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Uber, Lyft Face Aldermen As Committee Considers Tougher Rules

CHICAGO (CBS) -- A job killer, or an attempt to level an uneven playing field? That's the way two sides describe a proposed ordinance that would force Uber and Lyft drivers to get the same licenses as taxi drivers.

Thirty-four aldermen have backed the ordinance to require part-time drivers for smartphone-summoned ride-hailing services to meet the same licensing and background check requirements as professional taxi drivers.

Companies like Uber and Lyft have said the regulations would make it nearly impossible for their ride-hailing services to operate in Chicago, and drive them out of the city altogether.

As Lyft and Uber drivers and their supporters rallied outside the City Council Chambers ahead of a committee hearing Wednesday, Lyft driver Lamont Campbell said aldermen should not stifle an industry that lets people work enough to help their families, and be there for them.

"Unlike other jobs I've worked, in Lyft, my flexibility and the money that I make on my own schedule, when I want to be available for my children, when I want to be able to pay bills, Lyft has made it available for me to do so," he said.

Omar Duque, president and CEO of the Illinois Hispanic Chamber of Commerce, called it the economy of tomorrow, but backers of traditional cab drivers said current regulations give the ride-hailing industry an unfair advantage and endanger the taxi industry.

Supporters of the ordinance said Uber and Lyft drivers should have to be fingerprinted and undergo the same background checks as taxi drivers before they can get a license to pick up customers.

"We don't want to keep Uber completely out, we just want fair treatment, and that's the problem. They're getting everything on their end granted, and we constantly have to pay for stuff, and they don't have to do that," said taxi driver Bennie Traylor.

Ald. Anthony Beale (9th), the chief sponsor, said his measure would simply level the playing field for cabbies, who have said they are being driven out of business by ride-hailing services.

Uber and Lyft are fighting back, hoping to kill Beale's proposal outright. They agree the taxi industry is over-regulated, but said the solution should be deregulation of cabs, not imposing the same restrictions on ride-hailing services.

While Beale has enough support from aldermen to pass the measure, Mayor Rahm Emanuel has been lobbying against the effort.

A vote is expected next Monday.

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