Franchise Agreement with the City of Indianapolis: A New Approach to People Mover Implementation in American Cities

Under a Franchise Agreement with the City of Indianapolis, Indiana, Jakes Associates, Inc. (on behalf of Clarian Health Partner, Inc.) is implementing an urban private transit system on a public right-of-way. This project is a result of our three-year effort to transfer our Las Vegas transit implementation experience into a typical American downtown setting. The Health Care Transportation Franchise Agreement between the Consolidated City of Indianapolis, Marion County, Indiana and Clarian Health Partners, Inc. is the first ever conceived. There have been various franchises awarded over the years, but no one has ever attempted to enter into a long-term transportation Franchise Agreement with private industry other than a transit supplier or a consortium. This is a truly innovative approach that may result in bringing many People Mover systems to urban settings in a rapid manner without using public funding. This unique concept is based on economic vitality (through improving employee productivity) of cost efficient People Mover systems. The paper focuses on the political process including the Mayor's office, all local authorities having jurisdiction, and also neighborhood associations that have played important roles. It also presents the implementation concept of the system, including the unorthodox procurement method that allowed the introduction of new technologies. The system is under construction and will open in November 2002.