PHILADELPHIA (CBS) — The Philadelphia Parking Authority is proposing a 50 cent fee on every cab, Uber and Lyft ride that originates in the city, in order to pay for regulating the vehicles.
Currently the PPA charges a one percent fee for cabs and a 1.4 percent fee for ride sharing services but executive director Scott Petri says it’s not enough to inspect vehicles and make sure they complying with regulations.
“Most people don’t want to be regulated but there is a job to do and it is about public safety,” he told KYW Newsradio. “Based upon the volume of complaints we have and what we see in the inspections we’re able to do, we think the public is at risk.”
Petri says the average fare is $10 so 50 cents would be closer to five percent, which he acknowledges is high but says that’s because the legislation legalizing ride sharing in the city mandated that 2/3 of the revenue go to the school district.
So to get to $8 Million, the estimated cost of regulating rides, the PPA has to raise three times that much.
“We don’t make any money on this activity,” he said. “The idea is it’s the industry paying their fare share of regulatory costs.”
The proposal would need state legislature approval.