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CR 96-194 Hop A Ride Bids• November 26, 1996 HOP - A - RIDE BIDS 1. Methodist Hospital; 2. Opportunity Workshop in Opus II; 3. Shady Oak Beach; 4. Knollwood shopping area; 5. ICA food shelf; 6. Park Nicollet Medical Center. Analysis of Issues o How is the Hop -A -Ride service funded? o What was the bid from Suburban Taxi? o Should the ticket price be increased? o Will there be any changes in the Hop -A -Ride program for 1997? Council Report 96 -194 Proposed Action Staff recommends the following motion: Move to award the Hop -A -Ride contract to Suburban Taxi for the 1997 service. Overview The Hop -A -Ride service is an advance- reservation, shared -ride, door -to -door transportation service for anyone who needs transportation within the Hopkins City limits. The Hop -A -Ride service operates Monday through Saturday from 6:00 a.m. to 6:00 p.m. There are six additional destinations outside the City limits. They are: The City of Hopkins contracts with a private taxi operator to provide this service. Every year the City solicits bids from taxi companies to provide service for the program in the upcoming year. Currently Suburban Taxi provides the 1996 service. The current bid price per ride is $4.00. The service was bid in October and only one bid was received, which was from Suburban Taxi. Primary Issues to consider CR96 -194 Page 2 o How is the Hop - A - Ride service funded? The Metropolitan Council, in the past, has provided 60 percent of the funding for the service. However, because of budget constraints, the Met Council portion of the budget is now $35,800; that is 42% of the total expenses. The City's general fund and revenue from the ticket sales provide the balance of the funding. The total 1997 budget is $85,800; that would require a general fund contribution for 1997 of $25,550. For 1996, the City is providing $22,600 from the general fund. The 1997 budget is based on 19,000 passengers. o What was the bid from Suburban Taxi? The bid from Suburban Taxi was as follows: o Base bid $4.00 per ride o Trip to Knollwood $4.00 per ride o Trip to ICMA food shelf $4.00 per ride o Trip to Park Nicollet Medical Center $7.00 per ride The bids for the 1997 service are the same as the 1996 service. o Should the bid be awarded to Suburban Taxi? Suburban Taxi currently has the 1996 contract. During the past year there have been some minor complaints regarding the service. Most of these complaints were that the cab did not show for a pickup. If the bid is not accepted, the service will end on December 31, 1996. Suburban Taxi has been the only bidder to provide this service for the last several years. It appears there is limited interest on the part of taxi companies to provide this service, as it provides a minimal profit margin. o Should the ticket price be increased? The following are the existing ticket prices: o Low income $1.20 o Regular income $4.00 o Knollwood $4.00 o Park Nicollet $4.70 Since the bid price did not increase, staff is recommending that the ticket price remain the same. o Will there be any changes in the Hop - A - Ride program for 1997? • Staff is recommending no operations changes for the 1997 Hop -A -Ride program. Alternatives CR96 -194 Page 3 1. Award the bid to Suburban Taxi as recommended by staff. 2. Reject the bid from Suburban Taxi and direct staff to re -bid the service. Rejecting the bid and re- bidding the service probably will not result in more bids. In 1995 no bids were received after bidding the service out twice, and in 1996 only one bid was received. 3. Continue for further information. If the City Council indicates that further information is needed, the item should be continued. This item can be continued for only one Council meeting because the contract will expire December 31.