A large number of Republicans and twelve corporate Democrats in the Wisconsin State Legislature have decided to target a successful Wisconsin business: Union Cab of Madison Cooperative.
The Wisconsin State Legislature is on track to pass legislation, Wisconsin Senate Bill 106 (SB106), or, as I like to call it, the Julie Lassa-Cory Mason Bill to Revoke Local Control on Taxicab and Ridesharing Services, that would allow ridesharing companies, such as Uber and Lyft, to operate statewide in Wisconsin with very few regulations. Ridesharing companies allow people who drive automobiles to offer rides to those who pay the ridesharing fee for a particular trip, usually via a mobile phone application that both the driver and the passengers are required to have.
These ridesharing companies engage in predatory practices that screw over customers, workers, and taxpayers. While I could write a 100,000-character blog post about the negative aspects of ridesharing companies, I’ll mention three of them in this blog post. First off, ridesharing companies screw over customers by raising their rates by using dynamic pricing, which is also called surge pricing. Surge pricing allows the ridesharing companies to raise their rates when their computer algorithms tell them that traffic is heavy, demand for rides is high, or something else that their algorithms factor in, such as, in at least one documented instance, a terrorist attack, allow them to raise their rates. Secondly, ridesharing companies screw over workers by taking a sizable chunk of the money that the drivers collect from offering rides. In some instances, ridesharing drivers are effectively paid a negative salary (i.e., effectively charged money to work) because the portion of the ridesharing fee that the driver keeps is less than the vehicle-related costs of the trip. Furthermore, ridesharing companies are a burden to taxpayers for two main reasons. First, taxpayers will end up on the hook for accidents involving ridesharing drivers who don’t have commercial automobile insurance. Second, there will be tons of lawsuits over liability claims over crashes involving ridesharing drivers, resulting in court cases that clog up the justice system and result in more taxpayer money being spent on trials.
However, the main reason why I oppose the Lassa-Mason Bill is because it’s clearly designed to take away local control from Wisconsin’s second-largest city, Madison, in regards to taxicab regulation. Furthermore, I highly suspect that this is part of a coordinated attack to put a successful business, Union Cab of Madison Cooperative, out of business for purely political reasons, something which I strongly oppose. Also, I strongly believe that any Democratic elected official who supports legislation that allows companies like Uber and Lyft to operate with very few regulations is effectively a traitor to the progressives who vote them into office, and I would have no problem supporting progressive-minded primary challengers to corporate Democrats who support the Lassa-Mason Bill and/or other parts of the political agenda of Uber and other ridesharing companies.