City of Davis

Why Car Sharing?

Davis drivers travel more than 1,300,000 miles every day. The fossil fuel burned to move people and goods in, out, and around Davis produces more than half of locally generated Greenhouse Gas Emissions (Davis Greenhouse Gas Emissions Inventory, 2006). This information was one of many reasons why the Davis City Council unanimously adopted the Davis Climate Action and Adaptation Plan (CAAP) to reduce local greenhouse gas emissions.

The plan was prepared over the course of 18 months in coordination with the citizen based Climate Action Team and the City’s Natural Resources Commission. The Climate Action Team and Natural Resources Commission recommended over 20 individual actions to reduce vehicle and fuel use — the largest single source of local emissions — in Davis.

The Council directed staff to begin implementation of the CAAP and included implementation as part of their 2010–2012 goals. Establishment of a community car share program is a Year 1 High Priority Action Item of the CAAP.

For Davis residents and business owners that do want to reduce their household carbon footprint, car sharing expands their climate friendly transportation choices. Studies show that car sharing members drive less and walk, bike, or take other alternative forms of transportation for a greater number of trips. Furthermore, car sharing allows households and businesses to free up financial resources otherwise committed to the cost of owning and maintaining a car.

Why Zipcar?

The City chose to contract with Zipcar for a variety of reasons:

• Zipcar has been operating successful car-share programs for over 10 years.
• There is an existing and successful Zipcar program at UC Davis which quickly scaled to 8 cars after its launch.
• The City felt that expanding upon the existing UCD program would offer the greatest chance of establishing a successful community car-share program by building upon the over 500 community members, faculty, staff, and students who are already Zipcar members.
• The existing local Zipcar members will help support the utilization levels needed for a successful city program.
• The community-based Zipcar members will have access to the 8 cars already located at UC Davis as well as the 4 cars to be located in town.
• Over 7,000 Zipcars are located throughout California, the United States, Canada, and the United Kingdom offering Davis residents the opportunity to reduce GHG emissions even while away from Davis.
• National studies show each shared car removes 15 personally owned vehicles off the road.
• Zip members report saving an average of $600 a month compared to car ownership. That money is typically returned back into the local community.
• Studies also show that Zipcar members increase use of alternate forms of transportation, such as walking and biking.
• Studies show an increase in transit ridership among car share members.
• Studies show car share members drive 40 percent fewer miles after joining a car share program.

Terms of Zipcar Contract

• The Zipcar agreement is for a two year pilot period. After 12 months the City can elect to opt out of the contract or reduce the number of vehicles if utilization does not yield 50% or more of the quarterly fee per vehicle. In such event, the City may reduce or eliminate vehicles with 60 days’ notice.
• As with other small market community-based Zipcar programs, the City is required to pay a quarterly fee for the cars. The payment is structured as a base fee which is reduced by the revenue received from usage of the 4 vehicles.
• Cost to the city will therefore be determined by actual usage, but in no case will exceed $4,800 per car per quarter.
• If the City meets the minimum due for two consecutive quarters, Zipcar will remove the minimum payment requirement for the remainder of the contract.
• Any further vehicles that are added to the City program will not require revenue guarantees.
• Other similar successful programs are in place in Santa Cruz, the City of Ann Arbor, Champaign and Urbana and in other university communities throughout the United States. More information about the Ann Arbor program is available on their web site (annarborchronicle.com/2009/03/09/column-mm-does-zipcar/).
• Payments, if any, to Zipcar will come from developer funds previously paid to the City for environmental mitigation obligations and are not set aside or allocated for another purpose. No General Fund, Enterprise Fund, or Redevelopment Agency dollars will be used.
• The insurance liability provisions are standard and do not cost the city any money. Drivers are provided insurance through their Zipcar membership, not through the City. The insurance provisions have been thoroughly reviewed by the city's legal counsel and risk management and provide sufficient coverage to minimize the city's risk to the maximum extent provided by law.
• Zipcar will pay for all vehicle maintenance, insurance and fuel. The City will not provide any vehicle fueling, cleaning or maintenance services.
• Zipcar will transport the vehicles to local Davis auto service businesses for maintenance. This will be done by a local Zipcar employee and will not cost the City of Davis any money.
• Zipcar will provide all marketing materials and support, location signage, and a customized reservation and information website at no cost to the City (a $25,000 value).
• City will provide a parking stall for the vehicles and minimal assistance with implementing the marketing plan.
• The contract encouraged Zipcar to purchase the vehicles locally. Zipcar complied and purchased the vehicles at University Honda in Davis. Zipcar purchased 6 additional Hondas for other California programs from the Davis dealer. As a partner of the City, they plan on using University Honda for future purchasing needs in California. They have gone above and beyond our expectations. The City will also benefit from this tax revenue.

City of Davis Zipcar Program Details

• The City program will have 2 Honda Civics (SmartWay) and 2 Honda Insight hybrids (SmartWay Elite). Zipcar is committed to further “greening” its fleet as new technology, such as plug-in electric, becomes more widely available to the market.
• Cars will be parked in highly visible and convenient locations. Initially the cars will be parked in pairs: two on E Street between 2nd and 3rd and two on Russell Boulevard in front of the University Mall.
• In addition to the 4 City of Davis located cars, members will have access to the 8 cars already located at UC Davis as well as over 7,000 Zipcars throughout the United States, Canada, and the United Kingdom.
• Members join online and receive a Zipcard member card.
• Members can reserve a vehicle 24 hours a day/7 days a week by phone, internet, or smart phone. Upon reservation they can go to the location of pick up, swipe their card on the vehicle, drive the vehicle for the reservation period, and return the vehicle when done to its original parking space. The City is not involved in any part of this process.
• Rates are M-F $8/hour, $66/day; S–S $9/hour, $72/day – a 15–20% discount off of their standard rates with the goal of driving ongoing adoption and growth in the program.
• At no cost to the City, Zipcar will give every new community member that joins $50 in free driving to support a car-free/car-lite life style.
• Zipcar is also providing discounts to low income residents to support their mobility and transportation needs.

Summary of Purpose / Primary Benefits of Zipcar to Davis Residents

• Reduces GHG emissions / carbon footprint
• Increases opportunities for people to use mass transit, carpool, bicycle, or walking
• Allows for more efficient use of land/parking, particularly in congested neighborhoods/districts such as the downtown
• 24/7 Self-service program for driver’s needing hourly, daily, or up to 4 day use
• Gas, maintenance, roadside assistance, insurance and parking included with membership and usage fee
• Flexibility in choosing location and type of vehicle when reserving
• Local business can reduce fleet vehicles
• Individuals can choose car-share over the typical costs and upkeep responsibilities of car ownership
• Families provided convenient alternative to purchase of the second or third car
• Can save money and provide greater flexibility for allocation of financial resources for businesses and households
• Members will have access to 4 City Zipcars, 8 UC Davis Zipcars, and over 7,000 other Zipcars throughout the US, Canada and UK