HomeMy WebLinkAboutStaff Report 345-06TO:
City of PalI A
City Manager’s Reol
HONORABLE CITY COUNCIL
FROM:CITY MANAGER DEPARTMENT: PLANNING AND
COMMUNITY ENVIRONMENT
DATE:SEPTEMBER 11, 2006 CMR:345:06
SUBJECT:PALO ALTO SHUTTLE PROGRAM APPROVAL OF CONTRACT
EXTENSION NO. 11 AND INCREASE IN THE EXPENDITURE LIMIT OF
THE RAIL SHUTTLE BUS SERVICE ADMINISTRATION AGREEMENT
WITH THE PENINSULA CORRIDOR JOINT POWERS BOARD
RECOMMENDATION
Staff recommends that Council:
1)
2)
Authorize the City Manager to execute the attached amendment to the Rail Shuttle Bus
Administration Agreement with the Peninsula Corridor Joint Powers Board (JPB), extending the
term of the agreement through June 30, 2007.
Approve an increase of $374,200 in the expenditure limit of the existing Rail Shuttle Bus
Agreement (S0114750) with the JPB to cover the City’s shuttle program operating costs during
the period July 1, 2006 through June 30, 2007.
BACKGROUND
In 1999, the City and JPB entered into the Rail Shuttle Bus Service Administration agre.ement for
the provision of shuttle bus services in Palo Alto, as part of the JPB shuttle bus program. The
agreement provides that the agencies may extend the term of the agreement upon mutual consent.
There have been nine contract extensions since the original agreement was executed.
DISCUSSION
The tenth amendment to the agreement, in letter format (Attachment A) dated 6/22/06, provides for
continued shuttle services for the Palo Alto shuttle program from July 1, 2006 through June 30,
2007. Due to the late receipt of this letter agreement, staff was not able to put this item on the
agenda for Council approval prior to the beginning of the fiscal year. The JPB has continued to
provide uninterrupted shuttle service during the interim until the contract extension is approved by
the City Council.
The contract with the JPB stipulates that the City reimburse the JPB for 25 percent of the cost of the
peak period for the Embarcadero shuttles and 100 percent for the remainder of the
shuttle program contract costs, including the full local funding of the Crosstown shuttle costs. The
City’s total contract expense to continue the current shuttle program service level for the twelve-
month period is estimated to be $374,200. In order to cover the additional contract expense through
CMR:345:06 Page 1 of 2
June 30, 2007, staff is requesting that the Council approve an increase of $374,200 in the contract
expenditure limit for the contract with the Caltrain Joint Powers Board.
This General Fund expense will be reduced by approximately $40,000, the Palo Alto Unified
School District’s share of the cost of shuttle extension to Gunn High School for the fiscal year. In
addition, the Council has authorized staff to initiate a shuttle donation campaign targeted at the
users and beneficiaries of the shuttle service to raise private contributions to offset a small portion
of the shuttle operating cost. Due to reduced staff resources in the Transportation section last year,
this campaign was not initiated in 2005/2006.
RESOURCE IMPACT
Funding included in the 2006-2007 operating budget for the Palo Alto Shuttle is sufficient to cover
costs. No additional resources will be required at this time. The extension of this agreement, with
the JPB, will not prevent staff from implementing additional shuttle operational efficiency
improvements during the course of the year as needed.
POLICY IMPLICATIONS
This request is consistent with existing Council direction to continue and expand the Palo Alto
shuttle project.
ENVIRONMENTAL REVIEW
On August 2, 1999, the City Council approved a Negative Declaration finding the shuttle project
would not result in any significant environmental impact.
PREPARED BY:
GAYLE LIKENS
Transportation Manager
DEPARTMENT APPROVAL:
~TEVE EMSLIE
Director of Planning and
Community Environment
CITY MANAGER APPROVAL:
EMILY gON
Assistant City Manager
ATTACHMENTS
A. Caltrain Joint Powers Board Contract Extension Letter Agreement dated 6/22/06.
CMR:345:06 Page 2 of 2
June 22,2006
Oail Likens
City of Palo Alto
Transportation Planner
PO Box 10250.
Pato Alto, Ca 94303
ATTACHMENT A
EXTENSION OF BAYLANDS/EMBARCADERO SHUTTLE BUS
ADMINISTRATION AGREEMENT
BOARD OF DIRECTORS 2006
KEN YEAGER, OHAIR
JOs~ {~ISNEROS, VICE CHAIR
NATHANIEL FORD
DON GAGE
JIM HARTN E’P’i"
JERRY HILL
ARTHUR L. LLOYD
JOHN MCLEMORE
SOPHIE MA~k’~NE LL
MICHAEL dJ SCANLON
EXECUTIVE DIRECTOR
Dear Ms.. Likens:
The existing Shuttle Bus Administration Agreement between the City of Palo Alto and
the Peninsula Corridor Joint Powers Board ("JPB")dated March 30, 1998 ("Agreement")
terminates on June 30, 2006. This Letter Agreement extends the term of the Agreement
for a one year period only from July 1, 2006 through June 30, 2007 (’.’Extension Period")
by mutual consent, as permitted in the Agreement.
You will be required to pay the JPB $42,265 during the Extension Period, constituting
twenty-five percent (25%) of the $169,060 estimated cost of operating the
Baylands/Embarcadero Caltrain Shuttle during the Extension Period. Paymgnts for your
midday program will continue to be billed directly to Palo Alto as. before.
The Agreement, when extended, will remain in effect during the. Extension Period in all
respects except as expressly revised in this letter.
If the terms of this Letter Agreement are acceptable to you, please sign below, keep a
copy of this letter for your files, and return the original, letter to me. The JPB’s obligation
to fund the shuttle during the Extension Period is conditioned upon our receipt of this
Letter Agreement no later than August 30, 2006.
PENINSULA CORRIDOR JOINT POWERS BOARD
1250 San Carlos Ave. - P.O. Box 3006
If you have questions about what these changes mean to your program, you can contact
me at leep@samtrans.com, or at (650) 508-6433.
Sincerely,
Paul Lee
Manager, Bus Contracts
Agreed to and accepted this __
City of Palo Alto
day of
By:
,2006.
Name: