Council Report: Alternatives to Car Share Program at 9 Erskine Lane

ALTERNATIVES TO CAR SHARE PROGRAM AT 9 ERSKINE LANE

RECOMMENDATION:

THAT as an alternative to provision of a car share program as per sections 8 and 9 of Covenant CA8718173 registered on title concurrently with the rezoning of 9 Erskine Lane, Council accept a $175,000 security deposit from the applicant for one or more of the following:

a. Allocate $30,000 towards the extension of the secured residential bike share program for two additional years. b. Allocate $145,000 towards the extension of the secured residential bus pass program until the remaining funds have been fully allocated.

AND THAT the security deposit be administered by the Director of Development Services.

ALTERNATIVES:

Option 1

THAT a $175,000 contribution towards the Community Amenity Contribution Reserve Fund be accepted, to be used towards another community amenity in the neighbourhood.

This alternative is administratively efficient for Town; however, staff considers that it would not fully address the concerns expressed by some members of the neighbourhood at the time of rezoning regarding local traffic impacts. Also, the Community Amenity Contribution Policy prioritizes the provision of amenities (including making expenditures) in the neighbourhood that is most impacted by a specific development.

The funds could be used to support Motion C-116-20 passed at the November 3, 2020 Council meeting:

THAT staff work with the developer of 9 Erskine Lane, the Capital Regional District (CRD) and the owner of 2 Hospital Way to install a gravel trail over the CRD property that bisects 9 Erskine Lane and is a right-of-way over 2 Hospital Way.

Staff continues to work with the respective property owners to improve the informal mid-block pedestrian connection between Erskine Lane and Hospital Way. This was a topic of interest at the time of rezoning but could not be secured in a covenant because it involved properties owned by others. The path leads to the transit exchange at Hospital Way which has been identified by the Province as the centre of a Transit-Oriented Area where higher density development and improved transit facilities are anticipated in the long term.

Option 2

THAT that request for an alternative to the provision of a car share as per sections 8 and 9 of Covenant CA8718173 be denied.

This alternative is not supported because the applicant has demonstrated best efforts to secure a third-party car share operator. This covenant was written to allow for alternatives if the car share provisions of this Agreement cannot be reasonably satisfied or if undue economic hardship would be caused. Section 8 of the covenant states:

“...the Town will be reasonable in its review of the Owner's request and take into account factors including, without limitation, the introduction or availability of service by Modo Co-operative ("Modo") or other similar shared vehicle organization to the area of the Lands....”

TIME CRITICAL:

Staff have worked with the applicant for several months on this issue and a decision is requested now because the car share program is one of the requirements for building occupancy. Renters are scheduled to move into the initial phase of the development in June.

PURPOSE:

The purpose of this report is to consider alternatives to the proposed car share program that was offered as a site amenity as part of the rezoning for the Blueprint apartment complex located at 9 Erskine Lane.

EXECUTIVE SUMMARY:

The covenant CA8718173 secures community amenity contributions related to the rezoning of 9 Erskine Lane. One amenity is a car share program. Car shares are specialized operations set up to address many potential liabilities. The applicant does not have the expertise to operate a car share on their own.

As an alternative, staff supports the proposal for a $175,000 security deposit for provision of the following:

a. Allocate $30,000 towards the extension of the secured residential bike share program for two additional years. b. Allocate $145,000 towards the extension of the secured residential bus pass program until the remaining funds have been fully allocated.

BACKGROUND:

The subject property located at 9 Erskine Lane (refer to Figure 1) was rezoned in 2020 to permit a 316-unit rental apartment development that is now under construction.

Figure 1. Subject property map

Covenant CA8718173 (refer to Attachment 1) was registered (and later modified) in conjunction with the rezoning to secure community amenity contributions, including:

1. Community cash contributions totalling $1,176,000.00
2. Prewiring for Level 2 electric vehicle charging
3. Installation of traffic signals, bike lanes and traffic calming on Watkiss Way at the Erskine Lane intersection (modified from initial proposal for a roundabout)
4. Transit passes for one year for one occupant of each unit
5. Provision of a car share program for five years comprised of one shared vehicle at each of the four buildings
6. Provision of a bike share program for two years – at each of the four buildings, one shared electric bicycle plus a charging station available to residents.

DISCUSSION:

While the applicant has collaborated with Modo to operate a car share program for a similar rental residential development in the Township of Esquimalt, Modo has provided a letter (Attachment 2) declining the opportunity because the proposal and the local context in View Royal does not meet their conditions for program expansion. They indicate that for success, the building of complete, compact communities with good walking, cycling and public infrastructure needs to be in place first.

The applicant has also contacted Evo who also operates in the region; however, the model is different with vehicles not having a consistent home base and Evo does not provide a fleet management service outside of the Lower Mainland. In the applicant’s letter of request (Attachment 1) the total value of the car share program for four vehicles, for five years at a cost of $8,750/year per vehicle is calculated to be $175,000 based on their October 2022 agreement with Modo in Esquimalt.

Following discussion with staff, the applicant is requesting to substitute the car share program with a $175,000 security deposit to guarantee contributions to one or more of the following up to a total of $175,000:

a. Extension of the residential bike share program The two-year bike share program required by the covenant includes at each of the four buildings, a shared bike plus an additional charging station that can be used by residents. The monthly cost of the program for one bike is approximately $300. Staff recommends that the bike share program be extended for two years. The estimated cost would be approximate $30,000.

b. Extension of the residential bus pass program The bus pass program required by the covenant provides 12 months’ worth of transit passes to one resident of each unit. The total cost at 100% uptake by residents would be approximately $342,720.00. The remainder of approximately $145,000 would be allocated to the residential bus pass program until the funds run out.

The applicant developed the proposal following discussion with staff, and can be supported because:

i. It would facilitate transit use and active transportation. ii. It could help reduce demand for automobile travel and mitigate concerns about local traffic impacts expressed by some neighbourhood residents at the time of rezoning.

SUSTAINABILITY/CLIMATE CHANGE IMPACTS:

Extending the transit pass and/or the bike share programs would support active transportation, reduce automobile demand, and help reduce green house gas emissions.

FINANCIAL IMPLICATIONS:

The proposal as presented has no significant financial implications for the Town. Alternative Option 1 to accept a cash amenity contribution would support the provision of amenities in the Town, but may not directly benefit the neighbourhood affected by this development.

The security deposit would be released, subject to the Director of Development Services approval, following evidence from the developer that the requirements have been met.

CONCLUSION:

Staff supports accepting a security deposit in the amount of $175,000 to extend the bus pass and bike share programs in lieu of a car share program for the following reasons:

1. It would facilitate transit use and active transportation.
2. It could help reduce demand for automobile travel and mitigate concerns about local traffic impacts expressed by some neighbourhood residents at the time of rezoning.

ATTACHMENTS:

1. Covenant CA8718173 plus modification (24 pages)
2. Letter of Request from Matthew Fitzgerald, WestUrban Developments
3. Letter from Modo