Guarantee Removed From Zipcar Deal

Thomas MacMillan Photo

After prodding by Alderman Darnell Goldson, the city has managed to extract a few concessions in contract negotiations with Zipcar, the car-sharing company, on a plan to expand in New Haven. Goldson pushed for more — like payments from Zipcar to the city and extending the service to New Haven’s poorer neighborhoods.

Goldson’s suggestions came at the Thursday evening meeting of the Board of Aldermen’s City Services and Environmental Policy. The committee was considering a four-part agreement with Zipcar for the second meeting in a row. At the last meeting, Goldson (pictured) complained that the city was giving too much away to Zipcar. Under the proposed deal, Zipcar, which now operates only at Yale in New Haven, would park two of its short-term-rental cars in the New Haven Parking Authority garage at Union Station.

Thursday night city officials came back to report that as a result of further negotiations with Zipcar, the parking authority would no longer be required to pay the company each month if the company’s cars are not used enough.

That’s good, said Goldson. But why is the city still giving away the parking spots for free? he asked. In other cities, Zipcar pays for the privilege of parking its cars in city spots.

The city needs to build its Zipcar membership before it will have more negotiating leverage, responded traffic czar Mike Piscitelli.

After a lengthy discussion and public comment period, the committee — composed partly of ad hoc members — voted to approve the agreement. Goldson abstained while his four colleagues voted to approve.

The matter now moves to the full Board of Aldermen for a final vote. Goldson said he’ll be working on some amendments to the item before it comes before the board.

The agreement in question is a two-year contract among the city, the parking authority, Yale, and Zipcar, which offers a car-sharing service designed to make it possible for urban dwellers to avoid owning their own cars. Zipcar members pay by the hour to borrow a car to do their shopping or go on a day trip. Zipcar already has 26 cars parked on the Yale campus, which are available for use by any member, Yale affiliated or not.

Under the agreement, Zipcar would park two additional cars at the parking garage next to Union Station. It’s the beginning of a move to expand Zipcar’s service beyond the Yale campus and into the city, said Piscitelli.

Initially, the parking authority would have had to pay Zipcar up to $3,100 a month if it didn’t make a minimum of monthly usage of its two cars at the train station. That’s what Goldson had objected to at the last meeting.

At the outset of Thursday’s meeting, Piscitelli (at right in photo) announced that Zipcar has agreed to waive the guaranteed payment.”

William Kilpatrick (center), head of the parking authority, announced two other concessions achieved. First, Zipcar will add additional cars at the garage only by mutual consent, not simply at their own discretion. Second, Zipcar will be responsible for transferring cars for repair and maintenance.

The agreement will benefit the city environmentally, said Christine Tang (left), head of the city’s office of sustainability. Each Zipcar takes 15 to 20 cars off the road, she said. She later acknowledged that that statistic was provided by Zipcar and not independently verified.

I’m happy to see they waived us paying,” Goldson said. I still don’t see why we’re not charging them for spots in a garage with a five-year waiting list.”

Goldson asked if the agreement would bar other car sharing companies from parking cars at the Union Station garage.

Yes it would, Kilpatrick responded.

So Zipcar is getting two free parking spaces — and exclusivity — without paying anything? Goldson asked.

The city wants to promote clean air, Kilpatrick said.

The opportunity here is to build a bigger base,” Piscitelli said. There is nothing here to prevent another car-sharing company from opening in New Haven” apart from at the train station.

If the goal is to have a more sustainable city,” Goldson said, wouldn’t it make sense to have more car-sharing facilities?”

Our first priority is to support the base that exists,” Piscitelli said. Imagine you’re Zipcar, he said. You’re already set up at Yale; you’ve got students using your service; why are you going to care about setting up at 360 State?

We’re trying to get them into the community,” Piscitelli said. We need them.”

But Zipcar pays to park its cars in other cities, Goldson said.

We’re not Boston or Washington,” Piscitelli said. We’re trying to prove ourselves.”

Goldson said he’d be more willing to give Zipcar two free slots and exclusivity if the company were spreading out to underserved” areas of the city, like his ward, West Rock. Last time, the contract seemed unchangeable, but then the city won concessions. Why not push more?”

We’re building a relationship here,” said Piscitelli. The goal is eventually to be in other parts of the city, he said. At the train station, the cars will be available to neighbors in the Church Street South neighborhood, he said. He later said that city staff will follow the direction of the Board of Aldermen, should it wish to order the city to market Zipcar in Church Street South.

During the public comment period of the meeting, former Fair Haven Alderwoman Erin Sturgis-Pascale spoke up in support of the agreement. Zipcar offers an opportunity to provide a low-cost transportation option for people that don’t own cars, she said. This is about leveling the playing field between the haves and the have-nots.”

She said she’s hoping eventually to have Zipcar available in Fair Haven, but you have to walk before you can run.”

If the city is giving away parking spaces, shouldn’t we get a public benefit?” Goldson asked.

We will,” Sturgis-Pascale. New Haveners will see a direct monetary benefit to not having to pay thousands of dollars a year to own their own car and instead pay only a small amount to use a car when they need it, she said.

Goldson said he could see that benefit to a community. But it’s not in my community.”

You have to let it germinate,” Sturgis-Pascale said.

What guarantee is there that it will spread to underserved areas? Goldson asked.

There is no guarantee, Sturgis-Pascale said.

But we’re guaranteeing them free spots, Goldson replied.

During pre-vote discussion, Goldson said he was not opposed to the idea of Zipcar, but he said he’s still not seeing enough benefit to the city. He again urged the city to push more. This is not a [public service] program,” he said. It’s a for-profit company. They don’t need New Haven’s dollars.”

Committee Chair East Rock Alderman Justin Elicker (at left in photo) sought to put the contract in perspective. It’s two years. It’s two cars. We’re not talking about anything that majorly changes car-sharing in New Haven,” he said. The agreement includes no expenditure of city money, he said.

We want Zipcar to come to the city,” Elicker said. It’s ultimately a small, small agreement.”

I have a real problem with this concept that Zipcar is doing us a favor,” Goldson said. The parking authority is doing Zipcar a huge favor.” Zipcar is paying prime money for prime locations in New York and Boston, Goldson said.

We need to go to them as equal partners” and ask for real benefits to the city, not this unicorn jumping over the rainbow” stuff, Goldson said.

Goldson was the sole abstaining vote in an otherwise unanimous vote of approval for the agreement by Aldermen Elicker, Michael Smart, Greg Dildine (at right in photo), and Maureen O’Sullivan-Best.

After the vote, Piscitelli repeated that you have to walk before you can run.” New Haven needs to expand its membership in order to have more bargaining power with Zipcar, he said.

That may be, said Goldson, but how is the city building those members? What is the plan to expand to underserved areas?”

Before he can vote for the plan, Goldson said he needs to see benefits he can take back to his constituents to show how West Rock will benefit from the Zipcar agreement. He said he’ll be looking into creating amendments to the agreement before it comes to the full Board of Aldermen. Specifically, he said he’d like to see an expansion plan targeting underserved New Haven neighborhoods and he’d like to see Zipcar pay for the privilege of storing its cars on city property.

Absentee Committee

Thursday’s was the second meeting of the City Services and Environmental Policy Committee without a quorum. At the last meeting only Chair Elicker and Vice-Chair Dildine showed up, forcing Elicker to appoint an ad hoc committee of other aldermen who were present. On Thursday, only committee members Smart, Elicker, and Dildine were present. Elicker appointed Goldson and O’Sullivan-Best to the committee for the evening.

I hope people will come next time,” said Elicker after the meeting.

The committee members who didn’t show were Aldermen Jacqueline James-Evans, Sergio Rodriguez, Joey Rodriguez, and Greg Morehead.

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