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HomeMy WebLinkAbout5.B.1. Job Access Reverse Commute Grant S. (3. J. CITY OF SHAKO PEE CONSENT Memorandum TO: Honorable Mayor and City Council Mark McNeill, City Administrator FROM: R. Michael Leek, Community Development Director SUBJECT: Consider Authorizing the Appropriate City Officials to Enter into a Memorandum of Understanding with the City of Prior Lake for Reimbursement for Bus Services as a Part of the Jobs Access Reverse Commute (JARC) Grant. MEETING DATE: November 5, 2009 INTRODUCTION: Historv: The City of Prior Lake in partnership with the City of Shakopee applied for a Jobs Access Reverse Commute (JARC) grant. The cities were awarded $436,000.00 to create the BlueXpress Reverse Commute project which will provide a transportation alternative that allow workers in the central cities to access available jobs in Shakopee and Prior Lake. The project involves the purchase of a coach bus, and the operation of at least three additional reverse routes to and from downtown Minneapolis. The grant requires a local match of 20% of the purchase price of the bus and 50% of the operating costs for the reverse commute project. In the application the City of Prior Lake and the City of Shakopee agreed to share equally in the local match requirements. Since the City of Prior Lake is the official applicant of this grant the Metropolitan Council requires that the two enter into a Memorandum of Understanding that addresses Shakopees obligation to reimburse Prior Lake for its share of the local match. CurrentCucumswnces: The BlueXpress Reverse Commute project will provide a transportation alternative for workers who live in the central cities to access available jobs in Shakopee and Prior Lake. The objectives of this project include; . Offer additional reverse routes from downtown Minneapolis during the peak morning and evening hours; H:\CC\2009\11-04\JARC reimbursement agreement.doc 1 . Provide flexibility in the timing of the reverse route to coincide with the shift hours of the employers; . Increase the employment pool for Scott County employers; . The Unified Transit Management Plan for the Communities of Scott County (adopted in 2005 and updated in 2008) lists improved access to major Scott County employment centers among the recommended service improvements It states a number of employment opportunities in Scott County draw employees from outside of the local area. Currently, Mystic Lake Casino is providing its own bus service to and from the Minneapolis area to provide employees and prospective employees a one seat ride to their place of employment. In addition to the casino and other entertainment venues in the County other employers also have a need for improved employee access The proposed reverse commute project will begin to fill this gap in transit Service. ISSUES: Most suburban transit routes, including BlueXpress, focus on providing express service to residents of outlying suburbs to employment in the central cities. These routes generally are unable to provide reverse service to residents in the central cities to employment in the outlying suburbs The BlueXpress Reverse Route will expand the existing BlueXpress Service to fill this gap. The BlueXpress is operated by Shakopee Transit and Prior Lake Laker Lines and provides non-stop commuter service from Prior Lake and Shakopee to Downtown Minneapolis. BlueXpress currently runs 8 morning and 8 evening Routes. While we currently operate one morning and one evening reverse Commutes, these routes are not used very often. The additional bus and operating dollars will enable BlueXpress to tailor the reverse routes to meet the needs of the reverse commuters and their employers. For example, we have been in contact with the SMSC about tailoring the service to meet the needs of their employees. FINANCIAL IMPACT: The proposed BlueXpress Reverse Route project uses federal and local funds in an efficient and cost effective manner. Expansion of the current service enables BlueXpress to utilize our current contract provider for this service. Knowledge of our current routes and riders will enable the operator to determine the most effective way of providing this service. We can also utilize our existing marketing mechanisms such as the website and newsletter to inform riders of the service. The estimated shares for the purchase of the coach bus are as follows; Metropolitan Council 80% ofthe cost up to $376,000.00 City of Prior "Lake 50% of any costs above $376,000.00 H:\CC\2009\11-04\JARC reimbursement agreement.doc 2 City of Shakopee 50% of any costs above $376,000.00 The estimated cost of the bus is 500 000 so we anticipate each City will be responsible for $62,000.00 The anticipated operating cost of the reverse commute is $120,000.00. The parties shall contribute the following amounts for the operation ofthe reverse commute; Metropolitan Council $60,000.00 City of Prior Lake 50% of any costs above $60,000.00 City of Shakopee 50% of any costs above $60,000.00 The City of Prior Lake and the City of Shakopee expect to be responsible for $30,000.00 each for the operation of the reverse service. The funds for the purchase of the bus will be taken from the Transit fund. The operating costs will also be taken from the Transit fund. AL TERNA TIVES: 1. Offer and pass a motion recommending to the City Council the adoption of the policies with revisions. 2. Do not authorize execution of the MOU for the JARC grant. 3. T~ble the matter for additional information. STAFF RECOMMENDATION: Staff recommends alternative 1. RELATIONSHIP TO CITY GOALS: By providing additional transit options, this item relates to goal B, High quality of life. ACTION REQUESTED: Offer and pass a motion authorizing the appropriate City officials to execute the Memorandum of Understanding with the City of Prior Lake for the reimbursement of local match costs for the JARC reverse commute grant. -a::~~~~ R. ichael Leek . Community Development Director H:\CC\2009\11-04\JARC reimbursement agreement.doc 3 MEMORANDUM OF UNDERSTANDING FOR THE ACQUISITION OF A COACH BUS AND OPERATING FUNDS WITH JOBS ACCESS REVERSE COMMUTE GRANT FUNDS THIS MEMORANDUM OF UNDERSTANDING is made and entered into by and between the City of Shakopee, a Minnesota municipal corporation, 129 Holmes Street Shakopee, MN 55379 (hereinafter referred to as "Shakopee"), and the City of Prior Lake, a Minnesota municipal corporation, 16776 Fish Point Road SE, Prior Lake, MN 55372 (hereinafter referred to as "Prior LakeIJ) (hereinafter collectively referred to as the "PartiesIJ). RECITALS WHEREAS, the Parties have a shared interest in planning and providing efficient transit services to the residents of Scott County, and WHEREAS, the Parties have, through prior undertakings, jointly participated in completing a Unified Transit Management Plan ("UTMP") that recommends various County- wide transit capital and service improvements; and WHEREAS, each of the Parties has adopted the recommendations of the UTMP in part, in whole, or with conditions; and WHEREAS, the Parties, through their participation in the Scott County Transit Review Board and Transit Planning Team, have developed a regional park-and-ride facility (South bridge Crossings), operated the BlueXpress bus service and have begun to plan for a second park- and-ride facility (Eagle Creek Transit Station); and WHEREAS, the City of Prior Lake, on behalf of Prior Lake and Shakopee, submitted a Jobs Access Reverse Commute rJARCIJ) grant application to the Metropolitan Council for funding to purchase of a coach bus and for funding to operate at least 3 additional reverse commutes from downtown Minneapolis; and WHEREAS, Prior Lake and Shakopee have agreed to share the cost of the matching funds for this grant on an equal basis; and WHEREAS, the Metropolitan Council has approved Prior Lake's JARC grant application; and WHEREAS, the grant awarded is in the amount of $376,000 for the bus acquisition and $60,000 for operating costs; and WHEREAS, Prior Lake and Shakopee are responsible for any costs over and above the grant funds; and WHEREAS, the Parties desire to enter into this Memorandum of Understanding to set out the terms, conditions and allocation for the acquisition of a coach bus and operating costs. NOW THEREFORE, in consideration of the mutual undertakings and agreements contained herein, the Parties hereby agree as follows: MEMORANDUM OF UNDERSTANDING - JARC GRANT BUS ACQUISITION AND OPERATING COSTS 1. REelT ALS. The recitals contained herein and set forth above are incorporated by reference as if fully written herein. 2. PURPOSE. The purpose of this Memorandum of Understanding is to set out the obligations of each of the Parties to this Agreement with respect to the acquisition of a coach bus and the operation of the reverse commute routes. 3. TERM OF AGREEMENT. This Agreement shall be effective from the date of final execution by all parties and shall remain effect through the term of ownership of the coach bus and operation of the service, unless terminated earlier by the Parties as provided herein. 4. ACQUISITION OF BUS. 1. The Metropolitan Council, in conjunction with Metro Transit Services, has entered into a contract for the purchase of several coach buses. The Council has agreed to allocate one of these buses to Prior Lake and Shakopee for the JARC Grant. 2. Title and Payment. a. Title: The Metropolitan Council will hold title to the bus and will lease it to Prior Lake subject to the terms of the "Master Lease Agreement Between the Metropolitan Council and the City of Prior lake for Regional Fleet Vehicles", as amended. b. In the event it determined the bus is no longer needed for transit purposes by the City within the useful life of the bus, it shall be returned to the Metropolitan Council, provided that the Metropolitan Council reimburses the City proportionate to its initial investment. c. Payment: The Metropolitan Council shall pay the initial cost to purchase the bus and shall bill the City of Prior Lake for the local share. The City of Prior Lake agrees to reimburse the Metropolitan Council within 30 days of receipt of an invoice for the coach bus. d. Payment from the City of Shakooee: Upon receipt of an invoice from the Metropolitan Council for the coach bus, the City of Prior Lake will bill the City of Shakopee for 50% of the local share. The City of Shakopee agrees to reimburse Prior Lake within 30 days of receipt of an invoice. 3. Financial Obligations of the Parties for Acquisition of the Coach Bus: The Parties shall contribute the following amounts for the acquisition of the coach bus: Metropolitan Council 80% of the cost of the bus up to $376,000 City of Prior Lake: 50% of any costs above $376,000 City of Shakopee 50% of any costs above $376,000 Page 2 of 5 MEMORANDUM OF UNDERSTANDING - JARC GRANT BUS ACQUISITION AND OPERATING COSTS 5. OPERATING COSTS 1. Prior Lake and Shakopee agree to equally share the operating costs of the reverse commute service over and above the JARC grant awarded by the Metropolitan Council. 2. Financial Obligations of the Parties for Acquisition Bus: The Parties shall contribute the following amounts for the operation of the reverse commute: Metropolitan Council $60,000 City of Prior Lake: 50% of any costs above $60,000 City of Shakopee 50% of any costs above $60,000 6. CITY AND STATE AUDIT Pursuant to Minn. Stat. Section 16C.05. Subd. 5 (199B), the books, records, documents, and accounting procedures and practices of the Parties relative to this Agreement shall be subject to examination by the Cities and the State Auditor. Complete and accurate records of the work performed pursuant to this Agreement shall be kept by the Parties for a minimum of six (6) years following termination of this Agreement for such auditing purposes. The retention period shall be automatically extended during the course of any administrative or judicial action involving the Cities regarding matters to which the records are relevant. The retention period shall be automatically extended until the administrative or judicial action is finally completed or until the authorized agent of the City notifies the Parties in writing that the records need no longer be kept. 7. INDEMNITY Each Party shall indemnify, defend, and save the other Parties harmless from any and all claims, damages, lawsuits, losses, liabilities, costs, and expenses, arising out of any negligent act or omission on the part of any Party or its contractors, agents, servants, or employees in the performance of any of the work or services to be performed under the terms of this Agreement. Each Party's obligation to indemnify the other under this clause shall be limited in accordance with the statutory tort limitations provided in Minn. Stat. ~ 466.04 to limit each Party's total liability for all claims arising from a single occurrence, including the other Party's claim for indemnification, to the limits provided in section 466.04. 8. LIABILITY The liability limits set out in Minnesota Statute Chapter 466 shall apply to this Agreement. This Agreement shall not act to aggregate the liability limits of the individual parties. 9. DATA PRACTICES All Parties, their agents, employees and any of their subcontractors, in providing all services hereunder, agree to abide by the provisions of the Minnesota Government Data Practices Act, Minn. Stat. Ch. 13, as amended, and Minn. Rules promulgated pursuant to Ch. 13. Page 3 of 5 MEMORANDUM OF UNDERSTANDING - JARC GRANT BUS ACQUISITION AND OPERATING COSTS 10. TERMINATION This Agreement may not be terminated unless disposition of any property acquired has occurred in connection with the terms of this agreement. Upon Termination of this Agreement, any unused funds shall be returned to the contributing Parties in the same proportion that initial contributions were made. Disbursement of funds resulting from the sale or disposition of the property contemplated herein shall comply with the terms and conditions set forth in section 4D herein. 11. NOTICES Any notices to be given under this Agreement shall be given by enclosing the same in a sealed envelope, postage prepaid, and depositing the same in the United States Postal Service, addressed to the each of the Parties at the following addresses: Jane Kansier Michael Leek CITY OF PRIOR LAKE CITY OF SHAKOPEE 4646 Dakota Street SE 129 Holmes Street Prior Lake, MN 55372 Shakopee, MN 55379 12. CONTROLLING LAW The laws of the State of Minnesota shall govern all questions and interpretations concerning the validity and construction of this Agreement and the legal relations between the parties herein and performance under it. The appropriate venue and jurisdiction for any litigation hereunder will be those courts located with the County of Scott, State of Minnesota. Litigation, however, in the federal courts involving the Parties herein will be in the appropriate federal court within the State of Minnesota. If any provision of this Agreement is held invalid, illegal or unenforceable, the remaining provisions will not be affected. 13. SUCCESSORS AND ASSIGNS The Parties, respectively, bind themselves, their partners, successors, assigns, and legal representatives to the other party to this Agreement and to the partners, successors, assigns, and legal representatives of such other party with respect to all covenants of this Agreement. No Party shall assign, sublet, or transfer any interest in this agreement. 14. CHANGES The Parties agree that no change or modification to this Agreement, or any attachments hereto, shall have any force or effect unless the change is reduced to writing, dated, and made part of this Agreement. The execution of the change shall be authorized and signed in the same manner as this Agreement. 15. SEVERABILITY In the event any provision of this Agreement shall be held invalid and unenforceable, the remaining provisions shall be valid and binding upon the parties unless such invalidity or non-enforceability would cause the Agreement to fail its purpose. One or more waivers Page 4 of 5 MEMORANDUM OF UNDERSTANDING - JARC GRANT BUS ACQUISITION AND OPERATING COSTS by any Party of any provision, term, condition or covenant shall not be construed by any other Party as a waiver of a subsequent breach of the same by the other Party. 18. EFFECTIVE DATE This Agreement shall be in full force and effect when Parties sign this Agreement. This Agreement may be signed in counterparts, each as effective as the original. IN WITNESS WHEREOF, the Parties hereto have set their hands on the dates written below. APPROVE AS TO FORM: CITY OF SHAKOPEE By: City AttorneylDate Title: John Schmitt, Mayor Date: Attest: Title: Mark McNeill, City Administrator Date: CITY OF PRIOR LAKE By: City Attorney/Date Title: Jack Haugen, Mayor Date: Attest: Title: Frank Boyles, City Manager Date: Page 5 of 5