City Council

18.\nCONTRACT SERVICE AGREEMENT FOR TROLLEY\nAND ON-DEMAND TRANSIT SERVICES AND OPTIONS\nTO REDUCE OFF-SEASON SERVICE COSTS AND\nIMPLEMENTATION OF ON-DEMAND PASSENGER\nFARES\nRecommendations:\n1. Authorize the City Manager to execute a five-year\nProfessional Services Agreement, in a form approved by\nthe City Attorney, with LAZ Parking California, LLC\n(“LAZ”) for trolley and on-demand transit operating\nservices for the period of July 1, 2026, through June 30,\n2031, in an amount not to exceed $19,102,790;\n2. Consider approving reductions to certain off-season\ntrolley and on-demand transit services, as reflected in\nFigure 4, in order to reduce Transit Fund subsidy\nrequirements while maintaining compliance with Orange\nCounty Transportation Authority (“OCTA”) Measure M2\nProject V grant requirements;\n3. Authorize implementation of up to a $5 per passenger\nfare for Laguna Local on-demand transit services, as\nreflected in Figure 6; and 4. Find the action\nexempt under the California\nEnvironmental Quality Act under CEQA Guidelines\nSection 15061(b)(3).