TITLE
Recommendation to adopt resolution authorizing City Manager, or designee, to execute an agreement with Social Bicycles, Inc., of Brooklyn, NY, and any necessary amendments, for the purchase of bicycles, station racks, and associated parts and equipment for the expansion of the Long Beach Bike Share Program, in an amount not to exceed $1,500,000, for a period of three years, with the option to renew for two additional one-year periods, at the discretion of the City Manager; and
Increase appropriations in the Transportation Fund (SR 182) in the Public Works Department (PW) by $1,500,000, offset by Proposition A funds available. (Citywide)
DISCUSSION
City Council approval is requested to adopt a Resolution authorizing the City Manager, or designee, to execute an agreement with Social Bicycles, Inc. (SoBi) for the purchase of new bicycles and associated equipment to expand the Long Beach Bike Share Program (Program) into the communities of North Long Beach, Bixby Knolls, and Wrigley. The City developed and established the Program in March 2016 and has had success with over 22,000 members taking 106,800 bike trips and accumulating 277,600 miles ridden in the past two years.
A Request for Proposals (RFP) is in progress to solicit and award a contract with a permanent Operations and Maintenance (O & M) provider who will continue to maintain the Program and assist the City with expansion of the system into North Long Beach, and eventually citywide.
SoBi operates a proprietary system of dockless bicycles and associated backend software (system) that are utilized locally in Long Beach, Beverly Hills, West Hollywood, Santa Monica, and on the UCLA campus. The system is also utilized in San Francisco, CA; Washington, D.C.; Tampa, FL; Atlanta, GA; Long Beach, NY; Portland, OR; and over two dozen other cities across the country. SoBi continues to grow and expand their system throughout the nation and is in the process of launching new systems in Sacramento and Santa Cruz, CA; New Orleans, LA; and Eugene, OR.
The system is made available to the public through memberships sold on the kiosks, via a mobile application, or on the Long Beach Bike Share website. Once a member, the bicycles are accessible by entering a personal code on the bicycle’s touch pad, unlocking the bicycle, and taking it for a ride. The bicycle can be returned anywhere within the network (all stations are delineated on the Program website or mobile app), or locked outside of a station for a small fee. The City’s membership fees are offered at a rate consistent with other bike share systems in the region and fees are intended to offset the costs of operation and maintenance.
To expand the system, additional bicycles, kiosks, and station racks need to be ordered. Site selection for the stations will need to take place over the course of several months. It is expected once the bicycles and equipment are ordered, it will take the vendor six months to manufacture and ship to Long Beach. If approved, staff will work with the vendor to immediately process an order in anticipation of having the bike share system expansion in place before summer of 2019.
City Charter Section 1801 requires that contracts for City purchases be awarded to the lowest responsible bidder after a competitive bid process, but allows for awards without a competitive bid process if accompanied by a Resolution adopted by the City Council.
A sole source exception is requested for contracting with Social Bicycles, Inc., as compatible bicycles are only available from this vendor. Each bicycle carries a proprietary, on-board computer and cell phone that links each bicycle to the solely-owned SoBi network software and operating system. Therefore, no useful purpose would be served by advertising for bids, and to do so would be an unnecessary expenditure of City resources.
This matter was reviewed by Deputy City Attorney Amy R. Webber on February 15, 2018 and by Budget Analysis Officer Julissa Jose-Murray on February 27, 2018.
TIMING CONSIDERATIONS
City Council action is requested on March 13, 2018, to ensure the agreement is in place to allow for the ordering and delivery of equipment in a timely manner.
FISCAL IMPACT
The total estimated cost for the purchase of bicycles, station racks, and associated parts and equipment is $1,000,000. Approval is requested to increase appropriations in the Transportation Fund (SR 182) in the Public Works Department (PW) by $1,000,000, offset by Proposition A funds available. There is no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
BODY
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Respectfully Submitted,
CRAIG A. BECK
DIRECTOR OF PUBLIC WORKS
APPROVED:
PATRICK H. WEST
CITY MANAGER