The Winthrop Town Council is officially out of the taxi fare rate setting business.
Last week, the council voted to delete the taxi fare section of the town ordinance.
For decades, the council has been in the position of setting taxi rates for what is essentially the one taxi company in town, Winthrop Taxi.
When the council approved a fare increase earlier this year, Council President Jim Letterie and other councilors noted that they would like to see the practice end, stating that it was unfair to set rates for a private business, especially when the town has no oversight for rideshare services such as Uber and Lyft.
“I, and I believe many others on the council, feel that we have neither the expertise nor the knowledge of the financial position of the taxi company to make rational decisions on this,” said Letterie. “I personally believe in times past when we did not have rideshares and other capabilities to get rides, this was more of a detriment for our taxi company to monopolize the town and put an undue burden on the residents by having higher than expected fares. I believe the town has come now for the legislative body of the town to get out of the taxi fare business.”
Several residents did speak out against the council ending its oversight of taxi fare rates, stating it would hurt vulnerable populations in town who depend on the taxi service providing rides at fair prices.
“I think that without any kind of supervision from either the town or another body that it opens the door for the taxi company to increase their rates at their own will,” said John Morgan. “This could affect the seniors in the town, or other people that rely on the taxi. If the taxi owner, which is his business, there is no guardrails to the possibility of this taxi company or another taxi company raising their rates at will without any thought of the citizens of the town.”
Jack Dowd said he agreed with Morgan, and said if the town council took the cap off, the fares would probably double in order to compete with Lyft and Uber.