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Lyft and Uber Might End Their Services in Minneapolis

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Lyft and Uber Might End Their Services in Minneapolis


Could getting from place to place using Uber of Lyft become a thing of the past? If you’re using it to get around Minneapolis, that’s a very real possibility. As NPR’s Dara Kerr reports, both rideshare companies have threatened to exit Minnesota’s largest city. The issue at hand is a city council bill that would require rideshare companies to pay their drivers a minimum wage.

As Kerr writes, the bill has gone through several iterations and has been repeatedly vetoed by Minneapolis mayor Jacob Frey. The council then overruled Frey’s veto, with the law set to go into effect on May 1. It’s that date that’s emerged as a flashpoint, with Uber’s senior director of public affairs telling NPR that the city council had “[kicked] Uber out of the Twin Cities.” Which seems like a stretch.

This feels more and more like a high-stakes game of chicken than anything else, with the livelihoods of numerous drivers in the balance. It’s also worth pointing out that alternatives to these companies do exist — including taxis and other startups. Veena Dubal of the University of California-Irvine told NPR, “[I]f they do leave, high road alternatives will take their place.”

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The conflict is one that’s long hovered over discussions of the gig economy, namely — to what extent can rideshare companies’ treatment of workers who aren’t technically employees be regulated? It’s been an area of concern for state and local governments around the country, and it’s also led to the creation of a few startups — Revel and Alto among them — that have opted to hire drivers directly.





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Minneapolis, MN

Minneapolis Blanketed With Snow Overnight

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Minneapolis Blanketed With Snow Overnight


Minneapolis residents woke up to snow on Wednesday, November 26, after the first snowstorm of the season dumped several inches of snow on parts of Minnesota. This footage filmed and posted to X by user @JonathanQ12345 shows snow blanketing a street in Minneapolis’ North Loop neighborhood on Wednesday morning. According to the National Weather Service (NWS), parts of Minneapolis received 2 to 3 inches of snow, while neighboring areas received 4 to 5 inches. Snowfall is expected to end on Wednesday, the NWS said. Credit: @JonathanQ12345 via Storyful



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Former Minneapolis teacher and coach sentenced to life in prison for sexually assaulting children

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Former Minneapolis teacher and coach sentenced to life in prison for sexually assaulting children


A former Minneapolis teacher and coach was sentenced to life in prison Tuesday in connection with 12 counts of rape and sexual assault of victims under 13 years old.

Aaron James Hjermstad (Courtesy of the Minnesota Department of Corrections)

Aaron James Hjermstad, 46, pleaded guilty in September to 12 counts of first-degree criminal sexual conduct involving victims under 13 years that took place between 2013 and 2021.

In addition to being sentenced to life in prison with the possibility of parole after 30 years, Hjermstad must register as a predatory offender and will be on lifetime conditional release if he is ever paroled.

“My thoughts today are solely with the many victims in this case. What they endured as children is nothing short of horrifying,” Hennepin County Attorney Mary Moriarty said. “Mr. Hjermstad is being held accountable, and a sentence of this length removes the possibility of further harm at his hands for decades to come.”

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The attorney’s office said Hjermstad had coached many of the children or one of their family members. Hjermstad worked as a physical education and health teacher at The Mastery School and a basketball coach at Hospitality House Youth Development and Harvest Best Academy.

At the time he was charged, he’d already been convicted for similar assaults against 3 other victims, but he fled the state before he was sentenced.

In December 2021 he was caught in Idaho during a traffic stop. Law enforcement officials found thousands of videos showing him assaulting children. Some of the videos were taken at his Brooklyn Center home including footage with the 12 victims which led to the additional charges.



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Minneapolis rent price-fixing lawsuit settlement proposed by DOJ

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Minneapolis rent price-fixing lawsuit settlement proposed by DOJ


The Department of Justice (DOJ) has proposed a settlement with RealPage, the company that created an algorithm used by several major landlords accused in a rent price-fixing scheme, including four that operate in the Twin Cities, that would resolve a lawsuit brought earlier this year.

Justice Department proposal

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What we know:

Under the proposal, RealPage would agree to limit the data it uses for its algorithm and modeling.

If accepted, RealPage would no longer be able to use real-time, nonpublic data to set rental prices nor train AI or algorithms on leases that are less than 12 months old.

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RealPage would also be restricted from sending surveys landlords to get private pricing information.

As part of the agreement, RealPage also agrees to cooperate with the Justice Department in its lawsuit against other major landlords.

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What they’re saying:

In a press release, the Justice Department says the agreement will help “restore free market competition in rental markets.”

“Competing companies must make independent pricing decisions, and with the rise of algorithmic and artificial intelligence tools, we will remain at the forefront of vigorous antitrust enforcement,” said Assistant Attorney General Abigail Slater of the Justice Department’s Antitrust Division in a provided statement.

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Ongoing lawsuit against landlords

The backstory:

Earlier this year, the DOJ sued six of the nation’s largest landlords, including Greystar Real Estate Partners, Cushman & Wakefield, Willow Bridge Property Company and Cortland Management, which operate in the Twin Cities.

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The landlords were accused of using the RealPage algorithms and by sharing data with each other to drive up rental prices in Minneapolis and elsewhere.

“The idea is that landlords are conspiring to keep rents high for renters rather than allowing the market to normally set them to a rate that’s reasonable,” Julia Zwak, an attorney at Mid-Minnesota Legal Aid, told FOX 9 in January. “They’re getting information that normally competitors in the market wouldn’t be sharing with one another.”

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After news of the lawsuit became public, the Minneapolis City Council passed an ordinance banning algorithmic rental price fixing.

Settlements reached:

After FOX 9 became aware of the lawsuit in January, Cortland Management announced it had reached a settlement with the Justice Department to stop using the pricing algorithms.

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Last week, Attorney General Keith Ellison, who is involved in the lawsuit on behalf of Minnesota, also announced last week a settlement with the nation’s largest landlord Greystar. Greystar, which owns 950,000 rental units across the country including thousands in Minnesota, agreed to pay $7 million and stop using anti-competitive pricing algorithms to set rental prices.

HousingMinnesota



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