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Parker Seeks $1 Rideshare Fee to Help Fill Philadelphia School Budget Gap

City Council must decide whether a new per‑ride levy is the right tool to steady school staffing.

Overview

  • Mayor Cherelle Parker, who unveiled the change Monday, raised her plan from 20 cents to $1 per trip starting Jan. 1, 2027, with revenue estimated at $24 million in the first partial year and $48 million annually after.
  • The School District faces roughly a $300 million shortfall, and officials say the fee could restore about 240 school-based jobs, including around 130 teachers, though the plan would not close the gap.
  • The charge would be billed to ride-hailing companies rather than individual drivers, and Uber and Lyft oppose it, warning riders could face higher prices and drivers could see fewer trips.
  • Linked programs would use a portion of the proceeds for free SEPTA passes for eligible school staff and a three-year Philadelphia Parking Authority pilot to help low-income residents clear unpaid tickets.
  • Council opened budget hearings Tuesday with some members skeptical of the jump to $1, the proposal still needs approval before the June 30 deadline, and the city notes PPA’s existing 1.4% rideshare fee sent about $6 million to schools in 2023.