Title
Contract Change Orders for Jurisdictional Transit Service Revenue Agreements
Description
Request to authorize the City Manager, or his designee, to enter into contract change orders with the City of Glendale (Agreement 138946), City of Scottsdale (Agreement 138962), City of Peoria (Agreement 146019) and the Regional Public Transportation Authority (RPTA) (Agreement 139285) for transit services these agencies purchase from the City of Phoenix.
Report
Summary
Transit services are customarily purchased and sold between regional entities where adding service or continuing an existing bus route is most economical. Phoenix also purchases service from the RPTA on various routes. 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 with the other agencies through a credit memo or additional billing, as applicable.
These change orders will be effective July 1, 2018 through June 30, 2019 and will establish that the City of Phoenix will provide weekday/weekend and holiday fixed route bus service for:
- City of Glendale: Routes 51, 59, 60, 67, 80, 83, 90, 138, 170, and 186.
- City of Scottsdale: Routes 29, 41, 50, 80, 154, and 170.
- City of Peoria: Route 83.
- RPTA: Routes 3, 17, 29, 41, 50, 59, 67, 70, 80, 106, and 138.
The RPTA also will disburse funds to Phoenix for Dial-A-Ride service for the City of Phoenix, Southwest Valley Region, and the Gila River Indian Community (GRIC).
Financial Impact
The other jurisdictions/agencies will pay Phoenix for the transit service not covered by farebox revenue, resulting in full cost recovery and no cost to the City of Phoenix. The new contract amounts for fiscal year 2018-19 are as follows:
City of Glendale
Gross Cost of Service: $4,801,112
Farebox Revenue: $968,687
Net Glendale Cost (Revenue to Phoenix): $3,832,425
City of Scottsdale
Gross Cost of Service: $2,176,658
Farebox Revenue: $261,808
Net Scottsdale Cost (Revenue to Phoenix): $1,914,850
City of Peoria
Gross Cost of Service: $1,379,512
Farebox Revenue: $206,927
Net Scottsdale Cost (Revenue to Phoenix): $1,172,585
RPTA
Fixed Route Bus:
Gross Cost of Service: $10,054,195
Farebox Revenue: $1,470,189
Net RPTA Cost (Revenue to Phoenix): $8,584,006
Phoenix Dial-A-Ride:
Net RPTA Cost (Revenue to Phoenix): $16,064,895
Southwest Valley & GRIC Dial-A-Ride:
Net RPTA Cost (Revenue to Phoenix): $238,967
Total RPTA Net Cost (Revenue to Phoenix): $24,887,868
Department
Responsible Department
This item is submitted by Deputy City Manager Mario Paniagua and the Public Transit Department.