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HomeMy WebLinkAboutAgenda Statement 1980/10/14 Item 17 .' " COUNCIL AGENDA STATEMENT Item. 17, Meeting Date 10-14-80 ITEM TITLE: Resol ution /".:/ P?, Ex tend ing ag reemen~i ~~tween Commun i ty Transit Service and the City of Chula ~a SUBMITTED BY:Development Services Administrator frJ r~ (4/5ths Vote: Yes_ Nox-) The existing agreement between Community Transit Services (CTS) and the City of Chula Vista for management and operation of a specialized transportation system (HandY trans) for elderly and handicapped persons was entered into on July 24, 1979 for a 52 week period commencing with the initiation of service. This agreement expires on November 16, 1980. The Transit Coordinator has investigated both extending the existing agreement and entering into a new agreement, perhaps with a different contractor. RECOMMENDATION: That Council extend the existing agreement wi th CTS to June 30, 1981. BOARD/COMMISSION RECOMMENDATION: Not applicable. DISCUSSION: When the Transit Coordinator and I recognized that the expiration date for this agreement was approaching, we discussed the options of recommending extension of this existing agreement or sending out a request for proposal (RFP) for a new contractor. After some deliberation, we have decided to recommend an extension of the existing agreement until June 30, 1981, a period of approximately 32 weeks. The following reasons apply: 1. The contractor has fulfilled the obligations of the contract in a very satisfactory manner. Service to the elderly and handicapped community has been provided in a responsive, sensitive manner; in addition, ridership has increased steadily since service startup. 2. We would like to establish the time period for this agreement on a fiscal year basis to correspond with the funding cycle, since funding beyond June 30, 1981 is not committed at this time. Given this objective, and the satisfactory performance of the existing contractor, it did not seem advantageous to consider changing contractors at this time. 3. CTS was asked to subm ita cost proposal fo r the, per iod November 17, 1980 to June 30, 1981. The maximum cost for the service is $138,880. Allowing for startup costs in the first year budget and the difference in the n~mber of weeks, this cost is about 19 percent higher than the previous year. A major factor is the 100 percent increase in fuel cost. Form A-113 (Rev. 11/79) ! oz9 7 Continued Agreement_____ Resolution EXHIBITS Ordinance Plat Notification List Other ENVIRONMENTAL DOCUMENT: Attached Submitted on I II I' I. ". Page 2, Item Meeting Date 10-14-80 17 Excluding the fuel escalation cost, the increase is approximately 12 percent, which appears to be reasonable considering the rate of inflation. 4. Although $138,880 is proposed as the maximum expenditure amount through June 30, 1981, the estimated cost by staff is approximately $116,000. This estimate is based on the average monthly billing from CTS over the past 6 months, plus 19 percent inflation, projected to June 3D, 1981. Sufficient funds are available, however, to cover the maximum cost. FISCAL IMPACT: Sufficient funds have been budgeted to cover the cost of this contract to June 30, 1981. WG:fpw/ ~V.~ by the City Council of Chula Vista, California Dated /~ -/t./-f-o 16797