Title
Contract Change Order with Regional Public Transportation Authority for Purchase of Fixed Route Transit Service for Fiscal Year 2020-21
Description
This report requests the Transportation, Infrastructure and Innovation Subcommittee recommend City Council approval to enter into a contract change order (Contract 143071) with the Regional Public Transportation Authority (RPTA) for the purchase of RPTA's bus transit services reflecting this fiscal year's updated projected revenue miles in an amount not to exceed $5,233,911.
THIS ITEM IS FOR CONSENT ACTION.
Report
Summary
Transit services are customarily purchased and sold between regional entities where adding service or continuing an existing bus route is most economical. Each fiscal year, Phoenix determines the level of service to be operated within its boundaries and executes a contract change order with the RPTA to authorize funding for that year’s service. In Fiscal Year 2020-21, RPTA will provide the following fixed route service for Phoenix: Routes 30 (University Drive), 45 (Broadway Road), 56 (Priest Drive), 61 (Southern Avenue), 77 (Baseline Road), 108 (Elliot Road/48th Street), 140 (Ray Road), and 156 (Chandler Boulevard).
Phoenix also sells service to RPTA on various routes and at the end of each fiscal year; Phoenix and RPTA assess the actual miles operated, gross costs incurred, federal funding credited (for preventative maintenance), and fare revenue collected. Phoenix and RPTA then reconcile the difference between the original estimates and actual costs through a credit memo or billing, as applicable.
Previous Concurrence
Contract 143071 was originally approved by City Council on April 20, 2016, commenced on July 1, 2016 and continues through June 2036.
Financial Impact
The estimated number of annual fixed route miles for Fiscal Year 2020-21 is 1,407,671 miles at a cost of $9,838,750. The total estimated farebox revenue is $291,338 and the total estimated preventive maintenance credit is $449,800. In addition, Phoenix is estimated to receive $3,863,701 CARES Act credit for services RPTA provides for Phoenix. The total estimated net cost for RPTA's billing to Phoenix is $5,233,911. 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.