CHICAGO (WBBM NEWSRADIO) -- The alderman who represents the downtown area wants the city to come down hard on what he calls “predatory” surge pricing by rideshare companies.
Alderman Brendan Reilly, 42nd Ward, plans to propose an ordinance at Wednesday’s City Council meeting that would put a cap on surge prices for rideshare companies.
Under Ald. Reilly’s proposal, rideshare companies could charge no more than 150 percent of their “current regular fare." That means, if the normal fare is $10, the companies could charge no more than $15.
Each fare charged over the cap would result in a $100 fine. If the company has violations on three separate days over the course of a year, they could have their business license suspended or revoked.
He told the Sun-Times he’s received reports of people being charged $40 during surge periods for rides that would normally cost $15.
"That surge pricing isn’t just exorbitant. It is straight-up predatory" Reilly told the Sun-Times.
There has been no response from Uber or Lyft.
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