Lime Scooter Company Leaves Tempe

Published: Tuesday, February 12, 2019 - 4:29pm
Updated: Wednesday, February 13, 2019 - 9:05am
Mariana Dale/KJZZ
ASU started impounded dockless scooters left on its campus in late 2018.

Transportation rental company Lime is pulling its scooters from Tempe.

The city is one of several in the Phoenix area that recently passed regulations on the scooter-sharing companies.

“This is kind of a unique system where they’re using public property to stage and operate their business, and there’s gotta be some sort of cost that goes along with that,” said Randy Keating, a Tempe councilman who helped craft the regulations which include fees and data sharing with the city.

Two other shared vehicle companies have submitted applications to operate in Tempe. A city spokesperson was unable to release the names of the companies.

Lime wrote in a letter to Tempe’s City Council that the $1-a-day fee was too high.

The company also pointed out the liability agreement, which requires operators to acknowledge the scooters are “inherently hazardous.”

“I understand that they have their issues and their concerns and that’s their right as a private business but they were very much involved in everything that the city of Tempe passed,” Keating said. 

Keating said the city was losing money and resources managing the scooters on public property.

“People don’t realize the secondary and tertiary costs to having these operate in Tempe,” Keating said.

For example, maintaining city sidewalks and enforcing laws.

The city of Tempe released this statement:

“Since Tempe City Council passed the Shared Active Transportation Vehicle license on Jan. 10, the city has received two applications, both of which are in review and currently pending. Although Lime chose to be a part of the stakeholder process, they have chosen not to apply for a license. While we regret that Lime feels they are unable to operate in Tempe under the current license conditions, the city does believe the insurance, fees and other requirements are fair and necessary to ensure the scooter companies operate in a way that ensures community safety and equal access. 

“The license requires a per vehicle per day fee for use of the right of way. Revenue from this fee will be used to ensure Tempe’s streets and sidewalks are safe for all users by targeting safety outreach messages and Police Department education and enforcement. These funds could also be used to help improve Tempe sidewalks and streets, as well as fund future bicycle and pedestrian projects. 

“The SATV license is a work in progress. We will continue to monitor and evaluate the success of the license and we will continue to work with stakeholders to ensure we are offering a safe, equitable and sustainable modes of transportation within the city.”

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