Uber and Lyft for Georgetown?

The Governor signed Senator Schwertner's bill setting state-wide requirements for ride-sharing companies last month. That bill overrides local ordinances that imposed anti-free-market rules on ride-sharing companies.

Here is a good description of what happened in Austin. Weekly Standard

Citing safety concerns, in December 2015, Austin’s city council passed a law containing a number of restrictions on ridesharing services. The council began dictating where vehicles could pick up and drop off passengers, and required “trade dress” identifying vehicles as participating in rideshare services, as well as extensive monthly reporting of ride data. But the biggest issue was background checks for drivers.

“The Thumbs Up! app scans your drivers license, has a device to take fingerprints and snaps a selfie. It takes less than 5 minutes. Then, it sends the information to the FBI,” notes Austin Inno, a publication covering Austin’s tech industry. Unsurprisingly, asking people to volunteer to have the FBI start a file on them did not prove a success.

 So why the push to fingerprint drivers? An Austin American-Statesman editorial supportive of the regulations offers a clue: “Fingerprint-based background checks are required of Austin’s taxi, limousine and even pedicab drivers. .  .  . Aside from the public safety benefit, there needs to be a level playing field.” It’s no secret politically influential taxi cartels are having a hard time competing with Uber and Lyft. The taxi industry demands additional regulations to knock down the successful ridesharing services to the level at which it wants to compete.

Perhaps Georgetown can learn from this episode and let the free market determine the best method for people to get around town. Does Georgetown really need a bus service? Subsidies to low income people for using a ride-sharing service might be cheaper and meet riders needs better. It should be looked at before expanding the city bus system!