Loading...
HomeMy WebLinkAbout~Master - Amendment to 2011/12 Dial-A-Ride Contract RESOLUTION NO. 11-477 RESOLUTION APPROVING 2011/12 DIAL-A-RIDE CONTRACT AMENDMENT FOR THE CITY OF AMES,IOWA WHEREAS, in June 2010, the City Council approved and signed a five-year contract (including annual renewals) with Heartland Senior Services (HSS) for provision of Dial-A-Ride services; and, WHEREAS, since that time, two issues have resulted in the need to modify the original contract,the first being that the Iowa Department of Transportation(IDOT)requested changes to the contract to reflect non-financial language clarifications; and, WHEREAS,secondly,on August 30,2011,HSS indicated its desire to end the 2011/12 Dial- A-Ride contract,which was later extended to September 30,and,most recently,to October 30;and, WHEREAS, at that time, there was a belief by HSS that the contract rates did not cover its expenses being incurred; and, WHEREAS, since HSS's initial contact in August regarding the 2011/12 contract, several meetings have taken place,which resulted in an independent audit of HS S's Transportation Program completed by the accounting firm of Houston and Seeman; and, WHEREAS,based on this audit,it was determined that the revenues and expenses generated under the Dial-A-Ride contract during the previous fiscal year ending June 30, 2011, resulted in a small loss, and that the 2011/12 contract increases the previous year's rates by 4%; and, WHEREAS, CyRide staff raised concerns with the methodology used to arrive at this conclusion, and using staff s methodology, the revenues paid HSS exceed the expenses generated by service under the Dial-A-Ride 2010/11 contract, and,therefore,would also exceed expenses in the 2011/12 contract with a 4% increase; and, WHEREAS, as a result of this discussion, the participants mutually agreed that the only financial change needed in the existing contract between CyRide and HSS for the provision of Dial- A-Ride service, beyond the IDOT-required changes, was an adjustment to the fuel surcharge rate; and, WHEREAS, it is proposed that the fuel surcharge rate be retroactively established as of July 1,2010,since the surcharge did not generate revenues to reimburse HSS for additional expenses resulting from higher fuel prices during that time period; and, WHEREAS, the Transit Agency Board of Trustees has approved the contract amendment; and, WHEREAS,additionally,discussion at a recent meeting indicated a possible desire by HSS to end the current Dial-A-Ride contract at the end of fiscal year June 30, 2012; and, WHEREAS, as a result, City staff will prepare a Request for Services Proposal for distribution in January 2012 so that a contractor can be selected prior to the end of the HSS current contract and a smooth transition can be made. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Ames, Iowa, that the amendment to the Dial-A-Ride Contract with Heartland Senior Services to increase the fuel surcharge rate, retroactively effective July 1, 2011, is hereby approved. ADOPTED THIS 1 I1h day of October, 2011. Lid& A. tom• 67"0&9 Diane R. Voss, City Clerk Ann H. Campbell, Mayor Introduced by: Mahayni Seconded by: Davis Voting aye: Davis, Larson, Mahaym, Orazem Voting nay: None Absent: Goodman, Wacha Resolution declared adopted and signed by the Mayor this 1 I'day of October, 2011.