Burlington Trailways_Purchase of Services AgreementTHE CITY OF
Dui
Masterpiece on the Mississippi
TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Purchase of Service Agreement - Burlington Trailways
DATE: March 28, 2014
Dubuque
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AI -America City
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2007 • 2012 • 2013
In 2009 the City Council approved a five-year contract with Burlington Trailways for
intercity bus service between Chicago, Dubuque and Des Moines. As part of the
contract for intercity bus service, the City assists with the cost of rent at their current
location on Rhomberg Avenue in the amount of $800 per month. This contract will
expire May 30, 2014.
Director of Transit Operations Candace Eudaley recommends City Council approval of
an Agreement with Burlington Trailways effective June 1, 2014, until the Intermodal
Facility construction is complete. Pursuant to this agreement, the City will continue to
pay $800 per month to assist with rent at their Rhomberg location. When the
Intermodal Facility construction is complete, Burlington Trailways will move their office
to the Intermodal Facility and begin to pay rent to the City in the amount of $500 per
month, as well as paying a portion of the facility's maintenance, insurance and taxes.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
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Mic ael C. Van Milligen
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Attachment
cc: Barry Lindahl, City Attorney
Cindy Steinhauser, Assistant City Manager
Teri Goodmann, Assistant City Manager
Candace Eudaley, Director of Transit Operations
THE CITY OF
Dui
E
Masterpiece on the Mississippi
TO: Michael C. Van Milligen, City Manager
FROM: Candace Eudaley, Director of Transit Operations
DATE: March 17, 2014
RE: Purchase of Service Agreement - Burlington Trailways
INTRODUCTION
Dubuque
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All -America City
'1 111!
2012
The contract for intercity bus services between Burlington Trailways and the City of Dubuque will
expire May 30, 2014. An updated contract has been reviewed by Assistant City Attorney Crenna
Brumwell, agreed to by Burlington Trailways and is provided for approval by City Council.
BACKGROUND
Intercity bus service is an integral component transportation in the city of Dubuque. Burlington
Trailways is the main intercity provider of this service to the city and is a key partner in the
Intermodal Facility project. Regular service is provided between Chicago, Dubuque and Des
Moines. During calendar year 2013, 8,245 rides began or ended in Dubuque with trip origin and
destinations shown below.
Trip
Ridership
Chicago to Dubuque
3,261
Des Moines to Dubuque
868
Dubuque to Chicago
3,368
Dubuque to Des Moines
748
In 2009, a 5 year contract for intercity bus service with Burlington Trailways was approved by City
Council. As part of the contract for intercity bus services with Burlington Trailways, the City assists
with the cost of rent at their current location on Rhomberg Avenue in the amount of $800/month.
DISCUSSION
There is a 14 month period between the end of the current contract and the expected completion
of the Intermodal Facility. An updated contract has been reviewed by Assistant City Attorney
Crenna Brumwell, agreed to by Burlington Trailways and is provided for approval by City Council
for the time from June 1, 2014 until the Intermodal Facility construction is complete.
When the Intermodal Facility construction is complete, Burlington Trailways will move their office
to the Intermodal Facility and begin to pay rent to the city in the amount of $500/month as well as
a portion of the facility's maintenance, insurance and taxes (MIT).
Marty Bradley, VP Burlington Trailways, has provided a letter of commitment regarding his
organization's intent to sign an agreement and move to the Intermodal Facility once it is
constructed. They are very excited about the space at the intermodal and are comfortable with
proposed rates. The agreement for the Intermodal was also reviewed by Assistant City Attorney
Crenna Brumwell and is being reviewed by FTA as part of the Intermodal Facility project.
BUDGET IMPACT
The Jule has continued to budget $800.00 per month in the FY15 operating budget for
this contract.
Activity -Account FY15 Amount
60053100-62436 $9,600
RECOMMENDATION
I recommend continuation of this purchase of service agreement with Burlington Trailways.
cc: Maurice Jones, Economic Development Director
Kelley Deutmeyer, ECIA Executive Director
2
AGREEMENT
BETWEEN
CITY OF DUBUQUE, IOWA,
AND
BURLINGTON TRAILWAYS, LTD
THIS AGREEMENT, dated for reference purposes the , day of (lily ,
2014, is made and entered into by and between Burlington Stage Lines, LTD d/b/a
Burlington Trailways("Trailways"), an interstate transportation provider, and the City of
Dubuque, Iowa ("City"), an Iowa municipal corporation.
WHEREAS, Trailways has been and presently offers interstate bus service to and
from City; and
WHEREAS, it is deemed to be in the best interest of Trailways and City to continue
offering interstate bus service for the Dubuque urban area, in order to better serve the
transportation needs of the general public.
NOW THEREFORE, in consideration of the mutual covenants herein contained,
Trailways and City agree as follows:
SECTION 1. SCOPE OF SERVICE. Trailways shall operate a bus depot and ticket sales
office located at 400 Rhomberg Avenue, Dubuque, IA 52001.
SECTION 2. TIME OF PERFORMANCE. The term of this Agreement shall be from June
1, 2014, through May 31, 2015. This term assumes completion of the City of Dubuque's
Intermodal Facility as of June 1, 2015. If the facility is not complete and ready for move -in
on June 1, 2015 this agreement shall continue on a month-to-month basis, subject to all of
the conditions, provisions and obligations of this Agreement insofar as they are applicable
to a month-to-month agreement, until such time as the intermodal facility open.
SECTION 3. COMPENSATION. City shall pay Trailways $800.00 per month to
supplement Trailways facility rental as compensation for the services provided by Trailways
described herein. Such payment shall constitute full and complete compensation for such
services. The compensation shall be paid by City to Trailways upon receipt by City of a
requisition for such sum from Trailways. Payment shall be contingent upon Trailways
continuing to provide interstate bus service to and from City as required by this agreement.
SECTION 4. AUDIT AND EVALUATION.
4.1 Inasmuch as the funds to be provided Trailways by City are public funds, Trailways
agrees that it shall maintain books of account in accordance with generally accepted
accounting standards together with necessary documentation to support all expenditures.
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4.2 Trailways shall provide City quarterly written reports detailing its activities beginning
for the quarter ending September 30, 2014. Such report shall be due ninety (90) days after
the end of each quarter.
SECTION 5. COMPLIANCE WITH LAWS.
5.1 Trailways shall at its expense comply with all applicable laws, ordinances, and
codes of the federal, state and local governments.
5.2 Trailways shall comply with all applicable federal, state, and local laws and
regulations pertaining to wages and hours of employment of personnel.
SECTION 6. INTEREST OF MEMBERS, OFFICERS, OR EMPLOYEES OF THE CITY OF
DUBUQUE; MEMBERS OF THE DUBUQUE CITY COUNCIL, OR OTHER PUBLIC
OFFICIALS. No member, officer, or employee of City or their designees or agents; no
member of the Dubuque City Council; nor any other public official of City who exercises
any function or responsibilities during such person's tenure shall have any interest, direct
interest, direct or indirect, in this agreement or the proceeds thereof for work to be
performed in connection with the program assisted under this Agreement.
SECTION 7. TERMINATION OF AGREEMENT
7.1 This agreement may be terminated for any reason, with or without cause, by either
party by providing sixty (60) days written notice in writing to the other party.
7.2 There is no obligation on the part of either party to continue or renew this Agreement
upon its expiration or termination.
7.3 If, through any cause, Trailways shall fail to fulfill in a timely and proper manner its
obligations under this Agreement or if Trailways shall violate any of the covenants,
agreements, or stipulations of this Agreement, City shall have the right to terminate this
Agreement by giving written notice to Trailways of such termination not less than five (5)
days before the effective date of such termination.
SECTION 8. ASSIGNABILITY. Trailways shall not assign any interest in this Agreement
without prior written approval of City.
SECTION 9. INSURANCE. At the time of execution of this Agreement by Trailways,
Trailways shall provide City with copies of Trailway's insurance certificates showing
compliance with the City's standard insurance schedule, as such schedule may from time
to time be amended. The current insurance schedule is attached to this agreement as
insurance Schedule A.
SECTION 10. INDEMNIFICATION.
2
10.1 Trailways shall defend, indemnify, and otherwise hold City, its officers, agents, and
employees, harmless from any claim of any kind resulting from or arising out of the
negligence of Trailways, its officers, agents, or employees in the performance of this
Agreement.
10.2 City shall defend, indemnify, and otherwise hold Trailways, its officers, agents, and
employees, harmless from any claim of any kind resulting from or arising out of the
negligence of City, its officers, agents, or employees in the performance of this Agreement
SECTION 11. NOTICES.
11.1 All notices, demands, or other writings in this Agreement provided to be given,
made, or sent, or which may be given, made, or sent by either party to the other shall be
deemed to have been fully given, made, or sent when made in writing and deposited in the
United States mail, registered and postage prepaid, and addresses as follows:
TO CITY:
City of Dubuque, Iowa
50 West 13th Street
Dubuque, Iowa, 52001
TO TRAILWAYS: Burlington Trailways
PO Box 531
West Burlington, IA 52655
11.2 The address to which any notice, demand, or other writing may be given, made, or
sent to any part as above provided may be changed by written notice given by the party as
above provided.
SECTION 12. TIME OF THE ESSENCE. Time is of the essence of this Agreement and all
of its provisions.
SECTION 13. GOVERNING LAW. It is agreed that this Agreement shall be governed by,
construed, and enforces in accordance with the laws of the State of Iowa.
SECTION 14. PARAGRAPH HEADINGS. The titles to the paragraphs of this Agreement
are solely for the convenience of the parties and shall not be used to explain, modify,
simplify, or aid in the interpretation of the provisions contained herein.
SECTION 15. MODIFICATIONS OF AGREEMENT. No modification of this Agreement
shall be binding except by a writing signed by each party or an authorized representative of
each party.
SECTION 16. PARTIES BOUND. This Agreement shall be binding upon, shall inure to the
benefit of , and shall apply to the respective successors and assigns of Trailways and City.
All references in this Agreement to "Trailways" or "City" shall be deemed to refer to and
3
include successors and assigns of Trailways or City without specific mention of such
successors and assigns.
SECTION 17. FORCE MAJEURE. In the event that either party hereto shall be delayed,
hindered in, or prevented from the performance of any act required hereunder by reason of
strikes, lockouts, labor troubles, unavailability or excessive price of fuel, power failure, riots,
insurrection, war, terrorist activities, chemical explosions, hazardous conditions, fire,
weather or acts of God, or by reason of any other cause beyond the exclusive and
reasonable control of the party delayed in performing work or doing acts required under the
terms of this Agreement, then performance of such act shall be excused for the period of
the delay and the period for the performance of any such act shall be extended for a period
equivalent to the period of such delay.
BURLINGTON STAGE_LINES, LTD: CITY OF D BUQUE, IOWA
B
WITNESS
r
By: tt,,_
1 Chi financial Officer
4
By:
Roy D.
ol, Mayor
By:
Kevi irnstahl, ity C erk
1.
City of Dubuque Insurance Requirements for Tenants and Lessees of City
Property or Vendors (Suppliers, Service Providers)
Insurance Schedule A
ate vv t:`S shall furnish a signed Certificate of Insurance (COI) to the City of Dubuque, Iowa for
the coverage required in Exhibit I prior to contract or lease commencement. All lessees of City property
shall submit an updated COI annually. Each Certificate shall be prepared on the most current ACORD form
approved by the Department of Insurance or an equivalent. Each certificate shall include a statement
under Description of Operations as to why issued. Eg: Project # or Lease of premises at
or construction of
2. All policies of insurance required hereunder shall be with a carrier authorized to do business in Iowa and
all carriers shall have a rating of A or better in the current A.M. Best's Rating Guide.
3. Each Certificate shall be furnished to the contracting department of the City of Dubuque.
4. Failure to provide minimum coverage shall not be deemed a waiver of these requirements by the City of
Dubuque. Failure to obtain or maintain the required insurance shall be considered a material breach of
this agreement.
5. All required endorsements to various policies shall be attached to Certificate of insurance.
6. Whenever a specific ISO form is listed, an equivalent form may be substituted subject to the provider
identifying and listing in writing all deviations and exclusions that differ from the ISO form.
7. Provider shall be required to carry the minimum coverage/limits, or greater if required by law or other
legal agreement, in Exhibit I.
8. Whenever an ISO form is referenced the current edition of the form must be used.
Page 1 of 3 Schedule A, Property Or Vendors (Suppliers, Service Providers) April, 2013.Doc
City of Dubuque Insurance Requirements for Tenants and Lessees of City
Property or Vendors (Suppliers, Service Providers)
Insurance Schedule A (continued)
Exhibit 1
A) COMMERCIAL GENERAL LIABILITY
General Aggregate Limit $2,000,000
Products -Completed Operations Aggregate Limit $1,000,000
Personal and Advertising Injury Limit $1,000,000
Each Occurrence $1,000,000
Fire Damage Limit (any one occurrence) $ 50,000
Medical Payments $ 5,000
a) Coverage shall be written on an occurrence, not claims made, form. All deviations from the
standard ISO commercial general liability form CG 0001, or Business owners form BP 0002,
shall be clearly identified.
b) Include ISO endorsement form CG 25 04 "Designated Location(s) General Aggregate Limit."
c) Include endorsement indicating that coverage is primary and non-contributory.
d) Include endorsement to preserve Governmental Immunity. (Sample attached).
e) Include an endorsement that deletes any fellow employee exclusion.
f) Include additional insured endorsement for:
The City of Dubuque, including all its elected and appointed officials, all its employees
and volunteers, all its boards, commissions and/or authorities and their board members,
employees and volunteers. Use ISO form CG 20 10. Ongoing operations.
g) If vendor utilizes Trikkes or Segways in the conduct of business, include an endorsement
reflecting that these vehicles are not excluded from Commercial General Liability coverage.
B) WORKERS' COMPENSATION & EMPLOYERS LIABILITY
Statutory benefits covering all employees injured on the job by accident or disease as prescribed by
Iowa Code Chapter 85 as amended.
Coverage A
Coverage B
Statutory—State of Iowa
Employers Liability
Each Accident $100,000
Each Employee -Disease $100,000
Policy Limit -Disease $500,000
Policy shall include an endorsement providing a waiver of subrogation to the City of Dubuque.
Page 2 of 3 Schedule A, Property Or Vendors (Suppliers, Service Providers) April, 2013.Doc
City of Dubuque Insurance Requirements for Tenants and Lessees of City
Property or Vendors (Suppliers, Service Providers)
Preservation of Governmental Immunities Endorsement
1. Nonwaiver of Governmental Immunity. The insurance carrier expressly agrees and states that the
purchase of this policy and the including of the City of Dubuque, Iowa as an Additional Insured does
not waive any of the defenses of governmental immunity available to the City of Dubuque, Iowa
under Code of Iowa Section 670.4 as it is now exists and as it may be amended from time to time.
2. Claims Coverage. The insurance carrier further agrees that this policy of insurance shall cover only
those claims not subject to the defense of governmental immunity under the Code of Iowa Section
670.4 as it now exists and as it may be amended from time to time. Those claims not subject to
Code of Iowa Section 670.4 shall be covered by the terms and conditions of this insurance policy.
3. Assertion of Government Immunity. The City of Dubuque, Iowa shall be responsible for asserting any
defense of governmental immunity, and may do so at any time and shall do so upon the timely
written request of the insurance carrier.
4. Non -Denial of Coverage. The insurance carrier shall not deny coverage under this policy and the
insurance carrier shall not deny any of the rights and benefits accruing to the City of Dubuque, Iowa
under this policy for reasons of governmental immunity unless and until a court of competent
jurisdiction has ruled in favor of the defense(s) of governmental immunity asserted by the City of
Dubuque, Iowa.
No Other Change in Policy. The above preservation of governmental immunities shall not otherwise
change or alter the coverage available under the policy.
SPECIMEN
Page 3 of 3 Schedule A, Property Or Vendors (Suppliers, Service Providers) April, 2013.Doc