Uber opposes license rule
The ride-hailing company says the proposed requirement could keep it out of Eugene
Uber says a rule that its drivers must have a valid Oregon driver's license represents a major sticking point threatening its return to the Eugene-Springfield area.
In a joint letter, Uber and Lyft raised objections to proposed ride-hailing rules Eugene city officials drafted and put out for public review earlier this month. Once the rules are adopted the companies could apply for an operating license.
"We have been preparing as an industry to launch rideshare service throughout the Eugene metro area in anticipation of the completion of this (rule-making) process," said the letter, signed by Jon Isaacs, a public affairs manager for Uber, and Rena Davis, Lyft's senior public policy manager. "Unfortunately, Eugene’s proposed rules are not in alignment with Medford’s or with those of the other aforementioned cities, and therefore cannot facilitate the launch of rideshare in Eugene."
The letter doesn't specify the proposed rule or rules that Uber and Lyft find objectionable. But in an interview Friday, Nathan Hambley, an Uber spokesman, said the Oregon license requirement is the major concern. A Lyft representative couldn't be reached for comment, and it's unclear if that company shares the same concern.
Hambley said the requirement removes a large candidate pool of drivers who are students at the University of Oregon. He said no other Oregon city has such a requirement.
He said about half the university's student body is from out of state, and driving for Uber is a "popular way to earn money in a flexible way" for students in many other college towns. Uber drivers must be at least 21 years of age.
"We're not sure why the city is insisting on this, especially when you take into account that Eugene is home to the biggest university in the state," Hambley said.
Lindsay Selser, a city spokeswoman, said the requirement ensures the city, through a contract with the state Driver & Motor Vehicle Services, gets notified whenever any licensed driver is cited or arrested for an offense such as drunken driving.
The city "would not receive a similar notification for an out-of-state driver’s license, which poses a significant safety concern," she said. "Notably, many other jurisdictions require in-state driver’s licenses for (ride-hailing) drivers, such as the entire state of California."
Under the the long-standing requirement, a candidate driver must present a valid Oregon driver's license when applying for a driver certification to work as a for-hire driver in the community. The city would have the authority to revoke the license for driving violations.
Selser said city staff will review all the comments, as is standard practice, and may make changes to the rules before they're adopted.
"We continue to be hopeful we will reach a solution that works well for all while maintaining important community safety standards," she said.
The letter came in response to the city's proposed rule changes that officials put out for public review and comment. The city has received 78 comments as of Friday. The deadline is June 29.
Even if the city were to remove the licensing requirement, Hembley said Uber would need to review the adopted rules before deciding to apply to resume operations in the Eugene-Springfield area. The city of Eugene would manage the permitting process for ride-hailing companies that also operate in Springfield.
Uber operated in the Eugene-Springfield area for less than a year before suspending operations in April 2015. At the time, a city hearings official ruled that the company must secure a vehicle-for-hire license to continue operating in Eugene. To settle a lawsuit filed by the city, Uber then agreed not to resume service in Eugene without securing that license.
Lyft has never operated in the Eugene-Springfield area.
The companies never sought a license under the city's former ordinance and rules because they disagreed with the city's requirements for insurance, vehicle inspections and driver background checks.
In April, Eugene city councilors eased the ordinance's requirements to help lure back the ride-hailing companies while seeking to protect public safety and maintain the same rules that apply to taxi companies. The city is taking public comment before adopting the rules.
The changes came after intense lobbying by Eugene's tech and business sectors whose representatives said the ride-hailing companies provide an important transportation alternative for visitors.
Hourly updates from The Associated Press.