|
TO: |
Board of Trustees |
|
THROUGH: |
Mary DeLoretto, Interim Executive Director |
|
FROM: |
William Greene, Chief Financial Officer |
|
PRESENTER(S): |
Monica Morton, Fares Director |
|
|
Stacey Adamson, Sr. Sales Representative |
TITLE:
title
Fare Agreement: Pass Purchase and Administration - Amendment 3 (The Church of Jesus Christ of Latter-Day Saints)
end
AGENDA ITEM TYPE:
Service or Fare Approval
RECOMMENDATION:
Approve amendment 3 and authorize the Executive Director to execute the Pass Purchase and Administration Agreement with The Church of Jesus Christ of Latter-Day Saints.
BACKGROUND:
On September 23, 2020, the UTA Board of Trustees authorized UTA to enter a 14-month, Custom Pass Purchase and Administration Agreement with The Church of Jesus Christ of Latter-day Saints (“Church”). The contract term was October 1, 2020 through December 31, 2021.
On October 28, 2020, the agreement was updated with Amendment 1, moving the start date of the contract to November 1, 2020.
Due to the continued impact of the COVID-19 pandemic, most of the Church employees did not return to the office and did not utilize their transit pass. Subsequently on May 12, 2021, UTA and the Church amended the contract again allowing the Church to pay for actual use on the UTA system, less a 17.5 percent discount, instead of the negotiated bulk pass rate in the underlying agreement. The term of Amendment 2 is January 1, 2021 through December 31, 2021.
DISCUSSION:
Due to the ongoing effects of the COVID-19 Pandemic, UTA and the Church will amend the current Pass Purchase and Administration Agreement, extending the contract through December 31, 2022. The existing discount of 17.5 percent will be included in Amendment 3. This discount is in line with other similarly sized organizations participating in a pay-per-use program.
CONTRACT SUMMARY:
|
Contractor Name: |
The Church of Jesus Christ of Latter-day Saints |
|
Contract Number: |
20-F0140-A3 |
|
Base Contract Effective Dates: |
November 1, 2020- December 31, 2021 |
|
Extended Contract Dates: |
January 1, 2022 through December 31, 2022 |
|
Existing Contract Value: |
$463,492 *Revenue is estimated for November and December 2021 using previous months revenues received |
|
Amendment Amount: |
$927,400-$1,391,100 |
|
New/Total Amount Contract Value: |
$1,390,892 - $1,854,592 |
|
Procurement Method: |
NA |
|
Funding Sources: |
The Church of Jesus Christ of Latter-day Saints |
|
|
|
ALTERNATIVES:
Not approve contract Amendment No. 3 and forgo revenue.
FISCAL IMPACT:
Revenue received in 2022 is expected to be between $927,400 - $1,391,100 which is an increase of 100-200 percent in ridership and pay per trip value compared to 2021. Revenue may increase or decrease dependent upon the continued impact of the COVID-19 pandemic.
|
Increase compared to 2021 |
2022 Estimated Revenue |
|
100% |
$ 927,400 |
|
150% |
$ 1,159,300 |
|
200% |
$ 1,391,100 |
ATTACHMENTS:
1. Amendment 3