Mayor Baraka today announced a tentative agreement with UBER – pending signatures by both parties — that protects the safety of riders and includes a $10 million permit fee by UBER to the City of Newark over 10 years specifically for operating at Newark Liberty International Airport. The City will host a press conference on Monday with the interested parties.
Under the terms of this agreement, UBER will:
- Pay $1 million a year over 10 years to the City of Newark for operating at Newark Liberty International Airport
- Provide $1.5M of commercial liability insurance coverage for all transportation network company drivers operating on the platform
- Conduct background checks on all drivers through a nationally accredited, third-party provider. These checks will examine county, state and federal records, as well as motor vehicle records, sex offender registries and terror watch lists
- Enforce a zero tolerance policy for drug and alcohol use by drivers using the UBER app.
In a statement released just after the agreement was reached, Mayor Baraka said:
“In proposing to regulate UBER in Newark, my goals have been to protect the safety of UBER riders, to require UBER to pay its fair share including fees and permits under the same kind of regulations as other businesses in Newark, and to create a level playing field for UBER and the Taxi and Limousine Industry. This agreement achieves just that.
“UBER provides a valuable service. All we asked is that UBER drivers who service the people of Newark submit to strict background checks and that the company pays license fees just like other transportation companies in the city. We license every business from restaurants to nail salons. It is only fair that UBER be subject to this same standard to operate in Newark.
“The agreement we reached is fair to all and allows UBER to become a good corporate citizen alongside Airbnb, another Internet-based company that agreed to regulation by Newark this past week. Newark has now led the way for the entire state of New Jersey in terms of striking a fair balance that allows the tech sector to thrive while playing by the rules.
“This agreement is good for economic development and job growth in Newark. UBER now is in a position to contribute to our city’s rapidly expanding technology sector. I continue to believe that the State Legislature must enact uniform regulations for companies like UBER and for the Taxi and Limousine Industry. The existing patchwork of different regulations in different cities is unfair, bad for riders, bad for safety and bad for the transportation industry. Newark is the first city in New Jersey to enact fair Transportation Network Company regulations, and I believe we are now a model for the State as it moves forward on statewide regulations.”
