Metro Transit carshare bill proposed after HOURCAR closes

Minnesota Representative Katie Jones is preparing to introduce a bill to the 2027 legislative session that would authorize Metro Transit to operate a carshare program. The proposal aims to replace the services provided by the HOURCAR non-profit, which announced the end of its operations in early October.

On Oct. 8, HOURCAR confirmed that its carshare programs, HOURCAR and Evie, will cease operations after 21 years in the Twin Cities. The non-profit cited a funding gap of $625,000 as the primary reason for the closure. Rising insurance costs and the loss of state and federal grants contributed to the financial shortfall.

More than 4,000 active members in the Twin Cities are now seeking alternative transportation options. Jones argued that Metro Transit has a direct interest in maintaining carshare availability. She stated that former members might purchase private vehicles if they cannot access shared cars, which would reduce their use of public transportation.

Jones also expressed concern about the environmental impact and personal financial costs associated with adding thousands of new vehicles to local roads. She believes a transit-run program would keep these cars off the road while supporting riders who rely on shared mobility.

Neighbors for Community Carshare is working with Jones to promote the legislative effort. Noah Velick, a former HOURCAR employee and member of the group, said the organization is also seeking immediate funding from local city and county leadership. The group hopes to use HOURCAR’s existing fleet to continue operations while waiting for the new bill to pass.

HOURCAR had raised prices in 2025 and received supplemental funding from Minneapolis and St. Paul, but the financial gap remained too large for the non-profit to cover. The organization’s announcement stated that it believed it could solve the funding challenge without disrupting service until recently.

Susan Van Pelt, a 63-year-old Minneapolis resident, relied on HOURCAR for nearly 20 years. She lives on a fixed Social Security and disability income and does not have the funds to own and maintain a car. Van Pelt said she values the program’s environmental benefits, particularly Evie’s fully electric fleet.

“If you don’t need to own a car and pollute and use fossil fuels, don’t do it,” Van Pelt said. She noted that while she can use public transportation for daily needs, she will likely rely on more expensive ride-share services like Uber and Lyft for longer trips and large grocery runs.

Velick said many former users are considering buying cars even if they cannot easily afford them. “They can’t get to their medical appointments, or they can’t go grocery shopping easily without a car,” Velick said. He added that some residents are making sacrifices in other areas of their lives to purchase new vehicles.

An Oct. 13 rally brought more than 100 community members together to advocate for the continuation of HOURCAR’s programs. Olu Famile, who moved to the Twin Cities in 2022, attended the rally. He has been using HOURCAR since his arrival and said he is now staying home more often to avoid complicated transportation arrangements.