Austin Council Members Deregulate Taxi Cab Industry

AUSTIN, TX — Austin City Council members on Thursday deregulated the city's cab industry, freeing up taxi franchise operators to set their own fares and change them according to market forces.

The move also puts taxi cab operators on a more even playing field as ride share companies that have cut into the market share of the city's four taxi franchises who have been regulated by the city in setting fares.

The ordinance approved by council members is expected to take effect by next month. Taxi companies still will be required to notify the Austin Transportation Department before setting their fare schedules, post fares on their websites and display them prominently inside each cab.

It's not only fares franchises over which taxi franchises will have oversight. The number of cars in each fleet and even the color of cabs will be decided on by the operators rather than the city.

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