Austin to Tax E-Scooter Rides At $0.15 Per Trip
Austin’s newest tax is a 15 cent per-trip fee on e-scooter companies, which the city says will raise revenue to cover the cost of regulatory staff who monitor the use of scooters in Austin.
Transportation Director Robert Spillar informed the Mayor, City Council, and City Manager of the change in a memo dated December 10. The City Council had authorized Spillar to levy a fee of up to 40 cents per trip, but he opted for a lower amount.
“After receiving direction from Council during the budget process… the Austin Transportation Department met with each of the shared mobility providers individually to assess financial obligations and determine an appropriate per-trip regulatory fee,” the memo says.
“As a result of these meetings, we believe the implementation of a 15 cent, per trip fee, is both reasonable and practical and will assist in funding the additional staff required to adequately regulate and monitor the shared mobility program.”
Scoter companies already pay a $30 permit application per scooter every six months. The City further collects fines from the companies for impounded electric scooters.
Spillar noted in his memo that he believes the city’s licensing framework, which is just over a year old, has worked well thus far. But he cautioned against changing the fees now, saying, “any major changes might distress a still immature industry.”
The Transportation Department uses the term “shared mobility providers” to refer to the scooter companies. The term also encompasses Revel mopeds, OjO mopeds, and shared bicycles, all of which will be subject to the new fee.
Austin has issued permits for more than 16,000 micromobility devices, including 4,500 Bird scooters, 5,000 Lime scooters, and 2,000 Lyft scooters.
The new tax likely will take effect sometime in early- to mid-2020 as the Transportation Department plans to begin a formal rule revision process in early 2020.
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Originally published at https://www.honestaustin.com on December 13, 2019.
