LINCOLN, Neb. (AP) — Lincoln officials are planning to exempt Uber and Lyft drivers from local taxi rules to resolve any questions over the legality of ride-hailing services in the city.

Mayor Chris Beutler announced the proposal Thursday to exempt ride-hailing companies from the city’s taxi ordinance.

The city attorney’s office determined ride-hailing drivers are considered taxi drivers under city code. This makes them subject to regulatory requirements that include a written exam and a periodic medical exam.

Councilwoman Leirion Gaylor Baird says Uber and Lyft provide flexible job opportunities, help reduce traffic congestion and free up parking spaces downtown. She says they also enhance safety by serving as designated drivers for people drinking.

City Council is expected to have a public hearing on the proposal Oct. 2.