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District attorney’s office weighing legal options on Uber, Lyft

The Clark County district attorney’s staff is considering its legal options for dealing with Uber and Lyft, two ride-hailing companies that began operating in Southern Nevada without a county business license.

McCarran International Airport officials also confirmed Wednesday that airport personnel have written citations to ride-hailing company drivers for dropping passengers off at the airport.

Both companies confirmed that they began operations Tuesday afternoon. Neither offered precise numbers for how many rides they provided in their first day of operations, although an Uber spokeswoman said her company had “thousands.”

The two companies began operating after a Clark County Commission meeting that morning at which commissioners were frustrated that Uber and Lyft representatives could not answer why they felt they should be allowed to operate without county licensing.

A Legislative Counsel Bureau interpretation of the legislation signed into law by Gov. Brian Sandoval in May indicates local jurisdictions can’t draft special rules and demand special fees for transportation network companies, but cities and counties can require standard business licenses of contractors who operate in their cities and counties.

Clark County introduced an ordinance Tuesday incorporating transportation network companies into the licensing process. At one point, commissioners considered offering temporary licensing under regulations similar to those used by taxi and limousine companies, but Uber and Lyft consider themselves to be technology companies and not transportation providers so the measure failed to gain support.

The ride-hailing companies indicated they were frustrated with the county because state regulations required them to begin operations by Oct. 15, 30 days from when the Nevada Transportation Authority approved state licensing. The ordinance introduced Tuesday won’t have a public hearing until Oct. 20 because of meeting notification requirements.

McCarran officials confirmed that citations were being written to drivers at the airport, but they offered no details as to how many citations were issued and where.

An Uber customer emailed the Review-Journal and said his driver received a citation when he was being dropped off at the airport.

Uber and Lyft drivers are easily identifiable because they are required to have a decal identifying their company on the front windshield.

Meanwhile, county counsel Mary-Anne Miller notified lawyers for Uber and government relations and business development officials with Lyft that they shouldn’t be operating at Clark County airports, including McCarran, North Las Vegas, Jean and Overton and McCarran’s off-airport car-rental facility.

Miller’s email told the companies to stop advertising their ability to drop off customers at airports.

“We are advised that your companies are advertising the ability of drivers to provide commercial ride services on property of McCarran Airport,” the letter says. “As representatives of your companies have made clear, they are aware of McCarran’s pending permit ordinance adoption and application policies.”

Miller said until the ordinance is approved, the companies can’t operate until they have a business license and airport operating permit.

“Until that time, we insist that your companies cease advertising use of the airport facilities for the services you offer, such as drop offs,” she said.

Chelsea Wilson, a spokeswoman for Lyft, said her company “geofenced” the airport on its app, meaning that a customer can’t request a ride to McCarran. The company also has messaged its drivers that rides to the airport are prohibited.

This is a developing story. Check back here for updates.

Contact reporter Richard N. Velotta at rvelotta@reviewjournal.com or 702-477-3893. Find @RickVelotta on Twitter.

 

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