SR 09-14-2021 7A
City Council Report
City Council Meeting: September 14, 2021
Agenda Item: 7.A
1 of 12
To: Mayor and City Council
From: Edward F King, Director, Mobility (DOT)
Subject: Introduction and First Reading of an Ordinance to Extend the Autonomous
Delivery Vehicle Moratorium Until December 31, 2022 and to Continue the
Authorization of Remote Control Delivery Robots as Part of the Zero-
Emission Delivery Zone Pilot Program; and Update on the Zero-Emission
Delivery Pilot Program
Recommended Action
Staff recommends that the City Council:
1. Authorize the City Manager to execute an amendment to the Memorandum of
Understanding (MOU) between Los Angeles Cleantech Incubator (LACI) and the
City to extend the Zero Emission Delivery Zone (ZEDZ) Pilot Program end date
to December 31, 2022.
2. Introduce for first reading an ordinance amending Santa Monica Municipal Code
Section 3.12.1055, that established a moratorium on the deployment and
operation of autonomous delivery vehicles and allows the operation of remote
control delivery robots only as part of the ZEDZ Pilot Program, to coincide with
the new ZEDZ Pilot Program end date of December 31, 2022.
3. Authorize the City Manager to execute an amendment the City’s license
agreement and software as a service agreement with Automotus to coincide with
the new ZEDZ pilot program end date of December 31, 2022.
Summary
To support local businesses as well as reduce pollution and traffic congestion, Santa
Monica, in conjunction with Los Angeles Cleantech Incubator (LACI), launched the Zero
Emission Delivery Zone (ZEDZ) Pilot Program (Pilot Program) this past February. The
City designed the ZEDZ as a roughly one-square mile area encompassing Downtown
Santa Monica, Main Street, and the Ocean Park neighborhood and contracted with Los
Angeles-based Automotus to monitor the ZEDZ and provide Pilot Program data. This
Pilot Program aims to reduce emissions from delivery vehicles by encouraging the
electrification of light- and medium-duty deliveries in urban areas.
7.A
Packet Pg. 181
2 of 12
The original Pilot Program was expected to run through December 31, 2021 and
includes work to establish the ZEDZ, including onboarding partners and implementing
new services and technologies; conducting data collection for at least 12 months once
the ZEDZ is established; and, finally, doing data analysis and developing
recommendations for effectively implementing a zero-emission delivery program in
Santa Monica and other communities. LACI and the City have made considerable
progress in engaging the community, local businesses and delivery partners. LACI and
the City have partnered with thirteen delivery, technology, and data analytics companies
to test a wide range of urban delivery solutions in the ZEDZ area including small and
large electric vans/trucks, an EV truck rental platform, e-cargo bikes, delivery-only
e-scooters, and remote-control delivery vehicles (delivery robots).
However, a slow start caused by the pandemic and the nascency of the delivery
solutions has caused delays in operationalizing new technologies and collecting Pilot
data. LACI has indicated that it will need a minimum of 12 months of robust data
collection in order to gain rich insights and register lessons that would inform the Pilot
Program final reporting and recommended actions for the City and Pilot Program
partners beyond the pilot period. Data collection is just beginning and will run through
September 2022, followed by work to analyze the data and develop recommendations.
Therefore, staff recommends that City Council authorize the City Manager to extend the
Pilot Program through December 31, 2022, and to extend the moratorium on
autonomous delivery vehicles (Attachments A and C) and the license agreement with
Automotus (Attachment B) to coincide with the new Pilot Program end date. Staff
supports the Pilot Program extension as part of the City’s efforts to support local
businesses and advance progress on the City’s sustainability goals.
Background
Santa Monica has a longstanding commitment to preserving our environment to ensure
that the city remains resilient to the impacts of climate change and preserves a high
quality of life for future generations. Council adopted key policy goals to support this
commitment, including the Electric Vehicle Action Plan (2017) and Santa Monica
7.A
Packet Pg. 182
3 of 12
Climate Action and Adaptation Plan (2019), which established the goal of an 80%
reduction in greenhouse gas (GHG) emissions by 2030 and carbon neutrality by 2050
or sooner.
Today, the transportation sector is the largest source of carbon emissions, accounting
for 64% of all emissions in Santa Monica. The explosion in demand for deliveries has
made urban delivery a rapidly-growing sector contributing to GHG emissions in areas
like Santa Monica. In 2020, a study by the World Economic Forum forecast that demand
for urban delivery is expected to grow by 78% by 2030, causing emissions to rise by
30% in the top 100 cities globally. This trend was exacerbated during the pandemic as
local restaurants and businesses shifted to physically-distanced or contactless business
models to comply with local health orders and serve customers.
To address the rising levels of pollution from this growing sector, the City has expanded
mobility options such as expanding the protected bike network, rapidly expanding
electric vehicle infrastructure, administering shared mobility device pilot programs, and
providing innovative Big Blue Bus services.
Santa Monica also participates in regional partnerships and programs, including
the Transportation Electrification Partnership (TEP), convened by LACI to accelerate
progress to a zero emissions future and cultivate collaboration with local governments,
key regulators, utilities, private industry and others to reduce greenhouse gas emissions
and improve regional air quality. The TEP included the ZEDZ pilot as a strategy in
the Zero Emissions 2028 Roadmap, a report published in 2018 and updated in
2020, to accelerate transportation electrification in the Greater Los Angeles region.
In April 2020, LACI selected Santa Monica to be the host community for the ZEDZ pilot
program, which has the potential to support local businesses with expanded delivery
options, reduce congestion and emissions, mitigate some of the negative impacts
created by an increase in deliveries, and continue to improve the quality of life in Santa
Monica in alignment with Santa Monica’s long-term mobility and sustainability
strategies,
7.A
Packet Pg. 183
4 of 12
Figure 1: Santa Monica Zero-Emissions Delivery Zone Boundary
The zone extends to the southern border of the City, east to Lincoln Boulevard, north to Wilshire
Boulevard, and west to Ocean Avenue/Neilson Way.
The ZEDZ Pilot Program area is roughly one square mile including Downtown Santa
Monica, the Main Street corridor, and the Ocean Park neighborhood, and contains 11
priority curb access EV-only loading zones for companies delivering with electric
vehicles. This zone was selected to include a diverse array of businesses and a cross
section of downtown and residential neighborhoods. Participation in the voluntary Pilot
Program gives delivery service providers, technology companies, and local businesses
the opportunity to improve delivery with new technologies and systems. The Pilot
Program will also provide time for the City to test different technologies and their
impacts on the public right-of-way.
The anticipated outcomes of the program are:
7.A
Packet Pg. 184
5 of 12
• Local Benefits – Support local businesses, reduce congestion and emissions,
and improve safety issues like double parking, blocked bike lanes, and illegal
vehicle maneuvers,
• Defining Policy – Understand potential new regulations or policy changes needed
to adopt new technologies and services, and
• Replicability/Scalability – Provide a framework for cities and companies to
advance new urban delivery systems and technologies to reduce carbon
emissions and pollution.
Following selection of Santa Monica for the ZEDZ Pilot Program in April 2020, LACI
released a Request for Information (RFI) for technology and service providers to
support various aspects of the zone, in five broad categories: e-bikes and micromobility,
curb management, light and medium duty electric vehicles (EV), measurement and data
tracking, and other innovative solutions. LACI received 85 applications covering a broad
range of services. Project staff from LACI and the City reviewed proposals, interviewed
applicants, and ultimately selected thirteen partners to begin to test various delivery-
related technologies and services.
Since the official launch of the ZEDZ Pilot Program in February 2021, LACI, staff, and
Advisory Committee members have expanded partnership opportunities, engaged with
community members and local businesses, set up physical infrastructure, begun to
understand innovative business models (e.g. remote control delivery robots), drafted
preliminary guidelines/regulations, and collected baseline data and ZEDZ operations
data from delivery partners. Below are some examples of what is being tested.
• Micromobility for food and parcel delivery: Micromobility companies are testing a
different business model to deliver for local and corporate restaurants and grocery
stores using remote-control robots and electric scooters. As of July 20, 2021, these
companies have collectively completed over 3,300 deliveries, for over 25 local and
corporate restaurants and stores. Staff has drafted regulations with which the
delivery robot companies must comply to ensure safe operation and safe
7.A
Packet Pg. 185
6 of 12
management of the public right-of-way. The regulations could be modified during the
pilot and ultimately be the basis for codified regulations for remote control delivery in
Santa Monica.
• Medium and light-duty electric delivery vehicles: Eight companies have
committed to transitioning their gas fleet to electric vehicles for local deliveries in the
ZEDZ. For example, Alsco, a large-scale linen and uniform-rental company, is using
Motiv electric vans; Guayaki, an organic beverage company, is delivering via Chevy
Bolts; and Ikea is testing their EV truck fleet for delivery in Santa Monica.
• Commercial electric vehicle car sharing: Fluid Truck is a truck-sharing platform,
which hosts electric fleet vehicles from Nissan and other Original Equipment
Manufacturers (OEMs) on its rental platform in Santa Monica. As part of the pilot
program, Fluid Truck is making EV trucks available for rent from Beach Lot 5 South
and is expanding the fleet to six trucks in the coming months.
• Curb management and data analysis: The City has sited and installed 11 curbside
EV-only loading zones throughout the ZEDZ Pilot Program area. These spaces
incentivize and give priority curb access to delivery companies that utilize electric
vehicles. The delivery partner, Alsco, reported that the priority EV curb locations
have improved their efficiency and speed of deliveries by cutting down on circling to
find parking.
7.A
Packet Pg. 186
7 of 12
Curbside EV-only loading zone signage
Additionally, the City has executed a license agreement with Automotus that has
installed cameras on nearby light posts that will track curb utilization through video
cameras and advanced artificial intelligence (AI), while maintaining data privacy and
security. Automotus is tracking parking availability, dwell time, vehicle typology, and
nearby traffic flows. The data from the cameras will help the City and LACI understand
who is using the curb and how it is being used. It will also allow the City to explore
innovative curb regulation enforcement opportunities to better understand the best
mechanisms for keeping the zones available for EV delivery use.
Last month, LACI learned that it has been awarded a grant from the Department of
Energy (DOE) that could support the continuation of the curb management aspects of
the Pilot Program, and allow for the possible expansion and ongoing study of curbside
delivery policy through 2023, should the City agree to participate. Staff will return to
Council as more is learned about the potential continued support opportunities for this
work.
The ZEDZ Pilot Program will be evaluated by tracking qualitative and quantitative Key
Performance Indicators (KPIs). LACI is collecting various data inputs to analyze and
provide insights into the successes, challenges, lessons learned and next steps
regarding zero emission delivery systems and policies. At the end of the Pilot Program,
7.A
Packet Pg. 187
8 of 12
LACI will compile a report including best practices and recommended actions for the
City and partner companies to pursue moving forward.
To better inform the pilot, LACI has coordinated an Advisory Committee composed of
community members from Ocean Park Association, Main Street Business Improvement
Association, Downtown Santa Monica Inc., Santa Monica Spoke, and Climate Action
Santa Monica. The committee also includes representatives from LA Metro, Nissan,
Rousch Cleantech, Southern California Association of Governments (SCAG), Southern
California Edison (SCE), Urban Movement Labs and others. The committee meets
monthly to provide constructive, solution-oriented feedback to LACI, the City, and
technology/delivery partners. The group has been an integral part of the program by
providing outreach to the broader community, facilitating connections between
service/technology partners and the local business community, and giving the City
insights around siting of EV-only loading zones.
Discussion
The ZEDZ Pilot Program has three phases: implementation and stakeholder
engagement, operations and data collection, and analysis and reporting. The program
has taken a broad approach to explore many innovative and nascent delivery solutions
with few best practices or precedents to follow. The Program was initiated at the
beginning of the pandemic when many companies paused expansion of innovation and
development projects to focus on the immediate emergency management. Due to this
unfortunate timing, the multi-faceted approach, and diversity of partners and
technologies, many Pilot Program elements in the first implementation phase have
encountered unexpected challenges that have slowed progressing toward the second
phase of operations and data collection. These encountered challenges include:
• Slow start for delivery partners: While eight delivery partners have committed to
transition to EV delivery as a part of the Pilot Program, two partners have not started
operations due to loss of business caused by the pandemic and limited merchant
engagement. Another company, REEF, has experienced delays establishing a ghost
kitchen from which to deliver food via electric bicycles. Additionally, LACI has been
7.A
Packet Pg. 188
9 of 12
in discussions with several large-scale parcel delivery companies (i.e. DHL,
Amazon, etc.) that have been interested in participating in the Pilot Program but
have yet to commit. Delivery partners and LACI have indicated that a longer time
frame would allow them to work through internal challenges and provide more
opportunity to engage with local businesses and large-scale delivery partners.
• Implementation of data collection systems: Many of the delivery partners do not
have robust data tracking and sharing capabilities. This has required LACI to work
with delivery partners to modify or deploy strategic or technology solutions to track
the data needed to assess performance. Three delivery partners currently have data
tracking capabilities, but the process to operationalize and draw data specific to the
ZEDZ is time intensive. Further, due to unforeseen challenges, Automotus’ camera
equipment was not installed until last month. As such, LACI and the City have only
begun to collect data related to the use of the loading zones and insights as to how
to best operationalize priority curb access for EV delivery.
Additionally, LACI has partnered with Blue Systems (a data aggregation company)
to ingest and analyze Mobility Data Specification (MDS) data from the micromobility
delivery partners. However, because the MDS data is specific to shared mobility
devices rather than remote control delivery robots, Blue Systems is working with the
micromobility providers to modify the data spec to provide valuable insights into the
companies’ operations. An extension of zone operations will allow LACI time to work
with partners to establish reliable data sharing processes, ensuring proper
evaluation of their participation in the ZEDZ Pilot Program and providing
opportunities to learn about potential interventions to improve operations.
Extending the ZEDZ Pilot Program
LACI has indicated that the second phase (which is just now beginning) will need a
minimum of twelve months of robust data collection to gain rich insights and register
lessons learned that would ultimately inform policies and regulations around the ZEDZ
for a post-pilot period. Staff recommends that the Council authorize the City Manager to
7.A
Packet Pg. 189
10 of 12
amend the Memorandum of Understanding between LACI and City to extend the Zero
Emission Delivery Zone Pilot Program period until December 31, 2022.
The extension will allow for delivery partners, technology providers, and local
businesses to be more engaged in ZEDZ activities and opportunities, institute data
collection, operationalize new systems or services, and allow enough time for the third
phase of analysis and reporting. LACI would continue to provide staff support, organize
the Advisory Committee, complete final analysis, and create the report with
recommended actions. The City would continue to provide Mobility Division and Office
of Sustainability (OSE) staff support and insights.
If the Pilot Program is not extended, LACI would work to report out lessons learned and
recommended actions using the data collected by fall 2021. Should Council decide to
extend the ZEDZ Pilot Program, staff also recommends two additional actions be taken.
• Amend Santa Monica Municipal Code (SMMC) Section 3.12.1055, which
established a moratorium on the deployment and operation of autonomous
delivery devices, but allows the operation of remote-control delivery robots by
ZEDZ Pilot Program participants, to coincide with the new ZEDZ Pilot Program
end date of December 31, 2022. The extension would allow delivery robots like
Coco and Kiwibot to continue to operate as part of the Pilot Program in
compliance with regulations and extend the moratorium which allows staff time to
continue to better understand the benefits and impacts of the services and
develop a proposal for a longer-term regulatory framework for this unique
delivery service. Should Council decide not to amend SMMC Section 3.12.1055
the moratorium ceases, and companies would be allowed to operate
autonomous or remote-controlled delivery devices un-regulated until the City
established a permanent regulatory framework for these services, or banned
them outright.
7.A
Packet Pg. 190
11 of 12
• Authorize the City Manager to amend the City’s license agreement with
Automotus to coincide with the new ZEDZ Pilot Program end date of December
31, 2022. The current agreement, executed on July 10, 2021, allows Automotus
to install camera equipment on City-owned light posts. Extending this agreement
would allow Automotus to leave the cameras in place to collect data that will
track the usage and impact of designated EV-only loading zones and inform the
possible expansion of priority access curb spaces in the future. Automotus does
not collect face recognition, license plate information or any other personally
identifiable information (PII). At the end of the Pilot Program, Automotus must
remove the cameras unless the license agreement were to be extended.
Following completion of the pilot, staff will return to Council with recommendations for
implementing a zero-emission delivery program based on findings from this Pilot. A
permanent program beyond the pilot would require commitment from:
• OSE and Mobility – Identify and install additional EV-only loading zone locations.
• Parking Operations– Review use of City parking facilities (if applicable).
• Engineering and Street Services – Assess video camera equipment integration
with streetlights.
• Parking Enforcement – Enforce proper use of the zones.
• Information Services Department – Review data privacy compliance.
7.A
Packet Pg. 191
12 of 12
Past Council Actions
Meeting Date Description
10/27/20 (Attachment A) Adopted Emergency Ordinance to establish a
moratorium on autonomous delivery vehicles
2/9/2021 (Attachment B) Authorized the City Manager to execute a license
agreement with Automotus Corporation
4/13/21 (Attachment C) Request to amend Emergency Ordinance to allow
autonomous delivery vehicles to operate citywide
Financial Impacts and Budget Actions
There is no immediate financial impact or budget action necessary as a result of the
recommended action. Staff will return to Council if specific budget actions are required
in the future. If the City decides to continue operating the Zero-Emissions Delivery Zone
beyond the proposed pilot period and utilizing curb monitoring services, there would be
a cost to the City to fund these services.
Prepared By: Kyle Kozar, Bike Share Coordinator
Approved
Forwarded to Council
Attachments:
A. Attachment A - Staff Report October 27, 2020 (Web Link)
B. Attachment B - Staff Report February 9, 2021 (Web Link)
C. Attachment C - Staff Report April 13, 2021 (Web Link)
D. Proposed Ordinance
E. Written Comments
F. PowerPoint Presentation
7.A
Packet Pg. 192
1
City Council Meeting: September 14, 2021 Santa Monica, California
ORDINANCE NUMBER _________ (CCS)
(City Council Series)
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA
AMENDING SANTA MONICA MUNICIPAL CODE SECTION 3.12.1055 TO EXTEND
THE CITYWIDE OPERATION OF REMOTE-CONTROLLED DELIVERY DEVICES BY
OPERATORS PARTICIPATING IN THE ZERO EMISSIONS DELIVERY ZONE PILOT
PROGRAM
WHEREAS, on October 27, 2020, the Santa Monica City Council (Council)
adopted emergency ordinance 2656 (CCS) creating Santa Monica Municipal Code
(SMMC) Section 3.12.1005, which establishes a one-year moratorium, through October
28, 2021, on the deployment and operation of autonomous delivery devices on City
sidewalks and pedestrian paths of travel to allow staff time to develop a regulatory
framework for such delivery services; and
WHEREAS, SMMC Section 3.12.1055 also imposes, through October 28, 2021, a
moratorium on the deployment and operation on City sidewalks and pedestrian paths of
travel of remotely controlled deliver devices, with the exception that it allows the operation
of remotely controlled delivery vehicles within the Zero Emission Delivery Zone (ZEDZ),
so long as operators are participating in the ZEDZ pilot program; and
WHEREAS, on May 11, 2021, Council amended SMMC Section 3.12.1055 to allow
remotely controlled device operators participating in the ZEDZ pilot program to operate
7.A.d
Packet Pg. 193 Attachment: Proposed Ordinance (4612 : Zero-Emission Delivery Zone Update and Extension)
2
citywide and authorize speed limits, weight limits, and other requirements that apply within
the ZEDZ to apply citywide; and
WHEREAS, Council now desires to extend the moratorium on the deployment and
operation of autonomous delivery devices on City sidewalks and pedestrian paths; extend
the allowance for remotely controlled device operators participating in the ZEDZ
pilot program to operate citywide; and extend the authorization for speed limits, weight
limits, and other requirements that apply within the ZEDZ to apply citywide.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA
DOES HEREBY ORDAIN AS FOLLOWS:
Section 1. Santa Monica Municipal Code Section 3.12.1055 is hereby amended
as follows:
3.12.1055 Autonomous and Remotely Controlled Delivery Vehicles or Devices
Beginning on October 28, 2020 and ending on October 28, 20221, no person shall
deploy or operate an autonomous delivery vehicle or device on City sidewalks or
pedestrian paths of travel. For purposes of this section, “Autonomous delivery vehicle or
device” means a motorized vehicle or device used to transport items, products, or any
other materials on City sidewalks or pedestrian paths of travel for commercial purposes,
and guided or controlled without a human operator, whether while sitting or standing upon
the device or remotely, actively, and physically controlling the movements of the vehicle
or device. For purposes of this section, “Remotely controlled delivery vehicle or device”
means a motorized vehicle or device used to transport items, products, or any other
materials on City sidewalks or pedestrian paths of travel for commercial purposes that is
7.A.d
Packet Pg. 194 Attachment: Proposed Ordinance (4612 : Zero-Emission Delivery Zone Update and Extension)
3
guided and controlled with a human operator, whether while sitting or standing upon the
device or remotely, actively, and physically controlling the movements of the vehicle or
device. Beginning January 1, 2021, or at such time as the pilot program referenced below
commences, and ending on October 28, 20221, no person shall deploy or operate a
remotely controlled delivery vehicle or device on City sidewalks or pedestrian paths of
travel remotely controlled delivery vehicle or device other than as part of the pilot program
being overseen in Santa Monica by Los Angeles Cleantech Incubator (‘LACI”). All
operations of autonomous or remotely controlled delivery vehicles or devices that are not
prohibited by this section (“non-prohibited devices”) shall comply with all requirements,
including insurance and indemnification requirements, imposed as conditions of the grant
to the operator of a required Santa Monica business license, as well as all of the following
operational requirements: (1) non-prohibited devices shall yield the right of way to
pedestrians and bicycles; (2) non-prohibited devices shall obey all signs and signals
governing traffic and pedestrians; (3) non-prohibited devices shall not interfere with the
maintenance of paths of travel for persons with disabilities; (4) non-prohibited devices
may not transport waste or hazardous materials (including flammables or ammunition);
(5) non-prohibited devices shall be equipped with headlights that operate at night, sunrise,
and sunset; (6) each non-prohibited device shall bear, in markings of a size sufficient to
be clearly legible to passing vehicles and pedestrians, a unique identifier for the device
together with the name and contact information of the device’s operator.
Section 2. Any provision of the Santa Monica Municipal Code or appendices
thereto inconsistent with the provisions of this Ordinance, to the extent of such
7.A.d
Packet Pg. 195 Attachment: Proposed Ordinance (4612 : Zero-Emission Delivery Zone Update and Extension)
4
inconsistencies and no further, is hereby repealed or modified to that extent necessary to
affect the provisions of this Ordinance.
Section 3. If any section, subsection, sentence, clause, or phrase of this
Ordinance is for any reason held to be invalid or unconstitutional by a decision of any
court of competent jurisdiction, such decision shall not affect the validity of the remaining
portions of this Ordinance. The City Council hereby declares that it would have passed
this Ordinance and each and every section, subsection, sentence, clause, or phrase not
declared invalid or unconstitutional without regard to whether any portion of the ordinance
would be subsequently declared invalid or unconstitutional.
Section 4. The Mayor shall sign and the City Clerk shall attest to the passage of
this Ordinance. The City Clerk shall cause the same to be published once in the official
newspaper within 15 days after its adoption. This Ordinance shall take effect 30 days
from its adoption.
APPROVED AS TO FORM:
_________________________
GEORGE S. CARDONA
Interim City Attorney
7.A.d
Packet Pg. 196 Attachment: Proposed Ordinance (4612 : Zero-Emission Delivery Zone Update and Extension)
September 13, 2021
RE: Item 7-A: ZEDZ Extension (Support)
Dear Mayor Himmelrich, Mayor Pro Tempore McCowan, and City Councilmembers,
Coco strongly supports City Staff’s recommendation to extend the Zero
Emission Delivery Zone program, and the authorization of remote-control delivery
devices, for another year. This program is an important demonstration of
sustainable delivery alternatives and has also provided a critical lifeline to local
businesses struggling with reaching their customers during the pandemic.
Coco is thrilled to be part of Santa Monica’s city-leading efforts to reduce
emissions. We are now providing local deliveries for over 20 Santa Monica
businesses, including: Alfalfa, Ashland Hill, Bangkok West Thai, Bru’s Wiffle,
Colapasta, Demitasse, Jinya Ramen Bar, Jinky’s Cafe, Pancho’s Tacos, Umami
Burger, Samosa House, Sweet Rose Creamery, and more. Short distance deliveries
make up a significant portion of merchants' delivery volume and there is no
reason to have these orders carried by cars.
Since we were given approval to operate in Santa Monica last year we have
completed thousands of local deliveries without any major problems or
complaints. Restaurants have found us especially useful during COVID, as we
provide a more affordable local delivery solution (often less than half the cost of
car-based delivery companies). Residents appreciate us because we provide
contact-free and sustainable deliveries, giving comfort to those worried about
COVID exposure and reducing the number of delivery cars double parked in our
bike lanes and polluting our air. Earlier this month,Business Insider ran an article
addressing the cost burden that car-based delivery services place on restaurants
and explained how restaurants are now turning to new services, like Coco, to
provide more cost-effective and reliable delivery (see attached).
We look forward to our continued collaboration with City Staff, LACI, and our
local business partners to help take the CO2 out of deliveries in Santa Monica.
Item 7.A 09/14/21
1 of 5 Item 7.A 09/14/21
7.A.e
Packet Pg. 197 Attachment: Written Comments (4612 : Zero-Emission Delivery Zone Update and Extension)
Please support City Staff’s recommendation to continue the ZEDZ program and
the authorization of remote-control delivery devices until December 31, 2022.
Thank you,
Zach Rash
CEO and Co-Founder
Coco
Item 7.A 09/14/21
2 of 5 Item 7.A 09/14/21
7.A.e
Packet Pg. 198 Attachment: Written Comments (4612 : Zero-Emission Delivery Zone Update and Extension)
Restaurants are at war with Uber Eats, Grubhub, and
DoorDash over profit-hurting fees. These 7 food-tech
startups have raised millions to help restaurateurs win.
Nancy Luna Sep 2, 2021, 1:47 PM
Owner; Coco; Lunchbox x Spread; foodboss; LoCo; UberEats; Grubhub; Doordash; Samantha Lee/Insider
•Restaurants say delivery fees from apps like Grubhub and DoorDash are crushing them.
•Tech startups like Lunchbox and Owner.com are trying to level the playing field for
restaurants.
•These disruptors are charging lower fees and sharing consumer data with restaurants.
The pandemic has forced tens of thousands of restaurants to close. Those that survived have learned
to embrace technologies for digital orders, including partnering with delivery apps like Uber
Eats, Grubhub, and DoorDash.
But now restaurants are looking for alternatives to these delivery companies and their hefty fees,
which can be up to 30% per order. These startups charge restaurants substantially smaller fees for
delivery and share consumer data — information that the bigger players share infrequently.
"I think the decisions that operators are making today about their technology infrastructure is going
to go a long way towards supporting the business of the future," Brita Rosenheim, a restaurant-tech
strategist, said at a recent food-tech conference.
That means delivery is here to stay. According to the market-research firm the NPD Group, there were
4.6 billion delivery orders for the year that ended in April, up from 2.4 billion for the year that ended
in April 2020.
Item 7.A 09/14/21
3 of 5 Item 7.A 09/14/21
7.A.e
Packet Pg. 199 Attachment: Written Comments (4612 : Zero-Emission Delivery Zone Update and Extension)
These seven food-tech startups bill themselves as antidotes to Uber Eats, Grubhub, and DoorDash.
Coco is a last-mile delivery startup that uses robots. Coco
Coco
Coco uses hundreds of remotely piloted robots to deliver food from more than 50 restaurants,
convenience shops, and grocery stores in Southern California.
Zach Rash, who studied computer science and electrical engineering at UCLA, launched the company
in April 2020.
The timing was right, as restaurants were looking for contactless ways to deliver food to local
customers during the pandemic, Rash told Insider. Coco charges restaurants an average of $5 to $6
per delivery.
"Our objective is to make sure the merchant is profitable with delivery, which isn't always the case
with conventional delivery partners," Rash said.
Coco's fleet of robots can be found scooting around the sidewalks of the greater Los Angeles area,
including Santa Monica.
The company is getting attention from high-profile investors including Sam Altman, the former
president of Y Combinator, who led a $36 million Series A funding round for Coco on August 25. Coco
has raised a total of $43 million since its founding.
Item 7.A 09/14/21
4 of 5 Item 7.A 09/14/21
7.A.e
Packet Pg. 200 Attachment: Written Comments (4612 : Zero-Emission Delivery Zone Update and Extension)
1
Vernice Hankins
From:Jean Steger <Jean_Steger@hotmail.com>
Sent:Monday, September 13, 2021 9:58 PM
To:Sue Himmelrich; Kristin McCowan; Phil Brock; Gleam Davis; Oscar de la Torre; Lana Negrete; Christine
Parra; councilmtgitems
Subject:Support for Item 7-A - Please extend the Zero Emission Delivery Zone and Remotely Operated
Delivery Program for another year
EXTERNAL
Dear Councilmembers,
My name is Jean and I a manager at Bungalow. am writing in support of Item 7‐A on your agenda. Most of the car‐based
delivery options open to restaurants take a huge cut of each sale. Affordable alternatives, like Coco, are helping us
reduce costs and ensure that orders arrive on time.
Please follow the City Staff recommendation to extend the program for another year.
Thank you,
Jean Steger
Item 7.A 09/14/21
5 of 5 Item 7.A 09/14/21
7.A.e
Packet Pg. 201 Attachment: Written Comments (4612 : Zero-Emission Delivery Zone Update and Extension)
Zero Emission Delivery Zone Pilot Program
Update and Extension
Kyle Kozar, Sr. Transportation Planner -Bike Program Coordinator
Kyle.kozar@santamonica.gov (310) 458-2201 x 5769
7.A.f
Packet Pg. 202 Attachment: PowerPoint Presentation (4612 : Zero-Emission Delivery Zone Update and Extension)
Agenda
•Background and Update
•Challenges
•Recommended Actions
7.A.f
Packet Pg. 203 Attachment: PowerPoint Presentation (4612 : Zero-Emission Delivery Zone Update and Extension)
The Challenge
7.A.f
Packet Pg. 204 Attachment: PowerPoint Presentation (4612 : Zero-Emission Delivery Zone Update and Extension)
The Challenge
•Transportation Sector
= 64% of Emissions in
Santa Monica
•Urban Delivery is
expected to grow by
78% globally by 2030
7.A.f
Packet Pg. 205 Attachment: PowerPoint Presentation (4612 : Zero-Emission Delivery Zone Update and Extension)
What is the ZEDZ?
•1 square mile zone in Downtown Santa Monica and along Main St
•Incentivize clean delivery modes
•Te st the deployment of various types of light-duty zero emission transportation technologies
7.A.f
Packet Pg. 206 Attachment: PowerPoint Presentation (4612 : Zero-Emission Delivery Zone Update and Extension)
ZEDZ Outcomes
·Local Benefits –Support local businesses, reduce congestion and
emissions, and improve safety issues like double parking, blocked bike
lanes, and illegal vehicle maneuvers,
·Defining Policy –Understand potential new regulations or policy changes
needed to adopt new technologies and services, and
·Replicability/Scalability –Provide a framework for cities and companies
to advance new urban delivery systems and technologies to reduce carbon
emissions and pollution.
7.A.f
Packet Pg. 207 Attachment: PowerPoint Presentation (4612 : Zero-Emission Delivery Zone Update and Extension)
ZEDZ Partners
7.A.f
Packet Pg. 208 Attachment: PowerPoint Presentation (4612 : Zero-Emission Delivery Zone Update and Extension)
Curb Management
•11 EV Only Loading
Zones
•Automotus Cameras
What is being tested?
7.A.f
Packet Pg. 209 Attachment: PowerPoint Presentation (4612 : Zero-Emission Delivery Zone Update and Extension)
What is being tested?
Medium and Light-duty Delivery EVs
•Delivery partners shifting fleet to EVs
•Guayaki
•Alsco
•FoodCycleLA
•IKEA
•Fluid truck rental platform
7.A.f
Packet Pg. 210 Attachment: PowerPoint Presentation (4612 : Zero-Emission Delivery Zone Update and Extension)
Micro Mobility for Food
and Parcel Delivery
•Cocobots
•Kiwibots
•Rollo Scooters
What is being tested?
7.A.f
Packet Pg. 211 Attachment: PowerPoint Presentation (4612 : Zero-Emission Delivery Zone Update and Extension)
Pilot Program Phasing
Phase 1: Implementation and
stakeholder engagement
Phase 2: Operations and
data collection
Phase 3: Operations,
Analysis, Reporting and
recommended actions
7.A.f
Packet Pg. 212 Attachment: PowerPoint Presentation (4612 : Zero-Emission Delivery Zone Update and Extension)
Pilot Program
Implementation Challenges
•Pandemic Pause
•E.g. FoodCycleLA pause
•Slow start for Delivery Partners
•Reef Ghost Kitchen E-bike Pilot not yet launched
•Large Scale delivery companies very interested but not yet committed
•Implementation of new data collection systems
•Delivery Partner Data Systems
•Automotus contracting
•Blue Systems MDS development
7.A.f
Packet Pg. 213 Attachment: PowerPoint Presentation (4612 : Zero-Emission Delivery Zone Update and Extension)
Recommended Council Actions
1.Authorize the City Manager to amend the Memorandum of
Understanding (MOU) between Los Angeles Cleantech Incubator (LACI)
and City to extend the Zero Emission Delivery Zone (ZEDZ) pilot program
end date from December 31, 2021, until December 31, 2022.
2.Amend Santa Monica Municipal Code Section 3.12.1055 that established
a moratorium on the deployment and operation of autonomous delivery
vehicles and allows the operation of remote-control delivery robots only
as part of the ZEDZ pilot program, to coincide with the new ZEDZ pilot
program end date of December 31, 2022.
3.Authorize the City Manager to amend the City’s license agreement with
Automotus to coincide with the new ZEDZ pilot program end date of
December 31, 2022.
7.A.f
Packet Pg. 214 Attachment: PowerPoint Presentation (4612 : Zero-Emission Delivery Zone Update and Extension)