Burlington Trailways Bus Contra
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MEMORANDUM
July 28, 2004
TO:
The Honorable Mayor and City Council Members
FROM:
Michael C. Van Milligen, City Manager
SUBJECT: Burlington Trailways Independent Commission Agency Contract
Burlington Trailways Bus System is reaching agreements with several cities affected by
the termination of Greyhound Bus service, including the City of Dubuque. The
agreement will ensure that two boardings per day will continue from the KeyLine offices
in Dubuque to Des Moines and Chicago.
Transit Manager Mark Munson is recommending City Council approval of an
Independent Commission Agency Contract between the City of Dubuque and Burlington
Trailways Bus System that will provide a 15% commission on ticket sales, for an
estimated revenue of $24,000 per year for the City of Dubuque.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
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Michael C. Van Milligen
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Attachment
cc: Barry Lindahl, Corporation Counsel
Cindy Steinhauser, Assistant City Manager
Mark Munson, Transit Manager
(C'
Key Line Transit
2401 Centcal Avenue
Dubuque, Iowa ó2001.3302
(563) 589.4196 office
(ó63) 589.4340 fax
(563) 690.6678 TOO
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July 27,2004
FR:
Michael C. Van Milligen, City Manager
Mark Munson, Transit Manager f\f\
Burlington Trailways Independent Commission Agency Contract
TO:
Subject:
Purpose
The purpose of this memo is to recommend City Council approval to enter into a
contract with Burlington Trailways Bus System to sell tickets as an independent
agent.
Background
Effective August 17, 2004, Greyhound Bus Lines will no longer provide intercity
bus service from Dubuque. The Independent contract between the City of
Dubuque and Greyhound Bus Lines will terminate as will their direct service from
Dubuque to Des Moines and Chicago.
Burlington Trailways Bus System is reaching agreements with several cities
affected by the termination of Greyhound Bus service including the City of
Dubuque. The agreement will ensure that two boardings per day will continue
from the KeyLine offices in Dubuque to Des Moines and Chicago. Although the
Chicago boarding will occur at 5:40 p.m. which is 40 minutes later than the
current Greyhound boarding times, KeyLine office hours and ticket sales will
continue to end at 5:00 p.m. to avoid additional operating expense for the
service. Reconstruction of the passenger waiting area under the I ntercity Bus
Grant approved by the Iowa Department of Transportation will provide sheltered
waiting area from 5:00 p.m. to the 5:40 p.m. boarding Monday through Saturday
and for Sunday boardings when the KeyLine offices are closed. Burlington
Trailways Bus System will interline with Greyhound Bus Lines and the City of
Dubuque will also receive commissions on the interline service.
S""ice'
People
Integoty
R"ponsibillty
Innov"lIon
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,
Corporation Counsel Barry Lindahl has reviewed the agreement proposed by
Burlington Trailways Bus System and has forwarded his comments and revisions
to Trailways for approval. Commission will continue to be paid at 15% of gross
ticket sales for approximately $24,000 commission revenue per year.
Recommendation
I recommend that the City of Dubuque and Burlington Trailways Bus System
enter into an Independent Commission Agency Contract at a commission of 15%
of ticket sales for estimated revenue of $24,000 per year.
Cc:
William Baum, Economic Development Director