The Seattle City Council about to take on Uber and Lyft, again.
On Tuesday, a Council Committee passed a resolution to explore potential legislation to raise the per-mile rates on rideshare companies. It was sponsored by Council President Bruce Harrell, who publicly expressed a desire to raise the rate to $2.40 a mile, from the current $1.35 rate. That, according to Harrell and his staff, would put ride shares on par with cab companies. Those drivers currently charge $2.70 a mile in city limits.
But Uber has cried foul, saying any spike will drive ridership down. “Doubling the per mile ride share rate - will significantly decrease demand from rideshare riders,” said Alexandro Chouza, the GM of Uber Northwest.
There were multiple drivers who spoke on the company’s behalf at Harrell’s committee hearing. However, the president was adamant that he’s not seeking to punish consumers.
“I want the cameras (to hear), we are not raising the rates that consumers pay - TNC companies may be saying that - but that is false and misleading,” said Harrell at the hearing.
KING5 took five trips with drivers around Seattle on Tuesday and found they were relatively open minded about any changes.
“It can be a good idea,” said Fernando, who drives part-time for the company. “(But) the per mile to increase to 2.40 I don't think it's affordable.”
Another driver, Rafiq, says “it’s got some good points, and not so good points.” He added, “Every time something goes up - you're going to have people on the other side of the table saying this is not a good idea - everything is so expensive anyway.”
Uber says it has more than 15,000 active drivers in Seattle, and more than 800,000 active riders in Seattle.
Lyft was not represented officially at the meeting on Tuesday, nor cab companies. The council is expected to address the resolution at a full council meeting within a couple of weeks. It will set in motion the parameters for formal legislation.
