In 2015, the Regional Transportation Commission (RTC) finalized a Bike Share Feasibility Study to explore bike share options in the Truckee Meadows. The City of Sparks staff has continually been a participant in the regional approach to learning about bike share and the potential feasibility within the region. Following a Community Bike Share Forum in August 2017, where more than 60 participants, including public officials, expressed support for implementing a bike share system in the Truckee Meadows region, an Industry Review was scheduled. 

In November 2017, the regional working group conducted a 2-day Bike Share Industry Forum. The purpose of the forum was to learn more about the alternative bike share operating models and equipment, and to investigate what type of program could be best for our region.  The forum supplements information in the Bike Share Feasibility Study, which was completed before the privatized dockless bike share business model became available in the United States. Three types of bike share operating models were reviewed at the forum:

• Station-based – requires bike check-in/check-out at kiosks and is publicly funded.
• Smart bike – requires bike check-in/check-out at designated bike racks and is publicly funded.
• Dockless – bikes may be checked-in/checked-out at any location.  No racks or designated parking areas are required.  This system type is privately funded.

Publicly funded systems (station-based or smart bike) could be operated by the RTC and capital costs funded through a Transportation Alternatives Set-Aside grant.  Ongoing operations would be funded through private sponsorships.  Dockless systems are privately funded and would require permitting or an exclusive right to operate through the local jurisdictions.  RTC would have no management/oversight role with a dockless system. The review panel recommended a dockless bike share pilot program for the Truckee Meadows to test this new operating model for the region. 

On January 8, 2018, the Sparks City Council voted to support moving forward on implementing a pilot regional dockless bike share program.

On March 12, 2018, the Sparks City Council approved an Interlocal Agreement with the City of Reno, Washoe County, and the University of Nevada, Reno to participate in a pilot dockless bike share program. The City of Reno solicited funds from the RTC to hire a bike share consultant with national expertise to aid in developing the bike share program and any necessary Agreements needed to help ensure protection of the Entities and to ensure the best chance of success for the project. The City of Reno hired Bantam Strategies to facilitate implementation, procurement documentation, Ordinance review, staff training, and develop an education and outreach plan. On behalf of the Participating Entities, the City of Reno released a Request for Qualifications (RFQ) and solicited vendors for the Dockless No Cost Bike Share Equipment and Operations pilot program. Participating Entities in the Agreement had the opportunity to provide comment of the RFQ before its release and participated in contractor selection through scored voting. Four proposals in response to the RFQ were received. Through a scored review process, LimeBike was selected as the single, exclusive contractor for the regional pilot program.

The Franchise Agreement lays out the specific terms of the project. Bantam Strategies worked with the Participating Entities and LimeBike to ensure that the Franchise Agreement for the pilot dockless bike share project gives the project the best chance of success and reflects lessons learned in previous projects throughout the nation. Participating Entitles in the Interlocal Agreement worked together to create a master Franchise Agreement document to start modifications from. It was the intention of the team to make each Agreement as similar as possible to ensure a smooth pilot project region wide. The requirements reflected in the Franchise Agreement reflect the recommendations set for in the North American Bike Share Association through its Dockless Bike Share Regulation Guidance document published in January 2018, as well as from the best-in-class regulations developed by other cities across the nation.

This Franchise Agreement lays out specific terms and conditions for use within the City of Sparks.

The Franchise Agreement for dockless bike share addresses the following conditions and requirements:

·         A term commencing on the Effective Date and expiring on January 31, 2019.

·         A potential extension of the pilot program for one year from the Expiration Date.

·         Termination of the Agreement if necessary.

·         Franchise fee.

·         Equipment requirements that reflect national and state safety laws for bicycles, electric bicycles and electric scooters.

·         Mobile application and technology requirements.

·         Parking siting plan, and parking requirements.

·         Annual user survey.

·         Data collection and reporting, and record keeping.

·         Customer service and service complaints and resolution.

·         Relocation of bicycles, and system rebalancing and maintenance, including during emergency events.

·         Marketing, outreach and education.

·         Rates that include a student and senior discount, low-income discount, and bulk purchase discount for companies that offer bike share memberships as an element of their commute trip reduction program.

The Participating Entities will either present a Franchise Agreement to their Commission, Council or Board for approval or participate in the City of Reno’s Franchise Agreement for dockless bike share through a Joinder. The service territory is defined through a map provided by the Truckee Meadows Regional Planning Agency of the Truckee Meadows region that includes the City of Reno, City of Sparks, Reno-Sparks Indian Colony tribal lands and Hungry Valley, and areas of Unincorporated Washoe County. The Franchise fees will be allocated equally between the five Participating Entities for the duration of the pilot program. At this time, the number of bikes to be allocated to the area is undertermined.

Should this Franchise Agreement be approved, a public educational campaign will be launched to help inform the public of what they can expect. The Participating Entities have tentatively identified May 13 as the launch date for the dockless bike share pilot program to coincide with Bike Week, May 13 – 18, 2018. During Phase I over the first 30 – 60 days, LimeBike will deploy an initial fleet of 750- 1,000 bicycles. The initial fleet is intended to help LimeBike determine topographic, geographic and sociographic conditions to develop future products and quantities.

The Franchise Agreement or Joinder is anticipated to be presented to the Councils, Commissions or Boards of the Participating Entities for approval on the following dates:

·         April 10, 2018 – Washoe County

·         April 11, 2018 – Reno-Sparks Indian Colony

·         April 25, 2018 – City of Reno

·         Prior to April 23, 2018 – University of Nevada, Reno

Prior to launch and throughout the pilot program, LimeBike and the Participating Entities will implement a comprehensive outreach and education communications campaign. The campaign will promote bike share, educate users on bicycle safety, bicycle etiquette and bicycle parking behavior, and communicate the benefits of bike share to the community, as well as users.

The Franchise Agreement, in its entirety, is attached.

1. City Council could approve the Franchise Agreement as outlined by Staff.
2. City Council could reject the Franchise Agreement and provide direction to the City Manager.

I move to approve the exclusive Franchise Agreement with Neutron Holdings, Inc, DBA LimeBike for a regional dockless bike share pilot program.