Chicago Alderman's Plan On City Budget Crisis: Let's Just Charge Uber And Lyft More To Fix It

Big city budgets are hellaciously complicated affairs. That much is obvious, but the actual level of management of a budget likely goes far beyond what the average member of the public realizes. Even with that stipulated, the city of Chicago's budget is an absolute mess. Budget shortfalls abound for any number of reasons, ranging from bloated payrolls, to pet projects that have missed the mark on cost projections, to a shortage of income related to police and parking activity from our infamous redlight cameras and our equally infamous privatization of parking meters. Anyone looking to solve this budget crisis is likely to begin pulling their hair out immediately, wondering where to even begin.

Except for Alderman Anthony Beale, longtime stooge for the taxi industry, who has suggested an easy fix: just go crazy in taxing the hell out of innovative ride-sharing services like Uber and Lyft.

Beale, who chairs the City Council Transportation Committee, said he hopes Emanuel will revisit the idea of higher fees and tougher regulations on the burgeoning ride share industry as part of budget talks for 2018. He said the move would help even the playing field for cab drivers finding it increasingly difficult to compete. Beale wanted a per-ride charge of $1 on ride share companies as part of Emanuel's 2016 budget. Instead, Emanuel raised the charge from 30 cents to 52 cents per ride.

"We should have went for the dollar and we negotiated down to the 50-cent (fee)," Beale said Wednesday. "Now here we are again, going for the dollar. And so, I think we could have been much further along if we had just stuck to our guns and gone for the dollar a couple years ago."

Chicago has been a battleground of sorts in this fight between taxis and ride-sharing services. The per-ride fee instituted in 2016 came on the heels of a city-wide protest by taxis in 2015, where cabs refused to pick up fares in the downtown area and instead just honked their horns a bunch while those of us that work down here tried to actually do our jobs. The protest was designed not so much to rally public support to their side, as the public's voting with their wallets is what got us here in the first place. Rather, it was designed simply to be a pain in the city's ass enough for city officials to write in higher per-ride fees into its licensing legal framework.

And to that extent, it worked. The fee went up by a third or so. For Beale to lament the lack of a 300% increase in fees and, more fallaciously, to frame the desire for that increase as a budget solution when it is nothing of the sort, is fairly laughable. The real reason for Beale's angst is that he is the errand boy of Chicago's taxi companies, plain and simple. This is pure entrenched player protectionism and regulatory capture in reverse, with taxi companies looking to regulate more innovative and useful companies to death, or at least into some sort of insane fairness coma.

That isn't how government is supposed to be done, but it sure is the Chicago way.