FAIRMONT — Fairmont has a new cab service.

The Fairmont City Council approved a taxi license on Monday for Blue Earth Taxi to operate three vehicles in the city. All the vehicles have passed inspection, and a background investigation has been conducted. Blue Earth Taxi currently is licensed in the cities of Mankato and North Mankato.

Blue Earth Taxi will operate from from 6 a.m. to 3 a.m. seven days a week. The phone number is (507) 779-9400.

Council members asked about other licensed cabs in Fairmont. Elizabeth Bloomquist, city attorney, said the city has only one other taxi license holder, Royalty Rides, which has one vehicle licensed as a taxi but operates others under a limousine license.

City Administrator Mike Humpal said other individuals are operating what they call ride sharing services in the city. These services are not licensed or inspected, and ride sharing did not exist in 1986 when the city code governing taxi services was adopted.

“Ride sharing is a gray area,” Humpal said. “We really don’t have enough teeth in our ordinance to ticket them. We need to update that ordinance to provide other options to those saying they are ride sharing.”