D.C. Mayor Proposes Tax Increase on Ride-Hailing to Fund Transit

Mayor Bowser's 2019 budget also continues investments designed to create affordable housing and distribute homeless shelters throughout the city.

1 minute read

March 29, 2018, 8:00 AM PDT

By Elana Eden


D.C. Streetcar

mariordo59 / Flickr

"The District would raise taxes on sales, commercial property and ride-hailing services such as Lyft and Uber to increase funding for Metro under the 2019 budget Mayor Muriel E. Bowser (D) proposed," The Washington Post reports.

Together, the taxes would raise about $80 million toward the $178.5 million that D.C. has committed to Metro as part of a joint plan with Maryland and Virginia to improve the regional transit system. They break down as follows, per the Post:

The commercial property tax rate would increase 2 cents from $1.85 per $100 of assessed value.

The sales tax would rise from 5.75 percent to 6 percent, smaller than the regional 1 percentage point sales tax increase that District leaders proposed as a permanent Metro funding source. The restaurant and hotels tax would also rise by a quarter- percentage point.

And the tax on gross receipts on "for-hire" vehicle services, passed onto customers as city fees on trips, would rise from 1 percent to 4.75 percent. That would mean a dime charge on a $10 trip would become a 47-cent charge.

Bowser's budget would also invest another $100 million in the District's beleaguered Housing Production Trust Fund, provide $6 million in relief for low-income residents' water bills, and allocate $10.9 million to complete the demolition of the "notorious" D.C. General Hospital homeless shelter, the Post reports.

Wednesday, March 21, 2018 in The Washington Post

Young Professional

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban and Environmental Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban and Environmental Planner

Get top-rated, practical training for planners

Overlapping highways

The state-sanctioned urbicide of Austin

People don’t kill cities. Freeways do.

September 8, 2026 - Benjamin Schneider

The Hoover Dam blocking the Colorado River. The river's water level is noticeably low. The cliffs surrounding the blue water are brown and jagged.

US to reduce Colorado River water deliveries to Mexico

A new Colorado Treaty amendment reduces Mexico’s Colorado River water allocation by 250,000 acre feet.

September 11, 2026 - The Arizona Republic

Skyscrapers in Jersey City.

New Jersey’s second-largest city bans standalone data centers

Jersey City will continue to allow co-location facilities, such as those meant for research institutions that store their own data.

September 4, 2026 - The Cool Down

A New Jersey train approaches people waiting at the station.

Amtrak not solely to blame for New Jersey commuter rail's unreliability, report finds

A new study from the Garden State Initiative found that NJ Transit’s budget grew 20% across a 4 year period, but reliability declined significantly over the same period.

September 15 - Mass Transit

A tall, gray power plant billows smoke into a blue sky.

EPA erases limits on planet-warming pollution from power plants

Under Monday’s plan, power plants would still have some limits on how much mercury, arsenic and other contaminants they can emit.

September 15 - New York Times

A white RAPID bus. The lower half is light blue, and says RAPID in purple text. The bus is half visible, appearing from the left side of the image.

Phoenix announces new on-demand transit service, more frequent RAPID buses

Both new services will launch in October, and are part of Phoenix's Project Effective Access Solutions for Easing Congestion.

September 15 - KJZZ

FREE Course: Walkable City 1: Why Walkability?

After describing his path towards focusing on walkability as the essence of good planning, Jeff Speck marches through his five principal reasons for making more walkable places.

Reinventing Malls: Planning Alchemy—Turning Gray Fields Into Gold

The course focuses on the opportunities and imperatives that shape reinvention of mall sites.