TEMPE, Ariz. — Lime is pulling its scooters out of Tempe, according to a letter authored by the company on Tuesday.
"Given our strong relationship with the Tempe community and growing rider demand in the city, it is with great disappointment that we have made the difficult decision to pull scooters out of the City at this time," Lime said in a letter sent Tuesday.
The letter sent to the City of Tempe cites issues with liability and the cost to operate in the city's license agreement.
The rental scooter company says the liability requirements Tempe is imposing go "beyond those in other cities" and forces operators to "take on risk well beyond their control."
Lime also says that Tempe is demanding too much money to operate in the city. The letter claims the city requires each rental company to pay $1.06 per scooter per day, which would be one of the highest rates in the country.
Lime is only pulling out of Tempe and will still operate in neighboring Mesa and Scottsdale. In the letter to Tempe, the company also pointed out that Scottsdale does not charge anything to operate in the city.
The company says over 80,000 people in Tempe have ridden Lime’s bikes and scooters.
Read the full letter Lime sent to the City of Tempe below.
12 News reached out to the city of Tempe on the decision and did not immediately hear back. Vice Mayor Lauren Kuby expressed her disapproval of how Lime operates on her Facebook page.
