City prepares for the arrival of Uber

Uber is coming to Greater Sudbury, so the city needs to have rules in place to regulate the rideshare service, as well as making sure existing taxi companies can compete.

That was the sentiment Tuesday as city councillors gave staff permission to develop a rideshare bylaw, based on the results of consultation with the public, taxi companies and Uber.

Unlike traditional cabs, Uber customers use a smartphone app to arrange rides, and fares are variable depending on demand. The bylaw aims to allow taxi companies to use similar technologies to connect with customers, and would impose fare and other standards on Uber. It would mirror efforts by other cities in Canada to regulate the industry, said city clerk Caroline Hallsworth.

“This model is heavily based on what other municipalities are doing,” Hallsworth said.

Ward 7 Coun. Mike Jakubo said while he's concerned about the impact on local taxi companies, many residents in outlying communities can't get cabs because they are concentrated on serving more populated areas. Uber could change that.

“Ridesharing is the way of the future,” Jakubo said. “It is going to show up on our doorstep … We have to do what we can to welcome ridesharing into this city.”

He wants the bylaw to strike a balance between allowing taxis to compete and bringing service to areas that need it.

“If there are any tweaks that need to be done, it's well within the purview of this council to make those tweaks,” Jakubo said.

Ward 5 Coun. Bob Kirwan said some people in his ward can't get a cab at certain key times in his ward after a night out. If Uber means there will be drivers available, that would be significant for residents.

“The problem we have in Valley East is that you can't get a taxi,” Kirwan said. “We have some nightmare stories. They go to Facebook and say is there anyone out there that can give me a ride home.”

Hallsworth said even cab companies have told her that they welcome Uber in outlying areas where they can't service customers properly. And other communities have seen improvements to service in outlying areas as a result of ridesharing.

“We're expecting there will be Uber drivers who live in Valley East,” she said.

Ward 10 Coun. Deb McIntosh said she wanted to be sure that rideshare companies don't have an unfair advantage over cabs. For example, taxi companies are required to have their head office in Sudbury, unlike Uber.

“What are we going to do about that to create a level playing field?” she asked.

Hallsworth said as part of the reforms, they're considering taking that requirement out of the bylaw entirely.

Councillors easily approved the motion giving staff permission to develop a draft bylaw. It should be ready for a vote in late summer.

The full report on the consultations on the expected impact of rideshare industry can be found here.