HomeMy WebLinkAboutStaff Report 4370
City of Palo Alto (ID # 4370)
City Council Staff Report
Report Type: Consent Calendar Meeting Date: 1/13/2014
City of Palo Alto Page 1
Summary Title: Extend the term of Rail Shuttle Bus Administration
Title: Approval of Amendment No. 21 to Contract No. S0114750 With The
Peninsula Corridor Joint Powers Board for Rail Shuttle Bus Administration to
Extend the Term for Six Months and Add $26,684 for a Total Not To Exceed
Amount of $2,930,612
From: City Manager
Lead Department: Planning and Community Environment
Recommendation
Staff recommends that Council 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 for six months through June 30, 2014
and adding $26,684 to cover the City’s Embarcadero shuttle operating costs during the period
January 1, 2014 through June 30, 2014. This will increase the cumulative contract expenditure
limit to $2,930,612
Background
In 1999, the City and JPB entered into the Rail Shuttle Bus Administration agreement for the
provision of shuttle bus services for the Palo Alto shuttle program, through the JPB Caltrain
shuttle bus program. The agreement provides that the agencies may extend the term of the
agreement upon mutual consent. There have been twenty contract extensions since the
original agreement was executed.
The original JPB agreement contained terms and conditions for two distinct services: (1) the
basic Embarcadero/Baylands Caltrain commuter peak period shuttle route, which is part of the
Caltrain commuter shuttle program and subsidized up to 75% by the JPB, and (2) expanded
shuttle routes, including the Crosstown shuttle and special school commute service, funded
exclusively by City of Palo Alto. In January 2011, the City Council approved a three year
contract with MV Transportation to provide direct service for the Crosstown shuttle and that
route was subsequently removed from the JPB program. However, City continues to contract
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with the JPB for the Embarcadero Shuttle, which is a part of the Caltrain peak hour commuter
shuttle program and is subsidized heavily by the JPB.
Discussion
The twenty-first amendment to the agreement, in letter format (Attachment A) dated
December 11, 2013, provides for continued shuttle services for the Palo Alto shuttle program
from January 1, 2014, through June 30, 2014.
In previous years, the agreement was extended to cover funding periods in calendar year
increments. However, this year JPB staff is in the process of updating the original Rail Shuttle
Bus Service Administration Agreement from 1999. The new updated agreement will be
provided to the City in the first quarter of 2014 and will be in effect from July 1, 2014 to match
fiscal year calendars.
Staff is requesting that the Council approve the attached amendment to the Rail Shuttle Bus
Administration Agreement (S0114750) to provide continuing operation of the Caltrain
Embarcadero/Baylands shuttle program for the next six months until the new agreements are
available. In January, the City plans to release a Request for Proposals (RFP) for the Palo Alto
shuttle program, primarily for the Crosstown shuttle route. The RFP will include an add
alternate element for the Embarcadero shuttle route so that the City can compare costs to
operate both shuttles directly including additional shuttle routes that are proposed as part of
the city’s growing Transportation Demand Management (TDM) Program.
The cost of the Embarcadero/Baylands commute period shuttle service for six months from
January 1, 2014 through June 30, 2014 is estimated to be $106,734. The contract amendment
with the JPB stipulates that the City reimburse the JPB a sum of $26,684, equal to 25 percent of
the cost of the peak period Embarcadero/Baylands commute shuttle. If the RFP costs for taking
over the Embarcadero shuttle route are not feasible, the City will have the option to extend the
JPB agreement again for one year increments.
Resource Impact
Funding included in the FY 2014 operating budget for the Palo Alto Shuttle program is sufficient
to cover the service and operating costs for the Embarcadero Shuttle. No additional resources
will be required at this time. The extension of this agreement with the JPB will not impact the
contract with MV Transportation that provides service for the Crosstown shuttle.
Policy Implications
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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.
Attachments:
Attachment A: Caltrain Joint Powers Board Contract Extension Letter Agreement dated
December 11, 2013 (PDF)
December II, 2013
Ms. Ruchika Aggarwal
City of Palo Alto
Transportation Planner
PO Box 10250
Palo Alto, Ca 94303
RE: EXTENSION OF BAYLANDS/EMBARCADERO SHUTTLE BUS
ADMINISTRATION AGREEMENT
Dear Ms. Aggarwal:
Peninsula Corridor Joint Powers Board ("JPB") staff is updating and standardizing the
many old and outdated Rail Shuttle Bus Service Administration Agreements, some of
which go back almost 20 years. Volhile we had the best of intentions to have the new
agreement completed by this time, some last minute changes have required a slight delay.
We are projecting the new base agreements will be complete in the first quarter of the
new calendar year, in preparation for the next fiscal year, beginning on July 1,2014.
Once complete, the new updated agreement shall replaee the existing agreement that past
letter extensions have referenced. While the update is in progress, we have decided to
provide one final six month extension of the existing agreement.
The existing Shuttle Bus Administration Agreement between the City of Palo Alto
("City") and the JPB dated March 30, 1998 ("Agreement") terminates on December 31,
2013. This Letter Agreement extends the term of the Agreement for a SIX MONTH
period from January 1,2013 through June 30, 2014 ("Extension Period") by mutual
consent, as permitted in the Agreement. All tem1S of the Agreement remain in full force
and effect, except as expressly revised herein.
The City will be required to pay the JPB $26,684 during the Extension Period,
constituting twenty-five percent (25%) ofthe $106,734 estimated cost of operating
Embarcadero Caltrain Shuttle during the Extension Period.
The Embarcadero service is currently operating at a cost per passenger of
approximately $3.83. The maximum cost per passenger benchmark is $4.00 per
passenger. The additional riders from other entities support continuation of this route.
PENINSULA CORRIDOR JOINT POWERS BOARD
1250 San Carlos Ave. -P.O. Box 3006
San Carlos, CA 94070-1306 650.508.6269
5263414.1
If the tenus of this Letter Agreement are acceptable to you, please have the Letter
Agreement executed by an individual authorized to enter into such agreements and return
a copy to:
San Mateo County Transit District
1250 San Carlos Avenue
San Carlos, CA 94070
ATTN: Bus Contracts -Shuttles
Alternatively, you may email a scan of the properly executed Letter Agreement and all
other required documentation to shuttles@samtrans.com. Please note that the JPB' s
obligation to fund the shuttle during the Extension Period is conditioned upon receipt of
this Letter Agreement no later tban January 31, 2014.
If you have questions abont the tenns of this Letter Agreement, you may contact Michael
Stevenson, Associate Operations Contract Administrator Shuttles, at
stevensonm@samtrans.com, or at (650) 508-7979.
Ashish John
Manager, Bus Contracts
Agreed to and accepted this _ day VL _~~~~_, 20 _
CITY OF PALO ALTO:
The person signing below represents and warrants that they are authorized by the City to
bind the City of Palo Alto to this Letter Agreement.
By: ___________ _
Name: ____________ _
Its: _____ ~ _______ _
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5263414.1