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Home My WebLink About2009-07-13 09-245 ORDERCOUNCIL ACTION Item No. 09 245 Date: 7-27-09 Item/Subject: Order, Authorizing the City Manager to Execute a BAT Community Connector Shuttle Service Operating Agreement with the University of Maine Responsible Department: Executive/BAT Community Connector Commentary: This Order will authorize the City Manager to execute a BAT Community Connector shuttle service operating agreement with the University of Maine. As has been previously reviewed and discussed on several occasions, BAT Community Connector will begin operating a new shuttle service in the fall between the University of Maine and downtown Orono. All costs associated with this service are being covered by the State Department of Transportation, the Town of Orono, and the University of Maine. The attached agreement outlines the various terms and conditions that relate to BAT Community Connector providing this service. The Agreement has been reviewed and approved by the City Solicitor as well as the University of Maine and is now ready for City Council approval. The Agreement was reviewed and recommended for approval by the Government Operations Committee on July 14tH Department Head Manager's Comments: Recommend approval. City Manager Associated Information: Order, Operating Agreement Budget Approval: s Fi ce Director Legal Approval: qty Solicitor Introduced for x Passage (CONSENT) First Reading Page _ of _ Referral 9 245 Assigned to Councilor - Blanchette July 27, 2009 CITY OF BANGOR (TITLE.) Order, Authorizing the City Manager to Execute a BAT Community Connector Shuttle Service Operating Agreement with the University of Maine By the City Council of the City of Bangor. ORDERED, THAT the City Manager is authorized to execute a BAT Community Connector Shuttle Service Operating Agreement with the University of Maine -Orono Campus, a copy of which is attached to this Order. IN CITY COUNCIL July 27, 2009 A O9 -74S (TITLE,) A ho ; zing the City Manager to FxCruirp a RAT Camunity Connector -Shuttle Service Operating Agreeement with the University of Maine I`..�I�_i. . . 09 245 TJE:;I e This Agreement made this day of June, 2009, by and between the CITY OF BANGOR, as operator of BAT ! Community Connector transit bus service (hereinafter refereed to as `Bangor'), and the UNIVERSITY OF MAINE at ORONO (hereinafter referred to as "University") WHEREAS, Bangor has applied to and received authorization from the Maine State Department of Transportation to operate a "Shuttle" transit bus service for passengers between the University of Maine and the Town of Orono; and WHEREAS, Bangor and the University desire to enter into an agreement under which Bangor will provide such Shuttle service to various areas of University of Maine and the Town of Orono; and WHEREAS, as part of such agreement the University will pay Bangor one-half (%x) of any deficit that may be incurred by Bangor in the operation of said Shuttle Route. NOW, THEREFORE, it is mutually agreed between the parries as follows: 1. Servi%e. During the term of this agreement, or any extension thereof, Bangor shall operate a Shuttle bus service on a mute designated by the University and the Town of Orono for passengers on said route. Said route is subject to adjustment by University and Town of Orono as the needs of passengers may require. 2. Term. The term of this agreement shall be from September 1, 2009 to June 30, 2010 and shall automatically renew for two consecutive ten month periods of September through June unless terminated by either party as provided herein. 3. OPERATORS AND SUPPLIES. Bangor shall furnish skilled and competent operators, and supplies and accessories necessary for the safe operation of said transit vehicles. 4. LICENSES.Bangor shall procure and maintain in effect, any and all licenses, permits or certificates which are, or may be, required by the State Department of Transportation for the performance of said service. S. MAR ENTANCE AND OPERATION. Bangor shall maintain and operate said transit vehicles in a safe, efficient and lawfW manner, and shall comply with all orders, rules and regulations of the Federal Transportation Administration and State Department of Transportation governing the operation of said vehicles. University will provide the service and fuel for the two shuttle vehicles and bill the cost of this service to Bangor. .Zf 09 245 6. SUBSIDY/ DEFICIT. University agrees to subsidize / compensate Bangor for one-half ('/z) of any deficit incurred in providing the aforesaid Shuttle service. (the Town of Orono shall compensate Bangor for the other one-half (1/2) of any operating deficit). Should the budgeted subsidy be likely to increase by at least ten percent (10 %) during any year of operation, Bangor will provide notice to University in a timely manner in order that appropriate action may be taken to address any anticipated excess, including but not limited to, reducing service in lieu of incurring increased subsidy costs. Such deficit shall be computed and billed by Bangor on a quarterly basis in three equal payments, with the fourth bill serving as the final payment, with any adjustment and reconciliation for the twelve month period. It is further understood and agreed that Bangor does not intend to make a no profit from the service, but to be compensated for any deficit resulting from operating expenses. Within 30 days after (or as soon thereafter as reasonably possible) the expiration of each month during the term hereof, Bangor shall provide University with a report containing an itemization of the operating expenses and revenues for monthly period I TRANSPORTATIQN COMMITTEE. The parties acknowledge and agree that Bangor is the provider of the service specified herein, and as such must retain the ability and flexibility to make all necessary day -today management decisions relative to the operation of the Shuttle route. The parties acknowledge and agree that the University of Maine and the Town of Orono have a special interest in the efficient operation of the University of Maine / Town of Orono Shuttle Route. For purposes of providing input into the operation of said route, representatives of the University of Maine, the Town of Orono and Bangor shall create a Shuttle Transportation Committee. The Committee shall meet as needed to review the annual budget for said Route, review operational and policy decisions regarding the Route, and make recommendations for improvements of the Route, as may be appropriate form time to time. All final decisions regarding the financial operation of the University of Maine / Town of Orono Shuttle shall require amt of the representatives of the University of Maine, the Town of Orono and Bangor. 8. TERMMINATION , In the event either party wishes to withdraw from participation under this agreement, notice of such decision shall be sent by certified mail, return receipt requested, to the other • at Ieast thirty (30) days prior to the end of any calendar month. Auer service of notice, this agreement shall automatically terminate at the end of such month, or on such date as may be mutually agreed upon by all parties; provided, however, in the event the City of Bangor is required by the State Department of Transportation or some other governmental agency to continue providing service beyond said ter=mination date, the terms and conditions contained herein shall continue in effect until necessary authorization to discontinue ntinue such service have been obtained. Any deficits or other charges still remaining outstanding after such termination shall be paid in the same manner as the quarterly payments by University, i.e. within thirty days from receipt of such bill from Bangor 9. MIEQUANE,O S PROVISIONS. Two shuttle buses will be dedicated to the University / Town of Orono Shuttle service. One bus shall be the primary service vehicle; the second bus will serve as the dedicated spare. It is the intention of BAT not to use these vehicles for non -shuttle related operations. The buses will have the following warranty schedules: Chassis 12 months unlimited; Body 12 months or �. 09 245 12,000 miles ( structural 5 years or 150,000 miles); transmission 3 years or 100,000 miles; Engine 5 years or 150,000 miles; Air Conditioning 2 years; and Accessibility Lift 5 years. Buses meet the requirements as 7 year / 200,000 mile vehicles. Advertising space on the Shuttle buses shall be under the control and direction of the University and Town of Orono, within the BAT's current advertising policies, and any revenues received may be used for purposes they deem appropriate. Bangor shall carry comprehensive and liability insurance for the buses with a $1,000 deductible. 10. AMMEND EfrS. This agreement may be modified or amended during the initial term or any extension thereof by written instrument executed by authorized representatives of all parties. IN WITNESS VAMEOF, the parties hereto have signed the above Agreement the day and year first written above. Witness Fm 0- wi, � m Uf CITY OF BANGOR Name: Title: UNIVERSITY OF MAINE By: N anet �� T' : Vice President for Administration and Finance L3