The Portland City Council unanimously approved a temporary agreement Monday night that will allow ride-sharing service Uber to keep operating in the city until a full set of rules are adopted.

Unlike taxicabs, transportation network companies like Uber that connect passengers and drivers through a mobile app are not regulated in Portland.

The ride-sharing company has been operating as an unregulated service in Portland since October.

“They’re operating without any guidelines at this point in time so we see this as a good first step,” said Councilor David Marshall, who chairs the transportation committee.

Uber and other services like it have generated opposition in cities around the globe, with critics accusing them of operating unlicensed taxi services that undercut traditional competitors.

In Portland, taxi drivers must be individually licensed, pay annual fees, carry special liability insurance and submit to random vehicle safety inspections by the city. Uber drivers are not required to do any of the above, although the company says it imposes its own rules and standards to ensure passenger safety.

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The council’s Transportation, Energy and Sustainability Committee has so far been unable to agree to rules that would ensure the basic safety of vehicles and passengers.

The committee voted 3-0 on April 15, with Marshall absent, to direct city corporation counsel to work out an agreement that would address basic safety concerns such as vehicle inspections and criminal background checks for drivers of the service.

Under the temporary agreement, Uber would be required to carry insurance, inspect vehicles annually and conduct background checks on its drivers. Records would need to be made available to the city and a 24-hour hot line will be set-up to field complaints.

The city would receive $10,000 as part of the agreement.


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