Special Notice / Hearing: None__
Vote Required: Majority
To: Honorable Board of Supervisors
From: Jim Eggemeyer, Director, Office of Sustainability
Subject: Agreement with Edenred Commuter Benefit Solutions LLC, to Provide Commute Alternative Benefit Services
RECOMMENDATION:
title
Adopt a resolution authorizing an agreement with Edenred Commuter Benefit Solutions LLC for commute alternative benefit services from May 14, 2019 to May 13, 2022 for a not-to-exceed amount of $2,900,000.
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BACKGROUND:
The San Mateo County Commute Alternatives Program (CAP) was established in December 1991 to comply with the Bay Area Air Quality Management District’s Regulation 13, Rule 1. Rule 1 required all companies in the Bay Area that employ 100 or more workers, to implement measures to reduce the number of employees who commute in single occupant vehicles. In 1992, the Board approved the initial transit subsidy of $20 per month to help meet that mandate and provide an incentive to employees to use public transit, or other means besides single occupant vehicles when traveling to and from work.
In November 2004, the voters of San Mateo County passed Measure A, a half-cent sales tax to fund transportation-related projects throughout the County for 25 years. Currently, the CAP receives $1.2 million annually from Measure A to fund the program.
CAP provides a comprehensive set of services and up to $75 subsidy per month to County employees to use public transit, or vanpool, and up to $20 per month to employees to carpool, walk, or bike to work. Additionally, CAP offers an Emergency Ride Home program, vanpool and carpool-only parking facilities, and bike lockers. Currently, an average of 1,100 County employees participate monthly in CAP.
Since 2009, WageWorks has been administering the above-referenced County subsidies and purchasing monthly transit passes for those County employees who are riding public transportation. Approximately 907 County employees order and receive transit passes through WageWorks on average each month. Passes are distributed electronically through an employee’s Clipper Card in the exact amount of their order. For employees who order less than $75 per month, they receive the exact amount on their Clipper Card. For employees who order more than $75 per month, they must pay the remainder of their order. The Clipper Card system sets a maximum amount of cash value that can be stored at $300, so employees cannot continue adding transit funds to their Clipper Card without using the funds.
DISCUSSION:
The contract with WageWorks expires on June 30, 2019 and the contract has exhausted its extension options. The Office of Sustainability (OOS) issued a request for proposals for vendors to provide commuter alternative benefit solutions for CAP.
The RFP was accessed by 38 vendors and three vendors submitted a proposal. Edenred Commuter Benefit Solutions (ECBS) scored highest during the selection process and has been selected to provide commuter benefit services for CAP.
Edenred is offering a variety of options for employees to order their transit passes, including an online platform, the “My Commuter” app, customer service center with a live chat web function open from 5 AM to 5 PM. Employees will continue to pay for eligible transit costs through a pre-tax payroll deduction of up to $260 per month (as established by the IRS). Edenred also offers the RideMatch program that allows employees to find other interested carpoolers or vanpools at their worksite. Edenred is providing webinars and manuals to help employees transition to ordering on the new platforms and will also be available onsite at County Center and the Medical Center for in person assistance and tutorials during the transition.
Preparations are underway to initiate the transition onto the ECBS platform, which is scheduled to launch in June 2019.
County Counsel has reviewed and approved the agreement and resolution. The resolution contains the County’s standard provisions allowing amendment of the County’s fiscal obligations by a maximum of $25,000 in the aggregate.
SHARED VISION 2025:
Approval of this agreement contributes to the Shared Vision 2025 outcomes of an environmentally conscious community by providing commute alternative support services to employees taking public transit, vanpools, carpooling, bicycling and walking to and from work rather than by automobile, thereby reducing pollution and greenhouse gas emissions.
PERFORMANCE MEASURE:
|
Measure |
FY 2019-20 Target |
FY 2020-21 Target |
FY 2021-22 Target |
|
Customer service satisfaction of Edenred services by CAP participants |
90% |
90% |
90% |
|
Total number of orders processed by Edenred per month |
900 |
990 |
1090 |
FISCAL IMPACT:
The term of the agreement is for three years, with two one-year term extension options, and a not-to-exceed amount of $2,900,000. The FY 2018-19 Adopted Budget and FY 2019-20 Recommended Budget includes $1.2 million for CAP, which is sufficient to cover this agreement with ECBS.