Colorado lawmakers consider bill to cap Uber, Lyft fees at 20% of fares

Colorado General Assembly News

Colorado lawmakers consider bill to cap Uber, Lyft fees at 20% of fares
Colorado House Bill 1273Colorado House Of RepresentativesColorado Senate

Sophia Villalba joined the Denver7 news team in October 2025.

A bill that could change how much rideshare companies take from your fare is expected to get a hearing Wednesday at the Colorado Capitol.HB26-1273 would cap how much companies like Uber and Lyft can keep from each ride.

Supporters say it would put more money in drivers’ pockets, while those who oppose the bill say it could make rides more expensive.Lawmakers on the House Business Affairs and Labor Committee are expected to debate the measure Wednesday. If passed, it would limit rideshare companies to keeping no more than 20% of a rider’s fare.The goal is to make sure most of the money from a trip goes to the driver.Colorado Independent Drivers United supports the bill, saying drivers have been seeing less and less of the fare money and that a cap would help guarantee drivers keep at least 80% of what riders pay.“I started driving in 2014, and over the years I have seen what I and many other drivers make become smaller and smaller, while what Uber and Lyft take from us become larger and larger. Now over a majority what a rider pays us goes to these companies, drivers who live here and do the work can’t afford to have their hard earned pay stolen from them any longer,” Chris B., a supporter of HB26-1273, said.The union also added in a statement posted yesterday that it “will ensure that drivers who do the work are entitled to the income they produce.”But the Denver Metro Chamber of Commerce said the change could disrupt how rideshare companies operate in Colorado.“It could result in fewer drivers choosing the window, the high priority window times, and there could be longer ETAs. So, it's not meeting the needs of customers, and it could cause sharp increases in prices and potentially lower the amount that that drivers get paid,” Denver Metro Chamber of Commerce Vice President of External Affairs Leslie Oliver said.Leslie Oliver with the Denver Metro Chamber of Commerce says that's because in other cities, when the price went up, tips went down.'I think we've got some cautionary tales from some similar attempts in Seattle. A 2024 app delivery pay rule found in the data after the fact that base pay per task doubled, but tips fell and fewer rides were completed. So unpaid idle time rose and monthly earnings didn't actually increase for the drivers,' Oliver said.Companies like Uber say they already spend much of each fare on things like insurance, taxes and airport fees. They warn the remaining 20% may not cover those costs: 14% to commercial insurance for TNC trips and 7% to taxes and fees. 'This does not include credit card fees, support costs and other costs of business,' Uber said in a statement.In a message to riders on Tuesday Uber said:“If passed, we estimate that average rider fares in Colorado could double in order to cover these fixed costs.”In a statement to Denver7, Uber also added:'Legislators must consider the real-world impact on household budgets and driver earnings before passing this bill. This proposal risks making Uber a luxury rather than a needed affordable option, with the potential to double ride costs for everyone, including those who need it most. Further, drivers in the state already make just under $35 per utilized hour. To protect the affordability that Coloradans depend on – and the earning opportunities drivers rely on – the state should study the long-term consequences on livelihoods before moving forward.'Uber also said that Colorado is one of the top 10 most expensive states for TNC insurance costs in the country.If the bill is passed on Wednesday, it would still need approval from the full Colorado House of Representatives and Colorado Senate before heading to Gov. Jared Polis.

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