City of Gainesville - File #: 160886.

• File #: 160886.
• Version: 1
• Type: Discussion Item
• Status: Passed
• File created: 3/21/2017
• In control: City Manager
• On agenda: 4/20/2017
• Final action: 4/20/2017
• Title: Request to Extend the Bike Share Contract (B) This is a request to extend the bike share agreement with Zagster, the service provider, for a two-year term.

Date	Ver.	Action By	Action	Result
4/20/2017	1	City Commission	Approved, as shown above	Pass

Title

Request to Extend the Bike Share Contract (B)

This is a request to extend the bike share agreement with Zagster, the service provider, for a two-year term.

Explanation

The City implemented a bike share program pursuant to funding of a pilot program by the City Commission in FY15. The initial funding allocation of $34,000 allowed for the launch of a system with 16 bicycles distributed over 2 stations, one at the Bo Diddley downtown plaza and one at the intersection of the Sixth Street Trail and SW 2^nd Avenue. The system went into operation in May 2016. In August 2016 the system was expanded to 22 bikes distributed over 4 stations with Transportation Mobility Program Area (TMPA) funds. The new stations were located at the Rosa Parks Transit Transfer Station in the vicinity of Depot Park, and one at the intersection of SW 13^th Street and SW 3^rd Avenue in the vicinity of the University of Florida campus.

Since inception on May 7, 2016 to March 15, 2017 the system carried 1,096 trips, with an average of 4 trips per day; a total of 502 users were registered as active users; 44% of riders over this period were repeat riders. 92% of active users prefer the hourly membership rates; 7% opted for the annual membership and only 1% opted for the monthly option. As shown in the attached 2016 usage report, the annual members tend to ride more than the other groups. Overall the average system usage is slightly higher over the weekends. The attached report provides a snapshot of the system activity during 2016 and an overview of the marketing plan to continue to enhance usage.

The contract extension will include a system upgrade that will change the locking mechanisms, update the station signs, and upgrade the bike baskets with additional advertising space.

Fiscal Note

The total cost for the two-year extension is approximately $62,000 to be paid in two annual installments. During the FY17 budget process the City Commission allocated $28,000 for the continuation of the system operation. Between May 2016 and December 2016 the system generated approximately $3,600 in user fees. Zagster disburses the revenues to the City on a quarterly basis. It is expected that the user fees plus the recurring operating fund allocation will be sufficient to cover the costs of operations for the two-year period.

Recommendation

The City Commission authorize the City Manager or designee to extend the contract for a two-year term.