By Eric Boehm | From Watchdog.org
When Gov. Tom Wolf signed the final pieces of Pennsylvania’s spending package on Wednesday evening, he also signed a measure giving ridesharing companies legal authority to operate in Philadelphia.
At least for now.
Uber and Lyft will be legal in Philadelphia through the end of September. The temporary authorization is a compromise that will give state lawmakers time to deal with the ridesharing issue when they return to the capital after Labor Day.
It also means visitors to the city during the upcoming Democratic National Convention will be able to use Uber instead of having to rely on mass transit and taxis. The PPA and Uber reached an agreement earlier this week to allow ridesharing during the convention, though taxi companies in the city have already sued over that decision.
Under the bill signed by Wolf, a Democrat, ridesharing services will have to pay a 1 percent tax on all trips originating in the city. The Philadelphia Parking Authority, which regulates taxis in the city, will collect the revenue and will keep one-third of it while the rest will fund the School District of Philadelphia.
“We applaud the Pennsylvania legislature for its overwhelming support and adoption of compromise ridesharing language,” said Steve DelBianco, executive director of the NetChoice Coalition, which has been advocating for ridesharing in Philadelphia. “We encourage the legislature to continue their work by turning this temporary fix into a long-term solution.”
PPA spokesman Martin O’Rourke told Philly.com the short-term deal was a “positive step,” particularly in light of recent problems with mass transit in Philadelphia and the expected influx of people during the upcoming Democratic National Convention.
A long-term solution to the conflict between Uber and the PPA has been difficult to find.