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FTC Staff Supports Regulatory Changes that Promote Additional Competition in Passenger Vehicle Transportation Services in Anchorage, Alaska

Agency: Federal Trade Commission
Date: 26 April 2013
Federal Trade Commission staff submitted written comments regarding certain proposed changes to Anchorage, Alaska’s regulatory framework for passenger vehicle transportation services, such as taxicab, sedan, and limousine services, in response to a request by Anchorage Assembly Member Debbie Ossiander.

A proposed ordinance would allow additional entrants into taxicab services through 2022, after which there would be no limits on how many taxicabs could operate in Anchorage. FTC staff strongly supports eliminating restrictions on the number of vehicles that may provide taxicab service by 2022, or sooner, if practical, because additional entrants will generate consumer benefits and encourage competition.

The staff comments also recommend that, in markets with open entry, rates regarding passenger vehicle transportation services should generally be set by competitive forces and disclosed in a truthful and non-deceptive manner.

In addition, the comments suggest that the Assembly may want to consider additional steps to modernize its regulatory framework to respond to the development of smartphone software applications that provide consumers with new means of arranging for passenger vehicle transportation services and other new services.

The Commission vote approving the comments was 4-0. (FTC File No. V130003; the staff contact is Christopher Grengs, Office of Policy Planning, 202-326-2612).

The Federal Trade Commission works for consumers to prevent fraudulent, deceptive, and unfair business practices and to provide information to help spot, stop, and avoid them. To file a complaint in English or Spanish, visit the FTC's online Complaint Assistant or call 1-877-FTC-HELP (1-877-382-4357). The FTC enters complaints into Consumer Sentinel, a secure, online database available to more than 2,000 civil and criminal law enforcement agencies in the U.S. and abroad. The FTC’s website provides free information on a variety of consumer topics. Like the FTC on Facebook, follow us on Twitter, and subscribe to press releases for the latest FTC news and resources.



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