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New York City May Cap the Number of Uber, Lyft Vehicles On Its Streets (engadget.com)

New York City may become the first major U.S. city to cap the number of Uber and other ride-sharing vehicles on the road. According to Engadget, "The City Council is looking at proposed legislation that would largely freeze the issuance of ridesharing vehicle licenses while officials work on a year-long study of the cars' effects." Wheelchair-accessible vehicles would be exempt from any cap. From the report: This wouldn't be the first time the city tried a cap -- it abandoned an attempt in 2015. There's greater pressure to consider a limit this time, though. NYC now has over 100,000 ride-hailing cars (up from 63,000 back in 2015), and a string of suicides by both ridesharing and taxi drivers has raised questions about working conditions that can include low pay, long hours and poor compensation for time off. On top of the cap, the Council is looking at raising minimum pay and otherwise regulating on-demand transportation services. NYC is concerned that the growth of ridesharing is coming at the expense of drivers' well-being (regardless of who they work for), and it's unlikely to back down until it's satisfied these workers are receiving fair treatment. Uber argues the cap would "leave New Yorkers stranded" without solving issues like congestion, taxi medallion ownership and mass transit. It claimed it would hinder passengers who live outside of Manhattan and don't have reliable alternatives to cabs or public transportation. The company even posted a commercial underscoring how difficult it was for some residents to hail taxis.

73 comments

  1. Re:Cool. They are going to cap normal cabs too the by jonwil · · Score: 5, Informative

    Normal cabs are already capped by the limited number of taxi medallions that are out there.

  2. Re:Cool. They are going to cap normal cabs too the by Anonymous Coward · · Score: 0, Troll

    Normal cabs are already capped by the limited number of taxi medallions that are out there.

    And we can't have anybody competing with them, can we?

  3. Re:Cool. They are going to cap normal cabs too the by Anonymous Coward · · Score: 2

    Real cabs are already capped you stupid retard.

  4. Re:Cool. They are going to cap normal cabs too the by b0s0z0ku · · Score: 1

    City streets can only handle a certain amount of traffic before becoming a congested mess.

  5. Re: Cool. They are going to cap normal cabs too th by Anonymous Coward · · Score: 1

    If you are for street neutrality, you support this congested mess!

  6. Cabbies who speak clear English... by Pezbian · · Score: 0

    Verboten! This will not end well. *defeated sigh*

    --
    In a world of the blind, the one-eyed man is king--and the two-eyed man is a heretic.
  7. Half million dollars for a cab license by raymorris · · Score: 1

    Legal cabs are limited by the number of taxi licenses, known as medallions. A New York can medallion sells for about $500,000, because that's how limited the supply is.

    1. Re:Half million dollars for a cab license by b0s0z0ku · · Score: 1

      "Sells" or "sold" prior to Uber becoming a thing?

    2. Re:Half million dollars for a cab license by Anonymous Coward · · Score: 0

      The real issue is these people took out 30 year mortgages to buy these medallions, which are now worthless.

      They were put in place for a reason. We're in a depression, and just like during the real depression, desperate people took to operating their personal vehicles as taxis. It was total chaos. Before 1929, the city was like uber. Anyone could operate a taxi.

    3. Re:Half million dollars for a cab license by Anonymous Coward · · Score: 0

      >It was total chaos.

      Fire and brimstone coming down from the skies. Rivers and seas boiling. Forty years of darkness. Earthquakes, volcanoes The dead rising from the grave. Human sacrifice, dogs and cats living together – mass hysteria.

      Yep. That describes NYC every day, though.

    4. Re:Half million dollars for a cab license by fafalone · · Score: 3, Insightful

      And the problems with the medallion system are legendary. Sounds like they want to create another similar boondoggle with rideshare licenses, since capping them seems awfully similar to a de facto second medallion system.
      If you're not familiar with taxi medallion issues, let's just start with the biggest. Their massive cost (way down from $500k, but still very high: $160-300k as of this posting) means they're rarely owned by the drivers themselves, who rent them. A slow day often means actually losing money, since fares don't recoup the rental fee. Or even if the owner collects a percentage, a slow day still can often come out below minimum wage. It's a system that pretty much exclusively enriches those who got in a very very long time ago and got them for next to nothing, or those already wealthy who can invest in high cost medallions (though those buying in right before Uber/Lyft crashed the price took it pretty hard); exploiting drivers, who can make decent money but just as often get screwed.

  8. Re: Cool. They are going to cap normal cabs too th by fred6666 · · Score: 1

    We can. Different taxi companies all compete with each other.

  9. Re:Cool. They are going to cap normal cabs too the by Anonymous Coward · · Score: 1

    Well, we better make sure to get cap the ridesharing, then, before the streets of New York get congested for the first time ever in history.

  10. Re:Cool. They are going to cap normal cabs too the by Berkyjay · · Score: 1

    #inconvenientfacts

  11. Re: Cool. They are going to cap normal cabs too th by Anonymous Coward · · Score: 1, Interesting

    Sure they do. Suuure they do. Just like how the cable companies "compete" with each other, and the phone companies "compete" with each other, and the healthcare insurers "compete" with each other.

  12. Let Adam Smith decide? by argStyopa · · Score: 1

    Is it impossible to contemplate letting the free market work?

    The pay is shit and drives are suiciding? Well, people KEEP SIGNING UP TO DRIVE, don't they? If it's that bad, and it's just that they're stupid, let them fucking suffer the consequences of their choices.

    Seriously, I keep hearing people discussing about how free-market economics doesn't really work anymore...of course it doesn't. Capitalism only succeeds by failures, in the same sense evolution advances from death. Protect people and companies from failure, and that's not capitalism.

    --
    -Styopa
    1. Re:Let Adam Smith decide? by Anonymous Coward · · Score: 0

      Is it impossible to contemplate letting the free market work?

      The pay is shit and drives are suiciding? Well, people KEEP SIGNING UP TO DRIVE, don't they? If it's that bad, and it's just that they're stupid, let them fucking suffer the consequences of their choices.

      Seriously, I keep hearing people discussing about how free-market economics doesn't really work anymore...of course it doesn't. Capitalism only succeeds by failures, in the same sense evolution advances from death. Protect people and companies from failure, and that's not capitalism.

      sigh, if you think this is capitalism, you're really deluded, truth is most capital is tightly controlled and the people have to pay for access to it. Most people are economic debt slaves, not "money in the bank" capitalists. In fact, the number of people with capital has never been fewer in terms of percentages.

      as for my reference try watching zeitgeist addendum https://topdocumentaryfilms.com/zeitgeist-addendum/

    2. Re: Let Adam Smith decide? by fred6666 · · Score: 1

      It would be a free market if drivers paid for their own roads and their own pollution.

    3. Re: Let Adam Smith decide? by Anonymous Coward · · Score: 0

      They already do. Ever hear of a gas tax and other taxes like state and city?

    4. Re:Let Adam Smith decide? by AHuxley · · Score: 0, Flamebait

      The risk was that a city had to keep going back to the consequences. Police and courts seeing the same problems again.

      Ensure the service has good working equipment.
      The way to measure the amount to pay was set and could not be tampered with.
      Police knew of staff and that staff could be trusted with all the different people who would use the service.
      That the person who was approved to drive knew the city to a good level. Was able to welcome a tourist. Provide a service for any travel distance needed.
      For that level of service and having to accept any distance traveled a city would ensure an approved company was able to be a going concern.
      Safe, a set fee, police aware of any problems. People could then use the service 24/7 in a city with confidence.

      --
      Domestic spying is now "Benign Information Gathering"
    5. Re:Let Adam Smith decide? by drinkypoo · · Score: 1

      sigh, if you think this is capitalism, you're really deluded, truth is most capital is tightly controlled and the people have to pay for access to it.

      sigh, the definition of capitalism is that capital controls the means of production, which is exactly what we have.

      Perhaps you're thinking of free market capitalism, which is a utopian ideal.

      --
      "You're right," Fisheye says. "I should have set it on 'whip' or 'chop.'"
  13. Re:Cool. They are going to cap normal cabs too the by fluffernutter · · Score: 1

    Imagine how bad it would be with 10000 more yellow cabs on the road.

    --
    Laws are rules for the court, but merely a bottom bar to hit for life. Think beyond laws in your actions always.
  14. Re: Cool. They are going to cap normal cabs too th by fluffernutter · · Score: 0

    Where is this evidence that taxi companies collude with one another? Many people say it but never present it.

    --
    Laws are rules for the court, but merely a bottom bar to hit for life. Think beyond laws in your actions always.
  15. Re:What is this Capitalism that I keep hearing abo by _Sharp'r_ · · Score: 1, Informative

    You know the NY City Council is 92% Democratic and 8% Republican, right?

    Pretty sure the anti-Uber/Lyft crowd are the Democratic members, not the 4 Republicans on the council. That would be indicated by this effort being led by the Democratic Speaker of the City Council, Corey Johnson and the Democratic Mayor, Bill de Blasio.

    It doesn't seem much of a contradiction for the Republicans to be the pro-free market Party on both the issues you mentioned and the Democratic Party to be the anti-free market Party on both of them.

    --
    The party of stupid and the party of evil get together and do something both stupid and evil, then call it bipartisan.
  16. Re: Cool. They are going to cap normal cabs too t by fred6666 · · Score: 2

    The city sets the rules. The rules are there will be a limited number of cabs and the price will be fixed.
    Cab companies compete as they can within that framework.
    If we no longer need that framework, just cancel it. We don't need a two tiers system with some companies allowed not to respect the framework. And Uber is a taxi company, despite what they pretend to be.

  17. Re: Cool. They are going to cap normal cabs too t by Anonymous Coward · · Score: 0, Insightful

    Why should the city dictate this crap? This is just pointless and excessive regulation for the point of regulation. Why is there a limit on cabs, other than to create a market for medallions or limit a core commodity to just a few?

    Uber is making transportation accessible in cities to the average person. Hopefully they can fight this as ex post facto, reactionary legislation only there to keep the cabbies happy.

  18. Pollution and Traffic by Jzanu · · Score: 2

    The goal of this policy like others worldwide is volume restriction for pollution reduction and traffic control. Whether a car is a taxi or one of these private taxi services claimed as ride-share services, its exhaust creates air pollution. Even if it is electric, there is air pollution created at the utility. Wasting energy is a waste. Cities also have finite areas meaning traffic must be managed. Access for emergency vehicles must be ensured.

  19. it's not ride sharing, it's ride selling ... by Anonymous Coward · · Score: 0

    it's a scam to avoid being a responsible employer, Uber is trying to corrupt the law and economically enslave some people

    so much for the right to liberty

  20. Re: Cool. They are going to cap normal cabs too t by fred6666 · · Score: 2

    If we don't want the city to regulate this, we can elect politicians who will dismiss the regulation. I have no problem with that.
    But until then, Uber should have to buy medallion like every other cab company.

  21. Re: Cool. They are going to cap normal cabs too t by fluffernutter · · Score: 1

    It's regulated because there can only be so many cars on the road. I think that has already been covered.

    --
    Laws are rules for the court, but merely a bottom bar to hit for life. Think beyond laws in your actions always.
  22. Corrupt politicians up the corruption by Anonymous Coward · · Score: 0

    The entire point of the "medallion" system (where bought-off politicians control the number of cabs in a city by requiring cab owners to buy special medallions) is to allow sick twisted corrupt evil politicians to squeeze money out of another facet of city life. Having made cab service in their cities suck by implementing this scheme, the politicians accidentally created the environment that lead to the rise of Uber and Lyft. Now, having failed by all other underhanded schemes, to eliminate the competitors of their medallion-enabled corrupt cab system these same dirtbags now want to convert Uber and Lyft into the very thing they were created to replace.

    Rather than meekly going along with any such scheme, hopefully the Uber and Lyft people will fight in court. With the Supreme Court having very recently taken a turn in favor of the rights of individuals, it's likely they ultimately will prevail with the same basic argument that just won the day for government workers who did not want to be in a union.

    1. Re:Corrupt politicians up the corruption by Anonymous Coward · · Score: 0

      god damn you are an idiot

  23. Re:Cool. They are going to cap normal cabs too the by Anonymous Coward · · Score: 0

    Sounds like it's not rigged at all!!

  24. Re: Cool. They are going to cap normal cabs too th by novakyu · · Score: 1

    Maybe they should just build more tubes.

  25. Re: Cool. They are going to cap normal cabs too t by drinkypoo · · Score: 2

    If we don't want the city to regulate this, we can elect politicians who will dismiss the regulation. I have no problem with that.
    But until then, Uber should have to buy medallion like every other cab company.

    Do you have no problem with that because you don't care, or because you think they should be able to do that? Because defending the law simply because it is the law is a hole you don't want to go down.

    --
    "You're right," Fisheye says. "I should have set it on 'whip' or 'chop.'"
  26. Should we regulate how many people on the streets? by Anonymous Coward · · Score: 0

    Cause I can tell you its congested too by my standard - but that's the issue isn't it, who gets to decide what congestion is, how many and who can be allowed. I guarantee you if they "limit" the number of taxi/uber/lyft etc. it will be another money-making tax for the city. Perfect, more people out of a job - that should lower suicide rates!? Too all the people living in those stupid cities, move out, get another job where people care about you. Ironic the suicide rates in these big cities, why on earth to people go there is beyond me (and don't say for work).

  27. Re:Should we regulate how many people on the stree by Anonymous Coward · · Score: 0

    Measurably increased traffic due to Uber/Lyft/Scam-App-of-the-day, measurably increase pollution due to same. All bad.

  28. Re: Cool. They are going to cap normal cabs too t by Hognoxious · · Score: 1

    ex post facto

    That phrase doesn't mean what you think it does.

    --
    Confucius say, "Find worm in apple - bad. Find half a worm - worse."
  29. Hypocrites by Anonymous Coward · · Score: 0

    Those scumbags are trying to force people back onto the mismanaged disaster that is the NYC MTA. Funny, a few decades ago, city planners were trying to force people into ridesharing. Somebody figures out how to create genuine market incentives that don't involve government bungling, and the politicians are now looking for ways to stop it for the benefit of the cabbie cartels and the MTA...not commuters. Typical.

  30. Capping (partially) due to suicides? by Daralantan · · Score: 1

    Wouldn't being told they are not allowed to work due to the cap be bad as well? Instead of making crap pay, make none! (though with poor pay I can see working for Uber in NYC being negative income....)

    1. Re:Capping (partially) due to suicides? by Anonymous Coward · · Score: 0

      (not really a reply)

      Suicides? Were they cab drivers or ride-share drivers? More importantly, is this a thing? A link would help, thanks.

  31. Re: Cool. They are going to cap normal cabs too t by fred6666 · · Score: 1

    I do care. I'm fine with both options (regulate or not) but what I can't stand is a two tiered system where some taxi drivers have to buy medallions and/or get special plate/permit and others do not.

  32. Re: Cool. They are going to cap normal cabs too t by drinkypoo · · Score: 1

    The only part of that which is non-free market and thus unfair is the medallion system. That part is anticompetitive, and it's the part we should be complaining about. The state might reasonably institute a background check system (with an at-cost fee structure) but these half million dollar medallions are bs. If the city wants to unclog the streets they can unfuck the subway.

    --
    "You're right," Fisheye says. "I should have set it on 'whip' or 'chop.'"
  33. Re: Cool. They are going to cap normal cabs too t by Aereus · · Score: 1

    Because when you get the medallion you agree to provide service 24/7 in all areas at reasonable fixed prices. With Uber/Lyft you might not get anyone to want to pick you up from where you are, or surge pricing will make it cost way more.

  34. Re:Cool. They are going to cap normal cabs too the by Dragonslicer · · Score: 1

    Well, we better make sure to get cap the ridesharing, then, before the streets of New York get congested for the first time ever in history.

    It used to be a lot worse. You know what the city did to fix it? Capped the number of taxis.

  35. Re: Cool. They are going to cap normal cabs too t by Type44Q · · Score: 1

    They're not taking proper care of the tubes they've got.

  36. Re: Cool. They are going to cap normal cabs too t by Dragonslicer · · Score: 1

    Why should the city dictate this crap? This is just pointless and excessive regulation for the point of regulation. Why is there a limit on cabs, other than to create a market for medallions or limit a core commodity to just a few?

    Because before they did, there were way too many taxis. And not just "traffic is a little slower" too many taxis, but literally drivers racing each other to get to a person standing on the sidewalk. Cities like New York decided that limiting the number of taxis was a fair tradeoff for reducing the number of collisions and fist fights.

  37. Re: Cool. They are going to cap normal cabs too t by Type44Q · · Score: 1

    Spare us the foolishness; anyone with a brain is aware of the history of collusion between mob-owned/controlled cab companies and the corrupt bureaucracies that tend to control city governments. Historically, it's been the same with trash-hauling and concrete.

  38. Success by Anonymous Coward · · Score: 0

    Uber/Lyft now own the "rideshare" medallion in NYC. Now they can raise prices. I also just saw a article about how they are cutting the slice the drivers get from a fixed number to some variable amount. Another win for uber. Congrats uber, you just became a worldwide monopoly taxi company.

  39. Re:Cool. They are going to cap normal cabs too the by ShanghaiBill · · Score: 1

    The last few times I used Lyft, I clicked on "Shared Ride". The driver picked up other passengers enroute, and I received a 30% discount. By doubling up (or tripling up) passengers, they are reducing congestion more than taxis.

  40. Re: Cool. They are going to cap normal cabs too t by ShanghaiBill · · Score: 1

    Because when you get the medallion you agree to provide service 24/7 in all areas at reasonable fixed prices.

    Taxis are under no obligation to provide service 24/7. Nor are they required to "serve all areas". Uber has shown that taxis' "fixed prices" are far above the market price.

  41. Re: Cool. They are going to cap normal cabs too t by Uberbah · · Score: 1

    Because defending the law simply because it is the law is a hole you don't want to go down.

    Neither is opposing government regulation simply because it is regulation.

  42. Re: Cool. They are going to cap normal cabs too t by PPH · · Score: 1

    Why should the city dictate this crap?

    Because the old style of taxi service competition used to involve bodies floating in the East River.

    --
    Have gnu, will travel.
  43. Rotten Red Herring by JimSadler · · Score: 1

    To discover if drivers are fairly treated the city only needs a written form from each driver every week. If hours or earnings are too low the city can fine the companies. The city is getting involved for some other reasons. After all, government is rarely concerned about the health of wealth of the working guy.

  44. Re: Cool. They are going to cap normal cabs too t by Hognoxious · · Score: 1

    Uber is making transportation accessible in cities to the average person.

    I agree. Tell today's so-called "kids" that before Uber came along your options were to stay at home or walk and they just won't believe you.

    --
    Confucius say, "Find worm in apple - bad. Find half a worm - worse."
  45. Re: Cool. They are going to cap normal cabs too t by Hognoxious · · Score: 1

    Surely taxi prices are, by definition, the market price?

    Or are you using the dickhead definition, which is "what I think it should be"?

    --
    Confucius say, "Find worm in apple - bad. Find half a worm - worse."
  46. Re: Cool. They are going to cap normal cabs too t by drinkypoo · · Score: 1

    Because defending the law simply because it is the law is a hole you don't want to go down.

    Neither is opposing government regulation simply because it is regulation.

    So what? That's not what's happening here. I oppose this regulation because it is bad regulation. Taxi licensing (whether medallion-based or not, whether severely scarce or not) does not accomplish any of the things it allegedly accomplishes. Not a single one of them. It does not prevent crime by taxi drivers, it does not ensure that cabs are in good condition, and it does not prevent traffic congestion.

    What I want the government to do is to provide functional public transportation options, with substantial operator oversight. That would accomplish all of those things. Instead, they have an artificial scarcity system which both drives up the price and limits the availability of public transportation.

    --
    "You're right," Fisheye says. "I should have set it on 'whip' or 'chop.'"
  47. Re:Cool. They are going to cap normal cabs too the by Anonymous Coward · · Score: 0

    And what better way to keep traffic down than to make using public transportation less convenient?

  48. Re: Cool. They are going to cap normal cabs too t by novakyu · · Score: 1

    Sorry, I meant to say "they should just build more series of tubes."

  49. Fucking ridiculous by Anonymous Coward · · Score: 0

    The summary itself says that the problem is working itself out as the drivers remove themselves. This is fucking ridiculous.

  50. Re: Cool. They are going to cap normal cabs too t by Anonymous Coward · · Score: 0

    When people use the phrase, "market price" they don't mean the price that is currently being paid, if the current price is set via price controls. They mean the price that the market as a whole will arrive at if all of the participants are fee to act according to their own interests.

    If Uber comes in and is able to keep drivers with prices lower than the currently set price controls, then the market price is by definition lower than is otherwise indicated by the price controls.

  51. Re: Cool. They are going to cap normal cabs too t by fluffernutter · · Score: 1

    Again.. no reference. These are conspiracy theories.

    --
    Laws are rules for the court, but merely a bottom bar to hit for life. Think beyond laws in your actions always.
  52. Re: Cool. They are going to cap normal cabs too t by sarren1901 · · Score: 1

    Glad I never lived in mega city where I couldn't safely just ride my bike or gasp, buy a used car for a couple grand and be on my way. You don't have to work that much to maintain a paid off car with liability insurance, even as a young adult. You buy in at 2-3k for the car, insurance is 100-$150 a month and fuel is whatever you use.

    That's incredibly doable if you are a teenager living at home working part time. If you have half way useful parents, they would probably help you out at least partially with the car purchase. If you can't afford $150 plus fuel then you aren't trying.

  53. Re: Cool. They are going to cap normal cabs too t by Anonymous Coward · · Score: 0

    That's not what he said. He said collusion *between* the cab companies, which would be pointless anyway because their fees are set according to a formula of X per mile, Y per minute.

    P.S. Anytime I see "anyone with a brain is aware" I read it as "the following is totally made up".

  54. The problems without medallions aren't legendary. by Anonymous Coward · · Score: 0

    The problems without medallions aren't legendary.

    They are real: Pollution, congestion, road damage, endless traffic and parking violations, crime, pedestrian, rider and even driver deaths, all while the system sinks below the lowest common denominator and becomes unusable.

    Tragedy of the commons. Externalities. The hidden, ignored or unstated failures of so-called free-markets.

  55. Of COURSE they will ... by King_TJ · · Score: 1

    Same liberal/socialists who *always* think they can improve situations by limiting people's freedom to do what they want to do.

    So the streets are congested? Ok ... What else did you expect when you have a city that heavily populated in that relatively small amount of space? It's part of the package deal if you want to live in a place like that.

    There's a good chance that every Uber or Lyft driver out there helps DECREASE congestion, vs. all of those people they take around opting to drive themselves. (A lot of people in large cities decide not to own an automobile at all, as long as they have enough transit options to make that doable.) If an Uber or Lyft or regular cab is too difficult to hail down ASAP, where you need it? It tends to motivate people to buy their own vehicles. Same thing if scarcity runs the prices up enough so you may as well just buy and drive your own.

    1. Re:Of COURSE they will ... by Anonymous Coward · · Score: 0

      The Plebs don't need to drive. They should use our well-serviced and well-patrolled public transport system that operates 24/7 point-to-point connections.

  56. Re: Cool. They are going to cap normal cabs too t by Hognoxious · · Score: 1

    I can see you regularly needing transportation, especially to and from parties.

    What with you being such an utter fucking hoot and all that.

    --
    Confucius say, "Find worm in apple - bad. Find half a worm - worse."
  57. Re: Cool. They are going to cap normal cabs too t by zuckie13 · · Score: 1

    Ok, but in this case all parties are NOT able to act according to their own interests. If the Uber/Lyft drivers could set their prices do you not think they would set them higher to better fit a NYC cost of living? Or maybe they'd underbid eachother and make rides even cheaper? We don't' know because this is not a real Free Market. It's the NYC Taxi forced prices vs. the Uber/Lyft corporate forced price.

  58. Re: Cool. They are going to cap normal cabs too t by fred6666 · · Score: 1

    you are forgetting two important parts:
    -the pollution
    -the roads

    Uber drivers don't pay their faire share for either.