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Port Authority To Newark On Uber Deal: Not So Fast

NEWARK, N.J. (CBSNewYork/AP) -- Newark's tentative $10 million deal with ride-hailing company Uber has hit a roadblock.

The Port Authority of New York and New Jersey, which operates Newark Liberty Airport, has raised concerns about the city's proposal to receive $1 million per year from Uber for a decade in exchange for the right to operate at the airport.

Most of the airport is within the Newark city limits, and the Port Authority leases the land from the city.

Last weekend, Newark Mayor Ras Baraka announced the tentative deal with Uber. The city and Uber had been in a public dispute recently over taxes, licensing and background checks.

"Newark has now led the way for the entire state of New Jersey in terms of striking a fair balance that allows the tech sector to thrive while playing by the rules," the mayor said in a statement last week.

Under the deal, Baraka said Uber also agreed to have a nationally accredited, third-party provider conduct background checks on all of its drivers and enforce a zero-tolerance drug and alcohol abuse policy.

But the Port Authority tells The Associated Press it has expressed its concerns to Newark officials.

The Uber proposal was supposed to be considered at a Newark city council meeting Wednesday but the matter wasn't acted upon.

Baraka's office didn't immediately comment on the matter Friday.

(TM and © Copyright 2016 CBS Radio Inc. and its relevant subsidiaries. CBS RADIO and EYE Logo TM and Copyright 2016 CBS Broadcasting Inc. Used under license. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.)

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