HomeMy WebLinkAboutPR 18963: AMENDING RES. NO. 15-131 P.R. No. 18963
4/15/2015 dda/gt
RESOLUTION NO.
A RESOLUTION AMENDING RESOLUTION NO. 15-131, AS TO THE
EXTENSION OF THE EXISTING LEASE BETWEEN THE CITY OF PORT
ARTHUR AND THE NEW ORLEANS REGIONAL TRANSIT AUTHORITY
(NORTA) FOR THE LEASE OF TEN (10) BUSES IN AN ANNUAL AMOUNT
NOT TO EXCEED $6,000.00. FUNDS AVAILABLE IN TRANSIT ACCOUNT
NO. 401-1501-561.51-00.
WHEREAS, pursuant to Resolution No. 12-306, the City Manager executed an agreement with
the New Orleans Regional Transit Authority(NORTA)for the lease of ten(10) buses to be utilized by the
Port Arthur Transit for its fixed-route services for a period of ninety (90) days which included an option
to renew if the need arises; and,
WHEREAS, since the ninety (90) day period expired, said lease has continued on a month-to-
month basis; and,
WHEREAS, the City Council discussed the ongoing litigation between the City and Daimler
Chrysler in Executive Session on April 14, 2015, and determined that Resolution No. 15-131 should be
amended to extend the current lease for an additional one(1)year period on a month-to-month basis; and,
WHEREAS,the New Orleans Regional Transit Authority (NORTA) agrees to continue to lease
ten(10)buses to the City at a rate of$50 per bus per month; and,
WHEREAS, it is deemed in the best interest of the City of Port Arthur to enter into a one-year
lease extension on a month-to-month basis with the New Orleans Regional Transit Authority (NORTA)
for the continuation of its fixed-route transit services, in substantially the same form as Exhibit "A".
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
PORT ARTHUR:
THAT,the facts and opinions in the preamble are true and correct.
THAT, Resolution No. 15-131 is hereby amended to authorize the City Manager to execute a one
year lease extension on a month-to-month basis with the New Orleans Regional Transit Authority, in an
annual amount not to exceed of$6,000.00, in substantially the same form as delineated in Exhibit"A".
P.R. No. 18963
3/2/2015 DDA
Page 2 of 3
THAT, a copy of the caption of this Resolution shall be spread upon the Minutes of the City
Council.
READ, ADOPTED, AND APPROVED, this day of April, 2015 A.D., at a Regular
Meeting of the City Council of the City of Port Arthur,Texas by the following vote: AYES:
Mayor:
Councilmembers:
NOES:
Mayor
ATTEST:
City Secretary
APP' t VED AS TO FORM:
/11114.
City Atto ey
APPROVED FOR ADMINISTRATION:
City Manager
APPROVED AS TO AVAILABILITY OF FUNDS:
ifainedveliA-A40 416,4*.de
Finance Director Transit Director
EXHIBIT "A"
TRANSIT BUS LEASE AGREEMENT
BETWEEN THE CITY OF PORT ARTHUR AND
THE NEW ORLEANS REGIONAL TRANSIT AUTHORITY
THIS AGREEMENT is made by and between the City of Port Arthur, hereafter referred
to as "City," a home rule municipality and the New Orleans Regional Transit Authority, hereafter
referred to as "NORTA," which serves as the public transit division for the New Orleans
community; and,
WHEREAS, the City wishes to continue leasing ten (10) transit buses for use by its
Transit Division. NORTA owns ten (10) 2008 Orion VII transit buses, which are available for a
short-term lease. NORTA agrees to lease (10) transit buses to the City for a one (1) year period
on a month-to-month basis to assist the City with its fixed-route transit services; and
WHEREAS, the original agreement was for the lease of ten (10) buses, the Transit
department wishes to modify said lease for the continuation of its fixed-route transit service; and,
WHEREAS, it is deemed in the best interest of the citizens of the City of Port Arthur to
enter into this agreement for the continuation of its fixed-route transit service.
NOW THEREFORE, it is hereby agreed that the CITY and NORTA, hereafter referred
to as "PARTIES" enter into this Agreement for the lease of buses for the benefit of the City's
Transit Division as follows:
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1. TERM:
The City agrees to lease the following buses from NORTA for a one (1) year, month-to-
month basis:
Year Make VIN# Dept. Date Rec. Mileage
Psngr 2008 ORI 1VHFF3G2486704037 1501 7/3/2012 198,827
Bus#145
Psngr 2008 ORI 1VHFF3G2486704038 1501 7/3/2012 191,337
Bus#146
Psngr 2008 ORI 1 VHFF3G2486704045 1501 7/3/2012 139,477
Bus#147
Psngr 2008 ORI 1VHFF3G2486704067 1501 7/3/2012 200,360
Bus#150
Psngr 2008 ORI 1VHFF3G2486704080 1501 7/3/2012 206,435
Bus#159
Psngr 2008 ORI 1VHFF3G2486704082 1501 7/3/2012 191,772
Bus#161
Psngr 2008 ORI 1 VHFF3 G2486704083 1501 7/3/2012 152,463
Bus#162
Psngr 2008 ORI 1VHFF3G2486704089 1501 7/3/2012 171,306
Bus#163
Psngr 2008 ORI 1VHFF3G2486704090 1501 7/3/2012 180,258
Bus#164
Psngr 2008 ORI 1VHFF3G2486704097 1501 7/32012 174,033
Bus#171
*Note* Mileage as of March 10, 2015.
The term of this lease shall commence on the day of April 2015, and end on the
day of March 2016.
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2. RENTAL FEE:
The City agrees to pay an initial monthly rental fee of $50.00 per month for each bus.
Therefore, the monthly rental cost for ten (10) transit buses is $500.00 per month. The initial
term of the contact is for a period of one (1) year at total cost of$6,000. Payment will be made
by the City to NORTA within five (5) days of the execution of this contract.
Should the need arise,the City may wish to extend the lease on a month to month basis.
Said extension will not exceed a total lease term of twelve (12) months. The City will provide
thirty (30) days notice to NORTA of any request for an extension beyond the initial one year
term. At that time, the parties agree to negotiate a suitable monthly rental cost.
3. MAINTENANCE AND REPAIR:
On the execution of this lease, the City will take possession of the buses listed in Section
One. The CITY has thoroughly inspected the buses and has determined that they are suitable for
use by the Port Arthur Transit Division. At its expense, the CITY shall keep and maintain the
buses in good sanitary condition and repair during the term of this lease and any extension
thereof In particular, the City will be responsible for all maintenance and repair of the buses
while they are in the CITY'S possession. City agrees to perform all required service as
delineated in the Driver's Manual, Service Manual, Schematics, Training Modules, Parts
Manual, and Preventive Maintenance records for the 2008 Orion VII buses.
4. ALTERATIONS AND IMPROVEMENTS.
The CITY will make no alterations to the buses without the prior written consent of
NORTA. Unless otherwise provided by written agreement between CITY and NORTA, any
alterations, changes, and improvements built, constructed, or placed on the buses by CITY, with
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the exception of fixtures removable without damage to the buses and movable personal property,
shall be the property of NORTA and remain on the buses at the expiration or termination of this
lease.
5. INSURANCE REQUIREMENTS:
Prior to taking possession of the buses, the City will maintain at its sole cost and expense,
and cause to be kept in full force and effect at all times during the term of this lease agreement a
legally binding policy of insurance licensed to do business in State of Texas by the State
Insurance Commission. The City shall provide automobile physical damage coverage and
comprehensive coverage including flood and collision. The coverage shall in the event of loss
include the replacement cost of the buses. A copy of the aforementioned policies will be
forwarded to NORTA within five (5) days of the execution of this lease.
6. RETURN OF BUSES:
At the expiration of the lease term, City shall surrender the buses clean and in as good
condition as they were at the commencement of this lease, reasonable use and wear and damages
by the elements excepted.
7. INDEMNIFICATION:
CITY shall covenant and agree to indemnify and to save and hold harmless NORTA, its
agents, officers and employees:
any and all claims, liabilities, loses damages, costs, charges, and other expense of
every kind and character, any of which for any reason whatsoever may arise out
of or will be attributable, directly or indirectly from the City's utilization of said
transit buses.
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NORTA shall covenant and agree to indemnify and to save and hold harmless CITY, its
agents, officers and employees:
Any and all claims, liabilities, loses damages, costs, charges, and other expense of
every kind and character, any of which for any reason whatsoever may arise out
of or will be attributable, directly or indirectly from the NORTA's utilization of
the buses,prior to the CITY taking possession of said transit buses.
8. DEFAULT:
If the CITY or NORTA fail to comply with any material provision of this lease, either
Party may have the option to terminate the lease, by providing ten (10) days written notice of
such termination.
9. COMMUNICATION.
All communication related to this lease agreement should be directed to the CITY via its
City Manager or Interim City Manager, which may be contacted at the following address and
phone number:
Office of the City Manager
City of Port Arthur
P.O. Box 1089
Port Arthur, Texas 77640
(409) 983-8101/983-8102
All communication related to this lease agreement should be directed to NORTA via its
, which may be contacted at the following address and phone number:
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SIGNED AND AGREED to on this the day of , 2015.
CITY OF PORT ARTHUR, TEXAS
By:
Brian McDougal, City Manager
ATTEST:
Sherri Bellard, City Secretary
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SIGNED AND AGREED to on this the day of , 2015.
NEW ORLEANS REGIONAL TRANSIT AUTHORITY
By:
Print Name:
Title:
ATTEST:
Print Name:
Title:
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