Taxicab Authority reviews increase in the Las Vegas cab rates

The Nevada Taxicab Authority is about to request its board of directors on June 23rd to approve a momentary increase of $0.25 per mile as part of a fuel surcharge to cover the increasing gas costs. However, the Taxicab Authority have expressed that the $3.30 initial fee for hiring a cab will not change at the moment. The price of unleaded fuel is $4.13 per gallon, but if the cost of a gallon l rises to $5 a gallon for five consecutive days, the board will have to take in consideration additional measures. The fuel prices are affecting other sensible areas related with the tourism, the recent increase in the airline tickets costs had a negative impact on the people’s interest, plus, the amount of visitors decreased compared to 2007 due the U.S economic deceleration. This situation has taken some business to crate and develop new strategies and campaigns as a way to attract customers, including free nights, free dinners, casino coupons, etc.

The agency is additionally looking to get a permanent $0.20 per mile increase, raising the cost to ride a cab from $2.20 per mile to $2.40 per mile. In addition, the wait time charges will increase $2 to $30 an hour. The Taxicab Authority executed a similar action when they applied a $0.20 per-mile fuel surcharge in 2007, which became a permanent increase after a few months.

"People don't tip like they used to. The rate increase might help, but the customers will just pay even less in tips." said Art Reynolds, a driver for A-NLV Cab

Frias Holding Cos., which operates Ace, Union, Vegas-Western, North Las Vegas and VirginValley branded cabs, has been replacing its fleet with more fuel-efficient four-cylinder vehicles due the same reason. Yellow-Checker-Star vehicles operate with LPG (Liquefied Petroleum Gas), other companies have deals with retailers that allow taxi cab drivers to fill up at consumer prices. Cab rides on the Las Vegas Strip are often short, however, with the reduction in the amount of people visiting and staying at the Las Vegas hotels, the tax companies are absorbing part of the economic impact, and so have their personal. Rider ship in Las Vegas is down compared to 2007, surprisingly; rider ship among locals has increased due the amount of residents that don't want to drive, which is the main reason why companies are looking into ways to increase the local ridership.

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Comments (1)

curtis steuber
Said this on 6-14-2008 At 09:15 pm
Good heads up and information. Cab rates keep going up :(.
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