UberX and Lyft are no longer outlaws in Virginia. The two rideshare companies reached an agreement with Virginia Governor Terry McAuliffe and Attorney General Mark Herring to get temporary authority to operate in the state. Uneven enforcement and a general blithe attitude might mean its a surprise for some to learn there was ever any issue, but legally speaking, both companies had been basically ignoring the fact that they had been told repeatedly by the Department of Motor Vehicles to stop operating.
"The temporary authority granted by the state ensures that we continue to provide the Uber you know and love for the short-term, while we continue to work with state officials to develop a permanent solution that allows us to operate, create jobs and provide safe, convenient ways to get around your cities," wrote Uber D.C. general manager Zuhairah Washington in a blog post. "But the work isn't done yet. We'll need your voice again in January when legislators are back in session to make sure they hear you loud and clear and pass legislation that permanently allows us to operate."
Lyft and Uber can both treat this as pretty big news. Both companies have been dealing with plenty of efforts by both the state and Virginia taxi companies to shut them down and keep them from operating. In fact, a coalition of taxi companies had sent a letter to state officials specifically asking for them to stop the issuing of an operating license. By getting the authority to operate, it may help set a precedent in other places, or at least not create one that hurts them.
"Today's agreement allows Lyft to continue providing safe rides and economic opportunity to Virginians as we work with state leaders to secure a permanent future for ridesharing, said Dave Estrada, vice president of government relations for Lyft in a statement. "Virginia has led the way in embracing innovative industries and we applaud Governor McAuliffe and Attorney General Herring for their thoughtful work to reach an agreement that maintains the highest level of public safety while expanding consumer choice."
Technically, the authority to operate comes from the DMV, but the way the governor and attorney general are publicly happy about the situation makes it obvious where the impetus for the authority came from.
"In order for Virginia to remain economically competitive, it is important that we welcome innovative companies like Uber and Lyft and provide them with the resources they need to safely and effectively operate in the Commonwealth" said Governor McAuliffe in a release. "Technology – specifically related to smart phones – continues to advance at a rapid pace, and I am pleased that we were able to work together to find a swift solution that will provide Virginia’s workers, students, and families with more transportation options."
Plenty of work in getting legislation passed to make the authority permanent remains to be done. There's no getting around that Uber and Lyft operated against the law for quite a while, no matter how much all parties want to pretend otherwise. Maybe if they pretend it was the plan all along people won't mind, but the taxi companies at least probably won't be placated.
"These companies offer services that Virginians want, but it just wasn't acceptable for them to operate without complying with regulations or other measures to help ensure the safety of passengers and motorists, Attorney General Herring said in the release. "I'm proud that we were able to get folks back to the table and get them talking again, and now we've shown that Virginia can be responsive to innovative businesses while promoting public safety and the rule of law... I hope other states will look to Virginia as a model for how to safely integrate the so-called sharing economy."
Probably not coincidentally, Uber is also rolling out its service in Richmond, Va., which no doubt will be a lot easier now that it's legal to do so. And it means the state won't have to look the other way or try to enforce rules that have proven very difficult to enforce. Mostly, this news is a reminder that lobbying dollars can only get you so far when your opponents have enough financial and general support from the same customer base.
"Time and time again, we’ve seen just how impactful our users can be in cities and states across the country," Washington wrote. "And today, the power of your voice right here in Virginia is clear. State officials answered your call for safer, more reliable and affordable transportation options for all Virginians by granting Uber temporary authority to operate in the state – clearing the way for a permanent home for ridesharing in Virginia."
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