The City of Austin is considering changes to the way it licenses taxi cabs in the city. The changes being considered are intended to provide equal opportunity for taxicab businesses to benefit both drivers and riders. The changes being considered will also simplify the permitting process and make it easier for taxicab companies to operate in Austin.
- How we got here
Just two years ago, more than 1,000 taxi cabs were operating in Austin. Today, there are approximately 220, that’s a reduction of 78%.
Many factors led to the drop in taxicabs in Austin, including the COVID-19 pandemic. The City of Austin does not want its regulations to be an additional impediment to the taxi industry.
- What the city is proposing and why
Taxicab businesses have been operating as public utilities since the 1950s, which let Austin City Council set strict rules since taxis were one of the only options for residents to receive rides around town. Now, taxicabs are part of a diverse network of options, so Austin wants to change to an operating authority licensing model.
Under the franchise model:
- Applications take more than 30 days to complete with rigid timeframes and deadlines
- It is difficult to scale vehicle fleets to demand
- Drivers have limited control
Under the new operating authority model:
- Applications can be completed in one business day with flexible timeframes and deadlines
- It will be easy to scale vehicle fleets to demand
- Drivers will have greater choice
- How to provide feedback
Changes could happen early in 2022, and the City wants to hear from drivers now. If you have questions or would like to provide feedback, please contact the Mobility Services Division Manager, Jacob Culberson at jacob.culberson@austintexas.gov, or call 512-974-1489.