Taxi companies threatened by additional ride sharing services - KFDA - NewsChannel 10 / Amarillo News, Weather, Sports

Taxi companies threatened by additional ride sharing services

Source: KFDA Source: KFDA
Source: KFDA Source: KFDA
Source: KFDA Source: KFDA
Source: KFDA Source: KFDA
AMARILLO, TX (KFDA) -

As more ride sharing services come to Amarillo, taxi companies are growing concerned for the future of their businesses.

Ride sharing services have been operating in Amarillo for two years now.

Over that time, the majority of taxi companies have been forced to downsize or completely close down.

"These companies put a lot of men out of work, we went from 45 employees to four in two years, and there is a lot of cab companies doing the same thing," said third generation taxi owner, Jack Jewett. 

Jewett is one of the many people who has lost business because of ride sharing services. 

Companies such as Uber and Lyft, do not office in the majority of cities they operate in; therefore, they aren't subject to the same city and state taxes cab companies are required to pay. 

This allows these companies to undercut regular taxi prices, forcing many out of business.

Jewett and other owners in the area, told us they are not against competition, but they just want to compete on a level playing field.

"We need to choose as a community, if you want these companies that's great, but they need to pay like we do, or you [the government] need to deregulate taxis," said Jewett.

Two years ago, the city of Amarillo modified the ordinance that allows these services to operate.

While they keep prices lower for the consumer, many cities have put regulations on these businesses.

Lubbock for example, required extra background checks and permits for drivers which prompted Uber to shut down services in the city.

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