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  County Administrator's Report     13. 35.    
BCC Regular Meeting Budget & Finance Consent  
Meeting Date: 12/05/2019  
Issue:    Amendment of Agreement for Re-Solicit Operator for Paratransit Services
From: PAUL NOBLES
Department: Asst County Administrator  
CAO Approval:

RECOMMENDATION:
Recommendation Concerning Amendment of Agreement for Re-Solicit Operator for Paratransit Services - Tonya Ellis, Director, Mass Transit through Paul Nobles, Purchasing Manager, Office of Purchasing

That the Board approve and authorize the County Administrator to execute the Amendment of Agreement for PD 16-17.068, Re-Solicit Operator for Paratransit Services between Escambia County, Florida, and Innovative Transport and Logistics Solutions, LLC, in the amount of $200,000, for year three of the original Agreement in order to offset the increase in vehicle insurance costs to be paid in monthly reimbursements retroactive to October 1, 2019.

[Funding:  Fund 104, Mass Transit, Cost Center 320401, Object Code 53401/56404]
BACKGROUND:
On August 17, 2019, the Board approved an Agreement between Escambia County, Florida, and Innovative Transport and Logistics Solutions, LLC, per the terms and conditions of Innovative Transport and Logistics Solutions, LLC, for three years, with two (1) year renewals. Compensation was approved on a trip basis as follows:

 
  Ambulatory WheelChair
Year 1 $28.85 $40.72
Year 2 $29.07 $41.03
Year 3 $30.07 $42.46
Year 4 $31.04 $43.82
Year 5 $32.20 $45.46

December 14, 2017, the County also entered into a Lease Agreement for Paratransit Vehicles with the Operator ITL Solutions, LLC. Both the Paratransit Agreement, PD 16-17.068,  and the December 2017, Paratransit Vehicle Lease Agreement between Escambia County, Florida, and ITL Solutions require that the operator shall purchase and maintain liability and worker’s compensation insurance on the vehicles utilized in providing paratransit services on behalf of Escambia County. Twenty-seven of the paratransit vehicles insured were purchased with Florida Department of Transportation (FDOT) Grant funds. Escambia County and FDOT are contractually required to be identified as additionally insured and  certificate holders on the certificate of insurance for the vehicle insurance policy.
 
On October 1, 2019, ITL Solutions, LLC, contractually notified the Mass Transit Department staff regarding the recent substantial insurance premium increase for the Escambia County Community Transportation paratransit vehicles. County staff and Harold Griffin of ITL Solutions met on several occasions to find a resolution.  On October 15, 2019, ITL Solutions’ insurance broker, Beck Properties, provided documentation of the certificate of insurance and the insurance premiums to county staff.
 
The increase for the 2019 insurance policy was  $715,330.86, which was much higher than the  $227,205.75 for the 2018 insurance premium. The financial effect of the $488,125.11  difference of between the 2018 and 2019 insurance premiums would cause a significant detrimental impact on the ITL Solutions, LLC, who operate the much-needed paratransit services to the most vulnerable citizens of Escambia County. 
 
Mass Transit staff was directed at the November 18th BOCC Meeting to bring the agenda item concerning the vehicle insurance premium to the next board meeting. ITL Solutions, LLC is requesting that Escambia County supplement the payment of the paratransit vehicle insurance premium in the amount of $200,000, to assist in the reduction of the adverse financial impact on the portion the paratransit services for the citizens of Escambia County.
 
BUDGETARY IMPACT:
Fund 104, Mass Transit, Cost Center 320401, Object Code 53401/56404
LEGAL CONSIDERATIONS/SIGN-OFF:
Amendment of Agreement prepared by Kristin Hual, Senior Assistant County Attorney.
PERSONNEL:
N/A
POLICY/REQUIREMENT FOR BOARD ACTION:
This Recommendation is in compliance with the Code of Ordinances of Escambia County, FL 1999. Chapter 46, Finacne, Article II Purchases and Contracts.
IMPLEMENTATION/COORDINATION:
The Office of Purchasing will issue the Amendment of Agreement.

Attachments
October 15, Beck Properties Email
2019 ITL Solutions Certificate of Insurance
2019 ITL Solutions Vehicle Insurance Policy Allocation
2019 ITL Solutions Vehicle Insurance Policy Transactions
Amendment of Agreement - Paratransit Services

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