Generally, Anchorage residents get excited about new entrants into our economy. New restaurants, retail chains and other types of business are often welcomed to the community with record sales, long lines extending out the door and record wait times.
This was the case with Uber, with social media abuzz about the ride-sharing company launching by giving a ride to members of local band gone huge -- Portugal. the Man. Anchorage Mayor Dan Sullivan, however, told Uber to go away and took the company to court.
Uber customers use an app in their smartphones that sets up a ride, gives a fare estimate, shows the route they will take and a photo of the driver, and allows them to share the route with friends and family who may be waiting.
I had the pleasure of sitting with three members of Uber's team during the Anchorage Chamber of Commerce's "Make it Monday" forum this week – Uber spokesperson Michael Amodeo, Senior Operations Manager Bryce Bennett and General Manager Brooke Steger. I noticed very quickly that when it comes to the ways technology is changing our economy -- they get it.
They also did one thing I didn't expect. They asked me questions about Alaska, the governor's race (since we were at a gubernatorial forum), and then stayed for the entire forum, listened intently and learned as much as they could about their new community -- the community in which Sullivan told them they weren't welcome.
Uber has complied with the court order by offering only free rides in Anchorage -- in fact a couple of people I talked to at the chamber forum had used Uber to get there.
Sullivan is embroiled in a heated battle as incumbent Gov. Sean Parnell's running mate. You'd think the last thing he would want to do is alienate more Anchorage residents than he already has. He has been public enemy No. 1 for public employees -- particularly those in the public-safety sector -- for a long time. Now he's trying to push out of town an innovative company that young Anchorage socialites and people in the municipality's transportation gap are thirsting for.
The taxi industry is regulated like no other industry. When it comes to the taxi industry, Amodeo said that governments become "very married to the status quo." He's right.
Chamber President Andrew Halcro is very supportive of Uber coming to Anchorage. So supportive, in fact, that even though the chamber does not usually allow presentations before debates, he invited the team from Uber to come speak before the gubernatorial forum on Monday -- a move Halcro referred to as a "huge exception." He told me that he made this decision because Uber "is a perfect example of business demanding regulatory reform."
Halcro told me, "I think the most alarming thing to me is the brazenness of the extent to which the cab cartel has dominated. Their permits for the 190 cars are valued at $22 million." He continued "Look at how they operate. They have a monopoly, they run old cheap cars, and their drivers pay at least $500 a week for their cars and a percentage of their fares. This is the mafia on wheels."
I asked Amodeo if he had been approached by Sullivan's administration at all, and he said that they had one meeting very early on. However, mostly it has been members of the Anchorage Assembly that have been willing to work with them.
Assembly members Dick Traini and Amy Demboski have co-sponsored an ordinance that would suspend parts of Title 11 -- the section of municipal code where the taxi regulations live.
This issue provided our mayor an opportunity to show true leadership -- instead, he showed that old-guard politics are still alive and well in the Municipality of Anchorage.
Gov. Parnell just spent years working to win hearts and minds and convince Alaskans that we needed a new tax structure to create a more business-friendly environment. Now, his running mate -- Mayor Sullivan -- is doing everything he can to ensure that this innovative new business gets the message that Anchorage is not open for business.
Uber is a great fit for Anchorage. We have a growing young professional demographic. This can be seen in the number of office buildings going up, every day in every part of town. The Anchorage populace also has money to spend and is willing to spend it. You can see this as you're waiting 45 minutes to get a table in the middle of the week at many popular eateries. People in this demographic are not only generally less likely to use cash, but they are more and more likely to carry no wallet at all. They use new technology like Apple Pay, Google Wallet and Near Field Communications from their smartphones.
This is a concept for old-guard politicians to understand, but they'd prefer not to. If companies like Uber are allowed to thrive in Anchorage, those in the "cab cartel" could try to sue the city for devaluing their permits. The easiest thing to do is stall and delay.
In the end Andrew Halcro sums it up best. "Why isn't Mayor Sullivan leading the charge if Anchorage is really open for business?"
Mike Dingman is a fifth-generation Alaskan born and raised in Anchorage. He is a former UAA student body president and has worked, studied and volunteered in Alaska politics since the late '90s. Email michaeldingman(at)gmail.com.
The views expressed here are the writer's own and are not necessarily endorsed by Alaska Dispatch News, which welcomes a broad range of viewpoints. To submit a piece for consideration, email commentary(at)alaskadispatch.com.
Alaska Dispatch Publishing