TO: AC Transit Board of Directors
FROM: Michael A. Hursh, General Manager
SUBJECT: Dumbarton Express Operations
ACTION ITEM
RECOMMENDED ACTION(S):
Title
Consider exercising the fifth and final of five one-year options with MV Transportation to continue Dumbarton Express service under the existing contract.
Body
STRATEGIC IMPORTANCE:
Goal - Convenient and Reliable Service
Initiative - Financial Efficiency and Revenue Maximization
Exercising the option will ensure the continuity of Dumbarton Express service for calendar year 2021 through the most prudent and favorable fiscal options available for its operations.
BUDGETARY/FISCAL IMPACT:
There is no expected budgetary impact to the district for exercising the fifth one-year option. The Dumbarton Express service is currently fully funded by Regional Measure 2 bridge toll revenues and Easy Pass program revenues from Stanford University, Stanford Medical Center, and their affiliates up to an amount of approximately $3 million annually for FY 2020/2021. The $3 million amount includes an allowance for costs not directly tied to operations and maintenance costs, such as District administrative staff time, marketing, and annual Nextbus service fees.
For FY 2019/2020, the total unaudited operations and maintenance cost for the Dumbarton Express service is estimated to be $2.96 million. The effective cost per hour is $102.57 (inclusive of fuel and other incidental recurring monthly expenses, such as WiFi service) based on an unaudited estimation of 28,834 hours of service for FY 2019/2020. As with the previous options, the fifth year of the option calls for an increase in the hourly rate for service of approximately 3% effective January 1, 2021.
BACKGROUND/RATIONALE:
The Dumbarton Express is a regionally-oriented bus service linking the southern end of the East Bay with the southern end of the Peninsula via the Dumbarton Bridge. General oversight of the Dumbarton Express is conducted through the Dumb...
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