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Take the long way home

Posted: December 11, 2023 at 2:00 pm   /   by   /   comments (0)

Council wary on supporting Uride wage subsidy

At last Tuesday’s meeting, in a recorded vote, County Council decided not to financially support Uride, a ridesharing program that has been offering on-demand transportation services to residents and visitors in the County since 2022.

Coming out of the pandemic, the municipality was awarded a Tourism Relief Grant from Fed Dev Ontario. One of the special projects that was undertaken as part of the grant was a pilot program to incentivize a ride-hailing company to start operating in the County.

Programs Supervisor Julianne Snepsts explained that the grant provided 100 per cent of a wage subsidy that was used by Uride to close the gap between the fares that were earned, and paying a living wage to the drivers. The program was continued in 2023, using Municipal Accommodations Tax (MAT) revenue to fund the subsidy as part of the Tourism Management Plan. Last year, Uride offered around 5,300 rides.

On Tuesday, council was being asked to approve $30,000 for a wage subsidy, funded again by MAT revenue, and another $30,000 to develop a micro-granting program to incentivize private-sector solutions to community transportation challenges.

Mayor Steve Ferguson shared some of the positive feedback he had received from users of the service. “The availability of Uride is another attraction to the County, but I don’t agree with it being a continuous subsidy. I’m okay with 2024, but I think it would be a disservice to our visitors and our hospitality businesses to just cut the legs out from under it right now,” he said. Saying that the service is not only filling a large gap to those living in rural areas, Councillor Janice Maynard believed it is also cutting down on impaired driving in the community. “We are certainly discouraging impaired driving by having as many options available, because taxis are not always an option in certain areas in the County,” she said. “The chances of getting a taxi in Rossmore from Picton at the prime time are pretty minimal.”

Councillor Phil St-Jean said he recognized the benefits of Uride, as it filled a gap, but worried about over-incentivizing the company. “Something we all have to bear in mind, is that by the end of this contact, Uride will have received $115,000 in three years. For the first two years of Uride’s operation, our taxi companies got nothing,” he said.

St-Jean then questioned what Council was doing for long-standing businesses in the County. “We did nothing for two years, and we lost a taxi company. It really bothers me that we subsidized somebody new to come in, to the detriment of the industry that existed here. Had we invested in those existing businesses instead of trying to get another one in here, I suspect that other taxi company would still be here filling those gaps.”

St-Jean then suggested reducing the wage subsidy to $15,000, and moving the remaining $15,000 to the the micro-granting program, for a total $45,000. That motion also failed in a recorded vote.

Cody Ruberto, Uride CEO and Founder, responded, saying that the company expresses deep disappointment with Council’s decision, but adds that despite the setback, Uride is actively exploring alternative solutions to continue offering its services. “As Uride strives to develop a sustainable business model in the County, the company emphasizes that without the subsidy from Prince Edward County, and the challenging geographical landscape of the area, providing fair earnings to its drivers becomes difficult. This aspect is fundamental to Uride’s operations and commitment to the community,” he said. “Uride urges the council to reconsider its decision, taking into account the significant implications for community safety and mobility.”

According to Ruberto, in 2023 Uride delivered exceptional service, as 98.25 per cent of their rides were rated five stars. “Our presence has filled a vital gap in transportation services, offering safety and convenience to the residents and visitors.”

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