Title
Recommendation to Authorize the City Manager to Award a Contract in the Amount of $60,000 to First American Transit for the Discounted Taxi Program Serving Seniors and People with Disabilities. (Transportation 4225287)
Body
To: Honorable Mayor and Members of the City Council
From: Jill Keimach, City Manager
Re: Recommendation to Authorize the City Manager to Award a Contract in the Amount of $60,000 to First American Transit for the Discounted Taxi Program Serving Seniors and People with Disabilities
BACKGROUND
The City provides two discounted taxi programs for seniors and people with disabilities: the Premium Taxi Service and the Medical Return Trip Improvement Program (MRTIP). These programs are funded by Measures B and BB transportation sales tax dollars, which are administered by the Alameda County Transportation Commission. Measures B and BB provide a dedicated funding source for non-mandated, locally based paratransit services for individuals with disabilities and seniors, which are not required under the Americans with Disabilities Act (ADA). The City of Alameda uses these funds to reduce transportation gaps experienced by individuals with disabilities and by seniors by providing discounted taxi programs, the Alameda Loop Shuttle, group trips and a scholarship program.
For the taxi programs, First American Transit, also known as Welcome Taxi, has been the contracted taxi company since 2009, and is based in the City of Alameda. A description of the taxi programs is provided below with more information available at the web site: www.AlamedaParatransit.com <http://www.AlamedaParatransit.com>.
• Premium Taxi Service: Vouchers for this program, which represent a 70 percent discount for the taxi rider, cost $1.50 each and are valued at $5.00 by the contracted taxi company. Enrolled riders use the service for different types of trips, with shopping and doctor appointments as the most frequent destinations. Individuals are limited to a maximum of 30 Premium taxi vouchers per quarter. The Premium program is available to Alameda residents who are 70 years old or over or are enrolled with East Bay Paratransit.
• MRTIP: Is available to Alameda residents who are enrolled with East Bay Paratransit. The MRTIP Program vouchers cost $2.50 each, and provide a taxi ride home after a medical appointment anywhere in Alameda County. Individuals are limited to a maximum of 10 MRTIP taxi vouchers per month.
The last two times that the City issued a competitive request for proposals (RFP) for the discounted taxi programs that serve seniors and people with disabilities was 2013 and in spring 2017. In spring 2017, the City did not receive any bid responses. As a result, the City contracted with the existing provider - First American Transit - on a six-month pilot basis, and offered a subsidy beyond the taxi meter rate and the vouchers. This subsidy was included to ensure a stable taxi service existed since it currently is being impacted by taxi riders now using venture-capital financed services such as Uber and Lyft, making it difficult for taxi companies to continue doing business.
DISCUSSION
On October 11, 2017, City staff requested proposals from qualified taxi companies to provide discounted taxi services for seniors and people with disabilities. To solicit the maximum number of bids and the most competitive price, City staff provided the RFP to taxi companies located in the East Bay. In addition, notices were placed on the City’s RFP web page on October 11, 2017, and published in the Alameda Sun on October 19, 2017. After a bidding period of 35 days, the existing taxi provider - First American Transit - was the only company to submit a bid. The bid was opened on November 15, 2017.
Staff proposes to award a contract to First American Transit for a maximum amount of $60,000. This contract may be amended on a year-by-year basis at the sole discretion of the Base Reuse and Transportation Planning Director, for up to four years, based on satisfactory performance of all aspects of the contract. Each taxi trip will be billed based on the taxi meter rate in the City of Alameda, and the City will reimburse the taxi company for the invoiced vouchers each month. Additionally, the City will pay the taxi company a subsidy beyond the reimbursement of the vouchers to ensure that the taxi company receives a minimum of $5,000 each month in return for providing a dependable and accessible taxi service to enrolled riders. As the service grows and the voucher reimbursements increase to at least $5,000, the City’s subsidy to the taxi company will end. The subsidy is an assurance that the taxi company can pay drivers to be on-call for local consumers.
FINANCIAL IMPACT
The funds for this project are budgeted in the Paratransit Special Revenue Fund (Program 4225287), which is funded by Measure B/BB (Fund 287). There is no impact to the General Fund.
MUNICIPAL CODE/POLICY DOCUMENT CROSS REFERENCE
The City’s Paratransit Program supports the General Plan Objective 4.1.5, “Consider the transportation needs of the community, including those with limited mobility options,” and the General Plan Policy 4.1.5.b, “Continue to support the Paratransit program.”
ENVIRONMENTAL REVIEW
In accordance with the California Environmental Quality Act (CEQA), this project is Statutory Exempt under CEQA Guidelines, Section 15273 Rates, Tolls, Fares, and Charges with the findings that:
1. Changes are necessary to encourage ridership within the service area.
2. Changes are necessary to provide an equitable distribution of services.
3. Changes are necessary for capital programming and capital costs necessary to maintain service within the service area.
RECOMMENDATION
Authorize the City Manager to award a contract in the amount of $60,000 to First American Transit for the discounted taxi program serving seniors and people with disabilities.
Respectfully submitted,
Jennifer Ott, Base Reuse and Transportation Planning Director
By,
Jackie Krause, Recreation Manager
Gail Payne, Transportation Coordinator
Victoria Williams, Paratransit Coordinator
Financial Impact section reviewed,
Edwin Gato, Acting Finance Director
Exhibit:
1. First American Transit Agreement