Minneapolis' only two licensed ride-hailing companies, Uber and Lyft, have vowed to stop serving the city on May 1, when a new ordinance requiring minimum driver pay takes effect.
It's been controversial. Groups of well-organized drivers have complained of substandard pay, and the rideshare companies have said — after mounting pressure — they'd accept some level of minimum pay requirements.
But the figures set by the City Council, over the veto of Mayor Jacob Frey, appear to be so high that the companies would rather leave. Other drivers have said the existing pay levels are fine.
Here are some answers to questions we've been getting a lot:
Is this really happening?
It looks like it. Both companies have told drivers and riders that they're done come May 1. Uber has said it will close its only Twin Cities service hub on April 15.
Some supporters of the city ordinance say they're bluffing.
Can this be undone?
Yes, but perhaps not in time to avoid all disruptions. The City Council still has time to lower its pay minimums, and a majority of members say they're open to doing that at the end of April.
Another option: State lawmakers and Gov. Tim Walz could create a law that trumps the city ordinance. They're grappling with it. That's what lured Uber and Lyft back to Austin, Texas, a year after a city ordinance prompted them to leave.
The companies could also just decide to not leave; they're not being kicked out.
Which company is leaving where?
Uber says it will cease operations in the entire seven-county metro, including Minneapolis-St. Paul International Airport.
Lyft says it will pull out of Minneapolis only — no pickups or drop-offs within the city limits. It will still serve the airport, which lies outside the city, as well as St. Paul and the suburbs.
Are there still taxis?
There are, but not many — although their numbers are growing. March started with a mere 14 cabs licensed to operate in Minneapolis, the result of a collapse in the years since Uber came to town. Those numbers could shoot up, potentially fairly soon; a lot of Uber and Lyft drivers used to be cabbies. In fact, as of last count, the number of cabs had grown to 33, according to city data.
Here's an in-depth look at the state of the Twin Cities taxi industry.
Are other companies coming in?
A bunch say they are. We've tallied as many as eight, although some of those aren't confirmed, and as of late March, only one had actually begun the license application process with the city.
The companies we've heard from range from local startups to companies operating in numerous other cities, and they have revenue models that range from co-ops to a franchise model that allows drivers to set their own fares and keep all the money.
City Council leaders say they're exploring how to lower barriers to entering the market.
So how will I be able to get around?
A pair of our reporters took to the streets to try to compare taxis, and public transit to Uber and Lyft. Here's what they found.
