Title
Contract Change Order with Regional Public Transportation Authority for Purchase of Fixed Route Transit Service (Ordinance S-44406)
Description
Request to authorize the City Manager, or his designee, to enter into a contract change order to Contract 143071 with the Regional Public Transportation Authority (RPTA) for transit service the City of Phoenix purchases from the agency. Further request authorization for the City Controller to disburse funds in an amount not to exceed $7,588,785.
Report
Summary
This Intergovernmental Agreement was originally approved by City Council on April 20, 2016, and commenced on July 1, 2016. A contract change order is executed each fiscal year to authorize the funding for that year's service.
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. Effective July 1, 2018, the RPTA will provide the following fixed route service for the City of Phoenix: Routes 30, 45, 56, 61, 77, 108, 140, and 156. After the end of each fiscal year, a reconciliation of the actual miles operated, gross costs, federal preventive maintenance funding credits, and the fare revenue collected will be completed. The difference between the original estimates and the actuals will be settled through a credit memo or additional billing, as applicable.
Financial Impact
The estimated number of annual fixed route miles for Fiscal Year 2018-19 is 1,397,286 at a cost of $9,427,819. The total estimated fare box revenue is $1,387,865 and the total estimated Preventive Maintenance Credit for the City of Phoenix is $451,169. The total estimated net cost to be billed by the RPTA to Phoenix is $7,588,785. Funds are available in the Transportation 2050 fund.
Department
Responsible Department
This item is submitted by Deputy City Manager Mario Paniagua and the Public Transit Department.