Flexlink Advanced Auto Network (FAAN)

- Smart Mobility for the Millennium.

The Urban Environment and Development Committee recommends that Council:

(1)endorse, in principle, the concepts of the Flexlink Advanced Auto Network (FAAN) and other "car-sharing initiatives" for further consideration and exploration;

(2)request the Commissioner of Urban Planning and Development Services and the General Manager, Transportation Services, to provide in-kind assistance to, and participate with, the (FAAN) Team in applying the FAAN approach to the specific needs of Toronto;

(3)request the FAAN Team to make a presentation to the Toronto Transit Commission and the Toronto Parking Authority.

The Urban Environment and Development Committee reports, for the information of Council, having deferred consideration of the Auto Share - Car Sharing Network Inc. proposal to a future meeting of the Committee, at which time representatives of Auto Share will be invited to make a presentation.

The Urban Environment and Development Committee submits the following communication (August 24, 1998) addressed to Councillor Joe Pantalone, Chair, Urban Environment and Development Committee, from Mr Rocco Maragna, President, Maragna Architect Incorporated:

In your role as a Councillor, as Chairman of the Urban Environment and Development Committee and as someone who works to strengthen Toronto's reputation as a world class city, our group, with the support of the York Centre for Applied Sustainability and The Design Exchange, wish to bring to your attention a new transportation option. The Flexlink Advanced Auto Network (FAAN) has many economic, environmental and community benefits that can contribute to an enhanced quality of life in Toronto.

Basically, FAAN is a transportation system which is an intermediate between public and private transit and yet complements the two types. It optimizes use of the existing urban infrastructure and is designed to respond to consumers' needs. Application of advanced technology and processes results in increased efficiencies. For a more complete description and an explanation of benefits please refer to the attachment.

We request an opportunity to give a short presentation of this Smart Mobility concept to the UrbanEnvironment and Development Committee with a view to seeking the endorsement of this Committee, and a recommendation that City staff be directed to provide assistance to, and participate with, our team in applying this approach to the specific needs of Toronto.

If you, or your staff, require more information at this stage we would be pleased to respond. Our contact is Mr. Rocco Maragna who can be reached at the address noted above.

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Flexlink Advanced Auto Network

(FAAN)^TM

Smart Mobility for the Millennium

1.0Project Description:

1.1The Concept:

When Rocco Maragna was a graduate student at Harvard University in 1976, he conceived of a scheme whereby mobility was viewed in a similar way to traditional utilities or services. In this instance the vehicle did not have to be owned by the individual but could be accessed as required.

Over 20 years later, this idea has emerged as an exciting way to take advantage of new developments in technology and to respond to constraints confronting today's transportation systems. The concept allows for a convenience and flexibility in transportation that is otherwise only available through the private automobile, with all its inherent costs and negative impacts. FAAN^TM (Flexlink Advanced Auto Network) is a flexible service that can either augment existing transportation infrastructure, by having vehicles available for individual use at transit nodes, such as subway stops, or it can be a stand-alone option, whereby an entire trip is by FAAN^TM vehicle. In either case, individual choice is enhanced.

The idea is simple. Fleets of vehicles would be available at strategic locations, on streets or in special space-saving parking facilities designed to minimize the impact of vehicles on the urban form. Alternatively, they could be delivered to a designated customer location as a higher service option. These environmentally friendly vehicles, or CiTiCars^TM, would be operated by a smart card allowing the consumer access to mobility without the cost of owning and maintaining a vehicle. Diagnostic and smart driving technology would be integrated to ensure that these vehicles are monitored and maintained properly. Parking would be easy, either in the parking facilities, or specially designated areas on streets. Vehicles would be dropped off for use by another. Flexibility and increased convenience by saving time are two features of this approach.

1.2Benefits:

This concept could play a pivotal role in the evolution of urban society and, hence, has far-reaching implications. Activities and resources associated with the automobile are predominant in our cultures, whether we live in North America and consider individual transport our right, or whether it is people of the developing countries who aspire to individual car ownership. In Canada approximately 50percent of urban land is dominated by streets, driveways, garages and parking lots.

If parts of society were to adopt FAAN^TM as either a supplement to their current transportation needs, or as a complete alternative, then the resulting "released resources" could be substantial. Expansion of traditional approaches to mass transit have encountered resistance because people are not prepared to sacrifice their perceived freedom of movement. This, despite the fact that traffic conditions are oversaturated and frustrating, to say the least, so that as individuals we pay a high premium for this "mobility". The FAAN^TM concept is particularly appealing because it recognizes the need for behavioural change and is a well-placed intermediate between individual and mass transit.

Assuming adoption, this concept enables a shift in our cultures' values that could lead to many of the other changes to which we aspire. For example, we seek to re-establish a sense of community, but the urban form does not encourage this. However, if some of the vast expanse of paved surfaces could be used for green space, both at the individual homeowner level and the public space/community level, then a more interactive, personal and less alienating environment would be created. Right now Toronto faces a crisis in requests to increase front yard parking, which reduces aesthetics, increases storm water run-off with associated water treatment costs/system overload, reduces tree coverage which in itself has environmental implications as well as the phenomenon of higher urban centre temperatures that increase space conditioning loads with a concomitant rise in power generation.

There are many potential environmental benefits. An obvious improvement is to "green" our cities, so that carbon dioxide sinks are located near to the centres of higher concentration/generation. The CiTiCars^TM themselves will be, by definition, the newest technology which will be more efficient in design, fuel consumption, etc. Professional fleet vehicle management will ensure that the CiTiCars^TM are well-maintained, thereby reducing pollution.

Increasing the efficiency of utilization of our existing transportation infrastructure has several positive effects. Congested highways cause considerable pollution, so anything that reduces the number of cars on the road cuts down on all those traffic jam emissions. Reduction in volatile organic carbons (VOCs), particulates, including such heavy metals as lead that has been demonstrated to deleteriously affect child brain development, nitrogen oxides (NOX), carbon monoxide (CO), plus carbon dioxide are all part of the benefit.

Reduced pollution does more than address global environmental problems. Improved ambient air quality in cities will reduce the medical expenses, hospital costs and lost productivity through illness of all those respiratory-related diseases. In Ontario summertime smog is a major environmental problem with government health studies attributing 1,800 deaths per year to smog-related causes. This holistic approach to evaluating societal benefits over a range of sectors versus costs, often referred to as full cost accounting, drives much of the international discussion on global pollution.

Part of the FAAN^TM concept increases access to, and thereby utilization of, public transit. It does this by improving accessibility to those either not on bus routes, or those unwilling to use this form of transport. Easier parking at the subway nodes, and no parking costs for those arriving with a CiTiCar^TM could increase ridership and system viability. Greater usage of the TTC with densities then approaching those in European cities where extensive systems are cost-effective would benefit Toronto's infrastructure.

There is an opportunity to make huge gains on the greenhouse gas (GHG) side of the equation. This concept is viable, and can bring environmental returns, using currently available technology. However, if a more advanced form of motive power was used then the benefits could be amplified. Depending on which form of motive power is selected there would be a slight reduction in emissions using mixed fuels (such as alcohol fuels - methanol, ethanol), a greater return using natural gas -particularly when the well-head to end-use equation is compared to advanced battery technology, potentially better results using appropriate diesel-powered technology, and an almost zero emission opportunity using fuel cells.

Should an advanced motive technology be selected further down the road, then the impetus of the FAAN^TM initiative would help to contribute to infrastructure development and optimization. For example, there could be an increased number of gas refuelling stations.

The FAAN^TM approach and support services lends itself to other benefits in the area of human resources. Accessible employment opportunities will be created for vehicle maintenance, car jockey, parking facility management and general infrastructure support. The high technology end of the business, advanced motive technology production, the vehicles themselves, satellite tracking and communication systems, smart card access and control systems could all contribute to increasing the number of skilled, high-paying jobs. Furthermore, this infrastructure lays the groundwork for capacity building within the support industries.

There is the potential to develop partnerships with Canadian companies, or Canadian-based subsidiaries of multi-nationals, in the process of developing a pilot project through to full implementation. Our initial analysis reveals that this concept is highly relevant to transportation systems throughout the developing world. Canadian companies are working on mass transit systems, airports and other infrastructure areas where the addition of FAAN^TM would improve competitiveness. Air pollution and traffic congestion problems are so severe that there is a large and receptive market. Naturally there would be some modifications to the design to accommodate cultural differences. However, the essence of the concept fits well with the desire of the burgeoning middle class to have the use of private cars, and the need to improve traffic flows and decrease debilitating pollution.

1.3Project Design:

Prior to initiating a full-scale pilot, data collection and analysis combined with potential customer feedback is required. Therefore, this investigative project is the first of three phases. The second phase, which has been partially scoped out and a site located in Toronto, is to undertake the pilot project. It is anticipated that for the pilot project partners will be brought in as the commercial information obtained will be the springboard for entry into the marketplace.

The final phase is to form a joint venture company that will see application in NorthAmerican markets, plus the creation, with off-shore companies, of subsidiaries that will operate in developing countries. In the latter case much of the debt financing will be sourced from commercial banks. However, there is an opportunity for there to be government to government agreements, backed by either the Export Development Corporation (EDC) or the Canadian Commercial Corporation (CCC), that link to Canada's international efforts to respond to the Kyoto protocol.

This study has five main areas of investigation:

-transportation-related - understanding the impacts of FAAN^TM upon vehicle usage and, hence, upon traffic patterns and flows;

-financial assessment - preliminary analysis of the costs to implement the concept, with comparisons to alternative modes of transport;

-behavioural response - obtaining feedback from potential users to appreciate the process that meets with the highest acceptability;

-environmental impacts - once a baseline of marketplace uptake and traffic impacts has been established then it is possible to estimate the reduction in emissions of key pollutants; and

-urban transformation - finally, once an estimate of traffic volumes, flows and user preferences has been compiled, then impacts on urban form, at the individual unit design level and at a city planning level, can be assessed.

2.0Environmental Benefits and Greenhouse Gas Reduction Potential:

The transportation sector in Canada relies almost exclusively on petroleum products. It accounts for 28 percent of our energy use and consumes 67 percent of our petroleum products. Not surprisingly, automobiles are the primary source of air pollution and significant contributors to both global warming and acid rain. They account for 35 percent of Canada's NOx emissions, 37 percent of CO emissions, 29percent of hydrocarbon emissions and about 29 percent of CO₂ emissions.

More efficient use of gasoline, or substitution with diesel, will reduce these pollutants. How much is a matter of research. Figures given by The Canadian Gas Association claim substantial improvements with natural gas vehicles - approximate reductions given are 80percent for NOx, 80-90 percent for CO, up to 90 percent for hydrocarbons and 20 percent for CO₂.

3.0Economic Benefits:

As described in section 1.0 there are opportunities for job creation at multiple skill levels. Furthermore, the likelihood of launching a Canadian joint venture is high. There are two companies, Bombardier and Magna, who are important players in the transportation market. Addition of a CiTiCar^TM model and the business organization to run FAAN^TM could complement their existing enterprises in both domestic and international markets. There may not be many vehicle component differences to conventional cars, but there would be some extension of current supplier capabilities.

Operating the business and supporting the FAAN^TM infrastructure will allow the opportunity for some of these activities to be outsourced to smaller companies than the primary project proponents/partners. This will strengthen the local SME sector and, with the potential for international sales, enable the smaller companies to enter these competitive markets more readily when linked to the bigger players.

Market size and customer uptake are key determinants in ascertaining financial returns. This study proposes to quantify the latter using accepted research methodologies. To gain someinsight into the large potential that this concept has, we can examine the target markets - urban centres. Typically, there are said to be 600 major urban centers worldwide, therefore, the multiplication factor for FAAN^TM infrastructure is considerable.

4.0Urban Transformation Benefits:

Twentieth century urban planning has been shaped, primarily, by the automobile with a consequent loss of truly usable space in residential districts and the imposition of a huge and costly transportation infrastructure. Toronto's roads amount to over 5100 kilometres that take up between 25 and 40 percent of our public space with car-related uses. Inefficient use of urban land and extensive asphalt links give rise to urban sprawl and a sense of alienation that destroys neighbourhoods and a sense of community.

Recapturing parking space will enable people to:

(1)"green" the space at an aggregate level to provide community "mini" parks or extend private green space at the unit level; and

(2)increase utilization of city land thereby decreasing urbanization of Toronto's periphery with all the associated costs of new infrastructure, financially insecure mass transit systems, lost productivity due to commuting and the negative environmental impacts. Urban design will become free to utilize space more efficiently, creating more friendly, community-oriented forms that in themselves could have societal benefits as people reconnect/use streets to walk/keep fitter and reduce crime.

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The FAAN ^TM Team

(1)R. Maragna - Maragna Architect Inc.;

(2)D. Bell - York Centre for Applied Sustainability;

(3)M. Contreras - Fercon Architects and Planners Inc.;

(4)E. Greenwood - Greenwood Associates;

(5)T. Kato - Interlink Corporation;

(6)J. Plant - DS-Lea Associates Ltd.; and

(7)V.J. Sharpe - Astral Group.

The Urban Environment and Development Committee also submits the following communication (October 2, 1998) addressed to Councillor Joe Pantalone, Chair, UrbanEnvironment and Development Committee, from Ms. Liz Reynolds, Executive Director, AutoShare - Car Sharing Network Inc.:

I am writing regarding Agenda Item No. (16), the Flexlink Advanced Auto Network (FAAN) presentation at the October 5, 1998 meeting of the Urban Environment and Development Committee.

I am encouraged the Committee may be interested in exploring innovative forms of mobility management, but I request that it do so with the full knowledge of other programs of this nature currently running in the City of Toronto.

I request the opportunity to make a presentation to the Urban Environment and Development Committee on the work of the Auto Share - Car Sharing Network Inc., which launched in Toronto in August 1998.

Auto Share's initial target areas are the downtown neighbourhoods of Riverdale, the Annex and St.Lawrence Market, where we have a growing membership. The Parking Authority has been most supportive in allocating spaces in our target areas near subway and bus stops. In conjunction with members of the Bloor West Eco Village, a strategy for early expansion to High Park is in development. Also, work has recently begun with the Scarborough Tenants Association for future expansion opportunities. We have developed thorough membership and insurance qualification procedures and are in the process of negotiating a back-up supply of cars from a national car rental company.

Prior to Auto Share's implementation, a market study, with funding assistance from the City of Toronto, was conducted. We discovered those interested in this form of access to mobility without ownership coincided with the findings of car-sharing organizations in other parts of Canada and Europe. In this connection, Auto Share has developed working relationships with the car-sharing organizations in Quebec City, Montreal, Vancouver and Victoria and we are beginning the process of developing a national association. As well, we receive ongoing advice and assistance from Mobility Management - ATG, the nation-wide Swiss car-sharing organization, and look forward to greater collaboration with them in future.

The importance of establishing such an organization with a strong community foundation is paramount. Nevertheless, we recognize the importance of developing partnerships with government and other appropriate corporations to increase the effectiveness of all available transportation options.

Although we are beginning Auto Share with conventional vehicles with high emission controls, we have spent considerable time researching the introduction of alternative fuels vehicles. We will work with Toyota Canada on a proposal for a pilot project using electric vehicles (E-Com) with ITStechnology in the Auto Share program in Toronto.

In addition to extending an invitation to Auto Share, I would like to suggest that the Committee invite a speaker with no commercial interest in the subject of car-sharing and new mobility options. I am sure you know of Richard Gilbert's work as a consultant with the Centre for Sustainable Transportation and as a advisor to the OEDC on transportation issues. Dr. Gilbert is well-acquainted with car-sharing initiatives worldwide and is thus in a position to provide a balanced and articulate overview of the subject.

I look forward, hopefully, to an invitation to address the Committee and am pleased that it is looking with interest at alternative mobility options and car use reduction strategies.

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The following persons appeared before the Urban Environment and Development Committee in connection with the foregoing matter:

(1)Mr. Rocco Maragna, President, Maragna Architect Incorporated;

(2)Dr. David V.J. Bell, Director, York Centre for Applied Sustainability, YorkUniversity;

(3)Mr. Luigi Ferrara, Vice-President, Business and Public Programs and Services, TheDesignExchange;

(4)Dr. Vicky J. Sharpe, Managing Director, GRI Canada; and

(5)Mr. Phil Piltch, on behalf of Auto Share - Car Sharing Network Inc.

(A copy of the attachment to the FAAN ^TM proposal, entitled "FAAN - Our Cities Tomorrow -OurCities Today", has been forwarded to all Members of Council with the agenda of the October5, 1998 meeting of the Urban Environment and Development Committee, and a copy thereof is also on file in the office of the City Clerk.)