SCHENECTADY — The city is considering legislation to allow cab companies to charge a surcharge to cover escalating fuel costs.

The Common Council’s Public Utilities Committee will discuss the enabling legislation Monday afternoon. The city regulates cab companies, setting fares and issuing licenses.

The proposed legislation allows cab companies to charge $1 for fares under $5 and $1.50 for fares over $5, provided the price of gas is $4 a gallon or more. If the price drops below that price, the companies can charge 50 cents for fares under $5 and $1 for fares over $5.

Committee Chairwoman Denise Brucker said the legislation is fair to the cab companies, which have been dealing with rising fuel costs.

Central Brown Taxi General Manage Gary Valenti said the surcharge will help. Central and a second company that operates cabs in the city, Capitaland Taxi, asked for the surcharge several months ago.

“We are not looking for a fare increase, just some help,” Valenti said.

Valenti said his 17 taxis burn up to $145 in fuel per day on average.