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HomeMy WebLinkAbout10B AVL Agreement 4646 Dakota Street SE Prior Lake , MN 55372 CITY COUNCIL AGENDA REPORT MEETING DATE: FEBRUARY 6, 2012 AGENDA #: 10 B PREPARED BY : JANE KANSIER, ASSISTANT CITY MANAGER PRESENTED BY: JANE KANSIER AGENDA ITEM: CONSIDER APPROVAL OF A RESOLUTION DEFERRING ACTION ON THE DRAFT AVL/SMARTCOM OPERATING AGREEMENT WITH THE METROPO L- ITAN COUNCIL DISCUSSION: Introduction The purpose of this agenda item is to review a Draft AVL/SMARTCoM Operating Agreement with the Metropolitan Council. Staff is recommending deferral of any action on this agreement. History The Metropolitan Council has asked the City to enter into the attached operating agreement regarding an automatic vehicle locating (AVL) system known as SMARTCoM. The Metropolitan Council has installed the AVL equipment on the Laker Lines buses we use in connection with the BlueXpress commuter service. While the equipment does allow for tracking bus locations, to date it has not a l- lowed our contract prov ider, Schmitty and Sons, to generate any useful inform a- tion or reports. To the contrary, Schmitty has advised us the rider information generated by this system is inaccurate. They also have the ability to track the bu s- es using GPS activated cell phones. Current Circumstances The SMARTCoM equipment and software were selected by Metropolitan Council staff with little or no input from other providers. We also were not involved in n e- g o tiating the proposed agreement. Conclusion At this time, only two of the Suburban Transit Providers (Maple Grove and SWT) have adopted the SMARTCoM agreement. Plymouth and Shakopee have not yet signed the agreement, and are unlikely to do so at this time. MVTA advised Me t- ropolitan Council the SMARTCoM system does not meet its needs, and is curren t- ly bidding a separate system for their operations. ISSUES: The staff has a number of concerns with this proposed agreement. Our major concerns, shared by other providers, include:  The City had no role in the selection of the equipment and software, or in negotiating the terms of the agreement.  The agreement obligates the City to pay costs for maintenance and sof t- ware, some of which are not fully known at this time, and which the C ity has no control over.  Even with a signed agreement, the City would have no right to use the i n- formation or access to the intellectual property. The staff believes the proposed agreement is too open - ended at this time, and could prove to be very costly in the long run. We would prefer that the Metropolitan Council staff work with the providers so that a system can be agreed upon which meets all of our needs at a cost which is deemed to be appropriate. FINANCIAL As proposed, the cost to the City would be $5,150 in State FY 2012, and would IMPACT: increase between 2 and 3% each of the following years. By 2015, the City will have invested more than $21,000 for capital and operating costs of a system which provides little or no information for our use. ALTERNATIVES: 1. Adopt a resolution authorizing staff to execute Draft AVL/SMARTCoM Opera t- ing Agreement with the Metropolitan Council 2. Adopt a resolution deferring action on the Draft AVL/SMARTCoM Operating Agreement with the Metropolitan Council . RECOMMENDED The staff recommends Alternative #2. MOTION: A motion and second to adopt a resolution deferring action on the Draft AVL/SMARTCoM Operating Agreement with the Metropolitan Council. 2 4646 Dakota Street SE Prior Lake, MN 55372 RESOLUTION 1 2 - xxx A RESOLUTION DEFERRING ACTION ON THE DRAFT AVL/SMARTCOM OPERATING AGREEMENT WITH THE METROPOLITAN COUNCIL Motion By: Second By: WHEREAS, The City Council recognizes the value of providing quality, cost - effective transit services in the Prior Lake community; and WHEREAS, The Metropolitan Council has asked the City to enter into the attached operating agreement regarding an automatic vehicle locating (AVL) system known as SMARTCoM ; and WHEREAS, The City had no role in the selection of the equipment and software, or in negotiating the terms of the agreement; and WHEREAS, The agreement obligates the City to pay costs for maintenance and software, some of which are not fully known at this time, and which the city has no control over; and WHEREAS, Even with a signed agreement, the City would have no right to use the information or access to the intellectual property; and WHEREAS, The proposed agreement is too open - ended at this time, and could prove to be very costly in the long run . NOW THEREFORE , BE IT HEREBY RESOLVE D BY THE CITY COUNCI L OF PRIOR LAKE, MINNESOTA as follows: 1. The recitals set forth above are incorporated herein. 2. The City Council defer s any further action on the Draft AVL/SMARTCoM Operating Agreement with the Metropolitan Council. 3. The City Council encourages the Metropolitan Council to work with metropolitan area providers to agree upon a system which meets the needs of the providers at a cost which is deemed appropriate. PASSED AND ADOPTED THIS 6 DAY OF FEBRUARY 2012 . TH YES NO Myser Myser Erickson Erickson Hedberg Hedberg Keeney Keeney Soukup Soukup ______________________________ Frank Boyles , City Manager