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Mandatory business licenses, surcharges considered for ride-sharing ordinance Thursday Sep 14, 2017 at 2:00 AM Sep 14, 2017 at 9:13 PM Nick Morgan Mail Tribune @mtcrimebeat City councilors are weighing the potential impact on cab drivers as they discuss an updated vehicles-for-hire ordinance that would allow ride-sharing smartphone apps such as Uber and Lyft in Medford. A flat usage fee to cover infrastructure costs, doing away with taxi licenses and instead requiring that all paid drivers have business licenses were among ideas Medford councilors and city staff discussed at a study session Thursday evening. The council decided it would like to require that Uber and Lyft drivers carry proof of authorization, either printed or electronic. Medford has about 50 registered taxi companies, according to City Attorney Lori Cooper, who gathered input from councilors while working from a draft based on a similar ordinance adopted in Bend. An August city council meeting generated "lots of public comment" from taxi companies, according to Cooper. Drivers for Uber and Lyft don't work as employees, but  independent contractors. Some businesses, however, are single owner-operators working from a cellphone. City Manager Brian Sjothun said a taxi company is supposed to have 24-7 coverage under the current ordinance, and touched on ways to hold the dozens of taxi companies within the city to a higher dispatch standard, particularly at odd hours. "If they're a single operator, they're in violation," Sjothun said. The primary concern, however, was addressing potential revenue losses from the ride-sharing apps. Taxi companies pay business licenses and street utility fees for their physical headquarters, but Uber wouldn't have a physical location. Cooper mentioned that Portland has a 50-cent surcharge per ride to cover road usage. A surcharge would also provide more direct insight into the actual number of rides such apps generate. Councilor Dick Gordon suggested a more nominal fee such as a quarter, though city staff were tasked with determining actual road usage costs. Cooper will present a revised draft for the council's consideration at the Oct. 19 council meeting. — Reach reporter Nick Morgan at 541-776-4471 or [email protected]. Follow him on Twitter at @MTCrimeBeat.