Henderson business leaders back Uber’s return

Business leaders in Henderson are endorsing the return of Uber’s ride-hailing service to the state, saying existing transportation services need the competition.

Scott Muelrath, president and CEO of the Henderson Chamber of Commerce, said it’s harder to get reliable transportation in the Las Vegas Valley’s outlying areas, such as the Hilton Lake Las Vegas Resort, the site of a Wednesday news conference by the chamber and San Francisco-based Uber.

Uber is making another run at providing its ride-sharing service in Nevada, drumming up support with the Wednesday event in anticipation of state legislation that would allow the company to operate legally.

Executives of the company that operated for 34 days in October and November before shutting itself down after losing a Washoe County court case appeared with Muelrath.

“Lake Las Vegas is a different place these days, with three hotels in operation, two golf courses open and new homes being built,” Muelrath said. “There’s a lot of unmet transportation demand.”

Travis Dillow, a Henderson-based personal trainer who drove for Uber for about three weeks when it was in operation, said some of his best customers took rides to and from Lake Las Vegas.

Dillow said as a part-time contracted driver, he made $1,100 in his first week and averaged about $1,000 a week when he drove.

Uber could — but hasn’t — applied to be licensed by the Nevada Transportation Authority or the Nevada Taxicab Authority. Uber officials have said they believe the company to be a technology provider that connects customers to independently contracted drivers through a smartphone app. As such, they believe they don’t have to comply with requirements placed on taxicab and limousine companies as transportation providers.

Critics disagree. They say Uber should be required to comply with the same safety and insurance requirements mandated in taxi and limousine regulations.

“A Nevada court has held that Uber’s actions are unlawful,” said Kimberly Maxson Rushton, executive director of the Livery Operators Association of Las Vegas.

“Operations such as those conducted by Uber last year jeopardize public safety,” she said. “Uber doesn’t conduct thorough FBI background checks on its drivers, the drivers are not covered by full-time commercial liability insurance and Uber emphatically disclaims responsibility or liability for the actions of its drivers. Uber wants to operate as a Nevada transportation company without regulatory oversight, without the obligation to pay tax and licensing fees and without any regard to the law. This kind of operation presents a danger to the public and is not in Nevada’s best interest.”

Uber officials, backed by at least 11 lobbyists working for the company in Carson City during the legislative session, have been anticipating the introduction of legislation that, if approved, would enable the company to operate again in the state.

State Sen. James Settelmeyer, R-Minden, is expected to be a key player in introducing a bill that would regulate companies that deliver products, including packages, groceries and medical prescriptions. The bill also would carve a niche for transportation network companies that offer prearranged transportation services using online-enabled applications.

Interviewed earlier this month, Settlemeyer said he is awaiting a bill draft request to be completed by the Legislative Counsel Bureau. He said he expects it would be assigned to the Senate committee he leads, the Commerce, Labor and Energy committee, but there are indications it could go to the Transportation committee.

The deadline for individual legislators to introduce bills has passed so any new legislation would have to come from a committee.

Officials are saying a bill enabling Uber to operate could be prepared by the end of the week or early next week.

Any legislation enabling Uber to operate would face heavy opposition from the state’s strong taxicab and limousine industry.

Local taxi companies are on the verge of introducing their own smartphone app, called Ride Genie, that would work similarly to Uber’s technology.

Rushton said the taxi companies in Clark County now offer enhanced residential services that include Henderson, Summerlin, North Las Vegas and the southwestern valley.

“Today, there are taxis stationed at key points throughout the valley, just minutes away, with safe drivers committed to protecting the safety of the traveling public at all times,” she said.

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