As mentioned earlier today in this morning's commute, NYC's bike sharing system will be called CitiBike by CitiBank. A few other local blogs have written about this today as well.
Lydia DePillis notes that even though the ad deal covers the cost of the system, NYC will still be charging users more for the system than DC does.
The base rates are $10 per day, $25 per week, and $95 per year, plus $4 per hour and more beyond the first 30 minutes
As she notes, it's not a bad idea for the system to make money in the beginning so that it can expand faster; though eventually I think the goal should be to get to a revenue neutral position, which is what DDOT says their goal is - though I'm not sure about other jurisdictions. But it's also possible that this is more of a congestion charge than anything. Making the system too cheap could overwhelm it. [Couple of nits: She keeps calling SmartBike a failure - which I of course disagree with, but we'll just have to agree to disagree; and she erroneously writes that SmartBike was run by Comcast, when actually it was ClearChannel.]
Felix Salmon also worries the program is too expensive. I personally doubt they'll have a lot of trouble getting people to use it. The annual cost is still way cheaper than anything else, and while the single day cost is expensive, it is likely to be used mostly by tourists who will likely make several trips a day anyway.
Meanwhile, Alexis Garcia at conservative blog Town Hall is still mostly upset that Citibank got a bailout,
Mayor Michael Bloomberg says the program will operate at no cost to the taxpayers, but that claim is laughable considering the billions taxpayers pumped into the too-big-to-fail bank following the 2008 financial crisis.
So is this the wisest expenditure of bailout money? I think most consumers would prefer Citigroup to pay back their debt or lower ATM fees over bikes, but you can be the judge of that.
Of course, Citicorp paid it back nearly three years ago and, in fact, the government turned a profit on it - which means none of this is bailout money. Conservatives don't like spending government money on bike share, but Garcia doesn't even want to see a company that once got help from the government (without costing the government a dime) buying advertising on a bikeshare system - which she calls derisively "TARP getaway bikes". I wonder if she feels that way about other advertising. She's had 3 years to complain about Citicorp ads on TV, but has she? Who could sponsor bike sharing and still have it be OK with her? Does she so hate the idea of bikesharing that any funding scheme will be suspect?
Though somehow, the idea of setting thousands of tourists loose on government-owned bikes onto the streets of Manhattan seems like a counter-intuitive plan for reducing the city's traffic woes.
Well, most of the riders won't be tourists - so that's a mischaracterization. And there is plenty of research out there showing that cyclists reduce congestion.
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