LAX increases Uber, Lyft fees, a "small overdue expense for rideshare companies," airport officials say
The Los Angeles Board of Airport Commissioners unanimously voted to increase fees to rideshare companies for drop-offs and pick-ups of customers at LAX.
During a Tuesday board meeting, commissioners said the fee increase has been years in the making and is intended to balance who enters the Central Terminal Area and ease congestion. Fees have not been adjusted since 2016.
Currently, Lyft and Uber drivers pay a $4 fee per drop-off and pickup, which will increase to $6. Because of a loophole, limosines and taxis pay only for drop-off, with no pick-up fee, according to board members.
Across the board, fee increases will apply to all commercial for-hire vehicles, jumping to $12 for each pick-up and each drop-off in the more congested Central Terminal Area, where the Tom Bradley International Terminal is located. This increase will go into effect once the automated people mover, SkyLink, opens this summer.
"Despite rideshare companies profiting heavily from LAX, the fees they pay to access our airport have remained unchanged for more than a decade, even as airports nationwide have increased both pickup and drop‑off charges," David Reich, Deputy Executive Director for Mobility Strategy, Los Angeles World Airports, said.
Board members discussed the "rhetoric" that the fees would be passed directly to riders, noting that this may not be the case, and could be absorbed by the rideshare corporations.
"These fee increases are a small, overdue expense for rideshare companies, and will support substantial reinvestment in critical projects across the airport designed to enhance airport experience for employees, guests, and all Angelenos," Reich said.
Fees for pick-ups and drop-offs at the new Ground Transport Center on Aviation Boulevard will be $6 for rideshare companies. From here, a free 10-minute shuttle transports customers to the airport. This site is also designed to connect directly with SkyLink.
Board members noted that drop-off and pick-up fees are customary at all U.S. airports, and revenue collected is used to enhance the airport passenger experience.
"There was a comment made earlier that customers already pay for this through their tax dollars. I think it's important to note that there are no tax dollars that are used to run or operate the airport. The only money that is used to run and operate the airport is revenue-centered, generated by and at the airport," Matthew M. Johnson, vice president of the Board of Airport Commissioners, said.
Uber released the following statement:
"Today's vote significantly increases the cost of getting to and from LAX. A 140% fee hike will directly impact riders and reduce demand for drivers who rely on airport trips. We support investments that improve the airport experience, but they must be transparent and balanced."