Moving to Sustainability: Car-sharing in K-W

June 2004 - May 2006

The People's Car Co-op is launching "Moving to Sustainability: Car-sharing in K-W". The goal of this project is to increase overall membership in the Co-op. This project will address some of the barriers to car sharing through the implementation and promotion of the following innovative PCC service enhancements:

1. Establish a Transportation Bank — an interest-free loan program — to make the initial PCC membership loan affordable to low-income earners (staff time funded by CDI);
2. Integrate "Bike-Share Hubs" — including secure bicycle storage facilities/racks as well as free bike-share pods — at six of the co-op's vehicle locations — making cycling to and from PCC vehicles easier and more secure;
3. Create the administrative structure for, and issue, member debentures — a form of capital available to co-ops under provincial legislation where members invest in their own co-op — to provide better access to capital for the co-op (and a less costly source);
4. Conduct a market research study for adding a wheelchair-accessible van for PCC's fleet — to make car sharing accessible to those who require wheelchairs (staff time funded by CDI);
5. Launch promotional campaigns — utilizing community-based social marketing activities, presentations, flyer distribution, etc. — throughout the duration of the project in order to promote the above services.

PCC has received funding from the following funders for this project:

United Way of Kitchener-Waterloo and Area	National Child Benefit Program - New Project Development Fund
The Ontario Trillium Foundation is an agency of the Ministry of Citizenship, Culture, and Recreation. With $100 million in annual funding from the province's charitable gaming initiative, the Foundation provides grants to eligible charitable and not-for-profit organizations in the arts, culture, sports, recreation, environment, and social service sectors.
The Co-operators is a group of Canadian companies focusing on insurance, which also provides financial security products, investment counselling, and property management and development services. In recognition of the contribution of co-operatives to the growth and development of The Co-operators, they offer grants and investments to emerging Canadian co-operatives and similarly structured organizations.

Moving to Cleaner Air

January 2001- May 2002

The People's Car Co-op is in the midst of a project that aims to establish stability within the community and ultimately reduce vehicle fuel emissions in the region by developing the organization. The project entails two broad areas of work over the period from January 2001 to May 2002: 1) Technical Business Assistance, Training, and Planning; and 2) Co-op Development, including staffing and marketing the co-op for the purpose of advocating car sharing and expanding the co-op.

1) Beginning February 1, 2001, with funds from the Trillium Foundation, we hired a business consultant to conduct primary market research for us and to write a business plan. Written in conjunction with our staff and Board, the plan recommends an optimal fee structure, and identifies key target markets and optimal corporate structure. The Board and our staff have the oportunity to hire other consultants who specialize in Co-op development to train them on how to manage our business. This training has begun, and will continue in the form of workshops.

2) On January 8, 2001, we hired one 3/5 time staff person, who spent half the time marketing and recruiting more members for the co-op, and the other half managing and administering the co-op. Starting May 1, 2001, we hired one full time equivalent (FTE) staff person to continue this work. The funds for this co-operative development came from PCC's own resources, with additional funds from the Trillium Foundation, The Co-operators Development Fund, and the City of Kitchener's Community Development Infrastructure Program (CDIP).

The marketing work in the first three months of the year succeeded in bringing the co-op's two existing vehicles up to budgeted capacity. The management work during that time was spent largely working with the business consultant.

By the time the Business Plan was finalized, we were ready to add a third vehicle. A couple of months later, in September, we added our fourth vehicle to the fleet. We expect that, by the end of the grant period, we should be much closer to becoming a self-sustaining organization that requires no further outside assistance to be able to continue to meet community needs and employ staff at a reasonable wage to do so.

Partners

In this project we are working in close collaboration with the staff of the City of Waterloo, City of Kitchener, and the Regional Municipality of Waterloo. We have already established a working relationship with these municipal governments. The City of Waterloo endorsed our organization in May 2000, and then contributed $1,800 worth of in-kind parking space in City lots. The Region of Waterloo agreed in June 2000 to endorse car sharing and include its promotion in their plans to reduce traffic volume in the coming years. The City of Kitchener endorsed us and granted us almost $9,000 towards the project. Staff representatives of each government will help monitor and evaluate our project by continuing to participate in the recently established bi-monthly meetings with car sharing representatives.

Project Outcomes

We expect to see the following outcomes by the end of our proposed project:

1. the enhancement of the capacity of The People's Car Co-operative's staff and Board to manage its business;
2. the expansion of The People's Car Co-operative's car sharing community by an additional fifty people by adding four new vehicles in new neighbourhoods of Kitchener-Waterloo;
3. the reduction of CO2 emissions by more than 98 tonnes;
4. a net reduction of 25 automobiles on Kitchener-Waterloo's roads;
5. a mechanism for allowing low-income people to pay their initial member loan in affordable installments; and
6. an increased number of opportunities for income generation of low-income people whose access to transportation will be enhanced by joining The People's Car Co-operative.

Our Car Sharing Research

Car Sharing Study Shows Promise for the Region

The People's Car Co-operative conducted research on the viability and potential of car sharing in the Waterloo Region. The highlights of the research as outlined below were originally released as part of a series of activities planned for Carless week, April 16-20, 2001.

The People's Car Co-operative conducted two studies in February and March, 2001 as part of its process of designing a business plan -- one of its existing membership, and one of a random sample of what the co-op believes to be its target markets: housing co-operatives, social service agencies and businesses in the Kitchener downtown and Waterloo uptown cores, retirement complexes, and graduate students.

A survey of existing members of the car sharing organization confirmed the enormous potential of the initiative to reduce toxic air emissions of vehicles in the Region. Fully 2/3 of car sharing members who completed the survey either sold their vehicles or put off a decision to purchase a new vehicle upon joining. Not only are there ten fewer vehicles on the Region's roads, but members of The People's Car Co-operative have significantly reduced the number of kilometres they drive annually. The car co-op's vehicles have each been driven an average of 25,000 km per year, equal to estimates from the Canadian Automobile Association of average kilometres driven per car owner annually. Thus, members of The People's Car Co-operative are having less than one-tenth per person the environmental impact of average Canadian car owners.

Results of the survey of non-members are also encouraging for the potential of car sharing in the Region. The survey sought to identify what people perceive as the barriers and benefits of private vehicle ownership versus membership in a car sharing organization. The most promising finding of the study was how closely related respondents' perceived negative benefits of private vehicle ownership were to their perceived benefits of car sharing. For example, the top negative aspect of car ownership was cost, which was also by far the most commonly listed benefit of car sharing, with 62.5% of respondents mentioning it at least once.

Also heartening for the prospects of car sharing is the extent to which respondents' perceived barriers to car sharing would obviously be lessened with the expansion of car sharing. The biggest barrier to car sharing identified in the survey can be broadly categorized as inconvenience, with 75.4% of respondents citing issues such as availability of vehicles and proximity of vehicle locations. These features will only improve as car sharing expands, since more vehicles will mean more vehicles to choose from and shorter walks to vehicle locations.

"These survey results certainly bode well for the future of car sharing in this Region," beamed David Roewade, the business consultant hired by the co-op to conduct the market research and write a business plan. "This information gives the co-op's staff and Directors a good sense of what people want to see from car sharing organizations, and I'm confident The People's Car Co-operative can deliver that."

JoAnn Woodhall, the Region of Waterloo's Transportation Demand Management Planner, is pleased to see the survey's positive prospects for car sharing in the Region. "Regional Council has endorsed car sharing as a tool to reduce auto use in the Region," she said. "I think these survey findings give further evidence that car sharing can play a strategic role in helping the Region meet its targets of reducing private vehicle trips in the future."

Encl. Member Profile Summary, Market Research Survey Results

Grand River CarShare is receiving financial assistance from three municipal government partners. Each partner has a designated representative that will meet with Grand River CarShare representatives bi-monthly to review the Co-op's progresst.

The Region of Waterloo
The Regional Municipality of Waterloo endorsed car sharing as a tool to reduce auto use in the Region through a Council resolution on June 28, 2000 and approved a $30,000 line of credit in 2002.

The City of Waterloo
The City of Waterloo endorsed Grand River CarShare through a Council resolution on May 1, 2000 and approved a $30,000 line of credit in 2002.

The City of Kitchener
The City of Kitchener recognized car sharing as an initiative that can help reduce air pollution and significantly reduce private vehicle use in a resolution on September 19, 2000 and approved a $30,000 line of credit in 2002.

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