STAFF REPORT TO THE CITY COUNCIL
DATE: Regular Meeting of March 14, 2023
TO: Mayor and Members of the City Council
VIA: Dante Hall, City Manager
SUBMITTED BY: Michael Roberts, Public Works Director/City Engineer SUBJECT: Renewal of a Maintenance and Reimbursement Agreement with San Francisco Bay Area Rapid Transit (BART) and Western Contra Costa Transit Authority (WestCat) for the Hercules Transit Center RECOMMENDED ACTION:
The City Council adopt a resolution approving a Maintenance and Reimbursement Agreement with San Francisco Bay Area Rapid Transit (BART) and Western Contra Costa Transit Authority (WestCat) for the Hercules Transit Center and authorizing the City Manager to execute the agreement on behalf of the City Council.
BACKGROUND:
BART owns the Hercules Transit Center, a satellite park-and-ride facility in the City of Hercules at the corner of Willow Avenue and the I-80 Off-Ramp/SR-4 On-Ramp. Since 2009, the City of Hercules has partnered with BART and WestCAT to operate and maintain the facility. Under the current three party-agreement, Hercules operates the parking program and maintains the facility, including collection of parking fees via a third-party vendor Clancy International, trash removal, street sweeping, landscaping, and repairs. WestCAT provides free connecting bus services to the El Cerrito del Norte BART station to those who have purchased parking, and maintains on-site bus operator restrooms. From the parking fees it collects, Hercules reimburses itself for operating and maintenance expenses and reimburses WestCAT for each free connecting bus trip provided to customers. In FY2022, about 250 such subsidized round trips to BART were made on the bus from the facility to the El Cerrito del Norte BART station. Any remaining money collected from parking fees is retained for future capital expenses or submitted to BART.
ANALYSIS:
Due to low facility utilization and increase of remote work options following the COVID-19 pandemic, the parties are seeking to optimize operating costs while improving the customer experience. The parties agree that, by enabling parking payments in the BART Official App, BART can more cost-effectively collect parking revenues than Hercules’ parking vendor. This would also provide an improved and modernized parking payment experience for customers, who must currently obtain a paper printout or hangtag to park.
The parties further agree that Hercules is best positioned to continue to maintain the facility given its location within the City, allowing for the inclusion of the site in existing city maintenance contracts and servicing by City staff. The parties therefore seek to create a new agreement whereby BART operates the parking program and collects parking revenues, Hercules continues to maintain the facility, and WestCAT continues to receive a subsidy for providing free connecting bus service to BART.
Key terms of the new agreement include the following:
The base agreement duration will be four (4) years, and will be automatically extended each year, for up to six (6) additional years, unless one of the parties gives notice of termination. This Agreement may be extended beyond the initial ten (10) year term for an additional length of time by written mutual agreement of the Parties.
BART will collect parking fees via the BART Official App and a parking payment website (once available). Consistent with current practice, a limited number of parking spaces will be set aside for free use for first-time customers who arrive without a smartphone.
Hercules will continue to perform agreed-upon maintenance expenses which will be paid for from a revolving fund held by the City and for which BART will provide an initial deposit and replenish based upon quarterly invoices of expenses by the City.
Customers who purchase Daily Parking will continue to receive a free round-trip bus trip to BART. BART will continue to reimburse WestCAT $1.36 for each one-way trip to BART. The existing discount offered for a combined monthly parking and transit pass will be discontinued due to low usage and high administrative burden.
Facility capital expenses will be prioritized as part of BART’s overall capital budgeting process.
In addition to revising the agreement, BART is working to deliver a capital project at the facility. Funded by Costa County Transportation Authority Measure J, the project has installed emergency blue light telephones and restriped the parking area. By June 30th, the project will also install bus shelter wind screens, new signage, and electrical improvements. BART has also committed to contribute $100K towards the Willow/Palm Pedestrian Corridor Transit Center Connector Project, which is currently out to bid.
FISCAL IMPACT:
BART will provide an initial deposit of 50% of the FY 23-24 Budget less contingency to Hercules for a revolving fund. Expenditures will be made by the City in accordance with the agreed upon budget and the City will reimburse itself by drawing down from the revolving fund balance, so no out-of-pocket expenditures occur. Quarterly invoices will be submitted to BART to replenish the revolving fund on a forward moving basis.
The FY 23/24 & 24/25 City of Hercules maintenance budget, which will be incorporated into each agencies’ annual budget and can be modified as needed by mutual agreement, is shown below.
Item
Description
Budgeted
Cost FY24
Budgeted Cost FY25
Program Administration
City of Hercules staff time for management of maintenance contracts. 24 hrs/year $4,000
$5,000
Street Sweeping
Street sweeping
$4,000
$5,000
Water (EBMUD)
Water & wastewater costs
$18,000
$20,000
Landscape maintenance
Plant, tree, shrub and sprinkler system maintenance and repair. $13,300
$15,000
Trash removal
Trash receptacles checked daily and cans emptied as needed. Graffiti removed as needed (work performed by the City at 5 hrs/week) $19,000
$19,000
Restrooms
Two porta potties cleaned weekly
$6,200
$7,000
Power washing
Power washing twice annually
$2,500
$3,000
Other expenses / contingency
Miscellaneous repair (e.g. damage to fencing, benches and lighting fixtures). $15,000
$15,000
Total budgeted costs
$81,900
$90,200
ATTACHMENTS:
Attach 1- Resolution
Attach 2- Maintenance and Reimbursement Agreement
Attach 3- 2023 Maintenance and Reimbursement Agreement