Business

Taxi, Uber drivers query city officials on proposed regulations

Emily Smith, who drives for Uber in Tacoma, extolled the benefits of being an Uber driver during a community meeting about a proposed ride-sharing ordinance at Olympia City Hall Wednesday night. She and her husband both drive for Uber, she said.
Emily Smith, who drives for Uber in Tacoma, extolled the benefits of being an Uber driver during a community meeting about a proposed ride-sharing ordinance at Olympia City Hall Wednesday night. She and her husband both drive for Uber, she said. rboone@theolympian.com

About 20 taxicab and Uber drivers gathered at Olympia City Hall on Wednesday night to question city officials about a proposed ordinance to regulate ride-sharing services in Olympia, Lacey, Tumwater and Yelm.

Questions asked by the cab drivers showed that they most want the ordinance to create a level playing field between their services and those offered by Uber, while the Uber drivers in the audience wished that elements of the ordinance could be more streamlined.

Despite some concerns, the audience listened closely, asked a lot of questions and appeared to leave the two-hour meeting satisfied about the proposal.

Olympia Assistant City Manager Jay Burney led the meeting. He was joined by representatives from Lacey, Tumwater and Yelm.

The four cities have taken a uniform approach in regulating taxicab companies and drivers, and they decided to do the same with the ride-sharing businesses. Taxi services, however, will not be subject to the ride-sharing rules, but will still be regulated under an occupational permit process, Burney said.

Some aspects of the proposed ride-sharing ordinance:

▪ The ride-sharing companies will have to get a business license in each jurisdiction, as well as pay an annual licensing fee in the range of $1,000 to $3,000. It is set that high to cover the cost of another ordinance proposal — twice-annual audits of Uber drivers, Burney said.

▪ Uber drivers also will have to get a business license in each jurisdiction if they have rides that originate in those cities. For example, an Uber driver from Tacoma who drops off a customer in Olympia would not have to get an Olympia business license. But that driver would have to get a license if they picked up a customer in Olympia, Burney said.

▪ Uber drivers will not be allowed to accept street hails, unlike taxicabs.

Some Uber drivers wished that one business license could cover the entire county, but Burney said the four cities weren’t in a position to rewrite their business license codes. Unincorporated Thurston County also doesn’t have regulations in place for for-hire vehicles, he said.

Some cab drivers asked questions Wednesday night, but Uber presented a united front, including drivers who attended from Tacoma as well as Jonathan Hopkins, operations and logistics manager for Uber in Washington state. He said the average Uber driver treats the job like part-time work, putting in 11 to 14 hours per week.

He also touted the company’s background search process — a DUI, a reckless-driving charge or driving without a license or insurance will disqualify a driver — plus checks and balances are built into Uber’s app-based service: drivers review passengers; passengers review drivers.

“I’m very proud to be driving for Uber,” said Anna Carr, who said she retired from Pierce County Transit and has been driving for Uber since June 2015.

But Bruce Wooden, the owner of DC Cab in Olympia, said he’s worried that the ride-sharing ordinance is nothing more than a Trojan Horse and the rules will eventually apply to taxicab companies. He said he can’t afford an annual licensing fee in the range of $1,000 to $3,000.

“I’m worried it’s going to trickle down to us,” Wooden said.

Another cabbie’s question struck right at the heart of capitalism: Uber apparently costs less than your typical taxi ride, so will the ride-sharing ordinance set per-mile rates for Uber drivers?

The city doesn’t set per-mile rates for taxicab companies and won’t be doing that for the ride-sharing companies, Assistant City Manager Burney said.

Others pointed out that there’s no enforcement mechanism in place for Uber drivers who are already doing business in the county.

“We’re moving as quickly as we can to get regulations in place,” Burney said.

He expects the ride-sharing ordinance to go before the four city councils in the next 30 to 60 days.

This story was originally published March 9, 2016 at 11:55 PM with the headline "Taxi, Uber drivers query city officials on proposed regulations."

Get unlimited digital access
#ReadLocal

Try 1 month for $1

CLAIM OFFER