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Vancouver BIXI plan faces further scrutiny

Bixi financial books were opened this week for a bankruptcy hearing.

Vancouver’s proposed BIXI bike-share plan, slated to launch in the summer of 2014 after late-2013’s target date was moved because of contract snags, faces further scrutiny as some see the project as a potential waste of time and money. Most recently, city councillor George Affleck of the Non-Partisan Association party has worried publicly about the financial troubles of BIXI’s parent company PBSC, a subsidiary of the City of Montreal.

Both Montreal and Toronto have had to put more money into the company, Montreal via a $108 million bailout package, and Toronto through a $3.7 million startup loan. The City of Vancouver had approved $6 million in startup costs and a commitment of $20 million over ten years. So far $50,000 has been spent on researching helmet distribution in compliance with British Columbia’s laws.

Affleck says he wants his fellow councillors to “put the brakes” on the program until it can be further scrutinized for financial viability and wants to see a detailed report on how much the city has invested so far.

Vancouver’s BIXI program was supposed to be up and working by now, with Portland-based Alta Bicycle Share running it, but no deal has been signed yet. BIXI Vancouver was supposed to be ushered in with 250 bikes distributed from 25 stations downtown, with 1500 machines planned for distribution from 150 stations when the program is in full swing.

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