Uber says a rule that its drivers must have a valid Oregon driver’s license represents a major sticking point threatening its return to the Eugene-Springfield area.

In a joint letter, Uber and Lyft raised objections to proposed ride-hailing rules Eugene city officials drafted and put out for public review earlier this month. Once the rules return, the companies could apply for an operating license.

Uber and Lyft’s Return to Oregon Delayed

The letter doesn’t specify the proposed rule or rules that Uber and Lyft find objectionable. But in an interview, Friday, Nathan Hambley, an Uber spokesman, said the Oregon license requirement is a major concern. A Lyft representative couldn’t be reached for comment, and it’s unclear if that company shares the same concern.

Hambley said the requirement removes a large candidate pool of drivers who are students at the University of Oregon. He said no other Oregon city has such a requirement.

Lindsay Selser, a city spokeswoman, said the requirement ensures the city, through a contract with the state Driver & Motor Vehicle Services, gets notified whenever any licensed driver is cited or arrested for an offense such as drunk driving.

The city “would not receive a similar notification for an out-of-state driver’s license, which poses a significant safety concern,” she said. “Notably, many other jurisdictions require in-state driver’s licenses for (ride-hailing) drivers, such as the entire state of California.”

Under the long-standing requirement, a candidate driver must present a valid Oregon driver’s license when applying for a driver certification to work as a for-hire driver in the community. The city would have the authority to revoke the license for driving violations.

City Staff Is Looking Into It

Selser said city staff will review all the comments and may make changes to the rules before adoption.

“We continue to be hopeful we will reach a solution that works well for all while maintaining important community safety standards,” she said.

The letter came in response to the city’s proposed rule changes that officials put out for public review and comment. The city has received 78 comments as of Friday. The deadline is June 29.

Even if the city were to remove the licensing requirement, Hembley said Uber would need to review the adopted rules before making a decision to apply to resume operations in the Eugene-Springfield area. The city of Eugene would manage the permitting process for ride-hailing companies that also operate in Springfield.

Uber had operated in the Eugene-Springfield area for less than a year before it suspended operations in April 2015. At the time, a city hearings official ruled that the company must secure a vehicle-for-hire license to continue operating in Eugene. To settle a lawsuit filed by the city, Uber then agreed not to resume service in Eugene without securing that license.

Important to mention that Lyft has never operated in the Eugene-Springfield area.

In April, Eugene city councilors changed the ordinance to ease the requirements to help lure back the ride-hailing companies while seeking to protect public safety and maintain the same rules that apply to taxi companies. The city is taking public comment before adopting the rules.

The changes came after intense lobbying by Eugene’s tech and business sectors whose representatives said the ride-hailing companies provide an important transportation alternative for visitors.