Amendment to PSA - Toole Design Group - Bike Share Feasibility Study-Business Plan

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Task S: Governance Structure Review and Business Pro-Forina One of the most important decisions for a bike share program is to determine who will own, manage, and operate the program. TDG will prepare a high-level review of different governance structures including agency, non- profit, and private business models and variations to these models. The review will summarize the different ownership structures, operating models, funding mechanisms, and identify the advantages and disadvantages of each. TDG will work with the City Project Manager to as best as possible assess potential interest in each model. There are currently two major bike share technologies operating in the U.S.: "smart dock" systems where users make payments at a kiosk and unlock bikes from a dock, or "smart bike" systems where the check-out and locking technologies are housed on the bikes themselves. Electric bikes and other technologies are also emerging in the bike share market. TDG will provide a review of the different technologies and their advantages and disadvantages. Using the proposed Service Area and Phasing Plan identified In Task 3, TOG will prepare a business pro -forma for up to a seven year period to help identify short- and long-term costs. On the cost side, the pro -forma will include an estimate of capital and start- up costs (Le., procurement of equipment and installation costs) based on current equipment costs and quotes. It will also estimate operational costs (I.e., day-to- day activities including rebalancing and maintenance of bicycles, among others) based on current information from systems of similar size and scale in the United States. Cost estimates will include options for both smart -dock and smart - bike technologies. On the revenue side, TDG will present various pricing models for consideration based on current practices around the U.S. and using these, estimate system membership, ridership, and revenues from membership and usage fees. The result of the pro -forma will be the expected cost recovery and funding needed to implement the bike share system disaggregated into capital, installation, and operating costs, which are typically funded from different sources. TOG will prepare a summary of how other case study cities have funded their programs including summaries of sponsorship, grant, and other funding opportunities in university cities we have worked in such as Eugene, OR, Purdue, IN, Raleigh, NC, Tucson, AZ, Fort Collins, CO, and others. Task 5 Deliverables: White Paper reviewing different governance structures, bike share technologies, and funding models. • Seven year business pro -forma for two scenarios (smart dock and smart bike) including: Capital and installation costs System membership and usage revenue • Operating costs Cost recovery Fundraising need Task 6: Bike Share Implementation Plan TDG will combine the work conducted in the tasks above into a Draft Implementation Plan that will include a final chapter outlining the steps (with a focus on the immediate next steps) that need to be taken to get to implementation. The draft report will be sent to the City's Project Managerfor review and distribution to other City of South Bend Bike Share Business Plan I I