Authorities have taken action to address congestion that impacts those who rely on ride-hailing services.
A new tax has gone into effect in Chicago that will hit people in the city who use ride-sharing services like Uber or Lyft to get around the city.
The tax increased a single trip from $1.25 per trip to $3.00. If the trip begins or ends downtown between 6 a.m. and 10 p.m. on weekdays, an additional surcharge of $1.75 will apply.
A single ride in a “special zone,” such as a military base, went from $6.25 to $8.00.
A shared ride without a downtown surcharge incurs a surcharge of $1.25, which is an increase of $0.65 on top of the rideshare fare.
If it is a single shared ride in a “special zone,” the surcharge is $6.25 instead of $5.65.
The year this additional rideshare fee was introduced, people felt like they were being charged too much, local news outlet ABC7 Chicago reported.
Others were in favor, believing it would lead to less traffic and pollution in the city.
“Every year is always so expensive,” local resident Jessica Torrevillas told ABC7 Chicago.
“I mean, we have a lot of companies leaving Illinois anyway because of all the taxes. You know, it’s getting harder and harder to live here.”
Another resident, Alex Shek, said: “Uber and Lyft are kind of luxuries in my opinion, so I would support ending it even though it will probably cost me a little more money every day.”
The city launched a “Choose Shared” hashtag campaign to inform people, as Mayor Lori Lightfoot said the fees were introduced to address rampant congestion downtown.
It should also encourage shared rides throughout the city, she said.
Uber and Lyft noted that the mayor’s proposal represented the highest ride-sharing fees in the country and believed it would take money out of riders’ pockets.
“It’s probably going to impact my bottom line,” Uber driver Larry Akintola said.
“It will have an impact on the number of riders I now drive on a daily basis.”