Austin cab rate increase approved

By • on February 26, 2010

Council shelves zoned system for airport trips while calling for further study.

By Sarah Coppola
Austin American Statesman

February 25, 2010

The Austin City Council agreed Thursday to increase the meter rates for cab rides. But, at the urging of taxi drivers, it decided against a plan to create a zoned system for rides from the airport to downtown or the University of Texas.

A six -mile cab ride, the average, now costs $13.75. Under the new rates that will take effect March 8, that trip will cost $14.25, then increase to $14.80 in 2011 and $15.50 in 2012. The city will also review, and possibly change, a gas surcharge every two months instead of every three.

Austin’s three cab companies and city staffers also had recommended requiring passengers to pay the greater of the metered rate or $13 for cab rides originating from Austin-Bergstrom International Airport. That $13 minimum was meant to compensate drivers who sometimes wait hours for airport customers who ask to go only a few miles.

The cab companies also wanted to create a zoned system and charge drivers the lesser of the metered rate or a set fare for trips between the airport and downtown, and between the airport and UT. That was intended to prevent drivers from taking passengers unfamiliar with Austin on expensive, meandering routes.

Several cab drivers who spoke at a public hearing Thursday criticized the $13 minimum fare as too low and said it should be at least $18. They also argued that a "lesser of" system for trips from the airport to downtown or UT would be a money-losing proposition for them. They asked that the metered fares stay in place or that the city establish a flat fare for those trips.

The drivers are independent contractors and said they pay fees to cab companies and also pay for gas and upkeep of their taxis, and need to squeeze every dollar they can out of their fares.

"We work long hours for little pay," driver Jeffrey Jones said. With the proposal, drivers "feel like the cab companies are saying, ‘You can only make this amount going downtown,’ and (drivers) don’t see that as a rate increase."

"Council members agreed, on a 6-1 vote, to nix the $13 minimum charge and the zoned system, for now. Council Member Mike Martinez , who cast the "no" vote, said the zoned system would be fair to drivers and also protect customers."

A separate resolution that the council passed Thursday calls for forming a group of city staffers, cab company officials, drivers and city commission members to discuss several taxi issues, including whether to charge a flat rate for rides from the airport to downtown or UT. The group must make policy recommendations to the council by May 27.

scoppola(at)statesman.com; 912-2939

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