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HomeMy WebLinkAboutState of WI Urban Mass Transit Op Assistance 1986 URBAN MASS TRANSIT OPERATING ASSISTANCE CONTRACT BETWEEN THE STATE OF WISCONSIN AND CITY OF OSHKOSH This Contract is made and entered into between City of Oshkosh, hereinafter referred to as "Recipient," and the State of Wisconsin, Department of Transportation, hereinafter referred to as "Department," through the Secretary of the Department of Transportation, hereinafter referred to as "Secretary." RECITALS WHEREAS, Wis. Stat. 85.20 creates an urban mass transit operating assis- tance program for the purpose of promoting the general public good by preserv- ing and improving existing urban mass transit systems in Wisconsin and encour- aging their effective and efficient operation; and WHEREAS, Wis. Stat. (1985) 20.395(1) (bq) appropriates funds for this mass transit aid program; and, WHEREAS, such funds are available to a local public body in an urban area that includes a city or village of more than 5,000 population which is served by an urban mass transit system incurring an operating deficit; and, WHEREAS, the Department has determined that the Recipient meets the eli- gibility requirements of TRANS 4.02, Wisconsin Administrative Code and will pay the operating deficit of the urban mass transit system known as the Oshkosh Transit System, hereinafter referred to as "Transit System"; The parties agree as follows: SECTION I: PAYMENT BY THE DEPARTMENT A. The Department agrees to pay the Recipient $531,546, or 37.5% of the Transit System's audited operating expenses as defined in Wis. Stat. 85.20(1) (g) and in TRANS 4.04, Wisconsin Administrative Code, or the Transit System's audited operating deficit as defined in Wis. Stat. 85.20(1) (f) , whichever sum is less. B. Operating expenses mean costs accrued to the Transit System by virtue of its operations as defined in Wis. Stat. 85.20(1) (g) and in TRANS 4.04, Wisconsin Administrative Code, for the period January 1, 1986 through December 31, 1986. -1- C. Operating deficit means the amount by which the total operating expenses incurred in the operation of the Transit System, during the period Jan- uary 1, 1986 through December 31, 1986, exceeds the amount of operating revenue derived therefrom. D. The Department shall determine such operating expenses and deficits. The Department's determination shall be in accordance with generally accepted accounting principles and practices. SECTION II: RESPONSIBILITY OF RECIPIENT A. The Recipient agrees to pay the total operating deficit of the Transit System as its bills became due. If the Recipient contracts for mass transit service with a privately-owned canpany, the Recipient shall pay the privately-owned canpany in accordance with Schedule IV. B. The Recipient agrees that the Transit System will provide reduced fare programs for elderly and handicapped persons during nonpeak hours. Such reduced fares may not exceed one-half of the full adult cash fare appli- cable during peak hours of operation. C. The Recipient agrees that the Transit System will establish and maintain accounting procedures and documentation requirements as prescribed or approved by the Department. D. The Recipient assures that the Transit System will determine "revenue passenger trips" taken during Calendar 1986 in accordance with procedures defined in the Wisconsin Administrative Code, Chapter TRANS 3 and with the provisions of the 1986 Transit Management Plan (Appendix A) of this Contract. E. The Recipient assures that the Transit System will file Quarterly Transit Operational Reports, Annual Statistics and Ridership Reports, and other special reports as may be required by the Department. The Recipient assures that all reports will be submitted in a manner and form pre- scribed by the Department. F. The Recipient assures that if other local public bodies contribute assis- tance to the operation of the Transit System, the state aids received by the Recipient under this Contract shall be allocated among the contrib- utors in proportion to their contributions as shown in Schedule III. SECTION III: STATE DISBURSEMENTS A. Payments by the Department to the Recipient shall be made in accordance with Schedule II. -2- B. An initial adjustment of payments will be made upon receipt by the Department of a year-end financial statement submitted by the Recipient. The year-end financial statement must reflect the operating revenues and expenses incurred by the Transit System for the year ending December 31, 1986, after the books for that year have been closed. If, based on the year-end financial statement, payments made by the Department are less then 37.5% of the eligible operating expenses of the Transit System, and less than the operating deficit of the Transit System, the Department will pay the Recipient the amount withheld per Schedule II, or a sum sufficient to bring the Department's total payments up to 37.5% of eligible operating expenses, or a sum sufficient to bring the Depart- ment's total payments up to the operating deficit, whichever sum is less. C. A final adjustment of state payments will be made upon completion of the Department's audit of the Transit System. If the Department's audit establishes that the state paid more then 37.5% of the eligible operating expenses of the Transit System, or more than the operating deficit of the Transit System, the Recipient shall refund to the Department upon demand a sum sufficient to reduce the Department's payments to ca ply with Section 1.A. of this Contract and with Wis. Stat. 85.20(4) (em) . SECTION IV: ACCOUNTING RECORDS AND DEPARTMENT AUDITS A. The Recipient assures that the Transit System will maintain such account- ing records as the Department may require. Such accounting records and any other related financial books and records shall be subject to an audit as directed by the Department as of December 31, 1986. The Depart- ment may also direct audits upon a transfer of ownership of the Transit System or at any other such times as it may elect. SECTION V: SYSTEM MANAGEMENT A. The Recipient agrees that the Transit System will be managed and operated in accordance with the provisions of the 1986 Transit Management Plan (Appendix A) of this Contract. Modifications to the 1986 Transit Manage- ment Plan may be proposed by either the Recipient or the Department. B. A request by the Recipient to modify the 1986 Transit Management Plan must be submitted in writing to the Department in a manner prescribed by the Department, and must be received by the Department at least 14 calendar days prior to the planned implementation date of the proposed change. The Department may require the Recipient to hold a public hearing prior to the Department's determination on its request. C. If the Department determines that a proposed modification is a "substan- tive change" to the 1986 Transit Management Plan, and if the Secretary approves such a "substantive change," the Department shall prepare an amendment to this Contract and forward it to the Recipient for execution. -3- The Recipient shall not implement a proposed "substantive change" to the 1986 Transit Management Plan until an appropriate amendment to this Con- tract has been executed by both the Recipient and the Secretary. D. If the Department determines that a proposed modification to the 1986 Transit Management Plan is a "nonsubstantive change," the Department shall authorize the Recipient to implement the change, and a formal amendment to this Contract shall not be required. E. A request by the Department to modify the 1986 Transit Management Plan must be submitted in writing to the Recipient at least 28 days prior to the planned implementation date of the proposed change. Within 21 calendar days of receipt of such a request, the Recipient shall respond to the Department's request. If the Recipient agrees to the Department's request, then this Contract will be modified accordingly and the change implemented. SECTION VI: DEPARTMENT APPROVAL OF CONTRACTS A. If the Recipient contracts for mass transit service with a privately- owned system, the Recipient shall send to the Department all draft contracts between the Recipient and the Transit System. The Department shall review such draft contracts and determine their conformance with the provisions of this Contract. Upon authorization by the Department, the Recipient and the Transit System may execute such contracts. SECTION VII: EFFECTIVE PERIOD A. This Contract shall be in effect from January 1, 1986 through December 31, 1986. SECTION VIII: TERMINATION A. The Department may terminate this Contract at any time that the Secretary determines that the purpose of the mass transit aid program as expressed in Wis. Stat. 85.20 is not being fulfilled. B. The Recipient may terminate this Contract if the Recipient makes a formal application to do so. C. Both parties agree that notice of intent to terminate shall be made through "return-receipt certified mail" at least 30 calendar days prior to the proposed termination date. D. In the event that this Contract is terminated, the Department agrees to reimburse the Recipient for up to 37.5% of the operating expenses incurred between January 1, 1986 and the termination date. Payment by the Department shall not exceed the operating deficit incurred between -4- January 1, 1986 and the termination date. Eligible costs will be determined in accordance with the provisions of Section 1.A. of this Contract and with Wis. Stat. 85.20(4) (em) . SECTION IX: EXEMPTION FROM REGULATION A. For the effective period of this Contract, the Transit System shall be completely exempt from regulation by the Transportation Commission under Chapter 194, Wis. Stats. , unless otherwise expressly directed by the Department. "IN WITNESS WHEREOF the parties have executed this Contract in the manner most appropriate to each." STATE OF WISCONSIN DEPARTMENT OF TRANSPORTATION CITY OF OSHKOSH BY By Douglas F. Haist, Administrator Div. of Transportation Assistance Date � Date �l'L L 36 -5- 1986 URBAN MASS TRANSIT OPERATING ASSISTANCE CONTRACT BETWEEN STATE OF WISCONSIN AND CITY OF OSHKOSH SCHEDULE I - ESTIMATED DEFICIT (January 1 , 1986 - December 31 , 1986 ) Line Item Amount ( 1 ) Total Operating Expenses . . . $ 1 , 417 , 456 ( 2 ) Total Operating Revenues . . . $ 389 , 625 ( 3 ) Total Operating Deficit* . . . $ 1 , 027 , 831 ( 4 ) Federal Share of Deficit** . . . $ 347 , 904 ( 5 ) State Share of Deficit . . . $ 531 , 546 ( 6 ) Local Share of Deficit . . . $ 148 , 381 * Deficit means the total operating deficit per WISDOT definition . ** Federal share means that portion of federal operating assistance aids applied to the WISDOT recognized operating deficit . 1986 URBAN MASS TRANSIT OPERATING ASSISTANCE CONTRACT BETWEEN STATE OF WISCONSIN AND CITY OF OSHKOSH SCHEDULE II - STATE DISBURSEMENTS Period Payment Payment Date First Quarter $132 , 886 . 50 May 31 , 1986 Second Quarter $132 , 886 . 50 July 31 , 1986 Third Quarter $132 , 886 . 50 Sept . 30 , 1986 Fourth Quarter $79 , 731 . 90 Dec . 31 , 1986 Withheld Pending Year-End Financial Statement $53 , 154 . 60 1986 URBAN MASS TRANSIT OPERATING ASSISTANCE CONTRACT APPENDIX A - 1986 MANAGEMENT PLAN Appendix A is the Management Plan for the publicly owned Oshkosh Transit System for the period January 1, 1986 through December 31, 1986. I. FARES The following fare structure will be in effect on January 1, 1986. There are no anticipated changes for the period of January 1, 1986 through December 31, 1986. Adult Cash Fare $ .40 Children (5 thru 10 years old) $ .30 Elderly & Handicapped (off-peak) $ .20 Children (under 5 years) Free Transfers Free Tokens 20 for $ 8.00 Unlimited Monthly Pass $15.00 NEENAH-MENASHA ROUTE: Oshkosh to Winnebago $ .50 to Neenah $ 1.25 to Menasha $ 1.25 Winnebago to Neenah $ 1.00 to Menasha $ 1.00 Neenah to Menasha $ .75 II. LEVELS OF SERVICE There are no anticipated changes in the level of service provided during if the period of January 1, 1986 through December 31, 1986. III. PROCEDURES FOR ESTABLISHING 1986 REVENUE PASSENGERS The Oshkosh Transit System (OTS) will determine the 1986 revenue passenger count by the use of the average-fare method. The average-fare method uses several average fares determined through surveying the actual revenue and number of passengers using the system on selected representative days during different periods of the year. Average fares will be established for each of the following type of service days in which transit service is provided in Oshkosh: Weekday/School Weekday/No School Saturday Sunday/Holiday Special Fare Days The average fare determined from the surveys will be applied to OTS' s annual passengers revenue accumulated by type of day. Oshkosh Transit System Page 2 Each day of the year during which the transit system operates shall be classified as one of the five designated types of days. Passenger revenue will be accumulated during the year by these types of days. A simple application of the appropriate average fare will establish the ridership for that type of day. Accumulation of annual ridership by type of day will result in an annual ridership figure. IV. EFFECTIVENESS AND EFFICIENCY The specific actions proposed for 1986 are listed below. 1) Increase the fare to improve the operating ratio. 2) Continue to market the system by showing the OTS slide program to schools and businesses. 3) Explore the possible applications of computer technology to reduce various areas of expenditures. 4) Develop a marketing program with specific recommendations for increasing ridership. 5) Analyze the school tripper service with the intention of reducing mileage and time. 6) Reduce the absenteeism for 1986. 7) Implement the state's safety program. 8) Upgrade the current fleet appearance especially inside cleanliness. 9) Encourage bus usage for trips to the CBD. 10) Extend service to Fleet Farm and the surrounding businesses. 11) Realign support staff to reduce expenses and improve productivity. 12) Conduct an on-board survey to determine the opinions and attitudes of existing riders. 13) Implement a ride and shop program with CBD merchants. 14) Work with the University to implement a new shuttle route to serve the university and the CBD area. Oshkosh Transit System Page 3 The following service standards have been developed for the Oshkosh Transit System. 1) Passengers/Mile 1.74 2) Passengers/Day 3,275 3) Passengers/Population 20 4) Accidents/100,000 Miles 3.5 5) Revenue/Expense Ratio 27% 6) Expense/Passenger $1.42 7) Expense/Mile $2.42 8) Per Capita Local Subsidy 3.08 9) Revenue/Vehicle (Peak) 20,690 10) Miles/Road Call 3,000 11) Maintenance Cost/Mile $ .37 12) Operations Cost/Mile $1.52 13) Administration Cost/Mile $ .53 14) Miles/Maintenance Hour 62 15) Schedule Adherence 1k mins. early to 4 mins. late 16) Min. Passenger per mile 1.4 17) Passengers/Hour 21 18) Revenue/Mile $ .67 19) Revenue/Hour $8.39