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TO: |
Board of Trustees |
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THROUGH: |
Jay Fox, Executive Director |
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FROM: |
Vi Miller, Chief Financial Officer |
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PRESENTER(S): |
Kensey Kunkel, Manager of Fare Strategy |
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JT Haight, Sr. Sales Representative |
TITLE:
title
Fare Agreement: Pass Purchase and Administration (Salt Lake City Corporation)
end
AGENDA ITEM TYPE:
Service or Fare Approval
RECOMMENDATION:
Authorize the Executive Director to enter a one year Pass Purchase and Administration Agreement with Salt Lake City Corporation.
BACKGROUND:
UTA and Salt Lake City Corporation (SLC Corp.) are longstanding partners dedicated to mitigating traffic and air pollution. In the spirit of that partnership, the two parties collaborate to provide SLC Corp. employees with a transit pass benefit through a Pass Purchase and Administration Agreement. Employees can opt in or out to receive a UTA transit pass and SLC Corp. pays for each trip taken by their authorized users on UTA transit services. SLC Corp. receives a discount of five percent (5%) that is applied to their monthly invoice, and the discount is calculated based on the number of trips taken in the prior contract year. This discount is based on a tiered matrix found in the historical ECO Trip Rewards Program. Because of the longstanding partnership with the Corporation, UTA has continued to allow SLC. Corp to participate in this program. The program and discount is in line with similar entities of the same type and population.
The current contract will expire on June 30, 2023.
DISCUSSION:
Both UTA and SLC Corp. desire to continue to partner to offer employees transit pass access through a Pass Purchase and Administration Agreement.
Total annualized boardings July 2022 through June 2023 for SLC Corp. is estimated to be about fifty-nine thousand (59,000) which qualifies for a discount of 5% to be applied to the monthly invoice for the new contract period.
CONTRACT SUMMARY:
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Contractor Name: |
Salt Lake City Corporation |
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Contract Number: |
23-F0350 |
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Base Contract Effective Dates: |
July 1, 2023 through June 30, 2024 |
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Extended Contract Dates: |
NA |
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Existing Contract Value: |
NA |
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Amendment Amount: |
NA |
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New/Total Contract Value: |
$82,000 to $90,000 |
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Procurement Method: |
NA |
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Budget Authority: |
NA |
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ALTERNATIVES:
Do not enter into an agreement with SLC Corp. and require the authorized users to purchase fare using other methods
FISCAL IMPACT:
Revenue is estimated to be between $82,000 to $90,000 which represents an increase of up to $8,000 as compared to the previous contract (2022-23)
ATTACHMENTS:
Contract