Uber discusses plans for Corridor

CEDAR RAPIDS - Uber - the fast-growing ride-sharing service that has faced a string of criticisms this week - was nonetheless met with enthusiasm Thursday, when the company discussed plans to launch in Cedar Rapids and Iowa City in the coming months.

Representatives of Uber, a company that connects ride seekers with drivers through a smartphone app, met with economic leaders in Cedar Rapids and Iowa City on Thursday to answer questions and discuss logistics.

'We are still working through things on the regulatory side. We've been working with Iowa City,” Jasmine Almoayed, an economic development liaison for Cedar Rapids, told the representatives during a meeting at the Economic Alliance office on Thursday.

She said she sees Uber as a regional transportation service for the Corridor.

Pooneet Kant, a general manager for Uber in the Midwest, said during the meeting the company is actively accepting driver applications in the area. KCRG-TV9 reported some advertisements promised up to $18 per hour for drivers.

He described the launch process unfolding in the coming weeks or months. Local officials declined to predict how soon Uber will be available, noting it will take time to draft sound regulation that will set a precedent if other companies in the Uber model come to the area. 

Kant said he doesn't see Uber competing with existing transportation options. Instead, it would play a role as people look to leave behind their personal vehicle.

'When you start contemplating the idea of not driving a personal vehicle, you start using all of the other options more,” he said.

Kant said the company is also looking at offering service in the Quad Cities.

Uber's visit came during the same week that the San Francisco-based company has been battling a range of concerns over rider privacy, sexism, assaults by drivers, and controversial comments about journalists from a company executive.

The recent headlines didn't dampen the promise local leaders, such as Cedar Rapids Mayor Ron Corbett, see in having Uber or other similar services in the area.

'You can't base your regulations on one or two incidents,” Corbett said.

He said Uber requested Cedar Rapids and Iowa City amend cab regulations to accommodate their business model. 'Uber and companies like Uber have really transformed the way the whole cab industry is operating,” Corbett said. 'Their embracement of technology and the features have really made their service more attractive than the cab service.”

Nancy Quellhorst, president of the Iowa City Area Chamber of Commerce, said the popularity of the service is a testament to its safety and usefulness, and she said she's had positive experiences personally.

'By and large I think in terms of the safety; they require $1 million of insurance for drivers,” she said. 'They only allow vehicles that are six months old or newer. They have stringent background checks for drivers. It's not like we would be liability-free, but it would be a very good option for our community. There is a reason they are in 50 countries and growing.”

Uber creates a wrinkle for cities trying to figure out how it fits with regulations drafted before the technology existed. Officials in Iowa City and Cedar Rapids are working jointly on a new set of rules, and Corbett said he hopes it spawns more regional cooperation.

Calls expressing interest in having Uber in Eastern Iowa picked up after the service launched in Des Moines in September, Quellhorst said. That launch came without city approval, and officials are now working to revamp policies.

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