|
1. Integrated street furniture program – Project Update and way
forward PROGRAMME INTÉGRÉ DE MOBILIER URBAIN – MISE À JOUR
DU PROJET ET ORIENTATION |
That Council:
1. Receive the results of
best practice research and public consultation;
2. Approve the Integrated Street Furniture
Program (ISFP) guiding principles as prioritized in this report and as set out
in Document 4;
3. Approve the street furniture elements
to be included in the ISFP as described in this report;
4. Approve the advertising
based funding model upon which the ISFP will operate;
5. Approve
the ISFP advertising permissions, controls and exclusivity as detailed in this
report, as amended by the following:
a. by continuing the consideration of advertising on litter/recycling receptacles and benches; and,
b. by continuing a provision for local
business advertisers.
6. Direct staff to work with existing
street furniture providers to negotiate a one-year extension to the existing
contracts to July 2011; and
7. Direct staff to return to Council prior
to the release of the Request for Proposal (RFP) with the final Policy, Design
and Placement Guidelines for the ISFP, the overall RFP strategy, and
recommendations on litter/recycling collection.
8. That the bicycle parking program
component be removed from the Integrated Street Furniture Program.
Que le Conseil
1. Prendre
connaissance des résultats de la recherche sur les pratiques exemplaires et de
la consultation publique;
2. Approuver
les principes de base du Programme intégré de mobilier urbain (PIMU) tels que
priorisés dans le présent rapport et exposés dans le document 4;
3. Approuver
les éléments de mobilier urbain devant être pris en compte dans le PIMU et
décrits dans le présent rapport;
4. Approuver
le modèle de financement fondé sur la publicité, selon lequel se déroulera le
PIMU;
5. Approuver
les autorisations, les contrôles et les exclusivités de publicité du PIMU, tels
qu’exposés en détail dans le présent rapport et modifiés par ce qui
suit :
a. en continuant d’envisager des
publicités sur les poubelles, les bacs de récupération et les bancs; et
b. en maintenant une disposition pour
les annonceurs de la région.
6. Charger
le personnel de collaborer avec les fournisseurs actuels de mobilier urbain,
afin de négocier un prolongement d’une année des contrats existants, jusqu’en
juillet 2011;
7. Charger
le personnel de rendre compte au Conseil avant la parution de la demande de
propositions (DP), avec les lignes directrices finales sur les politiques, la
conception et le placement concernant le PIMU, la stratégie d’ensemble de DP,
ainsi que les recommandations sur la collecte des ordures et des matières
recyclables; et,
8. Retirer
l’élément portant sur le Programme de stationnement des vélos du Programme
intégré de mobilier urbain.
Documentation
1. Deputy City Manager, Infrastructure
Services and Community Sustainability report dated 18 January 2009 (ACS2009-ICS-CSS-0008).
2. Extract
of Draft Minute, 4 February 2009 to be distributed prior to Council
Transportation Committee
Comité des transports
and Council / et au Conseil
18 January 2009/ le 18 janvier 2009
Submitted by/Soumis par: Nancy Schepers, Deputy City Manager/Directrice municipale adjointe,
Infrastructure Services and Community Sustainability/Services
d’infrastructure et Viabilité des collectivités
Contact
Person/Personne ressource : Michael Murr, Manager
Strategic
Initiative and Business
Planning/Initiative stratégique et planification opérationnelle
(613)
580-2424 x 25195, Michael.Murr@ottawa.ca
|
Ref N°: ACS2009-ICS-CSS-0008 |
SUBJECT:
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Integrated street furniture
program – Project Update and way forward |
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OBJET :
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PROGRAMME INTÉGRÉ DE
MOBILIER URBAIN – MISE À JOUR DU PROJET ET ORIENTATION |
REPORT
RECOMMENDATIONS
That Transportation Committee recommend Council:
1. Receive the results of
best practice research and public consultation;
2.
Approve the Integrated Street Furniture
Program (ISFP) guiding principles as prioritized in this report and as set out
in Document 4;
3.
Approve the street furniture elements to be
included in the ISFP as described in this report;
4.
Approve the advertising based funding model
upon which the ISFP will operate;
5.
Approve the ISFP advertising permissions,
controls and exclusivity as detailed in this report;
6.
Direct staff to work with existing street
furniture providers to negotiate a one-year extension to the existing contracts
to July 2011; and
7.
Direct staff to
return to Council prior to the release of the Request for Proposal (RFP) with
the final Policy, Design and Placement Guidelines for the ISFP, the overall RFP
strategy, and recommendations on litter/recycling collection.
Que le Comité des transports recommande ce qui suit au Conseil :
1.
Prendre
connaissance des résultats de la recherche sur les pratiques exemplaires et de
la consultation publique;
2.
Approuver
les principes de base du Programme intégré de mobilier urbain (PIMU) tels que
priorisés dans le présent rapport et exposés dans le document 4;
3.
Approuver
les éléments de mobilier urbain devant être pris en comte dans le PIMU et
décrits dans le présent rapport;
4.
Approuver
le modèle de financement fondé sur la publicité, selon lequel se déroulera le
PIMU;
5.
Approuver
les autorisations, les contrôles et les exclusivités de publicité du PIMU, tel
qu’exposés en détail dans le présent rapport;
6.
Charger le
personnel de collaborer avec les fournisseurs actuels de mobilier urbain, afin
de négocier un prolongement d’une année des contrats existants, jusqu’en
juillet 2011;
7.
Charger le
personnel de rendre compte au Conseil avant la parution de la demande de
propositions (DP), avec les lignes directrices finales sur les politiques, la
conception et le placement concernant le PIMU, la stratégie d’ensemble de DP,
ainsi que les recommandations sur la collecte des ordures et des matières
recyclables.
Assumptions and Analysis
This report represents the second of four key milestones associated with the Integrated Street Furniture Program (ISFP) and reports on the work undertaken since September 2008 towards the development of an integrated program to provide various street furniture elements in the City.
Specifically, the report
discusses the results of consultation and best practice research undertaken in
Q4 2008 and seeks approvals necessary for the continued development of the
program including the revised guiding principles; street furniture elements;
and advertising controls. This report
also responds to the motions made in September 2008 regarding a public sector
versus private sector managed program; recyclables; local business advertising;
and support for a 20‑year contract.
Several actions over the previous three months have been completed, including consultation with a number of public and stakeholder groups; best practice research; the hiring of a street furniture expert and fairness commissioner; and the preparation of a draft policy, design and placement guidelines document.
The report recommends a set of guiding principles prioritized to reflect consultation results. It was heard that the most important principle was to improve the streetscape and preserve street identity. Feedback placed more importance on the design of the furniture and less importance on revenue generation. It should be noted that higher costs will be associated with the emphasis on design. Based on consultation and best practice research, the report recommends the furniture elements for inclusion in the ISFP, namely transit shelters, litter/recycling receptacles, bicycle parking, benches, information/wayfinding kiosks, and multi-publication boxes.
The report recommends that an advertising based funding model be adopted in order to support the guiding principle of capital and operating cost avoidance and revenue generation. Specific permissions and controls for advertising are outlined including that advertising will be streamlined and limited to the public realm with advertisements on transit shelters, bicycle parking and information/wayfinding kiosks only. This limitation will also support the advertisement panel value; however, in order to attract a successful proponent, exclusivity to advertisements on street furniture within the right-of-way will be required for the 20-year term.
With recent global events and changes with the current state of the economy, a significant and prolonged downturn will affect the overall business model for street furniture, including advertising revenue and the capital and operational costs of the program. The City will conduct a thorough evaluation of the business case to confirm the value of the ISFP contract relative to the current state of the economy prior to releasing the RFP. In order to achieve the objectives of this program, the report recommends a one-year extension to the existing contracts to allow time for business case review, and to support the requests of the proponents for time to prepare effective bids and for design and manufacturing prior to installation of new furniture.
A third report will be brought to Committee and Council in Q2 2009 to request approval of the final policy, design and placement guidelines document; the overall RFP strategy; recommendations on litter/recycling collection; and an analysis of the business case for street furniture in Ottawa relative to the current state of the economy in preparation for the release of the RFP in Q3 2009.
Financial Implications
Staff
does not foresee any need for additional funding to support this project. It is anticipated that there will be no
financial implications associated with the one-year extension to existing
contracts.
Public Consultation/Input
Consultation with external
stakeholders is a key success factor in the development of this program. During the fourth quarter of 2008, staff
consulted with a variety of stakeholders via a series of focus groups; street
surveys; an on-line survey; and a stakeholder advisory panel. Feedback from these initiatives has been
used to shape the program as discussed in this report.
RÉSUMÉ
Hypothèses et analyse
Le présent rapport représente la deuxième des quatre étapes jalons du Programme
intégré de mobilier urbain
(PIMU). Il rend compte des travaux entrepris depuis septembre 2008 dans le
cadre de l’élaboration d’un programme intégré destiné à fournir divers éléments
de mobilier urbain sur le territoire municipal.
Plus précisément, ce rapport traite des résultats de la consultation et de
la recherche sur les pratiques exemplaires réalisés au quatrième trimestre de
2008; il pourrait permettre d’obtenir les autorisations nécessaires à la
poursuite de l’élaboration du programme, notamment en ce qui concerne les
principes de base révisés, les éléments de mobilier urbain et les contrôles sur
la publicité. Ce rapport fait en outre écho aux motions présentées en septembre
2008 concernant la gestion du programme par le secteur public ou privé, les
matières recyclables, la publicité des entreprises locales et le soutien à
l’égard d’un contrat de 20 ans.
Plusieurs mesures ont été appliquées au cours de trois mois précédents,
notamment des consultations menées auprès d’un certain nombre de groupes de
membres du public et de parties intéressées, des recherches sur les pratiques
exemplaires, l’embauche d’un expert en mobilier urbain et d’un commissaire à
l’équité, et la préparation de lignes directrices provisoires sur les
politiques, la conception et le placement.
Le rapport recommande une série de principes de base, priorisés de manière
à refléter les résultats de la consultation. Cette consultation a permis de
constater que le plus important principe consistait à améliorer le paysage de
rue et à préserver l’identité des rues. Les commentaires émis accordaient
davantage d’importance à la conception du mobilier et moins à la production de
recettes. Il convient de noter qu’une priorité accordée à la conception
entraînera des coûts plus élevés. Compte tenu de la consultation et de la
recherche de pratiques exemplaires, le rapport recommande les éléments de
mobilier devant être intégrés dans le PIMU, c’est-à-dire les abribus, les
contenants à ordures et à matières recyclables, les aires de stationnement pour
vélos, les bancs, les kiosques d’information et d’orientation ainsi que les
boîtes à publications multiples.
Le rapport recommande qu’un modèle financé par la publicité soit adopté
afin d’appuyer le principe de base de l’évitement des coûts d’immobilisation et
de fonctionnement et de la production de recettes. Des autorisations et des
contrôles spécifiques de publicité sont décrits, notamment le fait que la
publicité sera rationalisée et limitée au domaine public, puisqu’elle sera
réservée aux abribus, aux aires de
stationnement pour vélos ainsi qu’aux kiosques d’information et d’orientation.
Cette limitation favorisera en outre la valeur des panneaux publicitaires; toutefois,
afin d’attirer les proposants, l’exclusivité sera exigée pour la durée du
mandat de 20 ans dans le cas de la publicité affichée sur le mobilier urbain
situé dans l’emprise routière.
Avec les récents événements mondiaux et les changements de la situation
économique, un repli important et prolongé affectera l’ensemble du modèle de
gestion du mobilier urbain, y compris les recettes publicitaires ainsi que les
coûts d’immobilisation et de fonctionnement du programme. La Ville effectuera
une évaluation complète du dossier afin de confirmer la valeur du contrat de
PIMU dans le contexte de la situation économique actuelle, avant de faire
paraître la DP. En vue d’atteindre les objectifs de ce programme, le rapport
recommande une autorisation de prolonger les contrats actuels d’une année pour
permettre un examen du dossier et pour soutenir les demandes de temps des
requérants afin de préparer des offres efficaces, et pour permettre la
conception et la fabrication du nouveau mobilier avant leur installation.
Un troisième rapport sera soumis au Comité et au Conseil au deuxième
trimestre de 2009, afin de demander l’approbation des lignes directrices
finales sur les politiques, la conception et le placement, de la stratégie globale de DP, des
recommandations sur la collecte des ordures et des matières recyclables, et
pour demander une analyse du dossier sur le mobilier urbain à Ottawa dans le
contexte de la situation économique actuelle, avant de faire paraître la DP au
troisième trimestre de 2009.
Répercussions financières
Le
personnel ne prévoit aucun besoin de financement supplémentaire pour soutenir
ce projet. On ne prévoit aucune répercussion financière liée au prolongement
d’une année des contrats actuels.
Consultation publique / commentaires
La consultation des parties intéressées externes représente un facteur clé
de réussite de l’élaboration de ce programme. Au cours du quatrième trimestre
de 2008, le personnel a consulté diverses parties intéressées, par
l’intermédiaire d’une série de groupes de discussion, d’enquêtes de rue, de
sondages en ligne, et par le biais d’un comité consultatif formé de parties
intéressées. Les commentaires issus de ces activités ont servi à modeler le
programme, tel que discuté dans le présent rapport.
At its meeting of 10 September 2008, Council considered a report, entitled “Integrated Street Furniture Program - Guiding Principles and Work Program” as the basis for the development of an integrated program to provide various street furniture elements in the City beginning in July 2010 (ACS2008-PWS-DCM-0001).
As part of this report, Council approved in principle a set of guiding principles for the program to be further developed in consultation with the community and best practice research. Staff was directed to report back on the results of consultation in Q1 2009 along with recommendations regarding the specific elements and criteria that would be incorporated into a subsequent Request for Proposal (RFP).
Actions Taken
In accordance with Council
direction and approval, the following actions have been undertaken to date:
· All interested proponents were directed to consult MERX for up-to-date project information and were invited to attend a consultation session for the purpose of providing advice on the RFP and program development.
·
In
order to ensure fairness and transparency through the entire process, a
Fairness Commissioner (The Public Sector Company) was retained to assist the
ISFP Project Team and RFP evaluation panel members. Work to date has proven invaluable with structuring the proponent
consultation process.
·
R.E
Millward and Associates was retained as an additional expert resource to advise
and assist in the development of the ISFP deliverables including policy, design
and placement guidelines as well as RFP development. Mr. Millward is the former Commissioner of Planning for the City
of Toronto and a street furniture expert who has advised numerous
municipalities on street furniture projects.
DISCUSSION
Recommendation #1 - Best Practice Research and Public Consultation
ISFPs are
common practice in major cities throughout the world and have become the
preferred approach to providing residents with the necessary street furniture
elements at little to no cost to the municipality. In order to capitalize on the experience of other cities, staff
conducted best practice research on the cities of Toronto, Vancouver, Boston,
New York and Minneapolis. In addition,
staff also investigated street furniture programs in Europe, South America and
Australia.
The
analysis of these cities has given staff a firm understanding of the standard
components, contract duration and street furniture elements of these
programs. The implementation of all
noted programs was based heavily on research and the results of public
consultation, both with the general public and proponents. It can generally be stated that coordinated
street furniture programs, with durations of 20 years, have become world wide
best practices in administering furniture elements in the public realm.
Based on
the research conducted an integrated street furniture program could allow the
City to:
·
Own the street
furniture elements and the design of the street furniture upon
expiry/termination of the Agreement;
·
Fund existing
and new initiatives using the revenues generated by the ISFP as all costs
associated with the program are borne by the proponent;
·
Reduce the
quantity of advertising in the City’s right of way, resulting in an increased
value for the remaining approved advertising locations. This could also result in increased revenue
to the City;
·
Have a suite of
street furniture elements designed to work together that can also be customized
for different BIAs and neighbourhoods within the City; and
·
Expand existing
services (i.e. Street litter management, tourist/attraction information,
additional transit shelters and bicycle parking spaces, etc.).
Toronto - As an example, the City of Toronto's 20-year contract for the
provision of street furniture elements was awarded in 2007. The contract is for transit shelters,
litter/recycling receptacles, tourist/area information pillars, public notice
structures, benches, bicycle parking, multi-publication boxes and automated
public toilets (APTs). In Toronto,
advertising is permitted on transit shelters and information/wayfinding
kiosks. Through its coordinated street
furniture program, Toronto will receive guaranteed revenue of $428.8 million
over the 20-year term of the Agreement.
oronto has created a dedicated organizational unit to play a strategic
role with accountability for planning, implementing and managing sidewalk
spaces with a pedestrian perspective and to manage the contract over the life
of the agreement.
Vancouver - The City of Vancouver entered into a similar 20-year agreement for
the provision of street furniture in 2002.
The agreement covers transit shelters, benches, litter receptacles,
multiple publication boxes, modular pay telephone booths, bicycle parking,
attended kiosks, automated public toilets and pedestrian-oriented map
stands. The projected financial benefit
to the City of Vancouver is $135 million over the 20-year term.
Boston - In 2001, the City of Boston awarded the first ever coordinated street
furniture program contract in the United States. Under this agreement the city receives automatic public toilets,
transit shelters, city information panels, newsstands and telephone
pillars. Boston is currently in the
seventh year of its 20-year agreement and has received revenues totalling $4.9
million in the first six years of the program.
New York - The City of New York entered into an integrated agreement for transit
shelters, newsstands, automated public toilets and sheltered bike parking in
2005. The successful bidder in New York
City will pay the City approximately $1 billion over the 20-year term of the
contract from revenues generated through the advertising program. Clearly defined limits have been established
for the placement and number of ads on the street furniture elements.
Minneapolis - The City of Minneapolis is currently negotiating with their preferred
vendor and hopes to see the roll-out of new street furniture begin in the
spring of this year. Minneapolis'
agreement is for 15 years (with an additional five year option). It covers benches, transit shelters,
litter/recycling receptacles, information/wayfinding structures,
multi-publication structures, neighbourhood information kiosks, and bicycle
parking units. Public washrooms will
also be included should revenue allow.
Advertising will only be permitted on transit shelters and benches.
Europe - Paris, Milan, and several other cities in Europe have implemented
similar coordinated street furniture programs.
The elements provided consist mainly of transit/train shelters, APTs and
bike share programs.
South America - In South America, the City of Rio de
Janeiro launched their street furniture program in 1999. It includes transit shelters, APTs with
public information panels, electronic clocks, directional signs and security
cabins.
Australia - Sydney in preparation for the 2000 Olympics, awarded a 20-year
integrated street furniture contract.
Elements provided under this contract include transit shelters, APTs,
kiosks, litterbins, benches, ashtrays, telephone booths and bike racks.
Basis of Consultation
The purpose of stakeholder consultation was to seek resident, proponent, and staff input on the ISFP. Although there were different consultation initiatives that were structured and delivered, the primary intent of each was to consult on the motions put forward at the September 2008 Council meeting; to help to prioritize the program’s guiding principles; and to assess which furniture elements to include and which elements should allow advertising.
The guiding principles consulted upon, as approved in principle as part of the September 2008 report were:
· Provide a Service: There must be an existing service or an identified and demonstrated need for street furniture. Advertising is secondary to the purpose of the structure.
· Improve the Streetscape and Preserve Street Identity: The City’s streetscape can be improved if street furniture has a common look and feel. Additionally, there is a high potential for increased visual clutter if services are expanded without a comprehensive policy. Although the program is seeking a common look and feel, it is not intended to provide a “one size fits all” approach, and will therefore need to be flexible enough so that street furniture can be tailored to specific areas where the street has developed a defined cultural identity. In addition, streetscape elements that were designed through public consultation as part of a street renewal project will be recognized and preserved.
· Enhance Service: There is a need for additional services in various parts of the City. The provision of these services will be appropriate for the potential users and for the streetscape context.
· Improve Coordination: Advertising on various types of street furniture may compete for the same audience and changes in individual agreements can significantly undermine revenue potential of other agreements.
· Offset Capital and Operating Cost: Costs associated with the initial acquisition, ongoing maintenance, and periodic renewal of street furniture is transferred from the City to the service provider.
· Generate Revenue: Portions of the advertising proceeds generated from the street furniture are returned to the City as a revenue stream in order to reflect the value to the service provider derived from the use of the City’s right of way.
In addition, the furniture elements initially considered and consulted upon, as part of this program included:
· Litter/recycling receptacles
· Transit Shelters
· Benches
· Bicycle parking
· Multi-publication boxes
· Information/wayfinding kiosks
· Public washrooms (automated public toilets)
·
Advertising pillars
Consultation Initiatives
Consultation with external stakeholders is a key success factor in the development of this program. Consequently, consultations were undertaken, via four separate initiatives, throughout the last quarter of 2008. The four initiatives consisted of the following:
· Focus Group Sessions with invitations to the following groups:
-
Current and
potential proponents
-
Business
Improvement Areas (BIAs) and Chambers of Commerce
-
National Capital
Commission (NCC)
-
Ottawa Newspaper
Publication Association
-
Tourism industry
representatives
-
The design and
technology community
-
Arts and
cultural groups
-
Advisory
Committees: Accessibility, Cycling, and
Pedestrian and Transit
-
General public
- Staff
· Street Surveys
· On-line Survey
· Stakeholder Advisory Panel
A series of focus group sessions were held during October 2008 with a variety of stakeholders as listed above. A total of 60 people attended the focus group sessions. Participants were given a presentation by staff, which detailed the project and its plans for moving forward and were asked to provide feedback on the guiding principles and street furniture elements to be included in the program. The participants of each focus group were asked specific questions regarding their own particular interests. For example, proponents were asked questions from the perspective of competing for an RFP that is realistic and well structured, while the BIAs were asked how best they would like to see furniture reflect each distinct area.
Lastly, focus groups were asked questions that were requested through Council motions. These questions were centred on the notion of a 20-year contract for proponents, a public versus private sector run street furniture program, levels of local advertising and whether or not the City should be responsible for litter collection or whether it should be the responsibility of the proponent. For the focus group session specific to potential proponents, staff allowed those companies who expressed an interest, to respond to questions either through individual presentations or through written submissions.
Street surveys (or ‘streeters’) are in-person surveys conducted by staff directly on city streets. Using as its basis the guiding principles and street furniture elements, the survey allowed residents to express their thoughts verbally and typically lasted 10 minutes in duration.
This same Streeter survey was also used for the online survey. The online survey was completed by residents through the program’s website. The website, which is named after the program’s brand ‘SimpliCITY’ can be found at www.ottawasimplicity.com.
At the time of this report, a total of 108 street surveys and 300 on-line surveys were completed. Both surveys, beyond providing thoughts on the program’s principles also provided residents the ability to express, in detail, their concerns with the existing street furniture and any suggestions they had for moving forward. A copy of the survey can be found in Document 2.
Finally, a Stakeholder Advisory Panel was established. The composition of this panel includes six residents representing stakeholders from the above-mentioned groups. The panel has validated the consultation results and will provide input into the program’s policy, design and placement guidelines, which will ultimately assist in forming the RFP.
It should also be noted that a further workshop with the professional arts, design and accessibility industry will take place in Q1 2009. The purpose will be to provide further input on street furniture design specifications and placement criteria to support the policy, design and guidelines document for inclusion in the RFP.
Results of Public Consultation
In general, the results of the consultation initiatives can be divided into two groups: potential proponents and the public. The potential proponents group consists of all parties who have demonstrated an interest in competing for this project and the public includes all surveyed participants and participants of the remaining focus group sessions. The reason for this separation is the obvious difference of interests and perspectives; one group being the provider of the service and the other being the user of the service. A summary of the key messages received from these groups is as follows:
Potential Proponents
·
Are in support of a 20-year citywide contract.
· Feel that the program’s timelines are very aggressive and suggested that a well-structured response to an RFP can take between four to six months.
· Are in support of local businesses being a part of the street furniture advertising landscape, however want the flexibility to manage this.
· Are supportive of a unique and appropriate family of furniture for Ottawa but all concur that an increased level of uniqueness comes with an increase in cost.
· Suggest that the primary purpose of street furniture, which is to meet the needs of pedestrians and cyclists, must take priority over the need to provide advertising.
· Suggest that the City be responsible for litter/recycling collection and that the vendor be responsible for furniture maintenance.
·
Are committed to incorporating new and eco-friendly
technologies into the program.
·
Are in favour of mandatory and ongoing review
mechanisms to ensure program compliance.
· Will structure their bids based upon current financial markets, cost of capital, and economic forecasts.
· Favour a private sector run ISFP versus a municipally run ISFP.
Public
·
Existing street furniture is not coordinated and there
is too much clutter on streets.
·
The most important principles to achieve are to improve
the streetscape and preserve street identity as well as enhance existing
services.
· Earning additional advertising revenue was not identified as a high priority.
· The level of advertising should be limited and should not be present on each element of furniture.
· Are in support of local business advertising but feel that the allocation and pricing of this should be left to the market to determine, not the City.
· New furniture must pay attention to accessibility, safety, security, functionality, environmental, and seasonal issues.
· New furniture must respect the characteristics of the many diverse neighbourhoods and unique areas within the City.
· The City should be responsible for litter/recycling collection while the proponents should be responsible for maintenance.
· Strict guidelines and controls need to be implemented by the City to ensure that maintenance and service is adhered to.
·
The preferred list of elements should include: transit
shelters, bike racks, benches, litter/recycling bins, information kiosks and
multi-publication racks.
·
Favour a private sector run ISFP versus a municipally
run ISFP.
·
Also sees the need for way-finding signage.
Opportunities for local business
advertising - Both residents and businesses agree that local business
advertising should be a component of this program; however, they do not feel
that it is the responsibility of the City to dictate special advertising rates
and associated advertising specifications.
Residents and BIAs feel that local businesses have a number of other mediums
through which they can advertise, and that the market should be the ultimate
driver behind all advertising rates and specifications. Staff intends to include language in the RFP
to ensure that local business is considered in the ISFP.
City collection of litter/recyclables - The input received from both residents and proponents suggests that the City should be responsible for collections while the proponent should be responsible for overall maintenance of street furniture. A more detailed discussion of litter/recyclable collection has been included further in this report and additional analysis will be part of the next report to Council in Q2 2009.
Public sector managed street furniture program (Motion 42/12) - The results of both the proponent and public consultation sessions revealed that a public sector managed program is not favoured over a private sector program. The reasons for this are detailed in Document 3.
Recommendation #2 - Guiding Principles
As previously stated, one of the main components of the public consultation initiatives was to seek input on the program’s preliminary set of guiding principles and the relative importance and priority of each.
An overwhelming majority of those consulted indicated that the most important principle of the program was to “Improve the Streetscape and Preserve Street Identity”. By this, residents explained that furniture design, and more specifically, design relative to function and the area within which the furniture resides, is the most important. For example, BIAs would like the furniture in their areas to provide unique designs specific to the individual characteristics of their neighbourhood, while residents would like to see furniture that is visually appealing and is structured and designed based on its primary function and not based on advertising exposure.
Further to this, a number of City planning policies identify various street classifications that include distinct design requirements. These requirements may pose a challenge for proponents to supply various types of furniture at the same time given the need for consistent functionality in respecting operational considerations. Special design features are more costly and as such, the proponents will reflect this in their overall bid submissions. In addition to revenue generation, other important guiding principles and expectations of this program include capital and operational cost savings. Staff will continue to refine expectations and explore methods to ensure that street furniture design and functionality is consistent with approved planning policies and balances with affordability.
Residents and staff feel that the current suite of street furniture, notably the brown benches and silver litter-recycling receptacles, are designed more to support large advertising panels which maximize advertising revenues rather than for visual appeal and functionality. Thus, the second most important principle, based on consultation and staff input is for the ISFP to “Provide a Service”.
The third principle is the need to “Enhance Service”. It has been expressed on numerous occasions, through consultation and staff, that the City is in need of a greater quantity of furniture to meet current and future demand, most specifically litter/recycling receptacles, bicycle racks and transit shelters.
In addition to the initial set of
guiding principles, it was also expressed that an additional one be added to
ensure that the design of the furniture is conscious of accessibility,
environmental, safety and technological issues. Therefore, a seventh guiding principle entitled “Ensure and
Encompass Accessibility, Environmental Sustainability, Safety and Technological
Innovation” is recommended.
Subject to Council’s approval,
staff will be developing an RFP that focuses primarily on furniture design, the
provision and enhancement of services, as well as accessibility, environmental
sustainability, safety and technological innovation. Nonetheless, all those consulted agreed that it was important to
recognize and accept the principle of “Generating Revenue” if these
elements are to be provided to the City at no cost to the taxpayer.
A
full description of the revised guiding principles can be found in Document 4.
Recommendation #3 - ISFP Scope
Elements Being Considered
As part of the public consultation process and in consultation with staff, the level of acceptance of existing street furniture elements was assessed. In addition, residents and staff were also asked about what new elements they would like to see added to Ottawa’s Street Furniture inventory. The existing and new elements consulted upon included the following:
Existing:
· Litter/recycling receptacles
· Transit Shelters
· Benches
· Bicycle parking
New:
· Multi-publication boxes
· Information/wayfinding kiosks
· Public washrooms (automated public toilets)
·
Advertising pillars
Existing Street Furniture
At present, the City has agreements in place for the provision of litter/recyclables receptacles, transit shelters, benches, and bicycle parking. Staff recommends that the ISFP continue to provide these elements, in increased numbers, as their use proved to be beneficial based on comments received during public consultations. It is important to note that currently, advertising is permitted on each of these elements. Adjustments to the placement and amount of advertising will be discussed in the section that follows.
Litter/Recycling Receptacles - There are a number of litter and recycling initiatives currently underway within the City to address on-street litter collection. The City provides approximately 600 single stream units predominately in the downtown core. These are typically placed in areas that, given the size of the street, can only accommodate a single stream unit. The City also manages a contract for approximately 300 litter/recycling receptacles. The contractor Creative Outdoor Advertising (COA) administers the receptacles through an advertising program and is responsible for the litter/recyclables collection. A separate contract with COA is also managed for benches that include a single stream litter container.
Preliminary estimates are that a minimum of 300 additional litter/recycling units are required to meet increased demand in underserved areas of the City. Given the complexity and diversity of litter collection programs currently in place, additional time is required to complete a full review in order to assess the needs of the 20-year program before confirming the total number of litter and litter/recycling receptacles required. The results of this review will be brought forward as part of the next report to Council in Q2 2009.
Transit Shelters - Presently, the City has an inventory of 1,200 shelters of
which 600 are owned and maintained by the City, while the remaining 600, all with
permissible advertisement space, are the responsibility of the current
proponent, Clear Channel Communication Inc.
Looking forward, staff estimate that approximately 500 new shelters are required to provide service to customers who would otherwise wait in exposed locations. A full review will be completed to assess the needs over the 20-year period before finalizing the total number of elements required.
One opportunity that has been identified is to transfer the 600 City owned and maintained transit shelters to the proponent. It is anticipated that this transfer would strengthen the ISFP business case by increasing the advertising revenues that could be generated by the proponent thereby helping to offset the capital and operational costs for all elements included in this program. Nonetheless, because the 600 City owned shelters are maintained by Amalgamated Transit Union (ATU) employees, management will need to ensure that all provisions of the collective agreement are respected during this transition if this is determined to be a viable direction to move forward with. City staff will review the merits of this option and will make recommendations as part of the next report to Council.
Benches - The City also provides residents with approximately 900 benches of which 650 are administered through a contractor-advertising program. COA, the same contractor who currently manages the litter/recycling receptacles, manages the bench program. Each contractor owned bench is accompanied with a litter receptacle and the majority of the benches are placed at various bus stops. Staff estimate that approximately 3,000 additional locations would benefit from the installation of benches. The current bench contract provides minimal revenue to the City.
Bicycle Parking - Through the contractor Velocity, the City currently provides residents with approximately 400 bicycle racks on a seasonal basis. Staff estimate that there will be a doubling in demand for bicycle parking over the next five years. Again, a full review will be completed to assess the needs of the 20-year period before confirming the total number of elements required.
New Street Furniture
Four potential new elements were identified during the consultations – multi-publication boxes, information/wayfinding kiosks, public washrooms (automatic public toilets), and advertising pillars.
Based on best practice research, the preferences of residents and businesses expressed during consultations, and the experiences of other municipalities, it is recommended that two be included in the ISFP: multi-publication boxes and information/wayfinding kiosks. While considered, it was determined that automatic public toilets and advertising pillars would not be beneficial to the ISFP at this time.
Multi-Publication Boxes - It is estimated that there are currently 4,200 newspaper boxes located within the City’s right-of-way. This high number has caused concern for many residents as they are seen not only as an eyesore but also as impediments to pedestrian traffic. In an effort to mitigate these problems and reduce the clutter of newspaper vending boxes from streets, several cities across North America have opted to implement modular multi-publication boxes in areas where several individual vending boxes were located. The multi-publication boxes allow for the setting, display and storage of paid and non-paid newspapers or publications within them and allow the individual publishers to have access to empty the coin-operated mechanism for their paper or publication.
The experience of some cities has been mixed. In Vancouver, the use of multi-publication boxes was originally a concern to publishers due to the lack of opportunities for branding and street presence, although this was alleviated through allowing the insertion of “box cards” on the rear of the unit with the publication’s name and logo. In the United States, some cities have faced lawsuits, filed by publishers, when trying to implement the use of multi-publication boxes, citing the right to free speech and distribution.
The City of Ottawa currently has a three-year pilot program with the Ottawa Newspaper Publication Group to operate one multi-publication box located at Bank and Slater. Staff will meet regularly with the Newspaper Publication Group in order to evaluate the success or concerns this group may have with this unit. The results will help to consider the design specifications and placement for future multi-publication boxes as part of the ISFP. The number of multi-publication boxes will be limited to areas where currently there is a high concentration of individual boxes that impede pedestrian traffic. Project staff will be consulting with internal staff and the Newspaper Publication Group to determine the appropriate number of boxes and their respective locations.
Information/Wayfinding Kiosks - The use of kiosks in the downtown core and/or in high pedestrian areas was suggested by the public numerous times as a means of providing pedestrian-oriented visitor information and map signage. Advertising would be permitted on these structures. The actual specifications for this type of structure, including the amount of advertising permitted, the placement, and information contained in the kiosks, will be determined in consultation with staff and will be discussed in the next report to Council.
The remaining two elements considered are not being recommended for inclusion into the ISFP at this time:
Automatic Public Toilets - The use of APTs has increased in recent years due to a superior product that incorporates many technological advances. APTs are now self-contained, constructed of durable materials, wheelchair accessible, contain emergency communication capabilities, are self-cleaning after each use and include various sanitary features such as sinks, mirrors, hand dryers and disposable seat covers. Users are typically given 10 minutes inside and upon exit, the unit locks the door and begins a self-cleaning cycle that generally takes seven to eight minutes in which the seat and floor are sanitized and dried for the next user.
In other municipalities where APTs have or are currently being installed, research reveals that the purpose for implementing the use of the APTs is firstly for the elimination of public urination and defecation on city streets and only second for tourism and public use. A survey of users ranked cleanliness and safety above location and ease of use.
The City of San Francisco has had 25 APTs in service for over 10 years and has limited their use to 12 hours per day in areas where drug abuse and prostitution was problematic. Seattle had five APTs installed at an initial cost of $5 million, and has recently sold them due to the APTs becoming hideouts for drug use and prostitution. The hours of operation for Seattle’s APTs, which were originally open 24/7, were subsequently changed to close at 9 pm. The City of Seattle deemed them to be too expensive to maintain and plans to replace them with Public Restroom Agreements with public and/or non-profit agencies located in the vicinity where the APTs were installed. The City of Calgary is currently doing a pilot of one APT and has found its implementation to be positive to date with an average of 160 uses per day. Security at this 24/7 location is provided by way of Closed Circuit Television (CCTV) cameras.
The APT is one of the most expensive items to acquire and maintain, and given the challenges that other municipalities have had staff are not recommending this furniture at this time.
Advertising Pillars - The use of advertising pillars goes against the guiding principles identified early on in this project, that is, that the street furniture must provide a service. The City of San Francisco has given their Street Furniture Proponent permission to install 90 advertising pillars in exchange for providing and maintaining 25 Automated Public Toilets. Staff are not recommending advertising pillars at this time.
Additional Street Furniture
Elements
During the 20-year contract, the City requires
the ability to add additional elements to its furniture suite should demand
warrant and it choose to do so. The
ability to add additional street furniture elements to the program will be
built into the RFP.
Placement of Street Furniture
The decisions of where to place street
furniture will follow a set of guidelines reflective of identified service
demands. These guidelines will be part
of the policy document that must be adhered to by the successful proponent, the
details of which will be discussed as part of the next report to Council in Q2
2009.
Street Furniture and Special Streets
The street furniture designs in the ISFP will
need to be conscious of the relevant strategic growth areas identified in the
current Official Plan and other supporting documents:
·
Traditional
and Arterial Mainstreets
·
Mixed
Use Centres
·
The
Downtown Precincts as defined by the Downtown Ottawa Urban Design Strategy
(DOUDS)
·
Village
Mainstreets and Core Areas identified in Community Design Plans
In the new Official Plan, these will be
collectively known as Design Priority Areas.
A draft policy is currently being prepared titled “Special Design Policy
– Special Streets”. This policy will
address issues related to the design and construction of special streets
bearing in mind the requirements of the various utilities that all have a place
within the right-of-way. By its nature,
this policy focuses on the landscape architecture of the street
environment. It will focus on the surface
of the street or ‘streetscape’, and it will consider the design and construction
of the total cross section, including pedestrian and vehicle space on the
surface, as well as the utilities overhead and underground. Given that street furniture is a component
of street design, the reference to street furniture within the policy will be
reviewed for the development of the proposed Integrated Street Furniture
Policy, Design and Placement Guidelines document, which will be brought forward
to Committee and Council in Q2 2009.
It is also important to acknowledge the
relationship between the City’s existing program for streetscape improvements
on special streets and the proposed ISFP.
The term streetscape not only includes the street furniture that the
ISFP is addressing, but also sidewalk paving materials, sidewalk clear width
and design, curb treatments, right-of-way design, trees and tree guards,
planters, Hydro poles, traffic control devices, parking meters, storefront
designs, ornamental lighting, façade lighting to name a few. Moving forward, the furniture elements
approved as part of the ISFP will establish the suite of street furniture
elements that can be installed as part of any future streetscape program.
Because the ISFP is a long-term program
spanning over 20 years, new street furniture will be installed and maintained
throughout this period. As a result, a new design will not be imposed across
the City on day one of the contract.
Most specific to special streets, any new furniture that was recently
installed, as part of a streetscape improvement will remain, and the provision
and costs of furniture that will be part of new streetscape projects relative
to the approved ISFP elements will be the responsibility of the successful
proponent.
In addition to the City’s special streets, the NCC also has streets within the municipality that are uniquely characterized. The NCC has an established street furniture program in place along Confederation Boulevard in order to present the distinction of a Capital experience. The furniture elements come with specific design specifications of which a dozen or so of the bus shelters were designed as part of the City contract specifically for Confederation Boulevard. The furniture elements on Confederation Boulevard with the exception of the transit shelters are managed through the NCC. All advertising along the Capital district is focused on promoting National public institutions, museums, and other attractions as well as local tourism related businesses.
It should be noted that through
consultation with the NCC, depending on the final design of the City’s new
street furniture program, the NCC may choose to expand on their Design,
Construction and Maintenance agreements with the City to allow for additional
items as part of the ISFP to be placed on Confederation Boulevard which for the
most part is on City streets. If the
design of the new street furniture is not in keeping with NCC objectives,
Confederation Boulevard will be exempt from this program with the exception of
the transit shelters.
Recommendation #4 - Advertising Based Funding Model
In order for the ISFP to be
implemented by the City at little or no cost, advertising must be permitted on
certain furniture elements. This is one
of the fundamental premises of the program; the winning proponent provides and
maintains a set of street furniture elements in exchange for the right to
advertise on the furniture. Without
advertising, the program cannot be implemented by the City without incurring
significant costs.
All advertising on street furniture will comply with
federal and provincial statutes, municipal by-laws, the standards set out by
the Canadian Advertising Standards Council, and the requirements and
restrictions of the City's Corporate Sponsorship and Advertising Policy.
Although the public
recognizes the role that advertising plays in helping to offset street
furniture costs, feedback indicates that the design, quality and durability of street
furniture is paramount. It is therefore
important that the City and the winning proponent strike an appropriate balance
between the amount of advertising needed to provide well-designed and
maintained furniture without creating advertising clutter in the public
right-of-way. In all cases, advertising will remain
secondary to the primary purpose of the structure, which is to serve the needs
of pedestrians and cyclists.
Through
this approach and the desire to reflect diverse communities, it is important to
understand that design accompanies high costs and specialization in design will
be more expensive than it would be if basic street furniture elements were
selected from a catalogue. This focus
on furniture design translates into a trade-off between furniture quality and
revenue and will result in less revenue to the City, depending on the cost of
design.
Recommendation #5 - Advertising Permissions,
Controls and Exclusivity
In order
to strike a balance between design and advertising, staff recommends that
advertising be permitted on transit shelters, information/way-finding kiosks
and bicycle parking. Where elements are clustered in one location (e.g. transit
shelter, bench and litter bin), only one of the clustered elements will have
advertising on it. This will improve
both the coordination and look and feel of advertising in the public realm as
well as increase the value of the advertising space in high traffic areas given
the limited advertising opportunities within each cluster. The clustering approach should therefore
increase the overall revenue value to the City while continuing to minimize the
amount of advertising in the public realm.
There will be no advertising permitted on litter/recycling receptacles
or benches.
Accessibility for Local Business Advertising
Feedback
to date has indicated that the market should determine how best to provide and
allocate local business advertising.
Staff will continue to research methods that ensure local business
advertising has a place in the ISFP and will provide further details as part of the next
report to Council in Q2 2009.
Advertising Exclusivity
In order for a proponent to design, manufacture, install and maintain
street furniture elements at no cost to the taxpayer, the City must be prepared
to provide exclusive advertising rights to the proponent for advertising in the
City’s right-of-way, in accordance with set advertising guidelines and
obligations. As a condition of the ISFP contract, it is
recommended that no other advertising programs be extended, or new programs be
authorized on any other street furniture elements and that no future pilot
programs involving advertising within the public right-of-way be approved by
the City for the duration of the contract. If the City decides to explore
future advertising on elements in the right-of-way, the proponent shall have
first right-of-refusal to provide, at fair market value, these advertising
opportunities, and where the proponent cannot provide, the City shall have the
ability to undertake such programs with a third party.
It is also
noted that the viability of ISFP contract could also be strengthened if the
City combined other advertising contract opportunities, such as the bus
advertising contracts, with its RFP to ensure contracts continue to offset
capital and operational costs in the most effective manner. Staff will report on the merits of this
option as part of the next report to Council in Q2 2009.
Recommendation #6 - Requirements for Contract Extension
To date, the ISFP has assumed that the introduction of new street furniture elements would begin in July 2010. Based on the work done to date, a number of factors have been identified which call into question whether the objectives of the ISFP can be successfully met within this timeline. Based on the following factors, staff now recommend that the project be extended for an additional year to 1 July 2011:
Economic Uncertainty- The current state of the economy is impacting the value that proponents are likely to place on the City’s street furniture assets, and the advertising potential this represents, resulting in the potential of reduced bids for the 20-year contract. Issuing an RFP in the current climate which seeks capital and operating cost avoidance in addition to the expectations of generating revenues at the current level or greater has been indicated as a high risk.
Design Matters- Stakeholders have indicated that “design matters” and that the guiding principles of “improving the streetscape” and “preserving street identity” is more important than revenue generation. Given this, time is required to formulate the design, function, placement and operational specification of the furniture as opposed to purchasing an off the shelf design.
Stakeholder Feedback- Feedback from consultations with the industry, stakeholder groups, and the general public as well as the expert resource engaged by the City all indicates that our timelines are too aggressive to meet the objectives of this program.
Further assessment of the street furniture business case is required relative to the current state of the economy before releasing an RFP that will lock the City into a 20-year deal. The one-year extension will provide several important benefits: first it will provide more time to determine how best to increase the viability of the business case; second it will increase the quality of bids by providing additional time for proponents to respond to the RFP; and third the successful proponent will have additional time to design and manufacture the numerous street furniture elements required.
Proponents have stated that their submissions will reflect current economic conditions. Therefore, in order to secure a sustainable 20-year contract for the City, staff will hire an external expert to assess the viability of the business case and will be asked to factor in the current state of the economy. The results of this review will be brought forward to Committee and Council as part of the next report in Q2 2009.
Negotiations with current contractors will be required in Q1 2009 in order to allow for further review and analysis of the business case prior to releasing the RFP.
Recommendation #7 - Return to Council
ISFP Next Steps
There are a number of requirements still necessary to perform in preparation for the release of the RFP. As a result, staff and consultants will complete the following:
Q1 - Q2 2009:
· Develop a 20-year assessment of street furniture needs.
· Complete a functional needs assessment of the furniture to support the policy, design and placement guidelines document.
· Consult with Advisory Committees and stakeholders on the Draft SimpliCITY, Ottawa’s Street Furniture Design, Placement and Guidelines Document that will form the basis of the RFP.
· Continue to refine the RFP documents.
· Recognizing the current state of the economy, staff will hire an external firm to review the proposed ISFP business case and confirm viability prior to release of the RFP.
· Negotiate current contract extension with vendors.
· Staff will bring forward a third report to Committee and Council with the results and recommendations based on the work completed in Q1, including a detailed outline of the recommendations for inclusion of the RFP.
·
Finalise
RFP documents.
·
Review organizational structure needs for the
management and administration of a 20-year program.
Q3 2009:
·
Release
the RFP.
Q4 2009:
· Receive bids and evaluate proposals
· Staff to bring forward the preferred proponent for Council award.
Q1 2010:
· Complete contractual arrangements with successful proponent.
· Announcement of proponent.
Q1 2010 – Q3 2011:
· Successful proponent designs, manufactures and begins to install street furniture by July 1, 2011.
Request for Proposal Development and
Proposal Evaluation
Based on consultation results and the best practice review staff will continue to develop the RFP specifications which, along with the evaluation process, will be further refined and brought forward as part of the next report to Council in Q2 2009.
Other ISFP Issues:
Litter/Recyclables Collection
In response to Motion 42/11, staff consulted with proponents and the public on whether or not the collection of litter/recyclables should be the responsibility of the contractor or the municipality. The analysis of the project’s consultation data revealed that both proponents and the public think the municipality should be responsible for litter/recyclable collection. Similarly, research into other North American coordinated street furniture programs also supports the direction that the litter/recycling collection be the responsibility of the municipality.
The City’s own experience also supports this view. Having the City assume direct responsibility for litter/recycling collection and disposal more closely aligns the party’s interests and expertise. The City has considerable expertise and knowledge of managing the collection and disposal of litter and recyclables both through City staff and through contracted services. In addition, the City also has the ‘311 service request’ system to immediately identify and respond to issues. With the City responsible for litter/recyclable collection, service peaks, localized issues, or other operational details can be managed in a more responsive and effective manner, providing better service to the public.
Street furniture contractors are experts in furniture design and production as well as advertising sales and management. They have a secondary interest in the delivery of supplemental services like litter/recyclable collection.
In September 2008, Council also directed staff to look at ways to ensure that recyclables are being recycled. Consequently, the option of collecting co-mingled litter and recyclables at the source and sorting them at a Materials Recovery Facility afterwards has been explored.
Environmental groups argue that co-mingling of the streams results in contamination of the recyclables to the point where the output quality is lowered and may even be rejected by reprocessors. In developing its blue and black box recycling programs the City has already invested time and effort to “train” residents to separate recyclables in two streams: fibre and containers and the City’s collection and sorting infrastructure has been based on the two stream system. It is felt that allowing for co-mingled collection in some instances while requiring source separation in others would lead to confusion. Other factors that lead to contamination of recyclables relate to receptacle design, capacity and labelling.
A recently completed Waste Audit at City Hall measured the waste from the
outdoor bins at City Hall. The contamination in the recyclable stream was only
5.6 per cent, principally through tetra pak, burger containers, coffee cup lids
and polystyrene. The greater issue was
that recyclables were still ending up in the litter stream. This issue can be mitigated by container
signage and a broader education effort.
Solid Waste Services recommend that the
‘street waste streams’ reflect the current household and City facility
programs, including fibre, container and litter streams. Although Organics will
be introduced in Fall 2009, this program will not include pet waste, and
therefore the ‘need’ to include this stream will be significantly reduced.
Motion
42/11, also directed staff to include an analysis of recyclables that were
actually recycled and/or land filled as part of the Creative Outdoor
Advertising Contract.
The effectiveness of the City’s existing
litter/recycling bins in diverting recyclables has been mixed. The City's on-street litter and recycling
containers are designed to accept three streams of materials - waste, paper
recyclables, and glass and plastic recyclables. The City relies on the general
public to sort recyclables when depositing material into the containers.
Unfortunately, the recycling streams are frequently contaminated with waste
materials making them uneconomic to recycle.
The contamination rate of the recycling containers
increases if the litterbin becomes full, highlighting the need for regular
servicing of these bins for the effectiveness of recycling. The current contractor servicing the
on-street litter/recyclable receptacles makes a judgment call when looking into
each receptacle and decide if it is possible to recycle depending on the
contamination percentage.
During the period from 13 June to 4 September 2008,
the program diverted 8,920 kilograms of recyclables, or an average
diversion rate of approximately 110 kilograms per day. Further enhancements
around receptacle design, public education, expansion of service, and timely
servicing are needed to improve diversion from this program.
Staff is working on the costing for the additional
collection of the current advertising supported on-street litter/recycling
program as well as the current advertising supported single stream waste
receptacle-bus bench program to begin with the new contract in 2011. It is
anticipated that the additional cost to collect will be offset by a
corresponding revenue stream generated from the ISFP program. It is difficult to commit to cost recovery
of this service without the complete financial analysis of the costs associated
to litter/recycling collection and the completion of the RFP process. Further details will be discussed as part of
the next report to Council in Q2 2009.
Organizational Unit
With a new integrated approach to delivering street furniture over a 20-year period, it is anticipated that a dedicated organizational unit may be required to manage a contract of this magnitude. Consequently, staff has researched best practices in the management of these contracts and will be recommending a suitable organizational structure to reflect this. The details supporting this decision will be outlined in future reports to Committee and Council on the ISFP.
LEGAL/RISK MANAGEMENT
IMPLICATIONS
Given recent economic uncertainties, staff is cognisant of receiving proposals that reflect conservative recessionary revenue figures. Nonetheless, staff also recognizes that the contract period is over a 20-year term and poor economic conditions are not likely to continue for such duration. Staff as identified in the report will seek to confirm the viability of the City’s street furniture business case with an external expert firm relative to the current economic conditions prior to the subsequent release of the RFP.
The current schedule of deliverables, as identified in
the 10 September 2008 report has been described by stakeholders as aggressive
in meeting the objectives of this program.
Staff’s recommendation to extend the program duration by an additional
year to 1 July 2011 will provide additional time to complete a full analysis of
furniture needs over the 20-year period, assess these needs relative to the
current state of the economy, review the viability of the proposed advertising
funded program for Ottawa, allow for the proper amount of time for proponents
to review and submit their proposals and to design and manufacture the required
furniture elements.
If the extension is not approved, best guesses will
prevail on furniture needs and value for the next 20 years, limited analysis
would be completed in terms of assessing the overall business case and we risk
poor or limited bids from proponents given the initial allocation of time for
proponents to complete their submissions and obtain all mandatory financial
requirements etc. The time allotted for
this size of contract was not suitable.
CITY
STRATEGIC PLAN
Although not specifically
identified in the City Strategic Plan, the ISFP supports the transformation
priority of sustainable finances identified in the City Strategic Plan. This priority speaks to fiscal
responsibility and financial sustainability and highlights new sources of
funding and techniques are secured to ensure growth pays for itself.
FINANCIAL IMPLICATIONS
The ISFP is on target and does
not foresee any need for additional funding to support this project. It is anticipated that there will be no financial implications
associated with the one-year extension to existing contracts.
Document 1 Report ACS2008-PWS-DCM-0001, “Integrated Street Furniture Program- Guiding Principals and Work Program”, Amended Recommendations and Motions
Document 3 Public versus Private Street Furniture Programs
Document 4 Revised Guiding Principles
Subject to approval of this
report, staff will continue to advance the ISFP as defined in the Next Steps
section of this report and will negotiate one year contract extensions with
current vendors and will report back to Committee and Council in Q2 2009 on its
progress as identified in this report.
REPORT
ACS2008-PWS-DCM-0001, “INTEGRATED STREET
FURNITURE PROGRAM- GUIDING PRINCIPALS AND WORK
PROGRAM”, AMENDED RECOMMENDATIONS AND MOTIONS DOCUMENT 1
Report ACS2008-PWS-DCM-0001, “Integrated
Street Furniture Program- Guiding Principles and Work Program”, Amended Recommendations and Motions
·
That
advertising panels intended for local business advertising be 25% of the ad
space under the ISFP, and that,
·
That
advertising panels intended for local business advertising be limited to less
than 1.25 sq. meters, and that,
·
That
advertising panels intended for local business advertising be unlit, and that,
·
That
advertising panels intended for local business advertising be offered at a cost
that is less than 50 % of the published rate for lit panels, and that,
·
That
advertising panels intended for local business advertising be offered in single
unit quantities.
In addition, the following motions were carried at the September 10th meeting.
MOTION NO. 42/11: That
the following be added to Recommendation No. 2: And that the report include an
analysis of the recyclables that were actually recycled and/or land filled as a
result of the Creative Outdoor Advertising contract for the life of the
contract and the resulting financial loss to the City.
MOTION NO. 42/12: BE IT RESOLVED that staff be directed to advance the idea that a public sector managed street furniture program be included as one of the alternatives considered by the public.
ON-STREET AND ON-LINE SURVEY DOCUMENT
2
Instructions
Based
on your knowledge of the City of Ottawa’s current street furniture, please
answer the following questions. Feedback from this survey will be used to
develop criteria for a Request for Proposal, through which the City will ask
industry proponents to submit tenders to potentially design, manufacture,
supply, install and maintain street furniture based on your input.
Please keep in mind that you may select more than one box per question.
|
Appearance |
|
Functionality
|
|
Placement |
|
Level
of Advertising |
|
Comments: |
|
Appearance |
|
Functionality |
|
Placement |
|
Level
of Advertising |
|
Comments: |
|
Information Kiosks |
|
Multiple Publication Boxes
|
|
Public
Washrooms |
|
Advertising
Pillars |
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Comments: |
PUBLIC SECTOR VERSUS PRIVATE SECTOR
MANAGEMENT OF STREET FURNITURE PROGRAM DOCUMENT 3
In its meeting on 10 September 2008, Council requested that staff consult on the notion of a municipally run street furniture program versus that of a proponent run program and implications associated with each (Motion No. 42/12).
This question was asked of participants during both the proponent consultation session and the public sessions. Not surprisingly, all proponents stated that an advertising-funded model managed by a vendor would be preferable to a publicly run program. The general public was also in agreement with proponents and stated that this program should be run through a vendor with the advertising expertise to best serve residents.
The research and analysis
conducted with Canadian and American municipalities currently managing street
furniture programs clearly indicates that while each program differs to some
extent, they all have one major component in common, each program is outsourced to the private
sector.
The main factors to consider are capital and operational costs, expertise in street furniture advertising, and the degree of risk.
Capital and Operating Costs are significant. The start up and annual maintenance costs alone are millions of dollars to add, replace, modify, and maintain street furniture elements over the course of time.
Expertise in Street Furniture Advertising is a discipline that has allowed only a hand full of major North American firms to remain competitive in this size of market. The City has no existing expertise in this regard and attempting to obtain the level of expertise within the public sector would be a daunting and time consuming task to undertake.
Degree of Risk is high if the program is not managed properly. Recovering the costs through advertising revenues for the magnitude of this type of program requires specific experience and skills that are only found today in the more successful private sector advertising firms. By outsourcing to a private sector firm, potential risks are essentially transferred to the firm, namely the financial and operating risks.
Therefore, based on public consultation and additional best practice research, it is recommended that this program be delivered through a proponent-run program.