Chattanooga board recommends taxi fare and toll increases to city council, defers Mercury case to February

The Chattanooga City Taxi Regulatory Board voted Jan. 8, 2026, to send two rate recommendations to Chattanooga City Council and to revisit a pending lawsuit involving Mercury Transportation at its February meeting.

Jonathan Easter of Nuga Taxi told the board he had circulated PDF rate recommendations and urged the board to forward a proposal to the council. The board voted to recommend the taxi-rate increase be submitted to the city council for consideration. The motion passed by voice vote.

Separately, board members approved a recommendation for a 3% cost-of-living toll increase for January 2026; staff noted this was the adjustment discussed in October and that the federal inflation calculation typically uses prior-month data. Unidentified Speaker 1 moved the toll-rate recommendation and Unidentified Speaker 3 seconded; the board approved the recommendation by voice vote.

The meeting also addressed a pending lawsuit between Mercury Transportation and another taxi company. Board members reported the case is in circuit court and that no written order has been entered; staff said the board is holding any action until they receive documentation from the court. The board voted to add Mercury Transportation back to the February 2026 agenda so members can review any court filings or next steps once the record is available.

Audience member Mark Shackle of Shackle Towing & Recovery asked whether any ordinance drafting related to the January proposals would be handled through the city attorney’s office and suggested the board coordinate with the city attorney to prevent proposals from being overlooked at council.

The board’s decisions at the Jan. 8 meeting were procedural recommendations to city council and administrative scheduling for future review; no city-council-level rate changes took immediate effect from this board vote.