SR-03-28-1978-6ISanta Monica, California, March 16, 1978
MAR 2 9 1£379
TO: Mayor and City Council F
FROM: City Staff j�
SUBJECT: APPROVAL OF A CONTRACT WITH THE FEDERAL URBAN MASS
TRANSPORTATION ADMINISTRATION(UMTA) AMENDING A PREVIOUS'
GRANT RECEIVED BY THE CITY
Introduction
Recently the City received bids for transit buses and firmed up prices
for the installation of a fare collection system. Both amounts are
greater than the ones listed in the original UMTA grant assistance
contract. This staff report requests approval of an amended assistance
contract with UMTA to cover the additional costs.
Background
On August 10, 1976, the City Council approved a grant contract with
UMTA to assist the City in purchasing fifteen(15) diesel transit buses,
one hundred two(102) fareboxes, twenty- five(25) farebox pedestals and
an automatic fare collection system. The radio system has been purchased
and installed, but the prices for both the buses and the fare collection
system, including fareboxes, exceed the amounts programmed in the original
contract.
In light of these higher prices, the Transportation Department submitted
a request to UMTA to increase the federal portion of the project budget
by $412,266 to $2,010,188. UMTA approved Santa Monica's amendment of
January 31, 1978 and forwarded the attached grant contract to the
Southern California Association of Covernments(SCAG) for their approval.
We have received this approval.
IN
MAR 2 8 1978
To: Mayor and City Council
Page 2
Alternatives
1. The City can decide to reject the contract. The purchase of several
buses or the fare collection system would have to be foregone and the
older equipment retained.
2. The City can decide to authorize the City Manager to execute the
amended contract. This would allow the City to use the federal grant
to assist in purchasing the fifteen transit buses and the fare collection
system;
Recommendation
The City staff recommends that the City Council authorize the City
Manager to execute the attached amended contract pertaining to
project no. CA -05 -0016. This will allow the City to receive the
additional federal assistance for the purchase of fifteen new transit
buses and the fare collection system.
Prepared by: Jack Hutchison
Bob Ayer
RllCITI_.. ®. __.ti.......ti....
600 Louth Commonwealth Avenue ®fuite 1000 . Lof Angelef. California . 90005 •213/385 -1000
RESOLUTION OF THE SOUTHERN CALIFORNIA ASSOCIATION OF GOVERNMENTS RATIFYING
THE SIGNING AND AUTHORIZING THE ACCEPTANCE OF AN UMTA CONTRACT FOR PROJECT
CA -05- 0016 -01
WHEREAS, Section 5 of the National Mass Transportation Assistance
Act of 1974 provides funds for operating assistance for transit operators; and
WHEREAS, the process for obtaining said assistance require that a
designated recipient be named in the urbanized area where the funds will be
used; and
WHEREAS, the Southern California Association of Governments (SCAG)
has been named as the Designated Recipient in the Los Angeles - Long Beach
urbanized area; and
WHEREAS, the City.of Santa Monica has
applied for funds under the Section 5 Program in the Los Angeles - Long Beach
urbanized area; and
WHEREAS, SCAG acting as Designated Recipient is assigned certain
responsibilities in overseeing the project; and
WHEREAS, it is possible to assign the responsibility directly to
the grantee;
NOW THEREFORE, BE IT RESOLVED that the Executive Committee of SCAG
accepts the UMTA Contract for Project CA-05- 0016 -01, and
BE IT FURTHER RESOLVED that SCAG, as the recipient designated in
accordance with Section 5 of the Urban Mass Transportation.Act of 1974, as
amended, hereby agrees to permit the City of Santa Monica to receive and dis-
pense the federal funds described in this contract provided that SCAG is not
in any manner subject to or responsible for the terms and conditions of this
grant; and
BE IT FURTHER RESOLVED that the SCAG Executive Committee ratifies
the signing of the contract by the Executive Director.
Passed and Adopted by the Executive Committee of the Southern California
Association of Governments, this 2nd day of March, 1978.
ATTEST: /
Dennis Hansberger� Pre ids
Mark Pisano, Executive Director
URBAN MASS TRANSPORTATION
SECTION FIVE CAPITAL GRANT CONTRACT-
PART I
Project No.
Amendment No. 1
CA -05 -0016
,DBSIGNATED RECIPIENT:.__ Southern California Association of Governments (SCAG)
GRANTEE: City of Santa Monica -
14ASS TRANSPORTATION SYSTEM: City of Santa Monica
ESTIMATED NET PROJECT COST: Two Million, Five Hundred Twelve Thousand,
Seven Hundred Thirty -Five Dollars ($2,512,735).
FEDERAL SHARE: Two Million, Ten Thousand, One Hundred Eighty -
Eight Dollars ($2,010,188).
DATE OF 13(c) CERTIFICATION LETTER FROM
THE DEPARTMENT OF LABOR: May 12, 1976
PROJECT DESCRIPTION:
Purchase of 15 new 40' air - conditioned diesel transit
buses;
Purchase and installation of communications equipment including:
127 two -way radios,
2 walkie- talkie
1 base station /receiver
1 console
Purchase and installation of revenue collection system
.including:
101 fareboxes,
25 farebox pedestals,
1 revenue vacuum unit
Purchase of one two -ton forklift; and
Indirect costs and grant administration.
The parties named above agree that the Urban Mass Transportation Capital
Grant Contract entered into on May 12, 1976, is amended as set forth
above.
Page 1 of 9
.I
THIS CONTRACT, effective on the date herein below specified,
by and between the United States of America (the "Government ") and
the Grantee named on page one of this Grant Contract, WITNESSETH:
In consideration of the mutual covenants, promises, and
representations herei_n,,the parties hereto agree as follows:
Sec. 1. Purpose of Contract - The purpose of this Contract
is to provide for the undertaking of an urban mass transportation
capital improvement project (herein called the "Project "), with
Government financial assistance to the Grantee in the form of a
capital grant (the "Grant "), under Section 5 of the Urban Mass .
Transportation Act of 1964, as amended, (the "Act "), and to state
the terms and conditions upon which such assistance will be
provided and the manner in which the Project will be undertaken
and completed and the Project equipment used.
Sec. 2. The P�ect - The Grantee agrees to undertake and
complete the Project, and to provide for the use of Project
equipment, substantially as described in its Application, here-
with incorporated by reference, filed with and approved by the
Government, and in accordance with the terms and conditions of
this Contract. The "Project Description" on page one of this
Grant Contract describes the Project to be funded under this
Contract.
Sec. 3. The Grant - In order to assist the Grantee in
f-inanc.ing that portion of the total cost of the Project which
the Department of Transportation (DOT) has determined cannot
reasonably be financed from revenues -of the public transportation
system in which 4he Project equipment is to be used (herein
called the "'blot .v o ect cost"), such Net Project Cost being
estimated to be that amount described on page one of this Grant
Contract, the Government will make a Grant in an amount equal
to 80% of the actual Net Project Cost, as determined by DOT
upon completion of the Project, or in the amount designated as
Federal Share on page one of this Grant Contract, whichever is
the lesser.
The obligation of the Government to make Federal Grant
payments in any fiscal year shall not exceed the amount provided
in the Project Budget for the fiscal year in which requisitions
therefor are submitted.
Sc 12/77
Page 2 of 9
The Grantee agrees that it will provide from sources other
than (a) Federal funds, (b) receipts from the use of the Project
equipment, or (c) revenues of the public transportation system
in which such equipment is used, funds in the amount sufficient,
together with the Grant to assure payment of the actual Project
Cost. The Grantee further agrees that no refund or reduction of
the amount so provided will be made at any time, unless there is
at the same time a refund to the Government of a proportional
amount of the Grant.
Sec. 4. Maintenance of Effort - The Grantee agrees that the
Federal financial assistance provided pursuant to this Grant
Contract will be supplementary to and not in substitution for the
average amount of State and local government funds and other
transit revenues, as defined in guidelines or regulations issued
by UMTA, expended on the operation of mass transportation service
in the area involved for the two fiscal years preceding the fiscal
year for which the funds are made available.
Any failure on the part of the Grantee to comply with this
Section shall be deemed a violation of the terms of this Contract,
and the Government may in its discretion take either or both of
the following actions: (a) terminate all of the financial assist-
ance provided pursuant to this Grant Contract; and (b) require
the Grantee to return to the Government any financial assistance
provided pursuant to this Grant Contract.
Sec. 5. Use of Project E ui ment - The Grantee agrees that
the Project equipmen t shall be used for the provision of mass
transportation service within its urban area substantially as
described in the Project Description for a period from the date
of purchase of 10 years in the case of items of equipment costing
less than $50,000 and for a period from the date of construction
or installation of 20 years in the case of facilities or items
of equipment costing $50,000 or more. If, during such period,
any Project equipment is not used in this manner or is withdrawn
from mass transportation service, the Grantee shall immediately
notify the Government and shall remit to the Government a pro-
portional amount of the fair market value, if any, of such
property (determined on the basis of the ratio of the Grant made
by the Government to the actual total cost of the Project). For
the purpose of this Section, the fair market value shall be
deemed to be the value of the property as determined by competent
appraisal. conducted as soon after such withdrawal or misuse
occurs as feasible or the actual proceeds from the public.sale
of such property, whichever is approved by UMTA.
Page 3 of 9
5 C 12/77
b
The Grantee shall keep satisfactory records with regard to
the use of the property and submit to the Government upon request
such information as is required in order to assure compliance
with this Section and shall immediately notify UMTA in all cases
where Project equipment is used in a manner substantially
different from that described in the Project Description. The
Grantee shall maintain in amount and form satisfactory to the
Government such insurance or self- insurance as will be adequate
to protect Project facilities and /or equipment throughout the
period of required use. The cost of such insurance shall not be
an item of allowable cost. The Grantee shall also submit to the
Government at the beginning of each calendar year during such
period, a certification that the Project equipment is still being.
used.in accordance with the terms of this Section and that no
part of the local contribution to the cost of the Project has been
refunded or reduced.
Sec. 6. Labor Protection - The Grantee agrees to undertake,
carry out, and complete the Project under the terms and conditions
determined by the Secretary of Labor to be fair and equitable to
protect the interests of employees affected by the Project and
meeting the requirements of Section 13(c) of the Act.
These terms and conditions are specified in the letter of
certification to the Government from the Department of Labor
on the date indicated on page one of this Grant Contract, which
letter is incorporated into this Grant Contract by reference.
Sec. 7." Compliance with Environmental Standards - The
Grantee shall c mo ply' with the provsicns cf the Clean Air Act as
amended (42 U.S. { 1857 et seq.); the Federal.Water Pollution
Control Act, as a- :: =r.ded (33 U.S.C. § 1251 et se
q.); and imp_le -.
meeting regulatio.S issued by the Environmental. Protection Agency,
in the facilities which are involved in the Project for which
Federal assistance is given in this Grant.
Sec. 8. The Grant Contract - This Contract consists of this
Part I entitled Urban Mass Transportation Capital Grant Contract
and Form UMTA P 5, dated 4/27/77 , entitled Urban Mass Transp-
ortation Grant Contract, Part II, Terms and Conditions. The
Project Description and the latest approved Project Budget are
incorporated herein by reference. Amendments to any of these
documents shall.require a formal amendment to this Contract,
except that reallocations of funds among budget items or fiscal
years which do not increase the total amount of the Federal Grant
shall only require prior authorization from UMTA and the issuance
of a new Project Budget.
Sec. 9. compliance with Elderly and Handicapped Regulations- The
Public Body shall insure that all fixed facility construction or alteration
and all new equipment included in the Project comply with applicable
provisions of 49 CPR Part 609 -- Transportation for Elderly and Handicapped
Persons.
5 C 12/77 Page 4 of 9
6
Sec. 10. Minority Business Enterprise - In connection with
the performance of this Contract, the Grantee will provide for
the maximum utilization of minority business enterprises and
will use its best efforts to insure that minority business enter-
prises shall have the maximum practicable opportunity to compete
for contract and subcontract work under this Contract.
Sec. 11. �Pecial Conditions
A. The Grantee agrees and assure that the rates charged
elderly and handicapped persons during nonpeak hours for trans -
portation utilizing or involving the facilities and equipment
financed pursuant to this Grant Contract will not exceed one-
half of the rates generally applicable to.other persons at peak
hours, whether the operation of such facilities and equipment
is by the applicant or is by another entity under lease or
otherwise.
B. The Grantee agrees that it or any operator of mass
transportation for the Grantee, will not engage in charter bus
operations outside of the urban area within which it provides
regularly scheduled mass transportation service except in
accordance with an agreement providing fair and equitable
arrangements under the terms of Section 3(f) of the Act. Such
agreement, when executed, shall be incorporated in this Grant
by reference, and be in addition to the Secretary's contract
remedies and rights contained herein.
C. The Grantee agrees that it, or the operator of Project
equipment, will not engage in school bus operations, exclusively
for the transportation of students and school personnel, in
competition with private school bus operators. It is understood
that this subsection does not apply (1) to a Grantee which
operates a school system in the area to be served and operates
a separate and exclusive school bus operation for this school
system, (2) where private school bus operators are unable to
provide adequate transportation at reasonable rates, and in
conformance with applicable safety standards, or (3) with respect
to any State or local Public Body or agency thereof if it (or
a direct predecessor in interest from which it acquired the
function of so transporting schoolchildren and personnel along
with the facilities to be used therefor) was so engaged in
school bus operations any time during the twelve -month period'
immediately prior to the enactment of Section 3(g) of the Act.
A violation of this agreement shall bar the Grantee from
receiving any other Federal financial assistance under the Act.
5C 12/77 Page 5 of 9
Sec. 12. Cargo Preference - Use of United States Flag Vessels
(a) Pursuant to Pub. L. 664 (46 U.S.C. 1241(b)) at
least 50 percent of any equipment, materials or commodities
Procured, contracted for or otherwise obtained with funds granted,
guaranteed,.loaned, or advanced by the U.S. Government under this
agreement, and which may be transported by ocean vessel, shall
be transported on privately -owned United States -flag commercial
vessels, if available.
(b) Within 20 days following the date of loading for
shipments originating within the United States or within 30
working days following the date of loading for shipments'originating
outside the United States, a legible copy of a rated, "on - board" .
commercial ocean bill -of- lading in English for each shipment or cargo
described in paragraph (a) above shall be furnished to both the
UMTA Administrator (through the prime contractor in the case of
subcontractor bills -of- lading) and to the Division of National
Cargo, Office of Market Development, Maritime Administration,
Washington, D.C. 20230.
(c) The Public Body agrees to insert the following clauses
in all contracts let by the Public Body in carrying out the Project:
Cameo Preference - Use of United States Flag Vessels
The contractor agrees --
(1) To utilize privately owned United States -flag
commercial vessels to ship at least 50 percent of the gross
tonnage (computed separately for dry bulk carriers, dry
cargo liner;, and 'tankers) involved, whenever shipping any
equipme_t i;,- erial, or commodities pursuant to this contract,
to the extent such vessels are available at fair and reasonable
rates for United States -flag commercial vessels.
(2) To furnish within 20 days following the date of
loading for shipments originating within the United States
or within 30 working days following the date of loading for
Shipments originating outside the United States, a legible
copy of a rated, "on- board" commercial ocean bill -of - lading
in English for each shipment of cargo described in paragraph.
(1) above to the UMTA Administrator and grantee (through the
prime contractor in the case of subcontractor bills -of- lading)
and to the Division of National Cargo, Office of Market
Development, Maritime Administration, Washington, D.C. 20230.
(3) To insert the substance of the provisions of this clause
in all subcontracts issued pursuant to this clause.
5C 12/77 Page 6 of 9
e
Sec. 13. Offer and Acceptance
(a) Execution of Contract - This Contract may be simul-
taneously executed in several counterparts, each of which shall
be deemed to be an original having identical legal effect.
(b) Offer - When dated and signed by the Government, this
instrument shall constitute an offer which should be accepted
by the Grantee by execution within sixty (60) days of such date.
The Government may withdraw any offer not accepted within the
above sixty -day period. Upon acceptance of the offer the
effective date of the Contract shall be the date on which this
offer was executed by the Government.
The Government has duly executed this offer this _ day
of IlU 19
BY
ASSO ATE ADMINIS OR
(c) Acceptance - The Grantee does hereby ratify and adopt
all statements, representations, warranties, covenants, and
agreements contained in the Application and supporting materials
submitted by it, and does hereby accept the Government's offer
and agrees to all of the terms and conditions thereof.
Executed this _ day of
ATTEST
TITLE AND ORGANIZATION
5C 12/77 Page 7 of 9
L77
TITLE AND ORGANIZATION
19
(d) Certificate of Grantee's Attorney
S, , acting as Attorney for the
Grantee do hereby certify that I have examined this grant contract
and the proceedings taken by the Grantee relating thereto, and
find that the acceptance of the Government's offer. by the Grantee
has been duly authorized by the Grantee's action dated
(a copy of which has been submitted to UMTA) and that the execution
of this Contract is in all respects due and proper and in accord-
ance with applicable State and local law and further that, in my
opinion, said grant contract constitutes a legal and binding
obligation of the Grantee in accordance with the terms thereof. .
I further certify that to the best of my knowledge there is no
legislation or litigation pending or threatened which might affect
the performance of the Project in accordance with the terms of
this Contract.
Dated this day of 19
Signature
Title and Organization
5C 12/77 Page 8 of 9
b
Supplemental Agreement
Section 5 of the act requires a designated recipient to enter into
formal Section 5 project agreements, The Grantee under this
Grant Contract has not been designated a recipient. Accordingly,
the Southern California Association of Governments (SLAG), a
recipient designated in accordance with the Act, hereby agrees
to permit the Grantee under this Grant Contract to receive and
dispense the Federal funds described in this Grant Contract. °
SCAG further agrees that the Grantee shall assume all respon
sibilitias set forth in this Grant Contract.
The Government and the Grantee under this Grant Contract hereby
agree that SCAG is not in any manner subject to or responsible
for the terms and conditions of this Grant, and is a party to this
Grant Contract only to assign to the Grantee the right to receive
and despense Federal funds as described above.
Executed this JAS! 3 1 1978 day of ; 19
y
Ir a -� n Ias ranspor i n A finis ra ion
r ore
S unhern aliforma Asss ocia -ion of
Governments
City of Santa Monica
Page 9 of 9
Reference:
Contract No. 2492
(CCS)