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HomeMy WebLinkAbout1999-01-05 - AGENDA REPORTS - DIAL A RIDE POLICY (2)CITY OF SANTA CLARITA INTEROFFICE MEMORANDUM TO: Mayor Darcy and City Councilmembers FROM: George A. Caravalho, City Manager DATE: January 5, 1999 v SUBJECT: CHANGE IN DIAL -A -RIDE POLICY RECOMMENDED ACTION Receive and file the information provided, and authorize staff to present an item at the January 12, 1999, City Council meeting. BACKGROUND ASI is a countywide nonprofit corporation charged with providing complimentary paratransit during all hours that local bus service is operated, as required by the Americans with Disabilities Act (ADA). Rather than operate a separate standalone service in the Santa Clarita Valley, ASI contracts with Santa Clarita Transit to provide ADA service, enhancing the local Dial -a -Ride service provided by the City since 1991. That contract expired on December 31, 1998 and needs to be renewed. Since October 1996, ASI has paid the City a fixed amount (at a rate of $48.99 per hour) for one van that operates hours during which Dial -a -Ride service was not available prior to ASI implementation. Those hours include 5:00 a.m. to 6:00 a.m. on weekdays; 8:00 a.m. to 9:00 a.m. and 5:00 p.m. to 8:00 p.m. on Saturdays; and 8:00 a.m. to 8:00 p.m. on Sundays. At any other time that Santa Clarita Dial -a -Ride carries an ASI certified client, ASI pays $48.99 per hour, in addition to the fixed hours. Because Dial -a -Ride service has been offered for several years, the only benefits to the local customer to register with ASI are the ability to travel to the San Fernando or Antelope Valley on paratransit, and priority treatment if Dial -a -Ride is booked up. The result is that very few customers have registered with ASI. This creates a unique funding issue. The City is currently receiving only $94,000.00 per year, 28 percent of the amount ASI budgets for Santa Clarita. However, ASI focuses on cost per ASI passenger which, because of the fixed payments for service hours that may not have an ASI customer riding, results in per -passenger costs that are three times their next costliest contract. Therefore, even though the current arrangement saves ASI money, ASI is focused on reducing the high cost per ASI trip. a ° i.� .�M�.... w,. CHANGE IN DIAL -A -RIDE POLICY January 5, 1999 — Page 2 ASI no longer wants to pay for the fixed hours, or on, a per -hour basis. Instead, they wish to pay on a per -trip basis, which is consistent with other ASI contracts. Unless ASI boardings are increased, this could reduce revenue to the City from $94,000.00 per year to $30,000.00 per year. Therefore, it is proposed that the City require that all non -senior Dial -a -Ride customers be ASI certified and all trips be ASI trips. If this is done, the following can be accomplished: ASI revenue increases by $100,000.00 to $355,000.00 per year. If ridership exceeds the amount ASI budgets for Santa Clarita, they will rebudget and pay the full amount owed. • It establishes a consistent method of identifying who is eligible for Dial -a -Ride. Although the City currently requires a doctor's letter, eligibility is in reality a judgment call by contract staff based upon a countywide standard for disabled eligibility. ASI certification formalizes the process with an ADA compliant method. Dial -a -Ride service is at capacity, and either service hours need to be increased or more Dial -a -Ride clients need to shift to fixed -route service. There may be many Dial -a -Ride customers who are not eligible (conditions have changed and they can use fixed -route). This process will ensure that those customers who truly need Dial -a -Ride service will receive quality service. This change will only affect 30 percent of current Dial -a -Ride customers. Everyone 60 years or older will be unaffected. ASI estimates that 80 percent of those who seek certification will be certified. Therefore, potentially 6 percent of existing Dial -a -Ride customers could be impacted by this action. Generally, people who are not certified are individuals who can use fixed -route services, even though they might be disabled. The City can develop an appeals process and determine specific conditions for which individuals who are refused certification by ASI would be eligible to use Dial -a -Ride. Specific changes the City proposes to make to the Access Services Inc. contract are as follows: • Renewal of the contract between the City and ASI through August 4, 2001, to be concurrent with the contract with the City's service provider, ATCNancom. • Replacement of the current payment method based on fixed hours, with a flat fee of $25.00 per trip for trips made by ASI certified customers. • ASI will pay for all trips taken by customers from time of application until certification is determined, at a rate of $25.00 per trip. • It is the intent of the City to require that all Dial -a -Ride customers who are not 60 years of age or older be ASI certified. In addition, the City will develop an appeals process and determine specific qualifying conditions if ASI rejects an applicant. CHANGE IN DIAL -A -RIDE POLICY January 5, 1999 — Page 3 • ASI will provide up to three additional vans, if needed, to accommodate growth in ASI customers during the life of the contract. • The City will comply with ASI requirements regarding reporting and driver training and certification. ALTERNATIVE ACTIONS Terminate the City's contract with ASI. ASI would contract with another provider to deliver ASI service in the Santa Clarita Valley. This would result in two separate Dial -a -Ride operations in the Santa Clarita Valley. This should result in an annual revenue loss of $95,000.00 (based on current revenue received) up to $450,000.00 (based on potential revenue if the recommended changes in the ASI contract and City Dial -a -Ride policy are adopted). Modify the City's contract with ASI as recommended; however, do not change Dial -a -Ride qualification requirements. This would result in an annual revenue loss of $65,000.00 to $420,000.00. Other action as determined by the City Council. FISCAL IMPACT Adoption of the recommended changes is expected to increase revenue to the City by $100,000.00 to $355,000.00 per year. It would also eliminate the need to increase Dial -a -Ride revenue vehicle hours for at least one year, producing cost savings of $100,000.00 to $195,000.00 per year. Vrwsit\agenda\a ipole.do