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HomeMy WebLinkAbout1/13/2026 Item 6j, Floyd and Fuchs - Staff Agenda CorrespondenceCity of San Luis Obispo, Council Memorandum City of San Luis Obispo Council Agenda Correspondence DATE: January 13, 2026 TO: Mayor and Council FROM: Aaron Floyd, Public Works and Utilities Director Prepared By: Alex Fuchs, Mobility Services Business Manager VIA: Whitney McDonald, City Manager SUBJECT: ITEM 6j - APPROVE A MEMORANDUM OF UNDERSTANDING WITH SLOCOG AND WITH THE CITY OF SANTA MARIA FOR PILOT EXPRESS TRANSIT SERVICES Staff received the following questions, regarding the Memorandum of Understanding (MOU) with the San Luis Obispo Council of Governments (SLOCOG) and with the City of Santa Maria for the operation of Santa Maria Regional Transit’s (SMRT) pilot express transit services. The questions are below with staff’s response shown in italics: 1) On Agenda Packet page 161, Section 10, Bus Stops/Facilit y Sharing, of the draft MOU states that the City of San Luis Obispo is responsible for the installation, maintenance, and expenses for bus stop infrastructure located at the SLO Downtown Transit Center. However, the City of Santa Maria will be responsible for the cost of any increased maintenance to such bus stop facilities reasonably resulting from the pilot express program. Can you describe how increased maintenance as a result of the pilot might be identified? The City’s transit operation and maintenance services contractor, Transdev, regularly monitors and reports bus stop and facility maintenance needs at the Downtown Transit Center. These reports document the nature of the issue, location, and the observed cause when known. Maintenance work is typically performed by a separate contractor and billed to the City at established hourly rates. If maintenance needs are reasonably attributable to SMRT’s use of the Downtown Transit Center as part of the pilot express services, such as increased wear, damage, or cleaning requirements beyond normal operations pre-pilot program, those incremental costs would be identified and documented and the City of Santa Maria would be invoiced for the additional maintenance expenses associated with the pilot express service. Item 6j – Approve a MOU with SLOCOG and City of SM for Pilot Express Transit Services Page 2 The recently issued Request for Proposals (RFP) for transit operation and maintenance services would require the selected contractor to also perform these maintenance services. Once the new contract term begins, the selected contractor will identify and report maintenance needs, along with the labor time required to complete the work, so that the maintenance expenses attributable to the pilot express service can continue to be tracked and invoiced appropriately. 2) Does SMRT have the option of using the San Luis Obispo Regional Transit Authority (RTA) bus bays in front of the County government center? No, under the proposed MOU, SMRT would not have the option to use RTA’s bus bays for the pick-up or drop-off of passengers. The MOU for the pilot services does not include RTA as a party, as there was mutual agreement that RTA involvement was not necessary for the pilot. However, RTA notified the City that RTA has informally agreed to allow SMRT limited use of bus bays for short-term layovers while awaiting departure of the return trip to Santa Maria. This layover use is conditional and must not interfere with RTA’s scheduled operations or normal use of the bus bays. 3) Does SMRT coordinate arrival times with the SLO Transit "pulse" schedule, especially routes to Cal Poly? Yes, SMRT considered SLO Transit’s schedule when planning the arrival and departure times for the pilot express service. The service schedules are designed to complement one another and allow for timely transfers without disrupting either transit system. SLO Transit operates a bidirectional routing structure with “A” Routes traveling clockwise and “B” Routes traveling counterclockwise. As a result, morning riders of the pilot express service traveling to the Cal Poly campus would likely transfer to either Route 3B or 4B while afternoon riders traveling from the Cal Poly campus would likely transfer from either Route 3A or 4A. In the morning, Route 3B and 4B each provide two trips that depart shortly after SMRT’s service arrives at the Downtown Transit Center. Similarly, in the afternoon, Route 3A and 4A provide three and two trips, respectively, that arrive at the Downtown Transit Center shortly before SMRT’s scheduled departure. Routes 3B and 4B also provide afternoon trips that could be used to transfer between services, although travel times from Cal Poly campus to the Downtown Transit Center would be longer compared to the “A” Routes. Item 6j – Approve a MOU with SLOCOG and City of SM for Pilot Express Transit Services Page 3 In addition to the above questions, a fter the publication of the Council Agenda Packet, staff consulted with the City Attorney’s Office and determined that Section 7, Changes in Service Levels, of the Memorandum of Understanding (MOU) required further clarification. The clarification is intended to specify that Section 7 applies only to the services shown in Exhibit 1 to the MOU, and that changes to SLO Transit’s services schedules made by the City of San Luis Obispo require a ninety (90) days’ notice to the City Santa Maria but are not subject to the City Santa Maria’s approval. A redlined version of Section 7 showing the revised language in red text is provided below. Attachment A is a revised final draft of the MOU and replaces Attachment A included in the original Council Agenda Report. A copy of the updated MOU was provided to the City of Santa Maria on January 8, 2026. 7. CHANGES IN SERVICE LEVELS A. Proposed changes to services (as shown in Exhibit 1) require ninety (90) days’ written notice from SAN LUIS OBISPO or SANTA MARIA and are subject to the mutual written approval of all parties; provided, however, proposed changes to service schedules that impact the Downtown SLO Transit Center, as shown in Figure 1 of Exhibit 1, by SAN LUIS OBISPO only require ninety (90) days’ notice to SANTA MARIA and are not subject to the approval of SANTA MARIA. B. Major Service Changes, such as, establishing a new or eliminating a fixed route, realignment of more than 25% of the length of the route, adding or eliminating more than one (1) bus stops, moving a stop more than one quarter of a mile, or changing service span (as shown in Exhibit 1) that impacts the agencies existing transit service shall require an amendment to this AGREEMENT. ATTACHMENT A – Revised final draft MOU for Pilot Express Transit Services MEMORANDUM OF UNDERSTANDING (MOU) FOR PILOT SANTA MARIA TO SAN LUIS OBISPO EXPRESS TRANSIT SERVICES Between SAN LUIS OBISPO COUNCIL OF GOVERNMENTS 1114 MARSH STREET SAN LUIS OBISPO, CA 93401 And CITY OF SAN LUIS OBISPO 990 PALM STREET SAN LUIS OBISPO, CA 93401 And SANTA MARIA REGIONAL TRANSIT 1303 FAIRWAY DRIVE SANTA MARIA, CA 93455 THIS AGREEMENT is entered into this day of , by the San Luis Obispo Council of Governments, the Metropolitan Planning Organization (MPO) for the San Luis Obispo region pursuant to 23 USC M,L Section 134 of Title, (herein referred to as “SLOCOG”) and between the CITY OF SAN LUIS OBISPO, (herein referred to as “SAN LUIS OBISPO”) and the SANTA MARIA REGIONAL TRANSIT, (hereinafter referred to as “SANTA MARIA”), collectively referred to as “the parties”. THIS AGREEMENT is made between SLOCOG, SAN LUIS OBISPO and SANTA MARIA for the dissemination of information and the coordination of a pilot express service and service planning efforts, fare structures, use of bus stops, and facilitation of transfers. RECITALS: WHEREAS, SAN LUIS OBISPO and SANTA MARIA provide general public transit in the counties of San Luis Obispo and Santa Barbara; and, WHEREAS, Santa Maria will begin to operate a pilot express transit route (SLO 210) beginning September 15, 2025, that will utilize SAN LUIS OBISPO right-of-way at (the Downtown Transit Center located on the 800 block of Osos Street); and, WHEREAS, to efficiently serve the travel demands of each county, each agency agrees to coordinate and cooperate in route planning, scheduling, and disseminating information; and WHEREAS, SAN LUIS OBISPO and SANTA MARIA desire to enter into this memorandum of understanding for the provision of the pilot express fixed route service between San Luis Obispo and Santa Maria; and WHEREAS, SLOCOG provides regional transportation planning and oversees Federal and State transportation funding within San Luis Obispo County and has agreed to facilitate communication and performance of this agreement between SAN LUIS OBISPO and SANTA MARIA. NOW THEREFORE, “the parties” mutually agree as follows: 1. TERM OF AGREEMENT. A. The term of this AGREEMENT shall be effective September 15, 2025, and will remain in effect for two (2) years or until terminated with or without cause or extended by either party by giving 90 days' written notice to the other party. Any party may terminate this AGREEMENT immediate “for cause” provided the terminating party notifies the other party of the basis for termination and provides the other party wit h ten (10) calendar days to cure. 2. HOLD HARMLESS AGREEMENTS. A. In the performance of this AGREEMENT, SAN LUIS OBISPO shall jointly and severally indemnify, defend, and hold harmless SANTA MARIA, its officers, agents and employees against any and all suits, claims, demands, liabilities, losses, and damages, including reasonable attorneys’ fees and costs, arising from or connected with injury to persons or property, or any alleged injury, occurring during the performance of this AGREEMENT and resulting from the negligent or intentional acts or omissions of SAN LUIS OBISPO or its officers, employees or agents (Collectively “Claims”). SAN LUIS OBISPO shall, at its own expense, pay all legal costs, attorneys’ fees, and expenses arising from or related to such Claims, and shall satisfy and discharge any judgment rendered against SANTA MARIA or any of its officers, agents or employees arising from or related to such Claims. B. In the performance of this AGREEMENT, SANTA MARIA shall jointly and severally indemnify, defend, and hold harmless SAN LUIS OBISPO, its officers, agents and employees against any and all suits, claims, demands, liabilities, losses, and damages, including reasonable attorneys’ fees and costs, arising from or connected with injury to persons or property, or any alleged injury, occurring during the performance of this AGREEMENT and resulting from the negligent or intentional acts or omissions of SANTA MARIA or its officers, employees or agents (Collectively “Claims”). SANTA MARIA shall, at its own expense, pay all legal costs, attorneys’ fees, and expenses arising from or related to such Claims, and shall satisfy and discharge any judgment rendered against SAN LUIS OBISPO, or any of its officers, agents or employees arising from or related to such Claims. C. In performance of this Agreement, SANTA MARIA and SAN LUIS OBISPO shall jointly and severally indemnify, defend, and hold harmless SLOCOG, its officers, agents, and employees from and against any and all suits, claims, demands, liabilities, losses, and damages, including reasonable attorneys' fees and costs, arising from or connected with injury to persons or property, or any alleged injury, occurring during the performance of this AGREEMENT, and resulting from the negligent or intentional acts or omissions of SANTA MARIA, SAN LUIS OBISPO, or their respective officers, employees, or agents (Collectively “Claims”). Both SANTA MARIA and SAN LUIS OBISPO shall, at their own expense, pay all legal costs, attorneys' fees, and expenses arising from or related to such Claims, and shall satisfy and discharge any judgment rendered against SLOCOG or its officers, agents, or employees arising from or related to such Claims. 3. SEVERABILITY A. Should it be determined by a court of competent jurisdiction that any term, section, or provision of this agreement is void, invalid or unenforceable, the other provisions of this agreement shall remain in full force and effect. 4. GOVERNING LAW A. This agreement shall be governed by, construed, and enforced in accordance with the laws of the State of California. 5. SERVICE COORDINATION/DATA EXCHANGE A. Each party shall inform the other of future plans for pilot and/or permanent new routes, schedules, and fares, exclusive of emergencies, within San Luis Obispo County. Any plans by SANTA MARIA for implementing new or pilot routes, not previously identified in Exhibit 1, must be pre-approved by SAN LUIS OBISPO and SLOCOG prior to implementation. SAN LUIS OBISPO and SLOCOG reserve the right to conduct an analysis of any proposed changes or addition of new routes, schedules and fares. If analysis determines that the contemplated change could adversely impact the SAN LUIS OBISPO’s or other transit services in San Luis Obispo County, SAN LUIS OBISPO and SLOCOG, individually, reserve the right to deny such change. B. SANTA MARIA shall provide, on request by SAN LUIS OBISPO or SLOCOG, data that is readily available including boardings and alightings by stop and passenger load information for all inter -county services operated in between SANTA MARIA AND SAN LUIS OBISPO during the term of this AGREEMENT. Should a data request require extensive efforts, SANTA MARIA shall advise the requesting party of the expected costs; and, if the requesting party still desires the data, it shall so advise Santa Maria which shall provide the data and which may charge a fee to recover its actual costs. 6. SERVICE TO BE OPERATED. A. SANTA MARIA’s proposed pilot service may not deviate from the agreed upon service route, fare levels, service times, service days, and designated bus stop(s) (as shown in EXHIBIT 1) without prior consent from SAN LUIS OBISPO and SLOCOG. Minor modifications to the service route, fare levels, service times, service days, and/or stop placement can be made without an amendment to this AGREEMENT if approved in writing by the authorized representatives of SAN LUIS OBISPO and SANTA MARIA. 7. CHANGES IN SERVICE LEVELS A. Proposed changes to services (as shown in Exhibit 1) require ninety (90) days’ written notice from SAN LUIS OBISPO or SANTA MARIA and are subject to the mutual written approval of all partie s; provided, however, proposed changes to service schedules that impact the Downtown SLO Transit Center, as shown in Figure 1 of Exhibit 1, by SAN LUIS OBISPO only require ninety (90) days’ notice to SANTA MARIA and are not subject to the approval of SANTA MARIA. B. Major Service Changes, such as, establishing a new or eliminating a fixed route, realignment of more than 25% of the length of the route, adding or eliminating more than one (1) bus stops, moving a stop more than one quarter of a mile, or changing service span (as shown in Exhibit 1) that impacts the agencies existing transit service shall require an amendment to this AGREEMENT. 8. PUBLIC INFORMATION A. Each party shall cooperate, to the extent feasible, in providing the general public with specific transit information and in advertising of operations of SAN LUIS OBISPO and SANTA MARIA’S services, inpromoting the general use of public transit, and in providing participation and support in required public hearings. 9. REGIONAL PASS/FARES A. SANTA MARIA agrees to participate in the San Luis Obispo County Regional Pass Program, which means that on the pilot express route operated between Santa Maria and San Luis Obispo, the Regional Day or Month Pass will be an accepted form of payment on the route. SANTA MARIA will be paid the fare revenue for the San Luis Obispo County Regional Pass for riders of the pilot express route. B. SANTA MARIA will conduct quarterly surveys or use other means agreed to by the parties to determine the ridership levels of customers using San Luis Obispo County regional passes on SANTA MARIA’s transit system. SANTA MARIA shall provide the quarterly survey results to SAN LUIS OBISPO and SLOCOG C. SANTA MARIA shall retain all fares or other revenues collected on its pilot route with respect to that service for payments not made with the San Luis Obispo Regional Pass. D. SANTA MARIA will provide access to the pilot express bus service, without charge, to SAN LUIS OBISPO staff for the purposes of checking/monitoring the bus service performance. 10. BUS STOPS/FACILITY SHARING A. SAN LUIS OBISPO is responsible for the installation, maintenance, and expenses for bus stop infrastructure located at the SLO Downtown Transit Center. However, SANTA MARIA will be responsible for the cost of any increased maintenance to such bus stop facilities reasonably resulting from the pilot express program. B. Pilot express routes may utilize existing bus stop infrastructure for signage, provided such signage complies with all applicable SAN LUIS OBISPO Standard Specifications and Engineering Standards. C. All signage for jointly used bus stops shall be subject to prior approval by SAN LUIS OBISPO before installation. D. Each Party shall be solely responsible for any claims or damages arising from the installation of its own bus stop signs, posts, or poles. E. SAN LUIS OBISPO shall provide access to restroom facilities for SANTA MARIA bus drivers at the City Hall Building facility located at 990 Palm Street. F. All parties agree that SAN LUIS OBISPO vehicles have priority over pilot express transit service parking at the Downtown Transit Center and in no event shall pilot express transit vehicles block, delay, or idle in the street or otherwise contribute to congestion while waiting for access to the Downtown Transit Center. 11. EXHIBITS A. All exhibits referenced in this AGREEMENT are hereby incorporated into the AGREEMENT as if set forth in full herein. In the event of any material discrepancy between the terms of any exhibit so incorporated and the terms of this AGREEMENT, the terms of this AGREEMENT shall control. 12. NOTICES. A. Any notice required to be given pursuant to the terms and provisions hereof shall be in writing, and shall be sent by certified or registered mail to: SAN LUIS OBISPO: Public Works and Utilities Director City of San Luis Obispo 919 Palm Street, San Luis Obispo, CA 93401 AND City Clerk City of San Luis Obispo 990 Palm Street, San Luis Obispo, CA 93401 SANTA MARIA: Transit Manager City of Santa Maria 110 E Cook Street Santa Maria, CA 93454 AND SAN LUIS OBISPO COUNCIL OF GOVERNMENTS Executive Director City of San Luis Obispo 1114 Marsh Street San Luis Obispo, CA 93401 13. ENTIRE AGREEMENT. A. The terms and conditions set forth in this AGREEMENT, including exhibits referenced, constitute the complete and exclusive statement of the agreement between all of the parties with respect to the subject matter hereof, and there are no other representations, promises, warranties, covenants or undertakings with respect thereto and this agreement may not be contradicted by prior or contemporaneous agreements. IN WITNESS WHEREOF, this AGREEMENT has been executed by the parties hereto, upon the date first above written. CITY OF SANTA MARIA CITY OF SAN LUIS OBISPO & SLOCOG ATTEST: ATTEST: Mayor City of Santa Maria Erica A. Stewart, Mayor City of San Luis Obispo Name City Clerk Teresa Purrington City Clerk APPROVED AS TO FORM AND LEGAL EFFECT: APPROVED AS TO FORM AND LEGAL EFFECT: Name City Counsel By: City Attorney Date: By: SLOCOG Legal Counsel Date: Name City Counsel By: City Attorney Date: SLOCOG President SLOCOG Board of Directors Date: EXHIBIT 1 Figure 1: Service Schedule – Weekdays Only Santa Maria Crossroads Ctr (Depart) Downtown SLO Transit Center Santa Maria Crossroads Ctr (Arrive) 6:20 AM 7:20 AM 8:20 AM 6:45 AM 7:45 AM 8:45 AM 8:20 AM 9:20 AM 10:20 AM 8:45 AM 9:45 AM 10:45 AM No Midday Service, See SLO RTA for travel options 3:00 PM 4:00 PM 5:00 PM 4:10 PM 5:10 PM 6:10 PM 5:00 PM 6:00 PM 7:00 PM