NYC SAYS CITI BIKE WILL GENERATE $36 MLN IN ECONOMIC ACTIVITY

     (The following press release from the NYC Department of Transportation was 
received by e-mail. The sender verified the statement.) 
NYC DOT AND NYC BIKE SHARE ANNOUNCE THAT CITI BIKE WILL GENERATE $36
million IN ECONOMIC ACTIVITY, CREATE 170 NEW JOBS 
Economic projection based on first wave of permanent jobs supporting
Citi Bike  
New York City Department of Transportation (DOT) Commissioner Janette
Sadik-Khan today announced Citi Bike is expected to create 170 jobs and
generate $36 million in local economic activity annually. NYC Bike Share
(NYCBS)  has worked with a wide range of community and local employment
organizations to recruit New Yorkers for positions from station
assemblers to bicycle mechanics to customer call-center staff. These new
hires will support the operation of 6,000 Citi Bikes at 330 stations in
the initial service area, which includes streets south of 59th Street in
Manhattan and adjacent neighborhoods in Brooklyn. These 170 permanent
positions will contribute an estimated $36 million to New York City's
economy each year as wages are spent and invested locally. When the
system expands to 10,000 bikes, Citi Bike is expected to fill dozens
more permanent positions, with all jobs paying competitive hourly wages.
The system is supported without taxpayer subsidy by $41 million in
sponsorship from Citi, $6.5 million from MasterCard and financing from
the Goldman Sachs Urban Investment Group. NYCBS is using the Goldman
Sachs financing to purchase the equipment, stations and other ongoing
capital requirements. 
"Even before New Yorkers kick the tires of the Citi Bike fleet, bike
share is kick-starting employment with jobs for New Yorkers," said
Commissioner Sadik-Khan. "Citi Bike will help New Yorkers reach their
destinations quickly and make more neighborhoods, businesses and jobs
more accessible."  
"Citi Bike will help move people and our economy," said Kathryn Wylde,
President & CEO of the Partnership for New York City. "Citi Bike will
encourage expansion of tourism and patronage of neighborhood businesses
across the city, without the hassle of car traffic and parking." 
"Citi Bike will offer New Yorkers an affordable way to get around today
and contributes to the green-collar job base of tomorrow," said Dan
Cantor, Executive Director of New York's Working Families Party. "It's a
new sector based on New York's strength as a growing biking city, and
today every job matters." 
"We are proud to support this small business which will employ 170
people and encourage safe and healthy bike-ridership in neighborhoods
from Bedford-Stuyvesant to Lower Manhattan," said Lloyd Blankfein,
Chairman and CEO of Goldman Sachs. "This important partnership between
the private sector and the Department of Transportation represents the
largest privately financed bike share program in the world." 
To support Citi Bike, NYCBS recently leased more than 39,000 square feet
of space in Sunset Park, Brooklyn. The site will serve as the bike-share
system's main facility and headquarters, with dedicated space for
repairing the bicycles and a call center for Citi Bike-user support. The
company also currently rents a 77,000-square-foot warehouse with another
43,000 square feet of lots in Greenpoint, Brooklyn, where components are
being assembled into stations ready for deployment on city streets.
NYCBS already has hired 170 employees to assist with the system's roll
out and related operations. Areas of responsibility include community
outreach, bicycle assembly and maintenance, station and IT technology,
and administration, management and finance. 
"Not only does Citi Bike offer New Yorkers a fun and healthy way to get
around, it is also providing a boost to our local economy," said Council
Member Stephen Levin. "I am excited about the launch of Citi Bike and
equally excited that the working people and small businesses of New York
City will benefit as well." 
"The Citi Bike program is changing how we look at transportation in
Brooklyn," said Council Member Letitia James. "In addition to the health
benefits associated with biking and the decrease of vehicular traffic,
the program is expected to strengthen local business and create jobs
throughout New York. This is truly an exciting program, and I thank
Commissioner Sadik-Khan for bringing Citi Bike to Brooklyn." 
The finding that nearly $36 million will be generated annually by the
company's first 170 jobs is from a New York City Economic Development
Corporation analysis of how Citi Bike salaries, wages and purchases
stimulate economic activity in New York City, based on factors developed
by the U.S. Bureau of Economic Analysis. 
In addition to job creation, Citi Bike's launch shows promise in
enhancing the local economies of the neighborhoods it serves. DOT's 
Measuring the Street
<http://www.nyc.gov/html/dot/downloads/pdf/2012-10-measuring-the-street.pdf>  
report, issued this fall, documented the significant impact
transit improvements and better street designs can have on real estate
values and local economies. Select Bus Service along First and Second
Avenues in Manhattan, for example, showed 47% fewer commercial vacancies
following implementation compared to boroughwide data. Along Manhattan's
Ninth Avenue, the site of DOT's and country's first protected bike path,
retailers saw up to a 49% increase in sales versus other locally based
businesses throughout the borough. 
For more information about bike share, visit nyc.gov/dot
<http://www.nyc.gov/dot>  and citibikenyc.com <http://citibikenyc.com/>
. NYCBS  job openings can be found on the Citi Bike Web site.  
(rml) NY