Title
Enter Into Agreement with City of Tempe for Purchase of Transit Fare Media (Ordinance S-43859)
Description
Request to authorize the City Manager, or his designee, to enter into an intergovernmental agreement (IGA) with the City of Tempe for the purchase of transit fare media.
Report
Summary
The Public Transit Department purchases fare media from a third party and distributes it to, among others, transit partners for the regional transit system. Bus and light rail passes are sold at transit ticket vending machines and retail locations as well as bus fareboxes and light rail stations. This IGA is for the purchase of fare media from the City of Phoenix by the City of Tempe, which the City of Tempe sells to the public.
Contract Term
The 10-year contract term shall begin on Nov. 15, 2017 and expire on Nov. 14, 2027.
Financial Impact
During the period of this agreement, the City of Tempe will pay the City of Phoenix the face value of the fare media less a discount equal to the discount provided to other retail outlets. There is no cost to the City of Phoenix.
Department
Responsible Department
This item is submitted by Deputy City Manager Mario Paniagua and the Public Transit Department.