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Telematics Pilot Project Overview and Discussion

Telematics Pilot Project Overview and Discussion

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Page 1: Telematics Pilot Project Overview and Discussion

Telematics Pilot Project Overview and Discussion

Page 2: Telematics Pilot Project Overview and Discussion

Bob Covington, Deputy DirectorDepartment of Enterprise Services

[email protected]

Welcome agency partners

Page 3: Telematics Pilot Project Overview and Discussion

Today’s agenda

Introduction – George Carter III, DES Fleet Operations Manager

A View From the Governor’s Office – Keith Phillips, Climate & Energy Policy Advisor, Office of the Governor

Fleet Operations Goals and Objectives – George Carter III, DES Fleet Operations Manager

Telematics Overview – Barbara Egan, Verizon Telematics

Public Disclosure and Telematics – Harold Goldes, DES Public Records Officer

Risk and Telematics – Lucy Isaki, State Risk Manager

Page 4: Telematics Pilot Project Overview and Discussion

• Frequently Asked Questions – Bob Covington

• Next Steps – Bob Covington

• Questions and Answers – All

• Adjourn

Today’s agenda continued

Page 5: Telematics Pilot Project Overview and Discussion

A View From the Governor’s Office

Keith PhillipsClimate and Energy Policy Advisor

Office of the Governor

Page 6: Telematics Pilot Project Overview and Discussion

DES Fleet Operations

George CarterManager, Fleet [email protected]

Page 7: Telematics Pilot Project Overview and Discussion

How it works

Page 8: Telematics Pilot Project Overview and Discussion

DES Fleet Operations

Why Telematics?• 4,000 vehicles currently in service• Located across Washington State• Provide vehicle services to over 70 Agencies• In 2014:

• Our vehicles traveled over 42,000,000 miles• Consumed 1.8 million gallons of fuel• Processed 18,000 Daily Rental reservations

Data Driven Fleet Management

Page 9: Telematics Pilot Project Overview and Discussion

Fleet objectives and goals

Results WA Goal 5 - Reduce GHG & increase MPG and from 19.2 miles to 23 by 2020

RCW 43.41.130 – “Achieve an average fuel economy of forty miles per gallon for light duty passenger vehicles”

RCW 43.19.648 – by June 1, 2018 “…fuel 100% of publicly owned vehicles with electricity or biofuels, to the extent practicable”

Executive Order 14-04 – DES “…improve efficiency and reduce emissions from government operations…”

Page 10: Telematics Pilot Project Overview and Discussion

Fleet sustainability reportingEO 14.04

Results WA Goal 5

Results WA Goal 3

RCW 43.19.642

RCW 43.19.646

RCW 43.19.648

RCW 43.41.130RCW

70.94.151

RCW 70.235.050

EO 05-01

RCW 43.01.250

RCW 43.325.080

WAC 194.26.070

WAC 194.26.080

Page 11: Telematics Pilot Project Overview and Discussion

Impacts of fleet growth

Information is required to make data driven decisions

Fleet utilization and vehicle placement

Increased number consolidated vehicles could lead to inefficient vehicle use and increases the State’s carbon

footprint

Maintaining efficient Fleet Management practices

Leverage system integrations

Achieve timely, accurate reporting while reducing touch time

Page 12: Telematics Pilot Project Overview and Discussion

Telematics Pilot Project

350 total vehiclesSix (6) month trial period at No-Charge Sample size provides a 95% confidence level in the resultsDES Fleet Operations will coordinate the placement of the pilot Network Fleet systems in vehicles encompassing a broad range of vehicle applications, over a statewide geographical area.

Page 13: Telematics Pilot Project Overview and Discussion

Pilot measurable metrics

Improvements to employee safety Accident cost reductions Reduce miles traveled and increase MPGs Reduced fuel consumption Reduced Green House Gas Emissions (GHG) Reduction in idle time Reduction of time for mileage reporting and

recall notifications

Page 14: Telematics Pilot Project Overview and Discussion

Est. annual fuel and GHG reductions

% Fuel Cost Reduction

Approx. Gallons

($3.50 gallon CY14)

Equivalent Metric Tons of Carbon

(MMT)

Social Cost of Carbon (SCC)

(at $67/MMT)

Total Saving

5% $287,375 82,107 730 $48,910.00 $336,285.00

10% $574,750 164,214 1,460 $97,820.00 $672,570.00

20% $1,149,500 328,428 2,920 $195,640.00 $1,345,140.00

30% $1,724,250 492,642 4,380 $293,460.00 $2,017,710.00

40% $2,299,000 656,857 5,839 $391,213.00 $2,690,213.00

Page 15: Telematics Pilot Project Overview and Discussion

30% Fuel Reduction

Removes 4,380 Metric Tons of Carbon or the equivalent of 10,185 barrels of oil

Page 16: Telematics Pilot Project Overview and Discussion

Safety goals

• Improved service scheduling, which reduces breakdowns and saves on roadside assistance and towing costs.

• Locating employees in areas of concern• Recall notification and management• Reduced wear and tear on vehicles

Page 17: Telematics Pilot Project Overview and Discussion

Verizon Networkfleet

Barbara Egan

&

Laura Rictor

Page 18: Telematics Pilot Project Overview and Discussion

Verizon Networkfleet

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Fuel Card Transaction Report

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Fuel Guard (Fuel Fraud) Transaction Report

XXXXXXXXXXXXXXX

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Automated Odometer Report

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State and local results

City of Ventura, CA - Public Works Department- 316 vehicles.

7 Ton Carbon reduction, equivalent of removing 1375 vehicles from road.

State of Wyoming- 1600 Light duty highway vehicles.

Cut fuel consumption 40%

Emissions reduction 40%

State of Arkansas, DOT- 2500 highway passenger vehicles 1st year results

$500,000 fuel savings comprised of idle reduction and miles driven

Eastern Municipal Water District – 350 vehicles year one results

Reduced miles driven 165,000

Reduced labor cost $354,000

Page 23: Telematics Pilot Project Overview and Discussion

State and local results continued

State of California- CALTRANS-7500 vehicles.

Annual savings of 28,000 salary hours, nearly $500,000 for automated odometer/usage reporting

State of Texas- TXDOT-7500 vehicles.

Reduced Fleet from 16,000 to 12,500

Utilization improved by 12%

Over next 10 years, Total Cost of Ownership down by $250M

Page 24: Telematics Pilot Project Overview and Discussion

Public disclosure & privacy

Harold GoldesDES Public Records Officer

[email protected]

Page 25: Telematics Pilot Project Overview and Discussion

• PRA Compliance “… strongly worded mandate for broad disclosure of public records…”

• Agency interest in disclosure that results from new technologies.

• Employee interests in privacy.• Our planning will consider both the

benefits of new technology and the commitment to open government.

Public disclosure & privacy,what are the issues?

Page 26: Telematics Pilot Project Overview and Discussion

Computer tools and network technology can help agencies manage government assets efficiently by gathering data from connected devices in real time … 

In 2015, this “internetof things” fuses computers, networks, sensors and communications …

BUT small, fast, powerful computers everywhere create digital public records everywhere…

Background- New technologies and transparency

Page 27: Telematics Pilot Project Overview and Discussion

Public records everywhere

Since 1972 the paper public records that once only fit on a shelf…

And forty years later are predominantly digital. They can be prepared, owned, used or retained by a computer in your pocket… ..or in a car

Have become easier to create …

Page 28: Telematics Pilot Project Overview and Discussion

.. a computer In a car

• … .. car computers coordinate and monitor sensors, components, the driver, and the passengers.

 • .. .. A typical luxury sedan contains

over 100 MB of binary code in 50–70 independent computers communicating over shared internal network buses. (1)

 • GM OnStar:…automatic crash

response, remote diagnostics, and stolen vehicle recovery over a long-range wireless link. (1)

• In most 2014 cars, network-connected features provide driving directions, messaging, hands-free phone calls, safety monitoring, and entertainment (2)

(1) Center for Automotive Embedded Systems Security(2) Ars Technica

Telematics is an example of this technology

Page 29: Telematics Pilot Project Overview and Discussion

• Public Disclosure

• Delivery of Health Care & Social Services

• Information Governance

What questions and concerns have we heard about telematics ?

Page 30: Telematics Pilot Project Overview and Discussion

Agency partners want to know about … • Location Privacy: GPS location data, investigative

activities, employee residence.

• Agency Exemptions: How do unique agency exemptions apply to Telematics records, e.g. RCW 42.56.240 (13)?

• Who Owns and Who Discloses: How will we respond to public records requests concerning employees of agency partners? – Who responds?– How do we collaborate?– Who asserts exemptions?

What questions and concerns have we heard about public disclosure?

Page 31: Telematics Pilot Project Overview and Discussion

Health Care and Preserving Protections

Agency partners want to learn more about …  • Telematics and HIPAA compliance• Protecting individuals receiving health care services• Can data mining transform non-exempt records into

exempt records?

Questions about: delivery of health care & social services

Page 32: Telematics Pilot Project Overview and Discussion

Record Creation: Telematics generates data about Vehicle Behavior:

Questions about: Information governance

And Vehicle Health:

Page 33: Telematics Pilot Project Overview and Discussion

350 DES Pilot Vehicles: ~390 MB/Day

Questions about: Information governance

Type DailyGPS 350 MB

Diagnostics ~38 MB ~390 MB

Agency partners want to learn more about : 

• Data Retention e.g., raw data v. reports• Data Ownership• Data Sharing• Data Protection

Page 34: Telematics Pilot Project Overview and Discussion

DES will work with agency partners in sub teams: • To identify privacy and public disclosure risks

and concerns.

• To clarify data access and ownership

• To develop Risk allocation and Mitigation strategies

Pilot sub teams

Page 35: Telematics Pilot Project Overview and Discussion

Lucy IsakiManager, State Risk Management

[email protected]

Driver safety

Page 36: Telematics Pilot Project Overview and Discussion

The Office of Risk Management’s interest is in the

• safety of state drivers• responsible management of the

state Self Insurance & Liability Program

• risk reduction and mitigation

Risk Management’s goal

Page 37: Telematics Pilot Project Overview and Discussion

Between 1/1/12 and 12/31/14, the Self Insurance Liability Program has paid nearly $3.5 million for bodily injury, property damage and defense costs resulting from car accidents involving state drivers.

Mitigating risks associated with driving on state business

Page 38: Telematics Pilot Project Overview and Discussion

• $3.5 million does not include:– Claims that are yet to be filed (3 year statute

of limitations).– Claims that have been filed but have not yet

been paid.– Repair costs to state vehicles.– Time loss, workers compensation.

Additional costs

Page 39: Telematics Pilot Project Overview and Discussion

• The monetary cost of accidents only tells part of the story.– Each accident affects the lives of at least two

people. – The impact can be as minimal as taking time

off work to get repair estimates, or as significant as undergoing medical procedures, or as catastrophic as death.

Additional costs, continued

Page 40: Telematics Pilot Project Overview and Discussion

• ORM provides reports to agencies regarding their auto liability losses.

• ORM has provided conferences regarding driver safety.

• There might have been some reduction in claims as a result of those efforts, but 716 claims in three years is too many, and $3.5 million is too costly.

How can we reduce this risk?

Page 41: Telematics Pilot Project Overview and Discussion

• Although not all accidents are preventable, many are.

• Washington Traffic Safety Commission: – “Driving faster than the speed limit – or too

fast for conditions – accounts for more than a third of all deadly crashes in Washington.”

• Cite: http://wtsc.wa.gov/programs-priorities/speeding/

What is the root cause of accidents?

Page 42: Telematics Pilot Project Overview and Discussion

• According to the World Health Organization:“small increases in average speed (1 km/h, which is less than 1 mph) results in a 3% higher risk of a crash involving an injury and a 4-5% increase for fatal crashes.”

Speeding

Page 43: Telematics Pilot Project Overview and Discussion

Speed – fatality relationship

Source: Federal Highway Administration https://www.fhwa.dot.gov/publications/research/safety/98154/speed.cfm

Page 44: Telematics Pilot Project Overview and Discussion

In the 2015 State of Washington Safety Survey, 21% of respondents said that motor vehicle/vessel collision is one of the most common potential safety hazards they encountered.

How can agencies reduce this safety risk?

State Safety Survey

Page 45: Telematics Pilot Project Overview and Discussion

• Ask yourself: Do I ever exceed the speed limit?

• If I see the highway patrol on the side of the road, what do I do? – Usually, I become more aware of my driving

behavior.– I adjust my driving – I slow down.

• Now imagine you have a telematics device in the car—would you slow down?

Will Telematics help?

Page 46: Telematics Pilot Project Overview and Discussion

• The World Health Organization states:“controlling vehicle speed can prevent crashes from happening and can reduce the impact when they do occur, lessening the severity of injuries sustained by victims.”

• Unknown what pilot will determine.• We look forward to seeing if the pilot will

demonstrate a reduction in accidents and tort claims.

Final thoughts

Page 47: Telematics Pilot Project Overview and Discussion

Please tell us who from your agency can participate:

• Data Reporting & Management• Protected Information & Public Disclosure

Contact Bob [email protected]

Pilot Sub Teams

Page 48: Telematics Pilot Project Overview and Discussion

Frequently Asked Questions

What we’re hearing from you

Page 49: Telematics Pilot Project Overview and Discussion

Privacy

Q: Who will have access to the information captured?

A: Designated contacts in each participating agency, Fleet Operations customer account representatives and management will also have system access. In addition, we will send real time notices out to designated participating agency contact when a vehicle exceeds critical speed threshold.

Q: Is there language between DES and Verizon to protect confidential data captured by Telematics? If so, does the language comply with OCIO security standards?

A: We intend to identify and comply fully with all legal and security requirements. We are creating a sub-group with a representative from each of the participating agencies to help us understand and solve significant issues like this.

Page 50: Telematics Pilot Project Overview and Discussion

Q: How is DES planning on handling records requests (public records act, union requests for information, discovery and investigations), will they respond, leave to agencies or both?

A: In most cases we expect DES to respond to a public records request for raw data. Any such DES response will be in close cooperation with the agency whose vehicles are affected.

We expect to fully support any participating agency by providing records in response to requests made directly to that agency.

Q: How will DES disseminate tracked information to the agencies, for these records requests?

A: DES will work directly with the agency to determine the best and most appropriate way to disseminate information in response to each public record request.

Public records requests

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Q: Will agencies be notified when confidential information of that agency is requested from Telematics/Verizon or DES?

A: Yes.

Q: Will DES assert Public Records Act or other statute, including federal law, exemptions for confidential information of an agency requested under a PRA request?

A: DES will work directly with agencies to respond to public records requests and to determine and apply exemptions especially when an agency relies on one or more exemptions specific to the mission of that agency.

Vehicles will be grouped by agency and, at that agency’s direction, within the agency by subgroups . We believe this will facilitate identification of vehicles potentially subject to an exemption specific to the mission of that agency

Public records requests

Page 52: Telematics Pilot Project Overview and Discussion

Q: Regarding public records requests, there are concerns about increased workloads and costs in relation to production and redaction of database information.

A: We intend to collaborate with participating agencies to provide useful, actionable data. As part of that collaboration we can adjust reporting. Report frequency and content is the focus of a subgroup.

Public records requests

Page 53: Telematics Pilot Project Overview and Discussion

Q: How long is the tracking information maintained by DES, Agencies, and Verizon?

A: Retention Schedule: Telematics data most closely falls into the definition of “vehicle log” in the retention schedule. DES has been advised by through the state archivist that raw Telematics data has a 3-year retention schedule.

Networkfleet retention: DES is working with Networkfleet to determine the retention that best meets fleet needs which includes availability of historical data to run reports.

Agency access and restrictions: Normally DES will provide agencies with summary reports. Agencies can request more detailed reports including raw data.

Records availability and retention

Page 54: Telematics Pilot Project Overview and Discussion

Q: Will DES sign data sharing and security agreements with agencies regarding agency data collected under the pilot? What is the time-frame for having these agreements in place?

A: We intend to identify and comply fully with all legal and security requirements. We are creating a sub-group with a representative from each of the participating agencies to help us understand and solve significant issues like this.

Agency access and restrictions

Page 55: Telematics Pilot Project Overview and Discussion

Q: There are concerns about increased public scrutiny of state vehicle use and policy.

A: This is a fair point but we are committed to open government and if we choose not to utilize emerging technologies we could receive scrutiny for not progressing with other states and not managing an asset as effectively as possible.

Public transparency

Page 56: Telematics Pilot Project Overview and Discussion

Q: What location data is generated?

A: In brief: latitude and longitude.

Q: Is DES going to notify the union that employee home location information is not considered to be exempt from disclosure by DES?

A: Some residential addresses will in fact be exempt 42.56.240(13); it depends on existing valid exemptions for law enforcement.

Q: What have the unions requested?

A: The unions have requested • Pilot vehicles and baseline data• Communications plans for each agency• Agency vehicle policies

Location data/labor relations

Page 57: Telematics Pilot Project Overview and Discussion

Q: Can the system be turned off in an individual vehicle based on the use of the vehicle on an ad hoc or continuing basis?

A: No.

Q: Will there be exemptions from full implementation?

A: Exemptions will not be determined until after the pilot project has completed and we have had the opportunity to determine benefits and drawbacks of the system in action.

Q: What is the cost of implementation?

A: $185 per vehicle for the installation, $24.95 per month per vehicle for ongoing operational expense.

Operations/future implementation

Page 58: Telematics Pilot Project Overview and Discussion

Questions?

DES Fleet Operations

George Carter

360-664-9213 or [email protected]

Thank you