Uber just keeps hitting those potholes on the road to ride-sharing dominance.
In the latest in a string of glitches in the San Francisco-based start-up’s plan to rule the world of social-mobile chauffeuring, Uber has shut down operations in Kansas, says a Reuters’ blog post, after state lawmakers overrode Gov. Sam Brownback’s veto of legislation to tighten up ride-sharing services.
Uber said the bill makes it impossible for it to operate in the state.
The Kansas Senate on Tuesday voted 96-25 to override Brownback’s veto of the Kansas Transportation Network Company Services Act.
The bill requires companies to certify that drivers have comprehensive and collision insurance, and requires new drivers to undergo a background check performed by the Kansas Bureau of Investigation.
Uber says it already conducts its own third-party background checks and provides commercial auto insurance coverage.
Despite Uber’s ballooning multibillion-dollar valuation and its staggering growth around the world, the company keeps getting sideswiped by these pesky municipal regulations, one city after another.
The company has been fighting with cities across the United States, contending it is not a taxi service and should not be required to adhere to existing taxicab regulations.
Uber said in March it would halt operations in Anchorage, Alaska, until the city can work out details enabling the company’s drivers to accept paying fares.
In Oregon, the city of Eugene sued Uber in March, asking the court to stop Uber from operating until it meets what the city calls “minimum safety requirements.”
Uber in February said it would suspend operations in Boise, Idaho, after reaching an impasse in negotiations with city leaders over new regulations.
As Kansas.com points out, Uber’s move came in the midst of a bit of political horse-trading, Kansas-style:
“Uber has ceased operations throughout the state,” said Uber spokeswoman Lauren Altmin in a statement. “We’re saddened by the loss of hundreds of jobs, safe rides and transportation choice for consumers in Kansas.”
Altmin sent the statement after the Kansas Senate voted 34-5 to override Brownback’s veto, but before the House voted. The House voted 96-25 about 10 minutes later.
“Before the vote started, I checked the (Uber) app and they said they’d pulled out of Kansas already,” said Rep. Steve Anthimides, R-Wichita. “So our vote at that point was moot in the House.”
But some lawmakers voiced confidence that the national company would return and said they were willing to work on a compromise.
Senate President Susan Wagle, R-Wichita, called Uber’s announcement “pure political theatre.”
Credit: SiliconBeat
