In a surprising move Tuesday, a Minneapolis City Council committee approved a proposed ordinance that would set rideshare payment rates for drivers at $1.27 per mile and $.49 per minute.

Several Minneapolis City Council members negotiated the same rates with state lawmakers, but a final vote at the State Capitol has not yet happened to make it a statewide, mandated pay scale.

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City Council member Robin Wonsley supported the measure, saying it would avoid preemptive measures from state lawmakers and still give rideshare drivers a livable wage in Minneapolis.

“To protect our workers and doing so while making sure we are not stripped of our local control as well,” said Wonsley. “This rate reflects an agreement that is a byproduct of conversations with our state leaders that will extend minimum wage equivalence to more than 10,000 drivers across the state.”

City Council member Linea Palmisano said she preferred the issue be handled among the 13 city council members without involving state lawmakers.

“Why is the city of Minneapolis passing the very same rate? Isn’t it duplicative? Isn’t that a double use of taxpayer money?” asked Palmisano. “I feel there’s a big problem here that goes beyond rideshare about democracy on the Minneapolis City Council.”

The proposed ordinance now moves to the full City Council for a final vote, where it is expected to be approved next Thursday. If that happens, the new pay rates for rideshare drives will take effect July 1.

Uber and Lyft told KSTP last week that they do not support the pay increase and will leave Minnesota if the law still stands on July 1.

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