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Assignment of Management Contract - Progressive Transportation Services, Inc. page 3 I! <br /> DPTS could operate without the support of the management II� <br /> company, but if the management company ceases to exist or voids , <br /> the contract, then the Transit System would come to a halt. There <br /> would be no company and no employees to operate the Transit <br /> System until a new contract could be let. The normal process of <br /> seeking bids for a new management company, including advertising, <br /> interviewing, selecting and getting the new firm on board, would , <br /> take a minimum of four months to complete. Decatur could possibly <br /> be without a Transit System for a very long time. <br /> If for any reason the City is forced to go out for bids, the end result <br /> may be that we are no better off than if the City had accepted assign- <br /> ment. Since it must be an open bidding process,we can not know <br /> whom the lowest bidder will be or how much the lowest bid will be. <br /> First Transit might be the lowest bidder, and their bid might be <br /> significantly higher than the current amount that is specified in the <br /> contract. <br /> The second option is to assign the contract to First Transit, using <br /> the final year of this contract as a probationary period. This option <br /> guarantees the full services and operational support that we expect <br /> under the contract, and it guarantees that there will be no disruption <br /> of service. In this case staff would begin the process of seeking <br /> bids for a new management firm in February, 2004, with the intent <br /> of having the new firm ready to begin working on July 1, 2004. <br /> Again we can not know whom the lowest bidder will be or how <br /> much the lowest bid will be,but we will have had about ten <br /> months experience working under First Transit before we have to <br /> decide on a new management firm for the next five years. <br /> Staff recommends that this second option be taken, and that the <br /> existing contract be assigned to First Transit, with the under- <br /> standing that our experience with First Transit in the coming year <br /> will weigh very heavily in the selection of the firm for our next <br /> management contract, beginning July 1, 2004. <br />