Manufacturer Of Self-Driving Shuttle Buses Setting Up HQ In RivCo

RIVERSIDE, CA — An international manufacturer of autonomous mini shuttles will be setting up headquarters and a manufacturing plant in the city of Riverside next year under an agreement loaded with $2.5 million in taxpayer- backed incentives.

The City Council cinched the compact with Goldenrod, Florida-based Ohmio Inc. in a unanimous vote Tuesday.

"Riverside is emerging as a global center for clean and green technology, and Ohmio is the next step in that evolution," Mayor Patricia Lock Dawson said. "This company provides an important building block for Riverside's future economy."

Ohmio currently operates all-electric autonomous buses designed to carry eight to 14 passengers in Australia, Luxembourg, New York City, New Zealand and South Korea.

The shuttles are programmed to travel up to 25 mph and make stops along specified routes, according to city officials.

"There is a great promise in these autonomous shuttles complementing our existing transit system by bridging gaps and improving connectivity," Councilwoman Erin Edwards said. "Riverside has an opportunity to show the world how autonomous shuttles can improve public transportation and reduce the environmental impacts associated with travel."

The new accord obligates the city to pay $1.5 million for the lease or direct purchase of three Ohmio shuttles, as well as appropriate up to $600,000 to cover maintenance and repair costs, electrical expenses and insurance for the shuttles, while another $400,000 will be budgeted for the training of personnel who will operate the systems, according to the terms.

In return, Ohmio will lease a 30,000-square-foot facility to serve as its new HQ, research and development and manufacturing plant within the city limits. The lease must be a minimum of three years long, with options for two three-year extensions.

One of the motivations for Ohmio executives selecting Riverside as the company's new base of operations was the close proximity to the California Air Resources Board HQ just north of UC Riverside, officials said.

"The company expects to work closely with representatives from UCR, its Center for Environmental Research & Technology, Cal Baptist University, La Sierra University and the Riverside Community College District," according to a city statement.

Municipal officials anticipated that Ohmio's business could generate between $1.65 million and $2.25 million in sales taxes from sales worldwide over a five-year span. Each vehicle sells for upwards of $300,000, resulting in about $26,000 in sales tax receipts per shuttle, officials said.

"The company expects to create seven jobs initially, from engineers to technicians, and expand during the next three years to at least 25 jobs," the city stated.

The shuttles will not displace Riverside Transit Agency buses. However, the exact routes that the vehicles will serve are still under consideration.