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EDITORIAL: City’s fee on Uber, Lyft a money grab that hurts constituents

At a time when Nevada residents and record-breaking numbers of tourists finally are breaking free from the grip of the Great Recession, the very last thing they need are additional taxes and fees.

Alas, why should that be a concern of the city of Las Vegas, which voted 4-2 last week to impose a $50-per-"active driver" semi-annual business license fee on transportation network companies such as Uber and Lyft.

Those companies already pay hefty fees to the state, as well as an additional business license fee charged by Clark County. Now, Uber and Lyft will pay more into the city's coffers.

But make no mistake: That money will be coming from passengers, whether your destination is the Strip, downtown or even just getting across town while your car is in the shop.

The vote was especially callous in light of a recent audit of the Taxicab Authority's ridiculously industry-friendly regulation of Clark County's cabs. The audit revealed passengers are being gouged by high credit card and fuel surcharge fees, which allowed the industry to make a record $425.5 million despite an overall decrease in taxi trips.

And even in dissent, at least one member of the City Council succumbed to T.S. Eliot's last temptation, doing the right thing by voting against the fee, but doing it for the wrong reason. Councilman Bob Coffin said he'd have preferred if the fee came with an entire regulatory scheme including fingerprinting and background checks of every Uber and Lyft driver operating in the city. Perhaps if the companies submitted to that imposition, Mr. Coffin said, they could get a discount on the fee.

Instead of trying to impose additional fees or regulations, however, members of local government should recognize Uber and Lyft are taxed and regulated enough by the state. For the sake of their constituents' wallets, local governments should leave well enough alone.

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