SR 09-26-2023 8D
City Council
Report
City Council Meeting: September 26, 2023
Agenda Item: 8.D
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To: Mayor and City Council
From: Anuj Gupta, Interim Director of Transportation, Mobility (DOT)
Subject: Introduction and Adoption of an Urgency Ordinance Amending Santa Monica
Municipal Code Section 3.22.090 to Extend the Second Shared Mobility
Device Pilot Program
Recommended Action
Staff recommends that the City Council:
1. Adopt a finding of categorical exemption pursuant to Section 15301 and Section
15308 of the California Environmental Quality Act (CEQA) Guidelines
2. Introduce and adopt an urgency ordinance amending Santa Monica Municipal
Code (SMMC) Section 3.22.090 to extend the term of the Second Shared
Mobility Device Pilot Program from September 30, 2023, to a date thirty calendar
days after execution of the contract(s) under SMMC Section 3.23 for permanent
shared mobility services.
Executive Summary
The City of Santa Monica has operated a shared mobility pilot program (“Pilot Program”)
since 2018. Since July 1, 2021, the City has been in the second phase of its Pilot
Program with three companies (Spin, Veo, and Wheels; Lyft was initially a fourth
operator who ceased operations across Southern California in November of 2022). The
three operators operate four distinct device types (Class 1 and 2 e-bikes, two-wheeled
electric scooters, and sit-down e-scooters). This second phase of the Pilot Program was
initially slated to end on March 30, 2023, pursuant to Council’s direction on March 9,
2021, to transition shared mobility services to a contracting model.
On August 23, 2022, Council reaffirmed the transition of the shared mobility pilot
program to a contracting model, directed staff to move forward with procurement for
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contracted service with up to two shared mobility operators, and extended the ongoing
second Pilot Program to September 30, 2023.
Following Council’s direction, staff initiated a formal procurement for contracted shared
mobility services. In adherence to procurement protocol, staff crafted and, on January
18, 2023, released a Request for Proposals (“RFP”) that prioritized City goals of
effective and affordable mobility, safety and order, environmental sustainability,
community partnership, system maintenance, and organizational stability. Staff then
assembled a selection committee of diverse internal stakeholders representing multiple
City departments and one external subject matter expert to evaluate proposals and
return with the two highest-scoring bidders for subsequent contract negotiations.
With the top-scoring bidders having been identified through the formal procurement
process, staff is currently in the process of negotiating contract terms that best serve
City goals and the mobility needs of the community. In order to achieve this task and
bring an award recommendation to Council, staff recommends that Council adopt an
urgency ordinance extending the end date of the second Pilot Program from September
30, 2023, to a date that is 30 calendar days after the execution of the contract(s) for
permanent service. Such execution will only occur after Council approves negotiated
contract terms for the two highest-scoring bidders at a future Council meeting.
Background
History of Shared Mobility in Santa Monica
Since dockless shared scooters were first deployed in Santa Monica in 2017, the City
has worked to shape dockless shared mobility in ways that maximize its benefit to the
community for both users and non-users alike. As part of this effort, the City launched a
first-phase Pilot Program in 2018, which transitioned to a second phase in 2021, and
which remains ongoing. See Table 1 for a thorough timeline of City actions in
administering dockless shared mobility.
Table 1: Shared Mobility Timeline
Date Description Attachment
September 2017 Bird Rides, Inc. e-scooter sharing launched in N/A
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Date Description Attachment
Santa Monica.
June 26, 2018 City Council formally approved a Shared Mobility
Device Pilot Program and associated fees to
develop a new area of policy, regulation,
operation, and enforcement for shared mobility
devices in the City.
A
August 28, 2018 City Council approved a Shared Mobility public
right of way (PROW) usage fee to fund the
creation of infrastructure to improve safety for
riders and citywide streets.
B
September 17,
2018
The Shared Mobility Pilot Program launched with
Bird, Jump, Lime, and Lyft, all of whom were
selected through a competitive process.
N/A
November 12,
2019
Staff returned to Council to present pilot program
outcomes. The program showed high ridership
and utilization, but challenges remained in rider
behavior, PROW management, and provider
regulation.
C
January 28, 2020 Council directed staff to create a second pilot
program to build on the successes of the first and
better address challenges.
D
February 11, 2020 The City extended the term of the first pilot
program, and the City subsequently released in
March 2020 a Request for Applications (RFA) for
the second pilot program.
E
May 12, 2020 Due to the COVID-19 pandemic, the second pilot
program was postponed, and the first pilot
program was extended until April 30, 2021. The
Shared Mobility PROW fee was revised from $1
per device per day to $0.20 per trip.
F
November 2020 City-owned Breeze Bike Share program
terminated; Lyft launched e-bikes that were
originally permitted under the pilot program but
not initially deployed.
N/A
March 9, 2021 Council directed staff to implement a 21-month
second Shared Mobility Device Pilot Program,
and following the second pilot program, to shift
from the temporary permit model to a longer-term
contracting model for shared mobility services in
the City.
G
July 1, 2021 The City launched the second pilot program. N/A
May 10, 2022 Staff released an Information Item providing an
update on the status of the second pilot
H
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Date Description Attachment
program.
August 23, 2022 Council extended the second pilot program from
March 30, 2023, to September 30, 2023, and
directed staff to develop and release an RFP for
contracted shared mobility services.
I
November, 2022 Lyft ceases shared mobility operations in Santa
Monica and across Southern California.
N/A
January 18, 2023 Procurement for contracted Shared Mobility
service commences with release of RFP.
N/A
Current Shared Mobility Pilot Program
Currently, three operators are permitted to conduct shared mobility service in Santa
Monica: Spin, which is permitted to deploy 700 e-scooters; Veo, which is permitted to
deploy 200 scooters and 500 class 2 e-bikes; and Wheels/Helbiz, which is permitted to
deploy 100 scooters and 100 class 1 e-bikes. Lyft was formerly permitted to deploy 600
class 1 e-bikes; however, they ceased operations in Santa Monica in 2022 as part of a
broader withdrawal from Southern California markets.
This second-phase Pilot Program has furthered the City’s goals of providing for safe,
effective, orderly, and equitable transportation for the community. Work remains to be
done, however, in promoting system affordability, as well as ensuring a diverse set of
shared mobility device types (particularly class 1 e-bikes, which have been largely
absent since Lyft’s withdrawal).
Procurement of Contracted Shared Mobility
To address these issues and to advance the City’s goals for shared mobility service
more effectively, City Council initially instructed staff to pursue a contracted shared
mobility system on March 9, 2021. Council then reaffirmed this direction on August 23,
2022, with instructions to staff to begin procurement for shared mobility contracts with
up to two operators.
As directed by Council, staff prepared an RFP for contracted shared mobility service
that prioritized goals of affordability, equity, safety, order, and community partnership.
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The RFP was released on January 18, 2023, with a total of six proposals received by
the closing date of March 8, 2023. These proposals were then evaluated by a selection
committee comprised of seven total members: six City staff members representing
various departments, and one external expert in shared micromobility. The selection
committee members read, analyzed, and scored the submitted proposals according to a
scoring rubric developed by Mobility staff and made available to all bidders as part of
the RFP process. In assigning scores, selection committee members met regularly with
each other and with staff to discuss the substance and intent of the scoring rubric, as
well as to discuss any proposal-specific questions that may arise.
Discussion
The terms of the final shared mobility contract(s) will be important to ensure the best
possible service for Santa Monica community members. Specifically, staff will seek to
negotiate terms that ensure affordable, safe, orderly, and environmentally sustainable
provision of shared mobility service that is actively and equitably promoted throughout
the community.
To achieve these goals, staff recommends that Council extend the current Pilot
Program while contract negotiations proceed. Specifically, staff recommends that
Council adopt the attached emergency ordinance amending SMMC Section 3.22.090 to
extend the end date of the second Pilot Program from September 30, 2023, to a date
that is thirty (30) calendar days after contract(s) for shared mobility service are
executed. This recommended ordinance amendment needs to be done on an
emergency basis, given that the current pilot program ends on September 30, 2023,
which would not provide sufficient time for the second reading and subsequent 30-day
period required of a standard ordinance modification.
If Council adopts the attached emergency ordinance, staff will continue with contract
term negotiations with the two top-scoring bidders. After substantive agreement on
terms are reached, staff will return to Council for approval of final contract execution
with one or both recommended bidders. This will likely occur in Quarter 2 or Quarter 3
of fiscal year 2023-2024. If Council approves, the contract(s) will then be executed, and
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the 30-day clock will begin, after which the current pilot program will end, replaced by
the new contracted program.
Environmental Impact Statement
CEQA applies only to projects that have the potential for have a significant effect on the
environment. A project is not subject to CEQA under CEQA Guidelines Section
15061(b)(3) “where it can be seen with certainty that there is no possibility that the
activity in question may have a significant effect on the environment.” The proposal to
extend the current phase of regulation of shared mobility would not result in a physical
environmental effect on the environment.
In addition, Section 15302 exempts Class 1 projects from CEQA, which include the
“operation, repair, maintenance, permitting, leasing, licensing, or minor alteration of
existing public or private structures [or] facilities, including streets, sidewalks, bicycle
and pedestrian trails, and similar facilities.” The project consists of the regulation of
shared mobility devices within the public right of way because it consists of alternate
operation (and permitting) of public streets, sidewalks, and similar facilities that do not
create additional automobile lanes. The shared mobility devices are required to be
operated within existing public streets, would utilize existing shared mobility stations,
and would not necessitate the construction of new vehicle travel lanes for operation.
Therefore, the shared mobility program qualifies as a Class 1 exemption.
Furthermore, Section 15308 also provides an exemption for Class 8 projects, which
include actions taken by regulatory agencies, as authorized by state or local ordinance,
to assure the maintenance, restoration, enhancement, or protection of the environment
where the regulatory process involves procedures for the protection of the environment.
The shared mobility program is intended to regulate shared mobility devices for the
protection of the environment, including people. Therefore, the program does not have
the potential for causing a significant effect on the environment and is categorically
exempt from CEQA review under CEQA Guideline sections 15301 and 15308.
Financial Impacts and Budget Actions
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There is no immediate financial impact or budget action necessary as a result of the
recommended action. As discussed in the staff report delivered to Council on August
23, 2022, the next, contracted phase of the Shared Mobility program will provide for full
cost recovery so that all costs to administer the program are covered by revenues from
the permanent program. Likewise, the extension of the current Shared Mobility pilot
program will entail the prorated extension of current annual operator fees, along with the
continuation of current public right-of-way usage fees, which presently cover all City
costs required to administer the program. Staff will return to Council if specific budget
actions are required in the future.
Prepared By: Trevor Thomas, Senior Transportation Planner
Approved
Forwarded to Council
Attachments:
A. Urgency Ordinance Extending Second Pilot Program AC (004) Final
B. Written Comment
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City Council Meeting: September 26, 2023 Santa Monica, California
ORDINANCE NUMBER_______ (CCS)
(City Council Series)
AN EMERGENCY ORDINANCE OF THE COUNCIL OF THE CITY OF SANTA
MONICA AMENDING SANTA MONICA MUNICIPAL CODE SECTION 3.22.090 TO
EXTEND THE TERM OF THE SECOND SHARED MOBILITY PILOT PROGRAM
WHEREAS, since dockless shared scooters were first deployed in Santa Monica
in 2017, the City has worked to shape dockless shared mobility in ways that maximize its
benefit to the community for both users and non-users alike; and
WHEREAS, in 2018, the City implemented a Shared Mobility Device Pilot Program
and associated fees to develop a new area of policy, regulation, operation, and
enforcement for shared mobility devices in the City, with four initial operators; and
WHEREAS, in 2021, the City implemented a Second Shared Mobility Pilot
Program with four operators providing four distinct device types (Class 1 and 2 e-bikes,
two-wheeled electric scooters, and sit-down e-scooters); and
WHEREAS, the initial end date for the Second Pilot Program was March 30, 2023,
however, staff sought, and Council approved an extension to September 30, 2023 to allow
staff to move forward with a procurement for contracted service with up to two Shared
Mobility operators; and
WHEREAS, based on Council’s direction, staff initiated a formal procurement for
contracted shared mobility services, in adherence to procurement protocol, that prioritized
City goals of effective and affordable mobility, safety and order, environmental
sustainability, community partnership, system maintenance, and organizational stability;
and
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Packet Pg. 1232 Attachment: Urgency Ordinance Extending Second Pilot Program AC (004) Final [Revision 1] (6008 : Extension of Second Shared Mobility
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WHEREAS, staff then assembled a selection committee of diverse internal
stakeholders representing multiple City departments and one external subject matter
expert to evaluate these proposals and return with the two highest-scoring bidders for
subsequent contract negotiations; and
WHEREAS, with the top-scoring bidders having been identified through the formal
procurement process, staff is currently in the process of negotiating contract terms that
best serve City goals and the mobility needs of the community; and will bring those terms
to Council with its award recommendation to Council; and
WHEREAS, an emergency ordinance is now needed to extend the term of the
Second Pilot Program until staff negotiates contract terms with the top two bidders, and
so that the City is not left without shared mobility services prior to Council award.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA
DOES HEREBY ORDAIN AS FOLLOWS:
SECTION 1. Santa Monica Municipal Code Section 3.22.090 is hereby amended
as follows:
3.22.090 Pilot program term.
Permits issued pursuant to this Chapter shall take effect on July 1, 2021, and,
unless otherwise extended or terminated earlier by the City, shall be of no further force
or effect beyond thirty (30) calendar days after execution of the contract(s) under Chapter
3.23 for shared mobility services. September 30, 2023, unless otherwise extended or
terminated earlier by the City.
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
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Packet Pg. 1233 Attachment: Urgency Ordinance Extending Second Pilot Program AC (004) Final [Revision 1] (6008 : Extension of Second Shared Mobility
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inconsistencies and no further, is hereby repealed or modified to that extent necessary to
effect 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. Pursuant to Sections 615 and 619 of the City
Charter, for reasons stated in the above recitals, the City Council declares this ordinance
to be necessary as an emergency measure for preserving the public peace, health, and
safety, with the result that this ordinance shall be introduced and adopted at the same
meeting, shall become effective immediately upon its adoption.
APPROVED AS TO FORM:
________________________
Doug Sloan, City Attorney
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Packet Pg. 1234 Attachment: Urgency Ordinance Extending Second Pilot Program AC (004) Final [Revision 1] (6008 : Extension of Second Shared Mobility
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Vernice Hankins
From:Natalya Zernitskaya <nzernitskaya@gmail.com>
Sent:Tuesday, September 12, 2023 12:00 PM
To:councilmtgitems
Cc:Gleam Davis; Lana Negrete; Christine Parra; Oscar de la Torre; Phil Brock; Caroline Torosis; Jesse
Zwick; David White
Subject:Item 10D- 9/12/2023 City Council Agenda- Public Comments
EXTERNAL
Re: Santa Monica City Council Agenda 9/12/2023- Item 10D
Dear Mayor Davis, Mayor Pro Tem Negrete, and City Councilmembers,
I support the staff recommendation that Council adopt an urgency ordinance extending the end date of the
second Pilot Program from September 30, 2023, to a date that is 30 calendar days after the execution of the
contract(s) for permanent service.
I frequently use shared mobility devices to reduce how much I use my car for shorter trips within the City and
while there are certainly improvements than can be made in the technology such as better interconnectivity of
these devices across city borders, they have greatly improved my ability to get around the city while reducing
my carbon emissions and wear & tear on the roads. Additionally, shared mobility devices can reduce traffic and
improve the availability of parking for people who will still need to use cars, especially when a trip on a shared
mobility device replaces a car trip.
The Council will still have the opportunity to shape the future of mobility with regards to shared mobility devices
in our community as the final contracts are still in negotiation.
Please adopt the staff recommendation for item 10D.
Sincerely,
Natalya Zernitskaya
Natalya Zernitskaya (she/her)
nzernitskaya@gmail.com
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Packet Pg. 1235 Attachment: Written Comment (6008 : Extension of Second Shared Mobility Device Pilot Program)