Title
Enter Into Contract Change Order with Regional Public Transportation Authority for Purchase of Transit Services (Ordinance S-43499)
Description
Request to authorize the City Manager, or his designee, to enter into a change order to Contract 143071 to reflect the increase in fixed route service to the City of Phoenix for fiscal year 2016-17 and to establish a new estimated budget for fiscal year 2017-18 for the purchase of transit services from the Regional Public Transportation Authority (RPTA) for routes 30, 45, 56, 61, 77, 108, 140 and 156, which partially operate within Phoenix borders. Further request authorization for the City Controller to disburse funds in an amount not to exceed $8,033,442.
Report
Summary
This Intergovernmental Agreement was originally approved by City Council on April 20, 2016, commenced on July 1, 2016 and will continue until contract termination by either party providing sufficient notice.
Transit services are customarily purchased and sold between regional entities, where adding service or continuing an existing bus route is most economical. Phoenix also sells service to the RPTA on various routes.
As part of the T2050 Transportation Plan, Phoenix expanded bus service hours and increased weekend frequency on all bus routes within the City in October 2016 and April 2017. In October 2016, service span on Routes 30, 45, 56, 61, 77 and 108 were extended on weekdays from 4 a.m. to midnight and Saturdays and Sundays from 5 a.m. to 10 p.m. Service frequency also was increased to a minimum of every 30 minutes. In April 2017, service span was further extended on Routes 45, 61 and 77 to 4 a.m. to 2 a.m. on Fridays and 5 a.m. to 2 a.m. on Saturdays. The net cost of these service changes is an increase of $1,178,741 to the fiscal year 2016-17 contract amount.
Effective July 1, 2017, the RPTA will provide the following fixed route service for the City of Phoenix: Routes 30, 45, 56, 61, 77, 108, 140 and 156. The total estimated net cost to be billed by the RPTA to Phoenix is $6,854,701. At the end of each fiscal year, Phoenix and the RPTA will reconcile the actual miles operated, gross costs, federal preventive maintenance funding credits, and the fare revenue collected. The difference between the original estimates and the actuals will be communicated to the City through a credit memo from RPTA.
Financial Impact
Estimated gross costs will be reduced by fare revenues and federal preventive maintenance funding credits, which result in total estimated net increased cost for fiscal year 2016-17 of $1,178,741 and total estimated net costs for fiscal year 2017-18 of $6,854,701. Funds are available in the Public Transit Department operating budget in the Transportation 2050 fund.
Department
Responsible Department
This item is submitted by Deputy City Manager Mario Paniagua and the Public Transit Department.