To: Board of Supervisors
From: Aviation
Agenda Section: Consent
Vote Requirement: Majority
SUBJECT:title
Ratify Agreement with Turo Inc. for Non-Exclusive Peer-To-Peer Vehicle Sharing Operating Agreement
end
RECOMMENDATION(S):
Recommendation
That the Board of Supervisors:
1. Ratify the Aviation Director’s signature on the Turo, Inc. Non-Exclusive Peer-To-Peer Vehicle Sharing Operating Agreement; and
2. Authorize the Interim Director of Aviation, or designee thereof, to execute any amendments to the professional services agreement with Turo Technologies, Inc. after review and approval from County Counsel, Risk Management and County Administrative Office.
Body
STRATEGIC PLAN:
This action supports the following areas of your Board’s Strategic Plan.
Area of Focus: Core Services/Other
Strategic Plan Category: 9999 - Core Services/Other
DISCUSSION:
Due to the expansion of airline services at the California Redwood Coast-Humboldt County Airport (ACV), unprecedented numbers of passengers are traveling through the terminal and seeking transportation throughout Humboldt County. ACV is currently limited by the number of public transportation services, taxi companies and rental car services serving the traveling public.
Peer-To-Peer Vehicle-Sharing services are popular with travelers as an affordable, convenient transportation option. Turo, a peer-to-peer vehicle-sharing marketplace that operates nationwide, has indicated they would like to begin serving ACV under a non-exclusive car-sharing concession agreement. Turo’s car-sharing service would allow passengers to use their smartphone or computer to search for and reserve a vehicle from a local vehicle host. Guests would then pick up and return the rented vehicle to a designated area.
The Department of Aviation has negotiated an agreement with Turo, whereby Turo will pay the Department of Aviation a monthly permit fee equal to 10% of the Turo’s gross receipts collected from airport customers through the end of the preceding month. The initial term shall be for a period of three years.
SOURCE OF FUNDING:
Aviation Enterprise Fund (3530381)
FINANCIAL IMPACT:
Narrative Explanation of Financial Impact:
While revenue estimates are unknown at this time, should your Board approve the attached agreement Turo, Inc. will pay to the County of Humboldt through the Department of Aviation (3530381) 10% of their gross receipts collected from airport customers.
STAFFING IMPACT:
Narrative Explanation of Staffing Impact:
There are no impacts to current staffing level with approval of this item.
OTHER AGENCY INVOLVEMENT:
N/A
ALTERNATIVES TO STAFF RECOMMENDATIONS:
Your Board could choose not to approve the agreement with Turo, Inc. However, this is not recommended as the Department of Aviation would be forfeiting 10% of Turo’s gross receipts and there is a need for additional vehicle rental and car-sharing services to and from ACV for the traveling public. This need will continue with the growth of flights at ACV.
ATTACHMENTS:
1. Operating Agreement for Peer-To-Peer Vehicle Sharing Operator
PREVIOUS ACTION/REFERRAL:
Meeting of: N/A
File No.: N/A