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Rubio sees Uber lesson in overregulation

WASHINGTON — When Sen. Marco Rubio wanted to take his family to dinner in the nation's capital on Sunday, he got out his iPhone and ordered a car from Uber.

But when he recently talked up the service while home in Florida, he was blocked. "Up comes a message saying, 'Sorry we can't pick you up in Miami because your county commission won't allow it,' " Rubio said Monday while visiting Uber's Washington office.

In Uber, which has felt resistance from the taxicab industry in cities across the country, Rubio sees a lesson in free-market enterprise and the stifling effect of regulation.

"We do need regulations to protect the consumer from unfair practices and to protect the safety of the public," Rubio said. "But what regulation should never be is a weapon that is used by connected and established industry to crowd out innovation and competitors."

In Miami, a person wanting a nontaxi service must wait at least an hour and pay a minimum of $70 regardless of the trip duration, according to Uber.

The company is fighting back. In Tallahassee on Monday, not long after Rubio's appearance in Washington, a panel of lawmakers narrowly approved a proposal allowing companies like Uber to circumvent municipalities and win approval from the state Department of Highway Safety and Motor Vehicles.

The vote came two months after a Miami-Dade county commissioner shelved legislation that would have deregulated the industry and allowed Uber to set up shop in South Florida.

Uber has also been rebuffed in Florida markets such as Tampa, Fort Lauderdale and Orlando, a company spokesman said. It operates in Jacksonville.

Earlier this month, state Sen. Jeff Brandes, R-St. Petersburg, and Rep. Jamie Grant, R-Tampa, filed proposals seeking to create "chauffeured limousine service" to be regulated by the state.

Rubio, who said he had not read that bill, said that the general issue came up in a class he teaches at Florida International University. "I suddenly had a bunch of 21-year-old antiregulatory activists on my hands," he joked at Uber's office, which is very much a construction site, a nod to its fast growth.

The company and its staff exude a youthful, tech savvy that fits Rubio's attempts to show himself as a newer-style Republican. A few weeks ago, the 42-year-old potential 2016 presidential candidate appeared at Google's Washington offices and talked about freeing up more wireless spectrum for the private sector, as well as limiting regulation.

But asked by a reporter Monday if the Uber example may be a way to communicate with young people, Rubio demurred.

"It might be," he said, before saying that his point was to argue "oftentimes big government is an impediment to people who are trying to make it."

Rubio made the trip from Capitol Hill in an Uber-operated Mercedes S-550 Sedan ($23, paid directly through the phone app).

Critics, including taxicab drivers who say their livelihood is being threatened, point out that Uber rides are not always the cheapest option and the company uses a pricing strategy that can drive up rates considerably at high-demand periods.

Rubio, however, sees it differently.

"The loser at the end of the day isn't just the innovator, it's the consumer," Rubio said.

"There's anecdotal evidence that in D.C. the taxicab service has improved" since services like Uber began, Rubio said, citing the use of credit card readers. "The competition is driving an improvement."

Rubio sees Uber lesson in overregulation 03/24/14 [Last modified: Monday, March 24, 2014 8:28pm]
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