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HomeMy WebLinkAboutResolution - 1149 - Agreement - TMC, & TTU - Campus Bus Service - 07_22_1982j SO- DGV:cl uFcnT TTTTnM R RESOLUTION 1149 - 7/22/82 j BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK: THAT the Mayor of the City of Lubbock BE and is hereby authorized and directed to execute for and on behalf of the City of Lubbock an Agreement between Transit Management Company of Lubbock, The Board of Regents of Texas Tech University at Lubbock, Texas, and the City of Lubbock, Texas, for bus service on the campus of Texas Tech University, a copy of which is attached herewith which shall be spread upon the minutes of the Council and as spread upon the minutes of this Council shall constitute and be a part of this Res- olution as if fully copied herein in detail. Passed by the City Council this 22nd day of July 1982. BILL MCAL STER, MAYOR ATTEST: Evelyn Gaff ga, 'City S4'cr"r_Treasurer APPROVED AS TO CONTE (/ John L. Wilson, Transit Coordinator APPROVED AS TO FORM: d G. Vandiver, First Asst. City Attorney RESOLUTION 1149 - 7/22/82 . rITY SECRETARY -TREASURER Contract # 390 Account # 12-8016-200000 AGREEMENT 22nd July This Agreement, made and entered into this iB&dx day. of JK=, 1982, by and between TRANSIT MANAGEMENT COMPANY OF LUBBOCK (hereinafter referred to as the "Company"), TEXAS .TECH UNIVERSITY at Lubbock, Texas (hereinafter referred to as the "University"), and the CITY OF LUBBOCK, TEXAS, a Home Rule Municipal Corporation (hereinafter referred to as "City"). W I T N E S S E T H: WHEREAS, the parties hereto are aware of the traffic and parking problems on the campus of the University as it relates to the expanding campus and the increasing number of students, staff, and faculty of the University; and WHEREAS, the above named parties are desirous of relieving some of the traffic congestion and expediting transit between areas in and immediately adjacent to said University campus; and WHEREAS, Company and City have entered into a management agreement dated August 23, 1979, in which City is obligated to provide certain insurance covering the operation of the public transportation services in and around the City of Lubbock including the services provided under this Agreement; and WHEREAS, this Agreement embodies the intention and resolution of the above named parties: NOW, THEREFORE WITNESSETH THIS AGREEMENT: I_ Term It is agreed and understood by and between the parties hereto that a Uni- . versity bus service utilizing approximately eight (8) buses will be provided by Company during the period beginning with September 1, 1982, and terminating on August 31, 1983, provided, however, that either Company or University may terminate said bus service upon thirty (30) days wiitten notice delivered to the other by registered mail. II. Bus Operations With respect to bus operations, Company and University agree that the following conditions shall apply: A. Company will furnish buses having a seating capacity (Manufacture rated) of not less than 33 with driver operated front and side doors. It is agreed that certain seats may be removed from said buses to facilitate the ingress and egress necessary to accommodate the high volume of passenger turnover; except that all buses will provide seats for not less than 26 passengers. The Company will provide the necessary personnel to service the route or routes designated by the University during the period specified in the preceding Paragraph I of this Agreement. The number of buses and the operating periods will be subject to continuous review, and the University will advise Company with regard to its needs and with respect to any changes in the number of buses and/or operating periods; subject to equipment availability, said changes shall be instituted by Company within five (5) days after receipt of written notice from University. Initial service commencing on September 1, 1982, shall be on a schedule provided by the University prior to that date. B. In the event that it develops during any portion of the period first specified in Paragraph I hereinabove, that a change in or extension of a route, removal of a route, or addition of a new route is neces- sary or desirable, Company shall make such changes or extensions of a route or routes, shall remove a route, or shall add a new route upon University's request. The charges to be made by Company, therefore, shall be upon the basis, and shall be subject to the conditions and limitations, as are set forth in Subparagraph E of this Paragraph hereinbelow. Also, in the event it develops during said period that an additional bus or buses are required in order to meet the demand for said bus service during any operating period or periods, Company, if it is able to provide same, at the University's written request, shall provide such additional bus or buses for said service during said operating period or periods upon the same basis, as is set forth hereinabove. University shall have the right to. terminate any such changes, extensions, or new routes upon five (5) days written notice to the Company. C. Buses shall stop to receive or discharge the passengers entitled to use, and using, bus service at such points as shall be agreed upon from time to time during said period, between Company and University, and University will identify the points at which stops will be made by said buses. Acceptable markers will be provided by the Company. D. Company will exercise due diligence to adhere to the time schedules hereinabove referred to, but minor deviations therefrom due to vari- ations in traffic, weather or load conditions shall not be deemed to be a default hereunder. E. Company shall not collect fares from its passengers, but shall charge University for providing said bus service the sum of twenty- two and 90/100 Dollars ($22.90) per hour base rate for each bus used in said service, which charge shall be adjusted each month to reflect any change above or below the monthly average of the actual price paid per gallon of fuel in that month by Company and a base figure of $1.05 per gallon. The adjustment shall be based on fuel consumption of 2.5 gallons per hour of operation per vehicle and shall be accomplished according to the following formula: Adjusted Hourly Rate per Vehicle =Base Rate + 2.5 x Fuel Cost Above $1.05 per gallon. Or Adjusted Hourly Rate per Vehicle = Base Rate - 2.5 x Fuel Cost Below $1.05 per gallon. Company shall submit an invoice at the end of each month showing the amount due for service provided. Contemporaneously therewith, Company will present University with a billing at the close of operations on the last day of each month. Such bill to be paid as promptly as possible in the usual course of University business. The Company will provide income and expense statements at the end of contract period. Supplemental Bus Service In addition to the scheduled bus service over specified routes as provided for in Paragraph II hereinabove, Company shall furnish such other supplemental ser- vice, if equipment is available, for the transportation of such special groups as may be designated by University. Such supplemental service shall be fur- nished by Company at any time during the hours from 7:00 a.m. to 11:30 p.m., upon receipt of three (3) days' written notice from University. Company will charge University for providing said supplemental service the sum specified in Subparagraph E of Paragraph II hereinabove, for each bus used in said ser- vice. Billing periods and reports of Subparagraph E of Paragraph II herein - above, and subject to Paragraph II, Subparagraphs A and B. IV.. Publicity University will undertake and conduct a program designed to publicize the existence of said bus service and to acquaint its staff members and students with the availability of the same during the period in which it is provided in accordance with and under the Agreement. The Company will provide appro- priate time tables for convenience of students. V. Service Provided Company will provide and use at all times, buses that are in good and safe mechanical condition, and are also in reasonably clean conditions, and will also provide competent and duly licensed drivers by whom said buses shall be driven, and Company will assume full and complete responsibility for the con- ditiofi of said buses and the qualifications and competence of their drivers, at all times, and University assumes no obligations whatsoever for either of the same. 1" Independent Contractor Relationship In providing and furnishing said bus service during the term hereof, Company shall act solely in the capacity of and as an independent contractor, and not as an agent or employee of University, and University shall have no control over Company's operations in connection with providing said service except as hereinabove provided and University shall have no control or supervision whatever over the drivers of the buses used in said service who shall be employed by Company. Said drivers shall constitute Company's employees only, shall not constitute agents or employees of University, and shall be subject solely to Company's supervision and control. VII. Insurance and Risk A. It is recognized by the parties hereto that Company and the City of Lubbock, Texas, have entered into an agreement for the purpose of Company providing transportation services in and around the City of Lubbock, including to the University. That under said agreement the City carries and keeps in force an insurance policy insuring both City and Company against liability for personal injury or property damages arising out of the operation of said bus services and that the services provided herein are also conducted pursuant to the Agreement between the City of Lubbock and Company. At all times during which Company shall provide the bus services mentioned here- in and upon the above and foregoing terms and conditions, University shall be protected under City's insurance coverage against liability and personal injuries or personal damages arising out of the opera- tions of said bus service to the extent of at least $100,000 for personal injury to any one person, $300,000 for each occurrence, and $50,000 for property damages sustained in any accident or occurrence arising out of the operation of said bus service and the University shall be furnished a certificate of City's insurer showing coverage to be at least in the sums just stated. Said insurance policy shall name and include "The Board of Regents of Texas Tech University" as names insured. Said policy or policies shall, upon request, be subject to the examination and approval of University. B. Company, as a named insured under City's insurance coverage, assumes to the extent of the insurance coverage maintained by the City, the risk of and University shall not be liable for damage to any and all buses or other Company property used in the bus service operation regardless of the cause thereof. To the extent of the proceeds of such insurance, the University shall be reimbursed for any damage or injury to University property arising out of or resulting from the said bus service operation except that no such reimbursement shall be made for (1) damage to pavement by normal operation of buses, or (2) any damage or injury caused by acts or omissions over which Company, its employees, or agents had no control. Maintenance Company agrees to maintain and operate said bus service and the buses used in providing the same in a safe, efficient and lawful manner and, in so doing, shall comply with all applieable statutes, municipal ordinances, and traffic rules and regulations promulgated by the University. IX. Miscellaneous A. It is further agreed that this Agreement is made solely for the. benefit of University and Company, that it is not made for the benefit of any third person, whether a staff member or student of University, or otherwise, and that no action or defense may be founded upon this Agreement except by the parties signatory hereto. B. In no event shall the Company be deemed to be in default of any provision of this Agreement for failure to perform where such failure is due solely to strikes, walkouts, civil insurrections or disorders, acts of God, or for any other cause or causes wholly beyond the control of the Company. In such eventuality, the Uni- versity shall have the right to procure appropriate transportation service from others during the period. If, for any reason beyond the control of the University, including but not limited to epi- demics, student strikes or disorders, or severe weather conditions, the University may, upon twelve (12) hours notice to the Company, request the temporary suspension of bus service until the resumption of normal class schedules, in which event the Company will not fur- nish buses or be paid for services until the resumption of service. The University shall, in such cases, notify the Company twelve (12) hours in advance of the time service is to be resumed. IN WITNESS WHEREOF, the parties hereto have caused the Agreement to be exe- cuted in their respective names and behalf by their duly authorized officers and agents and their respective seals to be hereunto affixed, all as of the 24th day of June, A.D., 1982. TEXAS TECH UNIVERSITY 74 • ijo Dr. Lauro Cavazos, Presidelft and Chief Executive Officer ATTEST: -EVelyn Gafirgi, City Secretary -Treasurer TRANSIT MANAGEMENT COMPANY OF LUBBOCK &4," �_ _�W� wigh ddox, Vice Presid6nt ACKNOWLEDGED AND AGREED TO only in as far as set out in Section VII A and B: CITY OF LUBBO w BI Mc ISTER, MAYOR APPROVED AS TO CONTENT: John L. Wilson, Transit Coordinator APPROVED AS TO FORM: o G. Vandiver, Assistant City Attorney COMPARISON OF TRANSIT OPERATING CONTRACT WITH TEXAS TECH Operating Expenses Administrative Costs Indirect Costs Depreciation --Buses (1) Depreciation --Other Equipment (2) Building Use Charge (3) TOTAL System Hours of Operation Cost Per Hour Excludes Depreciation $214,998 $214,998 9,033 874 $214,998 10,601 $224,905 20.28 $ Includes Dear.eciation $214,998 $214,998 9,033 9,033 874 874 15,320 15,320 3,571 3,571 2,3o8 $243,796 $246,1o4 10,601 10,601 10,601 21.21 $ 22.99 $ 23.21 1) Depreciation of the 8 buses used by Texas Tech 45% of the time. Total cost was $1,012,816 with $400,000 salvage value ($50,000 per bus) to be depreciated over an 18-year life. 2) Other equipment includes 3 support vehicles, 1 maintenance vehicle, radio spare bus components, office equipment and furniture, shop tools and equipment, and washing and cleaning equipment. Total depreciation for these items during Fiscal Year 1982-83 would be $35,016. Texas Tech's share of this depreciation would be 10.2%, based on the system usage. 3) The building use charge is 2% of the total cost of the transit building ($1,131,513) x Texas Tech's l'O.2% system usage. CITIBUS OPERATING EXPENSES FY 1982-83 BUDGET TOTAL SYSTEM * TECH % OF TOTAL City Personnel $ 100,474 (47,516) (a) $ 5,402 10.2% City Supplies 7,900 806 10.2% Professional Services 21,500 (14,000) (b) 765 10.2% Boards & Commissions 1,200 122 10.2% Surety Bonds 12 1 10.2% Other Insurance 14,672 1,497 10.2% Utilites - Telephone 6,360 649 10.2% Dues, Training & Travel 4,100 418 10.2% Indirect Costs 8,570 874 10.2% Contract Costs Labor $ 885,774. $116,036 13.1% Fringe Benefits 221,736 29,047 13.1% Services 109,615 11,181 10.2% Materials & Supplies 418,978 42,736 10.2% Utilities 46,290 4,722 10.2% Casulaty & Liability Costs 60,295 6,150 10.2% Taxes 18,362 1,873 10.2% Misc. Expenses (Marketing) 54,894 (40,000) (c) 1,519 10.2% Interest Expense 10,850 1,107 10.2% Lease and Rentals -0- -0- -0- Total Operating/Planning Expenses $1,991,582 $224,905 11.3% System Hours of Operation 81,149 10,601 13.1% System Mileage 987,771 100,352 10.2% Operating/Planning Costs Per Hour $ 24.54 $ 21.22 * Costs Not Included in the Tech Contract - During the bidding process last year certain items planning and marketing were singled out as not needed in the Tech service by Tech officials. (a) Labor and personnel costs involved in marketing and planning activities - $47,516. (b) Professional Services - $14,000 - Part of the Technical Studies Grant involves surveys and consulting fees with the studying of the City route system, Demand/Response System, and charter service. No involvement with the Tech service at all. (c) Marketing Expenses - $40,000 - With PPA and promotional activities - Involves radio, television, printing of maps, etc... for the City route system, charter service, and the Demand/Response System. $21.22 per hour operating expense $ 1.44 per hour depreciation $ 24 per hour contingency 22.90 per hour contract charge OPERATING ASSISTANCE GRANT PROJECT BUDGET October 1, 1'982 - September 30, 1983 Total System Total System With Tech Without Tech Operating Expenses City Personnel $ 100,474 $ 100,474 City Supp.lies 7,900 7,900 Professional Services 21,500 21,500 Boards and Commissions 1,200 1,200 Surety Bonds 12 12 Other Insurance 14,672 13,175 Utilities --Telephone 6,360 5,711 Dues, Training and Travel 4,100 4,100 156,218 154,072 INDIRECT COSTS 8,570 8,570 Contract Costs Labor 885,774 769,738 Fringe Benefits 221,736 192,689 Services 109,615 98,434 Materials and Supplies 418,978 376,242 Utilities 46,290 41,568 Casualty and Liability Costs 60,295 54,145 Taxes 18,362 16,489 Miscellaneous Expenses (Marketing) 54,894 54,894 Interest Expense 10,850 9,743 1�794 1 ,61-3,942 Total Operating/Planning Expense 1,991,582 1,776,584 Less Eliminations: 1-7Charter Expenses 40,000 59,338 2--Technical Studies Grant 42.930 _ 42,930 l 82,930 IOZ,2 8 Eligible Operating Expenses 1,908,652 1,674,316 Less Farebox Revenue 394,405 394,405 Net Projects Cost 1,514,247 1,279,911 Local Share City of Lubbock 531,142 626,576 University Student Funds 255,928 -0- Senior Citizen Shopper 4,080 4,080 Charter Profit 9,300 9,300 00, 50 639,956 Net Advanced on Operations Before Applying UMTA Funds 713,791 639,955 UMTA Funds Requested 713,791 639.955