TITLE
Consider a memorandum/resolution awarding a transportation services contract to Cove Taxi, Inc. for the CDBG Elderly Transportation Program.
SUMMARY
DATE: August 20, 2019
TO: Ronald L. Olson, City Manager
FROM: Leslie Hinkle, Executive Director of Community Development
SUBJECT: Contract Award from RFP 19-22 Transportation Services
BACKGROUND AND FINDINGS:
The Killeen Community Development Department received an allocation of Community Development Block Grant (CDBG) funding during the FY 2019-2020 annual allocation process for the operation of the Elderly Transportation Program and additional funding in the FY 2018-19 annual municipal budget. This program provides low income Killeen residents who are 62 years or older with assistance in their meeting transportation needs. The program has assisted over 2,400 of Killeen’s elderly (age 62+) residents since 1998, with funding primarily from the CDBG program, and as available, other local, state, and federal resources. The program allows participants to choose the type of transportation that best meets their needs. The options are the fixed route service with the HOP, or if they are eligible, they can use the Special Transit Service provided through the HOP. The Elderly Transportation program will pay for rides with those two options. The most used service is called a demand response service, and this allows the participant to call a transportation vendor for a ride and they will be picked up at their requested location. The demand response transportation services used are contracted with a City-approved vendor, with the most recent contract awarded in July 2015; a new contract is necessary to continue the demand response service for the program.
An invitation and request for proposals (RFP) was prepared by City Staff from Community Development and Purchasing to contract for demand response transportation services. The RFP was posted on the City web page, Demand Star and the Electronic State Business Daily on July 1, 2019; the proposal was published in the Killeen Daily Herald on June 30 and July 7, 2019 with proposals due on July 25, 2019. Also, the Purchasing Division staff notified via email a number of transportation companies to notify them of this RFP opportunity, however, only one RFP from Cove Taxi, Inc. was received that met the RFP requirements.
THE ALTERNATIVES CONSIDERED:
1) Discontinue the demand response portion of the program assisting elderly persons who have no other means of transportation.
2) Award the RFP for the demand response transportation services, select the vendor and execute a one-year contract to begin October 1, 2019. The contract also includes three, one-year options for renewal.
Which alternative is recommended? Why?
City staff recommends alternative #2. The elderly transportation program is funded with CDBG and General Funds and the program will assist in meeting the transportation needs for the elderly through this contract with Cove Taxi, Inc.
CONFORMITY TO CITY POLICY:
The RFP process and contracting with an approved vendor for these services conforms to City policy.
FINANCIAL IMPACT:
What is the amount of the expenditure in the current fiscal year? For future years?
This contract for transportation services will begin in October 1, 2019. CDBG funding in the amount of $50,000 and any other local, state, and federal resources.
Is this a one-time or recurring expenditure?
Recurring expenditure. This expenditure will occur for a maximum of four (4) years beginning October 1, 2019 and/or as funding is approved and allocated for FY's 2021, 2022, 2023.
Is this expenditure budgeted?
Expenditure is budgeted in the FY 2019-2020 CDBG program funds Special Revenue Fund, account number 228-3250-426.51-52, and in the proposed FY 19-20 Annual Budget -General Fund, account number 010-9503-491.44-66.
If not, where will the money come from?
N/A
Is there a sufficient amount in the budgeted line-item for this expenditure?
Yes, upon City Council approval of the FY 2020 Proposed Budget.
RECOMMENDATION:
Staff recommends the City Council award RFP 19-22 to Cove Taxi, Inc. and authorize the City Manager or his designee to execute a transportation services contract with Cove Taxi, Inc. for transportation services for participants of the elderly transportation program beginning October 1, 2019, and that the City Manager or his designee are further authorized to execute any change orders allowed by law and policy.
DEPARTMENTAL CLEARANCES:
Community Development
Finance
City Attorney
ATTACHED SUPPORTING DOCUMENTS:
RFP 19-22 Analysis/Review
RFP Evaluations
Contract
Certificate of Interested Parties