Title
Resolution of the City of Hampton, Virginia (i) Approving the Terms and Conditions of an Amended and Restated Cooperation Agreement between the City and the Economic Development Authority of the City of Hampton, Virginia; and (ii) Approving the Terms and Conditions of an Amended and Restated Memorandum of Understanding between the City, the Economic Development Authority of the City of Hampton, Virginia, and Hampton University
Purpose
PURPOSE/BACKGROUND:
Hampton University ("HU") expressed a need for shuttle transportation for HU students who have limited transportation options to key shopping destinations in Downtown Hampton and the Coliseum Central Business District. Through meetings with HU, Walgreen’s in Downtown, Walmart in Coliseum Central, and Peninsula Town Center also in Coliseum Central were identified as key destinations for students. HU expressed interest in having shuttle service begin during the spring semester of 2017.
On December 27, 2016, the City and Economic Development Authority of the City of Hampton, Virginia ("EDA") advertised a Request for Proposals to provide “shuttle service” (HU Shuttle) to these destinations on a semester basis. There were four responders to the RFP and the city and EDA staff negotiated with the top two bidders. On January 26, 2017, the city’s procurement division issued a Notice of Intent to award a contract to Fun Tours, Incorporated ("Fun Tours"), which was selected based on its experience, competitive pricing, and newness of the equipment. It was agreed then that the cost of the shuttle service would be primarily recouped through rider fees. Students pay a boarding fee initially set at $2.00 each time they board the bus by using the student’s “Pirate Power Smart Card” ("Pirate Card") which operates much like a debit card for student expenses. For that purpose, HU agreed to provide a Pirate Card reader to Fun Tours. Through a memorandum of understanding ("MOU") between the City, EDA, and HU, HU agreed to install the Pirate Power Smart card reader in the Fun Tours shuttle and to remit the collected fees to the EDA. And, through a cooperation agreement between the City and the EDA, the City agreed to support and fund the EDA's obligations under the Fun Tours Contract.
Fun Tours operated the HU Shuttle through December, 2018, but then suddenly and unexpectedly went out of business. The EDA is in the process of using emergency procurement procedures to secure a new vendor to provide service for the remainder of the Spring, 2019 semester. The prior MOU and cooperation agreement were specific to the arrangements with Fun Tours. Council is now being asked to amend and restate those agreements to remove references to Fun Tours, and to allow for those agreements to function for any vendor selected by the EDA for this purpose. The EDA is expected to similarly approve those revised agreements when it meets on February 19, 2019.
Recommendation:
Rec
Approve the Resolution
Body
WHEREAS, the Council of the City of Hampton (the “Council”) has set as a priority investing in amenities that will enhance and expand retail shopping in Downtown Hampton and the Coliseum Central Business District as reflected in its Community Plan;
WHEREAS, the Council recognizes that Hampton University ("HU") students who have no alternative transportation are limited in their ability to experience shopping and restaurant opportunities offered in Downtown Hampton and the Coliseum Central Business District;
WHEREAS, one of the ways the Economic Development Authority of the City of Hampton, Virginia (the "EDA") accomplished Council’s priority was to provide and operate a limited shuttle bus service from HU to Downtown Hampton and the Coliseum Central Business District on the weekends (the “Project”) by issuing a Request for Proposals (“RFP”) 17-55 EA;
WHEREAS, the successful respondent to RFP 17-55 EA was Fun Tours, Incorporated ("Fun Tours"), and negotiations between the EDA and Contractor culminated in an award of a contract for the bus shuttle operation that operated regularly during school semesters occurring in most of 2017 and 2018;
WHEREAS, HU has participated in the Project by providing a card reader to Fun Tours, Incorporated to collect rider fees from the HU students using the bus shuttle and to remit said fees to the EDA, which terms of said proposal are memorialized in a Memorandum of Understanding by and among the City, the EDA, and HU;
WHEREAS, initial funding for the Project was provided by the EDA through a cooperation agreement with the City entered into in 2017 which was specific in funding only a contract with Fun Tours;
WHEREAS, Fun Tours unexpectedly ceased operations in December, 2018;
WHEREAS, the EDA desires to have the ability to continue the Project by using any statutorily prescribed means to procure appropriate vendors for that purpose; and
WHEREAS, the EDA and the City agree it is best to continue the Project, without limiting the City’s financial support to a single-named vendor.
NOW, THEREFORE, BE IT RESOLVED, by the Council of the City of Hampton, Virginia, as follows:
1. That it approves the terms of the Amended and Restated Memorandum of Understanding and Amended and Restated Cooperation Agreement attached hereto; and
2. That the City Manager or her Authorized Designee are authorized to execute and deliver the Amended and Restated Memorandum of Agreement, the Amended and Restated Cooperation Agreement and any and all agreements that are in substantial compliance with the aforesaid documents with such modifications as agreed to by the city staff and with the concurrence of the City Attorney.