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As Gas Prices Drop, So Does Cab Surcharge

By Marcus Gilmer in News on Oct 28, 2008 4:25PM

With gas prices finally coming down, the $1 surcharge added in April to help alleviate the financial pressure on cab drivers will be reduced to $0.50 per ride on Friday. The way the surcharge is set up, passengers pay $0.50 a ride if the local price per gallon of gas is at or above $2.70 and $1 if the price is at or above $3.20. Cabs are required to post a placard informing riders of the surcharge; the city began sending out new placards for the new surcharge last week. Locally, the average price of gas is at $3.01 a gallon as opposed to $4.01 a month ago, but still above the $2.89 per gallon price from this time last year. Earlier this fall, cab drivers asked for a fare increase and their wish was granted in the form of a 16 percent fare hike which takes effect sometime early next year.