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MOUTC04ARC 1
MEMORANDUM OF UNDERSTANDING
FOR PROPOSITION C 5% TRANSIT SECURITY FUNDS
This Memorandum of Understanding ( "MOU ") is entered into as of July 1, 2003, by and
between the Los Angeles County Metropolitan Transportation Authority (MTA) and the City of
Arcadia ( "GRANTEE ").
RECITALS:
A. On November 6, 1990, the voters of the County of Los Angeles approved by majority
vote Proposition C, an ordinance establishing a one -half percent sales tax for public
transit purposes; and
B. The Proposition C ordinance states that 5% of the Proposition C Funds are to be used to
improve and expand rail and bus security (the "Prop C 5% Security Funds "); and
C. California Public Utilities Code Section 99285 0) (SB -1755 Calderon) directs a
formula allocation of Prop C 5% Security Funds based on transit ridership to all
Eligible /Included Operators; and
D. MTA, as the agency responsible for administering the tax, has designated this formula
allocation of Prop C 5% Security Funds as the funding source for the Transit Security
Funds ( "TSF ") described and programmed by this MOU; and
E. MTA has entered into a contract with the County of Los Angeles for the provision of
transit security services to MTA, the other Eligible /Included Operators and their
respective patrons by the Los Angeles Sheriffs Department ( "LASD "); and
F. At this time, the other Eligible /Included Operators can elect to continue to pay and
receive services from the LASD under the MTA contract or provide for
their own transit security. Therefore, the Eligible /Included Operators can elect to direct
their TSF in one of the following ways: (1) allocate 100% of their share of TSF to the
MTA for LASD transit security services as specified in the Service LOA, as
defined in Recital G below; (2) allocate a portion of their share of TSF to the MTA for
LASD transit security services as specified in the Service LOA and retain the
remaining portion of the TSF to provide for their own transit security as specified in the
Service Plan, as defined in Section 4.2 below; or (3) receive 100 % of their share of the
TSF to provide for their own transit security as specified in the Service Plan; and
G. Commencing with FY 2004, to the extent LASD will provide transit security
service to any Eligible /Included Operator, such service will not begin and no payments
will be made until the Eligible /Included Operator, the LASD and the MTA enter
into a letter of agreement (the "Service LOA "). The Service LOA shall specify the level
of LASD service to be provided to those Eligible /Included Operators electing to
allocate either 100% or a portion of their TSF to the MTA for LASD transit
MOUTC04ARC 1
security services; and
H. GRANTEE is an Eligible /Included Operator and desires to allocate its share of TSF as
provided in this MOU; and
I. MTA and GRANTEE desire to enter into this MOU to allocate GRANTEE's share of
TSF and to agree to the terms and conditions of the TSF.
NOW, THEREFORE, in consideration of the mutual terms and conditions contained herein,
MTA and GRANTEE hereby agree as follows:
ARTICLE 1 — TERM
I.I. This MOU will be in effect from July 1, 2003 through June 30, 2006 unless terminated
earlier as provided herein.
1.2. The MTA reserves the right to terminate this MOU and withhold TSF if it is determined
that the GRANTEE has not used best efforts to adhere to all the terms and conditions
contained herein.
ARTICLE 2- ALLOCATION OF TSF FUNDS AND INVOICE PROCEDURE
2.1. Each fiscal year, to the extent TSF is available, MTA staff, in coordination with the
Eligible /Included Operators, will develop the Annual Proposition C 5% Transit Security
Funding Allocation (the "Annual Security Allocation ") which will describe (1)
GRANTEE's share of the TSF pursuant to California Public Utilities Code Section 99285
0); and (2) the distribution of GRANTEE's share of the TSF. Grantee shall have the
opportunity to review and comment on the Annual Security Allocation prior to MTA
staff submitting the Annual Security Allocation to the MTA Board for approval.
2.2. For each fiscal year covered by this MOU, GRANTEE hereby directs MTA to allocate
GRANTEE's share of TSF pursuant to the applicable Annual Security Allocation for that
fiscal year as approved by the MTA board. Attached as Exhibit A is the Annual Security
Allocation for FY 2004. If MTA staff, in coordination with the Eligible /Included
Operators, develops a mid -year reallocation of the Annual Security Allocation, which is
approved by the MTA board, Grantee hereby directs MTA to make such mid -year
adjustments to its Annual Security Allocation as approved by the MTA board.
2.3. To the extent GRANTEE directs that the MTA retain any TSF to pay for LASD transit
security services for GRANTEE in Section 2.1 above, GRANTEE hereby authorizes
MTA to take such funds and apply such funds to MTA's contract with the LASD.
GRANTEE and MTA understand that commencing with FY 2003 - 2004 and for each
subsequent fiscal year thereafter, MTA will not be authorized to take GRANTEE's TSF
and apply such funds to MTA's contracts with LASD and Grantee shall not receive any
transit security services from the LASD until such time the parties enter into a Service
2
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LOA specifying the level of service to be provided to GRANTEE. GRANTEE will not
need to submit an invoice for any amounts retained by MTA to pay LASD.
2.4. To the extent GRANTEE directs that it receive any TSF, each fiscal year, GRANTEE
shall send MTA one invoice for such appropriate amount consistent with the amount
shown on the applicable Annual Security Allocation. MTA shall not be obligated to
forward any TSF to GRANTEE until it receives an invoice and the Security Plan, unless
otherwise agreed to by the parties. MTA shall make payments to Grantee on a quarterly
basis, unless otherwise agreed to by the parties.
ARTICLE 3 - USE OF FUNDS
3.1. GRANTEE shall use any TSF provided herein to provide transit security as provided in
its Security Plan.
3.2. MTA shall use any TSF received hereunder to pay LASD to provide transit security
services to GRANTEE as specified in the Service LOA.
3.3. GRANTEE understands if it decides to allocate either 100% or a portion of its TSF to the
MTA for LASD transit security services, it will need to enter into a Service LOA.
3.4. To the extent Grantee receives any TSF, GRANTEE shall not use the TSF to supplement
or pay for general police or other security services not related to transit.
3.5. To the extent Grantee receives any TSF, GRANTEE shall use TSF for operating or
capital security assistance and shall not use TSF to substitute for any other funds, service,
or project not specified in this MOU or the Service LOA.
ARTICLE 4 - AUDIT AND REPORTING REQUIRMENTS
4.1. Each fiscal year, MTA or its designee shall have the right to conduct a financial and
compliance audit(s) of the program. To the extent Grantee receives the TSF, GRANTEE
agrees to establish and maintain proper accounting procedures and cash management
records and documents in accordance with conditions defined by this MOU. GRANTEE
shall maintain financial records for three (3) years after the end of the fiscal year within
which the TSF was dispersed. MTA may audit as provided herein up to three years after
the end of the fiscal year within which the TSF was dispersed.
4.2. Pursuant to California Public Utilities Code Section 99285 0), GRANTEE shall file a
cost effective security program to provide transit security (the "Security Plan ") with the
MTA prior to receiving all or a portion of TSF.
4.3. For those Eligible /Included Municipal Operators who directly receive their TSF, the
Security Plan shall be submitted annually with the annual invoice. For those
Eligible /Included Municipal Operators who direct all TSF to the MTA for the LASD, the
Sao, *41� MOUTC04ARC1
Security Plan stating such may be filed once with the MTA for the duration of the MOU
unless there are any changes to the Security Plan in which event, the Eligible /Included
Municipal Operator shall once again be required to submit its Security Plan annually with
the annual invoice.
ARTICLE 5 - MISCELLANEOUS
5.1. This MOU along with the Annual Security Allocation, the Service LOA, if any, and the
Security Plan, if any, constitute the entire agreement between the parties with respect to
the subject matter described herein. No amendments or modifications to this MOU shall
be binding upon either party unless such amendment or modification is in writing and
duly executed by both parties. This MOU shall not be amended or modified by any acts
or conduct of the parties.
5.2. GRANTEE agrees to comply with all applicable local, state and federal laws and
regulations in the provision of public transit services.
5.3. GRANTEE is not a contractor, agent or employee of the MTA. GRANTEE shall not
represent itself as a contractor, agent or employee of the MTA and shall have no power to
bind the MTA in contract or otherwise.
5.4. To the extent GRANTEE receives the TSF, GRANTEE understands and agrees that in
programming the TSF, MTA is acting pursuant to its statutory authority and MTA shall
have no liability in connection with the use of such TSF. GRANTEE agrees to indemnify
MTA for all liability arising out of GRANTEE'S performance in the provision of public
transit security services paid for by TSF.
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IN WITNESS WHEREOF, the parties hereto have caused this Memorandum of Understanding
to be duly executed as of the dates below with all the formalities required by law.
GRANTEE
City of Arcadia
BY: U
William R. Kelly
City Manager
Date: yom
ATTEST:
By: I
Clerk
Date: / O ---2,.z -� 3
APPROVED AS TO FORM:
a
n
Stephen P. Deitsch
City Attorney
5
LOS ANGELES COUNTY
METROPOLITAN TRANSPORTATION
AUTHORITY
BY:
Roger SnAle
Chief Executive Officer
Date: j ? —/0 —4D
APPROVED AS TO FORM:
Lloyd W. Pellman
County sel
By:
Date:
PLANNING & PROGRAMMING COMMITTEE
M June 18, 2003
FINANCE & BUDGET COMMITTEE
• June 19, 2003
Metropolitan SUBJECT: FISCAL YEAR 2004 TRANSIT FUND ALLOCATIONS
Transportation
Authority ACTION: APPROVE FISCAL YEAR 2004 TRANSIT FUND
ALLOCATIONS
One Gateway Plaza
Los Angeles, CA
90012 -2952 RECOMMENDATIONS
Approve the following allocations totaling approximately $1 billion to Los
Angeles County Transit Operators and Cities for Fiscal Year (FY) 2004:
A. Transportation Development Act (TDA), TDA interest, State Transportation
Assistance (STA), STA interest and Proposition A Discretionary fund
allocations as shown in Attachment A.
B. Proposition C 40% allocation for the Bus Service Improvement Program
(BS1P), Foothill Mitigation Program, the Transit Service Expansion Program
and the Base Restructuring Program as shown in Attachment B.
C. Proposition A and Proposition C Interest allocations as shown in Attachment
C.
D. Proposition C 40% Municipal Operator Service Improvement Program
allocation as shown in Attachment D.
E. 'IDA Article 8 Fund allocation as shown in Attachment E.
F. Proposition A and Proposition C Local Return and TDA Article 3 allocations
as shown in Attachment F. Lapsed TDA Article 3 funds (in the amount of
$29,215) have been reallocated to cities receiving less than $5,000. The Street
and Freeway Subcommittee and the Technical Advisory Committee have
approved this redistribution methodology.
G. Proposition A Incentive Program allocation as shown in Attachment G.
H. Proposition C 5% Security Fund allocation as shown in Attachment H.
I. Federal Transit Act Section 5307 Capital Fund allocation as shown in
Attachment 1.
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