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Chicago Orders Uber to Refund Riders After Downtown Surcharge Error

City officials launch investigation and audit after Uber admits to improperly applying a $1.50 congestion fee outside authorized hours since January.

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Overview

  • Uber acknowledged an internal error that caused the $1.50 downtown congestion surcharge to be applied after 10 p.m., violating city policy.
  • Chicago's Department of Business Affairs and Consumer Protection has ordered Uber to audit all rides since January 6, preserve records, and refund affected riders automatically.
  • The surcharge, intended to discourage daytime congestion, was expanded in 2024 but exempted late-night rides to avoid penalizing intoxicated or late-shift riders.
  • Uber stated it did not profit from the error, as all surcharge revenue was remitted to the city, but potential fines are under consideration.
  • The incident has reignited debate over the regulation of rideshare platforms, with officials pointing to the lack of oversight compared to traditional taxi services.