HomeMy WebLinkAboutStaff Report 2503-4369CITY OF PALO ALTO
CITY COUNCIL
Special Meeting
Monday, April 07, 2025
Council Chambers & Hybrid
5:30 PM
Agenda Item
5.Approval of Partnership Agreement with Metropolitan Transportation Commission, in an
Amount Not to Exceed $94,640 to Provide Unlimited Transit Access Available Through the
Clipper BayPass Pilot Program to City of Palo Alto Employees Through December 31,
2025; CEQA Status - Not a Project.
City Council
Staff Report
From: City Manager
Report Type: CONSENT CALENDAR
Lead Department: Human Resources
Meeting Date: April 7, 2025
Report #:2503-4369
TITLE
Approval of Partnership Agreement with Metropolitan Transportation Commission, in an
Amount Not to Exceed $94,640 to Provide Unlimited Transit Access Available Through the
Clipper BayPass Pilot Program to City of Palo Alto Employees Through December 31, 2025;
CEQA Status - Not a Project.
RECOMMENDATION
Staff recommends that Council approve and authorize the City Manager or their designee to
execute Partnership Agreement (Attachment B) with Metropolitan Transportation Commission
to provide unlimited transit access available through the Clipper BayPass Pilot Program to City
of Palo Alto employees through December 31, 2025 with a total not-to-exceed $94,640.
BACKGROUND
The City supports sustainable transportation efforts to meet Palo Alto’s environmental goals
and reduce traffic. The City has provided commuter benefits for decades for its employees who
voluntarily use commute alternatives to and from work. As part of its employee benefits
package, the City of Palo Alto offers a range of commuter benefits to support a variety of
sustainable transportation options. These benefits include the Caltrain GO Pass, carpooling
($30/month), biking ($20/month), and a 25% discount on monthly vanpool, parking, and transit
costs. The Caltrain GO Pass is the most widely utilized commuter benefit, with approximately
50% of eligible employees participating in the program as of 2024. The Caltrain GO Pass
provides employees with unlimited travel on Caltrain across all zones, available every day of the
week. This benefit is accessible to employees located at City Hall, the Development Center, and
the Downtown Library. This does not include worksites less proximate to Caltrain stations, such
as the Municipal Services Center, Mitchell Park, Elwell Court, and the Rinconada complex.
Caltrain staff limited locations that could participate in the GO Pass program to ensure
equitable programs were being provided to all active Transportation Management Association
(TMA) participating companies. Expanding to other worksites beyond the current scope of the
GO Pass program was cost prohibitive.
Over the years, City staff has explored opportunities to expand the current commuter benefits
available to employees because City employees are commuting farther distances. Enhancing
commuter benefit options is expected to encourage city employees to commute rather than
drive and is also expected to enhance accessibility to the Caltrain benefit for those whose work
locations prevent them from utilizing this transit option. In addition, offering flexible benefits
such as this program supports Palo Alto’s strategy to be an employer of choice and enhance the
ability to attract top talent and retain its workforce.
ANALYSIS
In an effort to expand and enhance the accessibility of commuter benefits, the City engaged
with representatives from the Metropolitan Transportation Commission (MTC) to review their
pilot Clipper BayPass program. The Clipper BayPass provides participants with unlimited travel
on all Bay Area transit services, including bus, rail, and ferry routes such as Caltrain, BART, VTA,
MUNI, Dumbarton Express, and other transit operators. Attachment A lists all Bay Area transit
services that are part of Clipper BayPass. The Clipper BayPass program was developed by MTC
in collaboration with the Bay Area Rapid Transit District (BART) and other transit agencies
within the Clipper fare payment system.
Phase 1 of the MTC’s Clipper BayPass program launched in August 2022 and included
participants from four higher education institutions - the University of California, Berkeley (UC
Berkeley), San Francisco State University (SFSU), San Jose State University (SJSU), and Santa
Rosa Junior College (SRJC) – and at 12 MidPen affordable housing properties. Phase 2 of the
pilot BayPass launched in January 2024, which includes participants from government
organizations such Alameda Transportation Management Association and the City of Menlo
Park.
Preliminary program evaluation analyses conducted by MTC indicate that individuals with
Clipper BayPass take about 40% more transit trips than their peers with access to just a single-
agency pass. The current City of Palo Alto’s Caltrain GO Pass program is an example of single-
agency pass, where employees can only ride one type of transit, Caltrain, with their GO Pass.
Caltrain GO Pass
The Caltrain GO Pass commuter benefit has proven to be highly successful, with approximately
50% of eligible City employees utilizing the program in 2024. This benefit enables employees to
use Caltrain as their primary mode of transportation to work, helping reduce the number of
single occupancy cars commuting to downtown Palo Alto and supporting the City’s broader
sustainability goals. However, recurring feedback from employees indicates a desire to expand
the Caltrain GO Pass program to include locations beyond the three downtown sites currently
covered by the existing Caltrain agreement. This location limitation also raises equity concerns,
as employees located at City facilities outside the downtown area are unable to access this
beneficial commute solution.
Clipper BayPass
The pilot Clipper BayPass program will provide all benefited City employees to access all Bay
Area transit services that are part of Clipper BayPass, including Caltrain. By expanding the
commuter benefit to include Clipper BayPass, the City will be able to offer a variety of transit
options to all City employees regardless of their work location. The availability of various transit
options - such as BART, MUNI, VTA, and the Dumbarton Express, will provide employees who
do not reside along the Caltrain corridor, an opportunity to consider using public transportation
for their commute. The expansion to offer Clipper BayPass will encourage greater adoption of
public transit as a commuting option for all employees.
The Clipper BayPass program pilot can play a crucial role in shaping future commuter benefit
offerings for the City. By participating in this program, the City will receive quarterly aggregate
ridership data, including total ridership, types of transit used, and travel frequency. This is data
not available through the GO Pass program and can be used to refine and update the City's
commuter benefits to better align with employees' commuting patterns and needs. The City
will also be able to explore affordability options for this commuter benefit, including, but not
limited to, cost sharing.
Following a thorough review of the Clipper BayPass program, staff recommends participating in
the pilot program. This pilot initiative will expand the City’s existing commuter benefit offerings
by providing employees with access to unlimited travel across all Bay Area transit services. By
offering comprehensive transportation benefits such as Clipper BayPass, the City will also gain a
competitive edge in attracting and retaining top talent. Candidates who may have previously
been deterred by long commutes will now have the option to utilize public transit from nearly
any location in the Bay Area. Additionally, the Clipper BayPass program will enhance the
accessibility and equity of commuter benefits for employees working outside downtown sites.
FISCAL/RESOURCE IMPACT
The contract period will be from May 1, 2025 through December 31, 2025 with a total cost of
$94,640. The costs will be covered with various funding appropriated in the FY 2025 Adopted
Budget in the Human Resources Department, the City Manager Contingency, and enterprise
funds for employees who work in Public Works or Utilities. If the pilot is successful and the City
continues the contract beyond December 31, 2025, the ongoing costs are estimated to be
$150,000 annually. These ongoing costs would be incorporated into the City’s Internal Services
Benefits Fund and allocated citywide, with funding dependent on Council appropriation as part
of the annual budget process.
STAKEHOLDER ENGAGEMENT
The City’s labor groups have been notified of this proposal, and Human Resources has worked
on a broader communication plan to announce the new commuter benefit to City employees. A
transition plan has also been created to ensure the current Caltrain GO Pass users have a
successful transition to Clipper BayPass. Additional outreach will be conducted as needed as the
Clipper BayPass program evolves.
ENVIRONMENTAL REVIEW
Council action on this item is not a project as defined by CEQA because approval of this
agreement to provide a public transportation benefit for City employees is an organizational or
administrative activity that will not result in direct or indirect physical changes in the
environment. CEQA Guidelines section 15378(b)(5).
ATTACHMENTS
Attachment A: List of Transit Operators Included with Clipper BayPass
Attachment B: Partnership Agreement Between MTC and City of Palo Alto
APPROVED BY:
Sandra Blanch, Human Resources Director
Atachment A: List of Transit Operators Included with Clipper BayPass
• BART
• SFMTA (Muni)
• AC Transit
• VTA
• Caltrain
• SamTrans
• Golden Gate Transit
• Golden Gate Ferry
• San Francisco Bay Ferry
• County Connec�on
• Dumbarton Express
• FAST
• Marin Transit
• Petaluma Transit
• Santa Rosa CityBus
• SMART
• Soltrans
• Sonoma County Transit
• Tri Delta Transit
• Union City Transit
• Vacaville City Coach
• VINE
• WestCAT
• Wheels
PARTNERSHIP AGREEMENT
Between CITY OF PALO ALTO
And METROPOLITAN TRANSPORTATION COMMISSION
For CLIPPER BAYPASS PILOT PROGRAM
THIS AGREEMENT is made and entered into as of the May 1, 2025, by and between the
City of Palo Alto (herein called "Palo Alto"), and the Metropolitan Transportation Commission,
a regional transportation planning agency established pursuant to California Government Code §
66500 et seq., (herein called “MTC”) (“Agreement”), both individually referred to as a “Party”
and collectively referred to as “the Parties.”
W I T N E S S E T H
WHEREAS, MTC seeks to increase transit usage by reducing fare barriers and improving
coordination of fare policies across Bay Area transit operators; and
WHEREAS, MTC and Bay Area transit operators convened the Fare Integration Task
Force as a special committee of the Clipper Executive Board to assess methods to improve
coordination across transit fare policies; and
WHEREAS, on November 15, 2021, the Fare Integration Task Force adopted a Bay Area
Transit Fare Policy Vision Statement which called for the “deployment of an all-transit agency
institutional/employer pass demonstration pilot in 2022, with a focus on educational institutions,
affordable housing properties, and employers of various sizes, pending available
resources/technical considerations;” and
WHEREAS, MTC created the Clipper BayPass Pilot Program in 2022 under the direction
of the Fare Integration Task Force in order to deliver on the commitment to establish an
institutional/employer pass pilot; and
WHEREAS, the Clipper BayPass Pilot Program is inviting employers/institutions to
purchase the Clipper BayPass public transportation pass, which provides unlimited access to Bay
Area transit services that accept Clipper, with the exception of cable car services operated by
SFMTA; and
WHEREAS, Palo Alto is interested in providing the Clipper BayPass public
transportation pass to its eligible member employees. Eligible member employees are defined as
1) those employees to whom Palo Alto provides the Caltrain Go Pass (Pilot Group A), and 2) all
other eligible employees at defined worksite locations (Pilot Group B);
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NOW, THEREFORE, the Parties hereto agree as follows:
1. SCOPE OF WORK
MTC agrees to provide the Clipper BayPass public transportation pass, as described and
in quantities specified in Attachments A and B, to Palo Alto at the price of $20 per month per
eligible employee for Pilot Group A, and at the price of $10 per month per eligible employee for
Pilot Group B. Palo Alto shall perform the activities described in Attachments A and B.
2. TIME OF PERFORMANCE
The services described by this Agreement shall commence on or after May 1, 2025 and
terminate on December 31, 2025, unless the Agreement is extended by duly executed
amendment or earlier terminated, as hereinafter provided.
3. FUNDING AND METHOD OF PAYMENT
A. In order to participate in the Clipper BayPass program pilot, Palo Alto agrees to
pay MTC in accordance with the amounts and processes specified in Attachments A and B.
All payment shall be submitted to MTC at:
Attn: Accounting Section
Metropolitan Transportation Commission
Bay Area Metro Center
375 Beale Street, Suite 800
San Francisco, CA 94105
4. AMENDMENTS
Any changes in the activities to be performed under this Agreement shall be incorporated
in written amendments, which shall specify the changes in Attachments A and B and any
adjustments in the schedule and Payment amounts. All amendments shall be executed by the
Palo Alto Project Manager, or a designated representative and MTC Executive Director, or a
designated representative. No claim for additional compensation or extension of time shall be
recognized unless contained in a duly executed amendment.
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5. TERMINATION
Either party may terminate this Agreement due to the other party’s substantial failure to
perform as specified in this agreement upon thirty (30) days prior written notice. Either party
may terminate this Agreement without cause upon ninety (90) days prior written notice. In the
event of such termination, all Passes shall be deactivated immediately after the termination date.
If either party terminates the agreement, MTC shall either invoice or refund Palo Alto as per the
terms of termination specified in Attachments A and B.
6. RETENTION OF RECORDS
Palo Alto agrees to keep all records pertaining to the project being funded for audit
purposes in accordance with generally accepted accounting practices for a minimum of four (4)
years following the fiscal year of the last expenditure under this Agreement.
7. INDEMNIFICATION
Palo Alto shall indemnify and hold harmless MTC and its commissioners, directors,
officers, agents and employees (each an “Indemnified Party”) from any and all claims, demands,
suits, loss, damages, injury and/or liability (including any and all costs and expenses in
connection therewith), incurred by reason of breach of this Agreement by Palo Alto or by any
negligent or otherwise wrongful act or omission of Palo Alto, its officers, commissioners,
directors, employees, agents, contractors and subcontractors, or any of them, under or in
connection with this Agreement; and Palo Alto agrees at its own cost, expense and risk to defend
any and all claims, actions, suits, or other legal proceedings brought or instituted against MTC,
its commissioners, directors, officers, agents, and employees, or any of them, arising out of such
act or omission, and to pay and satisfy any resulting judgments.
8. NOTICES
Except for invoices submitted by Palo Alto pursuant to Article 3, all notices or other
communications to either party by the other shall be deemed given when made in writing and
delivered, mailed, or emailed to such party at their respective addresses as follows:
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To MTC: Attention: Thalia Leng
Metropolitan Transportation Commission
Bay Area Metro Center
375 Beale Street, Suite 800
San Francisco, CA 94105
Email: tleng@bayareametro.gov
To Palo Alto: Maria Patino
City of Palo Alto
Office of the City Clerk: City Hall, 7th Floor
250 Hamilton Avenue
Palo Alto, CA 94301
Email: maria.patino@cityofpaloalto.org
9. ASSIGNMENT
Neither party shall assign, transfer or otherwise substitute its interest or obligations in this
Agreement without the prior written consent of the other party.
10. CONFIDENTIALITY
10.1 In this Article 10, Confidentiality, the Party disclosing information shall be
referred to as the “Disclosing Party” and the Party receiving information shall be referred to as
the “Receiving Party”. As used herein, “Confidential Information” shall mean any non-public,
confidential or proprietary information disclosed by a Party in discussions between the Parties
relating to the purpose, whether disclosed orally or in written, electronic or other form or media,
and whether or not marked, designated or otherwise identified as “confidential” or “proprietary”
including, without limitation: data, notes, drafts, assessments, analyses, evaluations, and reports
related to the travel patterns, home and work locations, commute mode choices, and parking
activities of Palo Alto employees.
10.2 Exclusions.
“Confidential Information” shall not include information that: (a) is or becomes known or
available to the public, other than through a breach of an obligation hereunder by the Receiving
Party; (b) is lawfully acquired by the Receiving Party from a third party without breach of a
confidentiality restriction; (c) the Receiving Party can demonstrate by written proof was (i)
already in its possession at the time it was disclosed hereunder by the Disclosing Party or (ii) was
independently developed by the Receiving Party without use of the Disclosing Party’s
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Confidential Information; (d) has been approved for disclosure by the Disclosing Party; or (e)
has been provided by Disclosing Party pursuant to the required deliverables referenced in
Attachments A, Scope of Work.
10.3 Confidentiality Obligation.
Receiving Party will hold and maintain Disclosing Party’s Confidential Information in
confidence, exercising at least the same degree of care as Receiving Party customarily exercises
to protect its own like information, but no less than reasonable care. Without the prior written
consent of Disclosing Party, Receiving Party will not: (a) disclose any portion of the
Confidential Information to any person or entity other than its directors, officers, employees,
agents or consultants (each a “Representative”) who reasonably need access to the Confidential
Information to fulfill the purpose and is bound to protect its confidentiality including, with
respect to agents and consultants, by written agreement on terms substantially similar to this
Agreement; or (b) use Confidential Information except as reasonably required in furtherance of
the purpose. Receiving Party shall take reasonable steps to ensure compliance with this
Agreement by its Representatives, and agrees that it is responsible to Disclosing Party for any
action or failure to act by any Representative that would constitute a breach of this Agreement.
Notwithstanding the foregoing, disclosure of Confidential Information by a Receiving Party shall
not be precluded if such disclosure is required by a valid law, including the California Public
Records Act, regulation, subpoena, demand, order or other process of a court or government
entity, provided that Receiving Party provides prompt written notice to the Disclosing Party
sufficiently in advance to permit the Disclosing Party to contest the disclosure or seek an
appropriate protective order.
10.4 Remedies.
Without prejudice to the rights and remedies otherwise available to Disclosing Party,
Disclosing Party may be entitled to equitable relief by way of injunction if there is a breach or
threat of breach of any of the provisions of this Agreement by the Receiving Party. The Parties
acknowledge and agree that damages may not be an adequate remedy in the event of a breach of
this Agreement.
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11. LAWS AND REGULATIONS
Palo Alto shall comply with any and all applicable laws, statutes, ordinances, rules,
regulations, and procedural requirements of any national, state, or local government, and of any
agency of any such government, including but not limited to MTC, that relate to or in any
manner affect the performance of the Agreement, which shall include, but not be limited to
California Streets & Highways Code Section 31490 and any others relating to the handling of
private and/or personally identifiable information.
12. ENTIRE AGREEMENT: MODIFICATION
This Agreement, including any attachments, constitutes the complete agreement between
the parties and supersedes any prior written or oral communications. Palo Alto represents that in
entering into the Agreement it has not relied on any previous representations, inducements, or
understandings of any kind or nature. This Agreement may be modified or amended only by
written instrument signed by both Palo Alto and MTC. In the event of a conflict between the
terms and conditions of this Agreement and the attachments, the terms of this Agreement will
prevail.
IN WITNESS WHEREOF, this Agreement has been executed by the parties hereto as of
the day and year first written above.
METROPOLITAN TRANSPORTATION
COMMISSION
CITY OF PALO ALTO
Andrew B. Fremier, Executive Director Ed Shikada, City Manager
APPROVED AS TO FORM:
Jennifer Fine, Deputy City Attorney
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ATTACHMENT A
PROGRAM SCOPE – PILOT GROUP A
CLIPPER BAYPASS PILOT PROGRAM
Program Duration
The services provided under this contract for Palo Alto’s participation in Clipper BayPass Pilot
Program will be in force for a duration of 245 days. Options to extend services under the contract
beyond the 245 days may be discussed prior to the end of the current contract.
Clipper BayPass Capabilities
The Clipper BayPass Pilot Program utilizes the Clipper fare payment system product known as
the “Events Pass”. The Clipper BayPass Pilot Program provides individual participants with a
transit pass good for unlimited travel on all transit services operated by the Operators that accept
Clipper, except for Cable Car service operated by the SFMTA. The “Events Pass” can be
activated on any existing physical or mobile Clipper Card.
Program Payment Components
Payment for Public Transportation Services
Palo Alto agrees to pay MTC a minimum total amount of $59,520 to participate in the Clipper
BayPass Program for 245 days. This minimum total payment amount is based on a price of $20.00
per pass per month for a total of 372 passes. MTC will make available to Palo Alto one Clipper
BayPass (“Pass”) per eligible employee to whom Palo Alto provides the Caltrain Go Pass. The group
of employees to whom Palo Alto provides the Caltrain Go Pass constitutes the minimum eligible
pool (the “Pool”) for the for the duration of the present contract period. Palo Alto and MTC have
determined the minimum Pool for Pilot Group A for the duration of the present contract to be 372
employees as of December 12, 2024.
Additional Passes
Palo Alto will add eligible employees to whom Palo Alto provides the Caltrain Go Pass to the
Clipper BayPass program Pool during the agreement. Passes shall be activated and valid from May 1,
2025 (or date of issue, if later) through December 31, 2025.
Palo Alto shall pay MTC a total of $160 per Clipper BayPass for each member of the Pool from May
1, 2025 through December 31, 2025. If additional eligible Participants enter the Pool exceeding the
372 in the minimum Pool, then MTC shall issue additional Passes at the same annual price per pass
of $160 unless entry into the program occurs after July 1, 2025, in which case 50% of the annual per
Pass price (i.e., $120) shall be charged per additional Pass. There shall be no pro-rating of pricing
beyond the mid-year 50% price.
Invoicing
MTC shall invoice Palo Alto for $29,760 (i.e., 50% of the minimum total amount of $59,520) to
participate in the Clipper BayPass program upon execution of this Agreement. This payment will be
referred to as the “Initial Payment – Pilot Group A”. MTC will invoice Palo Alto for the remaining
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MTC/ Palo Alto
Clipper BayPass Partnership Agreement
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50% of the minimum total amount on July 1, 2025. By no later than January 31, 2026, MTC shall
invoice Palo Alto for any “Additional Passes” as defined herein.
Palo Alto shall remit all payments within thirty (30) days of receipt of invoice, including
invoices for additional physical Clipper Cards. All payments shall be directed to:
Attn: Accounting Section
Metropolitan Transportation Commission
Bay Area Metro Center
375 Beale Street, Suite 800
San Francisco, CA 94105
Roles and Responsibilities
MTC will be responsible for:
Providing within 30 days of the start of the program, educational and promotional materials
in a digital and physical format to help individuals understand the Clipper BayPass product.
Making every reasonable effort to provide Palo Alto, within 15 days of a request, with the
requested number of physical Clipper Cards at a cost to Palo Alto of $3.00 per card.
Providing aggregated reports of travel activity with the Clipper BayPass to Palo Alto.
Managing evaluation activities including up to four, brief (~5 minute) participant surveys to
be deployed electronically.
Palo Alto will be responsible for:
Using the Clipper Portal to ensure that the Clipper BayPass product is active on all eligible
employee Clipper Cards.
Ensuring that BayPass is removed simultaneously from all employee Clipper Cards from
which Go Pass is being removed. In other words, aligning Clipper BayPass deactivation
processes with Caltrain Go Pass deactivation processes.
Communicating to employees to promote the Clipper BayPass and educating them regarding
its use. In its communications, including the materials that MTC will provide, Palo Alto
clarifies the following program nuances to its employees:
o The Clipper BayPass cannot be used on SFMTA Cable Cars;
o The Clipper BayPass will become inactive if it is not used (i.e., tapped on Clipper
Card reader on transit or at a transit stop) within 180 days of initial activation.
o The Clipper BayPass is non-transferable, is only a valid fare when used by an eligible
Palo Alto employee.
o Ensuring that BayPass is removed from an employee’s Clipper card within three
business days after their date of separation.
o Communicating to employees that Caltrain Go Pass Terms and Conditions for use of
the pass on public transportation also apply to their use of Clipper BayPass because
BayPass is an add-on to, not a replacement for, the existing Caltrain Go Pass.
Coordinating on a regular basis with the Clipper BayPass program team via virtual meetings.
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ATTACHMENT B
PROGRAM SCOPE – PILOT GROUP B
CLIPPER BAYPASS PILOT PROGRAM
Program Duration
The services provided under this contract for Palo Alto’s participation in Clipper BayPass Pilot
Program will be in force for a duration of 245 days. Options to extend services under the contract
beyond the 245 days may be discussed prior to the end of the current contract.
Clipper BayPass Capabilities
The Clipper BayPass Pilot Program utilizes the Clipper fare payment system product known as
the “Events Pass”. The Clipper BayPass Pilot Program provides individual participants with a
transit pass good for unlimited travel on all transit services operated by the Operators that accept
Clipper, except for Cable Car service operated by the SFMTA. The “Events Pass” can be
activated on any existing physical or mobile Clipper Card.
Program Payment Components
Payment for Public Transportation Services
Palo Alto agrees to pay MTC a minimum total amount of $35,120 to participate in the Clipper
BayPass Program for 245 days. This minimum total payment amount is based on a price of $10.00
per pass per month, for a total of 439 passes. MTC will make available to Palo Alto one Clipper
BayPass (“Pass”) per eligible employee at defined worksite locations. The group of employees to at
these defined worksite locations constitutes the minimum eligible pool (the “Pool”) for the duration
of the present contract period. Palo Alto and MTC have determined the minimum Pool for Pilot
Group B for the duration of the present contract to be 439 employees as of the 12th day of
December, 2024.
Additional Passes
Palo Alto will add eligible employees to the Clipper BayPass program Pool during the agreement.
Passes shall be activated and valid from May 1, 2025 (or date of issue, if later) through December 31,
2025.
Palo Alto shall pay MTC a total of $80 per Clipper BayPass for each member of the Pool from May
1, 2025, through December 31, 2025. If additional eligible Participants enter the Pool exceeding the
439 in the minimum Pool, then MTC shall issue additional Passes at the same annual price per pass
of $90 unless entry into the program occurs after July 1, 2025, in which case 50% of the annual per
Pass price (i.e., $60) shall be charged per additional Pass. There shall be no pro-rating of pricing
beyond the mid-year 50% price.
Invoicing
MTC shall invoice Palo Alto for $17,560 (i.e., 50% of the minimum total amount of $35,120) to
participate in the Clipper BayPass program upon execution of this Agreement. This payment will be
referred to as the “Initial Payment – Pilot Group B”. MTC will invoice Palo Alto for the remaining
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50% of the minimum total amount on July 1, 2025. By no later than January 31, 2026, MTC shall
invoice Palo Alto for any “Additional Passes” as defined herein.
Palo Alto shall remit all payments within thirty (30) days of receipt of invoice, including
invoices for additional physical Clipper Cards. All payments shall be directed to:
Attn: Accounting Section
Metropolitan Transportation Commission
Bay Area Metro Center
375 Beale Street, Suite 800
San Francisco, CA 94105
Roles and Responsibilities
MTC will be responsible for:
Providing within 30 days of the start of the program, educational and promotional materials
in a digital and physical format to help individuals understand the Clipper BayPass product.
Making every reasonable effort to provide Palo Alto, within 15 days of a request, with the
requested number of physical Clipper Cards at a cost to Palo Alto of $3.00 per card.
Providing aggregated reports of travel activity with the Clipper BayPass to Palo Alto.
Managing evaluation activities including up to four, brief (~5 minute) participant surveys to
be deployed electronically.
Palo Alto will be responsible for:
Using the Clipper Portal to ensure that the Clipper BayPass product is active on all eligible
employee Clipper Cards.
Ensuring that BayPass is removed simultaneously from all employee Clipper Cards from
which Go Pass is being removed. In other words, aligning Clipper BayPass deactivation
processes with Caltrain Go Pass deactivation processes.
Communicating to employees to promote the Clipper BayPass and educating them regarding
its use. In its communications, including the materials that MTC will provide, Palo Alto
clarifies the following program nuances to its employees:
o The Clipper BayPass cannot be used on SFMTA Cable Cars;
o The Clipper BayPass will become inactive if it is not used (i.e., tapped on Clipper
Card reader on transit or at a transit stop) within 180 days of initial activation.
o The Clipper BayPass is non-transferable, is only a valid fare when used by an eligible
Palo Alto employee.
Ensuring that BayPass is removed from an employee’s Clipper card within three business
days after their date of separation.
Coordinating on a regular basis with the Clipper BayPass program team via virtual meetings.
Docusign Envelope ID: 44B67C13-A97B-4536-8164-C3E9E3E20011