Texas is the new California as burdensome regulations have banned Uber, Lyft, and any other ride-hailing apps from operating in Austin.
“After voters in Austin, Texas, rejected a proposal for loosened regulations on ride-hailing apps, both Uber and Lyft have announced they will be “pausing” operations in the city,” according to NPR.
The ban is a result of the city attempting to regulate ride-sharing like taxi companies and resistance from those companies. The idea seems to be that, if one city succeeds in tightening its regulations, then all cities will follow.
The Austin ordinance, approved by the city council, would require drivers to be fingerprinted and go through background checks, among other regulations. The Austin City Council comprises seven Democrats and three Republicans. Uber argues that its safety processes are enough, but the issues of contention revolves around a fingerprinting requirement. Uber already conducts background checks, but does not collect fingerprints from its drivers, as does Lyft.
The ban might be temporary, as the fingerprinting issue has “a willingness to negotiate” from ride-sharing companies and the city of Austin, according to KUT.
Ride-sharing companies have struggled in Texas. Before the battle in Austin, they pulled out of the San Antonio market for a fingerprinting regulation that was later modified to make it voluntary. Houston, also fighting over fingerprint requirements, could see a similar self-exile from Uber and Lyft.
As much media coverage as ride-sharing has seen in the past year, major American cities still lack Uber and Lyft. Though many of the municipal fights have been over safety and regulation, Uber compares favorably to taxis in terms of safety. The battle has been centered on regulations and city control, not so much a spate of Uber-driven crime. Uber and Lyft have done an admirable job of prioritizing safety compared to other companies in the “sharing economy.”
In Austin, the public embraced city regulations in the name of “safety.” The illusion of government mandates overcame the reality of an already existing safe environment. For Austinites, that will mean more expensive, and possibly less safe, rides in the city and more government expansive in the daily lives of citizens.
