY)
2023/24.
As mentioned, Thousand Oaks staff performs maintenance for Moorpark’s bus fleet.
Thousand Oaks’ proposal for bus maintenance for FY 2023/24 remain the same as in the
FY 2019/20 agreement. The Amendment No. 1 for Fixed Route Transit Preventative
Maintenance billing rate is as follows:
Labor: $95.00 per hour for labor
Parts: Cost plus 35 percent
Sub-let: Cost plus 15 percent
For all sub-let work that exceeds $2,500, Thousand Oaks must seek pre-approval from
Moorpark. Fees shall be fixed for year one of the extension (July 1, 2023 – June 30,
2024) and Thousand Oaks shall notify Moorpark at least 30 days in advance of any
changes to the schedule of fees for year two of the extension (July 1, 2024 – June 30,
2025).
Amendment No. 2 to the Moorpark Local Dial-A-Ride services Agreement also includes
a new billing rate. The new proposed MV Transit billing rate of $97.97 per revenue hour
for year one of contract extension (July 1, 2023 – June 30, 2024). This proposed rate is
an increase of 15.3% higher than the current hourly rate of $83.00. Contract extension
year two (July 1, 2024 – June 30, 2025) will be year one rate of contract extension plus
CPI adjustment of not less than three and not more than five percent. If the CPI formula
is negative, then the existing hourly rate remains the same for year two of the extension.
An annual management fee charged by Thousand Oaks to manage the Local Dial-A-Ride
program will be an estimated amount of $11,634.76.
Staff is recommending that the City Council approve Amendment No. 2 to the Fixed Route
Transit Operations Agreement; approve Amendment No. 1 to the Fixed Route Transit
Preventative Maintenance Agreement; and approve Amendment No. 2 to the Moorpark
Local Dial-A-Ride Agreement. Approval of the Amendments will extend Moorpark’s
transit agreements with Thousand Oaks for an additional two-years to June 30, 2025, as
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allowed by contract; and approve the proposed new hourly MV Transit hourly billing rates
as negotiated by Thousand Oaks.
ENVIRONMENTAL DETERMINATION
This action is exempt from the California Environmental Quality Act (CEQA) as it does
not constitute a project, as defined by Section 15378 of the State CEQA Guidelines.
Therefore, no environmental review is required.
FISCAL IMPACT
Based on the proposed $86.90 hourly rate for fixed route services and management fees
of $56,183.36, $643,000 has been budgeted for FY 2023/24 to cover expenditures. Fixed
route preventative maintenance has an estimated budget of $180,000 for FY 2023/24.
Although the hourly labor cost for fixed route maintenance charged by Thousand Oaks
has remained the same as in the FY 2019/20 agreement, the 17% increase takes into
account the higher cost of parts to repair the City’s aging bus fleet.
Fuel cost has substantially increased from previous years. The City’s fixed-route buses
use Compressed Natural Gas (CNG) for fuel and fueling occurs at the Thousand Oaks
Municipal Service Center. Based on cost of fuel and the additional $0.20 charged per
gallon by Thousand Oaks, the FY 2023/24 budget for Bus Fuel has been set at $75,000.
The FY 2023/24 Budget includes an estimate of $102,000 for local DAR services. This
budget was based on the new hourly rate of $97.97 proposed by MV Transit for local DAR
service, ridership trends and management fees of $11,634.76.
COUNCIL GOAL COMPLIANCE
This action does not support a current strategic directive.
STAFF RECOMMENDATION
1. Authorize the Mayor to sign Amendment No. 2 to Fixed Route Transit Operations
Agreement with the City of Thousand Oaks subject to final language approval of
the City Manager; and
2. Authorize the Mayor to sign Amendment No. 1 to the Fixed Route Transit
Preventative Maintenance Agreement subject to final language approval by the
City Manager; and
3. Authorize the Mayor to sign Amendment No. 2 to the Moorpark Local Dial-A-Ride
Agreement subject to final language approval by the City Manager.
Attachment 1: Amendment No. 2 to Fixed Route Transit Operations Agreement
Attachment 2: Amendment No. 1 to Fixed Route Transit Preventive Maintenance Agreement
Attachment 3: Amendment No. 2 to Moorpark Local Dial-A-Ride Services Agreement
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ATTACHMENT 1
DPW:940-25\mh\ev\Council\2023\062023\City of Moorpark Fixed Route Operations Amendment #2.docx
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Project Name: Moorpark Fixed Route Transit Operations
SECOND AMENDMENT TO
AGREEMENT FOR TRANSIT SERVICES
BETWEEN THE CITY OF THOUSAND OAKS
AND CITY OF MOORPARK
Contract 12084-2019
THIS SECOND AMENDMENT to the agreement for Transit Services
entered into between the CITY OF THOUSAND OAKS, a municipal corporation
(hereinafter referred to as "City"), and CITY OF MOORPARK (hereinafter
referred to as "Moorpark") and dated June 25, 2019, with First Amendment
approved on February 2, 2022, is made this 20th day of June 2023.
RECITALS
A. Contract 12084-2019 was intended to run concurrently with
the City’s contract for Transit Operations Services with MV
Transportation, Inc., Contract 12072-2019 (“Base Contract”).
B. Base Contract was for a four-year period ending June 30,
2023, and permits up to two, two-year extensions.
C. As allowed by contract, the City and Contractor have
mutually agreed to extend the Base Contract by two years to
June 30, 2025.
D. Increased wages and labor market forces have impacted the
local labor market and existing contract specified wages are
below current market for similar agencies and positions.
E. To remain competitive with other local operators and attract
qualified staff, Contractor needs to increase wages, at
increased cost to the Contractor, resulting in rates higher
than approved in First Amendment.
F. In addition, the parties have revised the billing method for
Management Fees and are in need of memorializing those
changes.
G. City and Moorpark wish to make the above referenced
amendments to the Contract while keeping all other terms
intact.
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AGREEMENT TO AMEND
NOW, THEREFORE, the undersigned parties to Contract agree to amend
Contract as described below:
Part 1. The City and Moorpark agree to extend contract 12084-2019 for
two years and Section 5 of the Contract is hereby amended to reflect a new
termination date of June 30, 2025.
Part 2. Exhibit B-1, Schedule of Fees, is hereby replaced with a new
Exhibit B-2, Revised Schedule of Fees, attached hereto and incorporated herein
by reference.
Part 3. All terms used in Part 1 and 2 above shall have the meanings
ascribed thereto in Contract. Except as amended in Part 1 and 2 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 Second Amendment to
Contract as of the date set forth above.
CITY OF MOORPARK CITY OF THOUSAND OAKS
Date: ________________________
By: ________________________ __________________________
Chris R. Enegren, Mayor Kevin McNamee, Mayor
ATTEST:
By: ________________________ __________________________
Ky Spangler, City Clerk Laura B. Maguire, City Clerk
APPROVED AS TO ADMINISTRATION:
By: ________________________ __________________________
Troy Brown, City Manager Andrew P. Powers, City Manager
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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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EXHIBIT B-2
SCHEDULE OF FEES
Billing shall be calculated on a revenue hour basis based on a revenue hour
calculation according to National Transportation Database definition of “revenue
hour” as exists on July 1, 2019. In addition to revenue hour expenses, fuel, and
vehicle leases (if applicable), City shall bill an annual “Management Fee” (see
below). Additionally, bonus payments of up to two percent of revenue hour
billings may be earned by contractor for exceptional service. Bonus payment
earned by contractor will be billed by City to Moorpark at the rate earned, 0.5 –
2.0 percent, on a proportional basis, as a separate line item.
Contract Extension Year One (July 1, 2023 – June 30, 2024):
$86.90 - MV billing rate per revenue hour
Contract Extension Year Two (July 1, 2024 – June 30, 2025):
Year one rate plus CPI adjustment of not less than three and not more than five
percent.
Calculation of billable hours shall be to two decimal places.
Costs for fuel and vehicles leases (if applicable) shall be at “billed” charges by
the contractor and/or the City’s Fleet Division including all usual and customary
markups paid by the transit program.
City shall bill for vehicle maintenance and repair as described in Exhibit “B-1” of
Fixed Route Maintenance Agreement (12083-2019) which shall run concurrent to
this Agreement Amendment.
City shall charge an annual Management Fee. Management Fee shall consist of
wage and benefit charges for staff management and billing, proportional shares
of Maintenance and Operations costs at the Transportation Center and Municipal
Service Center, Cost Allocation expenses, and other expenses, billed on a
proportional basis by billed hours for all transit fixed route transit programs
operated by Thousand Oaks Transit.
Billing of Management Fees will be done at fiscal year-end, as part of June
invoicing. Costs are estimated only and are subject to change. Should the
expected year-end costs exceed twenty percent of the estimate below, Moorpark
shall be notified by City as soon as reasonably practical.
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Management Fees - FY 23-24
(estimated) Rate Quantity Unit Total Cost
Transit Program Manager (1.25% FTE) $ 82.20 26 Hours $ 2,137.20
Assistant Transit Planner (1.25% FTE) $ 54.88 26 Hours $ 1,426.88
Senior Finance Customer Service Rep.
(1.25% FTE) $ 52.10 26 Hours $ 1,354.60
Maintenance & Operations (TOTC)
$155,271 11.49% - $17,840.64
Maintenance & Operations (Misc.) $ 19,876 19.29% - $ 3,834.08
Cost Allocation/Insurance (Other Bus Services) $ 43,065 68.71% - $29,589.96
Staff and Direct Costs $56,183.36
Optional Work as described in Exhibit “A” shall be charged at a mutually agreed
upon price at the time the work is requested, up to a total of $25,000 per contract
year. Optional work beyond that figure will require a formal amendment of the
Agreement’s not-to-exceed amount.
In the event Liquidated Damages are levied for failure to meet required
Performance Measures, Moorpark shall be entitled to a credit on their next
monthly invoice equal to their proportional share the Liquidated Damages levied
and collected by the City.
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ATTACHMENT 2
DPW:940-25\mh\ev\Council\2023\062023\ Moorpark Fixed Route Maintenance Amendment #1
Page 1
Project Name: Moorpark Fixed Route Transit Preventative Maintenance
FIRST AMENDMENT TO
AGREEMENT FOR TRANSIT SERVICES
BETWEEN THE CITY OF THOUSAND OAKS
AND CITY OF MOORPARK
Contract 12083-2019
THIS FIRST AMENDMENT to the agreement for Transit Services entered into
between the CITY OF THOUSAND OAKS, a municipal corporation (hereinafter
referred to as "City"), and CITY OF MOORPARK (hereinafter referred to as
"Moorpark") and dated June 25, 2019, is made this 20th day of June 2023.
RECITALS
A. Contract 12083-2019 was intended to run concurrently with
the City’s contract for Transit Operations Services with MV
Transportation, Inc., Contract 12072-2019 (“Base Contract”).
B. Base Contract was for a four-year period ending June 30,
2023, and permits up to two, two-year extensions.
C. As allowed by contract, the City and Contractor have
mutually agreed to extend the Base Contract by two years to
June 30, 2025.
D. The dates found in Exhibit B, Schedule of Fees, need to be
updated to reflect the amended term.
E. City and Moorpark wish to make the above referenced
amendments to the Contract while keeping all other terms
intact.
AGREEMENT TO AMEND
NOW, THEREFORE, the undersigned parties to Contract agree to amend
Contract as described below:
Part 1. The City and Moorpark agree to extend contract 12083-2019 for
two years and Section 5 of the Contract is hereby amended to reflect a new
termination date of June 30, 2025.
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Part 2. Exhibit B, Schedule of Fees, is hereby replaced with a new Exhibit
B-1, Revised Schedule of Fees, attached hereto and incorporated herein by
reference.
Part 3. All terms used in Part 1 and 2 above shall have the meanings
ascribed thereto in Contract. Except as amended in Part 1 and 2 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 CITY OF THOUSAND OAKS
Date: ________________________
By: ________________________ __________________________
Chris R. Enegren, Mayor Kevin McNamee, Mayor
ATTEST:
By: ________________________ __________________________
Ky Spangler, City Clerk Laura B. Maguire, City Clerk
APPROVED AS TO ADMINISTRATION:
By: ________________________ __________________________
Troy Brown, City Manager Andrew P. Powers, City Manager
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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EXHIBIT B-1
REVISED SCHEDULE OF FEES
Billing of all routine and pre-approved maintenance services shall be at the City's
usual and customary rates for like services and will be according to the following
schedule of fees:
Labor: $95.00 per hour
Parts: Cost plus 35 percent
Sub-let: Cost plus 15 percent
City shall seek pre-approval from the Moorpark Project Manager for any repair
the City deems necessary that has an estimated cost in parts or sub-let work that
exceeds $2,500.
City shall bill for fixed route operations as described in Exhibit “B-1” of Fixed
Route Operations Agreement (12084-2019) which shall run concurrent to this
Agreement Amendment.
Costs shall be fixed for year one of the extension (July 1, 2023 – June 30, 2024)
and City shall notify Moorpark at least 30 days in advance of any changes to the
schedule of fees for year two of the extension (July 1, 2024 – June 30, 2025.
Any special repair or maintenance services that fall outside normal and routine
repairs and maintenance under this Agreement, for example, the installation of
additional equipment on to the buses, will be at a price to be mutually agreed
upon in writing, up to a total of $25,000 per contract year. Optional work beyond
this figure will require a formal amendment of the Agreement’s not-to-exceed
amount.
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ATTACHMENT 3
DPW:940-25\mh\ev\Council\2023\062023\City of Moorpark Dial-A-Ride Amendment 1.docx
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Project Name: Moorpark Local Dial-a-Ride
SECOND AMENDMENT TO
AGREEMENT FOR TRANSIT SERVICES
BETWEEN THE CITY OF THOUSAND OAKS
AND CITY OF MOORPARK
Contract No. 12082-2019
THIS SECOND AMENDMENT to the agreement for Transit Services
entered into between the CITY OF THOUSAND OAKS, a municipal corporation
(hereinafter referred to as "City"), and CITY OF MOORPARK (hereinafter referred
to as "Moorpark") and dated June 25, 2019, with First Amendment approved on
February 2, 2022, is made this 20th day of June 2023.
RECITALS
A. Contract 12082-2019 was intended to run concurrently with
the City’s contract for Transit Operations Services with MV
Transportation, Inc., Contract 12072-2019 (“Base Contract”).
B. Base Contract was for a four-year period ending June 30,
2023, and permits up to two, two-year extensions.
C. As allowed by contract, the City and Contractor have mutually
agreed to extend the Base Contract by two years to June 30,
2025.
D. Increased wages and labor market forces have impacted the
local labor market and existing contract specified wages are
below current market for similar agencies and positions.
E. To remain competitive with other local operators and attract
qualified staff, Contractor needs to increase wages, at
increased cost to the Contractor, resulting in rates higher than
approved in First Amendment.
F. In addition, the parties have revised the billing method for
Management Fees and are in need of memorializing those
changes.
G. City and Moorpark wish to make the above referenced
amendments to the Contract while keeping all other terms
intact.
AGREEMENT TO AMEND
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NOW, THEREFORE, the undersigned parties to Contract agree to amend
Contract as described below:
Part 1. The City and Moorpark agree to extend contract 12082-2019 for two
years and Section 5 of the Contract is hereby amended to reflect a new termination
date of June 30, 2025.
Part 2. Exhibit B-1, Schedule of Fees, is hereby replaced with a new Exhibit
B-2, Revised Schedule of Fees, attached hereto and incorporated herein by
reference.
Part 3. All terms used in Part 1 and 2 above shall have the meanings
ascribed thereto in Contract. Except as amended in Part 1 and 2 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 Second Amendment to
Contract as of the date set forth above.
CITY OF MOORPARK CITY OF THOUSAND OAKS
Date: ________________________
By: ________________________ __________________________
Chris R. Enegren, Mayor Kevin McNamee, Mayor
ATTEST:
By: ________________________ __________________________
Ky Spangler, City Clerk Laura B. Maguire, City Clerk
APPROVED AS TO ADMINISTRATION:
By: ________________________ __________________________
Troy Brown, City Manager Andrew P. Powers, City Manager
APPROVED BY DEPARTMENT
HEAD:
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__________________________
Clifford G. Finley
Public Works Director
APPROVED AS TO FORM:
Office of the City Attorney
___________________________
Tracy Friedl
Assistant City Attorney
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EXHIBIT B-2
REVISED SCHEDULE OF FEES
Billing shall be calculated on a “per-ride” basis based on a revenue hour calculation
according to National Transportation Database definition of “revenue hour” as
exists on July 1, 2019. In addition to revenue hour expenses, City shall bill for
proportional costs of fuel, vehicle leases, vehicle maintenance. Separately, the City
shall bill an annual “Management Fee” (see below). Additionally, bonus payments
of up to two percent of revenue hour billings may be earned by contractor for
exceptional service. Bonus payment earned by contractor will be billed by City to
Moorpark at the rate earned, 0.5 – 2.0 percent, on the same proportional basis as
billing, as a separate line item.
Contract Extension Year One (July 1, 2023 – June 30, 2024):
$97.97 - MV billing rate per revenue hour
Contract Extension Year Two (July 1, 2024 – June 30, 2025):
Year one rate plus CPI adjustment of not less than three and not more than five
percent.
The number of revenue hours billed shall be determined by taking the total number
of revenue hours contractor bills for Thousand Oaks Transit (local) Dial-a-Ride
services in a month and applying a percentage of hours proportional to the
Moorpark portion of rides provided to the total number of rides provided.
Calculation of billable hours by percentage shall be to two decimal places.
Moorpark shall pay the same proportion for vehicle leases, maintenance, and fuel
as for revenue hours as a separate charge for each item.
Costs for fuel, vehicles leases, and maintenance shall be at “billed” charges by the
contractor and/or the City’s Fleet Division including all usual and customary
markups paid by the transit program.
City shall charge an annual Management Fee. Management Fee shall consist of
wage and benefit charges for staff management and billing, proportional shares of
Maintenance and Operations costs at the Transportation Center and Municipal
Service Center, Cost Allocation expenses, and Trapeze Software expenses, billed
on a proportional basis by ridership and/or billed hours for all transit programs
operated by Thousand Oaks Transit.
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Billing of Management Fees will be done at fiscal year-end, as part of June
invoicing. Costs are estimated only and are subject to change. Should the
expected year-end costs exceed twenty percent of the estimate below, Moorpark
shall be notified by City as soon as reasonably practical.
Management Fees - FY 23-24
(estimated)
Rate Quantity Unit Total Cost
Transit Program Manager (1.25% FTE) $86.67 26 Hours $ 2,253.42
Accounting Specialist (1.25% FTE) $53.60 26 Hours $ 1,393.60
Maintenance & Operations (TOTC) $155,271 0.61% - $ 947.15
Maintenance & Operations (Misc.) $ 27,040 1.66% - $ 448.86
Cost Allocation/Insurance
(Other DAR Services) $ 46,763 12.50% - $ 5,845.38
Trapeze Expenses $ 44,961 1.66% - $ 746.35
Staff and Direct Costs $11,634.76
Optional Work as described in Exhibit “A” shall be charged at a mutually agreed
upon price at the time the work is requested, up to a total of $5,000 per contract
year. Optional work beyond that figure will require a formal amendment of the
Agreement’s not-to-exceed amount.
In the event Liquidated Damages are levied for failure to meet required
Performance Measures, Moorpark shall be entitled to a credit on their next monthly
invoice equal to their proportional share the Liquidated Damages levied and
collected by the City.
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