Local News


Cab company owners forced to justify overcharges

Posted at 7:14 PM, Feb 09, 2016
and last updated 2016-02-10 13:17:27-05
Cab companies are on the defense after a report that Clark County riders were overcharged by $47 million last year.
A state audit of the Taxicab Authority released last month came up with that number.
It's been a black eye for the cab industry, and high fees are making a difference to the drivers' bottom lines. 
"It's absurd how much they get for a credit card fee," said Sam Moffitt, a driver for Yellow Checker Star.
Las Vegas cabs charge a $3 fee when riders pay with a debit or credit card.
It doesn't sound like much, but the audit found those charges contribute a significant amount to the annual overcharges.
Moffitt says he and his colleagues don't collect any of that extra money, and in fact, the excessive fees are hurting them.

"Many of the passengers think that this three dollars is part of the driver's tip, when actually it's nothing," he said.

Cab companies are standing up to justify their prices.
"[The auditors] made it look like the industry is bilking the public," said Jason Awad, the owner of Lucky Cab. "This is absolutely false."
Awad says the audit data is misleading.
He explained that the fees pay for the card swipe machines, and he calls for an independent review of the industry.
"This purely has been a smearing campaign against so-called greedy owners who want to gouge the public, which is not true," Awad said.
Taxicab Authority board members didn't immediately return our phone calls.