At the July Council Meeting, the Council unanimously approved the authority to negotiate and bring forward to the Council a contract for services with Freebee to offer on-demand transportation services throughout the Town.
Town's current On-demand service
The Town currently spends about $75K per year to fund the operation of a free on-demand bus service.
Users are required to book rides 24 hours in advance by contacting the receptionist at Town Hall. With only one bus, trips are booked every 15 minutes; therefore, only allowing the Town to provide about 30 trips per day (average 15 people).
1. Ride must be booked 24 hours in advance
2. Ride must begin and end within Town boundaries
3. Service is provided Monday- Friday 8am-3pm and Sundays from 10:30am-12:30pm – 37 hours per week.
Currently, we do not have any restrictions on the type of users (age, disability, resident, etc.); however, most of the users are teenagers and elderly.
The current cost of providing the service via the on-demand bus is $79,500, while providing expanded service via Freebee will be $123,333.
Proposed Service Alternative
Freebee provides service in six passengers, street legal electric vehicles. To request a ride, customers can use a free app available on iPhones and Android devices for on-demand services; flag down a Freebee vehicle; or use the call ahead reservation system. Rides are free to passengers; service is funded through a revenue sharing agreement on advertisement sales. All advertisements will be subject to the Town's approval and revenues are shared 50/50. Revenues from ads can be used to subsidize the cost of the service or as the Town sees fit.
Freebee currently provides services in the following areas: Key Biscayne, Miami Beach, Coral Gables, Downtown Miami and the Brickell area.
Our goals with Freebee is to not only maintain the current level of service but also provide an increase level of service to the community, therefore instead of having only one vehicle, we will start the operation with two vehicles providing service during the same hours as we currently provide.
Monday - Friday, 8am - 3pm Daily (14 Hours Daily) 2Vehicles Full Time - $123,333/year.
**If advertising subsidy is secured, the annual cost can be subsidized an additional $24,000 - $48,000 bringing the annual total to $99,000 - $75,000 per year.
The agreement will Freebee will also provide other benefits to the Town, such as:
1. Marketing opportunities: Freebee will provide additional marketing opportunities to the Town at no cost.
2. Banner ads on mobile app
3. Onboard screen(s)
In addition, Freebee is willing to provide all marketing materials including flyers and videos to promote the service at no cost to the Town. See samples of marketing materials created for the City of Coral Gables attached and video: https://vimeo.com/221473697/872c4684b3
2. Economic Development tool: The Freebee app also serves as an economic development tool
1. Supports local businesses: The Freebee app hosts a “Deals” section that allows the Town's local businesses to submit deals and specials directly to Freebee that then get posted to the app at no cost to the businesses.
2. Points of Interest: The Freebee app includes a “Places to Bee” section that is customized to each of their service areas. The Town will have the ability to submit information about the Town's attractions including events, parks, facilities, hotels, restaurants, etc.
3. Social Media: Nicknamed “The Hive”, the Freebee app also includes a section where selfie photos taken on the rides are hosted. These photos are also often shared on Freebee's social media sites.
4. Brand Ambassadors: Freebee's drivers serve as Brand Ambassadors for the Town.
This program intends to reduce the number of vehicles on the road minimize gridlock, link the Town's public transportation systems, and provide a convenient way for people to travel inside of Miami Lakes.