'Fun' Lyft cars to roll into Pittsburgh
Giant pink-mustachioed cars are scheduled to make their Pittsburgh debut Friday.
Lyft, a popular driving service booked through a phone app, will roll out its entrance into the Pittsburgh market, prompting competitors like Yellow Cab to vow a fight over licensing of the new company.
“We're really excited to launch in Pittsburgh. The car has a big, pink, funny mustache. It's part of the fun of the Lyft experience. It serves as an icebreaker,” said spokeswoman Erin Simpson. “When we created Lyft, we set out to create a reliable, safe way of transportation.”
Users book a ride from an app and pay suggested donation by credit card through their phone. Drivers, who typically greet passengers with a fist bump, use their personal cars with a pink mustache hooked on the front as identification for the car service. The tech-savvy company is based in San Francisco and offers services in 20 other cities.
Jamie Campolongo, CEO of Pittsburgh Transportation Group, which owns Yellow Cab, accused Lyft of operating illegally without proper licensing from the Public Utility Commission, which regulates cabs.
“I have the same concerns with them as any other illegal operation. They have an arrogant disregard for regulatory issues. We have regulations we have to follow,” Campolongo said. “We'll fight them. We'll go to the PUC.”
He also threatened to take pictures of driver's license plates and send them to their insurance companies.
PUC spokeswoman Jennifer Kocher said any company or private contractor providing transportation for compensation must be licensed through the agency. She said Lyft is not licensed.
“If they do it without a license, they could potentially have a problem,” Kocher said. “We could fine them and pursue criminal charges.”
Kocher said the agency has received several calls from cab companies complaining about Lyft's plans.
In addition to a company license, the PUC inspects taxis and conducts other reviews.
Simpson said Lyft has stringent requirements for its drivers, including background checks.
Drivers must be at least 23 and have a 2000 car or newer. Lyft provides $1 million in excess liability insurance for its drivers. And passengers and drivers alike can rate each other on the app after the ride.
“We have strict safety requirements,” Simpson said.
Campolongo criticized Lyft's requirements, saying his drivers are screened more thoroughly and are provided with more training.
“Our rates are controlled by the PUC, so everyone follows the same rules,” Campolongo said.
Fights over state and municipal regulations is nothing new to Lyft. There have been clashes with traditional cab companies in Atlanta, Dallas and Seattle as government leaders grapple with how the company should be regulated.
The California Public Utilities Commission last year that web-based car-sharing companies will have to make sure drivers undergo training and criminal background checks and have commercial liability insurance under rules approved by California regulators.
Commissioners there said the rules were needed to ensure public safety and a level playing field with traditional taxi services.
Bobby Kerlik is a staff writer for Trib Total Media. He can be reached at 412-320-7886 or bkerlik@tribweb.com.
