An interesting challenge for the incoming Council is one facing cities across North America – how to respond to ridesharing services such as Uber and Lyft. Uber serves as an online taxi broker connecting potential riders with private drivers. It exists outside of current municipal regulations. Anyone with a vehicle can sign up to be a driver, and after a quick background check, Uber provides them an iPhone for receiving ride requests. Passengers use the Uber app to request a drive, much as one currently calls a cab. Uber has been operating in Toronto since 2012, and have rapidly expanded their operations in the region in the past year. On Facebook, Uber is advertising for drivers in Hamilton. They have not announced a date for launching in Hamilton. Traditionally, Uber launches without notice. Today, November 18 2014, the City of Toronto announced its filed for a court injection to shut down Uber’s operations in Toronto arguing that Uber is operating an “unlicensed, unregulated” taxi operations. Toronto states it regulates the taxi industry for public safety and consumer protection reasons. Uber is presenting involved in a legal battle with the City of Ottawa as well. Uber has defied municipal bylaws in most City’s its launched, and is in similar court battles across North America. The Wikipedia page related to Uber catalogues many of these battles. Uber is currently engulfed in a major public relations fiasco after Senior Vice-President Emil Michael of the company suggested they would dig-up dirt on journalists critical of the company. He specifically focused on Sarah Lacy, PandoDaily’s editor, who is critical of the company’s culture of “sexism and misogyny”. Despite Uber’s legal and public relations problems, it is a Silicon Valley darling valued at over $18-billion with some estimates of $30-billion. Uber’s investors are a who who of Silicon Valley, including Google Ventures. I submitted the following questions to Director of Licensing Ken Leendertse: With Toronto taking legal action against Uber, I have a couple of Hamilton questions as Uber is planning to launch in Hamilton shortly: What is the City of Hamilton’s position on services such as Lyft and Uber – are they allowed in the City of Hamilton? The City of Hamilton encourages innovation and welcomes new business across many industries. We are aware of newer services like Uber and Lyft that leverage technology to transform a traditional business model. That said, any business operating in Hamilton is expected to follow municipal by-laws. We share the opinion of other municipalities that these are businesses primarily operating as a taxicab service. As such, they are subject to the same provincial and municipal regulations (e.g. Business Licencing By-law 07-170 – Taxicab Schedule 25 [stats on page 215 of pdf] and the Highway Traffic Act) to ensure consumer protection of residents and visitors, and to ensure the health and safety of passengers and drivers. To date, Lyft and Uber have not contacted the City of Hamilton to inquire on local business licensing requirements nor have they submitted an application for a licence. We are open to explaining municipal by-laws and requirements; however, without the proper licensing they would be in violation of city by-laws and would not be allowed to operate. Is Hamilton looking at intervenor status in the Toronto case? Not at this time, but we will be monitoring the case. Are you aware of any Uber drop offs in Hamilton which be in violation of municipal regulations or bylaws? The City clarified they only regulate pickups No, we have not been made aware of any pick-ups in Hamilton utilizing the Uber service. But we will be watching very closely what transpires over the coming weeks. How will the City of Hamilton response if these services launch in Hamilton as Uber states they intent to? (bold emphasis from the City) Firstly, we would strongly encourage Uber to contact the City of Hamilton to discuss our business licensing requirements, particularly for taxicabs prior to setting up business. There are separate requirements for owners, brokers, drivers and vehicles – again, the emphasis is on public safety, privacy and consumer protection. Some of these requirements include: The City will gladly walk Uber through all the necessary steps in order to comply and operate as a legal taxicab service. Without this facilitation and Uber being properly licensed, the City of Hamilton is prepared to take legal action in the interest of public safety. Convictions and fines under these laws may affect the ability of the drivers or owners to maintain or obtain municipal licences or renew Highway Traffic Act required permits.
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Next Four Years: Ridesharing, Uber, and Taxi Licensing – TPR Hamilton | Hamilton's Civic Affairs News Site
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