Docusign Envelope ID: DBB1E60C- 2936- 8ABF- 83BF- 1F317C63169A
TRANSIT SERVICE OPERATION AGREEMENT
BETWEEN THE CITY OF REDONDO BEACH AND
THE CITY OF MANHATTAN BEACH
THIS TRANSIT SERVICE OPERATION AGREEMENT ( this " Agreement") is entered into by and between the City of Redondo Beach, a chartered municipal corporation (" Redondo Beach"), on behalf of Beach Cities Transit (` BCT"), which is a division of Redondo Beach, and the City of Manhattan Beach, a general law city ("Manhattan Beach"). Redondo Beach and Manhattan Beach are sometimes referred to herein as the " Parties", and individually as a " Party".
RECITALS
A. WHEREAS, on July 1, 2006, Redondo Beach and Manhattan Beach entered into that certain Transit Service Operation Agreement (" First Agreement") to enable BCT Line 109 as described in Attachment A to take over public transportation services for the discontinued Los Angeles County Metropolitan Transportation Authority Line 439 for a two ( 2) year term.
B. WHEREAS, Redondo Beach and Manhattan Beach subsequently entered into agreements relating to Line 109 in 2008, 2010, 2011, 2012, 2013, 2015, 2016, 2017, and 2018 ( the 2018 Agreement").
C. WHEREAS, the 2018 Agreement expired on June 30, 2019, and no new agreement was established for that year.
D. WHEREAS, Redondo Beach and Manhattan Beach entered into agreements relating to Line 109 in 2020, 2021, 2022, 2023, 2024, and 2025 ( the " 2025 Agreement") following this lapse.
E. WHEREAS, the 2025 Agreement expires on June 30, 2026, and the Parties desire to enter into a new agreement with the terms and conditions set forth below.
NOW THEREFORE, IN CONSIDERATION OF THE MUTUAL PROMISES
CONTAINED HEREIN, THE PARTIES AGREE AS FOLLOWS:
1. TERM
This Agreement shall be effective as of July 1, 2026, and shall have a one ( 1) year term expiring on June 30, 2027. The Parties acknowledge that an agreement in similar form to this Agreement or an amendment may be negotiated for continued Line 109 service beyond June 30, 2027. In the event Manhattan Beach intends to renew this Agreement, Manhattan Beach shall notify Redondo Beach of its intent to renew at least 182 days prior to the expiration of this term.
Docusign Envelope ID: DBB1E60C- 2936- 8ABF- 83BF- 1F317C63169A
2. SERVICE DESCRIPTION
a. Redondo Beach shall engage a qualified transportation contractor to provide bus services to Line 109 consistent with the maps shown in Attachment A, which is attached hereto and by this reference incorporated herein (" Line 109" or the " Service"). b. Redondo Beach shall engage a qualified transportation contractor to provide bus services to Line 109 on the days of the week and service times, and at frequencies of service equal to or better than that which was operated by Redondo Beach immediately prior to the effective date of this Agreement. The service schedules for Line 109, as illustrated in Attachment B, are attached hereto and by this reference incorporated herein.
c. Redondo Beach may adjust the route and schedule of Line 109; however, any changes or reductions to the Service in excess of 10% of service hours, and any changes to the route, shall be brought to Manhattan Beach in writing for review and comment prior to implementation.
d. Redondo Beach reserves its rights, at its sole discretion, to enter into contracts for Line 109 service with any other provider of its choice at any time without the approval of Manhattan Beach. Redondo Beach shall be responsible for any and all aspects of administration of the service contract, and shall assure that the contract includes provisions pertaining to insurance, age, maintenance and operation of vehicles, driver qualifications and other similar provisions typical of an agreement ofthat kind. e. Redondo Beach shall base the percentage of cost for Line 109 on the route service mile calculations, as illustrated in Attachment C, which is attached hereto and by this reference incorporated herein.
3. PASSENGER FARES
Redondo Beach may charge fares for the Service consistent with its existing fixed -route service. Redondo Beach will accept interagency transfers with adjacent transit operators and participate in the EZ Pass Program. Redondo Beach shall retain all farebox revenues. BCT Line 109 passenger fare revenues shall be used to offset operation expenses.
4. FUNDING
a. For costs associated with the operation of Line 109, Manhattan Beach shall pay Redondo Beach in accordance with this Section. Manhattan Beach shall not pay Redondo Beach for capital costs related to Service Operating Expenses, as described more fully in subsection 4.B, nor shall Manhattan Beach provide equipment to operate the Service.
b. FY 2026-2027: Operations Funding from Manhattan Beach shall be $29, 125 for fiscal year 2026- 2027.
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Docusign Envelope ID: DBB1E60C- 2936- 8ABF- 83BF- 1F317C63169A The Parties agree that, in the event this Agreement is extended or amended and Manhattan Beach agrees to provide additional operations funding, the amount of that funding will be derived from the percentage of cost for Line 109, which is based on the route service mile calculations illustrated in Attachment C. c. Service Operating Expenses are incorporated in the service hour rates and include without limitation, driver wages, general administration and overhead, and maintenance costs. Real Time Information (" RTI") Systems Operating Expenses include without limitation, RTI Systems, passenger/administration interface programs, cellular and internet hosting of RTI services and report management programs. d. Redondo Beach is responsible for all marketing and promotion of the service.
Notwithstanding the foregoing, Manhattan Beach may advertise at its sole expense, but any advertisement of BCT must be approved in writing by Redondo Beach prior to such reference. Only the BCT logo may be used to advertise or market the service. e. On a quarterly basis, BCT will meet with Manhattan Beach to develop additional marketing strategies directed towards increasing BCT Line 109 ridership. Manhattan Beach shall provide assistance for public outreach and information to target Manhattan Beach residents and non-resident community members.
5. REPORTING/ INVOICING
a. Redondo Beach shall report to Manhattan Beach on a quarterly basis, all of the following data for the Line 109 Service:
i. Passengers carried
ii. Revenue hours operated
iii. Revenue miles operated
iv. Total operating costs, which includes Service Operating Expenses and RTI Systems Capital and Operating Expenses.
b. Redondo Beach shall submit said report to the Manhattan Beach City Manager or designee in writing within forty-five (45) days after the end of each reporting quarter. c. Redondo Beach shall incorporate Line 109 data into its Federal Transit Administration' s National Transit Data (" NTD") annual report for the entire BCT fixed route transportation system. Redondo Beach shall provide to Manhattan Beach annual NTD random sampling data which provides the statistics to estimate the number of passengers boarding and alighting by stop in Manhattan Beach and the total estimated Manhattan Beach passengers.
d. Manhattan Beach retains the right to audit the BCT' s records of Line 109 Service and to periodically monitor the Service.
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Docusign Envelope ID: DBB1E60C- 2936- 8ABF- 83BF- 1F317C63169A e. Redondo Beach shall schedule quarterly joint meetings with the partnering cities of El Segundo, Hermosa Beach, and Manhattan Beach. Redondo Beach will provide a quarterly update of Line 109 services and discuss coordinated marketing and public outreach efforts and operating and financing issues that affect BCT services.
6. INSPECTION OF RECORDS
BCT records relevant to this Agreement shall be available for inspection by Manhattan Beach at all reasonable times for a period of at least three ( 3) years or after the expiration date, whichever comes first.
7. NON- DISCRIMINATION
No person shall on the grounds of race, color, religion, national origin, ancestry, age, sex, gender, gender identity, gender expression, age, sexual orientation, marital status, genetic information, physical or mental disability, military or veteran status, or any other protected classification under applicable federal or state law, be excluded from participation in, or be subject to discrimination in the operation of the Line 109 Service.
8. COORDINATION
a. Redondo Beach shall coordinate its BCT services, to the extent practical, so that passengers transferring between transit operators will have minimal waiting times.
This coordination will require transit agencies to communicate with each other as many weeks as possible in advance of any planned schedule change to the services that may affect passenger transfers.
b. The Manhattan Beach Project Manager for this project shall be the City Manager or designee. The BCT coordinator for this project shall be the Community Services Director or designee.
9. WAIVER OF BREACH
The waiver of each Party ofany breach of any provision ofthis Agreement shall not operate or be construed as a waiver of any subsequent breach of that same or any other provision.
10. NOTICES
a. All notices, requests, demands, or other communications under this Agreement shall be in writing. Notice shall be given as follows:
Personal Delivery. When personally delivered to the recipient, notice is effective on delivery.
ii. First Class Mail. When mailed first class to the last address of the recipient known to the Party giving notice, notice is effective three mail delivery days after deposit in a United States Postal Service office or mailbox.
M
Docusign Envelope ID: DBB1E60C- 2936- 8ABF- 83BF- 1F317C63169A iii. Certified Mail. When mailed via certified mail, return receipt requested, notice is effective on receipt, if delivery is confirmed by a return receipt. iv. Overnight Delivpa. When delivered by an overnight delivery service, charges prepaid or charged to the sender' s account, notice is effective on delivery, if delivery is confirmed by the delivery service.
v. Facsimile Transmission. When sent by fax to the last fax number of the recipient known to the Party giving notice, notice is effective upon receipt. Any notice given by fax shall be deemed received on the next business day if it is received after 5: 00 p. m. ( recipient' s time) or on a non -business day. vi. Email. When sent by email, notice is effective on the second business day after emailing, provided that no " bounce -back" or similar message indicating nondelivery is received.
Addresses for purpose of giving notice shall be as follows:
Beach Cities Transit: City of Redondo Beach
Transit Manager
Attention: Line 109
415 Diamond Street
Redondo Beach, CA 90277
Fax Number: ( 310) 798- 8273
Email: tyron. gunngredondo. org
With a copy to: City of Redondo Beach
The City Clerk' s Office
415 Diamond Street
Redondo Beach, CA 90277- 2836
Fax Number: ( 310) 374- 0220
Email: ci . clerkkredondo.org
City of Manhattan Beach: City of Manhattan Beach
City Manager
Attention: Line 109
1400 Highland Avenue
Manhattan Beach, CA 90266- 4795
Fax Number: ( 310) 802- 5051
Email: tmirzakhanian(a),manhattanbeach.gov
With a copy to: City Clerk
City of Manhattan Beach
1400 Highland Avenue
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Docusign Envelope ID: DBB1E60C- 2936- 8ABF- 83BF- 1F317C63169A Manhattan Beach, CA 90266- 4795
Fax Number: ( 310) 802- 5051
Email: ci , clerk(amanhattanbeach. gov
b. Any correctly addressed notice that is refused, unclaimed, or undeliverable because of an act or omission of the Parry to be notified, shall be deemed effective as of the first date the notice was refused, unclaimed or deemed undeliverable by the postal authorities, messenger or overnight delivery service.
c. Either Party may change its address, email, or fax number by giving the other Party written notice of the change.
11. SEVERABILITY
Should any part, term or provision of this Agreement or any document required herein to be executed be declared invalid, void or unenforceable, all remaining parts, terms and provisions hereof shall remain in full force and effect and shall in no way be invalidated, impaired or affected thereby.
12. INTEGRATION; AMENDMENT
This Agreement represents the entire understanding of Manhattan Beach and Redondo Beach as to those matters contained in it. No prior oral or written understanding shall be of any force or effect with respect to the subject matter hereof. This Agreement may not be modified or altered except by written amendment executed by both Parties.
13. INTERPRETATION
The terms of this Agreement should be construed in accordance with the meaning of the language used and should not be construed for or against either Party by reason of the authorship ofthis Agreement or any other rule of construction that might otherwise apply.
14. GOVERNING LAW; JURISDICTION
This Agreement will be administered and interpreted under the laws of the State of California. Jurisdiction of any litigation arising from this Agreement will be in Los Angeles County, California.
15. COMPLIANCE WITH STATUTES AND REGULATIONS
BCT will be knowledgeable of and will comply with all applicable federal, state, county and city statutes, rules, regulations, ordinances and orders.
16. NON -LIABILITY OF CITIES
No officer or employee of either city shall be personally liable to the other, in the event of any default or breach thereunder.
Docusign Envelope ID: DBB1E60C- 2936- 8ABF- 83BF- 1F317C63169A
17. INDEMNIFICATION
To the fullest extent permitted by law, each Party (" Indemnifying Party") hereby agrees to defend, indemnify and hold harmless the other Party ( the " Indemnified Party"), its elected and appointed officials, officers, employees, contractors, volunteers, agents, and members of boards and commissions from and against any and all loss, damages, costs, expenses, liabilities, claims, demands, causes of action, proceedings, and judgments, penalties, and liens, including reasonable attorney' s fees, expert fees and costs of suit, to the extent arising out ofor resulting from the negligent acts, errors or omissions, or willful misconduct ofthe Indemnifying Party, its elected and appointed officials, officers, employees, contractors, volunteers, agents, and/or members of boards and commissions in the performance of this Agreement.
Neither Party shall be obligated to indemnify the other for any claim to the extent arising from the sole negligence or willful misconduct ofthe Indemnified Party, its elected and appointed officials, officers, employees, contractors, volunteers, agents, and/ or members of boards and commissions. Where a claim arises from the concurrent fault of both Parties, each Party' s indemnity obligation shall be limited to its proportionate share of fault.
Notwithstanding any other provision of this Agreement, Redondo Beach shall not be obligated to defend, indemnify, or hold harmless the other Parry for any claim arising from the condition, design, construction, maintenance, repair, or operation of Manhattan Beach' s streets, sidewalks, bus stops, bus shelters, benches, signage, lighting, or other public infrastructure, property, or rights -of -way, regardless of whether such claim is asserted to be related to Line 109 or the Service.
This indemnification obligation shall survive the expiration or termination of this Agreement and shall not be limited by any insurance coverage maintained by either Party.
18. AUTHORITY
Each Party warrants that the individuals who have signed this Agreement have the legal power, right and authority to enter into and execute this Agreement on behalf of each respective Party.
SIGNATURES FOLLOW ON NEXT PAGE
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Docusign Envelope ID: DBB1E60C- 2936- 8ABF- 83BF- 1F317C63169A IN WITNESS WHEREOF, the Parties have executed this Agreement in Redondo Beach, California, as of this 21st day of July, 2026.
CITY OF REDONDO BEACH, CITY OF MANHATTAN BEACH,
a chartered municipal corporation a general law city
Signed by:
By: By:
fi w M.iv''yal 6)Aiau -
James A. Light, Mayor Talyn Mirzakhanian, City Manager 6/ 29/ 2026 ATTEST:
Eleanor Manzano, City Clerk
APPROVED AS TO FORM:
Joy A. Ford, City Attorney
ATTEST:
DocuSigned by:
fiamwp , ul OAA
Liza Tamura, City Clerk 6/ 29/ 2026
APPROVED AS TO FORM:
DocuSigned by:
iln.ln. Itil„ jaW'OW } Q{fOV1n. t,
Quinn M. Barrow, City Attorney 6/ 29/2026
APPROVED AS TO FISCAL IMPACT:
Signed by:
Libby Bretthauer, Finance Director 6/ 24/2026
APPROVED AS TO CONTENT:
E
igned by:
aQUE Vt, Masa
Alkire, AICP Community Development Direc- 6/
23/ 2026
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44 Docusign Envelope ID: DBB1 E60C- 2936- 8ABF- 83BF- 1 F317C63169A Attachment B: BCT Line 109 Time Schedule
Line 4M Redondo Beach Riviera Village — LAX City Bus Center NORTHBOUND Redondo Beach Riviera
Village to LAX City Bus Center
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M 16 Effective June 2025 - www.beachcitiestransit. org - 310.802. 7686 Docusign Envelope ID: DBB1E60C- 2936- 8ABF- 83BF- 1F317C63169A Attachment C
Beach Cities Transit Line 109
Route Service Mile Calculations by City
Route Miles NB Miles SB Miles Average
Miles Per
city
Allocation
Formula
Redondo Beach & Los
Angeles
5. 3 6. 9 6.1 34. 95%
Hermosa Beach 2. 2 1. 6 1. 90 10.89%
Manhattan Beach 3. 4 2. 2 2. 8 16.05%
El Se undo 7. 7 5. 6 6. 65 38.11
Total Miles 18. 6 16. 3 17.45 100. 00%