Title
Request to Discontinue Dockless Bikeshare Program (Ordinance G-6590)
Description
Request to authorize the City Manager, or his designee, to discontinue the current Dockless Bikeshare Program.
Report
Summary
The City Council adopted an ordinance on July 5, 2018 to allow the operation of a Dockless Bikeshare Program. The intent of this Program is to enhance safe multi-modal transportation within the City of Phoenix jurisdictional limits. In addition to its ordinance adoption, the City Council also included a requirement that by Feb. 1, 2019, dockless bikeshare companies would need to implement bike 'lock-to' mechanisms in order to be parked and locked to a fixed object.
Staff developed the Dockless Bikeshare Program by facilitating multiple stakeholders’ meetings, researching industry standards, and other municipalities’ best practices. The Program includes four key components: safety, parking, operations, and data sharing. After developing the application and permit, and securing a vendor to collect any potential abandoned bikes, the Program was finalized and open to receive applications.
Although the Program has been open for more than four months, no vender has chosen to apply. Staff contacted potential bikeshare vendors to inquire if any were interested in submitting a Program application. The vendors’ representatives expressed that the shared active transportation industry had changed drastically and the market demand for dockless bikeshare had diminished. They explained that there is no longer interest in expanding dockless bikeshare into new market areas because of increased demand for shared electric scooters.
Concurrence/Previous Council Action
- City Council approved the Dockless Bikeshare Program (Ordinance G-6474) at the July 5, 2018 Formal City Council Meeting.
- On April 23, 2019, the Aviation and Transportation Subcommittee recommended that the program be discontinued by a vote of 2-0.
Department
Responsible Department
This item is submitted by Deputy City Manager Mario Paniagua and the Street Transportation Department.