11-28-2011 Shuttle Bus Funding AgreementAVON -- BEAVER CREEK
SHUTTLE BUS FUNDING AGREEMENT FOR 2011 - 2012
THIS AGREEMENT ("Agreement ") is entered into this 28 day of November, 2011 by
and between the Town of Avon, a home rule municipal corporation ( "Avon ") and the Beaver
Creek Resort Company, a Colorado nonprofit corporation ( "BCRC ") collectively referred to as
the parties ( "Parties ").
WHEREAS, Avon and BCRC desire to cooperate and agree to provide shuttle bus services
between the Town of Avon and the Beaver Creek resort area;
WHEREAS, Avon desires to provide shuttle bus vehicles, drivers, administrative support
and other equipment and services to provide shuttle bus services as described in this Agreement;
WHEREAS, BCRC desires to provide financial contributions to support the shuttle bus
services as described in this Agreement;
WHEREAS, Avon is authorized by the State of Colorado Public Utilities Commission to
provide bus public transit services within and across jurisdictional boundaries within Eagle
County tinder license number 1833 IS; and,
WHEREAS, Avon and BCRC desire to enter into this funding agreement for the 2011 -2012"
winter visitor season.
NOW, THEREFORE, in consideration of the covenants, conditions and agreements set
forth herein, the Parties agree as follows:
1. Term: This Agreement shall be in full force and effect from this date forward and shall
expire on October 31, 2012, unless otherwise terminated sooner.
2. Shuttle Bus Service: Avon agrees to provide the following described shuttle bus services:
a. Avon Skier Shuttle: Transit service referred to as the "Avon Skier Shuttle" will be
provided daily during the period starting November 23, 2011 and ending April 15, 2012.
Scheduled bus service shall be provided which stops at Avon - selected bus stops within
the Town limits, the public parking lot commonly* known as the Elk Lot, and at the
Beaver Creek Plaza transit stop located at the Covered Bridge on Village Road between
the hours of 8 :00 a.m. to 11:00am and from 2:30pm to 5 :30 p.m., daily, for a total
maximum of 1,410 service hours. Avon shall operate the Avon Skier Shuttle so that the
average wait time at each scheduled stop is approximately (i) 30 minutes from 8:00 a.m.
to 2:30 p.m. and (ii) beginning as soon as possible but no later than December 15, 2011,
15 minutes during the peak 2 -hour period in the afternoon (e.g., from 2:30 p.m. to 4:30
p.m.). The service times at particular stops shall be determined by Avon and listed on a
printed customer schedule
b. Evening Restaurant Shuttle: Transit service referred to as the "Evening Restaurant
Shuttle" will be provided daily during the period starting December 17, 2011 and ending
April 1, 2012. Scheduled bus service shall be provided which stops at Avon - selected bus
W
Avon - Beaver Creek Ski Season Bus Funding Agreement
stops within the Town limits and at the Beaver Creek Plaza transit stop located at the
Covered Bridge on Village Road between the hours of 6:00 p.m. to 10:00 p.m., daily, for
a total maximum of 530 service hours. The service times at particular stops within the
Town limits shall be determined by Avon and listed on a printed customer schedule based
on a frequency determined by 1 bus in the loop. Avon shall operate the Evening
Restaurant Shuttle so that the average wait time at each scheduled stop is no more than 30
minutes.
C. Performance Standard: Avon shall strive to consistently achieve the wait times
described in Sections 2.a. and 2.b. above. On -time performance shall be measured on a
seasonal basis, and consistent with transit industry standards as 1 minute before to 5
minutes after the scheduled stop time (TCRP Report 88: "A Guidebook for Developing a
Transit Performance - Measurement System." Transit Cooperative. Federal Transit
Administration and the Transportation Research Board, Washington DC. 2003, pp. 206-
207). Avon is not responsible for delays associated with traffic incidents, congestion, or
road conditions within the Beaver Creek Metropolitan District and the Resort Area, or for
delays associated with inclement weather or other factors not within the Town's control.
d. Special Event Shuttle Request Service: Transit service referred to as "Special Event
Shuttle" can be provided by Avon if requested by BCRC with at least 21 days notice.
The cost for such at- request service would be frilly borne by BCRC at a rate of $105.75
per service hour.
3, Avon Operator: Avon shall be the owner, operator and manager of the shuttle bus
vehicles, equipment and services provided for in this Agreement.
a. System Policy: Avon's provision of shuttle bus services under this Agreement
shall at all times comply with the standards and performance objectives set forth
in this Agreement. Avon shall notify the BCRC of any noncompliance of which
Avon becomes aware. In addition to the requirements and performance standards
set forth elsewhere in this Agreement, Avon shall at all times operate and
maintain the shuttle services in accordance with the following requirements:
i. Each vehicle shall be equipped with a public address system. Drivers
must announce each stop using such public address system upon arrival
and departure.
Drivers must be uniformed at all times while visible to guests.
iii. Drivers may not smoke at any time while visible to guests.
iv. Drivers must greet guests entering through the front door.
v. Avon will ensure that the interior and exterior of all vehicles utilized for
the service are cleaned daily.
vi. Avon will ensure that all destination signs are programmed with the latest
destinations, properly lit and in good working order,
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November 28, 2011 FINAL
Avon - Beaver Creek Ski Season Bus Funding Agreement
vii. If the driver encounters an unruly or rude passenger (e.g., appears to be
intoxicated exceptionally loud or argumentative), the driver will, in a
professional and courteous manner, attempt to resolve the situation and
follow Avon Transit standard communication protocol.
b. Standards: Avon shall survey riders to determine performance by providing
survey cards and pencils onboard all buses; with riders self - selecting and
completing the surveys. Bus drivers shall collect completed surveys daily and
turn them into Avon's Transit Manager. Survey cards shall inquire about
greetings, staff appearance, driver courtesy, bus cleanliness, and timeliness, Bus
timeliness shall also be measured by field checks conducted at least weekly by
Avon's Transit Manager, Avon shall make both the completed survey cars and the
field time check results available upon request.
4. Authorization for Access and Use: BCRC agrees to allow Avon is allowed to use the
roads and bus facilities needed for transit service. This includes access to the following bus
stops: Covered Bridge Stop, Elk Lot transit center, and the Landing.
5. Payment: For the 2011-2012 ski season, the BCRC shall make total payment to Avon of
SEVENTY -EIGHT THOUSAND DOLLARS [$78,000] in four equal installments of
NINETEEN THOUSAND FIVE HUNDRED DOLLARS [$19,5001, which shall be due on the
ls` day of December, 0 day of January, 1" day of February, and I" day of March. Payments
shall be delivered to the following address:
Town of Avon
Department of Finance
PO Box 975
Avon, CO 81620
Attn: Mr. Scott Wright
(970) 748 -4020
swri , llit@ayon.org E -mail
6. Insurance: Avon shall provide for Comprehensive General Liability insurance with
minimum combined single limits of One .Million Dollars ($1,000,000.00) Dollars each
occurrence and of One Million Dollars ($1,000,000.00) aggregate. The policy shall be
applicable to all premises and all operations of the Contractor. The policy shall include coverage
for bodily injury, broad form property damage (including completed operations), personal injury
(including coverage for contractual and employee acts), blanket contractual, independent
contractors, products, and completed operations. The policy shall contain a severability of
interests provision. Such insurance shall list Beaver Creek Resort Company of Colorado as an
additional insured party.
7. Liability: Avon agrees to indenuiify, defend and hold harmless BCRC (and their officials,
agents, representatives, employees, contractors, and successors and assigns) from all claims,
demands, damages (including, without limitation, consequential damages), causes of action,
fines, penalties, losses, liability, judgments, costs or expenses (including reasonable attorneys'
fees) resulting from claims for bodily injury (including death) to any person or damage to any
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November 28, 2011 FINAL
Avon - Beaver Creek Ski Season Bus Funding Agreement
property, caused by or arising from the conduct or activities of Avon, its officers, employees or
agents, in the performance of this Agreement of provision of shuttle bus services as described in
this Agreement (including, without limitation, maintenance, repair and replacement activities);
provided, however, such indemnification will not extend to any claims caused by or arising from
BCRC's negligence or willful misconduct.
8. Service: The shuttle bus service provided within the Beaver Creek resort area and the
boundaries of the Town of Avon shall be pursuant to the authority of Avon, operating under the
authority of and license from the Public Utilities Coinmission, as contracted for in this
Agreement.
9. ' Governmental Immunity: Nothing in this Agreement will be construed to waive, limit, or
otherwise modify any governmental immunity that may be available by law to Avon, its
officials, employees, contractors, or agents, or any other person acting on behalf of Avon, in
particular, the governmental immunity afforded or available pursuant to the Colorado
Governmental Immunity Act, Title 24, Article 10, Part 1 of the Colorado Revised Statutes.
10. Annual Budget and Appropriation: Obligations of each of the Parties, respectively, after
the current fiscal year are contingent upon funds for the purpose set forth in this Agreement
being appropriated, budgeted and otherwise made available.
11. Notices: Any statement, notice, demand or communication which either Party may desire
or be required to give to the other Party shall be in writing and shall be deemed sufficiently given
or rendered if delivered personally, by e -mail, or sent by first -class United States mail, postage
prepaid, addressed as follows:
If to Avon: Town of Avon
PO Box 1726
Avon, CO 81620
Attn -Mr. Scott Wright
swrightnavon.or:? E -mail
With a copy to: Eric Heil
Heil Law & Planning, LLC
2696 S. Colorado Blvd., Suite 550
Denver, CO 80222
(303) 975 -6120 Telephone
ericnheillaw.com E -mail
If to BCRC: Beaver Creek Resort Company
PO Box 5390
Avon, CO 81620
Attn -Mr, Tim Baker
(303) 845 -5857 Telephone
(720) 845 -5945 Fax
tbaker n, yailresorts.com E -mail
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November 28, 2011 FINAL
Avon - Beaver Creek Ski Season Bus Funding Agreement
With a copy to: Kevin Kelley
Husch BlackweII LLP
1050 17'" Street, Suite 1500
Denver, CO 80265
(303) 892 -4424 Telephone
(303) 685 -4869 Fox
Kevin .Kellen @huschblacktvell.com E -mail
React, understood, agreed and executed:
Town of Avon TOWN
• "9G
By: Date:-/2J7//,/ Attest: c
Rich Carro 1,'Mayor Pat ty en , T
Beaver Creek Resort Company
By: p k-..
Tirol Biker, Executive Director
Page 5 015
November28, 2011 FINAL
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Date:
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Memo
To: The Honorable Mayor and Town Council
Through: Larry Brooks, Town Manager
Approved by: Eric Heil, Town Attorney
From: Jennifer Strehler, P. E., Director of Public Works and Transportation
Date: November 22, 2011
Re: 2011 -12 Transit Service Agreement with Beaver Creek Resort Company
Summary
The attached Agreement (Exhibit 1) defines the transit services which will be provided by Avon Transit
on the skier shuttle and restaurant shuttle routes. Funding for these routes will be paid for by a
$75,000 contribution from Beaver Creek Resort Company (BCRC) and by adjustments and efficiency
improvements in transit services on the town's other routes. The agreement was reviewed and
approved by the Town Attorney. Town Council is requested to review and approve the attached
agreement.
Previous Related Actions
November 8, 2011 — The FY2012 budget was discussed and options to alternatively fund two
specific high- demand ski season bus routes (skier shuttle, restaurant shuttle) was offered up
by staff. The approach described as "option 3" in that presentation was selected by Council
and provides the basis of the agreement attached herein.
November 1, 2011 — Public vote on ballot Question 2B failed to pass. This initiative would
have generated up to $875,000/yr to be dedicated to transit for service improvements on both
guest- oriented and resident - oriented routes.
October 25, 2011 — This item was on the agenda for discussion but was pulled and deferred
until November 8, 2011 in anticipation of legal comments.
June 14, 2011 — Town Council reviewed the status of negotiations regarding the proposed
contract provided by the Town to BCRC in May 2011. This discussion was integral with the
decision to forward the Sustainable Transit Project ballot question to the voters for November
2011.
May 10, 2011- Town Council received background information including service levels
possible for different sales tax increases and long -term transit partnership implementation
details between the Town and BCRC.
April 12, 2011 - Town Council meeting to consider two possible ballot questions to establish
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dedicated funding for transit - related improvements and for special events in the proposed
Sustainable Transit and Events Project (aka "STEP ")
March 22, 2011 - Town Council meeting providing an in -depth analysis of Avon Transit
financial information and lessons learned from the previous Connect Avon Now project.
Background
For over a decade (1996- 2007), Avon Transit operated a skier shuttle connection between Avon
lodges and the Beaver Creek Ski area. In November 2007, the gondola and Avon Station opened
and the Town opted to discontinue operation of the skier shuttle. That season, however, BCRC
decided to run a shuttle at their own cost to link Avon Station and the BC Covered Bridge. During
season 2009 -10 and 2010 -11, BCRC continued to operate a shuttle from Avon Station to the Covered
Bridge and the Town entered into agreements to pay $70,000 per year to BCRC to run the skier
shuttle service. BCRC, the Town of Avon, and Beaver Creek Metropolitan District (owners of the
green buses) were all parties to these last two season agreements.
For the upcoming 2011 -12 season, Avon Transit proposed to operate the skier daytime shuttle and an
evening restaurant shuttle. This was originally predicated on voter approval of the Sustainable Transit
Project ballot question. Additional service improvements were also included in the Sustainable
Transit Project, including other route extensions, evening service, and additional capacity. Because
voters did not approve this ballot question and as a result, there is no additional funding in the Town's
FY2012 budget to implement all of the previously recommended transit service improvements. The
Avon Town Council met on November 8th and decided that an acceptable level of service on the skier
shuttle and the evening restaurant shuttle routes should be provided, if possible, via a partnership with
BCRC and via reallocation of internal resources without deficit spending. This approach was viewed
as a reasonable way to acknowledge voter input to avoid a sales tax increase while also meeting the
essential needs of the community for Avon - Beaver Creek bus connections. Thus, staff was directed
to finalize negotiations with BCRC to obtain their financial contribution and to reallocate internal
resources as necessary.
Discussion
In absence of the attached agreement, the service plan for ski season is planned as follows:
Town Black Route: 6:30AM- 6:30PM Daily, year- round. Route includes Town Core,
Eaglebend Drive, West Beaver Creek Blvd, with stops at the Elk Lot and Avon Station to
connect riders to the BCRC parking lot system and the gondola and ECO routes,
respectively. One bus in route on a 30 minute frequency.
Gondola Express: 8:OOAM -11AM and 2:00- 6:OOPM Friday- Monday during ski season
(e.g., Nov 23, 2011 — April 15, 2012). Route in Town Core with emphasis on the Avon
lodges; includes stop at Avon Station to access the gondola when the gondola is
operating and to the Elk lot when it is not. One bus in route with an 8- minute frequency.
Skier Shuttle: Not included.
Restaurant Shuttle: Not included.
Extra service: Not included
A draft 3 -party Intergovernmental Agreement (IGA) was originally proposed by Town staff to BCRC
and to the Beaver Creek Metropolitan District in May 2011. This original agreement was nearly
identical to the IGAs prepared by BCRC and executed over the past two ski seasons. In October, Tim
Baker (CEO, BCRC) reviewed the draft IGA and requested several edits. Terms, cost, level of
service, and performance measurements were negotiated. Multiple versions of this agreement went
Page 2 of 4
back - and -forth between the parties. BCRC informed the Town that BCMD did not need to be a party
to this agreement, so BCMD was removed and the agreement ceased being an IGA. The version
attached as Exhibit 1 represents the twelfth version of this agreement. The total number of service
hours and cost for route operation was capped as stated here because both parties wanted to limit
their obligations to stay within budgeted values. Changes made in comparison to the version
provided to Town Council in the October 25th packet are summarized in Table 1. Items which were
requested to be changed by BCRC in the last round of comments are also explained in Table 1. This
final agreement was provided to Tim Baker on November 10, 2011.
If the attached agreement is mutually executed by the Town of Avon and BCRC, the service plan for
ski season would change to be as follows:
Town Black Route: Same route location and frequency as listed above. Operating
times are 6:30AM- 6:30PM during winter and summer but change to 7:30AM- 5:30PM
during the shoulder season.
Gondola Express: Not included (route consolidated with Skier Shuttle).
Skier Shuttle *: 8AM -11AM and 2:30PM- 5:30PM Daily during ski season (Nov 23 -April
15). Route covers Town Core lodges; Avon Station, Elk Lot, and Covered bridge. Two
buses in route for two -hour download peak, resulting in a 15- minute frequency during
busy peak. One Avon Transit bus in route at other times resulting in a 30- minute
frequency.
Restaurant Shuttle *: 6PM -10PM Daily during core ski season (Dec 17, 2011 — April 1,
2012). One bus in route on a 20- minute frequency.
Extra service from Avon Transit available on request (e.g., to support special events) at
a unit cost to BCRC of $105.75/hr
*The public should allow about two weeks after the contract between the Town and BCRC is executed for all services on
these routes to be fully implemented, schedules printed and delivered to lodges, etc..
Financial Implications
Exhibit 1 obligates Avon Transit to provide 1,940 service hours and obligates BCRC to contribute
$75,000 for the skier and restaurant shuttles. The proposed final FY2012 Avon Transit budget
includes the additional $75,000 in revenue from BCRC, assuming that both parties agree to execute
the attached agreement. Staff has verified that the transit services described herein can be provided
without increasing the amount of the general fund subsidy to transit. This is possible because of route
consolidation and by re- assigning resources internal to the transit fund (e.g., cutting shoulder season
service as shown above).
Recommendations
Staff recommends approval of Exhibit 1. Note that this meeting is the last one in which an agreement
can be approved prior to the start of Beaver Creek's ski season on November 23, 2011.
Town Manager Comments
Page 3 of 4
Table 1. Summary Comparison of This Agreement vs. October 251h Town Council Packet
Changes:
• Throughout - Beaver Creek Metropolitan District (BCMD) was removed as a party to this
agreement and the agreement is no longer an [GA.
• Section 1. Term — Previously, this agreement was 1 -year long and included an automatic renewal
clause subject to annual budgetary appropriations. That was consistent with negotiations to allow
for possible summer contract bus service (avoiding the need to charter) and to provide future
flexibility for annual renewal. In the last round of edits, BCRC requested to end the term of this
agreement on April 30, 2012 however such a change was inconsistent with Section 2.d. Exhibit 1
sets the termination date to be October 31, 2012.
• Section 2.a Skier Shuttle— Mid -day service (i.e., 11AM- 2:30PM) was removed to limit costs. The
"split day service" as inserted, matches what was provided by BCRC during the last 2 season and
what BCRC originally planned for 2011 -12. The language was clarified that 2 buses would operate
during the 2 -hour download peak demand period. (Avon Transit will schedule these 2 -hours to start
at 2:30pm in the early season, and transition to start at 3:30pm in late season to accommodate
BCRC's later hours in the spring.).
• Section 2.c. Performance Standards (see also Section 3.c) —BCRC requested language on how
and when performance standards would be set. Avon refined this paragraph to reference transit
industry standard methods on performance measurement and to clarify expectations of the parties
regarding measurement of "timeliness ". Previous edits (to define these standards within 30 days
and /or to attach an Exhibit A to the agreement to define such standards) were deleted.
• Section 3.c Standards — BCRC requested further details of the Town regarding standards. Avon
provided details in this paragraph to specify the means and measures that Avon will use to assess
transit performance (e.g., greetings, staff appearance, driver courtesy, bus cleanliness, and
timeliness)
• Section 5 Ballot Question— This paragraph was deleted and the remaining sections re- numbered.
• Section 6 Insurance — Corrections to inaccurate original language were made by CIRSA on behalf
of the Town.
• Section 9 Termination — BCRC requested that the termination clause be deleted completely
(eliminating Avon's ability to terminate) and suggested other language elsewhere that would allow
BCRC to terminate "immediately" if they were not happy with the service. Avon preserved this
clause so that the agreement provided for reciprocal termination capabilities and notice
requirements to benefit both parties equally. The notice period was adjusted to 14 days and it was
clarified that termination may be by either party "...with or without cause ".
Unchanged.
• Section 4 Authorization for Access and Use —BCRC requested deletion of this paragraph. Avon
preserved this clause (but removed BCMD from mention) in order to acknowledge that Avon is in
fact allowed to use the roads and transit facilities within the resort area. (This provision was
previously and specifically requested by Town Council to be included back in May 2011.)
Exhibit 1 — Agreement for Transit Services
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