The New York City Council turned down an offer from ride-hailing apps Uber, Lyft and Via to create a $100 million fund for struggling taxi medallion owners if the council drops certain reform proposals, according to The New York Daily News.
The companies offered to create a nonprofit to administer $100 million in payments over five years to medallion owners who have been negatively impacted by the growth of ride-hailing apps. In exchange, they asked the city council to ignore a bill that would put a yearlong moratorium on new vehicle registration and create a regulatory category for high-volume, for-hire ride-hailing services.
"City leaders have repeatedly stated that helping struggling taxi drivers is a top priority, so it is baffling that they rejected $100 million of direct support for individual taxi drivers," said Joseph Okpaku, Lyft vice president of public policy, according to The New York Daily News. "They are prioritizing wealthy medallion owners over taxi drivers who need help."
Jennifer Fermino, a spokesperson for the city council, said the companies are still welcome to create the fund without the council's permission.
"Lyft and other high-volume for hire vehicle companies are welcome to establish such a fund with a nonprofit and assist drivers who are experiencing serious financial difficulties," said Ms. Fermino. "They don’t need any council authority to do that."