REPORT TO THE CITY COUNCIL August 24, 2017 FROM: BRUCE RUDD, Assistant City Manager/Interim Director Department of Transportation BY: KATHLEEN HEALY, Administrative Manager Department of Transportation SUBJECT ..Title Approve an agreement between the City of Fresno and Fresno County, allowing Fresno County to purchase transit passes and ride cards from the City of Fresno for County clients to access social services or public health programs (Citywide) ..Body RECOMMENDATION Staff recommends Council authorize the Director of Transportation to execute a three-year agreement between the City of Fresno and Fresno County, allowing Fresno County to purchase ride cards and passes from the City of Fresno, with a maximum amount over the term of the agreement of $4,615,731. EXECUTIVE SUMMARY The State of California Eligibility and Assistance Standards Manual of Policies and Procedures mandate the Fresno County Departments of Social Services (DSS), Public Health, and Behavioral Health provide their clients with the least expensive form of public transportation to assist their clients in obtaining Welfare-to-Work training, additional education, or medical appointments. The majority of Fresno County clients utilize the FAX system as opposed to any other form of transportation available. BACKGROUND Fresno County has purchased tokens and passes from FAX for over 18 years. The City's FAX bus service is used by County clients to access social services or public health programs provided by the County's DSS, Behavioral Health, and Public Health Departments. The FAX system enables County clients without personal transportation to access much needed services. On average DSS, Behavioral Health and Public Heath purchase 160,000 bus tokens and 20,000 bus passes annually from FAX, equating approximately $1.1 million, over 10 percent of the FAX's annual passenger revenue. The existing contract between the City of Fresno and Fresno County for tokens and bus passes was executed in 1998 and amended in 2014. The proposed contract would be for 3 years, effective upon execution, and not to exceed $4,615,731. Please note that tokens will be replaced with ride cards as approved in the FY2018 Master Fee Schedule. ENVIRONMENTAL FINDINGS This is not a "project" pursuant to CEQA Guidelines Section 15378. LOCAL PREFERENCE Local preference is not applicable to this Project as it is not a bid or award of a construction or services contract. FISCAL IMPACT This agreement will generate an estimated $3.3 million in revenue, over the proposed three-year contract, from the sale of ride cards and passes to Fresno County. This agreement will not impact the General Fund. Attachment: Fresno County Purchasing Agreement