Uber leaves Austin after threatening to leave El Paso

Uber and Lyft are suspending service in Austin.

Voters decided to keep requirements that include fingerprint-based background checks for their drivers. The companies stopped services Monday morning.

A similar Uber debate continues in El Paso. ABC-7 looked into what Uber pulling out of Austin, could mean for El Paso.

Uber made the same threat a couple of weeks ago to shut down in El Paso, if City Council adopts a new vehicle for hire ordinance requiring background checks. It has both sides, including taxi companies, positioning themselves for a possible vote.

“I think it’s a real loss for Austin,” City Rep. Cortney Niland said. “I think it’s a real loss of jobs and supplemental income for people.”

Niland said if El Paso loses Uber, like Austin did, it could hurt the economy.

“You’ve seen more people go out and enjoy entertainment venues, because they have a safe ride, affordable ride, home,” Niland said.”Well, that’s money getting paid into the sales tax, the alcohol beer tax … These are real tangible dollars.”

She’s convinced requiring Uber drivers to have background checks separate from the company would have a huge impact.

“We have to be careful as policy makers not to put forth regulation that could kill the market,” she said.

Joe Olivar is owner of Border Cab Taxi, whose drivers are required to have background checks, unlike Uber drivers.

“That type of policy, is not a good policy,” Olivar said. “If you make them comply with the rules, they will huff and puff and they will probably pull out like they did in Austin, and they will come back within a couple of weeks or a couple of months. They just want to see how far they can push a city.”

Taking a page from Uber, Olivar’s company has launched a new app called “Andale Ride” that he says will replicate what Uber does.

“I’ve heard the people of El Paso loud and clear,” Olivar said. “They’ve wanted better service. As you can see on our screen, we can monitor the vehicles in real time. It will give you the rate as to where you’re going beforehand, so you’ll know what you’re going to pay. It’s pretty simple to use.”

Sort of like Uber.

“It really is,” Olivar said. “At the end of the day, after seeing what was taking place in the industry, I decided if you can’t beat them, join them.”

Council will again discuss changes to the vehicle for hire ordinance May 17.

ABC-7 checked around and found fingerprinting for a background check costs about $15 to $35 in El Paso.