Title
Resolution to Approve a Right-of-Way License Agreement with Spin, Inc., for the Operation of Electric Scooters in the City of Ann Arbor
Memorandum
Spin, Inc. (Spin) is the owner and operator of the Spin e-scooter service. This company has negotiated an agreement in good faith with the City of Ann Arbor to operate in our community. Spin e-scooters have been in operation in Ann Arbor since April 2019 and this agreement would commence a third year of their operation in the community. Because Spin Inc. has demonstrated satisfactory compliance with past agreements over the past two years, this agreement is proposed to transition from quarterly renewals to annual renewals. The agreement also increases the allowable number of scooters from 300 to 400.
Budget/Fiscal Impact: This license agreement will result in an anticipated payment of $146,000 for right-of-way review/occupancy, plus impoundment charges to the Major Streets Fund. A separate action to be considered by Council will address whether the fees collected should be shared with the University of Michigan which may affect the total amount ultimately receipted by the City.
Staff
Prepared by: Raymond Hess, Transportation Manager
Reviewed by: Craig Hupy, Public Services Area Administrator
Approved by: Tom Crawford, City Administrator
Body
Whereas, The City of Ann Arbor is one of the leading communities in the state in terms of multi-modal transportation with the most recent census showing that only 52% of Ann Arbor residents drive a single-occupant vehicle to work, much lower than the state-wide average of 83%;
Whereas, Providing mobility options to Ann Arbor residents is an important and necessary function of this government to help foster the continued adoption of transportation alternatives;
Whereas, The A2Zero Carbon Neutrality Plan and the Moving Together Towards Vision Zero Transportation Plan both call for shared mobility such as e-scooters to achieve our sustainability and mobility goals;
Whereas, Encouraging multi-modal transportation is a necessary and important tool for decreasing traffic congestion on our roads and increasing the viability of our downtown retail district;
Whereas, While encouraging multi-modal transportation, it is critically important to make every reasonable effort to ensure the proper and safe operation of scooters and other similar equipment on the public right-of-way; and
Whereas, It is also a necessary function of local government to permit use of the right-of-way to ensure that all commercial uses are not obstructive and contribute positively to the public’s wellbeing;
RESOLVED, That Council approve the attached operating license agreement with Spin, Inc. for the Operation of Electric Scooters in the City of Ann Arbor;
RESOLVED, That the Mayor and City Clerk be authorized and directed to execute said agreement after approval as to form by the City Attorney, and approval as to substance by the City Administrator;
RESOLVED, That the City Administrator be authorized to renew said agreement for up to two (2) additional one-year (1) periods at the City Administrator’s discretion; and
RESOLVED, That the City Administrator be authorized to take necessary administrative actions to implement this resolution.