in a cab, no one knows where you are unless you report it,” he said. In an Uber, a person’s location is being monitored via the app. On October 24, all speculation was put to rest. Legislation was passed, resolving the uncertainties. A statement released from Pennsylvania Gov. Tom Wolf read: “I am pleased the legislature worked with me to finally pass a long-term solution for ridesharing companies like Uber and Lyft to operate everywhere in Pennsylvania. (Philadelphia was the only place the service had not been authorized). The commonwealth has proven to be a place where these companies can invest and grow, and we must continue to find ways to fuel the development of these and other high-tech companies.” Wolf’s statement not only applauded the resolution, it underscored that two-thirds of all revenue from ridesharing services in the city will now go to the struggling Philadelphia School District to “help the district continue to strengthen its financial footing.” Just days after the legislation passed, on November 1, Septa workers went on strike. Uber and Lyft were busier than ever. Lyft spokesperson Mary Caroline Pruitt says there was a 46 percent increase in rides in just one day. “Two thousand new passengers took their first (Lyft) ride on November 1.”
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When demand outweighs the number of available drivers, Uber’s typical competitive pricing changes to dynamic pricing. When dynamic pricing kicks in, Uber drivers are incentivized to head to those areas. Ewer explains that when demand outweighs the number of available drivers, Uber’s typical competitive pricing changes to dynamic pricing: “Uber drivers decide when and where to work, so when dynamic pricing kicks in, they’re incentivized to head to those areas. Dynamic pricing is the algorithm that raises fares when rider demand outstrips available drivers.”
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nother victory occurred in early November, notes Ewer, as a Pennsylvania federal judge dismissed the lawsuit originally brought by the taxi association. And in Harrisburg, on November 4, surrounded by a number of bill supporters, Wolf signed Senate Bill 984. In a released statement, Wolf said: “This bill puts an end to any question about these companies operating in our Commonwealth, especially in Philadelphia. The
bill also protects consumers with background checks and thorough vetting for drivers, making sure we are doing all we can to keep riders safe and secure.” Drivers are now required to carry insurance and must undergo criminal background checks. In the statement, bill sponsor State Sen. Camera Bartolotta said that the legislation recognizes the growing demand for these services. “Companies like Uber and Lyft have revolutionalized the way that many transportation needs are met.” Described as a win-win, bill supporter State Sen. Vincent Hughes concluded: “This is a victory for Philadelphia’s consumers, but it’s also a victory for our schools. I am very proud that the majority of the tax revenue generated by ride-sharing will go to the Philadelphia School District. Our schools need every dollar that we can find.” n Visit www.uber.com or www.lyft.com