LYNWOOD — More than five months after a 3-2 vote by the City Council awarded Fiesta Taxi Corp. a two-year contract as the city’s sole Dial-A-Ride transportation services provider, the council rescinded that action.

On Tuesday night, the council voted to award the contract to Futura Taxi Corp.

The contract was awarded to Fiesta in September with Mayor Pro Tem Aide Castro, and council members Alfredo Flores and Jim Morton voting for Fiesta even though Fiesta had not been the lowest bidder. Mayor Maria Santillan and Councilman Ramon Rodriguez were the two dissenting votes.

That 3-2 extended Fiesta’s existing contract with the city, one that it has had since 2005.

That vote and contract, however, were voided a few weeks later when Morton requested the item be brought back to the council for review and reconsideration. City staff was directed to return to the negotiating table, this time narrowing the providers down to Fiesta and Futura Taxi only. Both providers were then asked to return with proposals for the $260,000 a year contract.

On Tuesday night, Robert Torrez, assistant city manager for Administrative and Community Services, compared the proposals from the two companies.

According to Torrez, Fiesta would be charging $2.45 per mile, while Futura would charge $2.30 per mile.

Fiesta would be charging .35 cents per 47 seconds of wait time/delay, while Futura would not be charging for wait time/delay.

The biggest difference between the two providers fell under an administrative fee column, where Fiesta would be charging $1,500 a month for administrative costs, while Futura’s proposal stated it would not charge the city an administrative fee.

Both companies promised to replace some of their fleet cabs, Torrez said, adding that both providers also would adhere to the city’s Dial-A-Ride voucher program for senior citizens and people with disabilities.

On another note, Fiesta noted that it had the ability to pick up Lynwood residents at all satellite destinations, including Los Angeles. Futura’s destinations, on the other hand may be limited to Downey, South Gate, Cerritos, Lawndale and Compton.

Over the course of the negotiations, sources at City Hall said council members would be considering awarding the contract to both companies — to bring “competitiveness” to the table.

Torrez told council members that staff’s recommendation, after having been sent back to the negotiating table with both companies, dealt with council members awarding the contract to only one provider.

“Awarding the contract to both companies would be too complicated,” Torrez said. “It would be difficult to manage two companies with two different rates. … Either that, or start the … process all over again.”

Starting all over again is not what council members wanted.

Morton said he changed his mind after reviewing the numbers and the cost savings to the city.

“I appreciate Fiesta’s service in the city all of these years, especially the services they’ve provided to all of our seniors and our disabled, because they’re the ones who need this service,” said Morton, adding that whichever company received the contract would be expected to provide quality services to residents. “But from reviewing the figures, and from what we’ve received from new negotiations … the city needs more.”

Sergio Carrillo, director of public affairs for Fiesta Taxi, could not be reached for comment.

Carrillo was accused by some of recruiting a number of senior citizens and people with disabilities to speak on behalf of Fiesta at the September council meeting. He, and several seniors, disputed that allegation back then. But on Tuesday night, the meeting — which was held at Bateman Hall — was again attended by a large number of senior citizens and people with disabilities.

Antonio Mungilla, president of the Block Watch Captain Association and an active volunteer at the Lynwood Senior Citizen Center, said it didn’t matter to him who got the Dial-A-Ride contract, only that quality service be provided to those who needed it the most.

He said he knew both companies were capable of doing a good job, yet it was hard not to notice how “people were being used … by being brought here.”

Sixteen people spoke Tuesday night behalf of Fiesta Taxi.

A few seniors were asked what they thought of the 4-1 vote, but they said they would rather not comment.

Councilman Flores, who was the lone dissenter, said he didn’t appreciate being told that as a council member he couldn’t change his vote or his mind about a vote.

“I know for a fact that both companies are equally capable of providing the services we’re asking for,” Flores said. “The issues isn’t the service of the company, it’s the availability, the waiting period and the number of vouchers the city can provide. … But it irks me when someone tries to appeal to sympathy and pity just to get people to lean to your side.”

Councilman Ramon Rodriguez, said he saw savings in awarding the contract to Futura. Those savings could allow the city to provide residents with more vouchers for the Dial-A-Ride program, he said.

“The pick-up for Fiesta is $2.65 and for Futura it’s $2.45. That’s a 20-cent difference on pickup alone. If you multiply that by 1,209 trips, that’s a lot of money,” Rodriguez said. “I believe that with the savings Futura would be providing the city, imagine how many more vouchers we can provide to our residents.”

In the end, Santillan, Rodriguez, Morton and Castro awarded the contract to Futura.

The vote gives Futura Taxi a two-year contract, with the option to extend the contract for an additional year. The contract states that Futura is not to exceed $260,000 per year, for a total of $780,000 — a total that includes the possible third year.

In casting her vote, Castro said it was imperative to make sure Futura followed through with all the promises it made in the proposal.

In an interview Wednesday afternoon, Victor Caballero, chief operating officer for Futura, said he would not let the City Council down.

“We will deliver,” Caballero said. “What we proposed is not a hollow proposal, it is a proposal with substance.”

Caballero said he will personally watch over the Dial-A-Ride program in Lynwood.

Caballero worked for Fiesta between 2000 and 2005. During his tenure there, w he helped develop the Dial-A-Ride program for Lynwood, which was approved in 2003.

Although he said his decision to leave Fiesta was by mutual agreement, there has been litigation betwen Fiesta and Futura for the latter company picking up clients in Fiesta cities without having a proper permits. Fiesta also sued Caballero.

A settlement was reached between Caballero and Fiesta with a condition that Caballero not own, operate or advise a taxi company for three years anywhere in Los Angeles County. That settlement agreement ended Sept. 2.

Caballero began working with Futura that day and last month, under his scope, Futura was awarded a permit to do business in the city of Compton.

“The city of Lynwood and their Dial-A-Ride community gained a great thing [Tuesday] night,” Caballero said. “It was apparent at the meeting that the city is in great need of more vouchers for its residents, so either council members would have to increase their budget or look for a most cost-effective provider. Futura will give them both.”

Caballero, and Futura Taxi owner Herman Amador said they appreciate the City Council giving “the little guy” an opportunity to provide the service to the city and its residents. Futura has a fleet of 15 vehicles, with a promise of adding new ones, while Fiesta had a much larger fleet that included Yellow Cab.

“We will not let anyone down,” Caballero said. “Not the seniors, not the people with disabilities, and not the council members who are giving us this opportunity.”

After the meeting, Castro said she was comfortable in switching her vote for Futura.

“When I voted for Fiesta, it was based on the staff recommendation,” Castro said. “Even though I didn’t like the process … figured this time we needed to proceed in a positive way. Everyone who came, even though they said they were in support of Fiesta, their main concern was that they needed more coupons. … I’m not exactly sure how it’s going to work with Futura, but if the savings are correct … we can give [residents] that.”

Also, Castro said, the benefit of voting yes on an item, is that “you can always bring it back and change it … and because I voted no last time, I didn’t have that opportunity.” Still, Castro said, Futura will be held to their promises. “I don’t want to hear any excuses in six months,” she said. “We’re also putting a cap on their rates, so in two or three years, they can’t come back and tell us they want to charge more.”

City Manager Roger Haley said that the community can rest assured that the contract agreement with Futura will be monitored carefully by city staff.

“In the event that the contractual obligations are not met in six months, it is staff’s obligation to bring that to the council’s attention,” Haley said, adding that there will always be an option in city-awarded contracts that protect the city.

If Futura does not meet the contractual agreement requirements, council members can take it away, Haley said.