Transportation Committee

Comité des transports

 

Minutes 28 / Procès-verbal 28

 

Wednesday, 4 February 2009, 9:30 a.m.

le mercredi 4 février 2009, 9 h 30

 

 

Champlain Room, 110 Laurier Avenue West

Salle Champlain, 110, avenue Laurier ouest

 

 

Present / Présents :    Councillors / Conseillers M. McRae (Chair / Présidente), C. Leadman (Vice-Chair / Vice-présidente), A. Cullen, G. Bédard, R. Bloess, C. Doucet, J. Legendre, D. Thompson, M. Wilkinson

 

 

DECLARATIONS OF PECUNIARY INTEREST /

DÉCLARATION DE CONFLITS D’INTÉRÊTS FINANCIERS

 

No declarations of interest were filed.

 

 

CONFIRMATION OF MINUTES /
Ratification dES PROCÈS-VERBaUX

 

Minutes 26 of the Transportation Committee meeting of Monday, 12 January 2009 and Minutes 27 and Confidential Minutes 2 Transportation Committee meeting of Wednesday, 21 January were confirmed.


INFRASTRUCTURE SERVICES & COMMUNITY SUSTAINABILITY

SERVICES D’INFRASTRUCTURE ET VIABILITÉ DES COLLECTIVITÉS

 

COMMUNITY SUSTAINABILITY SERVICES

SERVICES DE VIABILITÉ DES COLLECTIVITÉS

 

1.         Integrated Street Furniture Program - Project Update and Way Forward

Programme intégré de mobilier urbain – Mise à jour du projet et orientation

ACS2009-ICS-CSS-0008                                       CITY WIDE / À L'ÉCHELLE DE LA VILLE

 

All members of Council received a memo dated 28 January from the Deputy City Manager, which provided additional information about the report.

 

Michael Murr, Manager, Strategic Initiatives/Business Plan, provided a detailed presentation.  In attendance with him was Lee Ann Snedden, Program Manager, Strategic Planning and Project Management.  A copy of his PowerPoint presentation is held on file.

 

            The following public delegations were received:

 

            David Gray, President, Creative Outdoor Advertising asked that consideration be given to not limiting the advertising panels to bike racks and transit shelters, but to let the designers determine where those should be; such companies know best what is most attractive on the street.  He suggesting capping the total advertising space if necessary, but to ensure the program is modified so the designers determine if the advertisement should be on the bike rack or the transit shelter.

 

            Responding to a question posed by Councillor Bloess, Mr. Murr agreed that the people in the business have the expertise and he would be comfortable with removing that specificity.

 

            When asked to explain his position further, Mr. Gray indicated that the placement of the advertisement is determined by the requirements at the stop.  The advertisement panel may go on any of the walls of the shelter, for example and what he is suggesting is that the City not prescribes where that panel is attached.  Instead, show the industry the suite of furniture and the style, but allow the proponents to make the determination of where it goes.  Councillor Deans did not think this strategy was about furniture but where advertising opportunities are maximized.  She believed the City should have the control of where the furniture is actually located so it provides a service and does not simply maximize advertisements.  Mr. Gray agreed with this perspective and Mr. Murr confirmed that it is clearly the City’s right to determine where the street furniture elements will be located.

 

Following on this discussion, Councillor Legendre suggested that it was his intention to recommend removing Recommendation 5 from the report.  Mr. Murr indicated that staff would be comfortable with that, keeping in mind the response from the public and, based on their feedback.  It was clear there should be no advertisements on benches or litterbins.

 

Mike McCann, Velocity Media indicated that he runs the bike rack program in the city and asked that consideration be given to removing them from the city-wide amalgamation of advertising mediums into one contract and service provider.  He was concerned that if bike racks were included with other large mediums, managed by huge, multi-national providers, it would put this relatively small-based service to a low priority.  And, as a service that cyclists increasingly need, this medium requires the close attention only a small local partner can provide.  He felt it was in the best interests of the City and cyclists, for Velocity Media to continue providing this program in its current structure.  A copy of his written statement is held on file.

 

When asked to respond to these concerns, Mr. Murr indicated that if bike racks were removed from the program, staff would have to determine how to develop the process to ensure the standard line contract would work effectively with the other elements on the street.  Councillor Bloess suggested that what the delegation requests would be contrary to the principles of what is before the Committee today.  Mr. Murr concurred, adding that while they appreciate the small businesses that provide services, the fundamental purpose of this program is to provide an integrated approach to street furniture; each time a specific element is removed, it weakens the overall approach as well as the City’s business case and the value of the program.  It was hoped that companies would work together on this.

 

Luc Beaulieu, Vice President, Astral Outdoor and Jeremy Kramer, Kramer Design Associates spoke in favour of the report.  The two main points Mr. Beaulieu wanted to convey were as follows:

 

Street Furniture Needs Over the Life of the Contract

·        it is important that the City take the necessary time to fully asses its needs before formalizing them in an RFP

·        the state of the economy is likely to affect the capacity of vendors to secure capital investment of new product for construction, especially early in the project; in extending this contract with the actual vendors, the City should arrange for bicycle racks, bus benches and transit shelters to end at the same time.  This coordination will be easier to work with when initiating the new contract

 

Advertising

·        providing opportunity for local advertisers should be a priority and the RFP should not force vendors into prearranged solutions for local advertising; vendors should be free to innovate with local advertisers and not be limited to mandatory criteria

·        local advertisers should have the same opportunity to utilize the highest quality advertising spaces offered to other clients and should not be categorized into less-appealing formats such as small, unlit panels

 

Mr. Kramer believed that in order to achieve design excellence, there is a need for a custom program, which is carefully detailed to the specific needs of the City.  He offered that there is a need to have a central control with a design vision and a vendor that is committed to investing the design across a number of pieces.  He did not believe that advertising on either litter/recycling receptacles or benches is appropriate because those products should not be placed based on where advertising is required, but where there is a need.

 

Councillor Bloess inquired how they see maintaining the ability for local advertisers to get in on this program, indicating that they may be dealing with national contracts and there is going to be a different price structure.  Mr. Beaulieu explained that the retail sales force is specialized in talking to the local people, and they offer special rates that are lower then national rates and can support their creativity.  He stated that the main thrust is to give the same quality of product to a local business, as they would for a national client.

 

In terms of the local advertising aspect, Councillor Legendre stated that the delegation’s argument is that the larger program will provide the better quality product and the local business should have access to that higher quality product.  However, he believed the higher quality product, while accessible, is not affordable to local businesses.  Mr. Beaulieu agreed with this concern and suggested that some clients may not be able to afford the medium.  He confirmed they would certainly pay less then the national clients because they have programs and incentives for them to use.  He explained that there is a balance between what is available in the street and the landscape and there should be a product that will please the majority of the clients be they local, regional or national.

 

Paul Seaman, Clear Channel Outdoor Advertising made the following points:

·        in order for this process to work well, the City needs an understanding of the market place, including the economics; they need to have the maximum number of respondents at the end of the day so Council can make the best-informed choice possible

·        he did not believe the RFP should be tailored to what staff assume are the needs of the community; there are designers capable of providing solutions to the problems and this is an opportunity to decide which one meets the City’s needs

·        he agreed that an ad, for the sake of an ad, does not have any purpose and it essentially comes down to the placement guidelines; the City has the ability to say where a piece of street furniture is needed

·        to remove some elements from the program as has been suggested by a previous delegation may be premature, especially since the point of this was ultimately to keep with what the community wanted in a more harmonious and aesthetical theme

 

Councillor Bloess spoke to the issue of the product being the property of the City at the end of the term of the contract (20 years) and was concerned about what would happen with that product at that time and how the City would ensure it has the qualities throughout those years.  Mr. Seaman explained that they would strive to design something that is going to last for a couple of decades.  The City has the ability to have staggered terms within which it can do renewals.

 

The councillor inquired if the delegation envisioned working with several partners to deliver on the street furniture, or if he saw one company taking the lead.  Mr. Seaman believed there was no reason why an integrated program cannot consist of all of those elements, varying in sizes and degrees of advertising at different price points.  As well, he saw no reason why such a program could not include the small business owner, as well as the larger regional or national business.

 

Following on the previous comment about the street furniture becoming the property of the City at the end of the contract, Councillor Legendre wondered if that was considered a bonus because at the end of that timeframe, there is probably going to be a societal change and the furniture may no longer be functional.  Mr. Seaman explained that the purpose of this is to get exciting new designs and services and programs the City cannot otherwise afford and he did not believe that would change in 20 years time.

 

Mr. Murr suggested that while owning the furniture at the end of the contract period was the typical mode of operation, there is time through this process to go back and revisit whether or not that particular aspect is a good thing.

 

In considering the report before Committee, Councillor Leadman inquired about poster collars and whether those would be incorporated into this program.  Eric Katmarian, Manager, Operations Planning, Research and Technical Services explained that this was discussed last fall and the decision was made not to integrate it because there was no really good advertising of that program.  And, there would be no benefit to integrating it because the collars are used for advertising community-based local events.  He confirmed that the poster collar program would continue.

 

The councillor further inquired if the RFP would include looking at the different nuances throughout the city such as neighbourhood planning initiatives and community design plans that have specific elements particular to a community.  Mr. Murr explained that staff continue to work with stakeholders to identify the parameters around which they would ask bidders to develop a suite of furniture that allows for that flexibility, such that there is ability for that differentiation to occur.  He agreed that some streets may warrant a slightly different look than another and he confirmed it would be part of the RFP specifications.

 

Mr. Murr further indicated that the street furniture improvements that have been done during construction projects or community design initiatives would remain.  Through this program, when the integrated package is approved and the City selects a successful proponent, they will become the City’s partner to roll this out over the years and any future need for new furniture within a main street will first go to this suite of furniture and use this suite to help it implement the furniture within a given district.  If that is what is intended, Councillor Leadman asked whether the City would be looking to reinstate the recycling service for the business community along those corridors.  Mr. Murr explained that that particular aspect had not been contemplated as part of this program.  The councillor believed it is something staff should start looking at, to ensure a coordinated approach so there will not be garbage trucks going up and down the streets.  She remarked that if the City was going to look at an integrated strategy for furniture, it should also be looking at an integrated strategy for garbage/recycling pick-up as well.  Mr. Murr accepted this as a direction to staff.

 

While recognizing that it is the industry ‘norm’ for the municipality to lock in for a 20-year contract, Councillor Bloess inquired what it would mean in terms of quality and revenue if the City opted to go for a shorter duration.  Mr. Murr explained that when the RFP is issued, there is a need to insure there are very clear guidelines and performance specifications with respect to ongoing maintenance.  He posited that a shorter-term contract would move the City in a direction that is against what most cities are doing in terms of delivering the program.

 

Councillor Bloess referred to the concerns voiced by the delegations about local businesses being able to continue to access advertising or the opportunity for adverting at affordable rates and asked whether Recommendation 5, as it now stands, would leave that wide open in terms of how the City is going to accommodate local businesses.  Mr. Murr explained that accessibility for local businesses is extremely important and one of the approaches they could use to build that into the RFP is to indicate that as part of the overall factors that are assessed, the City would be looking at the marketing plan that the proponent puts forward.  As part of that assessment, they would want to see how they propose to ensure those opportunities exist for smaller business.

 

The councillor suspected that recommending no advertising on waste receptacles or benches would be of concern to local or neighbourhood businesses that use that medium to advertise because it is affordable.  Mr. Murr did not know if that is the case, and suggested there is an ability to create a panel for a transit shelter that can rotate such that various faces of ads would appear over the course of any cycle.  He suggested that might be a way that a proponent could put forward a solution that would be at a lower cost.  He offered that in some cases, other companies have used benches and bike racks as a means of providing more affordable opportunities for advertising.

 

Councillor Bloess wondered whether the City, through this RPF, could discriminate against a company based on where that business operates.  Carey Thomson, Manager, Legal Services explained that the Discriminatory Business Practices Act states that no municipality or organization can discriminate on that basis.  He indicated that the RFP could include some flexibility to evaluate the partners or sub contractors that a proponent may come forward with and specifically on their local expertise or ability to deal with local concerns.  He suggested the City could consider the length of time they have been in business and their work history with municipalities, et cetera.

 

Councillor Legendre indicated that while he was comfortable with staff bringing forward a third report, he hoped it would be in Q3 because he wondered if the one-year extension would be sufficient.

 

Councillor Wilkinson inquired whether staff plans to generate a list of how many and where the street furniture is going to be placed.  Ms. Snedden explained that, as part of the process going forward, staff will assess priority areas and the expectations of where those elements need to go.  She added that the next report, which focuses on policy, design and placement guidelines, will help staff determine how and the placement of the elements.  When asked by the councillor if there are specific numbers of street furniture the proponents will be asked to provide, Ms. Snedden indicated that when the cluster approach is put together, it will address where transit shelters or bus stops are and would include the desire for a bench and litter/recycling container.  She confirmed that staff would be identifying specific numbers over the next 20 years in terms of when and how many and which elements should be rolled out each year.  Mr. Murr added that this would be addressed in more detail in the next report, confirming that his staff are working with Transit staff to assess and identify the demand, in the short, medium and long term over that 20-year period.

 

Responding to another question question posed by Councillor Wilkinson, Mr. Murr confirmed that the City would have the ability to ensure that the content of any advertisement is appropriate, otherwise it would not be permitted.

 

Councillor Cullen believed that a 20-year timeframe may not be the way to go and suggested that for the next report, staff should also be prepared to answer how this program would work for a shorter time period, e.g., 10 years.  When asked whether specific direction was required to bring forward these options, Mr. Murr advised that staff would be prepared for that discussion.  The councillor believed the vendors should be consulted on this particular aspect as well.

 

The councillor went on to state that one of the issues is the City’s ability to respond when there is a need for a receptacle, for example and he was looking for something to be built into this program, keeping in mind there should be some limits to respond to place-based issues.  He made note of the fact that some of the delegations spoke about having the opportunity of placing the advertisement where they think it is appropriate and the councillor believed that if garbage receptacles, for example, are based on advertising revenue, then there is a mismatch between the requirement for that receptacle and the value it may have for advertising.  He believed that if the City’s contract is tied to how much advertising can be garnered from a location, it would require another City program to deal with that particular aspect and he was looking for some flexibility in that regard.

 

Councillor Deans believed the report lacks the level of detail to give comfort that what the City ultimately buys at the end of this process is going to be what it is looking for.  She understood that significant revenue is generated from the current program, but at the end of this process there will be less of those advertising spots, so she wondered if in fact there would be less revenue generated than the City currently receives.  Mr. Murr indicated that the expectation is that this program will generate more dollars for the City.  The councillor suggested that staff prepare a confidential report for the Committee and for Council, explaining the revenue generation of the current program and the expectation of what this new program will generate for the 20 year period of the program.  The Chair suggested that staff be prepared to address this in camera at Council next week.

 

Councillor Deans also expressed concern about creating a monopoly by having one vendor provide all the street furniture and the control they may choose to exercise with regards to advertising and the fees they may charge, effectively eliminating local businesses from advertising.  Mr. Murr confirmed that vendors know they have to operate within a given framework in terms of their ability to charge, and still be attractive to business.  He confirmed that mechanisms would be put in place and assured the councillor this would be addressed.

 

Councillor Deans introduced a Motion, the effect of which would be to remove the bicycle parking component from the program.  She believed there was an overall sense that the approach is appropriate and one that improves the look and feel; however, there is also a need to be functional.  With regard to the bike racks, she indicated that there is a local company that moves those around, takes them to the schools, to community events, et cetera and they are very responsive because they are located in Ottawa.  Given these tough economic times, she believed the City must consider the impact on local businesses and be more responsive to the needs of the local community.  She made note of the fact that local businesses contribute financially to local charities and organizations and in this particular case, bike racks have been very successful and responsive to the needs of the community.  Councillor Wilkinson agreed to put forward the Motion on behalf of the councillor.

 

Councillor Cullen inquired how the one bicycle rack supplier would be able to participate in this program and Mr. Murr advised that the local supplier would be very aware of the opportunity to bid on the RFP and staff would expect that they would be looking for opportunities to partner with others.  And, as expressed by Legal staff, they would be building into the RFP elements that speak to the proponent’s knowledge of the local area and to the extent to which they have operated with municipalities, et cetera.

 

Moved by M. Wilkinson

 

WHEREAS the City of Ottawa has been developing the framework for an Integrated Street Furniture Program (ISFP) since September 2008;

 

AND WHEREAS the report before committee seeks the necessary approval for the continued development of the program;

 

AND WHEREAS the weakening economy is placing the street furniture business case at a serious disadvantage as it is negatively impacting the value that proponents are likely to place on the City’s street furniture assets, as well as the advertising potential;

 

AND WHEREAS a City of Ottawa request for proposal would look at locking the city into an agreement of up to 20 years in term;

 

AND WHEREAS staff’s recommendation to Transportation Committee and Council is to extend the existing contracts by one year due to the economic climate;

 

AND WHEREAS in the business case proposal serious consideration should be given to the role that local business play in providing street furniture to the City of Ottawa;

 

AND WHEREAS one of the local businesses has provided bicycle parking racks, with over 500 racks for the City’s use and another 150 in transit locations and at local schools for the past 12 years, comprising less than 5% of the ISFP program;

 

AND WHEREAS small businesses with offices based in Ottawa are quick to respond to community needs and contribute to the local tax base, as well as contribute to local charities;

 

THEREFORE BE IT RESOLVED THAT the bicycle parking program component be removed from the Integrated Street Furniture Program.

 

                                                                                                          CARRIED

 

YEAS (5): M. Wilkinson, C. Doucet, D Thompson, C. Leadman, M. McRae

NAYS (4): R. Bloess, A. Cullen, G. Bedard, J. Legendre

 

Moved by J. Legendre

 

That recommendation #5 be amended by continuing the consideration of advertising on litter/recycling receptacles and benches.

 

                                                                                                CARRIED

 

Moved by J. Legendre

 

That recommendation #5 be amended by continuing a provision for local business advertisers.

 

                                                                                                CARRIED

 

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.

 

                                                                                                CARRIED, as amended

 

2.         SUNNYSIDE AVENUE AND BANK STREET – ADDITIONAL ON-STREET PARKING AND PARKING STUDY

            avenue sunnyside et rue bank – places de stationnement sur rue additionnelles et étude sur le stationnement

ACS2008-CCS-PEC-0002                                                              CAPITAL/CAPITALE  (17)

 

Moved by C. Doucet

 

That the report be deferred to staff for further study.

 

                                                                                                CARRIED

 

 

INFORMATION PREVIOUSLY DISTRIBUTED

INFORMATION DISTRIBUÉE AUPARAVANT

 

A.        Advisory Committee Reserve Appointment – ROADS AND CYCLING ADVISORY COMMITTEE

Nomination d’un membre suppléant au Comité consultatif sur les ROUTES ET CYCLISME

ACS2009-CMR-CCB-0008-IPD                   CITY WIDE / À L'ÉCHELLE DE LA VILLE

 

                                                                                                             RECEIVED

 

ADJOURNMENT

LEVÉE DE LA SÉANCE

 

The Committee adjourned the meeting at 12:30 p.m.

 

Original signed by                                                                 Original signed by

R. Nelson                                                                                Councillor M. McRae

 

_____________________________                                      _____________________________

Committee Coordinator                                                         Chair