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Home My WebLink About2/17/2016 - STAFF REPORTS - 2.Q. .y V N A A �COIAOIIRtEO te^0 M CITY COUNCIL STAFF REPORT DATE: FEBRUARY 17, 2016 CONSENT CALENDAR SUBJECT: APPROVAL OF AMENDMENT NO. 1 TO THE TROLLEY SERVICES OPERATOR AGREEMENT WITH MV TRANSPORTATION INC. (AGREEMENT NO. A6564) FROM: David H. Ready, City Manager BY: Community and Economic Development Department SUMMARY The City Council will consider approval of an amendment to the trolley services operator agreement with MV Transportation, Inc. to provide greater flexibility to deal with changes in trolley operating hours and authorize the City Manager to approve additional hours of operation of the BUZZ trolley insofar as budgeted in the fiscal year budget. RECOMMENDATION: 1. Approve Amendment No. 1 to Agreement No. 6564, with MV Transportation, Inc. for Trolley Services Operation, to authorize the City Manager to increase hours of operation of the BUZZ trolley insofar as costs for such services are included in the fiscal year budget approved by Council. 2. Authorize the City Manager or his designee to execute the amendment to the agreement and such other instruments as may be required to enable payment for said increased hours of operation. STAFF ANALYSIS: On June 18, 2014, Council approved a Trolley Services Operator Agreement with MV Transportation, Inc. (MV) for a one-year pilot program in the amount of $918,874 for the first year of service. The agreement contains a provision allowing the City to add or remove services at the established variable hourly rate established in the schedule of compensation and authorizes the City Manager to approve additional hours of operation up to a maximum of $25,000. During the first year of the pilot program, from the launch on December 19, 2014 through December 18, 2015, the trolley service operated approximately 810 additional hours over the amount budgeted. The additional hours were the result of operating the service on non-operating days e.g. New Year's Eve, Presidents' Day, Memorial Day ITEM NO.- City Council Staff Report February 17, 2016-- Page 2 Amendment No. 1 to Trolley Services Program Agreement and Labor Day; and extending hours on New Year's Eve and Coachella Fest weekends; and operating at special events e.g. tours, parades, etc. by the City. Additional hours were also required for special uses by other entities such as the Bureau of Tourism or the Palm Springs Chamber of Commerce to enhance the "visitor experience' for the City's tourism brand, augment events in Palm Springs and promote the trolley "brand" locally. The City billed and collected revenue to cover our hourly trolley operation costs for certain special requests by others. In certain cases, the City did not collect revenue for events promoting Palm Springs. This action would allow for the amendment to the agreement to facilitate addition of operating hours and authorize the City Manager to approve additional hours of operation of the BUZZ trolley, provided the costs for such additional hours are provided within the City Council's budget for the fiscal year in which such extra services are requested. FISCAL IMPACT: The cost to increase trolley hours of operation based on additional operating hours and special uses of the BUZZ trolley would be limited to fiscal year budget allocation. Lauri Aylaian, Director of Community feViana R. Shay, and Economic Development Redevelopment Coordinator David H. Ready, Esq., P City Manager Attachments: Amendment No. 1 Trolley Services Operator Agreement (Agreement No. A6564) 02 AMENDMENT NO. 1 TO CONTRACT SERVICES AGREEMENT Trolley Services Operator This Amendment No. 1 to the Contract Services Agreement ("Amendment") is made and entered into this day of 2016, by and between the City of Palm Springs, California, a California Charter City and municipal corporation ("City"), and MV Transportation, Inc., ("Contractor"). City and Contractor are individually referred to as "Party" and are collectively referred to as the "Parties". RECITALS A. City has determined that there is a need for a contractor to provide all materials, labor, and equipment to operate a scheduled Trolley service within the City ("Project"). B. Consultant has submitted to City a proposal to provide services to provide all materials, labor, and equipment to City under the terms of this Agreement. C. Contractor is qualified by virtue of its experience, education, training, education, reputation, and expertise to provide these services and has agreed to provide such services as provided in the Agreement. D. The City and Contractor entered into Agreement for Trolley Services Operator on June 14, 2014 for services in the amount of$918,874 for the first year of service. E. The Parties desire to amend the Agreement to allow the City Manager to order additional hours of operation.so long as funds to pay for such costs are specifically provided within the City Council's budget for the fiscal year the services are provided. F. City and Contractor desire to further amend the Agreement as provided for herein. NOW, THEREFORE, In consideration of these promises and mutual obligations, covenants and conditions, the Parties agree as follows: AGREEMENT In consideration of the promises and covenants contained in this Amendment and other good and valuable consideration, the City and the Contractor agree: 1. Section 1.8 of the Agreement is amended to read: 1.8 Additional Services. City Manager shall have the right at any time during the performance of the Services, without invalidating this Agreement, to order extra work beyond that specified in the Scope of Services or make changes by altering, adding to, or deducting from such Work so long as the costs for such extra work, if any, are specifically provided within the City Council's budget for the fiscal year in which such extra services are provided. No such extra work may be undertaken unless a written order is first given by the City to the Contractor, incorporating any adjustment in (i) the Maximum Contract Amount, as defined in Section 2.1 of this Agreement and/or (ii) the time to perform this agreement. Any adjustments must also be approved by the Contractor. Any increases in excess of the amounts provided 03 herein, occurring either separately or cumulatively, must be approved by the Palm Springs City Council. It is expressly understood by Contractor that the provisions of this Section 1.8 shall not apply to the services specifically set forth or reasonably contemplated within the Scope of Services. 2. Section 9.2 of the Agreement is amended to read: 9.2 Conflict of Interest. Contractor acknowledges that no officer or employee of the City has or shall have any direct or indirect financial interest in this Agreement nor shall Contractor enter into any agreement of any kind with any such officer or employee during the term of this Agreement and for one year thereafter. Contractor warrants that Contractor has not paid or given, and will not pay or give, any third party any money or other consideration in exchange for obtaining this Agreement. 3. Section 9.3 of the Agreement is amended to read: 9.3 Covenants Against Discrimination. In connection with its performance under this Agreement, Contractor shall not discriminate against any employee or applicant for employment because of race, religion, color, sex, age, marital status, ancestry, national origin, sexual orientation, gender identity, physical or mental disability, or medical condition. Contractor shall ensure that applicants are employed, and that employees are treated during their employment, without regard to their race, religion, color, sex, age, marital status, ancestry, national origin, sexual orientation, gender identity, physical or mental disability, or medical condition. Such actions shall include, but not be limited to, the following: employment, upgrading, demotion or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. It is further agreed that with its performance under this Agreement, Contractor and their agents shall not discriminate against any customer, airport tenant, City employee, or those using the facilities, because of race, religion, color, sex, age, marital status, ancestry, national origin, sexual orientation, gender identity, physical or mental disability, or medical condition. 4. Full Force and Effect. All of the terms, conditions, and provisions of the Agreement as amended, unless specifically modified herein, shall continue in full force and effect. In the event of any conflict or inconsistency between the provisions of this Amendment and any provisions of the Agreement, the provisions of this Amendment shall govern and control. 5. Corporate Authority. The persons executing this Amendment on behalf of the Parties hereto warrant that (1) such party is duly organized and existing, (ii) they are duly authorized to execute and deliver this Amendment on behalf of said party, (iii) by so executing this Amendment, such party is formally bound to the provisions of this Amendment, and (iv) the entering into this Amendment does not violate any provision of any other agreement to which said party is bound. [SIGNATURES ON FOLLOWING PAGE] 04 IN WITNESS WHEREOF, the Parties have executed and entered into this First Amendment as of the date first written above. "CITY" City of Palm Springs Date: By: David H. Ready, City Manager APPROVED AS TO FORM: ATTEST: By: By: Douglas C. Holland, James Thompson, City Attorney City Clerk "CONTRACTOR" MV TRANSPORTATION, INC. MV Transportation Inc. 5910 North Central Expressway, Suite 1145 Dallas, TX 75206 Date: By: Date: Check one: _Individual _Partnership _Corporation Corporations require two notarized signatures: One signature must be from Chairman of Board, President, or any Vice President. The second signature must be from the Secretary, Assistant Secretary, Treasurer, Assistant Treasurer, or Chief Financial Officer 05