Minnesota House Republicans will pitch their rideshare bill Monday

ST. PAUL, Minn. — Minnesota House Republicans plan to introduce a bill Monday to help keep Uber and Lyft operating in the Twin Cities.

The proposal comes after both companies threatened to pull their services from the metro on May 1 following the Minneapolis City Council’s decision to pass an ordinance raising the minimum wage for rideshare drivers.

Rep. Elliott Engen of White Bear Lake is introducing a bill that would essentially override Minneapolis’ ordinance and prevent any city or municipality from setting their own rules for rideshare driver pay. 

State DFL leaders introduced a bill last week regarding driver pay.

Here’s how this bill compares to the newly passed Minneapolis city ordinance: Leaders say the bill, in part, relies on what they call productive conversations with Uber and Lyft, as well as research conducted by a taskforce that was created last year after Gov. Tim Walz vetoed a measure that would increase driver pay. 

The bill includes a pay bump of $1.39 per mile and 49 cents per minute, which is slightly lower than the $1.40 per mile and 51 cent per minute ordinance passed in Minneapolis. 

It is higher, however, than what was reported in the research, which says drivers in the Twin Cities Metro need to earn 89 cents per mile and 49 cents per minute to earn Minneapolis’ minimum wage after paying for vehicle expenses and payroll taxes. 

The report also came up with a second higher estimate of $1.20 per mile and 49 cents per minute that would ensure drivers could afford health and retirement benefits. 

The DFL bill was introduced by Rep. Omar Fateh, who also introduced a bill last legislative session that had similar wage hikes, which Walz vetoed.