Newark, Uber Megadeal: More Details Released

Newark, NJ – Newark Mayor Ras Baraka has revealed some “previously undisclosed” details of a $10 million deal between the city and rideshare service Uber.

• See related article: Newark Uber Wars Reach Possible Detente: $10M Rideshare Deal Would Be '1st In N.J.'

On Wednesday, Baraka released additional details about the agreement – signed the day before - which will grant license for Uber to operate at Newark Liberty International Airport for the next decade.

According to the agreement:

• Uber drivers may not stand in areas set aside for taxi waiting and will wait at an off-airport dispatch location to receive calls through the Uber app.
• Uber drivers are prohibited from staying at Newark terminals to receive dispatches.
• The City of Newark can receive a $3 Million up-front payment as part of the previously announced $10 Million permit fee to be paid by Uber over 10 years specifically for operating at Newark Liberty International Airport.
• Even if a state-wide law is passed regulating Uber, the company will remain obligated to pay the $10 million.
• Newark may audit Uber’s compliance with this agreement annually.
• Uber will provide $1.5M of commercial liability insurance coverage for all drivers operating on the platform.
• Uber will conduct background checks on all drivers through a nationally-accredited, third-party provider. These checks will examine county, state and federal records, as well as motor vehicle records, sex offender registries and terror watch lists.
• Uber will enforce a zero tolerance policy for drug and alcohol use by drivers using the Uber app.

Previously disclosed terms of the agreement stipulated that Uber would:

• Pay $1 million a year over 10 years to the City of Newark for operating at Newark Liberty International Airport.
• Provide $1.5M of commercial liability insurance coverage for all transportation network company drivers operating on the platform.
• Conduct background checks on all drivers through a nationally-accredited, third-party provider. These checks will examine county, state and federal records, as well as motor vehicle records, sex offender registries and terror watch lists.
• Enforce a zero tolerance policy for drug and alcohol use by drivers using the UBER app.

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