National League of Cities Issues Report on the Sharing Economy

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The National League of Cities has released a report on the current climate across the nation with regard to the “sharing economy” that may provide localities who are dealing with these issues potential templates to follow. The sharing economy refers to businesses that provide consumers the ability to share resources, like housing, vehicles, home-cooked meals and more, generally through apps or websites that connect providers with potential consumers. The burgeoning sharing economy presents a wide range of challenges and opportunities, which every city is meeting in its own way. The report attempts to classify some of those responses by introducing three categories: cities with a positive sentiment, cities with a mixed sentiment and those that have experienced regulatory intervention at the state level. For purposes of the report, the survey confined itself to only ridesharing (a service provided by companies like Uber, Lyft and Sidecar) and homesharing (generally provided by Airbnb, Homeaway or VRBO), and how cities have dealt, or declined to deal with, the problems and opportunities these services represent.

The survey found nine cities that show a positive sentiment towards ridesharing and homesharing, either having formally legalized them or allowed them through inaction. They are:

  • Austin
  • Charlotte
  • El Paso
  • Indianapolis
  • San Diego
  • San Francisco
  • San Jose
  • Seattle
  • Washington, D.C.

Meanwhile, 21 cities show mixed sentiment, either imposing additional restrictions in exchange for legalizing the services, declining to enforce policies or currently in the process of enacting policies. They are:

  • Baltimore
  • Boston
  • Chicago
  • Columbus
  • Dallas
  • Denver
  • Detroit
  • Fort Worth
  • Houston
  • Jacksonville
  • Louisville
  • Las Vegas
  • Los Angeles
  • Memphis
  • Nashville
  • New York
  • Oklahoma City
  • Philadelphia
  • Phoenix
  • Portland
  • San Antonio

Among those surveyed, 15 cities have experienced regulatory action or other intervention from state policymakers. They are:

  • Baltimore
  • Charlotte
  • Chicago
  • Denver
  • Detroit
  • Jacksonville
  • Las Vegas
  • Los Angeles
  • Louisville
  • New York
  • Philadelphia
  • Phoenix
  • San Diego
  • San Francisco
  • San Jose

The sharing economy continues to develop throughout the country, often whether cities like it or not. Cities have a myriad of responses to these new developments, but every city will need to decide for itself what form its reaction will take, whether that involves following in the lead of one of the above-mentioned cities, or charting its own course.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations. Attorney Advertising.

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