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HomeMy WebLinkAbout11 - Bus Sheltern U • • 0 TO: Mayor and Members of the City Council. FROM: ' Public Works Department SUBJECT: BUS SHELTER RECOMMENDATION: C -a 5S September 9, 1996 CITY COUNCIL AGENDA ITEM NO. 11 Authorize the Mayor to execute the amended Agreement with Metro Display Advertising, Inc. BACKGROUND: The City implemented a bus shelter program in December, 1984. The initial bus shelter contract was for a period of one year and was limited to a maximum of ten shelters. The most recent contract was a five year agreement which expired in December, 1995. Metro Display has continued to provide shelters under the terms of the expired contract on a month to month basis since December, 1995. In January, the Council directed staff to negotiate with Metro Display Advertising, Inc., the bus stop vendor, to enter into an amended contract which would give Metro Display an additional five years, subject to amended terms and conditions. Under the current month to month operations, the City's revenue is based upon a monthly fee of $191.00 per shelter, with the City now receiving $4,202.00 per month for 22 shelters. Under the proposed agreement, Metro Display would provide fees to the City in the fixed amount of $5,000.00 per month for up to 27 advertising shelters, and an additional $200.00 a month for all additional shelters in excess of 27. Metro Display would also pay additional consideration in the amount of $14,300.00 for the City to order and install non - advertising bus benches at locations to be selected by City staff. Five non - advertising shelters are provided for without any additional cost to the City. There have also been a number of Agreement modifications pertaining to maintenance provisions, pay telephones and advertising policies. The proposed Agreement also establishes clearer deadlines for payment of fees and installation of shelters and provides for late payment penalties if payments are not made on time. SUBJECT: BUS SHELTER September 9, 1996 Page 2 Staff recommends continued contractual relationships with Metro Display based upon their proven performance as a competent, responsive local provider of shelter services. Cities that have vendors other than Metro Display have indicated to staff that they have experienced problems with shelter maintenance and installation. Staff has not experienced these problems with Metro Display and believes the consideration offered is more than other jurisdictions receive for their contracts. Given that Metro Display is investor -owned by many local citizens, staff believes that the City will continue to receive the responsiveness it may not receive from a national company. Staff further believes that this Agreement will maximize revenues to the City from the shelter program. Respectfully submitted, PUBLIC WORKS DEPARTMENT Don Webb, Director By i%W►oNa Richard Edmonston Transportation & Development Services Manager Attachment: Proposed Contract 0 •