Uber claims that its ride-share service UberX is faster, cheaper and more convenient than taxis. At first glance the benefits seem obvious. Riders can sign up for the mobile app and instantly request a ride.Updated
Story updated at 8:13 p.m. with additional context on Orlando’s efforts to regulate ride-sharing services.
The Chattanooga City Council punted on ride-sharing regulations today until at least next week, after a presentation by City Attorney Wade Hinton left council members with more questions than answers. City Councilman Chris Anderson made the motion to defer, which passed based on what the council agreed was a lack of information on the upstart cloud-based service.
Unlike traditional taxis, Uber users can sign up for a mobile phone application and summon a ride to their location. Uber says its service is faster, cheaper and more convenient than taxis. But municipalities have struggled to regulate Uber, which taxi services have said should be subject to the same rules as conventional ground transportation. Uber says those rules can hurt customers in the name of fairness, and stymie innovation.
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For instance, Uber and Lyft drivers in Orlando – which is facing a similar debate – must now charge customers higher base fares than traditional taxi drivers, and aren’t allowed to pick customers up at the airport, stipulations that Orlando Mayor Buddy Dyer said were to ensure customers’ safety. Critics have scoffed at that assertion, which they referred to as a “protection provision” for a local taxi giant.
On Tuesday in Chattanooga, audience members were given time to speak to the council members about any of their concerns or suggestions about regulating Uber.
About a dozen people spoke at the council meeting, many of them Uber drivers. Some spoke of bad experiences their clients purportedly had with taxi services in the area.
Uber claims that its ride-share service UberX is faster, cheaper and more convenient than taxis. At first glance the benefits seem obvious. Riders can sign up for the mobil eapp and instantly request a ride. You can see how far away the closest driver on your phone. Enter your credit card info once and no cash is ever exchanged.One driver said a client told her she’d heard “horror stories” from her clients. Others detailed alleged price gouging going on with local taxi services. Several said the city needs to “embrace change.”
After several drivers told such stories, Councilman Yusuf Hakeem interrupted.
“If you look at the city of Chattanooga, I think it’s pretty obvious indeed we do embrace change, but we don’t allow people to tell us how to operate,” Hakeem said. “To me, it’s some degree of arrogance to come up here with that mindset … Speak of the positives that you see in your business. Don’t talk down other people.”
After this, A.J. Howard, a driver for Mercury Taxi, said he didn’t have a problem with Uber, but he did believe it needed regulation. He said he just wanted Uber to be on equal regulatory footing with taxi services.
He also said an overlooked aspect of the conversation is the fact that Uber is already here.
“Why are they running right now?” he asked the council. “Why aren’t they regulated right now? They’re taking money right out of our pockets. We want to understand what’s going on for everybody.”
The council laid out a plan to learn more this week and hopefully have a first reading of the ordinances ready for its next scheduled meeting on Tuesday.
In related news, California prosecutors on Tuesday filed a lawsuit against Uber over background checks, The Associated Press reported.
Contact staff writer Hannah Smith at hsmith@timesfreepress.com or at 423-757-6731.